EPA v. MISSION INSURANCE CO/MISSION NATIONAL INSURANCE CO (FRANKLIN SMELTING, FRANKLIN SNAG, SAFETY) (NC)

Case summary

On May 11, 2017, the Insurance Commissioner of the State of California, in his capacity as the Trustee of the Mission Insurance Company Trust and Mission National Insurance Company Trust, filed a Motion to Approve Agreements with the United States concerning the Mission companies' insureds' CERCLA liability at the Franklin Smelting Site and the Franklin Slag Pile Superfund Site, adjacent sites located in Philadelphia, Pennsylvania, and the Safety Light Corporation Superfund Site, located in Bloomsburg, Pennsylvania; these agreements will fund Superfund cleanup actions at the Franklin Slag Site, for contamination associated with the pile (with estimated costs potentially exceeding $24 million), and at the Safety Light Site, for soil and groundwater contamination (with estimated costs of at least $128 million). The Agreement also settles claims involving two Mission insureds at two Sites in Region 10, with NOAA and DOI involvement. This is a direct implementation claim for the federal government which arises under the state receivership statute and the Federal Priorities Act. The agreement provides for a total payment of $28.6 Million, and will be subject to a 21-day period of public comment, to be announced by DOJ in the Federal Register. Thereafter it will be submitted for approval by the Mission Liquidation Court (Insurance Commissioner of the State of Calif. v. Mission Insurance Company, et al., Case Nos. C 572 724 (Cal. Super. Ct.)), charged with resolving the liquidation of the Mission companies. A hearing to present the motion to approve the agreements is currently scheduled on this matter for June 22, 2017. With respect to Region III?s claims, the proposed Agreement requires the Mission Trusts to make the following payments out of the $28.6 Million: a total payment of $11,914,658.58 with respect to the liability under Section 107 of CERCLA of Mission insureds, Franklin Smelting and Refining Company and related entities, at the Franklin Sites, and, $7,113,598.90 with respect to the liability under Section 107 of CERCLA of Mission insureds, United States Radium Corporation and USR Industries, Inc., at the Safety Light Site, with both payments to be deposited into special accounts for the sites.

Defendants (2)

• MISSION NATIONAL INSURANCE CONamed in complaintNamed in settlement
• MISSION INSURANCE CONamed in complaintNamed in settlement

Facilities (7)

• SAFETY LIGHT CORPORATION

  4150 A OLD BERWICK RD, BLOOMSBURG, PA, 17815

  Registry ID: 110013798159

• FRANKLIN SMELTING & REF CORP

  3100 CASTOR AVENUE, PHILADELPHIA, PA, 191343850

  Registry ID: 110009322214

• FRANKLIN SMELTING & REF CORP

  3100 CASTOR AVENUE, PHILADELPHIA, PA, 191343850

  Registry ID: 110009322214

• FRANKLIN SMELTING

  3100 CASTOR, PHILADELPHIA, PA, 19134

  Registry ID: 110071100028

• FRANKLIN SLAG PILE (MDC)

  3701 CARBON ST (NW CORNER OF CASTER & DELAWARE AVE, PHILADELPHIA, PA, 19134

  Registry ID: 110009322214

• SAFETY LIGHT CORPORATION

  4150 A. OLD BERWICK ROAD, BLOOMSBURG, PA, 17815-3413

  Registry ID: 110013798159

• FRANKLIN SLAG PILE (MDC)

  3701 CARBON ST (NW CORNER OF CASTER & DELAWARE AVE, PHILADELPHIA, PA, 19134

  Registry ID: 110009322214

Statutes cited

• CERCLA 107A — Cost Recovery

Enforcement conclusions (1)

• MISSION INSURANCE CO/MISSION NATIONAL INSURANCE CO (FRANKLIN SMELTING, FRANKLIN SNAG, SAFETY)(NC)entered 2017-06-22

  Primary law: CERCLA

Timeline (5 milestones)

• 2012-09-27Referred To Dept Of Justice
• 2012-09-29Enforcement Action Data Entered
• 2015-08-03Complaint Filed With Court
• 2017-05-11Final Order Lodged
• 2017-06-22Final Order Entered