EPD Compliance Inspections

As part of the 2005 Federal Energy Act, additional funding was provided to the states to assist with the mandate for more frequent on-site inspections of sites with operating underground Storage Tank (UST) fueling systems.  During the past year, many UST owners have had the pleasure of experiencing an on-site inspection of their UST facility by a member of the Georgia Environmental Protection Division (EPD).  If an EPD inspector was to arrive at your site today, would you be properly prepared for an inspection?  

The EPD has a standard form that they use when completing an onsite inspection, and has provided a checklist for the records required for all UST sites.  Please access a downloadable copy of the Checklist for Required Records here.  The EPD inspector will request to see copies of the current tank registration form, results of the most recent tank tightness testing (TTT), line tightness testing (LTT), automatic line leak detector test (ALLD), monthly inventory records, Statistical Inventory Reconciliation (SIR) records, automatic tank gauge (ATG) reports, corrosion protection testing report, and rectifier logs for the cathodic protection system, as applicable.  The EPD inspector will also examine the UST system components, and make note of repairs that may be required to spill prevention systems, overfill prevention systems, drop tubes, dispenser nozzles, dispenser hoses, gauging sticks, etc. 
      
In addition to the tank and line testing records, many tank owners have recently been required to provide additional information to the EPD to satisfy the requirements of an onsite-inspection.  Recent inspections of GOA members’ sites have included a request for copies of invoices showing the Georgia Underground Storage Tank (GUST) Trust Fund GUST fees have been paid.  Typically, the request for GUST fee documentation will be for one invoice per quarter for the previous two years.  Additionally, while it has always been a part of Georgia’s rules for UST management, one specific request for documentation has been viewed by many tank owners as particularly intrusive.   EPD inspectors have recently begun requesting documentation that funds exist to cover the $10,000 GUST Trust Fund deductible.  Proof of deductible funding can include a surety bond, letter of credit from a bank, a letter from your company’s financial officer, or bank statements.  Per the EPD’s Checklist for Required Records, if bank statements for proof of cash availability are to be used, the proof must document cash assets exceeding $50,000.  

The EPD inspector will often complete a site inspection, leaving a checklist with the store’s operator specifying the additional requirements to be provided to the EPD.  Make sure your operators understand the importance of transmitting this document to your attention immediately.  Failure to promptly submit the required documentation and/or perform the specified actions will result in the issuance of a Notice of Violation.  Additionally, a Notice of Violation may include a proposed Expedited Consent Order, specifying a ‘negotiated settlement amount’, or fine, to resolve the particular violation(s).  The EPD is often inclined to negotiate a reduction in the amount of the fine if they receive prompt compliance with their requests.  However, the EPD evaluates these petitions for negotiation on a case by case basis, and is in no way compelled to reduce a fine and will not waive the fine completely.   

These requirements have always been part of the EPD rules for managing UST systems, and documentation has always been required as part of a GUST Trust Fund application.  An application for coverage under the GUST Trust Fund is submitted as part of a Corrective Action Plan (CAP) – Part A report.  The GUST Trust Fund application includes a Compliance Certification that allows the UST owner to attest to the particular compliance options utilized at the site.  In recent years, the EPD has become more stringent in their review of these GUST Trust Fund applications, and has regularly requested documentation providing proof of each of these compliance certifications.  These trust fund application reviews are very thorough, and additional information is often requested to substantiate the compliance certification, including ATG reports (12 months), LTT reports, ALLD test, monthly inventory records, SIR records, corrosion protection testing report, and rectifier logs for the cathodic protection system, as applicable.  Additionally, as part of a GUST Trust Fund application review, the EPD may request copies of invoices and/or receipt showing the GUST Trust Fund fees.  Although EPD inspections typically require 2 years of records, GUST Trust Fund application review letters normally request 3 years of records, usually requiring one invoice/receipt per quarter for the previous three years.  If your tanks are temporarily out of service, make sure to keep all of your records indefinitely.  The EPD has recently denied GUST Trust Fund coverage to tank owners who have not been able to provide the required documentation.  These site inspections can serve as a notice to any shortcomings in your site’s compliance, and can provide for an opportunity to correct any issues before a release occurs.  If a deficiency is discovered during the review of a GUST Trust Fund application, it is already too late to correct it.   

The EPD had readily admitted that many of their new inspectors are still learning the specific details about the various UST fueling system components, and the inspectors may have questions about your particular equipment configuration and applicable compliance measures.  GOS has found that most of the inspectors are willing to discuss the results of their inspections and to explain their requests for additional information.  A lack of understanding or a non-applicable request from an EPD inspector does not alleviate your requirement to respond promptly.  Should you find yourself subject to an EPD inspection and require assistance with your compliance needs, please do not hesitate to contact GOS at (678) 225-4558.