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.

ALTO DAIRY COOPERATIVE,

Respondent.

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Case No. 2007-16582-W




 

 

AGREED ORDER

 

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.  Pursuant to IC 13-30-3-3, entry into the terms of this Agreed Order does not constitute an admission of any violation contained in these Findings of Fact.  The 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 Alto Dairy Cooperative (“Respondent”), which owns/operates a Confined Feeding Operation, Farm ID # 4960, with Approval Number AW-3810, located near North Manchester, Kosciusko County, Indiana (the “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 on March 8, 2007 via Certified Mail to:

 

Paul Nuttelman

Mark Rose

Alto Dairy

PLC Farms

N 8155 American Street

12096 S 400E

Ixonia, WI 53036

North Manchester, IN 46962

 

5.                  During an inspection conducted by representatives of IDEM, the following violations were found:

 

a.         Pursuant to 327 IAC 2-6.1-5 and 327 IAC 2-6.1-7, any person who operates, controls, or maintains any facility from which a spill occurs shall, upon discovery of a spill that damages the waters of the state so as to cause death or acute injury or illness to humans or animals:

1.         Contain the spill, if possible, to prevent additional spilled material from entering the waters of the state.

2.         Undertake or cause others to undertake activities needed to accomplish a spill response.

3.         As soon as possible, but within two (2) hours of discovery, communicate a spill report to the Department of Environmental Management.

4.         Submit to the Department of Environmental Management, a written copy of the spill report if requested in writing by the department.

5.         Except from modes of transportation other than pipelines, exercise due diligence and document attempts to notify the following:

(a)       For spills to surface water that cause damage, the nearest affected downstream water user located within ten (10) miles of the spill and in the state of Indiana; and

(b)       For spills to soil outside the facility boundary, the affected property owner or owners, operator or operators, or occupant or occupants.

 

Pursuant to 327 IAC 5-2-2, any discharge of pollutants into the waters of the state as a point source discharge is prohibited unless in conformity with a valid NPDES permit obtained prior to the discharge.

 

Pursuant to 327 IAC 2-1-6(a), all 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:

1.                  that will settle to form objectionable deposits;

2.                  that are in amounts sufficient to be unsightly or deleterious;

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

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

5.                  which 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.

 

Respondent caused and/or allowed the discharge of animal manure from the Site on or about October 30, 2006 into a private pond, which discharges to waters of the state, which was in amounts sufficient to be acutely toxic to, or otherwise severely injure or kill aquatic life, other animals, plants or humans, in violation of 327 IAC 2-6.1-5, 327 IAC 2-6.1-7, 327 IAC 5-2-2, and 327 IAC 2-1-6(a)(1).

 

b.         Pursuant to IC 13-18-4-5, it is unlawful for any person to throw, run, drain, or otherwise dispose into any of the streams or waters of this state, or to cause, permit, or suffer to be thrown, run, drained, allowed to seep, or otherwise disposed into any waters, any organic or inorganic matter that causes or contributes to a polluted condition of any waters, as determined by a rule of the board adopted under IC 13-18-4-1 and IC 13-18-4-3.

 

Respondent caused and/or allowed the discharge of animal manure, an organic matter, to run, drain or seep from the Site on or about October 30, 2006 into a private pond, which discharges to waters of the state, in violation of 327 IAC 2-6.1-5, 327 IAC 2-6.1-7, 327 IAC 5-2-2, and 327 IAC 2-1-6(a)(1), and thus violated IC 13-18-4-5.

 

c.                  Pursuant to IC 13-30-2-1(1), no person may discharge, emit, cause, allow, or threaten to discharge, emit, cause, or allow any contaminant or waste, including any noxious odor, either alone or in combination with contaminants from other sources, into the environment or into any publicly owned treatment works in any form which causes or would cause pollution which violates or which would violate rules, standards, or discharge or emission requirements adopted by the appropriate board under the environmental management laws.

 

Respondent caused and/or allowed the discharge of animal manure, a contaminant or waste, into the environment from the Site on or about October 30, 2006, in violation of 327 IAC 2-6.1-5, 327 IAC 2-6.1-7, 327 IAC 5-2-2, and 327 IAC 2-1-6(a)(1), and thus violated IC 13-30-2-1(1).

 

d.                  Pursuant to 327 IAC 16-3-1(a), a confined feeding operation shall be managed to avoid an unpermitted discharge into waters of the state.

 

Respondent did not manage the confined feeding operation to avoid an unpermitted discharge into, waters of the state, resulting in discharges of animal manure from the Site on or about October 30, 2006 into a private pond, which discharges to waters of the state, without a valid permit, in violation of 327 IAC 16-3-1(a).

 

e.         Pursuant to 327 IAC 16-3-1(e), manure to be staged or applied to land in Indiana must be staged or applied in such a manner as to not enter or threaten to enter waters of the state, to prevent run-off, ponding for more than 24 hours, and spills, and to minimize nutrient leaching beyond the root zone.

 

Respondent staged manure and/or applied manure to land in a manner that entered waters of the state from the Site on or about October 30, 2006 and failed to prevent run-off and/or spills from the Site on or about October 30, 2006, in violation of 327 IAC 16-3-1(e).

 

f.          Pursuant to 327 IAC 16-9-1(f), all waste management systems and application equipment must be maintained and operated to meet the approval condition that uncovered liquid manure storage structures must have clearly identified markers to indicate manure levels relative to the approved freeboard elevation.

 

Respondent did not have clearly identified markers to indicate manure levels relative to the approved freeboard elevation of its uncovered liquid manure storage structures when the Site was inspected on November 1, 2006.

 

6.         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 immediately comply with 327 IAC 2-6.1-5 and 327 IAC 2-6.1-7, 327 IAC 16-3-1(a), 327 IAC 16-3-1(e), 327 IAC 16-9-1(f), 327 IAC 5-2-2, 327 IAC 2-1-6(a), IC 13-18-4-5, IC 13-30-2-1(1), and conditions of Approval Number AW-3810, as listed in the findings here and/or above at issue.

 

3.         Respondent shall implement the compliance plan (CP), attached hereto as Exhibit A, for the Site in accordance with the schedule contained therein.  The CP is incorporated into this Agreed Order and shall be deemed an enforceable part thereof.

 

4.         Respondent shall, within 12 months of the Effective Date (Performance Period), demonstrate six consecutive months of compliance (Compliance Demonstration) with all requirements for the Site.  During the Performance Period, Respondent shall be subject to stipulated penalties, as specified below, for failure to timely implement the CP at the Site.  In the event that Respondent fails to make the Compliance Demonstration, Respondent shall, within sixty days of becoming aware that the Compliance Demonstration cannot be achieved, develop and submit to IDEM, for approval, an “Additional Action Plan” which identifies the additional actions that Respondent will take to achieve and maintain compliance with the effluent limitations contained in its NPDES Permit.  The Additional Action Plan, if required, shall include an implementation and completion schedule, including specific milestone dates.

 

5.         The plan required by Paragraph 4 above is subject to IDEM approval. In the event IDEM determines that any 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 modify and approve any such plan and Respondent must implement the plan as modified by IDEM.

 

Respondent, upon receipt of written notification from IDEM, shall immediately implement the approved plan and adhere to the milestone dates therein for the Site.  The approved Additional Action Plan shall be incorporated into the Agreed Order and shall be deemed an enforceable part thereof.  Failure by Respondent to submit any plan by the specified date, or to meet any of the milestones in the approved plan will subject Respondent to stipulated penalties as described below.  Failure to achieve compliance at the conclusion of work under an Additional Action Plan will subject Respondent to additional enforcement action.

 

6.                  Respondent shall notify IDEM, in writing, within ten (10) days of completion of each action contained in any approved plan.  The notification shall include a description of the action completed and the date it was completed.

 

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

 

Dave Knox, Enforcement Case Manager

Office of Enforcement – Mail Code 60-02

Indiana Department of Environmental Management

100 North Senate Avenue

Indianapolis, IN 46204-2251

 

8.                  Respondent is assessed a civil penalty of Six Thousand One Hundred Twenty Five Dollars ($6,125).  Said penalty amount shall be due and payable to the Environmental Management Special Fund within thirty (30) days of the Effective Date.  In the event that the civil penalty is not paid within thirty (30) days 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.

 

9.                  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:

 

Paragraph

Violation

Stipulated Penalty

2

Violation of any rule, statute, or Approval

$500 per event per day

3

Failure to implement the CP

$500 per event per day

4 and 5

Failure to timely submit any plan

$500 per each week or

part thereof late

5

Failure to meet any milestone date or

other requirement of any approved plan

$750 per each week or

part thereof late

6

Failure to notify IDEM within 10 days of

completion of each action contained in any approved plan

$250 per each week or

part thereof late

 

10.             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.

 

11.             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:

 

Indiana Department of Environmental Management

Cashier – Mail Code 50-10C

100 North Senate Avenue

Indianapolis, IN 46204-2251

 

12.             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.

 

13.             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.

 

14.             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.

 

15.             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.

 

16.             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.

 

17.             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.

 

18.             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.

 

19.             This Agreed Order shall remain in effect until Respondent has complied with all terms and conditions of Paragraph Nos. 2 through 11 of this Agreed Order and IDEM issues a Resolution of Case letter to Respondent.

 

 

TECHNICAL RECOMMENDATION:

 

RESPONDENT:

Department of Environmental Management

 

Alto Dairy Cooperative

 

 

 

By:

 

 

By:

 

 

Mark Stanifer, Chief

 

Printed:

 

 

Water Section

 

Title:

 

 

Office of Enforcement

 

 

 

Date:

 

 

Date:

 

 

 

 

 

 

 

 

 

COUNSEL FOR COMPLAINANT:

 

COUNSEL FOR RESPONDENT:

For the Department of Environmental Management

 

 

 

 

 

By:

 

 

By:

 

 

 

 

 

 

 

Deputy Attorney General

 

 

 

Date:

 

 

Date:

 

 

 

 

 

 

APPROVED AND ADOPTED BY THE INDIANA DEPARTMENT OF ENVIRONMENTAL

MANAGEMENT THIS

 

DAY OF

 

, 2007.

 

 

For the Commissioner:

 

 

 

Signed on August 22, 2007

 

Robert B. Keene

 

Assistant Commissioner

 

Office of Legal Counsel and Enforcement

 

 

ATTACHMENT A

COMPLIANCE PLAN

Alto Dairy Cooperative

Farm ID #4960

North Manchester, Kosciusko County

IDEM Case No. 2007-16582-S

 

1.         Pre-Application Measures

 

a.         Respondent shall provide IDEM with soil maps available from the Kosciusko County NRCS office which depict available percolation test results and soil type information for the Site within thirty (30) days of Effective Date.

 

b.         For the period of time that the Agreed Order remains in effect, (Respondent) or its contractor will provide the South Bend North Regional Office of IDEM with twenty-four (24) hours advanced notice before starting land application activities.  Specifically, a notice shall be sent to the attention of Steve Schaefer via facsimile at (574) 245-4877 or via direct telephone contact at (574) 245-4880, followed by a written notice within five (5) days of the phone call.

 

c.         No surface application of manure shall occur if:

1)         there is a weather forecast of equal or greater than fifty percent (>50%) chance of one half inch (0.5”) or more of rain for the twenty-four hour (24) period before or after the proposed surface application of manure; and/or

2)         site soil conditions are such that surface application of manure would likely result in run-off; and/or

3)         one half inch (0.5”) or more of rainfall has occurred locally within the past 24 hours; and/or

4)         total ammonia nitrogen (TAN) levels at county tile test points A and B (See Illustrations 2 and 3; 2.a. and 3.e., below) are at any detectable level  (>1 ppm).

 

2.                  Application Process

 

a.         During manure application process, Respondent shall use an approved total ammonia nitrogen (TAN) test kit to monitor TAN levels at county tile test points A and B (See Illustrations 2 and 3).  Respondent shall monitor and document test readings prior to manure application as well as at intervals of approximately every four (4) hours for twenty-four (24) hours after application.  If at any time there is a detectable (> 1 ppm) TAN test reading, Respondent shall cease manure application until results lower to a non-detectable level.

 

b.         Respondent shall lower the manure application rate by increasing the speed of the traveler motion to ensure no more than ¼ acre-inch application rate is reached.

 

c.                  Respondent shall purchase and implement use of additional irrigation line to reach more surface area such that a lower overall manure application rate may be successfully achieved, using the rate of < ¼ acre-inch application as a benchmark.

 

d.                  If the growing season permits, Respondent may surface apply lagoon liquid on growing crops.  However, this method shall only be implemented during dry seasons and/or conditions, and application rate shall remain < ¼ acre-inch application.

 

3.         Physical Changes

 

a.         Respondent has located two drain tile lines exiting the Site (See Illustration 2, attached).  The tiles are located approximately thirty-six (36) inches below the ground surface.  If Respondent locates any additional tiles associated with the Site, Respondent shall notify IDEM and actively pursue inclusion of the newly located tiles into the working purposes and procedures of this CP.

 

b.         Respondent shall connect a twenty-four (24) inch round non-slotted smooth core tile with a removable top cap to each of the existing tiles.  A sump will be provided at a depth of approximately 1.5 feet below the field tile depth location to allow for pump removal of accumulated liquid if elevated TAN levels are detected, as noted in Diagram 1 (see attached).

 

c.         Respondent shall install and implement use of a gate valve system, as noted in Diagram 1 (see attached) with an observation tube immediately upstream of each gate valve.  Respondent shall replace forty (40) linear feet of the perforated tile with solid six (6) inch PVC pipe to prevent hydraulic backflow around the gate valve and/or the twenty-four (24) inch observation tube.

 

d.                  Respondent shall cap the tiles where they exit the field by shutting each gate valve (only during periods of manure application), and shall monitor for total ammonia nitrogen levels as described in 2.a., above, while not allowing any forms of liquid past the valves.  The gate valves shall remain closed for a minimum of forty-eight hours after manure application ceases, but shall not be reopened until total ammonia nitrogen test reading is at a non-detectable level, as described in 2.a., above.

 

4.         Emergency Response

 

a.         As noted in 2.a. and 3.e., above, Respondent shall monitor county tiles at points A and B for TAN (see Illustrations 2 and 3) during manure application, and shall cease application if TAN reaches detectable level (> 1 ppm).

 

b.         The gate valves shall remain closed for a minimum of forty-eight hours after manure application ceases, but shall not be reopened until total ammonia nitrogen test reading is at a non-detectable level, as described in 2.a., above.

 

c.         With the gate valve closed, the captured infiltration will be monitored.  If TAN level remains detectable after seven (7) days, the captured liquid shall be removed by sump pump and liquid manure handling wagon and returned to lagoon, or applied on another approved site.

 

d.         If discharge contains > 1 ppm of total ammonia nitrogen at the county tile, Respondent shall cease application and remove the liquid in the observation tube with a sump pump and liquid manure handling wagon and return it to lagoon.  Any TAN concentration that is > 1 ppm is an illegal discharge to waters of the state by a CFO/CAFO, and requires the Respondent to comply with the Spill Rule, including but not limited to: reporting the spill within two hours of discovery and doing a spill clean-up.

 

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