[Federal Register Volume 61, Number 64 (Tuesday, April 2, 1996)]
[Notices]
[Page 14572]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-7873]



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ENVIRONMENTAL PROTECTION AGENCY
[FRL-5450-4]


Proposed Administrative Agreement on Consent; XXKEM Company

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed settlement.

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SUMMARY: EPA is proposing to settle a claim under Section 107 of the 
Comprehensive Environmental Response, Compensation and Liability Act 
(CERCLA), 42 U.S.C. 9607, for past response costs incurred during 
removal activities at the XXKEM Company site in Toledo, Lucas County, 
Ohio (XXKEM Site). EPA has incurred $1,361,840 in response costs at the 
XXKEM Site. Settling parties participating thus far have agreed to 
reimburse the EPA in the amount of $762,585. Additional settling 
parties may join the settlement under the same terms, in which case the 
amount reimbursed would be higher. EPA today is proposing to approve 
this settlement because it reimburses EPA, in part, for costs incurred 
during EPA's removal action at this site.
    On February 6, 1996, EPA sent a settlement agreement to 
approximately 893 potentially responsible parties (PRPs), providing an 
opportunity to settle for past response costs incurred during removal 
activities at the XXKEM Site. Subsequently, EPA received comments 
regarding various provisions of the settlement agreement.
    In response to those comments, EPA changed the settlement agreement 
in three limited respects. First, as originally drafted, the covenant 
not to sue by EPA did not become effective for any settlor until all 
settlors paid the amount due pursuant to the settlement agreement. In 
addition, if any settlor did not pay on time, all settlors faced the 
possibility of paying interest, stipulated penalties or attorney's fees 
for other settlors' failure to pay. These provisions have been changed 
so that the consequences of any settlor's failure to pay or make late 
payments are reserved only for that specific settlor.
    Second, the group of settlors includes one federal agency, the 
United States Postal Service. For a variety of reasons, including the 
fact that the Anti-Deficiency Act, 31 U.S.C. 1341 et seq., restricts a 
federal agency's ability to commit funds absent a Congressional 
appropriation, the settlement agreement addresses this federal agency 
separately. The payment provisions that apply to this settling federal 
agency have absolutely no effect on the terms of the settlement for any 
other party.
    Third, EPA offered to consider ability to pay claims. EPA will be 
adding a certification to the signature page of parties for whom EPA 
agrees to reduce the amount of money owed. Such parties must certify 
that: (1) The financial information provided to EPA is complete and 
accurate, and that if this is not the case, the settlement as to that 
settlor is null and void; and (2) the settlor has not received 
insurance proceeds and if any insurance coverage becomes available, the 
settlor agrees to pay any proceeds recovered to the EPA.
    EPA believes that the revised settlement is responsive to the 
comments received to date, and, from the standpoint of the prospective 
settlors, a more advantageous way to settle this matter.

DATES: Comments on this proposed settlement must be received on or 
before May 2, 1996.

ADDRESSES: Copies of the proposed settlement agreement are available at 
the following address for review (It is recommended that you telephone 
Ms. Gloria Kilgore at (312) 886-0813 before visiting the Region 5 
Office): U.S. Environmental Protection Agency, Region 5, Office of 
Superfund, Removal and Enforcement Response Branch, 77 West Jackson 
Blvd., Chicago, Illinois 60604.
    Comments should be sent to Ms. Gloria Kilgore at the Office of 
Regional Counsel (C-29A), United States Environmental Protection 
Agency, Region 5, 77 West Jackson Boulevard, Chicago, Illinois 60604-
3590.
Arlene R. Haas,
Assistant Regional Counsel, United States Environmental Protection 
Agency.
[FR Doc. 96-7873 Filed 4-1-96; 8:45 am]
BILLING CODE 6560-50-P