ARIZONA STATE SENATE
Phoenix, Arizona
municipal
general plan
(NOW: underground
storage tank; fund transfers)
Establishes a Municipal Tank Closure and Corrective Action Program in the Arizona Department of Environmental Quality (ADEQ) to assist small cities and towns in closing orphaned underground storage tanks (USTs) and remediating releases discovered during the closure of those tanks. Transfers unobligated monies in the UST grant account to the newly established municipal tank closure and corrective action program account by the end of 2001.
The state UST program was established in 1986 by the Legislature to implement UST regulations adopted by Congress in 1984. The UST program is designed to prevent and clean up releases of petroleum and other hazardous (regulated) substances into the groundwater, surface and subsurface soils. The state program also provides financial assistance to UST owners and operators for upgrading and removing tanks and remediating contamination from leaking USTs.
Legislation vetoed by the Governor in 2000 would have established a municipal tank closure program for small communities and would have authorized the collection of a temporary $.01/gallon excise tax on regulated substances placed in USTs for three years to pay for approved but unpaid claims against the UST assurance account, as well as to pay for the municipal tank closure program (S.B. 1319).
H.B. 2611 establishes a municipal tank closure and corrective action program to be administered by ADEQ to close, and remediate if necessary, orphaned USTs at the request of small cities and towns.
H.B. 2611 has no anticipated fiscal impact to the general fund; however, according to ADEQ and JLBC staff, there will be between $2.6 and $3 million dollars available in the UST grant account by the end of 2001 that will be transferred to the newly established municipal tank closure and corrective action program account.
1. Establishes a Municipal Tank Closure and Corrective Action Program in ADEQ to permanently close orphaned USTs located in small cities and towns (less than 15,000 population) and remediate any contamination from those USTs.
2. Specifies that the only USTs eligible for participation in the program are those USTs for which the property owner or person with principal control of the property or UST is not the legal owner or operator of the UST.
3. Establishes the municipal tank closure and corrective action program account in ADEQ. The account consists of monies transferred from the UST grant account, legislative appropriations and gifts grants and donations. Unobligated monies in the UST grant account are to be transferred to the municipal tank closure and corrective action program account before December 31, 2001.
4. Specifies information to be included in written request submitted by a small city or town to ADEQ, including:
· A list of each UST and UST site that meets the eligibility requirements.
· A statement from the city or town that after searching available public records, no responsible owner or operator of the UST could be located.
· Evidence that the current owner of the property has consented to the closure and any required corrective action and has granted ADEQ access to the property.
· Contact information regarding the person at the city or town responsible for coordinating the request to ADEQ.
· A completed notification for USTs form for each tank proposed for closure under the program.
5. Requires ADEQ to consider request from eligible cities and towns in the order received, and subject to the availability of monies in the municipal tank closure and corrective action account, select UST sites to participate in the program.
6. Requires ADEQ to issue a determination to the city or town making the request within 120 days. These determinations are not appealable agency actions.
7. Requires ADEQ to prioritize UST sites for closure and corrective action based on:
· The requesting city or town’s compliance with eligibility requirements.
· Releases that pose a threat to human health, welfare and the environment.
· The reduction of threat to human health, welfare and the environment.
· The relationship between releases in the area and the UST.
· Other site-specific conditions determined by the Director of ADEQ.
8. Requires ADEQ to reimburse each participating city or town for costs incurred preparing a successful request for closure up to $15,000 per city or town.
9. Requires that upon completion of the tank closure and corrective action if required, ADEQ shall issue a letter to the affected persons and the city or town stating that the closure requirements have been met.
10. Stipulates that the municipal tank closure and corrective action program account is not liable for compensating third parties for bodily injury or property damage caused by closure or corrective action activities or releases from USTs. Additionally, the Director of ADEQ may not provide any UST coverage in these situations.
11. Provides for a general effective date.
Amendments
Adopted by the NRAE Committee
1. Clarifies that cities and towns are only eligible for reimbursement for application costs if they are selected for participation in the program.
2. Clarifies that one of the criteria for determining the priority of projects to be funded is any release(s) that poses a threat to human health, welfare and the environment.
House Action Senate Action
NRA 3/8/01 W/D NRAE 4/5/01 DPA 7-1-0
CM 2/27/01 DP 9-1-0-0 APPROP 4/18/01 DP 8-0-4
APPROP 3/13/01 DPA/SE 13-0-0-3
Third Read 3/19/01 54-0-6-0
Prepared by Senate Staff
April 19, 2001