1. PURPOSE

This memorandum requests a ceiling increase of $500,000 and emergency and consistency exemptions to the $2 million and 12 month statutory limits for the Illinois Central Spring (ICS) Site located in Bloomington, Indiana. If approved, the additional ceiling will be used to provide an additional six months to oversee construction of replacement storage tanks and conduct operational testing of the ICS water treatment plant. The additional ceiling will also be used for laboratory upgrades, sludge handling improvements, automated spring measurement and sampling capabilities, and other operational necessities. These actions will ensure a smooth transition of the operation of the plant to the Indiana Department of Environmental Management (IDEM) between May I and November I of 2001.

On September 28, 1998, Region V approved $2,109,303 to begin engineering and design work and the initial construction work for the ICS plant, based on the preliminary estimate of the Remedial contractor at the associated Lemon Lane Landfill (which is listed in the National Priorities List (NPL)). On June 22, 1999, Region V also approved an additional $3,889,670 bringing the Project total to $5,998,973, based on a comprehensive final design by the Removal contractor. The expanded project scope made it substantially more environmentally friendly and provided a basis for future plant expansion, if needed, to implement the final remedy at the associated Lemon Lane Landfill Site.

If approved, the added ceiling will allow for the refinement of the 1,000 gpm (gallons per minute) treatment plant, which became partially operational on schedule at I 1: 14 am on May 10, 2000. As of January 1, 2001, the plant has treated approximately 68 million gallons of PCB-contaminated spring water. The added six months of system completion and testing time is to incorporate the 1.3 million gallons of tank storage into the treatment process.

The proposed ceiling increase of $500,000 will bung the project total to $6,498,973 and will extend the one year system completion and testing period up to 18 months because of problems encountered with the two storage tanks, provide necessary refinements to the treatment process as determined during this period, add spring-water measuring and sampling capabilities at the request of the Lemon Lane Landfill Site Remedial Project Manager (RPM), and will allow the U.S. EPA to turn the plant over to IDEM to operate as per agreement.

II. SITE CONDITIONS AND BACKGROUND

The ICS Site is not on the National Priorities List (NPL), but the associated Lemon Lane Landfill (which is the source of the PCB contamination for the ICS Site) was placed on the NPL in September 1983. The releases addressed by this removal action are the result of PCBs released from the Lemon Lane Landfill via Groundwater that emerges at the Illinois Central Spring, which forms the headwaters of Clear Creek.

The ICS Site lies at a Latitude of 39⁰-10'-1.8" North and a Longitude of 86⁰-33'-14.9".

Please refer to the original Action Memorandum, dated September 28, 1998 (Attachment b, or to the first Ceiling Increase dated June 22, 1999 (Attachment II). Also, included as Attachment III is a Action Memorandum-Addendum "A Clarification, Explanation and Justification of Design Changes and a Supplement to the Administrative Record" dated March 16, 2000.

III. PRESENT SITUATION

The plant became operational on May 10, 2000, with a one-year testing period beginning at that time to ensure that the plant was fully operational before being turned over to IDEM for a three- year O&M period. It is expected that the water treatment will be incorporated into the final remedy for the associated Lemon Lane Landfill NPL Site. The final remedy at the NPL Site is currently under development, but is certain to include components of the water treatment plant. Thus, the plant was designed to be consistent with the expected final remedy at the Lemon Lane Landfill Site. As the result of construction difficulties and problems encountered during the one- year testing period of the plant, the plant is not yet fully operational. The two, two acre-feet, above ground storm water storage tanks associated with the treatment plant are faulty and need to be replaced. As of this date, the ERRS contractor has demolished the existing tanks, completed the engineering of the new tanks, with construction of new tanks to start shortly. U.S. EPA will not be charged for the new tanks or their installation. U.S. EPA expects that the new tanks can be brought into service by the originally planned date to turn the project over to IDEM, May 1, 2001. However, because IDEM has required the EPA to provide 60 days notice prior to assuming responsibility for the project, this Action Memorandum incorporates an additional six months' contingency period to provide sufficient resources to ensure that a fully operational plant can be established and turned over to IDEM. Because the new tanks have not yet been added to the system, during storm events PCB-contaminated water may bypass the system and flow into Clear Creek. The water treatment plant itself continues to perform very well.

Informational supplements regarding the Treatment Plant Building, the Storage Tanks and an Operational History are available at the end of this document as an Informational Supplement.

IV. THREATS TO PUBLIC HEALTH OR WELFARE OR THE ENVIRONMENT

For a complete discussion of this section please refer to the attached Action Memorandum (see Attachment I) dated September 30, 1998.

The conditions at the ICS Site meet the criteria for a removal action as stated in the National Contingency Plan (NCP) at 40 C.F.R. . 300.415 (b) (2). More specifically:

a. Actual or potential exposure to nearby human populations, animals, or the food chain from hazardous substances, pollutants, or contaminants.

This factor is present at the ICS Site and subsequently in Clear Creek due to the existence of water contaminated with PCBs which exists in an uncontrolled manner during storm events, potentially allowing direct access by surrounding human and animal populations. The United States Fish and Wildlife Service and local Bloomington residents have documented individuals fishing in Clear Creek even with publicity associated with the Level 5 fish advisory (all fish species, no consumption allowed), thereby exposing individuals to PCBs. For the average freshwater consumer, ingesting an average of 15 g/day of largemouth bass (about a meal per week), cancer risks would exceed lx10E-4 (one in 10,000). This value exceeds U.S. EPA's acceptable excess cancer risk. Further, within the fenced-off area surrounding one of the areas where water from the ICS Site resurfaces (and where a weir to measure flow is located), evidence of human trespassing exists in the form of vandalized bird nesting boxes erected by the U.S. Fish and Wildlife Service. Wildlife, including river otter, as evidenced by tracks along Clear Creek, are exposed to PCBs through contact with PCB contaminated water, and fish.

b. Weather conditions that may cause hazardous substances or pollutants or contaminants to migrate or be released.

This factor is present at the Site due to groundwater flowing through the PCB contamination in the associated Lemon Lane Landfill and surface water flowing into the karst conduits during heavy rain events and resurfacing at the ICS site. Because the new tanks have not yet been added to the system, during storm events PCB contaminated water may bypass the system and flow into Clear Creek.

c. The unavailability of other appropriate federal or state response mechanisms to respond to the release.

The Indiana Department of Environmental Management (IDEM) does not have the necessary resources to mitigate the threats to public health, welfare, and the environment posed by PCB contamination at the ICS Site.

V. ENDANGERMENT DETERMINATION

VI. OUTSTANDING POLICY ISSUES

VII. EXEMPTION FROM STATUTORY LIMITS

CONSISTENCY WAIVER

1. The continued response action is otherwise appropriate and consistent with the remedial action to be taken.

The Remedial Alternatives Evaluation Report identified this technology as the most effective and the most cost-effective of the alternatives evaluated for treatment of groundwater contaminated with PCBs coming from Lemon Lane Landfill Site and these actions are appropriate and consistent with the remedial action to be taken at the Lemon Lane Landfill NPL Site. The final remedial remedy is expected to incorporate the ICS treatment plant, with perhaps additional storage, capacity and added filtration equipment. Provisions have been made to accommodate these anticipated needs.

Appropriateness: The ICS removal action is necessary and required to significantly reduce a current and future threat to human health from PCBs released at the ICS Site. The proposed remedy will make a significant impact on the Clear Creek eco-system and, over time, may permit the Creek and the fish in it to again be used by the population.

Consistency: Continued response actions are consistent with the remedial action to be taken at the Lemon Lane Landfill Site. The preliminary design envisioned a water treatment plant much. like the one constructed.. The water treatment plant was identified by the remedial program as necessary. The remedial program anticipates that water treatment will be necessary as part of the final Lemon Lane Landfill remedial action.

EMERGENCY WAIVER

1. Continued response actions are immediately required to prevent, limit, or mitigate an emergency;

This factor is present at the ICS Site and subsequently in Clear Creek due to the existence of water contaminated with PCB's which exists in an uncontrolled manner during storm events, potentially allowing direct access by surrounding human and animal populations. During large rain events, PCB concentrations in water emerging from the ICS Site has been documented to exceed typical rates by over an order of magnitude, most likely due to the karst conduits and possibly the portions of the landfill itself, being flushed of PCB contaminated soil and sediment. With the inability of the current tanks to provide the 1.3 million gallons of PCB contaminated spring water storage in time of storm events, PCB contaminated water can still enter Clear Creek.

2. There is an immediate risk to public health or welfare or the environment;

Clear Creek is currently under a Level 5 fish advisory (all species, no consumption allowed). Despite this advisory, the United States Fish and Wildlife Service and local Bloomington residents have documented individuals fishing in Clear Creek, thereby exposing themselves to PCBs. The proposed actions are necessary to prevent continued exposure of individuals to PCBs during storm events.

3. Such assistance will not otherwise be provided on a timely basis

The Indiana Department of Environmental Management (IDEM) does not have the necessary resources to mitigate the threats to public health, welfare, and the environment posed by PCB contamination at the Site.

A more detailed explanation of both the Emergency and the Consistency Waivers can be found in the 6-22-99 Action Memorandum, included as Attachment II.

VIII. ENFORCEMENT

IX. PROPOSED ACTIONS AND ESTIMATED COSTS

The action proposed in this memorandum is to complete construction and testing and the interim running of the ICS water treatment plant for an additional six months (until November I, 2001), if necessary, and to provide the following improvements to the plant:

1. As above, continue the testing period and the costs associated with the ICS plant an additional 6 months, if necessary.
2. Addition of a lime injection system to the thickener tanks. This will enable the plant to more effectively process "filter cake".
3. Addition of a spring flow and automatic sampler instrument. This device (at the request of the RPM) will allow for the accurate sampling of the "peak" of any given storm event and record the spring flow at the command center.
4. Diversion of "leakage" of PCB-contaminated water currently flowing directly into Clear Creek and not to the treatment plant. Currently, at peak flow, some leakage is occurring through the rail line into the original stream channel. This water, up to 400 g.p.m., is not being treated. The diversion will ensure that this water is directed to the treatment plant.
5. Making the plant laboratory fully operation to perform analytical tasks, which are now sent out. With the addition of a relatively small amount of equipment, the cost savings will be recovered shortly.
6. The purchase of operational supplies, net, ladders, hand and power tools, storage cabinets, a power washer etc.
7. The painting of the piping in the facility to prevent corrosion.
8. Additional software requirements related to the collection of data.
9. Arrange for transportation and disposal of accumulated filter cake.

X. EXPECTED CHANGE IN THE SITUATION SHOULD ACTION BE DELAYED OR NOT TAKEN

Xl. RECOMMENDATION