CHARLOTTESVILLE -- The administrator of the Hokie Spirit Memorial Fund has proposed a payout plan for the $7.1 million raised to assist victims of the Virginia Tech shootings and their families.

But some families contend the payments are inadequate and that Tech and the state will have to do more to address their needs. They also want more time to make decisions about proposals for the Hokie Spirit fund.

Kenneth Feinberg, an attorney serving as administrator of the fund, sent victims and families a letter this week proposing the plan and recommending a Sept. 15 deadline for claims to be filed.

Under Feinberg's proposal, families of the 32 students and faculty killed in the shootings would have a choice of receiving a $150,000 payment or dividing that amount between a cash payment and an endowed scholarship in the name of their loved one. Families also could propose alternative payment plans.

The proposal calls for $75,000 payments to shooting victims who were hospitalized for 15 days or more and $25,000 payments to victims hospitalized between three and 14 days. In each case, victims also could choose to divide the amounts between cash payments and scholarships.

Victims who suffered less serious physical injuries would be eligible for $8,000 payments, according to Feinberg's letter. Those suffering from psychological trauma would be eligible for free counseling from Tech's Cook Counseling Center.

Feinberg said the timeline -- which calls for a final plan to be in place by Aug. 15 and all payment decisions to be made by Oct. 31 -- was designed with the families in mind. The idea is to get the money distributed to the families as soon as possible, he said.

"I welcome hearing from the families concerning the timeline," said Feinberg, who oversaw compensation to victims of the Sept. 11, 2001, terrorist attacks. "If they think it is too abrupt or too brief, I'm open to suggestions."

Feinberg has arranged to meet with families Friday in Richmond to discuss the proposal.

Joseph Samaha, whose daughter Reema was killed in the shootings, criticized the proposal Wednesday during remarks to a state panel investigating the shootings. He said Tech's attempts to communicate with families about the use of the funds "lack leadership [and] organization."

Several families of shooting victims conferred privately Wednesday to discuss the payout proposal and other issues related to the shootings.

In a statement, relatives called for "a realistic timeline" for deciding how to distribute the Hokie Spirit Fund dollars. But that money alone won't meet their needs, the statement said.

"Beyond working out the timeline and the process, the University and the Commonwealth will need to address the ongoing needs of victims and families, which will exceed the resources of the Hokie Spirit Memorial Fund," the statement said.

Thomas Fadoul, a lawyer working with some of the families, said relatives were not demanding money from the state. But, he said, "it's up to the state to produce an answer to this question."

Roger O'Dell of Roanoke County, whose son Derek was wounded in the shootings, questioned the decision of Tech officials to cut off donations to the Hokie Spirit Fund in August.

"I felt the fund should remain open for at least a year or two," said O'Dell, citing the flood of donations that has poured in to the fund.

Only about $1 million in the Hokie Spirit fund has been designated by donors for specific purposes. The remainder will be paid out to victims and families.

O'Dell also raised concerns about the proposed deadlines for filing claims, saying, "The artificial deadline is much too soon."

Staff writer Matt Chittum contributed information to this report.

mike.sluss@roanoke.com (804) 697-1585

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