Mount Carmel appeals $187K penalty after alleged repeated sewage violations

MOUNT CARMEL, Tenn. (WJHL) — The Town of Mount Carmel has filed an appeal after the Tennessee Department of Environment & Conservation (TDEC) ordered the town to pay up to $187,800 in total civil penalties for violating its wastewater permit.

The appeal calls the total potential penalty amount “punitive and excessive.”

On June 11, TDEC Commissioner David Salyers filed the order , alleging numerous violations of the Water Quality Control Act of 1977. The violations stemmed from alleged incidents at the town’s sewage treatment plant at 116 Seminole Drive.

According to TDEC, Mount Carmel’s National Pollutant Discharge Elimination System (NPDES) permit was reissued in June 2019 and set to expire in May 2024. The permit allows the town to discharge treated wastewater to a specific point on the Holston River so long as it meets certain monitoring requirements.

Salyers wrote the Holston River is designated as an “Exceptional Tennessee Water,” classified for multiple uses such as fish and aquatic life, livestock water, irrigation, wildlife and recreation.

TDEC alleged multiple violations by the town in its June 2024 order, some of which the town admitted to and some of which it denied.

TDEC claims the town received a previous order in February 2022 with a total civil penalty of $9,900 and $2,670.08 for assessed damages while investigating previous violations. Salyers’ order states those assessed damages had not been paid as of Jan. 11, 2024.

The Town of Mount Carmel denied that claim in its appeal, filed in July 2024. Town leaders said in the appeal that they did receive the previous order but paid both the civil penalty and damages, and no additional penalties were assessed for noncompliance.

TDEC also claimed the town appeared on the EPA Quarterly Non-Compliance Report for discharges from the plant that violated its limits multiple times between June 1, 2022 and Nov. 30, 2023. The town admitted to that claim in its appeal.

The department listed a number of other unlawful discharges from the plant from June 2022 through November 2023, some of which were self-reported by the town. Salyers wrote that some of those discharges could be defined as overflows. The largest of those alleged overflows occurred on March 4, 2023, when TDEC reported 22,000 gallons from Pump Station #5 overflowed over the course of four hours.

The town admitted to self-reporting to the information that TDEC provided in the order; however, town leadership does not believe all of the overflows made it to Waters of the U.S., meaning they ought to be classified as “releases” rather than “overflows.”

Twelve more violations tied to discharges reportedly occurred between Dec. 1, 2023 and March 31, 2024. The town admitted to those in its appeal.

The TDEC order states Mount Carmel failed to comply with the limits and conditions of its NPDES permit, thereby violating state law. The order demanded a civil penalty of $187,800, with the town to pay an upfront allocation of $37,560 within 31 days of receiving the order.

If it meets certain benchmarks, the town could avoid paying all but $40,230.08 of the total amount. The order requires an upfront penalty of $37,560 and damages of $2,670.08 related to its investigation of previous violations.

Mount Carmel denied the allegations that it violated state law.

Salyers additionally ordered that Mount Carmel submit a corrective action plan no later than 90 days from receiving the order. Each step of the corrective action plan is required to be completed by a date that will be set by TDEC with quarterly progress reports submitted.

Mount Carmel will be required to maintain “substantial compliance” with its permit for 18 months after completing its corrective action plan or else face steep financial penalties. In its appeal, the town argued that the 18-month probationary period was too long and the cost of any possible mistakes in that time frame was too high.

Mount Carmel leaders also asked TDEC to reconsider the amounts demanded in penalties and damages. While town leaders claimed they had already submitted and received approval for a previous corrective action plan, they agreed to submit a new one and provide the necessary progress reports.

As of Tuesday, a TDEC spokesperson said the appeal had not yet been docketed. The case’s status on TDEC’s database is listed as appealed and remains open.

News Channel 11 reached out to Mount Carmel Mayor Pat Stilwell for an interview or statement on Tuesday. As of the time of publishing, News Channel 11 has not received a response.

The order and appeal can both be read online by clicking here.

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