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Creative Compensation - Maybe 'In My Backyard'

NCJ Number
99285
Journal
Negotiation Journal Volume: 1 Issue: 3 Dated: (July 1985) Pages: 197-203
Author(s)
H Raiffa
Date Published
1985
Length
7 pages
Annotation
This paper presents a hypothetical speech given at a public meeting of a hypothetical town to persuade the residents to enter negotiations with a company desiring to locate a hazardous waste dump in or near the town.
Abstract
The speech is designed to persuade town residents that the location of the hazardous waste site in their jurisdiction would not be an unacceptable risk per se, given the compensation that could be obtained through negotiations with the involved company. The presenter also suggests strategies for the townspeople to use in the negotiations; for example, it is suggested that compensation ensure that residents are better off in net health, safety, and financial security than prior to the presence of the hazardous waste site. Further, it is suggested that objecting residents who would live close to the site be given the option to move, with compensation consisting of a 10- to 25-percent increase over the value of their homes without the existence of the waste site. The speech identifies other issues that should be involved in the negotiations, such as the obtaining of credible assessments about the health hazards posed as well as the decrease in health risk that could be secured through various compensation packages. Other negotiation issues mentioned are the provision of guarantees the developer will honor a negotiation contract and a guarantee that real estate values will not be permitted to decline. Overall, the speech suggests that the townspeople can obtain a windfall of benefits if they properly negotiate the location of the waste site in their town.

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