AQ_F_0100010_20200131_ENF_Enf-FND

STATE OF NORTH CAROLINA NORTH CAROLINA
DEPARTMENT OF ENVIRONMENTAL
COUNTY OF ALAMANCE QUALITY
FILE NO. DAQ 2019-079
IN THE MATTER OF: )
STERICYCLE, INC. ) CIVIL PENALTY ASSESSMENT
FOR VIOLATIONS OF: )
15A NCAC 2D .1206 "HOSPITAL, )
MEDICAL, AND INFECTIOUS WASTE )
INCINERATORS" )
Acting pursuant to North Carolina General Statutes (G.S.) 143-215.114A, I,Michael A.
Abraczinskas, Director of the Division of Air Quality("DAQ"or"Division"),make the
following:
I. FINDINGS OF FACT:
A. Stericycle, Inc. (Facility ID No. 0100010) operates two hospital,medical, and
infectious waste incinerators (HMIWI) (Emission Source ID Nos. ESOI and ES02) in
Haw River, North Carolina.
B. Stericycle, Inc. was issued Air Permit No. 05896T25 on December 19, 2016.
C. 15A NCAC 2D .1206 "Hospital, Medical, and Infectious Waste Incinerators"
requires the facility to comply with 40 CFR 60.56c. This reference incorporates 40 CFR
Part 60, Subpart Ec "Standards of Performance for New Stationary Sources:
Hospital/Medical/Infectious Waste Incinerators," which states that"Use of the bypass
stack shall constitute a violation of the PM, dioxin/furan, HCI, Pb, Cd, and Hg emission
limits" [§60.56c(f)(6)].
D. The facility experienced an event on April 22, 2019, with,a duration of eleven
minutes, during which the bypass stack for the hospital, medical, and infectious waste
incinerator(HMIWI) (Emission Source ID No. ESO1) was opened. The event was the
result of a short in the light located on top of the ash hoe electrical panel, which caused a
blown fuse in the main control panel for the stack cap. The blown fuse activated an
uninterruptable power supply(UPS) system, which continued to deliver power to the
control panel as designed. When the batteries in the UPS system were exhausted, the
control systems failed, and the bypass stack cap was opened. The incident represents six
violations of 15A NCAC 2D .1206"Hospital,Medical, and Infectious Waste
Incinerators" as referenced by permit condition 2.1.A.2.o.
E. The facility experienced another event on August 13, 2019, with a duration of
thirteen minutes, during which the bypass stack for the HMIWI(Emission Source ID No.
ESO 1)was opened. The event was the result of a breach in the piping in the packed bed
scrubber(Control Source ID No. CD02). The breach resulted in a sudden loss of water
flow, causing temperatures in the scrubber to rise to an unsafe level. Use of the bypass

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DAQ 2019-079
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stack was necessary to prevent a catastrophic failure of other components in the scrubber
system that cannot tolerate extremely high temperatures. The incident represents six
violations of 15A NCAC 2D .1206 "Hospital, Medical, and Infectious Waste
Incinerators"as referenced by permit condition 2.1.A.2.o.
E. A Notice of Violation and Notice of Recommendation for Enforcement
(NOV/NRE) dated July 16,2019,regarding the April 22, 2019 incident was sent to
Stericycle, Inc. relative to the above noted violations. The certified mailing card was
signed for on July 22, 2019. A written response letter was received on July 29,2019. In
the letter,the facility expressed that enforcement action arising from a bypass event is
inappropriate and not legally justified. The facility indicated that startup, shutdown, and
malfunction(SSM) defense applies to bypass emissions from HMIWI units and that the
elements of the SSM defense as outlined in 15A NCAC 2D .0535 were met. A second
NOV/NRE dated September 11, 2019,regarding the August 13, 2019 incident was sent to
Stericycle, Inc. The facility indicated that the content of the July 29, 2019 response letter
should also be considered for the second NOV/NRE.
F. Prior violations for the last five years:
• 02/18/2015—NOV issued for discovery of the ammonia tank that supplies the
SNCR units (CD07 and CD08)with reagent ran dry during incinerator
operation for approximately one hour on December 12, 2014.
• 07/10/2015 —Notice of Deficiency(NOD) issued for a late submittal of the
CY2014 Emissions Inventory, including certification page and supporting
calculations, as required by Condition 3.X of Air Quality Permit 05869T22.
• 11/02/2015 —NOV issued for use of the bypass stack.
• 10/24/2016—NOV/NRE issued for use of the bypass stack. Per enforcement
case No. 2017-001, the facility was assessed a civil penalty of$5,208, which
was paid in full on April 11,2017.
• 04/21/2017—NOV/NRE issued for use of the bypass stack. Per enforcement
case No. 2017-025, the facility was assessed a civil penalty of$2,747,which
was paid in full on August 15, 2017.
• 11/08/2017—NOV/NRE issued for use of the bypass stack. Per enforcement
case No. 2017-066, the facility was assessed a civil penalty of$20,249,which
was paid in full on May 2, 2018.
• 05/18/2018 —NOV/NRE issued for use of the bypass stack. Per enforcement
case No. 2018-025, the facility was assessed a civil penalty of$5,256,which
was paid in full on October 30, 2018.
• 02/19/2019—NOD issued for failing to perform HMIWI operator training in
CY2018, as required by 15A NCAC 2D .1206 as referenced in Condition
2.1.A.2.ee of Air Quality Permit 05896/T25.
G. The costs of investigation or inspection in this matter totaled $308.00.

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Based on the above Findings of Fact, I make the following:
II. CONCLUSIONS OF LAW:
A. Stericycle, Inc. is in violation of 15A NCAC 2D .1206 "Hospital, Medical, and
Infectious Waste Incinerators" as referenced by permit condition 2.1.A.2.o for use of the
bypass stack. This permit requirement is necessary for the permittee to comply with rules
codified at 15A NCAC 2D .1206.
B. G.S. 143-215.114A provides that a civil penalty of not more than twenty-five
thousand dollars per violation may be assessed against a person who violates or fails to
act in accordance with the terms, conditions, or requirements of a permit required by G.S.
143-215.108 or who violates any regulation adopted by the Environmental Management
Commission.
C. G.S. 143-215.3(a)(9)provides that the costs of any investigation or inspection
may be assessed against a person who violates or fails to act in accordance with the
terms, conditions, or requirements of a permit required by G.S. 143-215.108 or who
violates any regulation adopted by the Environmental Management Commission.
Based upon the above Findings of Fact and Conclusions of Law, I make the following:
III. DECISION:
Stericycle, Inc. is hereby assessed a civil penalty of:
$ 10, oo - a° for twelve(12)violations caused by two events
occurring on April 22,2019 and August 13,2019
by failing to comply with 15A NCAC 2D .1206 as
referenced by Condition 2.1.A.2.o.of Air Permit
No. 05896T25.
$ 1 b� O uo• y a TOTAL CIVIL PENALTY,which is 3 .3
percent of the maximum penalty authorized by
NCGS 143-215.114A.
$ 308.00 Investigation Costs
$ 10, 107 . 00 TOTAL AMOUNT DUE

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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 .0106, 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 Michael A. Abraczinskas, Director
Division of Air Quality