STATE OF INDIANA

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SS:

BEFORE THE INDIANA DEPARTMENT OF

 

)

 

 

COUNTY OF MARION

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ENVIRONMENTAL MANAGEMENT

 

COMMISSIONER OF THE DEPARTMENT

)

 

OF ENVIRONMENTAL MANAGEMENT,

 

)

 

 

 

)

 

Complainant,

 

)

 

 

 

)

 

 

v.

 

)

Case No. 2022-28734-H

 

 

)

 

WOLF LAKE TERMINALS INC.,

 

)

 

 

 

)

 

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 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 IC 13-13-1-1.

 

2.            Respondent is Wolf Lake Terminals Inc. (“Respondent”), which owns/operates the facility with United States Environmental Protection Agency (“EPA”) ID No. IND054101415, located at 3200 Sheffield Avenue, in Hammond, Lake 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:

 

Wolf Lake Terminals Inc.

 

Garland Middendorf, Registered Agent

Attn: Garland Middendorf, President

 

for Wolf Lake Terminals Inc.

RFD 1

 

3200 Sheffield Avenue, Building #3

Rocheport, MO 65279

 

Hammond, IN 46327

 

5.            Respondent notified EPA of Large Quantity Generator activities.

 

6.            Wolf Lake Terminals Inc. provides bulk liquid storage services.

 

7.         329 Indiana Administrative Code (“IAC”) 3.1 incorporates federal hazardous waste management requirements found in 40 Code of Federal Regulations (“CFR”) Parts 260 through 270 and Part 273, including those identified below.

 

7.            During an investigation including an inspection on September 1, 2020, and a record review on March 24, 2022, conducted by a representative of IDEM, the following violations were found:

 

a.         Pursuant to 40 CFR 262.11(a), a person who generates a solid waste must determine if that waste is a hazardous waste at the point of waste generation, before any dilution, mixing, or other alteration of the waste occurs, and at any time in the course of its management that it has, or may have, changed its properties as a result of exposure to the environment or other factors that may change the properties of the waste such that the RCRA classification of the waste may change.

 

As noted during the record review, Respondent did not make a proper hazardous waste determination on a mineral spirits and diesel mixture in February 2018 when three (3) shipments were made to Lonestar Buzzi Unicem in Greencastle, Indiana, on bills of lading. Respondent improperly applied the exclusion of 40 CFR 261.2(c)(2)(ii) as the diesel fuel was never intended to be a fuel.

 

b.         Pursuant to 40 CFR 262.13, a generator must determine its generator category.  A generator’s category is based on the amount of hazardous waste generated each month and may change from month to month.

 

As noted during the inspection, Respondent failed to properly determine its generator category. Based on the volume of waste generated, Respondent operated as a large quantity generator in October 2019 and November 2019. For the month of September 2019 and the months December 2019 through July 2020, generator status could not be determined as the volume of waste generated was unknown.

 

c.         Pursuant to 40 CFR 262.20, a generator who transports, or offers for transportation, hazardous waste for offsite treatment, storage, or disposal, must prepare a manifest. A generator must designate on the manifest one facility which is permitted to handle the waste described on the manifest. A generator may designate an alternate facility to handle his waste in the event that an emergency prevents delivery of the waste to the primary designated facility.

 

As noted during the inspection and record review, Respondent offered hazardous waste for transportation for offsite treatment, storage, or disposal without preparing a manifest when it shipped twenty-three (23) gallons of D039 hazardous waste to Safety Kleen Systems on October 2, 2019, November 26, 2019, and August 28, 2020. During the time of these shipments, Respondent was operating as either a small quantity generator of hazardous waste or a large quantity generator of hazardous waste.

 

Additionally, Respondent failed to utilize a hazardous waste manifest when it shipped Flammable Liquid, N.O.S. (mineral spirits, diesel fuel), UN 1993, PG III totaling 18,300 gallons to Lone Star Buzzi Unicem in Greencastle, IN in September 2018 on bills of lading.

 

d.         Pursuant to IC 13-30-2-1(12), a person may not cause or allow the transportation of a hazardous waste without a manifest if a manifest is required by law.

 

As noted during the inspection and record review, Respondent caused or allowed the transportation of a hazardous waste without a manifest as required by law when it shipped twenty-three (23) gallons of D039 hazardous waste to Safety Kleen Systems on October 2, 2019, November 26, 2019, and August 28, 2020. During the time of these shipments, Respondent was operating as either a small quantity generator of hazardous waste or a large quantity generator of hazardous waste.

 

Additionally, Respondent failed to utilize a hazardous waste manifest when it shipped Flammable Liquid, N.O.S. (mineral spirits, diesel fuel), UN 1993, PG III totaling 18,300 gallons to Lone Star Buzzi Unicem in Greencastle, IN in September 2018 on bills of lading.

 

e.         Pursuant to 40 CFR 262.15(a)(5)(i), a generator must mark or label its satellite hazardous waste containers with the words “Hazardous Waste”.

 

As noted during the inspection, Respondent failed to mark one (1) satellite accumulation container in the laboratory with the words “Hazardous Waste.”

 

f.          Pursuant to 40 CFR 262.15(a)(5)(ii), a generator must mark or label its satellite hazardous waste containers with an indication of the hazards of the contents.

 

As noted during the inspection, Respondent failed to mark one (1) satellite accumulation container in the laboratory with the indication of its hazards.

 

g.         Pursuant to 40 CFR 262.16(b)(6)(i)(B), a small quantity generator may accumulate hazardous waste on-site for 180 days or less without a permit, provided that, while being accumulated on-site, each container is labeled or marked with an indication of the hazards of the contents.

 

As noted during the inspection, Respondent accumulated hazardous waste on-site, without a permit, and failed to clearly mark one (1) hazardous waste tote located in the bucket room with an indication of the contents.

 

h.         Pursuant to 40 CFR 262.16(b)(7) and 40 CFR 262.17(a)(9) referencing 40 CFR 268.7(a), a generator must determine if a hazardous waste is restricted from land disposal and if the waste has to be treated before being land disposed.

 

As noted during the inspection and record review, Respondent failed to submit a land disposal restriction notification form to Safety Kleen and place a copy in the Respondent’s files when it shipped hazardous waste as a large quantity generator in the months of October and November 2019 and August 2020.

 

Additionally, Respondent shipped Flammable Liquid, N.O.S. (mineral spirits, diesel fuel), UN 1993, PG III totaling 18,300 gallons to Lone Star Buzzi Unicem in Greencastle, IN in September 2018 on bills of lading. Respondent should have utilized a hazardous waste manifest and land disposal restriction notification form.

 

8.            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 statutes and rules listed in the findings of fact above.

 

3.            Within thirty (30) days of the Effective Date, Respondent shall comply with 40 CFR 262.11. Specifically, Respondent shall submit to IDEM documentation verifying a proper waste determination has been completed for the mineral spirits and diesel mixture.

 

4.            Within thirty (30) days of the Effective Date, Respondent shall comply with 40 CFR 262.13. Specifically, Respondent shall determine its generator category based upon the amount of hazardous waste generated monthly.

 

5.            Upon the Effective Date of the Agreed Order, Respondent shall comply with 40 CFR 262.20 and IC 13-30-2-1(12). Specifically, Respondent shall ensure any regulated hazardous waste offered for transportation is accompanied by a uniform hazardous waste manifest designated to a permitted treatment, storage, or disposal facility.

 

6.            Upon the Effective Date of the Agreed Order, Respondent shall comply with 40 CFR 262.15(a)(5)(i) and (ii).  Specifically, Respondent shall mark all satellite accumulation containers with the words “Hazardous Waste” and the indication of the hazards of the contents.

 

7.            Upon the Effective Date of the Agreed Order, Respondent shall comply with 40 CFR 262.16(b)(6)(i)(B). Specifically, Respondent shall mark all hazardous waste containers with the indication of the hazards of the contents.

 

8.         Upon the Effective Date of the Agreed Order, Respondent shall comply with 40 CFR 268.7(a). Specifically, Respondent shall ensure with the initial shipment of hazardous waste (meeting or not meeting treatment standards) that a one-time written notice is sent to each treatment, storage, and disposal facility receiving the waste. Additionally, Respondent shall keep a copy of the written notice on file.

 

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

 

Debbie Chesterson, Enforcement Case Manager

Office of Land Quality

Indiana Department of Environmental Management

100 North Senate Avenue

Indianapolis, IN 46204-2251

 

10.         Pursuant to IC 13-30-4-1, Respondent is assessed and agrees to pay a civil penalty of Six Thousand Eight Hundred Dollars ($6,800). Respondent shall pay a portion of this penalty in the amount of One Thousand Three Hundred Sixty Dollars ($1,360). Respondent shall pay by the due date printed on the Invoice, as attached.

 

Civil and stipulated penalties are payable to the “Environmental Management Special Fund” by:

 

Mail:

Civil 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

 

Online:

Accounts Receivable is accepting payments online by e-Check, Master Card, Visa or Discover. Please visit www.IN.gov/IDEM. Under Online Services, click Online Payment options and follow the prompts. A processing fee of $1 plus 1.99% will be charged for credit card payments.  A processing fee of $1.00 will be charged for eCheck payments.

 

The Case Number is required to complete the process.

 

Phone:

You may also call us at 317-234-3099 and follow the instructions for Master Card, Visa or Discover payments. A processing fee of $1 plus 1.99% will be charged for credit card payments.  A processing fee of $1.00 will be charged for eCheck payments.

 

The Case Number is required to complete the process.

 

11.         In lieu of payment to IDEM of the remaining civil penalty, Respondent shall, as a Supplemental Environmental Project (SEP), make a cash payment of Five Thousand Four Hundred Forty Dollars ($5,440) to the United States Environmental Protection Agency to partially support the Great Lakes Legacy Act project described in Subparagraph A. below. Respondent shall make such payment in accordance with Subparagraphs F through G below. Timely, full payment to the United States Environmental Protection Agency satisfies Respondent’s obligation to undertake a SEP to offset a portion of the civil penalty assessed in this matter.

 

A.        The project to be partially supported by the SEP lies within the Grand Calumet River / Indiana Harbor Ship Canal Great Lakes Area of Concern (AOC) designated by the International Joint Commission. Specifically, the project consists of sediment remediation and habitat restoration in and adjacent to a 3.1-mile reach of the East Branch Grand Calumet River (EBGCR) that extends from the most upstream boundary of either the: (1) ConRail Bridge; or (2) the downstream terminus of the US Steel sediment project (near the Gary Sanitary District National Pollutant Discharge Elimination System permitted outfall) to Cline Road.

 

B.           If, following deposit of the funds pursuant to Subparagraphs F through G of this Agreed Order, IDEM determines that the aforementioned Great Lakes Legacy Act project is no longer viable, the agency reserves the right to apply the cash payment described in Subparagraph A to another, similar Great Lakes Legacy Act project within the Grand Calumet River / Indiana Harbor Ship Canal AOC.

 

C.           The implementation of this SEP will benefit human health and the environment within the AOC by reducing exposure to sediment contaminants, including PCBs, oil and grease, and heavy metals, via direct contact and through the food chain. Remediation of contaminated sediments is the key action that has been identified as needed to remove six of the 12 remaining Beneficial Use Impairments (“BUIs”) negatively impacting the AOC. These BUIs are:

·                     Restrictions on fish and wildlife consumption

·                     Tainting of fish and wildlife flavor

·                     Fish tumors or other deformities

·                     Bird or animal deformities or reproduction problems

·                     Degradation of benthos (aquatic organisms that live on, in, or near the bottom of waterways)

·                     Restriction on dredging activities.

 

D.         In addition to the direct impacts on human health and the environment, remediation of contaminated sediment at Great Lakes AOCs has been linked to economic growth and revitalization at affected communities.

 

E.         Respondent agrees to invoicing by the United States Environmental Protection Agency, for the full amount of the SEP, via electronic mail sent to the following address: mtaylor@wolflakeinc.com.

 

F.          The Respondent shall render payment via check to the United States Environmental Protection Agency by the due date printed on the Invoice, which shall be no sooner than 30 days following the issuance of the Invoice. The Respondent shall include the account number listed on the invoice in the memo line of the check. The check shall be sent via Certified Mail or an equivalent shipping method utilizing signed receipt confirmation, along with a printed copy of the invoice received from the United States Environmental Protection Agency, to:

 

U.S. Environmental Protection Agency

FOIA & Miscellaneous Payments

Government Lockbox 979078

1005 Convention Plaza

SL-MO-C2-GL

St. Louis, MO 63101

 

G.           Respondent shall provide Complainant with: (1) documentation of payment, (2) a copy of the invoice issued by the United States Environmental Protection Agency and (3) a copy of this Agreed Order via Certified Mail within one (1) week of such payment.

 

H.           In the event that Respondent does not make its SEP payment to the United States Environmental Protection Agency by the due date printed on the invoice, the full amount of the civil penalty as stated in this paragraph, plus interest established by IC 24-4.6-1-101 on the remaining amount, less the portion of the civil penalty Respondent has already paid, will be due to IDEM within fifteen (15) days from Respondent’s receipt of IDEM’s notice to pay. Interest, at the rate established by IC 24-4.6-1-101, shall be calculated on the amount due from the due date printed on the invoice received from the United States Environmental Protection Agency until the full civil penalty is paid.

 

12.         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 per week

 

13.         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.

 

14.         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 an additional penalty of 10 percent, payable to the “Environmental Management Special Fund”, and shall be payable to IDEM in the manner specified in Paragraph 10, above.

 

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

 

16.         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.

 

17.         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.

 

18.         Respondent shall ensure that all contractors, firms, and other persons performing work under this Agreed Order comply with the terms of this Agreed Order.

 

19.         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.

 

20.         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.

 

21.         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.

 

22.         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.

 

23.         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.

 

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

 

TECHNICAL RECOMMENDATION:

RESPONDENT:

Department of Environmental Management

 

 

 

 

 

By:

 

 

By:

 

 

Jennifer Reno, Chief

Printed:

 

 

Land Enforcement Section

Title:

 

 

Compliance Branch

 

 

 

Office of Land Quality

 

 

Date:

 

 

Date:

 

 

 

 

 

 

 

 

 

 

COUNSEL FOR RESPONDENT:

 

 

By:

 

 

 

Printed:

 

 

 

Date:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

APPROVED AND ADOPTED BY THE INDIANA DEPARTMENT OF ENVIRONMENTAL

MANAGEMENT THIS

 

DAY OF

 

, 20_____

 

 

 

 

 

 

For the Commissioner:

 

 

Signed on 12/15/22

 

 

 

 

Peggy Dorsey

 

 

Assistant Commissioner

 

 

Office of Land Quality