NOTICE OF VIOLATION

 

 

Via Certified Mail #:

 

 

Via Certified Mail #:

 

 

To:

Rick Smith, Vice President

 

CT Corporation System, Registered Agent

 

AM General LLC

 

215 E. Ohio Street, Suite 1100

 

13200 McKinley Hwy

 

Indianapolis, IN  46204

 

Mishawaka, IN  46545

 

 

 

 

Case No. 2004-14146-A

 

Based on an investigation, the Indiana Department of Environmental Management (“IDEM”) has reason to believe that AM General LLC (“Respondent”) has violated environmental rules.  The violations are based on the following:

 

1.                  Respondent owns and operates a stationary plant for the production of HUMMERs for military and commercial use with I.D. No. 141-00031 located at 13200 McKinley Highway in Mishawaka, St. Joseph County, Indiana (the “Site”).

 

2.                  Pursuant to IC 13-30-2-1(7), a person may not construct, install, operate, conduct, or modify, without prior approval of the department, any equipment or facility of any type that may cause or contribute to pollution or be designed to prevent pollution.

3.                  Pursuant to 326 IAC 2-2-8 (in effect at the time Respondent applied for and constructed the modification), any owner or operator who constructs or operates a source or modification not in accordance with the application submitted pursuant to this rule or with the terms of any approval to construct shall be subject to appropriate enforcement action.

 

4.                  Pursuant to 326 IAC 2-2-10, the owner or operator of a proposed major stationary PSD source or PSD modification shall submit all information necessary to perform any analysis or make any determination required under this rule.

Respondent constructed and operated the painting system for the HUMMER II vehicle production plant in a manner not in accordance with the application submitted or the permit issued.  Specifically, the application indicated the construction of separate lines for application of the primer and the topcoat, on which the BACT analysis was based.  This resulted in separate VOC limits for each line in permit 141-15219-00031 issued May 8, 2002.  However, the Respondent constructed the painting system in a manner that combined the flash tunnels which resulted in an inability to demonstrate compliance with the individual VOC limits, in violation of IC 13-30-2-1(7) and 326 IAC 2-2-8.

Respondent failed to submit information related to changes in construction configuration of the H2 painting system that affected IDEM’s ability to calculate the appropriate BACT limit for the painting system, in violation of 326 IAC 2-2-10.

 

5.                  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 except in compliance with a Part 70 permit issued under this rule.

Respondent operated the H2 painting system in a manner inconsistent with the Part 70 permit issued, in violation of 326 IAC 2-7-3.

 

5.                  Pursuant to PSD/Part 70 Significant Source Modification 141-11673-00031 issued to Respondent on June 28, 2000, condition D.5.5 required the Respondent to submit an affidavit of construction to IDEM verifying that the emission units were constructed as proposed in the application.  The emissions units covered in the Significant Source Modification approval may begin operating on the date the affidavit of construction is postmarked or hand delivered to IDEM if constructed as proposed.

Respondent failed to submit an affidavit of construction, in violation of permit 141-11673-00031 condition D.5.5.  Respondent constructed and operated the H2 painting system without approval from IDEM.

 

In accordance with IC 13-30-3-3, the Commissioner herein provides notice that violations may exist and offers an opportunity to enter into an Agreed Order providing for the action required to correct the violations and, as necessary and appropriate, for the payment of a civil penalty.  The Commissioner is not required to extend this offer for more than sixty (60) days.

 

As provided in IC 13-30-3-3, an alleged violator may enter into an Agreed Order without admitting that the violations occurred.  IDEM encourages settlement by Agreed Order, thereby resulting in quicker correction of the environmental violations and avoidance of extensive litigation.  Timely settlement by Agreed Order may result in a reduced civil penalty.  Also, settlement discussions will allow the opportunity to present any mitigating factors that may be relevant to the violations.

 

If an Agreed Order is not entered into within sixty (60) days of receipt of this Notice of Violation, the Commissioner may issue a Notice and Order under IC 13-30-3-4 containing the actions that must be taken to correct the violations and requiring the payment of 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.

 

Please contact Lynne Sullivan at (317) 233-5521 within fifteen (15) days after receipt of this Notice to discuss resolution of this matter.

 

 

 

For the Commissioner:

Date:

 

 

Signed April 4, 2007

 

Lori Kyle Endris
Chief
Office of Enforcement

 

 

cc:       Larry McHugh, Barnes & Thornburg, South Bend

Rochelle Marceillars, US EPA Region 5

St. Joseph, County Health Department

Tim Junk, Deputy Attorney General

Lynne Sullivan, Office of Enforcement

Rick Reynolds, Northern Regional Office

David Lawrence, Northern Regional Office

Steve Friend, Office of Air Quality

OAQ Public File

Enforcement File

http://www.in.gov/idem/enforcement/