Superfund/CERCLA Path Forward

EPA Administrative Settlement Agreement for Remedial Investigation and Feasibility Study

On August 22, 2008, the U.S. Environmental Protection Agency (EPA) sent FMC and Simplot a General Notice of Liability and Special Notice Letter for the Gay Mine site. EPA proposed to enter into negotiations with the companies for a consent order under which the companies would conduct a Remedial Investigation and Feasibility Study (RI/FS) at the Gay Mine site under CERCLA. The companies responded to EPA by indicating their willingness to enter into these negotiations.

On November 20, 2008, the companies submitted to EPA their joint good faith offer to enter into settlement negotiations for an RI/FS consent order. In their good faith offer, the companies described their technical and financial capabilities to perform the RI/FS work and indicated their willingness to proceed under an agreed order. The companies also raised concerns regarding EPA’s proposed consent order that provided an RI/FS oversight role to the Shoshone-Bannock Tribes and the U.S. Department of the Interior, both of which exercised control over Gay Mine operations and which, in the companies’ view, have CERCLA liability regarding the site.

In early 2009, EPA responded to the companies’ good faith offer and identified certain threshold issues related to support agency designation and costs that needed further discussion and analysis. The companies indicated a willingness to engage in those discussions. However, there were no further negotiations during 2009 regarding an RI/FS consent order.

In July 2010, the companies and EPA resumed negotiations on a consent order. These discussions were successful and resulted in an Administrative Settlement Agreement (ASA) under which the companies agreed to conduct an RI/FS at the Gay Mine site. The ASA had an effective date of December 10, 2010. The ASA also was signed by BIA and the Tribes, to provide them a role in reviewing and commenting on the RI/FS and also, because the companies do not own the mine site, to facilitate company access to the site to conduct the work. The companies’ first significant task under the ASA is to develop and submit to EPA a Project Scoping Report that is the first step in planning the RI/FS field work.

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