BEFORE
THE OIL AND GAS CONSERVATION COMMISSION
OF
THE STATE OF
IN THE
MATTER OF ALLEGED VIOLATIONS OF THE ) CAUSE NO. 1V
RULES
AND REGULATIONS OF THE
AND GAS
CONSERVATION COMMISSION BY )
CHEVRONTEXACO U S A INC,
ADMINISTRATIVE
ORDER BY CONSENT
FINDINGS
1.
On
2. ChevronTexaco recovered approximately nineteen (19) barrels of spilled oil and twenty (20) barrels of produced water that was not contained by the berm. The remaining fluid, approximately 260 barrels, contained in the berm was recovered.
3. ChevronTexaco reported the spill in accordance with Rule 906.b. of the Colorado Oil and Gas Conservation Commission Rule and Regulations.
4. On July 10, 2002, COGCC environmental staff issued a Notice of Alleged Violation (“NOAV”) to ChevronTexaco for failure to provide adequate containment around a crude oil tank and to ensure that exploration and production waste is properly stored, handled, transported, treated, recycled, or disposed to prevent threatened or actual significant adverse environmental impacts to air, water, soil or biological resources.
5.
The NOAV cited violations of Rule
324A.a. for failure to take adequate precautions to prevent the unauthorized
discharge of exploration and production wastes, Rule 324A.b. for violating
water quality standards established by the Water Quality Control Commission for
waters of the state, Rule 604.a.(4) for failure to provide a berm with
sufficient volume to contain the entire contents of the largest tank in the
enclosure, and Rule 907.a.(1) for failure to ensure that exploration and
production wastes are properly stored, handled, and disposed to prevent
environmental impacts to air, water, soil or biological resources. The NOAV
specified an abatement date of
7. ChevronTexaco
should be found in violation of Rules 324A.a., 324A.b., 604.a.(4) and
907.a.(1).
8.
Rule 523. specifies a base fine of One
Thousand dollars ($1,000.00) per violation for Rules 324A.a., 324A.b.,
604.a.(4) and 907.a.(1).
9.
An aggravating factor in determining the fine recommendation is the violation
had a threat of significant negative impact on the environment. Mitigating
factors in determining the fine recommendation are the (1) the violation was
self-reported, (2) the violator
demonstrated prompt, effective and prudent response to the violation and (3) the violator cooperated with the
Commission or other agencies with respect to the violation.
10. A monetary penalty
of Eight Thousand dollars ($8,000.00) should be assessed against ChevronTexaco, in accordance with Rule 523.a. and Rule 523.d.,
for violation of Rules 324A.a., 324A.b., 604.a.(4) and 907.a.(1).
ORDER
NOW, THEREFORE IT IS
ORDERED, that ChevronTexaco
U S A Inc. shall be found in violation of
Rules 324A.a., 324A.b., 604.a.(4) and 907.a.(1)., for failure to take adequate precautions to prevent the
unauthorized discharge of exploration and production wastes, for violating water quality standards
established by the Water Quality Control Commission for waters of the state,
for failure to provide a berm with sufficient volume to contain the entire
contents of the largest tank in the enclosure, and failure to ensure that
exploration and production wastes are properly stored, handled, and disposed to
prevent environmental impacts to air, water, soil or biological resources at
the Wilson Creek Battery #2 free water
knock out tank located in the SE¼ SE¼ of Section 27, Township 3 North,
Range 94 West, 6th P.M.
IT IS FURTHER ORDERED, that ChevronTexaco U S A Inc. shall be assessed a total fine of Eight Thousand dollars ($8,000.00) for violation of Rules 324A.a., 324A.b., 604.a.(4) and 907.a.(1)., payable within thirty (30) days of the date the order is approved by the Commission.
IT IS FURTHER ORDERED,
that the provisions contained in the above order shall become effective
forthwith.
IT IS FURTHER ORDERED,
that the Commission expressly reserves its right after notice and hearing, to
alter, amend, or repeal any and/or all of the above orders.
RECOMMENDED this 10th day of July, 2002.
OIL AND GAS CONSERVATION COMMISSION
OF THE STATE OF
Signed By:
Morris Bell, Hearing Officer
Dated
at
AGREED TO AND ACCEPTED
THIS 16th DAY OF July, 2002.
ChevronTexaco U S A Inc.
Signed By: R.K. Wackowiski
(1V#226)