Washington State Pollution Liability Insurance Agency - Commercial Underground Storage Tank Community Assistance Program

Financial Responsibility

Reinsurance

Community Assistance

Community Assistance Program

In 1991 the Washington State Legislature responded to a serious dilemma facing many rural communities; the communities had a single source, or perhaps two, of petroleum. Emergency vehicles, school buses and similar services depended greatly on these one or two sources. These rural gas stations, however, did not generate the profit necessary to upgrade or replace the UST system as required by federal and state law. In response to this problem, PLIA was directed to establish the UST Community Assistance Program (USTCAP).

USTCAP provided grants for the upgrade or replacement of USTs at remote and rural gas stations. The eligibility criteria established by the Legislature were: that the station was rural and remote; that the owner demonstrate serious financial hardship; and that a local government entity certify that the continued operation of the station was vital to the community for public safety, education, or health reasons. Rural and remote was defined as there being no more than one other retail source of petroleum located within five miles. Financial hardship was evaluated by a thorough review of the financial records of the business by an independent small business financial analyst.

Each grant was limited to $150,000 of which no more than $75,000 could be spent on remediation of contamination. A total of 112 grants were awarded to privately owned businesses and to local government entities; 99 of the grants were awarded to rural gas stations or convenience stores with gasoline sales.

Construction on the grant sites was completed in 1995. Even though new grants are not being awarded, PLIA is responsible for the ongoing oversite of the grant sites.

For the privately owned businesses receiving grants, a 15-year real property lien was placed on the business to ensure compliance with service requirements. If, after 15 years, the grantee has maintained compliance with the grant agreement, the Deed of Trust, held by PLIA, will be reconveyed to the grantee.

Statutory authority for this program is contained in RCW 70.148.120 and WAC 374-60-10.

The PLIA quarterly report form for Grant Recipients is included for your convenience. To open this file free Acrobat Reader is required.