&EPA
                       United States
                       Environmental Protection
                       Agency	
                        Solid Waste And
                        Emergency Response
                        5403W
EPA 510-F-94-007
August 1994
UST  Program  Facts
Leaking   Underground
Storage  Tank  Trust  Fund
    What is the "LUST" Trust Fund?

    Congress created the Leaking Underground Storage
    Tank (LUST) Trust Fund in 1986 by amending
    Subtitle I of the Resource Conservation and
    Recovery Act. In December 1990, Congress
    reauthorized the Trust Fund for five more years.

    The LUST Trust Fund has two purposes.  First, it
    provides money for overseeing corrective action
    taken by a responsible party, who is usually the
    owner or operator of the leaking underground
    storage tank (UST). Second,  the Trust Fund
    provides money for cleanups at UST sites where
    the owner or operator is unknown, unwilling, or
    unable to respond, or which require emergency
    action.

    What's in the Trust Fund?

    The Trust Fund is financed by a 0.1 cent tax on each
    gallon of motor fiiel sold in the country. As of May
    1994, about $1.2 billion had been collected.

    Of this amount, Congress has given $475 million to
    the U.S. Environmental Protection Agency (EPA)
    through fiscal year 1994. About $410 million—or
    86 percent of the amount given to EPA—has been
    dispersed to state programs for state officials to use
    for administration, oversight, and cleanup work.

    The remaining Trust Fund money—about $65
    million or 14 percent of the total—has been used by
    EPA for administrative activities: negotiating and
    overseeing cooperative agreements; implementing
    programs on Indian lands; and supporting regional
    and state offices.
                          How does the Trust Fund work?

                          To receive money from the Trust Fund, a state
                          must enter into a cooperative agreement with the
                          federal government to spend the money for its
                          intended purpose. Every state except Florida
                          (which has its own state cleanup fund) has a
                          cooperative agreement with EPA.

                          The money is divided among EPA regional offices
                          based on a formula that uses state data. In fiscal
                          year 1994, each state received a base allocation
                          plus additional money depending on the following:
                          die number of confirmed releases in the state; the
                          number of notified petroleum tanks; the number of
                          residents relying on groundwater for drinking
                          water; and the number of cleanups initiated and
                          completed as a percent of total confirmed releases.

                          How do states use Trust Fund money?

                          States use Trust Fund money to oversee corrective
                          action by a responsible party and to clean up sites
                          where no responsible party can be found. Only
                          about 1 percent of all cases have been without a
                          responsible party.

                          To date, slates have used about one-third of their
                          Trust Fund money for administration, one-third for
                          oversight and state-lead enforcement activities, and
                          one-third for cleanups.

                          How many USTs are leaking?

                          As of July 1994, EPA, states, and local agencies
                          have confirmed more than 262,000 UST releases.
                          Over the next several years, EPA expects more

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than another 100,000 confirmed releases to be
reported, primarily releases discovered during the
replacement or closure of USTs.  After this peak,
EPA expects fewer additional releases as USTs
comply with requirements.

How much do cleanups cost?

Cleanup costs depend on a variety of factors,
including die extent of contamination and state
cleanup standards.  The average cleanup is
estimated to cost $125,000.

If only a small amount of soil needs to be removed
or treated, cleanup costs can run as low as
$10,000. However, costs to clean more extensive
soil contamination can reach $125,000.  Corrective
action for leaks that affect groundwater can cost
from $100,000 to over $1 million, depending on
the extent of contamination.

What cleanup activities have taken place?

As of July 1994, states have used Trust Fund and
state money to:

•    Confirm more than 262,000 releases,

•    Oversee or conduct more than 7,800
     emergency responses,

•    Oversee or initiate more than 202,000
     cleanups,

•    Oversee or complete more than 101,000
     cleanups, and

•    Oversee or conduct more than 892,000
     closures.
                                                         "Leaking Underground Storage Tank Trust Fund" is
                                                         one in a series of fact sheets about underground storage
                                                         tanks (USIs) and leaking USIs. The series is designed
                                                         to help EPA, other federal officials, and state authorities
                                                         answer the most frequently asked questions about USIs
                                                         with consistent, accurate information in plain language.
                                                         Keep the fact sheets handy as a resource.  This fact sheet
                                                         addresses federal regulations.  Hbu may need to refer to
                                                         applicable state or local regulations, as welL  For more
                                                         information on UST publications, call the
                                                         RCRA/Superfiind Hotline at 800 424-9346.
                                                                                   Recycted/Recyctabto
                                                                                   Printed with Soy/Canola Ink on paper that
                                                                                   contains at least 50% post-consumer recycled fiber

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