Method for establishing proof of financial responsibility for municipal solid waste facilities; payments for closure, long-term care, and corrective action costs for certain solid or hazardous waste facilities; extending the time limit for emergency rule procedures; providing an exemption from emergency rule procedures; granting rule-making authority; and making an appropriation. (FE)

This bill allows a municipality that owns or operates a solid waste facility to use an alternative method to establish proof of financial responsibility to ensure compliance with closure and long-term care requirements and any required corrective action, similar to the method allowed for local governments under federal law. Under the bill, a municipality may prove financial responsibility by showing either that all of its outstanding general obligation bonds have a rating of at least “Baa” if issued by Moody's or at least “BBB” if issued by Standard & Poor's, or that its ratio of cash plus marketable securities to total expenditures is 0.05 or greater and that its ratio of annual debt service to total expenditures is 0.20 or lower. Under the bill, if a solid waste facility is owned or operated by more than one municipality, any of the municipalities may establish proof of financial responsibility on behalf of itself and the other owners or operators. The bill also requires DNR to establish additional rules relating to the alternative method established under this bill.

Payment of closure, long-term care, and corrective action costs This bill also allows DNR to pay costs associated with closure and long-term care requirements and any required corrective action for a solid or hazardous waste storage, treatment, or disposal facility that has established proof of financial responsibility using either the net worth test or the alternative method for municipal facilities that is created under the bill. The bill allows DNR to pay these costs if the owner or operator has failed to comply with closure, long-term care, or corrective action requirements specified in any rule, order, plan of operation, or other plan approval and if either 1) the owner or operator's failure to comply is due to bankruptcy, insolvency, or other inability to pay the costs, or 2) DNR determines that the failure to comply presents an imminent or substantial danger to human health or the environment.

To cover these costs, the bill allows DNR to transfer moneys from an existing appropriation account, which is funded from the segregated waste management fund, to a new appropriation account dedicated to this purpose. Under the bill, DNR must request approval from the Joint Committee on Finance for any transfers that are intended to support payments for a facility that exceed $300,000, and must notify JCF of all other transfers.