Environmental enforcement and associated fines were once thought to be only for large industrial companies. However, with more robust and complex environmental regulations as well as the veil of environmental justice, the reach of enforcement is affecting a wide range of businesses.
The enforcement news outlined below ranges from oil and gas to a dairy farm.
Record-Setting Fine
The US Department of Justice (DOJ) and the US Environmental Protection Agency (EPA) announced a settlement with Marathon Oil Company resolving Clean Air Act violations at the company’s oil and gas production operations on the Fort Berthold Indian Reservation in North Dakota.
The settlement requires that Marathon pay a civil penalty of $64.5 million. According to the DOJ, this is “the largest ever for violations of the Clean Air Act at stationary sources, which include facilities such as oil and gas tank systems.” Under the settlement agreement, Marathon will also implement extensive compliance measures to achieve major reductions in emissions from over 200 facilities across the state.
According to the DOJ, “Like all of EPA’s national enforcement initiatives, this initiative prioritizes communities already overburdened by pollution and other potential environmental justice concerns.”
The agreement requires Marathon to invest in extensive compliance measures estimated to cost $177 million.
Sentencing Date Scheduled
A DOJ Press Release states that on August 20, 2024, “Christopher Domermuth, 49, and Domermuth Environmental Services LLC (DES), based in Knoxville, Tennessee, both pleaded guilty today to violating the Clean Water Act by knowingly discharging pollutants into a navigable waterway without a permit.”
The DOJ states that the incident occurred on July 26, 2018. Workers at DES “rolled over a previously exhumed underground storage tank, which spilled a mixture of petroleum and water onto a concrete pad at the facility.” While DES employees and Domermuth used absorbent pads on the spilled mixture, they also used a portable pump to pump the petroleum-contaminated mixture over a retaining wall at DES. This oily mixture flowed over a neighboring property and into a culvert leading to the Holston River.
Sentencing has been set for December 12, 2024, in the U.S. District Court for the Eastern District of Tennessee at Knoxville.
Whether your business has a corporate tier of environmental professionals and regulatory specialists or you are a smaller “one-man” show, regulatory compliance needs constant attention (Image by Alexa from Pixabay).
$5 Million Agreement
Clean Harbors Incorporated and two of its subsidiaries, Clean Harbors Baton Rouge LLC and Baton Rouge Disposal LLC, have reached an over $5 million agreement with the DOJ and EPA to clean up decades-old contamination at the Devil’s Swamp Lake Superfund Site just north of Baton Rouge, Louisiana.
The Record of Decision for this site was August 6, 2020.
The press release states, “The cleanup is estimated to cost over $3 million. Additionally, the consent decree requires reimbursement of over $2 million in costs incurred by the United States in responding to the contamination at Devil’s Swamp Lake. The companies will also pay the United States for all costs it spends in the future for that purpose.”
Dairy Farm Fined Six Figures for Expired Permit
A dairy-concentrated animal feeding operation (CAFO) was issued a fine of $209,641.
A Wisconsin Department of Justice Press Release states, “The defendants allowed the Wisconsin Pollutant Discharge Elimination System (WPDES) permit for their CAFO to expire in 2015 and continued operating their large CAFO without a permit for years. During that time, the defendants were not subject to the laws that other legally permitted CAFOs within the state are required to follow. The defendants also constructed a sand separation system without plans and specifications approved by the DNR. The defendants were found liable for all 2,501 days on which the State alleged that they violated Wisconsin’s wastewater laws.”
Court documents state that the WPDES permit expired on December 31, 2015. The dairy farm renewal application was received almost a year later on December 4, 2016. The application was rejected for being “incomplete.”
Contesting the conditions in a permit is reasonable and in some cases, essential; ignoring permits can only create difficulties.
As the examples above show, regulations weave into all types of businesses. Further, whether your business has a corporate tier of environmental professionals and regulatory specialists or you are a smaller “one-man” show, regulatory compliance needs constant attention.
If you need assistance with an environmental permit or responding to enforcement action and need technical support, contact Jeffrey Bolin, M.S., CHMM at 248-932-0228, Ext. 125.
Dragun Corporation does not use artificial intelligence in drafting our blogs or any other material.
Alan Hahn drafted this blog. Alan has an undergraduate degree in Environmental Studies and completed a graduate program in Environmental Management. He has worked in environmental management for 45 years. He has written hundreds of blogs and articles. His published work includes Michigan Lawyers Weekly, Detroiter, Michigan Forward, GreenStone Partners, Manure Manager Magazine, Progressive Dairy, and HazMat Magazine.
Jeffrey Bolin, M.S., reviewed the blog. Jeff is a partner and senior scientist at Dragun Corporation. He is a published author, frequent speaker, and expert witness. His expertise in environmental due diligence, PFAS, vapor intrusion, and site assessments has led to projects in the US, Canada, and overseas. See Jeff’s Bio.
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