Justice Department ready to take claims from families of Sept. 11 victims

Families of Sept. 11 victims could receive at least $250,000 from the federal government's special compensation fund under final rules published Wednesday in the Federal Register.

The Sept. 11 Victim Compensation Fund of 2001 was established to provide compensation to the victims of the terrorist attacks or the beneficiaries of victims killed as a result of the attacks. Congress created the fund in Title 4 of the 2001Air Transportation Safety and System Stabilization Act (H.R. 2926), which was signed into law in September. According to the Justice Department, the fund is an alternative to filing civil actions against airlines for damages sustained as a result of the terrorist-related aircraft crashes.

"I believe that, when compared to the alternative of a protracted, uncertain lawsuit, the fund provides a vastly preferable method of assuring fair compensation to all eligible claimants," Kenneth Feinberg, the special master appointed to oversee the fund's activities, wrote in a preface to the notice.

The final rule includes a point from the interim rule that drew criticism from some survivors--a legal requirement that awards be offset by amounts received from pensions, insurance and charities.

"I have no power to usurp congressional mandates," wrote Feinberg. "Rather, my goal has always been to provide the most fair and appropriate compensation within parameters established by Congress."

However, tax refunds, Social Security benefits, workers' compensation benefits and 401K retirement savings will be excluded from the formula used to calculate compensation amounts. Feinberg is setting up an advisory service so victims and survivors can assess how other sources of compensation will affect what they will get from the Sept. 11 fund before they file claims.

Claims are to be resolved within 120 days of application and payments are to be authorized within 20 days of that decision, the notice said. All claims must be filed by Dec. 21, 2003.

"This fund represents the best spirit and compassion of the American people," Feinberg wrote. "I believe America is unique in creating such a fund that expresses the compassion, concern and determination of its people in coming to the aid of the victims of Sept. 11. I remain personally committed to ensuring that every claimant is compensated fairly."