STATE OF INDIANA

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SS:

BEFORE THE INDIANA DEPARTMENT OF

 

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COUNTY OF MARION

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ENVIRONMENTAL MANAGEMENT

 

COMMISSIONER OF THE DEPARTMENT

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OF ENVIRONMENTAL MANAGEMENT,

 

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)

 

Complainant,

 

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)

 

 

v.

 

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Case No. 2010-19210-H

 

 

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JEFFBOAT LLC,

 

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)

 

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 JeffBoat LLC (“Respondent”), which owns and /or operates the company with United States Environmental Protection Agency (EPA) ID No. IND 006 371 330, located at 1030 East Market Street, in Jeffersonville, Clark 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) to:

 

Sean P. Gallagher

Corporation Service Company, Registered Agent

Corporate Counsel

JeffBoat LLC

JeffBoat LLC

251 E Ohio Ste 500

American Commercial Lines

Indianapolis, IN 46204

1701 East Market Street

 

Jeffersonville, IN 47130

 

 

5.            Respondent most recently notified EPA of Large Quantity Generator activities on February 2009.  Respondent builds inland river barges.

 

6.            329 IAC 3.1 incorporates certain federal hazardous waste management requirements found in 40 CFR Parts 260 through 270, and Part 273 including these identified below.

 

7.            During an investigation including inspections on March 16, 2010 and March 19, 2010, conducted by a representative of IDEM, the following violations were found:

           

a.         Pursuant to 40 CFR 270.1(c), a permit is required for the treatment, storage and disposal of any hazardous waste as identified or listed in 40 CFR Part 261.

 

As noted during the March 16, 2010, inspection, Respondent stored 22 drums of hazardous waste identified or listed in 40 CFR Part 261 without a permit.

 

On March 19, 2010, Respondent provided documentation that the drums of hazardous waste stored for over 90 days were shipped off site on March 18, 2010.

 

b.         Pursuant to IC 13-30-2-1(10), a person may not commence or engage in the operation of a hazardous waste facility without having first obtained a permit from the department.

 

As noted during the March 16, 2010, inspection, Respondent operated a hazardous waste facility without having first obtained a permit from the department.

 

On March 19, 2010, Respondent provided documentation that the containers of hazardous waste stored for over 90 days were shipped off site on March 18, 2010.

 

c.         Pursuant to 329 IAC 3.1-1-10, every hazardous waste generator, transporter, or owner or operator of a hazardous waste facility shall notify the commissioner of its hazardous waste activity on the approved forms.

 

As noted during the March 16, 2010, inspection, Respondent failed to notify the Commissioner of hazardous waste storage activities. 

 

On March 19, 2010, Respondent provided documentation that the containers of hazardous waste stored for over 90 days were shipped off site on March 18, 2010.

d.         Pursuant to 40 CFR 262.34(b), a generator who accumulates hazardous waste for more than 90 days is an operator of a storage facility and is subject to the requirements of 40 CFR Part 264 and the permit requirements of 40 CFR Part 270 unless he has been granted an extension to the 90 day period.

 

As noted during the March 16 2010, inspection, Respondent stored approximately twenty two (22) 55-gallon containers of D001, F003 and F005 hazardous waste on-site for greater than 90 days without complying with 40 CFR Part 264 and 40 CFR Part 270.  The 55-gallon containers were located in the container storage area.

 

On March 19, 2010, Respondent provided documentation that the containers of hazardous waste stored for over 90 days were shipped off site on March 18, 2010.

 

e.         Pursuant to 40 CFR 262.34(a)(2), a generator may accumulate hazardous waste on-site for 90 days or less without a permit, provided that the date when the accumulation begins is clearly marked and visible for inspection on each container.

 

As noted during the March 16, 2010 and March 19, 2010, inspections, Respondent accumulated eight (8) 55-gallon containers of D001, F003 and F005 hazardous waste on-site, without a permit, and failed to clearly mark hazardous waste containers with accumulation start dates.  The 55-gallon containers were located in the container storage area.

 

On January 28, 2011, Respondent provided documentation that the containers were marked with the accumulation start dates.

 

f.          Pursuant to 40 CFR 262.34(a)(3), a generator may accumulate hazardous waste on-site for 90 days or less without a permit, provided that, while being accumulated on-site, each container and tank is labeled or marked clearly with the words "Hazardous Waste."

 

As noted during the March 16, 2010 and March 19, 2010, inspections, Respondent accumulated two (2) 55-gallon containers of D001, F003 and F005 hazardous waste on-site, without a permit, and did not label or clearly mark hazardous waste containers with the words "Hazardous Waste."  The 55-gallon containers were located in the container storage area.

 

On January 28, 2011, Respondent provided documentation that the containers were labeled or marked clearly with the words "Hazardous Waste."

 

g.        Pursuant to 40 CFR 262.34(a)(1)(i) referencing 40 CFR 265.171, if a container holding hazardous waste is not in good condition, or if it begins to leak, the generator must transfer the hazardous waste from this container to a container that is in good condition.

 

As noted during the March 16, 2010 and March 19, 2010, inspections, Respondent stored hazardous waste in containers that were not in good condition.  Two (2) 55-gallon containers of D001, F003 and F005 hazardous waste had bulging tops.  The containers were located in the container storage area.

 

h.         Pursuant to 40 CFR 262.34(a)(1)(i) referencing 40 CFR 265.174, a generator must inspect areas where containers are stored, at least weekly, looking for leaks and bulging containers caused by corrosion or other factors.

 

As noted during the March 16, 2010 and March 19, 2010, inspections, Respondent failed to conduct adequate weekly inspections of the container storage area where the bulging hazardous waste containers were stored.

 

On January 28, 2011, Respondent provided documentation that weekly inspections of the container storage area would be conducted.

 

i.          Pursuant to 40 CFR 262.34(a)(4) referencing 40 CFR 265.31, facilities must be maintained and operated to minimize the possibility of a fire, explosion, or any unplanned sudden or non-sudden release of hazardous waste or hazardous waste constituents to air, soil, or surface water which could threaten human health or the environment.

 

As noted during the March 16, 2010 and March 19, 2010, inspections, Respondent failed to properly manage the D001, F003 and F005 hazardous waste containers to minimize the possibility of releases in the dock area near Cut #1 and Cut #3.

 

On January 28, 2011, Respondent provided documentation that the releases were cleaned up.

 

j.          Pursuant to 40 CFR 262.34(a)(4) referencing 40 CFR 265.35, a generator must maintain aisle space to allow the unobstructed movement of personnel, fire protection, equipment, spill control equipment, and decontamination equipment to any area of facility operation in an emergency.

 

As noted during the March 16, 2010, inspections, Respondent failed to provide the required aisle space in the container storage area.

 

On January 28, 2011, Respondent provided documentation that aisle space in the container storage area was provided.

 

k.         Pursuant to 40 CFR 262.34(a)(4) referencing 40 CFR 265.52, the content of the contingency plan must include the following: a description of appropriate actions, arrangements with local emergency response teams, contact information for the emergency coordinators, emergency equipment, and an evacuation plan.

 

As noted during the March 16, 2010 and March 19, 2010, inspections, Respondent's contingency plan did not include the addresses for the emergency coordinators.

 

On January 28, 2011, Respondent provided documentation that the contingency plan was revised with the addresses for the emergency coordinators.

 

l.          Pursuant to 40 CFR 262.34(a)(4) referencing 40 CFR 265.53, a copy of the contingency plan must be maintained at the facility and submitted to all applicable local emergency response teams.

 

As noted during the March 16, 2010 and March 19, 2010, inspections, Respondent failed to provide an updated copy of the contingency plan to all local emergency authorities.

 

On January 28, 2011, Respondent provided documentation that the revised contingency plan was sent to all local emergency authorities.

 

m.        Pursuant to IC 13-30-2-1(1), no person shall 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 in any form that causes or would cause pollution that violates or would violate 329 IAC 10-4-2, a rule adopted by the board under the environmental management laws.

 

As noted during the March 16, 2010 and March 19, 2010, inspections, Respondent allowed releases into the environment of steel shot blast from blasting of piping for tank barges.  The releases were located near the blasting tent.

 

On January 28, 2011, Respondent provided documentation that the steel shot blast is no longer being released and the blasting area has been cleaned up.

 

n.        Pursuant to 329 IAC 10-4-2, no person shall cause or allow the storage, containment, processing, or disposal of solid waste in a manner which creates a threat to human health or the environment, including the creating of a fire hazard, vector attraction, air or water pollution, or other contamination.

 

As noted during the March 16, 2010 and March 19, 2010, inspections, Respondent caused and/or allowed solid waste, including, but not limited to the steel shot blast from blasting of piping for tank barges, to be disposed at the Site in a manner which creates a threat to human health or the environment.  The releases were located near the blasting tent.

 

On January 28, 2011, Respondent provided documentation that the steel shot blast is no longer being released and the blasting area has been cleaned up.

 

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.         Upon the Effective Date, Respondent shall ensure that the facility does not operate as a  hazardous waste storage facility without complying with the requirements of 40 CFR 264 and the permit requirements of 40 CFR 270.

 

3.         Within thirty (30) days of the Effective Date of this Agreed Order, Respondent shall decontaminate the hazardous waste container storage area noted in Finding 7.d., hereinafter referred to as “the pad”, as follows:

 

a.         remove all wastes from the pad and appropriately dispose;

 

b.         mechanically clean the pad by scraping, sweeping, or other method, to remove all physical contamination;

 

c.         inspect the pad for cracks.  If cracks are detected, perform Item j. at this point;

 

d.         wash the pad with a high pressure steam cleaner with detergent or appropriate solvent to remove the previously stored waste materials;

 

e.         rinse the pad three (3) times with water;

 

f.          collect the third (final) rinsate separately and analyze two (2) samples to show that the pad’s surface meets the cleanup levels.  For inorganic and certain organic parameters, the cleanup levels of the rinsate will be based on the Maximum Contaminant Levels (MCLs) of the National Primary Drinking Water Regulations (40 CFR 141).  For the organic parameters without MCLs, the cleanup levels of the rinsate will be based on the analytical methods’ Estimated Quantitation Limits (EQLs), as defined in SW-846.  The analytical parameters will be based on wastes previously stored on the pad;

 

g.         the decontamination procedure shall be repeated until the cleanup levels are met;

 

h.         ensure that care is taken to prevent migration of cleaning liquids from the pad area;

 

i.          collect and dispose of all residues and rinsates as hazardous waste unless the residues and rinsates are analyzed and determined to be non-hazardous;

 

j.          sample the soil underlying any cracks found in the inspection to check for contamination.  If no contamination is found, seal the cracks and proceed with Items d. through i. above;

 

k.         if contamination is found, submit a hazardous waste closure plan within sixty (60) days to IDEM for approval for the container storage area in accordance with the provisions of 40 CFR 264 Subpart G, as incorporated by 329 IAC 3.1-9-1;

 

l.          upon notice of approval of the closure plan by IDEM, implement the approved plan in accordance with the time frames contained therein.

 

4.         Within fifteen (15) days of completing the decontamination required in Order 3, Respondent shall submit documentation, including sample results, that the decontamination has been completed to IDEM for review.  Analytical results submitted to IDEM for review shall include signed chain-of-custody sheets, sampling dates, analysis dates, analytical methods used, MCLs, EQLs and quality control results.  The quality assurance/quality control (QA/QC) results shall include initial and continuing calibration results, blank results, matrix duplicates, and matrix spike/matrix spike duplicate results.

 

5.         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 (3) submissions of such plan by Respondent, IDEM may modify and approve any such plan and Respondent must implement the plan as modified by IDEM.  The approved plan shall be incorporated into this Agreed Order and shall be deemed an enforceable part thereof.

 

6.          Upon the Effective Date, Respondent shall ensure compliance with 40 CFR 265.171.  Specifically Respondent shall ensure that, if a container holding hazardous waste is not in good condition, or if it begins to leak, the generator must transfer the hazardous waste from this container to a container that is in good condition.

 

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

 

Idelia Walker-Glover, Enforcement Case Manager

Office of Land Quality – Mail Code 60-02L

Indiana Department of Environmental Management

100 North Senate Avenue

Indianapolis, IN 46204-2251

 

 8.        Respondent is assessed a civil penalty of Twenty One Thousand Four Hundred Dollars ($21,400).  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

Penalty

3

$1,000 per week or part thereof

4

$500 per week or part thereof

 

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 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 IDEM issues a Resolution of Case letter to Respondent.

 

TECHNICAL RECOMMENDATION:

RESPONDENT:

Department of Environmental Management

 

 

 

By: _________________________

By:  _________________________

 

Nancy Johnston, Section Chief

 

 

Enforcement Section

Printed: ______________________

Office of Land Quality

 

 

Title: ________________________

 

 

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

_____________________,

 2011.

 

 

For the Commissioner:

 

 

 

Signed September 14, 2011

 

Bruce H Palin

 

Assistant Commissioner

 

Office of Land Quality