EPA reaches agreement with BP and Atlantic Richfield on $200 million cleanup of Grand Calumet River

The U.S. Environmental Protection Agency reached an agreement with BP and the Atlantic Richfield Company to clean up two sections of the heavily contaminated Grand Calumet River in East Chicago.

The EPA, BP, Atlantic Richfield and the East Chicago Waterway Management District will work on a $200 million project to remove more than 24,000 cubic yards of sediment from the bottom of the river, which runs through the heavy industry in East Chicago's Indiana Harbor neighborhood.

More than 100 acres will be cleaned up where the Grand Calumet River flows into the Indiana Harbor and Ship Canal in East Chicago and in the Lake George Canal that connects the canal in East Chicago to Lake George in Hammond. Refineries, steel mills and other industrial facilities dumped pollution in the river for decades before the EPA was established in the 1970s.

“By working side-by-side with our partners, and leveraging the Great Lakes Restoration Initiative, we’re accelerating the cleanup of contaminated sediments and restoring critical habitat along the Grand Calumet River,” EPA Region 5 Administrator Anne Vogel said in a press release. “This agreement demonstrates the power of partnership to deliver results that matter for people and nature. The impact will be clear: cleaner water, healthier neighborhoods, better fishing and recreation and renewed economic momentum for East Chicago, Hammond and communities across Northwest Indiana.”

More than 2 million cubic yards have been removed from the Grand Calumet River, which was once one of the most polluted waterways in the country, and was so toxic that sludge worms that feed on toxic waste couldn't survive there. More than 12 projects have been pursued with the ultimate goal of removing its listing as an Area of Concern, a designation of serious environmental remediation it received in the 1980s.

It will take 12 sediment remediation and five habitat restoration projects to lift the Area of Concern status.

“This more than $200 million restoration effort will further protect public health, restore one of the nation’s most polluted waterways and unlock opportunities for economic growth and new jobs in Northwest Indiana,” said U.S. Rep. Frank J. Mrvan, D-Highland, in a statement.

The project will remove sediment and restore ecosystems within the Grand Calumet River and Indiana Harbor and Ship Canal in East Chicago and along a one-mile stretch of the Indiana Harbor and Ship Canal in East Chicago and Hammond.

“This investment is more than a cleanup effort. It’s a long‑term commitment to the continued restoration of one of Northwest Indiana’s most important natural resources,” Indiana Gov. Mike Braun said. “Each phase of work on the Grand Calumet River brings us closer to restoring a waterway to the benefit of Hoosiers and steadily reclaiming its ecological health.”

The multiphase sediment remediation project started in 2020. The two new projects will start later this year.

“This project marks a significant milestone and sets the stage for future economic growth and expanded recreational opportunities along our waterways,” said Fernando Treviño, executive director of the East Chicago Waterway Management District.

So far, remediation efforts have restored more than 1,000 acres of habitat in the Grand Calumet River Area of Concern, including globally rare dune and habitat projects. Half of the 12 sediment remediation projects and two of the five habitat restoration projects needed to remove the Area of Concern designation have been completed.

“We appreciate the opportunity to work with EPA and the East Chicago Waterway Management District on the next phase of remediation in the Grand Calumet Area of Concern," said Patricia Gallery, president of Atlantic Richfield Co. "These are important projects that will benefit the city of East Chicago and surrounding Northwest Indiana communities."