Lisa Madigan
AFIORNRY GFNFRAI .
The Honorable Dorothy Gunn
Illinois Pollution Control Board
James R
. Thompson Center, Ste . 11-500
100 West Randolph
Chicago, Illinois 60601
Re:
People v. OGOCO, Inc .,
an Illinois corporation
PCB No . 06-16
Dear Clerk Gunn
:
Enclosed for filing please find the original and ten copies of a NOTICE OF FILING and
MOTION FOR SUMMARY JUDGMENT, in regard to the above-captioned matter
. Please file the
original and return a file-stamped copy of the documents to our office in the enclosed, self-
addressed envelope .
Thank you for your cooperation and consideration .
OFFICE OF THE ATTORNEY GENERAL
STATE OF ILLINOIS
July 24, 2006
RECEIVEDCLERK'S
OFFICE
JUL 2 5 2006
Pollution
STATE OF
Control
ILLINOIS
Board
isten Laughridge Gale
Environmental Bureau
500 South Second Street
Springfield, Illinois 62706
(217) 782-9031
KL/pp
Enclosures
500 South Second Street, Springfield, Illinois 62706 • (217) 782-1090 • TTY: (217) 785-2771 •
Fax : (217) 782-7046
100 West Randolph Street, Chicago, Illinois 60601 •
(312) 814-3000
•
TTY: (312) 814-3374 • Fax : (312) 814-3806
1001 East Main, Carbondale, Illinois 62901 • (618) 529-6400 • TTY : (618) 529-6403
•
Fax
: (618) 529-6416
PEOPLE OF THE STATE OF
ILLINOIS,
Complainant,
V .
OGOCO, INC ., an Illinois corporation,
Respondent .
BEFORE THE ILLINOIS POLLUTION CONTROL BOARD
William W . Austin, R .A.
307 N . Third Street
Effingham, IL 62401-3467
NOTICE OF FILING
(Enforcement-Water)
William Niemeyer
Ogoco, Inc
.
16080 N
. 1" Street
Beecher City, IL 61414
KRISTEN LAUGHRIDGE GALE
Assistant Attorney General
Environmental Bureau
500 South Second Street
Springfield, Illinois 62706
217/782-9031
Dated : July 24, 2006
RECEIVED
CLERK'S OFFICE
JUL 2 5 2006
Pollution ControlBoard
PLEASE TAKE NOTICE that on this date I mailed for filing with the Clerk of the Pollution
Control Board of the State of Illinois, a MOTION FOR SUMMARY JUDGMENT, a copy of which
is attached hereto and herewith served upon you .
Respectfully submitted,
PEOPLE OF THE STATE OF ILLINOIS
LISA MADIGAN,
Attorney General of the
State of Illinois
MATTHEW J. DUNN, Chief
Environmental nforcement/A
Litigation
ion
BY:
estos
CERTIFICATE OF SERVICE
I hereby certify that I did on July 24, 2006, send by First Class Mail, with postage thereon
fully prepaid, by depositing in a United States Post Office Box a true and correct copy of the
following instruments entitled NOTICE OF FILING and MOTION FOR SUMMARY JUDGMENT
To:
William W . Austin, R.A.
William Niemeyer
307 N . Third Street
Ogoco, Inc
.
Effingham, IL 62401-3467
16080 N
. 1"Street
Beecher City, IL 61414
and the original and ten copies by First Class Mail with postage thereon fully prepaid of the
same foregoing instrument(s) :
To:
Dorothy Gunn, Clerk
Illinois Pollution Control Board
James R. Thompson Center
Suite 11-500
100 West Randolph
Chicago, Illinois 60601
A copy was also sent by First Class Mail with postage thereon fully prepaid to :
Carol Webb
Hearing Officer
Illinois Pollution Control Board
1021 North Grand Avenue East
Springfield, IL 62794
K STEN LAUGHRIDGE GALE
Assistant Attorney General
This filing is submitted on recycled paper .
BEFORE THE ILLINOIS POLLUTION CONTROL BOARD
PEOPLE OF THE STATE OF ILLINOIS, )
Complainant,
)
vs.
)
No. PCB 06-16
(Enforcement-Water)
OGOCO, INC ., an Illinois corporation,
)
Respondent .
)
MOTION FOR SUMMARY JUDGMENT
Complainant, PEOPLE OF THE STATE OF ILLINOIS, by LISA MADIGAN, Attorney
General of the State of Illinois, pursuant to Supreme Court Rules 191 and 192, Section 2-1005
of the Code of Civil Procedure, 735 ILCS 5/2-1005 (2004), and Section 101
.516 of the Board's
Procedural Rules, 35 III . Adm . Code 101
.516, hereby moves for Summary Judgment against
the Respondent, OGOCO, INC . No Answer or responsive pleadings to the Complaint have
been filed and, therefore, no affirmative defenses have been pleaded . Complainant relies upon
uncontroverted facts in the attached exhibits and in the Request for Admission of Facts
Directed toward Ogoco, Inc . mailed to Respondent on May 23, 2006 and filed with the Illinois
Pollution Control Board ("Board") on May 26, 2006
. In support of this Motion, Complainant
states as follows :
STATEMENT OF FACTS
1 .
Ogoco, Inc ., ("Ogoco") is an Illinois corporation .
2 .
At some time before October 10, 2003 on dates better known to the Respondent,
crude oil and salt water were released from two facilities operated by Ogoco located on
Moccasin Road, near Little Moccasin Creek, in Effingham County, Illinois . See Exhibits A
1
RECEIVEDCLERK'S
OFFICE
JUL 2 5 2006
STATE OF ILLINOIS
Pollution Control Board
(Affidavit of Thomas Powell), Exhibit B (October 10, 2003 photos) and Exhibit C (Request for
Admission of Fact Directed toward Ogoco, Inc
.) .
3
.
Approximately 10 barrels of crude oil and 10 barrels of salt water were released
from the first facility, the David Reed #1 well and Reed #1 salt water disposal tank battery, due
to a leak in the firewall and the overflowing of the tank battery's firewall
.
See Exhibits A
(Affidavit of Thomas Powell), Exhibit B (October 10, 2003 photos) and Exhibit C (Request for
Admission of Fact Directed toward Ogoco, Inc
.) .
4 .
Approximately 10 barrels of crude oil and 10 barrels of salt water were released
from the second facility, the Wachtel- Reed #2 tank battery, due to the overflowing of the tank
battery's firewall
. See Exhibits A (Affidavit of Thomas Powell), Exhibit B (October 10, 2003
photos) and Exhibit C (Request for Admission of Fact Directed toward Ogoco, Inc
.) .
5 .
The salt water is a produced fluid generated by Ogoco's oil production activities
and contains a large concentration of chlorides and varying amounts of petroleum constituents
.
See Exhibits A (Affidavit of Thomas Powell) and Exhibit C (Request for Admission of Fact
Directed toward Ogoco, Inc .) .
6 .
The salt water and crude oil had been flowing out of the Ogoco facilities for
several days prior to October 10, 2003
. See Exhibits A (Affidavit of Thomas Powell) and Exhibit
C (Request for Admission of Fact Directed toward Ogoco, Inc
.) .
7.
The salt water and crude oil flowed through a pasture and a wooded area
approximately one-quarter of a mile and into Little Moccasin Creek
. See Exhibits A (Affidavit of
Thomas Powell), Exhibit B (October 10, 2003 photos) and Exhibit C (Request for Admission of
Fact Directed toward Ogoco, Inc .) .
8 .
On October 10, 2003, a sheen was on Little Moccasin Creek and a drainage
ditch that drained into the Little Moccasin Creek was heavily oiled
. See Exhibits A (Affidavit of
2
Thomas Powell), Exhibit B (October 10, 2003 photos) and Exhibit C (Request for Admission of
Fact Directed toward Ogoco, Inc
.).
9.
The discharge of salt water from Ogoco's wells into Little Moccasin Creek altered
its physical and chemical properties
. See Exhibits A (Affidavit of Thomas Powell) and Exhibit C
(Request for Admission of Fact Directed toward Ogoco, Inc
.) .
10 .
The discharge of salt water from Ogoco's wells caused offensive conditions in
the tributary because the waters contained bottom deposits and visible oil, and were discolored
and turbid . See Exhibits A (Affidavit of Thomas Powell) and Exhibit C (Request for Admission of
Fact Directed toward Ogoco, Inc .) .
11 .
On August 4, 2005, Complainant filed its complaint .
12 .
On May 23, 2006, Complainant mailed to Respondent a Request for Admission
of Fact . The Request for Admission of Fact was filed with the Board on May 26, 2006
.
13 .
Respondent has failed to respond to the Request for Admission of Fact .
ARGUMENT
The Respondent violated Sections 12(a) and 12(d) of the Act, 415 ILCS 5/12(a), (d)
(2004) and Sections 302 .203, 304
.105, and 304 .106 of the Board's Water Pollution Regulations
35 lll . Adm . Code 302 .203, 304 .105, 304.106 for releasing crude oil and salt water into waters
of the State . There are no genuine issues as to any material facts .
1)
The Respondent released crude oil and salt water in such a manner and place
as to create a water pollution hazard because it flowed approximately one-
quarter of a mile into Little Moccasin Creek
2)
The Respondent caused or allowed water pollution by releasing crude oil and
salt water into Little Moccasin Creek
3
3)
The Respondent's release caused offensive conditions in Little Moccasin Creek
in that there were visible oil and bottom deposits .
4)
The Respondent's release caused a violation of the applicable water quality
standards
.
Furthermore, Supreme Court Rule 216 and Section 101
.618 of the Board's Procedural
Rules, 35 III
. Adm . Code 101
.618, states that each of the matters of fact of which admission is
requested is admitted unless the party directed the admission files a verified response within 28
days
. In this case, the Respondent has failed to file a response to the Request for Admission of
Fact
. Therefore, all facts stated within the Request for Admission of Fact are admitted
.
VI
. IMPACT ON THE PUBLIC RESULTING FROM ALLEGED NON-COMPLIANCE
After the Board finds a violation, the Board considers the factors set forth in Section
33(c) of the Act, 415 ILCS 5133(c)(2004), to create an appropriate remedy
. Those factors are
:
1 .
the character and degree of injury to, or interference with the protection of the
health, general welfare and physical property of the people ;
2 .
the social and economic value of the pollution source
;
3.
the suitability or unsuitability of the pollution source to the area in which it is
located, including the question of priority of location in the area involved
;
4.
the technical practicability and economic reasonableness of reducing or
eliminating the emissions, discharges or deposits resulting from such pollution
source ; and
5 .
any subsequent compliance .
In response to these factors, the Complainant states the following
:
1 .
Human health and the environment were threatened by the Respondent's
release of crude oil and salt water
.
2.
There is a social and economic benefit to the Respondent's crude oil business
.
4
3 .
Pumping for oil and injecting saltwater into the oil wells is suitable for the area in
which they are operating .
4 .
Not allowing a release of crude oil and salt water is both technically practicable
and economically reasonable .
5.
Respondent has not subsequently complied with the Act and the Board
Regulations . Respondent took samples from the soil and sediment and had it analyzed for
BTEX and PNAs for the crude oil spill . However, the Respondent did not take samples for
analysis of sulfates and chlorides for the salt water spill .
VII. CONSIDERATION OF SECTION 42(h) FACTORS
To impose a civil penalty, the Board must consider the factors contained within Section
42(h) of the Act, 415 ILCS 5142(h)(2004)
. Those factors are :
1 .
the duration and gravity of the violation ;
2.
the presence or absence of due diligence on the part of the
respondent in
attempting to comply with requirements of this Act and regulations thereunder or
to secure relief therefrom as provided by this Act ;
3 .
any economic benefits accrued by the respondent because of delay in
compliance with requirements, in which case the economic benefits shall be
determined by the lowest cost alternative for achieving compliance ;
4
.
the amount of monetary penalty which will serve to deter further violations by the
respondent and to otherwise aid in enhancing voluntary
compliance with this Act
by the respondent and other persons similarly subject to the Act ;
5.
the number, proximity in time, and gravity of previously
adjudicated violations of
this Act by the respondent ;
6.
whether the respondent voluntarily self-disclosed, in accordance with subsection
i of this Section, the non-compliance to the Agency ; and
7 .
whether the respondent has agreed to undertake a "supplemental
environmental
project," which means an environmentally beneficial project that a respondent
agrees to undertake in settlement of an enforcement action brought under this
Act, but which the respondent is not otherwise legally required to perform .
5
In response to these factors, the Complainant states as follows
:
1 .
The Respondent cause or allowed the release of crude oil and salt water from its
facility . The releases were at some time before October 10, 2003
. On September 8, 2005,
Respondent took soil samples to analyze for BTEX and PNAs . All of the results met the TACO
cleanup objectives . However, to date, Respondent has not sampled the soil for chlorides and
sulfates in response to the salt water release .
2 .
Respondent was not diligent in attempting to come back into compliance with the
Act, Board regulations and applicable federal regulations .
3.
There was a nominal economic benefit for release of the crude oil and salt water
.
Complainant has determined, based upon the specific facts of this matter, that a
penalty of Twenty-Eight Thousand Dollars ($28,000 .00) will serve to deter further violations and
aid in future voluntary compliance with the Act and Board regulations .
5 .
To Complainant's knowledge, Respondent has no previously adjudicated
violations of the Act .
6 .
Respondent did not self report the violations nor timely file a notification of the
release .
7.
The adjudication of this matter does not include a supplemental environmental
project.
WHEREFORE, Complainant, People of the State of Illinois, respectfully requests that
the Board enter a final order :
A)
Granting Complainant's motion for summary judgment ;
6
B)
Finding that the Respondent, OGOCO, INC
., violated Sections 12(a), and 12(d),
of the Act, 415 ILCS 5/21(a), (d), (2004) and Sections 302
.203, 304 .105, and 304.106
of the
Board's Water Pollution Regulations 35 Ill
. Adm . Code 302 .203, 304
.105, 304 .106 ;
C)
Order the Respondent, OGOCO, INC
., to collect six (6) soil samples from the
drainage paths North of Moccasin Road and two (2) sediment samples in the drainage way
South of Moccasin Road, for a total of eight (8) samples and have the samples analyzed for
chlorides and sulfates
D)
Order the Respondent, OGOCO, INC
., to cease and desist from any further
violations of the Act and associated regulations
;
E)
Award the Complainant a penalty of $28,000 for the violations of the Act
;
F)
Grant such other relief as the Board deems appropriate
.
Respectfully submitted,
PEOPLE OF THE STATE OF ILLINOIS
LISA MADIGAN
ATTORNEY GENERAL
MATTHEW J
. DUNN, Chief
Environmental Enforcement/Asbestos
Litigation,,Division
BYKRISTEN
; .,, LAUGHRIDGE
GALE
Environmental Bureau
Assistant Attorney General
500 South Second Street
Springfield, Illinois 62706
217/782-7968
Dated
: July 24, 2006
7
n
l 2
~
. ~~~
~~~ ~
.~-
Lisa Madigan
A 1"FORNEY GENERAL
The Honorable Dorothy Gunn
Illinois Pollution Control Board
James R . Thompson Center, Ste . 11-500
100 West Randolph
Chicago, Illinois 60601
Re:
People v. OGOCO, Inc ., an Illinois corporation
PCB No
. 06-16
Dear Clerk Gunn :
Enclosed for filing please find the original and five copies of a NOTICE OF SERVICE OF
DISCOVERY DOCUMENTS, in regard to the above-captioned matter . Please file the original and
return a file-stamped copY of the documents to ouroffice in the enclosed, self-addressed envelope .
Thank you for your cooperation and consideration
.
RECEIVED
CLERK'S
OFFICE
MAY 2 6 2006
STATE OF ILLINOIS
OFFICE OF THE ATTORNEY GENERAL Pollution Control Board
STATE OF ILLINOIS
May 23, 2006
Very t~yours, ~ ,/
1001 East Main, Carbondale, Illinois 62901 - (618) 529-6400 • TTY. (618) 529-6403 • Fax : (618) 529-6416
Kristen Laughridge Gale
Environmental Bureau
500 South Second Street
Springfield, Illinois 62706
(217) 782-9031
KL/pp
Enclosures
PEOPLE'S
EXHIBIT
500 South Second Street, Springfield, Illinois 62706 •
(217) 782-1090 • TTY
: (217) 785-2771 •
Fax . (217) 782-7046
100 West Randolph Street, Chicago, Illinois 60601 • (312) 814-3000 • TTY . (312) 814-3374 •
Fax
: (312) 814-3806
BEFORE THE ILLINOIS POLLUTION CONTROL BOARD
PEOPLE OF THE STATE OF
)
ILLINOIS,
)
)
Complainant,
)
v .
)
OGOCO, INC ., an Illinois corporation,
)
Respondent .
)
500 South Second Street
Springfield, Illinois 62706
217/782-9031
Dated : May 23, 2006
RECEIVED
CLERK'S
OFFICE
MAY 2 6 2006
(Enforcement-Water)
Pollution
STATE OF
Control
ILLINOISBoard
PCB NO . 06-16
NOTICE OF SERVICE OF DISCOVERY DOCUMENTS
To :
Dorothy M. Gunn
Carol Webb
Clerk of the Board
Hearing Officer
Illinois Pollution Control Board
Illinois Pollution Control Board
100 West Randolph Street
1021 North Grand Avenue East
Suite 11-500
Springfield, IL 62794
Chicago, IL 60601
PLEASE TAKE NOTICE that I have today served on the Respondent, c/o William W
.
Austin, R .A ., 307 N . Third Street, Effingham, IL 62401-3467, and c/o William Niemeyer, Ogoco,
Inc., 16080 N . 1` Street, Beecher City, IL 61414, the following discovery document in the above-
referenced matter
.
1 .
REQUEST FOR ADMISSION OF FACT .
Respectfully submitted,
PEOPLE OF THE STATE OF ILLINOIS
LISA MADIGAN
Attorney General of the
State of Illinois
MATTHEW J . DUNN, Chief
Environmental Enforcement/Asbestos
Litigation Div'
n -
BY :
RISTEN LAUGHRIDGE GALE
Assistant Attorney General
Environmental Bureau
CERTIFICATE OF SERVICE
I hereby certify that I did on May 23, 2006, send by First Class Mail, with postage
thereon fully prepaid, by depositing in a United States Post Office Box a true and correct copy of
the following instruments entitled NOTICE OF SERVICE OF DISCOVERY DOCUMENTS and
REQUEST FOR ADMISSION OF FACT
To :
William W . Austin, R .A .
William Niemeyer
307 N . Third Street
Ogoco, Inc .
Effingham, IL 62401-3467
16080 N . 1"Street
Beecher City, IL 62414
and the original and five copies of the NOTICE OF SERVICE OF DISCOVERY DOCUMENTS was
sent by First Class Mail with postage thereon fully prepaid
To:
Dorothy Gunn, Clerk
Illinois Pollution Control Board
State of Illinois Center
Suite 11-500
100 West Randolph
Chicago, IL 60601
A copy was also sent by First Class Mail with postage thereon fully prepaid
To:
Carol Webb
Hearing Officer
Illinois Pollution Control Board
1021 North Grand Avenue East
Springfield, IL 62794
This filing is submitted on recycled paper .
isten Laughridge Gale
Assistant Attorney General
BEFORE THE ILLINOIS POLLUTION CONTROL BOARD
PEOPLE OF THE STATE OF ILLINOIS,
)
Complainant,
)
vs .
)
No. PCB 06-16
(Enforcement-Water)
OGOCO, INC ., an Illinois corporation,
)
Respondent .
)
REQUEST FOR ADMISSION OF FACT
The PEOPLE OF THE STATE OF ILLINOIS, ex rel . LISA MADIGAN, Attorney General
of the State of Illinois, pursuant to Supreme Court Rule 216 and Section 101
.618 of the Board's
Procedural Rules, 35 III . Adm . Code 101
.618 submits this request for the admission of the truth
of the following specified relevant facts within 28 days after service hereof
. Failure to respond
to the following requests to admit within 28 days may have severe consequences
. Failure to
respond to the following requests will result in all the facts requested being deemed admitted as
true for this proceeding . If you have any questions about this procedure, you should contact
the hearing officer assigned to this proceeding or an attorney :
At some time before October 10, 2003 on dates better known to the Defendant,
crude oil and salt water were released from two facilities operated by Ogoco, Inc . located on
Mocassin Road, near Little Mocassin Creek, in Effingham County, Illinois .
2.
Approximately 10 barrels of crude oil and 10 barrels of salt water were released
from the first facility, the David Reed #1 well and Reed #1 salt water disposal tank battery, due
to a leak in the well's firewall and the overflowing of the tank battery's firewall .
3.
Approximately 10 barrels of crude oil and 10 barrels of salt water were released
from the second facility, the Wachtel- Reed #2 tank battery, due to the overflowing of the tank
1
battery's firewall .
4.
The salt water is a produced fluid generated by Ogoco, Inc .'s oil production
activities and contains a large concentration of chlorides and varying amounts of petroleum
constituents .
5 .
The salt water and crude oil had been flowing out of the wells for several days
prior to October 10, 2003 .
6 .
The salt water and crude oil flowed through a pasture and a wooded area
approximately one-quarter of a mile and into Little Moccasin Creek
.
7.
On October 10, 2003, a sheen was on Little Moccasin Creek and a drainage
ditch that drained into the Little Moccasin Creek was heavily oiled .
8.
The discharge of salt water from Ogoco, Inc's wells into Little Mocassin Creek
altered its physical and chemical properties .
9 .
The discharge of salt water from Ogoco, Inc's wells caused offensive conditions
in the tributary because the waters contained bottom deposits and visible oil, and were
discolored and turbid .
Respectfully Submitted,
PEOPLE OF THE STATE OF ILLINOIS,
ex rel. LISA MADIGAN,
Attorney General of the State of Illinois
MATTHEW J . DUNN, Chief
Environmental Enforcement/
Asbestos Liti Lion
Division
By-
'KRISTEN
LAUGHRIDGE GALE
Assistant Attorney General
Environmental Bureau
500 South Second Street
Springfield, Illinois 62076
217/782-9031
Dated S 3/Q
2
