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Panel advances proposal to raise per-site cleanup cap and tank registration fees to shore up underground-storage-tank program
Summary
S.893 would raise the State Underground Petroleum Environmental Response (Superb) per-site payout from $1,000,000 to $2,000,000 and increase the annual underground storage tank renewal fee to $200 beginning in 2029 to bolster administration and cleanup efforts; witnesses said federal grants for administration have fallen and DES reported about 1,900 open sites, with 1,500–1,600 already funded and undergoing cleanup. The subcommittee approved the bill 4–0.
The subcommittee voted 4–0 to advance S.893, a bill that would increase the maximum payout from the State Underground Petroleum Environmental Response (Superb) Bank from $1,000,000 to $2,000,000 per site for petroleum-contamination rehabilitation and raise the annual renewal fee for underground storage tanks to $200 beginning in 2029 with step increases every five years.
Michael Fields, representing the Convenience and Petroleum Marketers Association, told the panel the proposal comes from a task force of tank owners, environmental firms and the Department of Environmental Services and aims to both maximize cleanup dollars and ensure the administering department has sufficient funds for program operations. He said federal grants for administration have declined substantially over the past 15 years and asked lawmakers to adopt the phased tank-fee increase to support department staffing.
Fields and other witnesses clarified liability rules: an owner is generally responsible for the first $25,000 of a release response; under current law the Superb fund covers up to the statutory per-site cap and responsible parties are liable for amounts above that cap. Fields said there is no statutory cap on total cleanup costs for a release, only a cap on how much the fund will pay per site; orphan sites can remain when responsible parties cannot be located.
Mihir Mehta, an assistant bureau chief with the Department of Environmental Services, told the committee roughly 1,900 sites are open for cleanup review and that more than 1,500–1,600 of those sites already have funding and ongoing cleanup work. Mehta added that cleanup funding primarily comes from a half‑cent gasoline tax that yields about $19–$20 million per year and that the proposed tank-fee increase is intended to strengthen administrative capacity rather than be the primary cleanup revenue source.
Committee members asked for follow-up data on open-site counts and timelines, and a DES representative offered to provide further details and meet individually with members to discuss specific scenarios. After the discussion, the subcommittee voted 4–0 to give S.893 favorable approval.
