NOTICE OF VIOLATION

Via Certified Mail #:		Via Certified Mail #:
To:	Garland A. Middendorf, President	Patrick J. Galvin, Registered Agent
	Tanco Terminals, Inc.	Tanco Terminals, Inc.
	RFD 1	5231 Hohman
	Rocheport, MO 65279	Hammond, IN 46320

Case No. 2005-14430-A

Based on a records review on or around December 28, 2004, the Indiana Department of Environmental Management (IDEM) has reason to believe that Tanco Terminals, Inc. (Respondent) has violated an environmental rule. The violations are based on the following:

1. Respondent owns and operates a stationary liquid organic compound storage source (with ID No. 127-00046) located at 660 US Highway 12, in Portage, Porter County, Indiana (the “Site”).

A. Pursuant to condition B.12 of FESOP No. 127-9914-00046, this facility, a stationary liquid organic compound storage source, must submit an annual compliance certification report which addresses the status of the source’s compliance with the terms and conditions of the FESOP as required by 326 IAC 2-8-5(a)(1), by April 15 of each year to cover the time period from January 1 to December 31 of the previous year.

This facility failed to submit the annual compliance certification for the year 2003 by April 15, 2004, a violation of FESOP condition B.12.

In accordance with IC 13-30-3-3, the Commissioner herein provides notice that a violation may exist and offers an opportunity to enter into an Agreed Order providing for the action required to correct the violation and 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 violation occurred. IDEM encourages settlement by Agreed Order, thereby resulting in quicker correction of the environmental violation 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 violation.

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 violation 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.

To discuss this matter further, please contact Kristopher M. Grinnell at (317) 233-1133 within fifteen (15) days after receipt of this Notice to discuss resolution of this matter.

	For the Commissioner:
Date:	Signed on April 5, 2005
	Matthew T. Klein
	Assistant Commissioner
	for Compliance & Enforcement

cc: Porter County Health Department
Office of Legal Council
Kristopher M. Grinnell, Office of Enforcement
Alexandra Yeung, Office of Air Quality
Rick Massoels, Northwest Regional Office
Enforcement File
OAQ Pubic File
http://www. IN.gov/idem