EPA v. Motors Liquidation Company f/k/a General Motors Corporation (NC)

Case summary

EPA, Region 2, is requesting through the Office of Site Remediation Enforcement (OSRE) that the Department of Justice file a proof of claim and, to the extent appropriate, an application for administrative expenses and protective proofs of claims regarding costs for which GM is jointly and severally responsible under settlement agreements which pertain to specific sites, in the bankruptcy proceeding captioned In re Motors Liquidation Company f/k/a General Motors Corporation, et al., in United States Bankruptcy Court, Southern District, New York. EPA has a claim against Motors Liquidation Company (MLC), a debtor in this bankruptcy, because its predecessor, General Motors Corporation (GM), owned, operated and/or disposed of hazardous substances at various facilities in New York and New Jersey and thus is a potentially responsible party (PRP) with respect to those sites, pursuant to Section 107(a) of the Comprehensive Environmental Response, Compensation, and Liability Act. On March 29, 2011, the Court approved a settlement agreement in this matter. The “Non-Owned Site Settlement Agreement , resolves certain claims of the United States and several states, including New Jersey and New York, against Old GM at 34 “Non-Owned Sites” under CERCLA and RCRA for over $50 million. The Environmental Response Trust Agreements were filed with the Court in late 2010, and public comment was solicited and considered by the Court. The ERT Agreements establish a $773 million trust fund to finance the performance and management of the cleanup of 89 sites where the former GM has liability. Of these, Region 2 has two sites receiving specified funding. On April 30, 2012, the United States lodged two proposed settlement agreements with the United States Bankruptcy Court for the Southern District of New York settling EPA's claims with respect to the Onondaga Lake Superfund Site in the Motors Liquidation bankruptcy proceeding. GM discharged PCBs from its Inland Fisher Guide Facility in Onondaga County, New York, into Ley Creek, a tributary to Onondaga Lake, and, as such, is liable under Section 107(a) of the Comprehensive Environmental Response, Compensation, and Liability Act. Pursuant to one of the settlement agreements, the United States, on behalf of EPA, will have an allowed general unsecured claim for the Lower Ley Creek Subsite. New York State was also a party to this settlement agreement and will have a general unsecured claim for this subsite. Pursuant to the other settlement agreement, the United States, on behalf of EPA, will have an allowed general unsecured claim for the Lake Bottom Subsite, Salina Landfill Subsite, Inland Fisher Guide and Deferred Media Subsite, and the PCB Dredgings Subsite.

Defendants (1)

• Motors Liquidation CompanyNamed in complaintNamed in settlement

Facilities (9)

• VENTRON/VELSICOL

  ETHYL BOULEVARD, WOOD RIDGE, NJ, 07075

  Registry ID: 110038888335

• ONONDAGA LAKE

  LAKE BOTTOM OU, SYRACUSE, NY, 13209

  Registry ID: 110009303645

• SEALAND RESTORATION, INC.

  PRAY RD, LISBON, NY, 13658

  Registry ID: 110009323320

• MERCURY REFINING CO INC

  26 RAILROAD AVE, ALBANY, NY, 12205

  Registry ID: 110019401583

• GM POWERTRAIN - MASSENA PLANT

  56 CHEVROLET RD, MASSENA, NY, 13662

  Registry ID: 110071100161

• TRI-CITIES BARREL SUPERFUND SITE

  ADJACENT TO OLD ROUTE 7, FENTON, NY, 13833

  Registry ID: 110040055098

• ATLANTIC RESOURCES

  120 HORSESHOE ROAD, SAYREVILLE, NJ, 08872

  Registry ID: 110009300719

• MERCURY REFINING CO INC

  26 RAILROAD AVE, ALBANY, NY, 12205

  Registry ID: 110019401583

• DIAMOND ALKALI CO.

  80 LISTER AVE, NEWARK, NJ, 07105

  Registry ID: 110009324409

Statutes cited

• CERCLA 106A — Imminent & Substantial Endangerment Order
• CERCLA 107A — Cost Recovery

Enforcement conclusions (5)

• Motors Liquidation Company f/k/a General Motors Corporation (NC)(Lead)entered 2011-03-31

  Primary law: CERCLA

• Motors Liquidation Company f/k/a General Motors Corporation (NC)entered 2012-06-29

  Primary law: CERCLA

• Motors Liquidation Company f/k/a General Motors Corporation (NC)entered 2012-03-29

  Primary law: CERCLA

• Motors Liquidation Company f/k/a General Motors Corporation (NC)entered 2011-03-29

  Primary law: CERCLA

• Motors Liquidation Company f/k/a General Motors Corporation (NC)entered 2012-06-29

  Primary law: CERCLA

Timeline (6 milestones)

• 2009-11-05Enforcement Action Data Entered
• 2009-11-05Referred To Headquarters
• 2009-11-24Referred To Dept Of Justice
• 2009-11-28Complaint Filed With Court
• 2012-04-30Final Order Lodged
• 2012-06-29Final Order Entered