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Sunday, August 16, 2009

Environment - City of Richmond may soon own contaminated Dana site

Recall these ILB entries from this spring about the Dana site in Angola and how the city was on the hook for millions? A quote from a Fort Wayne Journal Gazette editorial from March 21st:

When Dana left the site at 203 Weatherhead St. in Angola, the company also left behind trichloroethene pollution. The chlorinated solvent is now contaminating ground wells that provide Angola residents with drinking water. IDEM estimates the cost for cleaning up the pollution is at least $5.5 million.

Previously the city, county and Univertical Corp., a company that had nothing to do with causing the pollution but is now operating at the site, each agreed to contribute $1 million toward the cleanup. That leaves the city short $2.5 million.

At the meeting, state officials told Angola Mayor Dick Hickman not to expect the state to pay the difference, though it will chip in a small amount: Money from the 300,000 Dana shares the state expects to receive as part of the bankruptcy settlement will go toward the cleanup. And Angola can get a 20-year no-interest loan from the Indiana Economic Development Corp. * * * State environmental management officials suggested Angola look at raising water or sewer rates to repay the loan from the state.

Now read this story dated August 15th from the Richmond Palladium-Item. Some quotes:
The city of Richmond may own the former Dana Corporation property on Williamsburg Pike by this fall as state and local officials try to hammer out a plan to clean it up and return it to the tax rolls.

The Indiana Department of Environmental Management this year asked city officials to acquire the property from Wayne County so it could work with them to begin testing the site for contamination.

Once the contamination is identified, IDEM would pay for the cleanup, state officials said. Once it's clean, the city could sell it and split any profits with the county to cover unpaid taxes.

"The objective is to have the city act as a stable property owner so we can work to get it cleaned up," said IDEM spokeswoman Amy Hartsock. "After the cleanup is achieved, the goal would be for the property's redevelopment and reuse." * * *

Hartsock said IDEM has money set aside from the Dana bankruptcy for testing and cleanup. She said IDEM officials would focus mainly on cleaning up the land around the former Dana foundry.

"I believe what we're looking at is mostly soil contamination and some ground water contamination. But more study would be needed," she said.

She said the cost of the cleanup would not be known until the testing is complete.

The property is two parcels totaling 44 acres at 2153 and 2175 Williamsburg Pike. The county acquired it when Dana filed for bankruptcy protection and stopped paying property taxes. There are also a number of delinquent weed liens on the property.

Posted by Marcia Oddi on August 16, 2009 11:14 AM
Posted to Environment | Indiana Government