Document gy8Jq8yakJbBRw2ggwvxOkbG

UNITED STATES ENVIRONMENTAL PROTECTION AGENCY Region6 1445 Ross Avenue, Suite 1200 Dallas, Texas 75202 - 2733 SEP 1 5 2015 CERTIFIED MAIL- RETURN RECEIPT REQUESTED: 7014 0150 0000 2454 4951 Dr. Thomas Beershank Vice President 2350 Double Creek Drive Round Rock, Texas 78664 Re: Exfluor Research. Corporation, Docket No. CAA-06-2015-3355 Dear Dr. Beershank; Enclosed is a fully executed Administrative Order on Consent (AOC) in the matter referenced above for execution by Exfluor Research Corporation. As provided in the AOC, Exfluor Research Corporation shall comply with the general duties to identify hazards, design and maintain a safe facility, and mitigate releases that do occur. If you have any questions regarding this AOC, please contact Jeffrey Clay, Assistant Regional Counsel, at (214) 665-7297. Sincerely, Enclosure Compliance Assurance and Enforcement Division UNITED STATES ENVIRONMENTAL PROTECTION AGENCY REGION6 ) IN THE MATTER OF: ) ) Exfluor Research Corporation, ) Roundrock, Texas ) ) Respondent ) ) ) Proceeding under Section ) 113 ofthe Clean Air Act ) ______________________) ADMINISTRATIVE ORDER ON CONSENT Docket CAA-06-2015-3303 I. INTRODUCTION I. The following Findings are made and an Administrative Order on Consent issued pursuant to Section 113(a)(3) ofthe Clean Air Act ("CAA"), 42 U.S.C. 7413(a)(3), for Respondent's failure to comply with Section 112(r)(1) ofthe CAA, 42 U.S.C. 7412(r)(1), with regard to an air release at Exfluor Research Corporation's facility in Round Rock, Texas. The parties to this Administrative Order on Consent are the United States Environmental Protection Agency, Region 6 ("EPA" or "EPA Region 6") and Exfluor Research Corporation ("Respondent"). 2. This Administrative Order on Consent ("Order") is entered into upon mutual agreement by the parties. Accordingly, Respondent consents to and agrees not to contest EPA's jurisdiction to issue this Order or enforce its terms. Further, Respondent will not contest EPA's jurisdiction to either compel compliance with this Order in any subsequent enforcement proceedings, whether administrative or judicial, or to require Respondent's full compliance with the terms of this Order or impose sanctions for violations ofthis Order. Respondent consents to the tenns ofthis Administrative Order on Consent. 3. This Order shall apply to and be binding upon Respondent, its agents, successors and assigns and upon all persons, contractors, and consultants acting under or for Respondent. No change in ownership or corporate or partnership status of Respondent will in any way alter the status of Respondent or its responsibilities under this Order. II. STATUTORY AND REGULATORY AUTHORITY 4. Pursuant to Section 112(r)(l) of the CAA, 42 U.S.C. 7412(r)(1), owners and operators ofstationary sources producing, processing, handling, or storing substances listed pursuant to Section 112(r)(3) of the CAA, 42 U.S.C. 7412(r)(3), or any other extremely hazardous substance, have a general duty to (a) identifY hazards which may result from accidental releases of such substances using appropriate hazard assessment teclmiques; (b) design and maintain a safe facility taking such steps as are necessary to prevent releases; and (c) minimize the consequences of accidental releases that do occur. This section ofthe CAA is referred to as the "General Duty Clause." 5. The extremely hazardous substances identified pursuant to Section 112(r)(3) include specifically listed substances ("Regulated Substances") or "other extremely hazardous substances." 6. Section 113(a)(3) of the CAA, 42 U.S. C. 7413(a)(3), authorizes EPA to issue compliance orders for violations of the Act, including violations of Section 112(r), 42 U.S.C. 7412(r). A copy of the order must be sent to the relevant State air pollution control agency. An order relating to a violation of Section 112 of the CAA can take effect immediately upon issuance. 7. The authority to issue orders pursuant to Section 113(a)(3) of the CAA has been delegated to EPA Region 6's Regional Administrator, and in turn to the Director of EPA Region 6's Compliance Assurance and Enforcement Division. III. EPA REGION 6 FINDINGS 8. Exfluor Research Corporation owns and operates a laboratory and manufacturing facility in Round Rock, Texas ("Facility''). The Facility includes three buildings which house laboratory space, warehouse, chemical storage vessels and other production equipment related to the manufacturing ofspecialty fluorine-containing compounds. 9. Exfluor Research Corporation is a "person" within the meaning of Section 302(e) ofthe CAA, 42 U.S. C. 7602(e). 10. The Facility is a "stationary source" as that term is defined at Section 112(r)(2)(C) ofthe CAA, 42 U.S.C. 7412(r)(2)(C). 11. The Facility is primarily engaged in research, production, processing, storing, and handling of chemicals associated with manufacturing specialty fluorinecontaining materials and their by-products. 12. The morning of September 18, 2014, the Respondent discovered a visible leak in the fonn of a vapor cloud coming from Building 3 at the Facility. The source of the vapor was observed coming from a 30 gallon cylinder ofperfluorosuccinoyl fluoride, and later confirmed to be the result of a leaking Apollo 32-100 ball valve. The ball valve was found to contain a breached copper gasket. 13. In the context ofthe incident that occurred on September 18, 2014, perfluorosuccinoyl fluoride is a hazardous substance due to its toxicity; however, a byproduct ofperfluorosuccinoyl fluoride- hydrofluoric acid -- is produced when 2 perfluorosuccinoyl fluoride reacts with moisture in ambient air and is a regulated substance or extremely hazardous substances due to its toxicity. 14. Respondent produced, processed, stored, or handled regulated substances or other extremely hazardous substances at the Facility. 15. The Respondent determined that the valve arrangement on the perfluorosuccinoyl fluoride cylinder (which was an adapted propane cylinder) was inadequate to prevent releases. 16. Pursuant to Section 112(r)(l) of the CAA, 42 U.S.C. 7412(r)(l), owners and operators of stationary sources producing, processing, handling, or storing substances listed pursuant to Section 112(r)(3) ofthe CAA, 42 U.S.C. 7412(r)(3), or any other extremely hazardous substance, have a general duty to (a) identifY hazards which may result from accidental releases ofsuch substances using appropriate hazard assessment techniques; (b) design and maintain a safe facility taking such steps as are necessary to prevent releases; and (c) minimize the consequences of accidental releases that do occur. 17. EPA finds that Exfluor Research Corporation is subject to the requirements of Section 112(r)(l) ofthe CAA, 42 U.S.C. 7412(r)(1) and that Respondent violated one or more of those general duties on February 3, 2014 at the Facility. IV. ORDER 18. Accordingly, pursuant to Section 113(a)(3) of the CAA, 42 U.S. C. 7413(a)(3), it is hereby agreed that Respondent Exfluor Research Corporation, which has consented to the terms ofthis Order, shall comply with the general duties to identifY hazards, design and maintain a safe facility, and mitigate releases that do occur as follows: a. IdentifY and engage a third-party health and safety expert to perform a hazard analysis on Respondent's process activities generally. The expert shall be recognized as an expert on chemical safety and shall prepare a written report analyzing process practices in place at Respondent's facility. The report shall also identifY applicable standards associated with each Facility process and the manner in which.other parties have implemented practices to satisfY those standards. The requirements of this paragraph shall be completed and the Report submitted to Respondent within 180 days of the effective date of this Order. b. The Respondent will provide a copy ofthe safety expert's report and recommendations to EPA within 14 days after the Respondent receives the report. 3 c. The Respondent will provide to EPA within 45 days after Respondent receives the chemical safety expert's report a plan (such as revisions to Standard Operating Procedures) that shows how practices recommended by the chemical safety expert will be implemented by the Respondent. If Respondent chooses not to implement the recommendations ofthe expert then the Respondent will explain in writing why they have chosen to not implement the expert's reconunendation. d. EPA acknowledges that Exfluor Research Corporation may have already instituted some of these requirements. e. All work and certifications required under this Administrative Order must be completed within the durations specified in this Administrative Order on Consent. 19. Notifications: a. Submissions required by this Order shall be in writing and shall be mailed to the following addresses with a copy also sent by electronic mail: U.S. Environmental Protection Agency Region 6 (Mail Code: 6EN-AA) 1445 Ross Avenue Dallas, Texas 75202-2733 Attention: Donald M. Smith smith.donald-m@epa.gov b. EPA will send all written communications to the following representative(s) for Respondent: Dr. Thomas Beershank Vice President Exfluor Research Corporation 2350 Double Creek Drive Round Rock, Texas 78664 20. All documents submitted to EPA in the course of implementing this Order shall be available to the public unless identified as confidential by Respondent pursuant to 40 C.P.R. Part 2, Subpart B and determined by EPA to merit treatment as confidential business information ("CBI") in accordance with applicable law. V. GENERAL PROVISIONS 21. The provisions ofthis Order shall apply to and be binding upon Exfluor Research Corporation its officers, directors, agents, and employees. 4