STATE OF INDIANA ) BEFORE THE INDIANA DEPARTMENT

) SS: OF ENVIRONMENTAL MANAGEMENT

COUNTY OF MARION )

COMMISSIONER OF THE DEPARTMENT )

OF ENVIRONMENTAL MANAGEMENT, )

)

Complainant, )

)

v. ) Case No. 2001-10817-A

)

PACTIV CORPORATION, )

)

Respondent. )

The Complainant and the Respondent desire to settle and compromise this action without hearing or adjudication of any issue of fact or law, and consent to the entry of the following Findings of Fact and Order.

1. Complainant is the Commissioner ("Complainant") of the Indiana Department of Environmental Management, a department of the State of Indiana created by IC 13-13-1-1.

2. Respondent is Pactiv Corporation, which owns and operates a stationary packaging materials fabrication plant ("Respondent"), located at 1411 Pidco Drive in Plymouth, Indiana, Marshall County ("Site").

3. The Indiana Department of Environmental Management ("IDEM") has jurisdiction over the parties and the subject matter of this action.

4. Pursuant to IC 13-30-3-3, on February 21, 2002, IDEM issued a Notice of Violation via Certified Mail to:

Mr. Richard L. Wambold, President CT Corporation System, Registered Agent

Pactiv Corporation For Pactiv Corporation

533 Pine Lane 36 South Pennsylvania Street, Suite 700

Lake Forest, IL 60045 Indianapolis, IN 46204

5. An inspection, on January 24, 2001, and a records review, on October 12, 2000, were conducted at the Site by a representative of IDEM's Office of Air Quality (OAQ). The following violations were in existence or observed at the time of the records review and inspection:

A. Pursuant to condition B.11 of the Part 70 permit number T099-5969-00028, issued on June 28, 1999, this facility, a stationary packaging materials fabrication plant, must submit annual compliance certification with terms and conditions of the Part 70 permit as required by 326 IAC 2-7-6(5), by July 1 of each year to cover the time period from January 1 to December 31 of the previous year. This facility failed to submit the annual compliance certification for the year 1999 by July 1, 2000, a violation of the Part 70 permit condition.

B. Pursuant to the permit condition B.12, this facility must prepare and implement a preventive maintenance plan (PMP) within ninety (90) days of the permit issuance date and maintain it on-site as required by 326 IAC 2-7. Respondent failed to implement the PMP by the deadline, a violation of the permit condition.

C. Pursuant to the permit condition C.14, this facility must prepare emergency reduction plans (ERP) and submit them to IDEM for approval within ninety (90) days of the permit issuance date as required by 326 IAC 1-5-2. Respondent failed to submit the ERP by the deadline, a violation of the permit condition.

D. Pursuant to the permit condition C.16, this facility must prepare and implement compliance monitoring and compliance response plans (CMP) within ninety (90) days of the permit issuance and maintain them on-site as required by 326 IAC 2-7. Respondent failed to implement the CMP by the deadline, a violation of the permit condition.

6. Based on May, 2002 inspection by the OAQ's representative, Respondent has returned to compliance.

7. In recognition of the settlement reached, Respondent waives any right to administrative and judicial review of this Agreed Order.

1. This Agreed Order shall be effective ("Effective Date") when it is approved by the Complainant or her delegate, and has been received by the Respondent. This Agreed Order shall have no force or effect until the Effective Date.

2. Respondent shall comply with all terms and conditions of the Part 70 permit No. T099-5969-00028, issued to this facility on June 28, 1999; administrative amendment No. 099-11469-00028, issued on November 4, 1999; minor modification No. 099-12283-00028, issued on July 11, 2000; and all subsequent amendments and modifications.

3. All submittals required by this Agreed Order, unless notified otherwise in writing, shall be sent to:

Mr. Michael Stonik, Enforcement Case Manager

Office of Enforcement

Indiana Department of Environmental Management

100 N. Senate Avenue

P. O. Box 6015

Indianapolis, IN 46206-6015

4. Respondent is assessed a civil penalty of Eight Thousand Four Hundred Dollars ($8,400.00). Said penalty amount shall be due and payable to the Environmental Management Special Fund within 30 days of the Effective Date of this Agreed Order.

5. Civil penalty is payable by check to the Environmental Management Special Fund. Checks shall include the Cause Number of this action and shall be mailed to:

Cashier

IDEM

100 N. Senate Avenue

P. O. Box 7060

Indianapolis, IN 46207-7060

6. In the event that the civil penalty required by Order paragraph 4 of this Agreed Order, is not paid within thirty (30) days of the Effective Date of this Agreed Order, Respondent shall pay interest on the unpaid balance at the rate established by IC 24-4.6-1-101. The interest shall continue to accrue until the civil penalty is paid in full.

7. This Agreed Order shall apply to and be binding upon the Respondent, its successors and assigns. The Respondent's signatories to this Agreed Order certify that they are fully authorized to execute this document and legally bind the parties they represent. No change in ownership, corporate, or partnership status of the Respondent shall in any way alter its status or responsibilities under this Agreed Order.

8. In the event that any terms of the Agreed Order are found to be invalid, the remaining terms shall remain in full force and effect and shall be construed and enforced as if the Agreed Order did not contain the invalid terms.

9. The Respondent shall provide a copy of this Agreed Order, if in force, to any subsequent owners or successors before ownership rights are transferred. Respondent shall ensure that all contractors, firms and other persons performing work under this Agreed Order comply with the terms of this Agreed Order.

10. This Agreed Order shall remain in effect until Respondent has complied with all terms and conditions of this Agreed Order.

TECHNICAL RECOMMENDATION: RESPONDENT:

Department of Environmental Management Pactiv Corporation

By: By:

David P. McIver

Chief, Air Section Printed:

Office of Enforcement

Title:

Date: Date:

COUNSEL FOR COMPLAINANT: COUNSEL FOR RESPONDENT:

Department of Environmental Management

By: By:

Office of Legal Counsel

Department of Environmental

Management

Date: Date:

APPROVED AND ADOPTED BY THE INDIANA DEPARTMENT OF ENVIRONMENTAL MANAGEMENT THIS DAY OF , 2002.

For the Commissioner:

July 27, 2002

Felicia A. Robinson

Deputy Commissioner

for Legal Affairs