AQ_F_0800044_20060627_ENF_Enf-FND_2006-047

STATE OF NORTH CAROLINA NORTH CAROLINA
ENVIRONMENTAL MANAGEMENT
COUNTY OF BERTIE COMMISSION
FILE NO. DAQ 2006-047
IN THE MATTER OF: )
AVOCA, INCORPORATED )
CIVIL PENALTY ASSESSMENT
FOR VIOLATIONS OF: )
}
AIR PERMIT NO. 01819T32 }
CONDITION 2.2.C.LAND )
15A NCAC 2D .l 100 "Toxic Air Pollutant }
Limitations"; )
AIR PERMIT NO. 01819T32 }
CONDITION 3.I.A AND }
15A NCAC 2D .0535(f) "Excess )
Emissions Reporting"; AND )
AIR PERMIT NO. 01819T32 )
CONDITION 3.A.6 AND 15A NCAC 2Q )
.0508 "Permit Content." )
Acting pursuant to North Carolina General Statutes (G.S.) 143-215.114A, I, B. Keith
Overcash, P.E., Director of the Division of Air Quality ("DAQ" or"Division"), make the
following:
I. FINDINGS OF FACT:
A. Avoca, Inc. operates a biological extraction facility in Merry Hill, Bertie County,
North Carolina. Avoca, Inc. currently operates under Air Permit No. 01819T32 which
was issued on October 27, 2005 and has an expiration date of October 31, 2008.
B. Air Quality Permit No. 01819T32, Specific Condition and Limitation 2.2.C. as
required by 15A NCAC 2D .1100, "Toxic Air Pollutant Limitations." includes, in
relevant part:
"TOXIC AIR POLL UTANT EMISSIONS LIMITATION AND REPORTING
REQUIREMENT- Pursuant to 15A NCAC 2D .1100 and in accordance with the
approved application for an air toxic compliance demonstration the following
permit limits shall not be exceeded:" (emphasis added).
This permit condition further contains a specific emissions limitation for n-hexane from
the Biomass Extraction Operation(ID Nos. ES-1004-1 and 2) of 54.1 pounds per day.

Avoca,Inc.
DAQ 2006-047
Page 2
C. Air Quality Permit No. 01819T32, General Conditions 3.I.A.2, as required by
15A NCAC 2D .0535, "Excess Emissions Reporting and Malfunction", states:
"If the source is not subject to NSPS (15A NCAC 2D .0524), NESHAPS
(15A NCAC 2D .1110 or .1111), or these rules do NOT define "excess
emissions," the Permittee shall report excess emissions in accordance with
15A NCAC 2D.0535 as follows:
a. Pursuant to 15A NCAC 2D .0535, if excess emissions last for more
than four hours resulting from a malfunction, a breakdown of process
or control equipment, or any other abnormal condition, the owner or
operator shall:
i. notify the Regional Supervisor or Director of any such
occurrence by 9:00 a.m. Eastern Time of the Division's next
business day of becoming aware of the occurrence...
ii. note the Regional Supervisor or Director immediately when
corrective measures have been accomplished; and
iii. submit to the Regional Supervisor or Director within 15 days a
written report as described in 15A NCAC 2D.0535(0(3). "
D. Air Quality Permit No. 01819T32, General Conditions 3.A.6, as required by 15A
NCAC 2Q .0508, "Permit Content", states:
"Any stationary source of air pollution shall not be operated, maintained, or
modified without the appropriate and valid permits issued by the DAQ, unless the
source is exempted by rule. The DAQ may issue a permit only after it receives
reasonable assurance that the installation will not cause air pollution in violation
of any of the applicable requirements. A permitted installation may only be
operated, maintained, constructed, expanded, or modified in a manner that is
consistent with the terms of this permit" (emphasis added).
E. On January 23, 2006, Mr. Arni T. Hopkins of the Washington Regional Office
(WARO) was notified by e-mail that Avoca, Inc. was operating the Biomass Extraction
Operation with one cryogenic condenser on line; the other was out-of-service. It was
further stated that this control device was being bypassed for 15 minutes every 1.5-2
hours such that the effluent stream was directed to the atmosphere, which resulted in
toxic limits being exceeded on three different days earlier in the month on January 8, 12,
and 18, 2006.
F. The n-hexane emissions are determined based on an actual measurement of daily
usage. The emissions of n-hexane were determined by the facility for January 8, 12, and
18, 2006 as 54.3, 59.1, and 82.7 pounds per day, respectively. These excess emissions
were discovered by the facility on January 9, 13, and 19, respectively.

Avoca,Inc.
DAQ 2006-047
Page 3
G. Avoca, Inc. began start-up of the Biomass Extraction Operation with the
cryogenic condenser system on January 5, 2006. The normal, permitted operation of the
cryogenic condenser system allows for one cryogenic condenser to operate when the
other is in a defrost cycle. Avoca, Inc. began operation of the Biomass Extraction
Operation on January 18, 2006 with only one cryogenic condenser(Condenser A)
operational. By operating in this manner, effluent stream was diverted to the atmosphere,
bypassing the condenser during defrost cycles.
H. On January 31, 2006, Avoca Inc. submitted additional information pursuant to 2D
.0535 "Excess Emissions Reporting"at the Division's request. Based on this additional
information,the excess emissions associated with January 8 and 12, 2006 were ultimately
determined to be malfunctions by the Washington Region Office Supervisor, Robert P.
Fisher. This additional information also provided that the Biomass Extraction Operation
operated with only Condenser A in service from January 18-25, 2006,
I. A Notice of Violation and Notice of Recommendation for Enforcement dated
February 15, 2006, was sent to Avoca, Inc. based on violations of:
• 2D .1100 "Toxic Air Pollutant Limitations" per Permit Condition 2.2.C.1 for
exceeding the 54.1 lb/day n-hexane emission limit on January 8, 12, and 18, 2006;
• 2D .0535 "Excess Emissions Reporting" per Permit Condition 3.I.A. for failing to
notify the Division of Air Quality within the specified timeframe for the three
excess emission events. These notifications should have occurred-on.or-about
January 9, 13, and 19, 2006; and
• 2Q .0508 "Permit Content" per Permit Condition 3.A.6. for operating the Biomass
Extraction Operation with only Condenser A in service . This operation
continued from January 18-25, 2006. Under this operation,the effluent stream
was diverted to the atmosphere during defrosting. Under the normal, permitted
operation the effluent stream would be diverted to the second condenser during
defrosting.
J. A response letter to the NOV/NRE was received on February 28, 2006. The
response included additional information relevant to the January 8 and 12, 2006 excess
emissions, which as provided above, were ultimately deemed malfunctions by the
WARO Regional Supervisor. The response further indicated that the excess emission
notification pursuant to the January 8, 2006 excess emissions was not made because the
company did not clearly understand 1) if a malfunction had occurred and 2) if the excess
was of a significant level to report. Additionally, the response included that the company
was of the understanding that they had provided proper notice of the January 12, 2006
excess emission through a January 13, 2009 e-mail correspondence to Arni Hopkins,
WARD. Finally, the response provided that the PLC controls for the single-condenser
operation were reprogrammed such that there were no additional emission exceedances
other than the January 18, 2006 occurance.

Avoca,Inc.
DAQ 2006-047
Page 4
K. Prior Air Quality Enforcement History:
• The facility was issued an NOV/NRE on January 23, 2006 for 1) operating a
scrubber outside its permitted temperature range(s) and 2) not performing
wastewater sampling as required by the permit.
• The facility was previously owned by R.J. Reynolds (RJR). On October 9,
2000, a For Your Information Letter was issued to RJR concerning the EVG
process (which is controlled by a scrubber) operating without the concurrent
operation of the scrubber.
L. The costs of investigation or inspection in this matter totaled $405.
Based on the above Findings of Fact, I make the following:
II. CONCLUSIONS OF LAW:
A. Avoca, Inc. is in violation of NCAC 2D.1100 "Toxic Air Pollutant Limitations"
and Permit Condition 2.2.C.1 for emitting n-hexane from the Biomass Extraction
Operation on January 18, 2006 at a rate of 82.7 lbs/day. Permit Condition 2.2.C.1 limits
the emissions of n-hexane from this source to 54.1 lbs/day.
B. Avoca, Inc. is in violation of NCAC 2D.0535 "Excess Emissions Reporting" and
Permit Condition 3.I.A for failing to report the excess emissions to the Division.ofAir
-
Quality by 9:00 am EST of the next business day after becoming aware of the occurrence.
Avoca, Inc. discovered the excess emissions on January 19, 2006. DAQ-WARO was
notified by e-mail January 23, 2006.
C. Avoca, Inc. is in violation of NCAC 2Q.0508 "Permit Content" and Permit
Condition A.6 for operating the Biomass Extraction Operation in a manner inconsistent
with the permit conditions. On January 18, 2006 Avoca, Inc. restarted the Biomass
Extraction Operation with only one cryo-condenser available. During condenser
defrosting, the waste gas stream was diverted to the atmosphere bypassing the cryo-
condenser. The operation continued in this same general manner until January 25, 2006.
D G.S. 143-215.114A provides that a civil penalty of not more than ten thousand
dollars per violation may be assessed against a person who is required but fails to act in
accordance with the terms, conditions, or requirements of a permit issued pursuant to
G.S. 143-215.107 or who violates any regulation adopted by the Environmental
Management Commission.
E. G.S. 143-215.3(a)(9)provides that the costs of any investigation or inspection
may be assessed against a person who is required but fails to act in accordance with the
terms, conditions, or requirements of a permit issued pursuant to G.S. 143-215.107 or
who violates any regulation adopted by the Environmental Management Commission.

Avoca,Inc.
DAQ 2006-047
Page 5
Based upon the above Findings of Fact and Conclusions of Law, I make the following:
III. DECISION:
Avoca, Inc. is hereby assessed a civil penalty of:
s �
$ ® For one (1) violation of NCAC 2D.1100 "Toxic
Air Pollutant Limitations"and Permit Condition
2.2.C.1 for emitting n-hexane from the Biomass
Extraction Operation on January 18, 2006 in
excess of 54.1 lbs/day.
$ �✓C)h For one (1) violation of NCAC 2D.0535 "Excess
Emissions Reporting" and Permit Condition
3.I.A for failing to report the excess emissions
until January 23, 2006.
$Z6 0 For one (1) violation of NCAC 2Q.0508 "Permit
Content"and Permit Condition A.6 for operating
the Biomass Extraction Operation in a manner
inconsistent with the permit conditions from
January 18-25, 2006.
$ �NoQ TOTAL CIVIL PENALTY, which is J
percent of the maximum penalty authorized by
NCGS 143-215.114A.
$ 405 Investigation Costs
e�
$ TOTAL AMOUNT DUE

Avoca, Inc.
DAQ 2006-047
Page 6
Pursuant to G.S. 143-215.114A, in determining the amount of the penalty, I considered
the factors listed in G.S. 143B-282.I(b) and 15A NCAC 2J .0006, which are the following:
1) The degree and extent of harm to the natural resources of the State,to the public
health, or to private property resulting from the violation(s);
2) The duration and gravity of the violation;
3) The effect on ground or surface water quantity or quality or on air quality;
4) The cost of rectifying the damage;
5) The amount of money saved by noncompliance;
6) Whether the violation was committed willfully or intentionally;
7) The prior record of the violator in complying or failing to comply with programs over
which the Environmental Management Commission has regulatory authority; and
8) The cost to the State of the enforcement procedures.
Date B. Kei Overcash, P.E., Director
Division of Air Quality