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Feds worry about C6-Zero resuming operations
EPA notes numerous violations that preceded a 2022 explosion and fire
Jared Strong
Oct. 31, 2024 10:51 am, Updated: Nov. 1, 2024 7:47 am
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C6-Zero must correct numerous operational violations and notify federal regulators before resuming its shingle-recycling process anywhere in the United States, according to U.S. Environmental Protection Agency.
Those violations and the notification requirement were enumerated in a recent letter to the company from the EPA, which has concluded its investigation into an explosion and fire at the company's Marengo facility in 2022.
The blast injured at least 20 people and was sparked when workers sought to free a conveyor belt with the equipment still in operation. Potential investors were touring the site at the time and were in close proximity to the explosion.
Several of those who were injured have sued the company.
State and federal government agencies that investigated the incident allege C6-Zero skirted initial oversight from the Iowa Department of Natural Resources, failed to adequately train and protect its employees and operated its facility in violation of numerous building codes.
Further, because the company failed to properly disclose the types of chemicals and the large amount of oil it had at the facility, firefighters used a significant amount of water to extinguish the fire and washed pollutants from the site, according to the EPA.
"This resulted in a large flood retention pond near the Iowa River becoming contaminated with per- and polyfluoroalkyl substances (PFAS), posing a threat to drinking water sources down river, including sources that serve the population of Iowa City," the letter said.
The EPA noted that the toxic PFAS — commonly known as "forever chemicals" because they persist indefinitely in the environment — are unsafe in any concentration in drinking water.
The agency said C6-Zero did not comply with several federal requirements:
- Workers were not trained how to safely burn or weld to avoid explosions and fires.
- A significant amount of electrical equipment was not designed to National Electric Code and was located close to flammable chemicals.
- The facility lacked adequate standard operating procedures: "C6-Zero instructed a contractor to repair a blocked conveyor belt … while the machinery was in operation. It is possible that this attempted repair of energized equipment served as the ignition source for the explosion and fire."
- Chemical storage tanks lacked proper hazard warning signs that denote their toxicity, flammability, instability and specific hazards.
- C6-Zero didn't plan for emergencies and coordinate with local emergency responders.
The company has paid over $1.5 million for cleanup of the contamination and worker safety violations. It had told the EPA it does not have the capacity to pay further fines and planned to fold when the cleanup was complete, which happened this summer.
But the EPA is dubious: "Although C6-Zero informed EPA that it plans to dissolve the company, Mr. Brand’s history of creating similar companies in different states and other available information indicate the contrary," the letter said, in reference to Howard Brand III, the company's founder.
Brand declined to comment for this article.
The EPA suspects the company is operating an office in Idaho, in part because C6-Zero has been participating in local charity events there.
It's not yet clear whether the company will face further fines from the EPA or Iowa DNR. C6-Zero also is a defendant in four lawsuits filed by people who were injured by the explosion.
It also might be under criminal investigation, according to documents associated with one of the suits. Brand's attorney indicated Brand and his son are being investigated by the U.S. Securities and Exchange Commission for unspecified crimes.
The EPA also noted that "there are serious civil and criminal actions that may be taken for the failure to comply with the environmental laws described in this letter."
Comments: (319) 368-8541; jared.strong@thegazette.com