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142-144 CANAL STREET NOTICE OF AUDIT FINDINGS 3-8-19 Commonwealth of Massachusetts Executive Office of Energy & Environmental Affairs LlDepartment of Environmental Protection Northeast Regional Office • 205B Lowell Street, Wilmington MA 01887 . 978-694-3200 Charles D. Baker Matthew A. Beaton Governor Secretary Karyn E. Polito Martin Suuberg Lieutenant Governor MAR 0 8 2019 Commissioner CERTIFIED MAIL 70141820 00013560 8992 Canal Realty Development, LLC RE: SALEM 50 Dodge Street 142 and 144 Canal Street Beverly, MA 01915 DPS Opinion RTN 3-34725 Attn: Landers Symes ENF #: 00006862 Managing Member NOTICE OF AUDIT FINDINGS FILE REVIEW AUDIT NOTICE OF NONCOMPLIANCE Dear Mr. Symes: The Massachusetts Department of Environmental Protection (MassDEP or the Department) has completed a file review audit of response actions conducted to address the release of oil and/or hazardous materials at the locations identified above to ensure that they meet the requirements of Massachusetts General Law Chapter 21E and the Massachusetts Contingency Plan (the MCP; 310 CMR 40.0000), In particular, the audit focused on a Downgradient Property Status (DPS) Opinion filed for the above-referenced properties on July 17, 2018. This Notice informs you of the results of MassDEP 's audit. DETERMINATION MassDEP has determined that response actions were not performed in compliance with the requirements of the Massachusetts Contingency Plan (MCP). The enclosed Notice of Noncompliance lists the violations and those actions that are required to achieve compliance. Specifically, the Notice of Noncompliance contains : (1) the requirements violated; (2) the date and place that MassDEP asserts the requirements were violated; (3) either the specific actions which must be taken in order to return to compliance or direction to submit a written proposal describing how and when you plan to return to compliance; and (4) the deadline for taking such actions or submitting such a proposal. This information is available in alternate format. Contact Michelle Waters-Ekanem, Director of Diversity/Civil Rights at 617-292-6761 . TTY# MassRelay Service 1 -800-439-2370 MassDEP Websile: w .mass.gov/dep Printed on Recycled Paper SALEM, RTN: 3-34725 Page 2 LICENSED SITE PROFESSIONAL (LSP) A copy of this Notice has been sent to Frank S. Vetere, (LSP #2413), the LSP-of-Record for the subject properties. Please note, however, that you, not your LSP, are responsible for responding to this Notice of Noncompliance and correcting the violations identified therein. ADDITIONAL COMMENTS Release Tracking Number (RTN) 3 -34725 is associated with a reportable release of trichloroethylene (TCE) to groundwater on the southern portion of 142 Canal Street and 144 Canal Street. This condition was first discovered during a limited investigation performed in connection with the planned purchase of the 142 and 144 Canal Street properties. Since the purchase of the properties, additional limited investigations have been conducted, primarily in the southern portion of 142 Canal Street, the main area for redevelopment. Given that both properties have a long history of industrial use including shoe manufacturing, elevator manufacturing, furniture sales and finishing, and auto sales, service, body work, and towing, there is the potential that additional releases of oilihazardous materials have occurred that have not yet been identified. LIMITATIONS MassDEP 's findings were based upon the accuracy and certainty of the information reviewed during the audit. These findings do not: (1 ) preclude future audits of past; current, or future actions at the site; (2) apply to actions or other aspects of the site that were not reviewed in the audit; (3) in any way constitute a release from any liability, obligation, action or penalty under M.G.L. c. 21E, 310 CMR 40.0000, or any other law, regulation, or requirement; or (4) limit MassDEP's authority to take or arrange, or to require any Responsible Party or Potentially Responsible Party to perform, any response action authorized by M.G.L. c. 21E, which MassDEP deems necessary to protect health, safety, public welfare, or the environment. If you have any questions regarding this letter, please contact Debra Hawks at (978) 694-3380. Please reference Release Tracking Number 3-34725 and Enforcement Tracking Number ENF #: 00006862 in any future correspondence to MassDEP regarding the site. Sincerely, Stephen M. Johns n Deputy Regional ctor Bureau of Waste Site Cleanup Enc. Notice of Noncompliance cc : City of Salem, Mayor's Office (mavorgsalem.com) City of Salem, Board of Health (healthnsalem.com) City of Salem, Planning and Community Development (tdaniel i salem.com) _ City of Salem, Inspectional Services (tstoierrensalem.com) Frank S. Vetere, LSP-of-Record (frank.vetere@gza.com Data Entry: DPS/ACTAUD; AUDCOM/NAFNON 11P5 /TSAV 0 (4/aAlm) SALEM, RTN: 3-34725 Page 3 Attachment A NOTICE OF NONCOMPLIANCE NAME OF ENTITY IN NONCOMPLIANCE : Canal Realty Development, LLC LOCATION WHERE NONCOMPLIANCE OCCURRED OR WAS OBSERVED: 142 and 144 Canal Streets, Salem, Massachusetts DATE WHEN NONCOMPLIANCE OCCURRED OR WAS OBSERVED: July 17, 2018, the receipt date of the Downgradient Property Status (DPS) Opinion DESRIPTION OF REQUIREMENTS NOT COMPLIED WITH: I. Violation : 310 CMR 40.0183(4). Filing a DPS without investigative and/or assessment actions of sufficient scope and level of effort to conclude that the criteria in 310 CMR 40.0183(2)(b) have been met. Pursuant to 310 CMR 40.0183 (4), "A DPS Opinion shall be based on investigative and assessment actions of sufficient scope and level of effort to conclude that the criteria in 310 CMR 40.0183 (2)(b) have been met", specifically, that "the source of the release of oil and/or hazardous material at the downgradient or downstream property is or was located on one or more upgradient or upstream locations and oil and/or hazardous material from that location has come to be located at the downgradient or downstream property as a result of migration of the oil and/or hazardous material in or on groundwater or surface water. . . " At this time, insufficient information has been provided to support the conclusion that the source of the chlorinated volatile .organic compounds (CVOCs), particularly trichloroethylene (TCE), observed in groundwater at 142 and 144 Canal Street is or was located at an upgradient property and CVOCs from that source migrated in or on groundwater onto 142 and 144 Canal Street. • Potential on-site sources of CVOCs have not been ruled out. Former uses of the properties have included automobile sales, service, and body work, shoe manufacturing, furniture sales and finishing, and elevator manufacturing. A detailed evaluation of the historic use, storage, and disposal of CVOCs at the properties has not been provided. • The groundwater flow direction at the properties has not been adequately defined. The DPS reported a relatively flat groundwater surface with shallow northeasterly groundwater flow. A February 1984 study by IEP, Inc., reportedly measured groundwater flow to the east. A November 1995 study by Gemini Geotechnical SALEM, RTN: 3-34725 Page 4 Associates, Inc., reportedly measured groundwater flow to the northeast. A January 2018 study by GZA GeoEnvironmental, Inc. (GZA), measured groundwater flow to the south. A March 2018 study by GZA measured groundwater flow to the east/southeast. • The limited investigation conducted at 142 and 144 Canal Streets is inadequate to demonstrate contaminant migration onto the properties from an upgradient source. The highest levels of CVOCs observed to date are in the southern/southeastern portions of 142 Canal Street. With groundwater flow to the cast, the most upgradient on-site wells would be GZ-2, GZ- 108, GZ-204, and GZ-205, however, groundwater from these wells contained non-detectable to low levels of CVOCs. Further, with a component of groundwater flow to the northeast, the immediately upgradient properties would be McDonald' s ( 150 Canal Street, RTN 3 -34275) and an auto repair/body shop ( 125 Ocean Avenue, RTN 345312), however, groundwater from these properties contained non-detectable to low levels of CVOCs. ACTIONS TO BE TAKEN AND THE DEADLINES FOR TAKING SUCH ACTIONS : In order to return the site to compliance, the following must be submitted to MassDEP through eDEP by September 30, 2019: 1 . A revised DPS Submittal, based upon investigative and assessment actions of sufficient scope and level of effort to conclude that the criteria in 310 CMR 40. 0183 (2)(b) have been met; or 2. A DPS Termination, pursuant to 310 CMR 40.0186, and a completed Tier Classification Submittal, pursuant to 310 CMR 40. 0510, in order to continue response actions in accordance with the MCP; or 3 . A DPS Termination, pursuant to 310 CMR 40. 0186, and a Permanent Solution Statement, pursuant to 310 CMR 40. 1000. Please note that 142 and 144 Canal Street are two different properties with two different property owners, therefore, if you choose to continue to pursue DPS for both properties, a revised DPS should be submitted under RTN 3-34725 by the owner of 142 Canal Street and a new RTN should be obtained and a new DPS submitted by the owner of 144 Canal Street. In addition, upon completion of the above, a Post-Audit Completion Statement, in accordance with 310 CMR 40. 1170, must be submitted to MassDEP through eDEP. Copies of the forms and instructions are available online at httl2 ://www.mass . gov/eea/agencies/massdep/cleanup/ approvals/waste-site- cleanup-forms.html. If the required actions are not completed by the deadlines specified, an administrative penalty may be assessed for every day after the date of this Notice that the noncompliance occurs or continues. MassDEP reserves its rights to exercise the full extent of its legal authority in order to obtain full compliance with all applicable requirements, including, but not limited to, criminal prosecution, civil action including court-imposed civil penalties, or administrative action, including administrative penalties imposed by MassDEP .