EPA v. HASTINGS GROUNDWATER CONTAMINATION SITE - AREA WIDE OU 19

Case summary

REFERRAL OF CERCLA CONSENT DECREE TO COLLECT PAST COSTS AND OBLIGATE SETTLORS TO IMPLEMENT THE REMEDY AND PAY FUTURE COSTS. THIS IS A CERCLA SECTION 106/107 SETTLEMENT FOR THE PERFORMANCE OF THE REMEDIAL DESIGN/REMEDIAL ACTION AND REIMBURSEMENT OF COSTS AT THE AREA-WIDE GROUND WATER OPERABLE UNIT OF THE HASTINGS GROUND WATER CONTAMINATION SITE. THE EIGHT SETTLING PARTIES (CITY OF HASTINGS, CONCRETE INDUSTRIES, INC., COOPERATIVE PRODUCERS, INC., DESCO CORPORATION, DUTTON-LAINSON COMPANY, DRAVO CORPORATION, MORRISON ENTERPRISES, AND THE UNITED STATES NAVY) REPRESENT ALL POTENTIALLY RESPONSIBLE PARTIES (PRPS) AT THE HASTINGS SITE WHO ARE VIABLE AND HAVE NOT PREVIOUSLY CASHED OUT. THE CONSENT DECREE IDENTIFIES THE SETTLING PARTIES AS EITHER WORK PARTIES, CASH-OUT PARTIES, OR THE SETTLING FEDERAL AGENCY. EACH GROUP HAS ITS OWN SET OF OBLIGATIONS. THE EFFECT OF ALL THE OBLIGATIONS IS THAT THE REMEDY SELECTED IN THE AREA-WIDE RECORD OF DECISION (ROD) WILL BE IMPLEMENTED AND THE GOVERNMENT WILL RECEIVE $2,250,000, WHICH IS APPROXIMATELY 86% OF THE PAST COSTS AND PRE-JUDGMENT INTEREST. PAST COSTS TO BE RECOVERED: EPA WILL RECOVER $2,250,000 OF THE TOTAL PAST RESPONSE COSTS FROM THE SETTLING PARTIES. THE THREE GROUPS OF SETTLING PARTIES WILL PAY AS FOLLOWS: WORK PARTIES $1,195,000 CASH-OUT PARTIES 850,000 SETTLING FEDERAL AGENCY 205,000 TOTAL PAST RESPONSE COSTS TO BE RECOVERED: $2,250,000 WORK PARTIES: THE CITY OF HASTINGS, CONCRETE INDUSTRIES, INC., COOPERATIVE PRODUCERS, INC., DUTTON-LAINSON COMPANY, AND MORRISON ENTERPRISES CASH-OUT PARTIES: DESCO CORPORATION AND DRAVO CORPORATION WILL PAY $850,000. SETTLING FEDERAL AGENCY: UNITED STATES NAVY WILL PAY $205,000. THE PAST COST PAYMENTS FROM THE CASH-OUT PARTIES INCLUDE A 40% PREMIUM FOR COST OVERRUNS. THE PORTION OF THE CASH-OUT PARTIES' PAYMENT THAT IS ATTRIBUTABLE TO ITS SHARE OF PAST COSTS IS $510,000; THE PREMIUM IS $340,000. THE PORTION OF THE SETTLING FEDERAL AGENCY'S PAYMENT THAT IS ATTRIBUTABLE TO ITS SHARE OF PAST COSTS IS $123,000; THE PREMIUM IS $82,000. FUTURE COSTS TO BE RECOVERED: THE CONSENT DECREE DEFINES FUTURE RESPONSE COSTS AS OVERSIGHT COSTS AND INTERIM RESPONSE COSTS (THOSE COSTS INCURRED BETWEEN OCTOBER 1, 2001 AND THE DATE OF LODGING OF THE CONSENT DECREE). THE OVERSIGHT COSTS ARE ESTIMATED IN THE ROD TO BE $175,000 AND WILL BE FULLY PAID BY THE WORK PARTIES. THE INTERIM RESPONSE COSTS, ESTIMATED TO BE $200,000, WILL BE FULLY PAID BY ALL THE SETTLING PARTIES. THE TOTAL FUTURE COST RECOVERY IS ESTIMATED AT $375,000 ($175,000 + $200,000). WORK TO BE PERFORMED: THE ESTIMATED COST OF THE WORK IS $700,849. THE PROPOSED CONSENT DECREE PROVIDES THAT THE FIVE SETTLING PARTIES (WORK PARTIES) PERFORM THE WORK, WHICH CONSISTS PRIMARILY OF CONDUCTING A WELL INVENTORY, GROUND WATER MONITORING AND PROVISION OF ALTERNATE WATER IF SAMPLING RESULTS INDICATE THAT GROUND WATER CONTAMINATION EXCEEDS HEALTH-BASED LEVELS, AS DEFINED IN THE CONSENT DECREE.

Defendants (7)

• CITY OF HASTINGSNamed in complaintNamed in settlement
• MORRISON ENTERPRISESNamed in complaintNamed in settlement
• CONCRETE INDUSTRIES, INCNamed in complaintNamed in settlement
• COOPERATIVE PRODUCERS, INCNamed in complaintNamed in settlement
• DESCO CORPORATIONNamed in complaintNamed in settlement
• DRAVO CORPORATIONNamed in complaintNamed in settlement
• DUTTON LAINSON COMPANYNamed in complaintNamed in settlement

Facilities (1)

• HASTINGS OPERABLE UNIT 19

  OPERABLE UNIT 19, HASTINGS, NE, 68901

  Registry ID: 110010694258

Statutes cited

• CERCLA 107A — Cost Recovery
• CERCLA 106A — Imminent & Substantial Endangerment Order

Enforcement conclusions (5)

• DUTTON LAINSON COMPANYentered 2004-04-09

  Primary law: CERCLA

• CITY OF HASTINGS ET ALentered 2004-02-26

  Primary law: CERCLA

• COOPERATIVE PRODUCERS, INCentered 2004-04-09

  Primary law: CERCLA

• DRAVO CORPORATIONentered 2004-04-09

  Primary law: CERCLA

• MORRISON ENTERPRISESentered 2004-04-09

  Primary law: CERCLA

Timeline (5 milestones)

• 2003-06-30Referred To Dept Of Justice
• 2003-07-01Enforcement Action Data Entered
• 2003-12-23Complaint Filed With Court
• 2004-02-26Final Order Lodged
• 2004-04-09Final Order Entered