Michigan Laws 324.21510 – Eligibility of owner or operator to receive money from authority for corrective action or indemnification
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Terms Used In Michigan Laws 324.21510
- Administrator: means the administrator of the authority as provided for in section 21525. See Michigan Laws 324.21502
- Authority: means the underground storage tank authority created in section 21523. See Michigan Laws 324.21502
- Claim: means the submission by the owner or operator or his or her representative of documentation on an application requesting payment by the authority. See Michigan Laws 324.21502
- Claim period: means a 1-year period commencing on October 1 of each year and ending on September 30 the following year. See Michigan Laws 324.21502
- Claims limit: means $1,000,000. See Michigan Laws 324.21502
- Corrective action: means that term as it is defined in section 21302. See Michigan Laws 324.21502
- Deductible amount: means the amount of corrective action costs or indemnification costs that are required to be paid by an owner or operator as provided in section 21510a. See Michigan Laws 324.21502
- Department: means the department of environmental quality. See Michigan Laws 324.21502
- Discovery: Lawyers' examination, before trial, of facts and documents in possession of the opponents to help the lawyers prepare for trial.
- Financial responsibility requirements: means the financial responsibility for taking corrective action and for compensating third parties for bodily injury and property damage caused by a release from a refined petroleum underground storage tank system that the owner or operator of a refined petroleum underground storage tank system must demonstrate under part 211 and the rules promulgated under that part. See Michigan Laws 324.21502
- Fund: means the underground storage tank cleanup fund created in section 21506b and includes the bond proceeds account established within the fund. See Michigan Laws 324.21502
- Indemnification: In general, a collateral contract or assurance under which one person agrees to secure another person against either anticipated financial losses or potential adverse legal consequences. Source: FDIC
- Indemnification: means indemnification of an owner or operator for a legally enforceable judgment entered against the owner or operator by a third party, or a legally enforceable settlement entered between the owner or operator and a third party, compensating that third party for bodily injury or property damage, or both, caused by an accidental release as those terms are defined in R 29. See Michigan Laws 324.21502
- Location: means a parcel of property where refined petroleum underground storage tank systems are registered pursuant to part 211. See Michigan Laws 324.21502
- Operator: means that term as it is defined in section 21303 or a person to whom an approved claim has been assigned or transferred. See Michigan Laws 324.21502
- Owner: means that term as it is defined in section 21303. See Michigan Laws 324.21502
- Refined petroleum: means aviation gasoline, middle distillates, jet fuel, kerosene, gasoline, residual oils, and any oxygenates that have been blended with any of these. See Michigan Laws 324.21503
- Refined petroleum underground storage tank: means an underground storage tank system used for the storage of refined petroleum. See Michigan Laws 324.21503
- Release: means that term as it is defined in section 21303. See Michigan Laws 324.21503
- removed: means a physical transfer other than by evaporation, loss, or destruction of refined petroleum or a refined petroleum product from a refiner, pipeline terminal operator, or marine terminal operator. See Michigan Laws 324.21503
- state: when applied to the different parts of the United States, shall be construed to extend to and include the District of Columbia and the several territories belonging to the United States; and the words "United States" shall be construed to include the district and territories. See Michigan Laws 8.3o
- Underground storage tank system: means that term as it is defined in section 21303. See Michigan Laws 324.21503
- United States: shall be construed to include the district and territories. See Michigan Laws 8.3o
(1) An owner or operator is eligible to receive money from the authority for corrective action or indemnification due to a release from a refined petroleum underground storage tank system only if all of the following requirements are satisfied and the owner or operator otherwise complies with this part:
(a) The release from which the corrective action or indemnification arose was discovered and reported on or after December 30, 2014.
(b) The refined petroleum underground storage tank from which the release occurred was, at the time of discovery of the release, and is presently, in compliance with the registration and fee requirements of part 211.
(c) The owner or operator reported the release within 24 hours after its discovery as required by part 211 and the rules promulgated under that part.
(d) The owner or operator is not the United States government.
(e) The claim is not for a release from a refined petroleum underground storage tank closed prior to January 1, 1974, in compliance with the fire prevention code, 1941 PA 207, MCL 29.1 to 29.33, and the rules promulgated under that act.
(f) The owner or operator was in compliance with the financial responsibility requirements of part 211 and the rules promulgated under that part at the time of the discovery of the release or releases for which the claim is filed.
(g) The owner or operator is otherwise eligible to receive money from the authority under this part.
(h) The total amount of expenditures, including the deductible amount, does not exceed the claims limit or the claim period aggregate limit applicable to the claim.
(2) The owner or operator may receive money from the authority for corrective action or indemnification due to a release that originates from an aboveground piping and dispensing portion of a refined petroleum underground storage tank system if all of the following requirements are satisfied:
(a) The owner or operator is otherwise in compliance with this part and the rules promulgated under this part.
(b) The release is sudden and immediate.
(c) The release is of a quantity exceeding 25 gallons and is released into groundwater, surface water, or soils.
(d) The owner or operator reported the release to the department within 24 hours after its discovery.
(3) Either the owner or the operator may receive money from the authority under this part for an occurrence, but not both.
(4) An owner or operator that is a public utility with more than 500,000 customers in this state is ineligible to receive money from the authority for corrective action or indemnification associated with a release from a refined petroleum underground storage tank system used to supply refined petroleum for the generation of steam electricity.
(5) If an owner or operator has received money from the authority under this part for a release at a location, the owner and operator are not eligible to receive money from the authority for a subsequent release at the same location unless the owner or operator has done either or both of the following:
(a) Discovered the subsequent release pursuant to corrective action being taken on a confirmed release and included this subsequent release as part of the corrective action for the confirmed release.
(b) Upgraded, replaced, removed, or properly closed in place all refined petroleum underground storage tank systems at the location of the release so as to meet the requirements of part 211 and the rules promulgated under that part.
(6) An owner or operator that discovers a subsequent release at the same location as an initial release pursuant to subsection (5)(a) may receive money from the authority to perform corrective action on the subsequent release, if the owner or operator otherwise complies with the requirements of this part and the rules promulgated under this part. However, the subsequent release shall be considered as part of the claim for the initial release for purposes of determining the total amount of expenditures for corrective action and indemnification under subsection (1)(h).
(7) An owner or operator that discovers a subsequent release at the same location as an initial release following compliance with subsection (5)(b) may receive money from the authority to perform corrective action on the subsequent release, if there have been not more than 2 releases at the location, and if the owner or operator otherwise complies with the requirements of this part and the rules promulgated under this part. The subsequent release shall be considered a separate claim for purposes of determining the total amount of expenditures for corrective action and indemnification under subsection (1)(h).
(8) An owner or operator that seeks to receive money from the authority for corrective action shall submit to the administrator the cleanup fund claim submittal form created by the authority containing the information required by the administrator to determine compliance with this part. The administrator shall determine whether the claim complies with this part and shall notify the owner or operator. The administrator may consult with the department of licensing and regulatory affairs to make the determination required in this subsection.