United States Environmental Protection Agency Office of Solid Waste and Emergency Response &EPA DIRECTIVE NUMBER: 9630.7 TITLE: FY-92 STATE UST PROGRAM GRANT GUIDANCE APPROVAL DATE: MAY 2 9 !99i EFFECTIVE DATE: MAY 2 9 !99i ORIGINATING OFFICE: Office of Underground Storage Tanks (OUST) 0 FINAL D DRAFT STATUS: REFERENCE (other documents): OSWER OSWER OSWER fE DIRECTIVE DIRECTIVE Dl ------- &EPA United States Environmental Protection Agency OHice of Solid Waste and Emergency Response DIRECTIVE NUMBER: 9630.7 TITLE: FY-92 STATE UST PROGRAM GRANT GUIDANCE APPROVAL DATE: EFFECTIVE DATE: MAY 2 9 199! MAY 2 9 !9?l ORIGINATING OFFICE: office of Underground Storage Tanks (OUST) 0 FINAL 6 D DRAFT STATUS: REFERENCE (other documents): OSWER OS WE Ft OSWER 'E DIRECTIVE DIRECTIVE Dl ------- CLPP/V Washington, DC 20460 ocrM QSWER Directive Initiation Request 9 2. Originator Information Name of Contact Person Louis M. Williams Mail Code Office OS-420(WF) 03 Telei ffiR/OUST 30! rective Number 530.7 shone Code B-8886 3. Title FY-92 State Program Grant Guidance 4. Summary of Directive (include brief statement of purpose) Provides the criteria and procedures for allocation of grant funds for State underground storage tank (UST) program activities in FY-92. 5. Keywords Underground Storage Tanks, Grants 6a. Does This Directive Supersede Previous Directive(s)? No b. Does It Supplement Previous Directive(s 7. Draft Level A - Signed by AA/DAA X )'! _X_NO 8 - Signed by Office Director Y Yes What directive (num Directive 9 SI David Ziegele, Acting Director, OUST/^->e<\[, < (\A^— 4/->_^ Date 1 1 Date , *) ^ \ lift EPA Form 1315-17 (Rev. 5-87) Previous editions are obsolete. ' OSWER OSWER OSWER O VE DIRECTIVE DIRECTIVE DIRECTIVE ------- i u: O UNITED STATES ENVIRONMENTAL PROTECTION AGENCY WASHINGTON, D.C. 20460 MAY 2 9 !S9i OFFICE OF SOLID WASTE AND EMERGENCY RESPONSE OSWER DIRECTIVE 9630.7 MEMORANDUM SUBJECT: FY 199/5N\UST, Grant2-Guidance FROM: TO: David XaegeAe, Acting Director Office of Underground Storage Tanks Regional Program Managers Attached is the final UST FY 1992 Grant Guidance, per our agreement in San Diego in February. This guidance is nearly identical to last year. The few comments received on the draft guidance provided to you last month raised some concerns about the leak detection enforcement and compliance reporting form attached to the guidance. Although we're still working on this form, we have decided to attach the latest draft for your information; we will finalize the form and instructions later after further discussion with you. Printed on Recycled Paper ------- April 1, 1991 OSWER DIRECTIVE 9630.7 FY 1992 STATE UST PROGRAM GRANT GUIDANCE I. PURPOSE OF GRANT GUIDANCE This guidance provides the criteria and procedures for allocation of grant funds for State underground storage tank (UST) program activities in FY 92. As a supplement to the grant regulations under 40 CFR Sections 31 and 35, this guidance is to be used in developing and reviewing grant applications, awarding grants, and monitoring grant activities. Regional offices are responsible for negotiating grant agreements with States in accordance with national guidance adapted to individual State situations in order to stimulate and assist State program development and implementation, monitor progress, and evaluate grant fund expenditures. Additional implementation guidance may be found in the "FY 1992 Agency Operating Guidance" (EPA, March 1991), in the OSWER Directive 9610.5 -"FY 1989 - FY 1990 Transition Strategy for the UST Program," OSWER Directive 9610.5-1 "Transition Tasks List," and the "Policy on Performance-Based Assistance" (EPA 1985). II. PURPOSE OF STATE UST PROGRAM GRANTS The purpose of the UST grant program is to assist States in developing and implementing effective State-run UST regulatory programs for the prevention, detection, and correction of leaking underground storage tanks containing petroleum and hazardous substances. • It should be noted that Congress intended that Federal grant- funds in the UST program be used as "seed" money to assist States with the development of State programs. Many States have already developed or are developing mechanisms; i.e., tank fees, gas taxes, etc., to provide a consistent State funding base for their prevention programs. In addition to State program grants, EPA is developing a variety of implementation tools for use by States, and is providing a forum for States to share information and experience concerning UST programs. EPA is also providing Leaking Underground Storage Tanks (LUST) Trust Fund monies to States to assist in cleaning up leaking tanks. Under the LUST Trust Fund Cooperative Agreement Guidelines States are expected to make reasonable progress during FY 91 toward submitting a completed application to EPA for approval of their UST prevention, corrective action, and financial responsibility programs under Section 9004 of RCRA. A State's success in making reasonable progress toward submitting a complete application may be grounds for increasing State access to the Trust Fund in FY 92. ------- OSWER DIRECTIVE 9630.7 The only solution to the problem of leaking tanks is for States to implement prevention programs which, over time, will result in a drastic reduction in the number of leaking tanks. The emphasis of EPA's program implementation is on the long term, and the transition period will be characterized by the continuing growth of a national UST program realized through the building of State and local programs. It is EPA's objective to focus Federal resources and efforts on improving existing programs and facilitating the development of new State programs. In FY 92 additional phased-in requirements will take effect. EPA will work in tandem with States to improve performance and to promote Total Quality Management in specific program areas such as enforcement, inspections, site assessments, and corrective actions. III. FY 92 NATIONAL PRIORITIES AND FUNDABLE TASKS NATIONAL PRIORITIES: The highest priority goals for the coming year are to (1) Develop approve State UST regulatory programs; (2) focus compliance and enforcement on leak detection requirements and (3) improve the quality of corrective actions. We recognize that accomplishment of the corrective action quality improvement goal will be primarily addressed under the LUST Trust Fund cooperative agreements. Therefore, although it is an eligible activity under the UST grant, it is not addressed specifically (or as a priority) in this UST guidance document. The following are the fundable priority tasks for FY 92 UST grants. The priority tasks have not been changed from FY 91 UST Program Grant Guidance except that we have clarified our priority for-leak detection compliance campaign activities. EPA recognizes that completion of these tasks is a process requiring a multi-year effort. For each task, specific outputs for individual States will be determined by negotiations between the States and the EPA Regional Office, taking into account the nature and extent of program needs in that State and the national priorities. (Also the activities listed after each of the priority UST grant tasks are for illustration only, they are not required to be met in order to accomplish the priority task. Required activities are those actually negotiated between the Region and State.) States do not have to conduct activities in all four fundable task categories although that approach is encouraged. On the other hand, a State should not exclusively be doing activities under, for example, Task 3 and 4, if it has not previously conducted activities under Tasks 1 or 2. It is ------- OSWER DIRECTIVE 9630.7 anticipated that much of the work under Task 1, State program development, will have been completed during FY 91 and the focus of activities during FY 92 will be on the remaining three tasks. Furthermore, EPA expects that each State will engage in some compliance and enforcement activities, particularly those that are part of the Leak Detection Enforcement Campaign. Regions may choose to focus on Region-specific environmental priorities as well. For example, the Administrator's call for Federal Facility environmental compliance for sites within the Chesapeake Bay Watershed could be a priority in Region III. Priority Tasks Task 1: STATE PROGRAM DEVELOPMENT. o Develop/revise State authorities and regulations for the State UST program in order to meet Federal standards. o Investigate/develop mechanisms to fund the State program o Apply for a State UST program grant for FY 93 o Develop State authorities and procedures for an adequate compliance monitoring and enforcement program. o Maintain an on-going tank notification program and capability to report aggregate data derived from the notification requirements to EPA on an annual basis. o Secure technical assistance and training for State and local personnel for UST program implementation. - o Investigate/initiate development of a State- fund to help owners/operators meet financial responsibility requirements. Task 2: PROGRAM APPROVAL APPLICATION o Develop draft and/or final application for State program approval, and submit to the EPA Regional Office. Task 3: OUTREACH EFFORTS TO PROMOTE COMPLIANCE o Promote compliance with Federal and State requirements through outreach efforts designed to disseminate regulatory and technical information to local governments and the regulated community. o Suggested priority areas include information on standards for leak detection. ------- OSWER DIRECTIVE 9630.7 Task 4: COMPLIANCE MONITORING AND ENFORCEMENT o Identify, investigate and resolve violations of the Federal regulations. o Operate and enforce existing State UST programs o Suggested priority area is leak detection (such as Leak Detection Enforcement Campaign activities.) o Conduct transition tasks as specified in OSWER Directive 9610.5-1. IV. ALLOCATION OF STATE GRANT FUNDS We expect the total FY 92 State grant allocation to be $9 million. (This figure is based on the President's budget currently being considered by Congress.) The grant funds will be allocated to the Regions at the rate of $162.5 thousand per State (plus Puerto Rico and the District of Columbia) and $137.5 thousand for the remaining territories. Regions have the ability to move funds among their States and territories. Regional Allotments for FY 92 State UST Program Grants Region Region Region Region Region Region Region Region Region Reaion Total 1 2 3 4 5 6 7 8 9 10 $ 975K 625K 975K 1300K 975K 812. 5K 650K 975K 1062. 5K 650K $9000K V. STATE MATCH FY 1991 State UST program grants will require a minimum of 25% grant match from the States. Of course, the State match can include in-kind contributions. States are encouraged to provide information on the size of their commitment of total resources to the program, even when this exceeds 25%. VI. GRANT ADMINISTRATION Grant application The State or Region may initiate the grant process. A State may submit a draft grant application to the Region, or the Region may provide a draft work plan to its States for consideration. ------- OSWER DIRECTIVE 9630.7 Grant Negotiations Specific activities funded under each State's grant work plan will be determined through negotiations with the Region. In accordance with the Agency's policy on performance-based grants, each State will be expected to make specific task commitments as part of its grant agreement. Commitments should reflect the priorities stated in this guidance. In addition, for each major task funded, the grant agreement must identify the resources (dollars and FTEs) associated with that task, together with quarterly work commitments. Regions should negotiate with States to provide the information needed for all required reporting, with particular attention to: (1) UST Closures - UST-4A1 & 4A2; (2) Emergency Responses - UST 4C1 & 4C2; (3) Site Investigations - UST-4D2 & 4D3, (4) removal of the Transition Requirements - UST -3, (5) an annual report of aggregate tank data derived from the State notification data base and (6) State release detection compliance activities. (See attachments) Designated State agencies may enter into intergovernmental agreements with substate or local government agencies and thereby provide funds for the performance of specified tasks (40 CFR Section 31.36). The designated State agency retains the ultimate responsibility for ensuring that such funds are properly expended in accordance with Federal requirements. Substate agencies that intend to contract out for services must comply with applicable procurement requirements (40 CFR Part 31). Grant Awards All available grant funds should be obligated to the States in FY 92. States should make every effort to use grant monies during the allotted period. Otherwise, FY 91 carryover may be awarded at the Regional Administrators' discretion to other high priority UST activities. UST program grant funds may only be used for eligible activities, i.e., those which are: (1) necessary to develop and implement an approvable State UST program, and (2) allowable for funding (see OMB circular A-87 and CFR 31.22). When a State does not seek program approval, the Regional Administrator may use funds not awarded or committed to that State to supplement awards to other States or to support a Federal program conducted in the absence of an acceptable State program. Funds may not be diverted from Subtitle I or D to support Subtitle C activities, nor visa versa. ------- OSWER DIRECTIVE 9630.7 Suggested Grant Award Schedule for FY 92 (May vary by Region) April-June Develop draft FY 92 grant applications (Regions and States) July Regions begin grant negotiations with States August States submit final grant applications By Sept. 30 Regions have processed grant up to point of award October Regions begin to award grants Grant Oversight In accordance with Agency policy, the Region must conduct at least one on-site review. Regions should plan a mid-year and/or end-of-year review with each State, and forward to OUST/HQ a copy of each State's performance evaluation final report. Regions may arrange with States for more frequent reviews. The comprehensive program review for each State should discuss progress toward completion of funded tasks. Reviews should identify: 1. areas of success including approaches that could be shared with other States; 2. areas for improvement in the UST program; 3. areas where EPA assistance could be helpful, including a plan for action; 4. areas where EPA or other Federal agencies are the cause of the problems which should be addressed by EPA. Copies of all State program evaluation reports and end-of- year grant reports for FY 91 should be sent to Mike Williams Chief, Implementation Branch, OUST, within 30 days of completion of the report. State Reporting Requirements All States should report in a timely and accurate fashion the data needed for the quarterly activities report and the STARS report for the EPA UST program. Regions will need to relay this data to OUST/HQ within 10 working days of the end of each fiscal quarter (QI, January 12; QII, April 13; QIII, July 13; QIV October 12). Regions and States may develop reporting schedules that allow them to meet these deadlines. Regions shall request that States report annually on aggregate data from their notification data systems. ------- UNITED STATES ENVIRONMENTAL PROTECTION AGENCY OFFICE OF UNDERGROUND STORAGE TANKS FY 92 QUARTERLY ACTIVITIES REPORT State Region Quarter OUST G-l G-2 G-4 TF-1 TF-2 TF-3 TF-3 TF-3 TF-4 TF-4 TF-4 STARS UST- 1A UST- 1B UST- 2A1 UST- 2A2 . UST- 2A3 UST- 2B 1 UST- 2B2 UST- 2B3 States submitting complete applications for State program approval. Number of States with authorized programs. Number of closed tanks Number of reported confirmed releases. Number of emergency responses taken . LUST cleanups initiated: petroleum, (Responsible party lead). LUST cleanups initiated: petroleum, (State lead with TF money). LUST cleanups initiated: petroleum, (State lead with State money). Tank releases under control: petroleum, (Responsible party lead). Tank releases under control: petroleum, (State lead with TF money). Tank releases under control: petroleum, (State lead with State money). Cumulative last quarter Actions this quarter Corrections to previous data Cumulative total Page 1 ------- UNITED STATES ENVIRONMENTAL PROTECTION AGENCY OFFICE OF UNDERGROUND STORAGE TANKS FY 92 QUARTERLY ACTIVITIES REPORT State Region Quarter TF-5 TF-5 — *F-5 TF-6 UST- 2C1 UST- 2C2 UST- 2C3 Site cleanups completed: petroleum, (Responsible party lead). Site cleanups completed: petroleum, (State lead with TF money). Site cleanups completed: petroleum, (State lead with State money). Sites with enforcement actions Cumulative last quarter Actions this quarter Corrections to previous data Cumulative total Page 2 ------- Kxc n Site Keport Please list cumulative activity and corrections to previous quarters' information for any site where more than $100,000 of LUST Trust Fund.money is planned to be spent. State: Region: Quarter: When was expend!- Amount Amount Amount Judgments/ Costs Site Name or Description ture planned? Planned Obligated Outlayed Settlements Recovered For nil Trust Fund sites, give total dollar amount of all judgments and settlements. For all Trust Fund sites, give total costs recovered from all judgments and settlements. Plcnsc give any information about sites where permanent alternative water supplies were provided or citizens were relocated. Site Name or Description Permanent alternative water supply? Supply any additonal information. Were citizens relocated? Supply any additonal information. ------- U.S. ENVIRONMENTAL PROTECTION AGENCY OFFICE OF UNDERGROUND STORAGE TANKS LEAK DETECTION COMPLIANCE AND ENFORCEMENT REPORTING FY1992 STATE REGION LD-1 How many facilities received information on how to comply with the federal leak detection requirements via outreach and information dissemination? LD-2A How many USTs were required to submit verification of leak detection compliance (e.g., self certification on permit applications or submission of evidence of compliance such as tank/piping test results, or other similar methods.)? LD-2B How many tanks required to submit verification were in compliance with the leak detection requirements? LD-3A How many new or existing tanks required to comply with State and federal leak detection requirements did the State inspect? LD-3B How many were in compliance with federal and State requirements? LD-4 How many facilities received informal enforcement actions (e.g., warning letters, show cause meetings, etc.)? LD-5 How many facilities received formal enforcement documents such as complaints, civil referrals, or field citations with penalties? Cumulative Last Quarter. . Actions this Quarter. Corrections to last Quarter. Cumulative this Quarter. ------- |