State Trust Fund Helps Clean Up Fuel Leaks - Insurance News | InsuranceNewsNet

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September 21, 2014 Newswires
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State Trust Fund Helps Clean Up Fuel Leaks

Targeted News Service

LITTLE ROCK, Ark., Sept. 17 -- The Arkansas Department of Environmental Quality issued the following news release:

Many people don't think about the possibility of gasoline leaking from underground storage tanks at service stations because those huge tanks are out of sight.

There are certainly fewer underground storage tank leaks now than there were in 1984, when Congress passed the first in a series of laws to regulate underground storage tanks in order to keep petroleum products from seeping into the soil and contaminating groundwater, which is the source of drinking water for nearly half of all Americans.

Now underground tanks must meet strict safety standards that include double-wall construction, leak detection, spill and overfill control and corrosion protection. But before mandated regulation, the old single-wall steel tanks and piping that were doomed to rust and leak were the primary cause of half a million contaminated sites nationwide.

In 1989, the Arkansas Legislature created the Arkansas Petroleum Storage Tank Trust Fund, administered by the director of the Arkansas Department of Environmental Quality. Wholesalers pay a fee of $.003 per gallon of fuel to maintain this fund. Its purpose is threefold: (1) to assist underground storage tank owners in meeting the federal financial assurance requirements, (2) to provide partial reimbursement of cleanup costs to tank owners who have reported a release and undertaken corrective action, and (3) to provide partial reimbursement to eligible owners for compensating third parties for damages caused by accidental releases.

The trust fund is available to assist with cleanup of accidental releases from underground and some aboveground petroleum tanks. Aboveground tanks, which are regulated by the state fire marshal, are in use at some gas stations in small towns and at bulk plants that resell fuel.

Joe Hoover, ADEQ's Regulated Storage Tanks Division chief, said that not all states have petroleum storage tank trust funds.

"Those that don't have trust funds require facilities with storage tanks to buy expensive insurance policies," Hoover said. "And some states that did have trust funds have exhausted them. Arkansas is fortunate to have one of the healthiest trust funds for this purpose in the nation."

Arkansas's trust fund has made it possible to clean up fuel leaks that otherwise could have contaminated important water bodies, including the Saline River and Beaver Lake, Hoover said.

Currently 68 eligible sites are being cleaned up with reimbursement from the trust fund. Since 1990, the fund has distributed a total of $94,102,244 to 425 sites for cleanup and $11,347,412 to third parties for damages that resulted from petroleum product leaks.

Hoover said that leaking tank systems can be not only a danger to the environment but also an immediate threat to the health and safety of those nearby because of vapors that can cause illness or create a risk for explosion.

The RST Division also manages the federally required certification of underground storage tank operators, providing free training to prepare them for the Class A certification exam (given to owners or employees who have the primary responsibility to operate and maintain underground tank systems) and for the Class B exam (for owners or employees who oversee daily operation of tank systems). Those with Class A or B certification are responsible for training employees as the Class C operators, who are the first line of response in an emergency.

This training and certification is crucial in preventing storage tanks from polluting the environment with accidental leaks. Hoover said that quick reporting and response to a detected leak are critical in reducing its potential impact to human health and the environment.

Hoover said that most facility owners, operators and employees do a good job of monitoring underground systems and reporting suspecting releases quickly so that problems can be addressed before getting out of hand. However, any suspected leaks should be reported to ADEQ online at http://www.adeq.state.ar.us/rst/forms/complaint_form.aspx or by calling 501-682-0973.

TNS 24KuanRap-140920 30FurigayJof-4869039 30FurigayJof

Copyright:  (c) 2014 Targeted News Service
Wordcount:  647

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