EPA v. MARINE SHALE PROCESSORS INC.

Case summary

SINCE 1985, MARINE SHALE PROCESSORS, INC. (MSP), LOCATED IN AMELIA, LOUISIANA, HAS OPERATED A ROTARY KILN COMBUSTION PROCESS WHICH INCINERATES VARIOUS MATERIALS, INCLUDING MATERIALS WHICH ARE CLASSIFIED AS HAZARDOUS WASTES. THE AMBIENT AIR EMISSIONS FROM THIS PROCESS ARE REGULATED BY AIR QUALITY PERMIT NO. 1036 M-1, ISSUED BY THE LOUISIANA DEPART- MENT OF ENVIRONMENTAL QUALITY (LDEQ) PURSUANT TO THE STATE IMPLEMENTATION PLAN (SIP), LOUISIANA ADMINISTRATIVE CODE (LAC) 33:III.505.A.1. ON JANUARY 3, 1986, MODIFICATIONS TO MSP'S AIR QUALITY PERMIT WERE GRANTED BY LDEQ, SETTING FORTH THE CURRENT NITROGEN OXIDES (NOX), CARBON MONOXIDE (CO), AND HYDROCARBON (HC) EMISSIONS LIMITATIONS FOR THE ROTARY KILN COMBUSTION PROCESS. FROM EARLY 1986 THROUGH OCTOBER 1986, MSP WAS UNDER INVESTIGATION BY LDEQ FOR AIR, WATER, AND HAZARDOUS WASTE VIOLATIONS. IN OCTOBER 1986, LDEQ REFERRED THE MSP MATTER TO EPA REGION 6 FOR A DETERMINATION AS TO WHETHER THE FACILITY WAS A LEGITIMATE REUSE/RECYCLE FACILITY AND FOR CONSIDERATION OF APPROPRIATE ENFORCEMENT ACTION. IN NOVEMBER 1986, EPA CONDUCTED A CRIMINAL AND CIVIL INVESTIGATION OF MSP WHICH RESULTED IN A CRIMINAL ENFORCE- MENT ACTION AND A PLEA AGREEMENT IN WHICH MSP AGREED TO PLEAD GUILTY TO A RESOURCE CONSERVATION AND RECOVERY ACT (RCRA) VIOLATION, TWO RIVERS AND HARBORS ACT VIOLATIONS, AND PAYMENT OF A $1,000,000 CRIMINAL PENALTY. THE EPA OFFICE OF ENFORCEMENT AND THE U.S. DEPARTMENT OF JUSTICE (DOJ), HOWEVER, DECLINED TO ALLOW A PARALLEL CIVIL ACTION TO PROCEED. ON NOVEMBER 25, 1987, MSP NOTIFIED LDEQ THAT IT HAD CONSTRUCTED TWO NEW OXIDIZER TANKS WHICH WERE TO BE OPERATIONAL BY MARCH 1988. AFTER A JANUARY 15, 1988 INSPECTION, LDEQ ISSUED A NOTICE OF VIOLATION (NOV) LETTER DATED JANUARY 22, 1988 TO MSP FOR COMMENCING THE CONSTRUC- TION ACTIVITY WITHOUT THE PERMIT REQUIRED UNDER THE LOUISIANA SIP, LAC 33:III.505.A.1. THE NOV ADVISED MSP TO IMMEDIATELY DISCONTINUE THE CONSTRUCTION ACTIVITY UNTIL SUCH TIME AS THE REQUIRED PERMIT HAD BEEN OBTAINED. ON MARCH 1, 1988, EPA ALSO DETERMINED THAT A STATE SIP PERMIT WAS REQUIRED FOR CONSTRUCTION AND OPERATION OF THE OXIDATION TANKS. THIS DETERMINATION WAS BASED ON THE CON- CLUSION THAT OPERATION OF THE NEW EQUIPMENT WOULD RESULT IN INCREASED SULPHUR DIOXIDE (SO2) AND NOX EMISSIONS. BASED UPON THE JANUARY 15, 1988 INSPECTION AND THE MARCH 1, 1988 PERMIT DETERMINATION, EPA ISSUED AN NOV TO MSP ON APRIL 13, 1988 ALLEGING A VIOLATION OF THE LOUISIANA SIP FOR CONSTRUCTION AND OPERATION OF THE TWO OXIDATION TANKS WITHOUT THE REQUIRED PERMIT. ON MARCH 26, 1990, THE VIOLATIONS ALLEGED IN THE APRIL 13, 1988 NOV WERE REFERRED TO THE DEPARTMENT OF JUSTICE (DOJ) AS PART OF A MULTI-MEDIA REFERRAL WHICH INCLUDED ALLEGED VIOLATIONS OF RCRA AND THE CLEAN WATER ACT (CWA). THE CLEAN AIR ACT (CAA) VIOLATIONS, HOWEVER, WERE NOT INCLUDED IN THE COMPLAINT FILED AGAINST MSP ON JUNE 14, 1990 FOR THE RCRA AND CWA VIOLATIONS. THE CAA REFERRAL WAS RETURNED TO REGION 6 ON JULY 13, 1990 BECAUSE OF LITIGATION RISKS... (WHICH) WERE TOO GREAT TO RECOMMEND... FILING. THIS REFERRAL REQUESTS AN ENFORCEMENT ACTION FOR LOUISIANA SIP VIOLATIONS WHICH WERE MORE FULLY DOCUMENTED AFTER THE RETURN OF THE CA REFERRAL OF MARCH 26, 1990, AND RECOMMENDS FILING AMENDMENTS TO THE COMPLAINT FILED IN THE WESTERN DISTRICT OF LOUISIANA ON JUNE 14, 1990 FOR THE THREE (3) VIOLATIONS OF THE LOUISIANA SIP DESCRIBED BELOW: (1) ON NOVEMBER 17-18, 1988, A STACK PERFORMANCE TEST WAS CONDUCTED ON MSP'S ROTARY KILN COMBUSTION PROCESS TO DETERMINE COMPLIANCE WITH LOUISIANA AIR QUALITY PERMIT NO. 1036M-1, AS MODIFIED ON JANUARY

Defendants (1)

• MARINE SHALE PROCESSORS INC.Named in complaint

Facilities (3)

• GTX INCORPORATED

  9828 HWY 90 8M E MORGAN CITY, AMELIA, LA, 703409998

  Registry ID: 110000700563

• GTX INCORPORATED

  9828 HWY 90 8M E MORGAN CITY, AMELIA, LA, 703409998

  Registry ID: 110000700563

• GTX INCORPORATED

  9828 HWY 90 8M E MORGAN CITY, AMELIA, LA, 703409998

  Registry ID: 110000700563

Statutes cited

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

Enforcement conclusions (1)

• **PROPOSED SETTLEMENT**

  Primary law: CAA

Timeline (7 milestones)

• 1991-01-15Enforcement Action Data Entered
• 1991-06-28Referred To Dept Of Justice
• 1993-08-17Final Order Lodged
• 1993-08-17Final Order Entered
• 1993-08-17Complaint Filed With Court
• 1993-08-17Concluded
• 1993-08-17Enforcement Action Closed