Stricken language would be deleted from and underlined language would be added to present law. Act 706 of the Regular Session *JMB214* 03-18-2025 10:42:50 JMB214 State of Arkansas As Engrossed: H3/18/25 1 95th General Assembly A Bill 2 Regular Session, 2025 HOUSE BILL 1277 3 4 By: Representative Gramlich 5 By: Senator J. Boyd 6 7 For An Act To Be Entitled 8 AN ACT TO AMEND PAYMENTS FOR CORRECTIVE ACTION 9 REGARDING PETROLEUM STORAGE TANKS; AND FOR OTHER 10 PURPOSES. 11 12 13 Subtitle 14 TO AMEND PAYMENTS FOR CORRECTIVE ACTION 15 REGARDING PETROLEUM STORAGE TANKS. 16 17 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 18 19 SECTION 1. Arkansas Code § 8 -7-907(a), concerning payments for 20 corrective action regarding petroleum storage tanks, is amended to read as 21 follows: 22 (a)(1)(A) No A payment for corrective action shall not be paid from 23 the Petroleum Storage Tank Trust Fund until the owner or operator has 24 expended seven thousand five hundred dollars ($7,500) the deductible set by 25 the rule of the Arkansas Pollution Control and Ecology Commission on 26 corrective action for the occurrence, except in cases in which the Director 27 of the Division of Environmental Quality is using emergency authority under § 28 8-7-905(e). 29 (B) It is the intent of the General Assembly that this 30 initial level of expenditure be considered the equivalent of an insurance 31 policy deductible. 32 (2) Owners or operators of underground storage tanks must 33 demonstrate financial responsibility for the seven-thousand-five-hundred-34 dollar deductible for corrective actions. 35 36 As Engrossed: H3/18/25 HB1277 2 03-18-2025 10:42:50 JMB214 SECTION 2. Arkansas Code § 8 -7-907(d), concerning payments for 1 corrective action regarding petroleum storage tanks, is amended to read as 2 follows: 3 (d)(1)(A) Payment for corrective action may be denied if the storage 4 tank owner or operator fails to report a release as required by rule 5 promulgated by the Arkansas Pollution Control and Ecology Commission, and the 6 failure to report the release causes a delay in the corrective action that 7 contributes to an adverse impact to the environment. The amount of the 8 deductible incurred by the owner or operator before the owner or operator is 9 eligible to receive payment for corrective action shall be established by 10 rule by the division with the advice and input of the Advisory Committee on 11 Petroleum Storage Tanks. 12 (B) However, the amount of the deductible shall not be 13 greater than thirty thousand dollars ($30,000). 14 (2)(A) The Arkansas Pollution Control and Ecology Commission, 15 with the advice and input of the Advisory Committee on Petroleum Storage 16 Tanks, shall provide through rule a deductible that is more than seven 17 thousand five hundred dollars ($7,500) but does not exceed thirty thousand 18 dollars ($30,000) for violations of rules of the division as identified at 19 the time of the request for payment for corrective action. 20 (B) The rule may differentiate the variation of the 21 deductible based on the provision or section of the commission rule that was 22 violated. 23 24 /s/Gramlich 25 26 27 APPROVED: 4/16/25 28 29 30 31 32 33 34 35 36