EPA v. A J MACKAY COMPANY

Case summary

NATURE OF CASE THIS IS A CIVIL ACTION AGAINST A.J. MACKAY COMPANY, LITTLE AMERICA HOTEL CORPORATION, AND ZION'S SECURITY CORP- ORATION PURSUANT TO SECTION 113(B) OF THE CLEAN AIR ACT 42 U.S.C. 7413(B) SEEKING PENALTIES FOR FAILURE TO COMPLY WITH THE EPA NATIONAL EMISSION STANDARDS FOR ASBESTOS, 40 C.F.R. SECTION 61.22(D) AND 40 C.F.R. SUBPART M, SECTION 61.140 ET. SEQ. ARISING OUT OF THE DEMOLITION OF TWO BUILDINGS IN SALT LAKE CITY, UTAH. CAUSE OF ACTION THIS ACTION ALLEGES THAT BOTH DEMOLITIONS FALL UNDER THE REGULATIONS GOVERNING THE DEMOLITION OF BUILDINGS CONTAINING ASBESTOS BECAUSE MORE THAN 260 LINEAR FEET OF FRIABLE ASBEST OS MATERIAL WERE PRESENT IN BOTH BUILDINGS PRIOR TO THEIR DEMOLITION. IN JUNE OF 1983, DEFENDANT A.J. MACKAY COMPANY DEMOLISHED BY EXPLOSION A BUILDING OWNED BY DEFENDANT LITTLE AMERICA HOTEL CORPORATION. NEITHER THE COMPANY NOR THE OWNER GAVE STATE OR EPA OFFICIALS A TEN (10) DAY WRITTEN NOTICE OF THE DEMOLITION AS REQUIRED BY 40 C.F.R. SECTION 61.22(D). ON APRIL 5, 1984, THE NATIONAL EMISSION STANDARDS FOR ASBESTOS WERE REPROMULGATED. SUBSEQUENT TO THAT REPROMULAG- TION, DEFENDANT MACKAY DEMOLISHED A BUILDING OWNED BY DEFENDNAT ZION'S SECURITY CORPORATION. AGAIN, NEITHER THE OWNER NOR OPERATOR GAVE STATE OR EPA OFFICIALS THE REQUISITE TEN (10) DAY WRITTEN NOTICE OF THE DEMOLITION. ADDITIONALLY, THE DEFENDANTS FAILED TO COMPLY WITH THE STANDARDS FROR ASBESTOS EMISSION CONTROL AND DISPOSAL AS OUTLINED IN THE REGULATIONS (40 C.F.R. SUBPART M, SECTION 61.140 ET. SEQ.). PROPOSED REMEDY EPA SEEKS CIVIL PENALTIES IN THE AMOUNT OF $250,000 FOR THE VIOLATION UPON WHICH THIS ACTION IS BASED. THE REGION IS UNABLE TO COMMENT ON THE PROPECTS FOR SETTLEMENT OF THIS ACTION OTHER THAN TO POINT OUT THAT THE FINANCIAL STRENGTH OF A.J. MACKAY COMPANY COULD BE IN DOUBT. IF THIS IS THE CASE THE REGION ASSUMES THAT A.J. MACKAY COMPANY WOULD BE INTERESTED IN EXPLORING AN EARLY SETTLE- MENT OF THIS MATTER. ISSUES OF NATIONAL OR PRECEDENTIAL SIGNIFICANCE IT DOES NOT APPEAR THAT THIS CASE WILL RAISE ISSUES OF NATIONAL OR PRECEDENTIAL SIGNIFICANCE. REGIONAL CONTACTS MIKE RISNER, ATTORNEY, AND MARIUS GEDGAUDAS, ENGINEER, ARE THE REGIONAL CONTACTS FOR THIS CASE. USE OF CASE DEVELOPMENT PROCESS THE REGION HAS DISCUSSED THIS CASE WITH DAVID BUENTE OF THE DEPARTMENT OF JUSTICE; AND, A COPY OF THE ENGINEER'S INVESTIGATIVE REPORT WAS SENT TO ELLIOT GILBERG OF EPA'S OFFICE OF ENFORCEMENT AND COMPLIANCE MONITORING.

Defendants (3)

• A.J. MACKAY COMPANYNamed in complaintNamed in settlement
• LITTLE AMERICA HOTEL CORPORATIONNamed in complaintNamed in settlement
• ZION'S SECURITY CORPORATIONNamed in complaintNamed in settlement

Facilities (2)

• NEW HOUSE HOTEL

  STATE STREET & 4TH STREET, SALT LAKE CITY, UT, 84101

  Registry ID: 110010668651

• MEDICAL ARTS BLDG

  50 E SOUTH TEMPLE, SALT LAKE CITY, UT, 84101

  Registry ID: 110010668642

Statutes cited

• CAA 112 — Hazardous Air Pollutants

Enforcement conclusions (1)

• A J MACKAY COMPANYentered 1986-06-13

  Primary law: CAA

  Federal penalty: $50,000

Timeline (8 milestones)

• 1984-12-20Referred To Headquarters
• 1985-01-16Referred To Dept Of Justice
• 1985-10-16Referred TO U.S. Attorney
• 1985-10-22Complaint Filed With Court
• 1986-06-13Final Order Lodged
• 1986-06-13Final Order Entered
• 1986-06-13Concluded
• 1989-04-01Enforcement Action Closed