Louisiana Administrative Code › Title 33 - ENVIRONMENTAL QUALITY › Part VII - Solid Waste › Subpart 1 - Solid Waste Regulations › Chapter 13 - Financial Assurance for All Processors and Disposers of Solid Waste › Section VII-1303 - Financial Responsibility for Closure and Post-Closure Care

Current through Register Vol. 50, No. 6, June 20, 2024
A. Financial
				  Responsibility for Type I, I-A, II, II-A, and III Facilities. Permit holders or
				  applicants of Type I, I-A, II, II-A, and III facilities have the following
				  financial responsibilities for closure and post-closure care.
1. Permit holders or applicants for
				  processing or disposal facilities shall establish and maintain financial
				  assurance for closure and post-closure care.
2. Permit holders of existing facilities
				  shall submit financial assurance documentation that complies with the
				  requirements of this Chapter. Applicants or permit holders for new facilities
				  shall submit evidence of financial assurance in accordance with this Chapter at
				  least 60 days before the date on which solid waste is first received for
				  processing or disposal. The financial assurance documentation shall be approved
				  by the administrative authority prior to any acceptance of waste.
3. The applicant or permit holder shall
				  submit to the Office of Environmental Services the estimated closure date and
				  the estimated cost of closure and post-closure care in accordance with the
				  following procedures.
a. The applicant or
				  permit holder must have a detailed written estimate, in current dollars, of the
				  cost of closing the facility in accordance with the requirements in these
				  regulations. The estimate must equal the cost of closure at the point in the
				  facility's operating life when the extent and manner of its operation would
				  make closure the most expensive, as indicated by the closure plan, and shall be
				  based on the cost of hiring a third party to close the facility in accordance
				  with the closure plan.
b. The
				  applicant or permit holder of a facility subject to post-closure monitoring or
				  maintenance requirements must have a detailed written estimate, in current
				  dollars, of the annual cost of post-closure monitoring and maintenance of the
				  facility in accordance with the provisions of these regulations. The estimate
				  of post-closure costs is calculated by multiplying the annual post-closure cost
				  estimate by the number of years of post-closure care required and shall be
				  based on the cost of hiring a third party to conduct post-closure activities in
				  accordance with the closure plan and the most expensive costs of post-closure
				  care during the post-closure care period.
c. The cost estimates must be adjusted within
				  30 days after each anniversary of the date on which the first cost estimate was
				  prepared on the basis of either the inflation factor derived from the Annual
				  Implicit Price Deflator for Gross Domestic Product, as published by the U.S.
				  Department of Commerce in its
Survey of Current Business
or a
				  reestimation of the closure and post-closure costs in accordance with
				  Subparagraphs A.2.a and b of this Section. The permit holder or applicant must
				  revise the cost estimate whenever a change in the closure/post-closure plans
				  increases or decreases the cost of the closure/post-closure plans. The permit
				  holder or applicant must submit a written notice of any such adjustment to the
				  Office of Environmental Services within 15 days following such
				  adjustment.
d. For trust funds, the
				  first payment must be at least equal to the current closure and post-closure
				  cost estimate, divided by the number of years in the pay-in period. Subsequent
				  payments must be made no later than 30 days after each annual anniversary of
				  the date of the first payment. The amount of each subsequent payment must be
				  determined by subtracting the current value of the trust fund from the current
				  closure and post-closure cost estimates and dividing the result by the number
				  of years remaining in the pay-in period. For landfill facilities, the initial
				  pay-in period is based on the estimated life of the facility, up to 20 years,
				  unless a longer term is specified in the permit. For all other facilities, the
				  pay-in period is the initial term of the permit, unless a longer term is
				  specified in the permit. Applicants requesting a longer pay-in period shall
				  justify the need for the longer term to the administrative authority.
4. Minor deviations from specified
				  language contained in the appendices of LAC 33:VII.1399 may be approved by the
				  administrative authority on a case-by-case basis if the administrative
				  authority determines that the revised language remains equivalent to or more
				  stringent than the language specified in the specific appendix. The applicant
				  shall show a specific need for the change and all changes shall be approved by
				  the administrative authority before the document can be used to meet the
				  requirements of this Chapter.
5.
				  The permit holder or applicant shall notify the Office of Environmental
				  Services within 30 days of first becoming aware of a reduction in a bond rating
				  when using the financial test allowed by LAC 33:VII.1303.H or I.