Albemarle Corporation (Board decision, November 30, 2006)

Plain-English summary

Albemarle Corporation disclosed that two drums containing bromochloromethane were exported to Canada for transformation, that three export reports were filed late, and that other recordkeeping, reporting, and certification failures occurred. The Consent Agreement states that the violations concerned Title VI of the Clean Air Act and the stratospheric ozone protection requirements in 40 C.F.R. part 82. Albemarle neither admitted nor denied the factual allegations, waived appeal and hearing rights, and agreed to pay a $52,000 penalty within 30 days after receiving the conformed Final Order. The order also provides for interest, collection costs, attorney fees, and nonpayment penalties if the penalty is not paid on time.

Decision snapshot

• Cited authorities: 42 U.S.C. § 7413; 40 C.F.R. §§ 22.13, 22.18, and 82.4, 82.11, and 82.13; 31 U.S.C. § 3717; 26 U.S.C. § 6621.
• Outcome: Settled. The Consent Agreement and Final Order assessed a $52,000 civil penalty.
• Key point: Voluntary self-reporting resolved the stated stratospheric ozone protection violations, while the order preserved collection remedies for late payment.

Full text (EPA EAB public release)

RECEIVED
U.5. E.P.A.
UNITED STATES ENVIRONMENTAL PROTECTION AGENCY
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IN THE MATTER OF: )
-
) :',::?. APPEALS BOARD
)
Albemarle Corporation ) DOCKET NO. CAA-HQ-2006
)
) CONSENT AGREEMENT and
Respondent. ) FINAL ORDER

     Pursuant to § 113 of the Clean Air Act, and based upon the available information,

the United States Environmental Protection Agency ("EPA") makes and issues the

following order.

               CONSENT AGREEMENT AND FINAL ORDER

                          I. PRELIMINARY STATEMENT

     1. Albemarle Corporation, hereinafter referred to as Respondent, is a United

States Corporation with corporate headquarters in Richmond, VA and operation

headquarters in Baton Rouge, LA.

     2. Respondent voluntarily disclosed to EPA on April 6,2005, that two 215-

kilogram drums containing bromochloromethane had been exported to Canada between

September 2004 and late January 2005 for transformation, but transformation did not

occur.

     3. Respondent voluntarily disclosed to EPA on April 22,2005, that three export

reports had not been filed in a timely manner in violation of 40 C.F.R. § 82.13

     4. Respondent voluntarily disclosed to EPA on July 19,2005, several instances of

recordkeeping, reporting, and certification failures in violation of 40 C.F.R. Part 82.

    5. This Consent Agreement and Final Order ("CAFO") is issued pursuant to the

authority of 40 C.F.R. §§ 22.13(b), 22.18(b)(2) and (3), which pertain to the quick

resolution and settlement of matters without the filing of a complaint.

    6. This Consent Agreement and Final Order resolves the liability for the

violations enumerated in Paragraphs 2,3, and 4 that were discovered pursuant to an audit

regarding Respondent's compliance with Title VI of the Clean Air Act, Stratospheric

Ozone Protection, and more particularly 40 C.F.R. § 82.4(a), 40 C.F.R. § 82.1 l(a)(l)(ix),

40 C.F.R. § 82.13(f)(2)(xiii), 40 C.F.R. § 82.13(f)(2)(xviii),40 C.F.R. § 82.13(f)(3)(v),

40 C.F.R. § 82.13(f)(3)(vi); 40 C.F.R. § 82.13(f)(vii); 40 C.F.R. § 82.13(f)(3)(viii), 40

C.F.R. 8 82.13(f)(3)(xv, and 40 C.F.R. § 82.13(q).

   7. As a result of the voluntary audit and self-reporting of these violations, the

Environmental Protection Agency and Respondent have agreed to resolve this matter by

executing this Consent Agreement.

   8. EPA alleges that one or more of the violations referenced in Paragraphs 2,3,

and 4 constitutes a violation of 40 C.F.R. Part 82.

                           11. CONSENT AGREEMENT

   9. EPA and Respondent have agreed to resolve this matter by executing this

Consent Agreement.

    10. For the purposes of this proceeding, Respondent does not contest the

jurisdiction of the EPA under § 113 of the Clean Air Act, and consents to the assessment

of civil penalties specified below.

     11. Respondent neither admits nor denies the factual allegations contained in this

Consent Agreement.

     12. Respondent represents that it is duly authorized to execute this Consent

Agreement and that the party signing this Agreement on its behalf is duly authorized to

bind Respondent to the terms of this Consent Agreement.

     13. Respondent waives all rights to appeal this Final Order or request an

adjudicatory hearing on any issue addressed in this Consent Agreement.

     14. Respondent agrees not to claim a federal income tax deduction or credit

covering any or all parts of the civil penalty paid to the United States Treasurer.

     15. Respondent and EPA stipulate to the issuance of the proposed Final Order

below.

     Albemarle Corporation, Respondent



     (Print name)   %Y id C. Z V - ~ ~ L
                         L




     United States Environmental Protection Agency, Complainant

                                                          Dated: [illegible]
     Headquarters EPA


                                  111. FINAL ORDER

   IT IS HEREBY ORDERED and ADJUDGED as follows:

   15. Respondent shall comply with all terms of the Consent Agreement.

   16. For the reasons set forth above, Respondent is hereby assessed a penalty in the

amount of $52,000.00 in resolution of the violations alleged.

   17. Respondent shall pay the assessed penalty no later than (30) calendar days

from the date a conformed copy of this Consent Agreement and Final Order ("CAFO") is

received by Respondent.

   18. All payments under this CAFO shall be made by certified check or money

order, payable to the United States Treasurer, mailed to:

                          U.S. Environmental Protection Agency
                          (Washington D.C. Hearing Clerk)
                          P.O. Box 360277
                          Pittsburgh, PA 15251-6277


   A transmittal letter, indicating Respondent's name, complete address, and this

case docket number must accompany the payment. Respondent shall file a copy of the

check and transmittal letter with the Headquarters Hearing Clerk at this address:

   Sybil Anderson, Headquarters Hearing Clerk
   U.S. Environmental Protection Agency
   Ariel Rios Building (1900L)
   1200 Pennsylvania Avenue, N. W.
   Washington, D.C. 20460-0001



   19. Failure to pay the penalty assessed under this CAFO may subject Respondent

to a civil action pursuant to Section § 113(d)(5) of the CAA, 42 U.S.C. § 7413(d)(5), to

collect any unpaid portion of the assessed penalty, with interest, handling charges,

enforcement expenses, including attorneys fees, and nonpayment penalties. In any such

action, the validity, amount, and appropriateness of this order or the penalty assessed

hereunder are not subject to review.

   20. Pursuant to 42 U.S.C. § 7413(d)(5) and 31 U.S.C. § 3717, Respondent shall

pay the following amounts:

           A. Interest. Any unpaid portion of the assessed penalty shall bear interest

           in the rate established pursuant to 26 U.S.C. § 6621(a) from the date a

           conformed copy of this CAFO is received by Respondent, provided,

           however, that no interest shall be payable on any portion of the assessed

           penalty that is paid within 30 days of the date a copy of this CAFO is

           received by Respondent.

           B. Attorney's Fees, Collection Costs, Nonpayment Penalty. Pursuant to

           42 U.S.C. 5 7413(d)(5), should Respondent fail to pay on a timely basis

           the amount of the assessed penalty, Respondent shall be required to pay, in

           addition to such penalty and interest, the United States' enforcement

           expenses. This includes, but is not limited to, attorney fees and costs

           incurred by the United States for collection proceedings, and a quarterly

           nonpayment penalty for each quarter during which such failure to pay

           persists. Such nonpayment penalty shall be ten percent of the aggregate

           amount of Respondent's outstanding penalties and nonpayment penalties

           accrued from the beginning of such quarter.


   21. Each party shall bear its own costs, fees, and disbursements in this action.

   22. The provisions of this CAFO shall be binding on Respondent, its officers,

directors, employees, agents, servants, authorized representatives, successors, and

assigns.

   IT IS SO ORDERED
                                    f

   DATED this              day of   b~&                 , ,2006


   Environmental Appeals Board


                             CERTIFICATE OF SERVICE

             I certify that the forgoing Consent Agreement and Final Order was sent to
     the following persons, in the manner specified, on the date below:

By inter-office mail:

Charles Garlow, Attorney1 Zofia Kosim, Engineer
Air Enforcement Division, Mail Code 2242A
U.S. Environmental Protection Agency
1200 Pennsylvania Ave, NW
Washington, D.C. 20460

Copy by certified mail, return receipt requested:

Tracy Heinzman, Counsel for Respondent
Wiley, Rein and Fielding, LLP
1776 K Street, NW
Washington, D.C. 20006

      NOV 3 0 2006

Dated:

                                  Secretary