Arizona Revised Statutes § 49-1054 Extent Of Reimbursement

49-1054. Extent of reimbursement

A. The department may provide reimbursement from the underground storage tank revolving fund for the reasonable and necessary costs of eligible activities pursuant to section 49-1053, subsection A for releases that are reported before the end of the baseline period established pursuant to section 49-1052. Receipt of financial assistance from the underground storage tank revolving fund does not constitute a financial assurance mechanism and may not be used to demonstrate compliance with financial responsibility requirements or to provide compensation to third parties for bodily injury or property damage. Reimbursement from the underground storage tank revolving fund to owners, operators and persons that meet the requirements of section 49-1016, subsection C may not exceed one million dollars per facility.

B. The department may compel the production of documents to determine the existence, amount and type of insurance or alternative coverage available. An owner, operator or person that meets the requirements of section 49-1016, subsection C shall report to the department any payment of corrective actions costs through insurance and alternative mechanisms.

C. The department may not disburse more than the maximum amounts prescribed by subsection A of this section from the underground storage tank revolving fund for corrective action costs associated with a facility.

D. The department shall pay eligible costs that are reasonable and were actually incurred for corrective actions that were actually performed. The costs for the corrective actions shall be submitted as prescribed in sections 49-1051 and 49-1053. The department shall pay only for corrective actions that have been completed and that have been conducted pursuant to the preapproval approved by the department. Reasonableness of corrective actions shall be determined based on the law and the facts available to the owner, operator or person that meets the requirements of section 49-1016, subsection C at the time the technical decision was made. The department shall establish schedules of corrective action costs that the department considers reasonable.

E. The owner or operator is eligible for payment from the department to the extent that the corrective action costs have not been reimbursed to the owner or operator, or its consultant, representative or agent, by insurance or by an alternative financial assurance mechanism. A provider of insurance or an alternative financial assurance mechanism who is not an owner or operator with respect to the occurrence is not eligible for payment from the underground storage tank revolving fund.

F. An owner or operator shall report to the department whether it has insurance coverage available and shall comply with all applicable financial responsibility requirements. If the director has reason to believe that an owner or operator, or its consultant, representative or agent, has received or may receive any payment for corrective actions from insurance or alternative financial assurance mechanism, the department may compel the production of documents to determine the existence, amount and type of insurance or alternative financial assurance coverage available and to whom payment was made or may be made. An owner or operator shall report to the department any subsequent payment or reimbursement from insurance or an alternative financial assurance mechanism to the owner or operator or its consultant, representative or agent for corrective actions costs.

G. The owner or operator shall remit to the department within thirty days any amounts that were previously paid to the owner or operator or its consultant, representative or agent from the underground storage tank revolving fund and that have also been recovered from insurance or any alternative financial assurance mechanisms.

H. Appeals fees and costs payable pursuant to section 49-1091.01 shall be paid in the next regular round of payment without being subject to ranking and in the order received by the department.

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Last modified: October 13, 2016