STATE OF INDIANA    )            BEFORE THE INDIANA DEPARTMENT
                )    SS:
COUNTY OF MARION    )            OF ENVIRONMENTAL MANAGEMENT

COMMISSIONER OF THE DEPARTMENT    )
OF ENVIRONMENTAL MANAGEMENT,    )
                            )
                Complainant,        )
                            ) Cause No. H-12558
            v.                )
                            )
VIKING FORMED PRODUCTS            )
                            )
                Respondent.        )

    The Complainant and the 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.

     1.    Complainant is the Commissioner (hereinafter referred to as "Complainant") of the Indiana Department of Environmental Management, a department of the State of Indiana created by IC 13-13-1-1.

     2.    Respondent is Viking Formed Products ("Respondent"), who operates a company at 300 York Drive in Middlebury, Indiana. Respondent manufactures fiberglass parts.

     3.    The Indiana Department of Environmental Management ("IDEM") has jurisdiction over the parties and subject matter of this action.

     4.    Pursuant to IC 13-30-3-3, IDEM issued a Notice of Violation on May 13, 1996 via Certified Mail on May 13, 1996 to:

     5.    Respondent submitted notification of hazardous waste activities to the United States Environmental Protection Agency (U.S. EPA) on October 24, 1980, as a large quantity generator of hazardous waste. Respondent was assigned the U.S. EPA I.D. No. INT 190 010 611.

     6.    Based upon an investigation of the facility on August 17, 1995, by the Office of Solid and Hazardous Waste Management (hereinafter referred to as the "OSHWM") of the IDEM, the IDEM contends that the following violations were in existence or observed at the time of the inspection.

        a.    Pursuant to 40 CFR 262.11 and 40 CFR 268.7, a person who generates a solid waste, as defined by 40 CFR 261.2, must determine if that waste is hazardous. Based on information gathered by the IDEM, Respondent has not made a proper hazardous waste determination for the toluene solvent contaminated rags (F005). The rags were being disposed at the Elkhart County Landfill as a solid waste.

        b.    Pursuant to 40 CFR 262.12(c) and IC 13-30-2-1(11)(b), a generator must not offer his hazardous waste to transporters or to treatment, storage, or disposal facilities that have not received an EPA identification number or a permit from the IDEM. Based on information gathered by the IDEM, Respondent offered hazardous waste rags (F005) to Elkhart County Landfill, which had not received an EPA identification number or a permit from the department, for conducting hazardous waste disposal activities.

        c.    Pursuant to 329 IAC 3.1-7-3(a) and IC 13-30-2-1(12), a generator who transports, or offers for transport, hazardous waste for off-site treatment, storage, disposal, or recovery, must complete the manifest adopted by the Board on EPA Form 8700-22A. Based on information gathered by the IDEM, Respondent failed to use the manifest adopted by the Board for the hazardous waste rags (F005) offered to Elkhart County Landfill.

        d.    Pursuant to 40 CFR 262.34(a)(4) referencing 40 CFR 265.16(d) (2), the generator must maintain the required hazardous waste training documents and records at the facility. Based on information gathered by the IDEM, Respondent failed to maintain the following personnel training documents and records at the facility:

by the IDEM, twenty-seven (27) hazardous waste drums of D001/F003 located at the Building #203 Mold Repair Shop, and five (5) hazardous waste drums of D001/F003 located at the Plant #7 Resin Room were not properly marked with the start of accumulation date.

     7.    A settlement conference was held on July 11, 1996, to discuss the issues contained in this Agreed Order. Additional meetings were held on June 4, 1997 and August 7, 1997 to discuss the Agreed Order.

     8.    In recognition of the settlement reached, Respondent waives any right to administrative and judicial review of this Agreed Order.

     1.    This Agreed Order shall be effective ("effective date") when it is approved by the Complainant or his delegate, and has been received by the Respondent. This Agreed Order shall have no force or effect until the effective date.

     2.    Within thirty (30) days of the effective date of the Order, Respondent shall either cease using, have laundered by an industrial/commercial rag launderer, or make a proper waste determination for the toluene solvent contaminated rags and ensure that any and all hazardous waste solvent contaminated rags shipped off-site are sent to a permitted treatment, storage, or disposal facility with the appropriate manifest and Land Disposal Restriction (LDR) forms.

     3.    Upon the effective date of the Order, Respondent shall not offer hazardous waste rags to a transporter or to treatment, storage, or disposal facilities that has not received an EPA identification number or a permit from the department.

     4.    Upon the effective date of the Order, Respondent shall complete the manifest adopted by the Board for each shipment of hazardous waste sent off-site for treatment, storage, disposal, or recovery. Ensure that a copy of each manifest is submitted to the IDEM within five (5) days from the time the waste is shipped.

     5.    In the future, ensure that all hazardous waste training records are kept on current personnel until closure of the facility. Hazardous waste training records on former employees must be kept for at least three (3) years from the date the employee last worked at the facility.

     6.    Within thirty (30) days of the effective date of the Order, Respondent shall ensure that all hazardous waste which has been stored for greater than ninety (90) days is manifested off-site to a treatment, storage or disposal facility. Respondent shall submit copies of all manifests used to accompany this waste to IDEM within five

(5) days from the time it is shipped off-site. In the future, ensure that hazardous waste is not stored for greater than ninety (90) days without obtaining a permit for hazardous waste storage from IDEM.

     7.    Within thirty (30) days of the effective date of the Order, Respondent shall decontaminate the hazardous waste container storage areas noted in Finding 6.e., and document to IDEM that decontamination has been completed in the following manner:

        a.     Remove all wastes from the pad.

        b.     Inspect the pad for cracks. If cracks are detected, perform Item i at this point.

        c.     Mechanically clean the pad by scraping, sweeping, or other methods to remove all physical contamination.

        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.     The third (final) rinsate shall be collected separately and analyzed to show that the pad's surface meets the cleanup level. The cleanup level of the rinsate shall be based on the Maximum Contaminant Levels (MCLs) of the National Primary Drinking Water Regulations (40 CFR 141) and 40 CFR 264.94(a)(2) for inorganic and certain organic parameters with MCLs and the Practical Quantitation Limits (PQLs) as defined by SW-846 for the organic parameters without MCLs (PCBs, chlorinated dioxins, volatile organic compounds, and semi-volatile organic compounds) previously stored on the pad.

        g.     Respondent shall ensure that care is taken to prevent migration of cleaning liquids from the pad area.

        h.     All residues and rinsates shall be collected and disposed as hazardous waste unless the residues and rinsates are analyzed and determined to be nonhazardous.

        i.     The soil, underlying the cracks found in the inspection, shall be sampled to check for contamination. If no contamination is found, seal the cracks and proceed with Items d through h. If contamination is found, Respondent shall submit to the IDEM for approval, a closure plan for the container

storage area in accordance with the provisions of 40 CFR 264, Subpart G. Upon notice of approval of the closure plan by the IDEM, Respondent shall implement the approved plan in accordance with the time frames contained therein.

     8.    A material is accumulated speculatively, if it is accumulated before being recycled. A material is not accumulated speculatively, however, if the person accumulating it can show that the material is potentially recyclable and has a feasible means of being recycled; and that during the calendar year the amount of material that is recycled, or transferred to a different site for recycling, equals at least 75 percent     by weight or volume of the amount of that material accumulated at the beginning of the period. In the future, ensure that at least 75 percent of the off-spec polyester resin is recycled or used as feed stock into another production process each calendar year, as required by 40 CFR 261.1(c)(8).

     9.    Upon the effective date of the Order, Respondent shall ensure that all containers of hazardous waste are marked clearly with the words "Hazardous Waste" while the waste is being accumulated on-site, pursuant to 40 CFR 262.34(a)(3).

    10.    Upon the effective date of the Order, Respondent shall ensure that all hazardous waste containers are stored closed except when it is necessary to add or remove waste, pursuant to 40 CFR 265.173(a).

    11.    Upon the effective date of the Order, Respondent shall maintain adequate aisle space to allow the unobstructed movement of personnel, fire protection equipment, spill control equipment, and decontamination equipment in the container storage area, pursuant to 40 CFR 265.35.

    12.    Upon the effective date of the Order, Respondent shall perform weekly inspections of the containers of hazardous waste being accumulated on-site.

    13.    Upon the effective date of the Order, Respondent shall ensure that spill control equipment is provided at the less than 90-day accumulation area, pursuant to 40 CFR 265.32(c).

    14.    Upon the effective date of the Order, Respondent shall clearly mark each container of hazardous waste with the start of accumulation date, pursuant to 40 CFR 262.34(a)(2).

    15.    Upon the effective date of the Order, Respondent shall ensure that all satellite accumulation containers are marked with the words "Hazardous Waste" or with

other words that identify the contents of the containers pursuant to 40 CFR 262.34(c)(1)(ii).

    16.    All submittals required by this Agreed Order, unless notified otherwise in writing, shall be sent to:

        Idelia Walker-Glover
        Office of Enforcement
        Hazardous Waste Section
        Indiana Department of Environmental Management
        P.O. Box 6015
        Indianapolis, Indiana 46206-6015

    17.    Respondent is assessed a civil penalty of $40,400. Within thirty (30) days of the effective date of this Agreed Order, Respondent shall pay a cash penalty of Eight Thousand and Eighty Dollars ($8,080). The payment shall be submitted to the Environmental Management Special Fund as directed by paragraph 20. In lieu of payment of the remaining civil penalty, Respondent shall perform and complete the Supplemental Environmental Project ("SEP"), as described in Exhibit A. Exhibit A is hereby incorporated by reference and made a part of this Agreed Order. Within six (6) months of adoption of this Agreed Order, Phase 1 shall be completed. Within twelve (12) months of adoption of this Agreed Order, Phase 2 shall be completed. The total funds expended on the SEP shall be a minimum of $64,640. If the SEP is not completed in accordance with this agreement, and within the specified time period, Respondent agrees to pay the remaining amount of the civil penalty, plus interest at the rate established by IC 24-4.6-101, to the Environmental Management Special Fund. Payment of the remaining civil penalty shall be submitted within fifteen (15) days from receipt of a Notice to Pay from the IDEM. Interest on the remaining civil penalty shall be paid from the effective date of this Agreed Order.

    18.    In the event the following terms and conditions are violated, the Complainant may assess and the Respondent shall pay a stipulated penalty in the following amounts:

        Violation                        Penalty

        Failure to comply with the time frame        $ 100/day 1st 7 days
        requirements of Orders numbered 2, 6,        $ 250/day 8-30 days
        and 7 of the Agreed Order.                $ 500/day 31-60 days
                                    $1000/day over 60 days

    19.    Stipulated penalties shall be due and payable within thirty (30) days after Respondent receives written notice that the Complainant has determined a

stipulated penalty is due. Assessment and payment of stipulated penalties shall not preclude the Complainant from seeking any additional relief against the Respondent for violation of the Agreed Order. In lieu of assessment of the stipulated penalty given above, the 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 13-7-13.

    20.    Civil and stipulated penalties are payable by check to the Environmental Management Special Fund. Checks shall include the cause number of this action and shall be mailed to:

        Cashier
        IDEM
        100 North Senate Avenue
        P.O. Box 7060
        Indianapolis, Indiana 46206-7060

    21.    In the event that the civil penalty required by paragraph 17 is not paid within thirty (30) days of the effective date of this Agreed Order, 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.

    22.    This Agreed Order shall apply to and be binding upon the Respondent, its officers, directors, principals, successors, subsidiaries, and assigns. The signatories to this Agreed Order certify that they are fully authorized to execute and legally bind the parties they represent. No change in ownership, corporate, or partnership status of the Respondent shall in any way alter its status or responsibilities under this Agreed Order.

    23.    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 the Agreed Order did not contain the invalid terms.

    24.    The 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 by contract require that all contractors, firms, and other persons acting for it comply with the terms of this Agreed Order.

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

By:    ________________________            By:    ________________________
    Nancy L. Johnston, Acting Chief
    Hazardous Waste Section                Title:    ________________________
    Office of Enforcement

Date:    ________________________            Date:    ________________________

LEGAL RECOMMENDATION:                COUNSEL FOR RESPONDENT:
Department of Environmental Management

By:    ________________________            By:    ________________________
    Scott Storms
    Office of Legal Counsel

Date:    ________________________            Date:    ________________________

APPROVED AND ADOPTED BY THE INDIANA DEPARTMENT
     OF ENVIRONMENTAL MANAGEMENT

    THIS _______ DAY OF ________________ 1997.

                                FOR THE COMMISSIONER:

                                Signed on 12/31/1997                                     David J. Hensel, Director
                                Office of Enforcement

Converted by Andrew Scriven