Vol. 4 Issue 4
February 2001

Board Plan Becomes Bill

Identical bills have been filed in the Missouri House of Representatives and Senate to implement the plan recommended by the Petroleum Storage Tank Insurance Fund Advisory Committee for solving the funding shortfall currently being experienced by the Petroleum Storage Tank Insurance Fund (PSTIF).

 
 

HB327, sponsored by Representative Henry Rizzo, and SB310, sponsored by Senator Ed Quick, would extend the operation of the Fund to 2010 and give the Board of Trustees the authority to raise the transport load fee as needed, up to $60 per transport load (defined as 8,000 gallons). The bills were developed by the Missouri Petroleum Marketers and Convenience Store Association in response to the plan approved by the PSTIF Board of Trustees last fall. Support from those in the petroleum industry who pay the fee to finance this program, and from those tank owners, property owners and citizens who benefit from the program, will be crucial to passage of the bill during the 2001 legislative session.

"Hold" on Remedial Claims Continues

Since the Board of Trustees stopped committing funds to new remedial projects in March 2000, an additional 159 property owners have approached the Fund asking for money to conduct cleanups. A few of those projects have proceeded without a funding commitment from PSTIF, but most are waiting until funds are available. Claims costs for the period July-December exceeded projections; thus, it is not expected that the Board of Trustees will release any funds for new remedial projects any time soon. By law, anyone whose project is "on hold" must be notified at least annually of the status of their request and the estimated date that funds will be available. Letters will be sent in March-April to all such persons.

Board Funds MTBE Work

As a result of increased interest in MTBE, the Missouri Legislature authorized the PSTIF Board of Trustees to spend up to $3 million from the Fund for costs "related to MTBE activities, includingŠ cleanup of MTBE contaminationŠ." From July 1 through December 31, 2000, $357,809 had been spent from this special appropriation for characterization and cleanup of PSTIF-eligible sites where MTBE either has already contaminated drinking water wells, or poses a threat to wells. In addition, at its meeting in November, the Board voted to spend $36,000 on a research project being conducted by the University of Missouri-Rolla (UMR). The project, also partially funded by DNR's Public Drinking Water Program, will analyze the cost and effectiveness of various water treatment methods on removing MTBE from drinking water. It is scheduled for completion in summer 2001. The Board also agreed to spend an estimated $162,000 on a project intended to better identify groundwater aquifers and recharge areas which are most vulnerable to MTBE contamination. The project involves assembling existing data on geologic features, subsurface materials, wells, MTBE distribution, reported releases, and other data into a layered map, developed in a Geographic Information System (GIS) format. It is being done by the Department of Natural Resource's Division of Geology and Land Survey, using student help from UMR, and is scheduled for completion in fall 2002.

Interest in Tanks

It seems lots of people are interested in establishing standards for tank construction, installation and operation. The American Society for Testing and Materials (ASTM) has a committee known as its E50 Committee that deals with environmental issues. The E50 Committee is studying MTBE and developing guidance on managing MTBE risk. It is also writing a "Standard Guide for the Environmentally Sound Management of Tank Systems Storing Hazardous Substances or Petroleum," that would apply to both USTs and ASTs. Finally, it is drafting a "Guide for Evaluating AST Bottoms." Meanwhile, the Steel Tank Institute recently issued a new document, titled "Standard for Inspection of In-service Shop Fabricated Aboveground Tanks for Storage of Combustible and Flammable Liquids." The standard was developed at EPA's request, and includes information on inspection techniques for all types of shop fabricated ASTs, including horizontal cylindrical, vertical and rectangular. It addresses ASTs that rest directly on the ground, ASTs that are elevated on supports, and both single wall and double wall tanks. The US EPA has also recently published two guidance documents on the proper operation of underground storage tanks.. The bottom line is, there's certainly no dearth of information on tanks! New NACE Method for Testing Cathodic Protection on USTs It will come as no surprise to UST owners that the requirement to install cathodic protection systems on unprotected steel tanks and lines that are underground was an idea that proved to be more difficult in practice than in theory. The recognized expert on cathodic protection is NACE, the National Association of Corrosion Engineers. When the deadline for upgrading USTs arrived, a lot of folks looked to NACE for guidance on how to install and test cathodic protection systems on USTs. Unfortunately, NACE had no written methodology or advice on how to properly monitor a cathodic protection system on underground tanks or piping. After much discussion, NACE is expected to release such a document soon. Titled, "Measurement Techniques Related to Criteria for Cathodic Protection on Underground or Submerged Metallic Tank Systems," it will contain several test methods that can be used on UST systems. It will also describe troubleshooting procedures to use if the cathodic protection system "fails" the test. Our view is, better late than never. This has been a problem for UST owners for years, and should have been addressed by EPA before the December 1998 upgrade deadline. Thankfully, NACE is finally providing some helpful guidance.

Latest Leaks is a newsletter of the Missouri Petroleum Storage Tank Insurance Fund.

Board of Trustees
William "Bart" Creech III, Chairman
Bob Abernathy, Vice Chairman
John Boehm
Sam Carter
Gary D. Collins
Neal A. Gibbons, Sr.
Ron Hooker
Robert "Bob" Jackson
Steve Mahfood
Don Shaikewitz
Katherine "Katie" Wesselschmidt

Executive Director
Carol R. Eighmey
PO Box 836
Jefferson City, MO 65102
573-522-2352

Third Party Administrator
Williams & Company Consulting, Inc.
1-800-765-2765

Send address changes to:
PSTIF, PO Box 104116
Jefferson City, MO 65110

Back to Top