NR 665.0143(4)(i)(i) Whenever the current closure cost estimate increases to an amount greater than the face amount of the policy, the owner or operator, within 60 days after the increase, shall either cause the face amount to be increased to an amount at least equal to the current closure cost estimate and submit evidence of the increase to the department, or obtain other financial assurance as specified in this section to cover the increase. Whenever the current closure cost estimate decreases, the face amount may be reduced to the amount of the current closure cost estimate following written approval by the department.

NR 665.0143(4)(j)(j) The department will give written consent to the owner or operator that the owner or operator may terminate the insurance policy when any of the following apply:

NR 665.0143(5)(a)(a) An owner or operator of a disposal facility may use the net worth test to provide financial responsibility if all of the following are met:

NR 665.0143(5)(a)2.2. The owner or operator shall comply with the net worth test requirements of s. 289.41 (4), (6), and (7), Stats., and the minimum security requirements of s. 289.41 (9), Stats., whichever are applicable. The updated net worth test information required under s. 289.41 (4), Stats., shall be submitted annually to the department within 90 days after the close of the company’s fiscal year.

NR 665.0143(5)(b)(b) For companies with more than one facility, the total cost of compliance for all facilities shall be used to determine the net worth to closure and long-term care cost ratio.

NR 665.0143(6)(6) Closure deposit with the department. An owner may deposit cash, certificates of deposit or U.S. government securities with the department. The deposit must be accompanied by a signed duplicate original of Form 4430-028 as specified in s. NR 664.0151 (14). The amount of the deposit shall be determined according to s. NR 665.0142 and shall be submitted as part of the interim license application. Cash deposits placed with the department shall be segregated and invested in an interest bearing account. All interest payments shall be accumulated in the account. The department shall have the right to use part or all of the funds to carry out the closure requirements of the written closure plan or the applicable requirements in s. NR 665.0112 if the owner fails to do so.

NR 665.0143(7)(a)(a) An owner or operator may satisfy the requirements of this section by establishing a closure escrow account which conforms to the requirements of this subsection and submitting an originally signed duplicate of the escrow agreement to the department. An owner or operator of a new facility shall submit the originally signed duplicate of the escrow agreement to the department at least 60 days before the date on which hazardous waste is first received for treatment, storage or disposal. The escrow agent shall be an entity which has the authority to act as an escrow agent, and the escrow account shall be established with a bank or financial institution which is examined and regulated by the state or a federal agency.

NR 665.0143(7)(b)(b) The wording of the escrow agreement shall be identical to the wording on the department form specified in s. NR 664.0151 (6) (a), and the escrow agreement shall be accompanied by a formal certification of acknowledgment as specified in s. NR 664.0151 (6) (b). Schedule A of the escrow agreement shall be updated within 60 days after a change in the amount of the current closure cost estimate covered by the agreement.

NR 665.0143(7)(c)(c) Payments into the escrow account shall be made annually by the owner or operator over the term of the interim license and over the remaining operating life of the facility as estimated in the closure plan. For the purposes of this section, this period is referred to as the “pay-in period.” The payments into the closure escrow account shall be made as follows:

NR 665.0143(7)(c)1.1. For a new facility, the first payment shall be made before the initial receipt of hazardous waste for treatment, storage or disposal. A receipt from the escrow agent for this payment shall be submitted by the owner or operator to the department before this initial receipt of hazardous waste. The first payment shall be at least equal to the current closure cost estimate, except as provided in sub. (8), divided by the number of years in the pay-in period. Subsequent payments shall be made no later than 30 days after each anniversary date of the first payment. The amount of each subsequent payment shall be determined by this formula:

NR 665.0143(7)(c)2.2. If an owner or operator establishes a escrow account as specified in this subsection, and the value of that escrow account is less than the current closure cost estimate when a license is awarded for the facility, the amount of the current closure cost estimate still to be paid into the escrow account shall be paid in over the pay-in period as defined in the introduction to this paragraph. Payments shall continue to be made no later than 30 days after each anniversary date of the first payment. The amount of each payment shall be determined by this formula:

NR 665.0143(7)(d)(d) The owner or operator may accelerate payments into the escrow account or may deposit the full amount of the current closure cost estimate at the time the account is established. However, the owner or operator shall maintain the value of the account at no less than the value that the account would have if annual payments were made as specified in par. (c).

NR 665.0143(7)(e)(e) If the owner or operator establishes a closure escrow account after having used one or more alternate mechanisms specified in this section, the first payment shall be in at least the amount that the account would contain if the escrow account were established initially and annual payments were made as specified in par. (c).

NR 665.0143(7)(f)(f) After the pay-in period is completed, whenever the current closure cost estimate changes, the owner or operator shall compare the new estimate with the escrow agent’s most recent annual valuation of the escrow account. If the value of the account is less than the amount of the new estimate, the owner or operator, within 60 days after the change in the cost estimate, shall either deposit an amount into the account so that its value after this deposit at least equals the amount of the current closure cost estimate, or obtain other financial assurance as specified in this section to cover the difference.

NR 665.0143(7)(g)(g) If the value of the escrow account is greater than the total amount of the current closure cost estimate, the owner or operator may submit a written request to the department for release of the amount in excess of the current closure cost estimate.

NR 665.0143(7)(h)(h) If an owner or operator substitutes other financial assurance as specified in this section for all or part of the escrow account, the owner or operator may submit a written request to the department for release of the amount in excess of the current closure cost estimate covered by the escrow account

NR 665.0143(7)(i)(i) Within 60 days after receiving a request from the owner or operator for release of funds as specified in par. (g) or (h), the department will instruct the escrow agent to release to the owner or operator funds as the department specifies in writing.

NR 665.0143(7)(j)(j) After beginning partial or final closure, an owner or operator or another person authorized to conduct partial or final closure may request reimbursements for partial or final closure expenditures by submitting itemized bills to the department. The owner or operator may request reimbursements for partial closure only if sufficient funds are remaining in the escrow account to cover the maximum costs of closing the facility over its remaining operating life. Within 60 days after receiving bills for partial or final closure activities, the department will instruct the escrow agent to make reimbursements in those amounts as the department specifies in writing, if the department determines that the partial or final closure expenditures are in accordance with the approved closure plan, or otherwise justified. If the department has reason to believe that the maximum cost of closure over the remaining life of the facility will be significantly greater than the value of the escrow account, the department may withhold reimbursements of amounts as the department deems prudent until the department determines, in accordance with sub. (10) that the owner or operator is no longer required to maintain financial assurance for final closure of the facility. If the department does not instruct the escrow agent to make the reimbursements, the department will provide the owner or operator with a detailed written statement of reasons.