R311-207-3. Prerequisites for Submission of Requests for Reimbursement of Claims Against the Petroleum Storage Tank Trust Fund

  (a) Upon making a claim for coverage under the fund, and after receiving notice from the Director of eligibility to claim against the fund, the responsible party shall respond to the compliance schedule issued by the Director with work plans. The work plans may address three phases of the compliance schedule as determined by the Director:

  (1) tasks required to bring the site under control;

  (2) tasks required to determine the extent and degree of the release; and

  (3) tasks required to remediate the site until the Director is satisfied that remediation has achieved the clean up goals as described in Section R311-211 or until further remediation is not feasible as determined by the Director.

  (b) The work plan shall include a budget for the work. The budget shall be in compliance with R311-207-4(e)(1) and (2). The budget shall include proposed costs in an itemized format as described in Section R311-207-4(a).

  (c) The consultant must have a Statement of Qualification approved by the Director.

  (1) The initial Statement of Qualification submittal shall include information about the qualifications of all certified UST consultants and other persons who will be performing investigation or corrective action activities in accordance with the work plans. The Statement of Qualification shall include at least three letters of reference from entities that have retained the services of the consultant, and shall document that:

  (A) the consultant and other key personnel are of good character and reputation regarding such matters as control of costs, quality of work, ability to meet deadlines, and technical competence;

  (B) the consultant and other key personnel have completed applicable Occupational Safety and Health Agency-approved safety training and any other applicable safety training, as required by federal and state law; and

  (C) the consultant carries the following insurance:

  (i) Commercial General Liability Insurance or Comprehensive General Liability Insurance, including coverage for premises and operation, explosion, collapse and underground hazards, products and completed operations, contractual, personal injury and death, and catastrophic, with limits of $1,000,000 minimum per occurrence, $2,000,000 minimum general aggregate, and $2,000,000 minimum products or completed operations aggregate;

  (ii) Comprehensive Automobile Liability Insurance, with limits of $1,000,000 minimum and $2,000,000 aggregate; and

  (iii) Workers' Compensation and Employers' Liability Insurance, as required by applicable state law.

  (2) The Statement of Qualification shall be updated annually in January, and shall be approved by the Director for a period of one year. The update shall include changes in personnel and current documentation of compliance with Subsections R311-207-3(c)(1)(B) and (C).

  (d) The work plan shall include information about the claimant's contract with any proposed consultant or other person performing remedial action in accordance with the work plans. That information shall demonstrate that the following requirements have been met, as determined by the Director:

  (1) The contract shall be with the consultant, and shall specify the certified UST consultant and other key personnel for which qualifications are submitted under R311-207-3(c);

  (2) The contract shall require a 100 percent payment bond through a United States Treasury-listed bonding company, or other equivalent assurance;

  (3) The consultant shall have no cause of action against the state for payment;

  (4) The contract will specify a subcontracting method consistent with the requirements of R311-207;

  (5) The contract shall require, and include documentation that the consultant carries, the insurance specified in R311-207-3(c)(1)(C).

  (6) Payment under the contract shall be limited to amounts that are customary, legitimate, and reasonable;

  (7) The contract shall include a provision indicating that the State of Utah is not a party to the contract, unless the State of Utah is a responsible party; and

  (8) Any other requirements specified by the Director.

  (e) The work plan shall include any additional information required by 40 CFR 280.

  (f) The Director may waive specific requirements of Section R311-207 if he determines there is good cause for a waiver, and that public health and the environment will be protected. The Director may also consider, in determining whether to grant a waiver, the extent to which the financial soundness of the fund will be affected.

  (g) Once the responsible party's share of eligible costs has been spent in accordance with Section 19-6-419, the Director shall review and approve or disapprove work plans and the corrective action plan and all associated budgets. For costs to be covered by the fund, the Director must approve all work plans, corrective action plans, and associated budgets before a responsible party initiates any work, except as allowed by Sections 19-6-420(3)(b) and 19-6-420(6).

  (h) A request for time and material reimbursement from the Fund must be received by the Director within one year from the date the included work was performed or reimbursement shall be denied. If there are any deficiencies in the request, the claimant shall have 90 days from the date of notification of the deficiency to correct the deficiency or the amount of the deficient item(s) shall not be reimbursed. If a release was initially denied eligibility and is subsequently found to be eligible, this provision shall apply only to the portion of work conducted following the determination that the release is eligible for reimbursement.

  (i) The request for final reimbursement from the fund must be received by the Director within one year from the date of the "No Further Action" letter issued by the Director or reimbursement shall be denied. If a release is re-opened as provided for in the "No Further Action" letter, payments from the fund may be resumed when approved by the Director.

  (j) For costs incurred by a consultant hired by a third party pursuant to Subsection 19-6-409(2)(e):

  (1) the Director shall approve all work plans and associated budgets before the consultant initiates any work, and

  (2) the contract shall comply with Subsections R311-207-3(d)(1), (3), (6), (7), and (8).