Subject: Scranton project closure approach Date: 07/02/14 03:22:09 PM From: "LaRegina, James" <jlaregina@hrg-inc.com> To: "rsargenti@optonline.net" <rsargenti@optonline.net>, "rsargenti@sargarch.com" <rsargenti@sargarch.com>, "ssargenti@rsmusa.com" <ssargenti@rsm-usa.com> Cc: "Nachlas, Paul" <pnachlas@hrg-inc.com> Gentlemen I apologize for the informal, lengthy email rather than a formal proposal but since some questions remain to be answered I wanted to give you some idea of next steps and approximate costs for the Scranton site before I leave for vacation today. The work is governed by PA’s Land Recycling Program known as Act 2. Act 2 Program Background Successful completion of the administrative and technical requirements will result in a release of environmental liability from DEP. DEP does not enforce the program; it is voluntary. The lending and legal communities “enforce” it as a requirement for transactions. Three potential cleanup standards can be selected from to obtain a release of liability. All start with soil, water and vapor data. At this site, existing data show that the dry cleaning solvent PCE is in the soil and groundwater (but not soil vapor) at concentrations that exceed cleanup standards for future residential and nonresidential land use. The cleanup standards are: The Background Standard – Applicable when contamination from an offsite location is migrating onto the site. I do not believe this is happening at this site. Upgradient well MW-2 (contaminated) monitors groundwater migrating onto the site, and downgradient wells MW-1, MW-3, and MW-4 (all clean) monitor it leaving the site. The soil in the area of the downgradient wells is contaminated. The area upgradient of MW-2 has been a church since the late 1800s. I believe the PCE in MW-2 is not background but the result of historical onsite use and migration via unconventional groundwater flow in the abandoned deep mine pool beneath the site. The Statewide Health Standard – Applicable when soil excavation and groundwater treatment produce site conditions that do exceed numerical cleanup standards that are protective of human health. This standard would be costly for this site, especially treating the mine pool to drinking water quality. The Site Specific Standard – Applicable following the site study where it can be demonstrated that contamination on and offsite does not come in contact with human and ecological receptors at concentrations that produce unacceptable risk. This has been the proposed Act 2 standard at the site in order to use future site development to “cap” the soil and reliance on city water to prevent someone from drinking the mine pool water. The Findings to Date A Remedial Investigation Report (RIR) and Cleanup Plan (CP) submitted in October 201 is the subject of DEP’s June 20, 2014 comment review letter. The RIR showed that: PCE impacted soil in the southeastern corner of the site lends itself to capping. DEP is requesting additional soil sampling in two areas to more fully define the limits of impact to ensure the cap is comprehensive. The non-potable mine pool is impacted (MW-2) and the area is served by city water. DEP does not disagree but is looking for sampling at the mine pool overflow to assess impact if any to the Lackawanna River. They also suggest that MW-2 may be impacted by a background condition or an undefined source. The PCE in the soil and mine pool does not produce an unacceptable risk of vapor intrusion to occupied buildings. DEP has not asked for any additional work in this regard but it could be required if new sample data is substantially different from current data. Consistent with prior DEP discussions and emails, site capping via development is an acceptable remedy, but a firm implementation schedule is required in order for DEP to approve the CP. However, the RIR needs to be approved first and there are four DEP comments to be addressed that require additional sampling and a revised RIR submittal. A DEP-approved RIR will produce a letter that should be sufficient for a future buyer to understand the site risks and DEP’s recognition of proposed future capping via development. Addressing DEP Comments 1. Additional soil sampling was requested to delineate the PCE-impacted soil in the southeastern site corner. This will require soil sample collection adjacent to the site in the alley next to the courthouse. Samples would be collected at various depths via a GeoProbe (pickup truck mounted hydraulic punch). Buried utilities in the area would need to be located. Coordination with courthouse security will be required. 2. Additional investigation is suggested to determine if another source, perhaps offsite and upgradient (background) is the source of PCE in upgradient well MW-2. To best address this will require discussion with DEP to restate our position. We previously recognized this upgradient anomaly and did limited sampling on church property and in the open basement (now backfilled). We found no PCE in the soil or in the soil vapor (suggesting no proximity to a soil source). If there is a background source offsite, I would expect to see a more widespread PCE groundwater plume that would impact the 3 clean wells that are only 60 feet downgradient of contaminated well MW-2. Again, I believe MW-2 is an anomaly resulting from the unconventional mine pool groundwater flow system. Regardless of how groundwater moves at the site, we know that it ultimately discharges to the mine pool. Should DEP insist on new data, we would propose soil gas sampling or a background well if needed. 3. Mine pool overflow sampling. In earlier email dialogue, DEP proposed sampling the Old Forge Borehole to measure site-related impact on the mine pool. The comment letter states that sampling should be done after the cap is in place. Discussion with DEP will be the best way to resolve this. Consider that the Old Forge Borehole mine pool discharge into the Lackawanna River is an average of 65,000,000 gals/day. PA’s average precipitation is 3.5 feet per year. The volume of water added to the mine pool from precipitation that falls onto the site is about 700 gals/day. I would not expect site-related PCE to be detected in the borehole discharge. Conversely, if it is detected, it could be from some other source. Whether it is present or not, having a cap (site development) in place will show that none can leave the site. Should DEP insist on data now, then two samples would be collected from the borehole. 4. Groundwater sampling. DEP requested 8 consecutive quarters of groundwater data from the onsite wells. That is a requirement for attainment of the Statewide Health Standard. Some number of sampling quarters from 2 to 8 is typical for characterization under the Site Specific Standard. In discussions with DEP, HRG would propose two quarters of data to support the capping remedy. As a starting point, I would suggest a meeting with DEP to go over the data and obtain their concurrence with the approach to this project. Then implement the field work and if nothing has changed significantly, submit a revised Remedial Investigation Report for DEP review and approval. Timing The best-case scenario would be to do field work in July and August and collect two quarters of groundwater data by November and submit the RIR report in December. DEP then has up to 90- days to review it. If 4 quarters of data are acceptable then the RIR would be submitted June 2015 or June 2016 if eight quarters are needed. After the RIR is approved, there are two administrative options under the Site Specific Standard to obtain liability protection. Once a plan to develop/cap the site is known, submit an Act 2 Cleanup Plan for approval. Implement the Cleanup Plan then submit an Act 2 Final Report and record an environmental covenant that shows the site has been capped. Following development/capping submit an Act 2 Final Report and record an environmental covenant that shows the site has been capped. I believe enough has been talked about capping the site so far that DEP would not find this unexpected. Buyer Seller Agreement (BSA) This option can be used to facilitate a sale if a Buyer is found before or after the RIR is approved. It provides the Buyer with liability protection at the time they take ownership of the site. At this point, the program is no longer voluntary and DEP has enforcement power to see that the remediation is completed. The terms regarding whether the Buyer or Seller completes the remediation and DEP reporting is typically addressed in the purchase and sale agreement. Presumably, a Buyer is interested in the site with the plan for or intention to develop it and thus has control of the remedy, its schedule and its cost. The Buyer can submit either the Cleanup Plan before development or the Final Report and covenant after development. Typically, the Buyer will look for a reduction in the sales price to offset the cost of the DEP reporting. Alternatively, the Buyer may request that the Seller escrow monies to cover the cost of the Seller completing the DEP reporting after the site is developed. Both a Cleanup Plan ( we are going to cap the site and here are site drawings and a construction schedule) and the Final Report/Covenant (we did the development per the plan and here are pictures. We also had our attorney review HRG’s draft covenant for submittal and recordation) are less than $5,000 each. Preliminary Cost Range The cost to address DEP comments and submit a Revised RIR will be dependent on initial discussions with DEP to obtain their concurrence with the approach outlined above. Preliminary Estimated Proposed Task Cost Range DEP concurrence meeting and preparation $2,000 - $3,000 Soil delineation sampling, utility clearance and coordination with $5,000 - $7,000 Scranton and Federal Courthouse Security Prove/Disprove upgradient source Soil gas sampling $1,000 - $1,800 Groundwater well or soil sampling $7,000 - $10,000 Mine Pool Sampling $ 500 - $1,000 Quarterly Groundwater Sampling 2 quarters 8 quarters RIR Report DEP/Public notice fees Preliminary Total (bold tasks only) $7,000 - $8,000 $28,000 - $32,000 $7,000 - $8,500 $1,000 $23,500 - $30,300 Site development is still a viable remedy and there is an option for DEP signoff if a buyer is found before the project is complete. I return to the office on the 14th and will only have intermittent access to email while I am gone. You can try my cell below or contact Paul Nachlas PG at my office who is familiar with the Act 2 Program and some of the history of this project. Regards Jim Jim LaRegina, P.G. Senior Project Manager Herbert, Rowland & Grubic, Inc. 369 East Park Drive, Harrisburg, PA 17111 717.564.1121 [phone] 717.571.4458 [cell] 717.564.1158 [fax] jlaregina@hrg-inc.com www.hrg-inc.com [ BUILDING RELATIONSHIPS. DESIGNING SOLUTIONS. ] Member of the PA Council of Professional Geologists