Ameren to pay big in settlement

Intro: After nearly two years of debate and countless rejected offers, Ameren UE and Attorney General Jay Nixon finally reached a settlement over the 2005 Taum Sauk disaster.

Brandon Smith tells us how Ameren will pay.

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While the amount of the settlement is close to 200 million dollars, Ameren continues to say it will not pass the cost onto its ratepayers.

Ameren spokesperson Susan Gallagher said the settlement cost as well as building costs for a new reservoir will come from the same place.

Actuality: AMEREN1.WAV

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Description: Essentially insurance is expected to cover substantially all the settlement cost and also the cost of rebuilding the upper reservoir at Taum Sauk.

Ameren would not release the name of its insurance company. Rebuilding the reservoir is expected to finish in Fall of 2009.

Reporting from the State Capitol, I'm Brandon Smith.

Intro: Attorney General Jay Nixon and Ameren UE reached a final settlement on the Taum Sauk disaster. Even though Nixon stressed costs for ratepayers not be raised, Ameren says there is no guarantee there won't be any changes to the rates.

Brandon Smith has more from Jefferson City.

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The final settlement cost reached nearly 200 million dollars.

But Ameren spokesperson Susan Gallagher said Ameren will not raise rates to cover the cost of the settlement or the rebuilding of the reservoir.

Actuality: AMEREN2.WAV

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Description: If in fact we make enhancements to the plant, those sorts of things are, or any cost incurred that don't have anything to do with this Taum Sauk breach but have to do with the operation of the plant, those costs might be included.

Gallagher said the bulk of the settlement will be paid be insurance.

Reporting from the State Capitol, I'm Brandon Smith.

Intro: Now that a settlement has been reached between the state and AmerenUE over the Taum Sauk disaster, plans will move forward to rebuild the reservoir.

Brandon Smith has more from Jefferson City.

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Ameren plans to complete the new Taum Sauk reservoir by the fall of 2009.

Ameren spokesperson Susan Gallagher said the reservoir will be state of the art and include a large number of safety features...a huge issue under the collapse of the old reservoir.

Actuality: AMEREN3.WAV

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Description: We've also, by the way, created a dam safety program that is extremely robust, one of the most robust in the nation I believe, with highly experienced engineers.

Gallagher said the program included training for the people who will be running the reservoir.

Reporting from the State Capitol, I'm Brandon Smith.