The “Green Corporation” That Nearly Got Away With Polluting San Francisco

Tetra Tech EC Settles for $40M Over Radioactive Waste Dumping Allegations
Corporate Misconduct Accountability Project

Tetra Tech EC Settles for $40M Over Radioactive Waste Dumping Allegations

Federal government alleges contractor disposed of contaminated soil in trenches at Hunters Point Naval Shipyard Superfund Site, forcing Navy to redo cleanup at taxpayer expense and delaying redevelopment.

CRITICAL SEVERITY
TL;DR

The U.S. government sued Tetra Tech EC, alleging the environmental contractor improperly disposed of radiologically contaminated soil at the Hunters Point Naval Shipyard Superfund Site in San Francisco. The Navy claims it cannot rely on Tetra Tech EC’s work and must redo the entire radiological investigation and cleanup. In January 2025, Tetra Tech EC agreed to pay $40 million plus interest to settle CERCLA claims while denying wrongdoing, leaving taxpayers to cover remaining costs and delaying redevelopment of the historically underserved community.

This settlement exposes how corporate cost-cutting on toxic cleanup can harm communities for decades.

$40M
Settlement payment to Navy
1989
Year Hunters Point added to National Priorities List
1940-1974
Years Navy operated shipyard with radiological work

The Allegations: A Breakdown

⚠️
Core Allegations
What the government says Tetra Tech EC did · 8 points
01 Tetra Tech EC disposed of soils contaminated with radionuclides above action levels in trenches and other locations at the Hunters Point site instead of secure, authorized facilities. The Navy alleges the contractor’s sampling and disposal processes violated environmental law. high
02 The government claims Tetra Tech EC operated as both a facility operator during disposal and a transporter of hazardous substances, making it liable under CERCLA Sections 107(a)(2) and (4). high
03 The Navy alleges it cannot complete the investigation and cleanup to comply with statutory and regulatory standards while relying on Tetra Tech EC’s work. Oversight agencies required the Navy to undertake a completely new site investigation and cleanup. high
04 The government states that Tetra Tech EC’s alleged failures forced the Navy to incur substantial response costs that continue to accrue as the investigation proceeds. The entire radiological verification process must be redone from sample collection to data analysis. high
05 The United States alleges that during site investigation and remediation, Tetra Tech EC engaged in surveying and sampling that resulted in disposal of contaminated soil into trenches and other locations on the Site. Tetra Tech EC denies these allegations. high
06 The Navy was hired Tetra Tech EC specifically to investigate radiological contamination at certain parcels and to perform selected remedial work. The contractor’s alleged failure undermined the fundamental purpose of its contract. high
07 The complaint includes claims under the False Claims Act and common law breach of contract in addition to CERCLA violations. The partial consent decree resolves only the CERCLA claim, leaving other claims pending. medium
08 Tetra Tech EC filed a counterclaim against the Navy seeking contribution and equitable allocation of response costs, alleging the Navy owned, operated, and contaminated Hunters Point during its operations. The Navy denies these allegations. medium
🔍
Regulatory Failures
How oversight broke down · 6 points
01 The Environmental Protection Agency and California Department of Public Health required the Navy to undertake new investigation and cleanup after Tetra Tech EC’s alleged failures, indicating regulatory agencies did not catch the problems until after work was supposedly complete. high
02 The Navy relied on Tetra Tech EC’s sampling procedures and data for radiological contamination, but alleges the work was compromised in ways that led to improper disposal. The oversight system failed to detect alleged misconduct during active operations. high
03 Hunters Point has been on the National Priorities List since 1989, requiring long-term cleanup. Despite decades of regulatory attention, alleged improper disposal occurred under federal oversight. medium
04 The partial consent decree reveals that oversight agencies have the authority to require complete re-investigation when contractor work is unreliable, but this power was exercised only after alleged contamination disposal had already occurred. medium
05 The settlement includes provisions for future oversight, including access to information and retention of records for 10 years, suggesting prior monitoring may have been insufficient to prevent alleged wrongdoing. medium
06 The decree allows the United States to reserve rights for future enforcement if Tetra Tech EC transports, treats, stores, or disposes of hazardous substances at the Site after signing, indicating ongoing concern about compliance. low
💰
Profit Over People
The cost-cutting calculation · 6 points
01 The Navy hired Tetra Tech EC to investigate and remediate radiological contamination, but the government alleges the contractor’s methods resulted in contaminated soil being placed in trenches rather than properly disposed of in secure facilities. high
02 Tetra Tech EC agreed to pay $40 million to resolve CERCLA claims while denying wrongdoing, a settlement structure that allows the company to avoid admission of liability despite the government’s allegations. high
03 The partial consent decree explicitly states that Tetra Tech EC does not admit any liability arising from the alleged transactions, preserving the company’s public position despite the substantial payment. medium
04 The settlement resolves only the Fifth Claim for Relief in the Second Amended Complaint. Claims under the False Claims Act and common law remain pending, suggesting the $40 million may not represent full accountability. medium
05 The decree specifies that if Tetra Tech EC fails to make the required payment within 30 days of the Effective Date, stipulated penalties of $25,000 per day will accrue, indicating the need for strong financial enforcement mechanisms. medium
06 Tetra Tech EC reserved the right to pursue Contract Disputes Act claims for costs incurred defending against non-intervened relator claims about Hunters Point, attempting to recover legal defense expenses. low
💸
Economic Fallout
Who pays the price · 7 points
01 The Navy alleges it incurred response costs and will continue to incur response costs as the new site investigation continues. The $40 million settlement may not fully reimburse these expenses, leaving taxpayers to cover the difference. high
02 The government must pay twice for cleanup at Hunters Point: once for Tetra Tech EC’s original contract and again for re-verifying and re-remediating the site due to alleged deficiencies in the contractor’s work. high
03 The Base Realignment and Closure Commission recommended Hunters Point for closure in 1991. More than three decades later, alleged contractor misconduct continues to delay transfer of the property for redevelopment. high
04 The settlement payment of $40 million plus interest will be deposited into the DON BRAC Account, funds designated for base closure activities. The decree does not specify how these funds will be allocated for continued cleanup. medium
05 Hunters Point is located in southeast San Francisco, an economically disadvantaged area. Delays in cleanup and redevelopment prevent job creation, housing development, and economic revitalization for the historically underserved community. high
06 The decree covers only response costs incurred by the United States, not potential economic damages to the local community from delayed development, depressed property values, or lost investment opportunities. medium
07 The partial consent decree notes that stipulated penalties and enforcement costs are in addition to the $40 million settlement, meaning total financial consequences for Tetra Tech EC could exceed the headline figure if compliance issues arise. low
🏥
Public Health and Safety
Radiological contamination risks · 7 points
01 The Navy operated Hunters Point from 1940 to 1974, during which time it housed the Naval Radiological Defense Laboratory and decontaminated ships. The site contains legacy radiological contamination that poses ongoing health risks if not properly remediated. high
02 The government alleges Tetra Tech EC disposed of soils contaminated with radionuclides above action levels in trenches at various site locations. Action levels represent contamination thresholds that trigger cleanup requirements to protect human health. high
03 The United States reserves all rights for liability related to damages for injury to, destruction of, or loss of natural resources, indicating potential long-term environmental and health consequences from alleged improper disposal. high
04 Hunters Point was placed on the National Priorities List in 1989 under CERCLA, requiring long-term cleanup. The alleged failure to properly handle radiological waste extends the period during which the community faces potential exposure. high
05 The Navy alleges it cannot rely on Tetra Tech EC’s radiological verification work, meaning previous declarations of site safety may have been premature and potentially exposed workers and residents to unidentified hazards. high
06 The decree does not address potential health impacts on workers who handled allegedly contaminated materials or residents living near disposal locations. No provisions for health monitoring or medical compensation appear in the settlement. medium
07 The settlement resolves only government response costs, not natural resource damages or personal injury claims that might arise from radiological exposure. Affected individuals would need to pursue separate legal action. medium
🏘️
Community Impact
Environmental injustice in southeast San Francisco · 8 points
01 Hunters Point is located in southeast San Francisco on a peninsula extending into San Francisco Bay. The area is home to a historically underserved community that has faced environmental contamination for decades. high
02 The site was established as a commercial shipyard in 1870 and operated by the Navy from 1940 to 1974. The community has lived with the legacy of military contamination for over 50 years since Navy operations ended. medium
03 BRAC recommended Hunters Point for closure in 1991, promising redevelopment opportunities for the local community. Alleged contractor misconduct more than 30 years later continues to delay that promise. high
04 The partial consent decree makes no provision for community input, compensation, or direct accountability to local residents. The settlement is strictly between the federal government and Tetra Tech EC. high
05 The decree does not require Tetra Tech EC to conduct community outreach, health screenings, or provide any direct remediation to affected neighborhoods. All obligations run to the federal government, not local residents. medium
06 Environmental justice advocates note that Superfund sites are disproportionately located near communities of color and low-income populations. Hunters Point fits this pattern as a historically Black neighborhood in San Francisco. high
07 The settlement does not earmark any portion of the $40 million for community-led monitoring, independent testing, or local economic development. The funds go to the Navy’s BRAC account for continued cleanup operations. medium
08 Local residents must wait indefinitely for safe redevelopment while the Navy re-conducts radiological surveys and cleanup. Each delay perpetuates economic stagnation and uncertainty about property values and health risks. high
⚖️
Corporate Accountability Failures
Settlements without admissions · 8 points
01 Tetra Tech EC does not admit any liability to the United States arising from the alleged transactions, despite agreeing to pay $40 million. This settlement structure allows the company to resolve claims while maintaining public denial of wrongdoing. high
02 The partial consent decree is styled as partial because it resolves only the CERCLA claim. The First through Fourth Claims for Relief in the Second Amended Complaint, including False Claims Act violations, are not addressed and remain pending. high
03 The decree explicitly states that the United States does not admit any liability to Tetra Tech EC arising from the contractor’s counterclaim. Both parties deny the other’s allegations while settling one narrow claim. medium
04 Tetra Tech EC waives all objections to jurisdiction and venue solely for purposes of this consent decree. The company preserves its right to challenge jurisdiction in other matters while accepting it here to facilitate settlement. low
05 The settlement provides Tetra Tech EC with contribution protection under CERCLA Section 113(f)(2) for matters addressed in the decree. This shields the company from contribution claims by other potentially responsible parties for the same contamination. medium
06 The decree allows the United States to reserve rights for criminal liability, failure to meet decree requirements, natural resource damages, and liability for disposal after the decree is signed. These carve-outs limit the scope of the settlement. medium
07 Tetra Tech EC agrees not to challenge the decree or its terms, and not to oppose entry by the court. This provision prevents the company from later contesting the settlement while still denying the underlying allegations. low
08 The decree will be lodged for at least 30 days for public comment before final approval. The United States reserves the right to withdraw consent if comments reveal facts indicating the decree is inappropriate, improper, or inadequate. medium
📢
The PR Machine
Denial and damage control · 6 points
01 The partial consent decree explicitly preserves Tetra Tech EC’s denial of allegations throughout the document, allowing the company to publicly maintain it did nothing wrong despite the $40 million payment. high
02 The settlement structure permits Tetra Tech EC to characterize the payment as a business decision to avoid costly litigation rather than an acknowledgment of environmental wrongdoing. medium
03 By resolving only the CERCLA claim and leaving False Claims Act and other claims pending, Tetra Tech EC limits public disclosure of potentially damning internal documents and communications that might emerge at trial. high
04 The decree does not require Tetra Tech EC to issue public statements, conduct community outreach, or acknowledge any harm to Hunters Point residents. All covenants run to the United States government, not affected communities. medium
05 Tetra Tech EC may assert business confidentiality claims over records submitted under the decree, potentially shielding company documents from public scrutiny even as the settlement is publicly filed. medium
06 The consent decree is a final judgment only as to the Fifth Claim for Relief, meaning Tetra Tech EC can continue to deny liability on all other pending claims while pointing to this partial resolution as evidence of cooperation. low
📊
Wealth Disparity
Who profits, who pays · 7 points
01 Tetra Tech EC was hired by the Navy and paid with federal funds to perform radiological cleanup at Hunters Point. The company profited from the original contract while the government now must pay additional costs to redo the work. high
02 The $40 million settlement goes to the Navy’s BRAC account to fund continued cleanup operations, not to the Hunters Point community that bears the health and economic risks of contamination and delayed redevelopment. high
03 Hunters Point is located in an economically disadvantaged area of southeast San Francisco. The community lacks the political and financial resources that wealthier neighborhoods would deploy to demand accountability and expedite cleanup. high
04 The decree notes that any change in Tetra Tech EC’s ownership or corporate status shall in no way alter its responsibilities. This provision protects against corporate restructuring to avoid liability, but provides no similar protection for community interests. medium
05 Tetra Tech EC is represented by Wilmer Cutler Pickering Hale & Dorr, a major law firm. The company’s access to sophisticated legal counsel enabled negotiation of a partial settlement that limits admissions and preserves future contract eligibility. medium
06 The settlement amount of $40 million, while substantial, may be modest relative to the total value of Tetra Tech EC’s government contract portfolio and overall corporate revenues, making it a manageable cost of doing business. medium
07 Local residents have no direct claim to settlement funds and must rely on the Navy to properly conduct new cleanup activities. The power imbalance leaves the community dependent on the same federal oversight that allegedly failed to prevent the original misconduct. high
📌
The Bottom Line
What this settlement really means · 8 points
01 The United States alleges Tetra Tech EC disposed of radiologically contaminated soil in trenches instead of secure facilities at one of the nation’s most complex Superfund sites. The Navy must now redo the entire radiological investigation and cleanup. high
02 Tetra Tech EC will pay $40 million plus interest to settle CERCLA claims while denying all allegations of wrongdoing. The company admits no liability and faces no requirement to acknowledge harm to the Hunters Point community. high
03 The partial settlement resolves only one of five claims in the government’s complaint. False Claims Act violations and common law breach of contract claims remain pending, meaning the full scope of alleged misconduct has not been adjudicated. high
04 Taxpayers bear the cost of redoing cleanup work at Hunters Point. The $40 million settlement may not fully cover the Navy’s past and future response costs, leaving the public to pay the difference while Tetra Tech EC moves forward. high
05 The Hunters Point community, a historically underserved neighborhood in southeast San Francisco, receives no direct compensation, no health monitoring, and no formal role in ongoing cleanup oversight despite bearing the greatest health and economic risks. high
06 This case exemplifies how environmental remediation contracts can fail when corporate profit incentives clash with public health obligations, and how settlements can resolve government claims while leaving communities without meaningful accountability or restitution. high
07 The decree demonstrates that even at Superfund sites with decades of regulatory attention, alleged corporate misconduct can occur and be resolved through settlements that prioritize cost recovery over transparency, community protection, and systemic reform. high
08 Without structural changes to contract oversight, enforcement mechanisms, and community empowerment, the pattern revealed in this partial consent decree is likely to recur at other contaminated sites across the nation. medium

Timeline of Events

1870
Hunters Point established as commercial shipyard
1940
U.S. Navy begins operating Hunters Point shipyard
1940-1974
Navy uses site to house Naval Radiological Defense Laboratory and decontaminate ships
1974
Navy operations at Hunters Point cease
1989
Hunters Point placed on National Priorities List under CERCLA, requiring long-term cleanup
1991
Base Realignment and Closure Commission recommends Hunters Point for closure
2013
Original case filed (Case No. 3:13-CV-3835 JD)
Undated
Navy hires Tetra Tech EC to investigate radiological contamination and perform remedial work
Undated
EPA and California Department of Public Health require Navy to undertake new site investigation due to concerns about Tetra Tech EC’s work
Undated
United States files Second Amended Complaint asserting CERCLA, False Claims Act, and common law claims
Undated
Tetra Tech EC files counterclaim seeking contribution under CERCLA Section 113(f)
January 17, 2025
Partial Consent Decree filed, resolving CERCLA claims for $40 million plus interest

Direct Quotes from the Legal Record

QUOTE 1 Government’s core allegation of improper disposal allegations
“The United States alleges that, among other things, Tetra Tech EC disposed of soils that were contaminated with radionuclides above action levels in trenches in various locations at the Site.”

💡 This is the government’s central claim: Tetra Tech EC allegedly dumped radioactive soil in trenches instead of properly disposing of it in secure facilities.

QUOTE 2 Navy cannot rely on contractor’s work allegations
“The Navy alleges it is required to complete the investigation and cleanup to comply with statutory and regulatory standards and alleges it cannot do so relying on Tetra Tech EC’s work.”

💡 The Navy explicitly states it cannot trust the contractor’s cleanup work, forcing a complete do-over at taxpayer expense.

QUOTE 3 Oversight agencies forced Navy to redo cleanup regulatory
“Accordingly, the Navy alleges that oversight agencies, the United States Environmental Protection Agency and California Department of Public Health, required the Navy to undertake a new site investigation and cleanup at the Site.”

💡 State and federal regulators determined the original cleanup was so flawed it had to be completely redone.

QUOTE 4 Tetra Tech EC’s liability theory under CERCLA allegations
“The United States alleges that Tetra Tech EC is liable pursuant to Sections 107(a)(2) and (4) as an operator of a facility at the time of the disposal of hazardous substances and as a transporter of hazardous substances for disposal.”

💡 The government bases liability on Tetra Tech EC’s dual role as both the entity operating the facility and transporting contaminated materials.

QUOTE 5 Company denies all allegations accountability
“The Settling Defendant does not admit any liability to the United States arising out of the transactions or occurrences alleged in the Second Amended Complaint, and the United States does not admit any liability to Settling Defendant arising out of the transactions or occurrences alleged in the Settling Defendant’s Counterclaim against the United States.”

💡 Despite the $40 million payment, Tetra Tech EC formally denies all wrongdoing and the settlement includes no admission of liability.

QUOTE 6 Partial settlement leaves other claims unresolved accountability
“This Consent Decree resolves only the Fifth Claim for Relief in the Second Amended Complaint and the Counterclaim asserted by Tetra Tech EC in its Answer and Counterclaim. It is styled as a ‘partial’ consent decree because the First through Fourth Claims for Relief in the Second Amended Complaint are not addressed herein.”

💡 This settlement covers only environmental cleanup costs, not False Claims Act violations or breach of contract, leaving major allegations unresolved.

QUOTE 7 Navy’s ongoing costs economic
“This incurred response costs and will continue to incur response costs into the future as the investigation continues.”

💡 The Navy’s cleanup costs are ongoing and may exceed the $40 million settlement, meaning taxpayers bear additional expenses.

QUOTE 8 Settlement amount and payment terms economic
“Within 30 days after the Effective Date, Settling Defendant shall pay to DON $40,000,000 (forty million dollars) plus an additional sum for Interest on that amount calculated from the date of lodging through the date of payment.”

💡 This specifies the exact settlement amount and adds interest charges calculated from the date the decree was filed.

QUOTE 9 Stipulated penalties for late payment accountability
“If any amounts due under Paragraph 5 (Payment by Settling Defendant for Response Costs) are not paid by the required date, Settling Defendant shall be in violation of this Consent Decree and shall pay, as a stipulated penalty, in addition to the Interest required, $25,000 per violation per day that such payment is late.”

💡 The decree includes automatic daily penalties to ensure Tetra Tech EC cannot delay payment without significant financial consequences.

QUOTE 10 Site’s radiological legacy health
“The Navy operated the shipyard from 1940 to 1974 and, during that time, it used Hunters Point to house the Naval Radiological Defense Laboratory and to decontaminate ships.”

💡 This explains why the site contains radioactive contamination requiring specialized cleanup that Tetra Tech EC was hired to perform.

QUOTE 11 Superfund listing history regulatory
“In 1989, Hunters Point was placed on the National Priorities List (‘NPL’) under the Comprehensive Environmental Response, Compensation and Liability Act (‘CERCLA’), requiring a long-term cleanup plan.”

💡 The site has been recognized as a priority for cleanup for over 35 years, yet alleged contractor misconduct continues to delay remediation.

QUOTE 12 No community role in settlement community
“This Consent Decree is binding upon the United States and upon Settling Defendant and its successors and assigns.”

💡 The decree binds only the government and Tetra Tech EC, with no provisions for community input, compensation, or oversight role for affected residents.

QUOTE 13 Government’s reservation of natural resource damages health
“The United States reserves all rights against Settling Defendant with respect to… liability for damages for injury to, destruction of, or loss of natural resources, and for the costs of any natural resource damage assessments.”

💡 The settlement does not cover environmental damages or health impacts, which the government can still pursue separately.

QUOTE 14 Contribution protection for Tetra Tech EC accountability
“The Parties agree, and by entering this Consent Decree this Court finds, that this Consent Decree constitutes a judicially-approved settlement pursuant to which the Settling Defendant has, as of the Effective Date, resolved liability to the United States within the meaning of Section 113(f)(2) of CERCLA, 42 U.S.C. § 9613(f)(2), and is entitled, as of the Effective Date, to protection from contribution actions or claims.”

💡 This settlement shields Tetra Tech EC from being sued for contribution by other potentially responsible parties for this contamination.

QUOTE 15 Court findings on settlement fairness accountability
“The United States and Settling Defendant agree, and this Court by entering this Consent Decree finds, 1) that this Consent Decree has been negotiated by the Parties in good faith, 2) that settlement of this matter without further litigation and without the admission or adjudication of any issue of fact or law is appropriate… and 4) that this Consent Decree is fair, reasonable, and in the public interest.”

💡 The court’s approval includes a finding that avoiding trial and having no admission of wrongdoing serves the public interest, a conclusion many community advocates would dispute.

Frequently Asked Questions

What did Tetra Tech EC allegedly do wrong at Hunters Point?
The U.S. government alleges Tetra Tech EC disposed of soils contaminated with radioactive materials (radionuclides) above safe levels in trenches and other locations at the Hunters Point site instead of properly disposing of them in secure, authorized facilities. The Navy claims it cannot rely on the contractor’s cleanup work and must redo the entire radiological investigation.
How much is Tetra Tech EC paying in the settlement?
Tetra Tech EC agreed to pay $40 million plus interest calculated from the date the consent decree was filed through the date of payment. The payment must be made within 30 days of the court’s approval. If payment is late, the company faces automatic penalties of $25,000 per day.
Does this settlement mean Tetra Tech EC admitted wrongdoing?
No. The partial consent decree explicitly states that Tetra Tech EC does not admit any liability arising from the alleged conduct. The company denies all allegations while agreeing to pay the settlement, a common structure that allows corporations to resolve claims without formal admission of fault.
What claims does this settlement resolve?
This partial consent decree resolves only the environmental cleanup claim under CERCLA (the Fifth Claim for Relief). It does not address the First through Fourth Claims in the government’s complaint, which include allegations under the False Claims Act and common law breach of contract. Those claims remain pending.
Will the $40 million cover all the cleanup costs at Hunters Point?
Likely not. The decree states the Navy has already incurred response costs and will continue to incur costs as the new investigation proceeds. The $40 million reimburses some government expenses, but any shortfall will be covered by taxpayers through the Navy’s budget.
What happens to the Hunters Point community?
The settlement provides no direct compensation, health monitoring, or formal role for local residents. The $40 million goes to the Navy’s Base Realignment and Closure account to fund continued cleanup. The community must wait indefinitely for safe redevelopment while the Navy re-verifies radiological conditions.
Why is this cleanup taking so long?
Hunters Point was added to the National Priorities List for hazardous waste cleanup in 1989 and recommended for closure in 1991. The Navy hired Tetra Tech EC to handle radiological cleanup, but the government now alleges the contractor’s work was so deficient that the entire investigation must be redone, causing further delays.
What are the health risks from radioactive contamination at Hunters Point?
The Navy operated the site from 1940 to 1974, during which it housed the Naval Radiological Defense Laboratory and decontaminated ships, leaving legacy radioactive contamination. The government alleges Tetra Tech EC disposed of soil with radionuclides above safe action levels in trenches on site, potentially exposing workers and nearby residents.
Can individuals sue Tetra Tech EC for health damages?
The partial consent decree resolves only the government’s claim for cleanup costs. The settlement does not address personal injury, health monitoring, or natural resource damages. Individuals who believe they were harmed would need to pursue separate legal action, which can be extremely difficult given the challenges of proving causation from radiological exposure.
What can concerned citizens do?
Community members can submit comments during the 30-day public comment period after the decree is lodged with the court. They can also support local environmental justice organizations monitoring the cleanup, demand transparency from the Navy and EPA, request independent testing, and pressure elected officials to require stronger contractor oversight and community involvement in future remediation decisions.
Post ID: 2370  ·  Slug: the-green-corporation-that-got-away-with-polluting-an-entire-generation-epa-california  ·  Original: 2025-03-04  ·  Rebuilt: 2026-03-20

DOJ source for this legal fight: https://www.justice.gov/enrd/media/1385411/dl?inline

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