Kugler Oil Company, based in Culbertson, Nebraska, has agreed to a settlement involving a $119,000 civil penalty. This resolves alleged violations of the Clean Air Act's chemical accident prevention provisions at its liquid fertilizer manufacturing facility.
The U.S. Environmental Protection Agency (EPA) reported that the facility handles anhydrous ammonia, a regulated toxic substance. The company allegedly failed to adhere to regulations designed to safeguard workers and the local community from accidental releases.
Anhydrous ammonia is noted for being corrosive to skin, eyes, and lungs. Exposure at high levels can result in choking or death. There is also a risk of fires or explosions if it ignites.
"Compliance with Clean Air Act chemical accident prevention provisions saves lives," stated David Cozad, Director of EPA Region 7 Enforcement and Compliance Assurance Division. "These enforcement actions protect communities and level the playing field with businesses who are following the rules."
In August 2023, an EPA inspection revealed that Kugler Oil Company did not comply with certain regulations such as developing a Risk Management Plan, coordinating properly with first responders, and establishing written operating procedures for temporary or emergency operations. The company reportedly took steps to address these issues after the inspection.
The Clean Air Act mandates facilities using regulated toxic or flammable substances to create a Risk Management Plan outlining potential effects of chemical accidents and emergency response procedures. These plans are crucial for local emergency personnel in preparing for chemical emergencies.
EPA highlights that many facilities do not manage risks adequately or ensure safety measures sufficiently protect surrounding communities. Each year approximately 150 catastrophic accidents occur at regulated facilities causing fatalities, injuries, property damage, evacuations, sheltering in place, or environmental harm.
Reducing risks from accidental hazardous substance releases remains a priority for the EPA as part of its National Enforcement and Compliance Initiatives identified in 2023.