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

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OF ENVIRONMENTAL MANAGEMENT,

 

)

 

 

 

)

 

Complainant,

 

)

 

 

 

)

 

 

v.

 

)

Case No. 2023-29641-H

 

 

)

 

lakeshore railcar &

tanker services llc,

 

)

)

 

 

 

)

 

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 Lakeshore Railcar & Tanker Services LLC (“Respondent”), which owned/operated the facility with United States Environmental Protection Agency (“EPA”) ID No. IND981960313, located at 1150 45th Street, in East Chicago, 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, on January 23, 2024, IDEM issued a Notice of Violation (“NOV”) via certified mail to:

 

 

Clint Morris, General Manager

Corporation Service Company

Lakeshore Railcar & Tanker Services LLC

Registered Agent

1150 East 145th Street

Lakeshore Railcar & Tanker Services LLC

East Chicago, Indiana 46312

135 N. Pennsylvania Street, Suite 1610

Clint.morris@patriotrail.com

Indianapolis, Indiana 46204

 

5.                  Respondent notified EPA of Large Quantity Generator activities on May 21, 2023.

 

6.                  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 August 22, 2023, conducted by a representative of IDEM, the following violations were found:

 

a.         Pursuant to 40 CFR 262.17(a), a large quantity generator that accumulates hazardous waste on site 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 inspection, Respondent stored two (2) containers of hazardous waste on-site for greater than 90 days without complying with 40 CFR Part 264 and 40 CFR Part 270.

 

b.         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 inspection, Respondent failed to notify the Commissioner of hazardous waste storage activities. Specifically, Respondent stored two (2) containers of hazardous waste on-site for greater than 90 days.

 

c.         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 inspection, Respondent stored hazardous waste identified or listed in 40 CFR Part 261 without a permit. Specifically, Respondent stored two (2) containers of hazardous waste on-site for greater than 90 days.

 

d.         Pursuant to 40 CFR 262.17(a)(1)(ii), if a container holding hazardous waste is not in good condition, or if it begins to leak, the large quantity generator must immediately transfer the hazardous waste from this container to a container that is in good condition, or immediately manage the waste in some other way that complies with the conditions for exemption.

 

As noted during the inspection, Respondent stored hazardous waste in one (1) container [Drum 94] that was not in good condition.

 

e.         Pursuant to 40 CFR 262.17(a)(1)(v), at least weekly, the large quantity generator must inspect central accumulation areas. The large quantity generator must look for leaking containers and for deterioration of containers caused by corrosion or other factors.

 

As noted during the inspection, Respondent failed to conduct weekly inspections of the 90-day central accumulation area for the week of February 19, 2023 and July 16, 2023.

 

f.          Pursuant to 40 CFR 262.17(a)(5)(i)(B), a large quantity generator may accumulate hazardous waste on-site for 90 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 seven (7) hazardous waste containers on-site, without a permit, and did not label or clearly mark containers with an indication of the hazards of the contents.

 

g.         Pursuant to 40 CFR 262.17(a)(5)(i)(C), a large quantity 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 inspection, Respondent accumulated hazardous waste on-site, without a permit, and did not mark two (2) hazardous waste containers with accumulation start dates.

 

h.         Pursuant to 40 CFR 262.17(a)(6) referencing 40 CFR 262.256(b), a large quantity generator must attempt to make arrangements with local emergency authorities to familiarize them with the facility.

 

As noted during the inspection, Respondent did not attempt to make arrangements with local emergency authorities.

 

i.          Pursuant to 40 CFR 262.17(a)(6) referencing 40 CFR 262.262(b), a large quantity generator that first becomes subject to these provisions after May 30, 2017 or a large quantity generator that is otherwise amending  its contingency plan must at that time submit a quick reference guide of the contingency plan to the local emergency responders identified at paragraph (a) of this section or, as appropriate, the Local Emergency Planning Committee. The quick reference guide must include:

 

(1)        The types/names of hazardous wastes in layman’s terms and the associated

hazard associated with each hazardous waste present at any one time.

(2)        The estimated maximum amount of each hazardous waste that may be present at any one time.

(3)        The identification of any hazardous wastes where exposure would require unique or special treatment by medical or hospital staff.

(4)        A map of the facility showing where hazardous wastes are generated, accumulated and treated and routes for accessing these wastes.

(5)        A street map of the facility in relation to surrounding businesses, schools, residential areas to understand how best to get to the facility and also evacuate citizens and workers.

(6)        The locations of water supply.

(7)        The identification of on-site notification systems; and

(8)        The name of the emergency coordinator(s) and 7/24-hour emergency telephone number(s) or, in the case of a facility where an emergency coordinator is continuously on duty, the emergency telephone number for the emergency coordinator.

 

As noted during the inspection, Respondent failed to have a quick reference guide.

 

j.          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 accumulated hazardous waste in one (1) container at or near the point of generation without a permit and did not properly mark satellite accumulation containers with the words “Hazardous Waste.”

 

            k.         Pursuant to 40 CFR 262.15(a)(6), a generator who accumulates either acute

hazardous waste listed in §261.31 or §261.33(e) of this chapter or non-acute hazardous waste in excess of the amounts listed in paragraph (a) of this section at or near any point of generation must do the following:

(i)        Comply within three consecutive calendar days with the applicable central accumulation area regulations in §262.16(b) or §262.17(a), or

(ii)       Remove the excess from the satellite accumulation area within three consecutive calendar days to either:

(A)       A central accumulation area operated in accordance with the applicable regulations in §262.16(b) or §262.17(a);

(B)       An on-site interim status or permitted treatment, storage, or disposal facility, or

(C)       An off-site designated facility; and

(iii)      During the three-consecutive-calendar-day period the generator must continue to comply with paragraphs (a)(1)

through (5) of this section. The generator must mark or label the container(s) holding the excess accumulation of

hazardous waste with the date the excess amount began accumulating.

 

As noted during the inspection, Respondent accumulated 65 (55-gallon) containers at a satellite accumulation area [Deheel Pad] for greater than three (3) consecutive days.

 

8.         On or before January 1, 2024, Respondent transitioned to a railroad switching and transload facility and no longer generates hazardous waste.

 

9.         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.                  Immediately upon the Effective Date, Respondent shall comply with 40 CFR 262.17(a); IC 13-30-2-1(10); 40 CFR 270.1(c); 40 CFR 262.17(a)(1)(ii); 40 CFR 262.17(a)(1)(v); 40 CFR 262.17(a)(5)(i)(B); 40 CFR 262.17(a)(5)(i)(C); 40 CFR 262.15(a)(5)(i); and 40 CFR 262.15(a)(6).

 

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

 

Linda McClure, Enforcement Case Manager

Office of Land Quality

Indiana Department of Environmental Management

100 North Senate Avenue

Indianapolis, IN 46204-2251

 

4.                  Pursuant to IC 13-30-4-1, Respondent is assessed and agrees to pay a civil penalty of Eleven Thousand Six Hundred Dollars ($11,600). After this Agreed Order is adopted (signed by the Assistant Commissioner of the Office of Land Quality), Respondent shall pay by the due date printed on the Invoice that will be attached to the adopted Agreed Order.

 

Civil and stipulated penalties are payable to the “Indiana Department of Environmental Management” by:

 

Mail:

Civil penalties are payable by check to the “Indiana Department of Environmental Management.” Checks shall include the Case Number of this action and shall be mailed to:

 

Indiana Department of Environmental Management

Accounts Receivable

P.O. Box 3295

Indianapolis, IN 46206

 

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 $0.40 plus 2.06% will be charged for credit card payments.  A processing fee of $0.15 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 $0.40 plus 2.06% will be charged for credit card payments.  A processing fee of $0.15 will be charged for eCheck payments.

The Case Number is required to complete the process.

 

5.                  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 “Indiana Department of Environmental Management,” and shall be payable to IDEM in the manner specified in Paragraph 4, above.

 

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

 

7.                  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.

 

8.                  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.

 

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

 

10.              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.

 

11.              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.

 

12.              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.

 

13.              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.

 

14.              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.

 

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

 

REMAINDER OF PAGE LEFT BLANK INTENTIONALLY

 

TECHNICAL RECOMMENDATION:

RESPONDENT:

Department of Environmental Management

 

 

 

 

By:

 

 

By:

 

 

Jennifer Reno, Chief

Printed:

 

 

Land Enforcement Section

Title:

 

 

Compliance Branch

 

 

 

Office of Land Quality

 

 

Date:

 

2/21/2024

 

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 3/5/2024

 

 

 

 

 

 

 

 

Peggy Dorsey

 

 

Assistant Commissioner

 

 

Office of Land Quality