Bill Summary for S 181 (2011-2012)

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Summary date: 

Jun 6 2011

Bill Information:

View NCGA Bill Details2011-2012 Session
Senate Bill 181 (Public) Filed Wednesday, March 2, 2011
TO PROVIDE THAT NO CLEANUP WILL BE REQUIRED FOR ANY DISCHARGE OR RELEASE FROM A PETROLEUM UNDERGROUND STORAGE TANK WHEN A PUBLIC WATER SYSTEM IS AVAILABLE TO THOSE AFFECTED BY THE DISCHARGE OR RELEASE AND NO SURFACE WATERS ARE LOCATED WITHIN ONE THOUSAND FEET OF THE DISCHARGE OR RELEASE
Intro. by East.

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Bill summary

Senate committee substitute makes the following changes to 1st edition. Amends GS 143-215.3(a), which grants the North Carolina Environmental Review Commission (Commission), in part, the power to adopt rules for the prevention of pollution from underground tanks containing petroleum, petroleum products, or hazardous substances. Directs that the rules adopted under the statute may not incorporate standards and restrictions which exceed or are more comprehensive than comparable federal regulations. Grants the Commission the power to adopt rules pertaining to the discharge or release of petroleum, from any source, which provide for risk-based assessment and cleanup.
Amends GS 143-215.94B(b) to include the cost of a site investigation by the Department of Environment and Natural Resources (DENR) for the purpose of determining whether a release from a tank system occurred, whether or not the investigation confirms that a release has occurred, as a Commercial Fund expense.
Amends GS 143-215.94B(b1) to include additional criteria for use when calculating the multiple discharge amount. Applies to discharges or releases discovered or reported on or after January 1, 2009.
Amends GS 143-215.94B by adding a new subsection providing that in the event a discharge or release of petroleum from an underground storage tank results in contamination in soil or groundwater that becomes commingled with contamination that is the result of a discharge or release of petroleum from another source, the Commercial Fund may be used to reimburse applicable persons for cleanup.
Amends GS 143-215.94B(d) to provide that the Commercial Fund may not be used for costs incurred as a result of a discharge or release from an aboveground tank, aboveground pipe or fitting not connected to an underground storage tank, or vehicle, unless the discharge or release becomes commingled with contamination from an underground storage tank. Makes similar change to GS 143-215.94D(d), which concerns the Noncommercial Fund.
Amends GS 143-215.94B to add new subsection directing DENR to use up to $1 million of the funds in the Commercial Fund, each fiscal year, to clean up discharges or releases when a responsible party demonstrates it would be a severe financial hardship and for such party to do so. Directs the Commission to adopt rules defining severe financial hardship, establish a process for evaluation and determinations of eligibility with respect to applications for assistance due to severe financial hardships.
Amends GS 143-215.94C by creating a new subsection to provide that payment of a fee is not required for a compartment of a commercial underground storage tank that has not contained a petroleum product at any point during the applicable calendar year. Amends GS 143-215.94C(b) to provide that the annual operating fee is due and payable in equal installments on a quarterly basis on the first day of the month of each quarter in accordance with a staggered schedule established by DENR in order that the total amount of fees collected by DENR is about the same each quarter.
Amends GS 143-215.94T to specify that the statute is not to be construed to limit the right of an owner or operator to repair any existing component of an underground storage tank system. Provides that if an existing tank or piping is replaced, the secondary containment and interstitial monitoring requirements apply only to the replaced tank or piping. Creates new subsection directing DENR to allow non-tank unprotected metallic components that are visible or accessible for visual inspections to have corrosion protection added as an alternative to replacement, if the component does not have visible corrosion and passes a tightness test.
Provides that all UST systems installed after January 1, 1991, are not required to provide secondary containment until January 1, 2020. Directs the Commission to establish a process for the grant of variances from the setbacks required for UST systems from certain public water supply wells if the Commission finds facts to demonstrate that such variance will not endanger human health and welfare or groundwater. Requires that, no later than January 1, 2012, the Environmental Management Commission must adopt rules consistent with the above provisions.
Deletes previous amendments to GS 143-215.94V(b). Amends GS 143-215.94V(b) to direct the Commission to adopt rules to establish a risk-based approach for the assessment, prioritization, and cleanup of discharges and releases of petroleum (previously limited to releases from petroleum underground storage tanks). Adds additional language stating that rules that use the distance between a source area of a confirmed discharge or release to a water supply well or private drinking well, as defined, must include a determination of whether a nearby well is likely to be affected by the discharge or release as a factor in determining levels of risk. Amends GS 143-215.94V(h) to delete the provision prohibiting DENR from paying or reimbursing any costs associated with the assessment or remediation of the portion of contamination that results from a release or discharge of petroleum from a source other than an underground storage tank from either the Commercial Fund or Noncommercial Fund.
Provides that DENR must not prohibit the use of tanks that are constructed of steel and cathodically protected as provided under federal law (40 CFR §280.20(a)(2)) in order to meet external corrosion protection standards of that rule. Directs the Environmental Management Commission to adopt rules to carry out this provision no later than January 1, 2012. Appears to make amendments to GS 143-215.94V applicable to discharges or releases reported on or before January 2, 1998. Unless otherwise indicated, effective when the act becomes law, and applies to assessments initiated on or after that date.
Changes title to AN ACT TO MAKE VARIOUS CHANGES TO THE LAWS GOVERNING THE STATE’S UNDERGROUND STORAGE TANK PROGRAM AND PETROLEUM DISCHARGES.