49-1051

49-1051. The assurance account

(Conditionally Rpld.)

A. The assurance account of the underground storage tank revolving fund consists of
underground storage tank tax revenues collected and distributed under section 49-1036,
amounts reimbursed to the account by the department and any other monies designated for
the account by the legislature. Monies from state appropriations shall not be used for
administrative costs.

B. Monies in the assurance account may be used by the director as follows:

1. To provide coverage for eligible costs.

2. To reimburse the department for the reasonable and necessary costs incurred by
the department in administering the corrective action requirements of this chapter. When
combined with monies used by the director pursuant to paragraph 3, beginning July 1,
2002, monies used by the director pursuant to this paragraph in a single year shall not
exceed five million seven hundred thousand dollars or twenty-one per cent of the monies
received by the assurance account in the previous fiscal year, whichever is greater.

3. To reimburse the department for the reasonable costs of administering the
assurance account. The department shall not pay from the assurance account any costs,
payments or other expenses that result from a contract awarded pursuant to this
subsection unless the contract includes performance standards and contractual penalties
for nonperformance or inadequate performance under the contract. When combined with
monies used by the director pursuant to paragraph 2, beginning July 1, 2002, monies used
by the director pursuant to this paragraph in a single year shall not exceed five million
seven hundred thousand dollars or twenty-one per cent of the monies received by the
assurance account in the previous fiscal year, whichever is greater.

4. To pay for the reasonable and necessary costs incurred by the department in
taking corrective actions under section 49-1017.

C. The director shall reimburse the assurance account for any corrective action
costs which are paid out of the assurance account and are subsequently recovered by the
department under section 49-1017.