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STATE
OF INDIANA |
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BEFORE THE INDIANA DEPARTMENT |
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COMMISSIONER OF THE DEPARTMENT Complainant, v. NLMK-INDIANA, 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.
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 NLMK-Indiana, formerly Beta Steel Corporation, (“Respondent”), which owns
and operates the stationary steel mini mill with Plant ID No. 127-00036,
located at 6500 S. Boundary Road, in Portage, Porter 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:
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Peter
Zasowski, President |
Donna
Blackwell |
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NLMK-Indiana |
Corporation
Controller |
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6500
S. Boundary Road |
NLMK-Indiana |
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Portage,
IN 46368 |
6500
S. Boundary Road |
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Portage,
IN 46368 |
5.
During
an investigation conducted by a representative of IDEM, the following
violations were found:
a. Pursuant
to 326 IAC 2-2-3 and Condition D.1.3 of Part 70 Permit No. 127-27948-00036 (“Permit”),
issued to Respondent on October 2, 2009, the SO2 emissions from the
melt shop stack shall not exceed 0.33 pounds per ton of steel produced and
49.83 pounds per hour from the baghouse stack.
Based on the stack test on the melt shop stack conducted on October 15, 2009
and October 16, 2009, the SO2 emissions were 0.39 pounds per ton and
65.59 pounds per hour in violation of 326 IAC 2-2-3 and Condition D.1.3 of the
Permit.
b. Pursuant
to 326 IAC 2-2-3 and Condition D.2.1 of the Permit, the PM emissions from the
slab reheat furnace shall not exceed 16.3 pounds MMscf of natural gas burned
and 4.2 pounds per hour.
Based on the stack test on the slab reheat furnace stack conducted on August
20, 2009 and August 21, 2009, the PM emissions were 25.7 pounds per MMscf in
violation of 326 IAC 2-2-3 and Condition D.2.1 of the Permit.
c.
Pursuant
to 326 IAC 2-2-3 and Condition D.2.4 of the Permit, the VOC emissions from the
slab reheat furnace shall not exceed 1.7 pounds MMscf of natural gas burned and
0.4 pounds per hour.
Based on the stack test on the slab reheat furnace conducted on August 20, 2009
and August 21, 2009, the VOC emissions were 0.762 pounds per hour in violation
of 326 IAC 2-2-3 and Condition D.2.4 of the Permit.
6.
The
source conducted retesting on the melt shop and slab reheat furnace on April
7-9, 2010. The tests indicated the melt
shop was able to comply with the SO2 limit and the slab reheat
furnace was able to comply with the PM and VOC limits.
7.
The
source conducted additional stack testing on the slab reheat furnace on
February 24, 2011. The test indicated
the slab reheat furnace was able to comply with the VOC limits.
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 2-2-3 and Condition D.1.3, Condition D.2.1 and
Condition D.2.4 of the Permit.
3.
a. Respondent shall continue to investigate the
cause of the VOC exceedances on the slab reheat furnace. Respondent shall document the potential
causes explored and procedures used to investigate the root cause(s). Respondent shall keep records of any furnace
cleaning at the slab reheat furnace during the investigation.
b. No
later than one hundred and twenty (120) days of the effective date of this
order, Respondent shall submit a report documenting the methods and findings of
the VOC emission exceedances root cause investigation along with the dates and
results of the furnace cleanings.
4.
All
submittals required by this Agreed Order, unless Respondent is notified
otherwise in writing by IDEM, shall be sent to:
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Rick
Massoels, Compliance and Enforcement Manager |
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Compliance
and Enforcement Branch – Mail Code 61-53 |
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Indiana
Department of Environmental Management |
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100
North Senate Avenue |
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Indianapolis,
IN 46204-2251 |
5.
Respondent
is assessed a civil penalty of Twenty-Nine Thousand Six Hundred Eighty-Seven
and Fifty cents ($29,687.50). 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.
6.
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. 3 (b) |
One
Hundred Dollars ($100.00) per week or part thereof |
7.
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.
8.
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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Department
of Environmental Management |
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Cashier
– Mail Code 50-10C |
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100
North Senate Avenue |
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Indianapolis,
IN 46204-2251 |
9.
Force majeure, for purposes of this Agreed Order,
is defined as any event arising from causes totally beyond the control and
without fault of Respondent that delays or prevents
the performance of any obligation under this Agreed Order despite Respondent’s best
efforts to fulfill the obligation. The
requirement that Respondent exercise “best efforts to fulfill the obligation”
includes using best efforts to anticipate any potential force majeure event and best efforts to address the effects of any
potential force majeure event (1) as
it is occurring and (2) following the potential force majeure event, such that the delay is minimized to the
greatest extent possible. Force majeure does not include (1)
changed business or economic conditions; (2) financial inability to complete
the work required by this Agreed Order; or (3) increases in costs to perform
the work.
Respondent
shall notify IDEM by calling the compliance and enforcement manager within
three (3) calendar days and by writing no later than seven (7) calendar days
after it has knowledge of any event which Respondent contends is a force
majeure. Such notification shall
describe (1) the anticipated length of the delay; (2) the cause or causes of
the delay; (3) the measures taken or to be taken by Respondent to minimize the
delay; and (4) the timetable by which these measures will be implemented. Respondent shall include with any notice all
available documentation supporting its claim that the delay was attributable to
a force majeure. Failure to comply with
the above requirements shall preclude Respondent from asserting any claim of
force majeure for that event. Respondent shall have the burden of demonstrating
that the event is a force majeure. The
decision of whether an event is a force majeure shall be made by IDEM.
If
a delay is attributable to a force majeure, IDEM shall extend, in writing, the
time period for performance under this Agreed Order, by the amount of time that
is directly attributable to the event constituting the force majeure.
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
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NLMK-Indiana |
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By: |
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By: |
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J. Robert Simmons, Deputy Director |
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Printed: |
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Northwest
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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
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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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DAY OF |
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2011. |
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For
the Commissioner |
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Signed
on August 30, 2011 |
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Keith
Baugues, Assistant Commissioner |
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Office
of Air Quality |
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Indiana
Department of Environmental Management |
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