Wisconsin Administrative Code › Department of Natural Resources › NR 600-699 - Environmental Protection - Hazardous Waste Management › Chapter NR 665 - Interim License Hazardous Waste Treatment, Storage And Disposal Facility Standards › Subchapter H - Financial Requirements › Section NR 665.0145 - Financial assurance for long-term care

Current through June 24, 2024
By June 1, 1984, an owner or operator of a facility with a
					 hazardous waste disposal unit shall establish financial assurance for long-term
					 care of the disposal unit or units.
(1) LONG-TERM CARE TRUST FUND.
(a) An owner or operator may satisfy the
				  requirements of this section by establishing a long-term care trust fund which
				  conforms to the requirements of this subsection and submitting an originally
				  signed duplicate of the trust agreement to the department. The trustee shall 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.
(b) The wording of the trust agreement shall
				  be identical to the wording on the department form specified in s.
				  NR 664.0151(1)
				  (a), and the trust agreement shall be
				  accompanied by a formal certification of acknowledgment as specified in s.
				  NR 664.0151(1)
				  (b). Schedule A of the trust agreement shall
				  be updated within 60 days after a change in the amount of the current long-term
				  care cost estimate covered by the agreement.
(c) Payments into the trust fund shall be
				  made annually by the owner or operator over the 20 years beginning on June 1,
				  1984 or over the remaining operating life of the facility as estimated in the
				  closure plan, whichever period is shorter. For the purposes of this section,
				  this period is referred to as the "pay-in period." The payments into the
				  long-term care trust fund shall be made as follows:
1. The first payment shall be made by June 1,
				  1984, except as provided in par. (e). The first payment shall be at least equal
				  to the current long-term care cost estimate, except as provided in sub. (8),
				  divided by the number of years in the pay-in period.
2. Subsequent payments shall be made no later
				  than 30 days after each anniversary date of the first payment. The amount of
				  each subsequent payment shall be determined by this formula:
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where CE is the current long-term care cost estimate, CV is
					 the current value of the trust fund and Y is the number of years remaining in
					 the pay-in period.
(d) The owner or operator may accelerate
				  payments into the trust fund or the owner or operator may deposit the full
				  amount of the current long-term care cost estimate at the time the fund is
				  established. However, the owner or operator shall 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 par. (c).
(e)
				  If the owner or operator establishes a long-term care trust fund after having
				  used one or more alternate mechanisms specified in this section, the first
				  payment shall be in at least the amount that the fund would contain if the
				  trust fund were established initially and annual payments made as specified in
				  par. (c).
(f) After the pay-in
				  period is completed, whenever the current long-term care cost estimate changes
				  during the operating life of the facility, the owner or operator shall 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, shall
				  either deposit an amount into the fund so that its value after this deposit at
				  least equals the amount of the current long-term care cost estimate, or obtain
				  other financial assurance as specified in this section to cover the
				  difference.
(g) During the
				  operating life of the facility, if the value of the trust fund is greater than
				  the total amount of the current long-term care cost estimate, the owner or
				  operator may submit a written request to the department for release of the
				  amount in excess of the current long-term care cost estimate.
(h) If an owner or operator substitutes other
				  financial assurance as specified in this section for all or part of the trust
				  fund, the owner or operator may submit a written request to the department for
				  release of the amount in excess of the current long-term care cost estimate
				  covered by the trust fund.
(i)
				  Within 60 days after receiving a request from the owner or operator for release
				  of funds as specified in par. (g) or (h), the department will instruct the
				  trustee to release to the owner or operator the funds as the department
				  specifies in writing.
(j) During
				  the period of long-term care, the department may approve a release of funds if
				  the owner or operator demonstrates to the department that the value of the
				  trust fund exceeds the remaining cost of long-term care.
(k) An owner or operator or any other person
				  authorized to conduct long-term care may request reimbursements for long-term
				  care expenditures by submitting itemized bills to the department. Within 60
				  days after receiving bills for long-term care activities, the department will
				  instruct the trustee to make reimbursements in those amounts as the department
				  specifies in writing, if the department determines that the long-term care
				  expenditures are in accordance with the approved long-term care plan or
				  otherwise justified. If the department does not instruct the trustee to make
				  the reimbursements, the department will provide the owner or operator with a
				  detailed written statement of reasons.
(l) The department will agree to termination
				  of the trust when one of the following applies:
1. An owner or operator substitutes alternate
				  financial assurance as specified in this section.
2. The department releases the owner or
				  operator from the requirements of this section in accordance with sub.
				  (10).