• •.., ':'

AD},~mTrVE CONS~"T ORD=:"~ ".

This A~-~ve Consent ~iS; (hC~aft= the "C"td::'') rn:1de ~'1ci e:::e=-:d intO the

~,:' sf' day of~ec=:nber. 1991. b)!:~ ~.c:we~~ the Swe ofN~va6, Det'r.rn::lt of

Consc:varion and Nam.-al Rcsour=s, ·.pivision Of~c:1tzl Pratecion (he.~r.aitcr the

.IDe?Uimcnt'). on the one band and Ma,p.ory,.Inc•• ~ ~evad:t cmpontion lOQ::d at S5G M~o.::

Way, C3.rson City, Stite of Nevada. ~~'~~loryj andHmy R. E'ce:1:n, ~": indiviciu:!.l

(he=ei,aftct "Eberlinj. on the other h~d. .. :

\VREREAS, Ebdin owns the ~ prop~ ~d premises upon which ~12.llory is lOCated

:utd le:!.Ses the same to Mallory. .' . .

WHEREAS. on April 6, 1988, ~ De~e~t issued a Finding of All~g:::i Violation !.'lci

Order ~dng Mallory to investigate ~ ide~~ th~ ex:e:lt of COnt~mination !r.d to ~vise 2..1d

imple=ne~t a c:!ea.'1 iJP str3.tegy for conwnin·a,tion of the'ground ware:, Che:nic~s of spec.:.c . ..... ~

conct::1 ide~tificc ~n me Fmong of All~ged. VioititioI; ~ 1, 1, I-Tjch1oroe~1r.::: 1.

.1-DicZlolore:::':mc; Trichiorcethvi:nc; 1.,J-Dichlorce:he:u:; l..'ld. Tc~c:llore:.~;:e. Tne ~ " . .

; ~:!J:;~::'. .'. conraminllliOl1 o!L';:grolll1d w=wlJid" is the $Ubj";rof dlis 0!tIe is ill the D.....on City f"';;;:y

,-~f;t,:. '. sho~n :::::..::P:':;:·.=::::=~~.~~cry .,"sci ",. .·i,~.\y:~t~.. ·· >Site t~ be investig:~ed by Harding L3.WS9~ Ass~l1tes; environmc:l:.l.! ::lgi."lee:s. wne:::1pon tho:

r:~::·.. .... ' . . ~F~1.V .' .' additic;l;l.1 C'he:nicus of 1. 2-Dichloroe:hAAc. Toluene', Ottbon Tea:chloride ~d Ace:one we:: F~~·'·;!<'·\ ~ :discov.eo:~ ;... .'. :.: ;.

l,~;l(~I'.··~'C=ci:=:::=::::=~:~::::::su::~:~n::e~:~g ~':):.:.~~j{. .. .and have :=lade 5uOSW1$l effortS and ~.~th the Depanmem in achieving a solution :0

"', . . .

'~~'<:~d begindng the ~:neCiation of comamirt~on. ~ the Sire; .~~~?~ : .. . :. . f.f:.~ . ~:EREAS? the dons to ~:nedi::ttejthe:pollution are continuing a.."la lmvt: m2.C:

f~" . .

:J.re~o~le progress to ;";ate in that the aIe3,;';C ccni:l:mination appe:is ro be r=s~c::ed. from fur...lo:e: >:<' .': ~. .:

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\70:SZ1 800Z-\71-.l.JO I!H'd

•• P.02

OCT-14-2008 13:02

conc::ntraticn or roxicirv. . . WHEREAS. M2.Uory and ~h= Dc~cn[;li3.ve a~ to e:1= into this Orde:- to =ffe~:;;ue :l . ,

mucc:illy sa:isfaamr and prompt ,!::nap. of-com:aminmus at the Site and down ~e.."lt the::o::=Om.

without adr:-..itting any 1iJ.bility or fac:ual allePrion:with respect to ar..y tr::ltte1'S arising OUt ofor

rc!:uing to the Site, or ~2llory ~c/cr Ebcrlin~s ~dces the.~on.

NOW. 1HEREPO~ in cons~on ·of. 'aJid in exchange fer the ml1n:al unc!~:""...e.16.,gs

and coven2.nts contained heIein. and intending to be legally bound he..~y, the Department. Ebe:-lir1

and ~Iallory hereby agree as follews:

1. This Order shall appiy 10 and be' bIDding upon the parties named herem. me::- succ::ssors and assigns in inr.e::sl:, direc:crs, officlirs;shareholde:s. ag~nts. and any landlord of

s~c~ entity or pe:-son and all pe..-sor.s. fim:.s. ~bsicn~cs. corporations. and gove..-nmc:.:n: e:'l.:i:i~s•I

I ac::',g for or on behalf of the pa..-:::s :ncluc..ad he.-:in. Any tranSfer ofprope:ty or c:orpo~t~

mt=::'ests shill not ope:':!C to te."tli.~ue Ma.llcry's..reSpo~~.ilii=s wee: ±:s Ord::. except!O to1: . .

I e~tcnt that the Dep2I'iment agrees :0 such te.-m~a.rio~·m writing.

2. Mallory bas unCc::-"k::l a hydrogeologiC:investigation pursuant to the F:nciing of

Alle£ed Vio130on and 0Itie:- issued Aoril6. 1988, to determine the extene of the 5!'OUnd wate:

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cant:Unin:ltlon. The Findi."g of AUeg:d Violation :md Ord::' OL."1d the resulting field irI\'estiga':on

i'e?Ol't are att:.ched hen::o as Appe:-.cllx "B" and'incorporated h:rein by :.~is re!er.::lce. Tr.e ne;d

I investigation has been comple=d. bur in :.~ eVc:1t fuither concunination is dc::c::d or conditions

chang: suc~ tha1: the DePL~e.'1t e=:::s.t.=nhcr fi-~ investigation may be need=!, me Depm:r:entI I

shall consult with Mallory and the:: :!.gents -far the PuIpases of arriving at a. soluCJQ :::.nd a fie!d

investigation shall comm~r.c:: in a :cu.ncr determ.ited bY!!1c Oepar:::l:nt to be rccimiclly ad:quare

I

to deline~ ~\'.e exter.: of any sue" f:.l:e:-c:on~~~ .

I 3. Sampling.and analysis shall continue qua:nerly or on such basis approved by 6e

Depa..""trncnr ~or existing and fur-=: ::JonitDring w.ellS. iMonitcring shr.ll ccnitinuc ~~ we:!s ur::il

I ·2.

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• • P.03 OCT-14-2008 13:02

othc:~ ualvric::U d3%3. shall be submitted to the Department no 1:.: than ~nty (20) day! afte: their. comciction 0: 3.S dcscf.bcd bv the Dep:li'm1cnt.in Appendj~s CorD described h=me=-. Tne. .

I

p:xrti~s herem re--..ognize th3t othe: monitoring Or sampling or~Otting may be ncc:ssary :'''1 the

future. Such othe: monitoring, sampling, and rcponini :-equi,,::nc:1ts sh:l11 be discussed wi th

M:l110ry prior'to their imple:n::n~don. ~lory shall :onduc:: the plan ofremediation ac:~ng to

the t::ms of the APPc:1dix COB", the Order issued en September 30. 1991 and the follow up lett::'

mted October 9. 1991 both of which ar= mac!1ed hereto as Appendices uC' llJ1d "D'" :-especnully,

and both of which arc incotpOrared herein by'this reference.

I 4. M3l1ory has COns:lucted and is opeming a system for remedi~on of the ground

wate::- conwnination. An engmC1::ing plan ilRCl..implemenrarion schedule far this sys-~:n has bee:'l.

I upon 6u gen!:"atec pu."'Suant to the monitoring pro~"%1 nnd ope~rlon of toile recovery system.

I

the:-e r..ay be a need for mcC.ific-..dons ro the sySu:.-n for the rc:::.~rion of the ground ware:­

1" canwnination. E.'(p~sion or terrninarion' of any portion of the :::nedialion sysre.-n will require

review and approval by the Depa.-:rne.'u prior to implementation and shall be inc:orpor.lred i,nID t:'::

files maint:rined, by the Dep3t't1'tle:-:t.

I 5. M:l11ory h3.S inst.1!!ed :t ground water t:e:tr.lent sj"Ste:n consistent ·.¥it.h :.."ie

I

engi.nee:i.ni design subrr.ined December 29, 1989 and on file with the Dep:lmi1c:Jl SL::h systC::l

I shall be capable of achieving U:C discharge limits set forth in pcuapph 6, below, pursuant to the

imple:ne:u.uion schedule Set for.h L, Appc:ufix B. The final d!sig.'1 of the :XfsJing Ire:.::ne:t:: S:Si:em

hOlS be~:J reviewed and approved by the Depmment prior to itS constrUction.

I

I 6. . The discharge limiti u> be :achieved. m:

Compound

I 1, I, 1-Trichloroe:.iane

I I, l·Dil:~loroeth:l.'!e

I, ,3

I

MiDdmum Disch:u-ge Limit (ppb)

200

7

P.04OCT-14-2008 13:02 -1.1-Dich.loro:r.h:tne S

Te=c.iloroe!hcne 5

Toluene 2000

careon Te~aride 5

Tf.ch1omeL'yiene 5

7. M3110ry sh:ill sample 3J1d analyze the end ofpipe effluent from the =e~e.,t .:iysrer.-t

fo. :he compounds set forJ1 in p~~ph 6 in iiccord3.nce with the ?roc~rlures 2.l-di prorocols set

for..~ ~y the Environii1~:,ual Pro~tion Agency'~d ~ Specified by me Depmme:1t.

8. Any discharges from the tn:3Ime:u syStem shall be prope:ly mmaged i., .:lCc:o~ce

with 3.ppilc~ble S~ or Feii:r21 reguillions. The tre.mnent system disch3!ge m3.yn:qui.-e an

Und::2:"ound Injedon Control (UIe) 'J1IdIor a. Sc.te ground ware!" appropriation pe:utit from tie- "

State E~;;_~~:'s Of.k:, :1.,:Ur ctcli'tVi'c::nit from Carson Citv. :L."l NPDES ~er::-.it for Cisc::-':':z: of- . . . .. ­

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app!1wed by the Department. Applic:!.ool1S far all required pc::nits and agy=:nents or conQ""....c-..s- wit.~ private cirize::s sh211 be the responsibility of,.:ll1r1 sh:ill be ffiee. with, t.~e :1p;:opri3.te

auto~cric::s by M2110ry in s1l;:ncie~r ri~e so 2S not ro dela.y the time for commence~:::l: of COlli:c:'..e -ac:ion. Both par-.ies recog.,-riz:: ~J,a[ d:7,,~·S may Occur during the ;x:~it proc::ss ..I.~t a..-o: beyor.d theII' cont:'ol of ~1allory. ~allory shill no! ~e responsible for such delays. ~'1C Dep:lI'm1C:lt will

I coope=-.!te '~ith Mallory in obcining any nec-..ssary per::1its f~r the tT-.:l.t::lent or dispcs:Uldisch:.rge

Of -., ~ !rOund .. '!~ .... ---- :;.. - .II II

9. The De?ar"W'61ent shill ::vicw :my docume:u which ~3l.lory is req~-ee [0 submit for

De?~-::nent a.pproval pursu:lJ1t to this~. The Deparimcnt sh~l or-..2: notify Miliory of the

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4•II "'~¥••_.__IfI_"'2~._~"""'''II.I.Ai'''iI!'.II1II40 ••= .. • ...._-.--.......­

OCT-14-2008 13:03 rP.05

10. In the evc::tt th: C=?artmmrclcte:ihines that ~:: coc:urnent r:quired to be subl'i:~~

· ­

.::'.: b;' ~rillc:y pursu:tnt to t.~ Ore:: =''''.:10t be 3ppre"'ed, t.~ De::~~e~t sMll sub~i! rc ~·(;U1cry to~e ::-=: ' .:.; De:mmem:'s writte."1 TC"liew anc: 'eval~on cf such doc:ume::t. setting fon.'l the rc:sons for ,'. . ::' De~3r.mentrS disapproval ~ my rc:ommeiJded c::anges~ ':M:.Ilory shall h:lve twe::t:,o (20) d:1ys to

. review the Dcp~e:lI' s evaIu::icn and resubmit the document for :lpprcval W:ing intO :lCCounr

.' De?~en:'s com:r.::1tS.

11. M~lory "~ p:y :l ?=:t:l.!ry of 565,000.00 :1::: c:n~g:s of S::C,OOC.CO !o ::'e

De:.l.--=ne:1L when this Orc.er h~ "bee."1 acproved by the F'tr.s.l~~~ Distric:: Court of the Sate of. . . Neva&. in accorda.'1ce with p2n~h 21, below. Thcpenalty:l11d dJmage checks shaIl be mOlde

payable to the State of Nevad:l :lr.d shcll be deposited into the fund fer the ~!anagement of

H~Z:lI'dous Wasrc.

11. In the e'.'e:lt ~I:illory f~ to submit =.y of ~ ::?or-.s in ~ r4~e!y or compie:

,', ,illvestig:mon and thc:r::d'::::. the De~llI."'1mC&1t sha11-";~· Mallorv wit., a notic~ in ....-::cin~. of the.. • ~"'U"'~.- _

, de::::nin:lrion of any such non-<:ompli:!nc:. IfM3llcry dcc:s raot te..ledy such non·cornpli:mce

within a mutually ag:n::d l:?On r:.-ne sc.iedulc. Mallory sh311 pay a penalty of Five HL:.nc...-.:d Dc1i~"'3

'1:.' (5500.00) for :~ch c!:ly of •.on~o..,pli:lL,ce. Any suc~ stipu!:::::! ~:l:urr shcl1 be :n~ payable ~o

the State of Nevad.:1 and shall b~ deposited intO the Fund for !.~e ~!arlage:ne:l[ of E~::dous

·,Wastes.

13. IfMallory becomes aw~ of any -event which c:wses or is likely to ~use de!:ys in

, cOffiplian(:: with the provisions of this Order. M:!1loty shall notify the Depmment in writing prior

· to, or '.virhin twenty (20) Qys of. the del:1y or ~d~ared.d:by. The notice sh:tll ~crlbe the

am:icipaced lengtil of the ci=!.ay, the ~.se ousc cr=uses of the da1..y, the measures taken and to

be ~en by Mallory to prevent or :nirimi: :.lte del~y, and the :ime~Ie by which these mcz~

will be bple::len~ed. M.allory s~~ employ all r=son3ble.me~~ to avoid or~.ni ..nize my such

~. :. del~y. F:ilure by Mallory to ccm:ply with t.'-.c nodee- ~qu..~:':':~:1tS of this l=:""':1gr:1ph 13 s~

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P.l36OCT-14-2008 13:03 -constiIUte a waive:' of~'1.:!llory·s ::ghr to-request ~ extenSion of time to saisfy 'lny of itSII

l

. obli~:lliccs under :..:'js Order b:.s~d lmon.·i:his:lntidcnt.- .. . . :.

I If the Dep:l."':\e.~:. de==':'.,cs ttw the delay or. nnticipaICd c!:~y in ccmplilmC:: with this , ­

0rC= has been or will b:: c:ulS::d ~y circUms~. b¢yond'rhe con:rol of Mallory, the timc for

I periormanc: hc.--eune:: may be ex=nded. by ~e Oc~t pursuant to.consultation with M:Il1ory

I and the::- 19:ntS.

I

The burrle."'l ofp:cving t.~:lt nny de1:ly ~ C1uS~ ,by c:ir:mns::mc:s beyond the :ont:rnl of

I Milllory shcll rest with )'Lillory. Incn:sed CO,SIS or ~::ses ~S~:1.t:~ with the i~plemen~tion of

actions c~led for by &js Ord::- s;::ill no~ ~ ,~y even~ be Ii basis for changes in this o.der or

exte."lsions of rime :,mcie; th: Fr::~ding paiag!:iph; D~:lY in achieve:nenr of one inreIi-n step shilll

not ne::ss:L.'ily justify or e~cuSe ~!.ay ~-ach~eri1ent,of subseque:l~ Steps. but due' c:onside:<ltionI' .: .. sh::Jl be given to ihe ::::.::: of 3. c.:!~y for one :l.c:on ~on the time for ;:omple:ion of subsequent

I actions.

. . . .I and a"ly orhe: data obt2im:d in Cc:1juoction;w.ir1i tJiis·imiestig2.tion. MaIloI)' sh:!ll allow dupiiQte

samples :0 .be ~::.ke:1 by r..~~ De?20.-:rne:lt o~ Uly Sampu:~,col1ec::db)' ~~!allor;.· or their ~ge:::SrI ..' pu..."'S\l~t to the pro\'isic~s of t.~is 0rC::'. The 'Qe~:lt sr.,:!l.1 be ~o\Ved £-e~ ~c:ess to the f:!.ci!hy

I at :1.11 d..nes for the ?~-poses of r:':iewing'tne: ~ogreSs,9f ~ory in cln"yir.g OUt me'te;ms of ±is

Orcie:. Al1 p:1tties who e::.ter ~~: site shalI'.be :~ponsibi:c for compE:L"lce with their ~spe::ti. ve

I I

he:lltl.i and safetY pl:l:.s. .;.:; i=:z..~es other ~.~oriemployees :md agents shall assume all risk

arising out of their ~resence ~t d:e site, unless sUeh'risk'i! c:::.used exclusively by the negligence of

I

Mallor:::'s employees ~r aiC:1tS.

I 1S• 7his Or:e:' in no way mcc:s or :C!.e-.-es:.Mallcry arJrlIar Eb~n of responsibility to

comply wit.' any o6e: s::u:. fed:=l or l~ 1:lw,o['~cns. .

16. Mallory 2."'1d1or ~:::lin may rcq~esue:minaCon ofits responsibilities pursu:mt to, ttis o.ce: :£1 or :J.t~:, c::= :lunc.."":~:nd. ::':~':y (1SO) d...rys f:om the ~":' ofcornple:ion of:ill ::u:rions

I,

I

P.07OCT-14-2008 13:03 ::::­, .

req,ui.~ for c~e:mup purst:ant to t.~ .Ordc:. ~oUowing' ~iis reques:. the De?~nt will hold

cc::St::l:toon ',vim MaJoty andlor ~~tiin ~":d their :gc:z ~d·th: Dep~:~sh!lI provi~ a

Written d=:::::linaticn no iate:' thm twenty (20) days foliowm,g Mallory's request to so ,te..Ulin:l~. ", ;

'.. ; 1j . The und=signc.d !e=,:esencuiveS of-the panie~~:d herein ce:tify mat mer a..--e . .

fully authoriz...-d to ence: infO the te:::1S and conditiOns ~.this ~: and to c=ec:.:te and to legally

bi.1d such p;;..-.:ic:s to this Ordc:. ::or The ptL,,?oses'of binding the pa:ties to courses 'of action

unce....:!.ken pu.~uanr: to provisions of the er.:~. the following pe=sons :lre id:::::...;ec!:

Lewis H. Dodgion. Adrcinut'it,ar Division of E!lvi-onmenw P.:'otc--..:ion 1.23 W. Nyc Lane', Room: 108' D..~or. City, ~evada 8971Q.,:·;'

For :.\ tillory: Gregg W. Koech!:~ ~¢.Side~ .. 620 ~;~WOOrt c'a:::::Drive: Suite 680 Newport·Be:!.Ch, CA 92660 ."

· '. , '.· ~ ."

. ':.

18. On or berOT: the ~ff:dve 6:: of this ~. thOiOcp=-:en: and ~r.illory shall e~:' · ,'.

. ,

~ a ~ D !t-.... s~,,!· """"'t 1..- ~: .. ~!. ~'-' 'tJ- :"':••ry' r .,a.,-.,~s - ...,. . - _II.. . L.1e _ _.,•••[ ~._ • •• J u;:; _'_J'_ u.,r .....vo ......... 0 ~u_~_ ::l J_""SC:1S or ..roI"P••• ... 4. .. w. ~ r- ,.

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• ~.~;a ... ~.1"\-~ ~ '!1 - ... -........~ ''''':''':'''-P.l''~" "co-!"'''C!''f-Q'.Z~.-~~- ~ C-~ln .v- _:I: _ t ••C. :l.:.V 00.- .,e-._ .:a~_ • .:._:!CV ~ ~ ~g~ ..;wmn .. ..:J... . - . . -_ ...:... • -- .. it lo_. V •.,-.,....:'" ~.:- th-,_.:_·';":'_· f·n~·ro· • -" ~·~on,:-. .. _ ..., r: S~'-IiII __ : -... w .. _.g:11: 0 <Jrt:S: "'w. .... _ ~\"w a .. T M m:1.n r.-'''''''''''~

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: ,'. ':~ . • - '1-V 0':'''- C' ~ ••• 2.~;-..tM.,;··.._· .•....,,.::1"'01" ::'--,y"':~';"~-d '·per. .~ .. -on ~ or.. - .._ ~ ---'. .... ... ""'... ~ - - =--..... --.: ._.r...J~.. ....--_._•• ~ - ......1w r' ...............'/~.': :

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P.08

• OCT-14-2008 13:04

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I .. .~.p;e:1c:.:C=S B and C ~..:t:::cd he:::o. ~e DePa:raltent r.l1'me: :OVC:laIltS not tC ref::- :tis rn.we: m . .

I I a::y Oth::o fede::U, St1te, county or loc::d g~ver.unenm ,zg~nc:, r-..sponsible for, the ~nforcement of

.~y envi.-onmenad stltUteS agai;2St ?vWIory, E~;thei: shar:holde.."S, dir'ecton, of5.c:~.

I 22. This Orrk: con:zi."!S theeiJii"l::~~~t of the panics, howe....er, ifany dispute

I'

arises be~wee:'1 the pa."1ies, the pa.-:es wi1!:2.~pt to: :'eSolve L~CSC dii'fe:-etlces in good. fcit..lJ, p::or

I to i ..:srir.:~ng any formal ~:g~ lc:on. This Orde:: sMll be sub6.li.~d for approval by a.'1d Sled \\"ith

the F4~t Judici:l1 District Conn or the State ofNe~:in and for Carson Clty.

22. Notwiths;a,ndir.! any provisior'.s·hererr.'~ ..this Or"...:: shall not in any way limit the

right of Mailory and/or E~"'lin to bring·any action, 1~g3l or e<;,uir.?blc. based upen SUte, fede':'Zl or

loc~ stol.r..:!:s or common law, api.":St any.:-otr~:party.PO~"ltial!y ~sponsible, in whol: or in ?:l.o-:'

~o" ..... v to"';'" ,:,"c....,.- ;cunc: 0:'1 "n"·" 0': ~;..:.-'a... D"-- ~~ ;..,,,.:c...;.. .,. ......=v • .....,...:..s ~- ~

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gove::,..~e:;tcl agencies.I, .',

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P.09OCT-14-2008 13:04

n-:=: STAIC OFNEVAnA ......

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.. :.

DE?ARTME!'I"T OF CONSE..':{VATION ~~

NA11.i1UL RESOURCES DMSION OF E.~"VIRONMENTAL PROTECTION

BY; ~nme: L.R. DODGI~

" Adminis~tOr \.

~l.u.~ORY. !.'ie., a Nevad:1 corpO;:ltlon.

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