HomeMy WebLinkAboutMINUTES - 09211993 - S.4 n
TO: BOARD OF SUPERVISORS Contra
Jeff Smith, Supervisor District II
FROM: Costa
Count
September 21, 1993 "''`'y`'
DATE: c oi,.:t�
PACIFIC REFINING COMPANY ENVIRONMENTAL IMPACT REPORT FOR
SUBJECT: CLEAN FUELS PROJECT
SPECIFIC REQUEST(S)OR RECOMMENDATION(S)8 BACKGROUND AND JUSTIFICATION
REQUEST:
Request the Board of Supervisors and Community Development staff
discuss the Pacific Refining Co. Clean Fuels Project .EIR.
Project is located within the City of Hercules, but is adjacent
to the unincorporated portion of the County.
BACKGROUND:
This Pacific Refining Company project is located in the City of
Hercules . Under a federal mandate, Pacific Refining is required
to meet Clean Fuels standards which will require extensive re-
design of their current facility. Since the project borders on
the unincorporated County, staff will be preparing comments to
the EIR. This will offer the opportunity to Board member and
others to make remarks prior to the completion of Community
Development Department comments .
CONTINUED ON ATTACHMENT: YES SIGNATURE:
RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOAR O EE
APPROVE OTHER
SIGNATURE(S)'
ACTION OF BOARD ONSPptPmhar�1, 1��� APPROVED AS RECOMMENDED _ OTHER
See ADDENDUM NO. 1 to Item S4, September 21, 1993
VOTE OF SUPERVISORS
I HEREBY CERTIFY THAT THIS IS A TRUE
X UNANIMOUS(ABSENT AND CORRECT COPY OF AN ACTION TAKEN
AYES: NOES: AND ENTERED ON THE MINUTES OF THE BOARD
ABSENT: ABSTAIN: OF SUPERVISORS ON THE DATE SHOWN.
CC: Community Development Dept .
ATTESTED September 21, 1993
County Administrators Office PHIL BATCHELOR,CLERK OF THE BOARD OF
SUPERVISORS AND COUNTY ADMINISTRATOR
BY Q2:!fJ4-_ .DEPUTY
M382 (10/88)
ADDENDUM NO. 1 to Item 8.4 = September 21, 1993
Supervisor Smith introduced the discussion of a clean fuels
project at Pacific Refinery due to be in front of the City of
Hercules Planning Commission in the next week.
Catherine Kutsuris, Community Development Department,
commented on responses by staff to the Environmental Impact
Report that was issued in June, 1992 .
The following persons appeared to testify:
Mike Coody, 216 3rd Street, Rodeo, spoke in opposition to
the proposed project .
Lynn Cherry, 936 Elm Drive, Rodeo, requested continuation of
the health studies by the Health Department .
Doris Reese, 117 3rd Street, Rodeo, presented a copy of the
Environmental Impact Report and requested the Health Department
to review the health part of it for the community.
Ralph Edwards, 4901 San Pablo, Hercules, representing
Pacific Refining Company, commented on a willingness to work with
the community to achieve resolution of community concerns and he
commented on misstatements by previous speakers .
Supervisor Bishop requested clarification on the number of
violations by Pacific Refining.
Supervisor Smith commented on deficiencies in the
Environmental Impact Report and in particular a lack of focus on
directed host community mitigation and he moved that the Board
authorize and direct the staff of the Community Development
Department to comment on all the deficiencies which they have
noted , focusing their comments on host community mitigation
related to Rodeo, and also to authorize Health Services
Department to proceed with a health risk assessment in the
community of Rodeo. Supervisor Smith also suggested a group
consisting of representatives from the city, the County, the
community and the industry be convened to work on the mitigation
issues .
Supervisor Powers seconded the motion and commented in
support of Supervisor Smith' s remarks without committing any
money out of the County' s General Fund for the health risk
assessment .
Supervisor McPeak spoke in support of the motion with the
direction given by Supervisor Powers to look for a funding source
on the health risk study other than the County General Fund.
Supervisor Torlakson clarified that by the motion Supervisor
Smith was being requested to convene meetings to discuss the idea
of a group that would work through some of these issues .
IT IS BY THE BOARD ORDERED that Supervisor Smith' s motion
with Supervisor Powers' comments is APPROVED.
JB
PACI FIC REFI N I NG COM PANY P.O.BOX 68 (510)799-8000
4901 SAN PABLO AVENUE FAX(510)799-8042
A Joint Venture of Sinochem and The Coastal Corporation Subsidiaries HERCULES,CALIFORNIA 94547
NEWS RELEASE
For Immediate Release Contact:
September 20, 1993 Ralph Edwards
510/799-8150
PACIFIC REFINING COMPANY RESPONDS TO CHARGES OF LOCAL COMMUNITY
Joe Sparano, Chief Executive Officer of Pacific Refining Company,
today disputed allegations made last week about Pacific's proposed
Improved Fuels Modification Project by the Rodeo Citizen's
Association ("RCA") . The RCA has opposed the refinery's proposed
modification project for the past three years.
Sparano said, "Pacific Refining Company has been open with its
neigbhors about our operations and our plans for the future. Over
the past several years we have worked very hard to establish
cooperative working relationships with the communities of Hercules
and Rodeo, and with regulatory agencies. We have improved
operational reliablity and reduced odors by implementing equipment
investments and enhanced procedures.
"Pacific's project includes the addition of refinery equipment
required to meet federal and state clean fuels regulations. The
refinery's current crude throughput will not increase and exisiting
equipment will be upgraded. Potential risks and possible impacts
have been identified. The Draft Environmental Impact Report covers
all these issues thoroughly. "
On April 27 the Company announced that its Hercules crude refining
operations would be suspended at the end of June 1993 , in part
because of economic conditions in the refining industry. The
Company also indicated that cessation of any operations would be
handled in an environmentally responsible manner. A permanent
shutdown of the refinery was not mentioned.
Sparano added that a search for alternative uses for the facility
has been on-going since the April announcement. In June, Pacific
signed an agreement to produce an ingredient for an asphalt
manufacturer through October 31. "We are working hard to extend
those arrangements and hope that suspension of crude oil refining
operations can be avoided. More than 100 jobs and a significant
amount of local tax revenues are at stake, " said Sparano.
He also said that "Pacific's April announcement clearly indicated
we would continue efforts to obtain the required permits for our
modification project. Furthermore, the original design for the
project has not been altered -- it is the same design that has been
reviewed at public workshops over the last two years. Pacific does
plan to build a sulfuric acid plant, but we will not produce or
store oleum, which was the chemical involved in the recent incident
at General Chemical.
"Obtaining the permits to modify the existing facility will enable
Pacific to make clean fuels as mandated by state and federal
regulations. Having permits for the facility will also increase
its value to Pacific's Partners and give them more flexibility for
the future. We want to maintain operations and jobs at the
Hercules site, " emphasized Sparano.
Pacific is a Joint Venture owned by subsidiaries of The Coastal
Corporation and Sinochem, a state-owned international diversified
business corporation of The People's Republic of China.
-end-
SUMMARY
PROJECT DESCRIPTION
Pacific Refining Company proposes to construct the Improved Fuels Modification Project at
its refinery in Hercules, California. The modification would consist of the addition of new
petroleum process units to the existing equipment and installation of equipment to reduce
odors emanating from the refinery. The new process units would include a fluidized catalytic
cracking unit, gas oil hydrotreater, diesel hydrotreater, dehexanizer, isomerization unit,
alkylation unit, hydrogen plant, cogeneration units, and new storage tanks. The odor
abatement equipment would include a new, enclosed ground flare, new enclosure of
wastewater treatment equipment, and a new sulfur recovery system. The crude oil throughput
of the modified plant would not change, but the increased need for partially refined materials
to supplement the crude oil and materials to blend with petroleum products (feedstocks),
would increase total refinery inputs by about 25% (i.e.,from 60,000 barrels per day to 75,000
barrels per day). The feedstocks that would be used by the refinery are required, in part, to
produce reformulated gasoline specified by new federal and state regulations. These
feedstocks would also allow the refinery to produce more high-value products.
The Federal Clean Air Act Amendments of 1990 and California law require that diesel fuel
sold after October 1, 1993, must contain low concentrations of sulfur and aromatic
hydrocarbons. By January 1, 1995,all gasoline sold in portions of the country that have poor
ambient air quality must be reformulated so that it burns cleaner in engines. California law
requires that all gasoline sold in the state after January 1, 1996 must be reformulated to meet
federal and recently enacted California standards. The existing process equipment at Pacific's
refinery cannot produce diesel fuel and gasoline that meet these federal and state
requirements. Process equipment proposed for the modification project along with additional
petroleum feedstocks would allow the refinery to produce fuels that are in compliance with
the Clean Air Act Amendments.
Crude oil consists of a mixture of hydrocarbons which are chemical compounds made up of
hydrogen and carbon atoms combined into molecules of different sizes and shapes. The
smallest hydrocarbon molecules, containing only a few atoms of hydrogen and carbon, are
gases such as propane and butane. Somewhat larger hydrocarbon molecules are liquids such
S-1
SUMMARY
as gasoline and diesel fuel. Very large hydrocarbon molecules are solids such as paraffin and
tar.
The purpose of the process equipment at a refinery is to separate hydrocarbon molecules into
groups of similar size, break up or crack the larger molecules into smaller ones of different
sixes and shapes, recombine some molecules into useful sizes and shapes, rearrange the
molecular structure of others, and remove impurities such as sulfur and nitrogen. All the
process units work together to produce hydrocarbon products with optimum combustion
characteristics and the maximum value out of each barrel of crude oil and other petroleum
inputs to the process.
The existing refinery is what is often termed in the petroleum industry as a "topping
refinery." The capabilities of the existing process equipment are largely limited to separating
out the relatively small fraction of high value fuel products, such as gasoline and diesel fuel,
that naturally occur in the crude oil received by the refinery, leaving the heavier hydrocarbon
molecules largely unaltered. Usually the value of this residual heavy oil is less than that of
the crude oil purchased by the refinery. The process units that would be added to the refinery
under the proposed project would alter the structure of the residual heavy hydrocarbon
molecules to produce more gasoline, diesel fuel, and other light fuel products that would meet
federal and state fuel specifications, and produce more high-value products from each barrel
of crude oil.
AREAS OF PUBLIC CONCERN
The general public and government agencies have raised concerns over the proposed
Improved Fuels Modification Project. Citizens of the community of Rodeo immediately north
of the refinery are concerned about operating procedures that may affect their health and
welfare. People in Rodeo have perceived an overall degradation of the quality of life in their
community since the refinery was built in 1966, and believe that quality of life would be
further reduced by the Improved Fuels Modification Project. Rodeo citizens have complained
about odors from the facility since at least 1984. Many of these people are concerned that
the modification project may increase odors from the refinery. Important concerns raised
about the modification project by the public include:
QA9IM68.1(91CO295BA2 .S-2 M0714931531
SUMMARY
• Increased health risk associated with increased emissions of pollutants into the
atmosphere
• Increased public safety risk from fires,explosions,or the accidental release of toxic
gases or vapors
• Increased odors
• Increased noise -
• Impacts of increased wastewater discharges on the water quality and marine biota
of San Pablo Bay
• Visual impacts of additional industrial facilities to the surrounding communities
SUMMARY OF IMPACTS AND MITIGATION MEASURES
A summary of project impacts and mitigation measures is provided in Table S-1. Impacts
and mitigation measures are briefly described below.
Land Use
The refinery is on land zoned "M" (Industrial District) by the City of Hercules. The proposed
Improved Fuels Modification Project would be consistent with this zoning designation, and
land use policies for the area. Therefore, the project would not impact land use policies.
The project would impact an alternative to the Bay Trail. This impact could be mitigated by
a minor adjustment in the location of proposed wastewater treatment equipment. However,
existing facilities would still limit the ability to implement this trail alternative.
The proposed project would add to the existing land use conflict between the refinery and the
community of Rodeo. The primary source of this cumulative impact is the potential for
minor accidents that could have offsite effects such as odors, deposition of material, and
short-term health effects such as nose, eye, and throat irritation or headaches. There are no
data available to statistically estimate the probability of occurrence of minor accidents
QA9115768.1(91CO295B)13 S-3 M0714931531
TABLE S-1
SUMMARY OF IMPROVED FUELS MODIFICATION PROJECT
IMPACTS AND MITIGATION
(Page 1 of 5)
Potential Impacts Significance Mitigation Measures Page
LAND USE
Refinery property designated No land use policy impacts. None required. 4-1
"Industrial" in Hercules General
Plan and zoned "M" (Industrial
District).
Impact Bayshore Alternative to Significant impact that can Relocation of 4-3
Bay Trail. be mitigated wastewater treatment
facilities 10 to 15 feet
east.
Cumulative land use impact on Significant impact that Installation of a berm 4-4
Rodeo. cannot be mitigated to between refinery and
insignificant level. Rodeo; repair of
damages from offsite
effects of refinery
accidents.
PUBLIC HEALTH
Cancer risk to Maximally No significant impact. None required. 4-26
Exposed Individual of project
alone would be 7.6 in 1 million
over 70 years.
Cancer risk of post-project No significant impact. None required. 4-28
refinery to Maximally Exposed
Individual 38 in 1 million over
70 years.
PUBLIC SAFETY
Probability of refinery accident No significant impact. None required. 4-54
resulting in off-site property
damage reduced from 1 chance
in 300 years to 1 chance in 700
years.
Probability of refinery accident No significant impact. None required. 4-54
resulting in off-site injury
reduced from 1 chance in 6000
years to 1 chance in 7000 years.
Q:W1V5553.1(91CO295E)V S-4 M0716931046
TABLE S-1
SUMMARY OF IMPROVED FUELS MODIFICATION PROJECT
IMPACTS AND MITIGATION
(Page 2 of 5)
Potential Impacts Significance Mitigation Measures Page
PUBLIC SAFETY
Probability of tanker truck Significant impact that Institute truck routing 4-57
accident resulting in a spill and cannot be mitigated to controls and develop
fire on local roads increasing insignificant level. spill and fire
from I chance in 28 years to I emergency response
chance in 13 years. plans.
Probability of railcar accident No significant impact. None required. 4-60
resulting in a spill and fire
increases from 1 chance in 6000
years to 1 chance in 500 years.
Probability of common carrier No significant impact. None required. 4-57
pipeline accident resulting in a
spill and fire increases from 1
chance in 250,000 years to 1
chance in 100,000 years.
Probability of PG&E gas supply No significant impact. None required. 4-60
pipeline spill and fire of I
chance in 1000 years
AIR QUALITY
Modified refinery would result No significant impact. None. Project 4-7
in maximum ground level includes Best
concentration of 51.3 pg/m' (3- Available Control
hours) of SO2, 128.4 pg/M3 (I- Technology.
hour) of NO2, and 4.7 pg/m' (24-
hour) for PM10. These
concentrations are not
significant.
High CO and NO., emissions Significant impact that Equipment 4-7
from construction vehicles. cannot be mitigated to Maintenance.
insignificant level.
Q191\15553.1(91c0295E)\2 S-5 Mo716931155
TABLE $-I
SUMMARY OF IMPROVED FUELS MODIFICATION PROJECT
IMPACTS AND MITIGATION
(Page 3 of 5)
Potential Impacts Significance Mitigation Measures Page
ODOR
Maximum ground level No significant impact. None required. 4-38
concentration of hydrogen
sulfide and volatile organic
compounds below the odor
detection threshold under normal
operations. Installation of new
ground flare, new covered
wastewater treatment system,
new sulfur recovery plant, and
refinery-wide computerized
controls to reduce odorous
emissions during routine and
non-routine operations. Increase
inspection and maintenance
operations on flanges, valves and
pumps, and sealing process
drains to further reduce odorous
emissions.
NOISE
Maximum operational noise No significant impact. Equipment design and 4-62
level at nearest Rodeo residences shielding to reduce
of 63 dBA L... noise.
VISUAL RESOURCES
Modification project visible from No significant impact. None required. 4-69
Rodeo, a small portion of
Foxboro area in Hercules, San
Pablo Avenue, San Pablo Bay, I-
80, and North Short Business
Park. Modification project
would blend with existing
refinery.
Q:%91%15553.1(91CO295E)l3. S-6 M07169310"
TABLE S-1
SUMMARY OF IMPROVED FUELS MODIFICATION PROJECT
IMPACTS AND MITIGATION
(Page 4 of 5)
Potential Impacts Significance Mitigation Measures Page
PUBLIC FACILITIES AND
SERVICES
Refinery water use would Significant impact that can Plumb refinery for 4-76
increase by 800 gallons/minute. be mitigated. use of treated
wastewater.
Rodeo-Hercules Fire District No significant impact. Pacific to work with 4-78
would require additional District to ensure
equipment and personnel training equipment and
to fight fires. The District training needs are
would also receive an additional met.
$470,000 in annual tax revenues
and new firefighting equipment
would be installed at refinery.
TRANSPORTATION
Construction-related traffic No significant impact. Construction shifts to 4-85
would cause increased begin and end off
congestion on 1-80 and Route 4 peak hours, as
during am. and p.m. peak hour. possible.
WATER QUALITY
Increased wastewater discharge No significant impact. None required. 4-91
from 220,000 to 450,000 gallons
per day. Concentration and/or
mass loading of pollutants to
San Pablo Bay would not exceed
the refinery's existing NPDES
permit.
QA91 U5553.1(9)CO29SE)W S-7 M0716931155
TABLE S-1
SUMMARY OF IMPROVED FUELS MODIFICATION PROJECT
IMPACTS AND MITIGATION
(Page 5 of 5)
Potential Impacts Significance Mitigation Measures Page
CULTURAL RESOURCES
Removal of archaeological site Significant impact that can Mitigation plan 4-99
that may have had initial be mitigated. including salvaging
occupations ranging from as the resource.
early as 1500 B.C. to about 1500
A.D.
Removal of vertebrate fossils in Significant impact that can Mitigation plan 4-101
Montezuma Formation. be mitigated. including salvaging
the resource.
BIOLOGICAL RESOURCES
Removal of approximately 71 Significant impact that can Replacement of 4-106
acres of vegetation including be mitigated. wetlands in kind.
0.75 acre of isolated wetland.
Q:U1U5553.1(91CO295E)O S-8 M0716931046
SUMMARY
associated with the project. On the one hand, the project would increase the number of
hazards at the refinery. On the other hand, the installation of refinery-wide computer
controls, coupled with the increased operating and maintenance staff for the refinery would
tend to decrease the probability of occurrence of minor accidents. Since the occurrence of
these minor accidents could be a significant nuisance to some residents of Rodeo, and the
probability of their occurrence cannot be estimated, these impacts were judged to be a
significant cumulative impact.
Air Quality -
Emissions of criteria air pollutants (i.e., nitrogen dioxide, sulfur dioxide, carbon monoxide,
volatile organic compounds, and particulates) and air toxics from the refinery would be
reduced by "Best Available Control Technology" as determined by the Bay Area Air Quality
Management District(BAAQMD). Concentrations of criteria pollutants resulting from project
emissions are not expected to exceed standards established by the U.S. Environmental
Protection Agency (EPA) and the State of California to protect public health and welfare.
In fact, the net emissions of volatile organic compounds from the refinery would be reduced
with the project by onsite emission offsets. The project would not impact progress toward
attainment of the federal and state air quality standards in the San Francisco Bay Area;
therefore, project emissions would not result in significant air quality impacts.
Operation of heavy construction equipment would result in relatively high emissions of
carbon monoixide and nitrogen oxides. This was judged to be a significant short-term
impact.
Health Risk
Cancer and non-cancer health effects attributed to the existing refinery and the proposed
project were based on health risk assessments conducted in accordance with guidelines
established by the BAAQMD for implementation of AB2588. Those risk assessments
indicated that emissions of non-carcinogenic (non-cancer causing) compounds from the
current and modified refinery would not impact public health. The maximum cancer risk
(i.e., risk to the maximally exposed individual) for the project is estimated to be 7.6 in 1
million. This was not considered significant based on the standard of 14 in 1 million
established by the BAAQMD for permitting new emission sources.
QA91\5768.1(91CO295H)\9 S-9 M0714931531
SUMMARY
The maximum cancer risk for the existing refinery is estimated to be 37 in 1 million over 70
years. This risk would be increased to 38 in 1 million with the modified refinery. This is
well below the significance criteria used for the post-project refinery of 100 in 1 million.
This criteria is based on BAAQMD requirements for risk reduction under AB2588.
Public Safety
Refining crude oil involves working with flammable materials under heat and pressure. This
type of operation creates inherent hazards for fire and explosion. Based on published
statistics and adjustments for facility design and operation,it is estimated that major accidents
at the modified refinery would have 1 chance in about 700 years of causing offsite property
damage compared to 1 chance in 300 years for the existing refinery. There would be 1
chance in about 7000 years that an accident at the modified refinery could result in injuries
to the general public compared to 1 chance in 6000 years for the existing refinery. This
impact is not considered significant.
The project area could be subject to substantial ground shaking during a major earthquake
on the San Andreas, Hayward, or Concord faults. Foundation designs that can withstand this
level of ground shaking are in common use today. Tall, narrow structures like the refinery
process equipment that have used modern foundation designs have withstood similar ground
accelerations. To address possible earthquake effects, a geotechnical investigation of the
project site would be made prior to final design of the grading plan and of the foundations
of the proposed structures. Recommendations from this investigation would be used to design
the facility.
The modification project would increase the number of tanker trucks shipping petroleum
products from the refinery to local markets by 124%. This would increase the probability
of accidents on local roads from the refinery to I-80 involving these trucks from 1 chance in
11 years to 1 chance in 5 years. The probability that an accident involving a tanker truck
would result in a spill and fire would increase from 1 chance in 28 years to 1 chance in 13
years. This would be a significant impact, which would be minimized by instituting truck
routing controls and development of spill and fire emergency response plans.
The increased need for petroleum feedstocks with the modification project and the increased
production of fuel would increase the number of railcars coming in and out of the refinery.
Q:%91%5768.1(91CO295H)\10 S-10 M0714931531
SUMMARY
The probability of a rail accident resulting in a spill would increase with the project from I
chance in 2000 years to 1 chance in 200 years. The probability that there would be a railcar
spill and fire would increase from I chance in 6000 years to about I chance in 500 years.
This is not considered a significant increase in risk to public safety.
Odor
The proposed project includes odor abatement equipment which is part of the 1990 Consent
Order with the BAAQMD. In addition, installation of refinery-wide computerized controls
would reduce the opportunities for odor-causing upset conditions by improving steady-state
operating conditions. For these reasons, the project would not cause a significant odor
impact. Event with the measures proposed by Pacific Refining, there would occasionally be
an incident where odors would be detected by some residents of Rodeo. These incidents
would result from human error or equipment failure.
Noise
The major contributors of noise in the vicinity of the refinery are vehicular traffic, railroad
traffic, and refinery operations. Based on noise measurements conducted at residences in
Rodeo adjacent to the refinery property, current noise levels are within accepted standards
recommended by the City of Hercules and Contra Costa County. Much of the noise created
by existing refinery process equipment is blocked from Rodeo neighborhoods by the storage
tank farm situated between the process equipment and those neighborhoods. These tanks
would also block noise from process equipment installed for the modification project. The
design of the new ground flare would also reduce noise levels. It is expected that noise from
the modified refinery would continue to be within accepted standards for residential
neighborhoods. Therefore, the project would not cause significant noise impacts.
Visual Impact
The modification project would be visible from Rodeo, a small portion of the Foxboro area
in Hercules in the hills to the east of the refinery, San Pablo Avenue, San Pablo Bay, parts
of 1-80, and the North Shore Business Park. The project would not result in a significant
visual impact. While visibility of project facilities would be relatively low because they
would blend with the existing refinery structures, the sensitivity of viewers would make this
QA9115768.1(91CO295B)\1 I S-11 M0714931531
SUMMARY
a moderate visual impact. This impact would be mitigated by planting trees around the
boundary of the property. The new ground flare is designed to screen the flame from view
and help minimize light and glare.
Utilities and Public Services
The proposed project would require an additional 800 gallonstminute of water. The East Bay
Municipal Utility District (EBMUD) can meet this increased demand; however, the pipeline
network serving the refinery would require upgrading. EBMUD has indicated that the
increased water demand for the project would be a significant impact on the District's supply.
This impact would be mitigated to an insignificant level by plumbing the refinery to accept
treated wastewater from the City of Hercules wastewater treatment plant. Up to 600
gallons/minute of treated wastewater could be used by the refinery if it meets appropriate
specifications for industrial uses.
The Rodeo-Hercules Fire District would require additional equipment and personnel training
to fight fires at the modified refinery. Requirements for additional equipment may be met
by the expansion of firefighting systems at the refinery and tax revenues generated by the
project for the District. Pacific Refining Company would work with the Rodeo-Hercules Fire
District to ensure that they are adequately equipped and trained to assist refinery personnel
in responding to a major emergency at the facility.
Transportation
Traffic associated with operations of the modified refinery would not substantially increase
congestion on local roads, I-80, or Route 4. Construction-related traffic would cause short-
term congestion on 1-80 and Route 4 during the a.m. and p.m. peak hours. Pacific Refining
would evaluate staggered shifts to minimize this impact, but a complete work day would
overlap either the morning or evening rush hours.
Increased tank truck traffic associated with the modification project would increase
maintenance requirements on local roads. Pacific Refining Company would pay for any
necessary road maintenance associated with traffic generated by the project.
Q.X91\5768.1(91CO293B)l12 S-1
M0723931424
SUMMARY
Water Quality
The modification project would increase the refinery's treated wastewater discharge to San
Pablo Bay by about 100% from 220,000 to 450,000 gallons per day. The proposed
modifications of the wastewater treatment plant would decrease the concentrations of most
water quality constituents, but the increased discharge would increase the mass loading of
pollutants to San Pablo Bay. These mass loadings would remain below the discharge limits
for the refinery established by the San Francisco Bay Regional Water Quality Control Board
(RWQCB). Consequently, the project would not have a significant impact on the water
quality of San Pablo Bay.
Cultural Resources
The project would be sited on an archaeological site that may have had initial occupancy
from as early as 1500 B.C. to about 1500 A.D. The project site is also expected to contain
vertebrate fossils that would be important to local paleontological research. Resources that
could be lost from construction of the project would be salvaged prior to site clearing and
grading to mitigate impacts.
Biological Resources
Project construction would result in the removal of approximately 71 acres of vegetation,
including 0.75 acre of isolated wetland. There are no native habitats remaining on the
refinery property. As a result of industrial development and grazing,most vegetation consists
of weedy invader species and ornamentals that provide poor wildlife habitat. These biological
impacts are not considered significant. Impacts to vegetation and wildlife would be mitigated
by replanting and landscaping. The discharge from the modified refinery would not
significantly impact marine organisms.
ALTERNATIVES TO THE PROPOSED PROJECT
A variety of alternatives were identified during the course of environmental studies that had
some potential for reducing or eliminating the significant impacts of the proposed project.
All but three of those alternatives were eliminated from consideration in the Environmental
Impact Report because they were specifically excluded from consideration by recent
QA91%576K1(91CO295B)123 S-13 M0715931424
i
SUMMARY
legislation, they were infeasible, or they did not achieve the basic objectives of the project.
The alternatives considered in the EIR are summarized below.
Process Low Sulfur Crude Only
Processing all low sulfur or sweet crude oil at the modified refinery has been considered as
an alternative to the crudes being proposed for the facility. This alternative would result in
a slight reduction in the cumulative land use conflict and PMl0 impact of the project, but
would not reduce these impacts to a level of insignificance. In addition, world market
conditions make it economically infeasible to obtain a long-term supply of sweet crude.
Install Odor Abatement Equipment First
Under this alternative, Pacific Refining Company would first install the. odor abatement
equipment proposed for the project and prove that odors can be controlled before they are
permitted to construct the remaining modifications. This alternative would have the same
features as the proposed project but they would be constructed in two phases with a
monitoring period between phases.
Although this alternative would assure that some of the odor reduction benefits of the project
are realized, and the objectives of the project would ultimately be achieved, it would not
eliminate or reduce any of the significant impacts identified for the proposed project. This
alternative would also delay project implementation by three or more years. By remaining
out of production for this length of time, Pacific expects to loose its share of the fuels market.
Install Clean Fuels and Odor Abatement Equipment Only
This alternative would result in the elimination of the proposed cogeneration units. This
would result in a minor reduction in the PM10 emissions from the project and would not
reduce any of the other significant impacts of the proposed project. Elimination of the
cogeneration units would increase the risk of power loss to the refinery since PG&E would
be the only source of electricity to the facility. This would increase the risk of upset
conditions at the facility.
QA91%5768.1{91CO295B}\14 S-14 M0716931109
transcript of item S .4 from September 21, 1993
Supervisor Torlakson: S .4 is Supervisor Smith' s item regarding
Pacific Refinery.
Supervisor Smith: Yes, I asked this item to come before us
because as you' re probably all aware, the clean fuels project at
Pacific Refinery is due to be in front of the City of Hercules
Planning Commission next week and because of the particular
.location and community problems that have occurred I thought it
was reasonable for this issue to come before the Board of
Supervisors . As you' re all very well aware I'm sure, the
community of Rodeo is immediately adjacent to the refinery. On
the border of Hercules . Hercules has the lead agency position
and responsibility for dealing with this application, however,
the people of Rodeo are truly the community that will be impacted
by whatever happens at the Pacific Refinery site . And because of
that and because of the competing issues that are involved with
this application, specifically the need for clean fuels and
certainly the need for jobs and stimulation of the economy, but
also the overriding need for safety in the community and freedom
from health risks, I thought that the issue of host community
mitigation should be brought to our board and I was hoping that
we would hear from both Community Development and from the public
and get some comments from the Board and I ' d like to make a
recommendation after we hear those comments .
Supervisor Torlakson: Thank you Supervisor Smith, comments from
staff on the process and where we' re at with the EIR.
Catherine Kutsuris : Certainly, I just have a couple quick
comments . This items was before the Board probably a year and a
half ago. Their original EIR was issued in June of last year.
You asked us to respond to that document . We did. We felt the
document had a wide range of deficiencies and asked that a new
draft EIR be prepared and that' s what' s been done . We will be
doing our review of the documents this week I believe. The close
of comments is either Thursday or Friday of this week.
Supervisor Torlakson: Thank you. That' s the status on it . We
do have some speaker cards on this item. Supervisor Smith, could
we ' hear from those individuals at this time. Mike Coody to be
followed by Lynn Cherry and Doris Reese.
Mike Coody: I'm just here to ask the Board of Supervisors to
protect me . I live in Rodeo and Pacific Refinery has dumped
stuff on me numerous times . It' s not just something that just
started recently. It' s not something that will come up in the
future . Excuse me . Oh no, I just have some information yeah. I
have here nine cards from the air quality Board. Everytime I
make a complaint, they have to come out . I get my voicing
through the air quality. Each one of these complaints is a major
problem. The impact report says they have no major problems .
It' s wrong. I have the air here. This is the air from Rodeo.
It' s stinky air. It comes from my front porch. I shouldn' t have
to live with this and if the expansion problem goes on, I will
have more of this air for you. I' d like to leave this for you
because it' s something that will kill people . Thank you.
Supervisor Torlakson: Thank you for your comments . Lynn Cherry.
Lynn Cherry: My name is Lynn Cherry. I live in Rodeo and as you
know, Rodeo is an unincorporated area of Contra Costa County.
The residents of Rodeo look to you people the Board of
Supervisors to protect our community from this refinery that' s in
the City limits of Hercules . I believe it' s your responsibility
to make sure that County staff has adequate time to adequately
review the EIR, make sure that the Health Department has time to
review all the health studies, to make sure that absolutely
everything is safe to protect us . It doesn' t matter that you' re
going to receive all these additional tax revenues that probably
never come to the community of Rodeo. They' ll be spent elsewhere
in the County. We feel that you should do everything possible to
make sure we' re protected and don' t allow there' s other
alternatives that aren' t identified really well in the EIR as far
as design criteria and alternatives for the plant . Right now
Pacific Refining is supposed to be closed and then they backed
out on the closure . A lot of the people in the community feel
that they are going to close but it' s pretty apparent that they
are planning either to sell or continue with operations to spend
this much money on an EIR. And we feel it' s important that the
word gets out, that everybody knows what' s going on and you try
to fund the Health Department to continue with the health studies
and stuff that they've like to have done for quite a while .
Thank you.
Supervisor Torlakson: Thank you for your testimony Mr. Cherry.
Dorris Reese . Good morning.
Dorris Reese : Thank you very much for asking us to I mean
allowing us to come before you. I have here a copy of the EIR
that I would like to leave for Dr. Brunner or Dr. Walker to
review the health part of it for us . This has to be in the 24th
is the final date and we please like to have that done because
it' s very, very important to our community. Supervisor Smith had
said that he was going to try to help us get a health study done
within our community because we have lots, and lots and lots of
health problems . In fact, the community is traumatized that' s
the truth. We feel very helpless, very hopeless and we feel that
only the Board of Supervisor can help us . Air quality with Sunne
and Tom sitting on it has been hearing the things about Pacific
Refinery for four years, five years, six years, ten years . Okay.
And we appreciate their help. They have tried to bring it before
air quality due to the fact that we have had thirty according to
air quality 38 percent more confirmed violations than any other
industry in the whole entire nine. county bay area air quality
district which is very substantial because we, the receptors,
dehumanized, are called the receptors . We the human beings in
Rodeo are the recipients of all of this contaminated air quality
that we've been breathing. There' s something that' s very
disturbing to us that is not being addressed in the EIR and that
is the Pinole/Rodgers Creek Earthquake fault which last year in
May I believe was discovered to be probably the Pinole fault
adjoining the Rodgers Creek fault . Rodgers Creek fault is by
U.S . Geological survey supposed to erupt with a 7 . 5 within the
next twenty five years . We have had pinpointed in Rodeo Sunday
was another example of a 3 . 5 earthquake . 5 . earthquake in the
last three years . I have the form at home . And it' s all very
possibly due to this Pinole fault which is maybe a couple
thousand feet from Pacific Refinery. This give us great alarm
because the Hayward fault is 4 . 5 miles away and it also has the
major quake that is supposed to happen in U. S . Geological survey
it says that the pipes will separate from the units . There will
be explosions . There will be fire . We feel that since we are
right on the boundary for the refinery, which they built in 63
twenty to thirty years after our homes were built, we will be the
recipients of all of the explosions, all of the fires and we need
them to not be there though we need a buffer zone at the very
minimum thing. They are addressing a buffer zone in the EIr and
they' re saying that it can be a concrete wall along with a very
small earthen thing. This isn' t sufficient . The concrete will
all be sitting on the pipes which are sitting on our fencelines .
Great big huge 36, 24 inch pipes with 2400 pounds of pressure on
them that have hot petroleum going through them. We feel if
these do explode that the concrete will be thrown into our
backyards through our patio doors into our homes . That' s
serious . That cannot be . We have to address it more in a 50
foot or something like that earthen bound excuse me berm that
will actually with the pipes being set behind that and it will
actually buffer part of the explosion from our homes and you know
to think that we refit our bridges, we refit everything that we
have buildings to go with the idea that this earthquake will
happen and yet we are retrofitting something that' s in our
backyard or removing it is it' s unconsciousnable and I can' t say
enough about the fear in the community. I feel responsible that
something greater hasn' t been done than it has because I went to
meeting after meeting with the community and said Oh Please let' s
just let the system work for us . Let' s no sue . That isn' t the
answer. That' s just money in a lawyer' s pocket . Let' s let the
system work. Well, the system isn' t working because we' re still
dealing with the fact that things like the buffer zone are not
sufficient to protect us . The pipes are not being addressed to
be removed behind earthen berms . I mean stink is one thing but
that is nothing to us . We' re actually concerned with our
livelihoods, with our lives being threatened from this facility
being so close . The CEQA says that everything else that is being
done can have extra property that you can demand that they move
but with refineries this is not applicable. We cannot demand
that they move back to a safe distance . With property like from
the old powder plant . That would get it away from us . All we
would get would be the stink. We wouldn' t get the fall out . We
wouldn' t get the oil that comes down on our heads . Our school
has been closed. Oil droplets all over our children' s arms when
they' re out in recess . Children with asthma. Myself with
asthma. These things are something that we just feel that it' s
much greater than uncomfortable stink that comes from two miles
away. It is on our heads and we feel that you must, must do a
health study for us . You must please, please put in comments of
the health risk to us . Thank you very much.
Supervisor Torlakson: Thank you for your comments . The last
speaker I have on this is Ralph Edwards from Pacific Refining
Company.
Ralph Edwards : Good morning Chairman Torlakson, members of the
Board, my name is Ralph Edwards with Pacific Refining Company.
Just a couple of brief statements . Maybe some of you have seen a
recent flyer that was put out by CBE relative to our proposed
project . You may have noted in that flyer CBE even stated that
the situation has improved. Air quality has improved in Rodeo
over the past three years which reflects in the fact that we have
gone above and beyond and will continue to go above and beyond to
improve the operations of our facility. I think the City of
Hercules is the lead agency on the EIR. That' s their shot . They
call it . They run it but we've gone and asked to meet with the
community of Rodeo and Hercules to discuss what their concerns
are . What can we do. I mean I' ll stand right here today and
look at Dorris Reese and say if I relocate those pipes across the
street will you support my project . If this is your concern,
we' ll relocate it but I want your support . I mean we can' t go
on. I say we' ll. do this and you come back with something else .
I listen to Dorris today. I listen to everyone else today. I
listen to these mis statements about oil droplets on the school,
the school closing because of the refinery so it' s inferred.
That' s not true . That' s an exaggeration of the fact . We are
prepared to sit down with the folks of Rodeo and of Hercules and
work this out if they' re willing to sit down with us but we
haven' t found anyone over there yet willing to sit down and
honestly discuss with us . I mean what we hear is shutdown. Well
we' re not going to shut down. You know, we' re trying our
darndest to stay alive and survive . We' re not going to give it
up but if that' s their point that we have to close then no we' re
not going to reach any settlement . We' re not going to reach any
agreement because we' re not going to agree to that . I mean we' re
willing to work with you come up with some resolution but let' s
be honest let' s be fair about it and let' s be above board about
it . Thank you.
Supervisor Torlakson: Thank you, Ralph. There is a question
from Supervisor Bishop.
Supervisor Bishop: I believe Miss Reese used that number and I
probably should have asked her about it but she talked about
Pacific Refining and 38 percent more violations . Could you
respond to that .
Mr. Edwards : I don' t know where the number came from. I could
probably get hold of the air board and find out what their
numbers are and either confirm or deny it but just off the top of
my head, I really don' t have an answer to that Gayle . I mean I
will admit that well no in fact even the recent numbers in the
EIR reflect I don' t recall what they were but somewhere in the
EIR they talk about a percentage of complaints in Contra Costa
County but I can' t maybe there' s a copy in there .
Supervisor Bishop : She used the nine Bay Area Counties . She
used that as . . .
Mr. Edwards : I think what' s in the EIR is just Contra Costa
County if I'm not mistaken. It' s somewhere in there but I don' t
recall what it is .
Supervisor Torlakson: Thank you. Appreciate everybody' s
comments on this item. Supervisor Smith.
Supervisor Smith: Well, actually, I think the root of the
problem goes back to things that we don' t directly have control
over, the fact that this refinery is placed right on the border
of Hercules right next to a community and that the refinery
really was designed initially as a sort of skimming operation for
high quality crude to make a quick buck, that was before the
current owners owned it and obviously there is now a mandate to
move ahead with the clean fuels project but I have reviewed the
EIR myself and I freely admit I am not an expert in the subject
but from my understanding of the EIR and the concerns of the
people in the community, there are a number of deficiencies and
particularly what strikes me as being a real problem is there is
not a focus on directed host community mitigation. A number of
the issues that are brought up a number of the impacts that are
brought up, the mitigations are addressed but they' re not focused
on the community of Rodeo and the particular impacts will be
there . So, what I would like to see the Board do is authorize
and direct the staff of Community Development to comment on all
the deficiencies which they have noted and to focus their
comments on host community mitigation related to Rodeo and any
impacts or further problems that they can identify that could be
mitigated should be commented on. I would also like to see us
authorized Health Services Department to proceed with a health
risk assessment in the community of Rodeo because in many ways we
are operating blind in the sense that- we don' t have our own
investigation, our own studies of what the risks are there if any
and I know personally I am greatly concerned by what I heard from
community members but I don' t have the fact and figures there at
my fingertips and i think that we should ask Health services
Department to come up with those facts and figures so that we can
more adequately address the concerns of the people of Rodeo. So,
I would make that motion of those two parts and ask the Community
Development to keep us further appraised of any future events and
as this application proceeds through the process and the third
issue that I would like address is that it' s been brought up in a
4.
number of different forums that we might proceed better if there
was a group convened of representatives from the City, the County
and the Community and the industry to try to work through some of
these mitigation issues and I would be happy to do that if it was
the Board' s desire . I have a few concerns about that issue and
specifically the concerns are that I think we need to start from
the same basic understanding that we need to investigate all of
the potential problems involved and if we were to convene such a
group we need to understand that we don' t have a designated goal .
Specifically, we' re not there to come up with mitigations for a
project that we' re presuming is going to occur but rather that we
want to investigate the potential problems and impacts that are
there and also I think we would need to have the commitment from
the City of Hercules for the County to be involved because I know
I 've mentioned this in the past to the City and City
representatives and they have been thoroughly negative about the
idea of getting the County involved in such a group. so, two
actions suggested and one other issue for us to discuss .
Supervisor Powers : Mr. Chairman, I would be glad to second the
motion. I think that the one thing that stands out is that
somehow the health risk assessment has to be paid for and I would
assume that that would be a part of perhaps a sit down with the
County and the community and perhaps Pacific Refinery to try to
work that out and the City yes . The . . .
Supervisor Smith: There also might be money from their
inspection fees that project inspection program that we just
implemented.
Supervisor Powers : Okay, without committing to a particular
budget amount, I think the idea of having that health risk done
is excellent . Sunne and I of course have been working on this a
long time and I think Sunne even more than I and I think she may
have some light on it as well but what I found is it' s really,
this refinery has the most difficult task of all and that is
because it is close to the backyards of people and the operating
procedures that have historically occurred in the refinery have
resulted in a lot of fines and have resulted in a lot of
mistakes . I do think the company that now operates it is
committed to being a good neighbor and I really think that you
have to give them the credit for doing that . We have been
monitoring them at the Air Board and have made major commitments
to improving the problems that the community desired to be
improved. Flares systems and a whole series of about 22 million
dollars worth of improvements and there was a negotiation that
came together between representatives of the community, the
attorneys, the pipe trades, the refinery and the Air Board
blessed that and somewhere after that I don' t know what happened
internally with the company that it decided maybe not to go
forward or at least it stalled that going forward but we may not
have the power to stop this . I think that needs to be
underscored. We could if we could recreate the situation, we
would not recreate the refinery in the location it' s in. I think
that' s a conclusion that almost everybody would reach but the
fact is that they are legitimately going forward with an
application process that is going to be reviewed by the City of
Hercules and it is very possible that it will be passed and it
will be legally established. I think given that risk that people
have to understand that there is if there are problems, we need
to sit down and work em out and do the best we can in that
process and I wholeheartedly support the community and the
refinery representatives, the City and the County to get together
to try to do that . I do not think it' s right to throw the glove
down at this point and say we' re going to stop you at all costs
because we may not be able to do that and so some process is
worthy of consideration and likewise to have our staff point out
the issues that they've found we' re deficient including the
health staff which Dorris has given us reports for so I would
support what Jeff has said without committing any money out of
the County' s General Fund.
Supervisor Torlakson: Yes, as I understand the motion is to
explore the feasibility and get a report back on the cost and
timing and issues and some of those issues may be resolved in
part of the response in the EIR too. I mean some of those health
risk issues are an analyses that the Air Board other agencies go
through in terms of issuing their permits . Other comments from
the Board, Supervisor McPeak.
Supervisor McPeak: Mr. Chair, there is a longer history than
anybody wants to recall . We do have a current agreement among
all the parties that Tom has outlined and we had to separate that
out from any modernization. In 1990, there had been an agreement
a consent order that the Board Air Quality Management District
entered into with Pacific Refining giving an opportunity for
Pacific Refining to if they could go through the approval process
with Hercules to combine the improvements that were needed for
safety and odor modification or minimization to be coupled with
their modernization project . Well we got down to the wire and
Pacific Refining wasn' t able to meet that deadline so they were
uncoupled. Now, what we have is an agreement about the tanks
along the fence line which we discovered in all of this turn out
to be a major source of odor and had not been identified by the
Fleur Corporation in 1985 and we started this in 1986 and that' s
a major problem. We also added what we call the big ticket
items, the flare gas, the sulphur recovery unit and the
wastewater treatment plant, those things are what we call big
ticket items and were to be done by Pacific Refining. Then they
shut down the refinery. Now, we' re back into quite honestly
trying to figure out if there' s modernization but the refinery' s
still in operation as far as I'm concerned, the agreement with
the Air District goes forward no matter what . In terms of the
modernization, the motion on the floor, I do support it with the
direction that I think' s been given by Mr. Powers and that is
that we look for a funding source on the health risk study or the
health assessment study other than the County General Fund. And
that ' s the kind of comment that should be in our comments on the
EIR, requiring that Hercules require that to be done and etc . and
etc . and then we could sit down with them. On the last item, the
County is first in the business of protecting public health and
we've got that responsibility throughout the County including
Rodeo. We are also interested in retaining jobs and an
industrial base . So, we' re in the vise and I've not seen the
same kind of interest on behalf of any other agency except air
quality management district to do something about the community
of Rodeo. Hercules has not chosen at this point as lead agency
to convene everybody in the room. That is what should be done by
a lead agency but since they won' t, I think the Countyhas to
because of the public health issues and we' re also interested in
the industry and the job issues . I personally don' t think that
should be done by the two of us who represent you on the air
district . We've got our battles at the air district and
responsibilities and we've got the agreement with Pacific
Refining and Rodeo community and the pipe trades and the district
that we' re trying to implement and so I do come down on the side
of trying to take advantage of Jeff' s leadership and ask that he
convene that kind of a dialogue . If the City of Hercules chooses
not to participate, there' s not anything we can do. But I do
believe that there are council members who will see the benefit
of thiskind of a dialogue . We hope this isn' t as difficult as
some of the other consensus processes we've been through in Rodeo
but it probably will be . It should be it' ll be as challenging as
helicopter issues I promise . And what we find is it does take
time though. I think Lynn would agree that RCA will sit down and
it takes several months to work through all the issues but it' s
better to start now than to wait till later and if we don' t do it
somebody' s going to walk in this room and say either support or
oppose the project and we' re going to say we don' t we can' t
support it the way it is, we might be able to support it if
things were changed and then we are still going to be faced with
the long arduous task of what things should be changed.
Supervisor Powers : Right .
Supervisor Torlakson: Well, all good comments . And I think by
themotion, we' re asking Jeff as the District Supervisor to
further explore and pull together meetings to discuss the idea of
a group that would work through some of these issues . I think
comments have been beneficial in looking at the issues that need
to be further addressed but also underscoring that we have a
company here that is providing employment, is looking to invest a
lot of money in the County to sustain future employment and be
part of the economic base of Contra Costa County. We have lands
that area zoned industrial and set up as the place where these
kind of activities take place . It' s unfortunate historically
where some of these industrial areas are located that we have
residential communities right adjacent . We have to work
sensitively as I think this motion asks us to work sensitively
with those residential communities . So, I think the improvements
that Pacific Refining has accomplished in the last few years just
need to be continued and there is good will and good faith there
to be drawn on by the community in a dialogue as Supervisor Smith
has outlined, so with all that understood, are we ready to vote .
Anything further Jeff you' d like to say on the motion? all in
favor say aye . any opposed. any abstaining. That passes 5-0 .
WE thank everyone that' s been here on this item.
PACI FIC REFI N I NG COM PANY
A Joint Venture of Sinochem and The Coastal Corporation Subsidiaries
OPEN LETTER TO PACIFIC'S NEIGHBORS
Dear Neighbor:
Recently you may have received an open letter and a notice from the Rodeo Citizens Association ("RCA"),
concerning Pacific Refining Company. Pacific understands the questions and concerns that some of our
neighbors may have about the refinery's current operations and our plans for the future. We want you to have
accurate information so that you can form a knowledgeable opinion about us.
There are many inaccuracies in the open letter and notice. However, it is a fact that Pacific Refining Company
does not plan to close down permanently. On April 27th, Pacific announced a plan to suspend refining
operations at the end of June. This plan was based primarily on poor economic conditions in our industry and
financial losses over a two year period. I am pleased that we subsequently signed a product sale agreement
which enabled Pacific to continue refining operations with better financial results.
The April 27th announcement also emphasized our intention to complete the permitting process for our
proposed modification project. Federal and state regulations require that Pacific and other California refiners
produce cleaner, reformulated fuels. We must modify our plant in order to make these fuels.
During the past several years, Pacific has worked very hard to improve our operating record and establish
cooperative working relationships with the communities of Hercules and Rodeo. We believe that it is essential
for us to continue focusing on these priorities, both now and in future years. As stated in the RCA notice, "the
quality of the air in Rodeo has improved over the last three years." I want you to know that Pacific and its
employees have been dedicated to this goal, and we are pleased that improvements have been noted.
Pacific's objective is to continue operating our facility in a safe, clean and reliable manner. We want to keep
all our people employed and continue our contributions to the economic well-being of the local communities.
We currently employ more than 200 people in California and our business activities generate another 400 to
600 jobs.
You should be aware of the following facts.
The Improved Fuels Modification Project was announced 3 years ago and the original design has not been
altered. The project is important because the reformulated fuels produced by Pacific will provide significant
environmental benefits locally and throughout California. Local employment opportunities and financial
benefits will also result from the project.
• Use of Pacific's cleaner fuels will result in cleaner air for the Bay Area.
• The project incorporates equipment, technologies and programs which are more stringent than current
Air District requirements. The potential for odors will be reduced.
• Between 600 and 800 new, temporary construction jobs will be created by the project. The modified
refinery will need about 80 new, full-time, permanent employees. These new jobs will provide
employment opportunities for area crafts people, including local residents.
180 EAST OCEAN BOULEVARD,SUITE 800 4901 SAN PABLO AVENUE
LONG BEACH CA 90802 HERCULES,CA 94547
(310)499-4400 (510)799-8000
FAX(310)499-4433 FAX(510).799-8042
TLX 3736300 TLX 910-482-5481
.I r-
• Construction of the project will result in $70 to $100 million in local wages and benefits.
• Once operational, the modified refinery's purchases of local services and materials are expected to
increase by about $13 million, to a total of $25 million annually. Local property and utility tax
revenues will also increase by $6.5 million annually.
• The project will improve overall plant reliability and add safety features.
Obtaining permits for the modification project and continuation of refining operations will also help ensure
Pacific's ability to continue its community support programs. We take pride in the success of our community
programs, particularly the annual Senior Health Fair.
Pacific Refining Company wants you to get involved in the project permitting process. A public hearing
on the project's Environmental Impact Report is scheduled for Monday, September 27, 1993 at 7:30 p.m. at
the Hercules City Council Chambers, located at 111 Civic Drive, Hercules, CA.
Bring your questions and concerns. We want you to know the facts about our company and the Project,
including its potential impacts and benefits. I look forward to seeing you there.
Sincerely,
ENIC111H 1Chairman& Chief Executive Officer
COMMUNITY NEWSLETTER
Volume 7,Number 2
PACIFIC
August 1993
P N
REFINI
NGC. O:m A. Y
A JOINT VENTURE OF SINOCHEM AND THE COASTAL CORPORATION SUBSIDIARIES
PRC Announces Susension
• p
of • EIR-Update
Crude OSI• Then Wins The
second draft of the Environmental
Contract to Produce impact Report(EIR)issued for Pacific
Refining Company's Improved Fuels
Asphalt Flux Modification Project was issued on July
23 for public comment by the City of
Hercules.Hercules is the lead agency
for the project under the California
Pcif'ic
Environmental Quality Act(CEQA).
Refining Company,which Written comments on the draft EIR
announced plans to suspend crude oil will be accepted by the City of Her-
operations at the Hercules refinery in cules until 5:00 p.m.on September 15,
June,will temporarily produce an 1993.A hearing to enable the public to
ingredient for an asphalt manufacturer. comment on the draft EIR is scheduled
Pacific believes it can capture a for September 14,1993. A final EIR
unique corner of the petroleum will then be developed and voted on
market by converting about for certification.The City of Hercules,
one-third of its fuel oil pro- the Bay Area Air Quality Management
duction to asphalt flux, District and other relevant public
.used in making asphalt roofing and agencies will subsequently use the
paving materials. It will also realize a ation, product distribution terminals, certified EIR as the basis for considering
savings by shipping the additional as- blending, rack marketing and interna- Pacific's permit applications.
phalt flux by truck versus the cost of tional operations will continue. The Major permits being sought by
transporting fuel oil by vessel. company plans to serve its customers Pacific area"Conditional Use Permit"
Sluggish economic conditions in the through its existing supply and disfribu- from the City of Hercules and the
refining industry and the large additional tion infrastructure, including wharfs,rack "Authority to Construct'from the Bay
investment that would be required to terminals and blending facilities. Area Air Quality Management District.
produce new fuels mandated by federal Ralph Edwards, director of Environmen- Related to this,an Improved Fuels
and state laws forced Pacific Refining to fal and External Affairs; said the asphalt Modification Project labor agreement
announce the decision in late April that it flux contract is to run through Oct. 31, has been ratified by both Pacific and
would suspend crude oil processing when construction projects typically wrap the Contra Costa Building Trades.
operations. up for the winter. At that time, Pacific has
"A number of business factors, includ- the option to shut down the refinery and
ing narrow margins which have plagued turn it into a terminal for products refinedS1
ln� *de
the refining industry in recent years and by others. Efforts to identify other oppor-
the deteriorating business climate in tunities will continue, he said.
e
California, combined to make suspen- Pacific will continue with its plans Margaret � �
Sion of operations the only prudent for a plant modification project which Home '
lay
course of action for our company,"said would allow it to produce cleaner- Rodeo,-Crockett
Joseph E.Sparano, chief executive officer burning gasoline and dieselfuelin
of Pacific Refining. compliance with state and federal Bob
Pacific's announcement indicated that regulations that are to take effect in theCommunityoPanel
with any suspension of its refining oper- the next three years. (1
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Margaret Cheveres, loss control supervisor at Pacific,also coaches
refinery's so
the softball and volleyball teams
. 5k
.w5.
family. Everyone works together for the
same thing."
Albert Cheveres played shortstop and pitcher on a division-winning While her work is important,her son,
Pinole Hercules Little League team _ Albert, 11,takes precedence in Cheveres'
ife. As a single mother,she has al I the
? responsibility.for her son,as well as all the
half inch influenced Margaret the state. I thought why not. III try it. pleasure. Her face lights up when she
Cheveres life and career.That fraction Operations technicians are the people speaks of him.
was a loss to law enforcement, but it was who really run the plant, she said. "I "We have a very close relationship.We
a definite gain for Pacific Refining Com- had to learn the process flow. Without talk and play sports. I think that has created
pany. knowing that,you dont know where the a special bond,too. Sometimes,we re-
Cheveres is a loss control supervisor at product goes." verse roles,"said Cheveres. "We're able to
Pacific,where she coaches the refinery's Cheveres has held several positions at talk and relate to each other."
softball and volleyball teams. She is also Pacific, including terminal supervisor She admits to being very protective.
.active in the community as a coach of her responsible for loss control and hazard- "I'm trying to let him grow more,to give
son's Little League baseball and soccer ous waste, and safety supervisor. The him more room. He's been in the Hon-
teams. loss control department,which she now or Society for the past three years,"she
Cheveres had considered law enforce- _ announces proudly,then follows that
merit before-starting-at'Pacific 16 1/2 years-- news with the fact that his soccer team,
ago. She was working as a secu rity guard o Terminators 2,took first place in the
to pay her way through Cal iforn is State • , o o o ' o West Contra Costa Youth Soccer
University at Hayward,where she was o o
League. Coincidentally, she is one of
taking Physical Education and Criminal the coaches.
Justice classes. "I really considered be- Albert play's shortstopand itches in
coming a police officer, but when I took o � o � ' o p y p
the Pinole-Hercules Little League, on the
the physical exam, I was one-half inch too West Coast FAB-sponsored team. The
short for the minimum of 5-feet-7." team won first lace in its division with
p
She so impressed her supervisors at the supervises,oversees the loading and a 13-3-2 record, and participated in the
security firm she was offered a job as unloading of vessels to ensure there is Tournament of Champions in Alameda,
-regional manager. But it meant going to no loss to the company. We make sure but was eliminated in the second round.
another state, a move Cheveres was-not we get what we're paying for, such as A coach for the past two years,
i ncl i'ned to make. not paying for the water in the crude,"
Cheveres was proud of the team. There
Cheveres was also noticed at Pacific. she explained.
are some excellent players on the team.
There was an opening for an operations She prefers working at a smaller, The all worked ver hard and real
�technicia.n. I was offered the job. The independent refinery like Pacific. "I like y y Y
deserved winning the division.
pay was good and I didn't want.to leave working at a small plant. Everyone
knows each other. We're one big
I
PACIFIC REFINING COMPANY,COMMUNITY NEWS VOLUME 7, NUMBER 2
ommunity Ado eo- roc e
Paneleac on ut
Bo s its u .
tOur ighborsoe
Haven in an erIN g:g:0: SM 1:0
............
of Closing .s=y y Industries throughout Contra Costa are
reaching out to their communities through
,
�,E,, Community Advisory Panels
...... �............. .\..:..,fes.. .......r
....::....:..:..::...
Member companies o the Chemical Man
..... ufacturers Association(CMA)are involved
,
,.
�u� ,
. ::... .. in n initiativeII Responsible
an,yAa
a called Care
Steve Ratto director of the Bos&Girls
Th hal
a:, ,,�:,• ::_.:_: � e h behind Responsible r i
1
,a ;��s; : Y philosophy be d Ca e s
p Y
p
I minbranch l in Martinez.
s ub a oat
Cc ed
iml •whnin
...:....:::.
simple: e industry an communities
1.2ANY
p rY
...:..:....
work together to address mutual concerns
..:::.:.:..
t.
they realize mutual benefits.
.::.::1:;;.;::.i.:::•F:.::::::.F:'::..,..... `b.,: x. ::x, $..::ha.,.w,+„!:..r:F::::::.::'�:'i,\3.,;::•..: ::.:.::..::::ar>.:zf::::::;,....;..:,.,x:.:::;:: ..: .
.........:...........:.::.:..
its fundingfrom its annual fall campaign.
40 :... ........... .
............
e] z, , Monies from the campaign are then alto "The benefits of working
..:::......
Q
cat to member aencies.
together11efully, result
,
a;s a;;nf
_
"All l h agencies k n
the a e c es too between a 35%
ry� g
3..
q O
in a better re ationship
/O cut-int eir undin and w i e we
(with Pacific) and a better
have a secured amount of dollars from the
place to live," remarked Rodeo,
,., HousingAuthority,
it s not enough,"said
,aft. ::•`...
r.::..
Ratto.
„�:
pp
Pacific Refining Company is a strong and
Rosemary Lindberg, Rodeo-Crockett Boys& committed supporter of the Boys&Girls
Girls Club branch director and fifteen-year- Club. Bill Kloeblen,director of Employee The overall purpose of all CAPS is to
old Mark Gatdula 1993 Youth of the Year. Relations, is on the Club's Board of Dir- serve as a Iiaison.between the facility and
ectors which meets monthly to discuss fund the community,but a recent study revealed
raising activities and review potential pro- they accomplish much more. The study
jests and programs for the Club. conducted by the Wirthin Group included
The two children stood by the doorway. The Rodeo-Crockett branch offers vari- 252 CAP members from 43 panels and 17
The oldest read aloud the sign taped to the ous recreational activities. It also runs states. The findings of the study indicated
window: Starting July 6,we will only be /Smart Moves"which counsels and uses that 95 percent of the members say they are
open two-and-a-half days a week." role playing to help
"Why v hin w lik taken. p y g p young people deal with satisfied with participation on these forums.
y does e eryt g e e get tae peer pressure and avoiding involvement in Three mayor reasons cited for their satisfac-
away from us?"asked the little one. The drugs and sex. tion are:
oldest shrugged his shoulders,took the "These are confidential small group ses- • CAPs provide an opportunity to be
small child by the hand,and they trudged sions managed by specially trained coun- active in the community.
across the parking lot toward an empty play selors. The target age for the program was • CAP members are encouraged to
yard. 13;but,we have identified children as make recommendations in areas of
For the past four years the Rodeo- young as nine-years-old who are at high community involvement.
Crockett Boys and Girls Club,located at#2 risk and need intervention now, remarked •CAP members are satisfied with the
..California Street in Rodeo,has provided a
Rosemary Lindberg,branch director for the programs responsiveness to needs,
safe,supervised haven for young boys and past six years. questions,and concerns of the
girls to gather, learn,and play. 'It's un-
Mark Gatdula, 15,voted 1993 Youth of community.
fortunate,but lack of funding has�resulted the Year of the Rodeo-Crockett branch, Pacific RefiningCompany established its
i n.cutting back on the days it's open," p y
says the Boys&Girls offers much Community Advisory Panel in February
explained Steve Ratto,executive director of more than diversion. To some of these kids 1991-among the first industries in Contra
the Boys&Girls Club main branch in it's the only place they can find structure, Costa County to do so. Membership is
Martinez. discipline and a feeling of family.The best broad-based and is composed of people
The West County facility is a branch of thing about being a part of the Boys&Girls from the community, including critics of
the Boys&Girls Club of Martinez,Inc., Club is that I can help others." industry,who either work or live in Rodeo
and shares its resources. We are facing a: Donations can be made out to: The and Hercules..Panel members were
said. 0 shortfall for 1993,and 1994, he Girls and Boys Club of Rodeo and mailed selected from a pool of names generated b
said. Y g Y
to 1301 Alhambra Ave.Martinez,CA a core group of civic and community
Accord i ng to Ratto,the U n ited Way gets 94553. leaders.
(Continued on back page)