US v. Mobil Oil Guam, Inc. and Mobil Oil Mariana Islands
IGNACIA S. MORENO Assistant Attorney General ROBERT D. MULLANEY Trial Attorney Environment and Natural Resources Division United States Department of Justice 301 Howard Street, Suite 1050 San Francisco, California 94105 Telephone: (415) 744-6491 6 7 8 9
LEONARDO M. RAPADAS United States Attorney MIKEL W. SCHWAB Assistant United States Attorney Sirena Plaza, Suite 500 108 Heman Cortez Avenue Hagatna, Guam 96910 Telephone: (671) 472-7332
10 Attorneys for Plaintiff United States of America 11 12
IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF GUAM
13 14 UNITED STATES OF AMERICA, 15
Plaintiff,
CIVIL ACTION NO.
V.
16 17 18 19 20 21 22 23 24 25 26 27 28
COMPLAINT MOBIL OIL GUAM, INC., and MOBIL OIL MARIANA ISLANDS, INC., Defendants.
1
The United States of America, by the authority of the Attorney General of the United
2
States and at the request of the Administrator of the United States Environmental Protection
3
Agency ("EPA"), by and through the undersigned attorneys, alleges as follows: NATURE OF ACTION
4 5
1.
This is a civil action brought under Section 113(b) of the Clean Air Act (the
6
"Act"), 42 U.S.C. § 7413(b), for injunctive relief and the assessment of civil penalties against
7
Mobil Oil Guam, Inc., and Mobil Oil Mariana Islands, Inc. (collectively, "Defendants"), for
8
violations of the Act and the regulations promulgated thereunder at their bulk gasoline terminals
9
located in Guam and Saipan. JURISDICTION AND VENUE
10 11 12 13
2.
This Court has jurisdiction over the subject matter of this action under Section
l13(b) of the Act, 42 U.S.C. § 7413(b), and 28 U.S.C. §§ 1331, 1345, and 1355. 3.
Venue is proper in this judicial district under Section 113(b) of the Act, 42 U.S.C.
14
§ 7413(b), and 28 U.S.C. §§ 1391 and 1395, because it is the judicial district in which
15
Defendants’ corporate headquarters are located; and, with respect to Defendant Mobil Oil Guam,
16
Inc., it is the judicial district in which the violations alleged in this Complaint have occurred and
17
are occurring. AUTHORITY AND NOTICE
18 19 20 21
4.
Authority to bring this action is vested in the United States Department of Justice
under Section 305 of the Act, 42 U.S.C. § 7605, and 28 U.S.C. §§ 516 and 519. 5.
Notice of the commencement of this action has been given to the Guam
22
Environmental Protection Agency and the Commonwealth of the Northern Mariana Islands
23
("CNMI") Division of Environmental Quality, as required by Section 113(b) of the Act, 42
24
U.S.C. § 7413(b). PARTIES
25 26 27 28
6.
Plaintiff is the United States of America, acting at the request and on behalf of the
EPA Administrator. -2-
7.
1
Defendant Mobil Oil Guam, Inc. ("Mobil Guam"), a wholly-owned subsidiary of
2
Exxon Mobil Corporation, is a Guam corporation with its corporate headquarters located in
3
Hagatna, Guam.
4
8.
Defendant Mobil Oil Mariana Islands, Inc. ("Mobil Mariana Islands"), a wholly-
5
owned subsidiary of Exxon Mobil Corporation, is a CNMI corporation with its corporate
6
headquarters located in Hagatna, Guam.
7
9.
Defendants are "person[s]" within the meaning of Section 302(e) of the Act, 42
8
U.S.C. § 7602(e). STATUTORY AND REGULATORY FRAMEWORK
9 10.
10
The primary purpose of the Act is to protect and enhance the quality of the
11
Nation’s air resources so as to promote the public health and welfare and the productive capacity
12
of its population. 42 U.S.C. § 7401(b)(1). 11. Section 11 l(b)(1) of the Act, 42 U.S.C. § 741 l(b)(1), required EPA’s
13 14
Administrator to: (i) publish a list of categories of stationary sources that, in his judgment, cause
15
or contribute significantly to air pollution that may reasonably be anticipated to endanger the
16
public health or welfare; and (ii) promulgate standards of performance for new sources within
17 those categories. These standards, commonly known as the New Source Performance Standards 18
("NSPS"), are codified at 40 C.F.R. Part 60. 12. Section 112(c) of the Act, 42 U.S.C. § 7412(c), required EPA’s Administrator to
19 2,0
publish a list of all categories of sources of hazardous air pollutants and to promulgate emission
21
standards for such categories. These standards are known as the National Emission Standards for
22 Hazardous Air Pollutants ("NESHAPs") for source categories and are codified at 40 C.F.R. Part 23 24
63. 13. Pursuant to Section 113(b) of the Act, 42 U.S.C. § 7413(b), EPA’s Administrator
25
is authorized to commence a civil action for appropriate relief, including injunctive relief and
26
civil penalties, against any person who has violated or is in violation of any requirement or
27 prohibition of any rule promulgated under Sections 111 and 112 of the Act, 42 U.S.C. §§ 7411, 28
1
7412. Standards of Performance for Volatile Organic Liquid Storage Vessels and Bulk Gasoline Terminals (40 C.F.R. Part 60, Subparts A, Kb, and XX)
2 3 4
14.
On December 23, 1971, EPA promulgated the NSPS "General Provisions,"
5
codified at 40 C.F.R. Part 60, Subpart A. 36 Fed. Reg. 24,877. Subpart A includes requirements
6
that apply to the owner or operator of an affected facility at a stationary source that is subject to a
7
category-specific NSPS. See, e._~., 40 C.F.R. § 60.1.
8 9
15. On April 8, 1987, EPA promulgated the NSPS for "Volatile Organic Liquid Storage Vessels (Including Petroleum Liquid Storage Vessels)," codified at 40 C.F.R. Part 60,
10
Subpart Kb. 52 Fed. Reg. 11,429. Subpart Kb applies to each storage vessel that: (i) has a
11
capacity greater than or equal to 75 cubic meters and (ii) is used to store volatile organic liquids,
12 as long as (iii) the construction, reconstruction, or modification of the storage vessel is 13 14 15
commenced after July 23, 1984. 40 C.F.R. § 60.110b(a). 16.
Subpart Kb establishes requirements for the owner or operator of each storage
vessel with a design capacity greater than or equal to 151 cubic meters containing a volatile
16 organic liquid that (as stored) has a maximum true vapor pressure greater than or equal to 5.2 17
kilopascals but less than 76.6 kilopascals. The owner or operator must equip these storage
18
vessels with either: (i) a fixed roof in combination with an internal floating roof equipped with
19
specified seals and controlled fittings; (ii) an external floating roof equipped with specified seals
20
and controlled fittings; (iii) a closed vent system and control device designed and operated to
21
reduce inlet volatile organic compound emissions by at least 95 percent; or (iv)an EPA-approved
22
equivalent means of emission limitation. 40 C.F.R. § 60.112b(a).
23
i7.
On August 18, 1983, EPA promulgated the NSPS for "Bulk Gasoline Terminals,"
24
codified at 40 C.F.R. Part 60, Subpart XX. 48 Fed. Reg. 37,590. Subpart XX applies to the total
25
of all the loading racks at a bulk gasoline terminal that deliver liquid product into gasoline tank
26
trucks if the construction or modification of the affected facility is commenced after December
27
17, 1980. 40 C.F.R. § 60.500(a)-(b).
28
1
18. Subpart XX requires the owner or operator of each bulk gasoline terminal to equip
2
the loading racks with a vapor collection system designed to collect the total organic compounds
3
vapors displaced from tank trucks during product loading. 40 C.F.R. § 60.502(a). The emissions
4
to the atmosphere from the vapor collection system must not exceed 35 milligrams of total
5
organic compounds per liter of gasoline loaded. 40 C.F.R. § 60.502(b). The owner or operator
,6
must comply with these requirements on and after the date on which the performance test is
7
required to be completed. 40 C.F.R. § 60.502.
8
19. NSPS Subparts A and XX require the owner or operator of a bulk gasoline
9
terminal to conduct performance tests within 60 days after achieving the maximum production
10
rate at which the loading racks will be operated, but not later than 180 days after the initial
11
startup of the loading racks. 40 C.F.R. §§ 60.8, 60.503.
12 13
20. Section 11 l(e) of the Act, 42 U.S.C. § 741 l(e), makes it unlawful for any owner or operator of any new source to operate such source in violation of any applicable NSPS.
15
National Emission Standards for Hazardous Air Pollutants for Gasoline Distribution Facilities (40 C.F.R. Part 63, Subparts A and R)
16
21. On March 16, 1994, EPA promulgated the NESHAP "General Provisions,"
17
codified at 40 C.F.R. Part 63, Subpart A. 59 Fed. Reg. 12,430. Subpart A includes requirements
18
that apply to the owner or operator of an affected source that is subject to a category-specific
14
19 NESHAP. See, e.__~., 40 C.F.R. § 63.1(a)(4) and (c)(1). 20
22. On December 14, 1994, EPA promulgated the NESHAP for "Gasoline
21
Distribution Facilities (Bulk Gasoline Terminals and Pipeline Breakout Stations)," codified at 40
22
C.F.R. Part 63, Subpart R. 59 Fed. Reg. 64,318. Subpart R applies to each bulk gasoline
23 terminal that is a major source of hazardous air pollutants. 40 C.F.R. § 63.420(a). 24 25
23.
Pursuant to NESHAP Subpart R, the owner or operator of a bulk gasoline
terminal must equip each gasoline storage vessel that has a design capacity greater than or equal
26 to 75 cubic meters in accordance with the requirements of 40 C.F.R. § 60.112b(a) (NSPS Subpart 27 28
Kb). 40 C.F.R. § 63.423(a). However, the requirements for controlled fittings in 40 C.F.R. -5-
1 2
§ 60.112b(a)(1)(iv) through (ix) and (a)(2)(ii) do not apply. 40 C.F.R. § 63.423(a). 24. NESHAP Subpart R also requires the owner or operator of a bulk gasoline
3
terminal to comply with the loading rack requirements of 40 C.F.R. § 60.502 (NSPS Subpart
4
XX), except that: (i) emissions from the vapor collection and processing systems must not
5
exceed 10 milligrams of total organic compounds per liter of gasoline loaded; and (ii) emissions
6
must be measured by a continuous monitoring system. 40 C.F.R. §§ 63.422(a)-(b), 63.427(a).
7
The owner or operator of an existing bulk gasoline terminal must comply with these gasoline
8
storage vessel and loading rack requirements as expeditiously as practicable, but no later than
9
December 15, 1997; however, the continuous monitoring system must be installed and
10
operational within 180 days of December 15, 1997. 40 C.F.R. §§ 63.7(a), 63.8(c), 63.422(d),
11
63.423(c).
12 13
25. NESHAP Subparts A and R require the owner or operator of an existing bulk gasoline terminal to conduct performance tests on the vapor collection and processing systems
14 within 180 days of December 15, 1997. 40 C.F.R. §§ 63.7(a), 63.422(d), 63.425(a). 15
26.
In addition, Subpart R requires the owner or operator of a bulk gasoline terminal
16
to perform monthly leak inspections of all equipment in gasoline service (i. e., equipment used in
17
a system that transfers gasoline or gasoline vapors). 40 C.F.R. § 63.424(a). No later than 60
18
days after December 15, 1997, the owner or operator of an existing bulk gasoline terminal must
19
submit a report to EPA describing the types, identification numbers, and locations of all
20 equipment in gasoline service. 40 C.F.R. §§ 63.9(h), 63.424(e), 63.428(f). 21
27. By December 15, 1997, NESHAP Subparts A and R require the owner or operator
22
of an existing bulk gasoline terminal to develop a written starmp, shutdown, and malfunction
23
("SSM") plan that describes: (i) procedures for operating and maintaining the source during
24
periods of starmp, shutdown, and malfunction; and (ii) a program of corrective action for
25
malfunctioning process, air pollution control, and monitoring equipment used to comply with
26
Subpart R. 40 C.F.R. §§ 63.6(e)(3), 63.422(d), 63.423(c), 63.424(e).
27 28
28.
Subparts A and R also require the owner or operator of an existing bulk gasoline -6-
1
terminal to submit semi-annual excess emissions and continuous monitoring system performance
2
reports (or a summary report) to EPA by the 30th day following the end of each calendar half. 40
3
C.F.R. §§ 63.10(e)(3), 63.428(h). This requirement applies even if the facility has not installed a
4
continuous monitoring system. 40 C.F.R. § 63.428(h).
5
29. If an owner or operator of a bulk gasoline terminal is subject to the requirements
6
ofNESHAP Subpart R as well as the requirements ofNSPS Subparts Kb or XX, it must comply
7
only with those provisions in NSPS Subparts Kb or XX or NESHAP Subpart R that contain the
8
most stringent control requirements for that facility. 40 C.F.R. § 63.420(g).
9 10
30. Under Section 112(i)(3)(A) of the Act, 42 U.S.C. § 7412(i)(3)(A), no person may operate a source in violation of an applicable NESHAP. GENERAL ALLEGATIONS
11 12
31. Exxon Mobil Corporation ships refined petroleum products from its Singapore
13
refinery to the bulk gasoline terminal located at 1189 Cabras Highway on Cabras Island in Piti,
1.4
Guam ("Cabras Terminal"). The Cabras Terminal consists of at least two parts: Area A and
15
Area C.
16
32. Regarding Area A of the Cabras Terminal, the Guam Government owns the land,
1’7
the Port Authority of Guam owns the facility, and Mobil Guam currently operates the facility
18
under a management agreement with the Port Authority of Guam.
19
33. Regarding Area C of the Cabras Terminal, the Guam Government owns the land,
20
while Mobil Guam owns the facility and currently operates it under a lease with the Port
21
Authority of Guam.
22 23
34. Refined petroleum products are shipped from the Cabras Terminal to the bulk gasoline terminal located at Puerto Rico Port Drive in the Lower Base area of Saipan ("Saipan
24 Terminal"). 25 26 27 28
35.
Mobil Mariana Islands owns the facility at the Saipan Terminal and currently
operates it under a lease with the Commonwealth Port Authority, a unit of the CNMI. 36. The Cabras and Saipan Terminals (collectively, the "Terminals") receive a variety -7-
1
of refined petroleum products (e.g., motor gasoline, aviation gasoline, jet fuel, automotive diesel
2
oil) by ship for storage in large tanks. The Terminals then distribute these products by pipeline
3
from their storage tanks to their loading racks, where the products are loaded into tank trucks.
4
37.
Each of the Terminals has a maximum calculated design throughput greater than
5
75,700 liters of gasoline per day, and each emits or has the potential to emit (considering controls
6
and in the aggregate) 10 tons per year or more of any "hazardous air pollutant" or 25 tons per
7
year or more of any combination of "hazardous air pollutants," as that term is defined in Section
8
112(a)(6) of the Act, 42 U.S.C. § 7412(a)(6).
9
38. Each of the following tanks at the Terminals (i) has a design capacity greater than
10
151 cubic meters; (ii) has a fixed roof; (iii) has stored or is currently storing either motor or
11
aviation gasoline; and (iv) has stored or is currently storing a volatile organic liquid with a stored
12
maximum true vapor pressure greater than or equal to 27.6 kilopascals but less than 76.6
13
kilopascals: for the Cabras Terminal, Area A/Tank 1 (built about 1956), Area A/Tank 2 (built
14 about 1999), Area A/Tank 3 (built about 1956), Area A/Tank 4 (built about 1983), Area A/Tank 15
6 (built about 1960), Area C/Tank 20 (built about 1999), Area C/Tank 23 (built about 1989), and
16 Area C/Tank 24 (built about 1989); and for the Saipan Terminal, Tank 1 (built about 1967), Tank 17
2 (built about 1967), Tank 3 (built about 1968), Tank 7 (built about 1989), and Tank 10 (built
18
about 1989).
19
39.
The Cabras Terminal’s loading racks consist of three bays (one top loading and
20
two bottom loading) built about 1990; the Saipan Terminal’s loading racks consist of two bays
21
(both top loading) built about 1992.
22 23 24
40. Each of the Terminals is a "stationary source" within the meaning of Sections 11 l(a)(3) and 112(a)(3) of the Act, 42 U.S.C. §§ 741 l(a)(3), 7412(a)(3). 41.
Mobil Guam is an "owner or operator" of the Cabras Terminal and Mobil Mariana
25
Islands is an "owner or operator" of the Saipan Terminal within the meaning of Sections
26
11 l(a)(5) and 112(a)(9) of the Act, 42 U.S.C. §§ 741 l(a)(5), 7412(a)(9).
27 28
42. Each of the Terminals is a "bulk gasoline terminal" as that term is defined in 40 -8-
1 2
C.F.R. §§ 60.501 and 63.421. 43. Each of the following tanks is a "storage vessel" as that term is defined in 40
3
C.F.R. § 60.11 lb: for the Cabras Terminal, Area A/Tank 1, Area A/Tank 2, Area A/Tank 3,
,4
Area A/Tank 4, Area A/Tank 6, Area C/Tank 20, Area C/Tank 23, and Area C/Tank 24; and for
5
the Saipan Terminal, Tank 1, Tank 2, Tank 3, Tank 7, and Tank 10.
6
44.
Each of the following tanks is an "affected facility" (as that term is defined in 40
7
C.F.R. §§ 60.2 and 60.110b) subject to NSPS Subpart Kb: for the Cabras Terminal, Area
8
A/Tank 2, Area C/Tank 20, Area C/Tank 23, and Area C/Tank 24; and for the Saipan Terminal,
9
Tank 7 and Tank 10.
10
45. Mobil Guam is an "owner or operator" (as that term is defined in 40 C.F.R.
11
§ 60.2) of the Cabras Terminal Area A/Tank 2, Area C/Tank 20, Area C/Tank 23, and Area
12
C/Tank 24. Mobil Mariana Islands is an "owner or operator" of the Saipan Terminal Tank 7 and
13
Tank 10.
14
46.
Each loading rack at the Terminals is a "loading rack" as that term is defined in 40
15
C.F.R. § 60.501, and part of an "affected facility" (as that term is defined in 40 C.F.R. §§ 60.2
16
and 60.500) subject to NSPS Subpart XX.
17
47.
Mobil Guam is an "owner or operator" (as that term is defined in 40 C.F.R.
18
§ 60.2) of the Cabras Terminal loading racks, and Mobil Mariana Islands is an "owner or
19
operator" of the Saipan Terminal loading racks.
20 21
48.
Each of the Terminals is: (i) a NESHAP "major source" within the meaning of
Section 112(a)(1) of the Act, 42 U.S.C. § 7412(a)(1); (ii) an "existing source" within the
22 meaning of Section 112(a)(10) of the Act, 42 U.S.C. § 7412(a)(10); and (iii) a NESHAP 23
"affected source" as that term is defined in 40 C.F.R. §§ 63.2 and 63.420(a). FIRST CLAIM FOR RELIEF (Failure to Equip Storage Vessels with Pollution Controls)
24 25 26
49.
27’
reference.
28
Paragraphs 1 through 48, above, are realleged and incorporated herein by
-g-
1
50.
Since December 16, 1997, each of the following tanks has been operated and
2
continues to be operated without being equipped in accordance with all of the most stringent
3
applicable NSPS or NESHAP equipment requirements of 40 C.F.R. §§ 60.112b(a) or 63.423(a):
4
for the Cabras Terminal, Area C/Tank 23 and Area C/Tank 24; and for the Saipan Terminal,
5
Tank 7 and Tank 10.
6
51.
Since December 16, 1997, each of the following tanks has been operated and
7
continues to be operated without being equipped in accordal~ce with all of the applicable
8
NESHAP equipment requirements of 40 C.F.R. § 63.423(a): for the Cabras Terminal, Area
9
A/Tank 1, Area A/Tank 3, Area A/Tank 4, and Area A/Tank 6; and for the Saipan Terminal,
10 11
Tank 1, Tank 2, and Tank 3. 52.
Since about 1999, each of the following tanks has been operated and continues to
12 be operated without being equipped in accordance with all of the most stringent applicable NSPS 13
or NESHAP equipment requirements of 40 C.F.R. § § 60.112b(a) or 63.423 (a): for the Cabras
14 Terminal, Area A/Tank 2 and Area C/Tank 20. 15
53.
At the Cabras Terminal, Mobil Guam (i) violated and continues to violate the
16 NESHAP equipment requirements of 40 C.F.R. § 63.423(a) with respect to Area A/Tank 1, Area 17
A/Tank 3, Area A/Tank 4, and Area A/Tank 6; and (ii) violated and continues to violate the most
18
stringent NSPS or NESHAP equipment requirements of 40 C.F.R. § § 60.112b(a) or 63.423(a)
19
with respect to Area A/Tank 2, Area C/Tank 20, Area C/Tank 23, and Area C/Tank 24.
20
54.
At the Saipan Terminal, Mobil Mariana Islands (i) violated and continues to
21
violate the NESHAP equipment requirements of 40 C.F.R. § 63.423(a) with respect to Tank 1,
22
Tank 2, and Tank 3; and (ii) violated and continues to violate the most stringent NSPS or
23
NESHAP equipment requirements of 40 C.F.R. §§ 60.112b(a) or 63.423(a) with respect to Tank
24 7 and Tank 10. 25
55. Each violation of 40 C.F.R. §§ 60.112b(a) or 63.423(a) at the Terminals subjects
26 Defendants to liability under the Act. 27 28
56. Unless enjoined by an order of this Court, Defendants will continue to violate 40 -:tO-
1 2
C.F.R. §§ 60.112b(a) and 63.423(a) at the Terminals. 57. Pursuant to Section 113(b) of the Act, 42 U.S.C. § 7413(b), and 40 C.F.R. Part 19,
3
Defendants are liable for injunctive relief and civil penalties of not more than $27,500 per day for
4
each violation of 40 C.F.R. §§ 60.112b(a) or 63.423(a) that occurs between March 15, 2003, and
5
March 15, 2004; for not more than $32,500 per day for each violation of 40 C.F.R. §§ 60.112b(a)
6
or 63.423(a) that occurs between March 16, 2004, and January 12, 2009; and for not more than
7
$37,500 per day for each violation of 40 C.F.R. §§ 60.112b(a) or 63.423(a) that occurs after
8
January 12, 2009. SECOND CLAIM FOR RELIEF (Failure to Equip Loading Racks with Pollution Controls)
9 10 11
58.
Paragraphs 1 through 48, above, are realleged and incorporated herein by
12 reference. 13
59.
Since December 16, 1997, the Cabras Terminal loading racks have been and
14
continue to be operated without being equipped with vapor collection and processing systems as
15
required by the most stringent NSPS or NESHAP requirements of 40 C.F.R. §§ 60.502(a) or
16
63.422(a).
17
60.
Since December 16, 1997, the Saipan Terminal loading racks have been and
18
continue to be operated without being equipped with vapor collection and processing systems as
19
required by the most stringent NSPS or NESHAP requirements of 40 C.F.R. § § 60.502(a) or
20 63.422(a). 21
61. At the Cabras Terminal and Saipan Terminal, Mobil Guam and Mobil Mariana
22
Islands, respectively, violated and continue to violate the most stringent NSPS or NESHAP
23
loading rack vapor collection and processing system requirements of 40 C.F.R. § § 60.502(a) or
24
63.422(a).
25
62. Each violation of 40 C.F.R. §§ 60.502(a) or 63.422(a) at the Terminals subjects
26 Defendants to liability under the Act. 27 28
63. Unless enjoined by an order of this Court, Defendants will continue to violate 40
1 2
C.F.R. §9 60.502(a) and 63.422(a) at the Terminals. 64. Pursuant to Section 113 (b) of the Act, 42 U.S.C. § 7413(b), and 40 C.F.R. Part 19,
3
the Defendants are liable for injunctive relief and civil penalties of not more than $27,500 per
4
day for each violation of 40 C.F.R. §9 60.502(a) or 63.422(a) that occurs between March 15,
5
2003, and March 15, 2004; for not more than $32,500 per day for each violation of 40 C.F.R.
6
99 60.502(a) or 63.422(a) that occurs between March 16, 2004, and January 12, 2009; and for not
7
more than $37,500 per day for each violation of 40 C.F.R. §§ 60.502(a) or 63.422(a) that occurs
8
after January 12, 2009. THIRD CLAIM FOR RELIEF (Failure to Install and Operate Continuous Monitoring Systems)
9 10 11
65.
12
reference.
13
66.
Paragraphs 1 through 48, above, are realleged and incorporated herein by
Since on or about June 14, 1998, each of the Terminals has been and continues to
14 be operated without being equipped with continuous monitoring systems as required by 40 15 16
C.F.R. § 63.427(a). 67. At the Cabras Terminal and Saipan Terminal, Mobil Guam and Mobil Mariana
17 Islands, respectively, violated and continue to violate the NESHAP continuous monitoring 18 19 20 21 22 23
systems requirements of 40 C.F.R. § 63.427(a). 68. Each violation of 40 C.F.R. 9 63.427(a) at the Terminals subjects Defendants to liability under the Act. 69.
Unless enjoined by an order of this Court, Defendants will continue to violate 40
C.F.R. 9 63.427(a) at the Terminals. 70. Pursuant to Section 113 (b) of the Act, 42 U.S.C. § 7413 (b), and 40 C.F.R. Part 19,
24 Defendants are liable for injunctive relief and civil penalties of not more than $27,500 per day for 25
each violation of 40 C.F.R. § 63.427(a) that occurs between March 15, 2003, and March 15,
26
2004; for not more than $32,500 per day for each violation of 40 C.F.R. 9 63.427(a) that occurs
27
between March 16, 2004, and January 12, 2009; and for not more than $37,500 per day for each
28
-:1.2-
1
violation of 40 C.F.R. § 63.427(a) that occurs after January 12, 2009. FOURTH CLAIM FOR RELIEF (Failure to Limit Loading Rack Emissions)
2 3 4
71.
:5
reference.
6
72.
Paragraphs 1 through 48, above, are realleged and incorporated herein by
Since December 16, 1997, Mobil Guam failed to limit emissions from the loading
7
of liquid product from the Cabras Terminal loading racks into gasoline tank trucks to not more
8
than 10 milligrams of total organic compounds per liter of gasoline loaded as required by 40
9
C.F.R. § 63.422(a) and (b).
10
73. Since December 16, 1997, Mobil Mariana Islands failed to limit emissions from
11[
the loading of liquid product from the Saipan Terminal loading racks into gasoline tank trucks to
12
not more than 10 milligrams of total organic compounds per liter of gasoline loaded as required
13
by 40 C.F.R. § 63.422(a) and (b).
14 15
74. At the Cabras Terminal and Saipan Terminal, Mobil Guam and Mobil Mariana Islands, respectively, violated and continue to violate the NESHAP loading rack emission limit
16 of 40 C.F.R. § 63.422(a) and (b). 17
75.
Each violation of 40 C.F.R. § 63.422(a) and (b) at the Terminals subjects
18 Defendants to liability under the Act. 19 20 21
76. Unless enjoined by an order of this Court, Defendants will continue to violate 40 C.F.R. § 63.422(a) and (b) at the Terminals. 77. Pursuant to Section 113(b) of the Act, 42 U.S.C. § 7413(b), and 40 C.F.R. Part 19,
22
Defendants are liable for injunctive relief and civil penalties of not more than $27,500 per day for
23
each violation of 40 C.F.R. § 63.422(a) and (b) that occurs between March 15, 2003, and March
24
15, 2004; for not more than $32,500 per day for each violation of 40 C.F.R. § 63.422(a) and (b)
25
that occurs between March 16, 2004, and January 12, 2009; and for not more than $37,500 per
26
day for each violation of 40 C.F.R. § 63.422(a) and (b) that occurs after January 12, 2009.
27 28
FIFTH CLAIM FOR RELIEF (Failure to Conduct Performance Tests)
1 2 3
78.
4
reference.
5
79.
Paragraphs 1 through 48, above, are realleged and incorporated herein by
Since about 1990 and about 1992, respectively, Mobil Guam and Mobil Mariana
6
Islands failed to conduct NSPS performance tests at their respective Terminals’ loading racks as
7
required by 40 C.F.R. §§ 60.8 and 60.503.
8 9 10 11 12 13 14 15 16
80.
Since on or about June 14, 1998, Mobil Guam and Mobil Mariana Islands failed
to conduct NESHAP performance tests at their respective Terminals’ loading racks as required by 40 C.F.R. §§ 63.7(a) and 63.425(a). 81. At the Terminals, Defendants violated and continue to violate the NSPS and NESHAP performance testing requirements of 40 C.F.R. §§ 60.8, 60.503, 63.7(a), and 63.425(a). 82. Each violation of 40 C.F.R. §§ 60.8, 60.503, 63.7(a), or 63.425(a) at the Terminals subjects Defendants to liability under the Act. 83.
Unless enjoined by an order of this Court, Defendants will continue to violate 40
C.F.R. §§ 60.8, 60.503, 63.7(a), and 63.425(a) at the Terminals. SIXTH CLAIM FOR RELIEF (Failure to Submit Plans and Reports)
17 18 19
84.
20
reference.
21
85.
Paragraphs 1 through 48, above, are realleged and incorporated herein by
Since on or about February 14, 1998, Mobil Guam and Mobil Mariana Islands
22
failed to submit to EPA a report describing the types, identification numbers, and locations of all
23
equipment in gasoline service at their respective Terminals as required by 40 C.F.R. § 63.428(f).
24 25 26 27 28
86.
Since December 16, 1997, Mobil Guam and Mobil Mariana Islands failed to
develop a written SSM plan for their respective Terminals as required by 40 C.F.R. § 63.6(e)(3). 87.
Since on or about July 31, 1998, Mobil Guam and Mobil Mariana Islands failed to
submit to EPA semi-annual excess emissions and continuous monitoring system performance -14-
1
reports (or summary reports) for their respective Terminals by the 30th day following the end of
2
each calendar half as required by 40 C.F.R. § § 63.10(e)(3) and 63.428(h). 88.
3
At the Cabras Terminal and Saipan Terminal, Mobil Guam and Mobil Mariana
4
Islands, respectively, violated and continue to violate the NESHAP plan and reporting
5
requirements of 40 C.F.R. § § 63.6(e)(3), 63.10(e)(3), 63.428(f), and 63.428(h). 89. Each violation of 40 C.F.R. §§ 63.6(e)(3), 63.10(e)(3), 63.428(0, or 63.428(h) at
6 7
the Terminals subjects Defendants to liability under the Act. 90. Unless enjoined by an order of this Court, Defendants will continue to violate 40
8 9
C.F.R. §§ 63.6(e)(3), 63,10(e)(3), 63.428(f), and 63.428(h) at the Terminals. 91. Pursuant to Section 113(b) of the Act, 42 U.S.C. § 7413(b), and 40 C.F.R. Part 19,
10 11
the Defendants are liable for injunctive relief and civil penalties of not more than $27,500 per
12
day for each violation of 40 C.F.R. §§ 63.6(e)(3), 63.10(e)(3), 63.428(f), or 63.428(h) that occurs
13
between March 15, 2003, and March 15, 2004; for not more than $32,500 per day for each
1,4
violation of 40 C.F.R. §§ 63.6(e)(3), 63.10(e)(3), 63.428(f), or 63.428(h) that occurs between
15
March 16, 2004, and January 12, 2009; and for not more than $37,500 per day for each violation
16
of 40 C.F.R. §§ 63.6(e)(3), 63.10(e)(3), 63.428(f), or 63.428(h) that occurs after January 12,
17
2009. PRAYER FOR RELIEF
18 19 20
WHEREFORE, Plaintiff United States of America respectfully prays that this Court: a.
Permanently enjoin the Defendants from operating their respective
2:l
Terminals in violation of the Act (including NSPS Subparts A, Kb, and XX, and NESHAP
22
Subparts A and R);
23
b.
Assess civil penalties against Defendants of up to $27,500 for each day of
24
each violation of the Act between March 15, 2003, and March 15, 2004; up to $32,500 per day
25
for each violation of the Act between March 16, 2004, and January 12, 2009; and up to $37,500
26
per day for each violation of the Act after January 12, 2009.
27 28
-15-
1 2
C°
Award Plaintiff its costs and disbursements in this action; and
d.
Grant such other and further relief as this Court deems just and proper. Respectfully Submitted,
3 4 5
IGNACIA S. MORENO Assistant Attorney General Environment and Natural Resources Division U.S. Department of Justice
6 7
ROBERT D. MULLANEY Trial Attorney Environment and Natural Resources Division U.S. Department of Justice 301 Howard Street, Suite 1050 San Francisco, California 94105 Telephone: (415) 744-6491
8 9 10 11
LEONARDO M. RAPADAS United States Attorney
12 13 14
By: MIKEL W. SCHWAB Assistant United States Attorney Sirena Plaza, Suite 500 108 Heman Cortez Avenue Hagatna, Guam 96910 Telephone: (671) 472-7332
15 16 17 18 19
OF COUNSEL:
20
THOMAS P. MINTZ Assistant Regional Counsel U.S. Environmental Protection Agency, Region IX 75 Hawthorne Street San Francisco, California 94105
21 22 23 24 25 26 27 28
-:1.6-
LEONARDO M. RAPADAS United States Attorney MIKEL W. SCHWAB Assistant United States Attorney Sirena Plaza, Suite 500 108 Heman Cortez Avenue Hagatna, Guam 96910 Telephone: (671) 472-7332
10 Attorneys for Plaintiff United States of America 11 12
IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF GUAM
13 14 UNITED STATES OF AMERICA, 15
Plaintiff,
CIVIL ACTION NO.
V.
16 17 18 19 20 21 22 23 24 25 26 27 28
COMPLAINT MOBIL OIL GUAM, INC., and MOBIL OIL MARIANA ISLANDS, INC., Defendants.
1
The United States of America, by the authority of the Attorney General of the United
2
States and at the request of the Administrator of the United States Environmental Protection
3
Agency ("EPA"), by and through the undersigned attorneys, alleges as follows: NATURE OF ACTION
4 5
1.
This is a civil action brought under Section 113(b) of the Clean Air Act (the
6
"Act"), 42 U.S.C. § 7413(b), for injunctive relief and the assessment of civil penalties against
7
Mobil Oil Guam, Inc., and Mobil Oil Mariana Islands, Inc. (collectively, "Defendants"), for
8
violations of the Act and the regulations promulgated thereunder at their bulk gasoline terminals
9
located in Guam and Saipan. JURISDICTION AND VENUE
10 11 12 13
2.
This Court has jurisdiction over the subject matter of this action under Section
l13(b) of the Act, 42 U.S.C. § 7413(b), and 28 U.S.C. §§ 1331, 1345, and 1355. 3.
Venue is proper in this judicial district under Section 113(b) of the Act, 42 U.S.C.
14
§ 7413(b), and 28 U.S.C. §§ 1391 and 1395, because it is the judicial district in which
15
Defendants’ corporate headquarters are located; and, with respect to Defendant Mobil Oil Guam,
16
Inc., it is the judicial district in which the violations alleged in this Complaint have occurred and
17
are occurring. AUTHORITY AND NOTICE
18 19 20 21
4.
Authority to bring this action is vested in the United States Department of Justice
under Section 305 of the Act, 42 U.S.C. § 7605, and 28 U.S.C. §§ 516 and 519. 5.
Notice of the commencement of this action has been given to the Guam
22
Environmental Protection Agency and the Commonwealth of the Northern Mariana Islands
23
("CNMI") Division of Environmental Quality, as required by Section 113(b) of the Act, 42
24
U.S.C. § 7413(b). PARTIES
25 26 27 28
6.
Plaintiff is the United States of America, acting at the request and on behalf of the
EPA Administrator. -2-
7.
1
Defendant Mobil Oil Guam, Inc. ("Mobil Guam"), a wholly-owned subsidiary of
2
Exxon Mobil Corporation, is a Guam corporation with its corporate headquarters located in
3
Hagatna, Guam.
4
8.
Defendant Mobil Oil Mariana Islands, Inc. ("Mobil Mariana Islands"), a wholly-
5
owned subsidiary of Exxon Mobil Corporation, is a CNMI corporation with its corporate
6
headquarters located in Hagatna, Guam.
7
9.
Defendants are "person[s]" within the meaning of Section 302(e) of the Act, 42
8
U.S.C. § 7602(e). STATUTORY AND REGULATORY FRAMEWORK
9 10.
10
The primary purpose of the Act is to protect and enhance the quality of the
11
Nation’s air resources so as to promote the public health and welfare and the productive capacity
12
of its population. 42 U.S.C. § 7401(b)(1). 11. Section 11 l(b)(1) of the Act, 42 U.S.C. § 741 l(b)(1), required EPA’s
13 14
Administrator to: (i) publish a list of categories of stationary sources that, in his judgment, cause
15
or contribute significantly to air pollution that may reasonably be anticipated to endanger the
16
public health or welfare; and (ii) promulgate standards of performance for new sources within
17 those categories. These standards, commonly known as the New Source Performance Standards 18
("NSPS"), are codified at 40 C.F.R. Part 60. 12. Section 112(c) of the Act, 42 U.S.C. § 7412(c), required EPA’s Administrator to
19 2,0
publish a list of all categories of sources of hazardous air pollutants and to promulgate emission
21
standards for such categories. These standards are known as the National Emission Standards for
22 Hazardous Air Pollutants ("NESHAPs") for source categories and are codified at 40 C.F.R. Part 23 24
63. 13. Pursuant to Section 113(b) of the Act, 42 U.S.C. § 7413(b), EPA’s Administrator
25
is authorized to commence a civil action for appropriate relief, including injunctive relief and
26
civil penalties, against any person who has violated or is in violation of any requirement or
27 prohibition of any rule promulgated under Sections 111 and 112 of the Act, 42 U.S.C. §§ 7411, 28
1
7412. Standards of Performance for Volatile Organic Liquid Storage Vessels and Bulk Gasoline Terminals (40 C.F.R. Part 60, Subparts A, Kb, and XX)
2 3 4
14.
On December 23, 1971, EPA promulgated the NSPS "General Provisions,"
5
codified at 40 C.F.R. Part 60, Subpart A. 36 Fed. Reg. 24,877. Subpart A includes requirements
6
that apply to the owner or operator of an affected facility at a stationary source that is subject to a
7
category-specific NSPS. See, e._~., 40 C.F.R. § 60.1.
8 9
15. On April 8, 1987, EPA promulgated the NSPS for "Volatile Organic Liquid Storage Vessels (Including Petroleum Liquid Storage Vessels)," codified at 40 C.F.R. Part 60,
10
Subpart Kb. 52 Fed. Reg. 11,429. Subpart Kb applies to each storage vessel that: (i) has a
11
capacity greater than or equal to 75 cubic meters and (ii) is used to store volatile organic liquids,
12 as long as (iii) the construction, reconstruction, or modification of the storage vessel is 13 14 15
commenced after July 23, 1984. 40 C.F.R. § 60.110b(a). 16.
Subpart Kb establishes requirements for the owner or operator of each storage
vessel with a design capacity greater than or equal to 151 cubic meters containing a volatile
16 organic liquid that (as stored) has a maximum true vapor pressure greater than or equal to 5.2 17
kilopascals but less than 76.6 kilopascals. The owner or operator must equip these storage
18
vessels with either: (i) a fixed roof in combination with an internal floating roof equipped with
19
specified seals and controlled fittings; (ii) an external floating roof equipped with specified seals
20
and controlled fittings; (iii) a closed vent system and control device designed and operated to
21
reduce inlet volatile organic compound emissions by at least 95 percent; or (iv)an EPA-approved
22
equivalent means of emission limitation. 40 C.F.R. § 60.112b(a).
23
i7.
On August 18, 1983, EPA promulgated the NSPS for "Bulk Gasoline Terminals,"
24
codified at 40 C.F.R. Part 60, Subpart XX. 48 Fed. Reg. 37,590. Subpart XX applies to the total
25
of all the loading racks at a bulk gasoline terminal that deliver liquid product into gasoline tank
26
trucks if the construction or modification of the affected facility is commenced after December
27
17, 1980. 40 C.F.R. § 60.500(a)-(b).
28
1
18. Subpart XX requires the owner or operator of each bulk gasoline terminal to equip
2
the loading racks with a vapor collection system designed to collect the total organic compounds
3
vapors displaced from tank trucks during product loading. 40 C.F.R. § 60.502(a). The emissions
4
to the atmosphere from the vapor collection system must not exceed 35 milligrams of total
5
organic compounds per liter of gasoline loaded. 40 C.F.R. § 60.502(b). The owner or operator
,6
must comply with these requirements on and after the date on which the performance test is
7
required to be completed. 40 C.F.R. § 60.502.
8
19. NSPS Subparts A and XX require the owner or operator of a bulk gasoline
9
terminal to conduct performance tests within 60 days after achieving the maximum production
10
rate at which the loading racks will be operated, but not later than 180 days after the initial
11
startup of the loading racks. 40 C.F.R. §§ 60.8, 60.503.
12 13
20. Section 11 l(e) of the Act, 42 U.S.C. § 741 l(e), makes it unlawful for any owner or operator of any new source to operate such source in violation of any applicable NSPS.
15
National Emission Standards for Hazardous Air Pollutants for Gasoline Distribution Facilities (40 C.F.R. Part 63, Subparts A and R)
16
21. On March 16, 1994, EPA promulgated the NESHAP "General Provisions,"
17
codified at 40 C.F.R. Part 63, Subpart A. 59 Fed. Reg. 12,430. Subpart A includes requirements
18
that apply to the owner or operator of an affected source that is subject to a category-specific
14
19 NESHAP. See, e.__~., 40 C.F.R. § 63.1(a)(4) and (c)(1). 20
22. On December 14, 1994, EPA promulgated the NESHAP for "Gasoline
21
Distribution Facilities (Bulk Gasoline Terminals and Pipeline Breakout Stations)," codified at 40
22
C.F.R. Part 63, Subpart R. 59 Fed. Reg. 64,318. Subpart R applies to each bulk gasoline
23 terminal that is a major source of hazardous air pollutants. 40 C.F.R. § 63.420(a). 24 25
23.
Pursuant to NESHAP Subpart R, the owner or operator of a bulk gasoline
terminal must equip each gasoline storage vessel that has a design capacity greater than or equal
26 to 75 cubic meters in accordance with the requirements of 40 C.F.R. § 60.112b(a) (NSPS Subpart 27 28
Kb). 40 C.F.R. § 63.423(a). However, the requirements for controlled fittings in 40 C.F.R. -5-
1 2
§ 60.112b(a)(1)(iv) through (ix) and (a)(2)(ii) do not apply. 40 C.F.R. § 63.423(a). 24. NESHAP Subpart R also requires the owner or operator of a bulk gasoline
3
terminal to comply with the loading rack requirements of 40 C.F.R. § 60.502 (NSPS Subpart
4
XX), except that: (i) emissions from the vapor collection and processing systems must not
5
exceed 10 milligrams of total organic compounds per liter of gasoline loaded; and (ii) emissions
6
must be measured by a continuous monitoring system. 40 C.F.R. §§ 63.422(a)-(b), 63.427(a).
7
The owner or operator of an existing bulk gasoline terminal must comply with these gasoline
8
storage vessel and loading rack requirements as expeditiously as practicable, but no later than
9
December 15, 1997; however, the continuous monitoring system must be installed and
10
operational within 180 days of December 15, 1997. 40 C.F.R. §§ 63.7(a), 63.8(c), 63.422(d),
11
63.423(c).
12 13
25. NESHAP Subparts A and R require the owner or operator of an existing bulk gasoline terminal to conduct performance tests on the vapor collection and processing systems
14 within 180 days of December 15, 1997. 40 C.F.R. §§ 63.7(a), 63.422(d), 63.425(a). 15
26.
In addition, Subpart R requires the owner or operator of a bulk gasoline terminal
16
to perform monthly leak inspections of all equipment in gasoline service (i. e., equipment used in
17
a system that transfers gasoline or gasoline vapors). 40 C.F.R. § 63.424(a). No later than 60
18
days after December 15, 1997, the owner or operator of an existing bulk gasoline terminal must
19
submit a report to EPA describing the types, identification numbers, and locations of all
20 equipment in gasoline service. 40 C.F.R. §§ 63.9(h), 63.424(e), 63.428(f). 21
27. By December 15, 1997, NESHAP Subparts A and R require the owner or operator
22
of an existing bulk gasoline terminal to develop a written starmp, shutdown, and malfunction
23
("SSM") plan that describes: (i) procedures for operating and maintaining the source during
24
periods of starmp, shutdown, and malfunction; and (ii) a program of corrective action for
25
malfunctioning process, air pollution control, and monitoring equipment used to comply with
26
Subpart R. 40 C.F.R. §§ 63.6(e)(3), 63.422(d), 63.423(c), 63.424(e).
27 28
28.
Subparts A and R also require the owner or operator of an existing bulk gasoline -6-
1
terminal to submit semi-annual excess emissions and continuous monitoring system performance
2
reports (or a summary report) to EPA by the 30th day following the end of each calendar half. 40
3
C.F.R. §§ 63.10(e)(3), 63.428(h). This requirement applies even if the facility has not installed a
4
continuous monitoring system. 40 C.F.R. § 63.428(h).
5
29. If an owner or operator of a bulk gasoline terminal is subject to the requirements
6
ofNESHAP Subpart R as well as the requirements ofNSPS Subparts Kb or XX, it must comply
7
only with those provisions in NSPS Subparts Kb or XX or NESHAP Subpart R that contain the
8
most stringent control requirements for that facility. 40 C.F.R. § 63.420(g).
9 10
30. Under Section 112(i)(3)(A) of the Act, 42 U.S.C. § 7412(i)(3)(A), no person may operate a source in violation of an applicable NESHAP. GENERAL ALLEGATIONS
11 12
31. Exxon Mobil Corporation ships refined petroleum products from its Singapore
13
refinery to the bulk gasoline terminal located at 1189 Cabras Highway on Cabras Island in Piti,
1.4
Guam ("Cabras Terminal"). The Cabras Terminal consists of at least two parts: Area A and
15
Area C.
16
32. Regarding Area A of the Cabras Terminal, the Guam Government owns the land,
1’7
the Port Authority of Guam owns the facility, and Mobil Guam currently operates the facility
18
under a management agreement with the Port Authority of Guam.
19
33. Regarding Area C of the Cabras Terminal, the Guam Government owns the land,
20
while Mobil Guam owns the facility and currently operates it under a lease with the Port
21
Authority of Guam.
22 23
34. Refined petroleum products are shipped from the Cabras Terminal to the bulk gasoline terminal located at Puerto Rico Port Drive in the Lower Base area of Saipan ("Saipan
24 Terminal"). 25 26 27 28
35.
Mobil Mariana Islands owns the facility at the Saipan Terminal and currently
operates it under a lease with the Commonwealth Port Authority, a unit of the CNMI. 36. The Cabras and Saipan Terminals (collectively, the "Terminals") receive a variety -7-
1
of refined petroleum products (e.g., motor gasoline, aviation gasoline, jet fuel, automotive diesel
2
oil) by ship for storage in large tanks. The Terminals then distribute these products by pipeline
3
from their storage tanks to their loading racks, where the products are loaded into tank trucks.
4
37.
Each of the Terminals has a maximum calculated design throughput greater than
5
75,700 liters of gasoline per day, and each emits or has the potential to emit (considering controls
6
and in the aggregate) 10 tons per year or more of any "hazardous air pollutant" or 25 tons per
7
year or more of any combination of "hazardous air pollutants," as that term is defined in Section
8
112(a)(6) of the Act, 42 U.S.C. § 7412(a)(6).
9
38. Each of the following tanks at the Terminals (i) has a design capacity greater than
10
151 cubic meters; (ii) has a fixed roof; (iii) has stored or is currently storing either motor or
11
aviation gasoline; and (iv) has stored or is currently storing a volatile organic liquid with a stored
12
maximum true vapor pressure greater than or equal to 27.6 kilopascals but less than 76.6
13
kilopascals: for the Cabras Terminal, Area A/Tank 1 (built about 1956), Area A/Tank 2 (built
14 about 1999), Area A/Tank 3 (built about 1956), Area A/Tank 4 (built about 1983), Area A/Tank 15
6 (built about 1960), Area C/Tank 20 (built about 1999), Area C/Tank 23 (built about 1989), and
16 Area C/Tank 24 (built about 1989); and for the Saipan Terminal, Tank 1 (built about 1967), Tank 17
2 (built about 1967), Tank 3 (built about 1968), Tank 7 (built about 1989), and Tank 10 (built
18
about 1989).
19
39.
The Cabras Terminal’s loading racks consist of three bays (one top loading and
20
two bottom loading) built about 1990; the Saipan Terminal’s loading racks consist of two bays
21
(both top loading) built about 1992.
22 23 24
40. Each of the Terminals is a "stationary source" within the meaning of Sections 11 l(a)(3) and 112(a)(3) of the Act, 42 U.S.C. §§ 741 l(a)(3), 7412(a)(3). 41.
Mobil Guam is an "owner or operator" of the Cabras Terminal and Mobil Mariana
25
Islands is an "owner or operator" of the Saipan Terminal within the meaning of Sections
26
11 l(a)(5) and 112(a)(9) of the Act, 42 U.S.C. §§ 741 l(a)(5), 7412(a)(9).
27 28
42. Each of the Terminals is a "bulk gasoline terminal" as that term is defined in 40 -8-
1 2
C.F.R. §§ 60.501 and 63.421. 43. Each of the following tanks is a "storage vessel" as that term is defined in 40
3
C.F.R. § 60.11 lb: for the Cabras Terminal, Area A/Tank 1, Area A/Tank 2, Area A/Tank 3,
,4
Area A/Tank 4, Area A/Tank 6, Area C/Tank 20, Area C/Tank 23, and Area C/Tank 24; and for
5
the Saipan Terminal, Tank 1, Tank 2, Tank 3, Tank 7, and Tank 10.
6
44.
Each of the following tanks is an "affected facility" (as that term is defined in 40
7
C.F.R. §§ 60.2 and 60.110b) subject to NSPS Subpart Kb: for the Cabras Terminal, Area
8
A/Tank 2, Area C/Tank 20, Area C/Tank 23, and Area C/Tank 24; and for the Saipan Terminal,
9
Tank 7 and Tank 10.
10
45. Mobil Guam is an "owner or operator" (as that term is defined in 40 C.F.R.
11
§ 60.2) of the Cabras Terminal Area A/Tank 2, Area C/Tank 20, Area C/Tank 23, and Area
12
C/Tank 24. Mobil Mariana Islands is an "owner or operator" of the Saipan Terminal Tank 7 and
13
Tank 10.
14
46.
Each loading rack at the Terminals is a "loading rack" as that term is defined in 40
15
C.F.R. § 60.501, and part of an "affected facility" (as that term is defined in 40 C.F.R. §§ 60.2
16
and 60.500) subject to NSPS Subpart XX.
17
47.
Mobil Guam is an "owner or operator" (as that term is defined in 40 C.F.R.
18
§ 60.2) of the Cabras Terminal loading racks, and Mobil Mariana Islands is an "owner or
19
operator" of the Saipan Terminal loading racks.
20 21
48.
Each of the Terminals is: (i) a NESHAP "major source" within the meaning of
Section 112(a)(1) of the Act, 42 U.S.C. § 7412(a)(1); (ii) an "existing source" within the
22 meaning of Section 112(a)(10) of the Act, 42 U.S.C. § 7412(a)(10); and (iii) a NESHAP 23
"affected source" as that term is defined in 40 C.F.R. §§ 63.2 and 63.420(a). FIRST CLAIM FOR RELIEF (Failure to Equip Storage Vessels with Pollution Controls)
24 25 26
49.
27’
reference.
28
Paragraphs 1 through 48, above, are realleged and incorporated herein by
-g-
1
50.
Since December 16, 1997, each of the following tanks has been operated and
2
continues to be operated without being equipped in accordance with all of the most stringent
3
applicable NSPS or NESHAP equipment requirements of 40 C.F.R. §§ 60.112b(a) or 63.423(a):
4
for the Cabras Terminal, Area C/Tank 23 and Area C/Tank 24; and for the Saipan Terminal,
5
Tank 7 and Tank 10.
6
51.
Since December 16, 1997, each of the following tanks has been operated and
7
continues to be operated without being equipped in accordal~ce with all of the applicable
8
NESHAP equipment requirements of 40 C.F.R. § 63.423(a): for the Cabras Terminal, Area
9
A/Tank 1, Area A/Tank 3, Area A/Tank 4, and Area A/Tank 6; and for the Saipan Terminal,
10 11
Tank 1, Tank 2, and Tank 3. 52.
Since about 1999, each of the following tanks has been operated and continues to
12 be operated without being equipped in accordance with all of the most stringent applicable NSPS 13
or NESHAP equipment requirements of 40 C.F.R. § § 60.112b(a) or 63.423 (a): for the Cabras
14 Terminal, Area A/Tank 2 and Area C/Tank 20. 15
53.
At the Cabras Terminal, Mobil Guam (i) violated and continues to violate the
16 NESHAP equipment requirements of 40 C.F.R. § 63.423(a) with respect to Area A/Tank 1, Area 17
A/Tank 3, Area A/Tank 4, and Area A/Tank 6; and (ii) violated and continues to violate the most
18
stringent NSPS or NESHAP equipment requirements of 40 C.F.R. § § 60.112b(a) or 63.423(a)
19
with respect to Area A/Tank 2, Area C/Tank 20, Area C/Tank 23, and Area C/Tank 24.
20
54.
At the Saipan Terminal, Mobil Mariana Islands (i) violated and continues to
21
violate the NESHAP equipment requirements of 40 C.F.R. § 63.423(a) with respect to Tank 1,
22
Tank 2, and Tank 3; and (ii) violated and continues to violate the most stringent NSPS or
23
NESHAP equipment requirements of 40 C.F.R. §§ 60.112b(a) or 63.423(a) with respect to Tank
24 7 and Tank 10. 25
55. Each violation of 40 C.F.R. §§ 60.112b(a) or 63.423(a) at the Terminals subjects
26 Defendants to liability under the Act. 27 28
56. Unless enjoined by an order of this Court, Defendants will continue to violate 40 -:tO-
1 2
C.F.R. §§ 60.112b(a) and 63.423(a) at the Terminals. 57. Pursuant to Section 113(b) of the Act, 42 U.S.C. § 7413(b), and 40 C.F.R. Part 19,
3
Defendants are liable for injunctive relief and civil penalties of not more than $27,500 per day for
4
each violation of 40 C.F.R. §§ 60.112b(a) or 63.423(a) that occurs between March 15, 2003, and
5
March 15, 2004; for not more than $32,500 per day for each violation of 40 C.F.R. §§ 60.112b(a)
6
or 63.423(a) that occurs between March 16, 2004, and January 12, 2009; and for not more than
7
$37,500 per day for each violation of 40 C.F.R. §§ 60.112b(a) or 63.423(a) that occurs after
8
January 12, 2009. SECOND CLAIM FOR RELIEF (Failure to Equip Loading Racks with Pollution Controls)
9 10 11
58.
Paragraphs 1 through 48, above, are realleged and incorporated herein by
12 reference. 13
59.
Since December 16, 1997, the Cabras Terminal loading racks have been and
14
continue to be operated without being equipped with vapor collection and processing systems as
15
required by the most stringent NSPS or NESHAP requirements of 40 C.F.R. §§ 60.502(a) or
16
63.422(a).
17
60.
Since December 16, 1997, the Saipan Terminal loading racks have been and
18
continue to be operated without being equipped with vapor collection and processing systems as
19
required by the most stringent NSPS or NESHAP requirements of 40 C.F.R. § § 60.502(a) or
20 63.422(a). 21
61. At the Cabras Terminal and Saipan Terminal, Mobil Guam and Mobil Mariana
22
Islands, respectively, violated and continue to violate the most stringent NSPS or NESHAP
23
loading rack vapor collection and processing system requirements of 40 C.F.R. § § 60.502(a) or
24
63.422(a).
25
62. Each violation of 40 C.F.R. §§ 60.502(a) or 63.422(a) at the Terminals subjects
26 Defendants to liability under the Act. 27 28
63. Unless enjoined by an order of this Court, Defendants will continue to violate 40
1 2
C.F.R. §9 60.502(a) and 63.422(a) at the Terminals. 64. Pursuant to Section 113 (b) of the Act, 42 U.S.C. § 7413(b), and 40 C.F.R. Part 19,
3
the Defendants are liable for injunctive relief and civil penalties of not more than $27,500 per
4
day for each violation of 40 C.F.R. §9 60.502(a) or 63.422(a) that occurs between March 15,
5
2003, and March 15, 2004; for not more than $32,500 per day for each violation of 40 C.F.R.
6
99 60.502(a) or 63.422(a) that occurs between March 16, 2004, and January 12, 2009; and for not
7
more than $37,500 per day for each violation of 40 C.F.R. §§ 60.502(a) or 63.422(a) that occurs
8
after January 12, 2009. THIRD CLAIM FOR RELIEF (Failure to Install and Operate Continuous Monitoring Systems)
9 10 11
65.
12
reference.
13
66.
Paragraphs 1 through 48, above, are realleged and incorporated herein by
Since on or about June 14, 1998, each of the Terminals has been and continues to
14 be operated without being equipped with continuous monitoring systems as required by 40 15 16
C.F.R. § 63.427(a). 67. At the Cabras Terminal and Saipan Terminal, Mobil Guam and Mobil Mariana
17 Islands, respectively, violated and continue to violate the NESHAP continuous monitoring 18 19 20 21 22 23
systems requirements of 40 C.F.R. § 63.427(a). 68. Each violation of 40 C.F.R. 9 63.427(a) at the Terminals subjects Defendants to liability under the Act. 69.
Unless enjoined by an order of this Court, Defendants will continue to violate 40
C.F.R. 9 63.427(a) at the Terminals. 70. Pursuant to Section 113 (b) of the Act, 42 U.S.C. § 7413 (b), and 40 C.F.R. Part 19,
24 Defendants are liable for injunctive relief and civil penalties of not more than $27,500 per day for 25
each violation of 40 C.F.R. § 63.427(a) that occurs between March 15, 2003, and March 15,
26
2004; for not more than $32,500 per day for each violation of 40 C.F.R. 9 63.427(a) that occurs
27
between March 16, 2004, and January 12, 2009; and for not more than $37,500 per day for each
28
-:1.2-
1
violation of 40 C.F.R. § 63.427(a) that occurs after January 12, 2009. FOURTH CLAIM FOR RELIEF (Failure to Limit Loading Rack Emissions)
2 3 4
71.
:5
reference.
6
72.
Paragraphs 1 through 48, above, are realleged and incorporated herein by
Since December 16, 1997, Mobil Guam failed to limit emissions from the loading
7
of liquid product from the Cabras Terminal loading racks into gasoline tank trucks to not more
8
than 10 milligrams of total organic compounds per liter of gasoline loaded as required by 40
9
C.F.R. § 63.422(a) and (b).
10
73. Since December 16, 1997, Mobil Mariana Islands failed to limit emissions from
11[
the loading of liquid product from the Saipan Terminal loading racks into gasoline tank trucks to
12
not more than 10 milligrams of total organic compounds per liter of gasoline loaded as required
13
by 40 C.F.R. § 63.422(a) and (b).
14 15
74. At the Cabras Terminal and Saipan Terminal, Mobil Guam and Mobil Mariana Islands, respectively, violated and continue to violate the NESHAP loading rack emission limit
16 of 40 C.F.R. § 63.422(a) and (b). 17
75.
Each violation of 40 C.F.R. § 63.422(a) and (b) at the Terminals subjects
18 Defendants to liability under the Act. 19 20 21
76. Unless enjoined by an order of this Court, Defendants will continue to violate 40 C.F.R. § 63.422(a) and (b) at the Terminals. 77. Pursuant to Section 113(b) of the Act, 42 U.S.C. § 7413(b), and 40 C.F.R. Part 19,
22
Defendants are liable for injunctive relief and civil penalties of not more than $27,500 per day for
23
each violation of 40 C.F.R. § 63.422(a) and (b) that occurs between March 15, 2003, and March
24
15, 2004; for not more than $32,500 per day for each violation of 40 C.F.R. § 63.422(a) and (b)
25
that occurs between March 16, 2004, and January 12, 2009; and for not more than $37,500 per
26
day for each violation of 40 C.F.R. § 63.422(a) and (b) that occurs after January 12, 2009.
27 28
FIFTH CLAIM FOR RELIEF (Failure to Conduct Performance Tests)
1 2 3
78.
4
reference.
5
79.
Paragraphs 1 through 48, above, are realleged and incorporated herein by
Since about 1990 and about 1992, respectively, Mobil Guam and Mobil Mariana
6
Islands failed to conduct NSPS performance tests at their respective Terminals’ loading racks as
7
required by 40 C.F.R. §§ 60.8 and 60.503.
8 9 10 11 12 13 14 15 16
80.
Since on or about June 14, 1998, Mobil Guam and Mobil Mariana Islands failed
to conduct NESHAP performance tests at their respective Terminals’ loading racks as required by 40 C.F.R. §§ 63.7(a) and 63.425(a). 81. At the Terminals, Defendants violated and continue to violate the NSPS and NESHAP performance testing requirements of 40 C.F.R. §§ 60.8, 60.503, 63.7(a), and 63.425(a). 82. Each violation of 40 C.F.R. §§ 60.8, 60.503, 63.7(a), or 63.425(a) at the Terminals subjects Defendants to liability under the Act. 83.
Unless enjoined by an order of this Court, Defendants will continue to violate 40
C.F.R. §§ 60.8, 60.503, 63.7(a), and 63.425(a) at the Terminals. SIXTH CLAIM FOR RELIEF (Failure to Submit Plans and Reports)
17 18 19
84.
20
reference.
21
85.
Paragraphs 1 through 48, above, are realleged and incorporated herein by
Since on or about February 14, 1998, Mobil Guam and Mobil Mariana Islands
22
failed to submit to EPA a report describing the types, identification numbers, and locations of all
23
equipment in gasoline service at their respective Terminals as required by 40 C.F.R. § 63.428(f).
24 25 26 27 28
86.
Since December 16, 1997, Mobil Guam and Mobil Mariana Islands failed to
develop a written SSM plan for their respective Terminals as required by 40 C.F.R. § 63.6(e)(3). 87.
Since on or about July 31, 1998, Mobil Guam and Mobil Mariana Islands failed to
submit to EPA semi-annual excess emissions and continuous monitoring system performance -14-
1
reports (or summary reports) for their respective Terminals by the 30th day following the end of
2
each calendar half as required by 40 C.F.R. § § 63.10(e)(3) and 63.428(h). 88.
3
At the Cabras Terminal and Saipan Terminal, Mobil Guam and Mobil Mariana
4
Islands, respectively, violated and continue to violate the NESHAP plan and reporting
5
requirements of 40 C.F.R. § § 63.6(e)(3), 63.10(e)(3), 63.428(f), and 63.428(h). 89. Each violation of 40 C.F.R. §§ 63.6(e)(3), 63.10(e)(3), 63.428(0, or 63.428(h) at
6 7
the Terminals subjects Defendants to liability under the Act. 90. Unless enjoined by an order of this Court, Defendants will continue to violate 40
8 9
C.F.R. §§ 63.6(e)(3), 63,10(e)(3), 63.428(f), and 63.428(h) at the Terminals. 91. Pursuant to Section 113(b) of the Act, 42 U.S.C. § 7413(b), and 40 C.F.R. Part 19,
10 11
the Defendants are liable for injunctive relief and civil penalties of not more than $27,500 per
12
day for each violation of 40 C.F.R. §§ 63.6(e)(3), 63.10(e)(3), 63.428(f), or 63.428(h) that occurs
13
between March 15, 2003, and March 15, 2004; for not more than $32,500 per day for each
1,4
violation of 40 C.F.R. §§ 63.6(e)(3), 63.10(e)(3), 63.428(f), or 63.428(h) that occurs between
15
March 16, 2004, and January 12, 2009; and for not more than $37,500 per day for each violation
16
of 40 C.F.R. §§ 63.6(e)(3), 63.10(e)(3), 63.428(f), or 63.428(h) that occurs after January 12,
17
2009. PRAYER FOR RELIEF
18 19 20
WHEREFORE, Plaintiff United States of America respectfully prays that this Court: a.
Permanently enjoin the Defendants from operating their respective
2:l
Terminals in violation of the Act (including NSPS Subparts A, Kb, and XX, and NESHAP
22
Subparts A and R);
23
b.
Assess civil penalties against Defendants of up to $27,500 for each day of
24
each violation of the Act between March 15, 2003, and March 15, 2004; up to $32,500 per day
25
for each violation of the Act between March 16, 2004, and January 12, 2009; and up to $37,500
26
per day for each violation of the Act after January 12, 2009.
27 28
-15-
1 2
C°
Award Plaintiff its costs and disbursements in this action; and
d.
Grant such other and further relief as this Court deems just and proper. Respectfully Submitted,
3 4 5
IGNACIA S. MORENO Assistant Attorney General Environment and Natural Resources Division U.S. Department of Justice
6 7
ROBERT D. MULLANEY Trial Attorney Environment and Natural Resources Division U.S. Department of Justice 301 Howard Street, Suite 1050 San Francisco, California 94105 Telephone: (415) 744-6491
8 9 10 11
LEONARDO M. RAPADAS United States Attorney
12 13 14
By: MIKEL W. SCHWAB Assistant United States Attorney Sirena Plaza, Suite 500 108 Heman Cortez Avenue Hagatna, Guam 96910 Telephone: (671) 472-7332
15 16 17 18 19
OF COUNSEL:
20
THOMAS P. MINTZ Assistant Regional Counsel U.S. Environmental Protection Agency, Region IX 75 Hawthorne Street San Francisco, California 94105
21 22 23 24 25 26 27 28
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