Illinois Administrative Code › Title 35 - ENVIRONMENTAL PROTECTION › Part 724 - STANDARDS FOR OWNERS AND OPERATORS OF HAZARDOUS WASTE TREATMENT, STORAGE, AND DISPOSAL FACILITIES › Subpart H - FINANCIAL REQUIREMENTS › Section 724.245 - Financial Assurance for Post-Closure Care

Current through Register Vol. 48, No. 28, July 12, 2024
An owner or operator of a hazardous waste management unit
				  subject to the requirements of Section
				  724.244
				  must establish financial assurance for post-closure care in accordance with the
				  approved post-closure plan for the facility 60 days prior to the initial
				  receipt of hazardous waste or the effective date of the regulation, whichever
				  is later. The owner or operator must choose from among the following
				  options:
a) Post-Closure Trust Fund
1) An owner or operator may satisfy the
				requirements of this Section by establishing a post-closure trust fund that
				conforms to the requirements of this subsection (a) and submitting an original,
				signed duplicate of the trust agreement to the Agency. An owner or operator of
				a new facility must submit the original, signed duplicate of the trust
				agreement to the Agency at least 60 days before the date on which hazardous
				waste is first received for disposal. The trustee must be an entity that has
				the authority to act as a trustee and whose trust operations are regulated and
				examined by a federal or State agency.
2) The wording of the trust agreement must be
				that specified in Section
				724.251
				and the trust agreement accompanied by a formal certification of acknowledgment
				(as specified in Section 724.251). Schedule A of the trust agreement must be
				updated within 60 days after a change in the amount of the current post-closure
				cost estimate covered by the agreement.
3) Payments into the trust fund must be made
				annually by the owner or operator over the term of the initial RCRA permit or
				over the remaining operating life of the facility as estimated in the closure
				plan, whichever period is shorter; this period is hereafter referred to as the
				"pay-in period". The payments into the post-closure trust fund must be made as
				follows:
A) For a new facility, the first
				payment must be made before the initial receipt of hazardous waste for
				disposal. A receipt from the trustee for this payment must be submitted by the
				owner or operator to the Agency before this initial receipt of hazardous waste.
				The first payment must be at least equal to the current post-closure cost
				estimate, except as provided in subsection (g), divided by the number of years
				in the pay-in period. Subsequent payments must be made no later than 30 days
				after each anniversary date of the first payment. The amount of each subsequent
				payment must be determined by the following formula:
Next Payment =
Click here to view
				  image
Where:
CE
=
the current closure cost estimate
CV
=
the current value of the trust fund
Y
=
the number of years remaining in the pay-in
							 period
B) If
				an owner or operator establishes a trust fund, as specified in 35 Ill. Adm.
				Code
				725.245(a),
				and the value of that trust fund is less than the current post-closure cost
				estimate when a permit is awarded for the facility, the amount of the current
				post-closure cost estimate still to be paid into the trust fund must be paid in
				over the pay-in period as defined in subsection (a)(3). Payments must continue
				to be made no later than 30 days after each anniversary date of the first
				payment made pursuant to 35 Ill. Adm. Code 725. The amount of each payment must
				be determined by the following formula:
Next Payment =
Click here to view
				  image
Where:
CE
=
the current closure cost estimate
CV
=
the current value of the trust fund
Y
=
the number of years remaining in the pay-in
							 period
4) The owner or operator may accelerate
				payments into the trust fund or may deposit the full amount of the current
				post-closure cost estimate at the time the fund is established. However, the
				owner or operator must maintain the value of the fund at no less than the value
				that the fund would have if annual payments were made as specified in
				subsection (a)(3).
5) If the owner
				or operator establishes a post-closure trust fund after having used one or more
				alternative mechanisms specified in this Section or in 35 Ill. Adm. Code
				725.245, its first payment must be in at least the amount that the fund would
				contain if the trust fund were established initially and annual payments made
				according to specifications of this subsection (a) and 35 Ill. Adm. Code
				725.245, as applicable.
6) After
				the pay-in period is completed, whenever the current post-closure cost estimate
				changes during the operating life of the facility, the owner or operator must
				compare the new estimate with the trustee's most recent annual valuation of the
				trust fund. If the value of the fund is less than the amount of the new
				estimate, the owner or operator, within 60 days after the change in the cost
				estimate, must either deposit an amount into the fund so that its value after
				this deposit at least equals the amount of the current post-closure cost
				estimate, or obtain other financial assurance, as specified in this Section, to
				cover the difference.
7) During the
				operating life of the facility, if the value of the trust fund is greater than
				the total amount of the current post-closure cost estimate, the owner or
				operator may submit a written request to the Agency for release of the amount
				in excess of the current post-closure cost estimate.
8) If an owner or operator substitutes other
				financial assurance as specified in this Section for all or part of the trust
				fund, it may submit a written request to the Agency for release of the amount
				in excess of the current post-closure cost estimate covered by the trust
				fund.
9) Within 60 days after
				receiving a request from the owner or operator for release of funds, as
				specified in subsection (a)(7) or (a)(8), the Agency must instruct the trustee
				to release to the owner or operator such funds as the Agency specifies in
				writing.
10) During the period of
				post-closure care, the Agency must approve a release of funds if the owner or
				operator demonstrates to the Agency that the value of the trust fund exceeds
				the remaining cost of post-closure care.
11) An owner or operator or any other person
				authorized to perform post-closure care may request reimbursement for
				post-closure care expenditures by submitting itemized bills to the Agency.
				Within 60 days after receiving bills for post-closure activities, the Agency
				must instruct the trustee to make requirements in those amounts that the Agency
				specifies in writing if the Agency determines that the post-closure care
				expenditures are in accordance with the approved post-closure plan or otherwise
				justified. If the Agency does not instruct the trustee to make such
				reimbursements, the Agency must provide the owner or operator with a detailed
				written statement of reasons.
12)
				The Agency must agree to termination of the trust when either of the following
				occurs:
A) An owner or operator substitutes
				alternative financial assurance, as specified in this Section; or
B) The Agency releases the owner or operator
				from the requirements of this Section in accordance with subsection
				(i).