EPA v. INTERNATIONAL COAL GROUP, INC. (ICG, INC.) / ARCH COAL, INC. (NATIONAL CASE)

Case summary

8/6/15- Arch Coal Subsidiaries to Make System-Wide Upgrades to Reduce Pollution Entering U.S. Waters WASHINGTON -- The U.S. Environmental Protection Agency (EPA) and the U.S. Department of Justice (DOJ) announced today that Arch Coal Inc., one of the nation?s largest coal companies, and 14 of its subsidiaries under the International Coal Group Inc. (ICG) have agreed to conduct comprehensive upgrades to their operations to ensure compliance with the Clean Water Act. The settlement resolves hundreds of Clean Water Act violations related to illegal discharges of pollutants at the companies? coal mines in Kentucky, Pennsylvania, Maryland, Virginia and West Virginia. The states of West Virginia, Virginia and Pennsylvania are co-plaintiffs in today?s settlement. The companies will also pay a $2 million civil penalty. ?Businesses have an obligation to ensure that their operations don?t threaten the communities they serve, especially those that are overburdened by or more vulnerable to pollution,? said Assistant Administrator Cynthia Giles for EPA?s Office of Enforcement and Compliance Assurance. ?This settlement will prevent future environmental and public health risks by making sure these companies comply with federal and state clean water laws.? ?This joint enforcement effort, with three states, has resulted in a settlement that will require changes that will benefit the health and environment of Appalachian communities for many years to come,? said Assistant Attorney General John C. Cruden for the Environment and Natural Resources Division. ?Under the terms of the agreement, Arch Coal and its subsidiaries will pay a significant penalty, improve their pollution control systems and provide for independent monitoring and data tracking that will make it a better company and a better neighbor to these communities.? In addition to paying the penalty, under the proposed consent decree the companies must implement measures to ensure compliance and prevent future Clean Water Act violations, which will help protect communities overburdened by pollution, including: * Developing and implementing a compliance management system. * Periodic internal and third-party environmental compliance audits. * Maintaining a data management system to track violations, water sampling data and compliance efforts. * Providing training for environmental managers and others responsible for the consent decree. * Paying escalating stipulated penalties if violations continue to occur. The government complaint filed concurrently with the settlement alleged that in the last six years, ICG operations have violated discharge limits for aluminum, manganese, iron and total suspended solids in their state-issued National Pollution Discharge Elimination System permits on more than 1,200 occasions, resulting in over 8,900 days of violations. Of those violations, 700 have been previously resolved by state enforcement actions in Kentucky and West Virginia. EPA discovered the violations through inspections of ICG facilities and projects, reviewing various information provided by the companies and coordinating with the affected state governments. The proposed consent decree, lodged in the U.S. District Court for the Southern District of West Virginia, is subject to a 30-day public comment period and approval by the federal court.

Defendants (16)

• ARCH COAL, INC.Named in complaintNamed in settlement
• POWELL MOUNTAIN ENERGY, LLCNamed in complaintNamed in settlement
• PATRIOT MINING COMPANY, INC.Named in complaintNamed in settlement
• KING KNOB COAL CO., INC.Named in complaintNamed in settlement
• JULIANA MINING COMPANY, INC.Named in complaintNamed in settlement
• ICG TYGART VALLEY, LLCNamed in complaintNamed in settlement
• ICG KNOTT COUNTY, LLCNamed in complaintNamed in settlement
• ICG EAST KENTUCKY, LLCNamed in complaintNamed in settlement
• WOLF RUN MINING CO.Named in complaintNamed in settlement
• WHITE WOLF ENERGY, INC.Named in complaintNamed in settlement
• VINDEX ENERGY CORP.Named in complaintNamed in settlement
• THE SYCAMORE GROUP, LLCNamed in complaintNamed in settlement
• INTERNATIONAL COAL GROUP, INC. (ICG, INC.)Named in complaintNamed in settlement
• ICG EASTERN, LLCNamed in complaintNamed in settlement
• ICG BECKLEY, LLCNamed in complaintNamed in settlement
• HAWTHORNE COAL CO., INC.Named in complaintNamed in settlement

Facilities (24)

• ICG KNOTT COUNTY LLC (860-9018)

  LITTLE SMITH BRANCH RD, KITE, KY, 41773

  Registry ID: 110010839227

• ICG HAZARD LLC (897-0583)

  JCT OF KY 476 & WILLIAMS BRANCH RD, STACY, KY, 41472

  Registry ID: 110024585153

• REVELATION ENERGY LLC (813-8038)

  KY 195, CLAYHOLE, KY, 41534

  Registry ID: 110010840947

• ICG HAZARD LLC (897-0590)

  SAM CAMPBELL BRANCH RD, KRYPTON, KY, 41754

  Registry ID: 110010840386

• ICG EAST KENTUCKY LLC (880-0202)

  JCT OF KY 292 & STEPP BRANCH RD, PILGRIM, KY, 41250

  Registry ID: 110045175877

• REVELATION ENERGY LLC (813-0407)

  RT 5, LAWSON, KY, 41040

  Registry ID: 110028298054

• REVELATION ENERGY LLC (897-0582)

  1560 GLENNS CREEK RD, CHAVIES, KY, 40601

  Registry ID: 110011202242

• REVELATION ENERGY LLC (813-8038)

  KY 195, CLAYHOLE, KY, 41534

  Registry ID: 110010840947

• REVELATION ENERGY LLC (813-0405)

  JCT OF KY 221 & KY 2008, CLAYHOLE, KY, 40810

  Registry ID: 110011198845

• ICG HAZARD LLC (897-0584)

  JCT OF KY 15 & KY 28, NED, KY, 41339

  Registry ID: 110011202929

• ICG KNOTT COUNTY LLC (860-8022)

  JCT OF KY 7 & KY 582, KITE, KY, 41828

  Registry ID: 110010839227

• ICG KNOTT COUNTY LLC (860-5360)

  351 E 7TH ST, KITE, KY, 40508

  Registry ID: 110010839227

• ICG KNOTT CO LLC (866-0341)

  JCT OF RACCOON CREEK RD & WOLF CREEK RD, CINDA, KY, 41728

  Registry ID: 110009964814

• ICG HAZARD LLC (897-8060)

  1021 TORI DR, HAZARD, KY, 41701

  Registry ID: 110011208521

• REVELATION ENERGY LLC (813-8038)

  KY 195, CLAYHOLE, KY, 41534

  Registry ID: 110010840947

• …and 9 more

Statutes cited

• CWA 301/402 — NPDES Permit Violations

Enforcement conclusions (1)

• INTERNATIONAL COAL GROUP, INC. (ICG, INC.) / ARCH COAL, INC. (NATIONAL CASE) (04-2016-C006)entered 2016-02-23

  Primary law: CWA

  Federal penalty: $50,000

Timeline (8 milestones)

• 2013-05-22Referred To Dept Of Justice
• 2013-06-12Enforcement Action Data Entered
• 2015-08-06Final Order Lodged
• 2015-08-06Complaint Filed With Court
• 2016-02-23Final Order Entered
• 2016-02-23Concluded
• 2020-05-26Enforcement Action Closed
• 2020-05-26NPDES Closed