Chemtool settlement nearing an end

Chemtool's claims administrator Analytics Consulting says that settlement payments will start going out on Thursday, May 1, 2025.

Chemtool settlement nearing an end
Winnebago County Courthouse

Residents who suffered through the 2021 Chemtool disaster may not have to wait much longer for compensation. Chemtool's claims administrator Analytics Consulting says that payments will go out on Thursday, May 1, 2025. Previous estimates were December 2024, January 2025, and February 2025.

When residents asked Analytics Consulting for status on Tuesday, April 29, 2025, a typical email response was, "Your claim is valid. Checks and electronic payments will be issued May 1, 2025. Distribution amounts will not be available to share until the distribution occurs. Sincerely, Office of the Claims Administrator"

Attorney Dan Flynn confirmed on Tuesday, "Analytics sent us the updated allocations yesterday morning. It looks like, barring any setbacks, the payments will go out this week." But he told one resident, "Although the current plan is for Analytics to disburse payment this week and we are in regular contact with them to do what we can to make sure that happens, I would not count on it quite yet.  I will let you know once we have confirmation that Analytics has actually sent out the payments."

Judge Stephen E. Balogh has said he wanted payments to be sent before Friday's hearing, which will be held on May 2 in Room 108 at the Winnebago County Courthouse or on Zoom at Meeting ID # 963 9791 8024 We have not been able to confirm if it will be livestreamed on YouTube.

Rumors about imminent payments have been circulating for more than a month. Analytics Consulting emailed a class member Monday afternoon, Mar 17, 2025, saying, "Although we are unable to make any promises, Judge Balogh has requested that payments go out to class members with valid claims before the next scheduled court hearing date of May 2nd, 2025. We do expect at this point that payments will be issued prior to that court date."

One silver lining in a long-hovering cloud: Chemtool class members will also get the interest that has been building up while they have waiting for their payments. The Settlement Agreement says "The Class and Defendants agree to treat monies held in the Escrow Account as being at all times 'qualified settlement funds' within the meaning of Treas. Reg. § 1.468B-1" Since it's a QSF fund, that means Chemtool class members would share the interest.

That's different from another type of legal bank account, called an IOLTA fund, which were designed for short term use. Interest on an IOLTA fund benefits the Illinois legal aid fund because it's too small to be significant. With $51 million waiting to be paid out, the interest on the Chemtool fund will be significant.

This series of articles has been honored with an award by the Illinois Press Association.