Hawaii Administrative Rules › Title 11 - DEPARTMENT OF HEALTH › Subtitle 1 - GENERAL DEPARTMENTAL PROVISIONS › Chapter 261.1 - HAZARDOUS WASTE MANAGEMENT: IDENTIFICATION AND LISTING OF HAZARDOUS WASTE › Part 261 - IDENTIFICATION AND LISTING OF HAZARDOUS WASTE › Subpart H - Financial Requirements for Management of Excluded Hazardous Secondary Materials › Section 11-261.143 - Financial assurance condition

Current through June, 2024
Per § 261.4(a)(24)(vi)(F) of this chapter, an owner
						or operator of a reclamation or intermediate facility must have financial
						assurance as a condition of the exclusion as required under § 261.4(a)(24)
						of this chapter. He must choose from the options as specified in paragraphs (a)
						through (e) of this section.
(a) Trust
					 fund.
(1) An owner or operator may satisfy the
					 requirements of this section by establishing a trust fund which conforms to the
					 requirements of this paragraph and submitting an originally signed duplicate of
					 the trust agreement to the director. The trustee must be an entity which 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 identical to the wording specified in § 261.151(a)(1), and the trust
					 agreement must be accompanied by a formal certification of acknowledgment (for
					 example, see § 261.151(a)(2)). Schedule A of the trust agreement must be
					 updated within 60 days after a change in the amount of the current cost
					 estimate covered by the agreement.
(3) The trust fund must be funded for the
					 full amount of the current cost estimate before it may be relied upon to
					 satisfy the requirements of this section.
(4) Whenever the current cost estimate
					 changes, 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 cost estimate, or obtain other financial assurance as specified in this
					 section to cover the difference.
(5) If the value of the trust fund is greater
					 than the total amount of the current cost estimate, the owner or operator may
					 submit a written request to the director for release of the amount in excess of
					 the current cost estimate.
(6) If
					 an owner or operator substitutes other financial assurance as specified in this
					 section for all or part of the trust fund, he may submit a written request to
					 the director for release of the amount in excess of the current cost estimate
					 covered by the trust fund.
(7)
					 Within 60 days after receiving a request from the owner or operator for release
					 of funds as specified in paragraph (a) (5) or (6) of this section, the director
					 will instruct the trustee to release to the owner or operator such funds as the
					 director specifies in writing. If the owner or operator begins final closure
					 under subpart G of 40 CFR part 264 or 265 , an owner or operator may request
					 reimbursements for partial or final closure expenditures by submitting itemized
					 bills to the director. The owner or operator may request reimbursements for
					 partial closure only if sufficient funds are remaining in the trust fund to
					 cover the maximum costs of closing the facility over its remaining operating
					 life. No later than 60 days after receiving bills for partial or final closure
					 activities, the director will instruct the trustee to make reimbursements in
					 those amounts as the director specifies in writing, if the director determines
					 that the partial or final closure expenditures are in accordance with the
					 approved closure plan, or otherwise justified. If the director has reason to
					 believe that the maximum cost of closure over the remaining life of the
					 facility will be significantly greater than the value of the trust fund, he may
					 withhold reimbursements of such amounts as he deems prudent until he
					 determines, in accordance with § 265.143(i) that the owner or operator is
					 no longer required to maintain financial assurance for final closure of the
					 facility. If the director does not instruct the trustee to make such
					 reimbursements, he will provide to the owner or operator a detailed written
					 statement of reasons.
(8) The
					 director will agree to termination of the trust when:
(i) An owner or operator substitutes
					 alternate financial assurance as specified in this section; or
(ii) The director releases the owner or
					 operator from the requirements of this section in accordance with paragraph (i)
					 of this section.