Bill Text: MI HB4583 | 2017-2018 | 99th Legislature | Introduced
Bill Title: Environmental protection; underground storage tanks; funding at certain cleanups; provide for. Amends secs. 21506a & 21510d of 1994 PA 451 (MCL 324.21506a & 324.21510d) & adds sec. 21519a.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Passed) 2017-10-31 - Assigned Pa 134'17 With Immediate Effect [HB4583 Detail]
Download: Michigan-2017-HB4583-Introduced.html
HOUSE BILL No. 4583
May 4, 2017, Introduced by Reps. Whiteford, Victory, Howell, VanSingel, VerHeulen and Cole and referred to the Committee on Natural Resources.
A bill to amend 1994 PA 451, entitled
"Natural resources and environmental protection act,"
by amending sections 21506a and 21510d (MCL 324.21506a and
324.21510d), section 21506a as amended by 2016 PA 467 and section
21510d as added by 2016 PA 380, and by adding section 21519a.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 21506a. (1) The refined petroleum fund is created within
the state treasury.
(2) The state treasurer may receive money or other assets from
any source for deposit into the refined petroleum fund. The state
treasurer shall direct the investment of the refined petroleum
fund. The state treasurer shall credit to the refined petroleum
fund interest and earnings from refined petroleum fund investments.
(3) Money in the refined petroleum fund at the close of the
fiscal
year shall remain remains in the refined petroleum fund and
shall
does not lapse to the general fund.
(4) Money from the refined petroleum fund shall be expended,
upon appropriation, only for 1 or more of the following purposes:
(a) Corrective actions performed by the department pursuant to
section 21320.
(b) The legacy underground storage tank cleanup program
created in section 21519a.
(c) (b)
The reasonable costs of the
department in
administering the refined petroleum fund and implementing part 213.
(d) (c)
Not more than $5,000,000.00
annually for petroleum
product inspection programs under both of the following:
(i) The weights and measures act, 1964 PA 283, MCL 290.601 to
290.635.
(ii) The motor fuels quality act, 1984 PA 44, MCL 290.641 to
290.650d.
(e) (d)
Not more than $3,000,000.00
annually for the bureau of
fire services and office of the state fire marshal, storage tank
division, in the department of licensing and regulatory affairs.
(e)
Other purposes as determined by the legislature.
Sec. 21510d. If an owner or operator intends to rely on the
fund to meet financial responsibility requirements, the owner or
operator shall submit to the authority a request for a
determination that the owner or operator would be eligible for
funding under this part in the event of a release from a refined
petroleum underground storage tank system. Upon receipt of a
request under this subsection, the authority shall make a
determination and provide notice of that determination, in writing,
to the owner or operator. The notice may contain conditions for
maintenance of that eligibility. A determination under this section
is based upon a demonstration of all of the following:
(a) The owner or operator is not ineligible for funding under
section 21510(4) and (5).
(b) The refined petroleum underground storage tank or tanks
are presently in compliance with the registration and fee
requirements of part 211.
(c) The owner or operator is not the United States government.
(d) The owner or operator has financial responsibility for the
deductible amount. In order to demonstrate that the owner or
operator has financial responsibility for the deductible amount
under this section and section 21510(1)(f), the owner or operator
may rely upon any financial assurance mechanism listed in 40 CFR
280.95 to 280.103 or either of the following:
(i) A financial test of self-insurance. To pass the financial
test of self-insurance, the owner or operator must submit, on a
form developed by the authority, financial information certified as
accurate by the chief financial officer that demonstrates a
tangible net worth of at least 3 times the deductible amount
required under this part.
(ii) A deposit account in the amount of the deductible amount
required under this part in a financial institution as defined in
section 1202 of the banking code of 1999, 1999 PA 276, MCL
487.11202, if access to the deposit account is restricted by a
deposit account control agreement or similar restriction as
approved by the authority that requires the approval of the
administrator for a withdrawal from the deposit account.
Sec. 21519a. (1) The department shall establish and the
authority shall administer a legacy underground storage tank
cleanup program as provided in this section to reimburse eligible
persons for costs of corrective actions for certain historic
releases from refined petroleum underground storage tank systems.
An eligible person may be reimbursed for corrective action costs
incurred if the eligible person demonstrates all of the following:
(a) The release from which the corrective action or
indemnification arose was discovered and reported prior to December
30, 2014.
(b) The release upon which the request for reimbursement is
based has not been closed pursuant to part 213.
(c) Any refined petroleum underground storage tank systems
that are operating at the location from which the release occurred
are currently in compliance with the registration requirements of
part 211.
(d) The request for reimbursement does not include
reimbursement for money that was reimbursed from any other source,
including insurance policies.
(e) The request for reimbursement is for corrective action
performed on or after December 30, 2014.
(2) An eligible person that wants to be reimbursed under the
legacy underground storage tank program established under this
section shall submit to the authority a request for reimbursement
on a form provided by the authority containing the documentation
required by the authority.
(3) The authority shall approve a request for reimbursement
under this section only as follows:
(a) The amount approved for reimbursement must be 50% of the
cost incurred for corrective action, but not more than 50% of the
amount specific for particular corrective action activities
established in the schedule of costs approved by the authority.
(b) The total amount approved for reimbursement must not
exceed $50,000.00 for a release from a refined petroleum
underground storage tank system.
(4) As used in this section, "eligible person" means the owner
or operator of a refined petroleum underground storage tank system
that is liable under section 21323a.
Enacting section 1. This amendatory act takes effect 90 days
after the date it is enacted into law.
