Legislature(1995 - 1996)
04/29/1996 03:42 PM Senate RES
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
CSHB 456(L&C) BOARD OF STORAGE TANK ASSISTANCE CHAIRMAN LEMAN called the Senate Resources Committee meeting to order at 3:42 p.m. He stated the meeting would be considered a work session until a quorum as established. He then introduced CSHB 456(L&C) as the first order of business. JOHN BARNETT , Executive Director of the Board of Storage Tank Assistance, said the board was formed through legislation adopted in 1990. It is comprised of seven members: the commissioner of the Department of Transportation & Public Facilities; the commissioner of the Department of Environmental Conservation; and five members from the private sector. HB 456 replaces one of the commissioners with a member of the general public that has no personal financial interest in underground storage tanks, This change, in addition to the actual extension of the board, was a recommendation of a legislative audit conducted last year. Mr. Barnett explained the board is a judicial appeal board and acts as a mediator between the regulated underground tank owners community and the Department of Environmental Conservation. When tank owners have disputes with DEC, they can go before the board and the board can make rulings which affect DEC or affect the owner-operator. Also, the board can make recommendations. The board also resolves disputes regarding eligibility for financial assistance, as well as providing educational assistance and technical assistance to tank owners throughout the state. Mr. Barnett noted there are 1,000 unfunded financial assistance requests on file, which represent about $50 million. The board sets the ranking criteria to rank those sites. He noted the board has been very successful over the last four years in ensuring that smaller businesses get the funds in general. Mr. Barnett said the board has also been very successful at eliminating problems before they escalate. By acting as a mediator they can actually assist a tank owner in getting assistance, either technical, financial or otherwise. Mr. Barnett stated the board supports the legislative audit recommendation of continuation for four more years. CHAIRMAN LEMAN asked how much the program costs, and if it breaks even with the user fees. MR. BARNETT replied that the user fees they've taken in through tank registration receipts are slightly under $400,000 a year, and the board cost is approximately $114,000 a year. He added that this year they are funded at about $1.9 million for financial assistance grants and loans, the source of these funds is in the response fund. CHAIRMAN LEMAN asked if DEC supports the legislation, and MR. BARNETT acknowledged that they do. Number 172 JIM HAYDEN, Program Manager, Storage Tank Program, Department of Environmental Conservation, said in 1988 it was recognized that new federal rules would impact the small businesses and that they would have a very difficult time of administering or coming up to speed with the new rules so the board was brought into play to try to mediate between the department and the small tank owner. He said the program has worked very well, and the department is very much in favor of the board's participation and continued participation. ROGER POPPE, aide to Representative Pete Kott who is prime sponsor of HB 456, clarified the legislation applies to just underground storage of which there are approximately 2,500 in the state at 900 facilities. He said EPA already has a great many restrictions with some new ones going into effect in 1998, which is a good argument for continuation of the board just in anticipation of how to deal with those new federal restrictions. There being no further testimony on CSHB 456(L&C), CHAIRMAN LEMAN closed the public hearing and stated the bill would be set aside until a quorum was established. CSHB 456(L&C) BOARD OF STORAGE TANK ASSISTANCE CHAIRMAN LEMAN brought CSHB 456(L&C) back before the committee and asked for the pleasure of the committee. SENATOR TAYLOR moved CSHB 456(L&C) be passed out of committee with individual recommendations. Hearing no objection, it was so ordered.
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