Metal Recycling

Schnitzer Steel agrees to $4.1 million settlement

California Attorney General Xavier Becerra, along with the California Department of Toxic Substances Control (DTSC) and Alameda County District Attorney Nancy E. O’Malley, announced the terms of a settlement reached with Schnitzer Steel Industries, Inc. for violating environmental laws in the operation of its metal shredding and recycling facility in West Oakland.


The violations involve the release of toxic air contaminants and hazardous particulates from the facility into the West Oakland community and nearby environments, including the Oakland Estuary. The settlement requires Schnitzer to pay $4.1 million for penalties, costs, and supplemental environmental projects to benefit the community, and make significant changes to its operations and practices to protect the health of Oakland residents and the environment.

“Communities in West Oakland already experience a disproportionate share of environmental pollution and some of the highest asthma rates in the state,” said Becerra. “So we won’t sit back while corporate polluters make the situation worse by dispersing their toxic waste into these neighborhoods and surrounding waters. Everyone deserves to breathe clean air and drink clean water. This settlement should serve as a warning to any company that believes it can put profits ahead of people.”

“The investigation of this metal shredding facility and the resulting settlement shows the power of our partnerships with other state and local agencies,” said DTSC director Meredith Williams. “Strong enforcement underscores our commitment to those who live and work in communities impacted by a disparate level of pollution and potential exposure.”

“At its Oakland facility, Schnitzer shreds and sorts metal materials – such as end-of-life vehicles and appliances – which are then sold and transported from the facility for reuse in steel mills and foundries globally. Investigations by the Alameda County District Attorney’s Office and DTSC found that Schnitzer was releasing particulate matter contaminated with hazardous metals – such as lead, cadmium, and zinc – into the environment and neighboring areas, including a number of businesses, a children’s medical office, and the Oakland Estuary, which connects to the San Francisco Bay. The facility is also less than half a mile from a West Oakland neighborhood designated as a “disadvantaged community” by the California Environmental Protection Agency. After being notified of the investigations, Schnitzer enclosed areas of the facility to minimize the dispersal of hazardous particulate matter created by the facility’s operations.

The settlement resolves Schnitzer’s violations of multiple state laws, including California’s Proposition 65, the Fish and Game Code, the Unfair Competition Law, and the Hazardous Waste Control Law.

The settlement requires a monetary payment of $4.1 million. This consists of roughly $1.55 million for civil penalties, $2.1 million for supplemental environmental projects that will directly benefit environmental justice communities in West Oakland, and $450,000 for reimbursement of investigative and enforcement costs.

Schnitzer must also comply with several injunctive terms to ensure future compliance with environmental laws and to protect the health of West Oakland communities.

Published in the April 2021 Edition

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