STATE OF INDIANA

)

SS:

BEFORE THE INDIANA DEPARTMENT OF

 

)

 

 

COUNTY OF MARION

)

 

ENVIRONMENTAL MANAGEMENT

 

COMMISSIONER OF THE DEPARTMENT

)

 

OF ENVIRONMENTAL MANAGEMENT,

 

)

 

 

 

)

 

Complainant,

 

)

 

 

 

)

 

 

v.

 

)

Case No. 2020-27545-C

 

 

)

 

EGG INNOVATIONS, LLC-ATWOOD FARM,

 

)

 

 

 

)

 

Respondent.

 

)

 

 

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 Indiana Code (“IC”) 13-30-3-3, entry into the terms of this Agreed Order does not constitute an admission of any violations 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 IC 13-13-1-1.

 

2.            Respondent is Egg Innovations, LLC-Atwood Farm, which owns and operates the farm, with Confined Feeding Operation ID No. 1089, AW-6456, located at 4811 W CR 100 N in Warsaw, Kosciusko 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 United States Postal Service to:

 

John Hornbostel, Vice President Sustainability/Co-Manufacturing

Egg Innovations, LLC

jhornbostel@egginnovations.com

P.O. Box 1275

Warsaw, Indiana 46580

 

Cathy Brunnquell, Registered Agent

Egg Innovations, LLC

4799 W 100 N

Warsaw, Indiana 46580

 

5.            Egg Innovations, LLC is the largest originator of 100% free range and pasture raised eggs. Egg Innovations, LLC-Atwood Farm holds an existing poultry Confined Feeding Operation (CFO) permit, Farm ID #1089, renewed on February 7, 2020, effective March 2, 2020.

 

6.            During an investigation including an inspection on September 15, 2020, and a record review on December 14, 2020 conducted by a representative of IDEM, the following violations were found:

 

a.         Pursuant to 327 Indiana Administrative Code (“IAC”) 19-7-5(d), a manure test must be obtained that provides sufficient information about the manure content to allow for nutrient recommendations for existing or planned crops and to minimize nutrient leaching. The frequency of this testing must be:

(1)          Specified in the manure management plan; and

(2)          Conducted a minimum of once every year.

 

Respondent’s manure test result for the egg wash water did not have an amount listed for nitrogen, and the results for the egg wash water were noted in parts per million as opposed to parts per thousand-gallon units.

 

On December 2, 2020, updated manure and soil test results were submitted. An average of two separate egg wash water test results were used to calculate the amounts of nitrogen and phosphorus applied.

 

b.            Pursuant to 327 IAC 19-14-3(d), as of the effective date of this article, the following must comply with the phosphorus application rates in Table 1:

(1)          Large CAFOs, as defined in 40 CFR 122.23(b) that were approved for initial construction after February 13, 2003,

(2)          CAFOs with a NPDES permit,

(3)          CFOs approved for initial construction after the effective date of this article.

 

Respondent land applied egg wash water to fields which have soil phosphorus levels greater than 400 ppm.

 

The egg wash water is no longer being land applied, but is being pumped into a tanker and land applied to acreage on Hoffman Farms, or neighboring farms.

 

c.            Pursuant to 327 IAC 19-14-3(f), the following information must be added to the operating record as needed in accordance with required time frames established in this article and IC 13-18-10, and must be maintained and updated in the operating record:

(1)          Expected crop yields,

(2)          The date or dates manure, litter, or process wastewater is applied to each field,

(3)          Precipitation events at the time of application and for twenty-four (24) hours prior to and following application,

(4)          Test methods used to sample and analyze manure, litter, process wastewater, and soil,

(5)          Results from manure, litter, process wastewater, and soil sampling,

(6)          An explanation of the basis for determining manure, litter, and process wastewater application rates,

(7)          Calculations showing the manure nitrogen and phosphorus to be applied to each field,

(8)          Total amount of nitrogen and phosphorus actually applied to each field, including documentation of calculations for the total amount applied,

(9)          The method used to apply the manure, litter, or process wastewater,

(10)       The date or dates of manure, litter, or process wastewater application equipment inspection,

(11)     USDA soil survey maps of currently available land application sites,

(12)     The type of manure applied,

(13)     A written conservation plan with an explanation of conservation practices used must be completed and implemented prior to land application on highly erodible land, if required in section 4(j) of this rule. CAFOs with a NPDES permit must have a nutrient management plan prior to land application on highly erodible land.

 

Respondent did not have the calculations showing the amount of nitrogen and phosphorus land applied from the egg wash water.

 

On December 11, 2020, land application records were submitted showing the calculations for amounts of nitrogen and phosphorus land applied.

 

Since Respondent is no longer land applying, the amounts of nitrogen and phosphorus will be maintained in the marketing and distribution records.

 

d.            Pursuant to 327 IAC 19-14-7(a), the owner/operator of the CFO shall provide an information sheet to any person that receives or purchases more than ten (10) cubic yards of dry manure or four thousand (4,000) gallons of liquid manure in a year from the CFO unless the owner/operator takes responsibility for applying the manure.

 

Respondent did not provide information sheets to Harlon Slabough, who purchased 100% of the solid poultry manure, or have a copy in the operating record.

 

Information sheets were provided to Harlan Slabough, and also to a new contractor who is licensed with the Office of State Chemist.

 

7.            Orders of the Commissioner are subject to administrative review by the Office of Environmental Adjudication under IC 4-21.5; however, in recognition of the settlement reached, Respondent acknowledges notice of this right and 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 the rules listed in the findings of fact above.

 

3.            Effective immediately, Respondent shall not land apply egg wash water to their fields until the phosphorus levels have dropped under 200 ppm.

 

4.            All submittals required by this Agreed Order, unless IDEM notifies the Respondent otherwise in writing, shall be sent to:

 

Jodi Pisula, Enforcement Case Manager

Office of Land Quality

Indiana Department of Environmental Management

100 North Senate Avenue

Indianapolis, IN 46204-2251

 

5.            Pursuant to IC 13-30-4-1, Respondent is assessed and agrees to pay a civil penalty of Fifteen Thousand Seven Hundred Fifty Dollars ($15,750.00). Said penalty amount shall be due and payable to the “Environmental Management Special Fund within thirty (30) days of the Effective Date; the thirtieth day being the “Due Date.”

 

6.            In the event the terms and conditions of the following paragraphs are violated, Complainant may assess and Respondent shall pay stipulated penalties in the following amounts:

 

Paragraph

Stipulated Penalty

Order paragraph #3

$100.00 per week

 

7.            Stipulated penalties shall be due and payable no later than the thirtieth day after Respondent receives written notice that Complainant has determined a stipulated penalty is due; the thirtieth day being the “Due Date.” Complainant may notify Respondent at any time that a stipulated penalty is due. Failure to notify Respondent in writing in a timely manner of a stipulated penalty assessment shall not waive Complainant’s right to collect such stipulated penalty or preclude Complainant from seeking additional relief against Respondent for violation of this Agreed Order. Neither assessment nor payment of stipulated penalties shall preclude Complainant from seeking additional relief against Respondent for a violation of this Agreed Order; such additional relief includes any remedies or sanctions available pursuant to 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:

 

Indiana Department of Environmental Management

Accounts Receivable

IGCN, Room 1340

100 North Senate Avenue

Indianapolis, IN 46204

 

9.            In the event that the monies due to IDEM pursuant to this Agreed Order are not paid on or before their Due Date, Respondent shall pay interest on the unpaid balance at the rate established by IC 24-4.6-1. The interest shall be computed as having accrued from the Due Date until the date that Respondent pays any unpaid balance. Such interest shall be payable to the Environmental Management Special Fund and shall be payable to IDEM in the manner specified in Paragraph 8, above.

 

10.         Signatories to this Agreed Order certify that they are fully authorized to execute this Agreed Order and legally bind the party they represent.

 

11.         This Agreed Order shall apply to and be binding upon Respondent and all successors and assigns. Respondent shall provide a copy of this Agreed Order, if in force, to any subsequent owners, successors, or assigns before ownership rights are transferred.

 

12.         No change in ownership, corporate, or partnership status of Respondent shall in any way alter the Respondent’s status or responsibilities under this Agreed Order.

 

13.         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.         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.

 

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 the obligation to comply with the requirements of any applicable permits or any applicable Federal or State laws or regulations.

 

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 violations specified in the NOV.

 

18.         Nothing in this Agreed Order shall prevent IDEM or anyone acting on its behalf from communicating with the U.S. Environmental Protection Agency (U.S. 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 U.S. EPA or any other agency or entity.

 

19.         This Agreed Order shall remain in effect until IDEM issues a Resolution of Case letter to Respondent.

 

TECHNICAL RECOMMENDATION:

RESPONDENT:

Department of Environmental Management

Egg Innovations, LLC-Atwood Farm

 

 

By: _________

By:  _________________________

 

Jennifer Reno, Section Chief

 

 

Land Enforcement Section

Printed: ______________________

Office of Land Quality

 

 

Title: ________________________

 

 

Date: ____

Date: _______________________

 

 

 

 

 

COUNSEL FOR RESPONDENT:

 

 

 

 

 

By: ________________________

 

 

 

 

 

 

Date: ______________________

 

APPROVED AND ADOPTED BY THE INDIANA DEPARTMENT OF ENVIRONMENTAL

MANAGEMENT THIS

_________

DAY OF

________________________,

20__.

 

 

For the Commissioner:

 

 

 

_Signed 5/4/2021_____

 

Peggy Dorsey, Assistant Commissioner

 

Office of Land Quality