4.4.14
Oil Spill
National Fish & Wildlife Foundation approves $144.5 million for Caminada
beach restoration
Mark Schleifstein
The Times-Picayune
April 03, 2014 at 2:59 PM
The National Fish and Wildlife Foundation announced Thursday (April 3) that
it has approved another $144.5 million of BP and Transocean criminal fine
money for construction of the Caminada Headland Beach and Dune Restoration
project in Lafourche Parish.
http://www.nola.com/environment/index.ssf/2014/04/national_fish_wildlife_foundat.html#incart_river
$144.5M in oil spill fines will be used for restoration of beach near Grand
Isle
THE ASSOCIATED PRESS
April 03, 2014
PORT FOURCHON, Louisiana — The foundation overseeing use of fines from the
2010 Gulf of Mexico oil spill has approved $144.5 million to complete the
restoration of a beach near Grand Isle.
http://www.therepublic.com/w/LA--Gulf-Oil-Spill-Beach-Restoration
State
Army Corps pursuing plans to restore Mississippi Barrier Islands
WLOX
BILOXI, MS (WLOX) -Mississippi's Barrier Islands provide abundant
recreation, and they help protect us from storms.
The Army Corps of Engineers held a public meeting at the DMR headquarters
Thursday evening to discuss its plans to help restore the islands.
http://www.wlox.com/story/25158827/army-corps-pursuing-plans-to-restore-mississippi-barrier-islands
Army Corps of Engineers gives a look at Mississippi Barrier Island project
Sun Herald
BY PAUL HAMPTON
BILOXI -- At a public workshop Thursday, South Mississippians got a
detailed look at a massive U.S. Army Corps of Engineers project to repair
hurricane damage to the barrier islands off the Coast.
http://www.sunherald.com/2014/04/03/5469878/army-corps-of-engineers-gives.html?sp=/99/184/185/
MDEQ awards solid waste grant to Lawrence County
Lawrence County Press
The Mississippi Department of Environmental Quality (MDEQ) awarded Lawrence
County a solid waste assistance grant of $11,520 that will be used by the
county for clean up efforts regarding illegal dumping.
http://www.lawrencecountypress.com/contentitem/369914/1181/mdeq-awards-solid-waste-grant-to-lawrence-county
Regional
EPA Withdraws Federal Water Quality Rules For Florida
WGCU
The Environmental Protection Agency (EPA) announced a new rule Thursday
that withdraws federal water quality standards for Florida. This means
polluters will now only have to follow Florida's rules.
http://news.wgcu.org/post/epa-withdraws-federal-water-quality-rules-florida
National
Anadarko Petroleum to pay $5.15 billion to settle pollution case, Justice
Dept. says
Washington Post
By Juliet Eilperin and Sari Horwitz, Published: April 3
The Justice Department announced the biggest environmental cash settlement
in history Thursday, securing a $5.15 billion deal with Anadarko Petroleum
to clean up dozens of sites across the country and compensate more than
7,000 people living with the effects of the contamination.
http://www.washingtonpost.com/politics/anadarko-petroleum-to-pay-515-billion-to-settle-pollution-claims-justice-dept-says/2014/04/03/af5bd8dc-bb53-11e3-9a05-c739f29ccb08_story.html
Anadarko Petroleum, owner of Kerr-McGee, reaches $5 billion settlement with
U.S. government
The Associated Press
April 03, 2014 at 6:50 PM
WASHINGTON -- The federal government on Thursday reached a $5.15 billion
settlement with Anadarko Petroleum Corp., the largest ever for
environmental contamination, to settle claims related to the cleanup of
thousands of sites tainted with hazardous chemicals for decades.
http://blog.al.com/wire/2014/04/anadarko_petroleum_owner_of_ke.html#incart_river
Feds reach $5.15B settlement over mining cleanup
BY DINA CAPPIELLO AND ERIC TUCKER AND FELICIA FONSECA
The Associated Press
FLAGSTAFF, ARIZ. — For decades, uranium ore was mined from the Lukachukai
Mountains of northeastern Arizona, providing Navajos with much-needed
employment but leaving behind a legacy of death and disease on the
reservation.
http://www.sunherald.com/2014/04/04/5470237/feds-reach-515b-settlement-over.html?sp=/99/184/767/312/
Top toxic sites in Anadarko Petroleum settlement
The Associated Press
Top toxic sites among thousands that are part of the $5.15 billion
settlement with Anadarko Petroleum Corp. with approximate amount of funding
for cleanup efforts and details about the sites, as provided by the Justice
Department:
—Columbus, Miss.: $67 million for prospective work.
The site is a former wood treatment facility, which began operations in
1928. Kerr-McGee purchased the facility in 1964 and operated it until its
decommissioning in 2003. At the facility, wood products were treated with
creosote, coal tar, and, until 1976, pentachlorphenol. Open ditches were
used by Kerr-McGee for years to transport surface water runoff from the
site to Luxapilila Creek. Numerous floods throughout the years spread the
creosote contamination and polyaromatic hydrocarbons into the neighboring
yards of residents.
http://www.sacbee.com/2014/04/03/6293852/top-toxic-sites-in-anadarko-petroleum.html
Lawmakers Push EPA for More Time on Water Rule
WASHINGTON April 4, 2014 (AP)
By HOPE YEN
Associated Press
Industry groups and more than a dozen GOP senators are urging the Obama
administration to reconsider plans to regulate many of the nation's streams
and wetlands, saying the proposed rule hurts economic activity and
oversteps legal bounds.
http://abcnews.go.com/Politics/wireStory/lawmakers-push-epa-time-water-rule-23186359?singlePage=true
GOP lawmakers push EPA to ax proposed water rule amid outcry from farmers
Published April 04, 2014
FoxNews.com
More than a dozen Republican lawmakers are pushing the Environmental
Protection Agency to reconsider asserting regulatory authority over streams
and wetlands amid intense backlash from farm groups over the agency's
proposed water rule.
http://www.foxnews.com/politics/2014/04/04/gop-lawmaker-moves-to-block-epa-water-proposal-amid-outcry-from-farmers/
Senate panel passes chemical safety bill
The Hill
By Laura Barron-Lopez
A Senate panel passed a bill aimed at preventing chemical spills Thursday,
which a group of Senate Democrats proposed in response to the West Virginia
leak earlier this year.
http://thehill.com/blogs/e2-wire/e2-wire/202557-senate-panel-passes-chemical-safety-bill
Press Releases
United States Announces $5.15 Billion Settlement With Anadarko To Pay For
Environmental And Toxic Tort Liabilities
FOR IMMEDIATE RELEASE
Thursday, April 3, 2014
More than $4.4 Billion To Be Available for Environmental Clean-Up and
Claims
Largest Payment for the Clean-Up of Environmental Contamination in History
James Cole, Deputy Attorney General of the United States, Preet Bharara,
the United States Attorney for the Southern District of New York ("SDNY"),
Robert G. Dreher, the Acting Assistant Attorney General for the Justice
Department's Environment and Natural Resource Division ("ENRD"), and
Cynthia Giles, Assistant Administrator of the U.S. Environmental Protection
Agency, announced today that the United States has entered into a
settlement agreement with the Kerr-McGee Corporation and certain of its
affiliates ("New Kerr-McGee"), and their parent Andarko Petroleum
Corporation, in a fraudulent conveyance case brought by the United States
and co-plaintiff Anadarko Litigation Trust (the "Trust") in the bankruptcy
of Tronox Inc. and its subsidiaries ("Tronox"). The bankruptcy court had
previously found, in December 2013, that the historic Kerr-McGee
Corporation ("Old Kerr-McGee") fraudulently conveyed assets to New
Kerr-McGee to evade its debts, including its liability for environmental
clean-up at contaminated sites around the country. Pursuant to the
settlement agreement, the defendants agree to pay $5.15 billion to settle
the case, of which approximately $4.4 billion will be paid to fund
environmental clean-up and for environmental claims. This is the largest
payment ever for the clean-up of environmental contamination.
Deputy Attorney General James Cole said: "Kerr-McGee's businesses all over
this country left significant, lasting environmental damage in their wake.
It tried to shed its responsibility for this environmental damage and stick
the United States taxpayers with the huge cleanup bill. Through a lot of
hard work, we uncovered this fraud and recovered over $5 billion dollars
for the American people. This settlement demonstrates the Justice
Department's firm commitment to preventing and combating all forms of fraud
and to securing environmental justice."
Manhattan U.S. Attorney Preet Bharara said: "If you are responsible for 85
years of poisoning the earth, then you are responsible for cleaning it up.
That's why this case was brought. And that's why the defendants are paying
a record $5.15 billion -- to fund that colossal cleanup and to make things
right. The company tried to keep its rewards and shed its responsibilities
by playing a corporate shell game, putting its profitable oil-and-gas
business in a new entity and leaving behind a bankrupt shell holding the
environmental liabilities of the defunct, polluting lines of business. The
company tried to cleanse its valuable business from its toxic legacy
liabilities. Now the defendants will pay to cleanse the land and water.�
��
Acting Assistant Attorney General Robert G. Dreher said: "Today�
��s
settlement is a just resolution of an historic injustice to the American
people and our environment. The money recovered will result in clean-ups of
a toxic history the Old Kerr-McGee unsuccessfully tried to walk away from.
"
EPA Assistant Administrator Cynthia Giles said: "EPA's vigorous pursuit of
this case will have a big return for communities across the country.
Companies that pollute can't escape their responsibility to pay for the
cleanup. EPA will continue to fight for those affected by pollution.�
�
The Fraudulent Conveyance
According to the complaints of the Government and the Trust and the
December 12, 2013, written opinion of U.S. Bankruptcy Judge Allan L.
Gropper:
Old Kerr-McGee operated numerous businesses, which included uranium mining,
the processing of radioactive thorium, creosote wood treating, and
manufacture of perchlorate, a component of rocket fuel. These operations
left contamination across the nation, including radioactive uranium waste
across the Navajo Nation; radioactive thorium in Chicago and West Chicago,
Illinois; creosote waste in the Northeast, the Midwest, and the South; and
perchlorate waste in Nevada.
In the years prior to 2005, Old Kerr-McGee concluded that the liabilities
associated with this environmental contamination were a drag on its �
�crown
jewel" business, the exploration and production of oil and gas. With the
intent of evading these and other liabilities, Old Kerr-McGee created a new
corporate entity – defendant New Kerr-McGee – and, through a scheme
executed in 2002 and 2005, transferred its valuable oil and gas exploration
assets to the new company. The legacy environmental liabilities were left
behind in the old company, which was re-named Tronox, and spun off as a
separate company in 2006. As a result of these transactions, Tronox was
rendered insolvent and unable to address its environmental and other
liabilities. In 2009, Tronox went into bankruptcy.
The United States and the bankruptcy estate (now represented by the Trust)
brought this lawsuit to hold the defendants accountable and require them to
repay the value of the assets fraudulently conveyed from Old Kerr-McGee.
In its decision, the Court found that Old Kerr-McGee transferred assets
with the intent to hinder or delay creditors, including particularly
environmental creditors, and also transferred those assets for less than
their fair value, which left Tronox insolvent, unable to pay its debts when
they came due, and undercapitalized. Among other things, the Court
concluded that:
· "[T]here can be no dispute that Kerr-McGee acted to free
substantially all its assets – certainly its most valuable assets –
from 85 years of environmental and tort liabilities."
· "[O]verhelming" evidence demonstrated that �
�Defendants devised,
carried out and had complete knowledge that [the transfer of Old
Kerr-McGee's oil and gas exploration and production assets was] part
of 'a single integrated scheme' to create a 'pure play' E&P business
[referring to the 'crown jewel' oil and gas exploration and
production business] free and clear of the legacy liabilities.�
�
· "[T]here is no credibility to the uniform testimony of the inner
circle [of Old Kerr-McGee management] that isolation of the oil and
gas assets from the chemical business had nothing to do with an
effort to cleanse the E&P assets from the legacy liabilities."
· "The record is replete with evidence that Kerr-McGee misapplied [the]
standard [for setting reserves for environmental claims under
Generally Accepted Accounting Principles] and thereby understated its
liabilities for GAAP purposes."
· Statements by former Old Kerr-McGee employees that the cost of this
environmental pollution would decline after the spin-off were �
�not
rooted in reality."
· Kerr-McGee had failed to conduct any "contemporaneous analysis of the
effect of [its] transactions on the legacy liability creditors,�
�
including the effect it would have on the United States'
environmental claims.
The Settlement
Under today's settlement agreement, the defendants will pay $5.15
billion to the Trust to settle the fraudulent conveyance case.
Pursuant to a 2011 settlement between the United States, certain
state, local, and tribal governments, and the bankruptcy estate,
approximately 88% of the net proceeds of this litigation will be
distributed by the trust to the United States, certain state
governments, the Navajo Nation, and environmental trusts created to
clean up Tronox's contaminated sites. The 2011 settlement agreement
provides specific percentages of this funding that will be made
available to each site.
As a result of these agreements, some of the key recoveries for
environmental claims and for clean-up of environmental sites are
estimated to be the following:
o $1.1 billion will be paid to a trust charged with cleaning up
two dozen other contaminated sites around the country,
including the Kerr-McGee Superfund Site in Columbus,
Mississippi.
o $1.1 billion will be paid to a trust responsible for cleaning
up a former chemical manufacturing site in Nevada that has led
to contamination in Lake Mead. Lake Mead feeds into the
Colorado River, a major source of drinking water in the
Southwest.
o Approximately $985 million will be paid to U.S. EPA to fund the
clean-up of abandoned uranium mines on land of the Navajo
Nation, where radioactive waste remains from Kerr-McGee mining
operations.
o Approximately $224 million will be paid to U.S. EPA for
clean-up of thorium contamination at the Welsbach Superfund
Site in Gloucester, New Jersey.
o Approximately $217 million will be paid to the federal
Superfund in repayment of costs previously incurred by EPA
cleaning up the Federal Creosote Superfund Site in Manville,
New Jersey.
Additional amounts will be paid to the United States, states, the
Navajo Nation, and environmental trusts for other environmental
claims and contaminated sites at issue in this case.
The settlement agreement will be lodged with the United States
Bankruptcy Court for the Southern District of New York for a period
of at least 30 days before it is submitted for the Court's approval,
in order to provide public notice and to afford members of the public
the opportunity to comment on the settlement agreement.
* * *
Mr. Bharara thanked the Trust, its trustee John C. Hueston, and its
counsel, Kirkland & Ellis LLP, for their critical work on this case.
Mr. Bharara also thanked the many federal, state, and tribal
officials who worked tirelessly on this matter. The litigation of
this case was assisted by EPA personnel from around the country; the
U.S. Fish & Wildlife Service and Bureau of Land Management of the
U.S. Department of the Interior; the National Oceanic and Atmospheric
Administration of the U.S. Department of Commerce; the U.S. Nuclear
Regulatory Commission; the U.S. Forest Service of the U.S. Department
of Agriculture; and the U.S. Department of Defense, as well as
numerous state governments and the Navajo Nation.
This case was handled by the Environmental Protection Unit and the
Tax and Bankruptcy Unit of the SDNY's Civil Division. Assistant U.S.
Attorneys Robert William Yalen and Joseph Pantoja, along with Alan S.
Tenenbaum, Katherine Kane, Frederick S. Phillips, Marcello Mollo, and
Erica Pencak of ENRD, are in charge of this case.
14-095
http://www.justice.gov/usao/nys/pressreleases/April14/TronoxSettlementPR.php
EPA Awarding Close to $13 Million to Assist Small Drinking Water and
Wastewater Systems Across the United States
WASHINGTON – The U.S. Environmental Protection Agency is awarding $12.7
million in grants to small drinking and wastewater systems – those serving
fewer than 10,000 people – and to private well owners. The grantees will
provide training and technical assistance to improve small system
operations and management practices, promote system sustainability and
support EPA's mission to protect public health and the environment.
"Small systems comprise the vast majority of our nation's public water
systems and it is a priority for EPA to help them to meet drinking water
quality standards and provide clean water to communities," said Nancy
Stoner, Acting Assistant Administrator for EPA's Office of Water.
"This
funding and technical assistance supports EPA's continuing efforts to
promote sustainability and public health protection for communities served
by small systems."
The awards will include:
• $4.5 million each to the National Rural Water Association and the
Rural Community Assistance Partnership to help small public water systems
across the country to achieve and maintain compliance with the Safe
Drinking Water Act.
• $2 million to the University of North Carolina at Chapel Hill to
improve the financial and managerial capabilities of small public water
systems across the country.
• $1.4 million to the National Rural Water Association to improve
operational performance at small publicly-owned wastewater systems and
decentralized wastewater systems, thereby improving public health and water
quality.
• $300,000 to the Rural Community Assistance Partnership to inform
private drinking water well owners about protecting their drinking water
supply and improving water quality.
More than 97 percent of the nation's 157,000 public water systems serve
fewer than 10,000 people, and more than 80 percent of these systems serve
fewer than 500 people. Many small systems face unique challenges in
providing reliable drinking water and wastewater services that meet federal
and state regulations. These challenges can include a lack of financial
resources, aging infrastructure and high staff turnover.
For more information on EPA's programs and tools to help small water
systems, visit:
http://water.epa.gov/grants_funding/sdwa/smallsystemsrfa.cfm
USDA, EPA Partner to Improve Access To Clean Water, Improved Infrastructure
in U.S.-Mexico Border Region
WASHINGTON – The U.S. Department of Agriculture and the Environmental
Protection Agency today announced a joint initiative to improve access to
clean water and wastewater infrastructure for U.S. communities along the
Mexico border. This initiative is part of USDA and EPA's ongoing
partnership to increase the sustainability of rural drinking water and
wastewater systems.
"For many living along the U.S.-Mexico border, access to safe, reliable
water and wastewater treatment - something that most Americans take for
granted - is nonexistent," USDA Secretary Tom Vilsack said. �
�We cannot
tackle the problem of persistent poverty in the region without first
addressing these stunning infrastructure failures, which have serious
health, environmental and economic consequences. The resources provided
through USDA and EPA will help mitigate health and environmental risks,
advance economic development, and improve the quality of life for families
living in the region."
"Americans deserve access to clean drinking water and adequate wastewater
systems," said EPA Administrator Gina McCarthy. "EPA is proud to partner
with USDA to help communities along the border tackle serious environmental
and public health concerns."
Many border communities lack the funds to build or rebuild their drinking
water and wastewater infrastructure. Failing wastewater systems can
significantly harm the environment, spilling untreated wastewater into
streets, streams and rivers, and forcing raw sewage to back up into homes.
Failing and inadequate water systems can harm community health by
increasing the risk of water-borne illnesses such as salmonella and
hepatitis A and gastrointestinal diseases.
USDA and EPA have conducted an initial needs assessment for water and
wastewater infrastructure in the border region. The findings are published
in the U.S. [FJ-RWD1] Mexico Border Scoping Assessment Phase 1 Report. The
report identified communities in Arizona, California, New Mexico and Texas
that need improved water infrastructure and/or face environmental and/or
public health risks associated with inadequate or failing water
infrastructure systems.
USDA plans to award up to $500,000 through Rural Development's Technical
Assistance and Training Grant program to a private, non-profit group for an
in-depth priority assessment of the counties identified in the report. The
assessment will include recommendations on the best way to deliver
technical assistance. USDA anticipates that this analysis will be completed
in late 2014.
Based on this analysis, USDA and EPA will target technical assistance to
the neediest communities and establish partnerships to provide or improve
access to safe drinking water and basic sanitation.
This initiative is part of USDA and EPA's ongoing partnership to increase
the sustainability of rural drinking water and wastewater systems. Through
this effort, USDA and EPA are helping rural communities implement
strategies and tools to protect public health, improve water quality and
create sustainable communities. This partnership has produced tools such as
the Rural and Small Systems Guidebook to Sustainable Utility Management. It
provides a step-by-step guide for sustainable operation and management of
small water and wastewater systems. The partnership has also produced the
Workshop in a Box manual, which provides materials to technical assistance
providers who would like to market and conduct workshops based on the
guidebook.
USDA has invested more than $125 million in water and waste projects in
colonias since the start of the Obama Administration. USDA's StrikeForce
for Rural Growth and Opportunity Initiative is utilizing the full array of
resources in the poorest parts of rural America, including the colonias
along the border. Colonias are small, rural communities along the border,
some in federally-recognized Native American tribal areas, that have not
had regular access to water and modern sanitation systems because that type
of infrastructure was not required to be installed at the time the
properties were sold and their houses built.
President Obama's plan for rural America has brought about historic
investment and resulted in stronger rural communities. Under the
President's leadership, these investments in housing, community facilities,
businesses and infrastructure have empowered rural America to continue
leading the way – strengthening America's economy, small towns and rural
communities. USDA's investments in rural communities support the rural way
of life that stands as the backbone of our American values.
For details on how to apply for this grant, see the April 4 Federal
Register: The Federal Register URL will be added to this release on April
4.
President Obama's plan for rural America has brought about historic
investment and resulted in stronger rural communities. Under the
President's leadership, these investments in housing, community facilities,
businesses and infrastructure have empowered rural America to continue
leading the way – strengthening America's economy, small towns and rural
communities. USDA's investments in rural communities support the rural way
of life that stands as the backbone of our American values.
For the Rural and Small Systems Guidebook to Sustainable Utility Management
, visit:
http://water.epa.gov/infrastructure/sustain/upload/SUSTAINABLE-MANAGEMENT-OF-RURAL-AND-SMALL-SYSTEMS-GUIDE-FINAL-10-24-13.pdf
For the Workshop in a Box manual, visit:
http://water.epa.gov/infrastructure/sustain/upload/WORKSHOP-IN-A-BOX-FINAL-SUSTAINABLE-MANAGEMENT-OF-RURAL-AND-SMALL-SYSTEMS-9-19-13ll-Systems-Workshops.pdf
EPA Honors 2014 Energy Star Partners of the Year
WASHINGTON – The U.S. Environmental Protection Agency (EPA) and the U.S.
Department of Energy (DOE) are honoring 127 organizations for their
commitment to protecting the environment through superior energy
efficiency. Recipients of the 2014 Energy Star Partner of the Year Award
include Des Moines Public School District; KB Home; Meritage Homes
Corporation; PepsiCo., Inc.; Sears Holdings Corporation; and Samsung.
"EPA applauds this year's Energy Star Partner of the Year Award winners,
who have demonstrated innovative strategies to help their customers,
partners and stakeholders save energy and cut greenhouse gas emissions,�
��
said EPA Deputy Administrator Bob Perciasepe. "Their commitment to saving
energy helps fight climate change while also helping their bottom line.�
��
"Each year, Energy Star partners create jobs, protect the environment and
raise the bar for the home improvement industry through their dedication to
energy efficiency," said Assistant Secretary for Energy Efficiency and
Renewable Energy David Danielson. "This national program helps homeowners
by providing access to innovative home improvement solutions and enabling
American families to save money by saving energy."
The winners were selected from 16,000 Energy Star partners, including
manufacturers, retailers, public schools, hospitals, real estate companies,
and home builders, for their dedication to protecting the environment
through greater energy efficiency.
Organizations are recognized in the following categories:
Partner of the Year--Sustained Excellence: The 72 Sustained Excellence
winners continue to exhibit exceptional leadership year after year in the
Energy Star program while remaining dedicated to environmental protection
through superior energy efficiency.
Partner of the Year: Forty-five organizations are receiving the Partner of
the Year award for strategically and comprehensively managing their energy
use. These organizations promote Energy Star products and practices in
their own operations, in addition to providing efficient products and
services to consumers and within their community.
Partner of the Year--Climate Communications: The 10 Climate Communications
winners have raised their customers' awareness of the impacts of climate
change. These partners have created communications that encourage their
customers to combat climate change with the help of Energy Star and
emphasize how energy-efficient behaviors have a positive effect on the
environment.
Excellence: Nine winners are receiving awards in part for their superior
efforts in the Home Performance with Energy Star program. The remaining
organizations are receiving Excellence Awards for specific activities to
promote energy-efficient products, homes, or buildings.
Products, homes and buildings that earn the Energy Star label prevent
greenhouse gas emissions by meeting strict energy efficiency requirements
set by the U.S. EPA. From the first Energy Star qualified computer in 1992,
the Energy Star label can now be found on products in more than 70
different categories, with more than 4.5 billion sold. Over 1.5 million new
homes and 23,000 office buildings, schools and hospitals have earned the
Energy Star label. Since the Energy Star program began, American families
and businesses have saved $297 billion on utility bills and prevented more
than 2.1 billion metric tons of greenhouse gas emissions with help from
Energy Star.
Complete list of winners: www.energystar.gov/awardwinners
