Section 20-6701. FINANCIAL RESPONSIBILITY MECHANISMS

 

6701.1Subject to the limitations of §§ 6701.2 and 6701.3 of this section, the owner of a petroleum UST system may use any single mechanism or combination of mechanisms listed in §§ 6703 through 6711 to demonstrate financial responsibility under this chapter for one (1) or more UST's.

 

6701.2An owner may use a guarantee or surety bond to establish financial responsibility only if the Corporation Counsel of the District of Columbia has submitted a written statement to the Director that the guarantee or surety bond executed as described in this section is a legally valid and enforceable obligation in the District of Columbia.

 

6701.3An owner may use self-insurance in combination with a guarantee only if, for the purpose of meeting the requirements of the financial test under §§ 6703 through 6705, the financial statements of the owner or operator are not consolidated with the financial statements of the guarantor.

 

6701.4Subject to the requirements of §§ 6701.5 and 6701.6, an owner may substitute any alternate financial assurance mechanism or combination of mechanisms specified in §§ 6703 through 6710 for a financial assurance mechanism currently in place.

 

6701.5If an owner substitutes an alternate financial mechanism, the owner shall maintain the existing financial assurance mechanism or combination of mechanisms in effect, in compliance with the requirements of § 6700, at all times until the transition to the alternative mechanism or mechanisms is completed.

 

6701.6After obtaining alternate financial assurance that complies with the requirements of § 6700, an owner may cancel an existing financial assurance mechanism by providing notice to the provider of financial assurance.

 

6701.7An owner shall obtain alternate assurance of financial responsibility within thirty (30) days after the owner receives notice of any of the following:

 

(a)Commencement of a voluntary or involuntary proceeding under Title 11 of the United States Code (Bankruptcy), naming a provider of financial assurance as a debtor;

 

(b)Suspension or revocation of the authority of a provider of financial assurance to issue a financial assurance mechanism;

 

(c)Failure of a guarantor to meet the requirements of the financial test required under this chapter; or

 

(d)Any other incapacity of a provider of financial assurance.

 

authority

Section 13 of the District of Columbia Underground Storage Tank Management Act of 1990, effective March 8, 1991, as amended (D.C. Law 8-242; D.C. Official Code §§ 6-995.1 et seq. (1995 Repl.)); Mayor’s Order 98-58, dated April 17, 1998; Mayor's Order 91-160, dated October 9, 1991; the District of Columbia Water Pollution Control Act of 1984, effective March 16, 1985 (D.C. Law 5-188; D.C. Official Code § 6-921 (1995 Repl.)); and Mayor's Order 85-152, dated September 12, 1985.

source

Final Rulemaking published at 43 DCR 2799 (May 24, 1996), incorporating text of Proposed Rulemaking published at 42 DCR 5765 (October 20, 1995); as amended by Final Rulemaking published at 46 DCR 7699 (October 1, 1999).