Tag: clean air act

  • Virginia Dairy Settles With EPA on Alleged Environmental Violations

    environmental Strategist®, between the lines:  As an environmental Strategist®, the number one pushback we hear from a business with regard to strategizing on managing and transferring their environmental exposures is, “We do not have any environmental exposures in our business.”

    We know every business is impacted by environmental exposures, but instead of getting confrontational, I have found the best comeback to anyone who believes they do not have any environmental exposures impacting their business is to agree with them and then ask, do you have any neighbors that have environmental exposures associated with their business?  What if a neighboring business had an environmental loss and it impacted you?  When they do a Phase I site assessment they do a minimum of a 2 mile radius search to determine if there are any properties within a 2 mile radius that could cause an environmental loss and impact neighboring properties.

    The story below is just one simple example of how vapor intrusion / air emissions from a neighboring property can impact businesses causing sick building syndrome.

    eS Risk Management Strategies: 

    1. When meeting with a business that does not believe they have any environmental exposures, explain to them that in a Phase I site assessment they do a minimum of a 2 mile radius search to see if any neighbors could contaminate their property.  Ask them to pull up Google maps satellite and type in their address.  Now ask them scan back to a 2 mile radius from their property.  Lastly, ask them how confident they feel that no neighbors within that two mile radius will contaminant their property?  What is their strategy should a third party contaminate their property?  Pollution liability insurance can protect property owners should neighboring third parties contaminate their property.
    2. In preparation for a meeting to strategize on managing and transferring environmental exposures go to the EPA website: https://echo.epa.gov/.  At the EPA ECHO website you can type in a street address, a city, a county / perish… and it will give you a list of businesses / property owners that have or currently are involved in a cleanup or environmental violations.  Sharing a list of the neighboring properties is a great way to show that a credible source, the government, has identified contaminating neighbors and if the government knows about it, shouldn’t it be of concern to them.  What is their strategy?

    Epa-Logo

    News Releases from Region 03

    PHILADELPHIA (July 21, 2016) – The U.S. Environmental Protection Agency announced today that Sunshine Pride Dairy, Inc. will pay a $179,074 penalty to settle alleged federal environmental violations at its former cheese processing facility in Winchester, Va.  The dairy shut down cheese processing operations in December 2011, but left anhydrous ammonia, a hazardous substance, stored in its refrigeration system with only a skeleton maintenance crew at the facility.

    EPA alleged that in July 2012, the facility did not properly notify emergency response agencies about two instances when anhydrous ammonia was released into the air.  These included one release of between 100-500 pounds and another of more than 1,500 pounds. After the second release, Sunshine Pride Dairy had the remaining anhydrous ammonia drained from the system.

    EPA cited the company for not updating its operating procedures to reflect current conditions at the facility, failing to document proper training of its operators, and failing to maintain its ammonia processing equipment.  In addition, EPA also alleged that the dairy did not report the ammonia to the state, county and local fire department as required on its annual chemical reporting forms for the years 2012 and 2013.

    The settlement resolves alleged violations under three federal statutes: failing to maintain risk management obligations required under the Clean Air Act Section 112(r); failing to comply with community right-to-know reporting requirements; and failing to report releases to the National Response Center, as required by the Comprehensive Environmental Response, Compensation, and Liability Act.

    These requirements help to ensure safeguards are in place to protect the health and safety of workers, local residents and the environment.  It’s also essential that local, state and national emergency response authorities are notified immediately when a release of hazardous substances occurs, so they can respond quickly and effectively.

    As a part of the settlement, the company did not admit or deny EPA’s allegations.

    The applicable federal statutes are:

    CERCLA and EPCRA release reporting and annual inventory reporting:
    https://www.epa.gov/epcra
    Clean Air Act Section 112(r): https://www.epa.gov/rmp

  • Major Supermarket Chain Fined Over Refrigerant Leaks

    environmental Strategist, between the lines:  Reputational risk associated with environmental liabilities can devastate a business.

    Besides reputational risk, environmental liabilities create financial stress due to clean up, legal costs, investigation costs, third party bodily injury, third party property damage, third party business income and much more.  Since every business is impacted by environmental exposures and at least 90% of the businesses in the United States can’t afford to self-insure the environmental exposures impacting their operations, pollution liability insurance has proven to be a sound investment versus self-insuring.

    Refrigerants make air conditioning and refrigeration possible.

    What businesses do you work with that have this same environmental exposure as Trader Joes due to their use of refrigeration systems?  Agriculture operations, food processors, restaurants, resorts, educational institutions, transportation / logistics companies, warehouses, convenience stores / gas stations, contractors that service refrigeration systems / HVAC, commercial real estate owners, medical facilities, laboratories, ice rinks and many, many more.

    UNITED STATES - NOVEMBER 30:  A Trader Joe's store in Riverside, CA, November 30, 2006. Trader Joe's is a chain of grocery stores that will be affected by Tesco's move into the United States. Cheshunt, England-based Tesco Plc plans to create a U.S. convenience store brand, taking on chains such as 7-Eleven Inc. and locally run grocers for the money spent by Southern California's time-pressed shoppers.  (Photo by Francis Specker/Bloomberg via Getty Images)

    Trader Joe’s penalized $500,000 over refrigerant leaks

    Trader Joe’s, the boutique supermarket chain known for its healthy and exotic foods, has agreed to a $500,000 settlement arising from leaky refrigeration systems that contribute to global warming under an agreement with the federal government.

    The chain is expected to spend an additional $2 million over the next three years as part of a settlement announced Tuesday by the Justice Department and Environmental Protection Agency to improve the equipment at 453 stores nationwide. The stores have been leaking a coolant called R-22, which government attorneys say depletes the ozone layer and is a greenhouse gas. They had alleged the leak violates the Clean Air Act and federal stratospheric ozone regulations.

    “Some of the refrigerants now in use by Trader Joe’s are up to 4,700 times more potent than carbon dioxide,” said Alexis Strauss, acting regional administrator for EPA’s Pacific Southwest region. “Today’s settlement will affect all of Trader Joe’s current and new stores to prevent the release of approximately 31,000 metric tons of carbon-equivalent greenhouse gases.”

    National Director of Public Relations for Trader Joe’s, Alison Mochizuki, released the following statement regarding the settlement: “Trader Joe’s looks forward to working with the EPA in its mission to reduce air pollution and protect the ozone layer, and, with this agreement, has committed to reducing its emissions to a rate that matches the best of the industry.”

    Trader Joe’s, based on Monrovia, Calif, becomes the third grocery chain to face concerns about refrigerant leaks. Previous cases have been filed against Safeway and Costco Wholesale for similar leaks of ozone-depleting refrigerants since 2013. All three companies are also being required to heighten their leak monitoring and recordkeeping, as well as electronic reporting to the EPA.