SECTION 37.52. Use of a Universal Financial Assurance Mechanism for Multiple Facilities and Program Areas

(a) An owner or operator may use a universal mechanism to meet the requirements of this chapter for multiple facilities permitted in multiple program areas, provided the mechanism is allowed to be used in the program areas represented. The amount of funds demonstrated by the universal mechanism must be no less than the sum of funds that would be available if separate mechanisms were established and maintained. The wording of the mechanisms must be in a form satisfactory to the executive director. The available mechanisms are those specified in this chapter, except that the financial test or corporate guarantee may not be combined with other specified mechanisms and a standby trust fund shall be required in certain circumstances. For liability coverage, the owner or operator may not combine a financial test covering part of the liability coverage requirement with a guarantee unless the financial statement of the owner or operator is not consolidated with the financial statement of the guarantor.

(b) A universal mechanism submitted to the executive director shall include a list showing, for each facility covered by the mechanism: the name, physical and mailing addresses of the facility, each program area and permit number, the rules regulating the program under which the facility is permitted, and the amount of funds demonstrated for each permit for closure, post closure, corrective action, and liability. The anniversary date of the universal mechanism is the date on which owners or operators shall make an annual inflation adjustment for all facilities demonstrating through the universal mechanism. In directing funds available through the universal mechanism for any of the facilities covered by the mechanism, the executive director may call on only the amount of funds designated for each permit for that facility, unless the owner or operator agrees to the use of additional funds available under the mechanism.

(c) An owner or operator who intends to use the financial test or corporate guarantee as a universal mechanism, must certify the ability to meet the financial test or corporate guarantee requirements for each of the corresponding program areas for which the universal mechanism is intended to cover.

Source Note: The provisions of this §37.52 adopted to be effective November 2, 1998, 23 TexReg 11159; amended to be effective March 21, 2000, 25 TexReg 2347