[Congressional Record Volume 142, Number 134 (Wednesday, September 25, 1996)]
[House]
[Pages H11202-H11205]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
LEAKING UNDERGROUND STORAGE TANK TRUST FUND AMENDMENTS ACT OF 1996
Mr. OXLEY. Mr. Speaker, I move to suspend the rules and pass the bill
(H.R. 3391) to amend the Solid Waste Disposal Act to require at least
85 percent of funds appropriated to the Environmental Protection Agency
from the Leaking Underground Storage Tank Trust Fund to be distributed
to States for cooperative agreements for undertaking corrective action
and for enforcement of subtitle I of such Act, as amended.
The Clerk read as follows:
H. 3391
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Leaking Underground Storage
Tank Trust Fund Amendments Act of 1996''.
SEC. 2. LEAKING UNDERGROUND STORAGE TANKS.
(a) Trust Fund Distribution.--Section 9004 of the Solid
Waste Disposal Act (42 U.S.C. 6991c) is amended by adding at
the end the following new subsection:
``(f) Trust Fund Distribution to States.--
``(1) In general.--(A) The Administrator shall distribute
to States at least 85 percent of the funds appropriated to
the Environmental Protection Agency from the Leaking
Underground Storage Tank Trust Fund (in subsection referred
to as the `Trust Fund') each fiscal year for the reasonable
costs under cooperative agreements entered into with the
Administrator for the following:
``(i) States' actions under section 9003(h)(7)(A).
``(ii) Necessary administrative expenses directly related
to corrective action and compensation programs under section
9004(c)(1).
``(iii) Enforcement of a State or local program approved
under this section or enforcement of this subtitle or similar
State or local provisions by a State or local government.
``(iv) State and local corrective actions pursuant to
regulations promulgated under section 9003(c)(4).
``(v) Corrective action and compensation programs under
section 9004(c)(1) for releases from underground storage
tanks regulated under this subtitle in any instance, as
determined by the State, in which the financial resources of
an owner or operator, excluding resources provided by
programs under section 9004(c)(1), are not adequate to pay
for the cost of a corrective action without significantly
impairing the ability of the owner or operator to continue in
business.
``(B) Funds provided by the Administrator under
subparagraph (A) may not be used by States for purposes of
providing financial assistance to an owner or operator in
meeting the requirements respecting underground storage tanks
contained in section 280.21 of title 40 of the Code of
Federal Regulations (as in effect on the date of the
enactment of this subsection) or similar requirements
in State programs approved under this section or similar
State or local provisions.
``(2) Allocation.--
``(A) Process.--In the case of a State that the
Administrator has entered into a cooperative agreement with
under section 9003(h)(7)(A), the Administrator shall
distribute funds from the Trust Fund to the State using the
allocation process developed by the Administrator for such
cooperative agreements.
``(B) Revisions to process.--The Administrator may revise
such allocation process only after--
``(i) consulting with State agencies responsible for
overseeing corrective action for releases from underground
storage tanks and with representatives of owners and
operators; and
``(ii) taking into consideration, at a minimum, the total
revenue received from each State into the Trust Fund, the
number of confirmed releases from leaking underground storage
tanks in each State, the number of notified petroleum storage
tanks in each State, and the percent of the population of
each State using groundwater for any beneficial purpose.
``(3) Recipients.--Distributions from the Trust Fund under
this subsection shall be made directly to the State agency
entering into a cooperative agreement or enforcing the State
program.
``(4) Cost recovery prohibition.--Funds provided to States
from the Trust Fund to owners or operators for programs under
section 9004(c)(1) for releases from underground storage
tanks are not subject to cost recovery by the Administrator
under section 9003(h)(6).''.
(b) Conforming Amendment.--Section 9508(c)(1) of the
Internal Revenue Code of 1986 is amended by inserting before
the period at the end the following: ``and to carry out
section 9004(f) of such Act''.
[[Page H11203]]
(c) Technical Amendments.--Subtitle I of the Solid Waste
Disposal Act (42 U.S.C. 6991 et seq.) is amended as follows:
(1) Section 9001(3)(A) (42 U.S.C. 6991(3)(A)) is amended by
striking out ``sustances'' and inserting in lieu thereof
``substances''.
(2) Section 9003(f)(1) (42 U.S.C. 6991b(f)(1)) is amended
by striking out ``subsection (c) and (d)'' and inserting in
lieu thereof ``subsections (c) and (d)''.
(3) Section 9004(a) (42 U.S.C. 6991c(a)) is amended by
striking out ``in 9001(2)(A)'' and inserting in lieu thereof
``in section 9001(2)(A)''.
(4) Section 9005 (42 U.S.C. 6991d) is amended--
(A) in subsection (a), by striking out ``study taking'' and
inserting in lieu thereof ``study, taking'';
(B) in subsection (b)(1), by striking out ``relevent'' and
inserting in lieu thereof ``relevant''; and
(C) in subsection (b)(4), by striking out ``Evironmental''
and inserting in lieu thereof ``Environmental''.
The SPEAKER pro tempore. Pursuant to the rule, the gentleman from
Ohio [Mr. Oxley] and the gentleman from Michigan [Mr. Stupak] each will
control 20 minutes.
The Chair recognizes the gentleman from Ohio [Mr. Oxley].
Mr. OXLEY. Mr. Speaker, I yield myself such time as I may consume.
(Mr. OXLEY asked and was given permission to revise and extend his
remarks.)
Mr. OXLEY. Mr. Speaker, this legislation improves the Underground
Storage Tank program, a program under which States are already well
protecting human health and environment from petroleum and other tank
leaks. With Federal financial assistance, States have secured cleanup
of about 140,000 sites.
In 1986, Congress created the leaking underground storage tank trust
fund, paid for with a one-tenth of 1 cent tax on gasoline. The fund is
used to enforce cleanup requirements; conduct cleanups when there is no
solvent responsible party, when there is an emergency, or when the
responsible party refuses to cooperate; and take cost recovery actions.
Only 36 percent of the funds collected since 1987--$600 million out of
$1.7 billion--have been spent for the program.
EPA gives most of its appropriation to States under cooperative
agreements, which spell out exactly what the States will use the money
for each year.
H.R. 3391 does two key things.
First, it requires EPA to give at least 85 percent of its
appropriation to the States each year. Requiring EPA to give States 85
percent of its appropriation will ensure that the money is going where
the tanks are, and where the cleanup work is actually done. EPA already
gives an average of 86 percent per year to the States, so 85 percent is
no stretch.
Second, the bill authorizes three new uses of the fund, which gives
the States more flexibility to make their programs more effective. It
allows States to put the money into their financial assurance funds,
where they would be used for tank cleanups in cases of financial
hardship. It allows the States to use the money to enforce Federal
requirements that underground tanks be brought up to minimum leak
detection and prevention standards by 1998. And it allows States to use
the Federal money to administer their State assurance funds.
Up to 75 percent of tank owners and operators have not yet come into
compliance, even though the regs are 8 years old. We need to help the
States meet the financial burdens of the potentially huge enforcement
task that is coming down the pike in the next 2 years.
The bill also requires EPA to keep using its current formula for
allocating LUST dollars among the States, and prohibits EPA from
cost recovering from owners and operators any money given to States for
corrective actions under State assurance programs. Finally, it
prohibits States from using the money to help someone comply with the
1998 tank requirements, so tax dollars won't be used to put people who
have already complied at a competitive disadvantage.
This bill will help make the underground storage tank program even
more effective and will help the environment by guaranteeing money will
get out to the States, and by giving the States the flexibility to put
the money to use in new ways.
I want to add that the requirement that 85 percent of the money be
given to the States may help make the case with the appropriators that
more money should be spent from the trust fund over the next couple of
years to help meet the rising enforcement needs. If we assure that more
money means more environmental protection, not more money spent on
administrative overhead, there is a better case for increased funding,
and I think the 85 percent provision helps make that case.
This legislation is supported by the Association of State and
Territorial Solid Waste Management Officials, the Petroleum Marketers
Association of America, the Society of Independent Gasoline Marketers
of America, the National Association of Convenience Stores, and the
National Coalition of Petroleum Retailers. I would like to thank all of
these groups for their input.
I want to congratulate Chairman Schaefer for authoring the bill and
thank members for making this a bipartisan success, passing by voice
vote at the subcommittee and the full committee.
Mr. Speaker, I also would like to thank the gentleman from New York
[Mr. Manton], my ranking member, and the gentleman from Michigan [Mr.
Stupak], for their leadership on this very important issue.
Mr. Speaker, I reserve the balance of my time.
Mr. MANTON. Mr. Speaker, I yield myself such time as I may consume.
(Mr. MANTON asked and was given permission to revise and extend his
remarks.)
Mr. MANTON. Mr. Speaker, I rise today in support of H.R. 3391, the
Leaking Underground Storage Tank Amendment Act. By adopting this bill,
the House will make some incremental improvement to the distribution
and utilization of Federal leaking underground storage tank trust fund
money by the States.
I would like to commend my colleagues, Chairman Oxley and Schaefer
and Mr. Stupak, for their hard work on this measure and for working
closely with other members of the Commerce Committee to gain strong
bipartisan support of the bill. Their efforts greatly facilitated
negotiations regarding this legislation and I believe members of the
committee agree that its provisions do meet the needs expressed by
stakeholders in this issue.
Mr. Speaker, EPA reports that currently there are approximately
300,000 faulty underground storage tanks, confirming the widespread
impact of this problem. In an effort to address this problem, H.R. 3391
amends the Resource Conservation and Recovery Act to offer States more
Federal assistance in helping to cleanup the leaking tanks.
Primarily, this legislation establishes a dedicated funding source
from EPA to the States and expands the allowable uses of Federal funds.
One of these new uses includes enforcement of underground storage
tank standards as directed under local, State, or Federal programs.
Using the LUST trust funds for this new enforcement activity, in
addition to existing uses under the program, should perhaps take top
priority over other applications of the funds, in my opinion. I should
also add, that I am pleased that this bill limits the use of Federal
funds for cleanup purposes by the States to owners and operators of
leaking tanks who do not have the financial resources to address the
problem themselves. In these times of limited Federal dollars, it is
important that we direct funds in ways that will do the most good.
Again, I want to thank Chairman Oxley and Mr. Schaefer for working to
address the concerns raised by the minority on the Commerce Committee.
This bill should enable States to better distribute the limited
resources that they have for leaking underground storage tanks, and I
urge my colleagues to support the measure.
Mr. Speaker, I reserve the balance of my time.
Mr. OXLEY. Mr. Speaker, I yield such time as he may consume to the
gentleman from Colorado [Mr. Schaefer], the author of the legislation
who is the chairman of the Subcommittee on Energy and Power.
(Mr. SCHAEFER asked and was given permission to revise and extend his
remarks.)
Mr. SCHAEFER. I thank the gentleman from Ohio for yielding me this
time.
[[Page H11204]]
Mr. Speaker, last spring, Congressman Bart Stupak and I introduced
H.R. 3391, the Leaking Underground Storage Tank Trust Fund Amendments
Act of 1996. The bill's objectives are to give States more financial
stability in operating their underground storage tank programs and
greater flexibility to address unique environmental problems,
particularly in rural America. H.R. 3391 has substantial bipartisan
cosponsorship and diverse private sector support.
Among the bill's supporters:
The Association of State and Territorial Solid Waste
Management Officials;
The National School Boards Association;
The Petroleum Marketers Association of America;
The National Association of Convenience Stores;
The Society of Independent Gasoline Marketers of America;
The Service Station Dealers of America; and
The National Automobile Dealers Association.
Prior to introduction and as the bill moved forward, we solicited and
received suggestions on how best to achieve our objectives--program
flexibility and stability. EPA, Members from both parties, State
regulators and industry all made meaningful contributions to H.R. 3391.
As a result, the final product we have before us today meets our
initial goals, with a strong emphasis on quicker cleanups and stricter
enforcement.
The so-called LUST Program was first enacted in 1984. The trust fund
followed in 1986. The current LUST statute allows States to spend the
Federal LUST trust fund money in a limited number of instances--mainly
for corrective actions where an owner is unable or unwilling to clean
up a leak.
Along with the corrective action standards for leaking tanks, the
LUST statute also requires owners and operators of underground storage
tanks to meet certain standards. The deadline for compliance with these
tank standards is 1998. When implemented, the tank standards will
provide an important preventative protection against many future leaks.
Federal LUST trust fund money cannot currently be used for this
enforcement.
The LUST Program has largely been a success. The regulated industry
and the EPA tank office share a good working relationship. However,
over the next few years the nature of the program will change
dramatically. EPA has stated it envisions States becoming the primary
enforcers for the tank standards and supervising corrective action
where leaks have occurred. In fact, EPA maintains its Federal tank
office will be phased out. H.R. 3391 helps to make that transition.
I support this progression. However, if we expect States to carry out
more duties, it is critical that they be given more freedom to use LUST
trust fund money where most needed.
Finally, EPA has traditionally dedicated about 85 percent of its
annual LUST trust fund appropriation to States. But, as State
responsibilities increase, we need to give them peace of mind that this
tradition will continue. H.R. 3391 gives this financial stability.
I want to thank all those involved in crafting this bill. The process
has embodied the spirit of bipartisan compromise. Our final product
increases enforcement and enhances site cleanups with the broad-based
support of the regulated industry. The State-centered model setup by
EPA is reinforced with a stronger Federal financial commitment.
{time} 2115
Mr. Speaker, I urge my colleagues to support this sound environmental
proposal, and I want to thank the gentleman from Ohio [Mr. Oxley] for
moving this through his subcommittee and through the full committee,
and the gentleman from New York [Mr. Manton] and certainly the
gentleman from Michigan [Mr. Stupak] for helping out tremendously in
getting the final language into this legislation. I would certainly
want to encourage the passage of this bill.
Mr. MANTON. Mr. Speaker, I yield 5 minutes to the gentleman from
Michigan [Mr. Stupak].
Mr. STUPAK. Mr. Speaker, I thank the gentleman for yielding me time.
Mr. Speaker, I am pleased to rise in support of H.R. 3391, the
Schaefer-Stupak Leaking Underground Storage Tank Amendments Act. This
bill will provide the States and the Federal Government the flexibility
they need to continue the cleanup of leaking underground storage tanks
all across this country.
First, I want to thank Chairmen Tom Bliley and Mike Oxley, ranking
members John Dingell and Tom Manton, for all the support this bill has
received in subcommittee and the full committee to bring it before the
House today.
Most of all, I would like to thank Energy and Power chairman, Mr.
Schaefer, for his determination to reach a strong bipartisan consensus
on this very important bill. I very much appreciate his efforts to work
with me on this measure.
The Leaking Underground Storage Tank Program is one of the most
important and least known environmental programs run by the Federal
Government and the States. The 1994 report to Congress of the National
Water Quality Inventory states that leaking underground storage tanks
are the most frequent cause of groundwater contamination.
Unfortunately, the Committee on Appropriations does not feel our
Nation's ground water is such a high priority. Last year the Committee
on Appropriations cut the President's request by 40 percent. This year,
the Committee on Appropriations once again cut the President's request
by more than 33 percent.
The Committee on Appropriations' actions are even more frustrating
because the Leaking Underground Storage tank Program is funded through
a tax collected on petroleum products. Currently, the leaking
underground storage tank, or LUST, trust fund, has a $1 billion
surplus.
I will continue to join with my colleagues, especially the gentleman
from Colorado [Mr. Schaefer], in the fight to increase the
appropriation to this program.
This program came to my attention based upon concerns by my
constituents, especially up in Trenary, MI, when I discovered that my
State's Leaking Underground Storage Tank Program became insolvent due
to improper management and improper funding. In Michigan, the fund is
not accepting new claims, and cleanups on leaking tanks have all but
ceased.
Although I believe that this legislation being discussed today is a
very important step in cleaning up leaking tanks, it is my hope that
States, and Michigan in particular, will renew their commitment to this
program.
Beyond any doubt, H.R. 3391 will make improvements to the program.
The improvements will increase the amount of funding available for
contaminated sites, increase the amount of money for State enforcement,
and guarantee that money the Congress appropriates for this program is
received by the States.
This legislation does not completely turn this program over to the
States. We have maintained a strong role for the EPA in this
legislation by preserving the current cooperative agreement process
between the States and the Federal Government. This bill will uphold
the Federal role in the LUST Program and strengthens the Federal-State
partnership that has been so successful since the program's inception.
Mr. Speaker, I once again want to thank the leadership of the
Committee on Commerce and this House for expediting this legislation
offered by the gentleman from Colorado [Mr. Schaefer] and myself. It
remains our intent to encourage a more flexible use of Federal
resources while continuing to hold polluters responsible for their
waste.
Mr. MANTON. Mr. Speaker, I have no further requests for time, and I
yield back the balance of my time.
Mr. NORWOOD. Mr. Speaker, I rise today in support of H.R. 3391, The
Leaking Underground Storage Tank Trust Fund Amendments. As you may
know, I am a cosponsor of this legislation. This bill is designed to
ensure that 85 percent of the funds in the Federal Underground Storage
Tank Trust Fund are allocated to the States via cooperative agreements.
While I am fully supportive of this legislation, I do want to clarify
one point in order to prevent any potential confusion down the road. My
constituents have been concerned that the prohibition on the use of
Federal funds in State financial assistance programs is not
misinterpreted.
Under existing law, use of Federal funds for the purpose of providing
financial assistance to tank owners and operators is not a specifically
authorized use of the fund. This is an
[[Page H11205]]
area that Washington has thankfully stayed out of, leaving the issue of
what type of financial assistance programs to design to the States. I
wish to emphasize that the prohibition is simply designed to maintain
the historic balance of State and Federal concerns, and there is no
suggestion, either express or implied, that States should not set up
financial assistance programs.
Mr. Speaker, this is a good bill, and I urge all of my colleagues to
support H.R. 3391.
Mr. BEREUTER. Mr. Speaker, this Member rises in support of H.R. 3391,
the Leaking Underground Storage Tank Amendments Act. As a cosponsor of
the legislation, this Member would like to commend the distinguished
gentleman from Colorado [Mr. Schaefer] and the distinguished gentleman
from Michigan [Mr. Stupak] for introducing this bill and working for
its enactment.
Across the Nation, leaking underground storage tanks present a hazard
which must be addressed. Unfortunately, less than half of the
identified leaking tanks have been remedied. In addition, there are
likely thousands of other unidentified leaking tanks which require
action.
This legislation improves the current situation by distributing more
money from the existing trust fund to the States where it belongs. The
trust fund was established by Congress in 1986 and currently contains
about $1 billion. Although the trust fund is intended to provide
assistance in the cleanup of underground storage tanks, far too much of
the money in the trust fund has been used to offset general Federal
spending.
This Member certainly believes that the money in the trust fund
should for used for the purposes for which it was originally intended;
money simply accumulating in the trust fund obviously does not address
the current needs. The large number of remaining leaking underground
storage tank sites to be addressed is evidence that the States
certainly could use this money which is currently accumulating in the
trust fund. This bill would assist States in more efficiently receiving
and disbursing money from the trust fund. It would also give the States
increased flexibility in the use of money from the trust fund.
This Member urges his colleagues to support H.R. 3391.
Mr. OXLEY. Mr. Speaker, I have no further requests for time, and I
yield back the balance of my time.
The SPEAKER pro tempore. The question is on the motion offered by the
gentleman from Ohio [Mr. Oxley] that the House suspend the rules and
pass the bill, H.R. 3391, as amended.
The question was taken; and (two-thirds having voted in favor
thereof) the rules were suspended and the bill, as amended, was passed.
A motion to reconsider was laid on the table.
____________________