Ohio Petroleum Underground Storage Tank Release Compensation Board
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Petroleum Underground Storage Tank Release Compensation Board P.O. Box 163188 • Columbus, Ohio 43216-3188 Phone: (614) 752-8963 • Fax: (614) 752-8397 www.petroboard.org AGENDA Petroleum UST Release Compensation Board September 7, 2016 I. Chairman’s Call to Order II. Approval of Minutes – June 8, 2016 Tab 1 III. Selection of Chairman and Vice Chairman A. Rules Committee Appointments B. Finance Committee Appointments C. Selection of 2017 Board Meeting Dates IV. BUSTR Report – Chief Bill Hills Tab 2 V. Financial Reports – Don Leasor A. May, June and July Financials Tab 3 B. Fee Statement Statistics Tab 4 VI. Compliance and Fee Assessment Report – Madelin Esquivel Tab 5 VII. Claims Reports – Cindy Duann Tab 6 VIII. Unfinished Business A. Suspending Claim Review Tab 7 IX. New Business A. Lease Agreement B. Hardship Applications 1. Claim # 11924-0001/10/26/95 Tab 8A Owner: Adams Marathon 2. Claim # 14094-0001/09/07/11 Tab 8B Owner: Gas Station Enterprise, LLC 3. Claim # 16065-0001/03/25/96 Tab 8C Owner: Estate of Bob Jeffers 4. Claim # 16697-0001/05/28/93 Tab 8D Owner: Estate of Shirley Cira 5. Claim # 22741-0001/02/05/14 Tab 8E Owner: Route 53 Service, LLC X. Certificates of Coverage Ratification A. 2015 Certificates – Issued & Denied Tab 9 B. 2016 Certificates – Issued Tab 10 XI. Executive Session XII. Confirm Next Meeting Date and Adjourn Memorandum To: Petroleum Underground Storage Tank Release Compensation Board From: Chief William Hills, BUSTR Re: BUSTR Report Date: August 23, 2016 for September 7, 2016 PERSONNEL – The Attorney and Clerk positions have been funded, posted, and are in a holding pattern with Commerce Human Resources. James Feeman has been hired as a UST Inspector Supervisor. An intermittent has been hired as a File Room Clerk and a paralegal will start on September 1, 2016. ADMINISTRATION – The BUSTR Revolving Loan Fund Program that enables Political Subdivisions to address the removal of Underground Storage Tanks is now effective. The application form is available on the State Fire Marshal web site. The third responsible party search program project has completed 200 case searches. Another 184 cases are being prepared for the vendors this fiscal year. SFM, OEPA, and Development are working together to develop guidelines for the use of $20,000,000 available to Development for potential clean-up for UST facilities. Seven grants have been awarded for over one million dollars. The OTTER upgrade project was awarded to Optimum Technology and work is progressing. Testing of the system is ongoing by Release Prevention, Corrective Action and Testing & Registration. TRAINING AND STAFF DEVELOPMENT – Commerce Human Resources and the Department of Administrative Services are providing various training and informational sessions for Commerce employees. All BUSTR employees are completing their annual Ethics training. Verne Ord and Steven Krichbaum are attending the U.S. EPA Region 5 All-States Meeting on August 24 – 25, 2016. TRAINING TO STAKEHOLDERS – Draft rules and a compendium (explaining the modifications) are posted on the SFM/BUSTR web site. BUSTR staff is preparing responses to the comments received from interested parties and they will be posted with the comments on the web site. Meeting with interested parties will be scheduled to discuss outstanding concerns not addressed in the comments. Further updating on the draft rules will be made available at the PUSTRCB meeting on September 7, 2016. ACTIVITY – OTTER Database Upgrade Project IT Commerce continues to correct minor issues as part of the contract. Click Scheduling There have only been a few minor issues that are being handled in-house. STATISTICS and/or COMMENTS – Release Prevention UST Operation Compliance Inspections The current 3-year inspection cycle ends June 30, 2019. For the week ending August 19, 2016 47 new inspections were performed for a total of 1,187 inspections. (Start of new 3-year inspection cycle). Corrective Action No Further Action Letters (NFA) The current grant cycle ends September 30, 2016. For the week ending August 19, 2016 8 NFA’s were generated, for a total of 459 NFA’s To-date target projection of total NFA’s is 535 Statistic Count as of 8/19/2016 Number of Registered Tanks 21,594 Number of Owners of Registered Facilities 3,638 Number of Registered Facilities 7,305 Number of Active Releases 2,286 Number of Active Closures 1,392 Number of Program No Further Actions 29,385 MONTHLY INCOME FIGURES AS OF JULY 31, 2016 (CASH BASIS) Fiscal 2017 % Of FY 2017 July Total YTD Budget Budget Tank Revenue In house collections * 8,833,156.50 8,833,156.50 Net refunds paid 0.00 0.00 AG collections 18,413.37 18,413.37 Collection costs paid by owner (5,785.46) (5,785.46) Total Tank Revenue 8,845,784.41 8,845,784.41 94.00% 9,410,000 Interest Income Interest Earned 26,095.64 26,095.64 13.33% 195,800 Unearned Gain/(Loss) on Investments (17,200.00) (17,200.00) Total Interest Income 8,895.64 8,895.64 Miscellaneous Income 0.00 0.00 0.00% 1,000 Total Income 8,854,680.05 8,854,680.05 92.17% 9,606,800 Claims Expense 698,190.03 698,190.03 7.76% 9,000,000 Operating Expenses Salaries 88,299.32 88,299.32 6.76% 1,305,425 Temp Services * 4,786.70 4,786.70 10.88% 44,000 Rent 10,148.84 10,148.84 8.00% 126,800 Office Supplies 609.24 609.24 3.05% 20,000 Printing & Copying * 1,277.68 1,277.68 8.52% 15,000 Staff Development 0.00 0.00 0.00% 1,000 Advertising 0.00 0.00 0.00% 2,000 Legal & Professional L&P services 1,625.67 1,625.67 Collection costs 6,101.37 6,101.37 Collection costs paid by owner (5,785.46) (5,785.46) Total L & P Expense 1,941.58 1,941.58 0.84% 230,000 Travel 136.80 136.80 1.71% 8,000 Employee Expenses 1,885.00 1,885.00 6.76% 27,900 Telephone 1,039.94 1,039.94 7.48% 13,900 Postage * 16,190.22 16,190.22 53.97% 30,000 Depreciation 1,051.85 1,051.85 8.77% 12,000 Total Operating Expenses 127,367.17 127,367.17 6.94% 1,836,025 Net Income (Cash method) 8,029,122.85 * Extremely cylical; occurs mainly during and as a result of the fee assessment period. Petroleum UST Release Compensation Board Balance Sheet As of 07/31/2016 Assets Current Assets 108 State Cash Balance 3,336,373.28 112 Debt Service Fund 0.00 114 Treasury Notes 14,140,330.86 138 Unclaimed Monies Trust Account 19,777.92 140 Investments - Obligated 8,301,809.97 141 Reinvested Interest - Obligated 2,439.28 142 Investments - Unobligated 8,514,260.29 143 Reinvested Interest-Unobligated 5,076.07 Total Current Assets 34,320,067.67 Fixed Assets 160 Fixed Asset-Furniture 106,238.20 165 Fixed Asset-Data Processing 832,501.58 169 Accumulated Depreciation (907,318.17) Total Fixed Assets 31,421.61 Total Assets $34,351,489.28 Liabilities Current Liabilities Total Current Liabilities 0.00 Long Term Liabilities Total Long Term Liabilities 0.00 Total Liabilities $0.00 Equity Equity Accounts 283 Retained Earnings (Deficiency) 22,930,271.55 Current Year Income (Loss) 11,421,217.73 Total Equity 34,351,489.28 Total Liabilities and Equity $34,351,489.28 Printed: 08/26/2016 3:48 pm rpt0105 Page 1 of 1 Petroleum UST Release Compensation Board Income Statement For the Month Ended 07/31/2016 Operating Income Year To Date 301 Tank Fees 10,512,748.42 10,512,748.42 303 Investment Income (8,895.64) (8,895.64 ) Total Operating Income 10,503,852.78 10,503,852.78 Operating Expenses 350 Claims Paid (799,860.45) (799,860.45 ) Total Operating Expenses (799,860.45) (799,860.45) Administrative Expenses 621 Salaries (108,989.43) (108,989.43 ) 626 Temporary Services 2,016.88 2,016.88 634 Rent 10,148.84 10,148.84 638 Office Supplies (68.90) (68.90 ) 668 Legal & Professional (24,588.68) (24,588.68 ) 669 Depreciation Expense 1,051.85 1,051.85 675 Employee Expenses 1,885.00 1,885.00 680 Telephone 1,039.94 1,039.94 Total Administrative Expenses (117,504.50) (117,504.50) Net Income (Loss) $11,421,217.73 $11,421,217.73 Printed: 08/26/2016 3:48 pm rpt0106 Page 1 of Petroleum UST Release Compensation Board Trial Balance Transaction Dates 07/01/2016 to 07/31/2016 Account Account Beginning Balance Transaction Ending Balance 108 State Cash Balance 2,065,645.37 1,270,727.91 3,336,373.28 114 Treasury Notes 14,156,750.55(16,419.69 ) 14,140,330.86 138 Unclaimed Monies Trust Account 19,769.22 8.70 19,777.92 140 Investments - Obligated 1,834,937.80 6,466,872.17 8,301,809.97 141 Reinvested Interest - Obligated 13,551.53(11,112.25 ) 2,439.28 142 Investments - Unobligated 15,627,905.89(7,113,645.60 ) 8,514,260.29 143 Reinvested Interest-Unobligated 37,865.07(32,789.00 ) 5,076.07 160 Fixed Asset-Furniture 106,238.20 0.00 106,238.20 165 Fixed Asset-Data Processing 833,170.93(669.35 ) 832,501.58 169 Accumulated Depreciation (907,318.17) 0.00(907,318.17 ) 171 Collateral on Lent Securities 1,283.79(1,283.79 ) 0.00 240 Accrued Benefits (Employer Contributi (14,697.56) 14,697.56 0.00 241 Accrued Salaries (40,321.83) 40,321.83 0.00 242 Accrued Vacation (82,615.99) 82,615.99 0.00 243 Compensated Absences (50,449.07) 50,449.07 0.00 250 Accounts Payable (26,247.53) 26,247.53 0.00 252 Claims Payable (1,498,050.48) 1,498,050.48 0.00 254 Accrued Liabilities (22,173.37) 22,173.37 0.00 255 Fees Received in Advance (7,456,725.00) 7,456,725.00 0.00 257 Tank Fee Refunds Payable (1,631,604.01) 1,631,604.01 0.00 265 Obligations Under Securities Lending (1,283.79) 1,283.79 0.00 266 Unclaimed Monies Payable (35,360.00) 35,360.00 0.00 283 Retained Earnings (Deficiency) (22,930,271.55) 0.00(22,930,271.55 ) 301 Tank Fees 0.00(10,512,748.42 ) (10,512,748.42 ) 303 Investment Income 0.00 8,895.64 8,895.64 350 Claims Paid 0.00(799,860.45 ) (799,860.45 ) 621 Salaries 0.00(108,989.43