La. Admin. Code tit. 33 § XV-351

Current through Register Vol. 50, No. 11, November 20, 2024

Section XV-351 - Financial Assurance Arrangements

A. Issuance of a license shall be dependent upon satisfactory evidence of financial assurance to ensure the protection of the public health and safety in the event of abandonment, default, or other inability of the licensee to meet the requirements of these regulations. Pursuant to R.S. 30:2114 of the Louisiana Radiation Protection and Radiation Control Law, and as otherwise provided, financial assurance arrangements for site decontamination, mitigation, liability, and/or decommissioning may consist of financial assurance bonds, cash deposits, personal bonds, letters or lines of credit, or any combination of the above for the categories of licenses listed in LAC 33:XV.351.D. Determination of satisfactory financial assurance arrangements shall be subject to the following conditions:

1. the amount of funds to be ensured by such assurance arrangements shall be based on the quantity of radioactive material of half-life greater than 120 days that the licensee is authorized to use and possess;

2. self-insurance, or any arrangement that essentially constitutes self-insurance, will not satisfy the financial assurance requirement since this provides no further assurance than being without insurance.

B. The arrangements required in LAC 33:XV.351.A shall be established prior to issuance of the license to assure that sufficient funds will be available to carry out the decontamination and decommissioning of the facility.

C. Amendments to licenses in effect on the effective date of this regulation may be issued providing that the required financial assurance arrangements are established within 90 days after the effective date of LAC 33:XV.351.

D. The following licensees are required to make financial assurance arrangements:

1. major processors;

2. waste-handling licensees;

3. all others except licensees exempt in accordance with LAC 33:XV.399.Appendix A; and

4. any other licensee that the department determines to have the potential to default, abandon, or otherwise cause liabilities that would endanger public health and safety.

E. The department may reevaluate, at any time, the adequacy of an existing financial assurance arrangement and may require an adjustment by either increasing or decreasing the amount of the financial assurance arrangement required.

La. Admin. Code tit. 33, § XV-351

Promulgated by the Department of Environmental Quality, Office of Air Quality and Radiation Protection, Radiation Protection Division, LR 18:34 (January 1992), amended by the Office of Environmental Assessment, Environmental Planning Division, LR 26:2573 (November 2000), LR 27:1228 (August 2001), amended by the Office of Environmental Assessment, LR 31:45 (January 2005).

AUTHORITY NOTE: Promulgated in accordance with R.S. 30:2001 et seq.