3 agencies receive Pelican payments
LAFAYETTE — The U.S. Attorney’s Office on Monday distributed $2 million in community service payments stemming from Pelican Refining Co.’s sentence in December for criminal violations of the U.S. Clean Air Act at its Lake Charles Refinery.
The $2 million payment from the Houston company is part of a $12 million fine that
represents the largest ever in Louisiana for a criminal violation of the Clean Air Act, U.S. Attorney Stephanie Finley said during a news conference Monday.
“The Pelican Refining case is a reminder that there is great harm that comes to the community when environmental laws are not followed,” Finley said.
An investigation by the U.S. Environmental Protection Agency, state Department of Environmental Quality and State Police Emergency Services Unit revealed, among other things, that the company’s crude oil and asphalt refining facility in Lake Charles had insufficient safety equipment, and that its employees were not trained or were minimally trained with the use of that equipment, Finley said.
The company also failed to either properly maintain, install or service key pollution-prevention equipment at the facility, Finley said.
“Pelican operated without a company budget, without an environmental budget, without an environmental department, without an environmental manager, without a regulatory specialist or with anyone tasked with complying with environmental regulation,” Finley said.
Of the $2 million, National Fish & Wildlife Foundation received $1 million and State Police Emergency Services Unit and the DEQ each received $500,000.
Ivan J. Vikin, special agent in charge of the EPA Criminal Investigation Division, said the company’s $2 million payment will go toward projects aimed at improving air quality in southwest Louisiana, and will help State Police and DEQ in their “efforts to do their jobs.”
With as much as 40 percent of all the hazardous materials in the country either passing through, originating from or being destined to the “chemical corridor,” which runs from Lafayette to New Orleans, State Police Col. Michael D. Edmonson said it’s important for companies to operate within the law and within the guidelines.
“Quite simply put, this was a company at its worst, and federal, state and local partners at their best,” Edmonson said.
The funds will go into the coffers of agencies working to protect the environment, Edmonson said.
DEQ Secretary Peggy Hatch said her agency will direct the funds toward emergency response and air quality issues in southwest Louisiana.
David O’Neill, director of National Fish and Wildlife Foundation’s Eastern Partnership Office, said his office will work closely with DEQ to ensure the funds from the $1 million payment are invested in projects that will make the biggest difference in Louisiana.
The foundation is one of four congressionally chartered foundations and awards more than $120 million in grants for on-the-ground restoration, science and other conservation programs, O’Neill said.
Pelican Refining also is required to serve five years of probation and is prohibited from future operations unless the company implements an environmental compliance plan and pays the remaining $10 million in fines, which
will be directed to the U.S. Treasury Department, Finley said.
Two Pelican Refining employees, Bryon Hamilton, the Pelican vice president who oversaw operations at the facility, and Mike LeBleu, the former asphalt facilities manager, are awaiting sentencing in connection with their guilty pleas last year on negligent endangerment charges.