Document nm2Y15Dkjrq79Xy74LrDb7LDw

UNITED STATES ENVIRONMENTAL PROTECTION AGENCY REGION 6 DALLAS, TEXAS FILED 10 MAR 26 AM 07:45 REGIONAL HEARING CLERK EPA REGION 6 In the Matter of Eco Services Operations Corp. Baton Rouge Respondent Docket No. CAA-06-2025-3428 CONSENT AGREEMENT AND FINAL ORDER A. PRELIMINARY STATEMENT 1. This is an administrative penalty assessment proceeding brought under Section113(d) of the Clean Air Act, (the "CAA" or the "Act"), 42 U.S.C. 7413(d), and Sections 22.13, 22.18, and 22.34 of the Consolidated Rules of Practice Governing the Administrative Assessment of Civil Penalties and the Revocation/Termination or Suspension of Permit ("Consolidated Rules"), as codified at 40 C.F.R. Part 22. 2. Complainant is the United States Environmental Protection Agency, Region 6 ("EPA"). On EPA's behalf, the Director of the Enforcement and Compliance Assurance Division, EPA Region 6, has been delegated the authority to settle civil administrative penalty and compliance proceedings under Section 113(d) of the Act, 42 U.S.C. 7413(d). 3. Eco Services Operations Corp. ("Eco Services" or "Respondent") is a limited liability company doing business in the State of Louisiana. Respondent is a "person" as defined in Section 302(e) of the Act, 42 U.S.C. 7602(e). Eco Services Operations Corp. Docket No. CAA-06-2025-3428 4. Complainant and Respondent, having agreed that settlement of this action is in the public interest, consent to the entry of this Consent Agreement along with the corresponding Final Order hereinafter known together as the "CAFO" without the adjudication of any issues of law or fact herein. 5. Respondent consents to the assessment of the civil penalty specified in this CAFO and to the terms of this CAFO. B. JURISDICTION 6. This CAFO is entered into under Section 113(d) of the CAA, as amended, 42 U.S.C. 7413(d), and the Consolidated Rules, 40 C.F.R. Part 22. The alleged violations in this CAFO are pursuant to Section 113 (a)(3)(A) of the Act, 42 U.S.C. 7413 (a)(3)(A). 7. On May 10, 2024, EPA issued to Respondent a Notice letter, providing notice to Respondent that EPA found Respondent committed the alleged violations described in Section E of this CAFO and providing Respondent an opportunity to confer with EPA. On June 10, 2024, representatives of Respondent and EPA conferred regarding the May 10, 2024, Notice letter. 8. The Regional Judicial Officer is authorized to ratify this CAFO which memorializes a settlement between Complainant and Respondent. 40 C.F.R. 22.4(b) and 22.18(b). 9. The issuance of this CAFO simultaneously commences and concludes this proceeding. 40 C.F.R. 22.13(b). C. STATUTORY AND REGULATORY BACKGROUND Clean Air Act, Section 112(R) 10. The objective of Section 112(r)(1) of the Act, 42 U.S.C. 7412(r)(1), is to prevent the accidental release and to minimize the consequences of any such release of any substance 2 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 listed pursuant to Section 112(r)(3) of the CAA, 42 U.S.C. 7412(r)(3), or any other extremely hazardous substance. 11. Section 112(r)(3) of the CAA, 42 U.S.C. 7412(r)(3), requires the Administrator to promulgate, not later than 24 months after November 15, 1990, a list of regulated substances which, in the case of an accidental release, are known to cause or may reasonably be anticipated to cause death, injury, or serious adverse effects to human health or the environment. 12. Pursuant to Section 112(r)(3) of the Act, 42 U.S.C. 7412(r)(3), the Administrator initially promulgated a list of regulated substances, with threshold quantities for applicability, at 59 Fed. Reg. 4478 (January 31, 1994), which is codified, as amended, at 40 C.F.R. 68.130. 13. Pursuant to Sections 113(a) and (d) of the CAA, 42 U.S.C. 7413(a) and (d), whenever the Administrator finds that such person has violated or is violating any requirement or prohibition of Section 112(r) of the CAA, 42 U.S.C. 7412(r), and its implementing regulations, the Administrator may issue an administrative order and a civil administrative penalty. 14. The Administrator may assess a civil penalty of up to $59,114 per day of violation up to a total of $472,901 for each violation. Section 113(d)(1) of the Act, 42 U.S.C. 7413(d)(1), and 40 C.F.R. Part 19. Risk Management Plan (RMP) 15. Section 112(r)(7) of the CAA, 42 U.S.C. 7412(r)(7), requires the Administrator to promulgate regulations that address release prevention, detection, and correction requirements for stationary sources with threshold quantities of regulated substances listed pursuant to 3 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 Section 112(r)(3) of the CAA, 42 U.S.C. 7412(r)(3). On June 20, 1996, EPA promulgated a final rule known as the Risk Management Program, 40 C.F.R. Part 68 - Chemical Accident Prevention Provisions, which implements Section 112(r)(7) of the CAA, 42 U.S.C. 7412(r)(7). 16. The regulations at 40 C.F.R. Part 68 require owners and operators to develop and implement a Risk Management Program at each stationary source with over a threshold quantity of regulated substances. The Risk Management Program must include, among other things, a hazard assessment, a prevention program, and an emergency response program. The Risk Management Program is described in a Risk Management Plan (RMP) that must be submitted to EPA. 17. Pursuant to Section 112(r)(7) of the CAA, 42 U.S.C. 7412(r)(7), and 40 C.F.R. 68.150, an RMP must be submitted for all covered processes by the owner or operator of a stationary source subject to 40 C.F.R. Part 68 no later than the latter of June 21, 1999, or the date on which a regulated substance is first present above the threshold quantity in a process. 18. The regulations at 40 C.F.R. 68.10 set forth how the Chemical Accident Prevention Provisions of 40 C.F.R. Part 68 apply to each program level of covered processes. 19. Pursuant to 40 C.F.R. 68.10(i), a covered process is subject to Program 3 requirements if the process does not meet the requirements of Program 1, as described in 40 C.F.R. 68.10(g), and if it is in a specified North American Industrial Classification System code or is subject to the OSHA process safety management standard, 29 C.F.R. 1910.119. Definitions 20. Section 302(e) of the CAA, 42 U.S.C. 7602(e), defines "person" to include any individual, corporation, partnership, association, State, municipality, political subdivision of a 4 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 State, and any agency department, or instrumentality of the United States and any officer, agent, or employee thereof. 21. Section 112(r)(2)(C) of the CAA, 42 U.S.C. 7412(r)(2)(C), and the regulation at 40 C.F.R. 68.3 defines "stationary source," in part, as any buildings, structures, equipment, installations or substance-emitting stationary activities which belong to the same industrial group, which are located on one or more contiguous properties, which are under the control of the same person (or persons under common control), and from which an accidental release may occur. 22. Section 112(r)(2)(B) of the CAA, 42 U.S.C. 7412(r)(2)(B), and the regulation at 40 C.F.R. 68.3 defines "regulated substance" as any substance listed pursuant to Section 112(r)(3) of the CAA, as amended, in 40 C.F.R. 68.130. 23. The regulation at 40 C.F.R. 68.3 defines "threshold quantity" as the quantity specified for regulated substances pursuant to Section 112(r)(5) of the CAA, as amended, listed in 40 C.F.R. 68.130 and determined to be present at a stationary source as specified in 40 C.F.R. 68.115. 24. The regulation at 40 C.F.R. 68.3 defines "process" as any activity involving a regulated substance including any use, storage, manufacturing, handling or on-site movement of such substances, or combination of these activities. For the purposes of this definition, any group of vessels that are interconnected, or separate vessels that are located such that a regulated substance could be involved in a potential release, shall be considered a single process. 5 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 25. The regulation at 40 C.F.R. 68.3 defines "covered process" as a process that has a regulated substance present in more than a threshold quantity as determined under 40 C.F.R. 68.115. D. FINDINGS OF FACT AND CONCLUSIONS OF LAW 26. Respondent is, and at all times referred to herein was, a "person" as defined by Section 302(e) of the CAA, 42 U.S.C. 7602(e). 27. Respondent is the owner and operator of a facility located at 1301 Airline Highway, Baton Rouge, Louisiana 70807 (the "Facility"). 28. Pursuant to Section 114 of the CAA, 42 U.S.C. 7414, EPA conducted an inspection of the Facility from August 30 to September 1, 2022, to determine Respondent's compliance with Section 112(r) of the CAA, 42 U.S.C. 7412(r), and 40 C.F.R. Part 68 (the "Inspection"). 29. On May 10, 2024, EPA sent Respondent a Notice letter. On June 10, 2024, and on various other occasions, EPA conferred with Respondent regarding the violations alleged herein and provided an opportunity for Respondent to submit additional information or materials. EPA responded to the documentation and information received from Respondent as a result of the opportunity to confer and articulated EPA's position concerning Respondent's compliance with Section 112(r) of the CAA, 42 U.S.C. 7412(r). 30. The Facility is a "stationary source" pursuant to Section 112(r)(2)(C) of the CAA, 42 U.S.C. 7412(r)(2)(C), and the regulation at 40 C.F.R. 68.3. 31. Respondent has a sulfuric acid regeneration process at the Facility, meeting the definition of "process," as defined by 40 C.F.R. 68.3. 6 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 32. Regulated substance is a "regulated substance" pursuant to Section 112(r)(2)(B) of the CAA, 42 U.S.C. 7412(r)(2)(B), and the regulation at 40 C.F.R. 68.3. The threshold quantity for acetaldehyde, as listed in 40 C.F.R. 68.130 is 10,000 pounds; ethyl ether is 10,000 pounds; vinyl ethyl ether is 10,000 pounds; dimethylamine is 10,000 pounds; ethyl mercaptan is 10,000 pounds; isopropylamine is 10,000 pounds; methyl mercaptan is 10,000 pounds; oleum is 10,000 pounds; ethylenediamine is 10,000 pounds; acrylonitrile is 20,000 pounds, allyl alcohol is 20,000 pounds; piperdine is 15,000 pounds; hydrogen sulfide is 10,000 pounds; toluene diisocyanate is 10,000 pounds; ammonia (20% or greater concentration) is 20,000 pounds; carbon disulfide is 20,000 pounds; dimethylamine is 10,000 pounds; formaldehyde is 10,000 pounds; isopropylamine is 10,000 pounds; propionitrile is 10,000 pounds; and, vinyl acetate monomer is 15,000 pounds. 33. Respondent has greater than a threshold quantity of the regulated substances listed in Paragraph 32, in a process at the Facility, meeting the definition of "covered process" as defined by 40 C.F.R. 68.3. 34. From the time Respondent first had on-site greater than a threshold quantity of the regulated substances in Paragraph 32 in a process, Respondent was subject to the requirements of Section 112(r)(7) of the CAA, 42 U.S.C. 7412(r)(7), and 40 C.F.R. Part 68 because it was the owner or operator of a stationary source that had more than a threshold quantity of a regulated substance in a process. 35. From the time Respondent first had on-site greater than a threshold quantity of the regulated substances in Paragraph 32 in a process, Respondent was required to submit an 7 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 RMP pursuant to 40 C.F.R. 68.12(a) and comply with the Program 3 prevention requirements because: Pursuant to 40 C.F.R. 68.10(i), the covered process at the Facility did not meet the eligibility requirements of Program 1 and was in North American Industry Classification System code 325180 (sulfuric acid manufacturing) and subject to the OSHA process safety management standard, 29 C.F.R. 1910.119. 36. Based upon the information gathered during the Inspection, EPA determined that Respondent violated certain provisions of the CAA. E. ALLEGED VIOLATIONS 37. The facts stated in EPA Findings of Fact and Conclusions of Law above are herein incorporated. 38. Complainant hereby states and alleges that Respondent has violated the CAA and federal regulations promulgated thereunder as stated below. Count 1 - Process Hazard Analysis 39. The regulation at 40 C.F.R. 68.12(d)(3) requires the owner or operator of a stationary source with a process subject to Program 3 to implement the prevention requirements of 40 C.F.R. 68.65 through 68.87. Pursuant to 40 C.F.R. 68.67(e), the owner or operator shall establish a system to promptly address the process hazard analyses team's findings and recommendations; assure that the recommendations are resolved in a timely manner and that the resolution is documented; document what actions are to be taken; complete actions as soon as possible; develop a written schedule of when these actions are to be completed; communicate the actions to operating, maintenance and other employees 8 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 whose work assignments are in the process and who may be affected by the recommendations or actions. 40. Respondent failed to promptly address PHA findings and recommendations, to ensure those recommendations were resolved in a timely manner, and that the resolution was properly documented, as required by 40 C.F.R. 68.67(e). The 2022 Oleum Logistics PHA had 3 repeat findings that were previously identified in the 2017 Oleum Logistics PHA. Recommendations #1-3 were deemed not feasible, and the tracking spreadsheet used indicated that the risk posed prior to undertaking these action items was downgraded to a lower risk, although no action was taken. 41. Respondent's failure to promptly address the team's findings and recommendations, assure that the recommendations were resolved in a timely manner, and complete actions as soon as possible pursuant to 40 C.F.R. 68.67(e), as required by 40 C.F.R. 68.12(d)(3), is a violation of Section 112(r)(7) of the CAA, 42 U.S.C. 7412(r)(7). Count 2 - Operating Procedures 42. The regulation at 40 C.F.R. 68.69(a)(3) states - The owner or operator shall develop and implement written operating procedures that provide clear instructions for safely conducting activities involved in each covered process consistent with the process safety information and shall address at least the following elements - safety and health considerations - control measures to be taken if physical contact or airborne exposure occurs. 43. Respondent failed to account for health and safety considerations, the properties of, and hazards presented by, chemicals used in the process, and the precautions necessary to avoid exposure, as required by 40 C.F.R. 68.69(a)(3). Each operating procedure stated, "safety 9 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 and health considerations for this operating procedure can be found in ECO SHC 14," which in turn referenced safety data sheets, making it cumbersome for employees to reference all necessary information. 44. Respondent's failure to implement its written operating procedures to provide clear instructions for safely conducting activities is a violation of 40 C.F.R. 68.69(a)(3). Count 3 - Management of Change 45. The regulation at 40 C.F.R. 68.75(a) states - The owner or operator shall establish and implement written procedures to manage changes (except for "replacements in kind") to process chemicals, technology, equipment, and procedures; and, changes to stationary sources that affect a covered process. 46. The regulation at 40 C.F.R. 68.75(c) states - Employees involved in operating a process and maintenance and contract employees whose job tasks will be affected by a change in the process shall be informed of, and trained in, the change prior to start-up of the process. 47. The regulation at 40 C.F.R. 68.75(e) states - If a change covered by this paragraph results in a change in the operating procedures or practices required by 68.69, such procedures or practices shall be updated accordingly. 48. Respondent failed to implement written procedures to manage changes to the Facility that affected the covered process, as required by 40 C.F.R. 68.75(a). Respondent was required to establish and implement written procedures to manage changes (except for "replacements in kind") to process chemicals, technology, equipment, and procedures, and changes to stationary sources that affect a covered process. The Inspection identified at least one instance when a change was made to a process, however, an MOC was not generated, or 10 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 the MOC was generated after the change to the process was already implemented. Specifically, Respondent should have created an MOC to generate a procedure for the handling and processing of nitroethane. The procedure was created and the actual processing of nitroethane was conducted by operators, however, an MOC was never created or otherwise properly documented beforehand. 49. Additionally, Respondent failed to train employees whose job tasks were affected by changes in the process prior to the start-up of the affected part of such process, as required by 40 C.F.R. 68.75(c). There were several instances when training occurred after a process was implemented. Respondent was unable to provide documentation that its employees affected by the process received training for MOC-1.5-BTR-2021022-791. 50. Lastly, Respondent failed to publish a procedure created by the MOC process, as required by 40 C.F.R. 68.75(e). When a change to a process occurred, the process safety information required by 68.65, or practices required by 68.69, were not always updated accordingly. The Inspection noted at least one instance a procedure was created by the MOC process, but the procedure was never officially published on the SharePoint site used by operators to assess procedures. 51. Respondent's failure to follow the aforementioned regulations were violations of 40 C.F.R. 68.75(a), 40 C.F.R. 68.75(c), and 40 C.F.R. 68.75(e). Count 4 - Compliance audits. 52. The regulation at 40 C.F.R. 68.79(d) states - The owner or operator shall promptly determine and document an appropriate response to each of the findings of the compliance audit, and document that deficiencies have been corrected. 11 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 53. Respondent failed to promptly determine and document appropriate responses to the compliance audit report findings, or document that deficiencies had been corrected, as required by 40 C.F.R. 68.79(d). Respondent was required to determine and document an appropriate response to each of the findings of the compliance audits, and document that deficiencies were corrected. However, there were repeat findings in both the 2018 and 2020 compliance audits. 54. Respondent's failure to promptly determine and document appropriate responses to the compliance audit is a violation of 40 C.F.R. 68.79(d). Count 5 - Emergency response coordination activities. 55. The regulation at 40 C.F.R. 68.93 states: the owner or operator of a stationary source shall coordinate response needs with local emergency planning and response organizations to determine how the stationary source is addressed in the community emergency response plan and to ensure that local response organizations are aware of the regulated substances at the stationary source, their quantities, the risks presented by covered processes, and the resources and capabilities at the stationary source to respond to an accidental release of a regulated substance. 56. Respondent failed to document annual coordination of response needs with local emergency planning and response organizations, as required by 40 C.F.R. 68.93. No documentation was provided to indicate this coordination had been done in 2020. 57. Respondent's failure to coordinate response needs with local emergency planning and response organizations is a violation of 40 C.F.R. 68.93. 12 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 F. CONSENT AGREEMENT AND CIVIL PENALTY General 58. For the purpose of this proceeding, as required by 40 C.F.R. 22.18(b)(2), Respondent: a. admits the jurisdictional allegations set forth herein; b. neither admits nor denies the specific factual allegations stated herein; c. consents to the assessment of a civil penalty, as stated herein; d. consents to any conditions specified herein; e. waives any right to contest the allegations set forth herein; and f. waives its rights to appeal the Final Order accompanying this CAFO. 59. For the purpose of this proceeding, Respondent: a. agrees that this CAFO states a claim upon which relief may be granted against Respondent; b. acknowledges that this CAFO constitutes an enforcement action for purposes of considering Respondent's compliance history in any subsequent enforcement action; c. waives any and all remedies, claims for relief and otherwise available rights to judicial or administrative review that Respondent may have with respect to any issue of fact or law set forth in this CAFO, including any right of judicial review under Section 307(b)(1) of the CAA, 42 U.S.C. 7607(b)(1); d. consents to personal jurisdiction in any action to enforce this CAFO in the United States District Court for the Middle District of Louisiana; 13 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 e. waives any right it may possess at law or in equity to challenge the authority of EPA to bring a civil action in a United States District Court to compel compliance with this CAFO and to seek an additional penalty for such noncompliance, and agrees that federal law shall govern in any such civil action; f. consents to the issuance of this CAFO and consents for the purposes of settlement to the payment of the civil penalty specified herein; and g. agrees that in any subsequent administrative or judicial proceeding initiated by the Complainant or the United States for injunctive relief, civil penalties, or other relief relating to the Facility, Respondent shall not assert, and may not maintain, any defense or claim based upon the principles of waiver, res judicata, collateral estoppel, issue preclusion, claim preclusion, claim splitting, or other defenses based on any contention that the claims raised by the Complainant or the United States were or should have been brought in the instant case, except with respect to claims that have been specifically resolved pursuant to this CAFO. 60. By signing this CAFO, Respondent waives any rights or defenses that Respondent has or may have for this matter to be resolved in federal court, including but not limited to any right to a jury trial, and waives any right to challenge the lawfulness of the final order accompanying this CAFO. 61. Respondent and EPA agree to conciliate this matter without the necessity of a formal hearing and to bear their respective costs and attorneys' fees. 14 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 Penalty Assessment and Collection 62. Upon consideration of the entire record herein, including the Findings of Fact and Conclusions of Law, which are hereby adopted and made a part hereof, and upon consideration of the size of the business, the economic impact of the penalty on the business, Respondent's full compliance history and good faith efforts to comply, the duration of the violations, payment by the violator of any penalties previously assessed for the same violation, the economic benefit of noncompliance, the seriousness of the violations, and other factors as justice may require, EPA has assessed a civil penalty in the amount of $155,000.00 (the "EPA Penalty"). The EPA Penalty has been determined in accordance with Section 113 of the CAA, 42, U.S.C. 7413, and at no time exceeded EPA's statutory authority. 63. Respondent agrees to pay the EPA Penalty within 30 calendar days of the Effective Date of this CAFO. Respondent shall pay the EPA Penalty and any interest, fees, and other charges due using any method, or combination of appropriate methods, as provided on the EPA website: https://www.epa.gov/financial/makepayment. For additional instructions see: https://www.epa.gov/financial/additional-instructions-making-payments-epa. However, for any payments made after September 30, 2025, and in accordance with the March 25, 2025, Executive Order on Modernizing Payments To and From America's Bank Account, Respondent shall pay using one of the electronic payment methods listed on EPA's How to Make a Payment website and will not pay with a paper check. 64. When making a payment, Respondent shall: a. Identify every payment with Respondent's name and the docket number of this Order, Docket No. CAA-06-2025-3428. The payment shall also be accompanied by 15 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 a transmittal letter that shall reference Respondent's name and address, the case name, and docket number CAA-06-2025-3428. Respondent's adherence to this request will ensure proper credit is given when penalties are received for Region 6. b. Concurrently with any payment, email proof of such payment and the transmittal letter to the following email addresses: Kayla Buchanan U.S. EPA Region 6 Buchanan.Kayla@epa.gov Region 6 Hearing Clerk U.S. EPA Region 6 Vaughn.Lorena@epa.gov and U.S. Environmental Protection Agency Cincinnati Finance Center Via electronic mail to: CINWD_AcctsReceivable@epa.gov "Proof of payment" means, as applicable, confirmation of credit card or debit card payment, or confirmation of wire or automated clearinghouse transfer and any other information required to demonstrate that payment has been made according to EPA requirements, in the amount due. 65. Pursuant to 42 U.S.C. 7413(d)(5), 31 U.S.C. 3717, 31 C.F.R. 901.9, and 40 C.F.R. 13.11, if Respondent fails to timely pay any portion of the EPA Penalty per this CAFO, the entire unpaid balance of the EPA Penalty and all accrued interest shall become immediately due and owing, and EPA is authorized to recover the following amounts. 16 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 a. Interest. Interest begins to accrue from the Effective Date. If the EPA Penalty is paid in full within thirty (30) days, interest accrued is waived. If the EPA Penalty is not paid in full within thirty (30) days, interest will continue to accrue until any unpaid portion of the EPA Penalty as well as any interest, penalties, and other charges are paid in full. Per 42 U.S.C. 7524(c)(6), interest will be assessed pursuant to 26 U.S.C. 6621(a)(2), that is the IRS standard underpayment rate, equal to the Federal shortterm rate plus 3 percentage points. b. Handling Charges. The United States' enforcement expenses including, but not limited to, attorneys' fees and costs of handling collection. c. Late Payment Penalty. A ten percent (10%) quarterly non-payment penalty. 66. Late Penalty Actions. In addition to the amounts described in the prior Paragraph, if Respondent fails to timely pay any portion of the EPA Penalty per this CAFO, EPA may take additional actions. Such actions EPA may take include, but are not limited to, the following.: a. refer the debt to a credit reporting agency, a collection agency, or request that the Attorney General bring civil action in the appropriate United States District Court (in which the validity, amount, and appropriateness of the EPA Penalty and of this CAFO shall not be subject to review) to secure payment of the debt, which may include the original penalty, enforcement and collection expenses, nonpayment penalty and interest, 42 U.S.C. 7413(d)(5) and 40 C.F.R. 13.13 and 13.14; 17 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 b. collect the above-referenced debt by administrative offset (i.e., the withholding of money payable by the United States to, or held by the United States for, a person to satisfy the debt the person owes the Government), which includes, but is not limited to, referral to the Internal Revenue Service for offset against income tax refunds, 40 C.F.R. Part 13, Subparts C and H; and c. suspend or revoke Respondent's licenses or other privileges or suspend or disqualify Respondent from doing business with EPA or engaging in programs EPA sponsors or funds, 40 C.F.R. 13.17. Additional Terms of Settlement 67. The provisions of this CAFO shall apply to and be binding upon Respondent and its officers, directors, employees, agents, trustees, servants, authorized representatives, successors and assigns. Respondent shall ensure that all contractors, employees, consultants, firms, or other persons or entities acting for Respondent with respect to matters included herein comply with the terms of this CAFO. 68. Any change in the legal status of the Respondent, or change in ownership, partnership, corporate or legal status relating to the Facility, will not in any way alter Respondent's obligations and responsibilities under this CAFO. 69. By signing this CAFO, Respondent acknowledges that this CAFO will be available to the public and agrees that this CAFO does not contain any confidential business information. See 40 C.F.R. Part 2, Subpart B (Confidentiality of Business Information). 70. By signing this CAFO, Respondent certifies that the information it has supplied concerning this matter was at the time of submission, and is, truthful, accurate, and complete 18 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 for each submission, response, and statement. Respondent acknowledges that there are significant penalties for submitting false or misleading information, including the possibility of fines and imprisonment for knowing submission of such information, under 18 U.S.C. 1001. 71. By signing this CAFO, Respondent certifies that it is presently in compliance with all requirements of Section 112(r) of the CAA, 42 U.S.C. 7412(r). 72. By signing this CAFO, the undersigned representative of Respondent certifies that it is fully authorized to execute and enter into the terms and conditions of this CAFO and has the legal capacity to bind the party it represents to this CAFO. 73. Respondent and EPA agree to the use of electronic signatures for this matter. EPA and Respondent consent to service of a final order by email at the following valid email addresses: Sharma.Ravi@epa.gov (for EPA) and VShekhar@babstcalland.com (for Respondent). 74. Respondent specifically waives its right to seek reimbursement of its costs and attorney's fees under 5 U.S.C. 504 and 40 C.F.R. Part 17. Except as qualified by Paragraph 65.b of this CAFO, each party shall bear its own attorney's fees, costs, and disbursements incurred in this proceeding. 75. Pursuant to 26 U.S.C. 6050X and 26 C.F.R. 1.6050X-1, EPA is required to send to annually the Internal Revenue Service ("IRS"), a completed IRS Form 1098-F ("Fines, Penalties, and Other Amounts") with respect to any court order or settlement agreement (including administrative settlements), that require a payor to pay an aggregate amount that EPA reasonably believes will be equal to, or in excess of, $50,000 for the payor's violation of any law or the investigation or inquiry into the payor's potential violation of any law, including amounts paid for "restitution or remediation of property" or to come "into compliance with a 19 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 law." EPA is further required to furnish a written statement, which provides the same information provided to the IRS, to each payor (i.e., a copy of IRS Form 1098-F). Failure to comply with providing IRS Form W-9 or Tax Identification Number ("TIN"), as described below, may subject Respondent to a penalty, per 26 U.S.C. 6723, 26 U.S.C. 6724(d)(3), and 26 C.F.R. 301.6723-1. To provide EPA with sufficient information to enable it to fulfill these obligations, Respondent shall complete the following actions as applicable: a. Respondent shall complete an IRS Form W-9 ("Request for Taxpayer Identification Number and Certification"), which is available at https://www.irs.gov/pub/irs-pdf/fw9.pdf. b. Respondent shall therein certify that its completed IRS Form W-9 includes Respondent's correct TIN or that Respondent has applied and is waiting for issuance of a TIN. c. Respondent shall email its completed Form W-9 to EPA's Cincinnati Finance Division at chalifoux.jessica@epa.gov, on or before the date that Respondent's penalty payment is due, pursuant to Section F (Penalty Assessment and Collection) of the CAFO, or within seven (7) days should this Order become effective between December 15 and December 31 of the calendar year. EPA recommends encrypting IRS Form W-9 email correspondence. d. In the event that Respondent has certified in its completed IRS Form W-9 that it does not yet have a TIN but has applied for a TIN, Respondent shall provide EPA's Cincinnati Finance Division with Respondent's TIN, via email, within five (5) days of Respondent's receipt of a TIN issued by the IRS. 20 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 G. EFFECT OF CONSENT AGREEMENT AND RESERVATION OF RIGHTS 76. In accordance with 40 C.F.R. 22.18(c), completion of the terms of this CAFO resolves only Respondent's liability for federal civil penalties for the violations and facts alleged in Sections D and E above. 77. The terms, conditions and requirements of this CAFO may not be modified or amended except upon the written agreement of both parties, and approval of the Regional Judicial Officer. 78. Penalties paid pursuant to this CAFO shall not be deductible for purposes of Federal, State, and local taxes. 79. Any violation of the included Final Order may result in a civil judicial action for an injunction or civil penalties as provided in Section 113(b) of the Act, 42 U.S.C. 7413(b) and adjusted for inflation pursuant to 40 C.F.R. Part 19, as well as criminal sanctions as provided in Section 113(c) of the Act, 42 U.S.C. 7413(c). EPA may use any information submitted under this CAFO in an administrative, civil judicial, or criminal action. 80. Nothing in this CAFO shall relieve Respondent of the duty to comply with all applicable provisions of the Act and other federal, state, or local laws or statutes, nor shall it restrict EPA's authority to seek compliance with any applicable laws or regulations, nor shall it be construed to be a ruling on, or a determination of, any issue related to any federal, state, or local permit. EPA does not, by its consent to the entry of this CAFO, warrant or aver in any manner that Respondent's compliance with any aspect of this CAFO will result in compliance with provisions of the Clean Air Act, 42 U.S.C. 7401, et seq., or with any other provisions of federal, state, or local laws, regulations, or permits. 21 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 81. Nothing herein shall be construed to limit the power of EPA to undertake any action against Respondent or any person in response to conditions that may present an imminent and substantial endangerment to the public health, welfare, or the environment. 82. If and to the extent EPA finds, after signing this CAFO, that any information provided by Respondent was materially false or inaccurate at the time such information was provided to EPA, EPA reserves any and all of its legal and equitable rights. H. EFFECTIVE DATE 83. Respondent and Complainant agree to the issuance of the included Final Order. Upon filing, EPA will transmit a copy of the filed CAFO to Respondent. This CAFO shall become effective after execution of the Final Order by the Regional Judicial Officer on the date of filing with the Regional Hearing Clerk. Unless otherwise stated, all time periods stated herein shall be calculated in calendar days from such date. 22 Eco Services Operations Corp. Docket No. CAA-06-2025-3428 The foregoing Consent Agreement In the Matter of Eco Services Operations Corp., Docket No. CAA-06-2025-3428, is Hereby Stipulated, Agreed, and Approved for Entry. FOR RESPONDENT: ECO SERVICES OPERATIONS CORP. Date: 3_/_6/_2_0_26_____________ Digitally signed by Paul Paul Hoelzer Date: 2026.03.06 Hoelzer _____________1_5_:44_:0_8_-0_6'0_0_' _______________ Signature _P_au_l_B_._H_o_e_lz_e_r _________________________ Print Name _V_ic_e_P_r_es_i_de_n_t_o_f _O_p_er_a_ti_on_s_________________ Title FOR COMPLAINANT: U.S. ENVIRONMENTAL PROTECTION AGENCY Date: __________________ Digitally signed by CHERYL SEAGER Date: 2026.03.09 _____________1_5:_33_:3_5 _-05_'0_0'______________ Cheryl T. Seager Director Enforcement and Compliance Assurance Division U.S. EPA, Region 6 23 FINAL ORDER Eco Services Operations Corp. Docket No. CAA-06-2025-3428 Pursuant to Section 113(d) of the CAA, 42 U.S.C. 7413(d), and the Consolidated Rules of Practice Governing the Administrative Assessment of Civil Penalties and the Revocation/ Termination or Suspension of Permits, 40 C.F.R. Part 22, the foregoing Consent Agreement resolving this matter is hereby ratified and incorporated by reference into this Final Order. Eco Services Operations Corp.is ORDERED to comply with all of the terms of the Consent Agreement. In accordance with 40 C.F.R. 22.31(b), this Final Order shall become effective upon filing with the Regional Hearing Clerk. This Final Order shall resolve only those causes of action alleged in the Consent Agreement. Nothing in this Final Order shall be construed to waive, extinguish, or otherwise affect Respondent's (or its officers, agents, servants, employees, successors, or assigns) obligation to comply with all applicable federal, state, and local statutes and regulations, including the regulations that were the subject of this action. IT IS SO ORDERED. Dated __________________ ELIZABETH ELIZABETH RYLAND Digitally signed by R__Y_L_A__N_D______1_6:_25_:0_1 -_05_'0_0'_____ Date: 2026.03.09 Renea Ryland Acting Regional Judicial Officer Eco Services Operations Corp. Docket No. CAA-06-2025-3428 CERTIFICATE OF SERVICE I certify that a true and correct copy of the foregoing Consent Agreement and Final Order was filed with me, the Regional Hearing Clerk, U.S. EPA - Region 6, 1201 Elm Street, Suite 500, Dallas, Texas 75270-2102, and that I sent a true and correct copy on this day in the following manner to the email addresses: Copy via Email to Complainant: Sharma.Ravi@epa.gov Buchanan.Kayla@epa.gov Copy via Email to Respondent: Varun Shekhar, Counsel for Eco Services Operations Corp. VShekhar@babstcalland.com Christina Puhnaty, Counsel for Eco Services Operations Corp. CPuhnaty@babstcalland.com Michael Marchut Michael.Marchut@eco-services.com LORENA Digitally signed by LORENA VAUGHN Date: 2026.03.10 V_A__U_G__H_N______07_:4_6:_44_-0_5_'00_' ____ Regional Hearing Clerk U.S. EPA, Region 6