Section R18-12-609. Copayments: Applicability, Waivers, and Credits

A.      General. An eligible person shall certify to the Department that the eligible person has met or will meet the copayment requirements of A.R.S. §§ 49-1052(I) and 49-1054(A) by pro- viding written certification on a form provided by the Depart- ment. An eligible person may make such certification if the eligible person has entered a written agreement with a correc- tive action service provider to pay the copayment. At the request of the Department, the eligible person shall provide a copy of the agreement. The Department shall keep any agree- ment received under this subsection confidential to the extent allowed by law. The Department shall withhold the applicable amount of copayment determined under this Section from pay- ment to the eligible person or designated representative of the owner or operator. The copayment on a reimbursement appli- cation is defined by the percentage of the approved amount on the reimbursement application, less any allowable credits under this Section. The copayment on a direct payment request is defined by the percentage of the approved amount on the direct payment request, less any allowable credits under this Section, and not the percentage of the total amount approved in the preapproval application. There is no copayment on a preapproval application.

B.       Owners and Operators. Owners and operators are responsible for a 10 percent or 50 percent copayment, as applicable, as described in subsection (A) and R18-12-601(A)(1) or not responsible for a copayment as described in R18-12- 601(A)(3).

C.      Volunteers. A volunteer is responsible for a 10 percent copayment as described in subsection (A) unless the 10 per- cent copayment is waived by the Department. The Department may waive the 10 percent copayment obligation for a volun- teer upon a demonstration by the volunteer that the 10 percent of approved costs in an application or direct payment request to be withheld under subsection (A) exceeds the assessed valu- ation of the real property that is the subject of the corrective actions in the application or direct payment request and that the real property is owned or under the principal control of the volunteer. The volunteer shall demonstrate eligibility for the copayment waiver only upon presentation to the Department of a copy of the unaltered official record of the county, indicat- ing the tax assessed full cash value of the property.

D.      Application Preparation Credit. Subject to R18-12-608(F)(16), the Department shall credit to the copayment amount the pro- fessional fees for preparation of an application or direct pay- ment request in accordance with the schedule of corrective action costs. The total credit under this Section shall not exceed the copayment obligation for the reimbursement appli- cation or direct payment request and any excess fee amount shall not be credited on any other reimbursement application or direct payment request. For a direct payment request, the Department shall apply the credit to the copayment amount in accordance with R18-12-606(B)(3).

E.       UST Upgrade Credit. For a reimbursement application or direct payment request, the Department may credit, to the copayment amount of an owner or operator, the costs of upgrading or replacing the UST that is a source of a release that is a subject of the reimbursement application or direct payment request. The Department shall ensure that UST upgrade or replacement costs credited to the copayment are:

1.        Incurred by an owner or operator of the UST. Political subdivisions and volunteers are not eligible for a UST upgrade credit.

2.        Incurred at the time of corrective action on the release from the UST that is the subject of the reimbursement application or direct payment request.

3.        Incurred for compliance with 40 CFR § 280.21 regarding corrosion protection and spill and overfill prevention or 40 CFR § 280.20 regarding replacement, provided the upgrade or replacement and associated costs meet the applicable requirements of R18-12-608.

4.        Subject to the following limitations:

a.         Total credit under this subsection shall not exceed 10 percent of the coverage provided the owner or oper- ator under A.R.S. § 49-1054(A) for the release.

b.        Total credit under this Section shall not exceed the copayment obligation for the reimbursement appli- cation or direct payment request.

5.        Credited to more than one reimbursement application or direct payment request.

Historical Note

Adopted effective September 21, 1992 (Supp. 92-3). Sec- tion repealed; New Section made by final rulemaking at 12 A.A.R. 1611, effective June 4, 2006 (Supp. 06-2).