FAIRHOPE, Ala. — The state environmental agency issued a “notice of violation” this month to the builder of a bank on U.S. 98 near the entrance to the Rock Creek subdivision for alleged violations of environmental law in May that resulted in dirt flowing from the construction site into a nearby creek during a heavy rain.

“We have issued an NOV for BancorpSouth,” said Scott Hughes, spokesman for the Alabama Department of Environmental Management. “We will consider (the builder’s) entire action and response to this notice of violation to determine whether we need to impose an administrative order with civil (monetary) penalties, or take no further action. I think the (builder) has been pretty diligent since the violation (occurred), and we will be taking that into consideration.”

The environmental agency sent the NOV letter on Aug. 1 to Peter Gaillard of Gaillard Builders Inc. of Mobile for the incident that occurred on May 16. The letter states that Gaillard Builders has 30 days from receipt of the letter to submit a written report showing the steps that have been taken to correct the violations outlined in the letter.

“Please be aware that due to the serious nature of these violations, the Department is considering additional enforcement to include possible civil penalties,” wrote James E. McIndoe, chief of ADEM’s water division.

One local environmental leader believes the agency’s action may have relevance to the recent stormwater runoff incident at another U.S. 98 construction site, where a planned unit development is being built that will include a controversial Publix supermarket.

“I think Regency (the developer of The Shoppes at Fairhope Village) will recognize that Gaillard is going to have to pay serious money to clean up the site,” said Jim Horner, chairman of the Fairhope Environmental Advisory Board. “There are a lot of eyes looking at the stormwater runoff situations in the area. I think Regency has gotten the message that they can’t continue to have red clay going into Fly Creek and keep getting off scot-free.”

The Aug. 1 letter from ADEM to Gaillard stated as follows:

“The following deficiency(s) or violations noted during the inspection constitute(s) violation(s) of the Alabama Water Pollution Control Act:

“1. Appropriate, effective Best Management Practices (BMPs) for the control of pollutants in stormwater run-off have not been fully implemented and regularly maintained to the maximum extent practicable resulting in the potential for uncontrolled discharges of sediment and other pollutants to Rock Creek, a water of the State of Alabama.

“2. Sediment accumulation in the sediment basin or other treatment structure appears to be excessive, resulting in the significant potential for noncompliant discharges from reduced treatment/storage capacity.

“3. Significant accumulations of sediment were observed offsite and in State waters downgradient/downstream of stormwater discharge outlets at the facility.

“4. Old equipment, containers, debris, trash, garbage, etc., and other solid waste materials have not been managed as required by the (registrant) to prevent potential discharge of such materials and associated pollutants into waters of the State.

“5. Disturbed areas not undergoing active disturbance or active construction and progressive construction for longer than thirteen (13) days did not have temporary vegetative cover and/or permanent vegetation to prevent/minimize erosion.”

The letter also included a one-page report noting the alleged violations. Of the 22 items evaluated on the ADEM report filed May 22 by the local ADEM field office, 16 received “U” or “unsatisfactory” ratings, three received “I” or “needs improvement” ratings, and three received “S” or satisfactory ratings.

The items listed as unsatisfactory were: BMPs maintained, slope stabilization, streambank protection, BMPs effective, annual vegetation, diversion berms, topsoil management, off-site erosion, perennial vegetation, sediment basins, off-site sedimentation, on-site erosion, off-site/up-gradient drainage diverted, BMPs implemented, inlet protection, other (sediment in wetlands). The items listed as needs improvement were: general housekeeping, silt fencing and straw/hay bales. The items listed as satisfactory were: permit verified, facility ID displayed and off-site vehicle tracking.

Gaillard Builders did not respond to a request for comment for the story, nor did Hutchison, Moore and Rauch, the project engineering firm, based in Daphne.

Horner said that the stormwater runoff problems at both the BancorpSouth and The Shoppes at Fairhope Village sites demonstrate the need to upgrade minimal BMP standards and increase the enforcement capability within Fairhope city government.

Horner said he did not think ADEM would impose any monetary penalties against Gaillard for the May incident where a large quantity of sediment was reported flowing into Rock Creek.

“ADEM needs to ramp up its fines to make it a real deterrent to builders,” said Casi Callaway, executive director of Mobile Baykeeper.