NC0047091_Enforcement_20150915

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KBI, LLC
80 SOUTH LAKE AVENUE
n SUITE 719
PASADENA CA 91101
• •
ATTN: MR LOGAN BOGGS
dwr/ot 9/15/15

rI.# Mi SlVl W..J anc rvuvrrir ry LOGI O.
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3 Form 3800,April 2015(Reverse)PSN 7530-02-000-9047

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80 SOUTH LAKE AVENUE
SUITE 719 EID!' " ^TO RAYMUM
PASADENA CA 91101
ATTN: MR LOGAN BOGGS �/V^�
dwr/ot 9/15/15
1111111
IIIIII Mill
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DePt Of rinvironrnental Quality Ploy COOPER
I HA L S. REGAN
kcwary
WaterResources Raleigh
MENTAL VALITYPima"
May 18,2017
r. Logan s
I LTC Kurlander Beggs Investments ents LLC
tl S Lk Ave Ste 71
Pasadena, CA 91101
Subject: Payment Acknowledgement
Silver Maples Corturtunity
Permit NCO047091
Case No. LV-2015-0199
County Cab rr .s
Dear Mr. Boggs;
This letter is to acknowledge receipt of payment in the amount. of $496.97 received from you on
/1 017, This payment satisfies in full the above civil assessment s levied against the sujet facility,
and this ease has been closed. Payment. ofthis penalty in, no way precludes future action by this Division for
additional violations of the applicable Statues, Regulations, or Permits..
If you have any questions, please contact Wren Th df rd at 919-807-6397.'
Sincerely,
y4w A/k/
Wren T edter
e: Central file
NPDES
Mooresville Regional Office
State of North CarcAina� Environmental Qualig, I Watcr Rvwureet
10 r.. st Center Awnue, 5tute 301„ Mc," resville, NC 28115
704-663•169

ReWn this atatement for your records
40 4 r,= fC3 Caw O0 16 3 6 1#

Silver Maples NCO(A7091 setije.rhent_ Outlook Web Access Light
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Silver Maples NCO047091 settlement..
Basinger, Corey [corey. basing er(s
Inctierdr,gov]
You replied on 5/112017 9:54 AM
�7; Deletea Items r15,411
..��j Draft fo-"?
Sent: Tuesday, April 25, 2017 9�-58 AM
Inbox (1,S)
To,. Debbie McKinney
Sunk-6-mail 321
CC' SChelier, Roberto frobeau [e-mail]); Pitner, Andfrev,, [andrew,pitilerCLpncderir,gov]; Denard, Derek
Ldcrek.denard
Sent Items
06 mderir,gav); Rsqaird, Jon (Jon �rEqaardgrcdermgov]; k1e,",nessy, John ljohn hennessy*ncdeir, gov]
Debbie,
DeletedI —
�kenrls (154�)'
Pursuant tO Our phone conversation on Monday, April 2eh, 1 am sending you this email to provide the details of
our proposed settlement of Outstanding civil penalties assessed against the Silver Maples facility (NC0047091),
J J
5 Manage Folders-
The details of the outstanding penalties are as folfaws;
TABLF I
Case No. DMR month Assessed date Penalty amount Enforcement Total Assessed
-CUSGS
___LEerralty
LV 2015- Jan 2Oi5 437:5() $146.97 584.47
0199
7-
2015- Feb 2015 10 $ 56150 '-$146.97 $ 709,47
LLB-2015- March 2015 1" $ 5,62.50 $146,97 $ 709 47
0206
LV-2015- July 2014 9125/2015 1 125,00 514185 $1,26&85
0'L65 -
LV-2015- June 2014 9/1'6/2015 't 687 SO
0161 ZA
—' V-2015- May,2014 9/16/2015 1,375,00 6,97 $1,521,97
0153
—Apil 16-141, $14.f1s
$1,743-85
013,
TOTAI- $6,350,00 $1,01'.. $ i .55
As per our conversation, and pursuant to my delegated authority to settle outstanding civil penalties of this
nature, the Div slon of Water Resources offers the following Settlement for all the reutstanding penalties;
—Tr1A B, 11, El 21
Enforcement Total Assessed
on
0- Di�IR Assessed Original
( It it7hdate Perralty R8duction in costs penalty
arnount
originai
penalty
LV-2015-
Jan 2015 9/29/201,5
$ 437,50
$35000
$146.97
mmA
$ 496,97
oigg
-U-2015-
1,/ 02,02
-
�eb 20:15
562.50
$450,00
$146,97
$ 596,97
IV-2015-
March 10/812015
562,50
$45000 --$146,97
$ 596.97
0206
2015
LV-201LS-
July 2014 9/2-5/20!5
S1�125.00
$900,00
$143,85
0165
LV-2015-
June 9/16/2DIS
$ 687,50
$146.97
$ 696,97.
0,16'
2014
LV_
�w,2014 9/:j� �1�1015
S1,375,00
$1,10o.00
$1,46,97
$ 1, iZ=r,—q 77
L
9/�/2015
�T ot00
A 0137
2014
$4,3�5O�O
1022-55

AMP"A'AL
NCDENR
North Carolina Department of Environment and Natural Resources
Pat McCrory Donald van der Watt
Governor Secretary
September 15, 2015
CERTIFIED MAIL 7015 0640 0002 9299 3526
RETURN RECEIPT REQUESTED
Mr. Logan Boggs
KBI, ITC
80 South Lake Avenue, Suite 7 t 9
Pasadena, California 91101
SUBJECT: Notice of Violation and Assessment of Civil
Penalty for Violations of N.C. General Statute
143-215.1)(6) and NPDES Permit No. NC0047091
Silver Maples Community WWTP
Cabarrus, County
Case No. LV-2015-0199
Dear Mr. Boggs:
This letter transmits a Notice of Violation and assessment of civil penalty in, the amount of
$584A7 ($437.50 civil penalty + $146.97 enforcement costs) against KBI, LLC.
This assessment is based upon the following facts: A review has, been conducted of the self -
monitoring data reported for Janauary 2015. This review has shown the sukleci facility to be in
violation of the discharge limitations found in NIXIE S Permit No. NCO04709 1. The violations are
summarized in Attachment A to this letter.
Based upon the above facts, I conclude as a matter of law that KII, LLC violated the terms,
conditions, or requirements of NPDES Permit No. NCO047091 and North Carolina General Statute
(G.S.) 143-215,1(n)(6) in the manner and extent shoe Nm in Attachment A, A civil penalty may be
assessed in accordance with the maximums established by G.S. 143-21-5.6A(a)(2).
Based upon the above findings of fact and conclusions of law, and in accordance with authority
provided by the Secretary of the, Department of Environment and Natural Resources and the Director
of the Division of Water Resources, I, Michael L. Parker, Regional Supervisor for the Mooresville
Region, hereby make the folloNving civil penalty assessment against KBI, LLC:
Nlooresvihe Reional ("ce
Locafion: 610 East Center Ave., SOe aO I Moaresvflle, NC 28115
Phone: [phone]i Fax: (70416M-6040 i Customer Seryloe 1-877-4523-6748
internet http;l,portal.ncdenr.orglvwebfwq
Ar Ekuai C}"N��Aw"Ay 'Affirl, at ive Ac%on Emm'01yer — rwyntavi(Y',. Pos, Cor, sure;

$— 125.00
$— 437,50
$— 146,97
s- 584,47
For I of the one (1) vli olati on, of G.S. 143 -215. 1
NPDE "i waters of the State in violation of the Permit daily ftminuan
effluent limit fbr 40D.
For — t of the one (1) violation of G.S. 143-2 t 5. 1 (a)(6) and
NPDES Permit No. NCO047091, by discharging waste into the
waters of the State in violation of the permit monthly average
effluent limit for BOD,
TOTAL CIVIL PENALTY
Enforcement costs
Pursuant to G.S. 143-215,6A(c), in determining the amount of the penalty I have taken into account the
Findings of Fact and Conclusions of Law and the factors set forth at G.& 143B-281 I (b), which are:
(1) The degree and extent of hann to the natural resources of the State, to the public health, or to
private property resulting front the violations;
(2) The duration and gravity of the violations;
(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 violations were, committedwillfully 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.
Within thirty days of receipt of this notice, you must do one of the follovNing:
1. Submit payment of the penalty:
Payment should be made directly to the, order of the Department of Environment and 'Natural
Resources (do not include waiverjbrtn), Payment of the, penalty will not foreclose, further
enforcement action for any continuing or new violation(s).
Please submit payment to the attention of-,
Wastewater Branch
Division of Water Resources
1617 Mail Service, Center
Raleigh, North Carolina 27699-1617
Um
2. Submit a written request for remission including a detailed justifination for such request:

Please he aware that a request for rerniss on is limited to consideration ofthe five factors listed
below as they may relate to the reasonableness of the amount of the penalty, assessed. requesting
remission is not the proper procedure for contesting whether the violation(s) occurred or the accuracy
of any of the factual statements contained in the civil penalty assessment document. Because a
remission request forecloses the option of an administrative hearing, such a request must be
accompanied by a waiver of your right to an administrative hearing and a stipulation that no factual,or
legal issues are in dispute. Please prepare a detailed statement that establishes why you believe the
civil penalty should be remitted, and submit it to the Division of Water Resources at the address listed
below. In determining whether a remission request will be approved, the following factors shall In
considered;
t whether one or more of the civil penalty assessment factors in G.S , t :Il - 82.1(b) were
wrongfully applied to the detriment of the petitioner,
(whether the violator promptly abated continuing environmental daittage resulting from
the violation;
(: whether the violation was inadvertent or a result of an accident;
( Whether the violator had been assessed civil penalties for any previous violations; or
5 whether payment of the civil penalty will prevent payment for the remaining necessary
remedial actions.
Please mote: that all information presented in support of your request for remission must be,
submitted in writing. The Director of the Division of eater Resources will review your evidence and
inform you of his decision in the matter of your remission request. The response will provide details
regarding case status, Airections for payment, and provision for further appeal of the penalty to the
Environmental Management Commission's Co mittee on CiviI Penalty Remissions (Committee) ®
Please be advised that the Committee ittee. cannot consider information that was not part of the original
remission request considered: by the Director. Therefore, it is very important that you prepare a
complete and thorough statement in support of your request for remission.
In order to requestrenussion, you must complete and submit the enclosed "Waiver of Right to
an Administrative bearing and Stipulation of Facts" farm within thirty ( days of receipt of this
notice, The Division of Water Resources ources also requests that you complete and submit the enclosed
"Justification for Remission Request." Both forms should be submitted to the following address,
Wastewater Branch;
Division of rater Resources
1617 Mail Service Center
Raleigh, North Carolina 9-161
OR
. File a petition for an administrative hearing with e Office of Administrative Hearings
If you wish to contest any statement in the attached assessment document you roust file a
petition for an administrative hearing. You may obtain the petition form from the Office of
Administrative bearings. You must file the petition with the Office ofAdministrative Hearings

within thirty (30) days of receipt of this notice. A petition is considered filed wlien it is received in
the Office of Administrative Hearings during normal office hours. The Office of Administrative
Hearings accepts filings Monday through Friday between the hours of 8:00 a,m, and 5:00 p.m.,
except for official state holidays. The petition may be filed by facsimile (fax) or electronic mail by an
attached file (with restrictions) - provided the signed original, one (1) copy and a filing fee (if a filing
fee is required ky NCGS §15013-23.2) is received in the Office of Administrative Hearings within
seven (7) business days following the taxed or electronic transmission. You should contact the,
Office of Administrative Hearings with all questions regarding the filing fee andJor the details of the
filing process. The, mailing address and telephone and fax numbers for the Office of Administrative
Hearings are as follows:
Office of Administrative Hearings
6714 Mail Service Center
Raleigh, NC 27699-6714
Tel: [phone]
Fax [phone]
One (1) copy of the petition must also be seared on DENR as follows:
Mr. Sam M. Hayes, General Counsel
DENR
1601 Mail Service Center
Raleigh, NC 27699-16ill
Please indicate the case number (as found on page one of this letter) on the petition.
Failure to exercise one of the options above within thirty (30) days of receipt of this notice, as
evidenced by an internal date/time received stamp (not a postmark), will result in this matter being
referred to the Attorney General's Office for collection, of the penalty through a civil action.
Please be advised that additional penalties may be assessed for violations that occur after the
review period of this assessment. If you have any questions about this civil penalty assessment please
contact staff in the Mooresville Regional Office at [phone].
(Date) Michael L. Park-er,"lie ganal Supervisor
Water Quality Regional Operations Section
Division of Water Resources, NCDENTR
ATTACHNIENITS
cc: Mooresville Regional Office Compliance Filew,/ attachments
Raleigh Cornpliance/Enforcentent File w/ attachments
Central Files w/ attachments

V
ATTACHMENT T
CASE NO. V-201 -0199
i utf ll bate Parameter Revorted Val Permit Limit
001 1/20/2015 BOD 26 mg/l* 19.5 m /l (Daily maximum)
001 1/30/2015 BOD17 ni,, /l* 13 m / Monthlyy. aura
Denotes civil penalty assessment
l LLC did not provide a response to NOV-2015-LV-0389. Comments written in the
Janaury 2015 DMR received on March 25, 2015 Nears reviewed by DWR staff~ Mitigating;
factors were not found to result in a reduced civil penally amount.

Basinger,,Corex
From: Basinger, Corey
Sent: Tuesday, April 25, 2017 12:59 PM
To: 'Debbie McKinney'
Cc: Scheller, Roberto; Pitner, Andrew; Denard, Derek; Risgaard, Jon; Hennessy, John
Subject: Silver Maples NCO047091 settlement.,.,
Tracking: Recipient Delivery
'Debbie McKinney'
Scheller, Roberto Delivered, 4125/2017 I2:59 PM
Pitner, Andrew Delivered125/2017 12:59 PM
Denard, Derek Delivered, 412512017 12:59 PM
Risgaard, Jon Defivered. 412512017 12:59 PM
Hennessy, John Delivered: 4/2512017 12:59 PM
Debbie,
Pursuant to our phone conversation on Monday, April 24Ih, I am sending you this email to provide the details of our
proposed settlement of outstanding civil penalties assessed against the Silver Maples facility (NCO047091).
The details of the outstanding penalties are as follows:
TABLE 1
As per our conversation, and pursuant to my delegated authority to settle outstanding civil penalties of this nature, the
Division of Water Resources offers the following Settlement for all the outstanding penalties,
TART F I
Case No.
DMR
Assessed
Original
20% Reduction
Enforcement
Total Assessed
month
date
Penalty
in original
costs
penalty
amount
penaltV
LV-2015-
Jan 2015
9/29/2015
$ 437.50
$350.00
$146.97
$ 496.97
0199
LV-2015-
Feb 2015
10/8/2015
$ 562,50
$450.00
$146.97
$ 596.97
0202
LV-2015-
March
10/8/2015
$ 562.50
1 $450.00
$146.97
$ 596.97
0206
2015
LV-2015-
July 2014
9/25/2015
$1,125,00
$900m
$143.85
$1,043-85
0165
LV-2015-
June 2014
9/16/2015
$ 687.50
$550.00
$146.97
$ 696.97
0161

LV­2015- May 2014 9/16/2015 $1,375,00 $1,100.00 $146.97 $1,246.97
0153
LV-2015- April 2014 9/9/2015 $1,600.00 $1,280.00 $143.85 $1,423.85
0137
TOTAL
$635 .00 $5,080.00 $1022.55 $6,102-55
original civil penalty amount (down to $5,080.00) plus the investigative enforcement costs ($1,022.55),
This Settlementpffer is volidfrom Vqurreggt:pt of this email until do5e of business on May 23,2017.
You may submit one remittance (paid to the order of NC Division of Water Resources) in the amount of $6,102.55 to
the following address:
NC Division of Water Resources
610 E. Center Avenue, Suite 301
Mooresville, NC 28115
Attn: W. Corey Basinger
Your effort to resolve these matters is greatly appreciated and I look forward to assisting you in bringing these matters
to a successful conclusion.
If I can be of further assistance, please do not hesitate to contact me either at this email address or via phone at 704-
235-2194,
Many thanks!
Corey
W Corey Basinger
Regional Supervisor
Division of Water Resources
Mooresville Regional Office
Department of Environmental Quality
Chairman
Water Pollution Control Systems Operator Certification Commission
704-235-2194 office
[e-mail]
Mooresville Regional Office
610 East Center Avenue, Suite 301
Mooresville, NC 28115
""Nothing Comparei
Erna# correspondence to, and from this address is subject to the
Nor Carnima Public Records Law and may be disclosed to third parties,
2

STATE OF NORTH CAROLINA DEPARTMENT OF ENVIRONMENT
AND NATURAL RESOURCES
COUNTY OF CABARRUS
IN THE MATTE, R OF ASSESSMENT WAIVER OF RIGHT TO AN
OF CIVIL PENALTY AGAINST ADMINISTRATIVE HEARING AND
KBE LLC STIPULATION OF FACTS
PERMIT NUMBER NCO047091
FILE NO. LV-2015-0199
Having been assessed civil penalties totaling 84.47 for violation($) as set forth in the
assessment document of the Division of Water Resources dated June 18, 2015, the undersigned,
desiring to seek remission of the civil penalties, does hereby waive the right to an, adn-,iinistrative
hearing in the above -stated matter and does stipulate that the facts are as alleged in the assessment
document. The undersigned further understands that all evidence presented in support of remission of
this civil penalty must be submitted to the Director of the Division of Water Resources within 30 days
of receipt of the notice of assessment. No new evidence in support of a remission request will be
allowed after 30 days from the receipt of the notice of assessment..
This the day of ,2015
BY
ADDRESS
TELEPHONE

JUSTIFICATION FOR REMIS����
DWR Case Number: LV-2015-0199
Assessed Par : KBI, LLB
County: Cabarrus
Permit Number: NCO 047091
Amount Assessed: $584.47
Please use this form when requesting remission of this civil penalty. You must also complete the
ministrativeHearingandStiulalion o�acts "
form to request remission of this -civil penalty. You should attach any documents that you believe
support your request and are necessary for the Director to consider in evaluating your request for
remission. Please be aware that a request for remission is limited to consideration of the five factors
listed below as they may relate to the reasonableness of the amount of thecivil penalty, assessed.
Requesting remission is not the proper procedure for contesting whether the violation(s) occurred or
the accuracy of any of the factual statements contained in the civil penalty assessment document.
Pursuant to N.C.G.S. § 143B-282.1(c), remission of a civil penalty may be granted only when one or
more of the following five factors applies. Please check each factor that you believe applies to your
case and provide a detailed explanation, including copies of supporting documents, as to why the
factor applies (attach additional pages as needed),
(a) one or more of the civil penalty assessment factors in N.C.G.S. 14313-282i(b) —were
(the assessment, actors are listed
in the civil pen alq, assessment doeumen);
(b) the
violation (i. e, exI.Vain the steps thart you took to correct the violation and prevent
,future occurrencev);
(c) the violation was inadvertent or a result of an accident (i.e., exjplain why the violation
was unavoidable or something you could notprevent orpreparejbr)'
(d) the violator had not been assessed civil penalties for I V . , violations;;
(e) Pa Fment of the civil nenalts, will Drevent naymentfor the remaining-gece sa °reme&l
actions (Le, explain how payment of the civil penal 4y willprevent yore„ from perbrtning
the activities necessary to achieve compliance).
EXPLANATION: (use additional pages as neeessaay)

Violator: KBI.LLC
Facility: Silver Mantes ComniunitvWWTP
County: Cabarrus
Case Number: LV-2015-0199
Permit Number: NC` O047091
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; No environmental harm has been documented.
2) The duration and gravity of the violation; The BOD daily maximum effluent limit violation
exceeded the permit limit by 33.3%. The BOD monthly average permit limit Nvas exceeded by 30,8%
during the month of January 2015.
3) The effect on ground or surface water quantity or quality or on air quality; The effect on the
receiving strewn is unknown. BOD is an oxygen-consurrung waste and therefore increased
concentrations could reduce the amount of oxygen available to aquatic organisms.
4) The cost of rectifying the damage; The cost is unk-now-n,
5) The amount of money saved by noncompliance; flie amount of money saved by noncompliance is
unknown.
6) Whether the violation was committed willfully or intentionally; The Division of Water Resources
has no evidence that the violations were 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;
There have been twenty one (21) previous CPAs for the Silver Maples WWTP with four prior CPAs
being issued within the past twelve (12) DM R months. The last CPA was issued on September 8,
2015 for fecal coliform and BOD violations that occurred in July 2014.
8) The cost to the State of the enforcement procedures.
The cost to the Division of Water Resources is $146,97.
Date, Michael L. Parker, Regional Supervisor
Water Quality Regional Operations Section
Division of Water Resources, NC DENR