EPA v. MEXICO FEED AND SEED COMPANY, INC., ET AL., MEXICO, MO

Case summary

THIS IS A CERCLA 107 COST RECOVERY ACTION AGAINST MEXICO FEED AND SEED COMPANY, INC., JAMES AND MARY COVINGTON, INDIVIDUALLY, AND JAMES COVINGTON D/B/A MEXICO FEED AND SEED CO., PIERCE WASTE OIL SERVICE, INC., JACK PIERCE, INDIVID- UALLY, AND JACK, MARTIN AND HELEN PIERCE AND MARY LYNN GIACOMINI AS DIRECTOR OF PIERCE WASTE OIL SERVICE, INC., A DISSOLVED DELAWARE CORPORATION. PIERCE LEASED SPACE AT MEXICO SEED FOR A TRANSFER TANK FOR USED OIL FROM MID-1960 UNTIL AT LEAST 1976. PCB'S WERE FOUND IN THE TANKS AND SOILS IN 1983. A CERCLA 106 ORDER WAS ISSUED ON 07/25/86 AND A REMOVAL CLEAN-UP ACTION WAS CONDUCTED BY EPA IN 1984. ALSO A TSCA CONTESTED HEARING WAS HELD IN 1985. THE CERCLA COST RECOVERY COSTS INCURRED BY THE TIME THE COMPLAINT WAS FILED AMOUNTED TO ABOUT $825,000. THE MEXICO FEED ANS SEED SITE IS LOCATED IN MEXICO, AUDRAIN COUNTY, MISSOURI, ON PROPERTY OWNED BY JAMES AND MARY COVINGTON AND OPERATED BY THE MEXICO FEED AND SEED CO., INC. FROM APPROXIMATELY 1964 THROUGH 1976, DEFENDANTS PIERCE WASTE OIL CO., INC. AND JACK PIERCE LEASED A 40' BY 40' PARCEL OF LAND FROM THE COVINGTONS ON WHICH THEY PLACED FOUR TANKS FOR THE STORAGE OF WASTE OIL COLLECED FROM VARIOUS LOCATIONS THROUGHOUT MISSOURI. SOME OF THE OIL WAS SUBSEQUENTLY SHIPPED FROM THE MEXICO FEED FACILITY TO PIERCE'S PLANT IN SPRINGFIELD, ILLINOIS WHERE THE WASTE OIL WAS REFINED. IN APPROXIMATELY 1976, PIERCE STOPPED USING THE TANKS, BUT DID NOT REMOVE THEM FROM THE SITE. IN 1983, THE AUDRIAN CITY-COUNTY HEALTH DEPARTMENT ALERTED EPA THAT THE TANKS WERE SUSPECTED OF CONTAINING HAZARDOUS SUBSTANCES. EPA'S SUBSEQUENT INVESTIGATION REVEALED HIGH CONCENTRATIONS OF POLYCHLORINATED BYPHENYLS (PCBS) IN THE TANKS AND SURROUNDING SOILS. ON JULY 24, 1984, EPA FILED A TOXIC SUBSTANCE AND CONTROL ACT (TSCA) ADMINISTRATIVE COMPLAINT ALLEGING PCB VIOLATIONS. ON JULY 25, 1984, EPA ISSUED AN ADMINISTRATIVE ORDER PURSUANT TO SECTION 106(A) OF CERCLA, 42 U.S.C. SECTION 9606(A), TO COVINGTON AND PIERCE ORDERING THEM TO CLEAN UP THE SITE. THEY DID NOT PERFORM THE RESPONSE ACTION AS DIRECTED BY THE ORDER. THE COVINGTONS DID ALLOW ACCESS. THE EPA CONDUCTED A REMOVAL ACTION TO CLEAN UP THE SITE FROM AUGUST TO OCTOBER, 1984. AN ADMINISTRATIVE HEARING WAS CONDUCTED ON THE TSCA CASE ON JUNE 11 AND 12, 1985. THE CASE WAS SETTLED WHILE ON APPEAL FOR A CIVIL PENALTY OF $14,500 AND VACATION OF ALL FINDINGS OF FACT AND CONCLUSIONS OF LAW IN OCTOBER 1986. THE INSTANT CERCLA COST RECOVERY CASE WAS FILED ON FEBRUARY 26, 1987. THE UNITED STATES FILED A SEPARATE CASE AGAINST MOTOR OILS REFINING TECHNOLOGY AND MID-MO ELECTRIC CO. IN OCTOBER 1989 WHICH WAS SUBSEQUENTLY CONSOLIDATED WITH THE ORIGINAL CASE. MID-MO FAILED TO ANSWER AND WAS DEFAULTED. MORECO ENERGY, INC. WAS SUBSTITUTED FOR MOTOR OILS. THE TRIAL WAS CONDUCTED IN TWO PHASES: THE FIRST ON JULY 23 AND 24, 1990, AGAINST PIERCE WASTE OIL SERVICE, INC. AND JACK PIERCE; AND THE SECOND, ON AUGUST 15 AND 16, 1990, AGAINST MORECO ENERGY, INC. THE PIERCE DEFENDANTS HAD DEFENDED BY CLAIMING THEY HAD SOLD THE TANKS TO COVINGTON AND THAT THEY HAD CLEANED OUT THE TANKS IN 1976 AND 1978. THE ARGUED THAT SOME THIRD PARTY MUST HAVE BROUGHT PCB CONTAMINATED OIL TO THE SITE. THE GOVERNMENT HAS ARGUED THAT THE OIL IN THE TANKS AND SPILLAGE ON THE SURROUNDING GROUND THAT WERE SAMPLED IN 1983 AND 1984 AND FOUND TO CONTAIN PCBS HAD BEEN DEPOSITED AND SPILLED BY THE PIERCE DEFENDANTS BEFORE THEY LEFT IN 1976. THE COURT FOUND THAT THE PIERCE DEFENDANTS OWNED OR OPERATED THE TANKS AT THE TIME OF DISPOSAL OF THE PCBS. IN 1976 IT WAS NOT COMMON PROCTICE TO TEST FOR PCBS. THE FIRST KNOW ANALYSES OF THE WASTE OI

Defendants (7)

• COVINGTON, JAMES E.Named in complaintNamed in settlement
• COVINGTON, MARYNamed in complaintNamed in settlement
• MEXICO FEED & SEED CO., INC.Named in settlement
• MID-MO ELECTRIC COMPANYNamed in complaintNamed in settlement
• MORECO ENERGY, INC.Named in complaintNamed in settlement
• PIERCE WASTE OIL SERVICE, INC.Named in complaintNamed in settlement
• PIERCE, JACK L.Named in complaintNamed in settlement

Facilities (1)

• MEXICO FEED & SEED CO

  N EDGE OF, MEXICO, MO, 65265

  Registry ID: 110009294511

Statutes cited

• CERCLA 106 — Imminent & Substantial Endangerment Order
• CERCLA 107 — Superfund

Enforcement conclusions (3)

• MID-MO ELECTRIC COMPANYentered 1991-05-16

  Primary law: CERCLA

• PIERCE WASTE OIL SERVICE, ET Aentered 1991-05-16

  Primary law: CERCLA

• MEXICO FEED AND SEED CO., ET Aentered 1991-12-30

  Primary law: CERCLA

Timeline (7 milestones)

• 1987-01-09Enforcement Action Data Entered
• 1987-02-11Referred To Dept Of Justice
• 1987-02-26Complaint Filed With Court
• 1991-12-30Final Order Lodged
• 1991-12-30Final Order Entered
• 1991-12-30Concluded
• 1991-12-31Enforcement Action Closed