INDEX CHAPTER 37 FINANCIAL ASSURANCE SUBCHAPTER A: GENERAL FINANCIAL ASSURANCE REQUIREMENTS
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1 INDEX CHAPTER 37 FINANCIAL ASSURANCE SUBCHAPTER A: GENERAL FINANCIAL ASSURANCE REQUIREMENTS Applicability Definitions Wording and Approval of Mechanisms Submission of Documents Use of Multiple Financial Assurance Mechanisms Use of a Financial Assurance Mechanism for Multiple Facilities Use of a Universal Financial Assurance Mechanism for Multiple Facilities and Program Areas Termination of Mechanisms Incapacity of Owners or Operators, Guarantors, or Issuing Institutions Transfer of Ownership or Operational Control. SUBCHAPTER B: FINANCIAL ASSURANCE REQUIREMENTS FOR CLOSURE, POST CLOSURE, AND CORRECTIVE ACTION Applicability Drawing on the Financial Assurance Mechanisms Continuous Financial Assurance Required Current Cost Estimate Annual Inflation Adjustments to Closure Cost Estimates Increase in Current Cost Estimate Decrease in Current Cost Estimate Establishment of a Standby Trust. SUBCHAPTER C: FINANCIAL ASSURANCE MECHANISMS FOR CLOSURE, POST CLOSURE, AND CORRECTIVE ACTION Applicability Trust Fund Surety Bond Guaranteeing Payment Surety Bond Guaranteeing Performance Irrevocable Standby Letter of Credit Insurance Financial Test Corporate Guarantee Local Government Financial Test Local Government Guarantee. 1
2 SUBCHAPTER D: WORDING OF THE MECHANISMS FOR CLOSURE, POST CLOSURE, AND CORRECTIVE ACTION Trust Agreement Payment Bond Performance Bond Irrevocable Standby Letter of Credit Certificate of Insurance Financial Test Corporate Guarantee Local Government Financial Test Local Government Guarantee. SUBCHAPTER E: FINANCIAL ASSURANCE REQUIREMENTS FOR LIABILITY COVERAGE Applicability Definitions Liability Requirements for Sudden and Nonsudden Accidental Occurrences Adjustments to the Level of Liability Coverage. SUBCHAPTER F: FINANCIAL ASSURANCE MECHANISMS FOR LIABILITY Trust Fund for Liability Surety Bond Guaranteeing Payment for Liability Irrevocable Standby Letter of Credit for Liability Insurance for Liability Financial Test for Liability Corporate Guarantee for Liability. SUBCHAPTER G: WORDING OF THE MECHANISMS FOR LIABILITY Trust Agreement for Liability Payment Bond for Liability Irrevocable Standby Letter of Credit for Liability Certificate of Insurance for Liability Endorsement for Liability Financial Test for Liability Corporate Guarantee for Liability Standby Trust Agreement. SUBCHAPTER I: FINANCIAL ASSURANCE FOR PETROLEUM UNDERGROUND 2
3 STORAGE TANK SYSTEMS Applicability Definitions Amount and Scope of Required Financial Assurance Allowable Mechanisms and Combinations of Mechanisms Financial Test of Self-Insurance Guarantee Insurance and Risk Retention Group Coverage Surety Bond Letter of Credit Trust Fund Standby Trust Fund Substitution of Financial Assurance Mechanisms by Owner or Operator Cancellation or Non-renewal by a Provider of Financial Assurance Duty to Empty Tanks After Termination of Financial Assurance Reporting, Registration, and Certification Financial Assurance Recordkeeping Drawing on Financial Assurance Mechanisms Release from the Requirements Bankruptcy or Other Incapacity of Owner or Operator or Provider of Financial Assurance Replenishment of Guarantees, Letters of Credit, or Surety Bonds. SUBCHAPTER J: FINANCIAL ASSURANCE FOR RECYCLING FACILITIES Applicability Definitions Financial Assurance Requirements for Closure Financial Assurance Mechanisms. SUBCHAPTER K: FINANCIAL ASSURANCE REQUIREMENTS FOR CLASS A OR B PETROLEUM-SUBSTANCE CONTAMINATED SOIL STORAGE, TREATMENT, AND REUSE FACILITIES Applicability Submission of Documents Financial Assurance Requirements for Closure of Class A and B Facilities Liability Requirements for Class A and B Facilities. SUBCHAPTER L: FINANCIAL ASSURANCE FOR USED OIL RECYCLING Applicability. 3
4 Definitions Financial Assurance Requirements for Used Oil Handlers Financial Assurance Mechanisms for Used Oil Handlers Submission of Documents Financial Assurance Requirements for Transporters of Used Oil. SUBCHAPTER M: FINANCIAL ASSURANCE REQUIREMENTS FOR SCRAP TIRE SITES Applicability Definitions Financial Assurance Requirements Financial Assurance Mechanisms Submission of Documents. SUBCHAPTER N: FINANCIAL ASSURANCE REQUIREMENTS FOR THE TEXAS RISK REDUCTION PROGRAM RULES Applicability Definitions Financial Assurance Requirements for Post-Response Action Care Financial Assurance Requirements for Facility Operations Areas. SUBCHAPTER O: FINANCIAL ASSURANCE FOR PUBLIC DRINKING WATER SYSTEMS AND UTILITIES Applicability Definitions Financial Assurance for a Public Water System or Retail Public Utility. SUBCHAPTER P: FINANCIAL ASSURANCE FOR HAZARDOUS AND NONHAZARDOUS INDUSTRIAL SOLID WASTE FACILITIES Applicability Definitions Financial Assurance Requirements for Closure, Post Closure, and Corrective Action Financial Assurance Requirements for Liability State Assumption of Responsibility. SUBCHAPTER Q: FINANCIAL ASSURANCE FOR UNDERGROUND 4
5 INJECTION CONTROL WELLS Applicability Definitions Financial Assurance Requirements for Plugging and Abandonment Financial Assurance Requirements for Post Closure Financial Assurance Requirements for Liability State Assumption of Responsibility. SUBCHAPTER R: FINANCIAL ASSURANCE FOR MUNICIPAL SOLID WASTE FACILITIES Applicability Definitions Financial Assurance Requirements Financial Assurance Mechanisms State Assumption of Responsibility Submission of Documents Corporate Financial Test for Municipal Solid Waste Facilities Wording of Financial Assurance Mechanisms. SUBCHAPTER S: FINANCIAL ASSURANCE FOR ON SITE DISPOSAL OF RADIOACTIVE SUBSTANCES AND COMMERCIAL NORM DISPOSAL Applicability Definitions Submission of Documents Financial Assurance Requirements for Closure and Post Closure Financial Assurance Mechanisms Wording of Financial Assurance Mechanisms. SUBCHAPTER T: FINANCIAL ASSURANCE FOR RADIOACTIVE SUBSTANCES AND AQUIFER RESTORATION Applicability Definitions Submission of Documents Financial Assurance Requirements for Closure, Post Closure, and Corrective Action Financial Assurance Mechanisms Endorsement Financial Assurance Requirements for Liability. 5
6 SUBCHAPTER U: FINANCIAL ASSURANCE FOR MEDICAL WASTE TRANSPORTERS Applicability Definitions Financial Assurance Requirements Financial Assurance Mechanisms Submission of Documents Incapacity of Owners or Operators Registered to Transport Medical Waste or of the Issuing Institution. SUBCHAPTER V: FINANCIAL ASSURANCE FOR CLASS B SEWAGE SLUDGE FOR LAND APPLICATION UNITS Applicability Definitions Commercial Liability Insurance Environmental Impairment Insurance Submission of Documents Approval of Mechanisms Incapacity of Responsible Person or Insurance Company Transfer of Ownership or Operational Control Drawing on the Financial Assurance Mechanisms Continuous Financial Assurance Required Termination of Mechanisms Certificate of Insurance for Commercial Liability Endorsement for Commercial Liability Certificate of Insurance for Environmental Impairment. SUBCHAPTER W: FINANCIAL ASSURANCE FOR QUARRIES Applicability Definitions Financial Assurance Requirements for Reclamation and Restoration Financial Assurance Mechanisms for Reclamation Financial Assurance Requirements for Restoration Trust Fund Requirements Trust Agreement Wording Surety Bond Guaranteeing Payment Requirements Payment Bond Wording Irrevocable Standby Letter of Credit Requirements Irrevocable Standby Letter of Credit Wording Insurance Requirements. 6
7 Certificate of Insurance Wording Financial Test Requirements Financial Test Wording Corporate Guarantee Requirements Corporate Guarantee Wording. SUBCHAPTER X: FINANCIAL ASSURANCE REQUIREMENTS FOR BRINE EVAPORATION PITS Applicability Definitions Submission of Documents Financial Assurance Requirements for Closure and Post Closure of Brine Evaporation Pits Third Party Pollution Liability Requirements for Brine Evaporation Pits. 7
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