THIS IS A PROPOSED ACTION UNDER SECTION 309 OF THE CLEAN WATER ACT AGAINST SIMPSON PAPER COMPANY. SIMPSON OPERATES A PULP MILL ON THE NORTH SPIT OF HUMBOLDT BAY IN FAIRHAVEN CA. NEAR EUREKA. SIMPSON DISCHARGES WASTE WATER PURSUANT TO A NPDES PERMIT INTO THE PACIFIC OCEAN. SIMPSON HAS CONTINUOUSLY VIOLATED VARIOUS PROVISIONS OF ITS NPDES PERMIT EVER SINCE ITS PERMIT WAS FIRST ISSUED IN 1977. IN 1978, EPA SUED SIMPSON FOR VIOLATION OF THE BOD AND PH EFFLUENT LIMITATIONS INVOLVED IN THE 1978 LITIGATION WERE MODIFIED BY EPA IN 1987. SIMPSON CONTINUED TO VIOLATE VARIOUS EFFLUENT LIMITATIONS IN THE 1977 AND 1987 PERMITS, MOST NOTABLY TOXICITY. EPA ISSUED SIMPSON AN ADMINISTRATIVE COMPLIANCE ORDER ON SEPT. 20, 1988 TO REQUIRE IMMEDIATE COMPLIANCE WITH THE PERMITS EFFLUENT LIMITATIONS. SIMPSON CONTINUES TO VIOLATE THE EFFLUENT TOXICITY LIMITATIONS OF ITS 1987 PERMIT. THIS REPORT EVALUATES THE PROGRESS MADE TO DATE BY THE CITY OF LA IN SATISFYING THE REQ. OF THE AMENDED CONSENT DECREE (ACD), ENTERED IN THE US DISTRICT COURT FOR THE CENTRAL DISTRICT OF CA ON FEB. 19, 1987. THIS REPORT CONSIDERS IN TURN EACH PROVISION OF THE ACD AND THE STATUS OF TEH CITY'S COMPLIANCE WITH IT. EPA REGION 9 SEEKS TO ASSESS A SUBSTANTIAL CIVIL PENALTY AND SEEKING INJUNCTIVE RELIEF AND REQUIRE TIMELY COMPLIANCE WITH THE TOXICITY LIMITS IN SIMPSON'S