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STATE OF |
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BEFORE THE INDIANA
DEPARTMENT |
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COMMISSIONER OF THE
DEPARTMENT Complainant, v. IN DUCTILE, LLC Respondent. |
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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.
I.
FINDINGS OF FACT
1.
Complainant is
the Commissioner (“Complainant”) of the Indiana Department of Environmental
Management (“IDEM”), a department of the State of
2.
Respondent is IN
Ductile, LLC, a/k/a Indiana Ductile, LLC (“Respondent”), which owns and
operates a stationary ductile iron foundry with United States Environmental
Protection Agency (EPA) I.D. No. 057-00002, Title V Permit No. 057-13975-00002, issued on August 28, 2003,
(“Permit”), located at 1600 South 8th Street
in Noblesville, Hamilton 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:
a. on September 27, 2002, in Case No.
2002-11517-A, to:
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Mr.
Richard Reece, President |
Indiana
Ductile, LLC |
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Indiana
Ductile, LLC |
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b. on
February 8, 2006, in Case Nos. 2004-15007-A, 2004-15008-A, 2004-15056-A,
2005-15009-A, and 2005-15010-A, to:
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Mr.
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Mr.
Roger L. Mears, Registered Agent |
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IN
Ductile, LLC. |
for
IN Ductile, LLC. |
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c. on February 27, 2006, in Case No.
2006-15369-A, to:
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Mr.
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Mr.
Roger L. Mears, Registered Agent |
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IN
Ductile, LLC. |
for
IN Ductile, LLC. |
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d. on April 21, 2006, in Case No.
2006-15448-A, to:
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Mr.
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Mr.
Roger L. Mears, Registered Agent |
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IN
Ductile, LLC. |
for
IN Ductile, LLC. |
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5.
During an
investigation conducted by a representative of IDEM, the following violations
were found:
a. Pursuant to 326 IAC 6-4-2(4), no source shall allow fugitive
dust to visibly cross the boundary or property line of a source.
During the inspection on May 28, 2003, this source
allowed fugitive emissions from the ductile inoculation process, exhausted
through Stack 001, to cross property lines at ground level in violation of 326
IAC 6-4-2(4); and
During an inspection on January 25, 2006, this source
allowed fugitive emissions originating from the melting facility’s roof fans,
to cross property lines at ground level in violation of 326 IAC 6-4-2(4).
b. Pursuant to Condition No. C.10(a)(5) of Permit No.
057-10672-00002, issued on October 10, 1999, (“Previous Permit”), Respondent
shall prepare a Compliance Response Plan (“CRP”) by February of 2000.
Respondent failed to prepare a CRP within the
required period, in violation of the Previous Permit.
c. Pursuant to Condition Nos. B.11(a); D.1.3; D.2.3; and D.3.3
of the Permit, Respondent shall prepare a Preventive Maintenance Plan (“PMP”)
within thirty (30) days of the Permit issuance, which was by October of 2003,
when the respective D-Sections of the Permit require it.
Respondent failed to prepare a PMP within the
required period in violation of the Permit conditions.
d. Pursuant to Condition Nos. D.1.7 and D.1.16(b) of the
Previous Permit; and pursuant to Condition Nos. D.1.5(a); D.1.6(c); D.2.6(a);
D.2.10(a); D.3.5(a); and D.3.9(a) of the Permit, Respondent shall perform
visible emissions (“VE”) notations throughout the facility and to maintain
records of VE notations to document compliance on the basis required by the
above-noted permits.
Respondent failed to perform the required VE notations and to maintain records
of VE notations to document compliance, in violation of conditions of the
above-referenced permits.
e. Pursuant to Condition Nos. D.1.8 and D.1.16(c) of the Previous
Permit, Respondent shall perform inspections of all tundish ladle lids
controlling the magnesium treatment/ inoculation operation each calendar quarter,
and to maintain records of the quarterly inspections results to document
compliance.
Respondent failed to perform the inspections and to
maintain the records, in violation of conditions of the Previous Permit.
f. Pursuant to Condition Nos. D.1.10; D.1.11; and D.1.16(c) of
the Previous Permit; and pursuant to Condition Nos. D.2.7; D.2.8; and
D.2.10(b), and (c) of the Permit, Respondent shall record the total static
pressure drop across the wet collectors used throughout the facility; to
perform the inspections of the wet collectors each calendar quarter; and to
maintain records of the inspections results to document compliance.
Respondent failed to record the total static pressure
drop, to perform the inspections, and to maintain the records, in violation of
conditions of the above-referenced permits.
g. Pursuant to Condition Nos. D.1.13; D.1.14; and D.1.16(c) of
the Previous Permit; and pursuant to Condition Nos. D.3.6; D.3.7; and D.3.9(a)
and (c) of the Permit, Respondent shall record the total static pressure drop
across the baghouse controlling multiple operations at this facility; to
perform inspections of the baghouse each calendar quarter; and to maintain
records of the quarterly inspections results to document compliance.
Respondent failed to record the total static pressure
drop, to perform the inspections, and to maintain the records, in violation of
conditions of the above-referenced permits.
h. Pursuant
to Condition Nos. D.1.6(a)(2) and (b) of
the Permit, Respondent shall:
(i) keep records of total: (A) propane usage; and (B) binder;
volatile organic compounds (“VOC”); and catalyst content and usage to document
compliance with the limitations to avoid the 326 IAC 8-1-6 BACT applicability;
and
(ii) submit quarterly VOC compliance reports, not later than
thirty (30) days after the end of the reportable quarter.
Respondent failed to keep the required records for
the years of 2004 and 2005 and to submit the quarterly: (A) propane usage; and
(B) binder, VOC, and catalyst content and usage reports, in violation of the
Permit.
i. Pursuant to Condition Nos. D.1.4; D.2.4(a); and D.2.4(b)
of the Permit, Respondent shall perform
PM/PM10 testing within 180 days after permit issuance.
Respondent
failed to perform the required PM/PM10 testing within 180 days after
the Permit issuance, in violation of the Permit.
6.
Records reviews were performed for this Site by a representative of IDEM on July 1, 2004, and on
July 1, 2005. The records reviews
revealed the following violations:
a. Pursuant
to Condition B.10(a) of the Permit, Respondent must submit an Annual Compliance
Certification (“ACC”) report which addresses the status of the source’s
compliance with the terms and conditions of the Part 70 permit as required by
326 IAC 2-7-6 by July 1 of each year to cover the time period from January 1 to
December 31 of the previous year.
Respondent
failed to submit the ACC for the year of 2003 by July 1, 2004 and the ACC for
the year of 2004 by July 1, 2005, in violation of the Permit.
7.
A Last Chance
Letter (“LCL”) in the Case No. 2002-11517-A that offered entering into an
Agreed Order was mailed on January 16, 2003, via certified mail to:
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Mr.
Richard Reece, President |
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Indiana
Ductile, LLC |
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8.
On April 14,
2006, Respondent submitted to IDEM:
a. the 2003 and 2004 ACCs; and
b. the
quarterly reports of total propane usage; and binder, VOC, and catalyst content
and usage to document compliance with the Title V Permit conditions D.1.1 and
D.1.6, setting the limitations to avoid the 326 IAC 8-1-6 BACT applicability,
for the 3rd and 4th quarters of 2003, 1st through 4th quarters of 2004, and 1st
though 4th quarters of 2005.
9.
On March 16,
2007, Respondent submitted an application for Significant Permit Revision of
the Permit to make changes necessary to accurately reflect the equipment and
current operations at the Site.
10.
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.
Compliance with
the terms of this Agreed Order shall resolve all the violations cited in the
NOVs for Case Nos. 2002-11517-A, 2004-15007-A, 2004-15008-A, 2004-15056-A,
2005-15009-A, 2005-15010-A, 2006-15369-A, and 2006-15448-A.
3.
Respondent shall
comply with the following until such time as a revised permit is issued by IDEM
based on the application identified in Findings of Fact Paragraph 9 of this
Agreed Order:
a. Respondent shall comply with 326 IAC 6-4-2(4);
b. Respondent shall perform visible emission notations of the
exhaust from the wet collector WC-W once per shift during normal daylight
operations. A trained employee shall
record whether emissions are normal or abnormal in accordance with Condition
D.2.6 (b), (c) and (d) of the Permit.
Respondent shall take reasonable response steps when an abnormal
emission is observed to restore operation of the
emissions unit(s) (including the control device and associated capture system)
to its normal or usual manner of operation as expeditiously as practicable in
accordance with good air pollution control practices for minimizing emissions. Respondent shall maintain records of visible
emission notations and any response steps taken; such records shall be
maintained in accordance with Condition C.19 of the Permit.
c. Respondent shall record the total static pressure drop
across the wet collector WC-W at least once per shift when the casting process
is in operation. When for any one
reading the pressure drop across the wet collector WC-W is outside the normal
range of 3.0 to 5.0 inches of water, Respondent shall take reasonable response
steps to restore operation of the emissions unit(s) (including
the control device and associated capture system) to its normal or usual manner
of operation as expeditiously as practicable in accordance with good air
pollution control practices for minimizing emissions. Respondent shall maintain records of pressure
drop readings and any response steps taken; such records shall be maintained in
accordance with Condition C.19 of the Permit.
4.
Within ninety
(90) days after the Effective Date of this Agreed Order, Respondent shall
submit a stack test protocol to determine particulate matter (“PM”) and
particulate matter ten (10) microns or less in aerodynamic diameter (PM10)
emissions at the wet collector WC-W exhaust, Stack 003, associated with the
following emission units:
a. two (2) casting machines identified as
EU-8 and EU-9;
b. three (3) shakeout units identified as
EU-11, EU-12 and EU-13;
c. sand muller identified as EU-17;
d. overhead shaker screen identified as
EU-18;
e. two (2) return sand storage silos
identified as EU-19 and EU-20;
f. bond storage silo identified as EU-23;
g. sand storage bin identified as EU-26;
and
h. Mag belt/Bin Top belt identified as
EU-27.
This
proposal shall be submitted to IDEM’s Compliance Data Section at the address
below with a copy to the Office of Enforcement:
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Indiana Department of Environmental Management |
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Compliance Data Section, Office of Air Quality |
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5.
Respondent shall
perform stack testing on the wet collector WC-W exhaust, Stack 003, and
associated emission units listed in Order Paragraph 4 of this Agreed Order to
determine compliance with 326 IAC 6-3-2 and 326 IAC 2-2 no later than one
hundred eighty (180) days after the Effective Date of this Agreed Order. Respondent shall perform said stack testing
in compliance with 326 IAC 3-6-3.
6.
All submittals
required by this Agreed Order, unless Respondent is notified otherwise in
writing by IDEM, shall be sent to:
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Janusz
Johnson, Enforcement Case Manager |
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Office
of Enforcement – Mail Code 60-02 |
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Indiana
Department of Environmental Management |
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7.
Respondent is
assessed a civil penalty of Forty-Eight Thousand Two Hundred Seventy-Five
Dollars ($48,275.00). Said penalty
amount shall be due and payable to the Environmental Management Special Fund in
twenty-four (24) monthly payments. The
first twenty-three (23) payments shall be Two Thousand Twelve dollars ($2012)
each and the final payment shall be One Thousand Nine Hundred Ninety-Nine
dollars ($1999). The first payment shall
be due within thirty (30) days of the Effective Date. In the event that the civil penalty is not
paid within twenty-four (24) months of the Effective Date, 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.
8.
In the event the
terms and conditions of the following paragraphs are violated, Complainant may
assess and Respondent shall pay a stipulated penalty in the following amount:
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Paragraph |
Penalty |
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Order Paragraph No. 4 (a-h) |
Five Hundred Dollars ($500.00) per week or part
thereof |
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Order Paragraph No. 5 |
Five Hundred Dollars ($500.00) per week or part
thereof |
9.
Stipulated
penalties shall be due and payable within thirty (30) days after Respondent
receives written notice that Complainant has determined a stipulated penalty is
due. Assessment and payment of
stipulated penalties shall not preclude Complainant from seeking any additional
relief against Respondent for violation of this Agreed Order. In lieu of any of the stipulated penalties
set out above, Complainant may seek any other remedies or sanctions available
by virtue of Respondent’s violation of this Agreed Order or Indiana law,
including, but not limited to, civil penalties pursuant to IC 13-30-4.
10.
Civil and
stipulated 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:
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Indiana
Department of Environmental Management |
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Cashier
– Mail Code 50-10C |
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11.
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.
12.
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.
13.
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.
14.
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.
15.
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.
16.
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.
17.
Nothing in this
Agreed Order shall prevent IDEM 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.
18.
This Agreed
Order shall remain in effect until IDEM issues a Resolution of Case letter to
Respondent.
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TECHNICAL RECOMMENDATION: |
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RESPONDENT: |
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Department of Environmental Management |
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IN Ductile, LLC |
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By: |
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By: |
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Craig Henry |
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Printed: |
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Chief, Air Section |
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Title: |
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Office of Enforcement |
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Date: |
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Date: |
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COUNSEL FOR COMPLAINANT: |
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COUNSEL FOR RESPONDENT: |
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For the Department of Environmental Management |
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By: |
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By: |
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Deputy Attorney General |
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Date: |
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Date: |
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APPROVED AND ADOPTED BY THE INDIANA DEPARTMENT OF
ENVIRONMENTAL |
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MANAGEMENT THIS |
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OF |
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, 2007. |
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For The Commissioner: |
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Signed on May 14, 2007 |
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Robert B. Keene |
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Assistant Commissioner |
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Office of Legal Counsel and Enforcement |
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