NORTH ATTLEBORO - The town is in line to receive almost $560,000 through the settlement of a statewide class-action lawsuit against major oil companies.

North Attleboro is among 80 communities that joined the class-action lawsuit, which alleged a gasoline additive has caused problems because it can seep into drinking water supplies.

The chemical is methyl tertiary butyl ether - known as MTBE - an additive first put in gasoline during the 1980s in response to the U.S. Environmental Protection Agency's program to reduce air pollution.

The lawsuit alleged that oil companies used the additive even though they knew MTBE could cause groundwater contamination if it leaked from underground storage tanks.

Town officials had announced previously that the town was expecting to receive more than $500,000 from the settlement, but the exact figure had not been determined. Now that details of the settlement have been finalized, Representative Town Meeting members will be asked to accept the settlement money at January's special town meeting.

RTM members will be asked to place the money in the water enterprise fund, which is used to pay for all costs related to the town's water system. The money will be used by the department of public works for an inspection, monitoring and remediation program, as well as a new water source development program to preserve the quality of the town's drinking water.

North Attleboro's wells tested for small amounts of the gasoline additive in 2001. However, the amount detected was far below the levels listed for concern in water safety guidelines.

Should the town detect levels of MTBE in a different well in the future, the oil companies will be responsible for a percentage of any cleanup costs, Public Works Director Mark Hollowell said.

AMY DeMELIA can be reached at 508-236-0334 or at ademelia@thesunchronicle.com.