News Release

Utah Department of Environmental Quality

Wednesday, Feb. 8, 2012

Contact:

Walt Baker

Director, DEQ

801-536-4612

Chevron Penalty Money to Fund Water Projects

Red Butte Creek Mitigation Projects Selected

Salt Lake City – Fourteen projects have been selected to receive full or partial funding for waterway enhancements on Red Butte Creek and downstream waters. The $3 million in funding for the projects comes as part of a November 2011 settlement agreement with Chevron Pipe Line Company, which released crude oil and condensate into Red Butte Creek during June and December of 2010. 

Seventeen projects, totaling $5.3 million dollars, were considered for funding after a November call for proposals. As the executive secretary of the Water Quality Board, Walt Baker selected the projects in consultation with Salt Lake City senior staff.

The settlement required that the $3 million fine be used to enhance or protect the waterways harmed by the oil spill.  Chevron also paid $1 million to Salt Lake City for temporary lost use of city assets, including Liberty Park Lake, Red Butte Creek, city parks and infrastructure.  Additionally, Chevron paid a civil penalty of $500,000 to the State of Utah. 

Proponents of the selected projects now must submit detailed design and project information before the projects are authorized to proceed.  The projects must be completed before November 10, 2014 under the agreement. Any funds not spent by that date will be remitted to the state as a civil penalty, ensuring that Chevron pays the full penalty amount.

“This is an opportunity to enhance and protect Red Butte Creek and other waters affected by the oil spill,” said Baker. “The selected projects are in addition to Chevron’s ongoing obligation to complete clean-up measures in the impacted waterways.”

A complete list of project proposals that were considered, including those selected for full or partial funding, is available on the Water Quality Division’s Red Butte web page at www.deq.utah.gov/Issues/redbuttespill.