[Federal Register Volume 84, Number 113 (Wednesday, June 12, 2019)]
[Notices]
[Page 27361]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-12329]
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DEPARTMENT OF JUSTICE
Notice of Lodging of Proposed Settlement Agreement Under the
Comprehensive Environmental Response, Compensation, and Liability Act
On June 5, 2019, a proposed Settlement Agreement (``Agreement'')
was lodged with the Circuit Court of Cook County, Illinois in In the
Matter of the Rehabilitation of Centaur Insurance Company, No. 87 CH
8615, entered into by the United States, on behalf of the United States
Environmental Protection Agency (``EPA''), the Department of the
Interior (``DOI''), the National Oceanic and Atmospheric Administration
of the Department of Commerce (``NOAA''), and Robert H. Muriel, Acting
Director of the Illinois Department of Insurance, who acts as the
Rehabilitator of Centaur Insurance Company (``Rehabilitator'').
The Centaur Insurance Company (``Centaur'') is an insurance company
in rehabilitation under the jurisdiction of the Circuit Court of Cook
County, Illinois County Department, Chancery Division. In November,
2017, the United States filed a proof of claim (``POC'') under Section
205 of the Illinois Insurance Code, 215 ILSC 5/205, which provides that
claims may be filed against insurance companies in receivership by
persons with liability claims against insureds covered by the
companies' policies. The United States, on behalf of EPA, filed a
$500,000 claim under a 1980 Centaur policy issued to the Sharon Steel
Corporation (``Sharon Steel'') with a limit of $500,000. The POC
alleged that Sharon Steel is liable for response costs incurred or to
be incurred by EPA at the Sharon Steel Superfund Site in Farrell and
Hermitage, Pennsylvania, under Section 107 of the Comprehensive
Environmental Response, Compensation, and Liability Act (``CERCLA''),
42 U.S.C. 9607. The United States, on behalf of DOI and NOAA, filed a
$1.25 million claim under a 1982 Centaur policy issued to LCP Chemicals
& Plastics, Inc. (``LCP''), which has a remaining policy limit of $1.25
million. The POC alleged that LCP is liable under Section 107 of CERCLA
for assessment costs and natural resource damages related to hazardous
substances that migrated from the LCP Superfund Site in Linden, New
Jersey to Piles Creek. Finally, the United States, on behalf of EPA and
DOI, filed a $10 million claim under two Centaur policies issued in
1980 and 1981, respectively, to Avtex Fibers, Inc. (``Avtex Fibers''),
each with a limit of $5 million. The POC alleged that Avtex Fibers is
liable under Section 107 of CERCLA with respect to response costs
incurred or to be incurred by EPA as well as assessment costs and
natural resource damages at the Avtex Fibers Site in Front Royal,
Virginia.
Pursuant to the Agreement, the Rehabilitator will (a) resolve the
claim filed under the policy issued to Sharon Steel by making a
$500,000 payment to EPA, (b) resolve the claim filed under the policy
issued to LCP by making a payment of $967,000 to NOAA and $33,000 to
DOI, and, (c) resolve the claim filed under the policies issued to
Avtex Fibers by making a $4,330,000 payment to EPA and a $670,000
payment to DOI.
Under the Agreement the United States is providing a covenant not
to file a civil action against the Rehabilitator or Centaur with
respect to (a) all liabilities and obligations to DOI and NOAA under
the LCP Policy arising pursuant to CERCLA at any site, (b) all
liabilities and obligations to EPA and DOI under the Avtex Policies
arising under CERCLA at any site, and (c) all liabilities and
obligations to EPA under the Sharon Steel Policy arising under CERCLA
at any site, whether such liabilities and obligations are known or
unknown, reported or unreported, and whether currently existing or
arising in the future. The covenant applies not only to the
Rehabilitator and Centaur, but also to their respective subsidiaries,
affiliates, parent companies, successors and assigns and their
respective officers, directors and employees.
The publication of this notice opens a period for public comment on
the Agreement. Comments should be addressed to the Assistant Attorney
General, Environment and Natural Resources Division, and should refer
to In the Matter of the Rehabilitation of Centaur Insurance Company,
No. 87 CH 8615 (Ill. Circuit Ct. Cook County), D.J. Ref. No. 90-11-3-
10462. All comments must be submitted no later than thirty (30) days
after the publication date of this notice. Comments may be submitted
either by email or by mail:
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To submit comments: Send them to:
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By email............................ [email protected].
By mail............................. Assistant Attorney General, U.S.
DOJ--ENRD, P.O. Box 7611,
Washington, D.C. 20044-7611.
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During the public comment period, the Agreement may be examined and
downloaded at this Justice Department website: https://www.justice.gov/enrd/consent-decrees. We will provide a paper copy of the Agreement
upon written request and payment of reproduction costs. Please mail
your request and payment to: Consent Decree Library, U.S. DOJ--ENRD,
P.O. Box 7611, Washington, DC 20044-7611.
Please enclose a check or money order for $3.75 (25 cents per page
reproduction cost) payable to the United States Treasury.
Jeffrey Sands,
Assistant Section Chief, Environmental Enforcement Section, Environment
and Natural Resources Division.
[FR Doc. 2019-12329 Filed 6-11-19; 8:45 am]
BILLING CODE 4410-15-P