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STATE OF |
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BEFORE THE INDIANA
DEPARTMENT |
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COMMISSIONER OF THE
DEPARTMENT Complainant, v. DALTON CORPORATION, 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 Dalton
Corporation (“Respondent”), which owns and operates iron foundries with United
States Environmental Protection Agency (EPA) ID No. 085-00003, Title V Permit
No. 6708, located at 1900 East Jefferson Street, in Warsaw, Kosciusko County,
Indiana (“Site A”) and United States Environmental Protection Agency (EPA) ID
No. 113-00004, Title V Permit No. 6491, located at 200 West Ohio Street, in Kendallville,
Noble County, Indiana (“Site B”).
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”) on June 6, 2008 via
Certified Mail to:
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Joseph L. Derita |
Corporation Service Company |
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President of Dalton Corporation, |
Registered Agent for Dalton Corporation, |
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5.
During
investigations conducted by a representative of IDEM, the following violations
were found at Site A:
a.
Pursuant to
E.1.3 of Part 70 permit No. 6708 and 40 CFR Part 63, Subpart EEEEE, the
Permittee shall comply with the provisions of the National Emission Standards
for Hazardous Air Pollutants for Iron and Steel Foundries for the affected
facilities. Specifically Permittee must
prepare and operate at all times according to a written operation and
maintenance plan for each capture and collection system and control device for
emission sources subject to an emission limit.
The Permittee failed to record the daily operational status of the Mold Vent
Ignition (Light-Off) sources as required by the Respondent’s Operation and
Maintenance Plan on 25 different instances from May 2007 to April 2008, in
violation of permit condition E.1.3 of Part 70 permit No. 6708 and 40 CFR Part
63, Subpart EEEEE.
b.
Pursuant to
E.1.3 of Part 70 permit No. 6708 and 40 CFR Part 63, Subpart EEEEE, the
Permittee shall comply with the provisions of the National Emission Standards
for Hazardous Air Pollutants for Iron and Steel Foundries for the affected
facilities. Specifically Permittee must
prepare and operate at all times according to a written operation and
maintenance plan for each capture and collection system and control device for
emission sources subject to an emission limit.
The Permittee failed to record the daily operational status of the fans on the
pouring station hoods as required by the Respondent’s Operation and Maintenance
Plan on 134 different instances from April 2007 to April 2008, in violation of
permit condition E.1.3 of Part 70 permit No. 6708 and 40 CFR Part 63, Subpart
EEEEE.
c.
Pursuant to
D.3.8 of Part 70 permit No. 6708, The Permittee shall record the pressure drop
and flow rate of Wet Collector #3, at least once per day, when the Herman 2
Shakeout process is in operation.
There is no evidence that the Permittee performed required flow rate monitoring
of Wet Collector #3 on October 12, 2007, in violation of permit condition D.3.8
of Part 70 permit No. 6708.
d.
Pursuant to
D.3.12(c) of Part 70 permit No. 6708, to document compliance with condition
D.3.8, Wet Collector Parametric Monitoring, the Permittee shall maintain
records of the daily pressure drop and flow rate readings of Wet Collector #2
and Wet Collector #3, and make such records available, upon request, to IDEM.
The Permittee failed to record flow rate readings of Wet Collector #3 on
October 12, 2007, in violation of permit condition D.3.12(c) of Part 70 permit
No. 6708.
e.
Pursuant to D.9.7
of Part 70 permit No. 6708, the Permittee shall record the pressure drop, flow
rate, and pH of the Acid Scrubber AF, at least once per day, when any of the
associated core machines is in operation and venting to the atmosphere.
There is no evidence that the Permittee performed required pressure drop, flow
rate, and pH monitoring of Acid Scrubber AF on August 7, 2007, August 8, 2007,
and September 21, 2007, in violation of permit condition D.9.7 of Part 70
permit No. 6708.
f.
Pursuant to
D.9.11(d) of Part 70 permit No. 6708, to document compliance with condition D.9.7,
Scrubber Parametric Monitoring, the Permittee shall maintain records of the
daily pH, pressure drop and flow rate readings of Acid Scrubber AF, and make
such records available upon request to IDEM.
The Permittee failed to record pressure drop, flow rate, and pH monitoring of
Acid Scrubber AF on August 7, 2007, August 8, 2007, and September 21, 2007, in
violation of permit condition D.9.11(d) of Part 70 permit No. 6708.
g.
Pursuant to
D.9.9(a) of Part 70 permit No. 6708, the Permittee shall record the pressure
drop across the Baghouse Q, at least once per day, when the following are in
operation:
Phenolic
Urethane Core Sand Hopper #1,
Phenolic
Urethane Sand Heater #1.
There is no evidence that the Permittee performed required pressure drop
monitoring across Baghouse Q on August 7, 2007, August 8, 2007, and September
21, 2007, in violation of permit condition D.9.9(a) of Part 70 permit No. 6708.
h.
Pursuant to
D.9.9(b) of Part 70 permit No. 6708, the Permittee shall record the pressure
drop across the Baghouse U, at least once per day, when the following are in
operation:
Phenolic
Urethane Core Sand Hopper #3,
Phenolic
Urethane Core Sand Hopper #4,
Phenolic
Urethane Sand Heater #3, and
Phenolic
Urethane Sand Heater #4.
There is no evidence that the Permittee performed required pressure drop
monitoring across Baghouse U on August 7, 2007, August 8, 2007, and September
21, 2007, in violation of permit condition D.9.9(b) of Part 70 permit No. 6708.
i.
Pursuant to
D.9.11(e) of Part 70 permit No. 6708, to document compliance with condition
D.9.9, Baghouse Parametric Monitoring, the Permittee shall maintain records of
the daily pressure drop readings of the following baghouses, and make such
records available upon request to IDEM:
Baghouse
Q,
Baghouse
U, and
Baghouse
Z.
The Permittee failed to record pressure drop monitoring across Baghouse Q and U
on August 7, 2007, August 8, 2007, and September 21, 2007, in violation of
permit condition D.9.11(e) of Part 70 permit No. 6708
j.
Pursuant to D.9.6(a)
of Part 70 permit No. 6708, the Permittee shall perform visible emission
notations on the following units once per day during normal daylight operations
when any of the associated core sand hopper and core machines are in operation
and exhausting to the atmosphere:
Baghouse
Q exhaust stack (Stack Q),
Baghouse
U exhaust stack (Stack U), and
Acid
Scrubber AF exhaust stack (Stack AF).
There is no evidence that the Permittee performed required visible emission
notations on Baghouse Q exhaust stack on 107 different occasions in the first
and second quarters of 2008, in violation of permit condition D.9.6(a) of Part
70 permit No. 6708.
There is no evidence that the Permittee performed required visible emission
notations on Baghouse U exhaust stack on 107 different occasions in the first
and second quarters of 2008, in violation of permit condition D.9.6(a) of Part
70 permit No. 6708.
There is no evidence that the Permittee performed required visible emission
notations on Acid Scrubber AF exhaust stack on 107 different occasions in the
first and second quarters of 2008, in violation of permit condition D.9.6(a) of
Part 70 permit No. 6708.
k.
Pursuant to
D.9.11(c) of Part 70 permit No. 6708, to document compliance with condition
D.9.6, Visible Emissions Notations, the Permittee shall maintain records of the
daily visible emission notations of the Baghouse Q exhaust stack (Stack Q),
Baghouse U exhaust stack (Stack U), and Acid Scrubber AF exhaust stack (Stack
AF).
The Permittee failed to record visible emission notations on Baghouse Q exhaust
stack on 107 different occasions in the first and second quarters of 2008, in
violation of permit condition D.9.11(c) of Part 70 permit No. 6708
The Permittee failed to record visible emission notations on Baghouse U exhaust
stack on 107 different occasions in the first and second quarters of 2008, in
violation of permit condition D.9.11(c) of Part 70 permit No. 6708
The Permittee failed to record visible emission notations on Acid Scrubber AF
exhaust stack on 107 different occasions in the first and second quarters of
2008, in violation of permit condition D.9.11(c) of Part 70 permit No. 6708
l.
Pursuant to C.19
of Part 70 permit No. 6708, the Permittee shall submit the Quarterly Deviation
and Compliance Monitoring Report with any deviation from permit requirements,
the dates of each deviation, the cause of the deviation, and the response steps
taken. This report shall be submitted
within thirty (30) days of the end of the reporting period.
The Deviation and Compliance Monitoring Report for the first quarter of 2008
was 77 days late, in violation of permit condition C.19 of Part 70 permit No.
6708.
m.
Pursuant to
Agreed Order 2001-11054-A, issued on May 25, 2006, the Permittee shall
purchase, install, operate, and optimize a blackwater advanced oxidation system
on the Herman 2 Mold Line.
The Permittee failed to operate the blackwater advanced oxidation system on
March 5, 2008 to March 7, 2008, in violation of F.1.3 of Part 70 permit No.
6708
6.
During
investigations conducted by a representative of IDEM, the following violations
were found at Site B:
a.
Pursuant to E.1.2
of Part 70 permit No. 6491 and 40 CFR Part 63, Subpart EEEEE, the Permittee
shall comply with the provisions of the National Emission Standards for
Hazardous Air Pollutants for Iron and Steel Foundries for the affected
facilities. Specifically Permittee must
prepare and operate at all times according to a written operation and
maintenance plan for each capture and collection system and control device for
emission sources subject to an emission limit.
The Permittee failed to record the daily operational status of the Mold Vent
Ignition (Light-Off) sources as required by the Respondent’s Operation and
Maintenance Plan on 107 different instances from April 2007 to December 2007,
in violation of permit condition E.1.2 of Part 70 permit No. 6491 and 40 CFR
Part 63, Subpart EEEEE.
b.
Pursuant to
E.1.2 of Part 70 permit No. 6491 and 40 CFR Part 63, Subpart EEEEE, the
Permittee shall comply with the provisions of the National Emission Standards
for Hazardous Air Pollutants for Iron and Steel Foundries for the affected
facilities. Specifically Permittee must
prepare and operate at all times according to a written operation and
maintenance plan for each capture and collection system and control device for
emission sources subject to an emission limit.
The Permittee failed to record the daily operational status of the fans on the
pouring station hoods as required by the Respondent’s Operation and Maintenance
Plan on 101 different instances from May 2007 to December 2007, in violation of
permit condition E.1.2 of Part 70 permit No. 6491 and 40 CFR Part 63, Subpart
EEEEE.
c.
Pursuant to
E.1.2 of Part 70 permit No. 6491 and 40 CFR Part 63, Subpart EEEEE, the
Permittee shall comply with the provisions of the National Emission Standards
for Hazardous Air Pollutants (NESHAP) for Iron and Steel Foundries for the
affected facilities. Specifically NESHAP
compliance reports must be postmarked or delivered no later than July 31 or
January 31, whichever date comes first, after the end of the semiannual
reporting period.
The NESHAP compliance report for the first semiannual compliance period of 2007
was 328 days late, in violation of permit condition E.1.2 of Part 70 permit No.
6491 and 40 CFR Part 63, Subpart EEEEE.
The NESHAP compliance report for the second semiannual compliance period of
2007 was 144 days late, in violation of permit condition E.1.2 of Part 70
permit No. 6491 and 40 CFR Part 63, Subpart EEEEE.
d.
Pursuant to C.19
of Part 70 permit No. 6491, the Permittee shall submit the Quarterly Deviation
and Compliance Monitoring Report with any deviation from permit requirements,
the dates of each deviation, the cause of the deviation, and the response steps
taken. This report shall be submitted
within thirty (30) days of the end of the reporting period.
The Deviation and Compliance Monitoring Report for the second quarter of 2007 was
366 days late, in violation of permit condition C.19 of Part 70 permit No. 6491.
The Deviation and Compliance Monitoring Report for the third quarter of 2007
was 230 days late, in violation of permit condition C.19 of Part 70 permit No.
6491.
The Deviation and Compliance Monitoring Report for the fourth quarter of 2007
was 174 days late, in violation of permit condition C.19 of Part 70 permit No.
6491.
The Deviation and Compliance Monitoring Report for the first quarter of 2008
was 90 days late, in violation of permit condition C.19 of Part 70 permit No.
6491.
7.
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 environmental rules 326 IAC 2-7-6(1), 326 IAC 2-7-5(3),
and the National Emission Standard for Hazardous Air Pollutants (NESHAP) for Iron and Steel Foundries (40 CFR Part 63,
Subpart EEEEE).
3.
Within 90 days
of the Effective Date, Respondent shall submit a summary of 45 days of visible
emission notations used to demonstrate compliance with conditions D.9.6(a) and D.9.11(c)
of permit No. 6708 at Site A. The information
included in this summary should start not earlier than the Effective Date of
this Order.
4.
Within 90 days
of the Effective Date, Respondent shall submit a summary of 45 days of mold
vent ignition operation and hood exhaust fan operation for each pouring station
as required by the Operation and Maintenance plan for Site A and B. The information included in this summary
should start not earlier than the Effective Date of this Order.
5.
All submittals
required by this Agreed Order, unless Respondent is notified otherwise in
writing by IDEM, shall be sent to:
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Rebecca
Hayes, 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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6.
Respondent is
assessed a civil penalty of Twenty Eight Thousand Dollars ($28,000). Said penalty amount shall be due and payable
to the Environmental Management Special Fund within forty-five (45) days of the
Effective Date. In the event that the civil
penalty is not paid within forty-five (45) 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.
7.
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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Paragraphs |
Violation |
Stipulated
Penalty |
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3 - 4 |
Not submitting specified
information within the time frame required. |
$500 per week |
8.
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
9.
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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10.
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 their
status or responsibilities under this Agreed Order.
11.
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.
12.
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.
13.
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.
14.
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.
15.
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.
16.
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.
17.
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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Dalton Corporation |
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By: |
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By: |
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Craig Henry, Chief |
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Printed: |
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Compliance and Enforcement Section 4 |
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Title: |
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Office of Air Quality |
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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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, 2009. |
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For the Commissioner: |
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Signed on June 22, 2009 |
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Daniel Murray |
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Assistant Commissioner |
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Office of Air Quality |
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