November 2007
Excess Liability Trust Fund (ELTF) Updates
By Mike O'Connell

The Excess Liability Trust Fund (ELTF) is an Indiana trust fund created to assist owners and/or operators of underground storage tank (UST) systems in fulfilling their financial assurance requirements as outlined in the Code of Federal Regulations and to provide funding for investigation and cleanup of petroleum releases from compliant UST systems. The ELTF Rule, established by Indiana Administrative Code 328 IAC 1, has been opened for revision and updating for the first time in three years.

The purpose of revising and updating the rule is to update costs associated with routine events, adapt the rule to changing technology and regulatory requirements, and to tighten controls on administering the fund to limit abuse. This is a time to review the rates outlined in the rule to ensure they are consistent with current industry standards. For example, laboratory fees have declined over the past several years and now is the time to align the ELTF rates with industry standards. This is also a time to add rates for items that have not previously been included such as specific laboratory analyses (TPH fractionation) and costs associated with particular sampling methodologies (Method 5035 for sampling of volatile contaminants). Additionally, this update can allow for previous loopholes to be closed in hopes of limiting the potential for overcharging the fund. Typically, this includes more accurately defining what is meant by the various activities outlined in the rule and how often they can be charged, including activities such as mobilization charges and contaminated soil transportation.

To assist in the revision process, IDEM has conducted a series of workgroup sessions to gather feedback and suggestions from various interested parties with regards to reimbursement rates, task definitions, etc. These workgroup sessions, headed by IDEM representatives from the Office of Legal Counsel and the ELTF Section, have been well attended by environmental consultants, drilling and waste management contractors, laboratories, and attorneys. August Mack has played an active role in the workgroup sessions, the last of which was held in October 2007.

Finally, IDEM is working on a draft of the revised rule and anticipates releasing the draft for public comment sometime in Spring 2008. August Mack will follow the development of the rule closely and continue providing our clients with the most accurate information regarding ELTF reimbursement for cleanup of their sites.

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