ECAP “BE PREPARED” Eric Lassalle Smithfield Foods, Inc. Environmental Training San Antonio, TX August 2011.

ECAP “BE PREPARED”

Eric Lassalle Smithfield Foods, Inc.

Environmental TrainingSan Antonio, TX

August 2011

What is ECAP?

• Environmental Compliance Assessment Program (ECAP)

• Third Party Audit• Team

– Smithfield Foods, Inc.– Hunton & Williams, LLP– ERM or Gannett Flemming

• Program is confidential “Attorney Client Privileged” & not for external use outside the company.

Our Mission

• To be a trusted, respected, and ethical food industry leader that excels at bringing delicious and nutritious meat and specialty food products to millions every day

while setting industry standards for corporate social responsibility.

Our Core Values

• We will constantly strive:

– To produce safe, high quality, nutritious food.– To be an employer of choice.– To advance animal welfare.– To protect the environment.– To have a positive impact on our communities.

ECAP Focus Areas

1. Wastewater2. Storm Water3. Drinking Water4. Water Rights5. Air6. RCRA Non-hazardous,

Hazardous and Universal Waste7. Community Right-to-Know8. Material Management9. FIFRA Pesticides10. Polychlorinated Biphenyl (PCB)

Materials11. Asbestos - Disposal12. Superfund13. Wetlands

14.Lead-based Paint15.Groundwater Monitoring and

Underground Injection Wells16.Risk Management Planning17.Medical Waste18.Spill Prevention Control and

Countermeasure (SPCC) Planning19.OSHA’s Hazardous Waste

Operations Requirements20.Regulated Refrigerant

(CFC/HCFC) Management21.Environmental Management

System Practices22.Facility, Food & Bio Security23.Greenhouse Gases

Why ECAP?

• Assess Compliance Status– Find and correct non-compliance– Implement best practices

• Benchmark Performance

• Training Mechanism

• Goal– 100% Compliance, 100% of the Time!

When – ECAP Cycle

• Year 1 – ECAP

• Year 2 & 3 – OFF

• Year 4 – ECAP

~Schedule may be adjusted by Smithfield Foods, Inc. for extenuating circumstances.

ECAP Process• Pre-Assessment Questionnaire

• Site Visit

• Final draft of Finding & Recommendations– All ducuments shall be maintained only on the Hunton &

Williams workroom– Documentation is not permitted to be transmitted by email,

fax, & other electronic media.

• Report & Score (for internal use only)

• Follow-up (provided as needed)

ECAP Scoring Areas Each facility is scored based directly on the number and priority of findings

 Scores from Each Section % of Score

I. Wastewater 2.0/4.0 50%

II. Storm Water 1.0/4.0 25%

III. Drinking Water & Water Rights 4.0/4.0 100%

IV. Air and Regulated Ref. Management 3.0/4.0 75%

V. RCRA, Superfund, & PCB 2.0/4.0 50%

VI. Community Right-to-Know 3.0/4.0 75%

VII. Material Storage & SPCC 1.0/4.0 25%

VIII. Asbestos 2.0/4.0 50%

IX. Risk Management Plan 4.0/4.0 100%

X. Miscellaneous 3.0/4.0 75%

  a. Wetlands and waterways    

  b. Lead-based paint    

  c. Groundwater monitoring    

  d. Medical waste    

  e. OSHA's Haz. Wst. Op. Requirements    

  f. FIFRA    

  Average Facility Score: 2.5/4.0 63%

ECAP Scoring Criteria

4 Absence of any priority A, B or C findings.

3 Absence of any priority A and not more than one priority B findings.

2 At least one priority A finding and/or more than one priority B findings.

1 More than one priority A finding, or at least one significant priority A finding (e.g., missing permit or plan; reportable violation(s)).

Mean ECAP Score FY03-FY11

0

10

20

30

40

50

60

70

80

90

100

FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11

SMITHFIELD

JOHN MORRELL

FARMLANDFOODS

MURPHY-BROWN

OTHERSUBSIDIARIES

TOP 10 FINDINGS

#1. SPILL PREVENTION CONTROL & COUNTERMEASURE (SPCC)

• UPDATE & IMPLEMENT

- Incomplete Plans

• TRAINING

- Records

• SPILLED MATERIALS

• INSPECTIONS & TESTING

#2. STORMWATER (SW3P)

• UPDATE & IMPLEMENT- Incomplete Plans

• FOLLOW PERMIT REQUIREMENTS• BEST MANAGEMENT PRACTICES (BMP’s)TRAINING

- Records

• INSPECTIONS• RECORDKEEPING• UDATE SITE DRAWINGS with STORMWATER FEATURES

#3. COMMUNITY RIGHT TO KNOW (EPCRA)TIER II & FORM R

• INACCURATE REPORTING

- Sodium Nitrate?

• MISSING RECORDS/RECORDS RETENTION

• REVISE

• DESIGNATE EMERGENCY COORDINATOR

#4. RISK MANAGEMENT PLAN

• UPDATE & IMPLEMENT

• PROCESS HAZARD ANALYSIS (PHA’s)

• TRAINING

• RECORDKEEPING

• COMPLIANCE AUDIT

• STANDARD OPERATING PROCEEDURES (SOP’s)

#5. AIR

• INCONSISTENT PERMIT

• FOLLOW PERMIT REQUIREMENTS

• OPACITY

• LACKS PERMIT/REGISTRATION

• TRAINING

• RECORDKEEPING• REPAIR & MAINTAIN EQUIPMENT• REGULATED REFRIGERANTS

#6. WASTEWATER

• FOLLOW PERMIT REQUIREMENTS

• UPGRADE & REPAIR

• NEED PERMIT

• SYSTEM DRAWINGS

• PROCEEDURES

• ACCIDENTAL RELEASE/SLUG CONTROL PLANS

#7. RESOURCE CONSERVATION & RECOVERY ACT (RCRA)

• WASTE CHARACTERIZATION

• MANAGE & PROPERLY DISPOSE

• LABELING & DATING

• FLOURESCENT LAMPS

• TRAINING• RECORDKEEPING• PERMITS/REGISTRATION• CORPORATE POLICY

#8. MATERIAL MANAGEMENT

• PERMIT/REGISTRATION (Tanks)

• LABELING

• SPILLED MATERIALS

• PARTS WASHERS

• TRAINING & RECORDS

#9. USED OIL

• Unlabeled Containers

• Mislabeled Containers– “Used Oil” not “Waste Oil”

#10 Ozone Depleting Substances (ODS)

• Recordkeeping– Contractor Certification– Leak Rate Calculations– Follow-up Verification Testing

HOW TO “BE PREPARED”!

1. READ YOUR PERMITS & PLANS (e.g., NPDES, Pretreatment, AIR Permits, SPCC Plan or SW3P) and understand WHAT, WHEN, WHO, & HOW is required!

2. MAINTAIN UPDATED & IMPLEMENTED PLANS

3. TRAIN, RE-TRAIN & DOCUMENT

4. Maintain, Document, Communicate & VERIFY!!!– Keep detailed and organized files– Communicate – no surprises, ask for help, follow-up

Thank You!

Questions?

Comments?