US Nitrogen Settlement Includes Leases

By Walter F. Roche Jr.

The settlement of lawsuits between Eastern Tennessee landowners and US Nitrogen LLC includes leases apparently for the disputed land on which part of a 12-mile pipeline was laid.
Jerry Laughlin, who represented the Industrial Development Board of Greeneville and Greene County that the agency had to sign off on the leases as "a nominal party" to the agreement.
He said the parties had agreed that the exact terms of the settlement would be kept confidential.
The settlement of three pending lawsuits related to the US Nitrogen pipeline was apparently reached late last month.
Laughlin indicated that a formal vote of the IDB would not be necessary.
Landowners, including Don Bible and Jack Renner, had challenged the legality of the permit granted to US Nitrogen by the Tennessee Department of Transportation. They also charged that US Nitrogen trespassed on their property when the pipeline was installed.
Laughlin said in an email response to questions that the IDB was asked to sign the lease as a nominal party. He added that since the agreement contains no obligations for the IDB but they are necessary "in order for US Nitrogen to fulfill its obligations to the IDB to maintain the IDB pipelines."
Contact: wfrochejr999@gmail.com

EPA Cites US Nitrogen in Consent Agreement

By Walter F. Roche Jr.

US Nitrogen LLC has signed a $20,377 consent agreement with the U.S. Environmental Protection Agency for violations of federal laws designed to prevent the uncontrolled release of extremely hazardous substances.
The 11-page consent agreement also requires the Greene County chemical firm to spend at least $76,415 to provide radio and other emergency equipment to area fire departments and emergency response agencies including the Mosheim Fire Department and the Greeneville-Greene County Emergency and Rescue Squad.
The consent agreement dated Oct. 22 of this year was based on an inspection on Aug. 16, 2017. The agreement states that the purpose of the federal law being invoked is to prevent the accidental release of extremely hazardous substances."
According to the agreement the inspection showed the amount of ammonia produced at the Midway facility exceeds the applicable limit threshold of 10,000 pounds. The EPA found that the company had 2.4 million pounds of ammonia in on-site storage.
"The accidental release prevention program lacked documentation and did not contain steps to avoid a deviation," the agreement states.
"At the time of the inspection there was no documentation that the recommendations from the May or October process hazard analysis were addressed," the document states, noting there were 110 recommendations for the ammonia plant and seven recommendations for the ammonia storage and loading operation.
In addition US Nitrogen failed to compile written process safety information for the technology of the process which includes an evaluation of the consequences of a deviation."
The inspection found that a relief valve was positioned downward when it was "supposed to be upward and unobstructed to the atmosphere."
The company "failed to document that equipment complies with recognized and generally accepted good engineering practices as required by law."
The agreement sets deadlines for US Nitrogen to take remedial action and states that additional financial penalties will be imposed if the deadlines are not met.
The company has a 45 day deadline to comply with the provision requiring emergency equipment be supplied to area fire departments and rescue agencies.
Former US Nitrogen Plant Manager Andrew Velo signed the agreement for the company.
Contact: wfrochejr999@gmail.com

US Nitrogen River Use Drops Again

By Walter F. Roche Jr.

US Nitrogen, the Midway chemical firm, drew 11.6 million gallons of water from the Nolichucky River in October, according to a report filed today with the Tennessee Department of Environment and Conservation.
The report, required under one of the company's state permits, shows a minimal amount of water was pumped from the river on 11 days during the month.
The company pumped 5.7 million gallons back into the Nolichucky the report shows with the largest amount in any one day a little over 500,000 gallons. On 14 days no water was pumped back into the Nolichucky.
The monthly report is the second in a row to show a significant drop in the river water being utilized. In September 13.84 million gallons were pumped from the river and that was a more than 20 per cent decline from the August total. The amount of water pumped back into the river in September, however, was the same amount as reported for October.
The water is pumped through dual pipelines stretching some 12 miles from the Midway plant to the river.
Court records show three suits challenging the legality of the pipeline were settled for an unspecified sum.
Landowners had charged that the pipelines trespassed on their property, while the company contended the pipeline was contained in the rights-of-way of two state highways.
The Tennessee Department of Transportation, which was a defendant in the suits, granted US Nitrogen a permit to locate the pipeline within the rights-of-way.
Contact: wfrochejr999@gmail.com

USN Pipeline Suits Settled

By Walter F. Roche

Three longstanding lawsuits centered on a pipeline from Midway to the Noliuchucky River have been settled but details are being kept confidential despite the involvement of two public agencies.
Notice of one of the settlements was filed this week in Chancery Court in Nashville. That litigation challenged the legality of a permit issued by the Tennessee Department of Transportation to allow the construction of the pipeline along the rights-of-way of two state highways.
A docket entry in the case dated today states,"Agreed Final Order and Joint Stipulation of Dismissal."
Elizabeth Murphy, the Nashville attorney representing landowners who filed the suit said a settlement had been reached but all details were being kept confidential as part of the settlement agreement.
The agreement also ends litigation in Greene County which had charged US Nitrogen and other parties with trespass when they installed the pipeline. The suit also charges the pipeline trespasses on property owned by Don Bible and Jack Renner.'
In a statement issued in response to questions about the settlement, Bible said the agreement barred him from discussing details.
Bible said in a statement that the three lawsuits "have never been about the money, although a substantial amount was involved in the settlement and now paid by the defendants."
"The lawsuits have been about deception and trespassing on private property at gun point," he said adding that arrangement that led to the litigation occurred when some public officials were led to believe one thing when an entirely different plan was being secretly implemented."
The defendants in the litigation included the Industrial Development Board of Greeneville and Greene County, TDOT and US Nitrogen. IDB officials could not be reached today for comment.
The settlement comes as US Nitrogen has applied to the Tennessee Department of Environment and Conservation for the renewal of one of the permits that allows the company to pump up to a million gallons of water a day from the Nolichucky. The water is drawn through the disputed pipeline.
A return line along the same route returns unused water to the river. The water is used in the manufacture of ammonium nitrate. That chemical is then used by US Nitrogen's parent, Austin Powder, in the production of explosives. Recently US Nitrogen also disl=cclsoed plans to produce yet another chemical on the same site.
Renner and Bible have charged that US Nitrogen installed the pipeline on portions of their property and that any right-of-way was no longer in existence due to gradual widening of the roadways. The installation took place with the assistance of armed guards.
Bible has also charged that the pipeline deal was made possible by an agreement by US Nitrogen to purchase property from J.W. Douthat, the now deceased former member of the IDB. Though he abstained on one pipeline vote, Douthat later voted in favor of a measure allowing the deal to go forward.
US Nitrogen did purchase two properties from a Douthat company for a total of nearly $1 million. It later sold off one of those parcels at a substantial loss. It had paid Douthat Properties $851,251 for the 78.7 acre property and later sold it for $550,000

US Nitrogen Seeks Major Permit Renewal

By Walter F. Roche Jr.

US Nitrogen, the subsidiary of an international explosives manufacturer, has formally filed with Tennessee environmental officials, an application to renew its most controversial permit, the one that allows it to pull millions of gallons of water a week from the Nolichucky River.
The renewal application, including data on water that is pumped back into the Nolichucky, was submitted last week to the Tennessee Department of Environment and Conservation. The current permit expires on Oct. 31 of next year.
The original permit was heatedly opposed by some local residents but had the strong support and cooperation of local officials.
The renewal application was submitted by Dylan Charles, who only recently was appointed as Plant Manager at the Midway facility. The local company is a subsidiary of Austin Powder, the Ohio based explosives manufacturer with global production facilities.
According to the existing permit, TDEC determined that US Nitrogen's use of up to a million gallons a day from the Nolichucky "will not cause degradation above a de minimus level" to the river.
The company, according to the permit, uses water from the river in the production of ammonium nitrate which is a major component of the explosives Austin Powder produces. Some of the river water is processed in an on-site treatment plant and excess water is pumped back in to the river.
Granting of the permit came following a public hearing in which some local residents expressed heated opposition and warned of adverse environmental effects.
It was not clear from the filing whether a public hearing will be held on the renewal request.
One local opponent Brock Wampler, recently filed a complaint with TDEC charging that on Sept. 24 and Sept. 27 excess emissions came from the plant causing odors and smoke on his property.
TDEC, in a response issued Oct. 24, said the agency investigation found no evidence that the company violated its permits.
TDEC manager Ronald Wilhoit wrote that a review of US Nitrogen records and a viewing of surveillance tapes showed no evidence of permit violations.
Wilhoit said that while prevailing winds on Sept. 24 would have been blowing in the direction of Wampler's property, no violations could be detected.
As for Sept. 27 Wilhoit said that although ammonia plant flares were operating for 15.7 hours on that day, there were no visible emissions beyond "small amounts of steam."
TDEC officials have reached similar conclusions on numerous other complaints from area residents.
A suit is still pending in Davidson Chancery Court in which several local residents have challenged the legality of the permit state transportation officials granted facilitating the use of water from the Nolichucky.
According to the 16-page permit renewal application, water being returned to the Nolichucky contains copper, zinc and thalium is "believed to be present" as is chlorobromethane.
Contact: wfrochejr999@gmail.com