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Chevron owners say gasoline leak was ‘tragic accident’ and worry about facing cleanup costs

By Hannah McIntyre, Walla Walla Union-Bulletin
Published: February 1, 2024, 8:10am

WALLA WALLA — The Washington State Department of Ecology has sent a letter to Stillwater Holdings LLC Chevron’s owner, indicating that the gas station owners could be held responsible for the cleanup costs of the downtown gasoline leak.

The letter titled Ecology Preliminary Determination of Liability: Stillwater Holdings Chevron is addressed to Ben Kleban of Stillwater Holdings LLC. Kleban has owned the gas station since October 2022.

‘Total shock to us’

Kleban said he and his wife purchased the Chevron with the intention of turning the store into a hometown hub of grab-and-go food, the perfect pitstop for locals and tourists alike.

“At the time of purchase, extensive environmental testing and due diligence identified no issues,” he said. “The discovery that the station may have been the source of a gas release came as a total shock to us. It has not only devastated our downtown, but it has also devastated our neighbors, our business, our employees, and our family.”

The Department of Ecology letter, which was dated Thursday, Jan. 18, confirms that because of a hazardous substance release at Stillwater Holdings Chevron site, cleanup is necessary under the Model Toxics Control Act, or MTCA. In the letter, Ecology officials propose finding Stillwater Holdings liable under the MTCA based on evidence through tightness testing and product fingerprint testing.

Kleban said since the discovery of the gasoline leak, the underground storage tank sites have been monitored daily through tank inventory reconciliations as well as having the monitoring wells along Second Avenue and Rose Street checked on a frequent basis for any upticks in contamination. None have been reported.

“So far so good,” he said.

Potential liability

The DOE letter identifies Kleban as a “potentially liable person,” or PLP. The letter offers Kleban the opportunity to respond by either accepting his status as the potentially liable person, challenging it or choosing not to comment. If Kleban accepts the PLP status without admitting liability, the letter said the process would be accelerated through a voluntary waiver of his right to comment.

“The opportunity for there to be an agreed order, as I understand it, could expedite the project to excavate the current tanks,” Kleban said. “We are pleased about that possibility. We would like to see that happen as soon as we can.”

The letter states that if someone is found responsible for releasing harmful substances at a location, they are fully responsible for paying all the costs to clean it up and fix any harm to nature. If the Department of Ecology spends money to investigate or clean up the area and the responsible person doesn’t pay back those costs, the department can place a lein on the property where the issue occurred, so the cost is reimbursed to the state.

“We aren’t a large corporation from out of town with deep pockets,” Kleban said. “We’re a local, family-owned small business in a small town with limited resources. The potential financial liabilities we are facing are completely overwhelming. The state of Washington taxes its citizens at the pump every day to fund environmental cleanups like this, but applications for those funds have been frozen for four years. Where does that leave us? We’re just fighting to survive and keep our heads above water every day.”

Uncertain cost

Nick Acklam, section manager for the Washington State Department of Ecology Toxics Cleanup Program, said Ecology initially determined the release of gasoline could be traced to the Chevron property. Ecology confirmed this in a letter sent to Kleban that was dated Nov. 21.

“Based on the data collected and presented, Ecology has determined that a release of product has occurred at the Stillwater Holdings Chevron from the UST (underground storage tank) system that has significantly impacted multiple parcels of property, including at least the Marcus Whitman Hotel and the property at 106 N. 2nd Ave.,” the letter said.

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Officials for the Marcus Whitman Hotel and Conference Center, which was evacuated because of the gasoline leak, have said the hotel has shouldered more than $1 million in remediation costs to get the hotel up and running again. They have also continued to pay for monitoring and pumping in the basement to ensure the air remains healthy for hotel guests and employees. It is unclear whether hotel officials will seek reimbursement for the costs.

Acklam said Ecology does not allocate costs and the impacted properties would need to work with Kleban for reimbursement of incurred costs such as ventilation and groundwater pumping.

Acklam said Stillwater Holdings Chevron has been in compliance with Ecology regulations and the pace to remove the underground storage tanks, which is scheduled for April, is appropriate. He said the cleanup has proven to be more complex than most.

Uncertain future

Meanwhile, Kleban said he is worried about the future of the gas station and the investment he and his wife made when they purchased it.

“We appreciate any support from the community. This was a tragic accident that has come as a shock to everybody. It has been financially hard on our (business) neighbors, but it has been especially difficult for us with very limited financial resources. It’s a very large mountain to climb, but we are going to try to do everything we can.”

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