AB1089: Bill Text

LRB-5663/1

RCT:kmg:km

1995 - 1996 LEGISLATURE

1995 Assembly BILL 1089

March 28, 1996 - Introduced by Representatives Johnsrud, Brandemuehl, Silbaugh and Ainsworth, cosponsored by Senators Cowles and Rude. Referred to Joint committee on Finance.

AB1089,1,9 An Act to repeal 101.143 (3) (as) and 101.143 (3) (e); to amend 101.143 (2) (e), 101.143 (3) (a) (intro.), 101.143 (3) (ae) 1., 101.143 (3) (am) 1., 101.143 (3) (c) 4., 101.143 (3) (cm), 101.143 (3) (d), 101.143 (3) (f) 5., 101.143 (4) (b) 15., 101.143 (4) (d) 1., 101.143 (4) (dm) 1., 101.143 (4) (e) 1. b. and c. and 101.143 (7m); and to create 101.143 (2) (h), 101.143 (3) (ae) 3., 101.143 (3) (am) 5., 101.143 (4) (a) 8. and 101.143 (4) (ce) of the statutes; relating to: various changes to the petroleum storage remedial action program, extending the time limit for emergency rule procedures, providing an exemption from emergency rule procedures and granting rule-making authority.

Analysis by the Legislative Reference Bureau

Under current law, this state provides financial assistance to owners of certain petroleum product storage tanks for costs incurred because of discharges from those tanks. This program is commonly referred to as PECFA. The PECFA program is currently administered by the department of industry, labor and human relations (DILHR). On July 1, 1996, the 1995 biennial budget act transfers responsibility for administering PECFA from DILHR to the department of development (renamed the department of commerce).

Under current law, the maximum allowable PECFA awards for most kinds of storage tanks are decreased on July 1, 1998. This bill delays that decrease to December 22, 2002.

Under current law, the owner or operator of a storage tank is generally ineligible for a PECFA award for the cleanup of a discharge from the tank if the owner or operator has received a PECFA award for an earlier discharge from that tank. This bill eliminates that exception.

Under this bill, if an owner or operator of a storage tank received a PECFA award but the remedial action for which that award was granted failed to remedy the discharge, the owner or operator may receive additional financial assistance to remedy the discharge. The amount of the original award plus the additional financial assistance may not exceed the maximum allowable PECFA award.

Under current law, a PECFA award for a discharge from an underground storage tank, other than a home oil tank, may include the costs of compensation to 3rd parties for bodily injury and property damage caused by the discharge. Under this bill, a PECFA award for a discharge from an aboveground storage tank, other than a home oil tank, may also include the costs of compensation to 3rd parties for bodily injury and property damage caused by the discharge.

Under current law, the owner or operator of a petroleum storage tank that has discharged must receive approval of the cleanup from the department of natural resources (DNR) before receiving a PECFA award if the site is a high priority site. This bill eliminates the requirement of DNR approval but authorizes the department of commerce to require DNR approval as a condition of department of commerce approval in situations that the department of commerce specifies by rule.

This bill authorizes the department of commerce to promulgate rules under which it requires the owners and operators of petroleum storage tanks located on the same or adjacent sites to use the same service providers to conduct cleanups of discharges from those tanks as a condition of receiving PECFA reimbursement. The bill also authorizes the department of commerce to promulgate rules under which the department selects service providers to provide services for the operation or maintenance of remedial action equipment or systems in specified areas. The rules may deny PECFA reimbursement for services performed by a person other than a selected provider or limit PECFA reimbursement to the amount that the selected provider could have charged for the service.

This bill authorizes DILHR, before July 1, 1996, to promulgate emergency rules for the PECFA program without a finding of emergency. The rules may remain in effect for not longer than 2 years. The bill authorizes the department of commerce, after June 30, 1996, and before January 1, 1997, to promulgate emergency rules for the PECFA program without a finding of emergency. The rules may remain in effect for not longer than 2 years.

For further information see the state fiscal estimate, which will be printed as an appendix to this bill.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

AB1089, s. 1 Section 1. 101.143 (2) (e) of the statutes is amended to read:

AB1089,3,8 101.143 (2) (e) The department shall promulgate rules, with an effective date of no later than January 1, 1996, specifying the methods the department will use under sub. (3) (ae), and (am) and (as) to identify the petroleum product storage system or home oil tank system which discharged the petroleum product that caused an area of contamination and to determine when a petroleum product discharge that caused an area of contamination occurred. The department shall write the rule in a way that permits a clear determination of what petroleum product contamination is eligible for an award under sub. (4) after December 31, 1995.

AB1089, s. 2 Section 2. 101.143 (2) (h) of the statutes is created to read:

AB1089,3,14 101.143 (2) (h) The department may promulgate rules that require, in specified types of situations, a written determination from the department of natural resources that remedial action activities performed under sub. (3) (c) 3. meet the requirements of s. 144.76 before the department issues its approval under sub. (3) (c) 4.

AB1089, s. 3 Section 3. 101.143 (3) (a) (intro.) of the statutes is amended to read:

AB1089,3,22 101.143 (3) (a) Who may submit a claim. (intro.) Subject to pars. (ae), and (am) and (as), an owner or operator or a person owning a home oil tank system may submit a claim to the department for an award under sub. (4) to reimburse the owner or operator or the person for the eligible costs under sub. (4) (b) that the owner or operator or the person incurs because of a petroleum products discharge from a petroleum product storage system or home oil tank system if all of the following apply:

AB1089, s. 4 Section 4. 101.143 (3) (ae) 1. of the statutes, as affected by 1995 Wisconsin Act 27, is amended to read:

AB1089,4,6 101.143 (3) (ae) 1. An owner or operator or a person owning a home oil tank system is not eligible for an award under this section for costs incurred because of a petroleum product discharge from a petroleum product storage system or a home oil tank system that meets the performance standards in 40 CFR 280.20 or in rules promulgated by the department relating to underground storage tank systems installed after December 22, 1988, except as provided in subd. 2. or 3.

AB1089, s. 5 Section 5. 101.143 (3) (ae) 3. of the statutes is created to read:

AB1089,4,11 101.143 (3) (ae) 3. Subdivision 1. does not apply if a change in rules promulgated by the department of natural resources necessitates further remedial action activities with respect to a petroleum product discharge for which an award was issued under this section.

AB1089, s. 6 Section 6. 101.143 (3) (am) 1. of the statutes, as affected by 1995 Wisconsin Act 27, is amended to read:

AB1089,4,22 101.143 (3) (am) 1. An owner or operator or a person owning a home oil tank system is not eligible for an award under this section for costs incurred because of a petroleum product discharge from a petroleum product storage system or a home oil tank system if the discharge is confirmed, or activities under par. (c) or (g) are begun with respect to that discharge, after the day on which the petroleum product storage system or home oil tank system first meets the upgrading requirements in 40 CFR 280.21 (b) to (d) or in rules promulgated by the department relating to the upgrading of existing underground storage tank systems, except as provided in subds. 2. to 4 5.

AB1089, s. 7 Section 7. 101.143 (3) (am) 5. of the statutes is created to read:

AB1089,5,2 101.143 (3) (am) 5. Subdivision 1. does not apply if a change in rules promulgated by the department of natural resources necessitates further remedial action activities with respect to a petroleum product discharge for which an award was issued under this section.

AB1089, s. 8 Section 8. 101.143 (3) (as) of the statutes, as affected by 1995 Wisconsin Act 27, is repealed.

AB1089, s. 9 Section 9. 101.143 (3) (c) 4. of the statutes, as affected by 1995 Wisconsin Act 27, is amended to read:

AB1089,5,10 101.143 (3) (c) 4. Receive written approval from the department of natural resources or, if the discharge is covered under s. 101.144 (2) (b), from the department of commerce that the remedial action activities performed under subd. 3. meet the requirements of s. 144.76.

AB1089, s. 10 Section 10. 101.143 (3) (cm) of the statute, as affected by 1995 Wisconsin Act 27, is amended to read:

AB1089,5,18 101.143 (3) (cm) Monitoring as remedial action. An owner or operator or person owning a home oil tank system may, with the approval of the department of natural resources or, if the discharge is covered under s. 101.144 (2) (b), the department of commerce, satisfy the requirements of par. (c) 2. and 3. by proposing and implementing monitoring to ensure the effectiveness of the natural process of degradation of petroleum product contamination.

AB1089, s. 11 Section 11. 101.143 (3) (d) of the statutes, as affected by 1995 Wisconsin Act 27, is amended to read:

AB1089,6,5 101.143 (3) (d) Review of site investigations, remedial action plans and remedial action activities. The department of natural resources or, if the discharge is covered under s. 101.144 (2) (b), the department of commerce shall, at the request of the claimant, review the site investigation and the remedial action plan and advise the claimant on the adequacy of proposed remedial action activities in meeting the requirements of s. 144.76. The advice is not an approval of the remedial action activities. The department of natural resources or, if the discharge is covered under s. 101.144 (2) (b), the department of commerce shall complete a final review of the remedial action activities within 60 days after the claimant notifies the appropriate department that the remedial action activities are completed.

AB1089, s. 12 Section 12. 101.143 (3) (e) of the statutes, as affected by 1995 Wisconsin Act 27, is repealed.

AB1089, s. 13 Section 13. 101.143 (3) (f) 5. of the statutes, as affected by 1995 Wisconsin Act 27, is amended to read:

AB1089,6,11 101.143 (3) (f) 5. The written approval of the department of natural resources or the department of commerce under par. (c) 4.

AB1089, s. 14 Section 14. 101.143 (4) (a) 8. of the statutes is created to read:

AB1089,6,22 101.143 (4) (a) 8. If the department issues an award under this section for remedial action activities that were necessitated by a petroleum product discharge from a petroleum product storage system or home oil tank system and it is subsequently determined that the approved remedial action activities failed to remedy the discharge, then the department may approve additional financial assistance for costs incurred to enhance the approved remedial action activities or implement new remedial action activities. The total amount of an original award under this section plus additional financial assistance provided under this subdivision is subject to the limits in pars. (d) to (e), (ei) and (em) on amounts of awards.

AB1089, s. 15 Section 15. 101.143 (4) (b) 15. of the statutes is amended to read:

AB1089,7,3 101.143 (4) (b) 15. For an owner or operator only, compensation to 3rd parties for bodily injury and property damage caused by a petroleum products discharge from an underground a petroleum product storage tank system.

AB1089, s. 16 Section 16. 101.143 (4) (ce) of the statutes is created to read:

AB1089,7,10 101.143 (4) (ce) Eligible cost; service providers. 1. The department may promulgate rules under which the costs incurred for a specified service because of discharges from petroleum product storage systems located on the same or adjacent parcels of land are not eligible costs under par. (b) unless the owners or operators of those petroleum product storage systems obtain the service from the same service provider.

AB1089,7,19 2. The department may promulgate rules under which the department selects service providers to provide services for the operation or maintenance of remedial action equipment or systems in specified areas. The rules may provide that the costs of a service for which the department has selected a service provider in an area are not eligible costs under par. (b), or that eligible costs are limited to the amount that the selected service provider would have charged, if an owner or operator of a petroleum product storage system located in that area, or a person owning a home oil tank system located in that area, uses a service provider other than the service provider selected by the department to perform the services.

AB1089, s. 17 Section 17. 101.143 (4) (d) 1. of the statutes is amended to read: