The Queensland government has reached a $30 million settlement and will apologise to the Palm Island community following a landmark racial discrimination case.
The Federal Court found in December 2016 that police were racist in their dealings with the far north Queensland community in 2004 in response to riots that followed Mulrunji Doomagee's death in custody.
Jackie Trad, Minister for Aboriginal and Torres Strait Islander Partnerships, on Tuesday announced it had reached a $30 million settlement scheme with the 447 claimants, pending the court's approval.
"We do know that the events of the Palm Island riot so many years ago now have left a big scar on that community," she said.
"The money will allow many people who have felt aggrieved, who the Federal Court has found have substance to their grievances, to move on with their lives.
"We will now endeavour to work with the Palm Island community on a fitting way to recognise this historic apology."
The funds will cover damages, legal costs and the delivery of an apology.
Mulrungi died, aged 36, in a Palm Island police cell on November 19, 2004 after being locked up for being drunk and a public nuisance.
Rioting broke out a week later when autopsy results were announced and police denied responsibility.
Indigenous activist Lex Wotton was jailed for inciting the riots that led to the local police station and home of Mulrunji's arresting officer Chris Hurley being burnt to the ground.
Mr Wotton and two of his family members were later compensated $220,000 for the pain they endured during early morning raids.
Reached on Tuesday, he said residents had sought a $40 million settlement, but that he was relieved the proceedings were over.
"How people react to it, that's up to them," he told AAP.
"The only process that can slow it down if someone wants to go off on his own, thinks he's worth more than what's being given."