Chapter 11. UST Financial Responsibility
Regulation .01 General.LinkCopy Citation
A.
Owners of UST systems described in 40 CFR §280.90, including local governments that own UST systems, shall demonstrate financial responsibility for one or more USTs in accordance with the requirements of this chapter and 40 CFR §§280.90—280.116.
B.
The requirements for the “owner or operator” or “owners or operators” of a UST system contained in 40 CFR §§280.90—280.116 are to be assumed solely by the “owner” of a UST system.
Regulation .02 Incorporation by Reference.LinkCopy Citation
A.
As qualified by §§B and C of this regulation, 40 CFR §§280.90—280.116 (October 13, 2015) is incorporated by reference.
B.
For the purposes of this chapter, a person shall make the following substitutions:
(1)
Wherever the words “Director”, “Director of the Implementing Agency”, “EPA Regional Administrator”, or “Director of the EPA” appear, substitute “Secretary of the Environment”; and
(2)
Wherever the words “a state implementing agency” or “implementing agency” appear, substitute “the Maryland Department of the Environment”, “the Department”, or “MDE”.
C.
For the purposes of this chapter, a person shall interpret the following cross-references contained in 40 CFR §§280.90—280.116 as follows:
(1)
Interpret a cross-reference to 40 CFR Part 280, Subpart E as COMAR 26.10.08;
(2)
Interpret a cross-reference to 40 CFR Part 280, Subpart F as COMAR 26.10.09; and
(3)
Interpret a cross-reference to 40 CFR Part 280, Subpart G as COMAR 26.10.10.
Regulation .03 Additional Mechanism for Local Governments to Demonstrate Financial Responsibility.LinkCopy Citation
A.
In addition to the mechanisms for demonstrating financial responsibility listed in 40 CFR §§280.95—280.107, a local government may use the mechanism described in §§B—D of this regulation to demonstrate financial responsibility for one or more USTs.
B.
A local government may obtain environmental liability coverage from an insurance pool that:
(1)
Is established under Insurance Article, §§19-602 and 19-603, Annotated Code of Maryland;
(2)
The Secretary of the Environment has determined to be financially sound and at least as equivalent to one or more of the financial assurance mechanisms provided in 40 CFR §§280.95—280.107; and
(3)
On an annual basis, provides any information to the Department considered necessary to assess whether the insurance pool remains financially sound.
C.
When determining the financial soundness of an insurance pool, the Secretary of the Environment may consider the certainty of the availability of the insurance pool funds to cover the potential liability of participating local governments to take corrective action or to compensate third parties for bodily injury and property damage, or both, caused by an accidental spill, release, or discharge arising from the operation of petroleum USTs, as set forth in 40 CFR §280.93.
D.
A local government using an insurance pool approved under this chapter to demonstrate financial responsibility for one or more USTs shall:
(1)
Obtain a separate endorsement, certificate, or similar document worded in accordance with the forms set forth in 40 CFR §280.97(b); and
(2)
Comply with all applicable provisions of 40 CFR §§280.90—280.116, including those imposing requirements for reporting and recordkeeping.
Regulation .04 Reporting Requirements.LinkCopy Citation
A.
An owner of a UST system shall provide evidence of financial responsibility for one or more USTs to the Department as follows:
(1)
Submit evidence of financial responsibility in an electronic format determined by the Department according to the following schedule:
(a)
Annually, but not later than 90 days following the initiation of coverage under a financial mechanism or the anniversary date of existing coverage under a financial mechanism; and
(b)
Upon the request of the Department; and
(2)
Submit as evidence of financial responsibility any applicable forms listed in 40 CFR §280.111(b) or any other information relevant to compliance with the provisions of this chapter.
B.
Unless otherwise directed by the Department, an owner of a UST system shall:
(1)
Comply with all of the applicable notification provisions of 40 CFR §§280.90—280.116, including any accompanying reporting and recordkeeping requirements; and
(2)
Provide notification to the Department that demonstrates that the financial assurance mechanism is valid.
C.
In accordance with the UST system registration requirements in COMAR 26.10.03.09, an owner of a UST system shall:
(1)
Certify compliance with the financial responsibility requirements of this chapter when registering a newly installed or acquired UST system; and
(2)
Amend the registration for a registered UST system if:
(a)
The owner of the UST system is released from the requirement to maintain financial responsibility for the UST system, as provided under 40 CFR §280.113; or
(b)
The owner of the UST system obtains an alternate mechanism of financial responsibility, if required under 40 CFR §280.114.
D.
In addition to the requirements in §§A and B of this regulation, an owner of a UST system that uses an insurance policy or risk retention group coverage to demonstrate financial responsibility for one or more USTs shall provide to the Department on an annual basis:
(1)
An endorsement or certificate of insurance;
(2)
Any amendments to the insurance policy or risk retention group coverage, including amendments for additional insured; and
(3)
A UST schedule that includes, at a minimum, the following information:
(a)
The Department issued regulated substance storage facility identification number;
(b)
The registered UST system owner’s name and address as insured;
(c)
The installation date of the UST system;
(d)
The UST system capacity in gallons;
(e)
A statement that the UST construction is single-walled or double-walled; and
(f)
The type of regulated substance stored in the UST system.
Chapter annotations
Authority: Environment Article, §§4-401, 4-402, 4-405, 4-407—4-411.2, and 4-415.1, 4-417, 4-701 et seq., and 7-201 et seq., Annotated Code of Maryland
History: Effective date: February 4, 1991 (18:2 Md. R. 151)
History: Regulation .01 amended effective March 14, 1994 (21:5 Md. R. 405)
History: Regulation .01B amended effective January 12, 2009 (36:1 Md. R. 25)
History: Regulation .02 adopted effective March 14, 1994 (21:5 Md. R. 405)
History: Regulations .01—.02 repealed and new Regulations .01—.04 adopted effective June 13, 2022 (49:12 Md. R. 642)