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-13550
v. )
)
SAFETY-KLEEN OIL RECOVERY COMPANY )
)
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 Safety-Kleen Oil Recovery Company ("Respondent"), which is a
company doing business at 601 Riley Road, East Chicago, Indiana. The U.S. EPA
I.D. number of the facility is IND 077042034.
3. Respondent leases storage space at Wolf Lake Terminal, 3200 Sheffield, P.O. Box
565, Hammond, Indiana.
4. The Indiana Department of Environmental Management ("IDEM") has jurisdiction
over the parties and subject matter of this action.
5. Pursuant to IC 13-30-3-3, IDEM issued a Notice of Violation via Certified Mail to:
Mr. Joseph Chalhoub, President Prentice Hall Corp., Resident Agent for
Safety-Kleen Oil Recovery Co. Safety-Kleen Oil Recovery Co.
Box 130 251 East Ohio Street
Breslau, Ontario Suite 500
Canada Indianapolis, Indiana 46204
6. Respondent is an oil re-refinery which receives and stores hazardous wastes and
waste oils.
7. On or about August 26, 1997, an affiliate of the Respondent located in Erie,
Pennsylvania, picked up from the Erie Mallable Iron Company ("EMI") used oil
containing polychlorinated biphenyls ("PCBs").
8. On or about August 27 and August 28, 1997, Respondent received the EMI shipment
of used oil at its East Chicago SKORC facility.
9. On or about August 28, 1997, Respondent mixed the EMI shipment of PCB-
contaminated used oil with other used oil located at the facility. At the time of the
mixing, Respondent was unaware that the EMI shipment contained PCB-
contaminated material.
10. On Sunday, September 7, 1997, a light vacuum oil sample was tested at the re-
refinery and it was determined to contain PCBs in excess of 50 parts per million
("ppm"). All out-bound shipments were curtailed. Respondent verbally notified the
IDEM that it had received and processed used oil containing PCBs in excess of 50
ppm.
11. Respondent determined that it had shipped to various customers eight (8) shipments
of oil containing PCBs in amounts ranging from 43-198 ppm. Respondent began
notifying customers on September 8, 1997. On September 9, 1997 Respondent took
a sample of Tank 37 at Wolf Lake Terminals as vacuum oil had recently been
shipped there. Analysis of that sample indicated that the material was contaminated
with PCBs.
12. A written decontamination plan for the re-refinery was developed and submitted to
EPA and IDEM on September 10, 1997. After discussions, Respondent removed the
PCB-contaminated material from, and triple rinsed, the tanks of the customers which
still had PCB-contaminated material.
13. Respondent notified Wolf Lake Terminals that PCB-contaminated vacuum oil had been shipped there and placed in Tank 37. Once storage capacity became available
at the re-refinery, and EPA and IDEM had approved the storage plan, the contents
of Tank 37 and the rinsate from three separate rinse events were removed by October
14, 1997.
14. The IDEM contends the following violations were in existence or observed by the
Office of Solid and Hazardous Waste Management (OSHWM) of the IDEM during
a record review of the facility conducted on October 8, 1997.
a. Pursuant to IC 13-20-15-6, a person may not dispose (as defined at 40 CFR
761.3(h)) of solid or liquid waste resulting from the use in the person's
business of PCB or an item, a product, or a material containing or that has
contained PCB except in conformity with rules adopted by the board. Based
on information gathered by the IDEM, Respondent disposed of PCBs without
first complying with the requirements of 329 IAC 4. Specifically,
Respondent disposed of PCB-contaminated oil without complying with the
requirements of 329 IAC 4. Respondent states that when the PCB-
contaminated material was disposed, it did not know that the material
contained any quantity of PCBs and, hence, disposal of PCB-containing
material resulted, but was unintended.
b. Pursuant to 329 IAC 4-1-5(7) incorporating 40 CFR 761.60(e), any person
who is required to incinerate any PCBs and who can demonstrate that an
alternative method of destroying PCBs exists and that this alternative method
can achieve a level of performance equivalent to 40 CFR 761.70 incinerators
or high efficiency boilers, may submit a written request to the Commissioner
of the IDEM for an exemption from the incineration requirements of 40 CFR
761.70. Based on information gathered by the IDEM, Respondent failed to
obtain approval from the Commissioner prior to utilizing an alternative
method of destroying PCBs, via processing PCB-contaminated waste oil in
Respondent's hydrotreating unit. At the time of the record review,
Respondent had submitted to the Commissioner a permit application
proposing an alternative disposal method for handling PCBs. This permit,
however, had not yet been approved by the IDEM.
c. Pursuant to 329 IAC 4-1-5(8) incorporating 40 CFR 761.65(b), owners or
operators of any facilities used for the storage of PCBs and PCB Items
designated for disposal shall comply with the requirements of 40 CFR
761.65(b)(1). Based on information gathered by the IDEM, Respondent
shipped PCB-contaminated waste oil to Wolf Lake Terminal, where it was
stored in leased storage tanks which did not comply with the requirements
of 40 CFR 761.65(b)(1).
15. 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 her delegate, and has been received by the Respondent. This Agreed
Order shall have no force or effect until the effective date.
2. Within ninety (90) days of the effective date of the Order, Respondent shall provide
to the IDEM a written description, with accompanying documentation, of the final
disposition of all PCB-contaminated oil referenced in Findings numbered 14a.
through d. above, except for that quantity of PCB-contaminated oil still located at
the SKORC facility.
3.
SKORC must determine the PCB concentration of any waste oil accepted by the
facility in accordance with the state-issued permit for PCB storage and destruction.
4. All submittals required by this Agreed Order, unless notified otherwise in writing,
shall be sent to:
Pamela J. O'Rourke
Office of Enforcement
Hazardous Waste Section
Indiana Department of Environmental Management
P.O. Box 6015
Indianapolis, Indiana 46206-6015
5. Respondent is assessed a civil penalty of $27,000. Said penalty amount shall be due
and payable to the Environmental Management Special Fund within thirty (30) days
of the effective date of this Agreed Order.
6. Civil penalties are payable by check to the Environmental Management Special
Fund. Checks shall include the cause number of this action (H-13550) and shall be
mailed to:
Cashier
IDEM
100 North Senate Avenue
P.O. Box 7060
Indianapolis, Indiana 46206-7060
7. In the event that the civil penalty required by paragraph 5 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.
8. This Agreed Order shall apply to and be binding upon the Respondent, its officers,
directors, principals, agents, successors, subsidiaries, and assigns. The signatories
to this Agreed Order certify that they are fully authorized to execute this document
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.
9. 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.
10. 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.
11. This Agreed Order shall remain in effect until IDEM issues a Resolution of Cause
letter to Respondent. A Resolution of Cause letter will be issued upon Respondent's
compliance with the Agreed Order and a final inspection documenting compliance
with the Agreed Order has been conducted by the IDEM.
TECHNICAL RECOMMENDATIONS: RESPONDENT:
Department of Environmental Management
By: ________________________ By: ________________________
Nancy L. Johnston, Chief
Hazardous Waste Section Title: ________________________
Office of Enforcement
Date: ________________________ Date: ________________________
LEGAL RECOMMENDATION: COUNSEL FOR RESPONDENT:
Department of Environmental Management
By: ________________________ By: ________________________
Loraine Seyfried
Office of Legal Counsel
Date: ________________________ Date: ________________________
APPROVED AND ADOPTED BY THE INDIANA DEPARTMENT
OF ENVIRONMENTAL MANAGEMENT
THIS __13th_____ DAY OF ____September___1999.
For the Commissioner:
Felicia Robinson
________________________
Felicia Robinson George
Assistant Commissioner
Office of Enforcement
Converted by Andrew Scriven