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New DEQ Program to Address Leaking Underground Storage Tanks

Contact:  Robert McCann (517) 241-7397
Agency: Environmental Quality


August 18, 2006

The Department of Environmental Quality has announced the start of the Refined Petroleum Temporary Reimbursement Program (TRP) to address leaking underground storage tank sites. The TRP is designed to reimburse owners and operators for a portion of newly incurred cleanup costs associated with releases from petroleum underground storage tank systems. Starting November 1, 2006, the DEQ will be able to accept up to 900 participants in the TRP program on a first come, first served basis.

“We expect the TRP to provide a much needed incentive to help owners and operators of gasoline stations to continue their efforts to clean up releases from underground tanks,” said DEQ Director Steven E. Chester. “We have a great deal of work left to do in Michigan to abate the threat leaking tanks pose to our environment.”

The legislation to create this program, signed by Governor Jennifer M. Granholm on July 20, 2006, is based on the recommendations of the Refined Petroleum Cleanup Advisory Council established in 2004. The TRP provides a total of $45 million for owners and operators who had approved claims under the former Michigan Underground Storage Tank Financial Assurance Program, as long as certain other eligibility criteria are met.

Eligible persons can receive reimbursement of 80 percent of each approved work invoice, up to a maximum total reimbursement amount of $50,000 per approved facility. The remaining 20 percent, up to a maximum of $12,500, is considered a co-pay amount. To receive funding, the applicant must retain a Qualified Underground Storage Tank Consultant to perform the corrective actions.

The money will be allocated under a two round pre-certification process. If funds remain after the first round of pre-certification applications, the DEQ will announce an initiation date for a second round of applications, with broader eligibility criteria. If funds still remain after all allocations during the first two rounds, the remaining money will be allocated on a prorated basis among the approved first and second round applicants.

The DEQ Remediation and Redevelopment Division will begin accepting pre-certification applications at 8 a.m. November 1, 2006, and will continue to accept applications until 5 p.m. April 30, 2007. The program forms and guidance documents are under development.

Details on the program are available on the DEQ/RRD Internet home page at www.michigan.gov/deqrrd; click on the Temporary Reimbursement Program link to learn about program eligibility requirements, access forms and guidance when available, or to subscribe to RRD’s electronic mailing list for future program updates. For more information on the pre-certification application process, please contact Robert Reisner, Funding and Support Unit, at 517-335-6843 or reisnerr@michigan.gov.

Editor’s note: DEQ news releases are available on the department’s Internet home page at www.michigan.gov/deq.

“Protecting Michigan’s Environment, Ensuring Michigan’s Future”

Revised August 18, 2006 by Pat Watson

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