ITEM 2: ADOPTING THE PETROLEUM UNDERGROUND STORAGE TANK (UST) EMERGENCY, ABANDONED, RECALCITRANT (EAR) ACCOUNT FY 1998-99 ANNUAL SITE LIST; AND, AUTHORIZING THE EXECUTIVE DIRECTOR, OR HIS DESIGNEE, TO EXECUTE CONTRACTS AND AMENDMENTS WITH DESIGNATED LOCAL IMPLEMENTING AGENCIES (LIAs).

DISCUSSION: Chapter 6.75 of the Health and Safety Code authorizes the State Water Resources Control Board (SWRCB) to provide funds to Regional Water Quality Control Boards (RWQCBs) and LIAs to initiate corrective action at petroleum UST sites: (1) which require an emergency response to protect human health and the environment; (2) for which a responsible party cannot be identified or located (abandoned site); or, (3) where the identified responsible party is either unable or unwilling to take the required corrective action (recalcitrant site). The 1998-99 budget for the Underground Storage Tank Cleanup Fund (USTCF) Program requests a $5 million appropriation for this function. The SWRCB established procedures for administering the EAR Account on December 3, 1992 (Water Quality APM, Chapter 19). The procedures provide for establishment of an annual site list of abandoned and recalcitrant sites nominated by a RWQCB to receive EAR Account funding.

On January 6, 1998, the SWRCB requested the RWQCBs to: (1) contact their LIAs to identify any abandoned and recalcitrant petroleum UST sites for inclusion on the FY 1998-99 EAR Account Annual Site List; and, (2) submit their annual list of recommended RWQCB and LIA sites to the SWRCB for EAR Account funding.

Three RWQCBs responded, nominating a total of 13 eligible sites. Sufficient funding is available to provide the requested funding for all 13 sites.

POLICY ISSUE: Should the SWRCB adopt the EAR Account FY 1998-99 Annual Site List (Attached) to provide funding to the designated oversight agency to initiate direct site cleanup at listed UST sites? and,

Should the SWRCB authorize the Executive Director, or his designee, to execute contracts and amendments with designated LIAs?

FISCAL IMPACT: An EAR Account appropriation of $5,000,000, from the USTCF, has been requested for FY 1998-99. This is sufficient to provide the requested funding for all listed sites. Also, sufficient funds are included in the budget to cover RWQCB staff time needed to administer listed sites.

RWQCB IMPACT: Two sites will be administered by RWQCB. The remaining eleven sites will be administered by LIAs.

STAFF RECOMMENDATION: That the SWRCB adopt a resolution to grant EAR funding, as specified in the attached FY 1998-99 Annual Site List, and that the SWRCB authorize the Executive Director, or his designee, to execute contracts and amendments with LIAs designated as an oversight agency on the Annual Site List.

DRAFT June 29, 1998

WHEREAS:

1. Chapter 6.75 of the Health and Safety Code authorizes Regional Water Quality Control Boards (RWQCBs) and LIAs to take corrective action at petroleum UST sites which have had unauthorized releases;

2. The State Water Resources Control Board (SWRCB) has established administrative procedures for providing cleanup funds to RWQCBs and LIAs, which include adoption of an EAR Account Annual Site List;

3. On January 6, 1998, the SWRCB requested the RWQCBs to: (1) contact their LIAs to identify any abandoned and recalcitrant petroleum UST sites for inclusion on the FY 1998-1999 EAR Account Annual Site List; and, (2) submit their annual list of RWQCB and LIA sites nominated to receive EAR Account funding;

4. Three RWQCBs responded, nominating a total of 13 eligible sites;

5. Sufficient funding is available to provide the requested funding for all 13 sites; and

6. The SWRCB wants to delegate authority to the Executive Director, or his designee, to execute contracts with designated LIAs.

THEREFORE BE IT RESOLVED THAT:

The State Water Resources Control Board hereby: (1) adopts the attached EAR Account FY 1998-99 Annual Site List; and (2) authorizes the Executive Director, or his designee, to negotiate and execute contracts with a designated LIA for the expenditure of EAR Account funds.

The undersigned, Administrative Assistant to the Board, does hereby certify that the foregoing is a full, true, and correct copy of a resolution duly and regularly adopted at a meeting of the State Water Resources Control Board held on July 23, 1998.

______________________________________

Maureen Marchè

Administrative Assistant to the Board

June 25, 1998