Two major agricultural companies ramped up operations recently on Maryland’s Eastern Shore, and the environment paid a price, according to the Maryland Department of the Environment.
One case involves the agency’s second-largest cash penalty in its history while the other has reopened a long-running pollution saga that local environmentalists hoped had been resolved.
Perdue’s plant, situated a couple blocks away from its parent company’s headquarters, extracts the oil from soybeans to be used in cooking, among other uses.
Perdue applied for a permit in 2017 but withdrew the application the following year after MDE indicated it would require additional review. The company went ahead anyway with the installation of the new machinery in September 2017, followed by a second round in May 2019, according to the settlement agreement.
After the plant’s expansion, the hexane emissions, state officials say, exceeded the 40-ton annual threshold to be considered a new “major source” of pollution, MDE alleged. Hexane is a volatile organic compound, a major ingredient in ground-level ozone that can worsen an array of breathing problems from asthma to emphysema, experts say.
MDE records show annual VOC emissions increased at the facility by 28% from 2017 to 2019, from 246 tons to 315 tons.
“Everyone must follow the rules which are in place to keep Marylanders safe. When Perdue failed to comply, it was the community who suffered the undue burden, so there must be meaningful penalties,” said Attorney General Anthony Brown. “I am glad that Perdue has accepted responsibility and will be investing in the surrounding neighborhoods moving forward.”
The settlement calls for Perdue to pay an $8 million fine to the state. The only larger civil penalty in MDE’s history was the $29 million settlement in 2018 with Volkswagen over the auto manufacturer’s installation of “defeat devices” on certain vehicles, aimed at circumventing emissions tests.
Perdue also must install $3.5 million in pollution-reduction measures at the plant, including electrifying diesel-fired equipment, and contribute $400,000 to Salisbury for a tree planting campaign in areas with poor canopy coverage.
In separate press statements, the two sides left a muddled picture about when and how the problem came to light. MDE’s legal complaint says that agency staff and Perdue representatives “met at various times” to discuss the cause of the emission increases. It wasn’t until correspondence on April 11, 2022, however, that Perdue “finally admitted” it had installed the equipment without a permit, MDE alleged in a legal complaint.
Meanwhile, Perdue spokeswoman Kate Shaw said in a statement that “The discrepancy was discovered in May of 2020, as part of our air permit renewal process.” Her statement doesn’t indicate who discovered the discrepancy or whether state inspectors were aware of it at the time. She added, “We take full accountability for what occurred. The individuals who did not reapply for the permit are no longer with the company.”
When asked for clarification via email, Bill See, another Perdue spokesman, replied, “Our original statement stands on its own.”
In a separate case, MDE charges that Darling Ingredients, owner of the Valley Proteins poultry rendering plant in Dorchester County, has violated its October 2022 consent decree. Under that settlement, Darling Ingredients agreed to pay $540,000 to the state while fixing wastewater and stormwater problems at the troubled plant.
“I would say this facility is in no better shape than it was in 2021 when we filed the lawsuit,” said Matt Pluta, the Choptank Riverkeeper and director of riverkeeper programs at ShoreRivers, one of the environmental groups whose lawsuit triggered the decree. “In fact, it’s probably gotten worse.”
A few months after the settlement was signed, MDE renewed the plant’s discharge permit, allowing a nearly four-fold increase in the amount of wastewater it can release into the Transquaking River, a nutrient-impaired Chesapeake Bay tributary. Environmentalists had pushed MDE to impose tougher limits and not let the company expand until showing it could meet them, but the agency didn’t do so.
Problems have piled up since that approval. MDE inspectors say they uncovered 51 violations of the decree’s requirement to maintain at least 2 feet of freeboard – the distance from the surface of the wastewater to the top of the holding pits. In May, MDE announced plans to fine Darling $15,000.
The Texas-based company formally contested the fine, arguing that all the exceedances fell under an exception in the decree for lagoon levels to rise because of heavy rainfall.
MDE also contends that the plant has been hauling away production waste from the lagoons without going through the complete treatment process. Farmers use the material, known as “dissolved air flotation,” to fertilize their fields. But in adjoining Caroline County, the practice has sparked an outcry from neighbors about foul odors and prompted county commissioners to enact a moratorium on its storage.
Darling representatives have told the state they believe their current permit allows the hauling to continue. Ongoing upgrades to the wastewater treatment plant, required as part of the 2022 decree, will substantially reduce, if not eliminate, such hauling, they say.
“We have responded to the MDE and share its commitment to resolving this issue through the established MDE process,” Darling spokeswoman Jillian Fleming said in a statement.
The agency notified Darling in June that it was referring the hauling matter along with other recent violations to the state Attorney General’s Office.
By Jeremy Cox
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