ON THE AFTERNOON OF SEPTEMBER 18, 1988 AN INSPECTOR REPRESENTING THE ALABAMA DEPARTMENT OF ENVIRONMENTAL MANAGEMENT (ADEM) WAS IN PHENIX CITY, ALABAMA TO OBSERVE THE ASBESTOS ABATEMENT PROJECT BEING PERFORMED BY CIC INSULATION COMPANY, INC. AT THE PHENIX CITY HALL AND ANNEX BUILDING. THIS ASBESTOS RENOVATION PROJECT IS SUBJECT TO THE NATIONAL EMISSION STANDARDS FOR HAZARDOUS AIR POLLU- TANTS (NESHAP), 40 CODE OF FEDERAL REGULATIONS (C.F.R.) PART 61, SUBPART M, THE IMPLEMENTATION AND ENFORCEMENT OF WHICH WERE DELEGATED TO THE STATE OF ALABAMA UPON APPROVAL IN THE JUNE 10, 1985 FEDERAL REGISTER (FR) 50 FR 24196. AT THE TIME OF THE SEPTEMBER 18, 1988 INSPECTION, THE REMOVAL CREW WAS IN THE PROCESS OF SHOVELING REMOVED ASBESTOS-CONTAINING MATERIAL (ACM) WASTE INTO BAGS. THE ACM IN THE OPEN BAGS AND ON THE FLOOR AND THE OTHER SURFACES WAS FOUND TO BE COMPLETELY DRY, EXHIBITING A POWDERY TEXTURE. A SAMPLE OF THE ACM WAS SCOOPED OFF OF THE FLOOR FROM A COURTROOM ON THE SECOND FLOOR OF THE BUILDING. DEFENDANTS THE CITY OF PHENIX CITY, ALABAMA AND CIC INSULATION COMPANY, INC. VIOLATED 40 C.F.R. SECTION 61.147 (E)(1) BY FAILING TO ADEQUATELY WET THE FRIABLE ASBESTOS PRIOR TO DISPOSAL DURING THE RENOVATION PROJECT.