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HomeMy WebLinkAboutPR 20950: TCEQ AGREEMENT City of ()It rtlrrrr www.PortArthurTx.gov INTEROFFICE MEMORANDUM Date: August 20, 2019 To: The Honorable Mayor and City Council Through: Ron Burton, Interim City Manager From: Alberto Elefano, P.E.; Director of Public Works RE: PR 20950—Proposed Agreed Order from the Texas Commission on Environmental Quality (TCEQ)regarding non-compliance at the City Landfill. The City will participate in a Supplemental Environmental Project(SEP). The penalty assessed is$45,570.00. Introduction: The intent of this Agenda Item is for City Council to authorize the City Manager to accept TCEQs Proposed Agreed Order to participate in an SEP for non-compliance at the City of Port Arthur's(City)Landfill. The administrative penalty assessed is $45,570.00 reduced from its original amount of$56,962.00. Background: TCEQ conducted an investigation December 12,2018 through December 21, 2018 at the City of Port Arthur's Landfill facility. It was determined that the Landfill facility failed to: • maintain an adequate amount of dirt for fire extinguishing or providing of Landfill cover; • control windblown waste/litter at the active working face; • maintain access roads and roadways in a clean and safe condition; • maintain and/or install required Landfill markers and a permanent benchmark; • repair erosion of intermediate cover; • prevent the ponding of water along all-access roads; • comply with the working face area of 100' x 200' for unloading of solid waste. All the deficiencies have been addressed/corrected according to the MSW Permit No. 1815A Standard Operating Procedures Manual. A penalty was assessed in the amount of$56,962.00. The TCEQ offered in its enforcement action an opportunity to reduce the penalty amount by$11,392.00 to a new amount of $45,570.00 if the City agreed to participate in a Supplemental Environmental Project(SEP). The City has notified the TCEQ of its interest in reducing the administrative penalty by performing an SEP. The SEP "Remember,we are here to serve the Citizens of Port Arthur" P.O.Box 1089 X Port Arthur,Texas 77641-1089 X 409.983.8101 X FAX 409.982.6743 selected was the Collection and Cleanup of Abandoned Tires. The TCEQ has notified the City that this SEP is acceptable and has assigned the Texas Association of Resource Conservation&Development Areas to organize and implement the event. TCEQ will notify the City when the assessed reduced penalty amount of $45,570.00 is due. Budget Impact: Funds are available in the following account: Regulatory Fees/Fines Account No. 403-1274-533.59-01 with a budget impact of$45,570.00. Recommendation: It is recommended that the City of Port Arthur City Council authorizes the City Manager to approve PR 20950 accepting TCEQs Proposed Agreed Order for the participation in the SEP and payment of the reduced administrative penalty in the amount of$45,570.00. "Remember,we are here to serve the Citizens of Port Arthur" P.O.Box 1089 * Port Arthur,Texas 77641-1089 X 409.983.8101 X FAX 409.982.6743 P.R.20950 08/19/2019 mje Page 1 of 4 RESOLUTION NO. A RESOLUTION AUTHORIZING THE CITY MANAGER TO ACCEPT THE TEXAS COMMISSION ON ENVIRONMENTAL QUALITY (TCEQ) PROPOSED AGREED ORDER TO PARTICIPATE IN A SUPPLEMENTAL ENVIRONMENTAL PROJECT (SEP) FOR NON- COMPLIANCE AT THE CITY OF PORT ARTHUR LANDFILL FACILITY THEREBY REDUCING THE ORIGINAL ADMINISTRATIVE PENALTY ASSESSED OF $56,962.00 BY $11,392.00 TO THE NEW AMOUNT OF $45,570.00. FUNDS AVAILABLE IN THE REGULATORY FEES/FINES ACCOUNT NO. 403-1274-533.59-01. WHEREAS, the Texas Commission on Environmental Quality (TCEQ) conducted an investigation of the City of Port Arthur Landfill Facility from December 12, 2018 to December 21, 2018; and, WHEREAS, the TCEQ determined that there were a number of deficiencies in that the Landfill failed to maintain an adequate amount of dirt for fire extinguishing or providing of Landfill cover, control windblown waste/litter at the active working face, maintain access roads and roadways in a clean and safe condition, maintain and/or install required Landfill markers and a permanent benchmark, repair erosion of intermediate cover, prevent the ponding of water along all-access roads, and comply with the working face area of 100'x 200'for unloading of solid waste; and, WHEREAS, the Executive Director of the TCEQ deemed it necessary to take enforcement action in the form of an administrative penalty in the amount of$56,962.00; and, P.R.20950 08/19/2019 mje Page 2 of 4 WHEREAS, the City of Port Arthur Landfill has addressed and/or corrected all of the deficiencies according to the MSW Permit No. 1815A Standard Operating Procedures Manual; and, WHEREAS, the TCEQ issued a Proposed Agreed Order to the City of Port Arthur, Docket No. 2019-0375-MSW-E, Enforcement Case No. 57416, for settlement purposes in light of the correction of the deficiencies, Exhibit A; and, WHEREAS, the TCEQ proposed to reduce the administrative penalty of $56,962.00 by $11,392.00 to a new amount of $45,570.00 on the condition that the City of Port Arthur participates in a Supplemental Environmental Project (SEP); and, WHEREAS, the City of Port Arthur has notified the TCEQ of its interest in reducing the administrative penalty by participating in the SEP and has identified the SEP Collection and Cleanup of Abandoned Tires, managed by the Texas Association of Resource Conservation & Development Areas, a third party agency recommended by the TCEQ, Exhibit B; and, WHEREAS, the TCEQ has approved the City of Port Arthur's participation in the SEP, thereby reducing the administrative penalty to the final amount of $45,570.00; now therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR: THAT, the facts and opinions in the preamble are true and correct; and, THAT, the City Manager of the City of Port Arthur is hereby authorized to accept the TCEQs Proposed Agreed Order for the participation in the SEP; and, P.R.20950 08/19/2019 mje Page 3 of 4 THAT, the City Council of the City of Port Arthur approve the reduced payment of $45,570.00 for the SEP Collection and Cleanup of Abandoned Tires, managed by the Texas Association of Resource Conservation & Development Areas, a third party agency recommended by the TCEQ; and, THAT, a copy of the caption of this Resolution be spread upon the Minutes of the City Council. READ, ADOPTED AND APPROVED this the day of , A.D. 2019 at a meeting of the City of Port Arthur, Texas by the following vote: Ayes: Mayor: Councilmembers: Noes: Thurman "Bill" Bartie Mayor Attest: Sherri Bellard City Secretary P.R.20950 08/19/2019 mje Page 4 of 4 APPROVED AS TO FORM: APPROVED FOR ADMINISTRATION: Valecia Tize Ron Burton City Attorne Interim City Manager APPROVED AS FOR AVAILABILITY OF FUNDS: Kandy Daniel Director of Finance c _ Alberto Elefano, P.E. Director of Public Works 411 42 Clifton illiams, CPPB Purchasing Manager EXHIBIT A • • 1153 ZS'•.j;. Jon Niermann,Chairman _: •: . Emily Lindley,Commissioner • Toby Baker,Executive Director cs' Of A It TEXAS COMMISSION ON ENVIRONMENTAL QUALITY � °�e� ✓N Protecting Texas by Reducing and Preventing Pollution �# 20,9 �. • May 29, 2019 Honorable Derrick Ford Freeman Mayor of Port Arthur P.O. Box 1089 Port Arthur,Texas 77641 Re: Proposed Agreed Order City of Port Arthur; RN1oo22539o; MSW Permit No. 1815A Docket No. 2o19-0375-MSW-E; Enforcement Case No. 57416 FOR SETTLEMENT PURPOSES ONLY Dear Mayor Freeman: The Executive Director of the Texas Commission on Environmental Quality("Commission"or "TCEQ")is pursuing an enforcement action against the City of Port Arthur for violations of the Texas Health&Safety Code and/or Commission Rules. These violations were discovered during an investigation conducted December 12, 2018 through December 21, 2018, and documented in a letter dated March 8, 2019,from the TCEQ Beaumont Regional Office. Please find enclosed a proposed agreed order which we have prepared in an attempt to expedite this enforcement action. The order assesses an administrative penalty of$56,962. We are proposing a one-time offer to defer $11,392 of the administrative penalty if you satisfactorily comply with all the ordering provisions within the time frames listed. Therefore,the administrative penalty to be paid is $45,570. The order also identifies the violations that we are addressing and identifies specific technical requirements necessary to resolve them. If you have any questions regarding this matter,we are available to discuss them in a conference in Austin or over the telephone. If we reach agreement in a timely manner, the TCEQ will then proceed with the remaining procedural steps to settle this matter. These steps include publishing notice of the proposed order in the Texas Register,and scheduling the matter for approval by the Commission. We believe that handling this matter expeditiously could save the City of Port Arthur and-the TCEQ a significant amount of time, as well as the expense associated with litigation. Enclosed for your convenience is a return envelope. If you agree with the order as proposed, please sign and return the original order and the penalty payment (check payable to "TCEQ" and referencing City of Port Arthur, Docket No. 2o19-o375-MSW-E) to: P.O.Box 13087 • Austin,Texas 78711-3087 • 512-239-1000 • tceq.texas.gov How is our customer service? tceq.texas.gov/customersurvey Honorable Derrick Ford Freeman Page 2 Financial Administration Division, Revenue Operations Section Attention: Cashier's Office, MC 214 Texas Commission on Environmental Quality P.O. Box 13088 Austin,Texas 78711-3088 • Should you believe you are unable to pay the proposed administrative penalty,you may claim financial inability to pay part or all of the penalty amount. Please contact us immediately to obtain a list of financial disclosure documents that must be submitted within 3o days of the receipt of this letter. These documents, once properly completed and submitted,will be thoroughly reviewed to determine if we agree with the claim of financial inability. Please be aware that if financial inability is proven to the satisfaction of staff, discussions pertaining to the penalty amount adjustment will focus only on deferral and not on waiver of the penalty amount. You maybe able to perform or contribute to a Supplemental Environmental Project("SEP"), which is a project that benefits the environment,to offset a portion of your penalty. If you are interested in performing an SEP,you must agree to the penalty amount and submit an SEP proposal within 3o days of receipt of this proposed order. If you are a local government you may have additional SEP options available to assist you with coming into compliance or remediating the harm caused by the violations. A local government is defined as a school district, county,municipality,junior college district,river authority,water district or other special district or other political subdivision created under the constitution or a statute of this state. For additional information about the types of SEPs available and eligibility criteria,please go to the TCEQ's web site link at http://www.tceq.texas.gov/legal/sep/ or contact the Enforcement Coordinator listed below. Please note that any agreements we reach are subject to final approval in accordance with 30 TEX.ADMIN. CODE§70.10(a). If we cannot reach a settlement of this enforcement action or you do not wish to participate in this expedited process,we will proceed with enforcement under the Commission's Enforcement Rules, 3o TEX.ADMIN.CODE ch. 7o. Specifically,if the signed order and penalty are not mailed and postmarked within 6o days from the date of this letter,your case will be forwarded to the Litigation Division and this settlement offer, including the penalty deferral, will no longer be available. The enforcement process described in 30 TEx.ADMIN.CODE ch. 7o requires the staff to prepare and issue an Executive Director's Preliminary Report and Petition to the Commission. If you would like to obtain a copy of 3o TEX.ADMIN.CODE ch. 70, or any other TCEQ rules,the rules themselves and the agency brochure entitled Obtaining TCEQ Rules(GI-o32) are located on our agency website at http://www.tceq.texas.gov for your reference. If you would like a hard copy of this brochure mailed to you,you may call and request one from the Central Office Publications Ordering Team at(512) 239-0028. Honorable Derrick Ford Freeman Page 3 For any questions or comments about this matter or to arrange a meeting, please contact Ms. Stephanie McCurley of my staff at(512) 239-2607. Sincerely, Ja es Gradney, Manager Enforcement Division Texas Commission on Environmental Quality JG/sm Enclosures: Proposed Agreed Order, Return Envelope, Penalty Calculation Worksheet,Site Compliance History cc: Mr. Hani Tohme,Acting Director of Public Works, P.O. Box 1089, Port Arthur, Texas 77641 Mr. Justin Thomas,Acting Landfill Manager, City of Port Arthur Landfill, 4732 Highway 73, Port Arthur, Texas 77642 • TEXAS COMMISSION ON ENVIRONMENTAL QUALITY OrV X NU% ill IN THE MATTER OF AN § BEFORE THE ENFORCEMENT ACTION § CONCERNING § TEXAS COMMISSION ON CITY OF PORT ARTHUR § RNioo225390 § ENVIRONMENTAL QUALITY AGREED ORDER DOCKET NO. 2019-0375-MSW-E I. JURISDICTION AND STIPULATIONS On , the Texas Commission on Environmental Quality("the Commission" or"TCEQ") considered this agreement of the parties, resolving an enforcement action regarding the City of Port Arthur(the "Respondent") under the authority of TEx.HEALTH &SAFETY CODE ch. 361 and TEX.WATER CODE ch. 7. The Executive Director of the TCEQ, through the Enforcement Division, and the Respondent together stipulate that: 1. The Respondent owns and operates a Type I landfill located at 4732 Highway 73 in Port Arthur,Jefferson County,Texas (the "Facility"). The Facility involves or involved the management of municipal solid waste("MSW") as defined in TEx.HEALTH&SAFETY CODE ch. 361. 2. The Executive Director and the Respondent agree that the TCEQ has jurisdiction to enter this Order pursuant to TEX.WATER CODE§§7.002, 7.051, and 7.073, and that the Respondent is subject to TCEQ's jurisdiction. The TCEQ has jurisdiction in this matter pursuant to TEX.WATER CODE§5.013 because it alleges violations of TEX.HEALTH& SAFETY CODE ch. 361 and the rules of the TCEQ. 3. The occurrence of any violation is in dispute and the entry of this Order shall not constitute an admission by the Respondent of any violation alleged in Section II ("Allegations"), nor of any statute or rule. 4. An administrative penalty in the amount of$56,962 is assessed by the Commission in settlement of the violations alleged in Section II ("Allegations"). The Respondent paid $45,570 of the penalty and$11,392 is deferred contingent upon the Respondent's timely and satisfactory compliance with all the terms of this Order. The deferred amount shall be waived only upon full compliance with all the terms and conditions contained in this Order. If the Respondent fails to timely and satisfactorily comply with any of the terms or requirements contained in this Order,the Executive Director may demand payment of all or part of the deferred penalty amount. 5. The Executive Director and the Respondent agree on a settlement of the matters alleged in this enforcement action, subject to final approval in accordance with 3o TEx.ADMIN. CODE§ 70.10(a). Any notice and procedures,which might otherwise be authorized or City of Port Arthur DOCKET NO. 2019-0375-MSW-E Page 2 required in this action, are waived in the interest of a more timely resolution of the matter. 6. The Executive Director may,without further notice or hearing, refer this matter to the Office of the Attorney General of the State of Texas ("OAG")for further enforcement proceedings if the Executive Director determines that the Respondent has not complied with one or more of the terms or conditions in this Order. 7. This Order represents the complete and fully-integrated agreement of the parties. The provisions of this Order are deemed severable and,if a court of competent jurisdiction or other appropriate authority deems any provision of this Order unenforceable, the remaining provisions shall be valid and enforceable. 8. This Order shall terminate five years from its effective date or upon compliance with all the terms and conditions set forth in this Order,whichever is later. II.ALLEGATIONS During an investigation conducted December 12, 2018 through December 21, 2018, an investigator documented that the Respondent: 1. Failed to maintain a source of earthen material in such a manner that it is available at all times to extinguish any fires, in violation of 3o TEx.ADMIN. CODE§330.129 and MSW Permit No. 1815A,Site Operating Plan("SOP"), Section 6.1 Fire Prevention Procedures. Specifically, the Facility did not maintain enough earthen material(at least 370 cubic yards)from the supplier to cover the working face within one hour. 2. Failed to control windblown waste and litter at the active working face,in violation of 3o TEx.ADMIN.CODE§330.139(1) and(2) and MSW Permit No. 1815A, SOP, Section 4.5 Control of Windblown Wastes and Litter. Specifically,windblown wastes and litter were observed throughout the active working face of cell 48 and along all four side slopes of the Facility. 3. Failed to maintain all-weather access roads and other access roadways in a clean and safe condition, in violation of 3o TEX.ADMIN.CODE§330.153 and MSW Permit No. 1815A,SOP, Section 4.11 Maintenance of Site Access Roads. Specifically,potholes,ruts, and depressions were observed on the site access roads at the Facility and stockpiles of material suitable for maintaining passable on-site roads were not available for use. 4. Failed to provide adequate landfill cover, in violation of 3o TEx.ADMIN.CODE §330.165(a), (c), and(d)and MSW Permit No. 1815A, SOP, Sections 4.17.2 Daily Cover and 4.17.3 Intermediate Cover. Specifically,tarps were used to provide alternate daily cover to the face of active cell 48,no stockpile of earthen material was available to use for daily cover, and intermediate cover at the Facility did not contain at least twelve inches of suitable earthen material resulting in exposed waste. 5. Failed to install and maintain required landfill markers and a permanent benchmark, in violation of 3o TEx.ADMIN. CODE§330.143 and MSW Permit No. 1815A,SOP, Section 4.7 Landfill Markers and Benchmark. Specifically,black facility boundary markers, yellow buffer zone markers, green easement and rights-of-way markers, most of the City of Port Arthur DOCKET NO. 2019-0375-MSW-E Page 3 white landfill grid system markers, red soil liner or geomembrane liner area markers, blue 100-year flood protection markers, and a permanent benchmark which includes a bronze survey marker set in concrete were missing. 6. Failed to repair erosion of intermediate cover within five days of detection, in violation of 30 TEx.ADMIN. CODE§330.165(g) and MSW Permit No. 1815A, SOP, Section 4.17.5 Erosion of Cover. Specifically, erosion was observed in cells 46,47, and 48. 7. Failed to prevent the ponding of water at the Facility, in violation of 3o TEx.ADMIN. CODE§330.167 and MSW Permit No. 1815A, SOP, Section 4.18 Ponded Water. Specifically, ponded water was observed along the all-access weather roads. 8. Failed to unload solid waste into as small an area as practical as specified in the SOP, in violation of 3o TEx.ADMIN.CODE§§330.121(a) and 330.133(a)and MSW Permit No. 1815A,SOP,Section 4.2 Unloading Wastes. Specifically,the SOP specifies a working face area of loo feet by 200 feet; however,the working face was 300 feet by 400 feet. III. DENIALS The Respondent generally denies each allegation in Section II ("Allegations"). IV. ORDERING PROVISIONS NOW,THEREFORE,THE TEXAS COMMISSION ON ENVIRONMENTAL QUALITY ORDERS that: 1. The Respondent is assessed a penalty as set forth in Section I, Paragraph No.4. The payment of this penalty and the Respondent's compliance with all of the requirements set forth in this Order resolve only the allegations in Section II. The Commission shall not be constrained in any manner from requiring corrective action or penalties for violations which are not raised here. Penalty payments shall be made payable to"TCEQ" and shall be sent with the notation"Re: City of Port Arthur, Docket No. 2019-0375- MSW-E"to: Financial Administration Division, Revenue Operations Section Attention: Cashier's Office, MC 214 Texas Commission on Environmental Quality P.O. Box 13088 Austin,Texas 78711-3088 2. The Respondent shall undertake the following technical requirements: a. Within 3o days after the effective date of this Agreed Order: i. Provide suitable material for the roads and actively maintain them in safe and clean conditions, in accordance with 3o TEx.ADMIN.CODE§330.153 and MSW Permit No. 1815A, SOP Section 4.11 Maintenance of Site Access Roads; City of Port Arthur DOCKET NO. 2019-0375-MSW-E Page 4 ii. Conduct training and implement procedures designed to ensure that the Facility provides adequate daily and intermediate cover for the active and inactive disposal cells,in accordance with 3o TEx.ADMIN.CODE§330.165 and MSW Permit No. 1815A,SOP Sections 4.17.2 Daily Cover and 4.17.3 Intermediate Cover; iii. Develop and implement procedures to prevent water from ponding at the Facility, in accordance with 3o TEX.ADMIN. CODE§330.167 and MSW Permit No. 1815A, SOP Section 4.18 Ponded Water; iv. Remove all ponded water and regrade the area where ponding occurred, in accordance with 3o TEx.ADMIN. CODE§330.167 and MSW Permit No. 1815A, SOP Section 4.18 Ponded Water; v. Ensure that at least 37o cubic yards of earthen material are available for fire suppression,in accordance with 3o TEx.ADMIN. CODE§330.129 and MSW Permit No. 1815A,SOP Section 6.1 Fire Prevention Procedures; vi. Install and maintain all required landfill markers at the Facility including, but not limited to,black facility boundary markers,yellow buffer zone markers,green easement and rights-of-way markers,white landfill grid system markers, red soil liner or geomembrane liner area markers,blue 100-year flood protection markers, and a permanent benchmark at the Facility, in accordance with 3o TEx.ADMIN. CODE§330.143 and MSW Permit No. 1815A,SOP Section 4.7 Landfill Markers and Benchmarker; vii. Maintain the size of the working face in accordance with the SOP,in accordance with 3o TEx.ADMIN.CODE§330.133 and MSW Permit No. 1815A, SOP Section 4.2 Unloading Wastes; viii. Implement procedures for controlling windblown waste and litter,in accordance with 3o TEx.ADMIN.CODE§330.139 and MSW Permit No. 1815A, SOP Section 4.5 Control of Windblown Wastes and Litter; ix. Remove windblown litter and return it to the active face, in accordance with 30 TEX.ADMIN.CODE§330.139 and MSW Permit No. 1815A,SOP Section 4.5 Control of Windblown Wastes and Litter; x. Implement procedures designed to ensure that erosion is repaired within five days of detection, in accordance with 30 TEX.ADMIN.CODE§330.165 and MSW Permit No. 1815A, SOP Section 4.17.5 Erosion of Cover;and xi. Repair erosion observed near cells 46,47, and 48, in accordance with 3o TEX.ADMIN. CODE§330.165 and MSW Permit No. 1815A, SOP Section 4.17.5 Erosion of Cover. b. Within 45 days after the effective date of this Order,submit written certification, and include detailed supporting documentation including photographs, receipts, and/or other records to demonstrate compliance with Ordering Provision Nos. City of Port Arthur DOCKET NO. 2019-0375-MSW-E Page 5 2.a.i through 2.a.xi. The certification shall be signed by the Respondent and shall include the following certification language: "I certify under penalty of law that I have personally examined and am familiar with the information submitted and all attached documents, and that based on my inquiry of those individuals immediately responsible for obtaining the information, I believe that the submitted information is true,accurate and complete. I am aware that there are significant penalties for submitting false information, including the possibility of fines and imprisonment for knowing violations." The certification shall be submitted to: Order Compliance Team Enforcement Division, MC 149A Texas Commission on Environmental Quality P.O. Box 13087 Austin,Texas 78711-3087 with a copy to: Waste Section Manager Beaumont Regional Office Texas Commission on Environmental Quality 3870 Eastex Freeway Beaumont,Texas 77703-1830 3. All relief not expressly granted in this Order is denied. 4. The duties and provisions imposed by this Order shall apply to and be binding upon the Respondent. The Respondent is ordered to give notice of this Order to personnel who maintain day-to-day control over the Facility operations referenced in this Order. 5. If the Respondent fails to comply with any of the Ordering Provisions in this Order within the prescribed schedules, and that failure is caused solely by an act of God,war, strike,riot, or other catastrophe,the Respondent's failure to comply is not a violation of this Order. The Respondent shall have the burden of establishing to the Executive- Director's satisfaction that such an event has occurred. The Respondent shall notify the Executive Director within seven days after the Respondent becomes aware of a delaying event and shall take all reasonable measures to mitigate and minimize any delay. 6. The Executive Director may grant an extension of any deadline in this Order or in any plan, report, or other document submitted pursuant to this Order, upon a written and substantiated showing of good cause. All requests for extensions by the Respondent shall be made in writing to the Executive Director. Extensions are not effective until the Respondent receives written approval from the Executive Director. The determination of what constitutes good cause rests solely with the Executive Director. Extension requests shall be sent to the Order Compliance Team at the address listed above. • City of Port Arthur DOCKET NO. 2019-0375-MSW-E Page 6 '. This Order, issued by the Commission,shall not be admissible against the Respondent in a civil proceeding, unless the proceeding is brought by the OAG to: (1) enforce the terms of this Order; or(2) pursue violations of a statute within the Commission's jurisdiction, or of a rule adopted or an order or permit issued by the Commission under such a statute. 8. This Order may be executed in separate and multiple counterparts,which together shall constitute a single instrument. Any page of this Order may be copied,scanned,digitized, converted to electronic portable document format("pdf'),or otherwise reproduced and may be transmitted by digital or electronic transmission, including but not limited to facsimile transmission and electronic mail. Any signature affixed to this Order shall constitute an original signature for all purposes and may be used,filed,substituted, or issued for any purpose for which an original signature could be used. The term "signature"shall include manual signatures and true and accurate reproductions of manual signatures created, executed, endorsed, adopted, or authorized by the person or persons to whom the signatures are attributable. Signatures may be copied or reproduced digitally, electronically,by photocopying, engraving,imprinting, lithographing, electronic mail,facsimile transmission, stamping, or any other means or process which the Executive Director deems acceptable. In this paragraph exclusively, the terms: electronic transmission, owner,person,writing, and written,shall have the meanings assigned to them under TEX. BUS.ORG.CODE § 1.002. 9. The effective date of this Order is the date it is signed by the Commission. A copy of this fully executed Order shall be provided to each of the parties. City of Port Arthur DOCKET NO. 2019-0375-MSW-E Page 7 SIGNATURE PAGE TEXAS COMMISSION ON ENVIRONMENTAL QUALITY For the Commission Date For the Executive Director Date I,the undersigned, have read and understand the attached Order. I am authorized to agree to the attached Order, and I do agree to the terms and conditions specified therein. I further acknowledge that the TCEQ, in accepting payment for the penalty amount,is materially relying on such representation. I also understand that failure to comply with the Ordering Provisions, if any, in this Order and/or failure to timely pay the penalty amount, may result in: • A negative impact on compliance history; • Greater scrutiny of any permit applications submitted; • Referral of this case to the Attorney General's Office for contempt, injunctive relief, additional penalties, and/or attorney fees,or to a collection agency; • Increased penalties in any future enforcement actions; • Automatic referral to the Attorney General's Office of any future enforcement actions; and • TCEQ seeking other relief as authorized by law. In addition, any falsification of any compliance documents may result in criminal prosecution. Signature Date Name (Printed or typed) Title Authorized Representative of City of Port Arthur • ❑ If mailing address has changed,please check this box and provide the new address below: Instructions: Send the original,signed Order with penalty payment to the Financial Administration Division, Revenue Operations Section at the address in Ordering Provision i of this Order. EXHIBIT B T 3f 'i{I�i.��������II J,�1 '.i.11�,� ,it(•!�'�1L! �1 LEGOFFICE AL SERVICES RESPONDENT APPLICATION TO CONTRIBUTE 512.239.0600 sepreports@tceq.texas.gov TO A THIRD PARTY SEP ADMINISTRATOR 1. RESPONDENT INFORMATION Respondent Name: (Legal name of org): airy OF PURI ARTHUR, TEXAS Respondent's Contact Person: Al,,TE?IW jFER £DwA RDS Application date: 7-z4_z/!q TCEQ Docket No.: ZOi(�_D37,,''��_Msw_.�. Telephone: yD�_9g3 !B,b p Email: Jnniftrt t wal"+�.5 ® Enforcement Case No: 00 ,portarr''�r-X go 57ii16 Enforcement Coordinator: STEPHA hiIE Ate CUR LEy? County: SEFFeRS01V Payable Penalty Amount: $45� 570,oo SEP Offset Amount: s q 5?O va 2. PROPOSED SEP A list of all TCEQ Pre-Approved SEPs, as well as lists of Eligible SEPs by County and Statewide SEPs, can be viewed on the TCEQ Website, https://www.tceo.gov/legal/sep/available seps.html. Once you access the list of Eligible SEPs by County, you can scroll down to your county and view a list of projects from which to choose. Statewide SEPs means that the projects are performed in any county in the State of Texas. How do you want to distribute your contribution? Please enter the information in the table(s) below: Third-Party Administrator(Required) Project Title Amount TXAS ASSOC.. OF RC k.b Aft.ERS _2012-03-TIRE COLLECT-ion'lag-1)141)P ilS, 570,'_'5' You may choose to contribute up to two (2) additional SEPs. Minimal contribution for each additional SEP is $5,000. If you elect to contribute to multiple SEPs, list each additional Third-Party Administrator and project separately below: Third-Party Administrator (Optional) Project Title Amount 3. PREVIOUS COMMITMENT CERTIFICATION: NO SEPARATE REQUIREMENT OR PRIVATE COMMITMENTS I certify on behalf of the Respondent that the Respondent has not previously committed to perform this project including a previous or pre-existing obligation to make the proposed contribution: a. under any applicable local, state, or federal regulations that would require implementation of this project or any part of this project; or b. as a part of: i. a pollution prevention commitment identified in a plan developed pursuant to the state's prevention programs; or ii. a commitment made under the Clean Texas Program; or iii. the U.S. Environmental Protection Agency's Project XL or any other incentive or regulatory flexibility program; or c. as part of a pledge or other promise of payment to the receiving organization where the promise of payment pre-existed submittal of this application (Visit http://www.tceq.texas.gov/p2/pollution prevention.html for links and information about the State's pollution prevention programs) Certification statement: Please accept this contribution plan as a certification that (1) the information is true and correct, and (2) that the proposed project is bein undertaken solely as part of the settlement of the enforcement action. d, zi-i.,. . -02,./._, 6,,,,,,, Name itle Date ALSERTO ELCF4(\lO 1111 . n11 ' JAW/Fe-lb rDI0,Q/1-1)S PL181_1C AloR,KS !P(R,Gc-ro _ Printed Name 1 of 1 TCEQ-20669 EXHIBIT C Yel Jon Niermann,Chairman Y Emily Lindley,Commissioner Toby Baker,Executive Director TEXAS COMMISSION ON ENVIRONMENTAL QUALITY Protecting Texas by Reducing and Preventing Pollution August 1, 2019 Honorable Thurman"Bill" Bartie Mayor of Port Arthur P.O. Box 1089 Port Arthur, Texas 77641 Re: Revised Proposed Agreed Order City of Port Arthur; RN100225390 Docket No. 2019-0375-MSW-E; Enforcement Case No.57416 FOR SETTLEMENT PURPOSES ONLY Dear Mayor Bartie: In the cover letter for the proposed agreed order mailed out to the City of Port Arthur on May 29, 2019,the City of Port Arthur was given an opportunity to propose a Supplemental Environmental Project("SEP")to offset a portion of the assessed penalty. Your proposed SEP has been reviewed and has been incorporated in the enclosed revised proposed agreed order. Please note that agreed orders are subject to final approval by the Commission and the SEP offset amount of$45,570 must not be paid to the SEP Third-Party Administrator until the Commission has approved the agreed order. If you agree with the revised order as proposed,please sign and return this order with an original signature before August 14, 2019 to: Ms. Stephanie McCurley, Enforcement Coordinator Waste Enforcement Section, MC 219 Enforcement Division Texas Commission on Environmental Quality P.O. Box 13087 Austin,Texas 78711-3087 You will be notified when your order has been approved. Enclosed for your convenience is a return envelope. If the signed order is not mailed and postmarked by August 14, 2019,we will assume that you have elected to participate in the more extended enforcement process described in previous correspondence, and we will proceed accordingly. Your case will be forwarded to the Litigation Division and this settlement offer, including the penalty deferral and possibly the SEP,will no longer be available. P.O.Box 13087 • Austin,Texas 78711-3087 • 512-239-1000 • tceq.texas.gov How is our customer service? tceq.texas.gov/customersurvey .. 't 9Mrr O 92744 Fr;P Honorable Derrick Ford Freeman Page 2 If you have any questions regarding these matters, please contact Ms. Stephanie McCurley of my staff at(512) 239-2607. Sincerely, 4 )(15kd James Gradney, Manager Enforcement Division Texas Commission on Environmental Quality JG/sm Enclosure: Revised Proposed Agreed Order TEXAS COMMISSION ON ENVIRONMENTAL QUALITY EN_ IN THE MATTER OF AN § BEFORE THE ENFORCEMENT ACTION § CONCERNING § TEXAS COMMISSION ON CITY OF PORT ARTHUR § RNioo225390 § ENVIRONMENTAL QUALITY AGREED ORDER DOCKET NO. 2019-0375-MSW-E I. JURISDICTION AND STIPULATIONS On ,the Texas Commission on Environmental Quality("the Commission" or"TCEQ") considered this agreement of the parties, resolving an enforcement action regarding the City of Port Arthur(the "Respondent") under the authority of TEX. HEALTH &SAFETY CODE ch. 361 and TEX.WATER CODE ch. 7. The Executive Director of the TCEQ, through the Enforcement Division,and the Respondent together stipulate that: 1. The Respondent owns and operates a Type I landfill located at 4732 Highway 73 in Port Arthur,Jefferson County,Texas (the "Facility"). The Facility involves or involved the management of municipal solid waste("MSW") as defined in TEX.HEALTH&SAFETY CODE ch.361. 2. The Executive Director and the Respondent agree that the TCEQ has jurisdiction to enter this Order pursuant to TEX.WATER CODE§§7.002, 7.051, and 7.073,and that the Respondent is subject to TCEQ's jurisdiction. The TCEQ has jurisdiction in this matter pursuant to TEX.WATER CODE§5.013 because it alleges violations of TEX.HEALTH& SAFETY CODE ch. 361 and the rules of the TCEQ. 3. The occurrence of any violation is in dispute and the entry of this Order shall not constitute an admission by the Respondent of any violation alleged in Section II ("Allegations"), nor of any statute or rule. 4. An administrative penalty in the amount of$56,962 is assessed by the Commission in settlement of the violations alleged in Section II("Allegations"). The amount of$11,392 is deferred contingent upon the Respondent's timely and satisfactory compliance with all the terms of this Order and shall be waived only upon full compliance with all the terms and conditions of this Order. If the Respondent fails to timely and satisfactorily comply with any of the terms and conditions contained in this Order, the Executive Director may demand payment of all or part of the deferred penalty amount. Pursuant to TEX.WATER CODE§ 7.067, $45,570 of the penalty shall be conditionally offset by the Respondent's timely and satisfactory completion of a Supplemental Environmental Project("SEP") as defined in the attached SEP Agreement("Attachment A", incorporated herein by reference). The Respondent's obligation to pay the City of Port Arthur DOCKET NO. 2019-0375-MSW-E Page 2 conditionally offset portion of the penalty shall be discharged upon full compliance with all the terms and conditions of this Order,which includes the timely and satisfactory completion of all provisions of the SEP Agreement, as determined by the Executive Director. 5. The Executive Director and the Respondent agree on a settlement of the matters alleged in this enforcement action, subject to final approval in accordance with 3o TEX.ADMIN. CODE§70.10(a). Any notice and procedures,which might otherwise be authorized or required in this action, are waived in the interest of a more timely resolution of the matter. 6. The Executive Director may,without further notice or hearing, refer this matter to the Office of the Attorney General of the State of Texas ("OAG") for further enforcement proceedings if the Executive Director determines that the Respondent has not complied with one or more of the terms or conditions in this Order. 7. This Order represents the complete and fully-integrated agreement of the parties. The provisions of this Order are deemed severable and, if a court of competent jurisdiction or other appropriate authority deems any provision of this Order unenforceable, the remaining provisions shall be valid and enforceable. 8. This Order shall terminate five years from its effective date or upon compliance with all the terms and conditions set forth in this Order,whichever is later. II.ALLEGATIONS During an investigation conducted December 12, 2018 through December 21, 2018, an investigator documented that the Respondent: 1. Failed to maintain a source of earthen material in such a manner that it is available at all times to extinguish any fires, in violation of 3o TEx.ADMIN.CODE§330.129 and MSW Permit No. 1815A,Site Operating Plan("SOP"),Section 6.1 Fire Prevention Procedures. Specifically,the Facility did not maintain enough earthen material(at least 370 cubic yards)from the supplier to cover the working face within one hour. 2. Failed to control windblown waste and litter at the active working face, in violation of 3o TEX.ADMIN.CODE§330.139(1) and (2) and MSW Permit No. 1815A,SOP, Section 4.5 Control of Windblown Wastes and Litter. Specifically,windblown wastes and litter were observed throughout the active working face of cell 48 and along all four side slopes of the Facility. 3. Failed to maintain all-weather access roads and other access roadways in a clean and safe condition, in violation of 30 TEx.ADMIN.CODE§330.153 and MSW Permit No. 1815A, SOP, Section 4.11 Maintenance of Site Access Roads. Specifically, potholes, ruts, and depressions were observed on the site access roads at the Facility and stockpiles of material suitable for maintaining passable on-site roads were not available for use. 4. Failed to provide adequate landfill cover,in violation of 3o TEx.ADMIN.CODE §330.165(a), (c),and(d) and MSW Permit No. 1815A, SOP, Sections 4.17.2 Daily Cover and 4.17.3 Intermediate Cover. Specifically,tarps were used to provide alternate daily City of Port Arthur DOCKET NO. 2019-0375-MSW-E Page 3 cover to the face of active cell 48, no stockpile of earthen material was available to use for daily cover, and intermediate cover at the Facility did not contain at least twelve inches of suitable earthen material resulting in exposed waste. 5. Failed to install and maintain required landfill markers and a permanent benchmark, in violation of 3o TEx.ADMIN.CODE§330.143 and MSW Permit No. 1815A, SOP, Section 4.7 Landfill Markers and Benchmark. Specifically,black facility boundary markers, yellow buffer zone markers,green easement and rights-of-way markers, most of the white landfill grid system markers, red soil liner or geomembrane liner area markers, blue 100-year flood protection markers, and a permanent benchmark which includes a bronze survey marker set in concrete were missing. 6. Failed to repair erosion of intermediate cover within five days of detection, in violation of 3o TEX.ADMIN.CODE§330.165(g) and MSW Permit No. 1815A, SOP, Section 4.17.5 Erosion of Cover. Specifically, erosion was observed in cells 46,47, and 48. 7. Failed to prevent the ponding of water at the Facility, in violation of 30 TEx.ADMIN. CODE§330.167 and MSW Permit No. 1815A, SOP, Section 4.18 Ponded Water. Specifically, ponded water was observed along the all-access weather roads. 8. Failed to unload solid waste into as small an area as practical as specified in the SOP, in violation of 3o TEx.ADMIN.CODE§§330.121(a) and 330.133(a) and MSW Permit No. 1815A, SOP, Section 4.2 Unloading Wastes. Specifically, the SOP specifies a working face area of 100 feet by 200 feet; however,the working face was 300 feet by 400 feet. III. DENIALS The Respondent generally denies each allegation in Section II ("Allegations"). IV. ORDERING PROVISIONS NOW,THEREFORE,THE TEXAS COMMISSION ON ENVIRONMENTAL QUALITY ORDERS that: 1. The Respondent is assessed a penalty as set forth in Section I, Paragraph No. 4. The payment of this penalty and the Respondent's compliance with all of the requirements set forth in this Order resolve only the allegations in Section II. The Commission shall not be constrained in any manner from requiring corrective action or penalties for violations which are not raised here. Penalty payments shall be made payable to "TCEQ" and shall be sent with the notation "Re: City of Port Arthur, Docket No. 2019-0375- MSW-E"to: Financial Administration Division, Revenue Operations Section Attention: Cashier's Office, MC 214 Texas Commission on Environmental Quality P.O. Box 13088 Austin,Texas 78711-3088 2. The Respondent shall implement and complete an SEP as set forth in Section I, Paragraph No. 4. The amount of$45,570 of the assessed penalty is conditionally offset City of Port Arthur DOCKET NO. 2019-0375-MSW-E Page 4 based on the Respondent's implementation and completion of the SEP pursuant to the terms of the SEP Agreement, as defined in Attachment A. Penalty payments for any portion of the SEP deemed by the Executive Director as not complete shall be paid within 3o days after the date the Executive Director demands payment. 3. The Respondent shall undertake the following technical requirements: a. Within 3o days after the effective date of this Agreed Order: i. Provide suitable material for the roads and actively maintain them in safe and clean conditions, in accordance with 30 TEx.ADMIN.CODE§330.153 and MSW Permit No. 1815A, SOP Section 4.11 Maintenance of Site Access Roads; ii. Conduct training and implement procedures designed to ensure that the Facility provides adequate daily and intermediate cover for the active and inactive disposal cells, in accordance with 3o TEx.ADMIN.CODE§330.165 and MSW Permit No. 1815A, SOP Sections 4.17.2 Daily Cover and 4.17.3 Intermediate Cover; iii. Develop and implement procedures to prevent water from ponding at the Facility, in accordance with 30 TEX.ADMIN.CODE§330.167 and MSW Permit No. 1815A,SOP Section 4.18 Ponded Water; iv. Remove all ponded water and regrade the area where ponding occurred, in accordance with 30 TEx.ADMIN.CODE§330.167 and MSW Permit No. 1815A, SOP Section 4.18 Ponded Water; v. Ensure that at least 370 cubic yards of earthen material are available for fire suppression, in accordance with 30 TEX.ADMIN.CODE§330.129 and MSW Permit No. 1815A,SOP Section 6.1 Fire Prevention Procedures; vi. Install and maintain all required landfill markers at the Facility including, but not limited to,black facility boundary markers,yellow buffer zone markers,green easement and rights-of-way markers,white landfill grid system markers, red soil liner or geomembrane liner area markers,blue 100-year flood protection markers,and a permanent benchmark at the Facility,in accordance with 30 TEX.ADMIN. CODE§330.143 and MSW Permit No. 1815A,SOP Section 4.7 Landfill Markers and Benchmarker; vii. Maintain the size of the working face in accordance with the SOP, in accordance with 30 TEX.ADMIN. CODE§330.133 and MSW Permit No. 1815A, SOP Section 4.2 Unloading Wastes; viii. Implement procedures for controlling windblown waste and litter, in accordance with 3o TEx.ADMIN.CODE§330.139 and MSW Permit No. 1815A, SOP Section 4.5 Control of Windblown Wastes and Litter; City of Port Arthur DOCKET NO. 2019-0375-MSW-E Page 5 ix. Remove windblown litter and return it to the active face, in accordance with 30 TEX.ADMIN.CODE§330.139 and MSW Permit No. 1815A, SOP Section 4.5 Control of Windblown Wastes and Litter; x. Implement procedures designed to ensure that erosion is repaired within five days of detection, in accordance with 30 TEX.ADMIN.CODE§330.165 and MSW Permit No. 1815A,SOP Section 4.17.5 Erosion of Cover; and xi. Repair erosion observed near cells 46, 47, and 48,in accordance with 3o TEX.ADMIN.CODE§330.165 and MSW Permit No. 1815A, SOP Section 4.17.5 Erosion of Cover. b. Within 45 days after the effective date of this Order,submit written certification, and include detailed supporting documentation including photographs, receipts, and/or other records to demonstrate compliance with Ordering Provision Nos. 3.a.i through 3.a.xi. The certification shall be signed by the Respondent and shall include the following certification language: "I certify under penalty of law that I have personally examined and am familiar with the information submitted and all attached documents, and that based on my inquiry of those individuals immediately responsible for obtaining the information, I believe that the submitted information is true, accurate and complete. I am aware that there are significant penalties for submitting false information, including the possibility of fines and imprisonment for knowing violations." The certification shall be submitted to: Order Compliance Team Enforcement Division, MC 149A Texas Commission on Environmental Quality P.O. Box 13087 Austin,Texas 78711-3087 with a copy to: Waste Section Manager Beaumont Regional Office Texas Commission on Environmental Quality 387o Eastex Freeway Beaumont,Texas 77703-1830 4. All relief not expressly granted in this Order is denied. 5. The duties and provisions imposed by this Order shall apply to and be binding upon the Respondent. The Respondent is ordered to give notice of this Order to personnel who maintain day-to-day control over the Facility operations referenced in this Order. City of Port Arthur DOCKET NO. 2019-0375-MSW-E Page 6 6. If the Respondent fails to comply with any of the Ordering Provisions in this Order within the prescribed schedules, and that failure is caused solely by an act of God,war, strike, riot,or other catastrophe,the Respondent's failure to comply is not a violation of this Order. The Respondent shall have the burden of establishing to the Executive Director's satisfaction that such an event has occurred. The Respondent shall notify the Executive Director within seven days after the Respondent becomes aware of a delaying event and shall take all reasonable measures to mitigate and minimize any delay. '. The Executive Director may grant an extension of any deadline in this Order or in any plan, report, or other document submitted pursuant to this Order, upon a written and substantiated showing of good cause. All requests for extensions by the Respondent shall be made in writing to the Executive Director. Extensions are not effective until the Respondent receives written approval from the Executive Director. The determination of what constitutes good cause rests solely with the Executive Director. Extension requests shall be sent to the Order Compliance Team at the address listed above. 8. This Order,issued by the Commission, shall not be admissible against the Respondent in a civil proceeding,unless the proceeding is brought by the OAG to: (1) enforce the terms of this Order; or(2) pursue violations of a statute within the Commission's jurisdiction, or of a rule adopted or an order or permit issued by the Commission under such a statute. 9. This Order may be executed in separate and multiple counterparts,which together shall constitute a single instrument. Any page of this Order may be copied,scanned,digitized, converted to electronic portable document format("pdf'), or otherwise reproduced and may be transmitted by digital or electronic transmission,including but not limited to facsimile transmission and electronic mail. Any signature affixed to this Order shall constitute an original signature for all purposes and may be used,filed,substituted, or issued for any purpose for which an original signature could be used. The term "signature"shall include manual signatures and true and accurate reproductions of manual signatures created, executed, endorsed, adopted, or authorized by the person or persons to whom the signatures are attributable. Signatures may be copied or reproduced digitally, electronically,by photocopying, engraving,imprinting, lithographing, electronic mail,facsimile transmission,stamping, or any other means or process which the Executive Director deems acceptable. In this paragraph exclusively, the terms: electronic transmission, owner,person,writing, and written,shall have the meanings assigned to them under TEX.BUS.ORG.CODE§ 1.002. 10. The effective date of this Order is the date it is signed by the Commission. A copy of this fully executed Order shall be provided to each of the parties. City of Port Arthur DOCKET NO. 2019-0375-MSW-E Page 7 SIGNATURE PAGE TEXAS COMMISSION ON ENVIRONMENTAL QUALITY For the Commission Date For the Executive Director Date I,the undersigned, have read and understand the attached Order. I am authorized to agree to the attached Order, and I do agree to the terms and conditions specified therein. I further acknowledge that the TCEQ,in accepting payment for the penalty amount, is materially relying on such representation. I also understand that failure to comply with the Ordering Provisions, if any, in this Order and/or failure to timely pay the penalty amount,may result in: • A negative impact on compliance history; • Greater scrutiny of any permit applications submitted; • Referral of this case to the Attorney General's Office for contempt, injunctive relief, additional penalties, and/or attorney fees, or to a collection agency; • Increased penalties in any future enforcement actions; • Automatic referral to the Attorney General's Office of any future enforcement actions; and • TCEQ seeking other relief as authorized by law. In addition,any falsification of any compliance documents may result in criminal prosecution. Signature Date Name (Printed or typed) Title Authorized Representative of City of Port Arthur ❑ If mailing address has changed,please check this box and provide the new address below: Instructions: Send the original,signed Order with penalty payment to the Financial Administration Division, Revenue Operations Section at the address in Ordering Provision i of this Order. Attachment A Docket Number: 2019-0375-MSW-E SUPPLEMENTAL ENVIRONMENTAL PROJECT Respondent: City of Port Arthur Payable Penalty Amount: $45,570 SEP Offset Amount: $45,570 Type of SEP: Contribution to a Third-Party Pre-Approved SEP Third-Party Administrator: Texas Association of Resource Conservation and Development Areas, Inc. Project Name: Tire Collection Events and Cleanup of Abandoned Tire Sites Location of SEP: Jefferson County: Neches River Basin, Gulf Coast Aquifer The Texas Commission on Environmental Quality("TCEQ") agrees to offset the administrative penalty amount assessed in this Agreed Order for the Respondent to contribute to a Supplemental Environmental Project ("SEP"). The offset is equal to the SEP Offset Amount set forth above and is conditioned upon completion of the project in accordance with the terms of this Attachment A. 1. Project Description a. Project The Respondent shall contribute the SEP Offset Amount to the Third-Party Administrator named above. The contribution will be to the Texas Association of Resource Conservation and Development Areas, Inc. ("RC&D") for the Tire Collection Events and Cleanup of Abandoned Tire Sites project. The contribution will be used in accordance with the SEP Agreement between the Third-Party Administrator and the TCEQ (the "Project"). Specifically, the SEP Offset Amount will be used to coordinate with local city and county government officials and private entities ("Partner Entities") to conduct tire collection events where residents will be able to drop off tires for proper disposal or recycling ("Collection Events"), or to clean sites where tires have been disposed of illegally ("Site Cleanups"). Texas RC&D shall ensure that collected tires, debris, and waste are properly transported to and disposed at an authorized disposal site, and if a licensed hauler is needed for tires or other regulated waste collected from sites, Texas RC&D shall ensure that only properly licensed haulers are used for transport and disposal of tires and regulated wastes. The SEP will be performed in accordance with all federal, state, and local environmental laws and regulations. Page 1 of 4 City of Port Arthur Agreed Order-Attachment A All dollars contributed will be used solely for the direct cost of the Project, including but not limited to supplies, materials, and equipment. Any portion of this contribution that is not able to be spent on the specifically identified SEP may, at the discretion of the Executive Director ("ED"),be applied to another pre-approved SEP. The Respondent's signature affixed to this Agreed Order certifies that it has no prior commitment to make this contribution and that it is being contributed to settle this enforcement action. The Respondent shall not profit in any manner from this SEP. b. Environmental Benefit This SEP will provide an environmental benefit by providing communities with a free and convenient means for safe and proper disposal of tires and by reducing the dangers and health threats associated with illegally dumped tires. The health risks associated with illegal dumping are significant. Areas used for illegal tire dumping may be easily accessible to people, especially children,who are vulnerable to the physical hazards posed by abandoned tires. Rodents, insects, and other vermin attracted to dump sites may also pose health risks. Tire dump sites which contain scrap tires pose an ideal breeding ground for mosquitoes, which can breed 100 times faster in the warm, stagnant water standing in scrap tire casings. Severe illnesses, including West Nile Virus, have been attributed to disease-carrying mosquitoes. The potential for tire fires is also reduced by removing illegally dumped tires. Tire fires can result in the contamination of air, surface water, ground water, and soil. In addition, neighborhoods have been evacuated and property damage has been significant due to tire dump sites that caught fire. Illegal tire dumping can also impact drainage of runoff, making areas more susceptible to flooding when wastes block waterways. Open burning at tire dump sites can cause forest fires and erosion as fires burn away trees and undergrowth. Tire dumping has a negative impact on trees and wildlife, and runoff from tire dumpsites may contain chemicals that can contaminate wells and surface water used for drinking. c. Minimum Expenditure The Respondent shall contribute at least the SEP Offset Amount to the Third-Party Administrator and comply with all other provisions of this SEP. 2. Performance Schedule Within 3o days after the effective date of this Agreed Order,the Respondent must contribute the SEP Offset Amount to the Third-Party Administrator. The Respondent shall make the check payable to Texas Association of RC&D SEP and shall mail the contribution with a copy of the Agreed Order to: Page 2 of 4 City of Port Arthur Agreed Order -Attachment A Texas Association of RC&D Areas, Inc. Attn.: Jerry Pearce, Executive Director P.O. Box 2533 Victoria, Texas 77902 3. Records and Reporting Concurrent with the payment of the SEP Offset Amount,the Respondent shall provide the Enforcement SEP Coordinator with a copy of the check and transmittal letter indicating full payment of the SEP Offset Amount to the Third-Party Administrator. The Respondent shall mail a copy of the check and transmittal letter to: Texas Commission on Environmental Quality Enforcement Division Attention: SEP Coordinator, MC 219 P.O. Box 13087 Austin, Texas 78711-3087 4. Failure to Fully Perform If the Respondent does not perform its obligations under this Attachment A, including full expenditure of the SEP Offset Amount, as described in Sections 2 and 3 above,the ED may require immediate payment of all or part of the SEP Offset Amount. In the event the ED determines that the Respondent failed to fully implement and complete the Project, the Respondent shall remit payment for all or a portion of the SEP Offset Amount, as determined by the ED, and as set forth in the attached Agreed Order. After receiving notice of failure to complete the SEP, the Respondent shall include the docket number of the attached Agreed Order and a note that the enclosed payment is for the reimbursement of a SEP. The Respondent shall make the check payable to "Texas Commission on Environmental Quality," and shall mail it to: Texas Commission on Environmental Quality Litigation Division Attention: SEP Coordinator, MC 175 P.O. Box 13087 Austin, Texas 78711-3087 5. Publicity Any public statements concerning this SEP and/or project, made by or on behalf of the Respondent must include a clear statement that the project was performed as part of the settlement of an enforcement action brought by the TCEQ. Such statements include advertising, public relations, and press releases. Page 3 of 4 City of Port Arthur Agreed Order-Attachment A 6. Recognition The Respondent may not seek recognition for this contribution in any other state or federal regulatory program. 7. Other SEPs by TCEQ or Other Agencies The SEP Offset Amount identified in this Attachment A and in the attached Agreed Order has not been, and shall not be, included as a SEP for the Respondent under any other Agreed Order negotiated with the TCEQ or any other agency of the state or federal government. Page 4 of 4