Arkansas Advisory Committee on Petroleum Storage Tanks: Governor Sanders Announces Appointments

The publication Talk Business published an article stating that Arkansas Governor Sanders announced the following appointments to the Advisory Committee on Petroleum Storage Tanks (“Committee”):

• John Mark Goings, Little Rock, to the Advisory Committee on Petroleum Storage Tanks. Term to expire Dec. 31, 2027. Reappointment.
• Chris Howell, Searcy, to the Advisory Committee on Petroleum Storage Tanks. Term to expire Dec. 31, 2028. Reappointment.
• Elliot Blackmon, Glenwood, to the Advisory Committee on Petroleum Storage Tanks. Term to expire Dec. 31, 2027. Previously vacant position.
• Sara Gallien, Springdale, to the Advisory Committee on Petroleum Storage Tanks. Term to expire Dec. 31, 2025. Previously vacant position.
• Scott Skelton, Quitman, to the Advisory Committee on Petroleum Storage Tanks. Term to expire Dec. 31, 2025. Previously vacant position.

The United States Congress in the 1980’s enacted a financial responsibility program to supplement the underground storage tank (“UST”) technical standards. The United States Environmental Protection Agency subsequently promulgated federal UST financial responsibility regulations to implement these requirements. The purpose of these regulations is to obligate owners and operators of USTs to demonstrate that they can cover the costs of corrective action and compensation of third parties if there is a petroleum release.

The private capital markets failed to respond to the need for financial responsibility mechanisms because of concerns about liability. Worry about whether small owners and operators would be able to comply with the strict federal requirements lead Arkansas to develop a petroleum storage tank trust fund. Without access to the trust fund, many Arkansas owners and operators of USTs would probably not have been able to meet the federal requirements and financial responsibility. In short, the Arkansas General Assembly created the trust fund to serve as an insurance policy for owners and operators in case of petroleum release. It was a public response to a private market failure.

The Committee advises the Arkansas Department of Energy and Environment – Division of Environmental Quality in administering the petroleum storage tank trust fund.