7 Del. Admin. Code § 1351-F-1.0

Current through Register Vol. 28, No. 7, January 1, 2025

Section 1351-F-1.0 - Financial Responsibility Requirements for UST Systems

1.1 Applicability

1.1.1 The Requirements of Part F of these Regulations apply only to Owners or Operators of UST Systems subject to the requirements of Parts B, D, H and I of these Regulations.

1.1.2 UST System Owners or Operators are subject to the requirements of Part F if the UST Systems are in operation on or after the date for compliance established in Part F, subsection 1.2.

1.1.3 The State and Federal government entities whose debts and liabilities are the debts and liabilities of the State or the United States are exempt from the financially responsibility requirements of Part F for UST Systems owned by a State or Federal government entity.

1.1.4 The requirements of Part F do not apply to Owners or Operators of any UST System described in Part A, subsection 1.2.

1.1.5 If the Owner or Operator of an UST System are separate Persons, only one Person is required to demonstrate financial responsibility; however, both parties are liable in event of noncompliance. Regardless of which party complies, the date set for compliance is established in Part F, subsection 1.2.

1.1.6 Owners or Operators shall maintain a copy of all documentation as referenced in subsections 2.2 through 2.12. and Section 3.0, Forms A-R of Part F.

1.1.7 Owners or Operators shall maintain evidence of all current and historical financial assurance mechanisms as required in subsections 2.2 through 2.12 and Section 3.0, Forms A-R of Part F, used to demonstrate financial responsibility under Part F until released from the requirements under Part F, subsection 2.16.

1.1.8 Records documenting compliance with the financial responsibility requirements of Part F shall be submitted prior to placing any Regulated Substance into an UST System and upon policy renewal. Records shall also be made available upon the request of the Department. If an Insurance and Risk Retention Group Coverage mechanism is used to comply with the financial responsibility requirements, such certification requires submission of Insurance and Risk Retention Group Coverage documents, including a copy of the complete insurance policy and any endorsements and Part F, subsection 3.4 (Form D) and Part F, subsection 3.18 (Form R).

1.1.9 The required per-Occurrence and Annual Aggregate coverage amounts do not in any way limit the liability of Owners or Operators.

1.1.10 Owners or Operators shall review the amount of financial responsibility required whenever additional UST Systems are installed to ensure compliance with the requirements of Part F.

1.1.11 Owners or Operators shall submit to the Department documentation of the current financial responsibility mechanism within 10 Days of receipt of a Department issued hydrogeologic investigation letter.

1.1.12 No UST Systems shall contain a Regulated Substance without a current and valid financial responsibility mechanism in accordance with the applicable requirements of these Regulations.

1.2 Compliance Dates

1.2.1 Owners or Operators of UST Systems storing Regulated Substance shall comply with the financial responsibility requirements of Part F by the following dates:

1.2.1.1 All Petroleum Marketing Firms owning 1,000 or more UST Systems storing Regulated Substance, and other UST Systems Owners that report a Tangible Net Worth of $20 million or more to the U.S. Securities and Exchange Commission (SEC), Dun and Bradstreet, the Energy Information Administration, or the Rural Utilities Service, shall comply by January 24, 1989.

1.2.1.2 All Petroleum Marketing Firms owning 100-999 UST Systems storing Regulated Substance shall comply by October 26, 1989.

1.2.1.3 All Petroleum Marketing Firms owning 13 99 UST Systems storing Regulated Substance shall comply by April 26, 1991.

1.2.1.4 All Hazardous Substance UST System Owners or Operators shall comply by December 31, 2008.

1.2.1.5 All UST System Owners not described in Part F, subsections 1.2.1.1, 1.2.1.2, 1.2.1.3 or 1.2.1.4, including all Local Government entities shall comply by December 31, 1993.

1.3 Amount and Scope of Financial Responsibility

1.3.1 Per-Occurrence Financial Responsibility Amounts

1.3.1.1 Owners or Operators of UST Systems shall demonstrate financial responsibility for taking Corrective Action and for compensating third parties for Bodily Injury and Property Damage caused by Accidental Releases from the operation of UST Systems in at least the following per-Occurrence amounts:

1.3.1.1.1 For Owners or Operators of UST Systems that are located at Petroleum Marketing Facilities, or that handle an average of more than 10,000 gallons of Regulated Substance per month based on annual throughput for the previous calendar year, the demonstration of financial responsibility for Corrective Action and third-party liability shall be a minimum of o $1,000,000 per Occurrence.

1.3.1.1.2 For Owners or Operators of Hazardous Substance UST Systems the demonstration of financial responsibility for Corrective Action and third-party liability shall be a minimum of $1,000,000 per Occurrence.

1.3.1.1.3 For Owners or Operators of UST Systems not described in Part F, subsections 1.3.1.1.1 or 1.3.1.1.2, the demonstration of financial responsibility for Corrective Action and third-party liability shall be a minimum of $500,000 per Occurrence.

1.3.2 Annual Aggregate Financial Responsibility Amounts

1.3.2.1 Owners or Operators of UST Systems shall demonstrate financial responsibility for taking Corrective Action and for compensating third parties for Bodily Injury and Property Damage caused by Accidental Releases from the operation of UST Systems in at least the following annual aggregate amounts:

1.3.2.1.1 For Owners or Operators of 1 to 100 UST Systems the demonstration of financial responsibility for Corrective Action and third-party liability shall be a minimum of $1,000,000 annual aggregate.

1.3.2.1.2 For Owners or Operators of 101 or more UST Systems the demonstration of financial responsibility for Corrective Action and third-party liability shall be a minimum of $2,000,000 annual aggregate.

1.3.3 For the purposes of Part F, subsection 1.3.2 only, "a UST System" means a single containment unit and does not mean a combination of single containment units.

1.3.4 The amount of financial responsibility required excludes legal defense and administrative costs.

7 Del. Admin. Code § 1351-F-1.0

13 DE Reg. 1562 (06/01/10)
23 DE Reg. 581 (1/1/2020)
24 DE Reg. 806 (2/1/2021)
27 DE Reg. 533 (1/1/2024) (Final)