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Contamination ties up park deal

Because of a communication breakdown, county officials didn't know some land had been tainted.

By DAVID DeCAMP
Published October 5, 2006

HUDSON - Earlier this year, Pasco County officials thought they had a deal that would lead to the creation of a large waterfront park overlooking the Gulf of Mexico.

Pasco would drop its claim to part of the Sun West Mine near Hudson if the mine's owners handed over 21 acres to combine into a county park. County commissioners unanimously approved the deal in May.

Unknown to top county officials involved in the deal, however, tests showed that parts of the new land and its groundwater had been contaminated with 22 times the state-allowed levels of arsenic and at least five times the state-allowed levels of a low-risk pesticide. A cleanup was ordered to remove oil-stained soil, old batteries and tires.

County officials are now negotiating to get a different slice of land, arguing that Sun West should have told them the original tract was tainted. But the violations were first documented in state Department of Environmental Protection files more than three months before the commission approved the deal.

And that documentation came from the county's own hazardous waste inspector.

County Administrator John Gallagher said he and other officials were unaware of the county's own inspections.

"I've been here 10 years. I didn't know the division existed," said deputy chief county attorney Barbara Wilhite, who handled the deal.

Officials with Pasco and Sun West said a replacement tract of 26 acres could be sliced around the contaminated property south of Race Track Road along Old Dixie Highway.

Sun West Acquisitions spokeswoman Honey Rand said the pollution was limited to a small piece of the mine. The new tract under consideration is uncontaminated, she said. The old tract would not be used by the public.

Gallagher said he is awaiting the DEP's signoff before the county accepts the new property. But Gallagher and Wilhite had no explanation for the communication breakdown with the county's own inspector.

"Of course it bothered me," Gallagher said, adding sarcastically, "No - I wanted to take $3-million and a piece of contaminated land for a park."

"A better question might be, 'Why did the property owners not inform me?' " Gallagher asked.

The answer from Sun West: "At this point, I really don't think it matters," Rand said, noting the dispute should be resolved soon.

The deal came out of Sun West Mine's 2003 bankruptcy case. As part of a related settlement, Pasco would give up rights to 915 acres at the mine, and Sun West Acquisitions would give the county 21 acres and $3-million to develop a park.

Combined with 289 acres the county already owns, the land would become a park with lakes, boat access and possibly a restaurant, snack bar or bait shop. For Sun West, the deal also could clear the way for a 2,200-acre development with a resort.

In January, the DEP sent a complaint to Pasco's hazardous waste division about leaky drums at Sun West's maintenance yard, which is part of the 21 acres.

Pasco inspector George Jancaitis found 10 violations and ordered the company to correct them. According to his reports to the DEP, 560 tons of used oil, 97 tons of waste tires and 29.33 tons - a standard dump truck load - of petroleum-stained soil were taken away by March.

Authorities required soil and water tests, too. Sun West's consultant's report, finished in March, showed that high levels of arsenic and the pesticide, Bromacil, had been found at the site.

The U.S. Environmental Protection Agency does not consider that pesticide a health risk, but some environmental groups suspect that it causes cancer. A state report suggested the contamination was caused by a spill, not overapplication of the pesticide.

After the cleanup, the consultant reported in June that arsenic levels remained above state limits, but were lower than before. Bromacil was essentially undetected.

But none of this information made it to the county officials who crafted the agreement for the 21 acres.

Jancaitis sent his information to the DEP via e-mail. The e-mail was addressed only to DEP officials. He told the Times Wednesday he could not comment without a supervisor's approval.

On May 30, the DEP closed its investigation, although it noted that the "site will need to be assessed, etc."

On July 25, Wilhite and top officials discovered the contamination through a county-hired consultant, according to the court filing. The review came during the county's "due diligence" as it prepared to close on the land, Wilhite said.

The consultant found "significant historical on and off-site environmental concerns," the report said.

On Aug. 16, the county asked the court to hold off approving the deal until Sun West fixed the problems.

The rationale: Sun West knew or should have known about the environmental damage. And it never told the county.

[Last modified October 4, 2006, 23:05:50]