Why It Matters
A federal settlement requiring a major paper mill in Arkansas to pay $1.5 million for air pollution violations marks one of the largest environmental fines levied in the state in recent years. The case underscores ongoing enforcement of the Clean Air Act and the federal government’s authority to hold industrial facilities accountable for emissions that affect surrounding communities.
What Happened
The Department of Justice, Environmental Protection Agency, and Arkansas Division of Environmental Quality filed a joint request Friday asking a federal judge to approve a settlement against the Domtar A.W. mill in Ashdown, Arkansas. The settlement requires the facility to pay $1.5 million and implement new pollution-control measures to resolve violations of the Clean Air Act.
The mill, which opened in 1968 and has produced fluff pulp since 2016, employs approximately 580 people. During a 2019 inspection, EPA and DEQ officials observed visible emissions from the facility’s brown stock washer system and detected hydrogen sulfide—a hazardous air pollutant—using personal monitors worn by inspectors. Investigators found the mill had failed to properly inspect and monitor equipment for leaks, as required by federal law, and discovered a leaking valve that released uncontrolled and illegal quantities of pollutants.
The settlement agreement requires implementation of enhanced leak detection procedures to be reviewed and revised by a third-party inspector not employed by the mill. The facility must demonstrate two years of compliance before the agreement can be terminated. Melony Martinez, a spokesman for the state environmental agency, described the settlement as “an important step for improving air quality and protecting the environment.”
Adam Gustafson, deputy assistant attorney general with the DOJ, said Domtar is “moving in the right direction to resolve its Clean Air Act violations by committing to properly control pollution and monitor for leaks and substandard facility performance.”
By the Numbers
$1.5 million — total settlement fine amount
580 — approximate employees at the Ashdown mill
2,000+ — people living within 3 miles of the facility
162 — residents living within 1 mile of the mill
50% — share of the fine directed to Arkansas Division of Environmental Quality
2 years — compliance period required before the agreement can be terminated
Zoom Out
The Ashdown mill settlement is substantially larger than typical air permit violations in Arkansas. Between 2022 and 2025, the state imposed air pollution fines that were considerably smaller in aggregate, with a median fine of $2,665 in 2025. Nationally, the average air permit violation fine stands at approximately $9,000, meaning this settlement is roughly 167 times the national average.
The case reflects broader federal enforcement priorities under the Clean Air Act, which grants the EPA authority to inspect industrial facilities and compel compliance with emissions standards. Paper mills, which release volatile organic compounds, methanol, and chlorinated compounds including chlorine dioxide and hydrochloric acid, have long been subject to heightened regulatory scrutiny due to the nature of their manufacturing processes and proximity to populated areas.
What’s Next
The settlement now enters a 30-day public comment period before the federal judge considers formal approval. Once approved, the consent decree takes effect immediately, binding the facility to the pollution-control requirements and financial penalty. The Ashdown mill, headquartered parent company Domtar of South Carolina, must begin implementing revised leak detection procedures and maintain compliance documentation for review.