DAQ-2024-004806

195 North 1950 West • Salt Lake City, UT
Mailing Address: P.O. Box 144820 • Salt Lake City, UT 84114-4820
Telephone [phone] • Fax [phone] • T.D.D. [phone]
www.deq.utah.gov
Printed on 100% recycled paper
State of Utah

Department of
Environmental Quality

Kimberly D. Shelley
Executive Director

DIVISION OF AIR QUALITY
Bryce C. Bird
Director

SPENCER J. COX
Governor

DEIDRE HENDERSON
Lieutenant Governor
DAQC-1289-23
Site ID: 11436 (B1)

Sent Via Certified Mail No. 70190700000208346412

Lee Ware
Kilgore Contracting, LLC
P.O. Box 869
Magna, UT 84044

Dear Mr. Ware:

Re: Early Settlement Agreement – Kilgore Contracting, LLC – Westroc Incorporated Highland
Aggregate and Concrete Plants, Utah County

On November 1, 2023, the Utah Division of Air Quality (DAQ) issued a Compliance Advisory to
Kilgore Contracting, LLC as a result of an inspection performed on May 10, 2023. Kilgore
Contracting, LLC responded to the Compliance Advisory on November 15, 2023. Based on the
findings of the inspection and response to the Compliance Advisory, the DAQ determined that
Kilgore Contracting, LLC was in violation of:

1. Condition II.B.3.b of Approval Order (AO) DAQE-AN114360002-16:

Diesel consumption for the diesel generator exceeded 2,400 gallons for the rolling
12-month period from July 2022 – June 2023.

2. Temporary Relocation Permit (TRP) DAQC-617-23:

The relocated generator engine did not comply with the diesel consumption limits
established in AO DAQE-AN114360002-16.

Section 19-2-115 of the Utah Code provides that violations of the Utah Air Conservation Act (the
Act) and/or any order issued thereunder may be subject to a civil penalty of up to $10,000 per day
for each violation. Based upon our civil penalty policy, we calculated a preliminary civil penalty
for the above listed violation(s) of $589.

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DAQC-1289-23
Page 2

The monetary amount of the DAQ settlement offer specified below is derived from a pre-
established schedule of penalties, which takes into account, among other factors, the magnitude
and severity of the violation, economic benefit, cooperation of the source, as well as the prior
history of violations. See the attached penalty worksheet for details.

All parties we deal with, whether private, commercial, or governmental are treated similarly in the
settlement process. Early Settlement Agreements are based on the evaluation of the same factors
and criteria in all cases. The DAQ acknowledges that the violation on May 10, 2023, was
addressed by Kilgore Contracting, LLC through starting the application process to modify the AO
with DAQ permitting.

If you are interested in settling this violation, we are authorized to offer settlement in accordance
with the DAQ Penalty Policy as follows:

1. Kilgore Contracting, LLC agrees to pay a reduced civil penalty in the sum of $471.
Payment of a civil penalty precludes further civil enforcement for the above described
violation against the named source. Kilgore Contracting, LLC agrees to pay $471 of the
stipulated penalty within twenty (20) business days from the date you receive this Early
Settlement Agreement.

2. The DAQ retains its authority to take any enforcement actions based on any and all
violations not specifically described above.

3. In the event any further violations of the Act, the Utah Air Quality Rules, the source’s AO,
or the Director’s Orders occur, the DAQ may consider the violation described above in
assessing a penalty for the subsequent violations, in accordance with the provisions of
Utah Administrative Code R307-130.

4. Entering into this Early Settlement Agreement shall not constitute an admission of
violation of the Act, the Utah Air Quality Rules, or the source’s AO nor shall it be inferred
to be such an admission in any administrative or judicial proceeding. The described
violation will constitute part of the company compliance history for any purpose for which
such history is relevant to the DAQ.

This Early Settlement Agreement constitutes an offer of settlement and is not a demand for
payment. The Early Settlement Agreement reflects a reduced penalty for early settlement of this
matter.

If the above terms are acceptable to you, please sign and return this Early Settlement Agreement
and a check in the sum of $471. Submit the signed Early Settlement Agreement and check made
payable to the DAQ at the letterhead address within twenty (20) business days of receipt of this
Early Settlement Agreement. Electronic payments are also available on our website at:
https://deq.utah.gov/general/payment-portal.

DAQC-1289-23
Page 3

If you need an Approval Order, this Early Settlement Agreement does not relieve you of that
responsibility and does not change that requirement in order to return to compliance with the
DAQ. You must submit a Notice of Intent for a required Approval Order as soon as possible.
Your source will be re-inspected in a reasonable time to confirm you have fully returned to
operating in compliance. Failure to obtain a required Approval Order will subject you to
additional penalties and a new compliance action by the DAQ.

This Early Settlement Agreement is intended to quickly resolve the non-compliance issues listed
above and requires the immediate attention of your company. Failure to resolve this matter as
outlined above may result in this offer being revoked and/or having this matter referred to a
formal enforcement process, including filing a judicial case to collect penalties (up to $10,000 per
day for each violation) and compel compliance in the state district court.

If you have any additional questions regarding this matter, please contact Chad Gilgen at
385-306-6500 or [e-mail].

Sincerely,

Bryce C. Bird
Director

BCB:CG:rh

cc: Utah County Health Department

DAQC-1289-23
Page 4

Acceptance of Early Settlement Agreement

I have read the above Early Settlement Agreement and I agree to the terms and conditions thereof.

Kilgore Contracting, LLC – Westroc Incorporated Highland Aggregate and Concrete Plants

Name:

Title:

_____________________________ _________________ ___________________________
Signature Date Telephone Number

DAQC-1289-23
Page 5

Utah Division of Air Quality General Administrative Penalty Worksheet

Source:
Kilgore Contracting,
LLC – Westroc
Incorporated
Highland Aggregate
and Concrete Plants
Class: C
Site ID #: 11436 Violation Date: May 10, 2023
HPV: No Days to
Resolution: 190

Citation Description of the
Violation Days Category Range Daily
Penalty
Accumulate
d Penalty
AO Condition
II.B.3.b, TRP
requirements
Diesel fuel
consumptions for
the diesel generator
were exceeded.
1 C
Up to
$2000
per
day
$589 $589
0
0
Total $589
20% Early
Settlement
Option
$118
Total
Penalty $471

R307-130-1.
Scope.

This policy provides guidance to the director in negotiating with air pollution sources penalties for
consent agreements to resolve non-compliance situations. It is designed to be used to determine a
reasonable and appropriate penalty for the violations based on the nature and extent of the violations,
consideration of the economic benefit to the sources of non-compliance, and adjustments for specific
circumstances.

R307-130-2.
Categories.

Violations are grouped in four general categories based on the potential for harm and the nature and
extent of the violations. Penalty ranges for each category are listed.

(1) Category A. $7,000-10,000 per day.

Violations with high potential for impact on public health and the environment including:

DAQC-1289-23
Page 6

(a) Violation of emission standards and
limitations of NESHAP.

(b) Emissions contributing to
nonattainment area or PSD increment
exceedances.

(c) Emissions resulting in documented public health effects
and/or environmental damage.

(2) Category B. $2,000-7,000 per day.

Violations of the Utah Air Conservation Act, applicable State and Federal
regulations, and orders to include:

(a) Significant levels of emissions resulting from violations of emission limitations or
other regulations which are not within Category A.

(b) Substantial non-compliance with
monitoring requirements.

(c) Significant violations of approval orders, compliance orders, and
consent agreements not within Category A.

(d) Significant and/or knowing violations of "notice of intent" and other notification
requirements, including those of NESHAP.

(e) Violations of reporting requirements of
NESHAP.

(3) Category C. Up to $2,000 per day.

Minor violations of the Utah Air Conservation Act, applicable State and Federal Regulations and orders
having no significant public health or environmental impact to include:

(a) Reporting
violations

(b) Minor violations of monitoring
requirements, orders and agreements

(c) Minor violations of emission
limitations or other regulatory
requirements.

(4) Category D. Up to $299.00.

Violations of specific provisions of R307
which are considered minor to include:

DAQC-1289-23
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(a) Violation of automobile emission
standards and requirements

(b) Violation of wood-burning regulations
by private individuals

(c) Open burning violations by private
individuals.

R307-130-3.
Adjustments.

The amount of the penalty within each category may be adjusted and/or suspended in
part based upon the following factors:

(1) Good faith efforts to comply or lack of good faith. Good faith takes into account the openness in
dealing with the violations, promptness in correction of problems, and the degree of cooperation with the
State to include accessibility to information and the amount of State effort necessary to bring the source
into compliance.

(2) Degree of willfulness and/or negligence. In assessing willfulness and/or negligence, factors to be
considered include how much control the violator had over and the foreseeability of the events
constituting the violation, whether the violator made or could have made reasonable efforts to prevent
the violation, and whether the violator knew of the legal requirements which were violated.

(3) History of compliance or non-compliance. History of non-compliance includes consideration of
previous violations and the resource costs to the State of past and current enforcement actions.

(4) Economic benefit of non-compliance. The amount of economic benefit to the source of non-
compliance would be added to any penalty amount determined under this policy.

(5) Inability to pay. An adjustment downward may be made or a delayed payment schedule may be used
based on a documented inability of the source to pay.

R307-130-4.
Options.

Consideration may be given to suspension of monetary penalties in trade-off for expenditures resulting
in additional controls and/or emissions reductions beyond those required to meet existing requirements.
Consideration may be given to an increased amount of suspended penalty as a deterrent to future
violations where appropriate.