Section 329IAC9-8-11. Excess liability trust fund

   (a) An owner or operator may satisfy the requirements of section 4 of this rule by participation in the excess liability trust fund under 328 IAC 1. Eligibility is determined by compliance with 328 IAC 1.

  (b) An owner or operator of:

(1) twelve (12) or fewer underground storage tanks shall demonstrate the ability to pay the applicable deductible amount under IC 13-23-8-3 [IC 13-23-8-3 was repealed by P.L.96-2016, SECTION 24, effective July 1, 2016.]; or

(2) more than twelve (12) underground storage tanks shall demonstrate the ability to pay two (2) times the applicable deductible amount under IC 13-23-8-3 [IC 13-23-8-3 was repealed by P.L.96-2016, SECTION 24, effective July 1, 2016.].

  (c) The owner or operator shall use any one (1) or a combination of the following mechanisms to demonstrate the ability to pay the applicable amount under subsection (b):

(1) An owner or operator may satisfy the requirements of subsection (b) by obtaining a letter signed by an officer of a federally insured financial institution that verifies the financial institution's commitment to issue a loan to the owner or operator, if necessary, to pay the applicable amount under subsection (b). This letter must be reviewed and updated annually by the financial institution.

(2) An owner or operator may satisfy the requirements of subsection (b) by obtaining a certificate of deposit from a federally insured financial institution.

(3) An owner or operator may satisfy the requirements of subsection (b) by obtaining a letter signed by an independent certified public accountant or independent professional accountant that verifies the tangible net worth of the owner or operator is sufficient to pay the applicable amount under subsection (b). This letter must be reviewed and updated annually by the certified public accountant or professional accountant.

(4) An owner or operator may satisfy the requirements of subsection (b) by obtaining liability insurance from an insurer or risk retention group.

(5) An owner or operator may satisfy the requirements of subsection (b) by obtaining a surety bond.

(6) An owner or operator may satisfy the requirements of subsection (b) by obtaining an irrevocable standby letter of credit issued by a federally insured financial institution.

(7) An owner or operator may satisfy the requirements of subsection (b) by establishing a trust fund.

(8) An owner or operator may satisfy the requirements of subsection (b) by obtaining a written guarantee from a person other than the owner or operator that verifies the guarantor's ability to pay the applicable amount under subsection (b). The written guarantee must disclose the relationship between the guarantor, and the owner or operator. The guarantor shall use one (1) or more of the mechanisms under this subsection.

  (d) In addition to subsection (c), local government owners or operators may use any one (1) or a combination of the following mechanisms:

(1) A local government owner or operator may satisfy the requirements of subsection (b) by meeting a bond rating test under section 14 of this rule. The local government owner or operator shall list the amount under subsection (b) for the "per occurrence" and "annual aggregate" amounts in the letter from the chief financial officer.

(2) A local government owner or operator may satisfy the requirements of subsection (b) by passing the financial test specified in section 15 of this rule. The local government owner or operator shall list the amount under subsection (b) for the "per occurrence" and "annual aggregate" amounts in the letter from the chief financial officer.

(3) A local government owner or operator may satisfy the requirements of subsection (b) by obtaining a guarantee that conforms to section 16 of this rule. The local government owner or operator shall list the amount under subsection (b) for the "per occurrence" and "annual aggregate" amounts in the local government guarantee with standby trust made by a local government. The local government owner or operator shall list the amount under subsection (b) for the "per occurrence" and "annual aggregate" amounts in the local government guarantee without standby trust made by a local government.

(4) A local government owner or operator may satisfy the requirements of subsection (b) by establishing a dedicated fund account that conforms to section 17 of this rule. The local government owner or operator shall list the amount under subsection (b) for the "per occurrence" and "annual aggregate" amounts in the letter from the chief financial officer.

(Solid Waste Management Division; 329 IAC 9-8-11; filed Jul 19, 1999, 12:00 p.m.: 22 IR 3741; errata filed Sep 10, 1999, 9:08 a.m.: 23 IR 26; readopted filed Jan 10, 2001, 3:25 p.m.: 24 IR 1535)