Coverage of corrective action costs

(Conditionally Rpld.)

A. The department shall provide from the assurance account coverage in the amounts authorized by subsection I of this section and sections 49-1017, 49-1022 and 49-1054 of the costs incurred after September 15, 1989 of the following:

1. Sampling, analysis and reporting that are initiated pursuant to section 49-1004 and that confirm the presence of a release that requires corrective action pursuant to section 49-1005.

2. Sampling, analysis and reporting that are initiated pursuant to section 49-1008 and that confirm the presence of a release that requires corrective action pursuant to section 49-1005.

3. Permanent closure pursuant to section 49-1008 before July 1, 1999, if the owner or operator satisfies both of the following requirements:

(a) A release associated with the tank being closed was reported to the department.

(b) The closure of the tank met all applicable closure requirements of section 49-1008 and rules adopted pursuant to that section.

4. Permanent closure of a tank pursuant to section 49-1008 on or after July 1, 1999, if the owner or operator satisfies all of the following requirements:

(a) The closure of the tank meets all applicable closure requirements of section 49-1008 and the rules adopted pursuant to that section.

(b) A release to native soils was confirmed and reported to the department before closure activities were initiated.

(c) The source of the release is the tank that is being closed.

(d) The tank that is being closed met the temporary closure requirements or the new or upgraded tank requirements in rules adopted pursuant to section 49-1014 at the time of the release.

(e) The tank cannot be repaired under the rules adopted pursuant to section 49-1014.

5. Corrective actions initiated pursuant to section 49-1005.

6. Permanent closure pursuant to section 49-1008, for persons described in subsection I of this section, if all of the following are met:

(a) The underground storage tank being closed is the source of a release to native soil that requires corrective action.

(b) Permanent closure of the underground storage tank met all of the applicable closure requirements of section 49-1008 and the rules adopted pursuant to that section.

(c) A release to native soil associated with the underground storage tank being closed was reported to the department.

(d) The person described in subsection I of this section meets the requirements of section 49-1016, subsection C.

7. Costs incurred for professional fees directly related to the preparation of an assurance account application. The department shall credit these fees toward the applicant’s copayment obligation.

B. The department may provide the coverage required by this section either by paying the owner, the operator or a designated representative of the owner or operator or any combination of these persons or a political subdivision covered by subsection H of this section or by making direct payments for eligible actions on behalf of the owner, operator or political subdivision. If the department determines that an application for direct payment or reimbursement is incomplete, the department within forty-five days of the application shall notify the owner or operator of the missing information as specifically as possible and shall permit the owner or operator to provide the additional information within thirty days. On the request of an applicant, the department shall grant an additional sixty days to submit the missing information. The grant of additional time tolls the period for making an interim determination on matters relating to direct payment or reimbursement pursuant to section 49-1091.

C. An owner, an operator, a designated representative of an owner or operator or a political subdivision covered by subsection H of this section may apply to the department for coverage of the eligible costs pursuant to this article and rules adopted pursuant to this article. Any employee of the owner or operator may submit an application to the department on behalf of the owner or operator.

D. The department shall not pay for eligible costs unless the department determines that the eligible activities have met, or when completed will meet, the applicable requirements of section 49-1004 or 49-1005. The department may require by rule that persons who perform payable eligible activities meet specified standards of qualification and be approved by the department.

E. The department shall not provide any coverage described in this article to an owner or operator of underground storage tanks described in section 49-1031, subsection C. The department shall not provide any coverage described in this article with respect to the substances described in section 49-1031, subsection C, unless the tax imposed by article 2 of this chapter applies to such substances.

F. The department shall not provide any coverage described in this article to an owner or operator or any person or entity employed or retained by an owner or operator, if any of the following applies:

1. The owner or operator is delinquent in the payment of any fee, penalty or interest thereon imposed under this chapter and fails to cure that delinquency within thirty days after receiving notice from the department. If the owner or operator cures the delinquency more than thirty days after receiving notice from the department, the owner or operator may submit a new application for coverage. The new application shall be prioritized for review and payment in the ordinary course of ranking. If the owner or operator cures the delinquency within thirty days after receiving notice from the department, the owner or operator retains the owner’s or operator’s place in the priority system. The department shall provide notice of the delinquency within thirty days after receiving an application for payment from the assurance account or within sixty days after a work plan is submitted for preapproval. If the department does not provide notice pursuant to this paragraph, the department shall not withhold payment based on that delinquency nor shall the department use that delinquency as a basis for the department to delay preapproval of corrective ac