STATE OF INDIANA

COUNTY OF MARION

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BEFORE THE INDIANA DEPARTMENT
OF ENVIRONMENTAL MANAGEMENT

 

COMMISSIONER OF THE DEPARTMENT
OF ENVIRONMENTAL MANAGEMENT,

Complainant,

v.

MERITOR HEAVY VEHICLE SYSTEMS, LLC,

Respondent.

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Case No. 2018-25057-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 Meritor Heavy Vehicle Systems, LLC (“Respondent”), which owns and operates the source with Plant ID No. 063-00046 located at 849 Whitaker Rd in Plainfield, Hendricks 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:

 

Chris Villavarayan, President

CT Corporation System, Registered Agent

Meritor Heavy Vehicle Systems, LLC

Meritor Heavy Vehicle Systems, LLC

2135 W Maple Rd

150 W Market St, Suite 800

Troy, MI 48084

Indianapolis, IN 46204

 

5.             Respondent owns and operates a stationary transmission and brake rebuilding source.

 

6.             During inspections on January 25 and 31, 2018 conducted by a representative of IDEM, the following violations were found:

 

a.       Pursuant to 326 IAC 2-8-3(c)(3)(A), Respondent is responsible for including within a permit application information describing all emissions of regulated air pollutants emitted from any emission unit, as well as such additional information related to the emissions of air pollutants as is sufficient to verify which requirements are applicable to the source. 

Respondent failed to describe within their air permit application the material handling emissions related to the abrasive blasting operations, in violation of IAC 2-8-3(c)(3)(A).

b.       Pursuant to 326 IAC 8-2-9(f)(1) and Federally Enforceable State Operating Permit No. 063-38993-00046 (“FESOP 38993”) Condition D.2.1(b)(1), Respondent is responsible for storing all VOC-containing coatings, thinners, coating-related waste, and cleaning materials in closed containers.

 

Respondent failed to store all VOC-containing coatings, thinners, coating-related waste, and cleaning materials in closed containers, in violation of 326 IAC 8-2-9(f)(1) and FESOP 38993 Condition D.2.1(b)(1).

 

c.              Pursuant to Federally Enforceable State Operating Permit No. 063-33654-00046 (“FESOP 33654”) Conditions D.2.8(a) and D.2.8(b) and Federally Enforceable State Operating Permit No. 063-35480-00046 (“FESOP 35480”) Conditions D.2.8(a) and D.2.8(b), Respondent is responsible for taking and maintaining records of daily, weekly, and monthly overspray observations and inspections for PB-1, PB-2, and PB-5.

 

Respondent failed to maintain multiple daily filter inspection and monthly overspray inspection records in 2015 for PB-1, PB-2, and PB-5, in violation of FESOP 33654 Conditions D.2.8(a) and D.2.8(b) and FESOP 35480 Conditions D.2.8(a) and D.2.8(b).

 

d.             Pursuant to 326 IAC 9-1-2(a)(3) and FESOP 38993 Condition D.4.4, Respondent shall not operate burn-off ovens, unless the waste gas stream is burned in one (1) of the following (a) Direct-flame afterburner or (b) Secondary chamber.

 

Respondent failed to operate the burn-off ovens in such a way that the smoke from the burn-off oven was optimally captured by the secondary chamber, in violation of 326 IAC 9-1-2(a)(3) and FESOP 38993 Condition D.4.4.

 

e.             Pursuant to Federally Enforceable State Operating Permit No. 063-36524-00046 (“FESOP 36524”) Condition B.9, Respondent is responsible for submitting an Annual Compliance Certification, detailing compliance for the calendar year, by no later than July 1 of the following year.

 

Respondent submitted the Annual Compliance Certification for the year 2016 on July 11, 2017, in violation of FESOP 36524 Condition B.9.

 

7.             Respondent has begun storing all VOC-containing materials at issue in closed containers.

8.             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 Respondent.  This Agreed Order shall have no force or effect until the Effective Date.

 

2.             Respondent shall comply with 326 IAC 2-8-3(c)(3)(A), 326 IAC 8-2-9(f)(1), 326 IAC 9-1-2(a)(3), and the terms of its current applicable operating permit.

 

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

 

Clare Parker, Case 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 Nine Thousand Dollars ($9,000.00).  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 penalties 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 they represent.  No change in ownership, corporate, or partnership status of Respondent shall in any way alter its 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 its obligation to comply with the requirements of its 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 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 Respondent has complied with all terms and conditions of this Agreed Order and IDEM has issued a Resolution of Case letter to Respondent.

 

 

TECHNICAL RECOMMENDATION:

 

RESPONDENT:

Department of Environmental Management

 

Meritor Heavy Vehicle Systems, LLC

 

 

 

By:

 

 

By:

 

 

David P. McIver, Chief

 

Printed:

 

 

Enforcement Section

 

Title:

 

 

Office of Air Quality

 

 

 

Date:

 

 

Date:

 

 

 

 

 

 

 

 

 

 

 

COUNSEL FOR RESPONDENT:

 

 

 

 

 

 

 

 

 

By:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Date:

 

 

 

 

 

 

APPROVED AND ADOPTED BY THE INDIANA DEPARTMENT OF ENVIRONMENTAL

MANAGEMENT THIS

 

DAY OF

 

, 2018.

 

 

For the Commissioner

 

 

 

Signed on December 6, 2018

 

Matthew Stuckey, Deputy Assistant Commissioner

 

Office of Air Quality

 

Indiana Department of Environmental Management