Document zzm61NKwV27R7ZoK9pGxoXV63

E!liFORCI::\U::IiT CO:IiFIDE~TIAI. - C'OXFIDE~,I,\l, Rl'SI~I-:.~s I!IIFOR:\1,\ TIO~ - 00 NOT RELEASE EPA United States Environmental Protection Agency Office of Enforcement and Compliance Assurance Office of Criminal Enforcement, Forensics and Training NEICVP1231E01 RESOURCE CONSERVATION AND RECOVERY ACT COMPLIANCE INVESTIGATION REPORT Dow Chemical 230 I N. Brnzosport Boulevard Freeport, Texas NEIC Project No.: VPI231 August 2017 Project Manager: Lorna Goodnight, Environmental Engineer Other Contributors: Matt Schneider. Chemical Engineer Linda TcKrony. Environmental Engineer Jacqueline Vega. Environmental Engineer Tam Talarski. Principal Analytical Chemist Prepared for: EPA Region 6 1445 Ross A venue Dallas, Texas 75202 Authorized for Release by: David Gwisdalla. Field Branch Chief NATIONAL ENFORCEMENT INVESTIGATIONS CENTER P.O. Box 25227 Building 25. Denver Federal Center Denver, Colorado 80225 Page 1 or 14 ENFORCEMENT CONFIDENTIAL- CONFIDENTIAL BUSINESS INFORMATION- DO NOT RELEASE CONTENTS INTRODUCTION .......................................................................................................................... 3 FACILITY BACKGROUND ................................................................................................... 3 INVESTIGATION METHODS ............................................................................................... 3 ON-SITE INSPECTION SUMMARY ..................................................................................... 4 Site Observations ................................................................................................................ 5 SUMMARY OF FINDINGS .......................................................................................................... 8 AREAS OF NONCOMPLIANCE ............................................................................................ 8 AREAS OF CONCERN ......................................................................................................... 12 TABLES Table 1. SUMMARY OF EQUIPMENT MONITORED DURING ONSITE INSPECTION ..... 5 Table 2. SUMMARY OF TANKS INSPECTED DURING ON-SITE INSPECTION ................ 7 APPENDICES (*NEIC-created) A Photographs Taken During Goodnight Inspection (4 pages)* 8 Photographs Taken During TeKrony Inspection (16 pages) C Carbon Acceptance Test Report (37 pages) D May 4 2017, Email (4 pages) E Manifest for Calgon Carbon (1 page) F Inspection Record for Isotainer TRLU050515-5 ( 1 page) G 844 Tote LeakDas Report (1 page) H 866 AVO LeakDas Report {1 page) I 86610 AVO Leak Monitoring Results (1 page) J Potential AVO at 875 Follow-up (1 page) This Contents page shows all of the sections contained in this report and provides a clear indication of the end of the report. NEIC VPI23 1EOI Page 2 ofl4 Dow Chemical Freeport, Texas ENFORCEMENT CONFIDENTIAL- CONFIDENTIAL BUSINESS INFORMATION- DO NOT RELEASE INTRODUCTION At the request of U.S. Environmental Protection Agency (EPA) Region 6, the EPA National Enforcement Investigations Center (NEIC) conducted a Resource Conservation and Recovery Act (RCRA) compliance investigation of the Dow Chemical (Dow) facility located at 2301 N. Brazosport Boulevard in Freeport, Texas. This report presents NEIC's field observations during the February 7 through 16,2017, onsite inspection of Dow. The information presented in this report was collected from personnel interviews, direct observations, company-provided documentation, and state and federal government databases. The Eastern Research Group (ERG) is an EPA contractor that was tasked with providing additional inspector resources during this on-site inspection. With the participation ofEPA Region 6, EPA headquarters, and ERG, NEIC conducted the RCRA inspection of the Dow facility with the following objectives: Conduct a RCRA on-site inspection of Dow, specifically focusing on the process operations, waste determinations, recordkeeping in compliance with RCRA Subparts BB and CC, and perform leak detection and repair (LDAR) monitoring. Evaluate all information obtained during the investigation to determine Dow's compliance with applicable RCRA regulations and permits, specifically with RCRA Subparts BB and CC. FACILITY BACKGROUND Dow operates a RCRA treatment, storage, and disposal (TSD) facility and is a large quantity generator of hazardous waste (EPA ID No. TXD008092793). Dow's production operations and associated waste streams are subject to major environmental statutes, including the Clean Water Act (CWA); Clean Air Act (CAA); Emergency Planning and Community Right-toKnow Act (EPCRA); and the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA). Its operations also are subject to environmental permits and regulations administered by the EPA and the Texas Commission on Environmental Quality (TCEQ). Dow's RCRA permit authorizes the operation of a hazardous waste TSD facility. At the time ofthe NEIC inspection, Dow was operating under an expired permit, but had submitted a renewal application. The Dow facility is a large, integrated chemical manufacturing complex covering 7,000 acres. The site has more than 3,300 employees, 3,200 contract employees, and 65 manufacturing units that produce 44 percent of Dow products sold in the United States. The facility consists of four plants: Plant A, Plant B, Oyster Creek, and Salt Dome. The products manufactured on-site are transported by rail: truck, marine vessels, and pipeline to customers around the world. INVESTIGATION METHODS NEIC performed the following activities to accomplish the investigation objectives: NEICVP1231EOI Page 3 of 14 Dow Chemical Freeport, Tuas ENFORCEMENT CONFIDENTIAL- CONFIDENTIAL BUSINESS INFORMATION- DO NOT RELEASE Met with facility personnel to discuss process operations, waste determinations, and recordkeeping in compliance with RCRA Subparts BB and CC, and performed LDAR monitoring. Conducted walk-through tours of the facility to observe process operations. Reviewed and copied (as appropriate) facility documents, including operating plans, procedures, and records. Specifically, NEIC reviewed Dow's records associated with RCRA Subparts BB and CC. All activities of NEIC personnel were performed in accordance with the NEIC quality system. ON-SITE INSPECTION SUMMARY NEIC conducted the on-site inspection of Dow from February 7 through 16, 2017. The inspection team included Lorna Goodnight (project manager), Matt Schneider, Linda TeKrony, and Jacquelyn Vega from NEIC. Debra Pandak and John Penland from EPA Region 6 and Naomi Hall from TCEQ also attended the inspection. During the opening meeting on February 7, 2017, credentials were presented to Fran Falcon, Dow environmental leveraged delivery leader. NEIC conducted a general process review of Dow's operations. During this review, NEIC examined the major operational aspects of the Dow facility, including process operations, management of hazardous wastes, and LDAR data management. NEIC's process review was based on discussions with facility personnel, records reviews (hard copy and digital), and a tour of the operational areas. Following the process review, NEIC conducted focused inspections of various process units and operations and performed LDAR monitoring with EPA headquarters and ERG personnel on equipment subject to RCRA Subparts BB and CC. This report presents the observations and findings of the NEIC inspection. ERG is preparing a separate report containing the results of its LDAR monitoring, review of Dow's LeakDas database, and its investigation observations and findings. At the conclusion of the on-site inspection on February 16, 2017, NEIC held an exit conference with Dow personnel to discuss preliminary inspection observations. During the exit conference, NEIC advised Dow that final compliance determinations would be made by EPA Region 6. Before leaving the site, the inspection team provided Dow a complete list of all dcx;uments received on-site by NEIC, and logs and copies of all photographs taken by NEIC. NEIC previously conducted a Clean Air Act 112(r) inspection of Dow in January 2016. A process review of the B-33 rotary kiln, and B-39 Epoxy 5 glycidyl methacrylate (GMA) was conducted, and a discussion ofthat review is included in the NEIC August 2016 final report. This report focused on areas subject to RCRA Subparts BB and CC. NEICVriZJI EOI Page4 of 14 Dow Chemical Freeport. Tens ENFORCEMENT CONFIDENTIAL- CONFIDENTIAL BUSINESS INFORMATION- DO NOT RELEASE Site Observations Evaluation of Regulatory Determinations NEIC reviewed documents and held discussions with Dow environmental personnel regarding the hazardous wastes and waste management units that Dow has determined to be exempt from the air emission regulations. Dow handles most of the hazardous wastes generated on-site that contain volatile organics in accordance with Subpart CC requirements. Dow operates an on-site groundwater remediation system that includes tanks and an air stripper, which Dow determined is not regulated under Subparts AA, BB, or CC requirements due to the wastewater treatment unit exemption. The groundwater remediation system is included in Dow's Texas Pollutant Discharge Elimination System (TPDES) permit application for TPDES permit No. 00007. Under 40 Code of Federal Regulations (CFR) 264.l(g)(6), wastewater treatment units are exempt from Part 264 requirements, including the air emission requirements. SubpartAA Dow has no units operating under RCRA Subpart AA. Subpart BB Equipment associated with permitted or less-than-90-day tanks or container systems are subject to Subpart BB (40 CFR 264.1050 (b)) if it contains or contacts hazardous waste with greater than or equal to 10 percent organics. Equipment regulated under Subpart BB includes valves, pumps, compressors, reliefdevices, sampling systems, and connectors/flanges. According to Dow, the on-site facilities subject to Subpart BB include: A-32 Picloram, B-8 Environmental Operations Thermal Oxidizer, B-1450 Research and Development, B-33 Environmental Operations Kiln, B-44 Voranol, B-46 SPC, B-6610 Quatanary, B-68 PDC-Hydro, B-75 PO Purification, B-77 APP, Marine, PDH-1, B-19 Butylene Oxide, and B-23 Telone. During the on-site inspection NEIC, EPA headquarters, and ERG personnel performed LDAR monitoring. On February 13 through 15, 2017, Matt Schneider performed LDAR monitoring using a Thermo Scientific toxic vapor analyzer (TVA) 2020. Table 1 contains a summary of equipment subject to Subpart BB that was monitored by NEIC. Block 833 833 88 844 Table 1. SUMMARY OF EQUIPMENT MONITORED DURING ONSITE INSPECTION Dow Chemical Freeport, Texas Plant/Equipment Name Valves Connectors Pumps Agitators Tank Hatch Env Ops - Kiln 243 587 10 3 8 Env Ops- Direct 66 130 3 Burn Env Ops- Thermal 57 144 3 Oxidizer Voranol Misc. 3 1 NEICVPI231EOI PageS of14 Dow Chemical Freeport, Texas