EPA v. ENGLEWOOD COMMUNITY HOSPITAL CORPORATION

Case summary

ENGLEWOOD HOSPITAL WENT BANKRUPT IN MARCH 1988. ASBESTOS SURVEY CONDUCTED PER THE REQUEST OF U.S. TRUSTEE SHOWED PRE- SENCE OF ASBESTOS THROUGHOUT THE HOSPITAL BLDG. INSPECTION BY U.S. EPA SHOWS FRIABLE ASBESTOS IN SERIOUSLY DETERIORAT- ING CONDITION IN BASEMENT AREA. HOSPITAL IS LOCATED IN HIGH CRIME AREA, CLOSE TO ELEMENTARY SCHOOL. U.S. TRUSTEE WANTS TO ABANDON BUILDING AND PULL SECURITY FORCE. U.S. EPA WILL OPPOSE BECAUSE OF SUBSTANTIAL PUBLIC ENDANGERMENT. * * * THE REFERRAL COVER MEMO WAS SIGNED BY THE RA 4/12/89. HOWEVER, THIS REFERRAL WAS ACTUALLY CALLED INTO AND APPROVED BY HQ AS STATED ON SCREEN 2 AS A SECOND QTR REFERRAL. * * * ON JANUARY 6, 1989, MR. JOSEPH STEIN, U.S. TRUSTEE FOR THE DEFUNCT AND BANKRUPT ENGLEWOOD COMMUNITY HOSPITAL CORP., CON TACTED THE REGION V AIR DIV. PRIOR TO APPLYING TO THE BANK- RUPTCY COURT FOR PERMISSION TO TERMINATE BUILDING SECURITY AND TO ABANDON THE BURDENSOME REAL PROPERTY. MR. STEIN WAS CONCERNED ABOUT HIS POTENTIAL RESPONSIBILITY UNDER ENVIRON- MENTAL LAWS TO ABATE THE ASBESTOS HAZARD PRIOR TO ABANDON- MENT. THIS CONCERN WAS TEMPERED BY THE ESTIMATED HIGH COST TO ABATE THE ASBESTOS HAZARD AND THE LIMITED FUNDS AVAILABLE IN THE ESTATE. (THE DEBTOR FILED FOR CHAPTER 7 BANKRUPTCY ON MARCH 26, 1988, IN THE U.S. BANKRUPTCY COURT, NORTHERN DIST. OF ILLINOIS, EASTERN DIV.) ON JANUARY 11 AND 12, 1989, TWO ENVIRONMENTAL ENGINEERS FROM THE CENTRAL DIST. OFFICE CONDUCTED AN INSPECTION AT THE HOSPITAL AND DOCUMENTED THE SERIOUSLY DETERIORATED CONDITION OF FRIABLE ASBESTOS IN THE BASEMENT OF THE MAIN HOSPITAL BUILDING. ALTHOUGH MOST OF THE WINDOWS WERE BOARDED ON THE LOWER LEVELS, THE INSPECTORS FOUND AIRWAYS FROM THE BASEMENT TO THE OUTSIDE WHICH COULD PERMIT THE ESCAPE OF ASBESTOS FI- BERS TO THE AMBIENT AIR. ON FEBRUARY 16, 1989, REGION V ISSUED A LETTER TO THE TRUS TEE ADVISING HIM OF THE PRESENCE OF FRIABLE ASBESTOS IN AN EXTREMELY DETERIORATED CONDITION AND DETAILING THE ALTERNA- TIVE RESOLUTIONS TO THE ASBESTOS HAZARD. IN THE INTERIM PER IOD, THE TRUSTEE CONTACTED SEVERAL ASBESTOS ABATEMENT CON- TRACTORS AND OBTAINED COST ESTIMATES FOR ASBESTOS ABATEMENT AND BUILDING DEMOLITION. ON FEBRUARY 23, 1989, THE TRUSTEE ADVISED THAT HE WAS PLAN NING ON REQUESTING THE BANKRUPTCY COURT TO DETERMINE HIS ABATEMENT AND ABANDONMENT RESPONSIBILITIES. YOUR OFFICE AND THE U.S. ATTY'S OFFICE, NORTHERN DIST. OF ILLINOIS, WERE AD- VISED OF THE TRUSTEE'S INTENTIONS. ON FEBRUARY 23, 1989, THE TRUSTEE APPLIED TO THE BANKRUPTCY COURT FOR PERMISSION TO ABANDON THE PROPERTY AND SOUGHT A DETERMINATION FROM THE COURT OF 1) THE ESTATE'S OBLIGATION TO ABATE ANY ASBESTOS HAZARD, AND 2) THE PRIORITIES, IF ANY, WHICH WOULD BE ASSIGN ED ANY MONIES TO BE EXPENDED BY THE ESTATE IN CONNECTION W/ THE ABATEMENT OF THE ASBESTOS PROBLEM. THE TRUSTEE ESTIMAT- ED THE COSTS OF THE ASBESTOS ABATEMENT AT $95,000. ON FEBR- UARY 24, 1989, JUDGE SQUIRES SET MARCH 9, 1989 AS THE LAST DATE FOR ALL PARTIES TO FILE OBJECTIONS TO ABANDONMENT, AND MARCH 23, 1989, AS THE HEARING DATE FOR THE ABANDONMENT MO- TION. THE AIR DIV. CONTACTED THE VARIOUS ENVIRONMENTAL AND BUILD ING DEPTS OF THE CITY OF CHICAGO AND STATE OF ILLINOIS TO DETERMINE WHAT LOCAL ACTION COULD BE TAKEN TO EFFECTIVELY ABATE THE ASBESTOS HAZARD IN A BUILDING SCHEDULED TO BE ABAN DONED. THE AIR DIV. WAS TOLD THAT PROCEEDINGS UNDER EXISTIN ING AUTHORITIES STATUTES TO ABATE A HAZARD ARE BOTH INVOLVED AND LENGTHY. ALTHOUGH THE CITY OF CHICAGO HAS AN ABANDONED BUILDING PROGRAM, THIS PROGRAM ALSO INVOLVES CONDEMNATION OF THE PROPERTY AND DEMOLITION OF THE STRUCTURE, A LENGTHY PRO- CESS. ALSO, THE ABANDONED BUILDING PROGRAM IS SERIOUSLY BACKLOGGED WITH MANY HAZARDOUS BUILDINGS AWAITING DEMOLITION THE AIR DIV. WAS UNAWARE OF ANY POT

Defendants (1)

• ENGLEWOOD COMMUNITY HOSPITAL ASSOCIATIONNamed in complaintNamed in settlement

Facilities (1)

• ENGLEWOOD HOSPITAL

  6001 S GREEN, CHICAGO, IL, 60621

  Registry ID: 110010737961

Statutes cited

• CAA 303 — Imminent/Substantial Endangerment

Enforcement conclusions (1)

• ENGLEWOOD COMM. HOSPITAL ASSOCentered 1989-05-15

  Primary law: CAA

Timeline (8 milestones)

• 1989-01-13Enforcement Action Data Entered
• 1989-02-23Referred To Dept Of Justice
• 1989-02-23Referred TO U.S. Attorney
• 1989-03-09Complaint Filed With Court
• 1989-05-15Final Order Lodged
• 1989-05-15Final Order Entered
• 1989-05-15Concluded
• 1989-05-15Enforcement Action Closed