Starting January 1, 2027, eligible owners and operators will have access to payments for removing underground tanks installed before 1976, with advance state approval and a $5,000 deductible.
Starting January 1, 2027, eligible owners and operators will be able to receive payments to remove underground tanks installed before 1976. They need advance state approval and must cover a $5,000 deductible.
For certain fuel leaks reported before June 8, 2010, approved cleanup costs incurred after January 1, 2027, will carry a $10,000 deductible, reduced by deductible amounts applied to earlier costs.
Eligible owners and operators will be able to use the Underground Storage Tank Fund to help pay for older tank removal. Coverage applies to underground tanks installed before January 1, 1976, that held covered fuels or used motor oil refined from crude oil. Eligible work includes removing visibly contaminated fill within four feet of the tank, removing groundwater with an oily sheen from the excavation, and testing for leaks. The state environmental agency must approve a removal plan and budget before removal. Neither the owner nor the operator can be the federal government. Tanks containing fuel exempt from the Motor Fuel Tax Law are excluded. Costs already paid through insurance, another written agreement, or a court order do not qualify. Other fund eligibility rules also apply. Owners must cover a $5,000 deductible, the share the fund does not pay. That amount also counts toward any required cleanup deductible. Removal must follow state tank safety rules. The law takes effect January 1, 2027.
Owners and operators covered by higher-deductible exceptions will face a $10,000 deductible for later cleanup costs, with credit for earlier deductible amounts. This rule covers eligible owners and operators with leaks reported before June 8, 2010, whose tank registration and leak notice history falls under a higher-deductible exception. Earlier costs carry a $100,000 deductible if no tanks were registered before July 28, 1989. For tanks used only to store heating oil for use on site, serving neither farms nor residential units, the registration cutoff is July 1, 1992. Earlier costs carry a $50,000 deductible if any tank was registered before July 28, 1989, and the state received notice of the confirmed leak before that date. Earlier costs carry a $15,000 deductible if some, but not all, tanks were registered before July 28, 1989, and the state received notice of the confirmed leak on or after that date. Deductible amounts applied to earlier costs reduce the $10,000 deductible for later costs. Payment requires an approved cleanup plan and fund eligibility. The $10,000 rule applies to costs incurred after January 1, 2027. The higher-deductible exceptions apply to costs incurred before that effective date.
No hearings or votes scheduled.