State and Tribal Underground Storage Tanks Program (66.804)

Program

66.804 State and Tribal Underground Storage Tanks Program

Federal Agency

Agency: Environmental Protection Agency
Office: Office of Solid Waste and Emergency Response

Authorization

Solid Waste Disposal Act (SWDA) of 1976, Section 2007; Energy Policy Act of 2005, Title XV, Section 1521-1533, Public Law 109-58, 42 U.S.C 15801; Ethanol And Motor Fuels, Title B, Section 1521, Public Law 109-58, 42 U.S.C 15801; Superfund Reauthorization Amendments of 1986, Title I, Section 2007(f); Energy Policy Act of 2005, 42 U.S.C 6916(f)(2).

Program Number

66.804

Last Known Status

Active

Objectives

To assist States, Territories, Tribes and Intertribal Consortia that meet the requirements at 40 CFR 35.504, in the development and implementation of underground storage tank (UST) programs and for leak prevention, compliance and other activities authorized by the Energy Policy Act (EPAct) of 2005 and EPA's annual appropriations acts. Funding Priority - Fiscal Year 2009: High priority tasks include providing financial assistance: 1) to states and Tribes in implementing the UST program; 2) to states to help them meet their responsibilities authorized under the Energy Policy Act (EPAct) (e.g., conducting more frequent inspections, prohibiting delivery for non-complying facilities, and requiring either secondary containment for tank systems or financial responsibility for manufacturers and installers); 3) to Tribes to conduct on-site inspections in Indian Country every three years in accordance with EPAct requirements; 4) to states and Tribes to encourage owners and operators to properly operate and maintain their USTs; 5) to states and Tribes to ensure owners and operators routinely and correctly monitor all regulated tanks and piping in accordance with the regulations; and 6) to states to develop State programs with sufficient authority and enforcement capabilities to operate in lieu of the Federal program. LUST prevention funds may be used by States for inspections and other release prevention and compliance assurance activities for federally-regulated underground storage tanks (USTs), as well as for enforcement activities related to release prevention. Priority will be given to providing funds to enable the States to meet their responsibilities under Title XV, Subtitle B of the Energy Policy Act of 2005. States that have entered into assistance agreements with EPA must have the authority to inspect and take other compliance and related enforcement actions to prevent releases from USTs. The Agency provides financial assistance to Tribes to develop and implement programs to manage USTs. Funding Priority - Fiscal Year 2010: High priority tasks include providing financial assistance: 1) to states and Tribes in implementing the UST program; 2) to states to help them meet their responsibilities authorized under the Energy Policy Act (EPAct) (e.g., conducting more frequent inspections, prohibiting delivery for non-complying facilities, and requiring either secondary containment for tank systems or financial responsibility for manufacturers and installers); 3) to Tribes to conduct on-site inspections in Indian Country every three years in accordance with EPAct requirements; 4) to states and Tribes to encourage owners and operators to properly operate and maintain their USTs; 5) to states and Tribes to ensure owners and operators routinely and correctly monitor all regulated tanks and piping in accordance with the regulations; and 6) to states to develop State programs with sufficient authority and enforcement capabilities to operate in lieu of the Federal program. LUST prevention funds may be used by States for inspections and other release prevention and compliance assurance activities for federally-regulated underground storage tanks (USTs), as well as for enforcement activities related to release prevention. Priority will be given to providing funds to enable the States to meet their responsibilities under Title XV, Subtitle B of the Energy Policy Act of 2005. States that have entered into assistance agreements with EPA must have the authority to inspect and take other compliance and related enforcement actions to prevent releases from USTs. The Agency provides financial assistance to Tribes to develop and implement programs to manage USTs.

Types of Assistance

FORMULA GRANTS

Uses and Use Restrictions

States and Tribes may use financial assistance under this program for eligible and allowable costs incurred under assistance agreements for leak prevention, detection, and compliance, as described in the Section:50 Funding Priority. Assistance agreements are available to support recipients' eligible and allowable direct costs incurred under an approved work plan plus allowable indirect costs, in accordance with established EPA policies and regulations. Funds awarded under this program may be used by states and Tribes for the following types of activities: (1) Encouraging owners and operators to properly operate and maintain their USTs. (2) Ensuring owners and operators routinely and correctly monitor all regulated tanks and piping in accordance with the regulations. (3) Developing State programs with sufficient authority and enforcement capabilities to operate in lieu of the Federal program. (4) Conducting more frequent inspections . (5) Prohibiting delivery to noncompliant tanks. (6) Requiring either secondary containment for new tank systems or financial responsibility for manufacturers and installers. These assistance agreements may also be used for EPA to help States, who request it, and for the Agency, to obtain SEE enrollees through a SEE assistance agreement to work on the State's underground storage tanks and to support direct UST implementation programs.

Unlike State and Tribal Assistance Grant (STAG) funding under Section 2007(f) of the Solid Waste Disposal Act (SWDA), the LUST prevention funding under Section 9011 and other applicable provisions of Subtitle I of the SWDA is not eligible for inclusion in Performance Partnership Grants under 40 CFR 35.133. EPA may award combined STAG funded UST prevention, detection, and compliance assistance agreements authorized by Section 2007(f) with LUST prevention assistance agreements authorized by Subtitle I if the combined agreement is not included in a PPG.

Assistance agreement awards under this program may involve or relate to geospatial information. Further information regarding geospatial information may be obtained by viewing the following website: http://geodata.epa.gov.

Eligibility Requirements

Applicant Eligibility

Prevention, detection and compliance assistance agreements are only available to States and Territories and to Federally-recognized Tribes and Intertribal Consortia that must meet the requirements, as described in the Federal Register Notice, Vol. 67, No. 213, pp. 67181-67183, "Update to EPA Policy on Certain Grants to Intertribal Consortia." These assistance agreements may also be used for EPA to help States, who request it, to obtain SEE enrollees through a SEE assistance agreement to work on the State's underground storage tanks and to support direct UST implementation programs.

Beneficiary Eligibility

States, Territories, Tribes and Intertribal Consortia.

Credentials/Documentation

States and Territories must either submit certification indicating the State or Territory meets the applicable Energy Policy Act provisions, or submit documentation describing the State or Territory's efforts to meet the requirements, in accordance with EPA's Energy Policy Act grant guidelines (http://www.epa.gov/oust/fedlaws/epact_05.htm). The EPA Regional Offices maintain the credentials/documentation for State and Territorial programs and federally-recognized Tribes and Intertribal Consortia. OMB Circular No. A-87 applies to this program.

Application and Award Process

Preapplication Coordination

This program is eligible for coverage under E.O. 12372, "Intergovernmental Review of Federal Programs." An applicant should consult the office or official designated as the single point of contact in his or her State for more information on the process the State requires to be followed in applying for assistance, if the State has selected the program for review. Tribes and Intertribal Consortia are not required to follow intergovernmental review procedures. Environmental impact information is not required for this program. This program is eligible for coverage under E.O. 12372, "Intergovernmental Review of Federal Programs." An applicant should consult the office or official designated as the single point of contact in his or her State for more information on the process the State requires to be followed in applying for assistance, if the State has selected the program for review.

Application Procedure

OMB Circular No. A-102 applies to this program. This program is excluded from coverage under OMB Circular No. A-110. States and Tribes apply for funds through EPA regional offices. Applicants may be able to use http://www.grants.gov to electronically apply for certain grant opportunities under this CFDA. EPA may award combined or separate assistance agreements for leak prevention.

Award Procedure

These funds are awarded non-competitively. However, if EPA elects to hold competitions for Tribal and/or Intertribal Consortia assistance agreements, EPA will review and evaluate applications, proposals, and/or submissions in accordance with the terms, conditions, and criteria stated in the competitive announcement. Competitions will be conducted in accordance with EPA policies/regulations for competing assistance agreements.

Applications will be subjected to administrative evaluation to determine the adequacy of application in relation to assistance agreement regulations and to technical and program evaluation to determine the merit and relevance of the project. The Agency will advise the applicant if funding is being considered. A final work plan will be negotiated with the applicant. An assistance agreement must be signed between EPA and the State or Territory or EPA and the Tribe or Intertribal Consortia. EPA awards the assistance agreements to states through a previously established allocation process, issued under national guidance rather than through competition(see 40 CFR 35.332 and EPA Order 5700.5, Section 6(c)(1)).

Deadlines

Contact the headquarters or regional office, as appropriate, for application deadlines.

Range of Approval/Disapproval Time

Generally, from 3 to 4 months.

Appeals

Disputes will be resolved under 40 CFR 30.63 or 40 CFR 31.70, as applicable.

Renewals

Contact the appropriate Regional Office. See http://www.epa.gov/OUST/regions/index.htm.

Assistance Considerations

Formula and Matching Requirements

Statutory Formula: Title Solid Waste Disposal Act , Subpart I.

Matching Requirements: The UST prevention, detection, and compliance Solid Waste Disposal Act 2007(f) assistance agreement (STAG) program has no statutory formula or matching requirement. However, there is a 25 percent matching requirement (cost share) for States under 40 CFR 35.335. State matches (cost shares) may include in-kind contributions. Under 40 CFR 35.332, EPA regions allocate funds to states based on their programmatic needs and applicable EPA guidance. Factors include the number of active federally regulated petroleum underground storage tanks. LUST prevention funding is awarded under Section 9011 and other applicable provisions of Subtitle I of the Solid Waste Disposal Act subject to an allocation process developed by the Agency. The Agency distributes funds based on the number of federally-regulated petroleum USTs in a State and other indicators of State needs. States will provide a 25 percent match (cost share) for assistance agreements awarded under Section 9011 and other applicable provisions of Subtitle I. If EPA awards a State a combined UST prevention, detection, and compliance (STAG) and LUST prevention assistance agreement, the 25 percent cost share will apply to total project costs for the combined assistance agreement. There is no matching requirement (cost share) for prevention, detection and compliance assistance agreements for Tribes or Intertribal Consortia awarded pursuant under Public Law 105-276 or the agency's annual appropriation acts.

This program does not have MOE requirements.

Length and Time Phasing of Assistance

The terms of the assistance agreement shall be determined at the time of award by the specific EPA Regional Office. Assistance agreements can be awarded on a single- or multiple-year basis. See the following for information on how assistance is awarded/released: Financial assistance is released in a lump sum. States use the Automated Standard Application for Payment System to request cash drawdowns based on a projected cash requirement.

Post Assistance Requirements

Reports

Recipients submit annual reports which include a description of the progress made towards meeting environmental goals as expressed by the environmental indicators and program measures. Recipients report program performance results semi-annually that provide updates for commitments and priorities. States are required to submit Cash Reports to regional grants offices. States must certify that they are meeting or are making progress in meeting the Energy Policy Act requirements. States are required to provide expenditure reports for overall funding for UST prevention, detection and compliance (STAG) assistance agreements. For LUST prevention assistance agreements, States are required to submit Financial Status Reports to regional grants offices. Annual reviews are conducted to determine recipients' progress in meeting overall program goals.

Audits

In accordance with the provisions of OMB Circular No. A-133 (Revised, June 27, 2003), "Audits of States, Local Governments, and Non-Profit Organizations," nonfederal entities that expend financial assistance of $500,000 or more in Federal awards will have a single or a program-specific audit conducted for that year. Nonfederal entities that expend less than $500,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in Circular No. A-133. Grants and cooperative agreements are subject to inspections and audits by the Comptroller General of the United States, the EPA Office of Inspector General, other EPA staff, or any authorized representative of the Federal government. Reviews by the EPA Project Officer and the Grants Specialist may occur each year. In accordance with the provisions of OMB Circular No. A-133 (Revised, June 27, 2003), "Audits of States, Local Governments, and Non-Profit Organizations," non-federal entities that expend $500,000 or more in a year in Federal awards shall have a single or a program-specific audit conducted for that year. Non-federal entities that expend less than $500,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in OMB Circular No. A-133.

Records

The record retention requirements of 40 CFR Part 31 (governmental units) are applicable depending upon the identity of the recipient. Financial records, including all documents to support entries on accounting records and to substantiate changes to each grant must be kept available to personnel authorized to examine EPA grant accounts. All records must be maintained until expiration of three years from the date of submission of the final expenditure report. If questions still remain, such as those raised as a result of audit, related records should be retained until the matter is completely resolved.

Program Accomplishments

Fiscal Year 2008: For FY 2008, 21 states, five territories and approximately 10 Indian Tribes submitted STAG assistance agreement applications and were awarded STAG assistance agreements. For FY 2008, 49 states, six territories and approximately 10 Indian Tribes submitted LUST prevention assistance agreement applications and were awarded LUST prevention assistance agreements. In FY 2008, results achieved were measured by the annual percent increase (+1 percent) of UST facilities that were in significant operational compliance with both release detection and release prevention (spill, overflow, and corrosion protection requirements). There was a notable increase in the significant operational compliance measure in FY 2008 over the previous fiscal year, from 63 percent to 66 percent. In FY 2008, EPA met and exceeded its goal of reducing the number of confirmed UST releases nationally to less than 10,000. FY 2008 was the first year LUST funds were available for release prevention purposes. In FY 2008, to comply with the Energy Policy Act requirements, states increased their rate of inspections. In FY 2008, states completed more than 100,000 inspections. Fiscal Year 2009: In FY 2009, 14 states and four territories submitted applications and will be awarded STAG assistance agreements; and one Intertribal Consortia recipient was awarded a competitive assistance agreement. For the LUST prevention assistance agreements, 50 states and six territories submitted applications and will be awarded assistance agreements. At mid-year FY 2009, EPA is on target for meeting its goal of UST facilities that are in significant operational compliance with both release detection and release prevention (spill, overflow and corrosion protection requirements) with a starting baseline of 65 percent. At mid-year FY 2009, EPA is on target for meeting its goal of reducing the number of confirmed UST releases to less than 10,000. Fiscal Year 2010: No Current Data Available

Financial Information

Account Identification

20-8153-0-7-304; 68-0103-0-1-304.

Obligations

(Formula Grants) FY 08 $32,977,000; FY 09 est $38,400,000; FY 10 est $36,930,000 - STAG: FY 08 actual $2,461,000; FY 09 actual $2,900,000; and FY 10 estimate $2,500,000.

LUST Prevention: FY 08 actual $30,516,000; FY 09 actual $35,500,000; and FY 10 estimate $34,430,000.

Range and Average of Financial Assistance

Range for States and Territories: In FY 2008, FY 2009, and FY 2010, the STAG and LUST prevention financial assistance is based on states' needs. In FY 2008 - STAG funding - Range for States and Territories: $20,000 to $410,000, Average for States and Territories = $139,000. Range for Tribes: $35,000 to $255,000; Average for Tribes = $143,000. LUST Prevention funding - Range for States and Territories: $102,000 to $1,500,000; Average for States and Territories = $596,000. Range for Tribes: $92,000 to $359,000; Average for Tribes = $420,000.

In FY 2009, STAG funding - Range for States and Territories: $25,000 to $1,120,000; Average for States and Territories = $94,654. In FY 2009, there was no STAG distribution for Tribes. LUST Prevention Funding - Range for States and Territories: $98,000 to $2,000,000; Average for States and Territories = $472,000. Range for Tribes: $20,000 to $650,000; Average for Tribes = $420,000.

Regulations, Guidelines and Literature

General Grant Regulations and Procedures (40 CFR Parts 30 or 31, as applicable), State and Local Assistance (40 CFR Part 35.330 et. seq. for States and 40 CFR 35.730 et. seq. for Tribes and Intertribal Consortia). Costs will be determined in accordance with OMB Circular No. A-87 (2 CFR Part 225) for State and local governments and Indian Tribes and OMB Circular A-122 (2 CFR Part 230) for Intertribal Consortia that follow the assistance regulations for nonprofit organizations. Contact Regional UST Program Manager for documents.

Related Programs

66.805 Leaking Underground Storage Tank Trust Fund Program

Information Contacts

Regional or Local Office

See Regional Agency Offices. For state-specific opportunities, EPA encourages potential applications to communicate with the appropriate EPA Regional Underground Storage Tanks Regional Program Managers (see http://www.epa.gov/OUST/regions/index.htm).

Headquarters Office

Lynn Depont USEPA Headquarters
Ariel Rios Building
1200 Pennsylvania Avenue, N. W.
Mail Code: 5401P, Washington, District of Columbia 20460 Email: depont.lynn@epa.gov Phone: 703-603-7148

Web Site Address

http://www.epa.gov/OUST/cmplastc/index.htm

Examples of Funded Projects

Fiscal Year 2008: UST prevention, detection, and compliance assistance agreements' funded projects include functions necessary for the development and/or implementation of a State or Indian underground storage tank (UST) program. Those functions that may be accepted for funding include the development and/or implementation of enforcement and inspection programs, outreach, and training related to the underground storage tanks program. Specific examples of STAG funded projects in FY 2008 were: (1) Corrosion testing and training for field inspectors; (2) Red Tag Enforcement Tools for states to obtain UST compliance from owners/operators; (3) Web-based training for UST owners/operators; (4) Photograph records of USTs in large states, such as Montana; and (5) Third-party inspection programs to more efficiently conduct compliance inspections at UST facilities. For the LUST prevention assistance agreements, funded projects included state inspections, enforcement, development of regulations and other program infrastructure. These assistance agreements were also used for EPA to help states, who requested it, to obtain SEE enrollees through a SEE assistance agreement to work on the state's underground storage tanks (UST) and to support direct UST implementation programs. Fiscal Year 2009: No Current Data Available Fiscal Year 2010: No Current Data Available

Criteria for Selecting Proposals

This program allocates funding to States and Tribes non-competitively under the allocation system referenced in Section:101. Funding provided to states for release prevention must be expended in accordance with grant guidelines EPA issued to implement the Title XV, Subtitle B of the Energy Policy Act of 2005, http://www.epa.gov/swerust1/fedlaws/publ_109-058.pdf).