State To Pay Existing Claims For

Residential Underground Oil Spill Cleanups

The 2001-2003 state budget provides $16.5 million from the surplus to pay for existing claims for reimbursement for costs of cleaning up spills found during the removal of underground residential storage tanks, State Rep Pat Shea, R-112th District, said this week.

“Many Monroe and Newtown residents who filed for reimbursement for the costs of cleaning spills that were found when their underground oil storage tanks were removed were not paid because the existing program was oversubscribed and ran out of money,” Rep Shea said.

“This program was established two years ago with the intention of encouraging homeowners to removed underground storage tanks, which can develop leaks and contaminate well water,” Rep Shea said. “The law provided amnesty from civil liability for spills from underground tanks if they were removed before January 1, 2002, and would reimburse cleanup costs up to $50,000 if homeowners paid the first $500 of the expenses and used contractors with the Department of Environmental Protection.”

“Unfortunately, the state grossly underestimated the number of people who would apply for reimbursements under the program and the money that had been appropriated for it quickly ran out, leaving thousands of people on the waiting list for payments. Many legislators like myself thought it made sense to use money from the surplus to reimburse those who had applied in good faith for the payments but whose applications arrived after the appropriated funds had run out. I’m very pleased that we were able to secure the funds needed to pay existing claims,” Rep Shea said.

After existing claims are paid, the program will be closed to new applications and a new program with higher deductibles and income will be established, she said.