HomeMy WebLinkAboutDAQ-2024-0077761
DAQC-PBR083190001-24
Site ID 8319 (B1) MEMORANDUM
TO: FILE – QUINEX ENERGY CORPORATION – Mary RU 278
THROUGH: Rik Ombach, Minor Source Oil and Gas Compliance Section Manager
FROM: Kyle Greenberg, Environmental Scientist
DATE: April 30, 2024
SUBJECT: OIL AND GAS PERMIT-BY-RULE EVALUATION
_____________________________________________________________________________________
INSPECTION DATE: February 21, 2024
SOURCE LOCATION: Mary RU 278
Lat:40.394656 Long: -109.942783
Business Office:
465 South 200 West #300
Bountiful, UT 84010
SOURCE TYPE: Tank Battery
Uintah County
API: 4304731845
SOURCE CONTACTS: Brad Wells, Corporate Environmental Contact
Email: brad@quinexenergy.com
OPERATING STATUS: Operating
PROCESS DESCRIPTION: Oil and gas products are brought to the surface. These products
go through a separator where the oil and any water products are
sent to storage tanks and the gas is used to power equipment on
site (pump jack engine, tank heater, separator, flare, combustor,
etc.) Any remaining gas is sent to a pipeline that feeds a local
gas plant. The oil and process water in the storage tanks is
loaded into tanker trucks and hauled off site for processing and
disposal.
APPLICABLE REGULATIONS: Utah Administrative Code (UAC) R307-500 Series for the Oil
and Gas Industry, and UAC R307-201: Emission Standards:
General Emission Standards; and UAC R307-150: Emission
Inventories, and 40 CFR 60 Subpart OOOO.
SOURCE EVALUATION: Site Type: PBR- Controlled
Controlled by flare
Site powered by Engine
2
The source registered: 10351 Estimated Oil BBL. DOGM
current 12 month rolling production is: 9,735 bbls. Utah Statute
R307-506 requires a source with throughput
greater than 8,000 BBLs to have controls.
REGISTERED EQUIPMENT: 2 – 500 bbl crude oil tanks; 1 – 500 bbl produced water tank; 1 –
500 bbl emergency tank; 1 – Separator; 1 – 3 MMBtu/hr Boiler
(heat trace); 1 – Combustor; 1 – Electric engine pumpjack
General Provisions
VOC emissions are minimized as reasonably practicable by equipment design, maintenance and
operation practices. [R307-501-4(1)]
Out of Compliance. At the time of the inspection the DAQ documented the following violations:
- Fugitive VOC emissions from the water dump valve associated with the on-site separator.
- Fugitive VOC emissions from Oil Tank #3. Leak was observed to be coming from under the
insulation of the tank.
Air pollution control equipment is designed and installed appropriately, maintained and operated to
control emissions. [R307-501-4(2)]
In Compliance.
Vessel vent lines are sloped away from the flare inlet or to a separation vessel (scrubber). [R307-501-2]
In Compliance.
Flare inlet lines are equipped with a fire arrestor, pressure gauge, inlet pressure regulating valve and
other components according to the engineering design, the manufacturers specifications or good
practices for safety and emissions control. [R307-501-2]
In Compliance.
Pneumatic Controllers
Continuous bleed natural gas-driven pneumatic controllers are in compliance with 40 CFR 60.5390 or
60.5390a as applicable. Exemptions to tagging and record keeping requirements apply to controllers
existing before 12/1/2015. [R307-502-4]
In Compliance. Quinex confirmed that all pneumatic controllers on site are low bleed and have a
bleed rate less than or equal to 6 standard cubic feet per hour.
Flares
Any flare has an operational auto-igniter. [R307-503-4]
In Compliance.
3
Tank Truck Loading
Truck loading is done by bottom filling or submerged fill pipe [R307-504(1)]
In Compliance.
A vapor capture line is used during truck loading if subject to storage vessel emissions controls of
R307-506-4(2). Effective 7/1/2019 for sources existing before 1/1/2018, and upon construction for new
sources.[R307-504-4(2)]
In Compliance.
Oil and Gas Industry Registration Requirement
The source is registered with the DAQ. [R307-505-3(3)]
In Compliance.
Registration has been updated within 30 days of a company name change, removal or addition of control
devices, or termination of operations. [R307-505-3(3)]
In Compliance.
Storage Vessels
Thief hatches are kept closed and latched. [R307-506-4(1)]
In Compliance.
VOCs from storage vessels are recycled, recovered or controlled by a device that is compliant with
R307-508. Exempt if <8000 bbls crude oil per year, <2000 bbls condensate, or if uncontrolled emissions
are <4 tons VOC per year.[R307-506-4(2)(a)]
In Compliance. DOGM records show that the well produced 9,735 bbls of crude oil in the
reporting periods from March 2023 through February 2024. The storage vessels are controlled
with a combustor.
Emissions from emergency storage vessels are controlled according to R307-506-4(2), or are only used
in emergencies, are emptied within 15 days of receiving fluids and are equipped with a liquid level
gauge. [R307-506-4(4)]
In Compliance.
Upon modification, the well site was re-evaluated against the thresholds of R307-506-4(2).
[R307-506-4(6)]
Not applicable. Well has not been modified since the previous inspection conducted on October 27,
2022.
4
Records for each of the following are kept for three years:
Storage vessel vent system inspections (openings, thief hatches, pressure relief devices,
bypasses, etc.), if required
Monthly crude oil throughput
Emission calculations, actuals and sampling data when used to justify an exemption to storage
vessel rules
Emergency storage vessel usage (dates used, emptied, and volumes), if not controlled per
R307-506-4(2)
[R307-506-5]
In Compliance. Records were reviewed and made available when asked. See attached records
from March 2023 through April 2024. The emergency storage vessel is controlled by the
combustor on-site and Monthly crude oil throughput is not required for Emission calculations due
to the throughput being greater than 8,000 bbls.
VOC Control Devices
The VOC control device(s) required by R307-506 or R307-507 has a control efficiency of 95% or
greater, operates with no visible emissions and has an operational auto-igniter according to R307-503.
[R307-508-3(1)]
In Compliance. No visible emissions were observed from the combustor during the time of
inspection. Combustor was lit and operating during the time of inspection.
Monthly AVO inspections are conducted on VOC control devices and associated equipment, and
corrective actions are taken within 15 days. [R307-508-3(3)]
In Compliance. See attached records from March 2023 through February 2024.
The following records are kept:
VOC control device efficiency, for life of the equipment
Manufacturer operating and maintenance instructions for VOC control devices, for life of the
equipment
AVO inspections of the VOC control device(s), associated equipment and any repairs, for 3
years.
[R307-508-4]
In Compliance. AVO inspections are conducted on the VOC control device, see attached records.
Leak Detection and Repair
The source has an emissions monitoring plan. [R307-509-4(1)(a)]
In Compliance.
The monitoring plan addresses difficult-to-monitor and unsafe-to-monitor components.
[R307-509-4(1)(b)]
In Compliance.
5
If emissions control is required, monitoring surveys are conducted to observe each fugitive emissions
component for fugitive emissions. [R307-509-4(1)(c)]
In Compliance.
Initial monitoring surveys were within 60 days after startup for new sources. Subsequent surveys are
semi-annual for regular components, annual for difficult-to-monitor components, and as required by the
monitoring plan for unsafe-to-monitor components. [R307-509-4(1)(d)]
In Compliance.
Monitoring surveys are done with OGI equipment or by Method 21. [R307-509-4(1)(e)]
In Compliance.
Fugitive leaks are repaired within 15 days unless infeasible, unsafe, etc., as stated in the rule, which
require repair within 24 months per the rule. [R307-509-4(1)(f)]
In Compliance. Records show all leaks found have been repaired in 15-days.
Resurvey of the repaired components is completed within 30 days. [R307-509-4(1)(g)]
In Compliance. Records show all repaired leaks have been resurveyed within 30 days.
The following records are kept:
The emissions monitoring plan, for life of the site
LDAR inspections, repairs and resurveys, for 3 years [R307-509-5]
In Compliance. LDAR is conducted on a semi-annual basis. LDAR inspections were last
conducted on April 2023 and October 2023. See attached records.
Natural Gas Engines
Engines subject to R307-510 (does not have an AO, began operations, installed or modified after January
1, 2016) meet the following limits:
Maximum Engine hp Emission Standards in (g/hp-hr)
NOx CO VOC HC+NOx
>25 hp and < 100 hp - 4.85 - 2.83
>100 hp 1.0 2.0 0.7 -
[R307-510-4(1)]
Not Applicable. The hydraulic jet lift used for artificial lift at this site is powered by an electric
motor. There are no natural gas engines on-site.
Affected engines are certified or have an initial performance test per 40 CFR 60.4244. [R307-510-4(2)]
Not Applicable.
Affected engine exhaust vents are vertical and unrestricted.
Stacks are 8' or greater if the site horsepower rating is 151 to 305
Stacks are 10' or greater if the site horse power rating is 306 or greater. [R307-510-4(3)]
Not Applicable.
6
Engine certifications or initial performance tests required are kept for the life of the engine at the source.
[R307-510-5]
Not Applicable.
Associated Gas Flaring
Associated gas is routed to a process unit for combustion, a sales pipeline or an operating VOC control
device, except in an emergency.
An emergency release is unanticipated, temporary, infrequent, unavoidable, =24 hrs. and is not
due to operator negligence.
Low pressure gas from working loss, breathing loss and oil flashing is not "associated gas."
[R307-511-4(1)]
In Compliance. Associated gas is from the well is directed into a sales pipeline
The following records are kept:
The time and date of event
Volume of emissions
Any corrective action taken for 3 years.[R307-511-5(1)(a)(b)]
In Compliance. See attached records.
Visible Emissions
Visible emissions, except for unavoidable irregularities that do not exceed three minutes, are within the
following opacity limits:
Installations constructed on or before 4/25/1971 40%
Installations constructed after 4/25/1971 20%
Gasoline engines 0%
Diesel engines manufactured after 1/1/1973 20%
Diesel engines manufactured before 1/1/1973 40%
Note: Required VOC control devices shall have no visible emissions per R307-508-3.[R307-201-3]
In Compliance. No visible emissions were observed during the time of inspection.
Emission Inventory:
An emissions inventory has been submitted within the past three years. [R307-150-9(1)]
In Compliance.
NSPS (Part 60) OOOO: Standards of Performance for Crude Oil and Natural Gas Production,
Transmission and Distribution [40 CFR 60 Subpart OOOO]
In Compliance. The site has legally and practically enforceable limits required by the Utah DAQ.
7
PREVIOUS ENFORCEMENT
ACTIONS: Compliance Advisory: DAQC-1490-22
Warning Letter: DAQC-077-23
Compliance Advisory: DAQC-179-24
Early Settlement Agreement: DAQC-311-24
.
COMPLIANCE STATUS &
RECOMMENDATIONS: In regards to: Mary RU 278:
Out of Compliance: During the time of inspection, the site was
in violation of Utah Administrative Code R307-501-4(1)(a); The
source had VOC leaks from the water dump valve associated
with the separator and VOC emissions from Oil Tank #3, the
leak was observed to be coming from under the insulation of the
tank. The water dump valve leak was fixed on 02/22/24 and the
Oil Tank #3 was removed from service on 02/23/24. Oil tank #3
was replaced with a new tank the week of 04/22/24 and the new
tank should be put back into service by the first week of May
2024. A Compliance Advisory (DAQC-179-24) and Early
Settlement Agreement (DAQC-311-24) have been issued to
address the violation of Utah Administrative Code R307-501-
4(1)(a). It is recommended to inspect the site on a more frequent
inspection interval.
RECOMMENDATION FOR
NEXT INSPECTION: Check production throughput of crude oil; the current throughput
is close to 8,000 bbls per rolling 12-months.
ATTACHMENTS: AVO, thief hatch, and LDAR inspection records; Compliance
Advisory, Response to Compliance Advisory, Early Settlement
Agreement.
State of Utah
SPENCER J. COX
Govetzor
DEIDRE HENDERSON
Lieutenanl Governor
Department of
Environmental Quality
Kimberly D. Shelley
Executive Direclor
DIVISION OF AIR QUALITY
Bryce C. Bird
Director
February 28,2024
Sent Via Certified Mail No. 7019 0700 0002 0834 7532
Paul Wells
Brad Wells, Field Engineer
Quinex Energy Corporation
465 South 200 West
Bountiful, UT 84010
Dear Mr. Wells:
DAQC-179-24
Site ID 8319 (81)
Re: Compliance Advisory - Quinex Energy Corporation - Mary RU 278 - Utah Administrative Code
R307-501 - Uintah County
On February 21,2024, a representative of the Utah Division of Air Quality (DAQ) conducted an
inspection of Quinex Energy Corporation - Mary RU 278 Tank Battery. The DAQ observed volatile
organic compound (VOC) leaks from oil tank#3 and from the separator water dump valve, which may be
a violation of Utah Administrative Code R307-501.
Quinex Energy Corporation is required to comply with the above regulations. A written response to this
letter is required within ten (10) business days of receipt of this letter.
Additional details about the above observations and regulations are attached to this letter. Please contact
Kyle Greenberg at 385-306-6533 or kgreenberg@utah.gov if you have any questions about this letter.
Sincerely,
,(_-*L.L
Rik Ombach, Manager
Minor Source Oil and Gas Compliance Section
RO:KGjl
cc: TriCounty Health Department
195 North 1950 West. Salt Lake City, UT
Mailing Address: P.O. Box 144820 . Salt Lake City, UT 841 144820
Telephone (801) 5364000'Fax (801) 5364099 'T.D.D. (801) 903-3978
w.deq.utoh.gov
Printed on 100% recycled paper
DAQC-179-24
Page2
Potential Violation(s)
Utah Administrative Code R307-501-4
( I ) General requirements for prevention of emissions and use of good air pollution control practices.
(a) All crude oil, condensate, and intermediate hydrocarbon liquids collection, storage, processing and
handling operations, regardless of size, shall be designed, operated and maintained so as to
minimize emission of volatile organic compounds to the atmosphere to the extent reasonably
practicable.
(b) At all times, including periods of start-up, shutdown, and malfunction, the installation and air
pollution control equipment shall be maintained and operated in a manner consistent with good air
pollution control practices for minimizing emissions.
(c) Determination of whether or not acceptable operating and maintenance procedures are being used
will be based on information available to the director, which may include, but is not limited to,
monitoring results, infrared camera images, opacity observations, review of operating and
maintenance procedures, and inspection of the source.
The purpose of a Compliance Advisory (CA) is to document observations made by the DAQ. You are
responsible for complying with the Utah Air Conservation Rules. There are possible administrative and
civil penalties for failing to do so. Section 19-2-115 of the Utah Code Annotated provides that violators
of the Utah Air Conservation Act and/or any order issued there under may be subject to a civil penalty of
up to $10,000 per day for each violation.
The written response to this CA will be considered in resolving the deficiencies documented in this letter.
It may include information demonstrating compliance with the regulations or a schedule to bring your
company back into compliance with the applicable regulations. The DAQ will review your response and
this CA may be revised as a result of that review. Failure to respond in writing within ten (10) business
days of receipt of this CA will be considered in any subsequent enforcement action and the assessment of
penalties.
On February 21,2024, an inspection from the DAQ took place at Quinex Energy Corporation - Mary
RU 278 Tank Battery in Uintah County, UT.
At the time of the inspection, the DAQ documented the following potential violations:
- Fugitive VOC emissions from the water dump valve associated with the on-site separator.
- Fugitive VOC emissions from Oil Tank #3. Leakwas observed to be coming from under the
insulation of the tank.
AO Conditions/Rules
DAQC-I79-24
Page 3
Possible DAQ actions to resolve a CA include: No Further Action Letter, Warning Letter, Early
Administrative Settlement with reduced civil penalty, Settlement Agreement with civil penalty, or Notice
of Violation and Order to Comply.
This CA does not limit or preclude the DAQ from pursuing enforcement options conceming this
inspection. Also, this CA does not constitute a bar to enforcement action for conditions that the DAQ did
not observe or evaluate, or any other conditions found during future inspections.
A meeting may be requested to discuss this CA. Please contact Kyle Greenberg at 385-306-6533 or
kgreenberg@utah.gov if you would like to request a meeting or if you have any questions about this
letter.
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Paul Wells
BEd Wells, Field Engineer
Odinbx Energy CorPoration
465 S 200 w
Bountiful, UT 84010
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195 North 1950 West • Salt Lake City, UT
Mailing Address: P.O. Box 144820 • Salt Lake City, UT 84114-4820
Telephone (801) 536-4000 • Fax (801) 536-4099 • T.D.D. (801) 903-3978
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-311-24
Site ID: 8319 (B1)
Sent Via Certified Mail No. 70190700000208346801
Paul Wells
Brad Wells, Field Engineer
Quinex Energy Corporation
465 South 200 West
Bountiful, Utah 84010
Dear Paul and Brad Wells:
Re: Quinex Energy Corporation – Mary RU 278 – Utah Administrative Code R307-501 –
Uintah County
On February 28, 2024, the Utah Division of Air Quality (DAQ) issued a Compliance Advisory to
Quinex Energy Corporation (Quinex Energy Corp.) Mary RU 278 Tank Battery as a result of an
inspection performed on February 21, 2024. Quinex Energy Corp. responded to the Compliance
Advisory on March 13, 2024. Based on the findings of the inspection and response to the
Compliance Advisory, the DAQ determined that Quinex Energy Corp. was in violation of:
1. Utah Administrative Code R307-501-4(1)(a)
All crude oil, condensate, and intermediate hydrocarbon liquids collection, storage,
processing and handling operations, regardless of size, shall be designed, operated and
maintained so as to minimize emission of volatile organic compounds to the atmosphere to
the extent reasonably practicable.
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 of $2,000.
- / & ) Ú Û Û Ù Û Ý
DAQC-311-24
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 February 21, 2024, was
addressed by Quinex Energy Corp. by shutting in Oil Tank #3 and not allowing the tank to hold
any crude oil until the tank is replaced (tentative date of the third week of April 2024); and by
fixing the leaking separator water dump valve February 22, 2024, to resolve the violations and
return to compliance.
If you are interested in settling this violation, we are authorized to offer settlement in accordance
with the DAQ Penalty Policy as follows:
1. Quinex Energy Corp. agrees to pay a reduced civil penalty in the sum of $1,600. Payment
of a civil penalty precludes further civil enforcement for the above described violation
against the named source. Quinex Energy Corp. agrees to pay $1,600 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.
At the DAQ’s option, you may request a portion of the calculated civil penalty gravity component
to be used to complete a Supplemental Environmental Project (SEP) or credited toward the Utah
Environmental Mitigation Fund to benefit present and future air quality within Utah. For more
information, please contact the DAQ representative listed below.
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.
DAQC-311-24
Page 3
If the above terms are acceptable to you, please sign and return this Early Settlement Agreement
and a check in the sum of $1,600. 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.
You may write or call to request a settlement conference with the DAQ representative listed
below. A conference must be scheduled within twenty (20) business days of your receipt of this
Early Settlement Agreement. If we do not receive a signed copy of this Early Settlement
Agreement and payment or other correspondence from you within twenty (20) business days of
your receipt, we will assume that you are not interested in resolving this matter as outlined above.
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 Rik Ombach at
801-499-6095 or by email at rombach@utah.gov.
Sincerely,
Bryce C. Bird
Director
BCB:KG:rh
cc: TriCounty Health Department
DAQC-311-24
Page 4
Acceptance of Early Settlement Agreement
I have read the above Early Settlement Agreement and I agree to the terms and conditions thereof.
Company Name: Quinex Energy Corporation
Name:
Title:
_____________________________ _________________ ___________________________
Signature Date Telephone Number
DAQC-311-24
Page 5
Utah Division of Air Quality General Administrative Penalty Worksheet
Source:
Quinex Energy Corp.
- Mary RU 278 Tank
Battery
Class:
Site ID #: 8319 Violation Date(s): 02/21/2024
HPV: NA Days to
Resolution: 1
Citation Description of the
Violation Days Category Range Daily
Penalty
Accumulated
Penalty
Utah
Administrative
Code
R307-501-4(1)(a)
All crude oil,
condensate, and
intermediate
hydrocarbon liquids
collection, storage,
were not maintained
so as to minimize
emission of volatile
organic compounds to
the atmosphere to the
extent reasonably
practicable
1 B
$2,000
to
$7,000
$2,000 $2,000
0
0
Total $2,000
20% Early
Settlement
Option
$400
Total
Penalty $1,600
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.
DAQC-311-24
Page 6
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:
(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.
DAQC-311-24
Page 7
(4) Category D. Up to $299.00.
Violations of specific provisions of R307 which are considered minor to include:
(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.