Senate File 2414 - Introduced SENATE FILE 2414 BY COMMITTEE ON APPROPRIATIONS (SUCCESSOR TO SF 2327) (SUCCESSOR TO SSB 3177) A BILL FOR An Act relating to underground storage tanks, including 1 repealing the Iowa comprehensive petroleum underground 2 storage tank fund and eliminating the Iowa comprehensive 3 petroleum underground storage tank fund board, making 4 appropriations, and including effective date and transition 5 provisions. 6 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 7 TLSB 6274SZ (4) 90 lh/js

S.F. 2414 DIVISION I 1 STORAGE TANK MANAGEMENT ACCOUNT 2 Section 1. Section 455B.471, subsections 1 and 3, Code 2024, 3 are amended by striking the subsections. 4 Sec. 2. Section 455B.471, Code 2024, is amended by adding 5 the following new subsections: 6 NEW SUBSECTION . 1A. “Account” means the storage tank 7 management account created in the groundwater protection fund 8 created in section 455E.11. 9 NEW SUBSECTION . 1B. “Claimant” means an owner or operator 10 who has received assistance under the account or the Iowa 11 comprehensive petroleum underground storage tank fund created 12 in section 455G.3, Code 2024. 13 NEW SUBSECTION . 1C. “Community remediation” means a 14 curriculum of coordinated testing, planning, or remediation 15 involving two or more tank sites potentially connected with a 16 continuous contaminated area, pursuant to rules adopted by the 17 commission under section 455B.474. A community remediation 18 does not expand the scope of coverage otherwise available or 19 relieve liability otherwise imposed under state or federal law. 20 NEW SUBSECTION . 2A. “Costs” means all costs, charges, 21 expenses, or other indebtedness incurred by a claimant that 22 are determined by the department to be reasonable for carrying 23 out all works and undertakings necessary or incidental to the 24 accomplishment of any project. “Costs” includes reasonable 25 attorney fees and costs of litigation for which moneys are 26 expended from the account in connection with a release. 27 NEW SUBSECTION . 3A. “Insurance” means any form of financial 28 assistance or showing of financial responsibility sufficient 29 to comply with the federal Resource Conservation and Recovery 30 Act, 42 U.S.C. §6901 et seq., or the department’s underground 31 storage tank financial responsibility rules. 32 NEW SUBSECTION . 7A. “Potentially responsible party” means a 33 person who may be responsible or liable for a release for which 34 payments from the account were made for corrective action or 35 -1- LSB 6274SZ (4) 90 lh/js 1/ 15

S.F. 2414 third-party liability. 1 NEW SUBSECTION . 7B. “Program” means the storage tank 2 management account financing program created pursuant to 3 section 455B.472A. 4 NEW SUBSECTION . 10A. “Third-party liability” means any of 5 the following: 6 a. Property damage including physical injury to tangible 7 property, but not including loss of use. Property damage does 8 not include costs to remediate. 9 b. Bodily injury including sickness, physical injury, or 10 death. 11 Sec. 3. NEW SECTION . 455B.472A Storage tank management 12 account financing program. 13 1. The department shall establish and administer a storage 14 tank management account financing program for the purpose of 15 reimbursing eligible claimants for all or part of the costs of 16 corrective action for petroleum releases previously eligible 17 for payment from the Iowa comprehensive petroleum underground 18 storage tank fund pursuant to chapter 455G, Code 2024. 19 2. The department shall distribute financial assistance, up 20 to one million dollars total, for work conducted by eligible 21 entities that comply with the requirements of the program. The 22 department shall determine if work completed is eligible for 23 reimbursement under the program. 24 3. The department may enter into any agreements and provide 25 any documents, instruments, certificates, data, or information 26 necessary in connection with the operation, administration, 27 and financing of the program consistent with this part 8 of 28 subchapter IV, the federal Resource Conservation and Recovery 29 Act, 42 U.S.C. §6901 et seq., the rules of the commission, and 30 other applicable federal and state law. 31 4. The department may act to conform the program to the 32 applicable guidance and regulations adopted by the United 33 States environmental protection agency. 34 5. The department shall administer the moneys in the account 35 -2- LSB 6274SZ (4) 90 lh/js 2/ 15

S.F. 2414 transferred pursuant to this Act to carry out the purposes 1 of the program and shall manage the revenue, administration, 2 restrictions, and disposition of the moneys in the account 3 transferred pursuant to this Act. 4 6. Moneys in the account transferred pursuant to this Act 5 are appropriated to the department for the purposes set forth 6 in section 455E.11, subsection 2, paragraph “d” , subparagraph 7 (1A). 8 7. Payments for reimbursement or other costs relating to any 9 claim or cause of action in connection with a tank not owned or 10 operated by the state or an agency of the state shall be made 11 solely from the account and no liability is otherwise imposed 12 upon the state. Moneys from the account transferred pursuant 13 to this Act are limited to the extent of coverage provided by 14 the provisions set forth in section 455E.11, subsection 2, 15 paragraph “d” , subparagraph (1A). A court, an administrative 16 law judge, the department, or the commission shall not order or 17 approve a remedy that would require the account to exceed the 18 account’s then current funding limitations to satisfy an award 19 or that would restrict the availability of moneys for higher 20 priority sites. The state is not otherwise liable for a claim 21 related to the account and moneys from the general fund shall 22 not be used to pay for reimbursement or other costs relating 23 to any claim or cause of action in connection with a tank not 24 owned or operated by the state or an agency of the state. 25 Sec. 4. NEW SECTION . 455B.472B Cost recovery enforcement. 26 1. Full recovery sought by department. The department 27 may seek full recovery from an owner, operator, or other 28 potentially responsible party liable for a release that is 29 the subject of a corrective action for which moneys from 30 the account are expended, or for which moneys from the Iowa 31 comprehensive petroleum underground storage tank fund created 32 in section 455G.3, Code 2024, were expended, including for 33 third-party liability and for all other costs. If federal 34 cleanup moneys are recovered, the federal cleanup moneys shall 35 -3- LSB 6274SZ (4) 90 lh/js 3/ 15

S.F. 2414 be used solely for the purpose of future cleanup activities. 1 2. Limitation of liability of owner or operator. Except 2 as provided in subsection 3, the department shall not seek 3 recovery for expenses in connection with corrective action for 4 a release from an owner or operator eligible for assistance 5 under the program, except for any unpaid portion of the 6 deductible or copayment. This subsection does not affect any 7 authorization of the department to impose or collect civil or 8 administrative fines, penalties, or fees. Moneys from the 9 account shall not be used to pay for any third-party liability. 10 3. Owner or operator not in compliance. Notwithstanding 11 subsection 2, the liability of an owner or operator shall be 12 the full and total costs of corrective action and bodily injury 13 or property damage to third parties, as specified in subsection 14 1, if the owner or operator has not complied with the financial 15 responsibility or other underground storage tank rules of 16 the department or with this part 8 of subchapter IV or rules 17 adopted under this part. 18 4. Lien on tank site. Any amount for which an owner or 19 operator is required to pay to the account by statute, rule, 20 contract, or determination of liability by the department after 21 hearing, if not paid when due, shall constitute a lien upon the 22 real property where the tank that was the subject of corrective 23 action is located, and the payment shall be collected in the 24 same manner as the environmental protection charge pursuant to 25 section 424.11, Code 2016. 26 5. Joinder of parties. The department has standing in 27 any case or contested action related to the account or a tank 28 to assert any claim that the department may have regarding 29 the tank at issue in the case or contested action. Upon 30 motion and sufficient showing by a party to a cost recovery or 31 subrogation action provided for under this section, the court 32 or the administrative law judge shall join to the action any 33 potentially responsible party who may be liable for costs and 34 expenditures of the type recoverable pursuant to this section. 35 -4- LSB 6274SZ (4) 90 lh/js 4/ 15

S.F. 2414 6. Third-party contracts. An insurance, indemnification, 1 hold-harmless, conveyance, or similar risk-sharing or 2 risk-shifting agreement shall not be effective to transfer 3 any liability for costs recoverable under this section. The 4 department may proceed directly against the owner, operator, 5 or other potentially responsible party. This subsection does 6 not bar any agreement to insure, hold harmless, or indemnify 7 a party to the agreement for any costs or expenditures under 8 this part 8 of subchapter IV, and does not modify rights 9 between the parties to an agreement, except to the extent the 10 agreement shifts liability to an owner or operator eligible 11 for assistance under the program for any damages or other 12 costs in connection with a corrective action for which another 13 potentially responsible party is or may be liable. Any such 14 provision is void and of no further force and effect. 15 7. Later proceedings permitted against other parties. The 16 entry of judgment against a party to the action does not bar 17 a future action by the department against another person who 18 is later alleged to be or discovered to be liable for costs 19 and expenditures paid from the account. Notwithstanding 20 section 668.5, a potentially responsible party shall not seek 21 contribution or any other recovery from an owner or operator 22 eligible for assistance under the program for damages or other 23 costs in connection with corrective action for a release for 24 which the potentially responsible party is or may be liable. 25 Subsequent successful proceedings against another party shall 26 not modify or reduce the liability of a party against whom 27 judgment has been previously entered. 28 8. Claims against potentially responsible parties. 29 a. Upon payment from the account for corrective action or 30 third-party liability pursuant to this part 8 of subchapter 31 IV, the rights of the claimant to recover payment from any 32 potentially responsible party are assumed by the department to 33 the extent paid from the account. A claimant shall not receive 34 double compensation for the same injury. 35 -5- LSB 6274SZ (4) 90 lh/js 5/ 15

S.F. 2414 b. In an action brought pursuant to this part 8 of 1 subchapter IV seeking damages for corrective action or 2 third-party liability, the court shall allow evidence and 3 argument as to the replacement or indemnification of actual 4 economic losses incurred or to be incurred in the future by the 5 claimant by reason of insurance benefits, governmental benefits 6 or programs, or other sources. 7 c. A claimant may elect to authorize the department 8 to pursue the claimant’s cause of action for any injury 9 not compensated from the fund against any potentially 10 responsible party, provided the attorney general determines 11 such representation would not be a conflict of interest. If 12 a claimant so elects, the department’s litigation expenses 13 shall be shared on a pro rata basis with the claimant, but the 14 claimant’s share of litigation expenses is payable exclusively 15 from any share of the settlement or judgment payable to the 16 claimant. 17 9. Exclusion of punitive damages. Moneys from the account 18 shall not be used to pay punitive damages. 19 Sec. 5. NEW SECTION . 455B.472C Discretionary rulemaking. 20 1. The commission may adopt rules pursuant to chapter 17A 21 conditioning receipt of moneys from the account transferred 22 pursuant to this Act to those petroleum-contaminated properties 23 that present a higher degree of risk to the public health and 24 safety or the environment and providing for denial of moneys 25 from the account transferred pursuant to this Act to a person 26 who did not make a good-faith attempt to comply with this part 27 8 of subchapter IV. This subsection does not confer a legal 28 right to an owner of a petroleum-contaminated property, or an 29 owner or operator of an underground storage tank located on the 30 property, for receipt of moneys under this part 8 of subchapter 31 IV. 32 2. The commission may adopt rules pursuant to chapter 33 17A providing for the transfer of all or a portion of the 34 liabilities relating to the account. Notwithstanding any other 35 -6- LSB 6274SZ (4) 90 lh/js 6/ 15

S.F. 2414 provision to the contrary, the department, upon such transfer, 1 shall not maintain any duty to reimburse claimants for those 2 liabilities transferred. 3 Sec. 6. Section 455B.474, subsection 1, paragraph a, 4 subparagraph (6), subparagraph divisions (g), (i), and (j), 5 Code 2024, are amended to read as follows: 6 (g) An owner or operator may elect to proceed with 7 additional corrective action on the site. However, any 8 action taken in addition to that required pursuant to this 9 subparagraph (6) , shall be solely at the expense of the owner 10 or operator and shall not be considered corrective action 11 for purposes of section 455G.9 455B.472A , unless otherwise 12 previously agreed to by the board department and the owner or 13 operator pursuant to section 455G.9, subsection 7 455B.472A . 14 Corrective action taken by an owner or operator due to the 15 department’s failure to meet the time requirements provided in 16 subparagraph division (e) shall be considered corrective action 17 for purposes of section 455G.9 455B.472A . 18 (i) Replacement or upgrade of a tank on a site classified 19 as a high or low risk site shall be equipped with a secondary 20 containment system with monitoring of the space between the 21 primary and secondary containment structures or other board 22 approved tank system or methodology approved by the department . 23 (j) The commission and the board department shall cooperate 24 to ensure that remedial measures required by the corrective 25 action rules adopted pursuant to this subparagraph (6) are 26 reasonably cost-effective and shall, to the fullest extent 27 possible, avoid duplicating and conflicting requirements. 28 Sec. 7. Section 455B.474, subsection 2, unnumbered 29 paragraph 1, Code 2024, is amended to read as follows: 30 The maintenance of evidence of financial responsibility as 31 the director determines to be feasible and necessary for taking 32 corrective action and for compensating third parties for bodily 33 injury and property damage caused by release of a regulated 34 substance from an underground storage a tank. 35 -7- LSB 6274SZ (4) 90 lh/js 7/ 15

S.F. 2414 Sec. 8. Section 455B.474, subsection 9, paragraph d, Code 1 2024, is amended to read as follows: 2 d. The certification of groundwater professionals shall 3 not impose liability on the board, the department , or the 4 fund account for any claim or cause of action of any nature, 5 based on the action or inaction of a groundwater professional 6 certified pursuant to this subsection . 7 Sec. 9. Section 455B.474, Code 2024, is amended by adding 8 the following new subsection: 9 NEW SUBSECTION . 11. Department practices and procedures 10 for implementing and administering the storage tank management 11 account financing program. The rules shall include but 12 are not limited to requirements for program eligibility, 13 investigating and settling claims made against the account, 14 appeal procedures, community remediation, prioritization of 15 account moneys, funding for tank operator training, additional 16 assessment and corrective action arising out of releases at 17 sites for which a certificate of no further action has been 18 issued, and reimbursement for the permanent closure of an 19 underground storage tank system. 20 Sec. 10. Section 455B.477, subsection 7, Code 2024, is 21 amended to read as follows: 22 7. The civil penalties or other damages or moneys recovered 23 by the state or the petroleum underground storage tank fund in 24 connection with a petroleum underground storage tank under this 25 part 8 of subchapter IV or chapter 455G shall be credited to 26 the fund created in section 455G.3 and allocated between fund 27 accounts according to the fund budget. Any federal moneys, 28 including but not limited to federal underground storage tank 29 trust fund moneys, received by the state or the department of 30 natural resources in connection with a release occurring on 31 or after May 5, 1989, or received generally for underground 32 storage tank programs on or after May 5, 1989, shall be 33 credited to the fund account created in section 455G.3 and 34 allocated between fund accounts according to the fund budget 35 -8- LSB 6274SZ (4) 90 lh/js 8/ 15

S.F. 2414 455E.11, subsection 2, paragraph “d” , unless such use would 1 be contrary to federal law. The department shall cooperate 2 with the board of the Iowa comprehensive petroleum underground 3 storage tank fund to maximize the state’s eligibility for and 4 receipt of federal funds for underground storage tank related 5 purposes. 6 Sec. 11. Section 455E.11, subsection 2, paragraph d, 7 unnumbered paragraph 1, Code 2024, is amended to read as 8 follows: 9 A storage tank management account. All The account shall 10 consist of moneys appropriated to, transferred to, or deposited 11 in the account, including fees collected pursuant to section 12 455B.473, subsection 5 , section 455B.477, subsection 7, and 13 section 455B.479 , shall be deposited in the storage tank 14 management account . Moneys deposited in the account shall be 15 expended for all of the following purposes: 16 Sec. 12. Section 455E.11, subsection 2, paragraph d, Code 17 2024, is amended by adding the following new subparagraph: 18 NEW SUBPARAGRAPH . (1A) Moneys transferred under this Act to 19 the account are appropriated for the following purposes until 20 such moneys are fully expended: 21 (a) For reimbursement to tank owners or operators for all 22 or part of the costs of a corrective action for a petroleum 23 release. 24 (b) For the annual appropriation to the department 25 of agriculture and land stewardship in the amount of two 26 hundred fifty thousand dollars for the purpose of inspecting 27 fuel quality at pipeline terminals and renewable fuel 28 production facilities, including associated salaries, support, 29 maintenance, and miscellaneous purposes. 30 (c) For permanent closure of an underground storage tank 31 system under a remedial program pursuant to chapter 455B, 32 subchapter IV, part 8, for additional assessment and corrective 33 action arising out of releases at sites for which a certificate 34 of no further action has been issued, and for tank operator 35 -9- LSB 6274SZ (4) 90 lh/js 9/ 15

S.F. 2414 training. At least three million dollars of the total moneys 1 expended pursuant to this subparagraph shall be expended for 2 this purpose, but not more than fifty thousand dollars shall be 3 utilized for operator training each fiscal year. 4 Sec. 13. Section 455E.11, subsection 2, paragraph d, 5 subparagraph (2), Code 2024, is amended to read as follows: 6 (2) The moneys remaining in the account after the 7 appropriation appropriations in subparagraph subparagraphs (1) 8 and (1A) are appropriated from the storage tank management 9 account to the department of natural resources for the 10 administration of a state storage tank program pursuant to 11 chapter 455B, subchapter IV, part 8 , and for programs which 12 that reduce the potential for harm to the environment and the 13 public health from storage tanks. 14 Sec. 14. REPEAL. Sections 455G.1, 455G.2, 455G.2A, 455G.3, 15 455G.4, 455G.5, 455G.6, 455G.7, 455G.8, 455G.9, 455G.12, 16 455G.12A, 455G.13, 455G.14, 455G.15, 455G.16, 455G.20, and 17 455G.21, Code 2024, are repealed. 18 DIVISION II 19 CONFORMING CHANGES 20 Sec. 15. Section 68B.35, subsection 2, paragraph e, Code 21 2024, is amended to read as follows: 22 e. Members of the state banking council, the Iowa ethics and 23 campaign disclosure board, the credit union review board, the 24 economic development authority, the employment appeal board, 25 the environmental protection commission, the health facilities 26 council, the Iowa finance authority, the Iowa public employees’ 27 retirement system investment board, the Iowa lottery board 28 created in section 99G.8 , the natural resource commission, 29 the board of parole, the petroleum underground storage tank 30 fund board, the public employment relations board, the state 31 racing and gaming commission, the state board of regents, the 32 transportation commission, the office of consumer advocate, the 33 utilities board, the Iowa telecommunications and technology 34 commission, and any full-time members of other boards and 35 -10- LSB 6274SZ (4) 90 lh/js 10/ 15

S.F. 2414 commissions as defined under section 7E.4 who receive an annual 1 salary for their service on the board or commission. The Iowa 2 ethics and campaign disclosure board shall conduct an annual 3 review to determine if members of any other board, commission, 4 or authority should file a statement and shall require the 5 filing of a statement pursuant to rules adopted pursuant to 6 chapter 17A . 7 Sec. 16. Section 323.1, subsection 16, Code 2024, is amended 8 to read as follows: 9 16. “Storage tank” means a motor fuel storage tank as 10 defined in section 214.1 , including an underground storage 11 tank subject to regulation under chapter 455G 455B, subchapter 12 IV, part 8, section 455E.11, subsection 2, paragraph “d” , 13 subparagraph (1A), or section 455G.31 . 14 Sec. 17. Section 422.7, subsection 2, paragraph u, Code 15 2024, is amended by striking the paragraph. 16 Sec. 18. Section 455B.174, subsection 4, paragraph d, Code 17 2024, is amended to read as follows: 18 d. If a public water supply has a groundwater source 19 that contains petroleum, a fraction of crude oil, or their 20 degradation products, or is located in an area deemed by the 21 department as likely to be contaminated by such materials, and 22 after consultation with the public water supply system and 23 consideration of all applicable rules relating to remediation, 24 the department may require the public water supply system to 25 replace that groundwater source in order to receive a permit 26 to operate. The requirement to replace the source shall only 27 be made by the department if the public water supply system 28 is fully compensated for any additional design, construction, 29 operation, and monitoring costs from the Iowa comprehensive 30 petroleum underground storage tank fund created by chapter 31 455G or from any other funds that do not impose a financial 32 obligation on the part of the public water supply system. 33 Funds available to or provided by the public water supply 34 system may be used for system improvements made in conjunction 35 -11- LSB 6274SZ (4) 90 lh/js 11/ 15

S.F. 2414 with replacement of the source. The department cannot require 1 a public water supply system to replace its water source with a 2 less reliable water source or with a source that does not meet 3 federal primary, secondary, or other health-based standards 4 unless treatment is provided to ensure that the drinking water 5 meets these standards. Nothing in this paragraph shall affect 6 the public water supply system’s right to pursue recovery from 7 a responsible party. 8 Sec. 19. Section 455E.11, subsection 2, paragraph d, 9 subparagraph (3), Code 2024, is amended by striking the 10 subparagraph. 11 Sec. 20. Section 455I.2, subsection 5, paragraph a, Code 12 2024, is amended to read as follows: 13 a. A federal or state program that is subject to the 14 jurisdiction of an agency, including but not limited to 15 programs established by chapters 455B and 455G 455E , corrective 16 or response actions pursuant to 42 U.S.C. §6901 et seq., and 17 remedial actions under 42 U.S.C. §9601 et seq. 18 Sec. 21. REPEAL. Sections 427B.20, 427B.21, and 427B.22, 19 Code 2024, are repealed. 20 DIVISION III 21 TRANSITION PROVISIONS 22 Sec. 22. TRANSITION PROVISIONS. 23 1. Upon repeal of sections 455G.1, 455G.2, 455G.2A, 455G.3, 24 455G.4, 455G.5, 455G.6 455G.7, 455G.8, 455G.9, 455G.12, 25 455G.12A, 455G.13, 455G.14, 455G.15, 455G.16, 455G.20, 26 and 455G.21, pursuant to this Act, all moneys in all funds 27 administered by the Iowa comprehensive petroleum underground 28 storage tank fund board are transferred to the treasurer of 29 state for deposit in the storage tank management account 30 created in the groundwater protection fund created in section 31 455E.11. Any moneys credited to any fund administered by 32 the Iowa comprehensive petroleum underground storage tank 33 fund board on and after the effective date of this Act are 34 transferred to the treasurer of state for deposit in the 35 -12- LSB 6274SZ (4) 90 lh/js 12/ 15

S.F. 2414 storage tank management account created in the groundwater 1 protection fund created in section 455E.11. 2 2. Any rule, regulation, form, order, or directive 3 promulgated by the Iowa comprehensive petroleum underground 4 storage tank fund board as required to administer and enforce 5 the provisions relating to the Iowa comprehensive petroleum 6 underground storage tank fund shall continue in full force 7 and effect under the jurisdiction of the department of 8 natural resources until amended, repealed, or supplemented by 9 affirmative action of the department. 10 3. The Iowa comprehensive petroleum underground storage 11 tank fund board shall administratively close or terminate 12 any remaining liabilities, contracts, outstanding claims, 13 payments, or other obligations for open comprehensive petroleum 14 underground storage tank fund claims existing on or before 15 June 30, 2024. A claim for a release filed on or after the 16 effective date of division I of this Act shall not be eligible 17 for payment from the Iowa comprehensive petroleum underground 18 storage tank fund. 19 4. The department of natural resources may begin 20 implementation of this Act prior to July 1, 2024, to the 21 extent necessary to transition to full implementation of the 22 provisions relating to the storage tank management account 23 created in the groundwater protection fund created in section 24 455E.11 and repeal of the Iowa comprehensive petroleum 25 underground storage tank fund created in section 455G.3, Code 26 2024. 27 5. All property tax credits provided under chapter 427B, 28 subchapter IV, existing upon the repeal of sections 427B.20, 29 427B.21, and 427B.22 shall continue until their expiration. 30 Sec. 23. EFFECTIVE DATE. This division of this Act, being 31 deemed of immediate importance, takes effect upon enactment. 32 EXPLANATION 33 The inclusion of this explanation does not constitute agreement with 34 the explanation’s substance by the members of the general assembly. 35 -13- LSB 6274SZ (4) 90 lh/js 13/ 15

S.F. 2414 This bill relates to the use of moneys in the storage tank 1 management account of the groundwater protection fund (GPF) 2 that are transferred from the Iowa comprehensive petroleum 3 underground storage tank fund. 4 The GPF includes four accounts related to groundwater: 5 the solid waste account, the agriculture management account, 6 the household hazardous waste account, and the storage 7 tank management account. The Iowa comprehensive petroleum 8 underground storage tank fund (CPUSTF) assists owners and 9 operators of petroleum underground storage tanks in complying 10 with federal regulations. Currently, the CPUSTF exists under 11 the control of the CPUSTF board. 12 The bill repeals the CPUSTF and eliminates the CPUSTF board. 13 The bill transfers moneys currently in the CPUSTF to the GPF 14 for deposit in the storage tank management account. The bill 15 requires the department of natural resources (department) to 16 establish and administer the storage tank management account 17 financing program to distribute financial assistance for 18 work conducted by eligible entities using moneys transferred 19 pursuant to the bill. The program allows a claimant who was 20 previously eligible for assistance from the CPUSTF to receive 21 reimbursement from the storage tank management account for 22 all or part of the costs of corrective action for a petroleum 23 release. 24 A portion of the moneys transferred pursuant to the bill are 25 appropriated to the department for the purposes of providing 26 reimbursement to tank owners for all or part of the costs of 27 a corrective action; for permanently closing an underground 28 storage tank system; assessment and corrective action arising 29 out of a release; and tank operator training. Of the moneys 30 transferred to the GPF pursuant to the bill, $250,000 per 31 year is appropriated to the department of agriculture and 32 land stewardship to inspect fuel quality at terminals and 33 facilities. 34 The bill allows for cost recovery efforts from potentially 35 -14- LSB 6274SZ (4) 90 lh/js 14/ 15

S.F. 2414 responsible parties when moneys from the storage tank 1 management account are used during the cleanup of contamination 2 at a tank site. The bill directs the environmental 3 protection commission to adopt rules for program eligibility, 4 investigating and settling claims made against the fund, 5 appeal procedures, community remediation, prioritization of 6 fund moneys, funding for tank operator training, additional 7 assessment and corrective action arising out of a release at a 8 site for which a no further action certificate has been issued, 9 and reimbursement for the permanent closure of an underground 10 storage tank system. The bill provides that claims for 11 releases filed on or after the effective date of the bill are 12 not eligible for payment from the Iowa comprehensive petroleum 13 underground storage tank fund. 14 The bill includes transition provisions retaining the 15 effectiveness of rules, regulations, forms, orders, or 16 directives promulgated by the CPUSTF board until amended, 17 repealed, or supplemented by affirmative action of the 18 department. Any moneys credited to the CPUSTF on and after the 19 effective date of the bill are transferred to the department 20 for deposit in the storage tank management account. 21 The division of the bill that includes transition provisions 22 takes effect upon enactment of the bill. 23 -15- LSB 6274SZ (4) 90 lh/js 15/ 15