United States
Environmental Protection
Agency
Solid Waste and Emergency
Response
(OS-420 WF)
EPA 510-F-93-006
April 1993
oEPA UST Program Facts
Leaking Underground
Storage Tank Trust Fund
Establishment of the Leaking
Underground Storage Tank (LUST) Trust
Fund
Congress created the LUST Trust Fund in
1986 under the Supcrfund Amendments and
Rcauthori/ation Act (SARA). In December
1990, Congress reauthorized the Trust Fund
for five more years.
The purpose of the LUST Trust Fund is to
provide money to clean up leaking
underground storage tanks (USTs). The
Trust Fund can be used at sites where no
owner or operator can be found. It also can
be used to oversee corrective action by a
responsible party.
Source of money for the Trust Fund
The Trust Fund is generated with a 0.1
cent tax on each gallon of motor fuels
sold in the country.
Amount of money in the Trust Fund
As of October 1, 1992, about $855
million had been collected. Congress has
given $400 million to the U.S.
Environmental Protection Agency (EPA)
through fiscal year 1993. About $343
million - or 86 percent of the amount
given to EPA - was dispersed to state
programs for state officials to use as
needed. The rest of the money spent
LUST Trust Fund Allocation
For State Cooperative Agreements
Federal Awards in Millions of Dollars
$65.2
$65.5
$42.5
$34.6
$15.7
FY1987 FY1988 FY1989 FY1990 FY1991 FY1992
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from the Trust Fund, about $57 million or
14 percent of the total, was used by EPA
headquarters and regional offices for
administrative activities such as:
• negotiating and overseeing
cooperative agreements,
• implementing programs on Indian
lands, and
• supporting regional and state offices.
How the Trust Fund works
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 $160 million 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 1993, each state receives
a base allocation plus additional money
depending on: the 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 as a
percent of total confirmed releases.
how states use Trust Fund money
Stales use Trust Fund money to clean up
sites where no responsible party can be
found - about 1 percent of all cases -
and to oversee corrective action by a
responsible party. To date, states have
used about two-thirds of their Trust Fund
money for administration, oversight and
state-lead enforcement activities, and
one-third for cleanups.
Estimated number of leaking USTs
Many USTs installed in the United States
in the 1950s and '60s were made of bare
steel or coated only with tar or lead
paint. Many of these tanks are corroded
and prone to leak. Until EPA regulations
went into effect, however, USTs were not
systematically monitored for leaks. EPA
estimates that between 15 and 25 percent
of regulated tanks, or from 240,000 to
400,000 tanks, may be leaking or will
leak. As of October 1, 1992, EPA,
states, and local agencies have confirmed
nearly 184,000 releases.
Cost of an average cleanup
Cleanup costs depend on a variety of
factors, including the extent of
contamination and state cleanup
standards. The average cleanup is
estimated to cost $100,000. If only a
small amount of soil needs to be
removed or treated, cleanup costs could
run as low as $10,000 to $20,000.
Corrective action for leaks that affect
groundwater can cost more than $1
million.
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Estimated number of cleanup activities
From 1990 through September 1992,
states used Trust Fund and state money
to:
Confirm more than 184,000
releases,
• Oversee or conduct 6,300
emergency responses,
Oversee or initiate 129,000
cleanups, and
• Oversee or complete 55,000
cleanups.
Estimated number of USTs that have
been closed
As of September 1992, an estimated
484,000 tanks had been closed.
Leaking Underground Storage Tank Trust
Fund is one in a series of fact sheets about
underground storage tanks (USTs) and
leaking USTs. The series is designed to help
EPA, other federal officials, and state
authorities answer the most frequently asked
questions about USTs with consistent,
accurate information in language the
layperson can understand. Keep the fact
sheets handy as a resource. This fact sheet
addresses federal regulations. You may need
to refer to applicable state or local
regulations, as well. For more information
on UST publications, call the
RCRAISuperfund Hotline at 800 424-9346.
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