January 12, 2011 Meeting Minutes




JANUARY 12, 2011

John Polak, Chairperson, called the Drycleaner Environmental Response Trust Fund Council of Illinois meeting to order at 10:06 a.m. A quorum was present. Roll call was taken with the following members present:

John Bredenkamp (via telephonic conference)
Young B. Kim
Paul Kwak
Charles Kwon
Jerry Lewicki
John Polak

Also present were:
H. Patrick Eriksen, Program Administrator's Office
John McCarthy, Program Counsel
Yong Kim, Program Administrator's Office


The minutes from the December 1, 2010 Council meeting were reviewed. On a motion by Mr. Lewicki and a second by Mr. Kwak, the minutes were approved by a vote of 6-0.

  Site #0001089 - Golden Hangers Cleaners, 589 Roosevelt Rd, Glen Ellyn, IL

Mr. Eriksen reviewed with the Council background information on Golden Hanger Cleaners, located at 589 Roosevelt Rd in Glen Ellyn, IL, noting Mr. Young S Kong had operated the facility until January 27, 2010. Illinois Department of Revenue (IDOR) records indicate Mr. Kong paid his 2010 license fee on January 2, 2010, but he failed to submit a license renewal application and the required paperwork and a drycleaning license for 2010 was not issued. In March 2010, the Fund received a letter from Mr. Kong indicating when the drycleaning machine was removed and that the facility has operated as a drop store since January 27, 2010 and would be closing permanently on March 31, 2010. The letter included an invoice documenting removal of the solvent from the drycleaning machine,  a copy of the lease reflecting it was terminating as of the end of March 2010, and pictures showing the drycleaning machine and related equipment had been removed at the facility. Based on this information, the Fund closed their file and deemed the facility to no longer be an active drycleaning plant.

The Fund issued a letter dated April 7, 2010, stating they had received the documentation submitted to show the facility ceased operation and acknowledged the drycleaner’s request to have the 2010 license fee refunded. The Fund letter indicated the annual licensing fee is due for the entire year and the fee is a non-refundable fee and since the drycleaner had stated in writing he had operated the facility through January 27, 2010, the 2010 license fee could not be refunded. In early November 2010, the Fund received a letter from Mr. Kong, again requesting the 2010 license fee be refunded to him. The Fund responded with a letter stating they were unable to refund the license fee as the drycleaner operated the facility during January 2010.

Mr. Kong addressed the Council stating he had been a drycleaner for over 25 years and did not purchase any solvent in 2009, as he had received notice from the landlord that he would have to close the store as his lease had been terminated. His boiler broke down in 2009 and he operated as a drop-off store in 2010 until the facility permanently closed at the end of March 2010. Mr. Kong indicated that he could show evidence the boiler was inoperable and that a claim was filed with his insurance company. Mr. Kim asked if he had any documentation to show he had sent out all of the drycleaning to be done by a third party. Mr. Kong stated he did not operate the drycleaning machine in 2010 and all pressing was done by the drycleaning facility where he sent his drycleaning.

After a lengthy discussion, Mr. Polak recommended to the Council they postpone making a decision to see if Mr. Kong could provide to the Administrator and the Council the following information:

1)  Copy of the repair invoice noting the date the boiler was repaired.
2)  The insurance claim filed for the broken boiler.
3)  Copies of invoices reflecting that all drycleaning was being sent out to another drycleaning facility.

On a motion by Mr. Kim and a second by Mr. Lewicki, the Council voted 6-0 to defer making a final decision on this facility until the above information requested could be obtained.


Update on Clean Technology for Commercial Clothes Cleaning Task Force Meeting:


Mr. Eriksen reviewed with the Council the Clean Technology Task Force for Commercial Clothes Cleaning’s report to the Illinois General Assembly purusant to House Resolution 1174. During the discussion regarding transferability or sale of existing third generation  drycleaning machines, the question was asked if the business operation was sold to a new drycleaner, could the purchaser of the facility continue to use the third generation drycleaning machine? Mr. Eriksen stated that issue was not specifically discussed in the task force meetings but he would clarify that information with members of the task force.

The Illinois Environmental Protection Agency (IEPA) is drafting legislation based on the Task Force report and will be circulating it to the task force members for their review and comments in the near future. Mr. Eriksen stated he would keep the Council updated as to the status of this legislation.

  B. Solvent Classification:

Mr. Eriksen informed the Council that a drycleaner recently contacted his office regarding the classification of a new drycleaning solvent that is being used in Illinois that has not previously been classified as either a chlorine-based or petroleum-based solvent for solvent taxing and licensing purposes. The new solvent is labeled Fabrisolv XL.

According to the solvent’s MSDS sheet, the main substance is n-Propyl bromide, which is listed as composing greater than 94% of the total ingredient weight. Mr. Eriksen noted it is his recommendation the Council classify Fabrisolv XL as a chlorinated solvent for purposes of calculating the annual licensure fee and the applicable solvent tax per Section 65(a) of the Drycleaner Trust Act. This classification would be consistent with the Council’s classification of DrySolv, which is also an n-Propyl bromide solvent.

After additional discussion by the Council, on a motion by Mr. Bredenkamp and a second by Mr. Kwon, the Council voted 6-0 to classify Fabrisolv XL for puposes of the Trust Fund Act as a chlorine-based solvent.

Mr. Eriksen reported he has been in contact with Kreussler, Inc. regarding the chemical makeup of their solvent, SolvonK4.  This is a new solvent that is just being introduced in the United States and currently the chemical makeup of the solvent is not being publicly disclosed due to patent issues. He will seek more information and request Illinois EPA’s toxicologist review the information to determine if it can be classified as a “green” solvent for Trust Fund purposes.

  C. Audit of Compliance Programs:

The Council last conducted an audit of the five (5) Council approved compliance programs on February 26, 2010. Based on the results of this audit, the Council modified some of the compliance program requirements at their August 25, 2010 Strategic Planning Meeting. These modifications went into effect the last quarter of calendar year 2010. Compliance program CEU information for calendar year 2010 is due to the Administrator by February 1, 2011. Does the Council wish to audit the compliance programs in the next several months or does the Council wish to defer the next audit until calendar year 2012?

After discussion by the Council, on a motion by Mr. Lewicki and a second by Mr. Kwon, the Council voted 6-0 to defer the next audit of the compliance programs until calendar year 2012.


Mr. Eriksen noted there were three (3) bills included in the Council packet for the Council's review and action.

  1. John J. McCarthy                                          $1,780.00
Professional legal services to the Council for the period of November 23, 2010 through January 11, 2011.
  2. Williams & Company Consulting, Inc                 $10,749.00
Standard flat fee billing for December 1-7, 2010, licensing, underwriting, claims processing and site inspections.
  3. Williams & Company Consulting, Inc                    $55,344.00
Standard flat fee billing for December 8-31, 2010, licensing, underwriting, claims processing and site inspections.

Mr. Eriksen stated Williams & Company’s December bill was split to reflect pricing adjustments per their contract with the State.

On a motion by Mr. Bredenkamp and a second by Mr. Lewicki, the Council approved the bills as presented by a vote of 6-0.


Mr. Eriksen reviewed with the Council that as of December 31, 2010, there were 1,138 licensed drycleaners; in comparison, as of the end of 2009, there were 1,167, which is a decrease of 29 licensed drycleaners.

As of January 11, 2011, the Fund has licensed 380 drycleaners versus 381 drycleaners licensed through the same date in 2010. Applications received to date total 480, as compared to 422 received through the same date in 2010.

Insured drycleaners totaled 561 as of December 31, 2010, compared to 592 as of December 31, 2009.

Remedial claims decreased by 60 during calendar year 2010, with open remedial claims totaling 277 with estimated reserves of $31 million.

The Fund balance as of December 31, 2010 was $3,333,755, which compares to $4,239,006 as of December 31, 2009; fiscal year-to-date claim payments total $1,560,303.

After additional review by the Council, Mr. Polak suggested the Administrator develop a score card outlining the successes the Fund has experienced in obtaining No Further Remediation (NFR) letters on the sites receiving remedial program benefits from the Fund. He suggested using the last Strategic Planning meeting data as a starting point and updating monthly the score card for review by the Council.


Mr. Eriksen noted there were five (5) claims in excess of $75,000 requiring Council review and authorization.

  A. Royal Cleaners, Des Plaines, IL - Claim #50438, Site #0002242:

Mr. Eriksen reviewed background information with the Council noting the facility has been released for $100,000 in funding and substantial site investigation work has been conducted at the drycleaning facility. A pilot study was completed in September 2010 and was successful in demonstrating the ability of the chemical oxidation to effectively reduce the free-phase PCE. However, confirmation sampling did indicate additional free-phase PCE existed at the site, which had not previously been identified.

The Administrator is requesting $17,000 in additional site characterization costs to delineate the source of free product and determine if additional groundwater contamination exists.

On a motion by Mr. Lewicki and a second by Mr. Bredenkamp, the Council approved the budget request of $17,000 for additional site investigation costs by a vote of 6-0.
  B. World's Largest Laundromat, Berwyn, IL - Claim #50208, Site #0001207:

Mr. Eriksen noted the site has been released for full funding and is not subject to prioritization. Several remedial methods have been implemented at this facility and initial excavation of approximately 50 cubic yards of PCE contaminated soil was completed during construction of a new building at the site.  As part of the building construction, an extensive Soil Vapor Extraction System (SVE) was installed, with the start-up of the system occurring in June 2007. The consultant has conducted preliminary soil sampling at representative locations to ascertain if remedial objectives have been met.  The results of the sampling indicated the goal of remediating to less than the default Csat of 240 ppm has not been achieved.  As such, they are proposing to take 3 soil borings in un-impacted soils in order to obtain a site-specific fraction of organic content (FOC) sample.  Using this information, they will develop site specific target limits of contamination for submittal to IEPA that may be above the default target limits and provide closure for the site. The consultant is requesting $6,600 to conduct the additional soil testing.

On a motion by Mr. Bredenkamp and a second by Mr. Lewicki, the Council, by a vote of 6-0, approved the additional $6,600 in soil sampling costs.
  C. Classic Cleaners, Decatur, IL - Claim #50045, Site #0001103:

Mr. Eriksen noted this site has been released for $100,000 in funding and the Administrator is requesting approval for $3,746 in additional costs for higher than anticipated drum disposal costs.

Mr. Eriksen reviewed background information noting the initial invoice for drum disposal was disallowed as it exceeded the Council’s approved budget. Information subsequently provided corroborated the drum weights invoiced by the waste hauler and the Administrator is recommending paying an additional $3,746 in drum disposal costs.

On a motion by Mr. Bredenkamp and a second by Mr. Lewicki, the Council, by a vote of 6-0, approved $3,746 in additional drum disposal costs.
  D. Concord Custom Cleaners, Rockford, IL - Claim #50214, Site #0001120:

Mr. Eriksen noted this drycleaning facility has not been released for full funding but $100,000 has been released for additional remedial work at the facility.

Several site investigations have been conducted at the facility in order to delineate on and off site groundwater contamination. The consultant has been attempting to get a risk-based closure on the facility and has used Tier 3 modeling to define the groundwater plume. IEPA is needing to review the MODFLOW model of Tier 3 groundwater modeling done by the consultant but does not have the staff to complete the review and is requesting an outside consultant (RELPE) be hired to complete the review.  The estimated cost for this outside review is $5,850, including a contingency fee.

On a motion by Mr. Lewicki and a second by Mr. Kim, the Council voted 6-0 to approve the additional site investigation costs for an outside expert to review the Tier 3 modeling per the request of Illinois EPA.


Mr. Eriksen stated he had one (1) more budget request for Council review that he carried in to the meeting.

  E. The Best Cleaners, Aurora, IL - Claim #50087, Site #0002587:

Mr. Eriksen noted this drycleaning facility has been partially released for funding in the amount of $25,000 and he is requesting approval of $750 in consulting costs related to working on IEPA’s Community-Right-To-Know (RTK) program requirements.

Mr. Eriksen reviewed background information on the facility, highlighting the Community-Right-To-Know (RTK) program requirements.

On a motion by Mr. Kwon and a second by Mr. Kim, the Council voted 6-0 to approve the $750 in additional consulting costs.


The next Council meeting is tentatively scheduled for February 23, 2011. The Holiday Inn in Naperville has recently been sold and is now closed for a 14-month period for renovations. It was the consensus of the Council that the current meeting location at the Wyndham was satisfactory.

Mr. Eriksen noted the Auditor General’s Office will be beginning the fiscal year 2010 audit field work sometime towards the end of February and staff has been working on the fiscal year 2012 budget per the request of the Office of Management and Budget. The dollar amount being requested is the same as fiscal year 2011, which is $5,360,000.


Ms. Heidi Kang, representing the National Drycleaners Institute (NDI), distributed a handout to the Council members from NDI.

There being no further business, on a motion by Mr. Lewicki and a second by Mr. Kwon, by a vote of 6-0, the Council meeting adjourned at 11:40 a.m.

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