Saving Grace

First the Environmental Protection Agency insulated W.R. Grace from claims that it poisoned workers and neighbors — and now, it seems, bankruptcy laws will.

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For years, residents of Libby, Montana, were certain that they were being poisoned by W.R. Grace & Company’s vermiculite mine on the outskirts of town (see the Mother Jones magazine article, Libby’s Deadly Grace.) Now the Environmental Protection Agency has admitted that for years it had strong evidence showing the townspeople were right — but did little in response.

On Tuesday, the EPA’s inspector general declared that the agency had failed to act on its own data showing the dangers posed by the high levels of asbestos in Libby vermiculite, including a 1982 internal report that warned of “significant adverse health effects” among people working with the ore. Instead, the EPA continued to rely on figures provided by W.R. Grace showing only trace amounts of asbestos in the vermiculite.

But the EPA’s disclosure may come too late to help Libby residents. W.R. Grace filed for bankruptcy on Monday, blaming “a sharply increasing number of asbestos claims” for its financial woes. The filing stops some 124,000 claims against the company, including unresolved cases from Libby. Last year, W.R. Grace reported an 81 percent increase in asbestos claims — many of which the company declares “unmeritorious.” The company has already paid out nearly $2 billion in asbestos-related claims.

Meanwhile, Libby is facing even more bad news. Preliminary findings from a recent study by the federal Agency for Toxic Studies and Disease Registry indicate that a third of the Libby residents who lived near or worked in the vermiculite mine have signs of asbestos-caused disease. A Spokane, Wash., pulmonary specialist who treats many Libby-area residents warned last year that new cases of asbestos-related disease may continue surfacing for the next 30 years.

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WE'LL BE BLUNT

It is astonishingly hard keeping a newsroom afloat these days, and we need to raise $253,000 in online donations quickly, by October 7.

The short of it: Last year, we had to cut $1 million from our budget so we could have any chance of breaking even by the time our fiscal year ended in June. And despite a huge rally from so many of you leading up to the deadline, we still came up a bit short on the whole. We canā€™t let that happen again. We have no wiggle room to begin with, and now we have a hole to dig out of.

Readers also told us to just give it to you straight when we need to ask for your support, and seeing how matter-of-factly explaining our inner workings, our challenges and finances, can bring more of you in has been a real silver lining. So our online membership lead, Brian, lays it all out for you in his personal, insider account (that literally puts his skin in the game!) of how urgent things are right now.

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