FINAL BILL REPORT

SHB 1086

                                  C 346 L 89

BYHouse Committee on Environmental Affairs (originally sponsored by Representatives Ferguson, Rust, Wang, May, Haugen, Winsley, R. Meyers, Betrozoff, Beck, Sayan, Nelson, Miller, Moyer, Dellwo, Heavey, Pruitt, D. Sommers, Walker, Brough, Schoon, Phillips, Spanel, Valle and Anderson)

Regulating underground storage tanks.

House Committe on Environmental Affairs

Rereferred House Committee on Revenue

Senate Committee on Environment & Natural Resources and Committee on Ways & Means

SYNOPSIS AS ENACTED

BACKGROUND:

Leaking underground tanks that store petroleum products or hazardous substances may pose a serious threat to state and national groundwater resources.  It has been estimated that a one gallon leak of gasoline can render one million gallons of groundwater unpalatable.  According to the federal Environmental Protection Agency (EPA), approximately 96 percent of the fresh water in the United States is groundwater and most groundwater aquifers are within a half mile of the surface.

According to the Department of Ecology (Ecology):

-Over 40 percent of the 34,000 underground storage tanks (UST's) in Washington are over 15 years old; at which time they are considered statistically likely to begin leaking due to corrosion or structural failure.

-Over 95 percent of the UST's in the state store petroleum products.

-More than two-thirds of these tanks are in western Washington, where soil corrosivity is relatively high.

-Approximately 75 percent of the tanks are located at commercial facilities, with over 25 percent located at gasoline service stations.

-Most tanks lack protection from corrosion and many lack adequate leak detection systems.

Subtitle I of the Resource Conservation and Recovery Act (RCRA), gives the EPA the authority to regulate UST's containing petroleum products and hazardous substances.  The EPA has established an underground storage tank regulatory program that requires leak detection systems, upgrading of tanks, record-keeping systems, corrective or cleanup actions in response to releases, reporting of releases and corrective actions, standards for tank closure, and financial responsibility assurances.

States may apply to the EPA for authority to administer the UST's regulatory program at the state level.  In 1988, the Legislature established the Joint Select Committee on Storage Tanks to develop legislation establishing a Washington Underground Storage Tank Regulatory Program.

SUMMARY:

The Washington Underground Storage Tank Regulatory Program is established in the Department of Ecology. Ecology is directed to:

(1) Adopt statewide regulations for underground storage tanks that are consistent with and no less stringent than the federal regulations;

(2) Adopt rules to be used in designating local environmentally sensitive areas and in approving local regulations that are more stringent than the statewide standards in these areas;

(3) Establish an administrative and enforcement program that meets minimum federal requirements and encourages the delegation of program responsibilities to local governments;

(4) Establish a tank tagging program to identify to persons delivering petroleum or hazardous products whether the tank is in compliance with state requirements; and

(5)  Consult with the State Building Code Council when adopting rules.

In addition, Ecology is authorized to establish certification programs for persons who conduct underground storage tank inspections, testing, closure, cathodic protection, interior tank lining, corrective action, or other required activities.

Ecology is required to establish a statewide underground storage tank administration and enforcement program.  Cities and counties may apply to Ecology for delegation of program responsibilities. Fire protection districts are authorized to enter into interlocal agreements with the city or county to assume some or all of the delegated responsibilities.  Ecology is required to administer and enforce the program where no delegation has occurred.

Ecology is directed to establish physical site criteria to be used in designating local environmentally sensitive areas.  Cities and counties may apply to Ecology separately or jointly to obtain this designation.  If approved by Ecology, cities and counties may set UST standards in these areas that are more stringent than the statewide regulations and impose annual local tank fees if necessary for enhanced program administration and enforcement.  If a local government applies for designation as an environmentally sensitive area later than five years after the date of Ecology's final rules, more stringent local regulations may be adopted only for new tank installations.  To be approved by Ecology, local regulations in environmentally sensitive areas must be reasonably consistent with previously approved local regulations for similar environmentally sensitive areas.

Delivery of regulated substances to untagged UST's is prohibited.  This prohibition only applies to direct transfers and does not apply to suppliers who sell regulated substances to persons delivering regulated substance to UST's.

Ecology and local agencies enforcing underground storage tank requirements may:  (1) Require information and documents from owners and operators and may subpoena relevant witnesses and documents;  (2) require an owner or operator to conduct testing or monitoring; and (3) enter private property to conduct inspections, copy records, or obtain samples.

The director of the Department of Ecology is authorized to issue orders or sue in Thurston County Superior Court to: (1) Enjoin threatened or continuing violations of program requirements; (2) restrain persons engaging in unauthorized activities that violate program requirements and endanger or damage public health or the environment; (3) require compliance with requests for information, access, testing, or monitoring; and (4) assess and recover civil penalties.

Penalties not to exceed $5,000 per tank per day of violation are established for violations of program requirements.

An annual state tank fee of $60 for the first two years and $75 thereafter, is required of UST owners.  The fees will be deposited in a new UST account.  Money in the account is subject to legislative appropriation and may only be spent for the administration and enforcement of the UST program.

Ecology is authorized to approve additional annual local tank fees in designated environmentally sensitive areas when necessary for enhanced program administration or enforcement.  Local fees may not exceed 50 percent of the annual state fee.

As of July 1, 1990, the statewide UST regulations will preempt other state and local regulations governing the same areas of regulation.  There are five exceptions to preemption:  (1) Local regulations pertaining to local authority to respond immediately to releases; (2) existing local underground storage tank regulations that are more stringent than the federal regulations and the uniform building and fire codes; (3) existing local regulations pertaining to permits and fees for using UST's in street right of ways; (4) existing local regulations authorizing permits and fees for UST's in street right of ways, and (5) more stringent local regulation of environmentally sensitive areas.

Ecology is required to submit five annual reports to the Legislature on the implementation of the underground storage tank program.

The Washington UST regulatory program is scheduled to sunset July 1, 1999.

VOTES ON FINAL PASSAGE:

      House 93   1

      Senate    45     0 (Senate amended)

      House             (House refused to concur)

      Senate    44     0 (Senate amended)

      House 97   0 (House concurred)

EFFECTIVE:May 12, 1989

            July 1, 1990 (Sections 6, 12 & 19)