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Fair Lawn to accept first payment from 3M PFAS settlement; council authorizes manager to receive funds
Summary
Borough manager reported a multi‑year PFAS settlement; council authorized the borough manager to execute a payment form to accept an initial installment of $384,000 and discussed using future payments for municipal priorities.
Borough of Fair Lawn officials told the Mayor and Council June 23 that the borough will receive installment payments from a multi‑year settlement with chemical manufacturer 3M related to PFAS contamination, and the council unanimously authorized the borough manager to accept the first payment.
Borough Manager Kurt Peluso said the first installment arriving in June will be $384,958 and that projected receipts from 3M could total about $2,321,462 (not counting legal fees). He said the borough is still awaiting settlements from DuPont and Tyco. Peluso asked the council for authorization to execute the required payment form; the council voted to pass a resolution (recorded as Resolution 232-2025) authorizing the manager to do so.
Why it matters: PFAS settlements deliver one-time funds to municipalities affected by per‑ and polyfluoroalkyl substances; councils must decide how to allocate those receipts and whether to reserve them for remediation, capital projects or other uses. The manager asked that the borough discuss allocation options at the next work session.
Council members asked about fiscal pressures in 2026 that could offset the funds. Peluso noted that health‑benefit costs for the borough are expected to rise significantly next year, with prior estimates ranging from a rumored 19% increase to as high as 35%.
What was approved: On a unanimous roll‑call vote—Councilmember Salinas, Councilmember Krauss, Deputy Mayor Rotenstryk, Deputy Mayor Reinec and Mayor Christina Cottone—the council passed the resolution authorizing the borough manager to execute the payment form needed to receive the settlement payment. The meeting record lists the resolution number passed shortly after the discussion as 232-2025.
Next steps: The manager said he will prepare a resolution and supporting documentation to formally accept payments and asked the council to schedule a discussion at the next work session about recommended uses for the funds.
