4 companies to pay $5M in FEMA trailer settlement

NEW ORLEANS — Four FEMA contractors that installed or maintained government-issued trailers for storm victims after Hurricane Katrina have agreed to pay a total of $5 million to resolve claims that the temporary shelters exposed Gulf Coast residents to hazardous fumes.

The agreement is contained in a court filing Tuesday, but the documents don’t disclose how much would be paid individually by Shaw Environmental Inc., Bechtel Corp., Fluor Enterprises Inc. and CH2M Hill Constructors Inc. and the companies’ insurers.

The deal is linked to a proposed class-action settlement between plaintiffs’ attorneys and several companies that manufactured travel trailers for the Federal Emergency Management Agency following hurricanes Katrina and Rita in 2005.

U.S. District Judge Kurt Engelhardt is expected to hold a fairness hearing on the proposed settlement on Sept. 27.

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