Circle K Stores Inc. and Holiday Stationstores LLC failed to properly test, report and fix or replace corrosion protection equipment between 2019 and 2022 at five Minnesota gas stations, according to a Minnesota Pollution Control Agency (MPCA) enforcement investigation.
The stores are located in Northfield, Owatonna, Pine City, Rochester and Walker, Minnesota. The companies have completed needed repairs or replacement of corrosion protection equipment at all five locations where violations occurred and agree to properly report and respond to any future failed tests.
In addition to paying the $200,000 civil penalty, a settlement agreement requires the companies to spend a minimum of $3.25 million to replace underground tank systems at five additional locations.
The equipment, known as cathodic protection, is designed to protect older underground tank systems from corrosion that can increase the chance of leaks and petroleum releases to area soils and groundwater sources. The average age of the underground tank systems at these locations is about 40 years, the agency said. Operating permits require the company to test corrosion protection equipment at least annually, report failed tests to the MPCA within 30 days and fix or replace equipment within 60 days of failed tests.
MPCA staff inspections in 2022 confirmed that each location documented between one and six failed tests that were not reported and that the equipment was not repaired, the agency said.
The five other locations are Beaver Bay, Crosby, Duluth, Forest Lake and Ortonville, Minnesota, to be completed by the end of 2024. The MPCA selected these locations based on their proximity to nearby bodies of water and the age of their systems.
When calculating penalties, the MPCA takes into account how seriously the violations affected or could have affected the environment, and whether they were first-time or repeat violations. The agency also attempts to recover the economic benefit the company gained by failing to comply with environmental laws in a timely manner.
Circle K Stores, Charlotte, North Carolina, and Holiday Stationstores, Bloomington, Minnesota, are both units of Laval, Quebec-based Alimentation Couche-Tard Inc.
- Alimentation Couche-Tard is No. 2 on CSP’s 2023 Top 202 list of convenience-store chains by store count.
Operating in 25 countries and territories, Laval, Quebec-based Couche-Tard’s network includes more than 7,100 stores in the United States, primarily under the Circle K and Holiday Stationstores banners, and approximately 2,100 in Canada under the Circle K, Mac’s and Couche-Tard banners.
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