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Leaking Underground Storage Tank (LUST) Trust Fund
What is the LUST Trust Fund?
Congress created the Leaking Underground Storage Tank (LUST) Trust Fund in 1986 by amending Subtitle I of the Resource Conservation and Recovery Act. The LUST Trust Fund has two purposes. First, it provides money for overseeing and enforcing corrective action taken by a responsible party, who is the owner or operator of the leaking UST. Second, the Trust Fund provides money for cleanups at UST sites where the owner or operator is unknown, unwilling, or unable to respond, or which require emergency action.
What is in the Trust Fund?
The Trust Fund is financed by a 0.1 cent tax on each gallon of motor fuel sold nationwide. The federal UST program receives approximately $70 million each year, of which an average of greater than 80 percent (approximately $56 million) is allocated for use in the administration, oversight, and cleanup of sites within the state and in Indian country. The remaining money has been used by EPA for negotiating and overseeing cooperative agreements, implementing programs on Indian lands, and supporting regional and state offices.
How does the Trust Fund work?
To receive money from the Trust Fund, a state must enter into a cooperative agreement with the federal government to spend the money for its intended purpose. Trust Fund money is divided among EPA regional offices based on a formula that uses state data.
How do states use Trust Fund money?
States use Trust Fund money to oversee corrective action by a responsible party and to clean up sites where no responsible party can be found. Only about 4 percent of all cases have been without a responsible party. To date, states have used about one-third of their Trust Fund money for administration, one-third for oversight and state-lead enforcement activities, and one-third for cleanups.
How much do cleanups cost?
Cleanup costs depend on a variety of factors, including the extent of contamination and state cleanup standards. The average cleanup is estimated to cost $125,000. If only a small amount of soil needs to be removed or treated, cleanup costs can run as low as $10,000. However, costs to clean more extensive soil contamination may exceed $125,000. Corrective action for leaks that affect groundwater typically cost from $100,000 to over $1 million, depending on the extent of contamination. The presence of methyl tertiary-butyl ether (MTBE) can lead to a substantial increase in cleanup and drinking water treatment costs.
What cleanup activities have taken place?
For the most current cleanup statisitics available, see the UST And LUST Program Performance Measures.