Minneapolis iron foundry is moving toward settlement with EPA but isn’t yet compliant

The Minneapolis iron foundry that was accused of breaking pollution rules after a surprise inspection last year has made improvements, but still hasn’t done everything it must to comply with the law, according to the U.S. Environmental Protection Agency (EPA).

Brian Dickens, an EPA employee with the agency’s Chicago office, said at a public meeting Wednesday in the East Phillips neighborhood that the federal government is moving toward a settlement with Smith Foundry.

“Compliance is not yet achieved” at the foundry, he said, and the settlement will likely take months to complete. Dickens did not further detail the issues left to fix.

Smith has made iron castings in the East Phillips neighborhood, at 1855 E. 28th St., for roughly a century. Neighbors have been concerned for years about Smith and neighboring asphalt plant Bituminous Roadways, complaining of strong smells and other air pollution. Bituminous announced last year it planned to leave its site by the end of 2025.

A spokesman for Smith said the company would continue to work with the EPA to address remaining concerns.

The foundry became the center of renewed attention in East Phillips after a Sahan Journal article revealed that the EPA had conducted a surprise inspection last spring, finding record-keeping errors, broken ductwork and open doors and windows that allowed dust to escape. The agency also accused the foundry of exceeding air quality limits for lung-damaging fine particles.

The revelation sparked a wave of anger in the neighborhood, with many saying the Minnesota Pollution Control Agency (MPCA) should have caught the problems. Activists and some neighbors are now insisting the foundry has to close.

“Until we have a direct answer to this concrete demand, all the rest of this is theater,” said Charlie Berg, a member of the activist group Climate Justice Committee (CJC), during a press conference Wednesday.

During one of the two public forums held Wednesday by the MPCA and EPA, a woman in the crowd asked whether operations could even be paused temporarily while improvements were made. Assistant MPCA Commissioner Frank Kohlasch said that would require going to court.

“We don’t feel like we’ve got the evidence that would stand up in front of a judge right now,” Kohlasch said, but he added the MPCA would consider court action if it had the appropriate evidence.

Meanwhile, foundry officials have said they’re committed to doing whatever regulators require in order to keep operating. The plant was bought by the Canadian firm Zynik Capital in December 2022.

“I want people to know that we are committed to ensuring clean air and providing people in Minneapolis, including the East Phillips neighborhood, with well-paying, good union jobs,” said Adolfo Quiroga, president of the foundry, in a statement Wednesday.

State officials have publicly disagreed with the EPA over one part of the alleged violations at Smith
whether the foundry actually did break air quality standards. On Wednesday, MPCA Commissioner Katrina Kessler said that those disagreements no longer exist.

“We now understand and that has been resolved,” Kessler said. “I also want to apologize for any mixed messages that may have been sent.”

Smith Foundry officials did not participate in the public meetings. The company touted in its release a recent analysis by state and federal officials showing that it was not currently exceeding air pollution limits in its permit for fine lung-damaging particles.

But the facility’s permit dates to 1992. On Wednesday, the EPA separately announced it was tightening national standards for fine particles, and state regulators said those tighter rules would be part of Smith’s new permit, which will be completed by the end of 2024.

The testing also revealed the plant is releasing lead into the air — though far less than it had reported in the past, using industry estimates. The neurotoxin was a clear concern for people who attended the meetings.

“There is no level of lead that is acceptable for a child, a youth, an adult or an elder,” said Stacey Gurian-Sherman, a CJC member.

Kessler said earlier at the meeting that the MPCA was expanding its enforcement focus beyond Smith this year, and would conduct more surprise inspections of facilities with air permits.

She said the drop-in visits would be focused on environmental justice neighborhoods in Hennepin and Ramsey counties, or in areas that have faced the twin historical burden of pollution and racial marginalization.

The renewed focus would also include asking the Legislature for more funding to allow the agency to maintain the work for the long term, Kessler added. MPCA officials did not immediately respond to follow-up questions on how many inspections could be conducted or how much additional funding it might request.