Jarboe Realty Pays Under 1% of Cleanup Costs for Radioactive Site
Company settles for $770K after U.S. spent $88M cleaning up uranium contamination at Missouri property where hazardous waste remains under buildings indefinitely.
Jarboe Realty & Investment Co., Inc. owns contaminated property in Hazelwood, Missouri where radioactive uranium waste from 1940s Manhattan Project activities remains buried under buildings. The U.S. Army Corps of Engineers spent over $88 million cleaning portions of the North St. Louis County Sites. Jarboe Realty agreed to pay just $769,722 because the government determined the company had limited financial ability to pay more. Hazardous materials remain on site indefinitely under institutional controls, and the company admitted no wrongdoing.
This is what happens when corporations avoid the full cost of environmental destruction.
The Allegations: A Breakdown
| 01 | Jarboe Realty & Investment Co., Inc. is the current owner of contaminated property at 9200 Latty Avenue, Hazelwood, Missouri, part of the North St. Louis County Sites where hazardous substances including radioactive uranium processing waste were released. | high |
| 02 | The U.S. government alleged Jarboe Realty is a responsible party under CERCLA Section 107(a) and jointly and severally liable for response costs incurred and to be incurred at the Site. | high |
| 03 | Response actions taken by the U.S. Army Corps of Engineers have not removed all hazardous substances from the Jarboe property. Residual contamination remains underneath several existing structures. | critical |
| 04 | The contamination includes FUSRAP Waste Material from Manhattan Engineer District and Atomic Energy Commission uranium ore or residue processing activities, plus other chemical wastes mixed with radiologically contaminated materials. | high |
| 05 | Jarboe Realty does not admit any liability to the United States arising out of the transactions or occurrences alleged in the complaint, despite agreeing to the settlement. | medium |
| 01 | The U.S. government determined that Jarboe Realty has limited financial ability to pay for response costs incurred and to be incurred at the Site, based on reviewing financial and insurance information submitted by the company. | high |
| 02 | The settlement amount of $769,722 represents less than 1% of the $88,095,734 already spent by taxpayers on cleanup of just portions of the contaminated site. | critical |
| 03 | The remedy requires Institutional Controls including easements, covenants, and land use restrictions rather than complete removal of hazardous materials, meaning contamination will remain indefinitely. | high |
| 04 | The consent decree acknowledges that previously unknown conditions or information could later reveal that the Remedial Action is not protective of human health or the environment, reserving the right to reopen the case. | medium |
| 05 | Jarboe Realty must refrain from using the property in any manner that poses an unacceptable risk to human health or environment due to FUSRAP Waste Material exposure, but physical contamination remains in place. | high |
| 01 | The settlement allows Jarboe Realty to resolve $88 million in documented public cleanup costs by paying $769,722, with the government accepting this based on the company’s claimed limited financial ability. | critical |
| 02 | Mr. Rodney Jarboe and Mr. Jeffrey Jarboe, owners of Jarboe Realty among other companies, personally guarantee payment obligations, indicating ownership of multiple business entities. | medium |
| 03 | Financial documents submitted to the Department of Justice show intercompany loans, affiliated real estate assets, and relationships with Creative Polymers Inc. and Replications Unlimited LLC, suggesting a complex corporate structure. | medium |
| 04 | The settlement payment is conditioned on the veracity and completeness of Financial Information and Insurance Information provided to the United States, with the right to reopen if information was false or materially inaccurate. | medium |
| 05 | All amounts paid by Jarboe Realty will be credited to accounts funding FUSRAP response actions at any FUSRAP site, not restricted to the St. Louis location, meaning local cleanup receives no dedicated reimbursement. | medium |
| 01 | U.S. taxpayers bear over 99% of the $88,095,734 in documented cleanup costs for portions of the North St. Louis County Sites, with the property owner contributing less than $770,000. | critical |
| 02 | Stipulated penalties of $1,000 per day (rising to $2,500 after 30 days) plus interest will apply if Jarboe Realty fails to pay the settlement amount on time within 30 days of the Effective Date. | low |
| 03 | Additional penalties of $500 per day per noncompliance apply if Jarboe Realty fails to meet property requirements including access provisions, institutional controls, or proprietary controls. | low |
| 04 | If the United States brings an enforcement action for noncompliance, Jarboe Realty must reimburse all government costs including attorney time, potentially adding to financial burdens. | low |
| 05 | The property at 9200 Latty Avenue will be subject to permanent land use restrictions and institutional controls, potentially diminishing its economic value and utility indefinitely. | medium |
| 06 | Public funds that could have been used for community services or infrastructure were diverted to clean up corporate contamination with minimal cost recovery from the responsible property owner. | high |
| 01 | There have been releases or threats of releases of hazardous substances at the North St. Louis County Sites that pose substantial present or potential hazard to human health or the environment. | critical |
| 02 | FUSRAP Waste Material at the site includes soil, sediment, surface water, groundwater, and structures contaminated by uranium ore or residue processing activities from Manhattan Engineer District and Atomic Energy Commission operations. | critical |
| 03 | Residual contamination remains underneath several existing structures on the Jarboe property even after U.S. Army Corps of Engineers response actions, creating ongoing exposure risks. | critical |
| 04 | Institutional Controls are required to limit land, water, and resource use to minimize potential for human exposure to FUSRAP Waste Material because complete removal is not feasible or planned. | high |
| 05 | Jarboe Realty must provide the United States and its contractors access at all reasonable times to conduct any activity regarding the Remedial Action, indicating ongoing monitoring needs. | medium |
| 06 | The consent decree reserves the right to reopen if previously unknown conditions are discovered and the Remedial Action is determined not protective of human health or environment, acknowledging uncertainty about long-term risks. | high |
| 01 | The North St. Louis County Sites include properties in Hazelwood, Missouri, a developed suburban area with roads, commercial zones, and residential neighborhoods shown on site maps. | medium |
| 02 | Jarboe Realty must record a notice in land records within 15 days after the Effective Date informing all future owners that the property is contaminated, that USACE selected a remedy, and that responsible parties entered into a consent decree. | medium |
| 03 | Before transferring the property, Jarboe Realty must notify proposed buyers that USACE selected a remedy and that a consent decree requires implementation, ensuring future owners are warned of contamination. | medium |
| 04 | Proprietary Controls including easements and covenants will grant the United States, the State of Missouri, and other parties the right to access the property and enforce land use restrictions indefinitely. | medium |
| 05 | The contamination involves radioactive materials and hazardous chemicals in a populated St. Louis County area, creating potential stigma, anxiety, and long-term health concerns for nearby residents. | high |
| 06 | Over $88 million in taxpayer funds were spent on partial cleanup that could have been used for community services, schools, infrastructure, or other public benefits in St. Louis County. | high |
| 01 | Jarboe Realty settled the case without admitting any liability to the United States, avoiding formal acknowledgment of responsibility for the contamination despite being identified as a responsible party under CERCLA. | high |
| 02 | The settlement provides Jarboe Realty and its guarantors with covenants not to sue from the United States for matters addressed in the decree, capping their liability despite minimal cost recovery. | high |
| 03 | The consent decree was negotiated based on Jarboe Realty’s limited financial ability to pay, meaning the company is not sufficiently capitalized or insured to cover the true environmental costs of contamination on its property. | critical |
| 04 | The settlement is deemed fair, reasonable, and in the public interest by the court despite recovering less than 1% of documented public cleanup expenditures from the property owner. | critical |
| 05 | Residual contamination will remain under structures indefinitely, managed through institutional controls rather than complete removal, representing a compromise on full environmental restoration. | high |
| 06 | No criminal liability is mentioned in the consent decree, which focuses solely on civil cost recovery, and no individual executives are held personally liable beyond the guarantees provided by the company owners. | medium |
| 07 | The United States reserves rights to reopen the case if financial information provided was false or materially inaccurate, but the settlement otherwise resolves Jarboe Realty’s liability going forward. | medium |
| 01 | The U.S. Army Corps of Engineers spent $88,095,734 in taxpayer money cleaning up portions of the North St. Louis County Sites while Jarboe Realty pays $769,722, meaning the public absorbs over 99% of documented costs. | critical |
| 02 | The settlement amount was determined based on Jarboe Realty’s limited financial ability to pay after the United States reviewed financial and insurance information, allowing the company to cap liability well below actual costs. | critical |
| 03 | Mr. Rodney Jarboe and Mr. Jeffrey Jarboe, owners of multiple companies including Jarboe Realty, guarantee the settlement payment but the corporate entity itself has insufficient assets to pay more. | high |
| 04 | Financial documents show Jarboe Realty has relationships with Creative Polymers Inc. and Replications Unlimited LLC, with intercompany loans and affiliated real estate assets across multiple entities. | medium |
| 05 | The principle of polluter pays is significantly diluted when a property owner’s limited financial ability leads to taxpayers bearing the overwhelming majority of cleanup costs while profits from property use were privatized. | critical |
| 06 | Public funds diverted to environmental cleanup represent a subsidy for corporate activities that caused pollution, contributing to broader wealth disparity as tax dollars cover private sector liabilities. | high |
| 01 | The contamination at North St. Louis County Sites involves FUSRAP Waste Material from Manhattan Engineer District and Atomic Energy Commission uranium processing activities dating back to the 1940s-1970s, meaning decades passed before full accountability. | high |
| 02 | The consent decree was filed in April 2025 for contamination with historical roots going back over 50 years, illustrating the prolonged timeline between polluting activities and legal resolution. | high |
| 03 | A Record of Decision selecting the remedial action was signed on September 2, 2005, with a subsequent non-significant change in December 2021, showing cleanup decisions span decades. | medium |
| 04 | The U.S. Army Corps of Engineers performed response actions and incurred $88 million in costs prior to the Effective Date of the consent decree, meaning the government bore cleanup expenses for years before any settlement. | high |
| 05 | Residual contamination will remain indefinitely under institutional controls, meaning the environmental harm persists in perpetuity with no end date for risk management. | high |
| 01 | Jarboe Realty & Investment Co., Inc. will pay $769,722 to resolve liability for a site where U.S. taxpayers spent over $88 million on cleanup, with radioactive contamination remaining under buildings indefinitely. | critical |
| 02 | The settlement allows the company to avoid admitting liability, cap its financial exposure at less than 1% of public costs, and transfer future risk management to institutional controls rather than complete remediation. | critical |
| 03 | Communities in North St. Louis County must live with residual uranium contamination and land use restrictions in perpetuity while the property owner pays a fraction of cleanup costs based on claimed limited financial ability. | critical |
| 04 | This case illustrates a pattern where corporate entities linked to environmental contamination do not bear the full cost of remediation, leaving taxpayers to subsidize cleanup of private sector pollution. | critical |
| 05 | The consent decree represents the legal system processing environmental harm through economic and pragmatic filters that prioritize achievable settlements over full accountability or complete restoration. | high |
Timeline of Events
Direct Quotes from the Legal Record
“The Parties acknowledge and agree that the response actions taken by the USACE have not removed all hazardous substances present on the Settling Defendant’s property and that residual contamination remains underneath several existing structures.”
💡 This admission confirms that hazardous radioactive materials will remain on the property indefinitely, requiring long-term controls rather than complete cleanup.
“The United States has reviewed the Financial Information and Insurance Information submitted by Settling Defendant to determine whether Settling Defendant is financially able to pay response costs incurred and to be incurred at the Site. Based upon this Financial Information and Insurance Information, the United States has determined that Settling Defendant has limited financial ability to pay for response costs incurred and to be incurred at the Site.”
💡 This explains why the property owner pays less than 1% of actual cleanup costs, leaving taxpayers to absorb over $87 million in environmental expenses.
“Settling Defendant does not admit any liability to Plaintiff arising out of the transactions or occurrences alleged in the complaint.”
💡 The company resolves its legal exposure without formally acknowledging responsibility for the uranium contamination on its property.
“The USACE has incurred a total of $88,095,734 in response costs at the portions of the Site known as the Futura Property, the HISS Property, and the Latty Avenue VPs known as 10K530076, VP-01(L), VP-02(L), VP-03(L), VP-04(L), VP-05(L), VP-06(L), and VP-40A East.”
💡 This documents the massive public expenditure for cleaning up just portions of the contaminated site before any settlement was reached.
“FUSRAP Waste Material means soil, sediment, surface water, ground water, and structures contaminated as a result of Manhattan Engineer District/Atomic Energy Commission (MED/AEC) uranium ore or residue processing activities by any person or as a result of any subsequent movement of any residues or wastes from such activities to or at the Site or migration of any such contamination to, from, or at the Site.”
💡 This defines the type of contamination as radioactive uranium processing waste from Cold War-era atomic energy programs, indicating serious long-term health risks.
“Settling Defendant shall pay to USACE the principal amount of $769,722.00 as set forth herein, in payment for FUSRAP Response Costs.”
💡 This settlement amount is less than 0.9% of the $88 million already spent by taxpayers, showing the vast gap between public costs and corporate payment.
“Institutional Controls means Proprietary Controls and state or local laws, regulations, ordinances, zoning restrictions, or other governmental controls or notices that: (a) limit land, water, or other resource use to minimize the potential for human exposure to FUSRAP Waste Material at or in connection with the Site.”
💡 Because complete cleanup is not achieved, permanent restrictions on land use are needed to prevent people from being exposed to radioactive contamination.
“The United States reserves, and this Decree is without prejudice to, the right to institute proceedings in this action or in a new action seeking to compel Settling Defendant to pay the United States for additional FUSRAP Response Costs. The United States may exercise this reservation only if, at any time, conditions at the Site previously unknown to USACE are discovered, or information previously unknown to USACE is received, and USACE determines, based in whole or in part on these previously unknown conditions or information, that the Remedial Action is not protective of human health or the environment.”
💡 The government acknowledges uncertainty about whether the cleanup will actually protect people, reserving the right to seek more money if contamination proves worse than known.
“These covenants are also conditioned upon the veracity and completeness of the Financial Information and the Insurance Information provided to the United States by Settling Defendant and the financial, insurance, and indemnity certification made by Settling Defendant.”
💡 If the company lied about its finances to reduce its settlement payment, the government can reopen the case and pursue additional funds.
“Mr. Rodney Jarboe and Mr. Jeffrey Jarboe (the Guarantors) are owners of, among other companies, Jarboe Realty & Investment Co., Inc. and both Rodney and Jeffrey Jarboe agree to guarantee all payment obligations of Settling Defendant in this Consent Decree.”
💡 The owners control multiple business entities beyond Jarboe Realty, suggesting a corporate structure that may help shield assets from environmental liability.
“Settling Defendant shall refrain from using the Affected Property in any manner that USACE determines will pose an unacceptable risk to human health or to the environment because of exposure to FUSRAP Waste Material, or will interfere with or adversely affect the implementation, integrity, or protectiveness of the Remedial Action.”
💡 This requirement exists because radioactive contamination remains on the property and certain uses could expose people to dangerous levels of hazardous materials.
“Settling Defendant shall, prior to entering into a contract to Transfer any of its property that is part of the Site, or 60 days prior to a Transfer of such property, whichever is earlier: notify the proposed transferee that USACE has selected a remedy regarding the Site, that potentially responsible parties have entered into a Consent Decree requiring implementation of such remedy.”
💡 Future property buyers must be warned that the land is contaminated with radioactive waste and subject to federal cleanup requirements and restrictions.
“Except as specifically provided in Section XI (Reservation of Rights by United States), the United States covenants not to sue or to take administrative action against Settling Defendant and Guarantors pursuant to Section 107(a) of CERCLA, 42 U.S.C. § 9607(a), regarding the Site.”
💡 In exchange for the small settlement payment, the company receives protection from future lawsuits for this contamination, capping its total financial exposure.
“The Parties agree, and by entering this Consent Decree this Court finds, that this settlement constitutes a judicially-approved settlement pursuant to which Settling Defendant and Guarantors have, 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 are entitled, as of the Effective Date, to protection from contribution actions or claims as provided by Section 113(f)(2) of CERCLA.”
💡 This legal protection means other potentially responsible parties cannot sue Jarboe Realty to force them to pay more, even though the settlement is minimal.
“The United States and Settling Defendant agree, and this Court by entering this Consent Decree finds, that this Consent Decree has been negotiated by the Parties in good faith, that settlement of this matter without further litigation and without any further admission or adjudication of any issue of fact or law is appropriate and will avoid prolonged and complicated litigation between the Parties, and that this Consent Decree is fair, reasonable, and in the public interest.”
💡 The court approves a settlement recovering less than 1% of cleanup costs as serving the public interest, showing how legal pragmatism can override full accountability.
Frequently Asked Questions
You can read the case against Jarboe Realty on the Department of Justice’s website where they’ve got the consent decree, complaint, and federal register notice there: https://www.justice.gov/enrd/consent-decree/us-v-jarboe-realty-investments-co-inc
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