1 BEFORE THE ILLINOIS POLLUTION CONTROL BOARD
    2
    3
    4 IN THE MATTER OF:
    5
    6 PETITION OF SHELL WOOD RIVER REFINING
    7 COMPANY FOR AN ADJUSTED STANDARD FROM No. AS 98-6
    8 35 ILL. ADM. CODE 725.213 and 725.321
    9
    10
    11
    12
    13 Proceedings held on November 19, 1998 at 10:05
    14 a.m., at the Madison County Administration Building,
    15 157 North Main Street, Board Room 203, Edwardsville,
    16 Illinois, before the Honorable Charles A. King,
    17 Hearing Officer.
    18
    19
    20
    21 Reported by: Darlene M. Niemeyer, CSR, RPR
    CSR License No.: 084-003677
    22
    23
    24 KEEFE REPORTING COMPANY
    11 North 44th Street
    25 Belleville, IL 62226
    (618) 277-0190 1
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 A P P E A R A N C E S
    2
    3 ILLINOIS ENVIRONMENTAL PROTECTION AGENCY
    BY: Christopher P. Perzan
    4 Assistant Counsel, Bureau of Land
    1021 North Grand Avenue East
    5 Springfield, Illinois 62794-9276
    On behalf of the Illinois EPA.
    6
    ROSS & HARDIES
    7 BY: James T. Harrington, Esq.
    Charles W. Wesselhoft, Esq.
    8 150 North Michigan Avenue
    Chicago, Illinois 60601
    9 On behalf of Shell Wood River Refining
    Company.
    10
    11
    12
    13
    14
    15
    16
    17
    18
    19
    20
    21
    22
    23
    24
    25
    2
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 I N D E X
    2 WITNESS PAGE NUMBER
    3 JOSEPH N. BREWSTER 9
    4 KEVIN M. STEPHENSON 16
    5 ERIC S. PETERSEN 23
    6 CHRISTOPHER CAHNOVSKY 73
    7
    8 E X H I B I T S
    9 NUMBER MARKED FOR I.D. ENTERED
    10 Respondent's Exhibit 1 40 40
    Respondent's Exhibit 2 71 72
    11
    Petitioner's Exhibit 1 68 68
    12 Petitioner's Exhibit 2 69 69
    Petitioner's Exhibit 3 69 69
    13 Petitioner's Exhibit 4 70 70
    14
    15
    16
    17
    18
    19
    20
    21
    22
    23
    24
    25
    3
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 P R O C E E D I N G S
    2 (November 19, 1998; 10:05 a.m.)
    3 HEARING OFFICER KING: Good morning, everyone.
    4 This is the hearing on the petition of Shell Wood
    5 River Refining Company for an Adjusted Standard from
    6 35 Illinois Administrative Code, Section 725.213 and
    7 725.321. This is proceeding AS 98-6 for the Pollution
    8 Control Board.
    9 I am Charles King, the Hearing Officer. Also here
    10 this morning from the Pollution Control Board is Anand
    11 Rao from the Board's technical unit.
    12 The purpose of this hearing is to create a record
    13 for the Board to consider when they are evaluating
    14 this petition. There is not going to be any decision
    15 made this morning. All we are here to do today is to
    16 get the evidence on the record.
    17 First we will hear from Shell, and they will put
    18 on their case explaining what they want to do and why
    19 they think they are entitled to it. Then we will hear
    20 from the Illinois Environmental Protection Agency.
    21 After we have heard from the Agency, if anyone else
    22 wants to put any comments on the record, they will
    23 have that opportunity.
    24 Does anyone have any questions about the procedure
    25 we are going to follow this morning?
    4
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 MRS. WILLIAMS: They didn't get a packet like we
    2 did. Is there anymore that was given to us? We need
    3 about three more.
    4 HEARING OFFICER KING: Any other questions? Does
    5 everyone have a packet now that needs them?
    6 MRS. WILLIAMS: We need just one more.
    7 HEARING OFFICER KING: Okay. Do you have
    8 anymore?
    9 Okay. Then we will now go ahead and begin with
    10 Shell's case.
    11 MR. HARRINGTON: Good morning. My name is James
    12 Harrington. I am an attorney for Shell Wood River
    13 Refining Company, as it is named in the petition. And
    14 really the first order of business is to ask if we
    15 could amend on the record the name of the petitioner
    16 to Wood River Refining Company, a Division of Equilon,
    17 L.L.C, due to a corporate reorganization, which will
    18 be explained by Mr. Brewster in his testimony. There
    19 has been a change in the name of the entity operating
    20 the facility.
    21 HEARING OFFICER KING: We will put that in the
    22 record, and then we will deal with it in whatever
    23 order is entered after this hearing.
    24 MR. HARRINGTON: Thank you. At the Hearing
    25 Officer's suggestion, I will make a brief statement as
    5
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 to the nature of the relief we are seeking, and then
    2 we will proceed with our testimony. If the audience
    3 has trouble hearing me or any of the witnesses, please
    4 call my attention or the Hearing Officer's attention
    5 to it, and we will try to take steps to make sure that
    6 everyone can hear us.
    7 Essentially this is a petition for what is called
    8 an Adjusted Standard under Illinois law. That means
    9 that a generally applicable standard, in this case a
    10 standard on closing a certain water treatment
    11 facility, will be modified pursuant to the law to
    12 allow that facility to continue operating. The
    13 facility that we are dealing with in this case is part
    14 of Shell's wastewater treatment operation.
    15 At one time this facility, as Mr. Brewster and the
    16 other witnesses will explain, this facility treated
    17 the wastewater from the refinery and removed benzene
    18 through biological treatment, biologically breaking
    19 down the waste. Because of a change in the hazardous
    20 waste law, this type of treatment could no longer be
    21 done in this pond, and was moved to a new system of
    22 tank treatment where it is treated biologically and
    23 benzene is removed to meet all the federal standards.
    24 The wastewater from the new treatment facility then is
    25 discharged to the pond where there is additional
    6
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 treatment to remove ammonia and other biological
    2 degradable materials with no hazardous waste.
    3 The reason for the petition is that the law would
    4 require what is officially called closure, and that's
    5 a technical term in the law to -- for the pond, once
    6 it stopped receiving the benzene waste. However, the
    7 law also provides that the operator can ask the
    8 Pollution Control Board to allow them to continue to
    9 use the pond, provided that the hazardous waste has
    10 been removed, and there is no danger to the
    11 environment.
    12 That is what this petition is about, the right to
    13 continue to use this pond to treat nonhazardous
    14 waste. That is really the only issue that is before
    15 the Board at this time, and the only relief that Shell
    16 is seeking, is the right to continue to use this pond
    17 as a wastewater treatment system. The Agency, of
    18 course, is the respondent. They have a chance to
    19 respond to anything that the refinery advances at this
    20 hearing, and they have had a chance to file a written
    21 response to Shell's petition.
    22 They have made certain suggestions as to the
    23 relief that the refinery has sought, and those
    24 suggestions, in large part, have been agreed to by
    25 Shell, although there is one -- I think there is
    7
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 basically one minor difference left in the wording
    2 that the Board will have to resolve. Of course, the
    3 Board will consider all of the evidence in front of
    4 them, and whether it meets the requirements of the law
    5 in deciding whether relief is appropriate.
    6 With that, I would like to -- we have three
    7 witnesses present, and I would ask if we can swear in
    8 all three witnesses at this time.
    9 HEARING OFFICER KING: Ms. Niemeyer, could you
    10 please swear the witnesses.
    11 (Whereupon Mr. Brewster, Mr. Stephenson, and Mr.
    12 Petersen were sworn by the Notary Public.)
    13 MR. HARRINGTON: I propose that I present the
    14 direct testimony of all three witnesses to start, and
    15 that then they can be questioned after all three have
    16 testified, if that is acceptable to the Hearing
    17 Officer.
    18 HEARING OFFICER KING: Does anyone have any
    19 problems with that? Okay. That will be fine.
    20 MR. HARRINGTON: Okay. The first witness is Mr.
    21 Brewster.
    22 Mr. Brewster, will you state your full name for
    23 the record, please.
    24 MR. BREWSTER: Joseph Nathan Brewster.
    25 MR. HARRINGTON: I will show you what has been --
    8
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 what is labeled, Testimony Before the Illinois
    2 Pollution Control Board, J.N. Brewster, Manager.
    3 Is this your prepared testimony in this
    4 proceeding?
    5 MR. BREWSTER: Yes, it is.
    6 MR. HARRINGTON: I will ask you now to read it for
    7 the record.
    8 MR. BREWSTER: My name is Joe Brewster. I am the
    9 Manager of Environmental Conservation at the Wood
    10 River Refining Company and manage a staff of ten
    11 persons who are responsible for environmental
    12 regulatory compliance at the facility. My experience
    13 spans nearly 30 years, both at Wood River and in
    14 Shell's corporate offices in Houston. Almost all of
    15 this experience has been in the environmental area,
    16 including operations, process design, project
    17 engineering, regulatory development, environmental
    18 auditing, and in technical management.
    19 My professional qualifications include a
    20 Bachelor's degree in Civil Engineering and a Master's
    21 degree in Sanitary Engineering. Additionally, I am a
    22 registered professional engineer in the State of
    23 Illinois, and I hold membership in the American
    24 Academy of Environmental Engineers.
    25 My purpose this morning is to explain the reason
    9
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 that Wood River Refining Company has requested this
    2 adjusted standard for its continued use of Pond #2 at
    3 the wastewater treatment plant, and to cover the
    4 recent change in ownership of this facility to Equilon
    5 Enterprises, L.L.C.
    6 The reason for the change in Pond #2 Operation.
    7 The influent to Pond #2 historically received
    8 wastewater which at times exceeded the Toxicity
    9 Characteristic Leaching Procedure regulatory level for
    10 benzene, 0.5 milligrams per liter, and as such, Pond
    11 #2 was identified as an interim status hazardous waste
    12 surface impoundment effective September 1990.
    13 Pond #2 continued in interim status, meeting the
    14 definition of an aggressive biological treatment unit,
    15 until the end of March of 1995, when a tank-based
    16 biological system was placed into operation. From
    17 March 1994 until March 1995, Pond #2 was operated
    18 based on Shell's application for a RCRA Minimum
    19 Technology Requirements waiver, and the granting of a
    20 draft exemption from MTR by United States
    21 Environmental Protection Agency Region V. During this
    22 period, Shell met all of the conditions of the draft
    23 Minimum Technology Requirements waiver.
    24 A delay of closure for Pond #2 was initially
    25 submitted for Illinois Environmental Protection Agency
    10
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 review on September 28, 1994. The review was complete
    2 on June 19, 1995, with a request for Shell to address
    3 certain concerns regarding sludges remaining in the
    4 pond prior to filing a final petition. Shell Wood
    5 River Refining Company, Wood River Refining Company
    6 had been working with IEPA on the final review and
    7 format of the petition until its filing with the Board
    8 on March 16th, 1998.
    9 With the promulgation of the final Phase III Land
    10 Disposal Restrictions rule, issued by U.S. EPA on
    11 April 8, 1996, the receipt and treatment of
    12 characteristically hazardous wastewater in Pond #2 was
    13 prohibited. However, Pond #2 may still operate and
    14 receive nonhazardous wastewater provided that various
    15 conditions are met. In Illinois, the Pollution
    16 Control Board has retained the authority to make this
    17 decision. That is will to allow decharacterized
    18 wastewater to be received, using the adjusted standard
    19 as a procedural mechanism, 35 Illinois Administrative
    20 Code 725.213(e).
    21 In order for Wood River Refining Company to
    22 continue use of Pond #2 for treatment of nonhazardous
    23 wastewaters prior to discharge under its NPDES permit,
    24 a delay of closure must be granted by the adjusted
    25 standard process.
    11
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 Without this adjusted standard, Wood River
    2 Refining Company would be required to initiate RCRA
    3 interim status closure on Pond #2 and replace it with
    4 a tank-based system at a cost currently estimated at
    5 $32 million dollars, which is wholly disproportionate
    6 to any environmental benefit which can be achieved by
    7 closure of the unit.
    8 Compliance with federal law. The proposed relief
    9 complies with federal laws and regulations found at 40
    10 CFR 265.113. It is our understanding that the United
    11 States Environmental Protection Agency has been
    12 consulted on this issue and has indicated that this
    13 facility qualifies for the relief being sought.
    14 Company name change. Effective July 1st, 1998,
    15 Shell Oil Company, or Shell, and Texaco, Inc., have
    16 combined the major elements of their Western and
    17 Midwestern U.S. refining and marketing assets, as well
    18 as their total U.S. transportation and lubricants
    19 businesses into a new company called Equilon
    20 Enterprises, L.L.C., or Equilon, a Delaware Limited
    21 Liability Company. The Shell Wood River Refining
    22 Company, a legal entity separate from Shell but still
    23 a subsidiary of Shell, was transferred to Equilon on
    24 the aforementioned date of July 1, 1998. All
    25 references to the Shell Wood River Refining Company or
    12
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 Shell in the adjusted standard petition AS 98-6 should
    2 be changed to reflect the new ownership and new name
    3 of the subject facility. The facility name is now the
    4 Wood River Refining Company, a Division of Equilon
    5 Enterprises, L.L.C..
    6 Comments on IEPA's May 29, 1998 response. The
    7 Wood River Refining Company received a copy of IEPA's
    8 response, filed on May 29th, 1998, to our petition for
    9 an adjusted standard. After review, the Wood River
    10 Refining Company accepts their proposed modifications
    11 to the adjusted standard language which we proposed;
    12 however, Wood River Refining Company prefers to drop
    13 the last sentence of the language that IEPA proposed
    14 to add to the adjusted standard. The sentence
    15 proposed by IEPA that is at issue is: quote, in no
    16 event shall Shell allow the introduction of hazardous
    17 wastewaters into any portion of or appurtenance to
    18 Pond #2 which is unlined, close quote.
    19 The Wood River Refining Company does not have TCLP
    20 data on the wastewater until several days after the
    21 fact; therefore, the proposed language sets an
    22 impossible standard to guarantee given current plant
    23 conditions. The Wood River Refining Company believes
    24 it would be forced into lining the inlet ditch to Pond
    25 #2 in order to comply with an adjusted standard
    13
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 containing this sentence. The Wood River Refining
    2 Company believes that IEPA's concerns can be addressed
    3 adequately with the first sentence proposed for
    4 addition to the adjusted standard, which is: In the
    5 event that the Staged Biological Treatment tank system
    6 becomes inoperable or malfunctions, Shell shall take
    7 all appropriate measures to prevent the introduction
    8 of hazardous wastewaters into Pond #2.
    9 Proposed adjusted standard language. Based on the
    10 above comments, the Wood River Refining company is
    11 proposing the following adjusted standard:
    12 The Wood River Refining Company located near
    13 Roxana, Illinois, in Madison County is hereby granted
    14 an adjusted standard to the requirements of 35
    15 Illinois Administrative Code 725.213 for its Treatment
    16 Pond #2 that will allow Pond #2 to operate as a
    17 second-stage biological treatment unit, including
    18 nitrification, without closure, subject to the
    19 requirement that it file an adjusted standard with the
    20 Illinois Pollution Control Board, implement the
    21 contingent corrective measures plan in less than one
    22 year or cease accepting waste until the contingent
    23 corrective measures plan is implemented as indicated
    24 by the Board, and file reports with the Agency within
    25 35 days after a confirmed detection by the groundwater
    14
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 monitoring system of any release of hazardous
    2 constituent from the ponds. Wood River Refining
    3 Company shall also file semiannual reports with the
    4 Agency following a confirmed detection. If Wood River
    5 Refining Company fails to file said adjusted standard
    6 petition with the Board, and/or fails to implement the
    7 contingent corrective measures plan, this adjusted
    8 standard will terminate and closure of Pond #2 shall
    9 begin pursuant to the terms of the Closure Plan. In
    10 the event that the Staged Biological Treatment Tank
    11 system becomes inoperable or malfunctions, Wood River
    12 Refining Company shall take all appropriate measures
    13 to prevent the introduction of hazardous wastewaters
    14 into Pond #2. Finally, Wood River Refining Company
    15 shall test the influent to Pond #2 for benzene using
    16 the TCLP on a monthly basis, close quote.
    17 The correctness of Petition. We have reviewed the
    18 Petition for Adjusted Standard in this case, which is
    19 Exhibit Number 1, and find that except for the
    20 ownership change and change in proposed adjusted
    21 standard language, it was correct when filed and
    22 remains correct today.
    23 Thank you for your attention. I will be happy to
    24 answer any questions that you might have regarding my
    25 testimony. Mr. Kevin Stephenson will follow with a
    15
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 description of the operation of the wastewater
    2 treatment plant before and after the installation of
    3 our tank-based biological treatment system; and then
    4 Mr. Eric Petersen will conclude with the steps the
    5 Wood River Refining Company has taken to comply with
    6 the adjusted standard requirements and to answer
    7 concerns raised by the Illinois Environmental
    8 Protection Agency regarding the adjusted standard.
    9 Thank you.
    10 MR. HARRINGTON: Please state your full name for
    11 the record.
    12 MR. STEPHENSON: Kevin Michael Stephenson.
    13 MR. HARRINGTON: I will show you what is labeled,
    14 Testimony Before the Illinois Pollution Control Board,
    15 K. M. Stephenson, Operations Support Engineer, Wood
    16 River Refining Company.
    17 Is this your testimony in this proceeding?
    18 MR. STEPHENSON: Yes, it is.
    19 MR. HARRINGTON: Is it true and correct?
    20 MR. STEPHENSON: Yes.
    21 MR. HARRINGTON: Would you please read your
    22 testimony for the record.
    23 MR. STEPHENSON: My name is Kevin Stephenson. I
    24 have a B.S. in Chemical Engineering from the
    25 University of Illinois. I have been employed at the
    16
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 Wood River Refining Company since 1988 and have held
    2 various assignments in project engineering and as a
    3 process engineer at several processing units. Since
    4 August of 1996, I have been assigned as the operations
    5 support engineer for the Environmental Operations and
    6 Utilities areas.
    7 My purpose this morning is to explain the
    8 operation of the wastewater treatment plant before and
    9 after the installation of the tank-based staged
    10 biological treatment system and to discuss the benzene
    11 exceedance from the Staged Biological Treatment
    12 System, or SBTS, on June 6, 1998.
    13 Former wastewater treatment operation. Between
    14 the second quarter of 1994 and March 1995, the
    15 Wastewater Treatment Plant was configured and operated
    16 as described below:
    17 Process wastewaters and first-flush stormwater
    18 entered the lift station where pumps raised the
    19 wastewater to neutralization and primary oil/water
    20 separation units including corrugated plate
    21 interceptor units and dissolved nitrogen flotation
    22 units. Following the primary section, the wastewater
    23 flowed to a large equalization tank where any spikes
    24 in hydraulic and/or organic material loading were
    25 dampened in order to minimize any upsets to downstream
    17
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 processes. In this original design, the wastewater
    2 leaving the equalization tank was then sent to the
    3 aggressive biological treatment unit, Pond #2.
    4 Pond #2 construction and function. Pond #2 was
    5 constructed by below-grade excavation in a clay bed
    6 and placed into service in 1972. It was constructed
    7 to be approximately 12 feet deep, and was originally
    8 lined with a three inch layer of asphalt, but did not
    9 meet the double liner and leachate collection
    10 standards currently applicable to hazardous waste
    11 units as specified in 35 IAC 725.321(a).
    12 Pond #2 is an aerated surface impoundment
    13 occupying approximately one and a half acres with a
    14 holding capacity in excess of 4 million gallons. As
    15 originally operated, activated sludge in Pond #2
    16 treated organic contaminants in the wastewater.
    17 Nitrification of the effluent also occurred such that
    18 the treated water met NPDES discharge limits. As
    19 originally configured and currently operated, from
    20 Pond #2 the treated water went and still goes to the
    21 clarifiers for solids removal and then is routed to
    22 the final polishing lagoons prior to discharge to the
    23 Mississippi River.
    24 Current wastewater treatment operation. Since the
    25 installation and startup of the tank-based Staged
    18
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 Biological Treatment System in March of 1995, the
    2 Wastewater Treatment Plant is configured and operated
    3 as described below:
    4 Compounds treated and method of treatment.
    5 Process wastewaters and first-flush stormwater enter
    6 the lift station where pumps raise the wastewater to
    7 neutralization and primary oil/water separation units
    8 including CPI, corrugated plate interceptor, units and
    9 any dissolved nitrogen flotation units. Following the
    10 primary section, the wastewater flows to a large
    11 equalization tank where any spikes in hydraulic and/or
    12 organic material loading are dampened in order to
    13 minimize any upsets to downstream processes. The
    14 wastewater leaving the equalization tank is then sent
    15 to the first-stage biological treatment unit upstream
    16 of Pond #2 for treatment and removal of the hazardous
    17 characteristic.
    18 The first-stage unit is a system of two tanks in a
    19 series. The first is a basin in which return
    20 activated sludge from the clarifiers mixes with the
    21 raw effluent from the equalization tank; and the
    22 second is the aeration tank in which the mixture from
    23 the first tank is subjected to jet aeration, such that
    24 the biodegradation of benzene and other components in
    25 the wastewater occurs. The treated and
    19
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 decharacterized water exits the second tank and is
    2 conveyed via the inlet ditch to Pond #2 for secondary
    3 aggressive biotreatment.
    4 Pond #2 function. In the current mode of
    5 operation, Pond #2 is used for secondary aggressive
    6 biological treatment of parameters in the wastewater
    7 that have a longer biodegradation time period and also
    8 for nitrification of the wastewater in order for the
    9 effluent from Pond #2 to meet NPDES discharge limits.
    10 From Pond #2, the treated water goes to the clarifiers
    11 for solids removal and then on to the final polishing
    12 lagoons prior to discharge to the Mississippi River.
    13 Explanation of June sampling anomaly. Enclosed as
    14 Table 1 to my testimony are the SBTS inlet and outlet
    15 data from March of 1997 to present, through October of
    16 1998. The SBTS outlet is analyzed by the TCLP in
    17 accordance with the Wood River Refining Company's
    18 waste analysis plan. Of the 60 samples, other than an
    19 apparent mislabeling of the inlet and outlet samples
    20 from June 7, 1997, there is only one result indicating
    21 that the SBTS outlet wastewater or inlet to Pond #2
    22 via the inlet ditch, met or exceeded the regulatory
    23 level of 0.5 milligrams per liter of benzene.
    24 This sample result from June 6, 1998 is believed
    25 to be real and related to a spike in oil and grease
    20
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 loading in the wastewater being processed on this
    2 date. Higher levels of oil and grease in the
    3 wastewater entering the SBTS without concurrent
    4 increases in oxygen supply impact the ability of
    5 biomass to degrade organic constituents such as
    6 benzene. One way to measure oil and grease loading in
    7 the field is by turbidity units. On the evening of
    8 June 5th, at approximately 10:00 p.m., a spike in
    9 turbidity on the DNF units occurred indicating a
    10 substantially higher than normal O&G loading passing
    11 through the system. We believe the source to be
    12 either the wastewater from the distilling unit
    13 desalters or from draining high total organic carbon
    14 waters from the holding tanks located at the
    15 wastewater treatment plant. This spike would have
    16 reached the SBTS during the daylight hours on June
    17 6th.
    18 Several steps have been implemented to prevent a
    19 recurrence of inadequate treatment levels in the
    20 SBTS. First, the turbidity of the water coming into
    21 the wastewater treatment plant via the enclosed
    22 wastewater header is being monitored each shift. This
    23 was not monitored prior to September of 1998.
    24 Guidelines have been put into place with the treatment
    25 plant operators to limit turbidity impacts of draining
    21
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 water from the holding tanks at the wastewater
    2 treatment plant. Lastly, a test run is underway to
    3 see if a new polymer additive will improve DNF oil and
    4 grease removal efficiencies. Any unusual increase in
    5 turbidity will trigger upstream source control
    6 investigation to find and stop the source. If a spike
    7 does occur, steps can be taken to reduce the forward
    8 flow rate into the biotreater in order to increase
    9 residence time for biotreatment as well as placing an
    10 additional blower on-line to increase air flow into
    11 the SBTS.
    12 Thank you for your attention. Eric Petersen will
    13 now discuss steps that Wood River Refining Company has
    14 taken to comply with the adjusted standard
    15 requirements and to address IEPA's comments and
    16 concerns regarding the regulatory status of inlet
    17 ditch to Pond #2. I will be happy to answer any
    18 questions that you might have regarding my testimony.
    19 Thank you.
    20 MR. HARRINGTON: Mr. Petersen, will you please
    21 state your full name for the record.
    22 MR. PETERSEN: Eric Scott Petersen.
    23 MR. HARRINGTON: I will show you what is labeled,
    24 Testimony Before the Illinois Pollution Control Board,
    25 November 19, 1998, E. S. Petersen, Senior Engineer.
    22
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 Is that your testimony in this proceeding?
    2 MR. PETERSEN: Yes, it is.
    3 MR. HARRINGTON: Is it true and correct?
    4 MR. PETERSEN: Yes, it is.
    5 MR. HARRINGTON: Would you please read your
    6 testimony into the record? Thank you.
    7 MR. PETERSEN: My name is Eric Petersen. I have a
    8 B.E. in Chemical Engineering from Vanderbilt
    9 University and a Juris Doctor from St. Louis
    10 University, and am a member of both the Illinois and
    11 Missouri Bar. I have been employed at Shell's Norco,
    12 Louisiana refinery and also the Wood River Refining
    13 Company since 1984 and have held various assignments
    14 as a computer support engineer, project engineer, and
    15 process engineer at several processing units. Since
    16 January of 1990 I have been assigned to the
    17 Environmental Conservation Department at Wood River
    18 specializing in RCRA and benzene waste operations
    19 NESHAP regulatory compliance.
    20 My purpose this morning is to explain the steps
    21 that Wood River Refining Company has taken to comply
    22 with the adjusted standard requirements, to respond to
    23 Illinois EPA's comments and concerns regarding the
    24 operation and regulatory status of the inlet ditch at
    25 the wastewater treatment plant, and to explain the
    23
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 steps that Wood River Refining Company will take to
    2 prevent releases of hazardous waste to the environment
    3 under this adjusted standard.
    4 Steps taken to comply with requirements of 35
    5 Illinois Administrative Code 725.213(e). Pond #2 does
    6 not have a double liner or leachate collection
    7 system. In order for Pond #2 to receive nonhazardous
    8 wastes as authorized under an adjusted standard, Wood
    9 River Refining Company has complied with the following
    10 requirements:
    11 A, sludge removal. There are no hazardous waste
    12 sludges, solids or liquids in Pond #2 to be removed.
    13 The pond, an aggressive biological treatment unit,
    14 acts as a continuous-mix reactor and degrades the
    15 organic contaminants as they enter the units. The 14
    16 aerators in the pond provide adequate horsepower to
    17 keep the biosolids in suspension and to keep the pond
    18 mixed. Information supporting this statement was
    19 provided to the Illinois EPA by letter on May 28,
    20 1997, which is attached hereto as Attachment A.
    21 B, sampling. What little sludge that may settle
    22 to the bottom of the pond has been sampled and tests
    23 out as nonhazardous. During 1993, sludge samples were
    24 obtained from the bottom of Pond #2 for the express
    25 purpose of TCLP hazardous characteristics testing.
    24
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 Three sampling locations were used. All the sample
    2 results showed the sludge to be RCRA nonhazardous.
    3 Additionally, the biological sludge has been tested
    4 after it has been filter pressed to create a solid for
    5 landfill disposal. The test results for the material
    6 show it to be nonhazardous. This information and the
    7 analytical results were provided to the Illinois EPA
    8 via facsimile and mail on January 15th, 1998, a copy
    9 of which is attached hereto as attachment B.
    10 C, contingent corrective measures plan. The
    11 contingent corrective measures plan incorporates the
    12 requirements of a corrective action plan, details of
    13 which were provided to the Illinois EPA for Pond #2 in
    14 the RCRA Part B submittals for this unit. This
    15 document is Attachment Number 5 of the Adjusted
    16 Standard Petition. Additionally, a groundwater
    17 detection monitoring program for this area was
    18 initiated in the third quarter of 1991. The Wood
    19 River Refining Company is committed to following this
    20 program throughout the period of the adjusted
    21 standard. If any contamination is found in the
    22 groundwater which could have come from the use of the
    23 pond, the Wood River Refining Company is proposing to
    24 implement a program of Corrective Measures Study in
    25 order to develop the appropriate corrective measures
    25
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 for the detected contamination. This proposal was
    2 made in conjunction with the Alternate Source
    3 Demonstration sent to the U.S. EPA on August 11,
    4 1993. The Alternate Source Demonstration is
    5 Attachment Number 7 of the Adjusted Standard
    6 Petition.
    7 Response to Illinois EPA concerns regarding inlet
    8 ditch. A, background and additional sampling
    9 completed. During an on-site visit on January 21,
    10 1998, IEPA representatives raised several issues and
    11 concerns regarding the operation of the SBTS/Pond #2
    12 and the status of the conveyance between the two, the
    13 inlet ditch. IEPA's concerns, the numbered questions,
    14 and our responses, which were sent February 10, 1998,
    15 follow in both this and the following section.
    16 Question number 1, are any other wastewater
    17 streams mixed with the SBTS outlet prior to the
    18 effluent entering the inlet ditch? Similarly, is
    19 sampling at the inlet ditch equivalent to sampling the
    20 overflow weir at the SBTS tank.
    21 There are no other wastestreams which tie into the
    22 treated effluent from the SBTS prior to entering the
    23 inlet ditch to Pond #2. Sampling at the pipe
    24 discharge to the inlet ditch is equivalent to sampling
    25 the overflow weir in the SBTS.
    26
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 Is the inlet ditch lined? What would it take to
    2 line the ditch? Are there any hazardous wastes in the
    3 ditch?
    4 The response, the inlet ditch to Pond #2 was also
    5 constructed via below-grade excavation within a
    6 predominately clay layer of approximately 12 foot
    7 thickness. The inlet ditch to pond #2 is roughly 6
    8 feet deep, half as deep as the pond, and is unlined
    9 except with the natural clay into which it was dug.
    10 In order to line the inlet ditch to Pond #2, Shell
    11 would have to isolate the ditch from the Pond via
    12 sewer plugs or "balloons" and pump out the ditch and
    13 allow it to dry. Temporary piping and diesel pumps
    14 would have to be installed in order to transfer the
    15 SBTS effluent to the inlet to Pond #2. Grading and
    16 preparation of the ditch for either an asphalt liner
    17 or concrete tile would have to occur prior to actual
    18 placement of the liner.
    19 The delay of closure provisions do not require
    20 that the inlet ditch be lined in order to receive
    21 nonhazardous wastes under an adjusted standard. The
    22 inlet ditch may continue in its current use so long as
    23 all the hazardous liquids/sludges have been removed,
    24 without impairing the integrity of a liner, if any
    25 existed. 35 Illinois Administrative Code
    27
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 725.213(e)(2). The inlet ditch never received any
    2 listed hazardous wastes. The ditch was scoured and
    3 emptied of waste biosludges and silt in 1994 for
    4 hydraulic capacity reasons, in conjunction with
    5 various RCRA and NESHAP activities at the wastewater
    6 treatment plant.
    7 Wood River Refining Company implemented a sampling
    8 program in October of 1998 to test both the sludges
    9 and underlying clay in the inlet ditch. The results
    10 of that testing are included as Attachment C to this
    11 testimony. The sludges do not fail any hazardous
    12 characteristic test parameters. There is no hazardous
    13 waste stored in the inlet ditch.
    14 B, efforts taken to prevent releases to inlet
    15 ditch. The unlined inlet ditch receives the treated
    16 effluent from the first-stage SBTS tanks. At this
    17 point in the process, the benzene characteristic of
    18 the wastewater will have been removed. Wood River
    19 Refining Company samples the SBTS effluent at the
    20 inlet ditch on three consecutive days each month and
    21 analyzes the stream via the TCLP, specifically for
    22 benzene.
    23 The SBTS process was designed with extra equipment
    24 and redundant systems to guard against loss of
    25 biological treatment. Under normal operating
    28
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 conditions, all major equipment and systems,
    2 recirculation pumps, blowers, return activated sludge
    3 and incoming electrical supply, have available
    4 spares. The system is designed to meet treatment
    5 requirements for benzene under normal organic loading
    6 conditions even if both recirculation pumps are out of
    7 service and two of three blowers are out of service.
    8 If there is a known operating problem at the SBTS
    9 which could jeopardize treatment efficiency, or if
    10 there is a maintenance need, the Wood River Refining
    11 Company would store all wastewater in diversion tank
    12 A-149 at the front end of the wastewater treatment
    13 plant and cease forward flow to the treatment
    14 section. A-149 has the capacity to store 24 hours of
    15 normal wastewater flow from the refinery. Maintenance
    16 on the SBTS would occur on an expedited basis during
    17 this timeframe.
    18 Question number three, what contingencies are in
    19 place to handle an extended outage, greater than 24
    20 hours, of the SBTS such that the inlet ditch would not
    21 receive characteristically hazardous wastewater?
    22 In the event that the SBTS was out for an extended
    23 or greater than 24 hour period of time such that we
    24 exceed our ability to contain all wastewater from the
    25 refinery in tank A-149, the Wood River Refining
    29
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 Company would elect to discharge from A-149 directly
    2 into Pond #2. In the event that A-149 held off-spec
    3 wastewater, the Wood River Refining Company would
    4 discharge from the DNF effluent sumps directly to Pond
    5 #2 and tank A-149 would be full and bypassed. The
    6 inlet ditch to Pond #2 would be used to receive and
    7 transport return activated sludge from the clarifiers
    8 to Pond #2. As such, the inlet ditch would not see
    9 any forward flow of untreated wastewater although the
    10 level of the ditch would ride on the level of Pond
    11 #2.
    12 Under this scenario, impact on the environment
    13 would be very minimal. Any benzene in the wastewater
    14 will be biodegraded in Pond #2 which has an asphalt
    15 liner and is situated in a clay bed. The inlet ditch
    16 to Pond #2 will not manage untreated wastewater. Any
    17 hypothetical release of a hazardous constituent of
    18 wastewater from the inlet ditch to groundwater would
    19 be unlikely due to the nonporous nature of the clay
    20 underlying the ditch. Regardless, the set of
    21 monitoring wells surrounding the impoundments at the
    22 wastewater treatment plant will indicate whether or
    23 not a release to the environment has occurred, which
    24 will trigger further actions on the part of the Wood
    25 River Refining Company under an adjusted standard.
    30
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 C, regulatory status of unlined inlet ditch. The
    2 Illinois Environmental Protection Agency has raised
    3 the issue regarding the regulatory status of the inlet
    4 ditch in the context of whether it needs to be
    5 incorporated as a new unit in the RCRA Part B permit
    6 application for the ponds at the wastewater treatment
    7 plant, which is pending final review and action. Wood
    8 River Refining Company considers the inlet ditch to
    9 Pond #2 to be an appurtenance to the pond, and not as
    10 a separate unit. Wood River Refining Company intends
    11 for the adjusted standard to cover the inlet ditch as
    12 well as Pond #2 and that this pond and ditch
    13 combination be handled as one distinct unit for
    14 permitting and closure purposes.
    15 An updated Part B permit application will be
    16 submitted in May of 1999 and will incorporate the
    17 decision of the Board regarding the regulatory status
    18 and future uses of Pond #2.
    19 Thank you for your attention. This concludes the
    20 testimony of the Wood River Refining Company. I will
    21 be happy to answer any questions that you might have
    22 regarding my testimony. Thank you.
    23 MR. HARRINGTON: This concludes our presentation
    24 at this time. The witnesses will be happy to take
    25 questions before I move for the admission of the
    31
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 exhibits.
    2 HEARING OFFICER KING: All right. Are there any
    3 questions for any of Shell's witnesses?
    4 MR. PERZAN: Mr. Hearing Officer, I have some
    5 questions.
    6 HEARING OFFICER KING: I note there are questions
    7 up here, too. We will get to you --
    8 MR. WILLIAMS: I want to ask a question about this
    9 asphalt liner.
    10 HEARING OFFICER KING: All right. Please state
    11 your name for the court reporter.
    12 MR. WILLIAMS: Darrell Williams, south of Roxana,
    13 a neighbor to Shell. The asphalt liner, three inches
    14 of asphalt, we have all walked on asphalt and seen
    15 asphalt. It is not safe. One cold joint -- see, I
    16 laid asphalt for years. One cold joint, hot asphalt,
    17 the next load comes in cold, when it hooks together it
    18 don't bind. You are going to have seepage in your
    19 waterways and get into the water and travel. That is
    20 not a proper way. The liner is the best way to go. I
    21 would never buy an asphalt liner of three inches.
    22 HEARING OFFICER KING: Well, sir, there will be an
    23 opportunity at the end of the hearing for you to make
    24 any comments you want. At this point it is if you
    25 have specific questions for any of these gentlemen.
    32
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 MR. WILLIAMS: Well, I asked them about the
    2 asphalt. Do they think that is safe or not?
    3 HEARING OFFICER KING: Okay. Does anyone want to
    4 respond to that?
    5 MR. BREWSTER: The integrity of the Pond really
    6 depends on the combination of the asphalt liner and
    7 the clay layer in which it is situated, and then the
    8 assurance that is provided by the groundwater
    9 monitoring system that there has not been releases to
    10 the groundwater from the Pond. It is a combination of
    11 all of these which is the assurance.
    12 MR. RAO: May I ask a follow-up question? Could
    13 you tell us a little bit more about the clay liner,
    14 explain how thick it is, and how it protects the
    15 groundwater?
    16 MR. BREWSTER: Those exact details I don't recall
    17 from memory. They are available and can be gotten for
    18 the Board?
    19 MR. RAO: Yes, if it is helpful for the public to
    20 understand how the clay liner protects the
    21 groundwater.
    22 MR. BREWSTER: It is not a clay liner. It is a
    23 clay --
    24 MR. RAO: Yes, situated in clay.
    25 MR. BREWSTER: Right.
    33
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 HEARING OFFICER KING: Mr. Perzan, I think you
    2 were next.
    3 MR. PERZAN: Thanks. My name is Christopher
    4 Perzan. I am an attorney with the Illinois EPA. I
    5 have a few questions, first for Mr. Brewster.
    6 In regard to your comment on our proposed
    7 condition that you objected to, I have one sort of
    8 related question. Do the terms of the adjusted
    9 standard that Shell has requested allow Shell to --
    10 actually I am saying Shell. I should say Wood River
    11 Refining Company. Sorry. But do those terms allow
    12 Wood River to accept hazardous wastes in any portion
    13 of Pond #2 or the inlet ditch?
    14 MR. BREWSTER: My understanding would be no.
    15 MR. PERZAN: So that the condition which said that
    16 no hazardous wastewater shall go into any unlined
    17 portion is actually something that would be required
    18 anyway under the terms of this adjusted standard,
    19 would you agree with that statement?
    20 MR. HARRINGTON: I think we are getting into legal
    21 interpretation, and I can state the adjusted standard
    22 does not make a provision to allow it, absent the
    23 condition that the Agency is asking for, and wouldn't
    24 be a specific prohibition of the adjusted standard.
    25 It would be found in the general environmental law.
    34
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 If that answers the question, or Mr. Brewster can give
    2 his understanding of it.
    3 HEARING OFFICER KING: Does that answer your
    4 question, Mr. Perzan?
    5 MR. PERZAN: I would like to hear from Mr.
    6 Brewster.
    7 MR. BREWSTER: That would be my understanding
    8 also. The prohibition is in the regulations.
    9 MR. PERZAN: Thank you.
    10 HEARING OFFICER KING: Any other questions?
    11 MR. PERZAN: One follow-up question, I guess. Is
    12 it your understanding that that condition adds
    13 anything beyond what is otherwise required?
    14 MR. BREWSTER: The sentence at issue here, the
    15 last sentence that was proposed for addition?
    16 MR. PERZAN: Yes.
    17 MR. BREWSTER: It would appear to us that you
    18 would add something above and beyond what is required
    19 under the adjusted standard.
    20 MR. PERZAN: So you do think that this condition
    21 imposes something beyond what would otherwise be
    22 required?
    23 MR. BREWSTER: In reality, it puts us in an
    24 untenable position, we believe. Where, as I explained
    25 in my testimony, testing would show after the fact
    35
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 that something occurred.
    2 MR. PERZAN: Okay. Thank you. I have a couple
    3 other quick questions. You mentioned the draft MTR
    4 waiver from the U.S. EPA. Was that ever finalized?
    5 MR. BREWSTER: No, sir. To our understanding it
    6 was not.
    7 MR. PERZAN: You also mentioned that it was your
    8 understanding that the U.S. EPA had been consulted and
    9 has indicated that the facility qualifies for the
    10 relief being sought. On what do you base that
    11 understanding?
    12 MR. BREWSTER: We had earlier discussions with the
    13 U.S. EPA, and it is also our understanding that the
    14 Illinois EPA had discussions with the U.S. EPA and
    15 came to the same conclusion.
    16 MR. PERZAN: Okay. Thank you.
    17 HEARING OFFICER KING: Do you have any other
    18 questions?
    19 MR. PERZAN: Yes, I have questions for each of the
    20 witnesses.
    21 Mr. Stephenson, I would like to refer you to the
    22 exhibit that you have attached to your testimony.
    23 When you look at the sampling results over time,
    24 occasionally you see, and example is February 6th, 7th
    25 and 8th, and you see slightly higher numbers than at
    36
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 other times.
    2 MR. STEPHENSON: Uh-huh.
    3 MR. PERZAN: Do you have any kind of explanation
    4 or understanding as to why that happens?
    5 MR. STEPHENSON: I think it is just normal
    6 variations.
    7 MR. PERZAN: So it is fairly common?
    8 MR. STEPHENSON: Yes, it is common to have
    9 fluctuations.
    10 MR. PERZAN: Is it related to anything other than
    11 the oil and gas incident that you discussed, do you
    12 think?
    13 MR. STEPHENSON: Not to the best of my knowledge.
    14 MR. PERZAN: I should have said oil and grease.
    15 Have you done any steps to assess the overall
    16 functioning of the SBTS other than the ones you have
    17 covered in your testimony recently, say last year?
    18 MR. STEPHENSON: Yes, we have. We have done some
    19 testing of the oxygen transfer efficiency.
    20 MR. PERZAN: Can you explain that a little, as to
    21 why that came up and what you found.
    22 MR. STEPHENSON: That was as a follow-up to the
    23 benzene results. We wanted to look at -- the oxygen
    24 transfer was a function of grading the benzene, if it
    25 was limiting us. The conclusions that we have come to
    37
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 so far is it is not a major function.
    2 MR. PERZAN: Okay. Thank you. Mr. Petersen,
    3 first I have a quick clarification question. You
    4 recited some of the questions that we had, some
    5 communications that we had back and forth during the
    6 pendency of this. And I would just like to ask you
    7 whether you think that the response that we filed
    8 required or requested that the Board require that Wood
    9 River Refining Company line the inlet ditch.
    10 MR. PETERSEN: No, I don't believe that it
    11 required that.
    12 MR. PERZAN: Okay. With regard to the inlet
    13 ditch, how deep is that?
    14 MR. PETERSEN: I believe it is approximately six
    15 feet deep.
    16 MR. PERZAN: Now, it is our understanding, and I
    17 guess you can confirm this for us, that based on some
    18 documents submitted with the petition that there is a
    19 layer of film material composed of a mixture of sand
    20 and construction debris and some clay that goes from
    21 about four to five feet from grade, about four to five
    22 feet down throughout the area where the wastewater
    23 treatment plant is located specifically where the
    24 ponds are. Would you agree with that?
    25 MR. HARRINGTON: Would you read back the question,
    38
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 please?
    2 MR. PERZAN: Well, let me rephrase the question.
    3 Is there a film material consisting of clay, sand and
    4 some construction debris extending four to five feet
    5 below grade at the location of the ponds?
    6 MR. PETERSEN: I don't have the detailed soil
    7 borings in front of me, so I really can't answer that
    8 question right now.
    9 MR. PERZAN: Would it help if you had a document?
    10 I have a copy of a document that was included as part
    11 of the draft MTR waiver determination or the response
    12 to that.
    13 MR. PETERSEN: Yes, it should.
    14 MR. PERZAN: Now, this document is titled,
    15 generalized subsurface profile for Pond #1 and Pond
    16 #2. Would you please take a look at that.
    17 MR. PETERSEN: Based on the figure that was given,
    18 it appears that the upper of several feet ranged
    19 anywhere from clay, silty clay, to gravel, that is
    20 correct.
    21 MR. PERZAN: Thank you. I have marked this as
    22 Respondent's 1. I would like to -- would you like me
    23 to offer this for the record? I think I would like to
    24 make this part of the record.
    25 HEARING OFFICER KING: Is there any objection to
    39
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 the admission of this as Respondent's Exhibit Number
    2 1?
    3 MR. PERZAN: I will state that it is part of the
    4 petition now, and part of the attachments --
    5 MR. HARRINGTON: No objection.
    6 MR. PERZAN: -- just to make the record clear.
    7 HEARING OFFICER KING: Okay. Do you have an
    8 official copy for the record?
    9 (Whereupon said document was admitted into
    10 evidence as Respondent's Exhibit 1 as of this
    11 date.)
    12 MR. PERZAN: So the ditch now, Mr. Petersen, does
    13 not have a liner, correct?
    14 MR. PETERSEN: That is correct.
    15 MR. PERZAN: Would you agree that to the extent
    16 that the ditch is located within the fill material
    17 there might be the potential for a lateral migration
    18 of constituents that were in the ditch into the fill
    19 material?
    20 MR. HARRINGTON: Would you read back the
    21 question.
    22 (Whereupon the requested portion of the record was
    23 read back by the Reporter.)
    24 MR. PETERSEN: The potential for lateral migration
    25 into the fill material, in my opinion, would exist,
    40
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 but remember that there is still a clay layer between
    2 it and the groundwater.
    3 MR. PERZAN: One more question with regard to the
    4 sampling of the inlet ditch that you performed. Would
    5 you know the volume of the sludges that were collected
    6 during the -- when the soil samples were taken?
    7 Apparently, some sludge was taken as a part of that.
    8 Would that information be available somewhere.
    9 MR. PETERSEN: Are you asking for the amount of
    10 sample that the consultants pulled up and sent to the
    11 laboratory? Is that what you are asking?
    12 MR. PERZAN: I think what we are trying to get at
    13 is how much sludge is in the ditch.
    14 MR. PETERSEN: I don't have the information. If
    15 you are asking about a sludge profile along the length
    16 of the inlet ditch, I can go back and see if we had
    17 actual thickness, if that is what you are looking for.
    18 MR. PERZAN: Yes.
    19 MR. PETERSEN: I don't have that with me right
    20 now, but I will go back and see if I can get that and
    21 submit it to you after the hearing.
    22 MR. PERZAN: Thank you. That's all I have.
    23 HEARING OFFICER KING: Okay. Thanks. We have
    24 some more questions from audience members in the
    25 back. Please state your name for the court reporter,
    41
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 sir.
    2 MR. HUBBARD: Thank you. Good morning. My name
    3 is Edward Hubbard. I am a resident of south Roxana.
    4 I don't know which one of you gentlemen for the
    5 refinery spoke, but you said due to current plant
    6 conditions it was not cost effective for you to
    7 basically delete or get rid of your pond. How much
    8 would that cost?
    9 MR. BREWSTER: This is Joe Brewster. I made that
    10 statement. We made an estimate of that. It is $32
    11 million dollars, as I attested to in my testimony.
    12 MR. HUBBARD: You say $32 million dollars to fill
    13 in a nonhazardous pond.
    14 MR. BREWSTER: No, sir. That is mostly the cost
    15 of replacing its functionality with another unit.
    16 MR. HUBBARD: Okay. Also in your Tank A, you said
    17 that if things did go wrong you had a 24 hour capacity
    18 for the refinery itself. Does this include the waste
    19 from Roxana or the proposed new power plant that is
    20 going to be built?
    21 MR. BREWSTER: The waste from the Village of
    22 Roxana does not enter into Shell Wood River Refining
    23 Company's wastewater treatment plant at this stage.
    24 It discharges below this wastewater treatment plant,
    25 so that's not a factor. The proposed plant, the
    42
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 levels of wastewater have not been established yet
    2 from it. But I believe from the numbers that I have
    3 been seeing that the 24 hours would still be the
    4 correct figure.
    5 MR. HUBBARD: So for your testimony now that it
    6 held a 24 hour capacity was wrong, correct?
    7 MR. BREWSTER: I am sorry? What was the
    8 question?
    9 MR. HUBBARD: The question was I guess it was you,
    10 sir, that made a statement that you currently had a 24
    11 hour capacity in Tank A for the refinery itself. I
    12 asked you whether or not that included the proposed
    13 power plant waste also.
    14 MR. BREWSTER: And the answer is, no, it does not
    15 include the proposed power plant.
    16 MR. HUBBARD: Are there plans to build another
    17 tank so you do have 24 hour capacity whenever the
    18 power plant goes into full swing?
    19 MR. BREWSTER: The design details around the power
    20 plant are not at that stage. They are still very
    21 preliminary.
    22 MR. HUBBARD: Do you believe that the Illinois EPA
    23 has been unfair with Shell over the years?
    24 MR. BREWSTER: What was the question?
    25 MR. HUBBARD: Do you believe that the EPA
    43
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 standards that has been set forth to you have been
    2 unfair?
    3 MR. BREWSTER: No, sir.
    4 MR. HUBBARD: Do you believe that the EPA itself
    5 works for all of our best interests, as far as
    6 protecting the environment?
    7 MR. BREWSTER: Yes, sir.
    8 MR. HUBBARD: Thank you.
    9 HEARING OFFICER KING: Any other questions for the
    10 petitioner's witnesses?
    11 Yes, sir. Go ahead.
    12 MR. WILLIAMS: This is Darrell Williams from south
    13 Roxana. Back to these ponds and this ditch, my
    14 opinion is that it should have a line in them, and why
    15 they don't think there should be a liner.
    16 HEARING OFFICER KING: Sir, at this point we are
    17 only taking questions for these witnesses.
    18 MR. WILLIAMS: Well, there is going to be a
    19 question.
    20 HEARING OFFICER KING: After the Agency puts on
    21 their presentation, you will have an opportunity to
    22 make any statements you want on the record. At this
    23 point we just want questions for these three
    24 gentlemen.
    25 MR. WILLIAMS: That is what I want to ask Mr.
    44
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 Brewster. Why don't they go ahead and put a liner in
    2 it? I mean, a safe environment is what we all live
    3 for.
    4 MR. BREWSTER: We don't believe a liner is
    5 necessary to accomplish the objective or to meet the
    6 standard at issue in this hearing.
    7 MR. WILLIAMS: I have one other question.
    8 MR. RAO: Can I ask a follow-up question? This is
    9 the testimony of Mr. Petersen. In response to one of
    10 the Agency questions about what would it take to line
    11 the ditch, you explained, you know, that it would be
    12 more to line the ditch, but you haven't given any cost
    13 figures as to how much it would cost to line the
    14 ditch. Do you have such cost figures?
    15 MR. PETERSEN: We had put together a preliminary
    16 estimate of what that cost would be, and submitted
    17 that in correspondence with the Illinois EPA, and I
    18 don't recall the date, but we had estimated a cost up
    19 to $400,000.00 to accomplish that.
    20 MR. RAO: Okay. Would it be possible for you to
    21 provide that preliminary estimate into the record or
    22 is it in the record?
    23 MR. BREWSTER: Is the answer to the question here
    24 enough to get it into the record or do you want some
    25 other --
    45
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 MR. RAO: No, if you have something --
    2 MR. HARRINGTON: We can make a copy of the
    3 statement.
    4 MR. PERZAN: If I can interject, I think I have
    5 copies of that letter. That was in the February 10th
    6 letter. I have extra copies of it.
    7 MR. RAO: Yes, it could be -- you know, it could
    8 be helpful if it is in the record so people know what
    9 it would cost to line the ditch. All right. Thank
    10 you.
    11 HEARING OFFICER KING: Were there other
    12 questions? Ma'am, please state your name.
    13 MRS. DHUE: I am Doris Dhue. I am a neighbor in
    14 south Roxana. On Mr. Petersen's report it said the
    15 inlet ditch never received any hazardous waste. But
    16 on the response to the Illinois Environmental
    17 Protection Agency to petition for adjusted standard,
    18 it says in here Pond #2 is a lined surface impound.
    19 And it also says in here the wastewater received from
    20 the pipeline to unlined ditch runs the length of Pond
    21 #2 and discharges into Pond #2 at the east end. And
    22 Pond #2 becomes hazardous from the benzene toxic
    23 characteristic. And it also appears that the unlined
    24 ditch became regulated as well. So it means that they
    25 did have a benzene spill in the pond by this one
    46
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 application or from the pond into the ditch, but on
    2 this testimony it states that there hasn't been any.
    3 So I am kind of confused by it.
    4 HEARING OFFICER KING: Could you clarify that, Mr.
    5 Petersen?
    6 MR. PETERSEN: The testimony that I gave indicates
    7 that the inlet ditch never received any listed
    8 hazardous wastes, and in RCRA there is a difference
    9 between listed and characteristic hazardous waste.
    10 Listed wastes are wastestreams that the Agency defines
    11 as hazardous, and characteristic wastes are wastes
    12 that aren't defined necessarily as hazardous, but when
    13 you test them they fail either a toxicity
    14 characteristic or reactivity or ignitabilty. And the
    15 testimony is that it never received any listed
    16 hazardous waste, which it did not.
    17 Now, during the period of time before the SBTS was
    18 active, it would have seen, as did Pond #2, untreated
    19 wastewaters from the wastewater treatment plant which
    20 may have failed the hazardous characteristic for
    21 benzene. That's the distinction.
    22 MRS. DHUE: There is another question I have. It
    23 was also about the 24 hours normal wastewater flow
    24 from the refinery. We have had some really fantastic
    25 rains in the last few years. They are not normal 24
    47
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 hour flows lately. As you know, the weather has
    2 changed so much. Is there a contingency plan to
    3 overcome the over more than 24 hours of normal
    4 wastewater flow? Will that ditch be overflowing every
    5 time that there is more rain than usual with that
    6 pond?
    7 And it also said the impact, in his report, on the
    8 environment would be very minimum. Well, I don't know
    9 what you consider minimum. I think that anytime that
    10 you have toxic chemicals that go into the ground that
    11 go to our aquifer, it cannot -- how can any spills be
    12 considered minimum?
    13 MR. STEPHENSON: The 24 hour number is based on a
    14 total containment. Typically with the big rains we
    15 had we have continued forward flow. We have not lost
    16 treatment. So we continue forward flow, and put the
    17 level in the convergent tank. We certainly don't
    18 overflow into the ditch or pond.
    19 MR. HUBBARD: This is Edward Hubbard again. This
    20 summer we lost power down there for about three or
    21 four days. Did your tank A and pond or whatever that
    22 you were doing, were they still in operation.
    23 MR. STEPHENSON: Yes, they continued operation.
    24 We did not loose power at that section of the plant.
    25 MR. HUBBARD: Okay. Thank you.
    48
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 HEARING OFFICER KING: Yes, sir.
    2 MR. DHUE: My name is Forrest Dhue. I am a
    3 neighbor of Shell. I live within less than a quarter
    4 of a mile from this pond that they are talking about,
    5 and I have a couple of questions. In my place I can
    6 drill 18 feet and I hit seep sand, and I mean seep
    7 sand, fine as like face powder. How deep do they have
    8 to go to hit sand? That's the first question.
    9 MR. BREWSTER: The refinery itself covers some
    10 2,000 acres, and the answer to that is that it varies
    11 throughout the site.
    12 MR. DHUE: I am talking about the pond area, the
    13 ditch area and the pond area.
    14 MR. BREWSTER: The profile which is in the earlier
    15 question would indicate that is about 20 to 25 feet.
    16 MR. DHUE: Why would it be deeper there than where
    17 I am at, and I am 15 feet above where this pond is at
    18 least.
    19 MR. BREWSTER: There is probably a mile between
    20 your residence and the location of the --
    21 MR. DHUE: No, no, two blocks.
    22 MR. BREWSTER: These ponds are located in our
    23 western -- it is along Rand Avenue on the west side of
    24 Route 111.
    25 MR. DHUE: Then we will say it is a mile. Now I
    49
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 have another question for you. You said you keep
    2 mixing this stuff to keep it from getting to where it
    3 is a hazardous material with water; is that correct?
    4 MR. BREWSTER: The mixing is to accomplish the
    5 biodegradation to keep close contact to the bacteria
    6 in the system and the organic waste in the system and
    7 oxygen. Those all three have to come together to
    8 accomplish the process purpose here, which is to
    9 biodegrade the organic molecules.
    10 MR. DHUE: Then my next question is if you have
    11 any hydrocarbons at all in this water, what is the
    12 evaporation rate of those hydrocarbons into the
    13 atmosphere?
    14 MR. BREWSTER: The primary section of this plant
    15 where we remove the -- any free oil is totally
    16 enclosed and vent controlled, as required by current
    17 federal regulations and also adopted by the state.
    18 MR. DHUE: Then why do you need the pond?
    19 MR. BREWSTER: Because after the primary section
    20 you will still have some dissolved organic materials
    21 in the water, and it is those dissolved organic
    22 materials that must be removed to meet the criteria in
    23 our NPDES permit. Those can't be removed by a
    24 physical means, so we use this biological process to
    25 degrade those remaining organic materials.
    50
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 MR. DHUE: Thank you.
    2 HEARING OFFICER KING: Are there any other
    3 questions for the petitioner's witnesses?
    4 MR. WILLIAMS: Yes. This is Darrell Williams. I
    5 wanted to ask you a question about -- I don't know
    6 which one said it -- but one day a month they run a
    7 test on this pond. Don't that seem like a long time?
    8 If you had a benzene leak, and you wait three or four
    9 weeks to run a test, or any other toxic chemical
    10 leak? Why wait for 30 days before they check it, or
    11 only check it once a month? I mean, if I wanted to be
    12 a good person -- I mean, I mow my grass more often
    13 than that.
    14 HEARING OFFICER KING: Do you want to respond to
    15 that?
    16 MR. PETERSEN: We analyze the outlet at the
    17 biological treatment tank on three consecutive days
    18 each month. That is for just -- just for regulatory
    19 requirements and record keeping. However, for the
    20 operation of the wastewater treatment plant, we have
    21 monitoring that occurs at least on every shift basis
    22 to check and make sure that there are no excessive
    23 loads of organics or any other upsets to the
    24 wastewater treatment plant. So we do monitoring on a
    25 very frequent basis, every day, for the operation of
    51
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 the wastewater plant, but for regulatory compliance
    2 purposes, we do not -- we do not monitor, you know,
    3 more than a couple times per shift, like we do for
    4 regular operations.
    5 MR. WILLIAMS: Okay. I have another question
    6 there. I know everybody is human and everybody makes
    7 mistakes. Once in awhile I have to call the
    8 environmentals and tell them about leaks they had that
    9 they have overlooked, and then they thank me for it.
    10 But I still think the ditch ought to be fixed, because
    11 no one would have an open sewer at home running down
    12 the street. You should have the ditch fixed proper
    13 and safe.
    14 HEARING OFFICER KING: Are there any other
    15 questions for the petitioners?
    16 MRS. DHUE: I am Doris Dhue. I am from south
    17 Roxana. Also in this one report it says that Pond #2
    18 lost status authority operating when the MTRs were not
    19 achieved and waiver was not granted or closure
    20 performed. Why was the pond and the ditch allowed to
    21 still be opened when there was no waiver granted or
    22 closure performed, either one? If they already broke
    23 this, it was granted to them that they had to either
    24 close it or get a waiver, then why were they allowed
    25 to keep operating, and you are having a hearing now on
    52
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 this when they already broke their permit?
    2 MR. BREWSTER: Our legal opinion was that the
    3 waiver was effective during that time period.
    4 MRS. DHUE: Is it your place, as an attorney, to
    5 make sure the waiver was in place?
    6 HEARING OFFICER KING: I wonder if Counsel for the
    7 Petitioner could explain how that whole procedure
    8 works, because I don't know that it was laid out real
    9 clearly in this testimony. I know that you discussed
    10 it in the petition.
    11 MR. HARRINGTON: Yes. There was a provision in
    12 the law that allowed a request for minimum technology
    13 waiver to the permitting authority. At the time that
    14 the application was made it was made to the U.S. EPA.
    15 They issued a document which said that they approved
    16 the waiver. They called it a draft. The opinion of
    17 Shell's inhouse counsel at that time, as I understand
    18 it, and my opinion was that the determination that
    19 this facility met the requirements of the law was all
    20 that was required to fulfill that requirement. It may
    21 differ with the IEPA. The statements were quoted by
    22 the questioner about the legal effect of that. But
    23 that's the opinion -- our opinion concerning that.
    24 And as to the adjusted standard, the practical effect
    25 of seeking the adjusted standard and the way it has
    53
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 practically come to be developed in this state is that
    2 it is desired that the company work with the IEPA to
    3 eliminate as many potential issues as possible before
    4 presenting it to the Board. And this has been done in
    5 this case, and the draft application was prepared and
    6 was submitted and it has been developed with the IEPA
    7 and then submitted to the Board. The Board can act on
    8 it now, which has the affect of validating the
    9 operation.
    10 HEARING OFFICER KING: All right. Are there any
    11 other questions. Yes, Mr. Dhue?
    12 MR. DHUE: Yes, I have got a question. If I have
    13 a car and it will not pass the emission test that the
    14 EPA demands in this area, the St. Louis metropolitan
    15 area, and they tell me, okay, you can't pass the test,
    16 so we won't put no license -- your license will be
    17 revoked. You can't drive that vehicle. Right?
    18 Okay. Say I buy another car to replace it or whatever
    19 and it passes the EPA test, and then I go back to them
    20 and I say, hey, I want to keep the license on that car
    21 just in case this other one doesn't work. It doesn't
    22 work that way for me. Why should it work that way for
    23 them?
    24 HEARING OFFICER KING: I think that you want to
    25 pose that question to the Agency instead of these
    54
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 gentlemen.
    2 MR. DHUE: Well, either way.
    3 HEARING OFFICER KING: Are there any other
    4 questions? Yes, ma'am. Please state your name.
    5 MS. SANDERS: My name is Henrietta Sanders. I
    6 live in south Roxana. I have for the last 20 years.
    7 At one time Shell talked about buying out south
    8 Roxana. We are bordered by oil companies all around
    9 us. We have had this a number of times, we have had
    10 this hearing here. My city -- you couldn't have this
    11 hearing unless you write to the clerk and get
    12 permission to talk. That's the kind of city we have
    13 got, the kind of mayor we have got. In my opinion he
    14 stinks. But I have to say here that with all of the
    15 work that needs to be done at Shell, and whoever
    16 bought into Shell, has my sympathy, because they
    17 should have scoured the neighborhood and found out
    18 what it was all about there before they put their
    19 bucks down. But buying out south Roxana, this little
    20 area, where we now have a bridge there and we have got
    21 all different kinds of trucking companies coming in
    22 there, that I think it would be more feasible putting
    23 in a liner in one part of the company that you people
    24 got.
    25 HEARING OFFICER KING: Ma'am --
    55
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 MS. SANDERS: I don't think you are too good of
    2 business men not to see that.
    3 HEARING OFFICER KING: There will be an
    4 opportunity later in the hearing to make a statement.
    5 But at this point all we are talking are specific
    6 questions for the petitioner's witnesses.
    7 MS. SANDERS: Well, this is for all of you.
    8 HEARING OFFICER KING: If you just want to make a
    9 statement to put forth your views, you will have a
    10 chance to do that later. Right now --
    11 MS. SANDERS: Yes, I have a specific question.
    12 HEARING OFFICER KING: Okay. What is your
    13 question?
    14 MS. SANDERS: I had a son that died of cancer last
    15 February, and I think they had a suit going with
    16 Shell. I don't know what come of that, because him
    17 and his wife divorced after he -- well, after he died,
    18 I don't know what come of that, the lawsuit, what
    19 happened. But I know one thing, when they pay you
    20 off, whoever they pay, there is a stipulation in there
    21 that you are not to tell anything about this.
    22 HEARING OFFICER KING: Ma'am, do you have a
    23 question for any of these gentlemen?
    24 MS. SANDERS: I hope all of you have heard what I
    25 had to say. That is all.
    56
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 HEARING OFFICER KING: All right. Are there any
    2 more questions for any of the petitioner's witnesses?
    3 Yes, Mr. Dhue.
    4 MR. DHUE: I didn't get an answer on what I asked
    5 about awhile ago on the EPA thing.
    6 HEARING OFFICER KING: Well, they have not put on
    7 their part of the case yet.
    8 MR. DHUE: Okay.
    9 HEARING OFFICER KING: Mr. Rao has some more
    10 questions.
    11 MR. RAO: I have a couple of questions for
    12 clarification.
    13 This question is for Mr. Brewster. In your
    14 testimony when you talked about the alternative
    15 treatment, you can remove the pond from service and
    16 spend $32 million dollars, and in the petition itself,
    17 you know, a cost figure in excess of $5 million
    18 dollars has been quoted. Could you explain what
    19 exactly is involved in replacing the Pond #2 and how
    20 this cost is arrived at?
    21 MR. BREWSTER: When we filed the petition in May
    22 we had not done a complete engineering study on what
    23 the replacement alternative might be. So at that
    24 point we knew it was more than $5 million dollars.
    25 Since that time we put together a team of process
    57
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 engineers and project engineers to take a further look
    2 at that and draw out what that in reality would be.
    3 And basically it is replacing that 4 million gallon
    4 reactor with two used tank structures, and then those
    5 tank structures would have the same capacity as the
    6 existing pond, and then putting an aeration system in
    7 and plus the necessary pumps to bring the wastewater
    8 into that tank and to take it back out and additional
    9 piping and facilities to run all of that. But that is
    10 what we looked through and put together that estimate,
    11 like we would any other project if we were to build
    12 another unit, and we completed that recently.
    13 MR. RAO: Do you have some kind of prepared cost
    14 estimate that you could submit into the record.
    15 MR. BREWSTER: We can provide that to the Board
    16 subsequent to this hearing, yes.
    17 MR. RAO: You can do that?
    18 MR. BREWSTER: Yes.
    19 MR. RAO: Okay. Thank you. My next question is
    20 for Mr. Petersen. In the last page of your testimony,
    21 you say that the Wood River Refining Company petition
    22 for adjusted standard to include the inlet ditch as
    23 well as Pond #2. And I just wanted to ask you whether
    24 the language that you are proposing now, the language
    25 for the adjusted standard, does that reflect this
    58
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 intent?
    2 MR. HARRINGTON: It is our understanding that it
    3 does. If there was any question in anyone's mind, it
    4 should be clarified.
    5 MR. RAO: The reason I ask the question is that
    6 since the Agency is in issue concerning the inlet
    7 ditch, and since you have subsequently said that you
    8 wanted the inlet ditch considered as part of the pond,
    9 and in looking at the proposed language, and it
    10 doesn't say that the inlet ditch is part of the Pond
    11 #2, so I just wanted to make sure that your intent is
    12 reflected in the proposed adjusted standard language.
    13 MR. HARRINGTON: We will examine that and in post
    14 hearing comments we will clarify it.
    15 MR. RAO: Okay. Thank you. That's all I have.
    16 HEARING OFFICER KING: Yes, Mr. Hubbard.
    17 MR. HUBBARD: Edward Hubbard again. You are going
    18 to save $30 million dollars if you keep this pond in
    19 use. Couldn't you spend some of that $30 million
    20 dollars and put a liner in it?
    21 Do I need to rephrase that?
    22 MR. BREWSTER: No, I am thinking. We think that
    23 the -- apparently, the only thing at issue is the
    24 inlet ditch and whether that needs a liner in it or
    25 not. And we are prepared, if that's the final
    59
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 outcome, to make that addition. But the cost of
    2 replacing the functionality of Pond #2 in total, the
    3 $32 million dollars, we certainly think is
    4 disproportionate to any benefit.
    5 MR. HUBBARD: And for that $32 million dollars
    6 that you are going to save, it has already been noted
    7 that asphalt does leak, and if it is not laid as one
    8 continuous batch, it will develop leaks and seep into
    9 our groundwater. Would it be worth peace of mind to
    10 maybe spend some of that $32 million dollars, other
    11 than closing the pond, to line it with maybe a rubber
    12 skin or whatever the EPA may say is correct to do?
    13 MR. BREWSTER: It would be physically impossible
    14 to do that, simply because we have no alternative
    15 other than to run the pond to meet our discharge
    16 permits, and to install an additional liner in that
    17 pond would require drying it out and removing all the
    18 contents to do that, and probably many months of
    19 construction.
    20 MR. HUBBARD: If you are allowed to keep the pond
    21 as is, are you going to put any of that $32 million
    22 dollars back into the area, the communities that are
    23 going to be affected by the possible leakage, towards
    24 our environment? You are wanting to save yourselves
    25 the $32 million dollars. I think the least you could
    60
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 do is maybe help out our communities. If you can't
    2 give us peace of mind, then maybe have plans for maybe
    3 some parks, green areas, or other ideas such as that.
    4 MR. BREWSTER: I think there probably are, Mr.
    5 Hubbard. We recently reached an agreement with both
    6 the state and the U.S. government to make major
    7 investments along this line, separate and apart from
    8 this whole matter at this hearing.
    9 MR. HUBBARD: Do you know if Shell has come to an
    10 agreement with the 170 homes that were affected on the
    11 west side of town that were sprayed with your
    12 pollutants out of your crackers?
    13 MR. BREWSTER: Could you please repeat the
    14 question?
    15 MR. HUBBARD: It was 120 homes that were affected
    16 by a fuel oil spill. Have you reached settlements
    17 with any of those homeowners on the west side of town,
    18 up on Velma, in that area.
    19 MR. BREWSTER: It is my understanding all of those
    20 claims have been settled.
    21 MR. HUBBARD: I see one person up here shaking
    22 their head no, so I don't know. That's why I am
    23 concerned with the $32 million dollars that you are
    24 going to save, as to whether or not you are going to
    25 either put it back into our community or line the
    61
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 pond, to give us peace of mind for our future
    2 generations. Thank you.
    3 MR. RAO: May I ask a question? In terms of
    4 groundwater contamination, earlier you mentioned how
    5 there is clay, and also you have a groundwater
    6 monitoring system which acts as an early detection
    7 system. Is any of this site geological information in
    8 the record which shows how thick the layer is and how,
    9 you know, any seepage would be retarded through the
    10 clay liner if there was a seepage?
    11 MR. BREWSTER: I am sure in the record is the soil
    12 boring information and the general construction
    13 details of the pond. The actual estimates of seepage,
    14 I don't know that has ever been done and is anywhere
    15 in the record.
    16 MR. RAO: All right.
    17 MR. BREWSTER: The more direct evidence by the
    18 groundwater monitoring wells I believe is in the
    19 record.
    20 MR. RAO: Okay. This groundwater monitoring
    21 system that you have now, I assume that has been
    22 evaluated by the Illinois EPA and approved?
    23 MR. BREWSTER: It was put together to meet the
    24 RCRA requirements, yes, under the RCRA standards.
    25 MR. RAO: Okay.
    62
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 MR. BREWSTER: And it continues to be sampled and
    2 reported in that fashion.
    3 MR. RAO: Thank you.
    4 HEARING OFFICER KING: Yes, Mr. Dhue.
    5 MR. DHUE: My name is Forrest Dhue. You already
    6 know that. I have lived in the shadow of Shell -- and
    7 excuse my use of that word, because they have changed
    8 it around, but I can't help myself -- for 43 years.
    9 The question I have is they don't have any idea of
    10 what the ground seepage is. Then how did all of the
    11 hydrocarbons get in the water in the aquifer
    12 underground? They are there. They don't know how
    13 many is there. They don't know how thick it is. But
    14 it is there. Where did it come from?
    15 MR. BREWSTER: Shell has a very extensive
    16 groundwater monitoring program throughout the entire
    17 site that has been in place since the late 1970s and
    18 has been under the auspices of RCRA since about 1984,
    19 I believe. And we do quarterly monitoring and report
    20 all of this information to the IEPA. I think we have
    21 described in considerable detail the groundwater
    22 quality in the area and any plumes that may exist in
    23 the area. And that is in the record with the IEPA.
    24 And, furthermore, we have implemented a corrective
    25 action program for areas where there is some
    63
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 contamination, and that corrective action program is
    2 described in the RCRA permit. And that's the program
    3 that we follow continuously to insure compliance with
    4 that.
    5 MR. DHUE: Groundwater and aquifer is two
    6 different things. The groundwater stays above
    7 ground. The aquifer is below ground.
    8 HEARING OFFICER KING: Actually, the way those
    9 terms are defined in the State regs, groundwater
    10 refers to below groundwater and water on the surface
    11 is referred to as surface water. So groundwater, as
    12 being used in these proceedings, means water under the
    13 surface.
    14 MR. DHUE: He still didn't answer where those
    15 hydrocarbons came from.
    16 MR. BREWSTER: They came from historical leaks
    17 dating -- you know, this refinery is some 80 years
    18 old. There are underground lines and many, many of
    19 those -- most of that system has been replaced.
    20 MR. DHUE: May I ask another question?
    21 HEARING OFFICER KING: Yes.
    22 MR. DHUE: How come those lines were never taken
    23 out.
    24 MR. BREWSTER: They were all emptied and purged at
    25 the time that they were replaced and many have been
    64
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 removed.
    2 MR. DHUE: Many, but there is a lot still there;
    3 is that not true?
    4 MR. BREWSTER: I don't have the exact details.
    5 MR. DHUE: Thank you.
    6 MRS. WILLIAMS: My name is Jenny Williams, and I
    7 would like to ask this of Joe Brewster. Now, you say
    8 in no event shall Shell allow the introduction of
    9 hazardous wastewaters into any portion of Pond #2
    10 which is unlined, but the water has to come through
    11 the ditch. Say there is a leak and the ditch is
    12 unlined. So do you go and dig the dirt up at that
    13 time and remove it? What do you do with it? Could I
    14 rephrase that?
    15 MR. BREWSTER: There continues to be the
    16 groundwater monitoring program there, which would
    17 detect if there ever were any leakage, but the ditch
    18 resides above this clay layer, which would prevent it
    19 from getting into the groundwater. It is actually dug
    20 into the clay layer also. But operationally, the
    21 intention is to operate the plant so that none of the
    22 system sees any of the benzene above the
    23 characteristic level.
    24 MRS. WILLIAMS: What about over rain, like if it
    25 rains?
    65
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 MR. BREWSTER: The wastewater treatment plant is
    2 designed to handle those additional loads that do
    3 occur during a rain storm. In fact, it has done that
    4 quite well over the years.
    5 MRS. WILLIAMS: Okay. Thank you.
    6 MR. HARRINGTON: Just a couple of questions to
    7 clarify the record. In the vicinity of Pond #2 and
    8 the ditch, there is the groundwater monitoring as to
    9 that?
    10 MR. BREWSTER: That's correct.
    11 MR. HARRINGTON: That monitoring has existed for
    12 how long?
    13 MR. BREWSTER: It went into place in the fall of
    14 1991.
    15 MR. HARRINGTON: Has any benzene been detected in
    16 the groundwater or aquifer in that area?
    17 MR. BREWSTER: There was one detection I think in
    18 one sampling round. I forget the year.
    19 MR. HARRINGTON: Has it ever been repeated?
    20 MR. BREWSTER: No, it has not been repeated and at
    21 the time we reviewed the data through an alternate
    22 source demonstration it was determined that it was not
    23 the ponds that were the source of that.
    24 MR. HARRINGTON: So when you talked earlier about
    25 the groundwater water monitoring system operated by
    66
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 the refinery, and the corrective action plan, that did
    2 not refer to the area where the ponds are, but the
    3 refinery area on the other side?
    4 MR. BREWSTER: That's correct.
    5 MR. HARRINGTON: And in that area there has been
    6 some organics detected, and those are captured by a
    7 groundwater pumping system?
    8 MR. BREWSTER: That's correct.
    9 MR. HARRINGTON: In fact, in the area of the
    10 refinery, the system is operated so that the
    11 groundwater flows into the Shell wells and is
    12 recovered for treatment?
    13 MR. BREWSTER: That is correct, and that whole
    14 element is reflected in the RCRA permit itself,
    15 Section 2 of the permit.
    16 MR. HARRINGTON: Okay. In fact, that water is
    17 under an agreement with the U.S. EPA that that water
    18 is treated for benzene if any is present; is that
    19 correct?
    20 MR. BREWSTER: That's correct.
    21 MR. HARRINGTON: All right. That's all I have.
    22 Thank you.
    23 HEARING OFFICER KING: Did you want to have any of
    24 these documents admitted as exhibits?
    25 MR. HARRINGTON: Yes, I did. At this time I would
    67
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 like the Petition for the Adjusted Standard and its
    2 attachment, marked as Exhibit Number 1, and there is a
    3 copy that I have handed the court reporter that bears
    4 the adjusted petition that already has a typed exhibit
    5 page on the front of it. I will ask, if the Hearing
    6 Officer will agree, that we incorporate the exhibits
    7 that were attached to the petition when it was filed
    8 as part of this record and as part of the exhibit.
    9 HEARING OFFICER KING: Are there any objections?
    10 MR. PERZAN: No objection.
    11 HEARING OFFICER KING: Okay. The attachments to
    12 the petition will be incorporated as attachments to
    13 the Petitioner's Exhibit 1 from this hearing.
    14 (Whereupon said document was admitted into
    15 evidence as Petitioner's Exhibit 1 as of this
    16 date.)
    17 MR. HARRINGTON: I also then ask that the
    18 testimony of Mr. Brewster be marked as Exhibit Number
    19 2, and incorporated into the record as an exhibit.
    20 HEARING OFFICER KING: Is there any objection to
    21 Mr. Brewster's prepared testimony being admitted as
    22 Exhibit Number 2?
    23 MR. PERZAN: No objection.
    24 HEARING OFFICER KING: All right. It will be
    25 admitted as Petitioner's Exhibit Number 2.
    68
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 (Whereupon said document was admitted into
    2 evidence as Petitioner's Exhibit 2 as of this
    3 date.)
    4 MR. HARRINGTON: I ask that the testimony of Mr.
    5 Stephenson be marked as Exhibit Number 3 and
    6 incorporated into the record.
    7 HEARING OFFICER KING: Is there any objection to
    8 the testimony of Mr. Stephenson being admitted as
    9 Petitioner's Exhibit Number 3?
    10 MR. PERZAN: No objection.
    11 HEARING OFFICER KING: All right. That is
    12 admitted as Petitioner's Exhibit Number 3.
    13 (Whereupon said document was admitted into
    14 evidence as Petitioner's Exhibit 3 as of this
    15 date.)
    16 MR. HARRINGTON: Finally, I ask that the testimony
    17 of Mr. Petersen, together with the attachments, be
    18 marked as Exhibit Number 4 and incorporated into the
    19 record.
    20 HEARING OFFICER KING: Is there any objection to
    21 Mr. Petersen's testimony being admitted as
    22 Petitioner's Exhibit Number 4?
    23 MR. PERZAN: No objection.
    24 HEARING OFFICER KING: All right. That will be
    25 admitted as Petitioner's Exhibit Number 4, and there
    69
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 are Attachments A, B, and C, which are May 28th, 1997
    2 correspondence, January 15th, 1998 correspondence, and
    3 Inlet Ditch Sampling Report, November of 1998, which
    4 are now attachments to Petitioner's Exhibit Number 4
    5 admitted.
    6 (Whereupon said documents were admitted into
    7 evidence as Petitioner's Exhibit 4 as of this
    8 date.)
    9 MR. HARRINGTON: Thank you very much.
    10 HEARING OFFICER KING: Before we continue, we are
    11 going to take a break. Why don't we come back in
    12 about ten minutes, and then we will hear from the
    13 Agency.
    14 (Whereupon a short recess was taken.)
    15 HEARING OFFICER KING: All right. We will go back
    16 on the record now.
    17 Before we start again, I would just like to state
    18 that the purpose of these proceedings is to make a
    19 record that the Members of the Pollution Control Board
    20 will review when they are making their decision on the
    21 petition that has been filed here. And to that end,
    22 if Mr. Rao or I ask any questions, the purpose of that
    23 is to help make a complete record, and it does not
    24 necessarily indicate that there is any predisposition
    25 on our part or the part of the Board to go one way or
    70
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 another on this petition application.
    2 All right. Having said that, now we will hear
    3 from the Environmental Protection Agency.
    4 MR. PERZAN: Thank you. I think as an initial
    5 matter I would like to offer the February 10th letter
    6 from Shell to -- actually to me, which addresses the
    7 question of the inlet ditch lining and the cost, that
    8 the Board requested earlier.
    9 MR. HARRINGTON: No objection.
    10 HEARING OFFICER KING: I will mark this as
    11 Respondent's Exhibit Number 2.
    12 (Whereupon said document was duly marked for
    13 purposes of identification as Respondent's Exhibit
    14 2 as of this date.)
    15 HEARING OFFICER KING: Do you have any extra
    16 copies of this for any members of the public?
    17 MR. PERZAN: I have two extra copies.
    18 HEARING OFFICER KING: If you can pass those up
    19 there and maybe they can look at them. Could you just
    20 summarize briefly on the record what is in this
    21 letter?
    22 MR. PERZAN: Well, with regard to specifically --
    23 this was a letter written from Mr. Petersen to myself
    24 in response to some questions I believe on the inlet
    25 ditch, and it goes over the relevant part to what the
    71
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 Board requested. It goes over what it would take to
    2 line the inlet ditch and the cost, a cost of
    3 $400,000.00, and it basically sketches out what
    4 technically would have to be done. The rest of it,
    5 frankly, I don't recall offhand.
    6 HEARING OFFICER KING: Is there any objection to
    7 accepting this into the record as Respondent's Exhibit
    8 Number 2?
    9 Okay. Then this will be admitted as Respondent's
    10 Exhibit Number 2.
    11 (Whereupon said document was admitted into
    12 evidence as Respondent's Exhibit 2 as of this
    13 date.)
    14 MR. PERZAN: If we are admitting exhibits, we had
    15 one earlier that was Respondent's Number 1.
    16 HEARING OFFICER KING: Yes, that was admitted at
    17 that time, so that is in the record as well.
    18 MR. PERZAN: Okay. For the Agency's part, I think
    19 to a large extent we will rely on our response for our
    20 overall position on the adjusted standard petition,
    21 but specifically with regard to some questions or some
    22 concerns that we had about the inlet ditch, we would
    23 like to offer the testimony of Mr. Chris Cahnovsky.
    24 HEARING OFFICER KING: All right. Ms. Niemeyer,
    25 would you please swear the witness.
    72
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 (Whereupon Mr. Cahnovsky was sworn by the Notary
    2 Public.)
    3 MR. PERZAN: Could you please state your full name
    4 for the record.
    5 MR. CAHNOVSKY: Christopher Neal Cahnovsky.
    6 HEARING OFFICER KING: Could you spell your last
    7 name.
    8 MR. CAHNOVSKY: C-A-H-N-O-V-S-K-Y.
    9 HEARING OFFICER KING: Thank you.
    10 MR. PERZAN: Could you give us a brief outline of
    11 your educational background and job description now?
    12 MR. CAHNOVSKY: Yes. I have a Bachelor of Science
    13 in animal science from Southern Illinois University in
    14 Carbondale. I have a Master's of Science in
    15 environmental science from SIU in Edwardsville. I am
    16 a Certified Hazardous Materials Manager from the
    17 Institute of Hazardous Materials Managers. I serve on
    18 the Board of Directors of the Gateway Society of
    19 Hazardous Materials Managers. I am currently employed
    20 by the Illinois EPA as a field inspector out of the
    21 Collinsville regional office. I do compliance
    22 inspections pursuant to the Resource Conservation &
    23 Recovery Act. My job duties specific to the Wood
    24 River Refinery is I do the compliance inspections
    25 pursuant to RCRA on their generator, generation
    73
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 treatment and transportation and storage of hazardous
    2 waste on their Part B permit except for the
    3 groundwater financial requirements.
    4 MR. PERZAN: You heard Mr. Petersen's testimony
    5 regarding the fill layer and the inlet ditch earlier?
    6 MR. CAHNOVSKY: Yes.
    7 MR. PERZAN: Would you agree that there is a
    8 potential for a lateral migration of constituents from
    9 the inlet ditch into the fill?
    10 MR. CAHNOVSKY: Yes, I do.
    11 MR. PERZAN: Are you comfortable, based on what
    12 you have seen, in terms of the record here, that there
    13 is no pathway to groundwater from the fill material
    14 below the clay?
    15 MR. CAHNOVSKY: According to the record that has
    16 been presented, I can't make a determination whether
    17 there is no migration present there. It is possible
    18 that somewhere along this conveyance there may be a
    19 pathway present that would cause a release.
    20 MR. PERZAN: Okay. I don't think I have any
    21 further questions.
    22 HEARING OFFICER KING: Okay. Are there any
    23 questions for Mr. Cahnovsky?
    24 MRS. DHUE: I am Doris Dhue. Do you feel like
    25 that that ditch is a hazard to our water table, and
    74
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 our aquifer and spills due to the fact that it can
    2 have infiltration?
    3 MR. CAHNOVSKY: If there was infiltration present,
    4 if it did leak and it did penetrate the clay layer,
    5 yes, there would be potential for groundwater
    6 contamination.
    7 MRS. DHUE: Isn't it a thin clay layer? Isn't it
    8 only three inches?
    9 MR. CAHNOVSKY: According to the documentation
    10 that was submitted by Shell at the time, and I believe
    11 the documentation is around 1993, it shows that the
    12 clay layer is approximately twelve feet deep in that
    13 area.
    14 MRS. DHUE: Isn't that the pond, though, that's
    15 not the ditch?
    16 MR. CAHNOVSKY: Are you referring to the liner or
    17 the ditch.
    18 MRS. DHUE: The ditch. There is no liner in the
    19 ditch. Is there a clay liner? Isn't the ditch lower
    20 than the pond, too?
    21 MR. CAHNOVSKY: The ditch is approximately six
    22 feet deep and on the pond it is approximately twelve
    23 feet deep. As far as a liner in the pond -- I am
    24 sorry -- as a far as a liner in the inlet ditch, from
    25 the information submitted, there is no engineered
    75
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 liner in the ditch. Was that your question?
    2 MRS. DHUE: Basically. Also, this whole area sits
    3 on seep sand, so if there is infiltration from the
    4 ditch, isn't it more apt to go right straight through
    5 the seep sand and into the aquifer?
    6 MR. CAHNOVSKY: From the information submitted, it
    7 appears that from the ditch there is approximately ten
    8 to twelve feet of clay. So the release would have to
    9 go through that before it got to the silty sand. But
    10 in the information submitted, there is a possibility
    11 that if there was a release and it did get through the
    12 clay, that, yes, there would be a release to
    13 groundwater.
    14 MRS. DHUE: Okay. Thank you.
    15 MR. WILLIAMS: Could I ask a question? Is the
    16 name Jim?
    17 HEARING OFFICER KING: It is Mr. Cahnovsky.
    18 MR. WILLIAMS: What is your name?
    19 MR. CAHNOVSKY: Chris.
    20 MR. WILLIAMS: Chris. Okay. I am sorry. I am
    21 Darrell Williams. I have one question that has not
    22 been asked here. What about the vapors off this that
    23 carries through the air? How many feet could that
    24 carry if you have a wind that is 18 or 20 miles an
    25 hour or 30?
    76
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 MR. CAHNOVSKY: Mr. Williams, I don't think I am
    2 qualified to answer that because, frankly, I don't
    3 know.
    4 MR. WILLIAMS: One more question that maybe you
    5 could answer. I don't know how long the ditch has
    6 been there. It has probably been there for years.
    7 Over a period of years a ditch is like anything and it
    8 will wear. Anything going down it, water or slush or
    9 anything, after a period of years it is like an old
    10 water pipe and it can get thin. How do we know how
    11 much clay is in that ditch? Over a period of years it
    12 can get thin.
    13 MR. CAHNOVSKY: That's quite possible. I am
    14 afraid I don't have an exact answer of over time what
    15 the erosion rate of the clay in that area would be.
    16 With the documentation submitted, it would -- it
    17 appears that that clay is about twelve feet deep.
    18 MRS. WILLIAMS: My name is Jenny Williams, and I
    19 would like to know this question here, on here it says
    20 water in the inlet ditch can enter the pond in two
    21 methods. There is two ways to come in. Now, is that
    22 tested on both ends of that as it is going in? I
    23 don't understand that.
    24 MR. PERZAN: Excuse me, ma'am. What document are
    25 you referring to?
    77
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 MRS. WILLIAMS: I don't know. I am reading this.
    2 I am reading this one, the one you just gave us.
    3 MR. PERZAN: The February 10th letter.
    4 HEARING OFFICER KING: Respondent's Exhibit 2 she
    5 is talking about?
    6 MR. PERZAN: Yes, Respondent's Exhibit Number 2.
    7 HEARING OFFICER KING: Okay.
    8 MRS. WILLIAMS: It just states water in the inlet
    9 ditch can enter the Pond #2 in two methods. If it is
    10 entered in two different directions, is it tested in
    11 all these directions? This might have been a good
    12 question for the Shell men, wouldn't it?
    13 MR. CAHNOVSKY: This letter is in response to an
    14 inspection that we did, or I should say a site visit
    15 back on January 21st, and at that time we were
    16 discussing where the best place to take the sample for
    17 the influent to Pond #2. And, apparently, Mr.
    18 Petersen was answering that there is two places, two
    19 ways this could get into the ditch. But it is my
    20 understanding that there is only one area right now
    21 where the influent to the ditch is entering, and that
    22 is through the 36 inch culvert that crosses -- I guess
    23 from the biological treatment it goes to a manhole.
    24 From that manhole it goes into the inlet ditch. And
    25 to my knowledge, that is what they are using
    78
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 currently, and where they are sampling from.
    2 MRS. WILLIAMS: It states here that it is 70
    3 feet. Is that how long the ditch is or how long is
    4 that? Approximately 70 feet from the east boundary.
    5 Or is that the culvert?
    6 MR. CAHNOVSKY: I believe they are referring to
    7 the culvert in that sentence.
    8 MRS. WILLIAMS: All right.
    9 HEARING OFFICER KING: Are there anymore
    10 questions? Mr. Rao, do you have some questions?
    11 MR. RAO: Yes, I have a couple of questions. Mr.
    12 Cahnovsky, you mentioned this fill material and
    13 construction debris. Now, is that located beneath the
    14 clay or is it along the sides of the ditch?
    15 MR. CAHNOVSKY: It is my understanding that from
    16 the approximate elevation of the ditch, which is
    17 around 432 mean sea level, which would be about the
    18 top of the ditch, and the top of the pond, to about
    19 426 or so mean sea level, there is a fill layer. And
    20 the boring logs show anywhere from one to four feet of
    21 fill layer in certain areas around the ponds.
    22 MR. RAO: So was your concern anything to do with
    23 the lateral migration?
    24 MR. CAHNOVSKY: Yes, there would be a concern due
    25 to lateral migration of contaminants in the fill.
    79
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 These borings records are found in Attachment 79 of
    2 the MTR waiver that is part of the petition.
    3 MR. PERZAN: Actually, that is Attachment 9 to the
    4 petition.
    5 HEARING OFFICER KING: Okay.
    6 MR. RAO: What is your position with regards to,
    7 you know, placing a liner on the ditch? Do you
    8 believe that the liner would be protective of the
    9 groundwater, or what is the Agency's position with
    10 regard to the liner for the ditch?
    11 MR. CAHNOVSKY: We will evaluate that as part of
    12 the permitting process to determine whether a liner is
    13 the best option for this ditch.
    14 MR. RAO: So that is not something that is part of
    15 the adjusted standard? When you say, you know, you
    16 are going to evaluate it as part of the permitting --
    17 because concerns have been raised about the inlet
    18 ditch, and I just want to make sure what your position
    19 is so that the Board has something to rely on, what
    20 the Agency feels about the inlet ditch.
    21 If you cannot answer this question right now that
    22 is fine. You can send something in writing also to
    23 help the Board if you want to take time to evaluate
    24 this.
    25 MR. PERZAN: Yes, that may be best. Our most
    80
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 comprehensive response could be done in comments. We
    2 will address that question.
    3 MR. RAO: Another question about this inlet ditch
    4 is in your response to Wood River's petition on page
    5 four, you mention that the inlet was not, you know,
    6 tested for the possibility of any hazardous material
    7 remaining in the ditch. And I think that -- let me
    8 see. You recommended that Shell produce any existing
    9 data about the hazardous materials being removed from
    10 the ditch, or being present in the ditch. Have you
    11 received any such data from Wood River Refining
    12 Company so far?
    13 MR. CAHNOVSKY: If your question is has -- have
    14 they submitted data about the hazardous
    15 characteristics of the sludge within the ditch?
    16 MR. RAO: Yes.
    17 MR. CAHNOVSKY: Yes, this morning I received a
    18 copy of a document called the Pond #2 inlet ditch
    19 sampling, in which three samples were taken of the --
    20 I would have to look back again, because I knew they
    21 couldn't take one sample because of some rocks. I
    22 don't know if it was a soil sample or sludge sample,
    23 but there were samples taken of the sludge within the
    24 ditch.
    25 HEARING OFFICER KING: For the record I will note
    81
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 that that document is Attachment C to Petitioner's
    2 Exhibit Number 4.
    3 MR. RAO: So would the Agency be evaluating this
    4 information and providing comments to the Board as to
    5 what --
    6 MR. PERZAN: If you would like us to we could.
    7 MR. RAO: It could be helpful, because you raise
    8 this issue about concerns about the ditch being not
    9 tested previously. So it could help us to know.
    10 MR. PERZAN: Yes.
    11 HEARING OFFICER KING: Does anyone else have any
    12 questions for the Agency?
    13 MS. CAMPBELL: I am Sarah Campbell. Are those the
    14 same samples in this report here that has been given
    15 to us?
    16 HEARING OFFICER KING: What was your name, ma'am?
    17 MS. CAMPBELL: Sarah Campbell.
    18 HEARING OFFICER KING: Thank you.
    19 MR. CAHNOVSKY: Is what you have labeled
    20 Attachment C in the ditch sampling report of November
    21 of 1998?
    22 MS. CAMPBELL: Yes, sir.
    23 MR. CAHNOVSKY: Yes.
    24 MS. CAMPBELL: Okay. Thank you.
    25 HEARING OFFICER KING: I have one question. Mr.
    82
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 Perzan, is it the Agency's position that the disputed
    2 last sentence in the proposed adjusted standard adds
    3 something beyond what the law already requires?
    4 MR. PERZAN: Well, I would refer to our response,
    5 and I would add that, no, it isn't our position that
    6 it adds anything. That it articulates what is already
    7 required in the adjusted standard.
    8 HEARING OFFICER KING: Okay. Thank you.
    9 All right. If there are no further questions for
    10 the Agency, and if anyone else here wants to make a
    11 statement on the record you can do that at this time.
    12 If you want to put in factual information, you need to
    13 be sworn in by the court reporter. If you just want
    14 to give your opinion about anything you have heard,
    15 you can just make that statement on the record. Also,
    16 you can file written comments with the Board after
    17 this is over. Yes, Mr. Dhue.
    18 MR. DHUE: I still have a question. They know
    19 there is hydrocarbons in our area that extend from the
    20 testing location on Shell's property 5,000 feet north
    21 and south and 8,000 feet east and west. Now, that's a
    22 long ways for hydrocarbons. What I would like to know
    23 is how thick that is, if that's possible. They say
    24 they are doing a great job on testing the groundwater
    25 and that. And if they are, they should know how thick
    83
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 that pollutant is.
    2 HEARING OFFICER KING: To whom are you posing that
    3 question?
    4 MR. DHUE: To Shell.
    5 MR. BREWSTER: This is Joe Brewster from Shell.
    6 We provide semi-annual reports to the Agency as a
    7 result of the requirements on the RCRA permits which
    8 delineate the locations of the plume and the thickness
    9 of the plume. That data resides with the Agency.
    10 HEARING OFFICER KING: Just to follow-up on that,
    11 Mr. Perzan, if you know, does that information or are
    12 those documents things that Mr. Dhue could get from
    13 the IEPA's offices in Springfield?
    14 MR. PERZAN: Anything that has been submitted to
    15 us by Shell is a report that -- you could request that
    16 under the Freedom of Information Act. If you would
    17 like to know how to get it, I can tell you later and
    18 give you the address.
    19 MR. DHUE: Okay.
    20 MR. WILLIAMS: I would like to ask this question
    21 of Mr. Brewster. This would be a hardship, I guess, I
    22 understand, if Shell put this liner in and had to redo
    23 this pond and put this liner in the ditch or culvert,
    24 whatever they need, sewer pipe. It is a hardship, I
    25 know. But Shell had another hardship just a few
    84
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 months ago when they took a tax break out of this
    2 county for about $3 million bucks. I figured it would
    3 help them out when the taxpayers picked up the load.
    4 Does he still feel like this would be a hardship
    5 to them, fixing this liner in this pond if it would
    6 help the environment and the ditch? Or are they more
    7 interested in spending $350 million dollars for a new
    8 power plant? I think helping the citizens of Madison
    9 County should come first. Would you answer that
    10 question?
    11 MR. BREWSTER: Again, we believe that the total
    12 replacement of Pond #2 by a tank based biological
    13 treatment system at a cost of what we estimate to be
    14 $32 million dollars would be totally disproportionate
    15 to any benefit that there would be. The other sub
    16 issue in that whole thing is the lining of the inlet
    17 ditch. And we have estimated the cost of that at
    18 $400,000.00. That physically could be done with the
    19 system in service, we believe. We have taken a
    20 preliminary look at that. But, again, we don't think
    21 it is necessary because the treatment system itself
    22 will keep contaminants from getting into the inlet
    23 ditch. We think the controls we have in place and how
    24 the treatment system operates, we can prevent that.
    25 MRS. DHUE: Can I ask Mr. Brewster a question?
    85
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 That is also -- is that pond not near your sulfur
    2 plant?
    3 MR. BREWSTER: Please repeat.
    4 MRS. DHUE: Is that pond not near your sulfur
    5 plant?
    6 MR. BREWSTER: That is correct.
    7 MRS. DHUE: All right. How can you keep the pond
    8 from getting polluted? Before you put your privacy
    9 fence up you can drive down Rand Avenue and there was
    10 just chunks of green stuff laying all over the ground
    11 over there. How can you feel like this ditch will
    12 never be contaminated when you have that on top your
    13 soil and that might run into it anyway.
    14 MR. BREWSTER: Well, I think the point at issue
    15 here is whether benzene at levels greater than half a
    16 ppm would ever enter that ditch. Again, we have
    17 designed that system to remove that benzene before the
    18 wastewater would enter that ditch. And we feel we can
    19 be sure that the biological treatment system will
    20 prevent that.
    21 MRS. DHUE: Wouldn't it be better to line that
    22 ditch rather than to take the chance of contaminating
    23 our drinking water, which is not too far from there.
    24 If you get the benzene in the aquifer then our
    25 drinking water is contaminated. Wouldn't it be less
    86
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 expensive in the long run to line that ditch than to
    2 take the risk and chance to the public?
    3 MR. BREWSTER: There is several elements in place
    4 there. Again, the treatment of removing the benzene
    5 before it enters the ditch we think is the best
    6 solution.
    7 MRS. DHUE: But that failed.
    8 MR. BREWSTER: There is still the groundwater
    9 water monitoring system in place which would detect if
    10 there ever was a release because of this or other
    11 reasons and which would trigger the implementation of
    12 a corrective measure to prevent any impact.
    13 MRS. DHUE: But your monitoring system to see if
    14 there is benzene is already after the fact, not before
    15 the fact.
    16 MR. BREWSTER: That is correct and that -- the
    17 basic element in place here is to remove the benzene
    18 before it enters the ditch.
    19 MRS. DHUE: Thank you.
    20 HEARING OFFICER KING: Yes, sir.
    21 MR. WILLIAMS: I have another question of Mr.
    22 Brewster. This pond is over by the sulfur plant. It
    23 has been known for years that it is about the lowest
    24 spot in the plant. And when we have hard rains, Rand
    25 Avenue is shut off. The water is two to three feet
    87
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 deep. If that Rand Avenue has two or three feet of
    2 water on it, how much is coming out of the ditches,
    3 because the ditches cannot hold that. There is a very
    4 poor sewer system in that area. It is in the flood
    5 land.
    6 MR. BREWSTER: I think the flooding that occurs on
    7 Rand Avenue is totally unrelated to what happens in
    8 our west property where the treatment plant is
    9 located. The basic elevation there is several feet
    10 higher than Rand Avenue. Rand Avenue is in a
    11 depression outside of our property and the -- we don't
    12 have any flooding which overflows that ditch during
    13 rain storms.
    14 HEARING OFFICER KING: Does anyone else want to
    15 make any comments on the record?
    16 MS. CAMPBELL: Mr. Brewster, can you guarantee
    17 that there will be no ground contamination in the
    18 future, guarantee?
    19 MR. BREWSTER: I don't think anyone can guarantee
    20 that. The Agency and regulators have formulated
    21 regulations which we follow closely to detect if that
    22 ever happened and prevent it from happening, and if it
    23 ever did happen then remediate it to protect the
    24 public.
    25 MS. CAMPBELL: Mr. Brewster, can you give me an
    88
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 approximate count of individuals that live in the
    2 south Roxana area, the population count, what you
    3 think it is?
    4 MR. BREWSTER: I don't know exactly what it is. I
    5 would estimate 3,000 to 4,000, but I don't know.
    6 MS. CAMPBELL: Thank you.
    7 HEARING OFFICER KING: Does anyone else have any
    8 comments? I would like to stress that at this point
    9 that this is your chance to put your views in the
    10 record. Before when the Agency was -- or the
    11 petitioner's witnesses were testifying, several people
    12 wanted to make general statements on what they thought
    13 about Shell and what was going on. At that time I
    14 said we are restricted to just questions to them, and
    15 you will have a chance later, if you want to put what
    16 you think about anything involved in this petition on
    17 the record. This is your chance to do that now.
    18 All right. Mr. Dhue.
    19 MR. DHUE: The only thing I would like to say is
    20 that anything that man creates is not perfect. It
    21 does have fallacies. There are things that can
    22 happen. So I really don't understand why, if they
    23 have to leave this ditch open -- and I realize it
    24 would save them money, but is that the only reason?
    25 If that's the only reason that they want to keep this
    89
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 open, then I think they are wrong. I think they are
    2 wrong for the very simple reason that things are more
    3 valuable than money. The environment is more
    4 valuable. Human life and animal life is more
    5 valuable. And what you leave your grandchildren and
    6 your great grandchildren in the future is more
    7 valuable than money. So to me to say that's the only
    8 reason they want to keep that thing open, that is not
    9 a valid reason. Thank you.
    10 HEARING OFFICER KING: Thank you. Does anyone
    11 else have any comments to put on the record?
    12 All right. In that case, I would like to say that
    13 often Members of the Board attend these meetings and
    14 wanted to be here today, but today is the date of a
    15 scheduled Board meeting in Chicago, and they all had
    16 to be there for that.
    17 Are we going to do another round of briefing on
    18 this?
    19 MR. HARRINGTON: I think a short comment period
    20 would be in order to answer some of the questions that
    21 were raised during the hearing.
    22 HEARING OFFICER KING: How much time do you want
    23 to respond to the questions that were raised today?
    24 MR. PERZAN: I think we had a lot of questions,
    25 too.
    90
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 HEARING OFFICER KING: Let's go off the record for
    2 a minute.
    3 (Discussion off the record.)
    4 HEARING OFFICER KING: Back on the record. We
    5 will establish a comment period. Today is the 19th,
    6 and we have the Thanksgiving holidays coming up next
    7 week. So why don't we go through --
    8 MR. PERZAN: December 11th is three weeks and one
    9 day.
    10 HEARING OFFICER KING: Is that a Friday?
    11 MR. PERZAN: Yes.
    12 HEARING OFFICER KING: Okay. December 11th for
    13 public comments or for comments from any of the
    14 participants here.
    15 MRS. DHUE: Where would the comments be sent to?
    16 HEARING OFFICER KING: Comments are filed with the
    17 Board's office in Chicago.
    18 MRS. DHUE: Like I did for the hearing?
    19 HEARING OFFICER KING: Yes. The address for
    20 filing public comments is mailed to the office of the
    21 Clerk of the Board, Illinois Pollution Control Board,
    22 100 West Randolph street, Suite 11-500, Chicago,
    23 Illinois, 60601.
    24 I think that takes care of everything, then. That
    25 will conclude this hearing, and we look forward to
    91
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 getting everyone's comments, and hopefully get this
    2 turned around quickly after we receive them.
    3 I thank you all for coming out today and
    4 participating.
    5 (Hearing exhibits were retained by
    6 Hearing Officer King.)
    7
    8
    9
    10
    11
    12
    13
    14
    15
    16
    17
    18
    19
    20
    21
    22
    23
    24
    25
    92
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    1 STATE OF ILLINOIS )
    ) SS
    2 COUNTY OF MONTGOMERY)
    3
    4 C E R T I F I C A T E
    5
    6 I, DARLENE M. NIEMEYER, a Notary Public in and for
    7 the County of Montgomery, State of Illinois, DO HEREBY
    8 CERTIFY that the foregoing 92 pages comprise a true,
    9 complete and correct transcript of the proceedings
    10 held on the 19th of November A.D., 1998, at the
    11 Madison County Administration Building, Edwardsville,
    12 Illinois, in the Matter of: Petition of Shell Wood
    13 River Refining Company for an Adjusted Standard from
    14 35 Ill. Adm. Code, 725.213 and 725.321, in proceedings
    15 held before the Honorable Charles A. King, Hearing
    16 Officer, and recorded in machine shorthand by me.
    17 IN WITNESS WHEREOF I have hereunto set my hand and
    18 affixed my Notarial Seal this 3rd day of December
    19 A.D., 1998.
    20
    21
    Notary Public and
    22 Certified Shorthand Reporter and
    Registered Professional Reporter
    23
    CSR License No. 084-003677
    24 My Commission Expires: 03-02-99
    25
    93
    KEEFE REPORTING COMPANY
    Belleville, Illinois

    Back to top