Wisconsin Administrative Code › Department of Agriculture, Trade and Consumer Protection › ATCP 90-139 - Trade and Consumer Protection › Chapter ATCP 93 - Flammable, Combustible, And Hazardous Liquids › Subchapter VII - Financial Responsibility › Section ATCP 93.735 - Local government fund

Current through June 24, 2024
(1)
(a) To
				  use a local government fund to meet the financial responsibility requirements
				  of s.
				  ATCP
				  93.705, a local government owner or operator shall
				  establish a dedicated fund account that conforms to the requirements of this
				  section. A dedicated fund may not be commingled with other funds or otherwise
				  used in normal operations, except as specified in par. (c). A dedicated fund
				  shall be considered eligible if it meets the requirements in one of par. (b),
				  (c), or (d).
(b) The fund is
				  dedicated by state constitutional provision or local government statute,
				  charter, ordinance, or order to pay for taking corrective action and for
				  compensating third parties for bodily injury and property damage caused by
				  accidental releases arising from the operation of petroleum underground storage
				  tanks and is funded for the full amount of coverage required under s.
				  ATCP
				  93.705, or funded for part of the required amount of
				  coverage and used in combination with other mechanisms that provide the
				  remaining coverage.
(c)
1. The fund is dedicated by state
				  constitutional provision or local government statute, charter, ordinance, or
				  order as a contingency fund for general emergencies, including taking
				  corrective action and compensating third parties for bodily injury and property
				  damage caused by accidental releases arising from the operation of petroleum
				  underground storage tanks and is funded for 5 times the full amount of coverage
				  required under s.
				  ATCP
				  93.705 or funded for part of the required amount of
				  coverage and used in combination with other mechanisms that provide the
				  remaining coverage.
2. If the fund
				  is funded for less than 5 times the amount of coverage required under s.
				  ATCP
				  93.705, the amount of financial responsibility
				  demonstrated by the fund may not exceed one-fifth the amount in the
				  fund.
(d)
1. The fund is dedicated by state
				  constitutional provision, or local government statute, charter, ordinance, or
				  order to pay for taking corrective action and for compensating third parties
				  for bodily injury and property damage caused by accidental releases arising
				  from the operation of petroleum storage tanks.
2. A payment is made to the fund once every
				  year for 7 years until the fund is fully funded. This 7-year period is
				  hereafter referred to as the pay-in period.
3. The amount of each payment shall be
				  determined by the formula (TF - CF)/Y, where TF is the total required financial
				  assurance for the owner or operator, CF is the current amount in the fund, and
				  Y is the number of years remaining in the pay-in period.
4. If the method in this paragraph is chosen,
				  one of the following is also required:
a. The
				  local government owner or operator has available bonding authority, approved
				  through voter referendum if such approval is necessary prior to the issuance of
				  bonds, for an amount equal to the difference between the required amount of
				  coverage and the amount held in the dedicated fund. This bonding authority
				  shall be available for taking corrective action and for compensating third
				  parties for bodily injury and property damage caused by accidental releases
				  arising from the operation of petroleum storage tanks.
b. The local government owner or operator has
				  a letter signed by the appropriate state attorney general stating that the use
				  of the bonding authority will not increase the local government's debt beyond
				  the legal debt ceilings established by Wisconsin statutes. The letter shall
				  also state that prior voter approval is not necessary before use of the bonding
				  authority.