oEPA
United States
Environmental Protection
Agency
Office of
Solid Waste and
Emergency Response
DfRECTIVE NUMBER. 9630.9
TITLE: STATE UST PROGRAM GRANT GUIDANCE
APPROVAL DATE:
EFFECTIVE DATE:
MAf - 5 it £
- 5 ,
ORIGINATING OFFICE: OFFICE OF UNDERGROUND STORAGE
TANKS
Q FINAL
Q DRAFT
STATUS:
REFERENCE (other documents):
OSWER OSWER OSWER
VE DIRECTIVE DIRECTIVE Dl
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f/EPA
United States
Environmental Protection
Agency
Office of
Solid Waste and
Emergency Response
DIRECTIVE NUMBER: 9630.9
TITLE: STATE UST PROGRAM GRANT GUIDANCE
APPROVAL DATE:
EFFECTIVE DATE:
5 1993
5 1S93
ORIGINATING OFFICE: OFFICE OF UNDERGROUND STORAGE
TANKS
0 FINAL
D DRAFT
STATUS:
REFERENCE (other documents):
OSWER OSWER OSWER
rE DIRECTIVE DIRECTIVE Di
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unnea su
Washington, DC 20460
OSWER Directive Initiation Request
t.Ocecuve Number
9630.9
3. Originator InfooniHon
Name of Contact Person
Dana Tulis
Mai Cede
OS-420(WF)
Office
OSWER/OUST
Telephone Code
703 308-8891
3. Title
STATE UST PROGRAM GRANT GUIDANCE
4. Summary of Direc tive (include brief statement ol purpose)
Provides the criteria and procedures for allocation of UST grant funds for
development and implementation of State Underground Storage Tank Program
activities.
5. Keywords
Underground storage tanks, grant, corrective action, leak detection, state programs
H mi H! >L._ * Jj- H !_... RLJ1.!..-i.\H i——i r-^^~"~
6a. Does This Directive Supersede Previous I
DRAFT of same title circulated for
comment on April 9, 1993
i. Does It Supplement Previous Directives)?
No
I No
XXI Yes What directive (number, ttte)
9630.8 - FY 93 State UST Program
Grant Guidance
Yes What drecttve (number, Ode)
7. Dratt Level
j A - Signed by AA/DAA
6 - Signed by Office Director
C - For Review & Comment
0 - In Development
8. Document to be distributed to
States by Headquarters?
Ye« 1 JNo
This Request Metts OSWER Directives System Format Standards.
9. Signature of Lead Office Directives Coordinator
Beverly D. Thomas K^ a^^*—. J\
10. Name and Title of Approving Official ^
David W. Ziegele, Director, OUST K A+. ^
77^ /
\)
( -"71-*-^
Date
S/^/^
Date
^/^
EPA Form 1315-17 (Rev. S-17) Previous editions are obsolete.
OSWER OSWER OSWER 0
VE DIRECTIVE DIRECTIVE DIRECTIVE
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UNITED STATES ENVIRONMENTAL PROTECTION AGENCY
WASHINGTON, D.C. 20460
MA.
-
OFFICE OF
SOLID WASTE AND EMERGENCY RESPONSE
MEMORANDUM
SUBJECT: State UST Program Grant Guidance
FROM: David W.
Office of Underground Storage Tanks
TO: UST Regional Program Managers
Thank you for your input and comments on the draft UST Program Grant Guidance.
Several editorial changes were made to the draft based on your comments. Attached is a
copy of the final guidance, which is OSWER Directive 9630.9.
As stated in my transmittal memorandum of the draft guidance, this guidance will
serve for all future UST grant awards in lieu of issuing grant guidance each fiscal year.
However, if we amend the guidance in the future, it will be reissued (including all
attachments) as an OSWER Directive with a new number. The changes to the guidance will
be highlighted on the required forms that accompany the package and detailed in my
transmittal memorandum.
If you have any questions or comments concerning the guidance, please contact
Dana Tulis at 703 308-8891.
Attachments
cc: Regional Branch Chiefs
OUST Management Team
David Hamnett, OUST
OUST Desk Officers
Printed on Recycled Paper
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OSWER DIRECTIVE 9630.9
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. Instead of sending out guidance
every year, this guidance will serve for all future UST Grant awards, unless it is superseded
by an amendment or another document. 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 (if needed) and implementation, monitor progress, and
evaluate grant fund expenditures. In the interest of streamlining, the Regions are encouraged
to award multi-year grants to the States by setting up two to three year performance periods
and amending budget periods annually.
Additional implementation guidance may be found in: 1) OSWER Directive 9650.13
"Streamlined Implementation of UST Corrective Action Requirements," 2) "UST/LUST
Program Draft Strategic Framework" (March 1993), 3) OSWER Directive 9610.5 "FY 1989-
1990 Transition Strategy for the UST Program," and 4) OSWER Directive 9610.5-1
"Transition Tasks List."
H. PURPOSE OF STATE UST PROGRAM GRANTS
The purpose of the UST grant program is to assist States in implementing effective
State-rur: 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 and implementation
of State programs. Many States have already developed or are developing alternative or
supplemental funding mechanisms; e.g., tank fees, gas taxes, to provide a consistent funding
base for their prevention programs.
In addition to State program grants, EPA has and continues to develop a variety of
implementation tools for use by States, and hosts an annual national forum for States to share
information and experiences concerning their UST programs. EPA is also providing Leaking
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1
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OSWER DIRECTIVE 9630.9
Underground Storage Tanks (LUST) Trust Fund monies to States to assist in the oversight
and clean up of contamination caused by leaking petroleum tanks. States that have not yet
applied for State Program Approval are expected to make reasonable progress toward submit-
ting 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
receiving State Program Approval will be rewarded with funds from the LUST Trust Fund.
The solution to the problem of leaking USTs is for States to implement prevention
programs and to streamline their cleanup programs which, over time, will result in a drastic
reduction in the number of leaking USTs. The emphasis of EPA's long-term implementation
strategy is to develop strong State and local programs. EPA's focuses its resources and
efforts on building and improving State programs while providing flexibility in approaches
and striving for constant improvement. EPA will work in tandem with States to improve
performance, streamline procedures, and promote Total Quality Management in specific
program areas such as enforcement, inspections, site assessments, and corrective actions.
HI. NATIONAL PRIORITIES. GOALS. AND FUND ABLE TASKS
A: National Priorities
EPA has identified four priority areas that are critical to successful implementation of
the national UST program. These priority areas highlight the activities that States should
conduct. The four priorities are: Corrective Action Streamlining, Leak Detection
Compliance and Enforcement, State Program Approval, and 1998 Upgrading/ Replacement
Compliance. This fourth priority is primarily a focus for OUST, rather than States, in FY
94. It is not anticipated that States which have deadlines in accordance with Federal regula-
tions will be active in this fourth priority area in FY 94. However, OUST will engage in
collecting data from States with earlier deadlines and in developing outreach materials for
owners/operators in preparation for meeting the deadline. Some States may need to include
tasks to contribute to or participate in these efforts. The goals and fundable tasks for each of
the priority areas are discussed below.
B. Goals
1) Corrective Action Streamlining
To promote scientifically-sound, rapid, and cost-effective action at all UST release
sites requiring corrective action through the use of streamlined processes, effective
technologies, and improved cross-program coordination.
Note: OUST recognizes that accomplishment of the streamlining corrective action goal will
be addressed primarily under the LUST Trust Fund cooperative agreements because of a
greater level of resources available from the fund. While corrective action quality improve-
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OSWER DIRECTIVE 9630.9
ment is an eligible activity under an UST grant, it will not be addressed specifically in this
guidance. Nevertheless, corrective action quality improvement activities are in concert with
prevention program activities and will augment the growth and effectiveness of State UST
prevention programs.
2) Leak Detection Compliance and Enforcement
To assure owners and operators routinely and correctly monitor all regulated tanks
and piping for leaks in accordance with the regulations.
3) State Program Approval
To encourage and ensure that all State programs develop sufficient authorities and
enforcement capabilities (to apply for approval from EPA) to operate in lieu of the
Federal program,
4) Preparation for the 1998 Deadline
To ensure owners and operators will upgrade or replace their tanks to meet new tank
standards by the 1998 deadline.
C. Fundable Tasks
EPA recognizes that completion of many 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. Required activities are
only those actually negotiated between an EPA Region and State. The following tasks are
eligible uses of UST grant funds.
1) Corrective Action Streamlining
- develop adequate statutory and regulatory authorities
- establish cleanup policies and write clear guidance for owners and operators
- streamline corrective action procedures
- establish mechanism to determine high and low-risk sites
- maintain data management base for notification program and STARS reporting
- conduct outreach (e.g., training/technical assistance) for State and local personnel,
consultants, owners and operators
- conduct formal and informal corrective action enforcement
- investigate mechanisms to fund State programs
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OSWER DIRECTIVE 9630.9
- track the solvency of State funds (refer to document "Monitoring the Financial
Soundness of Approved State Assurance Funds)
- identify need for streamlining and opportunities for non-traditional technologies
2) Leak Detection Compliance and Enforcement
- develop adequate authorities and procedures
- identify, investigate and enforce State/federal regulations
- establish a well-trained field presence
- develop and use alternative compliance mechanisms (e.g., field citations)
- establish and maintain leak detection compliance tracking system
- develop and use an enforcement targeting scheme
- conduct effective outreach (e.g., training and technical assistance) to local agencies
and owners and operators
- streamline enforcement procedures
3) State Program Approval
- implement transition tasks (for States that have not yet received State program
approval)
- develop/revise State authorities and regulations to meet federal standards
- establish enforcement capabilities and procedures
- develop draft State Program Approval application
- complete final State Program Approval application
4) 1998 Upgrading/Replacement Compliance
- develop adequate authorities and regulations
- design programs to implement compliance and enforcement for 1998 deadline
- conduct outreach (e.g., technical guidance) to owners and operators, regulators, and
vendors
- establish a mechanism to track compliance with the upgrading requirements
- investigate State financial assistance and licensing programs for upgrading and
replacement
Other Tasks
The national program supports efforts on the State level to integrate the State
groundwater protection strategy with UST prevention program activities. The primary goal
of this plan is to avoid duplication of effort and identify common information needs.
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OSWER DIRECTIVE 9630.9
IV. ALLOCATION OF STATE GRANT FUNDS
The total State grant allocations are expected to remain at $9 million a year. If this
changes in this year or in future years, a memorandum regarding Regional UST grant
allocations will be sent to the Regional Program Managers.
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 Virgin
Islands arid Pacific Trust Territories. Regions have the ability to move funds among their
States and territories.
Regional Allotments for State UST Program Grants
Region 1
Region 2
Region 3
Region 4
Region 5
Region 6
Region 7
Region 8
Region 9
Region 10
Total
$975k
625k
975k
1300k
975k
812.5k
650k
975k
1062.5k
650k
$9000k
V. STATE MATCH
State UST program grants will continue to require a minimum of 25% grant match
from the States. Of course, the State match may 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.
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OSWER DIRECTIVE 9630.9
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 and resource
commitments as part of its grant agreement. Commitments should reflect the priorities stated
in this guidance.
Designated State agencies may enter into intergovernmental agreements with substate
or local government agencies and thereby provide funds for the performance of specific tasks
(40 CFR Section 31.36). The designated State agency retains the ultimate responsibility for
ensuring that such funds are expended properly, 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 State in the fiscal year in which
the grant is awarded. States should make every effort to use grant monies during the allotted
period. Otherwise, carryover funds may be awarded at the Regional Administrator's
discretion, but only for the purposes specified in this guidance.
UST program grant funds may be used only for eligible activities, e.g., those which
are: (1) necessary to develop and implement an approvable State UST program, and (2)
activities which are allowable for funding (see OMB circular A-87 and CFR 31.22).
When a State does not seek program approval or make sufficient progress toward
State 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.
Suggested Grant Award Schedule (may vary by Region)
April-June Develop draft 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
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OSWER DIRECTIVE 9630.9
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 a barrier or create problems for
the State program, creating a need for EPA to address such areas.
Copies of all State program evaluation reports and end-of-year grant reports should be
sent to Dana Tulis, Chief, Operations Branch, OUST, within 30 days of completion of the
report.
State Reporting Requirements and Schedule
States must report required program activities to the Regions (see attachments). In
addition, all states are to report in a timely and accurate fashion the data needed for quarterly
activities reports and the STARS reports 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. Regions and
States must develop reporting schedules that allow them to meet these deadlines. Regions shall
request that States add annual data concerning total number of petroleum tanks and number of
hazardous substance tanks (existing and closed) to the quarterly activities report. States only
need to report the information concerning the number of tanks (G-4) once a year on the second
quarter report.
OUST is requesting that Regions validate that States are updating their UST database
information prior to submittal of STARS data, including the total number of federally regulated
tanks and the number of hazardous substance USTs. Please refer to February 19, 1993
memorandum: "Follow-up to the IG Audit on the National Tank Inventory" for further details.
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UNITED STATES ENVIRONMENTAL PROTECTION AGENCY
OFFICE OF UNDERGROUND STORAGE TANKS
QUARTERLY ACTIVITIES REPORT
Fiscal Quarter:
Region:
State:
OUST
G-l
G-2
G-4
G-4
G-4
G-4
TF-1
TF-2
TF-3
TF-3
TF-3
TF-5
TF-5
TF-5
TF-6
STARS DEFINITION
UST-1A
UST-1B
UST-3
UST-2A1
UST-2A2
UST-2A3
UST-2B1
UST-2B2
UST-2B3
-
Has State submitted a complete application
for State Program Approval?
Does the State have an Authorized Program?
A. Existing Registered Petroleum Tanks
B. Number of Closed Petroleum Tanks
(in place and removed)
C. Total Number of Petroleum Tanks
(A+B)
D. Number of Hazardous Substance Tanks
(existing and closed)
Reported Confirmed Releases
Emergency Responses Taken
LUST Cleanups Initiated: petroleum
(RP lead)
LUST Cleanups Initiated: petroleum
(State lead with TF money)
LUST Cleanups Initiated: petroleum
(State lead with State money)
LUST Cleanups completed: petroleum
(RP lead)
LUST Cleanups completed: petroleum
(State lead with TF money)
LUST Cleanups completed: petroleum
(State lead with State money)
Sites with enforcement actions
LAST
QUARTER
CUMULATIVE
ACTIONS
THIS
QUARTER
CORRECTIONS
TO PREVIOUS
DATA
CUMULATIVE
TOTAL
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U.S. ENVIRONMENTAL PROTECTION AGENCY
OFFICE OF UNDERGROUND STORAGE TANKS
LEAK DETECTION COMPLIANCE AND ENFORCEMENT REPORTING
Fiscal Quarter:
Region:
State:
III U II
Cumulative Last Actions Thb 1 Corrections to Cumulative
Quarter || Quarter | last Quarter || thb Quarter
LD-1 Has the State attempted to provide leak detection
compliance information to most facilities?
LD-2A How many facilities were required to submit
verification of leak detection compliance (e.g., self
certification on permit applications, submission of
evidence of compliance such as tank/piping test
results, tank tagging, distributor activities, etc.)?
LD-2B Of the facilities counted in the measure LD-2A, how
many were in significant compliance as determined
by the State or EPA?
LD-3A How many leak detection compliance inspections
has the State or EPA made?
LD-3B How many inspected facilities were in significant
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 formal enforcement actions has the State or
EPA taken against non-complying facilities?
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Exception Site Report
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:
Fiscal Quarter:
Site Name or Description
When was
expenditure
planned?
Amount
Planned
Amount
Obligated
Amount
Outlayed
Judgments/
Settlements
Costs
Recovered
For all LUST Trust Fund sites, give total dollar amount of all judgments and settlements:
For all LUST Trust Fund sites, give total costs recovered from all judgments and settlements:
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