Stericycle (SRCL) Resolves EPA Investigation in Utah

Stericycle, Inc. (Nasdaq: SRCL) today announced it has entered into a settlement agreement with the United States Environmental Protection Agency (EPA) to settle a civil investigation into alleged air emission exceedances at its North Salt Lake, Utah, incineration facility that occurred more than seven years ago between September 2012 and May 2013.

As part of the settlement, Stericycle will contribute $2 million to support a Supplemental Environmental Project to replace older, higher-emitting school buses in the Davis County School District and will pay a civil penalty of $600,000 to the United States government. Since vehicles are one of the leading causes of air pollution, the Supplemental Environmental Project will improve air quality in the area and aligns with Stericycle's core purpose of protecting people, promoting health and safeguarding the environment.

The settlement with EPA follows an administrative settlement with the Utah Department of Environmental Quality, which conducted its own investigation into the alleged exceedances and issued a Notice of Violation in 2014, the first and only citation for an emissions violation experienced in the facility's history.

Stericycle previously elected to cease incineration operations at the facility and relocate to a more suitable site. While incineration will cease in July 2022, this site will continue to be owned and operated by Stericycle as a collection and transportation facility.

Since 2014, the company has implemented a number of improvements at the facility, including new air pollution control equipment that has lowered emission levels beyond the already stringent limits for Hospital, Medical, Infectious Waste Incinerators. Results from two separate, independent Utah Department of Health studies have demonstrated that emissions from the facility present no health risk to the surrounding community.

Stericycle, under new leadership, has aggressively pursued improvements to its compliance program over the past several years across the entire company, including significant investments in team member training programs, new facility equipment, the development of expanded standard operating procedures, internal and external auditing programs, and other tools for environmental compliance management.

Stericycle is thankful that this matter has been concluded and looks forward to continuing to support the healthcare community in the greater Salt Lake region.

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