To: Mr. Donald E. Washkewicz, President                 CT Corporation, Registered Agent for
Parker-Hannifin Corporation                                     Parker-Hannifin Corporation
6035 Parkland Blvd                                                 36 South Pennsylvania Street, Suite 700
Cleveland, Ohio 44124                                             Indianapolis, Indiana 46204

Based on investigation by designated representatives of the Indiana Department of Environmental Management (IDEM), Parker-Hannifin Corporation which owns and operates a stationary filtration products manufacturing source located at Highway 66, Tell City, Perry County, Indiana and was found in violation of the following environmental statute(s), rule(s), and/or permit(s):

A. Pursuant to 326 IAC 2-1-3, a source or facility which has allowable emissions of twenty-five (25) tons or more per year of any regulated pollutant shall apply for and obtain a construction permit prior to commencing construction. This source, constructed a PCC Flo Pak operation, an Automatic Paint Booth and a Manual Paint Booth without first applying for and obtaining a construction permit, a violation of 326 IAC 2-1-3.

Pursuant to 326 IAC 2-5.1-3(a), prior to commencing construction of any emissions unit which has potential emissions of twenty-five (25) tons or more per year of any of the regulated pollutants specified in section (E) of this Rule shall apply for and obtain a construction permit. This source, constructed a Pro-Bond process without first applying for and obtaining a construction permit, a violation of 326 IAC 2-5.1-3(a).

B. Pursuant to 326 IAC 2-1-4, a source or facility which has allowable emissions of twenty-five (25) tons or more per year of any regulated pollutant shall apply for and obtain an operating permit prior to commencing operation. This facility began operating PCC Flo Pak operation, an Automatic Paint Booth and a Manual Paint Booth without first applying for and obtaining an operating permit, a violation of 326 IAC 2-1-4.

Pursuant to 326 IAC 2-5.1-3(i), a source may not operate any air pollutant emitting source or emissions unit prior to receiving a validation letter issued by the commissioner. This source operated a Pro-Bond process without first applying for and obtaining a validation letter, a violation of 326 IAC 2-5.1-3(i).

C. Pursuant to 326 IAC 2-7-3, no Part 70 source may operate after the time that it is required to submit a timely and complete application. This source continued to operate following the December 13, 1996 Part 70 permit submission deadline and prior to applying for and receiving a Part 70 permit, a violation of 326 IAC 2-7-3.

D. Pursuant to 326 IAC 2-7-4, the owner of each Part 70 source to submit a timely and complete permit application. This source=s Part 70 permit application was received after the December 13, 1996 submission deadline, a violation of 326 IAC 2-7-4.

In accordance with IC 13-30-3-3, the Commissioner is required to notify an alleged violator in writing that a violation may exist and offer an opportunity to enter into an Agreed Order providing for the actions required to correct the violations and for the payment of a civil penalty. The Commissioner is not required to extend this offer for more than sixty (60) days.

Entering into an Agreed Order will prevent the issuance of a Notice and Order of the Commissioner under IC 13-30-3-4, or the filing of a civil court action under IC 13-14-2-6. IDEM encourages settlement by Agreed Order, thereby saving time and resources. Timely settlement by Agreed Order may result in a reduced civil penalty. Settlement discussions will also allow the opportunity to present any mitigating factors that may be relevant to the violations. In addition, as provided in IC 13-30-3-3, an alleged violator may enter into an Agreed Order without admitting that the violation occurred.

If settlement is not reached within sixty (60) days of receipt of this Notice of Violation, the Commissioner may issue a Notice and Order containing the actions that must be taken to achieve compliance, the required time frames, and an appropriate civil penalty. Pursuant to IC 13-30-4-1, the Commissioner may assess penalties of up to $25,000 per day for each violation.

To discuss this matter further, please contact Linda McClure at 317-232-8408 within fifteen (15) days after receipt of this Notice to request a conference. If settlement is reached, an Agreed Order will be prepared and sent for review and signature.

For the Commissioner:

Date:  Signed 2/9/04

Felicia A. Robinson
Deputy Commissioner
for Legal Affairs

cc: Perry County Health Department
Mr. Scott Anslinger, Office of Air Quality, SWRO
Office of Legal Counsel
Ms. Linda McClure, Office of Enforcement
Enforcement file (2004-13645-A)
Public file (123-00015)