Lisa Madigan
All )RNEI ( ENF-(AL
Dorothy Gunn, Clerk
Illinois Pollution Control Board
100 West Randolph Street
Suite 11-500
Chicago, Illinois 60601-3286
Re: People v.
North American Lighting, Inc ., a Michigan corporation
PCB No. 06-78
Dear Clerk Gunn
:
Enclosed for filing please find the original and ten copies of a NOTICE OF FILING,
MOTION FOR RELIEF FROM HEARING REQUIREMENT and STIPULATION AND
PROPOSAL FOR SETTLEMENT in regard to the above captioned matter
. Please file the
originals and return file-stamped copies to our office in the enclosed, self-addressed envelope
.
Thank you for your cooperation and consideration
.
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OFFICE OF THE ATTORNEY GENERAL
STATE OF ILLINOIS
March 26, 2007
RECEIVEDCLERK'S
OFFICE
MAR 2 0 2007
STATE OF ILLINOIS
Pollution Control Board
Raymond J . C Ilery
Assistant Attorney General
500 South Second Street
Springfield, Illinois 62706
1001 Last Main, Carbondale, Illinois 62901 • (618) 529-6400 • TTY: (618) 529-6403 •
Fax : (618) 529-6416
RJC/pp
Enclosures
500 South Second Street, Springfield, Illinois 62706 • (217) 782-1090 •
TTY: (217) 785-2771 •
Fax : (217) 782-7046
100 West Randolph Street, Chicago, Illinois 60601 • (312) 814-3000 •
TTY: (312) 814-3374 •
Fax : (312) 814-3806
BEFORE THE ILLINOIS POLLUTION CONTROL
BOA#ECEIVED
CLERK'S
OFFICE
PEOPLE OF THE STATE OF ILLINOIS,
)
MAR 2
61 2007
Complainant,
)
STATE OF ILLINOIS
Pollution Control Board
-Vs-
) PCB No. 06-78
(Enforcement)
NORTH AMERICAN LIGHTING, INC.,
)
a Michigan corporation,
)
Respondent .
)
NOTICE OF FILING
To:
James L
. Curtis
Seyfarth Shaw LLP
131 S . Dearborn Street
Suite 2400
Chicago, IL 60603
PLEASE TAKE NOTICE that on this date I mailed for filing with the Clerk of the Pollution
Control Board of the State of Illinois, a MOTION FOR RELIEF FROM HEARING REQUIREMENT
and STIPULATION AND PROPOSAL FOR SETTLEMENT, copies of which
are attached hereto
and herewith served upon you .
Respectfully submitted,
PEOPLE OF THE STATE OF ILLINOIS
LISA MADIGAN,
Attorney General of the
State of Illinois
MATTHEW J . DUNN, Chief
Environmental E
cement/Asbest s
Litigatio Divi
BY: RAYMOND
JN/
. CALLERY
Assistant Attorney General
Environmental Bureau
500 South Second Street
Springfield, Illinois 62706
217/782-9031
Dated : March 26, 2007
CERTIFICATE OF SERVICE
I hereby certify that I did on March 26, 2007, send by First Class Mail, with postage
thereon fully prepaid, by depositing in a United States Post Office Box a true and correct copy of
the following instruments entitled NOTICE OF FILING, MOTION FOR RELIEF FROM HEARING
REQUIREMENT and STIPULATION AND PROPOSAL FOR SETTLEMENT
To :
James L . Curtis
Seyfarth Shaw LLP
131 S . Dearborn Street
Suite 2400
Chicago, IL 60603
and the original and ten copies by First Class Mail with postage thereon fully prepaid of the same
foregoing instrument(s)
To:
Dorothy Gunn, Clerk
Illinois Pollution Control Board
James R
. Thompson Center
Suite 11-500
100 West Randolph
Chicago, Illinois 60601
A copy was also sent by First Class Mail with postage thereon fully prepaid to :
Carol Webb
Hearing Officer
Illinois Pollution Control Board
1021 North Grand Avenue East
Springfield, IL 62794
This filing is submitted on recycled paper .
,7
j
ymond J . Gallery
`,
Assistant Attorney General
BEFORE THE ILLINOIS
POLLUTION CONTROL BOA
R
CLERKS
E
C EOFFICEI
V E D
PEOPLE OF THE STATE OF ILLINOIS, )
MAR 2 8 2007
Complainant,
STATE OF ILLINOIS
)
Pollution Control Board
v.
)
PCB No. 06-78
(Enforcement -
Air)
NORTH AMERICAN LIGHTING, INC .,
)
a Michigan corporation,
)
Respondent
.
)
MOTION FOR RELIEF FROM HEARING REQUIREMENT
NOW COMES Complainant, PEOPLE OF THE STATE OF ILLINOIS, by LISA
MADIGAN, Attorney General of the State of Illinois, and pursuant to Section 31 (c)(2) of the
Illinois Environmental Protection Act ("Act"), 415 ILCS 5/31(c)(2) (2004), moves that the Illinois
Pollution Control Board grant the parties in the above-captioned matter relief from the hearing
requirement imposed by Section 31 (c)(1) of the Act, 415 ILCS 5/31 (c)(1) (2004) . In support of
this motion, Complainant states as follows :
The parties have reached agreement on all outstanding issues in this matter .
2 .
This agreement is presented to the Board in a Stipulation and Proposal for
Settlement, filed contemporaneously with this motion .
3 .
All parties agree that a hearing on the Stipulation and Proposal for Settlement is
not necessary, and respectfully request relief from such a hearing as allowed by Section
31(c)(2) of the Act, 415 ILCS 5/31(c)(2) (2004) .
1
WHEREFORE, Complainant, PEOPLE OF THE STATE OF ILLINOIS, hereby requests
that the Board grant this motion for relief from the hearing requirement set forth in Section
31(c)(1) of the Act, 415 ILCS 5/31(c)(1) (2004)
.
Respectfully submitted,
PEOPLE OF THE STATE OF ILLINOIS
LISA MADIGAN
ATTORNEY GENERAL
500 South Second Street
Springfield, Illinois 62706
217/782-9031
Dated
: February 27, 2007
2
MATTHEW J
. DUNN, Chief
Environmental Enforcement/Asbestos
Litig ion
ivision
RAYMOND J
. CALLERY
Environmental Bureau
Assistant Attorney General
BY:
BEFORE THE ILLINOIS POLLUTION CONTROL BOARItERK'S
RECEIVEDOFFICE
MAR 2 8 2007
PEOPLE OF THE STATE OF ILLINOIS,
)
Pollution
STATE OFControl
ILLINOIS
Board
Complainant,
)
v.
) PCB No.06-78
NORTH AMERICAN LIGHTING, INC
., a ) (Enforcement
- Air)
Michigan corporation,
)
Respondent .
)
STIPULATION AND PROPOSAL FOR SETTLEMENT
TABLE OF CONTENTS
I. JURISDICTION
2
II.
AUTHQRIZATION
2
III . STATEMENT OF FACTS
2
A.
Parties
2
B.
Site Description
3
C .
Allegations of Non-Compliance
4
D.
Non-Admission of Violations
4
IV.
APPLICABILITY
4
V.
COMPLIANCE WITH OTHER LAWS AND REGULATIONS
5
VI.
IMPACT ON THE PUBLIC RESULTING FROM ALLEGED
NON-COMPLIANCE
5
VII.
CONSIDERATION OF SECTION 42(h) FACTORS
6
VIII
. TERMS OF SETTLEMENT
8
A.
Penalty Payment
8
B .
Cease and Desist
10
C.
Release from Liability
10
D.
Correspondence, Reports and Other Documents
11
E.
Enforcement of Board Order
12
BEFORE THE ILLINOIS POLLUTION CONTROL BOARD
PEOPLE OF THE STATE OF ILLINOIS,
)
Complainant,
)
V .
)
PCB No. 06-78
NORTH AMERICAN LIGHTING, INC ., a )
(Enforcement
- Air)
Michigan corporation,
)
Respondent.
)
STIPULATION AND PROPOSAL FOR SETTLEMENT
Complainant, PEOPLE OF THE STATE OF ILLINOIS, by LISA MADIGAN, Attorney
General of the State of Illinois, the Illinois Environmental Protection Agency ("Illinois EPA"),
and NORTH AMERICAN LIGHTING, INC
., a Michigan corporation ("Respondent"), have
agreed to the making of this Stipulation and Proposal for Settlement ("Stipulation") and submit it
to the Illinois Pollution Control Board ("Board") for approval
. The parties agree that the
statement of facts contained herein represents a fair summary of the evidence and testimony
which would be introduced by the parties if a hearing were held
. The parties further stipulate
that this statement of facts is made and agreed upon for purposes of settlement only and that
neither the fact that a party has entered into this Stipulation, nor any of the facts stipulated
herein, shall be introduced into evidence in any other proceeding regarding the claims asserted in
the Complaint except' as otherwise provided herein
. If the Board approves and enters this
Stipulation, Respondent agrees to be bound by the Stipulation and Board Order and not to
contest their validity in any subsequent proceeding to implement or enforce their terms
.
I.
JURISDICTION
The Board has jurisdiction of the subject matter herein and of the parties consenting
hereto pursuant to the Illinois Environmental Protection Act
("Act"), 415 ILCS 5/1 et seq
.
(2004) .
II.
AUTHORIZATION
The undersigned representatives for each party certify that they are fully authorized by
the party whom they represent to enter into the terms and conditions of this Stipulation and to
legally bind them to it
.
STATEMENT OF FACTS
A.
Parties
On November 17, 2005, a Complaint was filed on behalf of the People of the
State of Illinois by Lisa Madigan, Attorney General of the State of Illinois, on her own motion
and upon the request of the Illinois EPA, pursuant to Section 31 of the Act, 415 ILCS 5/31
(2004), against the Respondent.
2.
The Illinois EPA is an administrative agency of the State of Illinois, created
pursuant to Section 4 of the Act, 415 ILCS 5/4 (2004)
.
3 .
At all times relevant to the Complaint, Respondent was and is a Michigan
2
corporation that is authorized to transact business in the State of Illinois
.
B.
Site Description
1 .
At all times relevant to the Complaint, Respondent owned and operated a
manufacturing facility located at 20 Industrial Park, Flora, Clay County, Illinois (the "site")
.
2.
Respondent is a manufacturer of automotive headlamps, fog lamps, and auxiliary
systems
. In its manufacturing, Respondent uses a number of chemicals, including sodium
hydroxide and hydrochloric acid ("HCI")
.
3 .
At some point prior to December 2001, the Respondent arranged for the
installation at the site of two approximately 5000 gallon single-walled fiberglass tanks for the
bulk storage of sodium hydroxide and HCI
.
4
. On December 16, 2001, at approximately 3
:30 p.m., the tank used to store HCI
failed at the bottom, releasing HCI into the secondary containment structure
; the tank had been
filled on December 11, 2001
.
5.
An employee of the Respondent notified the Illinois Emergency Management
Agency ("IEMA") of the release and local police, fire department, and other first responders
were subsequently dispatched to the site
. Complainant alleges that an HCI vapor cloud was
released from Respondent's facility on December 16, 2001
. Respondent disagrees and denies
that any vapor cloud was released
.
6.
An inspection by the Illinois EPA on December 18, 2001, confirmed the HCl
release.
7.
On April 25, 2002, the Illinois EPA was provided with the results of analytical
3
sampling of soils from the site which showed that all samples tested below the Tiered Approach
to Corrective Action Objectives remediation objectives .
C.
Allegations of Non-Compliance
Complainant contends that the Respondent has violated the following provisions of the
Act and Board regulations :
Count I :
Air Pollution, in violation of Section 9(a) of the Act, 415 ILCS 5/9(a)
(2004), and 35 Ill . Adm
. Code 201 .141 .
D.
Non-Admission of Violations
The Respondent represents that it has entered into this Stipulation for the purpose
of settling and compromising disputed claims without having to incur the expense of contested
litigation
. By entering into this Stipulation and complying with its terms, the Respondent does
not affirmatively admit the allegations of violation within the Complaint and referenced within
Section III.C
herein, those allegations being specifically denied, and this Stipulation shall not be
interpreted as including such admission
.
IV
.
APPLICABILITY
This Stipulation shall apply to and be binding upon the Complainant and the Respondent,
and any officer, director, agent, or employee of the Complainant or the Respondent, as well as
any successors or assigns of the Respondent
. Neither party shall raise as a defense to any
enforcement action taken pursuant to this Stipulation the failure of any of its officers, directors,
4
agents, employees or successors or assigns to take such action as shall be required to comply
with the provisions of this Stipulation
.
V.
COMPLIANCE WITH OTHER LAWS AND REGULATIONS
This Stipulation in no way affects the responsibilities of the Respondent to comply with
any other federal, state or local laws or regulations including, but not limited to, the Act and the
Board regulations, 35 Ill . Adm. Code, Subtitles A through H
.
VI.
IMPACT ON THE PUBLIC RESULTING FROM ALLEGED NON-COMPLIANCE
Section 33(c) of the Act, 415 ILCS 5/33(c) (2004), provides as follows
:
In making its orders and determinations, the Board shall take into
consideration all the facts and circumstances bearing upon the reasonableness of
the emissions, discharges, or deposits involved including, but not limited to
:
1 .
the character and degree of injury to, or interference with the protection of
the health, general welfare and physical property of the people ;
2.
the social and economic value of the pollution source ;
3.
the suitability or unsuitability of the pollution source to the area in which
it is located, including the question of priority of location in the area
involved;
4.
the technical practicability and economic reasonableness of reducing or
eliminating the emissions, discharges or deposits resulting from such
pollution source ; and
5.
any subsequent compliance
.
In response to these factors, the parties state the following
:
5
1 .
Complainant contends that the injury to, or interference with, the protection of the
health, general welfare, and physical property of the People would be characterized as a potential
for air pollution and the degree of injury would be dependent upon the extent of the pollution and
the degree of exposure of that pollution
. Respondent contends that there was no injury to, or
interference with the protection of the health, general welfare and physical property of the
People.
2.
The parties agree that Respondent's facility is of social and economic benefit
.
3.
The parties agree that the operation of the facility is suitable for the area in which
it is located .
4.
The parties agree that complying with the Act and regulations regarding the site is
both technically practicable and economically reasonable
.
5.
The parties agree that Respondent has subsequently complied with the Act and the
Board Regulations .
VII.
CONSIDERATION OF SECTION 42(h) FACTORS
Section 42(h) of the Act, 415 ILCS 5/42(h) (2004), provides as follows
:
In determining the appropriate civil penalty to be imposed under
. . . this Section,
the Board is authorized to consider any matters of record in mitigation or
aggravation of penalty, including but not limited to the following factors
:
1 .
the duration and gravity of the violation
;
2 .
the presence or absence of due diligence on the part of the respondent in
attempting to comply with requirements of this Act and regulations
thereunder or to secure relief therefrom as provided by this Act
;
6
3.
any economic benefits accrued by the respondent because of delay in
compliance with requirements, in which case the economic benefits shall
be determined by the lowest cost alternative for achieving compliance
;
4.
the amount of monetary penalty which will serve to deter further
violations by the respondent and to otherwise aid in enhancing voluntary
compliance with this Act by the respondent and other persons similarly
subject to the Act ;
5.
the number, proximity in time, and gravity of previously adjudicated
violations of this Act by the respondent ;
6.
whether the respondent voluntarily self-disclosed, in accordance with
subsection i of this Section, the non-compliance to the Agency ; and
7.
whether the respondent has agreed to undertake a "supplemental
environmental project," which means an environmentally beneficial
project that a respondent agrees to undertake in settlement of an
enforcement action brought under this Act, but which the respondent is not
otherwise legally required to perform .
In response to these factors, the parties state as follows :
1 .
The alleged violation lasted no more than one day
.
2 .
Complainant contends that the Respondent failed to act with appropriate diligence
in preparing for and responding to the chemical release at its facility
. Respondent denies that it
failed to act with due diligence in preparing for or responding to the December 16, 2001 release .
3 .
Complainant contends that Respondent would have incurred certain costs in
providing additional training of its employees in the proper implementation of its release
contingency plan . Respondent contends that it received no recognizable economic benefit as a
result of the December 16, 2001 release and that it properly trained its employees in the
implementation of its emergency response plan
.
4.
Complainant has determined, based upon the specific facts of this matter, that a
7
penalty of Twenty Thousand Dollars ($20,000.00) will serve to deter further violations and aid in
future voluntary compliance with the Act and Board regulations
.
5 .
Respondent has no previously adjudicated violations of the Act
.
6 .
Self-disclosure is not at issue in this matter .
7 .
The settlement of this matter does not include a supplemental environmental
project.
VIII.
TERMS OF SETTLEMENT
A.
Penalty Payment
1 .
The Respondent shall pay a civil penalty in the sum of Twenty Thousand Dollars
($20,000
.00) within thirty (30) days from the date the Board adopts and accepts this Stipulation.
The Respondent stipulates that payment has been tendered to Respondent's attorney of record in
this matter in a form acceptable to that attorney
. Further, Respondent stipulates that said
attorney has been directed to make the penalty payment on behalf of Respondent, within thirty
(30) days from the date the Board adopts and accepts this Stipulation, in a manner prescribed
below. The penalty described in this Stipulation shall be paid by check, payable to the Illinois
EPA, designated to the Illinois Environmental Protection Trust Fund and submitted to
:
Illinois Environmental Protection Agency
Fiscal Services Section
1021 North Grand Avenue East
P
.O
. Box 19276
Springfield, IL 62794-9276
The name and number of the case and Respondent's Federal Employer Identification Number
8
(FEIN), 37-1131470, shall appear on the check
. A copy of the check and any transmittal letter
shall be sent to :
Raymond J . Callery
Assistant Attorney General
Environmental Bureau
500 South Second Street
Springfield, Illinois 62706
and
John P . Waligore
Assistant Counsel
Illinois Environmental Protection Agency
1021 North Grand Avenue East
P.O. Box 19276
Springfield, Illinois 62794-9276
2.
Pursuant to Section 42(g) of the Act, 415 ILCS 5/42(g) (2004), interest shall
accrue on any payment not paid within the time period prescribed above at the maximum rate
allowable under Section 1003(a) of the Illinois Income Tax Act, 35 ILCS 5/1003 (2004)
.
Interest on any unpaid payment shall begin to accrue from the date the payment is due and
continue to accrue until the date payment is received
. When partial payment(s) are made, such
partial payment shall be first applied to any interest on unpaid payment then due and owing
. All
interest on payment owed shall be paid by certified check, money order or electronic funds
transfer, payable to the Illinois EPA, designated to the Illinois Environmental Protection Trust
Fund and delivered to the address and in the manner described above
.
3.
For purposes of payment and collection, Respondent may be reached at the
following address :
James L
. Curtis, Esq .
Seyfarth Shaw LLP
9
131 S . Dearborn Street
Suite 2400
Chicago, Illinois 60603
(312) 460-5000 (main)
(312) 460-7000 (fax)
4.
In the event of default of this Section VILLA, the Complainant shall be entitled to
all available relief including, but not limited to, reasonable costs of collection and reasonable
attorney's fees .
B.
Cease and Desist
The Respondent shall cease and desist from future violations of the Act and Board
regulations that were the subject matter of the Complaint as outlined in Section III
.C of this
Stipulation
.
C.
Release from Liability
In consideration of the Respondent's payment of the $ 20,000
.00 penalty and its
agreement to Cease and Desist as contained in Section VIII
.B, and upon the Pollution Control
Board's acceptance and approval of the terms of this Stipulation and Proposal for Settlement, the
Complainant releases, waives and discharges the Respondent from any further liability or
penalties for violations of the Act and Board Regulations that were the subject matter of the
Complaint herein
. The release set forth above does not extend to any matters other than those
expressly specified in Complainant's Complaint filed on November 17, 2005
. The Complainant
reserves, and this Stipulation is without prejudice to, all rights of the State of Illinois against the
Respondent with respect to all other matters, including but not limited to, the following
:
10
a.
criminal liability ;
b.
liability for future violation of state, federal, local, and common laws and/or
regulations ;
c .
liability for natural resources damage arising out of the alleged violations
; and
d.
liability or claims based on the Respondent's failure to satisfy the requirements of
this Stipulation .
Nothing in this Stipulation is intended as a waiver, discharge, release, or covenant not to
sue for any claim or cause of action, administrative or judicial, civil or criminal, past or future, in
law or in equity, which the State of Illinois or the Illinois EPA may have against any person, as
defined by Section 3 .315 of the Act, 415 ILCS 5/3
.315 (2004), or entity other than the
Respondent .
D.
Correspondence, Reports and Other Documents
Any and all correspondence, reports and any other documents required under this
Stipulation, except for payments pursuant to Sections VIILA ("Penalty Payment") shall be
submitted as follows:
As to the Complainant :
Raymond J. Callery
Assistant Attorney General
Environmental Bureau
500 South Second Street
Springfield, Illinois 62706
and
John P . Waligore
Assistant Counsel
Illinois EPA
1021 North Grand Avenue East
I1
P .O. Box 19276
Springfield, Illinois 62794-9276
As to the Respondent
James L
. Curtis, Esq .
Seyfarth Shaw LLP
131 S. Dearborn Street
Suite 2400
Chicago, Illinois 60603
(312) 460-5000 (main)
(312) 460-7000 (fax)
E.
Enforcement of Board Order
1 .
Upon the entry of the Board's Order approving and accepting this Stipulation and
Proposal for Settlement, that Order is a binding and enforceable order of the Illinois Pollution
Control Board and may be enforced as such through any and all available means
.
2.
The parties agree that notice of any subsequent proceeding to enforce the Board
Order approving and accepting this Stipulation and Proposal for Settlement may be made by mail
and waive any requirement of service of process
.
3 .
The parties agree that, if the Board does not approve and accept this Stipulation
and Proposal for Settlement, then neither party is bound by the terms herein
.
12
BY:
ILLINOIS E VIRONMENTAL PROTECTION AGENCY
BY : G,
UN'--,
DATE
: 2~2~I01
RO
.MES A
Chief Legal Counsel
NORTH AMERICAN LIGHTING, INC .
~~G
E1ZlIhY
General
pager, Finance & Accounting
13
DATE:
3/x`07
WHEREFORE, Complainant and Respondent request that the Board adopt and accept the
foregoing Stipulation and Proposal for Settlement as written .
PEOPLE OF THE STATE OF ILLINOIS,
LISA MADIGAN
Attorney General
State of Illinois
MATTHEW J . DUNN, Chief
Environmental Enforcement/
Asbestos Litigation Division
BY:
THOMAS E. DAVIS, Chief
DATE: >
w
7
Environmental Bureau
Assistant Attorney General
