EPA v. STEEL DYNAMICS, INC.

Case summary

Steel Dynamics, Inc. (SDI) is a steel manufacturing facility which built a new structural steel mill on 440 acres of land on the eastern border of Whitley County, Indiana. The State of Indiana�s Department of Environmental Management (IDEM) issued a construction permit for this new facility on July 7, 1999, which authorized SDI to begin construction thirty (30) days after its issuance. Within that time, the Citizens Organized Watch (COW) appealed the issuance of the permit. SDI and IDEM revised the permit, and IDEM issued the revised construction permit on January 10, 2001. This January 10, 2001 permit authorized SDI to begin construction thirty (30) days after its issuance. On February 10, 2001, COW sent a petition to the Environmental Appeals Board (EAB), asking the board to review the content of SDI�s permit once again, thereby staying the effect of the January 10, 2001 permit. On April 23, 2001, the EAB denied review of the appeal, indicating that SDI could immediately commence construction. In a letter dated September 5, 2000, COW advised the United States Environmental Protection Agency (U.S. EPA) that SDI had begun construction activities at its site in Whitley County prior to having a final construction PSD permit. On September 18, 2000, Ms. Linda Hamsing, Environmental Engineer, U.S. EPA, conducted a site visit followed by a second inspection on February 12, 2001, by Ms. Hamsing and Ms. Lynne Suesse, Environmental Scientist, U.S. EPA. Based on these inspections, U.S. EPA determined that SDI had indeed begun construction prior to receipt of its final PSD permit. U.S. EPA�s inspectors observed, among other things, extensive excavation of water retention ponds, lagoons, and ditches. SDI stopped construction activities following U.S. EPA�s February 2001 inspection. On March 2, 2001, U.S. EPA sent a Section 114 request for information to SDI, requesting financial documentation of activities completed at the site. After receiving the documents, U.S. EPA determined that SDI made a substantial monetary investment, and as such commenced construction prior to receipt of its final PSD permit. According to these records, SDI spent approximately $100 million on equipment and activities onsite prior to March 2001. The total amount of the completed steel mill was estimated at approximately $300 million.

Defendants (1)

• Steel DynamicsNamed in complaintNamed in settlement

Facilities (2)

• STEEL DYNAMICS, INC.

  2601 S 700 E, COLUMBIA CITY, IN, 46725

  Registry ID: 110009569216

• STEEL DYNAMICS, INC.

  2601 S 700 E, COLUMBIA CITY, IN, 46725

  Registry ID: 110009569216

Statutes cited

• CAA 110 — Implementation Plan for National Primary and Secondary Ambient Air Quality Standards

Enforcement conclusions (1)

• Steel Dynamics, Inc.entered 2002-10-11

  Primary law: CAA

  Federal penalty: $50,000 · SEP: $100,000

Timeline (3 milestones)

• 2002-10-11Complaint Filed/Proposed Order
• 2002-10-11Final Order Issued
• 2003-02-27Enforcement Action Data Entered