Respondent was engaged in the pork processing business and operated a closed-loop refrigeration system at the Facility which utilized anhydrous ammonia as a refrigerant. Respondent also owned and operated an anhydrous ammonia storage tank at the Facility. Respondent used and stored up to 153,000 lbs. of anhydrous ammonia in the Facility’s refrigeration system and stored up to 21,456 lbs. of anhydrous ammonia in a storage tank at the Facility. On July 12, 2012, EPA inspected the Facility. The purpose of the inspection was to determine whether the Respondent was complying with Section 112(r) of the Act and the regulations implementing Section 112(r) at 40 C.F.R. Part 68 at the Facility.
Under 40 C.F.R. §68.67(a), Respondent was required to conduct a process hazard analysis on the anhydrous ammonia storage process. The regulations require that the process hazard analysis be appropriate to the complexity of the process and identify, evaluate, and control the hazards involved in the process. Respondent conducted a process hazard analysis from June 29, 2010 to July 2, 2010, and identified deficiencies, among them a failure to have catwalks above the condenser, and the failure to install recirculator vessels. Contrary to the requirements of 40 C.F.R. §§ 68.67(a) and (c)(4), Respondent did not remedy all of the deficiencies identified by the process hazard analysis. Catwalks above the condenser and recirculator vessels were not added until 2015. Respondent failed to address in its process hazard analysis the Facility’s engineering and administrative controls, in violation of 40 C.F.R. § 68.67(c)(3) from June 29, 2010 to June 18, 2015.
Pursuant to 40 C.F.R. § 68.71(h), Respondent was required to provide refresher training at least every three years, and more often if necessary, to each employee involved in operating a process to assure that the employee understands and adheres to the current operating procedures of the process.
Respondent failed to provide refresher training at least every three years to each employee involved in operating a process to assure that the employee understands and adheres to the current operating procedures of the process, violating 40 C.F.R. § 68.71(b).
Under 40 C.F.R. § 68.73(d)(1) and (2), Respondent was required to conduct inspection and testing following recognized and generally accepted good engineering practices. The frequency of inspections and tests of process equipment was mandated to be consistent with applicable manufacturers’ recommendations and good engineering practices, and more frequently if determined to be necessary by prior operating experience.
40 C.F.R. § 68.73(d)(4) directed Respondent to document each inspection and test that had been performed on process equipment (identifying the date of the inspection or test, the name of the person who performed the inspection or test, the serial number or other identifier of the equipment on which the inspection or test was performed, a description of the inspection or test performed, and the results of the inspection or test).
Respondent was required to correct deficiencies in equipment that are outside acceptable limits before further use or in a safe and timely manner when necessary means are taken to assure safe operation. 40 C.F.R. § 68.73(e).
In March 2011, Respondent calculated the ventilation rate in the Facility’s engine room and, based on the calculation, the ventilation system did not meet the minimum ventilation rate needed in accordance with the International Institute of Ammonia Refrigeration (IIAR) Standard 2. In June 2011, a mechanical integrity inspection of the facility’s entire system was conducted by an independent inspector.
Based on the inspection report, the size of the relief vent headers for three of the chillers were below the recommended size under the industry standards described in the American Society of Heating, Refrigerating and Air-Conditioning Engineers (ASHRAE)-15 and IIAR-2.
On July 12, 2012, EPA requested copies of the annual inspection reports conducted on the Facility’s ammonia refrigeration equipment. Respondent failed to provide the inspection reports at the time of the inspection, but did provide these reports shortly thereafter.
Respondent failed to conduct inspections and tests at the facility following recognized and generally accepted good engineering practices, violating 40 C.F.R. § 68.73(d)(1) and (2) from July 12, 2012 to July 2015.
Respondent failed to document each inspection and test that has been performed on the Facility’s process equipment (identifying the date of the inspection or test, the name of the person who performed the inspection or test, the serial number or other identifier of the equipment on which the inspection or test was performed, a description of the inspection or test performed, and the results of the inspection or test), in violation of 40 C.F.R. § 68.73(d)(4) from July 12, 2012 to July 2015. On October 14, 2014, Respondent informed EPA that the Facility’s ventilation system was upgraded on August 9, 2012. Respondent failed to correct deficiencies in the Facility’s ventilation system, in violation of 40 C.F.R. § 68.73(e), from June 2011 to August 2012.
Respondent failed to correct deficiencies in the Facility’s relief vent headers for the three chillers, in violation of 40 C.F.R. § 68.73(e), from June 2011 to July 2012.
Respondent failed to inspect all the piping in the Facility’s refrigeration system per IIAR Bulletin Number 109, Section 4.7, from August 11, 2009 to December 2015.
On September 3, 2009, pursuant to 40 C.F .R. § 68.150(b)(3), Respondent submitted the Facility’s RMP for the refrigeration system but failed to include the anhydrous ammonia storage tank.
Respondent failed to submit an RMP for the anhydrous ammonia storage tank, violating 40 C.F.R. § 68.150(b)(3), from August 2009 to September 2013.
Civil Penalty
Based on analysis of the factors specified in Section 113(e) of the CAA, 42 U.S.C. § 7413(e), the facts of this case and Respondent’s cooperation, Complainant has determined that an appropriate civil penalty to settle this action is $79,165.50.
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