EPA is providing notice of a proposed administrative penalty settlement with Lanai Oil Company Inc (Respondent) for violations of Clean Water Act (CWA) regulations at its bulk oil storage facility located at Kaumalapau Harbor, Isle of Lanai, Hawaii. EPA alleges the Respondent violated requirements under 40 Code of Federal Regulations (C.F.R.) Part 112, by failing to conduct a review and evaluation of its Spill Prevention Control and Countermeasures (SPCC) plan at least once every five years, conduct integrity testing of its above-ground oil storage tanks, and properly permanently close out-of-service above-ground oil storage tanks.
Pursuant to Section 311(b)(6) of the CWA, 33 U.S.C. § 1321(b)(6), and in accordance with 40 C.F.R. Part 22 (rules of practice for assessing administrative civil penalties), EPA proposes entering into a Consent Agreement and Final Order (CA/FO) with Respondent to simultaneously commence and conclude this CWA Class II civil administrative penalty proceeding. Under the proposed CA/FO, Respondent will pay the United States a civil penalty of $71,166 to resolve this matter.
In the Matter of Lanai Oil Company Inc
Complainant: Amy Miller-Bowen, Director, Enforcement and Compliance Assurance Division, U.S. EPA, Region 9, 75 Hawthorne Street, San Francisco, California 94105.
Respondent: Lanai Oil Company Inc, Kaumalapau Harbor, Isle of Lanai, Hawaii
Description of Business or Activity Conducted by the Respondent: Respondent operates a bulk oil storage and distribution terminal facility located at Kaumalapau Highway (the Facility). The Facility is subject to certain requirements, including the SPCC regulations at 40 C.F.R. Part 112.
Summary of Alleged Violations: The Respondent failed to conduct a review and evaluation of its SPCC plan at least once every five years, conduct integrity testing of the above-ground oil storage tanks, and properly permanently close out-of-service above-ground oil storage tanks.
Proposed Penalty: $71,166
Applicant or Respondent: Lanai Oil Company Inc, Kaumalapau Harbor, Isle of Lanai, Hawaii 96763