Current through Register Vol. 63, No. 3, March 1, 2024
(1) The Department shall determine the
applicant's financial assistance tier from:
(a) Information provided in the
application;
(b) The financial
ratios determined in accordance with OAR
340-172-0040(2)
by a licensed public accountant; and
(c) Tank ownership information available in
the Department's files or electronic database at the time of application. For
purposes of financial need, tank ownership shall include all tanks at all
facility locations with the same legal ownership such as sole proprietor, joint
ventures, partnerships, corporations or other similar business ownerships. In
the case of corporations, tank ownership shall include all tanks at all
facility locations owned by parent corporations and all wholly owned
subsidiaries of the parent corporation.
(2) The Department shall award financial
assistance to an applicant in accordance with these rules and OAR 340,
divisions 174, 175, 176, and 178 where the applicant meets the following
financial assistance tier criteria:
(a) Tier
1: Own or responsible for one or more USTs holding or that previously held an
accumulation of motor fuel for resale;
(b) Tier 2:
(A) Own or responsible for 100 or more USTs
holding or that previously held an accumulation of motor fuel for resale;
and
(B) Meet two or more of the
financial assistance criterion in section (3) of this rule.
(c) Tier 3:
(A) Own or responsible for one to 99 USTs
holding or that previously held an accumulation of motor fuel for resale;
and
(B) Either:
(i) Meet two or more of the financial
assistance criterion in section (3) of this rule; or
(ii) Meet the Tier 4 location requirements
described in paragraph (2)(d)(C) of this rule.
(d) Tier 4:
(A) Own or responsible for one to 12 USTs
holding or that previously held an accumulation of motor fuel for resale;
and
(B) Meet two or more of the
financial assistance criteria in section (3) of this rule; and
(C) The retail facility meets the criteria in
one of subparagraph (i), (ii), (iii), or (iv) of this paragraph:
(i) The only retail facility with UST holding
or that previously held an accumulation of motor fuel for resale within a city
listed in the 1993/1994 Oregon Blue Book;
(ii) The retail facility filing the first
application within a city listed in the 1993/1994 Oregon Blue Book where a
retail facility is not presently reselling motor fuel from an UST holding an
accumulation of motor fuel;
(iii)
The only retail gas sales facility in a city listed in the 1993/1994 Oregon
Blue Book with other retail facilities within the city;
(iv) If outside a city listed in the
1993/1994 Oregon Blue Book, the retail facility is nine miles or more from a
retail gas sales facility measured in accordance with subparagraph (v) of this
paragraph;
(v) The distance shall
be the shortest distance in any direction between facilities. The distance
shall be measured between the nearest public driveway entrance of each facility
over the shortest distance on a public road. Distances shall be rounded upward
to the nearest tenth mile. The adjacent retail gas sales facility may be inside
or outside a city. The Department may verify the distance where the distance
measured by the applicant is between nine and ten miles. Measurements by the
Department shall be the final distance determination.
(3) Financial need
criteria:
(a) The Current Ratio (CR) is less
than or equal to 1.60;
(b) The Debt
to Equity Ratio (DE) is greater than or equal to 1.60;
(c) The Debt Service Coverage Ratio (DSC) is
less than or equal to 3.20.
(4) The Department may reconsider an award of
financial assistance where:
(a) The applicant
has requested reconsideration of the award, in writing;
(b) UST project work including soil or
groundwater cleanup has started;
(c) A Tier of greater financial assistance is
available for the facility;
(d) The
lender indicates the applicant can borrow additional monies necessary to
complete the newly identified corrective action work;
(e) The Department determines the estimated
soil and groundwater cleanup costs are appropriate and exceed $40,000 (at least
$5,000 above the $35,000 included for the initial financial need evaluation);
and
(f) The applicant has provided
a new determination of the financial ratios in accordance with OAR
340-172-0040(2),
where the estimated corrective action costs above $35,000 are added to the UST
project work at the facility.
(5) An award of financial assistance under
these rules requires:
(a) Department
approval, where applicable, of the:
(A)
Completed application;
(B) Site
assessment conducted under OAR
340-172-0050;
(C) Corrective action plan required by OAR
340-122-0250;
(D) Estimated eligible costs; and
(E) Time schedule for completing the
work.
(b) That the
USTCCA fund has sufficient money allocated to the program from which financial
assistance is requested; and
(c)
That the financial assistance requested does not exceed the financial
assistance limits at OAR 340, divisions 172, 174, 175, 176, and 178.
(6) The Department may include
conditions in an award of financial assistance, requiring the applicant to:
(a) Conduct work within a Department
established time schedule where the USTCCA Fund cannot fund the UST project
work as scheduled by the applicant;
(b) Submit progress reports or payment
records at stated intervals before disbursement of grant funds;
(c) Allow Department personnel to enter and
inspect the project site at reasonable times;
(d) Maintain project accounts and records to
support the eligibility of expenditures; the records must clearly separate
eligible and ineligible project costs;
(e) Obtain all titles and easements necessary
to provide authority to complete the proposed project; and
(f) Comply with other terms and conditions
necessary to ensure the project is completed in accordance with the approved
plans.
Statutory/Other Authority: OL 1993 & Ch. 661
Statutes/Other Implemented: OL 1991 & Ch. 863