AR
Arkansas House Bill HB1277

Arkansas 2025 Regular Session

Arkansas House Bill HB1277 Compare Versions

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11 Stricken language would be deleted from and underlined language would be added to present law.
2-Act 706 of the Regular Session
3-*JMB214* 03-18-2025 10:42:50 JMB214
4-
5-State of Arkansas As Engrossed: H3/18/25 1
2+*JMB214* 01/24/2025 2:09:24 PM JMB214
3+State of Arkansas 1
64 95th General Assembly A Bill 2
75 Regular Session, 2025 HOUSE BILL 1277 3
86 4
97 By: Representative Gramlich 5
108 By: Senator J. Boyd 6
119 7
1210 For An Act To Be Entitled 8
1311 AN ACT TO AMEND PAYMENTS FOR CORRECTIVE ACTION 9
14-REGARDING PETROLEUM STORAGE TANKS; AND FOR OTHER 10
15-PURPOSES. 11
12+REGARDING PETROLEUM STORAGE TANKS; TO ALLOW THIRD 10
13+PARTY CONSULTANTS OF OWNERS AND OPERATORS TO BE PAID 11
14+DIRECTLY FOR CORRECTIVE ACTION; AND FOR OTHER 12
15+PURPOSES. 13
16+ 14
17+ 15
18+Subtitle 16
19+TO AMEND PAYMENTS FOR CORRECTIVE ACTION 17
20+REGARDING PETROLEUM STORAGE TANKS; AND 18
21+TO ALLOW THIRD PARTY CONSULTANTS OF 19
22+OWNERS AND OPERATORS TO BE PAID DIRECTLY 20
23+FOR CORRECTIVE ACTION. 21
24+ 22
25+BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 23
26+ 24
27+ SECTION 1. Arkansas Code § 8 -7-905(d)(3), concerning the purposes for 25
28+which moneys in the Petroleum Storage Tank Trust Fund may be expended, is 26
29+amended to read as follows: 27
30+ (3) To pay reimbursement to owners and operators or third party 28
31+consultants of the owners and operators for taking corrective action or to 29
32+pay third parties for compensatory damages caused by accidental releases from 30
33+qualified storage tanks; 31
34+ 32
35+ SECTION 2. Arkansas Code § 8 -7-907(a), concerning payments for 33
36+corrective action regarding petroleum storage tanks, is amended to read as 34
37+follows: 35
38+ (a)(1)(A) No A payment for corrective action shall not be paid from 36 HB1277
39+
40+ 2 01/24/2025 2:09:24 PM JMB214
41+the Petroleum Storage Tank Trust Fund until the owner or operator has 1
42+expended seven thousand five hundred dollars ($7,500) the deductible set by 2
43+the rule of the Division of Environmental Quality on corrective action for 3
44+the occurrence, except in cases in which the Director of the Division of 4
45+Environmental Quality is using emergency authority under § 8 -7-905(e). 5
46+ (B) It is the intent of the General Assembly that this 6
47+initial level of expenditure be considered the equivalent of an insurance 7
48+policy deductible. 8
49+ (2) Owners or operators of underground storage tanks must 9
50+demonstrate financial responsibility for the seven-thousand-five-hundred-10
51+dollar deductible for corrective actions. 11
52+ 12
53+ SECTION 3. Arkansas Code § 8 -7-907(d), concerning payments for 13
54+corrective action regarding petroleum storage tanks, is amended to read as 14
55+follows: 15
56+ (d)(1)(A) Payment for corrective action may be denied if the storage 16
57+tank owner or operator fails to report a release as required by rule 17
58+promulgated by the Arkansas Pollution Control and Ecology Commission, and the 18
59+failure to report the release causes a delay in the corrective action that 19
60+contributes to an adverse impact to the environment. The amount of the 20
61+deductible incurred by the owner or operator before the owner or operator is 21
62+eligible to receive payment for corrective action shall be established by 22
63+rule by the division with the advice and input of the Advisory Committee on 23
64+Petroleum Storage Tanks. 24
65+ (B) However, the amount of the deductible shall not be 25
66+greater than thirty thousand dollars ($30,000). 26
67+ (2)(A) The Arkansas Pollution Control and Ecology Commission, 27
68+with the advice and input of the Advisory Committee on Petroleum Storage 28
69+Tanks, shall provide through rule a deductible that is more than seven 29
70+thousand five hundred dollars ($7,500) but does not exceed thirty thousand 30
71+dollars ($30,000) for violations of rules of the division as identified at 31
72+the time of the request for payment for corrective action. 32
73+ (B) The rule may differentiate the variation of the 33
74+deductible based on the provision or section of the commission rule that was 34
75+violated. 35
76+ 36 HB1277
77+
78+ 3 01/24/2025 2:09:24 PM JMB214
79+ SECTION 4. Arkansas Code § 8 -7-907, concerning payments for corrective 1
80+action regarding petroleum storage tanks, is amended to add an additional 2
81+subsection to read as follows: 3
82+ (l) The commission may directly pay a third party consultant of an 4
83+owner or operator for corrective action taken on behalf of an owner or 5
84+operator. 6
85+ 7
86+ 8
87+ 9
88+ 10
89+ 11
1690 12
1791 13
18-Subtitle 14
19-TO AMEND PAYMENTS FOR CORRECTIVE ACTION 15
20-REGARDING PETROLEUM STORAGE TANKS. 16
92+ 14
93+ 15
94+ 16
2195 17
22-BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 18
96+ 18
2397 19
24- SECTION 1. Arkansas Code § 8 -7-907(a), concerning payments for 20
25-corrective action regarding petroleum storage tanks, is amended to read as 21
26-follows: 22
27- (a)(1)(A) No A payment for corrective action shall not be paid from 23
28-the Petroleum Storage Tank Trust Fund until the owner or operator has 24
29-expended seven thousand five hundred dollars ($7,500) the deductible set by 25
30-the rule of the Arkansas Pollution Control and Ecology Commission on 26
31-corrective action for the occurrence, except in cases in which the Director 27
32-of the Division of Environmental Quality is using emergency authority under § 28
33-8-7-905(e). 29
34- (B) It is the intent of the General Assembly that this 30
35-initial level of expenditure be considered the equivalent of an insurance 31
36-policy deductible. 32
37- (2) Owners or operators of underground storage tanks must 33
38-demonstrate financial responsibility for the seven-thousand-five-hundred-34
39-dollar deductible for corrective actions. 35
40- 36 As Engrossed: H3/18/25 HB1277
41-
42- 2 03-18-2025 10:42:50 JMB214
43-
44-
45- SECTION 2. Arkansas Code § 8 -7-907(d), concerning payments for 1
46-corrective action regarding petroleum storage tanks, is amended to read as 2
47-follows: 3
48- (d)(1)(A) Payment for corrective action may be denied if the storage 4
49-tank owner or operator fails to report a release as required by rule 5
50-promulgated by the Arkansas Pollution Control and Ecology Commission, and the 6
51-failure to report the release causes a delay in the corrective action that 7
52-contributes to an adverse impact to the environment. The amount of the 8
53-deductible incurred by the owner or operator before the owner or operator is 9
54-eligible to receive payment for corrective action shall be established by 10
55-rule by the division with the advice and input of the Advisory Committee on 11
56-Petroleum Storage Tanks. 12
57- (B) However, the amount of the deductible shall not be 13
58-greater than thirty thousand dollars ($30,000). 14
59- (2)(A) The Arkansas Pollution Control and Ecology Commission, 15
60-with the advice and input of the Advisory Committee on Petroleum Storage 16
61-Tanks, shall provide through rule a deductible that is more than seven 17
62-thousand five hundred dollars ($7,500) but does not exceed thirty thousand 18
63-dollars ($30,000) for violations of rules of the division as identified at 19
64-the time of the request for payment for corrective action. 20
65- (B) The rule may differentiate the variation of the 21
66-deductible based on the provision or section of the commission rule that was 22
67-violated. 23
98+ 20
99+ 21
100+ 22
101+ 23
68102 24
69-/s/Gramlich 25
103+ 25
70104 26
71105 27
72-APPROVED: 4/16/25 28
106+ 28
73107 29
74108 30
75109 31
76110 32
77111 33
78112 34
79113 35
80114 36