# MDC INDUSTRIES INC. (FRANKLIN SMELTING/FRANKLIN SLAG)
> **Judicial** · FY2006 · — · —
## Case
- **Activity ID:** `174163`
- **Case Number:** 03-2006-0136
- **Type:** Judicial
- **Lead:** EPA
- **Outcome:** —
- **Penalty assessed:** —
- **Cost recovery:** —
- **Compliance action $:** —
- **Multimedia (multi-env):** —
## Defendants
- ATLANTIC CITY ELECTRIC COMPANY
- FRANCOS REALTY (SB) (complaint) (settlement)
- FRANKLIN SMELTING AND REFINING CORP (SB) (complaint) (settlement)
- GREATER AMERICAN  & INSURANCE COMPANY (complaint) (settlement)
- MDC INDUSTRIES, INC. (F/K/A METALS REFINING CO(SB) (complaint) (settlement)
- OHIO POWER COMPANY (complaint)
- SALTZBURG, BETTY (complaint) (settlement)
- SALTZBURG, BETTY, EXECUTRIC FOR ESTATE OF DAVID SA (complaint) (settlement)
- SALTZBURG, DAVID ESTATE OF (complaint) (settlement)
- SALTZBURG, SUSAN (complaint) (settlement)
- SATZBURG, MICHAEL (complaint) (settlement)
- SCHWAB FAMILY PARTNERSHIP (complaint) (settlement)
- SCHWAB, ALBERT (complaint) (settlement)
- SCHWAB, ANNE BROWN (complaint) (settlement)
- SCHWAB, ROGER (complaint) (settlement)
- SHELLY MATERIALS, INC.
- UNITED STATES METALS REFINING COMPANY
## Summary

On August 14, 2018, the Director of the Hazardous Site Cleanup Division concurred on the proposed draft Settlement and Policy Buyback Agreement between Great American E&S Insurance Company, formerly known as Agricultural Excess and Surplus Lines Insurance Company (Great American) and MDC Industries, Inc., concerning the Franklin Smelting Site and the Franklin Slag Pile Superfund Site, both located in Philadelphia, Pennsylvania. The Agreement requires Great American to pay $975,913.89. The settlement amount is to be distributed to the United States (85%) and the Commonwealth of Pennsylvania (15%) pursuant to an assignment of rights to liability insurance proceeds under a 2011 Ability-to-Pay Consent Decree between the governments and MDC (and related entities).  The Agreement further provides that the total amount to be paid to the United States shall be deposited in the Slag Site special account to conduct or finance response actions at or in connection with the Slag Site.  Although the governments will not be signing the Agreement, the Director of HSCD has concurred with the terms of the proposed Agreement, and the Agreement will now be sent to MDC and Great American for signature. 

  Because of the inter-connected operations and disposal histories of the two Sites, the U.S. contends that MDC, the principal operator at the Slag Site, is also liable under Section 107 of CERCLA as an operator of the Smelting Site.  Therefore, Great American, as an MDC insurer, should also pr

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