The Foundation’s legal and regulatory team is hard at work on multiple fronts with the common objective to protect Jefferson County from the threat of heavy industry.
This update summarizes some of our current legal actions aimed at two key areas:
This work involves analysis of highly-technical and complex topics and it requires consistent and persistent attention because unfortunately our opposition is clever and well-resourced.
Thankfully, generous donors and hard-working volunteers are making our work possible, and we are making progress. If you agree that heavy industry threatens our region’s health, environment, and economy, please show your support by making a fully tax-deductible contribution to THE FOUNDATION LEGAL FUND. Help us keep up the fight!
Environmental Permit Cases
Rockwool claims one of the reasons it located in Jefferson County, WV was the “regulatory environment” and “permitting considerations.” Seems that it got what it came for, unfortunately. Our team has discovered, and is challenging, multiple examples of Rockwool’s being allowed to cut corners and ignore standards and rules that are meant to protect us from contamination of our ground and surface waters.
Background
In order for any entity to disturb more than an acre of ground, a valid stormwater permit is required to protect the ground and surface waters of our region.
When Rockwool’s application for coverage under the construction stormwater General Permit was originally submitted, it was reviewed for only 11 days before approval. In its evaluation of the permit registration application, the Department of Environmental Protection (DEP) failed to note that:
Most egregiously the DEP allowed Rockwool to avoid public comment and notice by failing to require Rockwool to correct its reported “limit of disturbance” and its absurdly short (21 week) construction timeline.
In addition, the DEP did not require Rockwool to reapply for a stormwater permit as mandated, any of the several times their permit was modified. Then the DEP allowed Rockwool to operate without a valid permit for almost a year. These maneuvers further blocked the public’s ability to have input on Rockwool’s stormwater discharge management plan.
Rockwool finally reapplied for coverage last fall and repeated all of the errors noted above. Despite ample public opposition and scrutiny most of the public comments were only addressed in a cursory way and the permit was approved by the DEP. Jefferson County Foundation is appealing this permit (see below).
There is another stormwater permit-related set of issues. In 2019 when the DEP attempted to issue a new NPDES construction stormwater General Permit, that would have imposed more stringent requirements on both Rockwool’s construction project as well as the construction of the Rt. 9 “Super Sewer” to Rockwool project by Charles Town, David Yaussey (a prominent industry-side lawyer who represents Rockwool and multiple companies and associations in the state) filed an appeal to loosen or eliminate these requirements. The EPA, which must approve the changes, said “no.” What did the DEP do then? It disregarded the EPA, and issued an Order that allowed Charles Town to ignore the 2019 permit requirements. The DEP did the same thing for 697 other entities. Now Charles Town is building the Rt. 9 Sewer without a karst mitigation plan as required by the 2019 NPDES permit.
The Foundation’s Legal Challenges to These Environmental Permits
Jefferson County Foundation, and several citizens, have now sued the DEP in both cases – and the WV Environmental Quality Board (which hears initial appeals of DEP actions) has allowed all the players into the lawsuits: Charles Town and CTUB, represented by Steptoe & Johnson; Rockwool represented by Spillman, Thomas and Battle, the lawyers who routinely threaten to sue anybody who threatens Rockwool; and Lee Snyder, represented by Jackson Kelly. This is some heavy legal firepower lined up against our efforts to hold DEP and Rockwool accountable for compliance with the law and the protection of our waters.
But we are making progress and are fully engaged. Last week we filed over 2,000 pages of documents and answered over 60 legal discovery questions filed by the other side seeking such ridiculous and harassing information as the Foundation Board members’ septic tank maintenance records! And, the Foundation just filed our own discovery requests, seeking information about how the DEP could allow these projects to proceed without valid permits. We have asked the EQB to allow us to take a dozen depositions of employees of Rockwool, Snyder, CTUB, and the DEP. We have hired an expert in karst hydrogeology and our technical team members are analyzing the 1,000 pages of certified DEP record in both cases. We are represented by Chris Stroech of Arnold & Baily with help from the Foundation’s team of permitting experts, pro-bono lawyers, and other volunteers,
Both permitting cases are set for hearing in October and November, with deadlines and legal filings due every few weeks before then.
Environmental permits are required for a reason – and the DEP’s willingness to be bullied by the big law firms into sacrificing our water quality in favor of corporate desires for leniency, needs to be exposed and stopped.
Want more information? See our filings here.
Rockwool and Its Taxpayer-Subsidized “Free Money”
In 2019, without addressing the constitutionality of state tax incentives for Rockwool, Circuit Court Judge David Hammer ruled the original Payment In Lieu Of Taxes (PILOT) agreement that Rockwool had entered into with the Jefferson County Development Authority and other regional and local entities was invalid. Not to be deterred, Rockwool sought and obtained a tax-advantaged arrangement, providing for the issuance of up to $150 million in state-backed bonds, through the Charleston-based state agency, the WV Economic Development Authority, again without notice to the public.
On April 23, 2020, the Jefferson County Foundation filed suit in Kanawha County Circuit Court challenging the constitutionality of the agreement between Rockwool and the WVEDA.
Notably, this agreement relieves Rockwool of state and local tax obligations for its property and equipment for 10 years.
Rockwool and its allies have filed two motions in response to the Foundation’s challenge: a motion to dismiss and a motion to move the case to a specialized “business court” where presumably it believes it will receive a more favorable hearing. Jefferson County Foundation has filed responses to both motions and are awaiting the court’s rulings.
Rockwool is represented by the law firm of Spilman Thomas & Battle. The Foundation is represented by Chris Stroech of Arnold & Bailey, Robert Bastrass III of DiPiero Simmons McGinley & Bastrass, and noted constitutional law professor Robert Bastrass, Jr.
The outcome of this case will have statewide implications and we are committed to seeing it through. The West Virginia Constitution promises that everyone will be taxed fairly and equitably. The scheme under which Rockwool gets 10 years’ worth of no property taxes is neither fair nor equitable, and it is not constitutional!
For more information on the Foundation’s challenge to the constitutionality of Rockwool’s tax break, see the filing here.
Support Our Efforts
If you agree that heavy industry threatens our region’s health, environment, and economy, please show your support by making a fully tax-deductible contribution to THE FOUNDATION LEGAL FUND. Help us keep up the fight!