ILLINOIS POLLUTION CONTROL BOARD
    February 23,
    1989
    MORTON THIOKOL INC.,
    )
    MORTON CHEMICAL DIVISION,
    )
    Petitioner,
    v.
    )
    PCB 88—102
    ILLINOIS ENVIRONMENTAL
    PROTECTION ACENCY,
    Respondent.
    RICHARD
    J.
    KISSEL
    AND
    SUSAN N.
    FRANZETTI,
    ~PPEAPED
    ON
    BEHALF OF
    THE PETITIONER;
    AND
    WAYNE WIEMERSLAGE APPEARED ON BEHALF OF THE RESPONDENT.
    OPINION AND ORDER OF THE BOARD
    (by J.
    Anderson):
    This matter
    comes before the Board
    on the June 15,
    1988
    petition and
    the September
    28,
    1988 amended petition
    for variance
    extension filed
    by Morton Thiokol,
    Inc.,
    Morton Chemical Division
    (M—T)
    regarding 80D5 discharges
    from Outfall OO1A at its
    Ringwood,
    Illinois plant.
    On November
    29,
    1988,
    the
    Environmental Protection Agency (Agency)
    filed
    its Recommendation
    to grant variance, with conditions.
    Hearing was held
    on January
    6,
    1989,
    at which two members of the public entered
    appearances;
    Dr. Louis Marchi, who testified and Patricia Malo, who did not.*
    Procedural T~istory
    Before proceeding
    to
    the merits,
    a summary and resolution of
    certain aspects of
    the procedural
    history
    in this proceeding
    is
    necessary to clarify the situation.
    On May 28,
    1987,
    in PCB 86—223,
    the Board granted
    t1—T
    a
    variance
    for
    its Ririgwood plant from the
    35
    111.
    Adm.
    Code
    304.120(c)
    effluent limitation of
    10 mg/l
    for 80D5 and from
    Section 304.141(a),** which Section forbids effluent discharges
    in excess of permit standards
    and
    limitations.
    That variance
    expired
    on June
    30,
    1988.
    *
    On December
    15,
    1988,
    the Board denied M—T~smotJon
    to cancel
    hearing,
    in part based on
    Ms. Malo’s environmental concerns.
    **
    For brevity,
    the Opinion will
    identify relevant rules by
    Section number rather than by repeating
    the
    35 Ill.
    Adm. Code
    format.
    96—169

    —2—
    On June
    15,
    1988,
    as noted above, M—T filed
    its instant
    petition for
    a one year variance extension, but nevertheless
    requested it until December
    31,
    1989,
    from the same
    10 mg/i BOD5
    effluent limitation
    in Section 304.124(c), applicable only to its
    Outfall
    OOlA, which Outfall OOlA is combined with
    a non—contact
    cooling water discharge designated as Outfall
    001.
    M—T also
    requested that the record, opinions and orders from the prior PCB
    86—223 variance proceeding be
    incorporated into the record of
    this proceeding.*
    M—T also requested that the compliance
    standards be determined by the Board’s Dilution Rule at Section
    304. 102.
    However, on September
    28,
    1988,
    M—T filed an amended
    petition for variance extension with
    a substantial number of
    changes.
    First,
    it now requests
    a variance extension from Section
    304.120(a), which Section sets
    a less stringent effluent standard
    of
    30 mg/i
    of BUD5
    thus,
    using
    the Board’s Section 304.104
    averaging rule,
    a
    30 mg/i monthly average
    and 60 mg/i daily
    composite
    limit is established.**
    M—T asserts
    that the Agency
    had recently determined that the 30/60 standard applies
    to
    Outfall
    OOlA; however, because Outfall OOlA exceeds this limit
    also, M—T needs variance from this less stringent standard.
    Next, M—T no longer
    requests that the Board’s Dilution Rule
    be applied
    (which, M—T asserts, would
    have allowed
    a 50/133 mg/i
    BOD5 limit.)
    Next, M—T now requests variance only until March 31,
    1989.
    It states that this change was in response to Agency concerns
    expressed as an settlement offer
    and
    at
    a settlement meeting
    on
    August
    17, 1988.
    The Agency’s concerns revolved around USEP~
    regulations,
    effective March
    31,
    1989, set forth at 40 CFR 414
    and 416,
    with Subpart D of
    Part 414 being specifically
    applicable, which establish “pretreatment regulations”
    (sic)
    containing effluent limitations
    of
    24 mg/i monthly average and
    64
    mg/i daily maximum for BUD5, applicable
    to
    the Organic Chemicals
    Plastics and Synthetic Fibers
    (OCPSF)
    category, within which
    the
    Ringwood plant
    falls.
    (Amendment
    to Amend.
    Pet.
    p.
    2,3).
    M—T states that, because
    the federal
    24/64
    mng/l limit
    is
    more stringent
    than both the 50/133 mg/i
    limit pursuant to the
    *
    On June
    16
    and October
    6,
    1988,
    the Board allowed incorporation
    by reference of prior Opinion and Order
    in PCB 86—223 but
    required
    M—T
    to file
    three copies of any other
    portions of the
    record
    it wished
    to
    incorporate.
    M—T
    filed the latter
    as
    exhibits on January 17,
    1988.
    **
    No mention
    is made of the Board’s grab sample limit of
    150
    mg/i that
    is also
    a limit derived
    from the Section
    304.104
    averaging
    rule.
    96—170

    —3—
    Dilution Rule and the Board’s 30/60
    limit, the federalregulations
    supersede the Board’s regulations after March
    31,
    1989;
    thus,
    the
    Board will not have authority to grant variance from
    its rules
    beyond March
    31,
    1989.
    Prior
    to March
    31,
    1989, M—T no longer
    requests variance from the Board’s Dilution Rule,
    just
    from the
    30 mg/i BOD standard
    in Section 304.120(a).
    Regarding compliance with
    the federal
    requirements, M—T,
    on
    May
    3,
    1988 requested from the USEPA
    a “fundamentally different
    factors” variance
    to operate
    under
    an alternative 133/50 mg/i
    limit.
    However,
    if M—T finds
    it can comply with the 24/64 OCPSF
    standard with its new biological
    treatment system,
    it will seek
    alternate relief,
    such as
    an administrative order specifying
    a
    three year schedule of compliance after issuance of
    its renewed
    NPDES permit.
    M—T also believes the plant may also be able
    to
    comply with the Board’s
    30/60 mg/i standard.
    In its recommendation,
    and
    in
    a subsequent stipulation of
    facts
    submitted
    at hearing
    in lieu of oral testimony each party
    would otherwise present at hearing,
    the Agency essentially agrees
    with M—T’s assessment, and also recommended
    that
    no BOD5 limit be
    imposed during the term of
    the Board’s variance.
    However, the
    parties proposed that, even though
    the variance should terminate
    on March 31,
    1989,
    the compliance schedule
    in the variance should
    extend until
    December 31,
    1989.
    The Agency also recommends that
    the Board condition
    the
    variance on posting a performance bond or other security,
    pursuant
    to Section
    36(a)
    of the Act,
    with
    a proviso
    that, upon
    failure
    to complete construction, the bond be
    used
    to complete
    the construction or
    forfeited
    to
    the Illinois Environmental Trust
    Fund.
    (Agency Rec.
    p.
    15)
    At hearing, M—T protested such
    a
    requirement
    (R.
    27—30).
    Finally,
    at hearing, M—T requested that
    the variance be
    back—dated
    to July
    1,
    1988,
    the day after
    the expiration
    of their
    prior variance.
    The Agency opposes
    this request.
    Board Initial Comments
    First,
    regarding the rationale
    for terminating
    the variance
    on March
    31,
    1989,
    the Board disagrees.
    Assuming that the
    federal
    regulation
    is
    in fact more stringent than the Board’s
    limits,
    the Board agrees it should not order modification
    of
    the
    permit beyond the above
    date.
    However,
    an NPDES permit does not
    protect M—T from violation of the Board
    rule,
    or from citizen
    enforcement,
    as
    long
    •as M—T
    is not
    in compliance with that rule;
    thus,
    M—T needs variance from the Board
    rule until December
    31,
    1989.
    At the
    federal
    level,
    an NPDES permit
    is
    a shield from
    enforcement (see
    40 CFR 122.5).
    At the State level,
    this
    is
    not
    96—1 71

    —4—
    true.
    By way of explanation,
    the Board directs attention
    to
    Sections 304.141(a),
    309.184
    and, particularly Section
    309.102(a).
    Section 304.141(a)
    requires compliance with effluent
    standards and limitations set forth
    in
    the permit.
    Section 309.184 addresses ordering permit issuance
    or
    modification pursuant to
    a variance consistent with the Board
    Order, the CWA,
    Federal NPDES regulations and
    the Act.
    Then,
    Section 309.102(a)
    states:
    “Except
    as
    in
    compliance
    with
    the
    provisions
    of
    the
    Act,
    Board
    regulations,
    and
    the
    CWA,
    and
    the provisions
    and conditions of the NPDES
    permit issued
    to the discharger,
    the discharge
    of
    any contaminant
    or
    pollutant by any person
    into
    the
    waters
    of
    the
    State
    from
    a
    point
    source or
    into
    a well shall
    be unlawful.”
    In essence, without variance, M—T must comply both with its
    NPDES permit and the Board standard.*
    Variance thus would have
    to be granted until December 31,
    1989, with variance
    from the
    requirement
    to
    include the Board’s limits as
    a permit condition
    terminating on March
    31,
    1989.
    Next,
    the issue arises
    as
    to which standard
    is more
    stringent.
    The federal 24 mg/i monthly average
    is obviously more
    stringent than the Board’s
    30 mg/i monthly average.
    However,
    neither party mentioned,
    in this context, that the Board’s
    60
    mg/i daily maximum
    is more stringent
    than the federal 64 mg/i
    daily maximum,
    and neither party mentioned the Board’s
    150 mg/l
    grab
    sample limit, all pursuant
    to Section 304.104 averaging.
    *
    The Board
    notes
    that at one time the Board
    standard “dropped
    out”
    if the permit was an NSPS permit containing effluent
    limitations reflecting USEPA’s best available demonstrated
    control
    technology guidelines and standards.
    In P76—21,
    the Board
    adopted such
    a provision on December
    3,
    1981
    (46 PCB
    203 et
    sec.)
    as Rule
    412.
    This provision was repealed, effective January
    18,
    1984,
    in response
    to Agency concerns,
    one of which was
    to
    eliminate
    inequity between new and existing sources
    (see R82—5,
    P82—10 consolidated,
    46 PCB 81;
    8 Ill.
    Peg.
    1600, and Source Note
    in Section 304.142
    (formerly rule 412).
    Also
    note that 40 CFR
    414.44 sets the BOD5 NSPS effluent standard
    at the same 24/64
    limit
    that
    is
    at issue
    in this
    instant proceeding.
    **
    See
    the P76—21 Opinion,
    proposed
    on September
    24,
    1981
    (43 PCB
    368—374)
    and adopted
    on December
    3,
    1981,
    for
    a lengthy
    discussion
    of the effects of the present Section 304.104
    “1,2,5”
    averaging
    rule.
    96—172

    —5—
    The Board has already held that
    a hybrid standard
    is
    unacceptable,
    since
    the cost of compliance with such a standard
    is greater
    than either the Board
    or USEPA regulations and neither
    the Board or USEPA intended this result.
    (Peabody Coal Company
    V.
    Environmental Protection Agency, PCB 78—296,
    p.
    7,
    38 PCB 131,
    137, May
    1,
    1980).
    The Board can only note that,
    over the long
    term, and particularly given
    these numbers,
    the monthly limits
    would control, resulting
    in the federal standards being more
    stringent.**
    The Board cautions, however,
    that “there
    is no
    guarantee
    that
    it will always be possible
    to derive Illinois
    standards which can always be compared with the federal
    standards.”
    (Ibid
    p.
    7)
    The Board also notes
    that,
    if variance
    is granted
    from
    the Board standards until December
    31,
    1989,
    M—T
    must be
    in compliance with those standards after
    that
    in any
    event.
    Next,
    as long
    as variance
    is granted
    until December
    31,
    1989,
    the problem of ordering
    a compliance plan beyond the term
    of the variance becomes moot.
    Finally,
    the Board
    notes
    that pretreatment regulations are
    not at issue here.
    The Board directs
    the parties’ attention
    to
    52 FR 42572—42574,
    November
    5,
    1987,
    40 CFR,
    Part
    414,
    Subpart
    D,
    Sections 414.41 and 414.43,
    which Sections set as effluent
    limitations,
    for existing sources,
    the 24/64 mg/i BOD5
    standard.
    (Sections 414.45 and 414.46 set the pretreatment
    standards
    for existing and new sources
    respectively and are not
    involved here).
    The Facility
    Because of
    the changing nature of this proceeding over time,
    the Board will hereafter primarily utilize
    the Stipulation of
    Facts entered
    at hearing.
    M—C owns and operates
    a plant located
    in the unincorporated
    community of Ringwood,
    Illinois, McHenry County, which has a
    population of about
    200.
    The Pingwood plant
    is
    a specialty chemical plant producing
    emulsion polymers and co—polymers;
    solvent and water based
    adhesives;
    elastomers; epoxy molding compounds;
    and
    an
    agricultural
    soil
    fumigant.
    The Pingwood plant normally operates on rotating shifts,
    twenty—four hours per day and seven days per week.
    The work
    force consists of approximately 300 employees.
    The
    plant discharges an average of
    1.3 MCD of non—contact
    cooling water, boiler blowdown and de—ionizer backwash.
    In
    addition,
    the treated polymer washwater from Outfall
    OO1A
    is
    discharged
    at
    an average rate of 0.013
    MGD.
    The production
    96—173

    —6—
    processes which contribute
    to
    the generation of the Outfall OO1A
    discharge
    include the following:
    Polyvinylidene chloride
    emulsion polymerization (latex); polystyrene emulsion
    polymerization
    (latex); polystyrene
    Acrylic copolymer emulsion
    polymerization (latex), and polyester
    resins.
    The bulk of the Ringwood plant’s polymer washwater
    is
    generated during the washing
    and cleaning of the reactors,
    strainers,
    filters, storage
    tanks and miscellaneous pieces ~
    equipment which are used
    in the production of the i~ariouslatex
    products.
    A minor portion of the stream is generated during
    polyester
    production.
    This portion
    is water which
    is
    a
    polymerization reaction by—product and which
    is separated from
    the product mix via distillation.
    The existing water pollution control
    treatment facilities
    for
    the Outfall COlA polymer washwater consist of the
    following:
    A pH adjustment
    tank
    (installed 1981);
    a vibratory
    screener
    to remove separable solids (installed
    1981);
    an A.P.V.
    vapor
    recomnpression concentrating system to
    reduce the stream
    volume by about
    75
    (installed 1981);
    a LtJW~wiped wail
    evaporator
    to further concentrate
    the stream
    to approximately 50
    solids
    (installed
    1987);
    a packed column steam stripper
    to remove
    VOCs
    from
    the condensate stream (installed 1981);
    a heat
    exchanger
    to condense the steam stripper vapors
    (installed
    1981);
    and
    a carbon adsorption column to remove phenols from
    the
    condensate
    (installed 1986).
    Prior
    to treatment,
    the polymer washwater contains
    approximately three percent
    solids.
    The treatment process
    involves
    a multi—step sequence that increases the concentration
    of this wastestreani by use of pH controls,
    evaporation
    and
    foaming controls.
    The evaporator concentrate
    is disposed
    of
    as
    a
    solid
    non—hazardous waste.
    The evaporated overhead material
    is condensed
    and then sent
    to
    a steam stripping column
    for
    removal of volatile organics.
    This condensed wastestream is then passed through
    a granular
    activated carbon bed (GAC)
    for phenol reduction.
    The vapors from
    the steam stripping
    column pass through a condenser.
    The
    condensate
    is collected
    in
    a closed system for further reaction
    to polymerize
    the contained VOC materials.
    The non—condensables
    from the
    steam stripper vapor stream are passed through
    a
    regenerative carbon system
    for removal
    of organics prior
    to
    discharge
    to
    the atmosphere.
    The resulting wastestream
    is then
    combined with the Pingwood plant’s wastestream of spent non—
    contact cooling water, boiler blowdown and dc—ionizer
    backwash,
    thus creating
    a single, combined wastestream which
    is discharged
    to the receiving stream from Outfall 001.
    In October
    of
    1985,
    the Agency issued
    a modified NPDES
    permit
    to M—T allowing the addition of the new wastewater
    96-174

    —7—
    discharge,
    currently designated
    as Outfall OO1A,
    to the existing
    Outfall 001 wastestreamn.
    When issuing the October 31,
    1985 NPDES
    permit, and over M—T’s objection,
    the Agency designated
    the
    internal polymer washwater from Outfall OOlA
    as
    a separate
    Outfall.
    This polymer washwater had been disposed of
    in
    a
    landfill prior
    to November,
    1985.
    While no effluent limitations were imposed
    on Outfall
    OO1A,
    the Agency did require that M—T perform
    a one—time analysis of
    the polymer washwater discharge
    for priority pollutants, heavy
    metals and organics.
    The analysis results showed that
    the BOD5
    concentration was 19.3 mg/i.
    Subsequent analysis of the Outfall OOlA discharge sampled on
    September
    9,
    1986 showed BOD5 levels of 320 mg/l and 520 mg/l
    respectively.
    On September
    26,
    1986,
    the Agency issued M—T a
    reissued NPDES permit which contained an effluent limitation
    for
    BODç at Outfall COlA of
    10 mg/I for
    a thirty day average and
    a
    daily maximum of
    20 mg/l.
    However, the Agency, as earlier
    noted,
    has proposed
    to modify the permit
    to reflect
    the less stringent
    BOD5 limit
    of 30/60 mg/i average thirty day and daily maximum
    respectively.
    *
    Compliance Efforts
    The combined wastewater
    stream discharged
    from Outfall 001
    has shown
    a BOD5 level consistently below
    5 mg/l,
    and
    is thus
    in
    unquestioned
    compliance with the BOD5 effluent limitations
    contained
    in
    the Board’s regulations.
    The primary purpose
    for installing
    its treatment system was
    to decrease the volume of wastewater landfilled
    from the Pingwood
    plant.
    Since
    1975,
    ~—T has pursued efforts
    to minimize
    the
    amount of wastewater generated
    at the plant while increasing the
    amount of product produced.
    These wastewater minimization
    efforts have included:
    Adding rinse water
    to
    the product mix;
    educating plant operators as
    to
    the importance of wastewater
    minimization
    and conservation, including adding shut—off nozzles
    to hoses;
    removing sediment from the product stream for
    a
    significant portion of the product batches which require less
    rinse water
    than filter presses.
    These conservation efforts have
    resulted
    in
    a decrease
    in
    wastewater generated from the plant,
    as measured by the ratio of
    the volume of product manufactured divided
    by the volume of
    wastewater
    generated,
    from about
    0.25
    in 1975
    to
    1.4
    in 1978
    to
    1.7
    in 1987.
    *
    The Board
    notes
    that what was once
    a
    30 day average was amended
    in late 1981
    to
    a monthly average; see Section 304.104.
    96—175

    —8—
    However,
    as a result of the above water conservation
    efforts,
    the concentration of BOD5
    in the Ringwood plant’s
    untreated polymer washwater infiuent has increased from an
    average of 2080 mg/I
    in 1978
    to an average of 4020 mg/l
    in
    1988.
    The higher BOD5 concentration levels have hindered M—T’s
    efforts
    to effectively remove BODç from the Outfall OOlA
    wastestream to achieve
    the
    30 mg/i level.
    However, M—T asserts
    that the estimated
    total
    removal efficiency to be achieved
    through the installation of
    a biological treatment system, which
    is M—T’s latest compliance effort, will average greater than 98
    percent.
    (Stip.
    p.
    13,14)
    M—T
    initiated
    efforts
    to achieve compliance with the Board’s
    BOD5 effluent limitation when
    it retained the professional
    ser~iicesof Dr. James Patterson of Patterson Associates,
    Incorporated, Chicago,
    Illinois,
    environmental consultants.
    Studies,
    initiated
    in October,
    1986,
    and completed during
    the
    last variance period,
    showed that,
    as between the aerobic
    biological
    and ozonation
    treatment approaches studied, only ozone
    oxidation was technologically capable of consistently achieving
    compliance with the
    then applicable
    10 mg/l BOD5 effluent
    limitation
    for Outfall COlA.
    Unexpectedly,
    the overall estimated cost
    for installing
    the
    proposed ozone treatment process was $4.2 million or about
    $2l0/GPD treatment capacity
    ——
    ten—fold more
    than the high end
    of
    the typical range of treatment costs,
    plus annual electrical
    power costs estimated
    to be
    in excess of $500,000.
    On about June 29,
    1987,
    M—T sent
    a sample of the Outfall
    OOlA polymer washwater discharge
    to Emery Industries
    (“Emery”)
    in
    Cincinnati,
    Ohio,
    a vendor of ozonating equipment.
    Emery
    performed
    additional BOD5 treatability studies and
    in early June,
    ,l987, Emery informed M—T that
    it did not recommend ozonation
    as
    a viable technological approach for treatment of the BODç
    in
    Outfall COlA’s discharge.
    (Stip.
    p.
    15,16)
    In July,
    i98~7,
    M—T
    reauested O’Brien and Gere Engineers,
    Inc.
    (“O’Brien and Gere”)
    in Edison,
    New Jersey,
    to evaluate all of the data generated
    during the Phase
    I and
    II Treatability Studies conducted by
    Patterson Associates
    and requested O’Brien and Gere
    to evaluate
    that data
    and,
    if appropriate,
    to submit
    a proposal for treatment
    tests.
    Second,
    in early July,
    1987,
    M—T also contacted AcuaTec,
    Inc.
    (“AquaTec”)
    of Rockford,
    Illinois,
    a distributor
    of
    the
    “Ping
    Lace” wastewater
    treatment system
    ——
    an advanced biological
    treatment process.
    However, upon further evaluation,
    M—T decided
    not
    to pursue
    the Ring Lace treatment system because
    it
    is an
    unproven
    technology for this application.
    In August,
    1987,
    M—T
    retained O’Brien and Gere
    to evaluate
    the effectiveness of biological
    treatment.
    In bench—scale
    biological
    treatment
    tests of the Outfall 00Th effluent,
    lasting
    nine weeks, and utilizing hydraulic
    retention times ranging from
    96—176

    —9—
    two
    to four days,
    the treated level
    of BOD5
    ranged fairly
    consistently
    from 160
    to 350 mg/I,
    for a resultant average
    concentration of 240 mg/i.
    At these BODç concentration levels,
    the bench—scale biological
    treatment sysEems were effective
    in
    further reducing the SOD5 concentration of the Outfall
    00Th
    effluent
    to an average value less than or equal
    to 10 mg/l.
    Based upon these initial sampling results,
    in November,
    1987,
    O’Brien
    and Gere determined that
    a biological treatment system to
    comply with the Board’s 10/20 BOD5 standard would
    be feasible.
    However, the last Outfall OOlA wastewater sample received by
    O’Brien and Gere on November
    20, l987,contained
    a much higher
    SOD5
    influent concentration of 570 mg/i.
    This higher
    concentration resulted
    in levels
    in excess of 10 mg/i with the
    biological
    treatment system.
    By February 1988,
    sampling results showed
    an average SOD5
    level of 593 mg/i
    in
    the Outfall OO1A effluent.
    This effluent
    concentration was approximately 145
    greater
    than
    the average
    effluent concentration of 240 mg/l observed by O’Brien and Gere
    during
    their
    1987 treatability testing.
    In March
    1988, O’Brien
    and Gere informed M—T that the
    variability of the SOD5 level
    in the wastestream was greater than
    had been previously considered
    and, therefore,
    the validity of
    the previous treatability studies
    for Outfall 00Th was doubtful.
    (Stip.
    p.
    17—19)
    O’Brien
    and Gere concluded
    that the proposed biological
    treatment system should consistently achieve
    a monthly average
    effluent BOD5
    of
    50 mg/i or less and
    a daily maximum effluent
    SOD5
    of 133 mg/i
    or
    less.
    The test results also show that, with
    average
    SOD5 effluent concentration levels up to approximately
    400 mg/I,
    the proposed biological treatment system will achieve
    compliance with the 10/20 mg/i standards.
    Since, during the
    period
    from June
    1987 through April
    1988,
    that concentration
    level has intermittently been exceeded, O’Brien and Gere further
    concluded that an extended aeration biological treatment system
    at an estimated cost of between $500,000 and $700,000 should
    consistently achieve SOD5 reduction
    to
    a thirty—day average level
    of
    50 mg/i
    ——
    resulting
    in an average
    total treatment system
    removal efficiency rate of approximately 98.4 percent.
    Based upon these new findings, M—T realized for the first
    time
    in March
    1988,
    that its ability to comply with
    the Board’s
    BODç effluent limitations by installing
    a biological treatment
    sys?em
    was uncertain;
    therefore M—T believes that an extension of
    the prior variance
    is warranted.
    Since March
    of
    1988,
    subsequent treatability studies suggest
    that the Pingwood plant should be able
    to consistently meet
    the
    Board’s BOD5 standard of
    30 mg/i and possibly the
    federal OCPSF
    96—177

    —10—
    standard of 24/64 mg/i with the installation of the proposed
    biological treatment system.
    As part of its proposed compliance plan, M—T completed
    in
    the fall of 1988 detailed design criteria for the refined
    biological
    treatment system.
    M—T requests an additional nine
    months to order and receive the equipment,
    and construct the
    treatment
    system.
    Finally, M—T requests an additional three
    months
    to attain steady state operations and achieve maximum BOD5
    removal capabilities.
    As previously stated,
    if the system does
    not meet the federal 24/64 SOD5 standard, M—T will continue
    pursuing
    relief through
    its pending
    fundamentally different
    factors variance but
    is not contending
    that the granting of the
    instant variance be conditioned upon M—T’s ability to obtain an
    FDF variance.
    Environmental Impact
    M—T discharges
    at Outfall
    001
    into an unnamed
    tributary
    which flows
    for approximately three miles to the confluence with
    Dutch Creek.
    Dutch Creek
    flows two miles
    to
    the confluence with
    the Fox River.
    Adjacent habitat
    is predominantly row crops, such
    as corn, with some fallow fields and hay fields.
    Livestock also
    graze
    in areas adjacent
    to
    the stream.
    M—T asserts that the granting
    of this variance will not
    result
    in an adverse environmental impact upon the unnamed
    tributary or Dutch Creek, since discharge from Outfall
    001 has a
    BOD5 concentration that is consistently below
    5 mg/i.
    M—T also
    references
    a biological study by Huff and Huff,
    Inc.
    in June,
    1987, concerning a Modine Manufacturing Company’s discharge
    to
    a
    tributary separate from M—T’s; but both tributaries converge
    before flowing
    into Dutch
    Creek.
    The study showed water quality
    below Outfall
    001 was good.
    Also,
    an August,
    1986 Agency report
    showed acceptable water quality and
    no significant impact
    biologically.
    Consistent with the above study,
    the Agency concluded
    in its
    Variance Recommendation filed
    in M—T’s original variance
    proceeding
    and
    in this proceeding
    that the Agency’s report “would
    tend
    to support Petitioner’s contention that there
    is little,
    if
    any, adverse
    impact” upon the receiving stream.
    (Agency Rec.,
    Exhibit C at P.
    7).
    M—T further points out that the Board
    in
    the
    earlier variance concluded
    there was
    no significant
    impact.
    (PCB
    86—223, May 28,
    1987,
    p.
    5)
    Also, M—C has reported
    the results of its mercury
    concentrations
    in Outfall
    001 and OOlA
    to
    the Agency
    in its
    monthly progress reports, as required by Condition
    6
    of the
    Board’s prior variance Order.
    The daily maximum and monthly
    average results
    in all cases comply with the Board’s effluent and
    water quality limits of 0.005 mg/i.
    (Agency
    Bec.
    p.
    6,
    Ex.
    Q &
    96—178

    —11—
    R).
    The Agency recommends that M—T no longer be required to
    monitor
    and report mercury concentrations
    at Outfalis 001 and
    00Th on
    a monthly basis because the monthly and weekly sampling
    results
    since July 1987 have without exception shown
    that the
    level
    of mercury
    is below the detection limit.
    (Agency Rec., p.
    6,
    Exhibits
    Q
    and R).
    Impact Minimization
    M—C does accept
    a requirement to comply with Conditions
    3
    and 6 of the Board’s prior Order concerning BOD5 monitoring and
    monthly compliance progress
    report respectively.
    Regarding compliance alternatives, M—C also asserts that
    it
    has determined
    that there are no known process changes which can
    be
    implemented which would adequately control
    SOD5 levels
    in
    Outfall
    OOiA and maintain the quality of
    its products.
    After
    reviewing the costs and treatment capabilities of the
    above systems and investigating process changes at the plant, M—T
    has determined
    that the biological treatment system proposed by
    its current consultant O’Brien
    and Gere represents
    the best
    method
    for achieving compliance with the Board’s SOD5 effluent
    limitations.
    Hardship
    M—T asserts that the arbitrary and unreasonable hardship
    that the Board
    found
    in PCB 86—223 continues
    to exist, and that
    denial would leave M—T with one of two options:
    shut down that
    part of the Bingwood plant operations which generate
    the polymer
    washwater discharge,
    losing approximately eighty percent of the
    Ringwood plant’s production;
    or return to disposing
    of the
    polymer washwater
    at a permitted sanitary landfill.
    The
    additional costs associated with the landfill disposal of this
    wastestream are estimated
    to be $550,000 per year.
    M—T
    is
    proposing
    a biological
    treatment system,
    at
    a cost of between
    $500,000—$700,000, which
    it believes will
    reduce the 8005
    concentration in the Outfall 00Th discharge
    to below the 30/60
    limitation
    of Section 304.120(a),
    as well as the
    federal 24/64
    8005 effluent limitation.
    Two
    issues remain:
    Whether
    the Board should require
    a
    performance bond and whether
    the variance should be back-dated.
    Regarding
    the performance bond,
    the Agency expressed
    its
    dissatisfaction with M—T’s “slow pace toward compliance”
    noting
    that this
    is
    a second’ variance extension request, since M—T
    sought,
    and was granted,
    a construction start—up delay during its
    prior variance from January
    31,
    1988
    to June
    30,
    1988,
    (though
    not extension of
    the term of variance itself, see Board Order
    of
    September
    17,
    1987,
    PCB 86—223), and now wants more time.
    Also,
    no significant progress has been made except
    for changing its
    96—179

    —12—
    treatment plans, noting
    that, although plans and specifications
    were filed on November
    18,
    1988,
    no construction has commenced
    and compliance
    is not assured.
    (Agency Pec.
    p.
    14,15).
    M—T responds that
    it has made reasonable further
    progress.
    It has made diligent effort in—house,
    retained consultants,
    complied with all prior variance conditions,
    has a good past
    history of compliance, a technical
    solution has been difficult
    ar’d
    time—consuming,
    and that the longer time needed
    for
    compliance does not create unfair advantage but,
    rather, cost M—T
    more time, money and problems.
    M—T also asserts that its
    financial ability
    to comply was never
    an issue
    and
    is already
    contractually committed
    to $400,000,
    over half the total cost of
    the biological treatment system.
    (R.
    27—29)
    Regarding the back—dating of the variance,
    the Agency
    believes
    that retroactive variances should be denied as a matter
    of principle and,
    in any event,
    there
    is nothing
    in this
    particular case making
    it more
    or less appropriate.
    (R.
    32,33)
    M—T argues that Section 36 of the Act does not prohibit the
    Board
    from doing
    this,
    the Board has
    in fact done so,
    that, since
    their petition was timely filed
    on June 15,
    1988, prior
    to the
    June 30,
    1988 expiration of the prior variance, M—T would be
    unnecessarily subject to enforcement and failure
    to provide such
    relief would
    be contrary to the “general intent behind requesting
    the variance.”
    (R.
    31,32)
    Finally,
    Dr. Louis Marchi expressed general concerns
    in his
    testimony, disputing how minimal impact determinations are made,
    particularly for chronic effects, particularly
    in that Dutch
    Creek empties
    into the Fox River which
    in turn supplies the City
    of Elgin’s drinking water.
    The Agency noted that
    Dr. Marchi did
    not earlier ask for any document
    and had not read the whole
    Agency document with attachments prior
    to his testimony.
    Board Conclusions
    The Board
    finds that M—T has presented adequate proof that
    compliance with the Board’s regulations concerning ROD5
    discharges would, for the term
    of this variance,
    impose an
    arbitrary or unreasonable
    hardship.
    The environmental effects are not significant
    and
    t4—T has
    persuasively demonstrated
    its hardship, particularly
    insofar as
    the need
    to formulate
    a new compliance effort resulted from
    unexpected and disappointing
    results from its prior compliance
    effort.
    For reasons expressed earlier
    in this opinion, variance will
    be granted until December
    31,
    1989, with the conditions generally
    as proposed by M-T and the Agency.
    As also proposed,
    no interim
    96—180

    —13—
    SOD5 limits will
    be
    imposed; given
    the facts
    in this proceeding
    and the conditions imposed,
    the Board does
    not believe they are
    necessary.
    The Board,
    in granting variance,
    is not ordering any permit
    modifications beyond March
    31,
    1989.
    The Board will not order M—T
    to post
    a performance bond
    or
    other security to cover construction requirements;
    it does not
    view M—T’s
    failure
    to
    initiate construction earlier as resulting
    from dilatory efforts or uncertain financial health.
    In
    so
    saying,
    the Board expects M—T
    to take all necessary steps
    to come
    into compliance.
    The Board also notes that
    it
    is presently
    considering requiring
    a performance
    bond
    or other
    security to
    assure completion
    of work as
    a
    standard condition of
    future
    variances where applicable.
    The Board does not accept M—T’s argument that
    its variance
    petition was timely filed.
    The petition would have been timely
    filed
    120 days before expiration of
    a prior variance, which
    is
    the statutory
    time frame
    for Board decisions.
    The Board
    also notes that its procedural
    rules regarding
    variance extensions 35
    Ill.
    Adm.
    Code 104.123, states that
    variance extensions shall
    be a new petition
    for variance,
    subject
    to all requirements except that,
    regarding filing requirements,
    information from
    the prior variance may be
    incorporated.
    M—T’s
    “general intent” argument
    is not persuasive.
    See also Rowe
    Foundry
    & Machine
    v.
    Illinois Environmental Protection Agency,
    PCb 88—21,
    February 23,
    1989.However,
    the Board will backdate the
    variance
    to October
    16,
    1988, which is 120 days after M—T’s
    initial filing.
    This retroactive date
    is
    in recognition of the
    fact that much of the delay was caused by the federal regulation
    question,
    the Agency’s changed view as
    to
    the applicable
    standards,
    and also
    that M—T continued
    in
    the interim to pursue
    its compliance efforts, including construction plans.
    This Opinion constitutes the Board’s findings of fact and
    conclusions of law in this matter.
    ORDER
    Morton Thiokol,
    Inc., Morton Chemical Division,
    is hereby
    granted variance from
    35
    Ill.
    Adm.
    Code
    304.120(a), and
    304.141(a)
    as they relate
    to effluent limitations
    for BOD5
    applicable
    to Outfall 00Th at Petitioner’s Pingwood Plant,
    subject
    to the following conditions:
    A.
    This variance shall expire on December
    31,
    1989.
    B.
    This variance shall apply only
    to Outfall
    001(A).
    96—181

    —14—
    C.
    Petitioner
    shall continue
    to monitor and report all
    parameters
    for Outfall 001(A)
    as required by its NPDES
    permit,
    including BOD5.
    D.
    Petitioner
    shall complete design and treatability
    studies, finalize design and obtain project approval,
    and apply
    to the Agency for
    a construction permit,
    by
    January
    1,
    1989 or within 14 days after grant of
    a
    variance
    in this proceeding,
    whichever
    is later,
    for a
    treatment system fo~Outfall 00Th sufficient
    to comply
    with the effluent standard of
    30 mg/l for BODç as
    determined by the averaging rule of
    35
    Iii. Aam. Code
    304.104.
    After March
    31,
    1989,
    this grant of variance
    shall
    not apply to any superseding permit limits
    required by USEPA regulation regarding SOD5.
    E.
    Petitioner shall
    cause all equipment described
    in said
    construction permit
    to be delivered
    to its Ringwood
    plant’s site by June
    30,
    1989.
    F.
    Petitioner
    shall complete construction of said
    treatment
    system by September
    30, 1989.
    G.
    Petitioner
    shall complete
    testing
    of said treatment
    system, achieve required operating levels and begin
    operation,
    and achieve compliance with applicable BOD5
    effluent limits by December
    31, 1989.
    H.
    Petitioner
    shall continue
    to report monthly on its
    progress
    in complying with this variance.
    Reports
    shall
    be submitted
    to
    the Agency concurrently with its
    Discharge Monitoring Reports.
    I.
    Petitioner
    shall continue to meet Final Effluent limits
    of 10 mg/i SOD5 at Outfall
    001,
    as well as all other
    effluent limits set
    in its NPDES permit.
    J)
    Within
    45 days of the date of this Order,
    Petitioner
    shall execute
    and
    forward
    to Thomas Davis, Enforcement
    Programs,
    Illinois Environmental Protection Agency,
    2200
    Churchill
    Road,
    Springfield,
    Illinois 62794—9276,
    a
    Certification of Acceptance
    and Agreement
    to be bound
    to
    all terms and conditions of this variance.
    The 45—day
    period shall
    be held
    in abeyance during any period that
    this matter
    is being appealed.
    The form
    of said
    Certification shall
    be
    as follows:
    3)
    Within 45 days after
    the date of this Opinion and Order,
    Morton Thiokol
    Inc., Morton Chemical Division,
    Zinc
    shall execute and send
    to:
    96—182

    —15—
    Illinois Environmental Protection Agency
    Attention:
    Thomas Davis
    Enforcement Programs
    2200 Churchill Road
    Springfield,
    IL 62794—9276
    a certificate of acceptance of this variance by which
    it
    agrees to be bound
    by the terms and conditions contained
    herein.
    This variance will be void
    if Morton Thiokol
    to
    execute and forward
    the certifcate
    within the 45—day
    period.
    The 45—day period shall
    be
    in abeyance for any
    period during which the matter
    is appealed.
    The form of
    the certification shall
    be as
    follows:
    CERTIFICATION
    I,
    (We), _____________________________,
    having read the
    Order
    of the Illinois Pollution Control Board,
    in PCB 88—102,
    dated February 23,
    1989, understand
    and accept the said Order,
    realizing that such acceptance renders all terms
    and conditions
    thereto binding and enforceable.
    Petftioner
    By:
    Authorized Agent
    Title
    Date
    Section
    41 of the Environmental Protection
    Act,
    Ill.
    Rev.
    Stat.
    1987
    ch.
    111 1/2 par.
    1041,
    provides
    for appeal
    of Final
    Orders of the Board within 35 days.
    The Rules of the Supreme
    Court of Illinois establish filing requirements.
    IT
    IS SO ORDERED.
    3.
    D.
    Dumelle concurred.
    96—183

    —16—
    I,
    Dorothy M.
    Gunn, Clerk of the Illinois Pollution Control
    Board,
    hereby certifZ that the above Opinion and Order was
    adopted
    on the 25~-~dayof
    ~
    ,
    1989, by a vote
    of
    7—~2
    p7).
    Dorothy M,7Gunn, Clerk
    Illinois ~Pollution Control Board
    96—184

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