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Ms. Laurie Casias <br /> September 3, 1993 <br /> Page 8 <br /> party disregards and turns a blind eye to material facts of other <br /> responsible parties . <br /> For a discussion of the legal authority supporting the <br /> Petitioner's request to implement a workplan to establish that <br /> the soil contamination could not have contributed to the <br /> groundwater contamination, please see Section 7 -- Points and <br /> Authorities (Attachment 1) . <br /> (C) SECONDARY LIABILITY. <br /> PHS/EHD denied Petitioner's request to be designated as <br /> "secondarily liable" for the contamination as the Site. PHS/EHD <br /> based the denial on the fact that in naming responsible parties <br /> for the purpose of the LOP, they do not determine the relative <br /> responsibility or liability of the responsible parties. <br /> PHS/EHD denial of Petitioner's request to be confirmed as <br /> secondarily liable was improper because there are responsible <br /> parties available who have contributed to the contamination at <br /> 102 South Wilson Way, Stockton, California. Petitioner never <br /> owned or operated the tanks which caused the contamination at the <br /> former service station on the Site. In fact, the Petitioner did <br /> not purchase the property until seven years after the tanks, and <br /> thus the source of contamination, were removed. Thus, the only <br /> basis for naming Petitioner is its ownership of the land status. <br /> From the beginning, Petitioner has acted in good-faith and <br /> with due diligence in investigating and remediating the <br /> contamination that was discovered at the Site, and by undertaking <br /> extensive measures to obtain regulatory involvement with the <br /> Site. Now, Petitioner is being required to expend far greater <br /> sums on corrective action that is unwarranted, and that <br /> Petitioner in no way caused, while PHS/EHD will not take any <br /> effort to pursue the truly responsible parties. <br /> Many decisions of the State Board have approved this concept <br /> of secondary liability for innocent owners when the active <br /> responsible parties have been identified. Because the State <br /> Board has delegated its authority to regulate underground storage <br /> tank laws to PHS/EHD, PHS/EHD has the authority to make the <br /> designation of primary and secondarily liability on a site in the <br /> LOP. <br /> PHS/EHD has identified Harold and Dena Knowles and Pepsi- <br /> Cola San Joaquin Bottling Company as responsible parties. The <br /> Knowles operated a gas and service station over a period of <br /> K:\3 \17093\D\A0EK3.KEH <br /> 75376-17093/=/09/03/93/4 <br />