Comfort Line - Questions and Answers

This quarter our questions and answers segment discusses funds available to oil heat consumers through the New Jersey Petroleum Underground Storage Tank Remediation, Upgrade & Closure Fund (UST Fund).

What is the New Jersey UST Fund?

The UST Fund was set up to help consumers with environmental clean up costs associated with a leaking underground storage tank. The fund has been around for many years and currently contains more than $90 million. Money is available from the UST Fund to qualified homeowners in the form of grants and qualified businesses in the form of loans.

I heard that legislation was recently passed that made significant changes to the UST Fund. What are these changes?

Under prior law, the following three requirements had to be met to qualify for a grant:

1. Your taxable income had to be less that $200,000 per year.
2. Your net worth, not including the equity in your home and any pension or retirement plan funds, had to be less than $200,000.
3. Your tank had to be leaking.

How much is available for the replacement of my underground tank?

The new legislation provides up to $3,000 for the removal and replacement of your tank. In most cases, $3,000 will cover the majority of the cost of this work. We recommend installing a double wall aboveground replacement tank in the basement, garage or outside.

If I remove my underground tank and it is leaking, are funds still available to pay for the cleanup?

Yes, as long as you meet the income and net worth requirements.

How do I apply for a grant to replace my underground tank?

You must file an application with the state. You can obtain a copy of the application from the New Jersey Economic Development Authority by calling 609-292-1800. You can also download the application and instructions online at www.njeda.com. There is a $250 application fee.

Assuming I meet the taxable income and net worth requirements, can I really qualify for a grant?

Yes. However, given the changes in the law, we anticipate there will be a great demand for these funds and we recommend you apply early, before the fund becomes depleted.

I participate in the ProGuard Tank and Environmental Protection Program. Does that make me ineligible to obtain a grant from the UST Fund?

No. As long as you meet the income and net worth requirements, you can still qualify for a grant.

Can Hart & Iliff help me with this process?

Yes. If you have questions or problems completing the application, call us and we will be glad to help. In addition, we can install the new tank for you and arrange for the removal of your underground tank. For information, call us at 973-383-1421.