EPA v. CEDAR CREEK - AMCAST INDUSTRIAL CORPORATION - BANKRUPTCY (CERCLA)

Case summary

THE PURPOSE OF THIS BANKRUPTCY REPORT IS TO REFER FOR APPROPRIATE ACTION A MATTER INVOLVING AMCAST INDUSTRIAL CORPORATION (AMCAST) THAT IS CURRENTLY PENDING IN THE UNITED STATES BANKRUPTCY COURT FOR THE SOUTHERN DISTRICT OF OHIO'S WESTERN DIVISION. THE REGIONAL OFFICE OF THE UNITED STATES ENVIRONMENTAL PROTECTION AGENCY RECOMMENDS THAT THE GOVERNMENT FILE A PROOF OF CLAIM SEEKING PAST COSTS AND FUTURE INVESTIGATION AND CLEAN UP AT THE CEDAR CREEK SUPERFUND ALTERNATIVE SITE (SITE) IN CEDARBURG, WISCONSIN. AMCAST IS PART OF A GROUP OF COMPANIES THAT HAS FILED FOR CHAPTER 11 BANKRUPTCY RELIEF JOINTLY IN THE SOUTHERN DISTRICT OF OHIO. AMCAST OWNED AND OPERATED AN AUTOMOTIVE PARTS FACILITY LOCATED AT N39 W5789 HAMILTON ROAD IN CEDARBURG, WISCONSIN. THROUGH THE 1970'S, THE AMCAST FACILITY USED PCBS AS PART OF ITS MANUFACTURING PROCESS. PCBS WERE RELEASED FROM THE AMCAST FACILITY THROUGH A DIRECT DISCHARGE TO CEDAR CREEK AND INDIRECT DISCHARGE TO AN ABANDONED QUARRY ADJACENT TO THE AMCAST FACILITY, HI SEPTEMBER 2004, AMCAST LEASED THE FACILITY TO ANOTHER OPERATOR, WHO IS OPERATING THE FACILITY AT THIS TIME. ON FEBRUARY 28, 2003, REGION 5 AND AMCAST ENTERED INTO AN ADMINISTRATIVE ORDER ON CONSENT (AOC) FOR AMCAST TO CONDUCT REMEDIAL INVESTIGATION (RI) ACTIVITIES ON A PORTION OF THE CEDAR CREEK SITE. THE REGION FOUND THAT AMCAST IS A POTENTIALLY RESPONSIBLE PARTY UNDER SECTIONS 104, 107 AND 122 OF CERCLA, 42 U.S.C. �� 9604, 9607 AND 9622. AMCAST BEGAN COMPLYING WITH THE AOC AND SUBMITTED WORK PLANS FOR SAMPLING AT ITS FACILITY AND IN THE ADJACENT WATERWAYS. IN LATE 2004, AMCAST REQUESTED MORE TIME TO PREPARE PLANS AND CHANGE CONTRACTORS, GIVEN ITS PENDING BANKRUPTCY. ON FEBRUARY 17, 2005, EPA SENT AMCAST A LETTER REQUIRING COMPLIANCE WITH THE AOC SAMPLING PLANS BY APRIL 22, 2005. AMCAST HAS INDICATED IT WILL MEET THAT DEADLINE, BUT THE REGION WOULD SEEK STIPULATED PENALTIES IF IT FAILS TO DO SO. MERCURY MARINE, AN ADJACENT PROPERTY OWNER AND PRP AT THE SITE, IS ALSO UNDER AN AOC TO CONDUCT RI AND FS ACTIVITIES AT THE SITE. THE CEDAR CREEK SITE CONSISTS OF (I) THE FORMER MERCURY MARINE/KIEKHEAFER PLANT 2; (II) THE AMCAST PLANT IN CEDARBURG AND ASSOCIATED POTENTIAL PCS MIGRATION PATHWAYS TO THE QUARRY PONDS AND CEDAR CREEK AND (II) CEDAR CREEK, ITS IMPOUNDMENTS, RACEWAYS, FREE FLOWING REACHES AND FLOODPLAIN SOILS FROM THE RUCK POND DAM DOWNSTREAM 4.6 MILES I^ ITS CONFLUENCE WITH THE MILWAUKEE RIVER. BASED ON SAMPLING CONDUCTED TO DATE, HIGH CONCENTRATIONS OF PCBS ARE LOCATED IN THE IMPOUNDMENTS AND THE QUARRY PONDS. LOWER CONCENTRATIONS OF PCBS ARE FOUND IN THE REMAINING PORTIONS OF CEDAR CREEK WITH CONCENTRATIONS DECREASING DOWNSTREAM. FISH TISSUE LEVELS FROM SAMPLES TAKEN ON-SITE VARY DEPENDING ON SPECIES. RESULTS FROM SAMPLING IN CEDAR CREEK CONDUCTED BY WISCONSIN DEPARTMENT OF NATURAL RESOURCES (WDNR) SHOW CARP TISSUE FROM COLUMBIA POND IN 1997 AVERAGED ALMOST 15 MG/KG. NORTHERN PIKE FROM COLUMBIA POND IN 1997 AVERAGED ALMOST 5 MG/KG. THESE FISH MIGHT PRESENT A SIGNIFICANT CANCER RISK TO A RESIDENT WHO CONSUMED THEM OVER TIME. A BANKRUPTCY PETITION FOR AMCAST WAS FILED UNDER CHAPTER 11 IN THE UNITED STATES BANKRUPTCY COURT FOR THE SOUTHERN DISTRICT OF OHIO ON NOVEMBER 30, 2004 (CASE NO. 04-40504). GIVEN THAT AMCAST AND THE AFFILIATED COMPANIES THAT HAVE FILED BANKRUPTCY HAVE EPA CLAIMS IN SEVERAL REGIONS, THIS REFERRAL WILL BE COORDINATED THROUGH EPA HEADQUARTERS. NAME AND ADDRESS OF DEBTOR'S ATTORNEY WRAY BLATTNER THOMPSON HINE, LLP 2000 COURTHOUSE PLAZA, N.E. P.O. BOX 8801 DAYTON, OHIO 45401-8801 THE DEBTOR'S ATTORNEY HAS AGREED TO A STIPULATION WITH THE DEPARTMENT OF JUSTICE TO GRANT THE GOVERNMENTAL AGENCIES UNTIL MAY 31, 2005 TO FILE A PROOF OF CLAIM. DEBTOR IS RESPONSIBLE PARTY THE SITE IS A FACILITY AS DEFINED IN SECTION 101(9) OF CERCLA, 42 U.S.C. � 9601(9). THE PCBS RELEASED AT AND FROM THE CEDARBURG FACILITY ARE HAZARDOUS SUBSTANCES AS DEFINED IN SECTION 101(14) OF CERCLA, 42 U.S.C.

Defendants (1)

• AMCAST INDUSTRIAL CORPORATIONNamed in complaintNamed in settlement

Facilities (1)

• CEDAR CREEK

  INTER. OF COLUMBIA RD & CEDAR CREEK, CEDARBURG, WI, 53012

  Registry ID: 110009317890

Statutes cited

• CERCLA 107A — Cost Recovery
• CERCLA 122A — Agreement to Perform Work Under 104B
• CERCLA 104E4 — Inspection and Samples

Enforcement conclusions (1)

• CEDAR CREEK - AMCAST INDUSTRIAL CORPORATION - BANKRUPTCY (CERCLA)entered 2008-02-29

  Primary law: CERCLA

Timeline (5 milestones)

• 2005-05-10Referred To Dept Of Justice
• 2005-05-27Complaint Filed With Court
• 2005-10-14Enforcement Action Data Entered
• 2008-02-28Final Order Lodged
• 2008-02-29Final Order Entered