A county environmental agency in Nevada has fined the Boring Company close to $500,000 after the tunneling firm dumped “drilling fluids” into sewer manholes around Las Vegas, causing what officials describe as “substantial damage” to local infrastructure. The allegations were detailed in a recent notice of violation issued to the company.
According to the Clark County Water Reclamation District (CCWRD), inspectors discovered this summer that Boring Company crews were releasing drilling wastewater into the county system at a project site near central Las Vegas. The violation notice states that employees ignored directions to stop, and that the following day the company “feigned compliance,” resuming the discharges once a manager believed inspectors had left the area.
District crews ultimately had to clear 12 cubic yards of drilling mud, debris, and other waste from a sewage treatment facility due to discharges from two separate Boring Company sites. The toxic fluids, produced during tunneling operations, contain a range of chemicals including MasterRoc AGA 41S, and workers have previously suffered chemical burns from exposure.
These penalties add to the growing list of safety and regulatory concerns surrounding the Boring Company, which is expanding a network of tunnels beneath Las Vegas designed to function as an “underground highway” transporting riders in Teslas.
The agency cited violations of federal regulations and levied a total of $493,297.08 in fines, including more than $131,000 to cover emergency cleanup costs. CCWRD described the conduct as “egregious,” pointing to infrastructure damage and the company’s acknowledgment of the violations. Records show that only one other company has exceeded a $100,000 wastewater fine in the county over the past three years.
Documents indicate that multiple Boring Company leaders attended a September hearing with regulators, acknowledged responsibility, and agreed to avoid expanding operations to new drilling sites until certain requirements are met.
The company did not respond to requests for comment. A spokesperson for the Las Vegas Convention and Visitors Authority—funding partner for the tunnels beneath the Convention Center—said the agency is reviewing the situation and declined further comment.
The investigation began following an anonymous complaint filed with Nevada’s environmental regulators on Aug. 12. Inspectors confirmed drilling waste was actively being dumped into sewer cleanouts and manholes and noted “extensive damage” as a result. The district reports that staff at the sites initially refused to stop.
During a second inspection on Aug. 14, CCWRD claims a Boring superintendent, Filippo Fazzino, temporarily disconnected the illegal hookups but reattached them once he believed inspectors had left. Regulators accused him of downplaying the timeline of the discharges, calling the actions “knowing and intentional.”
Fazzino did not respond to inquiries.
In a letter dated Aug. 15, Boring’s director of legal affairs admitted that “water was improperly discharged to the sewer system,” acknowledged an internal investigation was underway, and said that certain corrective steps were being taken, including sealing leaks and eliminating unauthorized connections.
One current employee, granted anonymity due to fear of retaliation, confirmed that wastewater was being pumped directly into the sewer without required pretreatment.
Founded in 2017, the Boring Company has raised over $900 million from major Silicon Valley investors, according to PitchBook. The venture aims to reduce traffic congestion through high-speed underground travel using Teslas. Despite significant funding, the company has faced delays and multiple workplace safety issues.
Las Vegas remains the only city where the concept is operational, with a four-mile tunnel loop under the Convention Center currently in service. Yet Nevada regulators have issued multiple citations over the past few years. In September, the state’s Bureau of Water Pollution Control fined the company nearly $250,000 for almost 800 environmental violations over two years, including unreported spills of untreated groundwater.
Other incidents have also raised concerns. In June 2023, the company accidentally exposed the foundation of two monorail support pillars while searching for an irrigation line, prompting a temporary shutdown of the monorail system. Clark County issued three violations in connection with the event.
The Boring Company is also contesting eight workplace safety citations issued in 2023 by Nevada’s Occupational Safety and Health Administration, including reports of chemical burns suffered by tunnel workers.
