NC0006351_Permit Modification_20090522

ATA
NCDENR
North Carolina Department of Environment and Natural Resources
Division of Water Quality
Beverly Eaves Perdue Coleen H. Sullins Dee Freeman
Governor Director Secretary
May 22, 2009
Mr. S. J. Bartos
VP Operations, Chemical Specialties, Inc.
P.O. Box 1330
Harrisburg, North Carolina 28075
Subject: Adjudicatory Settlement
NPDES Permit NC0006351
Chemical Specialties, Inc.
Cabarrus County
Dear Mr. Bartos,
Division personnel have reviewed and approved your application for renewal of the subject permit. Accordingly, we are
forwarding the attached NPDES discharge permit. This permit is issued pursuant to the requirements of North Carolina
General Statute 143-215.1 and the Memorandum of Agreement between North Carolina and the U.S. Environmental
Protection Agency dated May 9, 1994 (or as subsequently amended).
Based on additional information provided by the International Paper Company and further review of the conditions set forth
by the permit, the Division agreed, through the a judicatory settlement, to remove all the language and requirements regarding
lagoon influent monitoring and change Groundwater Monitoring Requirements in the Permit.
Please note that this permit is not transferable except after notice to the Division. The Division may require modification or
revocation and reissuance of the permit. This permit does not affect the legal requirements to obtain other permits which
may be required by the Division of Water Quality or permits required by the Division of Land Resources, the Coastal Area
Management Act or any other Federal or Local governmental permit that may be required. If you have any questions
concerning this permit, please contact Sergei Chernikov at telephone number [phone].
Sincerely,
s
Coleen H. Sullins
cc: NPDES Files
Central Files
Mooresville Regional Office, Water Quality Section
Marshall Hyatt, EPA Region IV
1617 Mail Service Center, Raleigh, North Carolina 27699-1617
Location: 512 N. Salisbury St. Raleigh, North Carolina 27604
Phone: [phone] FAX: [phone] \ Customer Service: 1-877-623-6748
Internet: www.ncwaterquality.org
An Equal Opportunity 1 Affirmative Action Employer .
NorthCarolina
Naturally

Permit NC0006351
STATE OF NORTH CAROLINA
DEPARTMENT OF ENVIRONMENT AND NATURAL RESOURCES
DIVISION OF WATER QUALITY
PERMIT
TO DISCHARGE WASTEWATER UNDER THE
NATIONAL POLLUTANT DISCHARGE ELIMINATION SYSTEM
In compliance with the provision of North Carolina General Statute 143-215.1;
other lawful standards and regulations promulgated and adopted by the North Carolina
Environmental Management Commission, and the Federal Water Pollution Control Act, as
amended,
Chemical Specialties, Incorporated
is hereby authorized to discharge wastewater from a facility located at
Chemical Specialties, Incorporated
5910 Pharr Mill Road
Harrisburg
Cabarrus County
to receiving waters designated as the Rocky River in the Yadkin -Pee Dee River Basin in
accordance with effluent limitations, monitoring requirements, and other conditions set forth in
Parts I, II, III and IV hereof.
This permit shall become effective July 1, 2009
This permit and authorization to discharge shall expire at midnight on November 30, 2013.
Signed this day May 22, 2009.
Jr-
oleen H. Sullins, Director
Division of Water Quality
By Authority of the Environmental Management Commission

Permit NC0006351
SUPPLEMENT TO PERMIT COVER SHEET
All previous NPDES Permits issued to this facility, whether for operation or discharge are hereby
revoked. As of this permit issuance, any previously issued permit bearing this number is no longer
effective. Therefore, the exclusive authority to operate and discharge from this facility arises under the
permit conditions, requirements, terms, and provisions included herein.
Chemical Specialties, Inc. is hereby authorized to:
1. Continue to operate an existing wastewater treatment system consisting of the
following components:
➢ Lime slurry tank,
➢ Solids mixing tank
➢ • Three (3) reaction tanks for pH adjustment,
➢ Two acre unlined storage lagoon,
➢ Instrumented flow measurement, and
➢ 1/2 acre lined storage lagoon
The facility is located at 5910 Pharr Mill Road, Harrisburg, Cabarrus County; and
2. Discharge from said treatment works at the locationspecified on the attached
map into the Rocky River which is classified C waters in the Yadkin -Pee Dee
River Basin.

Chemical Specialties, Inc - NC0006351
USGS Quad Name: Concord SE
Receiving Stream: Rocky River
Stream Class: C
Subbasin: Yadkin Pee -Dee - 03-07-11
Lat.: 35°19'48"
Long.: 80°37'28"
North
'Not to SCALE

Permit NC0006351'
A (1). EFFLUENT LIMITATIONS AND MONITORING REQUIREMENTS
During the period beginning on the effective date of the permit and lasting until expiration, the Permittee
is authorized to discharge from outfall(s) serial number 001. Such discharges shall be limited and
monitored by the Permittee as specified below:
EFFLUENT :, ,:
CHARACTERISTICS
LIMITS,
MONITORINGRE
SMonthly
Average .`
.poly:..,
"Maximum
Measurement a
- Frequency' t '
m *' Saple; +
Type '
x Sample
Location1
Flow (MGD)
0.025
Continuous
Recording
I or E
BOD, 5-day, 20°C
Monthly
. Grab
E
Total Suspended Solids
2.0 lbs/day
3.0 lbs/day
Monthly
Grab
E
NH3-N
2.0 lbs/day
'3.0lbs/day
Weekly
Grab
E
Arsenic
•0.208lbs/day
0.416lbs/day
2/Month
Grab .
E
Total Chromium
0.104lbs/day
0.200 lbs/day
2/Month
Grab
E
Total Copper,
0.06 lbs/day
0.12 lbs/day
2/Month .
Grab
E
Total Selenium
0.2081bs/day
0.416lbs/day
2/Month
Grab
E
Total Zinc
0.313lbs/day
0.626 lbs/day
2/Month
.: Grab '
E
Total Lead
0.01 lbs/day
0.037lbs/day
2/Month
' Grab .
E
Total Nickel
2/Month
Grab
E
pH2
Weekly
. Grab
E
Chronic Toxicity3
Quarterly
Composite
E
NOTES:
1 Sample Locations: I - Influent, E - Effluent
2 The pH shall not be less than 6.0 standard units or greater than 9.0 standard units.
3 Chronic Toxicity (Ceriodaphnia) P/F @ 0.96%; Jan., April, July and October; See
condition A(2) of the Supplement to Effluent Limitations and Monitoring Section of this
permit.
THERE SHALL BE NO DISCHARGE OF FLOATING SOLIDS OR FOAM VISIBLE IN
OTHER THAN TRACE AMOUNTS.

. Permit NC0006351
SUPPLEMENT TO EFFLUENT LIMITATIONS
AND MONITORING REQUIREMENTS
SPECIAL CONDITIONS
A (2). CHRONIC TOXICITY PASS/FAIL PERMIT LIMIT (QUARTERLY)
The effluent discharge shall at no time exhibit chronic toxicity using test procedures outlined in the "North
Carolina Ceriodaphnia Chronic Effluent Bioassay Procedure," .Revised November 1995, or subsequent
versions.
The effluent concentration at which there may be no observable inhibition of reproduction or significant
mortality is 0.96% (defined as treatment two in the procedure document). The permit holder shall perform
quarterly monitoring using this procedure to establish compliance with the permit condition. The tests will
be performed during the months of January, April, July and October. Effluent sampling for this testing
shall be performed at the NPDES permitted final effluent discharge below all treatment processes.
All toxicity testing results required as part of this permit condition will be entered on the Effluent Discharge
Monitoring Form (MR-1) for the month in which it was performed, using the parameter code TGP3B.
Additionally, DWQ Form AT-1 (original) is to be sent to the following address:
Attention: North Carolina Division of Water Quality
Environmental Sciences Section
1621 Mail Service Center
Raleigh, North Carolina 27699-1621
Test data shall be complete and accurate and include all supporting chemical/physical measurements
performed in association with the toxicity tests, as well as all dose/response data. Total residual chlorine of
the effluent toxicity sample must be measured and reported if chlorine is employed for disinfection of the
waste stream.
Should there be no discharge of flow from the facility during a month in which toxicity monitoring is
required, the permittee will complete the information located at the top of the aquatic toxicity (AT) test
form indicating the facility name, permit number, pipe number, county, and the month/year of the report
with the notation of "No Flow" in the comment area of the form. The report shall be submitted to the
Environmental Sciences Branch at the address cited above.
Should any single quarterly monitoring indicate a failure to meet specified limits, then monthly monitoring
will begin immediately until such time that a single test is passed. Upon passing, this monthly test
requirement will revert to quarterly in the months specified above.
Should the permittee fail to monitor during a month in which toxicity monitoring is required, then monthly
monitoring will begin immediately until such time that a single test is passed. Upon passing, this monthly
test requirement will revert to quarterly in the months specified above.
Should any test data from this monitoring requirement or tests performed by the North Carolina Division
of Water Quality indicate potential impacts to the receiving stream, this permit may be re -opened and
modified to include alternate monitoring requirements or limits.

Permit NC0Q06351
SUPPLEMENT TO EFFLUENT LIMITATIONS
AND MONITORING REQUIREMENTS
SPECIAL CONDITIONS (Continued)
If the Permittee monitors any pollutant more frequently then required by this permit, the results of
such monitoring shall be included in the calculation & reporting of the data submitted on the DMR
& all. AT Forms submitted.
NOTE: Failure to achieve test conditions as specified in the cited document, such as minimum
control organism survival, minimum control organism reproduction, and appropriate
environmental controls, shall constitute an invalid test and will require immediate follow-up testing
to be completed no later than the last day of the month following the month of the initial
monitoring.
A (3). GROUNDWATER MONITORING REQUIREMENTS
The frequency and scope of sampling of monitoring wells 1, 4, .5 and 6 shall be governed by the terms of
Petitioner's RCRA post -closure permit. Results of sampling of these wells shall be sent to the Aquifer
Protection Section, 1636 Mail Service Center, Raleigh, NC 27699-1636 within 60 days of each sampling
event.

STATE OF NORTH CAROLINA
COUNTY OF CABARRUS
IN THE OFFICE OF
ADMIRT T
2647 NED
'
Chemical Specialties, Inc., )
Petitioner, )
) DENR - WATER OUALITY
v. ) SETTLI41f3RANCH
North Carolina Department of Environment )
and Natural Resources, Division of Water )
Quality, )
Respondent. )
Chemical Specialties, Inc. ("Petitioner") and the North Carolina Department of
Environment and Natural Resources, Division of Water Quality ("DWQ"), hereby enter into this
Settlement Agreement ("Agreement") in order to resolve a matter in controversy between them
pursuant to N.C. Gen. Stat. §150B-31(b). This matter arose out of the issuance of the National
Pollutant Discharge Elimination System Permit No. NC0006351 (the "NPDES Permit") by
DWQ to the Petitioner, allowing the Petitioner to discharge wastewater into the Rocky River in
the Yadkin -Pee Dee River Basin located in the State of North Carolina.
In order to avoid the cost and delay of litigation and without any hearing of fact or law in
the above -styled matter, the parties agree as follows:
1. Permit Revisions. Within 30 days of the execution of this Agreement, the
Respondent shall issue the NPDES Permit to the Petitioner with the following changes:
\8582813.2

a. All language and requirements regarding lagoon influent monitoring, including
but not limited to Section A.(2) of the NPDES Permit requiring, in pertinent part,
monthly monitoring of the lagoon influent for pH, total dissolved solids, chloride,
nitrate, calcium, magnesium, manganese, and zinc for a period of 36 months using
DWQ approved methods, shall be removed from the NPDES Permit.
b. Section A.(4) of the NPDES Permit shall be deleted in its entirety and replaced
with the following: "The frequency and scope of sampling of monitoring wells 1,
4, 5 and 6 shall be governed by the terms of Petitioner's RCRA post -closure
permit. Results of sampling of these wells shall be sent to the Aquifer Protection
Section, 1636 Mail Service Center, Raleigh, NC 27699-1636 within 60 days of
each sampling event.
2. This Agreement shall be binding upon the parties, their successors and assigns,
upon execution by the undersigned, who represent and warrant that they are authorized to enter
into this Agreement on behalf of the parties hereto.
3. Nothing in this Agreement shall restrict the right of DWQ to inspect or take
enforcement action against Chemical Specialties for any violations of the NPDES Permit or
applicable rules or statutes under the authority of DWQ. Similarly, nothing in this Agreement
shall restrict the right of Chemical Specialties to contest any new enforcement action.
4. By entering into this Agreement, Chemical Specialties does not make any
admissions of liability or of facts upon which liability may be based.
5. This Agreement may not be modified except in writing signed by all parties.
\8582813.2

•
6. The parties agree and acknowledge that this Agreement constitutes the agreement
between the parties and that all prior or contemporaneous written or oral agreements with respect
to these matters are merged into this Agreement.
7. This Agreement may be executed in counterparts, each of which shall be
considered an original, but all of which shall constitute but one and the same instrument.
8. Within ten (10) days of the full execution of this Agreement, Chemical Specialties
will file with the Office of Administrative Hearings a dismissal with prejudice of the pending
Petition for a Contested Case Hearing.
FOR: THE DEPARTMENT OF
ENVIRONMENT AND NATURAL
RESOURCES:
gie Chernikov, Ph.D.
ivision of Water Quality - NPDES West
Environmental Engineer II
Date: S-2" 209
Anita LeVeaux
State Bar No.: 13667
Assistant Attorney General
NC Department of Justice
9001 Mail Service Center
Raleigh, NC 27699-9001
Telephone: [phone]
Facsimile: [phone]
Attorney for Respondent
\8582813.2
0610)
FOR: Chemical Specialties:
Sylviter J. Bartos, Vice -President,
Operations, Chemical Specialties, Inc.
Date: 5"�6 - aS
C-
Benne C. Hutso
State Bar No.: 1 295
McGuireWoods LLP
201 N. Tryon Street, Suite 3000
Charlotte, NC 28202
Telephone: [phone]
Facsimile: [phone]
Attorney for Petitioner

GB'
CHEMICAL SPECIALTIES, INC.
November 19, 2008
Sergei Chernikov
NC Division of Water Quality
Mooresville Regional Office
610 East Center Ave, Suite 301
Mooresville, NC 28115
Subject: NPDES Permit No. NC0006351
Dear Mr. Chernikov:
NOV 2
Liu ;Is
t+
Q Surface ate ;ion
J
I am writing to notify the Division of planned piping changes related to the waste water
treatment system. Currently CSI neutralizes waste waters with Calcium hydroxide stored
in T-33 (lime slurry tank). The consistency of the lime slurry causes operational problems
and the tank is near the end of its service life.
In order to address these issues, CSI will make piping changes to allow neutralization of
waste waters from our existing Magnesium hydroxide tank (T-95). No other changes are
planned.
The treatment method, chemical precipitation and sedimentation, described in our permit
application have not changed. There are no capacity or pollutant changes.
No changes specified in our operating permit Section E "Reporting Requirements" Item 2
are being made.
CSI has determined that this notification is not required by the operating permit, but is
being made for informational purposes only.
If you have any questions on this issue please feel free to contact me at 704-455-4171.
Thank you for you consideration of this issue.
Sincerely,
Jonna A. Stein
Safety, Health and Environmental Manager
PO Box 1330 •5910 Pharr Mill Road • Harrisburg, NC 28075 •704-455-5181
Operations Fax [phone] • Purchasing and Transportation Fax [phone]
R & D Lab Fax [phone] • QC Lab Fax [phone]
Accounting Fax [phone] • Engineering Fax [phone]

NM i•
ommir
I \
CSI
CHEMICAL SPECIALTIES, INC.
November 14, 2008
Sergei Chernikov
NC Division of Water Quality
Mooresville Regional Office
610 East Center Ave, Suite 301
Mooresville, NC 28115
Re: NPDES Permit No. NC0006351
Dear Mr. Chernikov:
NOV 1 7 2 O8
iv
DM -Surface Wafer Procc ion
JV 2
I am writing to let you know that we have received the proposed permit. As we
have discussed before, the conditions regarding required influent testing and monitoring
of groundwater from certain wells continue to concern us.
According to the cover letter for the permit, we had 30 days to file an appeal
regarding any objectionable parts of the permit. We checked with our lawyer who
advised that we needed to file an appeal to protect our legal rights. Based on his advice,
we filed the required appeal. A copy of it is enclosed.
Please recognize we only filed the appeal because legally we had to. We still
want to continue discussions with you to try to resolve this matter without having to have
lawyers involved. To that end, I will contact you in the next few days to discuss further
how we might be able to resolve these issues or you may contact me at 704-455-4171 or
[e-mail].
Sincerely,
Jonna A. Stein
Safety, Health and Environmental Manager
PO Box 1330 • 5910 Pharr Mill Road • Harrisburg, NC 28075 • 704-455-5181
Operations Fax [phone] • Purchasing and Transportation Fax [phone]
R & D Lab Fax [phone] • QC Lab Fax [phone]
Accounting Fax [phone] • Engineering Fax [phone]

*McGuireWoods LLP
201 North Tryon Street
P.O. Box 31247 (28231)
Charlotte, NC 28202
Phone: [phone]
Fax: [phone]
www.mcguirewoods.com
Benne C. Hutson
Direct: 704.343.2060
McGUIREWQQDS
VIA FACSIMILE & FEDERAL EXPRESS
November 7, 2008
Office of Administrative Hearings
Attention: Clerk's Office
1711 New Hope Church Road
Raleigh, North Carolina 27609
b h u tson @ mcg u i rewoods
Direct Fax: [phone]
Re: In the Matter of: Chemical Specialties, Inc. v. North Carolina Department
of Environment and Natural Resources, Division of Water Quality;
Petition for Contested Case
To Sir or Madam:
I have attached for filing a Petition for Contested Case in the above matter. I will also be
sending by Federal Express the original and two copies of the same. Please return to us in the
enclosed self-addressed, stamped envelope a file -stamped copy of this Petition.
If you have any questions, please call me
Sincerely,
McGuireWoods LLP
C.
Benne C. Hutson
Enclosures
cc: Mary Penny Thompson
Syl Bartos
NOV 2 5

NORTH CAROLINA
CABARRUS COUNTY
CHEMICAL SPECIALTIES, INC.
Petitioner,
vs.
NORTH CAROLINA DEPARTMENT OF
ENVIRONMENT AND NATURAL
RESOURCES, DIVISION OF WATER
QUALITY,
Respondent.
IN THE OFFICE OF
ADMINISTRATIVE HEARINGS
CASE NO.
PETITION FOR CONTESTED CASE
Pursuant to N.C. Gen. Stat. §150B-23, Petitioner, Chemical Specialties, Inc., ("Chemical
Specialties") files this Petition for Contested Case ("Petition"), and, in support of this Petition,
alleges the following:
1. Chemical Specialties is a North Carolina corporation with its principal place of
business located at 5910 Pharr Mill Road, Harrisburg, North Carolina.
2. Respondent North Carolina Department of Environment and Natural Resources,
Division of Water Quality ("DWQ") is an agency of the State of North Carolina with authority to
enforce the laws and regulations governing discharges to surface waters.
3. On or about October 13, 2008, DWQ issued to Chemical Specialties National
Pollutant Discharge Elimination System Permit No. NC0006351 (the "NPDES Permit") allowing
Chemical Specialties to discharge wastewater from an outfall located at 5910 Pharr Mill Road in
Harrisburg, North Carolina to the Rocky River in the Yadkin -Pee Dee River basin with such
discharge to be in accordance with the effluent limitations, monitoring requirements and other
conditions set forth in the NPDES Permit.
C770594

4. The outfall from which discharges are governed by the NPDES Permit is located
at the downgradient end of a lagoon located at Chemical Specialties' facility.
5. Section A.(2) of the NPDES Permit is entitled "Lagoon Influent Monitoring
Requirements" and requires Chemical Specialties to conduct monthly monitoring for various
parameters of water entering the lagoon.
6. Section A.(4) of the NPDES Permit is entitled "Groundwater Monitoring
Requirements" and requires Chemical Specialties to sample four monitoring wells located on its
facility in conjunction with a permit previously issued by the North Carolina Department of
Environment and Natural Resources Division of Solid Waste Management.
7. DWQ, through its NPDES Program, has authority with regard to and jurisdiction
over discharges to surface waters of the State.
8. The provisions of Section A.(2) of the NPDES Permit require sampling of water
that is not being discharged to the surface waters of the State in general or, in particular, through
the outfall designated in the NPDES Permit.
9. The provisions of Section A.(4) of the NPDES Permit require sampling of water
that is not being discharged to surface waters of the State in general or, in particular, through the
outfall designated in the NPDES permit.
C770594 2

10. The requirements of Sections A.(2) and A.(4) of the NPDES Perinit are outside
the jurisdiction and authority of DWQ. By issuing the NPDES Permit with these requirements,
DWQ exceeded its authority or jurisdiction, acted erroneously, failed to use proper procedure,
acted arbitrarily or capriciously and/or failed to act as required by law or rule, all of which
deprived Chemical Specialties of property and substantially prejudiced the rights of Chemical
Specialties.
11. Chemical Specialties is filing this petition within 30 days of receipt of the NPDES
Permit as required by law.
12. Chemical Specialties reserves the right (a) to supplement the allegations of this
Petition pending discovery in this matter; (b) to depose individuals involved in this matter and to
conduct other discovery pursuant to N.C. Gen. Stat. §150B-28; and (c) to request issuance of
subpoenas and subpoenas duces tecum for individuals involved in this matter and other relevant
witnesses pursuant to N.C. Gen. Stat. §150B-27.
WHEREFORE, the Petitioner requests that:
1. Pursuant to N.C. Gen. Stat. § 150B-32, an Administrative Law Judge in the Office
of Administrative Hearings be assigned to hear this contested case;
2. Pursuant to N.C. Gen. Stat. §150B-24, the hearing of this contested case be
conducted in either Cabarrus or Mecklenburg County, North Carolina;
3. Findings of fact and conclusions of law be entered in accordance with the
allegations of this Petition; and
C770594 3

4. It be awarded such other and further relief that it is entitled to under the facts and
applicable law.
This the 7th day of November, 2008.
-kene Hutson
NC State Bar. No. 13295
Attorney for Chemical Specialties, Inc.
OF COUNSEL:
McGuireWoods LLP
201 North Tryon Street
Post Office Box 31247
Charlotte, NC 28231
Telephone: [phone]
Facsimile: [phone]
C770594 4

CERTIFICATE OF SERVICE
I hereby certify that a copy of the foregoing Petition for Contested Case has been served
by mailing a copy of the same in an official depository of the U.S. Mail, in a certified, return
receipt requested, postage -paid envelope, addressed as follows:
Ms. Mary Penny Thompson, Process Agent
North Carolina Department of Environment and Natural Resources
1601 Mail Service Center
Raleigh, North Carolina 27699-1601
This the 7th day of November, 2008.
Benne C. Hutson
C770594 5