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WHEREAS, in lieu of the EPA's demand for a civil penalty of $135,000, the EPA is <br />willing to settle the foregoing violations for a civil penalty of $33,500, with the remaining <br />$101,500 to be used by the County and WMH to complete a Supplemental Environmental <br />Project ("SEP") to cost at least $184,400 intended to provide significant environmental or public <br />health protection and improvements at the Old Closed Kailua-Kona Landfill, as set forth in the <br />proposed CAFO set forth as Attachment "A"; and <br />WHEREAS, the SEP will consist of (1) investigation of landfill subsurface conditions to <br />find hotspots that probably mark subsurface fires by infrared imagery, mapping thermal and <br />topographic changes using shallow temperature probes, photoionization detectors and methane <br />meters; and (2) a Fire Suppression Demonstration Project using fire retardant Class -A fire <br />suppression foam to suppress an existing subsurface fire at the landfill. This will involve <br />excavation of burning material 10 feet deep in about a 65 -foot square demonstration area, <br />suppression of burning material with foam on an adjacent crushed rock suppression deck before <br />replacement, and trial of an innovative in-situ foam extinguishment, mixing foam into infiltration <br />trenches dug another 10-20 feet into the underlying burning material, to allow the foam to <br />penetrate and extinguish underlying burning waste; and (3) ongoing air and temperature <br />monitoring; and <br />WHEREAS, WMH is willing to pay the $101,500 SEP amount, and the Department of <br />Environmental Management has funding available for the additional minimum of $82,900 to <br />comprise the $184,400 which EPA requires to be spent on the SEP; and <br />WHEREAS, the County is ultimately responsible for environmentally responsible <br />management and closure of the Closed Kailua-Kona Landfill, in compliance with EPA <br />requirements, and this CAFO and SEP provides the County with a great EPA -approved <br />opportunity to try an innovative fire -suppression demonstration project at this site, with most of <br />the financing coming from WMH in lieu of a penalty paid to EPA; and <br />WHEREAS, the Department of Environmental Management views the SEP as a cost- <br />effective and beneficial alternative to litigating the violation issues, or installing a GCCS, and is <br />willing to take responsibility for implementing the SEP and fulfilling SEP completion and <br />certification terms of the CAFO, and paying any additional fines that may arise from failure to <br />comply with said terms, all as set forth in the proposed Settlement and SEP funding Agreement <br />("Funding Agreement") attached as Attachment `B"; and <br />WHEREAS, the CAFO is an agreement with the federal government which settles a <br />claim against the County in excess of $1,500 and requires Council approval pursuant to Hawaii <br />Revised Statutes Section 46-7, as an agreement for the County to take action, furnish, and <br />expend funds or other assistance in undertaking the SEP, and may possibly require payment of <br />funds of more than one fiscal year, if the County fails to timely complete and certify the SEP in <br />compliance with the CAFO; and <br />WHEREAS, the Funding Agreement requires Council approval for the receipt of funds <br />from WMH pursuant to Hawaii County Charter section 13-12, and may possibly require the <br />payment of funds from more than one fiscal year, if the County fails to timely complete and <br />certify the SEP in compliance with the CAFO; <br />2 <br />