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Texas tries to make cleanup law work
Tension, frustration and confusion were words used to describe the new Texas environmental cleanup fund by one of the men charged with its implementation.
Speaking at last month’s Southwest Drycleaners Association convention, Larry R. Soward of the Texas Commission on Environmental Quality (TCEQ) said the early months of the new law have been difficult and he asked for cooperation of drycleaners in making it work.
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“A program of this importance and magnitude can’t start up without glitches,” he said.
One of those glitches has been a lawsuit by a group of Texas cleaners seeking to halt collection of fees under the new law. Parties to that suit have agreed to an early trial date, set for May 3. But Soward said the resources that would go into a legal battle could be better spent addressing concerns that have arisen since the law was passed last year.
Some of those concerns can be resolved at the agency level, he said. Others would need to be resolved in rule-making. And still others would need to go before the legislature. Soward said it is likely the next session of the legislature will address some of those areas.
When the bill was passed last summer, state officials thought it was supported by the drycleaning industry, he said. While it’s true that the law has support within the industry, it’s also evident, by the fact of the lawsuit as well as other issues and complaints that have been raised, that industry support is not unanimous.
Under the law drycleaners, in exchange for relief from liability for contamination and assistance with cleanups, pay fees based on sales volume and solvent purchases and must comply with performance standards in their cleaning operations.
Performance standards include the use of dikes or other containment structures around drycleaning machines that use perc and where perc is stored; closed, direct-coupled delivery systems (when those systems have become generally available); and no discharge of wastewater to a sanitary sewer or septic tank.
Solvent fees are set at $15 per gallon of perc and $5 per gallon for other solvents, with liquid carbon dioxide exempt. Annual fees are based on sales volume — $2,500 for plants with annual receipts of more than $100,000 and $250 for those under $100,000. Plants with drop stores also must pay a fee of $1,000 per store unless they are associated with a plant doing under $100,000 a year or not associated with a plant at all; in that case the annual fee is $250.
Paying the fees gives cleaners a registration number which is needed in order to buy solvent. Solvent distributors collect the fees and can sell only to licensed drycleaners.
Soward said that as of Jan. 1, 3,557 drycleaning facilities and drop stores had been registered. To date, some $2 million has been collected for the fund. The commission had estimated that about $6 million would be collected in the first year and $9 million in the second year.
Until January 2005, disbursements from the fund are limited to administrative and start-up costs. Those costs are limited to 15 percent of the funds credited to the account during fiscal year 2004 and 10 percent in subsequent years. The maximum amount for corrective action for a single site will be limited to $5 million.
One point of contention has been the difficulty cleaners faced coming up with the fees in short order after the law went into effect. Soward said the agency has tried to ease that burden by allowing quarterly installment payments.
For the state, one problem has been finding all the drycleaners. Another has been meeting deadline for developing rules to implement the program. The original deadline was Dec. 1.
The rules are to include performance standards for drycleaning facilities and criteria for setting priorities for expenditure of funds from the Dry Cleaning Facility Release Account. TCEQ will also develop corrective action completion criteria for the remediation of sites.
Soward said that agency wants to do all it can to work with the industry and get the program together and running well.
“We are willing to do anything we can,” he said. “Where there is flexibility in the law, we should pursue flexibility. We’re open and amenable to getting issues addressed. We have a piece of legislation that has many flaws  and we need to work together.”
Soward said cleaners are invited to attend meeting of the public advisory committee that is working with the agency on the new law.
The committee, which will assist the commission in ranking contaminated sites and in developing rules, includes three drycleaning industry representatives, two public representatives and one “urban” representative. It next meets April 18.
Facilities operating on or before Jan. 1, 2004 would have until January, 2006 to implement the performance standards.
Barring a court ruling or an act of the legislature, the law will stay on the books until 2021. In the meantime, money collected by the fund can be used to clean up sites contaminated by drycleaning operations and anyone covered by the program would be immune for suits by the state or other parties for any action resulting from the contamination.