Jackson Jambalaya

Note: See synopsis at end of post for history of case. 

The noose continues to tighten for Gold Coast Commodities. The Mississippi Environmental Quality Permit Board revoked its permit to operate a wastewater lagoon near Pelahatchie last week.  The site is the source of a multitude of complaints, lawsuits, and MDEQ penalties as it produces noxious odors and hordes of flies that makes life unbearable at times for the neighbors. 

The agenda for the Board meeting only said there would be a discussion of Gold Coast.  There was no clue the Board might revoke the permit.  Nevertheless, the Gold Coast team showed up in force with its consultants, lawyer, and Gold Coast staff.  

The Board approved a permit for the company to operate the wastewater lagoon in August 2019.  The Brandon company processes used cooking oil and soapstock into animal feed and other products such as biodesel.  Sulfuric acid is added to the oil and soapstock.  The waste from the process is mixed with a caustic agent (usually NaOH).  The waste must be kept at high temperatures or else it can't  flow. The wastewater has one other dangerous feature: it is highly acidic with a pH that can be lower than 2.  Thus it is very important the wastewater is properly treated and disposed.  

Gold Coast didn't install aerators until July 2020.  Turning on the aerators produced a strong cloud of hydrogen sulfide gas (58 ppm) that knocked out the employees and sent several to the hospital.  The lagoon later overflowed and caused a fish kill to take place in neighboring bodies of water.  Meanwhile, the strong odors and hordes of flies continued to plague the neighbors.

MDEQ ordered the company to shut down the lagoon on October 1 and remove the wastewater from the lagoon within 60 days. However, Gold Coast appealed the order and awaits an evidentiary hearing.  

The Gold Coast team opened the discussion with a presentation.  Clearwater Consultants said the flies "are all but non-existent and that has been the case for quite some time."  There is a distinctive odor but it is not strong nor offensive.  

 Gold Coast attorney Richard Glaze followed Clearwater in defending Gold Coast.  He expressed sincere regrets over what took place.  He said experts hired by Gold Coast said there was no odor or flies on November 4 or in subsequent visits.   However, this correspondent drove past the site several times the night before the Permit Board meeting and experienced ammonia-smelling fumes that burned his throat and nose.  

The Atlanta attorney said Gold Coast was supposed to take delivery of the aerators in February but was unable to do so because of the Covid-19 shutdowns. They were finally delivered in July. He said the fish kill happened solely because an electrician working on the electrical panel flipped off all the switches off and back on.  Unfortunately, he didn't realize the switch for irrigation was already turned off.  Irrigation began that Friday night and continued until Gold Coast learned it was operating on Saturday night.  It was too late as the spill already took place.   

Gold Coast said the most immediate neighbor, Buck Alman, had no complaints.  Mr. Alman is the Chairman of the Leesburg Water Association.  He vouched for Gold Coast management (27:00).  Mr. Glaze concluded by saying the company was doing as advised by engineers. 

Chairwoman Whitmann heard it all with skeptical ears and asked why Gold Coast was discharging wastewater into the lagoon for 8 months when it didn't have aerators. (29:00).  Mr. Glaze replied the company expected delivery of the aerators so it kept discharging.  

The Board approved the permit in August 2019.  She pointed out there were questions about their prior history when it was approved.  Staff did not recommend approval but the Board granted the permit anyway.  

MDEQ staff contradicted almost everything presented by Gold Coast.   Gold Coast kept discharging wastewater into the lagoon until it was nearly full in June despite the absence of the much-needed aerators.  Mr. Glaze said the company did so as it kept expecting delivery of the much-needed machines. 

Gold Coast experts conducted tests and obervations on cooler days.  Staff visited the site on November 6 when it was warm. It reached nearly 80 degrees that day and November 9 when this correspondent visited the area.  The odors were found to be very strong.  Two people called on November 9 to complain about the odors and another one complained the morning of the Board meeting.  The staff also said Gold Coast did not share the samples that were the subjects of their reports submitted to the agency.  

While Gold Coast blamed Covid-19 shutdowns for the lack of aerators on site for eight months, staff said "not so fast, my friend."  The Board instructed Gold Coast to install aerators when it approved the permit 15 months ago.  Gold Coast had almost eight months to obtain the aerators but did not do so. Gold Coast didn't bother to treat the water until July 2020.  Gold Coast said in January that aeration would solve the odor problem.  Complaints began to pour into MDEQ when the weather warmed up in May. 

One Board member channeled his inner Yogi Bera and said "this is almost like deja vu to me."  He said Gold Coast told the permit board in 2019 that everything would work out.  "What's happened since then? It's been a disaster. (39:00).  He pointed out the experts making the reports were paid by Gold Coast and tested the site on cooler days when the problems were less severe.  

Staff said the lagoon is "almost full right now" as it only has 700,000 gallons of remaining capacity.  The company discharges approximately a little over 300,000 gallons per month.  The company shipped nearly half a million gallons to the lagoon in November and followed up with shipments of 230,000 in December, 355,000 gallons in January, and 311,000 in February.  The aerators were needed in December, long before the shutdown, said staff. 

Laine Stubbs, the daughter of one neighbor, told the board her father lives the closest to the lagoon and must suffer bad odors and hordes of flies with alarming frequency.  She said her brother was at her dad's home the day before the Board meeting and experienced a strong odor that burned his nose and throat.  

Mrs. Stubbs said there were several other homeowners who lived much closer to the lagoon than Mr. Alman.  Staff supported her and said although Mr. Alman's property was 200 acres, his home was nearly 5,000 feet from the lagoon.  Mrs. Stubbs' father lives less than a quarter mile away.  

Discussion about revoking the Gold Coast permit began.  No Board members defended the company nor argued against revocation.  The Board attorney said the permit would remain in effect if Gold Coast appealed for an evidentiary hearing.  The vote for the motion to revoke the Gold Coast permit was unanimous.  

The Gold Coast team huddled outside in the parking lot for twenty minutes after the decision.  The company is expected to appeal the revocation.  

Synopsis of Gold Coast Case

This saga began several years ago in Brandon when the city caught Gold Coast dumping highly acidic wastewater into its sewer system in 2014 and sued the company.  Blocked in Brandon,  Gold Coast shipped the wastewater to Rebel High Velocity Sewer Services in Jackson.  Rebel in turn dumped six million gallons of the Gold Coast acid directly into the Jackson sewer system.  MDEQ issued a cease and desist order against Rebel for the discharges in October 2017.

The Justice Department is prosecuting Andrew Walker, the owner of Rebel for the violations.  He is cooperating with prosecutors as Gold Coast is the target of the EPA criminal investigation.  

 Gold Coast also discharged wastewater into the Pelahatchie wastewater treatment facility under an agreement with the town.  Running out of local options, the company built a lagoon in Rankin County for the disposal of its wastewater in 2019. However, complaints from the lagoon's neighbors soon began pouring into MDEQ after the facility opened.  The agency investigated and found multiple violations.  

The company began discharging wastewater into the lagoon but did not turn on aerators until July.  Disaster struck when they became operational.  The lagoon produced a cloud of Hydrogen Sulfide gas that was 58 ppm.  The gas knocked out several people at the site.  Three people had to be taken to the hospital for  medical treatment. 

 MDEQ issued a cease & desist order against the operation of the lagoon on September 11.  The order gave Gold Coast two weeks to submit a plan to correct the violations. MDEQ determined Gold Coast had an illegal bypass, applied wastewater during heavy rainfall or when soil was saturated, didn't operate the aerators,  repeatedly discharged industrial wastewater into the lagoon when the aerators did not work, and failed to control odors emanating from the site. Neighbors complained of hordes of flies attracted to the lagoon.

The agency ordered Gold Coast to immediately stop sending its wastewater to the Rankin County site until MDEQ gives it permission to do so.

 Gold Coast submitted a plan on September 18 and added a fifth aerator.  The company's consultant assured MDEQ everything would soon be fine. The consultant told MDEQ the aerators were working properly and that the odor and flies were substantially reduced.  MDEQ inspectors determined almost everything the consultant claimed was false and that the company was merely playing games with the agency.  The October 1 order stated: 

Since the issuance of Order 7069-20, MDEQ has continued to receive both odor and vector complaints from citizens. In addition, on September 28, MDEQ staff conducted an inspection of the Site. Staff noted that directly downwind of the lagoon "odor was very prominent, nuisance level." Staff also noted that "there was a plague-like level of flies." According to staff, the odor and vectors (flies) continued and "were very noticeable" from the lagoon to Dry Creek which is a distance of approximately 2,190 feet. Staff also drove around the lagoon on public roads and reported nuisance level odors as far as 5,000 feet downwind of the lagoon.

MDEQ said "we gave you a chance to fix things up, now get out."  The agency ordered Gold Coast to "remove and dispose of all wastewater at the lagoon" by the end of November.  The company must submit a removal and disposal plan by October 11.  However, MDEQ did not stop with closing the lagoon.  Gold Coast must also obtain MDEQ permission to dispose of wastewater anywhere in Mississippi.