Potential rule changes for hazardous waste facilities

By CMTA Staff

Capitol Update, Oct. 21, 2005 Share this on FacebookTweet thisEmail this to a friend

Companies with permits to operate a hazardous waste storage or disposal facility in California, should be following the current series of workshops being held by the California Environmental Protection Agency’s Department of Toxic Substance Control (DTSC).  Even companies which send hazardous waste to disposal facilities should be concerned because they can be found liable for damages as a Responsible Party at a later date if the landfill leaks and the landfill operator is no longer financially solvent.

On October 17, DTSC conducted a workshop to discuss possible changes in their regulations to satisfy the state’s requirement for proof of financial liability coverage in the event of a release from the facility.  Although there are a number of mechanisms available to fulfill the requirement, the most widely used and least costly mechanism, negative assurance from the company’s financial auditors, is no longer being offered by auditing firms.  

DTSC is also taking this opportunity to review the 30-year limit for financial liability assurance following post-closure.  They maintain that this period is too short and some of the definitions of a reasonable time frame seems to be based on a version of the precautionary principle.  The alternatives being considered are complicated.  

There are two additional workshops planned:
    November 15        Extending the Post-closure Care Period
    November 29        Financial Test and Corporate Guarantee/Captive Insurance

If you handle and dispose of hazardous waste, we urge you to bring these workshops to the attention of your corporate counsel.  

Additional information is available on DTSC’s website.
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