Developing A Third-Party
Underground Storage Tank
Inspection Program
A Guide To Assist States
\
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Contents
Background 1
Why Should You Develop A Third-Party Inspection Program? 3
How Can You Prepare To Develop A Third-Party Inspection Program? 4
Ensure Statutory Authority 4
Gather Stakeholder Input 5
Set Program Goals 5
How Can You Develop A Third-Party Inspection Program? 7
Develop Program Structure 7
Identify Potential Inspectors 9
Develop A Training And Certification Program 10
Develop Standard Inspection Protocols And Design The Inspection Process 12
Develop Inspection Reporting Requirements 13
Develop An Inspector Audit Program 13
Manage Data 16
Checklist For Developing A Third-Party Inspection Program 17
Appendix: Summary Table Of Existing State Third-Party Inspection Programs A-l
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Background
EPA is providing this information as a resource for states developing new third-party
inspection programs or enhancing their existing programs. In EPA's booklet State Third-
Party Service Provider Programs (EPA 510-B-97-003, March 1997), Part 2 titled
"Developing a Third-Party Inspection Program"
first addressed third-party inspection program
implementation. The information provided here
replaces that part of the document to include
requirements contained in Grant Guidelines To
States For Implementing The Inspection
Provisions Of The Energy Policy Act Of 2005
(inspection grant guidelines). * EPA defined a
third-party inspection program in the inspection
grant guidelines as a state program in which a
state-authorized third-party inspector is paid by
the owner or operator of an underground storage
tank (UST) to perform an on-site inspection.
The Energy Policy Act of 2005 contains
provisions that amend the Solid Waste Disposal
Act to significantly affect state underground
storage tank programs, including new
inspections requirements. The Energy Policy
Act added Subsection (c) to Section 9005 of the
Solid Waste Disposal Act, requiring all states
that receive Subtitle I funding2 to perform on-
site inspections by August 8, 2007 on all tanks
that had not been inspected since December 22,
1998. After this initial inspection, states must
conduct on-site inspections of all regulated UST
systems at least once every three years. EPA's
inspection grant guidelines describe the
requirements states must meet when using a
third-party inspection program to meet Section
9005(c) inspection requirements.
Inside you'll find:
Who Is A Third-Party
Inspector?
A third-party inspector is certified by the
state to conduct on-site UST inspections
for compliance with Subtitle I and 40
CFR §280 requirements, or in the case of
a state program approved under Section
9004 of Subtitle I, compliance with the
requirements of that program.
Inspectors document the results of on-
site inspections and any off-site
document review, and then submit the
report to the state. Third-party
inspectors are hired directly by tank
owners and operators. They are hired to
report facts, not enforce laws.
New Inspection Provisions
USTs not inspected since December
22, 1998 were required to have an
on-site inspection performed by
August 8, 2007.
After the completion of the initial
inspections, all USTs subject to the
inspection grant guidelines must be
inspected by August 8, 2010, and be
inspected at least once every three
years thereafter.
Reasons to develop a third-party inspection program, primarily with regards to
meeting the three-year inspection requirements of the Energy Policy Act
Steps to take before developing a third-party inspection program
How to develop a third-party inspection program
1 See EPA's Web site at: http://www.epa.gov/OUST/fedlaws/final i.htm to view the inspection grant guidelines in
their entirety.
Subtitle I is part of the Solid Waste Disposal Act that authorizes EPA to provide states with federal funding for their
UST programs.
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You'll also see examples of existing state third-party inspection programs which provide
context and further assistance in developing a new program or modifying an existing
program. More detailed information on existing state third-party inspection programs is
in the appendix. The examples presented in this guide meet the requirements of the grant
guidelines, but be aware that not all aspects of these states' programs necessarily meet all
of the requirements. Please note this is a general guide; processes and procedures for
developing a third-party inspection program will vary by state.
Minimum Requirements From Inspection Grant Guidelines
For States Choosing To Implement A Third-Party Inspection Program
V Third-party inspectors must be certified, licensed, or registered by the state.
Inspectors must successfully complete training on state protocols and
perform inspections pursuant to the inspection grant guidelines.
S Third-party inspectors must meet conflict of interest requirements
developed by the state.
S State third-party inspections programs must use an inspection report form
developed by the state.
S Inspectors must complete and submit the inspection report to the state.
•S The state must review each inspection report and make a compliance
determination.
•S State third-party inspection programs must perform audits to monitor
inspectors on a regular basis.
•S States must retain the capacity to conduct oversight inspections and for-
cause inspections.
•S States must take appropriate enforcement action against any third-party
inspectors who do not perform adequate inspections.
States that implemented a third-party inspection program by April 24, 2007
(Alaska, Iowa, Maine, Maryland, Montana, and Pennsylvania) have until
August 8, 2010 to meet these requirements. States implementing programs
after April 24, 2007 must meet the inspection grant guidelines requirements at
the time the program is implemented.
Developing A Third-Party Underground Storage Tank Inspection Program
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Why Should You Develop A Third-Party Inspection Program?
If your state currently has an inspection cycle greater than three years, a third-party
inspection program is a cost-effective alternative for your state to meet the three-year
inspection cycle requirement. Implementing a third-party inspection program can greatly
increase the number of eligible inspectors without increasing the number of inspectors
who are paid by the state. For example, before Maryland implemented its third-party
inspections program, it used 14 state inspectors to assess compliance; but during its first
year using a third-party program, Maryland certified 90 private inspectors to conduct
inspections.
Increased numbers of inspectors and greater inspection frequency offer benefits beyond
simply meeting the requirements of the Energy Policy Act. For instance, increased
inspection frequency can increase compliance,
which, over time, can lead to a reduction in the
number and severity of releases. With more
third-party inspectors, state UST programs
will have more resources available for other
activities, such as compliance assistance, that
could also have a positive impact.
There will be initial start-up costs associated
with ensuring and obtaining statutory authority
and in developing the third-party inspection
program. Once established, however, the
program will be less expensive to maintain
over time because your program should
become more efficient and your state will be able to focus its resources on activities such
as training and oversight.
How Can A Third-Party
Inspection Program Help You?
Increase number of inspections
performed and increase
inspection frequency
Free state resources for
compliance assistance
Reduce program costs over the
long term
Third-party inspections allow us to accomplish so much more. The third-
party inspection program [will help] Maryland achieve... the three-year
cycle goals. We have also seen an increase in tank removals, which is
an environmental benefit.
Herb Meade (MD Department of the Environment)
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How Can You Prepare To Develop A Third-Party Inspection
Program?
Before your state develops a third-party inspection program, you:
S Must ensure statutory authority for the program is in place
v' Should gather stakeholder input to help shape the program's design
•S Should set program goals
After considering these issues, you will be ready to develop a third-party inspection
program. However, remember that these issues and the order in which you address them
may vary depending on how your state functions.
The rule authorizing Iowa's third-party inspection
program was finalized in May 2006, but our program was
under development for almost a year after that.
Elaine Douskey (IA Department of Natural Resources)
Ensure Statutory Authority
You must first ensure the statutory authority for a third-party inspection program exists in
your state. Your state's legal personnel can assist you in determining if the necessary
authority exists. If authority for the third-party inspection program does not exist, then
your state will need to establish it through new legislation. Please note that the process
for obtaining authority to develop a third-party inspection program and actual program
development may vary by state. In some states, you must obtain authority before
developing the program; in other states, these two processes may occur concurrently.
If your state needs to establish new authority, there are several items you should
remember when developing the legislation. The legislation should give the state
sufficient authority to establish a third-party inspection program in accordance with
EPA's inspection grant guidelines. For example, in Maryland, the state's Environmental
Article gives the Maryland Department of the Environment broad authority to write
regulations regarding inspections; and in Pennsylvania, the third-party inspection
program is authorized by Pennsylvania's Storage Tank and Spill Prevention Act of 1989.
Legal authority does not necessarily need to be specific, but it must be sufficient enough
to allow states to develop third-party inspection programs that include:
v' Certification requirements for third-party inspectors
v' Conflict of interest requirements
S Uniform inspection reports
S Inspection reporting requirements
v' Auditing
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•S Retention of state ability to conduct on-site inspections as needed
•S Authority to discipline poorly performing third-party inspectors
While your state may delegate inspections and compliance assessments to third-party
inspectors, your state - and not third-party inspectors - must make compliance
determinations for each site. You will find more details about this subject in the "How
Can You Develop A Third-Party Inspection Program?" section of this guide.
Gather Stakeholder Input
When designing your state's third-party inspection
program, you should review your regulatory
environment and priorities to identify the primary
stakeholders. You should also determine the
timing of this process.
After identifying the stakeholders, you should
consider the stakeholders' roles in designing the
program and establishing its goals. To ensure
success, you should work with stakeholders in the
program design process. Note the perspectives
shared by interested stakeholders and use them to
help develop the third-party inspection program.
You should also continue to communicate with
stakeholders once you have designed and
implemented the program. You can use a variety
of methods to communicate program
requirements, inform those affected by the new
program, and provide any future program updates.
For example, as a part of its oversight
responsibilities, the Pennsylvania Department of
Environmental Protection solicits comments from
UST owners and operators regarding inspectors
and the inspection process. In addition, the Iowa
Department of Natural Resources creates
newsletters and maintains a Web site as part of
their public outreach and information sharing
activities.
Who Are Some Potential
Stakeholders?
' Tank owners and operators
' Private sector inspectors
' Trade associations and interest
groups
' Local government
' Certification or training
organizations
' Private individuals
State and local regulatory
agencies and regional offices
' EPA
How Do You Communicate
With Stakeholders?
Phone calls or meetings
Direct mailings
' Press releases
' Newsletters
' Internet or e-mail messages
' Announcements at trade fairs or
to trade associations
Set Program Goals
You should establish goals before your state develops a third-party inspection program;
setting goals early will result in a more effective program. Goals can relate to any aspect
of the program and may differ across states to encompass regional or local priorities. In
Developing A Third-Party Underground Storage Tank Inspection Program
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general, deciding what goals the third-party inspection program will have, settling on
specific targets to mark progress toward those goals, and identifying audiences who will
receive updates on your progress will help your state clarify what type of program it
should develop.
Sample Program Goals And Targets
Sample Program Goals
Inspector proficiency
Inspection quality
Inspector audits
Owner notification
Facility inspections
High compliance rate
Sample Targets For Program Goals
Each inspector must be recertified every X years
Each inspection must address all relevant items on
the inspection checklist
Audit all third-party inspectors at least once every X
years
Each owner or operator receives an information
packet X days prior to inspection date and receives
results of inspection within X days
Inspect all facilities at least once every three years, in
accordance with the Energy Policy Act
The state will achieve X percent compliance rate for
all regulated tanks within three years
After you gather information on your state's UST inspection needs and options, establish
statutory authority, involve stakeholders, and set program goals, you are ready to develop
a third-party inspection program. The following section provides details on the various
steps in this process.
In 2007, nearly all of Iowa's UST facilities, approximately
2,900 in total, were inspected. Third-party inspectors
made it possible to achieve more than a 100 percent
increase over the number of inspections in 2006.
Elaine Douskey (IA Department of Natural Resources)
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How Can You Develop A Third-Party Inspection Program?
This section of the guide tells you how your state can develop a third-party inspection
program, including estimating the program's potential costs. In this section, you'll read
about how to:
Develop program structure
Identify potential inspectors
Develop a training and certification program
Develop standard inspection protocols and
design the inspection process
Develop inspection reporting requirements
Develop an inspector audit program
Manage data
Estimate program costs
Tht
The keys to a successful third-
party inspection program are to
follow up on inspections, clearly
communicate expectations to
inspectors, and perform
oversight to ensure standards
are met.
Rt
"
Ray Powers (PA Department of
Environmental Protection)
Develop Program Structure
Your state should identify the work that will be done through the third-party program and
who is responsible for this work. State programs may be highly centralized or the state
may duly designate responsibility to regional or local offices to take advantage of
existing capacity. Inspection programs may encompass a variety of activities; you should
create a list of program activities that fits your program's structure, resources, and
priorities.
Below is a list of activities your state might undertake as you develop a third-party
inspection program:
•S Develop regulations, policy, or guidance
•S Involve stakeholders
•S Determine and distribute management
responsibilities
S Publicize the program's mission and goals
•S Identify training needs and coordinate inspector
trainings
S Provide technical assistance to local or regional
staff
•S Develop or review existing certification programs
•S Review and approve applications of potential
inspectors
S Disseminate information to tank owners and
inspectors
•S Develop inspector oversight tools
S Develop or modify inspection databases
S Determine inspection frequency
On-site inspection at a tank
facility in Maine
www.maine.qov/dep
Developing A Third-Party Underground Storage Tank Inspection Program
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Your state must establish and enforce the rules under which the third-party inspection
program operates. The agency enforcing these rules may be your state's environmental
department, commerce department, or other appropriate state agency. There has been
significant variation in how states have administered their third-party inspection
programs. Alaska's program is jointly administered by the Department of Conservation
and the Division of Corporations, Business, and Professional Licensing; while Iowa's
program is administered by the Department of Natural Resources. However you choose
to organize your program, your state should oversee all UST inspections, including
activities of third-party inspectors, and must conduct audits, reviews, and follow-up
activities.
Prior to initiating the program, you should clearly define which agency is responsible and
the exact nature of that agency's responsibilities and powers. You can also choose to
separate the program oversight from the day-to-day implementation of the program. For
example, in Maine the Department of Environmental Protection oversees and regulates
the individual inspections accomplished by their third-party inspection program, while
the Board of UST Installers qualifies and regulates the inspectors who accomplish those
inspections. The department with program oversight can choose to reach out to the
regional offices or implementing agency to provide them with information on the latest
technologies and new testing techniques. It can also provide details on how the state may
wish to apply the regulations and procedures that define the inspection program.
Examples Of Different Structures For Third-Party Inspection Programs
Alaska
Maine
Montana
CD
Program
Oversight
Department of
Environmental
Conservation
Department of
Environmental
Protection
Department of
Environmental
Quality
Day-To-Day
Implementation
Department of
Environmental
Conservation
Board of UST
Installers
Department of
Environmental
Quality
Developing A Third-Party Underground Storage Tank Inspection Program
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Your state or local government agencies must make a compliance determination for each
third-party inspection. For example, in Montana, if an inspection report indicates
violations, the owner or operator must correct the violations within 60 to 90 days, obtain
a follow-up inspection within 30 days, and mail a copy of the follow-up inspection report
to the Department of Environmental Quality (DEQ). Based on the inspection report and
other available information, DEQ then determines whether the UST is in compliance.
Identify Potential Inspectors
Most existing third-party inspector certification and licensing programs require a
minimum level of education and experience (such as being a certified installer or having
inspected a certain number of USTs), a specific level of achievement on a test, and some
mandatory training. The tests and training may be written, oral, practical, or some
combination, depending on your state's preference and available testing and training
services. You should review potential inspectors' applications and determine which
candidates meet the qualifications necessary to proceed with the additional examinations
and trainings necessary to become a certified inspector. To facilitate this process, your
state might certify one or more private sector inspection companies, training providers, or
test administrators or may develop its own training materials, as discussed in the next
subsection.
In addition, EPA's inspection grant guidelines require any state implementing a third-
party inspection program to develop conflict of interest requirements for potential
inspectors and ensure inspectors meet these standards. These guidelines specify that
third-party inspectors cannot be:
S The owner or operator of an UST
•S Employed by the owner or operator of an UST
•S The person with daily on-site responsibility for the operations and maintenance of
an UST
Montana has an additional specification that prohibits the installer of an UST from
inspecting that UST for the first three years after the tank's installation. Some states
provide facility owners or operators with a list of certified inspectors who are eligible to
perform the inspection and these inspectors are rotated to reduce the potential for
conflicts of interest. This system of rotating inspectors can help reduce conflict of
interest by ensuring that different inspectors evaluate a facility's compliance over time.
Developing A Third-Party Underground Storage Tank Inspection Program
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Develop A Training And Certification Program
Third-party inspectors must be certified, licensed, or registered by your state to perform
on-site inspections. EPA's inspection grant guidelines specify these inspectors must:
S Be trained in the state-specific inspection protocols and perform inspections that
meet these standards
•S Complete the state's required training program, which must be comparable to the
training program for state inspectors
In establishing a third-party inspection program, you should consider whether your state
will offer training or certify another public or private agency to train inspector candidates.
If your state chooses to rely on private trainers to provide third-party inspector training,
then it should design training standards and criteria to approve private trainers.
As outlined in the table on page 11, Alaska relies in part on continuing education credits
from privately offered training by equipment manufacturers and requires potential
inspectors to be certified in installation and cathodic protection every two years.
Pennsylvania also approved a technical training course taught by a private industry
instructor as part of its certification process.
Your state may also wish to train inspectors, rather than certifying private trainers.
Maryland chose this route and requires inspectors to attend a one-day orientation class
taught by Maryland Department of the Environment (MDE) officials and to pass a test
administered by the department. You will also need to specify any re-training
requirements to ensure continuing education for inspectors. Existing state programs have
a variety of different recertification requirements, as described in the table on page 11.
By limiting the time for which a certification is valid and requiring continuing education,
you will increase the probability of consistent and high quality inspections.
Training and coursework are only one facet of the certification process. In addition to
training, states usually require inspectors to pass examinations. You should determine
what type of competency exam will be required at the end of the training. Exams may be
oral, written, practical, or a combination of these. You may also want to provide some
hands-on training and assist third-party inspectors with their initial inspections. State-
specific examples are included in the table on page 11.
Once you have trained and certified inspectors, states should take steps to ensure they
maintain this pool of qualified inspectors. The following activities help keep inspectors
up-to-date:
•S Publishing newsletters or sending out mailings regarding changing procedures,
regulations, or technology
S Periodic training (including continuing education) or meetings
S Joint inspections
•S State feedback on inspection reports
Developing A Third-Party Underground Storage Tank Inspection Program 10
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Examples Of Third-Party Inspector Training And Certification Requirements
Alaska
4%
Iowa
\ >
Maryland
Iv
zJb
** u^
Pennsylvania
j
Pre-
requisites
Work
experience
Licensed UST
installer
None
Company
employing
inspector must
be certified
Potential
inspector must
have tightness
testing
certification
Previous
experience
with UST
installation
Training
Required
Nationally
recognized
US 1 training
within last t\vo
years
Orientation
b\ regulatory
agency
Training
approved by
regulatory
agency
Week long
training
approved by
regulatory
agency
One day
orientation
One day
seminar
Examinations
Must pass
International
Code Council
general and
Alaska-specific
exams
Must pass
exam approved
by regulatory
agency
Complete EPA
Web- based
UST training
Must pass
written exam
(technical and
regulatory)
Must pass
a simulated
inspection
and two
written exams
(technical and
regulatory)
Practice
Complete
at least two
inspections in
each two-year
period
Must have
professional
liability
insurance
and perform
at least 25
inspections a
year
Complete at
least 10 UST
inspections
every two
years
State
inspector may
accompany
new third-
party inspector
on lirst few
inspections
Continuing
Education
None
Eight hours
of training
approved by
regulatory
agency
required tor
renewal
Rete sting or
completion
of a training
approved by
regulatory
agency for
renewal
Department of
Environmental
Protection
training every
three years
Re-
certification
Every two
years by
passing both
exams again
Every two
years
Every two
years
Department of
Environmental
Protection
training every
three years
Developing A Third-Party Underground Storage Tank Inspection Program
11
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Develop Standard Inspection Protocols And Design The Inspection
Process
Standardizing inspections helps ensure consistency in a third-party inspection program; it
ensures each inspector reviews the same items during the inspection. Your state must
develop standardized inspection report forms covering all parts of the inspection, and
your state should consider standardizing other
aspects of the on-site inspection. In general, the
purpose of the on-site inspection is to determine
compliance with Subtitle I and 40 CFR §280
requirements or, if the state has an approved
program under Section 9004 of Subtitle I, then
compliance with the requirements of that program.
To initiate an inspection, you can inform the facility
owner of his or her obligation to prepare for an
inspection and present the timeframe for
conducting the inspection. Pennsylvania mails an
information packet to the owner or operator,
notifying the facility that an inspection is due
within 45 days. The information packet includes: a
list of certified inspectors, a list of certified
inspection companies, information on the
inspection, state requirements and how to prepare
for them, a facility inspection form, and explanations of procedures and deadlines.
Inspection due dates are also shown on the owner's tank registration certificate.
Depending on how your program is set up, tank owners may be responsible for selecting
a third-party inspector, scheduling the inspection date, and providing you with this
What Is An On-Site
Inspection?
An on-site inspection includes:
Physical inspection of each
UST and its related equipment
On-site or off-site review of
applicable records
What Is Not An On-Site
Inspection?
On-site inspections are not:
V Desk-only reviews
S Self-certifications
V Information requests
What, At A Minimum, Must An On-Site Inspection Assess?
Whether or not the state was properly notified of the operation of an UST
system
Verification of corrosion protection (on both tanks and piping), which
should be documented through testing, inspections, or other records
In place and operational spill and overfill prevention mechanisms
Appropriate release detection methods and equipment for both tanks and
piping, which should be documented through monitoring and testing
records
Reporting of any suspected releases
Review of records of any repairs to tanks or piping
Secondary containment, when required
Documented financial responsibility
Assess status of temporary closure, if applicable
Developing A Third-Party Underground Storage Tank Inspection Program
12
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information. In Iowa, the inspector must notify the state of the scheduled inspection date.
In Pennsylvania, the UST owner or operator must return to the state a postcard in the
inspection notification packet which provides the name of the selected inspector and the
scheduled inspection date.
Inspectors must use an inspection report form as discussed above. This is crucial to
ensure consistent inspections and tank compliance. The form should be designed to
clearly record the nature of any problems the inspector detected. On the form, you
should use precise questions that do not lend themselves to open-ended questions; this
will help achieve consistency during inspections. The form could also include a
comments section to allow the inspector to record, if applicable, efforts by the tank owner
to address any problems found during the inspection and any unusual aspects of the
inspection not documented elsewhere on the form.
Develop Inspection Reporting Requirements
The third-party inspector must complete and submit the inspection report form to the
state within the timeframe established by the state. For example, in Iowa, the inspector
has 90 days after the inspection to submit the final electronic report. Online submission
of forms can speed the sharing of this information and when linked to a database for
maintaining these records, can play an important role in allowing the state to more easily
complete its reporting requirements. Iowa is working on linking its online inspection
report form to its inspection tracking database, allowing inspectors to review previous
inspections records and submit new reports online. In Pennsylvania, the inspector must
submit a report within 60 days following the inspection. The inspector should include all
compliance violations and any actions taken to correct violations in the inspection report
form before submitting it to the state. Inspectors or the state must retain inspection-
related documentation.
When the state receives inspection reports from inspectors, program staff should review
them for completeness and accuracy. Pertinent information from each report should be
entered into the state's inspection tracking database and these reports should be retained
for future reference. Through this process, the state could become aware of any
compliance or inspector-related problems and take necessary steps to address them.
Develop An Inspector Audit Program
EPA's inspection grant guidelines require each state with a third-party inspection
program implement an audit program to monitor third-party inspectors and their work on
a regular basis. The audit program may take a variety of forms, but must include a
sufficient number of on-site inspections to effectively assess inspector performance.
One way to ensure inspectors conduct high quality inspections is to maintain individual
files which document each inspector's performance. This type of documentation is
critical if suspension or revocation of an inspector's license becomes necessary. Another
Developing A Third-Party Underground Storage Tank Inspection Program 13
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important way to ensure high quality inspections is through quality assurance activities.
You can use any of these approaches, which are discussed further below, to audit
inspectors:
•S Review inspection reports for discrepancies
S Conduct random spot inspections
•S Conduct j oint inspections
S Solicit owner or operator comments
completeness, accuracy,
Audit Inspections Are
Useful For...
Ensuring the integrity of the
third-party inspection
program
Identifying and removing or
improving poorly performing
third-party inspectors
Identifying potential training
needs
Following up on complaints
or inspecting additional USTs
that warrant inspection
When auditing inspection reports, you should look for
inconsistencies, level of detail, and any other factors
necessary to evaluate the quality of the inspection.
State personnel should also perform random spot
inspections at facilities which have already been
visited by a third-party inspector. Spot inspections
can be conducted with or without giving prior notice
to the third-party inspector. Another alternative is to
conduct joint inspections, where both a third-party
inspector and a state inspector visit the facility
together to coordinate on the review of the facility and
correct procedures for conducting inspections. States
may consider conducting joint inspections extensively
in the early stages of a program or for the first several
inspections for each new inspector who becomes
certified under the program. Finally, inspector
oversight include owner or operator comments and
feedback. Soliciting and reviewing these comments
can help identify problems with inspectors so
problems can be addressed in a timely manner.
When questions arise about an inspector's performance, you should review the
inspector's previous inspection reports and gather any other necessary information such
as his or her credential documentation.
Sometimes a simple, documented
discussion and follow-up training with
the inspector can address any
inconsistencies or inaccuracies in the
inspector's reports. For example,
Pennsylvania contacts those inspectors ^
and initially attempts to resolve
problems through supplemental
training, discussion, and
correspondence. Other times,
additional action is necessary. The |nspectjng a tank sump
state must have procedures in place to
assess whether a third-party inspector achieves the state's standards for on-site
inspections. If the inspector does not meet these standards, the state should have a
Developing A Third-Party Underground Storage Tank Inspection Program
14
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protocol for what actions may be taken against inspectors who fail to maintain the
standards established by the state.
States must take action against inspectors who do not adhere to program guidelines.
Examples of action include re-training, additional examinations, imposing fines or
penalties, temporary suspension of the inspector's license, or permanent revocation of the
inspector's license. Each state must devise its own enforcement mechanisms to ensure
inspectors comply with requirements of the program.
You have to communicate with the third-party
inspectors like you do with your own staff.
Ray Powers (PA Department of Environmental Protection)
Examples Of State Inspector Audit Programs
Alaska
Iowa
Maryland
Pennsylvania
Report Review
1)1 X rev ievvs iill
inspection reports
lor inconsistencies
\\ilhin the report
and between the
report and the
database
DNR ensures that
all reports can
be electronically
submitted for
inclusion in the
slate's report
database
MI)i: rev ievvs all
reports for falsified
information
OKI' reviews all
inspection reports
for completeness
and accuracy
Audit Goal
HI!' audits all
inspectors over a
three-Near period
DNR initially plans
to audit 10 percent
of all third-part)
inspections
At least five percent
of all third-part)
inspections that
indicate full
compliance
1)1,1' oversight
and follow -up
inspections
Audit Method
Compare inspection
reports to facility
conditions as
assessed by DKC
inspectors
Audit inspections
In DNR staff can
occur either during
or after the third-
part) inspection
Inspection by MDh
inspector
Conduct joint
inspections
Enforcement
Revocation of
certification
DNR can send a
notice of deficiency
or probation
and can also
suspend or revoke
the inspector's
certification
Revocation of
certification and
criminal penalties
are possible for
falsified reports
Can require
additional training.
suspend or revoke
certification, or
pursue criminal
penalties
Developing A Third-Party Underground Storage Tank Inspection Program
15
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Manage Data
A tracking system, such as a database, that contains information on both inspections and
compliance is an important part of a third-party inspection program. This tracking
system should include:
•S Name and location of the facility
S Facility and UST details (e.g. tank and piping types, leak detection type, etc.)
•S Name of the inspector
S Date of inspection
•S Violations noted and dates they were corrected
S Historic compliance issues at the facility
•S Tank's and facility's compliance status
Adding fields to the tracking system can help to capture notes on follow-up actions or
other comments.
The tracking system is an information repository about USTs and their inspections, but
these data should also be used to assess program performance. Before-and-after
performance measures can help assess program effectiveness and show results of the
third-party inspection program. Some examples of performance measures states can use
to evaluate their programs include:
S Changes in rate of compliance
S Number of inspections completed and inspection frequency
•S Types of violations
•S Number of enforcement actions taken
S Cost per inspection to the state
S Percent of inspections audited
•S Other state-specific performance measures
You should also perform periodic interviews of state staff, inspectors, and tank owners or
documentation reviews to augment data from the tracking system and add depth to the
assessment of program effectiveness. States should undertake some combination of these
activities periodically to identify problem areas and improve program performance.
States may wish to develop official surveys or conduct less formal interviews, but should
document all results as a record of the program evaluation activity.
Developing A Third-Party Underground Storage Tank Inspection Program 16
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Checklist For Developing A Third-Party Inspection Program
The checklist on page 18 provides a brief overview of key steps your state might take to
design and develop a third-party inspection program. You can find more information on
each of these topics in the previous sections of the guide.
EPA compiled the information contained in this guide as a resource to help your state
develop a new third-party inspection program or enhance its existing program. The
information in this guide, combined with the skills of your state staff, should make it
possible for your state to design a program that will achieve the required on-site
inspection of all regulated UST systems every three years. A third-party inspection
program should help your state achieve this goal at a lower cost than a system based on
the use of state staff alone. Examples presented throughout this document offer the
experience of existing state programs as a guide for states developing a third-party
inspection program for the first time. Additional materials and information are available
in the inspection grant guidelines and in the appendix.
Developing A Third-Party Underground Storage Tank Inspection Program 17
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Summary Checklist Of State Third-Party Inspection Program Design And
Implementation Activities
Activity Page
Ensure statutory authority exists to establish a third-party 4
inspection program
Gather stakeholder input
Raise program awareness
Define targeted facilities
Ensure available inspector certification program 9
Define conflict of interest provisions 9
Develop or certify a training program 10
Define regulations establishing criteria for retraining and license 10
renewal
Develop and distribute standard inspection form or owner 12
information packet
Design a report review protocol 13
Develop an inspector audit program 13
Establish enforceable penalties against third-party inspectors 15
Develop an inspection tracking database 16
Assess program effectiveness 16
Ensure program meets requirements of Energy Policy Act and 2
EPA's inspection grant guidelines (available at:
http://www.epa.gov/OUST/fedlaws/fmal_i.htm)
18
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Appendix: Summary Table Of Existing State Third-Party Inspection Programs
In this table, you will find information about third-party inspection programs for each state which currently has a program in place.
For each state, you will see a summary of the major aspects of the existing program, including: inspector certification requirements,
enforcement options, audit policy, and other pertinent information. You can find more details about each state's program on
individual states' Web pages. See http://www.epa.gov/oust/states/statcon 1.htm on how to contact state underground storage tank
programs.
State
Program Summary
Inspector Certification
Requirements
Enforcement Options
Audit Policy And Quality
Assurance Procedures
State UST
Homepage
Alaska
Private sector third-party
inspector conducts
operations inspection every
three years; program
administered by Department
of Environmental
Conservation (DEC). The
Department of Commerce,
Community & Economic
Development administers
the licensing process in
cooperation with DEC.
Certified by the Department of
Commerce, Community &
Economic Development; pass
the ICC installation, cathodic
protection, and Alaska
regulatory exams; a certified
inspector must verify that he or
she has experience on two
inspections in the past two years
or has attended a nationally-
recognized training and attended
the DEC orientation course. To
renew every two years must pass
the three exams again (after six
years, exams only needed at
every third renewal if performed
two inspections in past year).
Regulations provide mechanism
to revoke certification, but this
has never been necessary.
DEC audits all inspectors
over a three-year period by
comparing their reports
against facility conditions;
DEC reviews all reports for
inconsistencies.
http://www.dec.stat
e.ak.us/spar/ipp/tan
ks.htm
A-l
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State
Program Summary
Inspector Certification
Requirements
Enforcement Options
Audit Policy And Quality
Assurance Procedures
State UST
Homepage
Iowa
Private certified inspectors
perform compliance
inspections every two years;
program administered by
the Department of Natural
Resources (DNR).
UST compliance inspector
certification issued by DNR;
must be Iowa-licensed UST
installer or installation inspector,
attend DNR-approved training,
pass exam administered or
approved by DNR, complete and
pass EPA Web training, have
professional liability insurance,
renew certification every two
years (must get eight hours of
DNR-approved training and
perform 25 inspections per
year). Temporary certifications
will be issued until training and
testing procedures are
developed.
DNR can give notices of
deficiency and probationary
notices; DNR can suspend or
revoke certification for good
cause; DNR can require
inspector to complete special
training.
DNR plans to audit 10
percent of inspections
(sometimes during the third-
party inspection and
sometimes afterwards).
http ://www. io wadn
r.com/land/ust/inde
x.html
Maine
Annual inspection by
certified UST installer or
inspector; program
administered by the
Department of
Environmental Protection
(DEP) and the Board of
UST Installers (BUSTI).
Installers and inspectors certified
by BUSTI. Installer certification
requires six references, initial
exam, apprenticeship, and a final
exam. Inspector certification
requires six references and an
exam; both must be renewed
every two years with eight hours
of continuing education.
Procedure specified in BUSTI
rules; disciplinary actions have
included penalties, suspensions,
and loss of certification.
State-led inspections serve
as QA/QC.
http://www.mame.
gov/dep/rwm/ust/in
dex.htm
Maryland
Private UST inspector
conducts inspection every
three years; program
administered by Maryland
Department of the
Environment (MDE).
Complete MDE-approved
training; attend one-day MDE
orientation class, pass MDE test;
renew every two years by
retesting or completing MDE-
approved training and
performing inspections at 10
UST sites within past two years.
Falsified reports will be referred
for criminal prosecution and
certification revocation;
suspension and revocation in
accordance with §10-226
Annotated Code of Maryland.
Fines and prison for false
statements and/or tampering
with, or knowingly
rendering inaccurate any
monitoring device or
method required to be
maintained; at least five
percent of third-party
inspections that indicate full
compliance will be targeted
for an MDE inspection.
http://www.mde.sta
te.md.us/Programs/
LandPro grams/Oil
Control/USThom
e/index.asp
A-2
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State
Program Summary
Inspector Certification
Requirements
Enforcement Options
Audit Policy And Quality
Assurance Procedures
State UST
Homepage
Montana
Licensed inspector conducts
inspection every three years;
program administered by
the Department of
Environmental Quality
(DEQ).
Provide three references;
complete DEQ-approved
training; pass DEQ written exam
and field practical exam; be least
18 years old. May not be UST
owner, employee of owner, or
(for first three years after
installation) installer of the UST;
renew every three years by
taking 16 hours of DEQ-
approved continuing education.
Can suspend or revoke licenses
for unprofessional conduct.
Oversight inspections
performed by third-party,
DEQ-licensed compliance
oversight inspectors. State
aims for 10 percent
oversight of each inspector.
http ://www. deq. stat
e.mt.us/ust/
Pennsylvania
Third-party inspectors
perform inspections every
three years or sooner;
program administered by
the Department of
Environmental Protection
(DEP).
DEP certification required for
both inspector and company;
inspector must pass two exams
(technical and regulatory).
Renewal is every three years by
passing exam or attending DEP
training; must have tightness
testing certification or similar
training; must have experience
with UST installation and
modification; must attend one-
day seminar about inspection
process and pass simulated
inspection at end of seminar.
Use appealable consent or
compliance orders or criminal
penalties (two successful
prosecutions) and civil penalties
(13 suspensions since 1994; one
revocation since 1994; at least
five inspectors have voluntarily
turned in their certification when
faced with suspension or
revocation).
Inspection reports are
reviewed; oversight
inspections performed (both
joint and foliowup); try to
have a DEP inspector join a
new third-party inspector on
first few inspections.
http ://www. depweb
.state.pa.us/landrec
waste/cwp/view.as
p?a=1240&O=453
63 l&landrecwaste
Nav=l30786l30715l
A-3
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United States Solid Waste And EPA 510-K-08-001
Environmental Protection Emergency Response September 2008
Agency 5401P www.epa.qov/oust/pub
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