WASHINGTON, Aug. 11, 2014-- Cargill agreed to settle allegations that it violated the Clean Water Act (CWA) at two different large oil storage facilities located in Blair, Neb., and Eddyville, Iowa.

The Clean Water Act requires facilities that store large quantities of oil to develop a Facility Response Plan (FRP) that outlines procedures for addressing “worst-case” discharges of oil. The settlement resolves FRP violations. 

Through the settlement with EPA Region 7, Cargill will pay a civil penalty of $187,500 to the United States.

“Cargill continues to be a responsible steward of the environment and we take all environmental issues seriously,” the company said in a statement. “After reviewing the notice from the EPA, we further improved our facilities’ spill response capabilities and quickly implemented the facility response plans EPA sought. We are pleased to have been able to resolve this issue in a timely manner.”

EPA identified the lack of a response plan during 2013 site visits the Cargill facilities. Each facility required an FRP because the storage capacity of its denatured ethanol tanks exceeded 1 million gallons.  In June 2014 Cargill submitted to signed and effective FRPs to EPA.

“The Clean Water Act requires large oil storage facilities to have adequate response plans to prevent a spill from turning into a large scale environmental disaster,” said Karl Brooks, EPA Region 7 administrator.  “The lack of a Facility Response Plan for these facilities can have serious consequences for humans and the environment in the case of a spill.  This settlement helps protect the communities of Blair, Neb., and Eddyville, Iowa, if spills were to occur.”

Each of Cargill’s two facilities produces and stores more than 1 million gallons of oil. Combined, the two facilities have a total estimated storage capacity of more than 7 million gallons.


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