NR 664.0147(2)(a)1.1. Each insurance policy shall be amended by attachment of the hazardous waste facility liability endorsement or evidenced by a certificate of liability insurance. The wording of the endorsement shall be identical to the wording specified in s. NR 664.0151 (9). The wording of the certificate of insurance shall be identical to the wording specified in s. NR 664.0151 (10). The owner or operator shall submit a signed duplicate original of the endorsement or the certificate of insurance to the department and the state agency regulating hazardous waste or with the EPA regional administrators if the facilities are located in unauthorized states. If requested by the department, the owner or operator shall provide a signed duplicate original of the insurance policy. An owner or operator of a new facility shall submit the signed duplicate original of the hazardous waste facility liability endorsement or the certificate of liability insurance to the department at least 60 days before the date on which hazardous waste is first received for treatment, storage or disposal. The insurance shall be effective before this initial receipt of hazardous waste. NR 664.0147(2)(a)2.2. Each insurance policy shall be issued by an insurer which, at a minimum, is licensed to transact the business of insurance, or eligible to provide insurance as an excess or surplus lines insurer, in one or more states. NR 664.0147(2)(a)3.3. The department, after conferring with the Wisconsin insurance commissioner, shall determine the acceptability of a surplus lines or captive insurance company to provide coverage for proof of financial responsibility. The department shall ask the insurance commissioner to provide a financial analysis of the insurer including a recommendation as to the insurer’s ability to provide the required coverage. The department may require a periodic review of the acceptability of a surplus lines or captive insurance company. NR 664.0147(2)(b)(b) An owner or operator may meet the requirements of this section by passing a financial test or using the guarantee for liability coverage as specified in subs. (6) and (7). NR 664.0147(2)(c)(c) An owner or operator may meet the requirements of this section by obtaining a letter of credit for liability coverage as specified in sub. (8). NR 664.0147(2)(d)(d) An owner or operator may meet the requirements of this section by obtaining a surety bond for liability coverage as specified in sub. (9). NR 664.0147(2)(e)(e) An owner or operator may meet the requirements of this section by obtaining a trust fund for liability coverage as specified in sub. (10). NR 664.0147(2)(f)(f) An owner or operator may demonstrate the required liability coverage through the use of combinations of insurance, financial test, guarantee, letter of credit, surety bond and trust fund, except that the owner or operator may not combine a financial test covering part of the liability coverage requirement with a guarantee unless the financial statement of the owner or operator is not consolidated with the financial statement of the guarantor. The amounts of coverage demonstrated shall total at least the minimum amount required by this section. If the owner or operator demonstrates the required coverage through the use of a combination of financial assurances under this subsection, the owner or operator shall specify at least one such assurance as “primary” coverage and shall specify other assurance as “excess” coverage. NR 664.0147(2)(g)(g) An owner or operator shall notify the department in writing within 30 days whenever any of the following occur: NR 664.0147(2)(g)1.1. A claim results in a reduction in the amount of financial assurance for liability coverage provided by a financial instrument authorized in pars. (a) to (f). NR 664.0147(2)(g)2.2. A certification of valid claim for bodily injury or property damages caused by a sudden or non-sudden accidental occurrence arising from the operation of a hazardous waste treatment, storage or disposal facility is entered between the owner or operator and third-party claimant for liability coverage under pars. (a) to (f). NR 664.0147(2)(g)3.3. A final court order establishing a judgment for bodily injury or property damage caused by a sudden or non-sudden accidental occurrence arising from the operation of a hazardous waste treatment, storage or disposal facility is issued against the owner or operator or an instrument that is providing financial assurance for liability coverage under pars. (a) to (f). NR 664.0147(3)(3) Request for variance. If an owner or operator can demonstrate to the satisfaction of the department that the levels of financial responsibility required by sub. (1) or (2) are not consistent with the degree and duration of risk associated with treatment, storage or disposal at the facility or group of facilities, the owner or operator may obtain a variance from the department. The request for a variance shall be submitted to the department as part of the application under s. NR 670.014 for a facility that does not have a license, or pursuant to the procedures for license modification under s. NR 670.405 for a facility that has a license. If granted, the variance will take the form of an adjusted level of required liability coverage, the level to be based on the department’s assessment of the degree and duration of risk associated with the ownership or operation of the facility or group of facilities. The department may require an owner or operator who requests a variance to provide the technical and engineering information as is deemed necessary by the department to determine a level of financial responsibility other than that required by sub. (1) or (2). Any request for a variance for a licensed facility will be treated as a request for a license modification under ss. NR 670.041 (1) (e) and 670.405. NR 664.0147(4)(4) Adjustments by the department. If the department determines that the levels of financial responsibility required by sub. (1) or (2) are not consistent with the degree and duration of risk associated with treatment, storage or disposal at the facility or group of facilities, the department may adjust the level of financial responsibility required under sub. (1) or (2) as may be necessary to protect human health and the environment. This adjusted level will be based on the department’s assessment of the degree and duration of risk associated with the ownership or operation of the facility or group of facilities. In addition, if the department determines that there is a significant risk to human health and the environment from nonsudden accidental occurrences resulting from the operations of a facility that is not a surface impoundment or landfill , the department may require that an owner or operator of the facility comply with sub. (2). An owner or operator shall furnish to the department, within a reasonable time, any information which the department requests to determine whether cause exists for adjustments of level or type of coverage. Any adjustment of the level or type of coverage for a facility that has a license will be treated as a license modification under ss. NR 670.041 (1) (e) and 670.405. NR 664.0147(5)(5) Period of coverage. Within 60 days after receiving certifications from the owner or operator and a qualified professional engineer that final closure has been completed in accordance with the approved closure plan, the department will notify the owner or operator in writing that the owner or operator is no longer required to maintain liability coverage for that facility, unless the department has reason to believe that closure has not been in accordance with the approved closure plan. NR 664.0147(6)(a)(a) An owner or operator may satisfy the requirements of this section by demonstrating that the owner or operator passes a financial test as specified in this subsection. To pass this test the owner or operator shall meet the criteria of subd. 1. or 2.: NR 664.0147(6)(a)1.a.a. Net working capital and tangible net worth each at least 6 times the amount of liability coverage to be demonstrated by this test. 1) At least 90% of the owner or operator’s total assets.
2) At least 6 times the amount of liability coverage to be demonstrated by this test.
NR 664.0147(6)(a)2.a.a. A current rating for the owner or operator’s most recent bond issuance of AAA, AA, A or BBB as issued by Standard and Poor’s, or Aaa, Aa, A or Baa as issued by Moody’s. NR 664.0147(6)(a)2.c.c. Tangible net worth at least 6 times the amount of liability coverage to be demonstrated by this test. 1) At least 90% of the owner or operator’s total assets.