(1)
(a) The department shall require the
guarantor, surety, or institution issuing a letter of credit to place the
amount of funds stipulated by the department, up to the limit of funds provided
by the financial assurance mechanism, into the standby trust if the conditions
under either par. (b) or (c) apply.
(b)
1. The
owner or operator fails to establish alternate financial assurance within 60
days after receiving notice of cancellation of the guarantee, surety bond,
letter of credit, or other financial assurance mechanism.
2. The department determines or suspects that
a release from a storage tank covered by the mechanism has occurred and so
notifies the owner or operator, or the owner or operator has notified the
department of natural resources pursuant to s.
ATCP 93.585 of a release from a storage tank covered by the
mechanism.
(c) The
conditions of sub. (2) (b) or (c) 1. or 2. are satisfied.
(2)
(a) The
department may draw on a standby trust fund when the conditions under either
par. (b) or (c) apply.
(b) The
department makes a final determination that a release has occurred and
immediate or long-term corrective action for the release is needed, and the
owner or operator, after appropriate notice and opportunity to comply, has not
conducted corrective action in accordance with ss.
ATCP 93.570 to 93.585.
(c) The department has received one of the
following:
1. Certification from the owner or
operator and the third-party liability claimants and from attorneys
representing the owner or operator and the third-party liability claimants that
a third-party liability claim should be paid. The certification shall be worded
exactly as specified in
40 CFR
280.112(b) (2) (i), except
for the following:
a. The instructions in
brackets in the certification shall be replaced by the relevant information and
the brackets deleted.
b. If
financial responsibility for aboveground tanks within the scope of this
subchapter is demonstrated using this method, reference in the certification to
underground tanks shall be amended to refer to aboveground tanks, and any
certification that wording is identical to the wording required in
40 CFR
280.112(b) (2) (i) shall be
deleted.
Note: A copy of the affidavit of financial
responsibility required in
40
CFR 280.111(b) (2) (i) is
available from the department's Web site at
https://datcp.wi.gov/Pages/Programs_Services/PetroleumHazStorageTanks.aspx.
2. A valid final court order
establishing a judgment against the owner or operator for bodily injury or
property damage caused by an accidental release from a storage tank covered by
financial assurance under this subchapter and the department determines that
the owner or operator has not satisfied the judgment.
(3) If the department determines
that the amount of corrective-action costs and third-party liability claims
eligible for payment under sub. (2) may exceed the balance of the standby trust
fund and the obligation of the provider of financial assurance, the first
priority for payment shall be corrective action costs necessary to protect
human health and the environment. The department shall pay third-party
liability claims in the order in which the department receives certifications
under sub. (2) (c) 1. and valid court orders under sub. (2) (c)
2.
