STATE OF INDIANA

COUNTY OF MARION

)
)
)


SS:

BEFORE THE INDIANA DEPARTMENT
OF ENVIRONMENTAL MANAGEMENT

 

COMMISSIONER OF THE DEPARTMENT
OF ENVIRONMENTAL MANAGEMENT,

Complainant,

v.

Henryville Membership Sanitation Corporation,

Respondent.

)
)
)
)
)
)
)
)
)
)
)






Case No. 2019-27053-W

 

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 Indiana Code (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 IC 13-13-1-1.

 

2.               Henryville Membership Sanitation Corporation (Respondent) owns/operates the Henryville Membership Sanitation Corporation – Memphis Wastewater Treatment Plant, located at 15100 Silver Maple Court, Memphis, Clark County, Indiana (the Site).

 

3.               Respondent is authorized by its National Pollutant Discharge Elimination System (NPDES) Permit No. IN0061671 (the Permit), to discharge wastewater treated in accordance with the terms and conditions of the NPDES Permit from its Wastewater Treatment Plant (WWTP) into Silver Creek from Outfall 001.

 

4.               IDEM has jurisdiction over the parties and the subject matter of this action pursuant to IC 13-30-3.

 

5.               Pursuant to IC 13-30-3-3, IDEM issued a Notice of Violation (NOV) via Certified Mail/personal service to:

 

Greg Bagshaw, President

Douglas C. Dunlevy, Registered Agent

Henryville Membership Sanitation

Henryville Membership Sanitation

Corporation

Corporation

17608 Mountain Grove Rd

Box 62, 104 E. Main St.

Henryville, IN 47126

Henryville, IN 47126

 

6.               During an investigation including an inspection on September 19, 2019 conducted by a representative of IDEM, violations were found, as described below.

 

7.               327 Indiana Administrative Code (IAC) 5-2-8(1), states the permittee shall comply with all terms and conditions of the Permit. Any permit noncompliance constitutes a violation of the Clean Water Act and IC 13 and is grounds for enforcement action by IDEM.

 

8.               Pursuant to Part I.A.1 of the Permit, the permittee is required to comply with the monitoring requirements contained in the Permit, including effluent limitations.

 

Discharge Monitoring Reports (DMRs) and Monthly Reports of Operation (MROs) submitted by Respondent for the period of July 2019 through May 2020 revealed violations of effluent limitations contained in Part I.A.1 of the Permit as follows:

A.         The weekly maximum average concentration limitation for total suspended solids (TSS) was exceeded during July through September 2019.

B.         The monthly average concentration limitation for TSS was exceeded during July through September 2019.

C.         The weekly maximum average loading limitation for TSS was exceeded August and September 2019.

D.         The monthly average loading limitation for TSS was exceeded during August and September 2019.

E.         The daily minimum limit for dissolved oxygen (DO) was not met during September 2019.

 

Respondent failed to comply with the effluent limitations from Outfall 001 contained in the Permit, in violation of Part I.A.1 of the Permit.

 

9.               Pursuant to IC 13-18-4-5, a person may not: (1) throw, run, drain, or otherwise dispose; or (2) cause, permit, or suffer to be thrown, run, drained, allowed to seep, or otherwise disposed; into any of the streams or waters of Indiana any organic or inorganic matter that causes or contributes to a polluted condition of any of the streams or waters of Indiana.

 

Pursuant to IC 13-30-2-1(1), it is unlawful for any person to discharge, emit, cause or allow any contaminant or waste, including any noxious odor, either alone or in combination with contaminants from other sources in the environment in any form that causes or would cause pollution that violates or would violate rules, standards, or discharge or emission requirements adopted by the appropriate board under the environmental management laws.

 

Pursuant to 327 IAC 2-1-6(a)(1) and Part I.A.2 of the Permit, all surface waters at all times and at all places, including the mixing zone, shall meet the minimum conditions of being free from substances, materials, floating debris, oil or scum attributable to municipal, industrial, agricultural, and other land use practices or other discharges that do any of the following:

 

a.       will settle to form putrescent or otherwise objectionable deposits;

b.       are in amounts sufficient to be unsightly or deleterious;

c.       produce color, visible oil sheen, odor, or other conditions in such degree as to create a nuisance;

d.       are in concentrations or combinations that will cause or contribute to the growth of aquatic plants or algae to such degree as to create a nuisance, be unsightly, or otherwise impair the designated uses; and

e.       are in amounts sufficient to be acutely toxic to, or to otherwise severely injure or kill aquatic life, other animals, plants, or humans.

 

During the inspection on September 19, 2019, IDEM staff observed and documented that the effluent was grayish in color and had a significant odor, and that Silver Creek had a black/gray color, significant odor, and solids deposited in the bed; in violation of IC 13-18-4-5, IC 13-30-2-1(1),  327 IAC 2-1-6(a)(1), and Part I.A.2 of the Permit.

 

10.           Pursuant to 327 IAC 5-2-8(11)(C) and Part II.C.3 of the Permit, the permittee shall orally report information on any of the following types of noncompliance within twenty-four (24) hours from the time the permittee becomes aware of such noncompliance:

i.        Any unanticipated bypass that exceeds any effluent limitation in the permit.

ii.        Violation of a maximum daily discharge limitation for any of the pollutants listed by the commissioner in the permit to be reported within twenty-four (24) hours.

iii.       Any noncompliance that may pose a significant danger to human health or the environment. Reports under this item shall be made as soon as the permittee becomes aware of the noncomplying circumstances to (888) 233-7745.

iv.       Any upset that exceeds any effluent limitation in the permit.

 

A written submission shall also be provided within five (5) days of the time the permittee becomes aware of the circumstances.

 

Respondent failed to orally report within 24 hours from the time Respondent became aware of the noncompliance observed by IDEM on September 19, 2019 and failed to provide a written submission within five (5) days Respondent become aware of the circumstance, in violation of 327 IAC 5-2-8(11)(C) and Part II.C.3 of the Permit.

 

11.           Pursuant to 327 IAC 5-2-8(4) and Part II.A.3 of the Permit, the permittee shall submit any information that permittee knows or has reason to believe would constitute cause for modification or revocation and reissuance of the permit at the earliest time such information becomes available, such as plans for physical alterations or additions to the facility that could significantly change the nature of, or increase the quantity of, pollutants discharged.

 

During the inspection on September 19, 2019, IDEM staff learned that Respondent had been accepting industrial waste at an unmonitored dumping station/manhole. Samples of the waste were not taken and the volume of dumps were not recorded. The Permit does not authorize Respondent to accept industrial flow to the WWTP. Respondent failed to provide information regarding the industrial waste dumped at the unmonitored dumping station/manhole, in violation of 327 IAC 5-2-8(4) and Part II.A.3 of the Permit.

 

12.           Pursuant to 40 CFR, Part 136 and Part I.B.5 of the Permit, the analytical and sampling methods used shall conform to the current version of 40CFR, Part 136, unless otherwise specified within this permit.

 

During the inspection on September 19, 2019, IDEM staff determined the Respondent was not following an approved method for CBOD, in violation of 40 CFR, Part 136 and Part I.B.5 of the Permit.

 

13.           Pursuant to 327 IAC 3-2-1.5 and Part II.A.15 of the Permit, no person shall cause or allow the construction, installation, or modification of any water pollution treatment/control facility or sanitary sewer without a valid construction permit issued by the commissioner.

 

Pursuant to 327 IAC 3-2-2, construction shall not commence until all necessary state approvals and permits are obtained.

 

On October 28, 2019, IDEM determined that Respondent had begun construction at the Site before applying for a construction permit, in violation of 327 IAC 3-2-1.5, Part II.A.15 of the Permit, and 327 IAC 3-2-2.

 

A Construction Permit Approval No. 23454 was issued on April 20, 2020 for a Lagoon Screening Facility Project.

 

14.           On October 4, 2019, IDEM sent an Inspection Summary Letter to Respondent outlining violations at the WWTP. On September 20 and 21, 2019, Respondent removed waste sediments located in Silver Creek by Outfall 001. On September 24, 2019, Respondent bolted down the unmonitored dumping station/manhole where industrial waste had been accepted. The other violations noted above continue at the WWTP.

 

15.           Orders of the Commissioner are subject to administrative review by the Office of Environmental Adjudication under IC 4-21.5; however, in recognition of the settlement reached, Respondent acknowledges notice of this right and 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 adopted by Complainant or Complainant’s delegate (as evidenced by signature), and the adopted Agreed Order has been received by Respondent. This Agreed Order shall have no force or effect until the Effective Date. In addition to addressing the violations cited in Paragraphs 8 through 13 of the Findings of Fact above, this Agreed Order also addresses any additional violations of these same rules that may have occurred subsequent to the issuance of the NOV and prior to the Effective Date.

 

2.               Respondent shall comply with rules and statutes listed in the findings above at issue.

 

3.               Respondent shall immediately cease accepting industrial waste.

 

4.               Immediately upon the Effective Date, Respondent shall orally report noncompliance in accordance with 327 IAC 5-2-8(11)(C) and Part II.C.3 of the Permit within 24 hours from the time of discovery and provide a written submission within five (5) days as instructed on State Form 52415.

 

5.               Within 30 days of the Effective Date, Respondent shall develop and submit to IDEM for approval a Compliance Plan (CP) which identifies actions that Respondent will take to achieve and maintain compliance with its Permit, specifically including the actions Respondent will take to:

A.    Achieve and maintain compliance with effluent limitations contained in the Permit, specifically TSS and DO;

B.    Comply with reporting requirements of the permit; and

C.    Provide adequate influent information.

 

The CP shall include an implementation and completion schedule, including specific milestone dates.

 

Respondent shall notify IDEM in writing of variations to the approved CP.

 

6.               Respondent shall, after completion of the work required pursuant to the approved CP from Paragraph 5 above, demonstrate 12 consecutive months of compliance (Compliance Demonstration) with the terms and conditions of the Permit.

 

7.               In the event that violation(s) occur during the Compliance Demonstration, within 30 days of the violation, Respondent shall develop and submit to IDEM, for approval, an Additional Action Plan (AAP) which identifies the additional actions that Respondent will take to achieve and maintain compliance with the terms and conditions of the Permit. The AAP, if required, shall include an implementation and completion schedule, including specific milestone dates.

 

8.               The plans required by Order Paragraphs 5 and 7 are subject to IDEM approval. In the event IDEM determines that any plan or any modified plan submitted by Respondent is deficient or otherwise unacceptable, Respondent shall revise and resubmit the plan to IDEM in accordance with IDEM’s notice. After three submissions of such plan by Respondent, IDEM may seek civil enforcement of this Order.

 

9.               Respondent, upon receipt of written notification from IDEM, shall immediately implement the approved plan(s) and adhere to the milestone dates therein. The approved CP and AAP shall be incorporated into the Agreed Order and shall be deemed an enforceable part thereof.

 

Following completion of the actions included in the AAP, the 12 month Compliance Demonstration, as specified in Paragraph 6 above, will re-start. Failure to achieve compliance at the conclusion of work under an AAP may subject Respondent to additional enforcement action.

 

10.           Beginning with the first calendar quarter following the Effective Date, Respondent shall submit to IDEM a written progress report within 10 days of the end of each calendar quarter, which identifies the compliance actions implemented during each quarter ending on March 31st, June 30th, September 30th, and December 31st until completion of the CP or AAP.

 

11.           Beginning on the Effective Date and continuing until the successful completion of the approved CP, Respondent shall, at all times, operate its existing WWTP as efficiently and effectively as possible.

 

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

 

David Koehler, Enforcement Case Manager

Office of Water Quality – IGCN 1255

Indiana Department of Environmental Management

100 North Senate Avenue

Indianapolis, IN 46204-2251

 

13.           Respondent is assessed and agrees to pay a civil penalty of Forty Nine Thousand Eight Hundred Fifty Dollars ($49,850). Said penalty amount shall be due and payable to the “Environmental Management Special Fund” within 30 days of the Effective Date, the 30th day being a “Due Date.”

 

14.           In the event the terms and conditions of the following paragraphs are violated, IDEM may assess and Respondent shall pay the corresponding stipulated penalty:

 

Paragraph

Violation

Stipulated Penalty

3

Failure to cease industrial waste acceptance.

$500 per violation.

4

Failure to orally report noncompliance and/or submit a written report within 5 days.

$150 per week late, or part thereof.

5

Failure to submit the CP within the required time period.

$250 per week late, or part thereof.

6

For violations of terms and conditions of the Permit during the Compliance Demonstration.

$400 per violation

7

Failure to submit the AAP, if required, within the given time period.

$500 per week late, or part thereof.

8

Failure to modify the CP and/or AAP, if required, within the given time period.

$500 per week late, or part thereof.

9

Failure to meet and/or implement any milestone date set forth in the approved CP or AAP.

$500 per week late, or part thereof.

10

Failure to submit to IDEM a written progress report within 10 days of each calendar quarter.

$150 per week late, or part thereof.

11

Failure to operate the WWTP as efficiently and effectively as possible prior to Compliance Demonstration.

$200 per violation.

 

15.           Stipulated penalties shall be due and payable no later than the 30th day after Respondent receives written notice that IDEM has determined a stipulated penalty is due, the 30th day being a “Due Date.” IDEM may notify Respondent at any time that a stipulated penalty is due. Failure to notify Respondent in writing in a timely manner of a stipulated penalty assessment shall not waive IDEM’s right to collect such stipulated penalty or preclude IDEM from seeking additional relief against Respondent for violation of this Agreed Order. Neither assessment nor payment of stipulated penalties shall preclude IDEM from seeking additional relief against Respondent for a violation of this Agreed Order. Such additional relief includes any remedies or sanctions available pursuant to Indiana law, including, but not limited to, civil penalties pursuant to IC 13-30-4.

 

16.           Civil and stipulated penalties are payable by check to the “Environmental Management Special Fund.” Checks shall include the Case Number 2019-27053-W of this action and shall be mailed to:

 

Indiana Department of Environmental Management

Accounts Receivable

IGCN, Room 1340

100 North Senate Avenue

Indianapolis, Indiana 46204

 

17.           This Agreed Order shall apply to and be binding upon Respondent, 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.

 

18.           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 and any accrued interest 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. The interest shall continue to accrue on the first of each month until the civil penalty and any interest accrued are paid in full. Such interest shall be payable to the “Environmental Management Special Fund,” and shall be payable to IDEM in the manner specified above.

 

19.           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.

 

20.           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.

 

21.           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 permits or any applicable Federal or State law or regulation.

 

22.           Complainant does not, by his 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.

 

23.           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 Notice of Violation.

 

24.           Nothing in this Agreed Order shall prevent IDEM (or anyone acting on its behalf) from communicating with the United States Environmental Protection Agency (US 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 US EPA or any other agency or entity.

 

25.           This Agreed Order shall remain in effect until Respondent has complied with the terms and conditions of this Agreed Order and IDEM issues a Resolution of Case (close out) letter to Respondent.

 

REMAINDER OF PAGE INTENTIONALLY LEFT BLANK.

 

TECHNICAL RECOMMENDATION:

RESPONDENT:

Department of Environmental Management

Henryville Membership Sanitation Corporation

 

By: __________________________

By: ________________________

Samantha K. Groce, Chief

 

Water Enforcement Section

 

Surface Water, Operations &

Printed: _____________________

Enforcement Branch

 

Office of Water Quality

Title: _______________________

 

 

Date: ________________________

Date: _______________________

 

 

COUNSEL FOR RESPONDENT:

 

 

 

By: ________________________

 

 

 

Date: ______________________

 

APPROVED AND ADOPTED BY THE INDIANA DEPARTMENT OF ENVIRONMENTAL

MANAGEMENT THIS ___________ DAY OF ________________, 20___.

 

 

For the Commissioner:

 

 

Signed on November 6, 2020

 

Martha Clark Mettler

 

Assistant Commissioner

 

Office of Water Quality