Section 20-6704. FINANCIAL TEST OF SELF-INSURANCE: TEST A

 

6704.1In order to meet financial Test A, the owner/guarantor shall have a tangible net worth of at least ten (10) times the aggregate total of the following:

 

(a)The total of the applicable aggregate amount required by § 6700, based on the number of underground storage tanks for which a financial test is used to demonstrate financial responsibility to the Director;

 

(b)The sum of the corrective action cost estimates, the current closure and post-closure care cost estimates, and the amount of liability coverage for which a financial test is used to demonstrate financial responsibility to the Director; and

 

(c)The sum of current plugging and abandonment cost estimates for which a financial test is used to demonstrate financial responsibility to the Director.

 

6704.2Under Test A, the owner/guarantor shall have a tangible net worth of at least ten million dollars ($ 10,000,000).

 

6704.3Under Test A, the owner/guarantor shall have a letter of assurance signed by the chief financial officer in the form specified in Appendix 67-2 (Alternative I) to this chapter.

 

6704.4Under Test A, the owner/guarantor's year-end financial statements, if independently audited, may not include an adverse auditor's opinion, a disclaimer of opinion, or a "going concern" qualification.

 

6704.5Under Test A, the owner/guarantor, annually shall do either of the following:

 

(a)File financial statements with the U.S. Securities and Exchange Commission, the Energy Information Administration, or the Rural Electrification Administration; or

 

(b)Report the firm's tangible net worth to Dun and Bradstreet. Dun and Bradstreet must have assigned the firm a financial strength rating of 4A or 5A.

 

 

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).