STATE OF INDIANA

COUNTY OF MARION

)
)
)


SS:

BEFORE THE INDIANA DEPARTMENT
OF ENVIRONMENTAL MANAGEMENT

 

COMMISSIONER OF THE DEPARTMENT
OF ENVIRONMENTAL MANAGEMENT,

Complainant,

v.

PROGRESS RAIL SERVICES CORPORATION,

Respondent.

)
)
)
)
)
)
)
)
)
)






Case No. 2014-22751-A

 

 

AGREED ORDER

 

Complainant and 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.  Pursuant to IC 13-30-3-3, entry into the terms of this Agreed Order does not constitute an admission of any violation contained herein.  Respondent's entry into this Agreed Order shall not constitute a waiver of any defense, legal or equitable, which Respondent may have in any future administrative or judicial proceeding, except a proceeding to enforce this order.

 

I.  FINDINGS OF FACT

 

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

 

2.             Respondent is Progressive Rail Services Corporation, which owns and operates a source with Plant ID No. 089-00381, located at 175 West Chicago Avenue in East Chicago, Lake County, Indiana (“Site”).

 

3.             IDEM has jurisdiction over the parties and the subject matter of this action.

 

4.             Pursuant to IC 13-30-3-3, IDEM issued a Notice of Violation (“NOV”) via certified mail to:

 

William P. Ainsworth, President

CT Corporation System

Progress Rail Services Corporation

Registered Agent

1600 Progress Drive P.O. Box1037

150 W Market Street Ste. 800

Albertville, AL 35950

Indianapolis, IN 46204

 

5.             The source is a stationary locomotive axles and wheel sets finishing plant.

 

6.             During an inspection conducted by a representative of IDEM, the following violations were found:

 

a.             Pursuant to 326 IAC 2-7 and Conditions C.1, D.1.2, and D.2.1 of Federally Enforceable State Operating Permit (FESOP) No. 089-33934-00381, issued February 19, 2014 (“Current Permit”) Respondent shall obtain a Part 70 Permit when a combined potential to emit of Volatile Organic Compounds (“VOC’s”) is equal to or greater than 25 tons per year, prior to operating the facility.

Respondent exceeded the source wide potential to emit VOC limit of less than 25 tons per twelve (12) consecutive month period by operating an unpermitted heated degreasing unit, identified as Unit A574, from February 19, 2014 to September 15, 2014, in violation of 326 IAC 2-7, and Conditions C.1, D.1.2, and D.2.1 of the Current Permit.

 

b.             Pursuant to Conditions D.5.6 of Federally Enforceable State Operating Permit (FESOP) No 089-33322-00381, issued August 7, 2013 (“Prior Permit”),  Respondent shall perform visible emission notations of the rotoblaster Unit 1255 once per day during normal daylight operations, and a trained employee shall record whether emissions are normal or abnormal.

 

7.             On September 15, 2014, Respondent removed unpermitted Unit A574 from operation.

 

8.             Respondent contends that visible emission notations of the rotoblaster Unit 1255 can only be taken from the rooftop, and could not be taken on the dates listed above (in Paragraph 6.b.) due to inclement weather conditions.  Respondent has installed a camera to obtain daily visible emission notations in real-time of rotoblaster Unit 1255 and contends that inclement weather will not impede the ability to obtain readings.

 

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

 

II.  ORDER

 

1.             This Agreed Order shall be effective (“Effective Date”) when it is approved by Complainant or Complainant’s delegate, and has been received by Respondents.  This Agreed Order shall have no force or effect until the Effective Date.

 

2.             Respondent shall comply with 326 IAC 2-7, and Conditions C.1, D.1.2, D.2.1 and D.5.6 of the Current Permit.

 

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

 

Amanda Hinkel, Compliance and Enforcement Manager

Compliance and Enforcement Branch – Mail Code 61-53

Indiana Department of Environmental Management

100 North Senate Avenue

Indianapolis, IN 46204-2251

 

4.             Respondent is assessed and agrees to pay a civil penalty of Twelve Thousand Sixty Two Dollars and Fifty Cents ($12,062.50).  Said penalty amount shall be due and payable to the Environmental Management Special Fund within thirty (30) days of the Effective Date; the 30th day being the “Due Date”.

 

5.             Civil are payable by check to the “Environmental Management Special Fund Checks shall include the Case Number of this action and shall be mailed to:

 

IDEM Office of Legal Counsel

IGCN, Rm  N1307

100 N Senate Ave

Indianapolis, IN  46204

 

6.             This Agreed Order shall apply to and be binding upon Respondent and its successors and assigns. Respondent’s signatories to this Agreed Order certify that they are fully authorized to execute this Agreed Order and legally bind the party he/she/they represent.  No change in ownership, corporate, or partnership status of Respondent[s] shall in any way alter their status or responsibilities under this Agreed Order.

 

7.             In the event that the monies due to IDEM pursuant to this Agreed Order are not paid on or before their Due Date, Respondent shall pay interest on the unpaid balance at the rate established by IC 24-4.6-1.  The interest shall be computed as having accrued from the Due Date until the date that Respondent pays any unpaid balance.  Such interest shall be payable to the Environmental Management Special Fund, and shall be payable to IDEM in the manner specified in Paragraph 5, above.

 

8.             In the event that any terms of this 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 this Agreed Order did not contain the invalid terms.

 

9.             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 is not and shall not be interpreted to be a permit or a modification of an existing permit.  This Agreed Order, and IDEM’s review or approval of any submittal made by Respondent pursuant to this Agreed Order, shall not in any way relieve Respondent of their obligation to comply with the requirements of their applicable permit or any applicable Federal or State law or regulation.

 

11.          Complainant does not, by its approval of this Agreed Order, warrant or aver in any manner that Respondent’s compliance with any aspect of this Agreed Order will result in compliance with the provisions of any permit, order, or any applicable Federal or State law or regulation.  Additionally, IDEM or anyone acting on its behalf shall not be held liable for any costs or penalties Respondent may incur as a result of Respondent’s efforts to comply with this Agreed Order.

 

12.          Nothing in this Agreed Order shall prevent or limit IDEM’s rights to obtain penalties or injunctive relief under any applicable Federal or State law or regulation, except that IDEM may not, and hereby waives its right to, seek additional civil penalties for the same violations specified in the NOV.

 

13.          Nothing in this Agreed Order shall prevent IDEM or anyone acting on its behalf from communicating with the EPA or any other agency or entity about any matters relating to this enforcement action.  IDEM or anyone acting on its behalf shall not be held liable for any costs or penalties Respondent[s] may incur as a result of such communications with the EPA or any other agency or entity.

 

14.          This Agreed Order shall remain in effect until IDEM issues a Resolution of Case letter to Respondent.

 

 

TECHNICAL RECOMMENDATION:

 

RESPONDENT:

Department of Environmental Management

 

Progress Rail Services Corporation

 

 

 

By:

 

 

By:

 

 

Rick Massoels, Deputy Director

 

Printed:

 

 

Northwest Regional Office

 

Title:

 

 

IDEM

 

 

 

Date:

 

 

Date:

 

 

 

 

 

 

 

 

 

 

 

COUNSEL FOR RESPONDENT:

 

 

 

 

 

 

 

 

 

By:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Date:

 

 

 

 

 

 

APPROVED AND ADOPTED BY THE INDIANA DEPARTMENT OF ENVIRONMENTAL

MANAGEMENT THIS

 

DAY OF

 

, 2016.

 

 

For the Commissioner

 

 

 

Signed on June 6, 2016

 

Keith Baugues, Assistant Commissioner

 

Office of Air Quality

 

Indiana Department of Environmental Management