TITLE 35: ENVIRONMENTAL PROTECTION

SUBTITLE G: WASTE DISPOSAL

CHAPTER I: POLLUTION CONTROL BOARD

SUBCHAPTER b: PERMITS

PART 704

UIC PERMIT PROGRAM

SUBPART A: GENERAL PROVISIONS

Section

704.101

Content

704.102

Scope of the Permit or Rule Requirement

704.103

Identification of Aquifers

704.104

Exempted Aquifers

704.105

Specific Inclusions and Exclusions

704.106

Classification of Injection Wells

704.107

Definitions

704.108

Electronic Reporting

SUBPART B: PROHIBITIONS

Section

704.121

Prohibition Against Unauthorized Injection

704.122

Prohibition Against Movement of Fluid into USDW

704.123

Identification of USDWs and Exempted Aquifers

704.124

Prohibition Against Class IV Injection Wells

SUBPART C: AUTHORIZATION OF UNDERGROUND INJECTION BY

RULE

Section

704.141

Existing Class I and III Injection Wells

704.142

Prohibitions Against Injection into Wells Authorized by Rule

704.143

Expiration of Authorization

704.144

Requirements

704.145

Existing Class IV Injection Wells

704.146

Class V Injection Wells

704.147

Requiring a Permit

704.148

Inventory Requirements

704.149

Requiring other Information

704.150

Requirements for Class I and III Injection Wells Authorized by Rule

704.151

RCRA Interim Status for Class I Injection Wells

SUBPART D: APPLICATION FOR PERMIT

Section

704.161

Application for Permit; Authorization by Permit

704.162

Area Permits

704.163

Emergency Permits

704.164

Signatories to Permit Applications

SUBPART E: PERMIT CONDITIONS

Section

704.181

Additional Conditions

704.182

Establishing UIC Permit Conditions

704.183

Construction Requirements

704.184

Corrective Action

704.185

Operation Requirements

704.186

Hazardous Waste Requirements

704.187

Monitoring and Reporting

704.188

Plugging and Abandonment

704.189

Financial Responsibility

704.190

Mechanical Integrity

704.191

Additional Conditions

704.192

Waiver of Requirements by Agency

704.193

Corrective Action

704.194

Maintenance and Submission of Records

SUBPART F: REQUIREMENTS FOR WELLS INJECTING HAZARDOUS

WASTE

Section

704.201

Applicability

704.202

Authorization

704.203

Requirements

SUBPART G: FINANCIAL RESPONSIBILITY FOR CLASS I HAZARDOUS

WASTE INJECTION WELLS

Section

704.210

Applicability

704.211

Definitions

704.212

Cost Estimate for Plugging and Abandonment

704.213

Financial Assurance for Plugging and Abandonment

704.214

Trust Fund

704.215

Surety Bond Guaranteeing Payment

704.216

Surety Bond Guaranteeing Performance

704.217

Letter of Credit

704.218

Plugging and Abandonment Insurance

704.219

Financial Test and Corporate Guarantee

704.220

Multiple Financial Mechanisms

704.221

Financial Mechanism for Multiple Facilities

704.222

Release of the Owner or Operator

704.230

Incapacity

704.240

Wording of the Instruments

SUBPART H: ISSUED PERMITS

Section

704.260

Transfer

704.261

Modification

704.262

Causes for Modification

704.263

Well Siting

704.264

Minor Modifications

SUBPART I: REQUIREMENTS FOR CLASS V INJECTION WELLS

Section

704.279

General

704.280

Definition of a Class V Injection Well

704.281

Examples of Class V Injection Wells

704.282

Protection of Underground Sources of Drinking Water

704.283

Notification of a Class V Injection Well

704.284

Permit Requirements

704.285

Applicability of the Additional Requirements

704.286

Definitions

704.287

Location in a Groundwater Protection Area or Another Sensitive Area

704.288

Additional Requirements

704.289

Closure of a Class V Injection Well

AUTHORITY: Implementing Sections 7.2, 13, and 22.4 and authorized by Section 27 of the

Environmental Protection Act [415 ILCS 5/7.2, 13, 22.4, and 27].

SOURCE: Adopted in R81-32 at 6 Ill. Reg. 12479, effective March 3, 1984; amended in R82-

19, at 7 Ill. Reg. 14402, effective March 3, 1984; amended in R83-39, at 55 PCB 319, at 7 Ill.

Reg. 17338, effective December 19, 1983; amended in R85-23 at 10 Ill. Reg. 13290, effective

July 29, 1986; amended in R87-29 at 12 Ill. Reg. 6687, effective March 28, 1988; amended in

R88-2 at 12 Ill. Reg. 13700, effective August 16, 1988; amended in R88-17 at 13 Ill. Reg. 478,

effective December 30, 1988; amended in R89-2 at 14 Ill. Reg. 3116, effective February 20,

1990; amended in R94-17 at 18 Ill. Reg. 17641, effective November 23, 1994; amended in R94-

5 at 18 Ill. Reg. 18351, effective December 20, 1994; amended in R00-11/R01-1 at 24 Ill. Reg.

18612, effective December 7, 2000; amended in R01-30 at 25 Ill. Reg. 11139, effective August

14, 2001; amended in R06-16/R06-17/R06-18 at 31 Ill. Reg. 605, effective December 20, 2006.

SUBPART A: GENERAL PROVISIONS

Section 704.101

Content

The regulations in this Subpart A set forth the specific requirements for the UIC (Underground

Injection Control) permit program. These rules are intended to implement the UIC permit

requirement of Section 12(g) of the Environmental Protection Act (Act) [415 ILCS 5/12(g)].

These rules are intended to be identical in substance to United States Environmental Protection

Agency (USEPA) rules found in 40 CFR 144. The regulations in this Subpart A are

supplemental to the requirements in 35 Ill. Adm. Code 702, which contains requirements for

both the RCRA and UIC permit programs. Operating requirements for injection wells are

included in 35 Ill. Adm. Code 730.

BOARD NOTE: Derived from 40 CFR 144.1 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.102

Scope of the Permit or Rule Requirement

Although five classes of wells are set forth in Section 704.106, the UIC (Underground Injection

Control) permit program described in 35 Ill. Adm. Code 702, 704, 705, and 730 regulates

underground injection for only four classes of wells (see definition of “well injection,” 35 Ill.

Adm. Code 702.110). Class II wells (Section 704.106(b)) are not subject to the requirements

found in 35 Ill. Adm. Code 702, 704, 705, and 730. The UIC permit program for Class II wells

is regulated by the Illinois Department of Natural Resources, Office of Mines and Minerals, Oil

and Gas Division, pursuant to the Illinois Oil and Gas Act [225 ILCS 725] (see 62 Ill. Adm.

Code 240). The owner or operator of a Class I, Class III, Class IV, or Class V injection well

must be authorized either by permit or rule. In carrying out the mandate of the SDWA, this Part

provides that no injection may be authorized by permit or rule if it results in movement of fluid

containing any contaminant into underground sources of drinking water (USDWs) (Section

704.122) if the presence of that contaminant may cause a violation of any primary drinking water

regulation under 35 Ill. Adm. Code 611 or may adversely affect the health of persons (Section

704.122). Section 704.124 prohibits the construction, operation, or maintenance of a Class IV

injection well. A Class V injection well is regulated under Subpart I of this Part. If remedial

action appears necessary for a Class V injection well, an individual permit may be required

(Subpart C of this Part) or the Agency must require remedial action or closure by order (see

Section 704.122(c)).

BOARD NOTE: Derived from 40 CFR 144.1(g) preamble (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.103

Identification of Aquifers

During UIC program development, the Agency may identify aquifers and portions of aquifers

that are actual or potential sources of drinking water. This identification will provide an aid to

the Agency in carrying out its duty to protect all USDWs. An aquifer is a USDW if it fits the

definition, even if it has not been identified by the Agency.

BOARD NOTE: See 35 Ill. Adm. Code 702.106. Derived from 40 CFR 144.1(g) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.104

Exempted Aquifers

The Board may designate “exempted aquifers” using criteria in 35 Ill. Adm. Code 730. Such an

aquifer is one that would otherwise qualify as a USDW to be protected, but which has no real

potential to be used as a source of drinking water. Therefore they are not USDWs. No aquifer is

an “exempted aquifer” until it has been affirmatively designated under the procedures in Section

704.123. An aquifer that does not fit the definition of a USDW is not an exempted aquifer. It is

simply not subject to the special protection afforded a USDW.

BOARD NOTE: See 35 Ill. Adm. Code 702.105. Derived from 40 CFR 144.1(g) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.105

Specific Inclusions and Exclusions

The following wells are included among those types of injection activities that are

covered by the UIC regulations. (This list is not intended to be exclusive but is

for clarification only.)

Any injection well located on a drilling platform inside territorial waters

of the State of Illinois;

Any dug hole or well that is deeper than its largest surface dimension,

where the principal function of the hole is emplacement of fluids;

Any well used by generators of hazardous waste, or by owners or

operators of hazardous waste management facilities, to dispose of fluids

containing hazardous waste. This includes the disposal of hazardous

waste into what would otherwise be a septic system or cesspool,

regardless of its capacity;

Any septic tank, cesspool, or other well used by a multiple dwelling,

community, or regional system for the injection of wastes.

The following are not covered by this Part:

An injection well located on a drilling platform or other site that is beyond

the territorial waters of the State of Illinois;

An individual or single family residential waste disposal system, such as a

domestic cesspool or septic system;

A nonresidential cesspool, septic system, or similar waste disposal system

if such system is used solely for the disposal of sanitary waste, and has the

capacity to serve fewer than 20 persons a day;

An injection well used for injection of hydrocarbons that are of pipeline

quality and are gases at standard temperature and pressure for the purpose

of storage;

Any dug hole, drilled hole, or bored shaft that is not used for the

subsurface emplacement of fluids;

A Class II injection well.

The prohibition applicable to a Class IV injection well under Section 704.124

does not apply to injection of hazardous wastes into an aquifer or portion of an

aquifer that has been exempted pursuant to 35 Ill. Adm. Code 730.104.

BOARD NOTE: Derived from 40 CFR 144.1(g)(1) through (g)(3) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.106

Classification of Injection Wells

Injection wells are classified as follows:

Class I injection wells. Any of the following is a Class I injection well:

A well used by a generator of hazardous waste or the owner or operator of

a hazardous waste management facility to inject hazardous waste beneath

the lowermost formation containing a USDW within 402 meters (one-

quarter mile) of the well bore.

Any other industrial and municipal disposal well that injects fluids

beneath the lowermost formation containing a USDW within 402 meters

(one-quarter mile) of the well bore.

A radioactive waste disposal well that injects fluids below the lowermost

formation containing a USDW within 402 meters (one-quarter mile) of the

well bore.

Class II injection wells. Any well that injects any of the following fluids is a

Class II injection well:

Fluids that are brought to the surface in connection with natural gas

storage operations, or conventional oil or natural gas production, and

which may be commingled with waste waters from gas plants that are an

integral part of production operations, unless those waters are classified as

a hazardous waste at the time of injection;

Fluids injected for enhanced recovery of oil or natural gas; and

Fluids injected for storage of hydrocarbons that are liquid at standard

temperature and pressure.

Class III injection wells. Any well that injects fluids for the extraction of

minerals, including the following:

The mining of sulfur by the Frasch process;

The in-situ production of uranium or other metals. This category includes

only in-situ production from ore bodies that have not been conventionally

mined. Solution mining of conventional mines, such as stopes leaching, is

included as a Class V injection well; and

Solution mining of salts or potash.

Class IV injection wells. Any of the following is a Class IV injection well:

A well used by a generator of hazardous waste or of radioactive waste, by

the owner or operator of a hazardous waste management facility or by the

owner or operator of a radioactive waste disposal site to dispose of

hazardous wastes or radioactive wastes into a formation that contains a

USDW within 402 meters (one-quarter mile) of the well.

A well used by a generator of hazardous waste or of radioactive waste, by

the owner or operator of a hazardous waste management facility, or by the

owner or operator of a radioactive waste disposal site to dispose of

hazardous waste or radioactive waste above a formation that contains a

USDW within 402 meters (one-quarter mile) of the well.

A well used by a generator of hazardous waste or the owner or operator of

a hazardous waste management facility to dispose of hazardous waste, that

cannot be classified under any of subsections (a)(1), (d)(1), or (d)(2) of

this Section (e.g., a well that is used to dispose of hazardous waste into or

above a formation that contains an aquifer that has been exempted

pursuant to 35 Ill. Adm. Code 730.104).

Class V injection wells. Any injection well that is not classified as a Class I, II,

III, or IV injection well.

BOARD NOTE: Derived from 40 CFR 144.6 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.107

Definitions

The definitions of 35 Ill. Adm. Code 702 apply to this Part. Specific types of Class V injection

wells are described in Section 704.281.

BOARD NOTE: Derived from 40 CFR 144.3 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.108

Electronic Reporting

The filing of any document pursuant to any provision of this Part as an electronic document is

subject to 35 Ill. Adm. Code 720.104.

BOARD NOTE: Derived from 40 CFR 3 and 145.11(a)(33), as added at 70 Fed. Reg. 59848

(Oct. 13, 2005).

(Source: Added at 31 Ill. Reg. 605, effective December 20, 2006)

SUBPART B: PROHIBITIONS

Section 704.121

Prohibition Against Unauthorized Injection

Any underground injection, except into a well authorized by permit or rule issued pursuant to

this Part and 35 Ill. Adm. Code 705 is prohibited. The construction of any well required to have

a permit under this Part is prohibited until the permit has been issued.

BOARD NOTE: Derived from 40 CFR 144.11 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.122

Prohibition Against Movement of Fluid into USDW

No owner or operator may construct, operate, maintain, convert, plug, abandon, or

conduct any other injection activity in a manner that allows the movement of fluid

containing any contaminant into a USDW, if the presence of that contaminant

could cause a violation of any national primary drinking water regulation under

35 Ill. Adm. Code 611 (derived from 40 CFR 141) or could otherwise adversely

affect the health of persons. The applicant for a permit has the burden of showing

that the requirement of this subsection (a) is met.

For a Class I or III injection well, if any water quality monitoring of a USDW

indicates the movement of any contaminant into the USDW, except as authorized

under 35 Ill. Adm. Code 730, the Agency must prescribe such additional

requirements for construction, corrective action, operation, monitoring or

reporting (including closure of the injection well) as are necessary to prevent such

movement. In the case of a well authorized by permit, these additional

requirements must be imposed by modifying the permit in accordance with 35 Ill.

Adm. Code 702.183 through 702.185, or appropriate enforcement action may be

taken if the permit has been violated, and the permit may be subject to revocation

under 35 Ill. Adm. Code 702.186 if cause exists. In the case of wells authorized

by rule, see Section 704.141 through 704.146.

For a Class V injection well, if at any time the Agency learns that a Class V

injection well could cause a violation of any national primary drinking water

regulation under 35 Ill. Adm. Code 611 (derived from 40 CFR 141), it must

undertake one of the following actions:

It must require the injector to obtain an individual permit;

It must issue a permit that requires the injector to take such actions

(including, where necessary, closure of the injection well) as may be

necessary to prevent the violation; or

It may initiate enforcement action.

Whenever the Agency learns that a Class V injection well may be otherwise

adversely affecting the health of persons, it may prescribe such actions as may be

necessary to prevent the adverse effect, including any action authorized under

subsection (c) of this Section.

Notwithstanding any other provision of this Section, the Agency may take

emergency action upon receipt of information that a contaminant that is present in

or is likely to enter a public water system or a USDW may present an imminent

and substantial endangerment to the health of persons. The Agency may declare

an emergency and affix a seal pursuant to Section 34 of the Act [415 ILCS 5/34].

BOARD NOTE: Derived from 40 CFR 144.12 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.123

Identification of USDWs and Exempted Aquifers

The Agency may identify (by narrative description, illustrations, maps, or other

means) and must protect, except where exempted under subsection (b) of this

Section, as a USDW, any aquifer or part of an aquifer that meets the definition of

a USDW in 35 Ill. Adm. Code 702.110. Even if an aquifer has not been

specifically identified by the Agency, it is a USDW if it meets the definition in 35

Ill. Adm. Code 702.110. Identification of USDWs must be made according to

criteria adopted by the Agency pursuant to 35 Ill. Adm. Code 702.106.

Identification of an exempted aquifer.

The Agency may identify (by narrative description, illustrations, maps, or

other means) and describe in geographic or geometric terms (such as

vertical and lateral limits and gradient) that are clear and definite, any

aquifer or part of an aquifer that the Agency desires the Board to designate

as an exempted aquifer using the criteria in 35 Ill. Adm. Code 730.104, as

described in this subsection (b).

No designation of an exempted aquifer may be final until approved by

USEPA as part of the State program.

Subsequent to program approval, the Board may identify additional

exempted aquifers.

Identification of exempted aquifers must be by rulemaking pursuant to 35

Ill. Adm. Code 102 and 702.105 and Sections 27 and 28 of the Act [415

ILCS 5/27 and 28], considering the criteria set forth in 35 Ill. Adm. Code

730.104.

For a Class III injection well, an applicant for a permit that necessitates an aquifer

exemption under 35 Ill. Adm. Code 730.104(b)(1) must furnish the data necessary

to demonstrate that the aquifer is expected to be mineral or hydrocarbon

producing. Information contained in the mining plan for the proposed project,

such as a map and general description of the mining zone, general information on

the mineralogy and geochemistry of the mining zone, analysis of the amenability

of the mining zone to the proposed mining method, and a timetable of planned

development of the mining zone must be considered by the Board in addition to

the information required by Section 704.161(c). Approval of the exempted

aquifer must be by rulemaking pursuant to 35 Ill. Adm. Code 102 and 702.105

and Sections 27 and 28 of the Act [415 ILCS 5/27 and 28]. Rules will not

become final until approved by USEPA as a program revision.

BOARD NOTE: Derived from 40 CFR 144.7 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.124

Prohibition Against Class IV Injection Wells

The following are prohibited, except as provided in subsection (c) of this Section:

The construction of any Class IV injection well.

The operation or maintenance of any Class IV injection well.

Any increase in the amount of hazardous waste or change in the type of

hazardous waste injected into a Class IV injection well.

A Class IV injection well must comply with the requirements of Section 704.203

and the Class IV injection well closure requirements of Section 704.145.

A well used to inject contaminated groundwater that has been treated and is being

reinjected into the same formation from which it was originally drawn is not

prohibited by this Section if such injection is approved by the Agency pursuant to

provisions in the Act for preventive or corrective action, by the USEPA pursuant

to provisions for cleanup of releases under the Comprehensive Environmental

Response Compensation, and Liability Act of 1980 (CERCLA) (42 USC 9601 et

seq.), by USEPA pursuant to requirements and provisions under the Resource

Conservation and Recovery Act (RCRA) (42 USC 6901 et seq.), or by the

Agency pursuant to Section 39 of the Act [415 ILCS 5/39].

Clarification. This Section does not prohibit any of the following injection wells:

A well used to inject hazardous waste into an aquifer or a portion of an

aquifer that has been exempted pursuant to 35 Ill. Adm. Code 730.104 if

the exempted aquifer into which waste is injected underlies the lowermost

formation containing a USDW. Such a well is a Class I injection well, as

specified in Section 704.106(a)(1), and the owner or operator must comply

with the requirements applicable to a Class I injection well.

A well used to inject hazardous waste where no USDW exists within one

quarter mile of the well bore in any underground formation, provided that

the Agency determines that such injection is into a formation sufficiently

isolated to ensure that injected fluids do not migrate from the injection

zone. Such a well is a Class I injection well, as specified in Section

704.106(a)(1), and the owner or operator must comply with the

requirements applicable to a Class I injection well.

BOARD NOTE: Derived from 40 CFR 144.13 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

SUBPART C: AUTHORIZATION OF UNDERGROUND INJECTION BY

RULE

Section 704.141

Existing Class I and III Wells

Section 704.141

Existing Class I and III Injection Wells

Injection into an existing Class I or Class III injection well is authorized by rule if

the owner or operator fulfills either of the conditions of subsection (a)(1) or (a)(2)

of this Section, subject to subject (a)(3) of this Section:

It injected into the existing well within one year after March 3, 1984, or

It inventories the well pursuant to Section 704.148.

The owner or operator of a well that is authorized by rule pursuant to this

Section must rework, operate, maintain, convert, plug, abandon, or inject

into the well in compliance with applicable regulations.

Class III injection wells in existing fields or projects. Notwithstanding the

prohibition in Section 704.121, this Section authorizes Class III injection wells or

projects in existing fields or projects to continue normal operations until

permitted, including construction, operation, and plugging and abandonment of

wells as part of the operation provided the owner or operator maintains

compliance with all applicable requirements.

BOARD NOTE: Derived from 40 CFR 144.21(a) and (d) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.142

Prohibitions Against Injection into Wells Authorized by Rule

An owner or operator of a well authorized by rule pursuant to this Subpart C is prohibited from

injecting into the well on the occurrence of any of the following:

Upon the effective date of an applicable permit denial;

Upon a failure to submit a permit application in a timely manner pursuant to

Section 704.147 or 704.161;

Upon a failure to submit inventory information in a timely manner pursuant to

Section 704.148;

Upon a failure to comply with a request for information in a timely manner

pursuant to Section 704.149;

Upon a failure to provide alternative financial assurance pursuant to Section

704.150(d)(6);

48 hours after receipt of a determination by the Agency pursuant to Section

704.150(f)(3) that the well lacks mechanical integrity, unless the Agency orders

immediate cessation pursuant to Section 34 of the Act or as ordered by a court

pursuant to Section 43 of the Act [415 ILCS 5/43];

Upon receipt of notification from the Agency that the transferee has not

demonstrated financial assurance pursuant to Section 704.150(d);

For Class I and Class III injection wells: after March 3, 1989, unless a timely and

complete permit application for a permit was pending the Agency’s decision; or

This subsection (i) corresponds with 40 CFR 144.21(c)(9), a provision related to

Class II injection wells, which are regulated by the Illinois Department of Mines

and Minerals, and not by the Board. This statement maintains structural

consistency with USEPA rules.

BOARD NOTE: Derived from 40 CFR 144.21(c) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.143

Expiration of Authorization

The authorization provided in Section 704.141 expires upon the earliest of the following events:

Upon the effective date of a permit issued pursuant to any of Sections 704.147,

704.161, 704.162, or 704.163;

After plugging or abandonment in accordance with an approved plugging and

abandonment plan pursuant to Section 704.150(c) and 35 Ill. Adm. Code 730.110,

and upon submission of a plugging and abandonment report pursuant to Section

704.150(k); or

Upon conversion in compliance with Section 704.150(j).

BOARD NOTE: Derived from 40 CFR 144.21(b) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.144

Requirements

Any person authorized by rule under Section 704.141 must comply with the applicable

requirements of Section 704.148 and 35 Ill. Adm. Code 730.

BOARD NOTE: Derived from 40 CFR 144.21(e) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.145

Existing Class IV Injection Wells

Injection into a Class IV injection well, as defined in Section 704.106(d)(1), is not

authorized. The owner or operator of any such well must comply with Sections

704.124 and 704.203.

Closure.

Prior to abandoning any Class IV injection well, the owner or operator

must plug or otherwise close the well in a manner acceptable to the

Agency.

By September 27, 1986, the owner and operator of any Class IV injection

well was to have submitted to the Agency a plan for plugging or otherwise

closing and abandoning the well.

The owner or operator of a Class IV injection well must notify the Agency

of intent to abandon the well at least 30 days prior to abandonment.

Notwithstanding subsections (a) and (b) of this Section, an injection well that is

used to inject contaminated groundwater that has been treated and which is being

injected into the same formation from which it was drawn is authorized by rule

for the life of the well if such subsurface emplacement of fluids is approved by

USEPA pursuant to provisions for cleanup of releases under the Comprehensive

Environmental Response, Compensation, and Liability Act of 1980 (CERCLA)

(42 USC 9601 et seq.), by USEPA pursuant to requirements and provisions under

the Resource Conservation and Recovery Act (RCRA) (42 USC 6901 et seq.), or

by the the Agency pursuant to Section 39 of the Act [415 ILCS 5/39].

BOARD NOTE: Derived from 40 CFR 144.23 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.146

Class V Injection Wells

A Class V injection well is authorized by rule, subject to the conditions set forth

in Section 704.284.

Duration of well authorization by rule. Well authorization under this Section

expires upon the effective date of a permit issued pursuant to any of Sections

704.147, 704.161, 704.162, or 704.163.

Prohibition of injection. An owner or operator of a well that is authorized by rule

pursuant to this Section is prohibited from injecting into the well on the

occurrence of any of the following:

Upon the effective date of an applicable permit denial;

Upon a failure to submit a permit application in a timely manner pursuant

to Section 704.147 or 704.161;

Upon a failure to submit inventory information in a timely manner

pursuant to Section 704.148; or

Upon a failure to comply with a request for information in a timely

manner pursuant to Section 704.149.

BOARD NOTE: Derived from 40 CFR 144.24 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.147

Requiring a Permit

The Agency may require the owner or operator of any Class I, Class III, or Class

V injection well that is authorized by rule under this Subpart C to apply for and

obtain an individual or area UIC permit. Cases where individual or area UIC

permits may be required include the following:

The injection well is not in compliance with any requirement of this

Subpart C;

BOARD NOTE: Any underground injection that violates any rule under

this Subpart C is subject to appropriate enforcement action.

The injection well is not or no longer is within the category of wells and

types of well operations authorized in the rule;

The protection of USDWs requires that the injection operation be

regulated by requirements, such as for corrective action, monitoring and

reporting, or operation, that are not contained in this Subpart C; or

When the injection well is a Class I or Class III injection well, in

accordance with a schedule established by the Agency pursuant to Section

704.161(b).

The Agency may require the owner or operator of any well that is authorized by

rule under this Subpart C to apply for an individual or area UIC permit under this

subsection (b) only if the owner or operator has been notified in writing that a

permit application is required. The owner or operator of a well that is authorized

by rule is prohibited from injecting into the well on the occurrence of either of the

circumstances of subsection (b)(1) or (b)(2) of this Section, subject to subsection

(b)(3) of this Section.

Upon the effective date of a permit denial; or

Upon the failure of the owner or operator to submit an application in a

timely manner as specified in the notice.

The notice must include all of the following:

A brief statement of the reasons for this decision;

An application form;

A statement setting a time for the owner or operator to file the

application; and

A statement of the consequences of denial or issuance of the

permit, or failure to submit an application, as described in this

subsection (b).

An owner or operator of a well that is authorized by rule may request to be

excluded from the coverage of the rule by applying for an individual or area UIC

permit. The owner or operator must submit to the Agency an application under

Section 704.161 with reasons supporting the request. The Agency may grant any

such request.

BOARD NOTE: Derived from 40 CFR 144.25 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.148

Inventory Requirements

The owner or operator of an injection well that is authorized by rule under this Subpart C must

submit inventory information to the Agency. Such an owner or operator is prohibited from

injecting into the well upon failure to submit inventory information for the well to the Agency

within the time frame specified in subsection (d) of this Section.

Contents. As part of the inventory, the owner or operator must submit at least the

following information:

The facility name and location;

The name and address of legal contact;

The ownership of facility;

The nature and type of injection wells; and

The operating status of injection wells.

BOARD NOTE: This information is requested on national form “Inventory of

Injection Wells,” USEPA Form 7520-16, incorporated by reference in 35 Ill.

Adm. Code 720.111(a).

Additional contents. The owner or operator of a well listed in subsection (b)(1) of

this Section must provide the information listed in subsection (b)(2) of this

Section.

This Section applies to the following wells:

Corresponding 40 CFR 144.26(b)(1)(i) pertains to Class II

injection wells, which are regulated by the Department of Natural

Resources pursuant to the Illinois Oil and Gas Act [225 ILCS 725]

(see 62 Ill. Adm. Code 240). This statement maintains structural

consistency with the corresponding federal provisions;

Class IV injection wells;

The following types of Class V injection wells:

A sand or other backfill well, 35 Ill. Adm. Code

730.105(e)(8);

ii)

A radioactive waste disposal well that is not a Class I

injection well, 35 Ill. Adm. Code 730.105(e)(11);

iii)

A geothermal energy recovery well, 35 Ill. Adm. Code

730.105(e)(12);

iv)

A brine return flow well, 35 Ill. Adm. Code

730.105(e)(14);

A well used in an experimental technology, 35 Ill. Adm.

Code 730.105(e)(15);

vi)

A municipal or industrial disposal well other than a Class I

injection well; and

vii)

Any other Class V injection well, at the discretion of the

Agency.

The owner or operator of a well listed in subsection (b)(1) of this Section

must provide a listing of all wells owned or operated setting forth the

following information for each well. (A single description of wells at a

single facility with substantially the same characteristics is acceptable.)

Corresponding 40 CFR 144.26(b)(2)(i) pertains to Class II wells,

which are regulated by the Department of Natural Resources

pursuant to the Illinois Oil and Gas Act [225 ILCS 725] (see 62 Ill.

Adm. Code 240). This statement maintains structural consistency

with the corresponding federal provisions;

The location of each well or project given by Township, Range,

Section, and Quarter-Section;

The date of completion of each well;

Identification and depth of the formations into which each well is

injecting;

The total depth of each well;

The casing and cementing record, tubing size, and depth of packer;

The nature of the injected fluids;

The average and maximum injection pressure at the wellhead;

The average and maximum injection rate; and

The date of the last mechanical integrity tests, if any.

This subsection (c) corresponds with 40 CFR 144.26(c), a provision relating to

USEPA notification to facilities upon authorization of the state’s program. This

statement maintains structural consistency with USEPA rules.

Deadlines. The owner or operator of an injection well must submit inventory

information no later than March 3, 1985. The Agency need not require inventory

information from any facility with RCRA interim status under 35 Ill. Adm. Code

703.

Deadlines for a Class V injection well.

The owner or operator of a Class V injection well in which injection took

place before March 3, 1985, and who failed to submit inventory

information for the well within the time specified in subsection (d) of this

Section may resume injection 90 days after submittal of the inventory

information to the Agency, unless the owner or operator receives notice

from the Agency that injection may not resume or that it may resume

sooner.

The owner or operator of a Class V injection well in which injection

started later than March 3, 1985, must submit inventory information prior

to May 2, 1995.

The owner or operator of a Class V injection well in which injection

started after May 2, 1994 must submit inventory information prior to

starting injection.

The owner or operator of a Class V injection well prohibited from

injecting for failure to submit inventory information for the well within the

time specified in subsection (e)(2) or (e)(3) of this Section may resume

injection 90 days after submittal of the inventory information to the

Agency, unless the owner or operator receives notice from the Agency

that injection may not resume, or that it may resume sooner.

BOARD NOTE: A well that was in existence as of March 3, 1984, was

required to submit inventory information by March 3, 1985. Since all

wells other than a Class V injection well is now either prohibited or

required to file a permit application, the inventory requirement will apply

only to a new Class V injection well.

BOARD NOTE: Derived from 40 CFR 144.26 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.149

Requiring other Information

In addition to the inventory requirements of Section 704.148, the Agency may

require the owner or operator of any well authorized by rule under this Subpart C

to submit information as deemed necessary by the Agency to determine whether a

well may be endangering a USDW in violation of Section 704.122.

Such information requirements may include, but are not limited to the following:

Performance of groundwater monitoring and the periodic submission of

reports of such monitoring;

An analysis of injected fluids, including periodic submission of such

analyses; and

A description of the geologic strata through and into which injection is

taking place.

Any request for information under this Section must be made in writing, and

include a brief statement of the reasons for requiring the information. An owner

or operator must submit the information within the time periods provided in the

notice.

An owner or operator of an injection well authorized by rule under this Subpart C

is prohibited from injecting into the well upon failure of the owner or operator to

comply with a request for information within the time period specified by the

Agency pursuant to subsection (c) of this Section. An owner or operator of a well

prohibited from injection under this Section may not resume injection, except

under a permit issued pursuant to any of Sections 704.147, 704.161, 704.162, or

704.163.

BOARD NOTE: Derived from 40 CFR 144.27 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.150

Requirements for Class I and III Injection Wells Authorized by Rule

The following requirements apply to the owner or operator of a Class I or Class III well

authorized by rule under this Subpart C, as provided by Section 704.144.

The owner or operator must comply with all applicable requirements of this

Subpart C and with Sections 704.121, 704.122, 704.124, 704.201, 704.202, and

704.203. Any noncompliance with these requirements constitutes a violation of

the Act and SDWA and is grounds for enforcement action, except that the owner

or operator need not comply with these requirements to the extent and for the

duration such noncompliance is authorized by an emergency permit under Section

704.163.

Twenty-four hour reporting. The owner or operator must report any

noncompliance that may endanger health or the environment, including either of

the events described in subsection (b)(1) or (b)(2) of this Section, subject to the

conditions of subsection (b)(3) of this Section:

Any monitoring or other information that indicates that any contaminant

may cause an endangerment to a USDW; or

Any noncompliance or malfunction of the injection system that may cause

fluid migration into or between USDW’s.

Any information must be provided orally within 24 hours from the time

the owner or operator becomes aware of the circumstances. A written

submission must also be provided within five days of the time the owner

or operator becomes aware of the circumstances. The written submission

must contain a description of the noncompliance and its cause; the period

of noncompliance, including exact dates and times, and if the

noncompliance has not been corrected, the anticipated time it is expected

to continue; and steps taken or planned to reduce, eliminate, and prevent

recurrence of the noncompliance.

Plugging and abandonment plan.

The owner or operator must prepare, maintain, and comply with a plan for

plugging and abandonment of the wells or project that meets the

requirements of 35 Ill. Adm. Code 730.110. For purposes of this

subsection (c), temporary intermittent cessation of injection operations is

not abandonment.

Submission of plan.

The owner or operator must submit the plan on any forms

prescribed by the Agency.

The owner or operator must submit any proposed significant

revision to the method of plugging reflected in the plan no later

than the notice of plugging required by subsection (i) of this

Section (i.e., 45 days prior to plugging, unless shorter notice is

approved).

The plan must include the following information:

The nature and quantity and material to be used in

plugging;

ii)

The location and extent (by depth) of the plugs;

iii)

Any proposed test or measurement to be made;

iv)

The amount, size, and location (by depth) of casing to be

left in the well;

The method and location where casing is to be parted; and

vi)

The estimated cost of plugging the well.

After a cessation of operations of two years, the owner or operator

must plug and abandon the well in accordance with the plan,

unless the owner or operator performs both of the following

actions:

It provides written notice to the Agency; and

ii)

It describes actions or procedures, satisfactory to the

Agency that the owner or operator will take to ensure that

the well will not endanger USDW’s during the period of

temporary abandonment. These actions and procedures

must include compliance with the technical requirements

applicable to active injection wells, unless the operator

obtains regulatory relief in the form of a variance or

adjusted standard from the technical requirements pursuant

to 35 Ill. Adm. Code 104 and Title IX of the Act [415 ILCS

5/Title IX].

The owner or operator of any well that has been temporarily

abandoned (ceased operations for more than two years and which

has met the requirements of subsections (c)(2)(D)(i) and

(c)(2)(D)(ii)) of this Section must notify the Agency in writing

prior to resuming operation of the well.

Financial responsibility.

The owner or operator or transferor of a Class I or Class III injection well

is required to demonstrate and maintain financial responsibility and

resources to close, plug, and abandon the underground injection operation

in a manner acceptable to the Agency until one of the following has

occurred:

The well has been plugged and abandoned in accordance with an

approved plugging and abandonment plan pursuant to subsection

of a plugging and abandonment report has been made pursuant to

subsection (k) of this Section;

The well has been converted in compliance with subsection (j) of

this Section; or

The transferor has received notice from the Agency that the

transferee has demonstrated financial responsibility for the well.

The owner or operator must show evidence of such financial

responsibility to the Agency by the submission of a surety bond or

other adequate assurance, such as a financial statement.

The owner or operator was to have submitted such evidence no later than

March 3, 1985. Where the ownership or operational control of the well

was transferred later than March 3, 1985, the transferee must submit such

evidence no later than the date specified in the notice required pursuant to

subsection (l)(2) of this Section.

The Agency may require the owner or operator to submit a revised

demonstration of financial responsibility if the Agency has reason to

believe that the original demonstration is no longer adequate to cover the

cost of closing, plugging, and abandoning the well.

The owner or operator of a well injecting hazardous waste must comply

with the financial responsibility requirements of Subpart G of this Part.

An owner or operator must notify the Agency by certified mail of the

commencement of any voluntary or involuntary proceeding under Title 11

(Bankruptcy) of the United States Code that names the owner or operator

as debtor, within 10 business days after the commencement of the

proceeding. Any party acting as guarantor for the owner or operator for

the purpose of financial responsibility must so notify the Agency if the

guarantor is named as debtor in any such proceeding.

In the event of commencement of a proceeding specified in subsection

(d)(5) of this Section, an owner or operator that has furnished a financial

statement for the purpose of demonstrating financial responsibility

pursuant to this Section will be deemed to be in violation of this

subsection (d) until an alternative financial assurance demonstration

acceptable to the Agency is provided either by the owner or operator or by

its trustee in bankruptcy, receiver, or other authorized party. All parties

must be prohibited from injecting into the well until such alternative

financial assurance is provided.

This subsection (e) corresponds with 40 CFR 144.28(e), which pertains

exclusively to enhanced recovery and hydrocarbon storage wells (Class II wells).

Those wells are regulated by the Illinois Department of Mines and Minerals,

rather than by the Board and the Agency. This statement maintains structural

consistency with USEPA rules.

Operating requirements.

No person must cause or allow injection between the outermost casing

protecting USDWs and the well bore.

Maintenance of mechanical integrity.

The owner or operator of a Class I or Class III injection well

authorized by rule under this Subpart C must establish and

maintain mechanical integrity, as defined in 35 Ill. Adm. Code

730.106, until either of the following has occurred:

The well is properly plugged and abandoned in accordance

with an approved plugging and abandonment plan pursuant

to subsection (c) of this Section and 35 Ill. Adm. Code

730.110 and a plugging and abandonment report is

submitted pursuant to subsection (k); or

ii)

The well is converted in compliance with subsection (j) of

this Section.

The Agency may require by permit condition that the owner or

operator comply with a schedule describing when mechanical

integrity demonstrations must be made.

Cessation upon Lack of Mechanical Integrity.

When the Agency determines that a Class I (non-hazardous) or

Class III injection well lacks mechanical integrity pursuant to 35

Ill. Adm. Code 730.108, the Agency must give written notice of its

determination to the owner or operator.

Unless the Agency requires immediate cessation, the owner or

operator must cease injection into the well within 48 hours of

receipt of the Agency’s determination.

The Agency may allow plugging of the well in accordance with 35

Ill. Adm. Code 730.110, or require the owner or operator to

perform such additional construction, operation, monitoring,

reporting, and corrective action as is necessary to prevent the

movement of fluid into or between USDWs caused by the lack of

mechanical integrity.

The owner or operator may resume injection upon receipt of

written notification from the Agency that the owner or operator has

demonstrated mechanical integrity pursuant to 35 Ill. Adm. Code

730.108.

The Agency may allow the owner or operator of a well that lacks

mechanical integrity pursuant to 35 Ill. Adm. Code 730.108(a)(1) to

continue or resume injection if the owner or operator has made a

satisfactory demonstration that there is no movement of fluid into or

between USDWs.

For a Class I injection well, unless an alternative to a packer has been

approved under 35 Ill. Adm. Code 730.112(c), the owner or operator must

fill the annulus between the tubing and the long string of casings with a

fluid approved by the Agency and maintain a pressure, also approved by

the Agency, on the annulus. The owner or operator of a Class I well

completed with tubing and packer must fill the annulus between tubing

and casing with a non-corrosive fluid and maintain a positive pressure on

the annulus. For any other Class I injection well, the owner or operator

must insure that the alternative completion method will reliably provide a

comparable level of protection of USDWs.

Injection pressure for Class I and III injection wells.

Except during stimulation, the owner or operator must not exceed

an injection pressure at the wellhead that must be calculated so as

to assure that the pressure during injection does not initiate new

fractures or propagate existing fractures in the injection zone; and

The owner or operator must not inject at a pressure that will

initiate fractures in the confining zone or cause the movement of

injection or formation fluids into a USDW.

Monitoring Requirements. The owner or operator must perform the monitoring

as described in this subsection (g). Monitoring of the nature of the injected fluids

must comply with applicable analytical methods cited in tables IA (List of

Approved Biological Methods), IB (List of Approved Inorganic Test Procedures),

IC (List of Approved Test Procedures for Non-Pesticide Organic Compounds), ID

(List of Approved Test Procedures for Pesticides), IE (List of Approved

Radiologic Test Procedures), and IF (List of Approved Methods for

Pharmaceutical Pollutants) of 40 CFR 136.3 (Identification of Test Procedures)

(1993) or in appendix III of 40 CFR 261 (Chemical Analysis Test Methods)

(1992), each incorporated by reference in 35 Ill. Adm. Code 720.111(b), or with

other methods that have been approved by the Agency.

The owner or operator of a Class I injection well must undertake the

following actions:

It must analyze the nature of the injected fluids with sufficient

frequency to yield data representative of their characteristics;

It must install and use continuous recording devices to monitor

injection pressure, flow rate and volume, and the pressure on the

annulus between the tubing and the long string of casing; and

It must install and use monitoring wells within the area of review,

if required by the Agency, to monitor any migration of fluids into

and pressure in the USDWs. The type, number, and location of the

wells; the parameters to be measured; and the frequency of

monitoring must be approved by the Agency.

This subsection (g)(2) corresponds with 40 CFR 144.28(g)(2), a provision

related to Class II injection wells, which are regulated by the Illinois

Department of Mines and Minerals, and not by the Board. This statement

maintains structural consistency with USEPA rules.

The owner or operator of a Class III injection well must undertake the

following actions:

It must provide to the Agency a qualitative analysis and ranges in

concentrations of all constituents of injected fluids at least once

within the first year of authorization and thereafter whenever the

injection fluid is modified to the extent that the initial data are

incorrect or incomplete.

The owner or operator may request confidentiality pursuant

to Sections 7 and 7.1 of the Act and 35 Ill. Adm. Code 130.

ii)

If the information is proprietary the owner or operator may

in lieu of the ranges in concentrations choose to submit

maximum concentrations that must not be exceeded.

iii)

In such a case the owner or operator must retain records of

the undisclosed concentration and provide them upon

request to the Agency as part of any enforcement

investigation;

It must monitor injection pressure and either flow rate or volume

semi-monthly, or meter and record daily injected and produced

fluid volumes as appropriate;

It must monitor the fluid level in the injection zone semi-monthly,

where appropriate; and

All Class III injection wells may be monitored on a field or project

basis rather than an individual well basis by manifold monitoring.

Manifold monitoring may be used in cases of facilities consisting

of more than one injection well, operating with a common

manifold. Separate monitoring systems for each well are not

required provided the owner or operator demonstrates to the

Agency that manifold monitoring is comparable to individual well

monitoring.

Reporting requirements. The owner or operator must submit reports to the

Agency as follows:

For a Class I injection well, quarterly reports on all of the following:

The physical, chemical, and other relevant characteristics of the

injection fluids;

Monthly average, maximum and minimum values for injection

pressure, flow rate and volume, and annular pressure;

The results from groundwater monitoring wells prescribed in

subsection (f)(1)(C) of this Section;

The results of any test of the injection well conducted by the owner

or operator during the reported quarter if required by the Agency;

and

Any well work over performed during the reported quarter.

This subsection (h)(2) corresponds with 40 CFR 144.28(h)(2), a provision

related to Class II injection wells, which are regulated by the Illinois

Department of Mines and Minerals, and not by the Board. This statement

maintains structural consistency with USEPA rules.

For a Class III injection well, all of the following:

Quarterly reporting on all monitoring, as required in subsections

(f)(2)(A), (f)(2)(B), and (f)(2)(C) of this Section;

Quarterly reporting of the results of any periodic tests required by

the Agency that are performed during the reported quarter; and

Monitoring may be reported on a project or field basis rather than

an individual well basis where manifold monitoring is used.

Retention of records. The owner or operator must retain records of all monitoring

information, including the following:

Calibration and maintenance records and all original strip chart recordings

for continuous monitoring instrumentation, and copies of all reports

required by this section, for a period of at least three years from the date of

the sample, measurement or report. This period may be extended by

request of the Agency at any time; and

The nature and composition of all injected fluids until three years after the

completion of any plugging and abandonment procedures specified under

Section 704.188. The owner or operator must retain the records after the

three year retention period unless it delivers the records to the Agency or

obtains written approval from the Agency to discard the records.

Notice of abandonment. The owner or operator must notify the Agency at least

45 days before conversion or abandonment of the well.

Plugging and abandonment report. Within 60 days after plugging a well or at the

time of the next quarterly report (whichever is less) the owner or operator must

submit a report to the Agency. If the quarterly report is due less than 15 days

before completion of plugging, then the report must be submitted within 60 days.

The report must be certified as accurate by the person who performed the

plugging operation. Such report must consist of either:

A statement that the well was plugged in accordance with the plan

previously submitted to the Agency; or

Where actual plugging differed from the plan previously submitted, an

updated version of the plan, on any form supplied by the Agency,

specifying the different procedures used.

Change of ownership.

The owner or operator must notify the Agency of a transfer of ownership

or operational control of the well at least 30 days in advance of the

proposed transfer.

The notice must include a written agreement between the transferor and

the transferee containing a specific date when the financial responsibility

demonstration of subsection (d) of this Section will be met by the

transferee.

The transferee is authorized to inject unless it receives notification from

the Agency that the transferee has not demonstrated financial

responsibility pursuant to subsection (d) of this Section.

Requirements for a Class I hazardous waste injection well. The owner or operator

of any Class I injection well injecting hazardous waste must comply with Section

704.203. In addition the owner or operator must properly dispose of, or

decontaminate by removing all hazardous waste residues, all injection well

equipment.

BOARD NOTE: Derived from 40 CFR 144.28 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.151

RCRA Interim Status for Class I Injection Wells

The minimum standards that define acceptable injection of hazardous waste during the period of

interim status under 35 Ill. Adm. Code 703 are set out in the applicable provisions of this Part,

35 Ill. Adm. Code 725.530 and 730. The issuance of a UIC permit does not automatically

terminate interim status. A Class I injection well’s interim status does, however, automatically

terminate upon issuance of a RCRA permit to that well, or upon the well’s receiving a RCRA

permit by rule under 35 Ill. Adm. Code 703.141. Thus, until a Class I injection well injecting

hazardous waste receives a RCRA permit or RCRA permit by rule, the well’s interim status

requirements are the applicable requirements imposed pursuant to this Part and 35 Ill. Adm.

Code 725 and 730, including any requirements imposed in the UIC permit.

BOARD NOTE: Derived from 40 CFR 144.1(h) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

SUBPART D: APPLICATION FOR PERMIT

Section 704.161

Application for Permit; Authorization by Permit

Permit application. Unless an underground injection well is authorized by rule

under Subpart C of this Part, all injection activities, including construction of an

injection well, are prohibited until the owner or operator is authorized by permit.

An owner or operator of a well currently authorized by rule must apply for a

permit under this Section unless the well authorization was for the life of the well

or project. Authorization by rule for a well or project for which a permit

application has been submitted terminates for the well or project upon the

effective date of the permit. Procedures for application, issuance, and

administration of emergency permits are found exclusively in Section 704.163. A

RCRA permit applying the standards of Subpart C of 35 Ill. Adm. Code 724 will

constitute a UIC permit for hazardous waste injection wells for which the

technical standards in 35 Ill. Adm. Code 730 are not generally appropriate.

BOARD NOTE: Subsection (a) of this Section is derived from 40 CFR 144.31(a)

(2005).

Time to apply. Any person who performs or proposes an underground injection

for which a permit was or will be required must submit an application to the

Agency as follows:

For existing wells, the application was to have been filed before the

applicable of the following deadlines:

Within 180 days after the Agency notifies such person that an

application is required;

If the waste being injected into the well is a hazardous waste

accompanied by a manifest or delivery document, before August 1,

1984; or

Except as otherwise provided in subsections (b)(1)(A) and

(b)(1)(B) of this Section, before March 3, 1986.

For new injection wells, except new wells in projects authorized under

Section 704.141(b) or covered by an existing area permit under Section

704.162(c), the application must be filed a reasonable time before

construction is expected to begin.

BOARD NOTE: Subsection (b) of this Section is derived from 40 CFR 144.31(c)

(2005).

Contents of UIC application. The applicant must demonstrate that the

underground injection will not endanger drinking water sources. The form and

content of the UIC permit application may be prescribed by the Agency, including

the materials required by 35 Ill. Adm. Code 702.123.

Information requirements for a Class I hazardous waste injection well.

The following information is required for each active Class I hazardous

waste injection well at a facility seeking a UIC permit:

The dates the well was operated; and

Specification of all wastes that have been injected into the well, if

available.

The owner or operator of any facility containing one or more active

hazardous waste injection wells must submit all available information

pertaining to any release of hazardous waste or constituents from any

active hazardous waste injection well at the facility.

The owner or operator of any facility containing one or more active Class

I hazardous waste injection wells must conduct such preliminary site

investigations as are necessary to determine whether a release is

occurring, has occurred, or is likely to have occurred.

BOARD NOTE: Subsection (d) of this Section is derived from 40 CFR 144.31(g)

(2005).

In addition to the materials required by 35 Ill. Adm. Code 702.123, the applicant

must provide the following:

It must identify and submit on a list with the permit application the names

and addresses for all owners of record of land within one-quarter mile

(401 meters) of the facility boundary. This requirement may be waived by

the Agency where the site is located in a populous area such that the

requirement would be impracticable; and

It must submit a plugging and abandonment plan that meets the

requirements of 35 Ill. Adm. Code 730.110.

BOARD NOTE: Subsection (e) of this Section is derived from 40 CFR

144.31(e)(9) and (e)(10) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.162

Area Permits

The Agency may issue a permit on an area basis, rather than for each well

individually, provided that the permit is for injection wells for which the followig

are true:

They are described and identified by location in permit applications, if

they are existing wells, except that the Agency may accept a single

description of multiple wells with substantially the same characteristics;

They are within the same well field, facility site, reservoir, project, or

similar unit in the same state;

They are operated by a single owner or operator; and

They are used to inject other than hazardous waste.

Area permits must specify both of the following:

The area within which underground injections are authorized; and

The requirements for construction, monitoring, reporting, operation, and

abandonment for all wells authorized by the permit.

The area permit may authorize the permittee to construct and operate, convert, or

plug and abandon new injection wells within the permit area provided the

following conditions are fulfilled:

The permittee notifies the Agency at such time as the permit requires;

The additional well satisfies the criteria in subsection (a) of this Section

and meets the requirements specified in the permit under subsection (b) of

this Section; and

The cumulative effects of drilling and operation of additional injection

wells are considered by the Agency during evaluation of the area permit

application and are acceptable to the Agency.

If the Agency determines that any well constructed pursuant to subsection (c) of

this Section does not satisfy the requirements of subsections (c)(1) and (c)(2) of

this Section, the Agency may modify the permit under 35 Ill. Adm. Code 702.183

through 702.185, seek revocation under 35 Ill. Adm. Code 702.186, or take

enforcement action. If the Agency determines that cumulative effects are

unacceptable, the permit may be modified under 35 Ill. Adm. Code 702.183

through 702.185.

BOARD NOTE: Derived from 40 CFR 144.33 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.163

Emergency Permits

Coverage. Notwithstanding any other provision of this Part or 35 Ill. Adm. Code

702 or 705, the Agency may temporarily permit a specific underground injection

if an imminent and substantial threat to the health of persons will result unless a

temporary emergency permit is granted.

Requirements for issuance.

Any temporary permit under subsection (a) of this Section must be for no

longer term than required to prevent the threat.

Notice of any temporary permit under this subsection (b) must be

published in accordance with 35 Ill. Adm. Code 705.163 within 10 days

after the issuance of the permit.

The temporary permit under this section may be either oral or written. If

oral, it must be followed within five calendar days by a written temporary

emergency permit.

The Agency must condition the temporary permit in any manner it

determines is necessary to ensure that the injection will not result in the

movement of fluids into a USDW.

BOARD NOTE: Derived from 40 CFR 144.34 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.164

Signatories to Permit Applications

BOARD NOTE: See 35 Ill. Adm. Code 702.126.

(Source: Amended at 18 Ill. Reg. 18351, effective December 20, 1994)

SUBPART E: PERMIT CONDITIONS

Section 704.181

Additional Conditions

The following conditions apply to all UIC permits, in addition to those set forth in 35 Ill. Adm.

Code 702.140 through 702.152, and these conditions must be incorporated into all permits either

expressly or by reference. If incorporated by reference, a specific citation to these regulations

must be given in the permit.

In addition to 35 Ill. Adm. Code 702.141 (duty to comply): the permittee need

not comply with the provisions of this permit to the extent and for the duration

such noncompliance is authorized in a temporary emergency permit under Section

704.163.

BOARD NOTE: Subsection (a) of this Section is derived from 40 CFR 144.51(a)

(2005).

In addition to 35 Ill. Adm. Code 702.150(b) (monitoring and records): the

permittee must retain records concerning the nature and composition of all

injected fluids until three years after the completion of any plugging and

abandonment procedures specified under Section 704.188 or under Subpart G of

35 Ill. Adm. Code 730, as appropriate. The owner or operator must continue to

retain the records after the three-year retention period, unless the owner or

operator delivers the records to the Agency or obtains written approval from the

Agency to discard the records.

BOARD NOTE: Subsection (b) of this Section is derived from 40 CFR

144.51(j)(2)(ii) (2005).

In addition to 35 Ill. Adm. Code 702.152(a) (notice of planned changes), the

following: except for all new wells authorized by an area permit under Section

704.162(c), a new injection well may not commence injection until construction is

complete, and both of the following must occur:

The permittee must have submitted notice of completion of construction to

the Agency; and

Inspection review must have occurred, as follows:

The Agency has inspected or otherwise reviewed the new injection

well and finds it is in compliance with the conditions of the permit;

The permittee has not received notice from the Agency of its intent

to inspect or otherwise review the new injection well within 13

days of the date of the notice in subsection (c)(1) of this Section, in

which case prior inspection or review is waived, and the permittee

may commence injection. The Agency must include in its notice a

reasonable time period in which it will inspect the well.

BOARD NOTE: Subsection (c) of this Section is derived from 40 CFR

144.51(m) (2005).

Reporting noncompliance.

Twenty-four hour reporting. The permittee must report any

noncompliance that may endanger health or the environment, including

the following:

Any monitoring or other information that indicates that any

contaminant may cause an endangerment to a USDW; and

Any noncompliance with a permit condition or malfunction of the

injection system that may cause fluid migration into or between

USDWs.

Any information must be provided orally within 24 hours from the time

the permittee becomes aware of the circumstances. A written submission

must also be provided within five days after the time the permittee

becomes aware of the circumstances. The written submission must

contain a description of the noncompliance and its cause; the period of

noncompliance, including exact dates, times, and, if the noncompliance

has not been corrected, the anticipated time is expected to continue; and

steps taken or planned to reduce, eliminate, and prevent reoccurrence of

the noncompliance of the noncompliance.

BOARD NOTE: Subsection (d) of this Section is derived from 40 CFR

144.51(l)(6) (2005).

The permittee must notify the Agency at such times as the permit requires before

conversion or abandonment of the well or, in the case of area permits, before

closure of the project.

BOARD NOTE: Subsection (e) of this Section is derived from 40 CFR 144.51(n)

(2005).

A Class I or Class III permit must include, and a Class V permit may include,

conditions that meet the applicable requirements of 35 Ill. Adm. Code 730.110 to

insure that plugging and abandonment of the well will not allow the movement of

fluids into or between USDWs. Where the plan meets the requirements of 35 Ill.

Adm. Code 730.110, the Agency must incorporate it into the permit as a permit

condition. Where the Agency’s review of an application indicates that the

permittee’s plan is inadequate, the Agency may require the applicant to revise the

plan, prescribe conditions meeting the requirements of this subsection (f), or deny

the permit. For purposes of this subsection (f), temporary or intermittent

cessation of injection operations is not abandonment.

BOARD NOTE: Subsection (f) of this Section is derived from 40 CFR 144.51(o)

(2005).

Plugging and abandonment report. Within 60 days after plugging a well or at the

time of the next quarterly report (whichever is less) the owner or operator must

submit a report to the Agency. If the quarterly report is due less than 15 days

before completion of plugging, then the report must be submitted within 60 days.

The report must be certified as accurate by the person who performed the

plugging operation. Such report must consist of either of the following:

A statement that the well was plugged in accordance with the plan

previously submitted to the Agency;

Where actual plugging differed from the plan previously submitted, an

updated version of the plan on the form supplied by the Agency specifying

the differences.

BOARD NOTE: Subsection (g) of this Section is derived from 40 CFR 144.51(p)

(2005).

Duty to establish and maintain mechanical integrity.

The owner or operator of a Class I or Class III injection well permitted

under this Part and 35 Ill. Adm. Code 702 must establish prior to

commencing injection or on a schedule determined by the Agency, and

thereafter mechanical integrity, as defined in 35 Ill. Adm. Code 730.108.

The Agency may require by permit condition that the owner or operator

comply with a schedule describing when mechanical integrity

demonstrations must be made.

When the Agency determines that a Class I or Class III injection well

lacks mechanical integrity pursuant to 35 Ill. Adm. Code 730.108, it must

give written notice of its determination to the owner or operator. Unless

the Agency requires immediate cessation, the owner or operator must

cease injection into the well within 48 hours of receipt of the Agency

determination. The Agency may allow plugging of the well pursuant to 35

Ill. Adm. Code 730.110 or require the permittee to perform such

additional construction, operation, monitoring, reporting, and corrective

action as is necessary to prevent the movement of fluid into or between

USDWs caused by the lack of mechanical integrity. The owner or

operator may resume injection upon written notification from the Agency

that the owner or operator has demonstrated mechanical integrity pursuant

to 35 Ill. Adm. Code 730.108.

The Agency may allow the owner or operator of a well that lacks

mechanical integrity pursuant to 35 Ill. Adm. Code 730.108(a)(1) to

continue or resume injection, if the owner or operator has made a

satisfactory showing that there is no movement of fluid into or between

USDWs.

BOARD NOTE: Subsection (h) of this Section is derived from 40 CFR 144.51(q)

(2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.182

Establishing UIC Permit Conditions

In addition to the conditions established under 35 Ill. Adm. Code 702.160 and Section 704.181,

each UIC permit must include conditions meeting the requirements of the following Sections,

when applicable.

BOARD NOTE: Derived from 40 CFR 144.52(a) preamble (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.183

Construction Requirements

Existing wells must achieve compliance with construction requirements as set forth in 35 Ill.

Adm. Code 730 according to a compliance schedule established as a permit condition. The

owner or operator of a proposed new injection well must submit plans for testing, drilling, and

construction as part of the permit application. Except as authorized by an area permit, no

construction may commence until a permit has been issued containing construction requirements

(see Section 704.121). New wells must be in compliance with these requirements prior to

commencing injection operations. Changes in construction plans during construction may be

approved by the Agency as minor modifications. (See 35 Ill. Adm. Code 702.187.) No such

changes may be physically incorporated into construction of the well prior to approval of the

modification by the Agency.

BOARD NOTE: Derived from 40 CFR 144.52(a)(1) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.184

Corrective Action

UIC permits must require by condition corrective action as set forth in Section 704.193 and 35

Ill. Adm. Code 730.107.

BOARD NOTE: Derived from 40 CFR 144.52(a)(2) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.185

Operation Requirements.

The permit must establish any maximum injection volumes and pressures necessary to assure

that fractures are not initiated in the confining zone, that injected fluids do not migrate into any

USDW, that formation fluids are not displaced into any USDW, and to assure compliance with

the 35 Ill. Adm. Code 730 operating requirements.

BOARD NOTE: Derived from 40 CFR 144.52(a)(3) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.186

Hazardous Waste Requirements

UIC permits must require by condition requirements for wells managing hazardous waste, as set

forth in Subpart F of this Part.

BOARD NOTE: Derived from 40 CFR 144.52(a)(4) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.187

Monitoring and Reporting

UIC permits must require by condition monitoring and reporting requirements, as set forth in 35

Ill. Adm. Code 730. The permittee must be required to identify types of tests and methods used

to generate the monitoring data. Monitoring of the nature of the injected fluids must comply

with applicable analytical methods cited and described in tables IA (List of Approved Biological

Methods), IB (List of Approved Inorganic Test Procedures), IC (List of Approved Test

Procedures for Non-Pesticide Organic Compounds), ID (List of Approved Test Procedures for

Pesticides), IE (List of Approved Radiologic Test Procedures), and IF (List of Approved

Methods for Pharmaceutical Pollutants) of 40 CFR 136.3 (Identification of Test Procedures),

each incorporated by reference in 35 Ill. Adm. Code 720.111(b); as stated in Appendix C to 35

Ill. Adm. Code 261; or, in certain circumstances, by other methods that have been approved in

writing by the Agency.

BOARD NOTE: Derived from 40 CFR 144.52(a)(5) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.188

Plugging and Abandonment

Any permit must include a requirement that, after a cessation of operations of two years, the

owner or operator must plug and abandon the well in accordance with the plan unless it does the

following:

It provides notice to the Agency; and

It describes actions or procedures satisfactory to the Agency that the owner or

operator will take to ensure that the well will not endanger USDWs during the

period of temporary abandonment. These actions and procedures must include

compliance with the technical requirements applicable to active injection wells,

unless waived by the Agency.

BOARD NOTE: Derived from 40 CFR 144.52(a)(6) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.189

Financial Responsibility

The permittee, including the transferor of a permit, is required to demonstrate and

maintain financial responsibility and resources to close, plug, and abandon the

underground injection operation in a manner prescribed by the Agency until one

of the following occurs:

The well has been plugged and abandoned in accordance with an approved

plugging and abandonment plan pursuant to Section 704.181(f) and 35 Ill.

Adm. Code 730.110, and the permittee has submitted a plugging and

abandonment report pursuant to Section 704.181(g);

The well has been converted in compliance with Section 704.181(e); or

The transferor of a permit has received notice from the Agency that the

owner or operator receiving transfer of the permit (the new permittee) has

demonstrated financial responsibility for the well.

The permittee must show evidence of financial responsibility to the Agency by

the submission of a surety bond or other adequate assurance, such as financial

statements or other materials acceptable to the Agency. The Agency may on a

periodic basis require the holder of a life-time permit to submit an estimate of the

resources needed to plug and abandon the well revised to reflect inflation of such

costs, and a revised demonstration of financial responsibility if necessary.

The owner or operator of a well injecting hazardous waste must comply with the

financial responsibility requirements of Subpart G of this Part.

BOARD NOTE: Derived from 40 CFR 144.52(a)(7) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.190

Mechanical Integrity

A permit for any Class I or Class III injection well or injection project that lacks mechanical

integrity must include, or for any Class V injection well may include, a condition prohibiting

injection operations until the permittee shows to the satisfaction of the Agency under 35 Ill.

Adm. Code 730.108 that the well has mechanical integrity.

BOARD NOTE: Derived from 40 CFR 144.52(a)(8) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.191

Additional Conditions

The Agency must impose on a case-by-case basis such additional conditions as are necessary to

prevent the migration of fluids into a USDW.

BOARD NOTE: Derived from 40 CFR 144.52(a)(9) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.192

Waiver of Requirements by Agency

When injection does not occur into, through, or above a USDW, the Agency may

authorize a well or project with less stringent requirements for area of review,

construction, mechanical integrity, operation, monitoring, and reporting than

required in 35 Ill. Adm. Code 730 or Sections 704.182 through 704.191 to the

extent that the reduction in requirements will not result in an increased risk of

movement of fluids into a USDW.

When injection occurs through or above a USDW, but the radius of endangering

influence when computed under 35 Ill. Adm. Code 730.106(a) is smaller or equal

to the radius of the well, the Agency may authorize a well or project with less

stringent requirements for operation, monitoring, and reporting than required in

35 Ill. Adm. Code 730 or Sections 704.182 through 704.191 to the extent that the

reduction in requirements will not result in an increased risk of movement of

fluids into a USDW.

When reducing requirements under subsection (a) or (b) of this Section, the

Agency must prepare a fact sheet under 35 Ill. Adm. Code 705.143 explaining the

reasons for the action.

BOARD NOTE: Derived from 40 CFR 144.16 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.193

Corrective Action

Coverage. An applicant for a Class I or Class III injection well permit must

identify the location of all known wells within the injection well’s area of review

that penetrate the injection zone. For such wells that are improperly sealed,

completed, or abandoned, the applicant must also submit a plan consisting of such

steps or modifications as are necessary to prevent movement of fluid into USDWs

(“corrective action”). Where the plan is adequate, the Agency must incorporate it

into the permit as a condition. Where the Agency’s review of an application

indicates that the permittee’s plan is inadequate (based on the factors in 35 Ill.

Adm. Code 730.107), the Agency must require the applicant to revise the plan,

prescribe a plan for corrective action as a condition of the permit under subsection

(b) of this Section, or deny the application.

Requirements.

Existing injection wells. Any permit issued for an existing injection well

requiring corrective action must include a compliance schedule requiring

any corrective action accepted or prescribed under subsection (a) of this

Section to be completed as soon as possible.

New injection wells. No permit for a new injection well may authorize

injection until all required corrective action has been taken.

Injection pressure limitation. The Agency may require as a permit

condition that injection pressure in the injection zone does not exceed

hydrostatic pressure at the site of any improperly completed or abandoned

well within the area of review. This pressure limitation must satisfy the

corrective action requirement. Alternatively, such injection pressure

limitation can be part of a compliance schedule and last until all other

required corrective action has been taken.

Class III injection wells only. When setting corrective action

requirements the Agency must consider the overall effect of the project on

the hydraulic gradient in potentially affected USDWs and the

corresponding changes in potentiometric surfaces and flow directions

rather than the discrete effect of each well. If a decision is made that

corrective action is not necessary based on the determinations above, the

monitoring program required in 35 Ill. Adm. Code 730.133(b) must be

designed to verify the validity of such determinations.

BOARD NOTE: Derived from 40 CFR 144.55 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.194

Maintenance and Submission of Records

The Agency must include, as a condition to any UIC permit, a requirement that the owner or

operator of the injection well must establish and maintain such records, make such reports,

conduct such monitoring, and provide such other information as the Agency deems necessary to

determine whether the owner or operator has acted or is acting in compliance with the Act and

Board regulations.

BOARD NOTE: Derived from 40 CFR 144.17 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

SUBPART F: REQUIREMENTS FOR WELLS INJECTING HAZARDOUS

WASTE

Section 704.201

Applicability

This Subpart F applies to a generator of hazardous waste and to the owner or operator of any

hazardous waste management facility that uses any class of well to inject hazardous wastes

accompanied by a manifest. (See also Section 704.124.)

BOARD NOTE: Derived from 40 CFR 144.14(a) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.202

Authorization

The owner or operator of any well that is used to inject hazardous wastes accompanied by a

manifest or delivery document was required to apply for authorization to inject, as specified in

Section 704.161(b)(1)(B), before August 2, 1984.

BOARD NOTE: Derived from 40 CFR 144.14(b) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.203

Requirements

In addition to requiring compliance with the applicable requirements of this Part and 35 Ill.

Adm. Code 730, the owner or operator of any facility described in Section 704.202 must comply

with the following requirements:

Notification. The owner or operator must comply with the notification

requirements of section 3010 of the Resource Conservation and Recovery Act (42

USC 6901 et seq.).

Identification number. The owner or operator must comply with 35 Ill. Adm.

Code 724.111.

Manifest system. The owner or operator must comply with the applicable

recordkeeping and reporting requirements for manifested wastes in 35 Ill. Adm.

Code 724.171.

Manifest discrepancies. The owner or operator must comply with 35 Ill. Adm.

Code 724.172.

Operating record. The owner or operator must comply with 35 Ill. Adm. Code

724.173(a), (b)(1), and (b)(2).

Annual report. The owner or operator must comply with 35 Ill. Adm. Code

724.175.

Unmanifested waste report. The owner or operator must comply with 35 Ill.

Adm. Code 724.176.

Personnel training. The owner or operator must comply with the applicable

personnel training requirements of 35 Ill. Adm. Code 724.116.

Certification of closure. When abandonment is completed, the owner or operator

must submit to the Agency certification by the owner or operator and certification

by an independent registered professional engineer that the facility has been

closed in accordance with the specifications in Section 704.188.

BOARD NOTE: Derived from 40 CFR 144.14(c) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

SUBPART G: FINANCIAL RESPONSIBILITY FOR CLASS I HAZARDOUS

WASTE INJECTION WELLS

Section 704.210

Applicability

Sections 704.212, 704.213, and 704.240 apply to the owner or operator of an existing or new

Class I Hazardous waste injection well, except as provided otherwise in this Subpart G.

BOARD NOTE: Derived from 40 CFR 144.60 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.211

Definitions

“Plugging and abandonment plan” or “plan” means the plan for plugging and

abandonment prepared in accordance with Sections 704.150 and 704.181(f).

“Current plugging and abandonment cost estimate” or “current cost estimate”

means the most recent of the estimates prepared in accordance with Sections

704.212(a), (b), and (c).

“Parent corporation” means a corporation that directly owns at least 50 percent of

the voting stock of the corporation that is the injection well owner or operator; the

latter corporation is deemed a “subsidiary” of the parent corporation.

The following terms are used in the specifications for the financial test for

plugging and abandonment. The definitions are intended to represent the

common meanings of the terms as they are generally used by the business

community.

“Assets” means all existing and all probable future economic benefits

obtained or controlled by a particular entity.

“Current assets” means cash or other assets or resources commonly

identified as those that are reasonably expected to be realized in cash or

sold or consumed during the normal operating cycle of the business.

“Current liabilities” means obligations whose liquidation is reasonably

expected to require the use of existing resources properly classifiable as

current assets or the creation of other current liabilities.

“Independently audited” refers to an audit performed by an independent

certified public accountant in accordance with generally accepted auditing

standards.

“Liabilities” means probable future sacrifices of economic benefits arising

from present obligations to transfer assets or provide services to other

entities in the future as a result of past transactions or events.

“Net working capital” means current assets minus current liabilities.

“Net worth” means total assets minus total liabilities and is equivalent to

owner’s equity.

“Tangible net worth” means the tangible assets that remain after deducting

liabilities; such assets would not include intangibles such as goodwill and

rights to patents or royalties.

BOARD NOTE: Derived from 40 CFR 144.61 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.212

Cost Estimate for Plugging and Abandonment

The owner or operator must prepare a written estimate, in current dollars, of the

cost of plugging the injection well in accordance with the plugging and

abandonment plan, as specified in Sections 704.150 and 704.181(f). The cost

estimate must equal the cost of plugging and abandonment at the point in the

facility’s operating life when the extent and manner of its operation would

making plugging and abandonment the most expensive, as indicated by its plan.

The owner or operator must adjust the cost estimate for inflation within 30 days

after each anniversary of the date on which the first cost estimate was prepared.

The adjustment must be made as specified in subsections (b)(1) and (b)(2) of this

Section, using an inflation factor derived from the annual update to “Oil and Gas

Lease Equipment and Operating Costs 1987 to [Date]” published by the U.S.

Department of Treasury. The inflation factor is the result of dividing the latest

published annual Index by the Index for the previous years.

The first adjustment is made by multiplying the cost estimate by the

inflation factor. The result is the adjusted cost estimate.

Subsequent adjustments are made by multiplying the latest adjusted cost

estimate by the latest inflation factor.

BOARD NOTE: Corresponding 40 CFR 144.62(b) cites “Oil and Gas Field

Equipment Cost Index” without attribution of its source. The Board has located a

publication entitled “Oil and Gas Lease Equipment and Operating Costs 1987 to

[Date].” It is assembled by the U.S. Department of Energy, Energy Information

Administration. It is available only on the Internet at www.eia.doe.gov. The

Board replaced the federally cited reference with this document. The full link for

the document (in March 2006) is as follows:

http://www.eia.doe.gov/pub/oil_gas/natural_gas/data_publications/cost_indices_e

quipment_production/current/coststudy.html.

The owner or operator must review the cost estimate whenever a change in the

plan increases the cost of plugging and abandonment. The revised cost estimate

must be adjusted for inflation as specified in subsection (b) of this Section.

The owner or operator must keep the following at the facility during the operating

life of the facility: the latest cost estimate prepared in accordance with subsections

(a) and (c) of this Section and, when this estimate has been adjusted in accordance

with subsection (b) of this Section, the latest adjusted cost estimate.

BOARD NOTE: Derived from 40 CFR 144.62 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.213

Financial Assurance for Plugging and Abandonment

An owner or operator of each facility must establish financial assurance for the plugging and

abandonment of each existing and new Class I hazardous waste injection well. The owner or

operator must choose one of the following financial assurance mechanisms:

A trust fund (Section 704.214);

A surety bond guaranteeing payment (Section 704.215);

A surety bond guaranteeing performance (Section 704.216);

A letter of credit (Section 704.217);

Insurance (Section 704.218); or

The financial test and corporate guarantee (Section 704.219);

BOARD NOTE: Derived from 40 CFR 144.63 preamble (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.214

Trust Fund

An owner or operator may satisfy the financial assurance requirement by

establishing a trust fund that conforms to the requirements of this Section and

submitting an original, signed duplicate of the trust agreement to the Agency. An

owner or operator of a Class I injection well injecting hazardous waste must

submit the original, signed duplicate of the trust agreement to the Agency with the

permit application or for approval to operate under rule. The trustee must be an

entity that has the authority to act as a trustee and whose trust operations are

regulated and examined by a Federal or State agency.

The wording of the trust agreement must be as specified in Section 704.240, and

the trust agreement must be accompanied by a formal certification of

acknowledgment. Schedule A of the trust agreement must be updated within 60

days after a change in the amount of the current cost estimate covered by the

agreement.

Payments into the trust fund must be made annually by the owner or operator over

the term of the initial permit or over the remaining operating life of the injection

well as estimated in the plan, whichever period is shorter; this period is hereafter

referred to as the “pay-in period.” The payments into the trust fund must be made

as follows:

For a new well, the first payment must be made before the initial injection

of hazardous waste. The owner or operator must submit a receipt to the

Agency from the trustee for this payment before the initial injection of

hazardous waste. The first payment must be at least equal to the current

cost estimate, except as provided in Section 704.240, divided by the

number of years in the pay-in period. Subsequent payments must be made

no later than 30 days after each anniversary date of the first payment. The

amount of each subsequent payment must be determined by this formula:

Where:

PE is the current cost estimate

CV is the current value of the trust fund

Y is the number of years remaining in the pay-in period.

If an owner or operator establishes a trust fund as specified in this Section,

and the value of that trust fund is less than the current cost estimate when

a permit is issued for the injection well, the amount of current cost

estimate still to be paid into the trust fund must be paid in over the pay-in

period as defined in subsection (c) of this Section. Payments must

continue to be made no later than 30 days after each anniversary date of

the first payment made pursuant to this Part. The amount of each payment

must be determined by this formula:

Where:

PE is the current cost estimate

CV is the current value of the trust fund

Y is the number of years remaining in the pay-in period.

The owner or operator may accelerate payments into the trust fund or the owner

or operator may deposit the full amount of the current cost estimate at the time the

fund is established. However, the owner or operator must maintain the value of

the fund at no less than the value that the fund would have if annual payments

were made as specified in subsection (c) of this Section.

If the owner or operator establishes a trust fund after having used one or more

alternate financial assurance mechanisms, the owner or operator’s first payment

must be in at least the amount that the fund would contain if the trust fund were

established initially and annual payments made according to specifications of this

Section.

After the pay-in period is completed, whenever the current cost estimate changes

the owner or operator must compare the new estimate with the trustee’s most

recent annual valuation of the trust fund. If the value of the fund is less than the

amount of the new estimate, the owner or operator, within 60 days after the

change in the cost estimate, must either deposit an amount into the fund so that its

value after this deposit at least equals the amount of the current cost estimate, or

obtain other financial assurance to cover the difference.

If the value of the trust fund is greater than the total amount of the current cost

estimate, the owner or operator may submit a written request to the Agency for

release of the amount in excess of the current cost estimate.

If an owner or operator substitutes other financial assurance for all or part of the

trust fund, the owner or operator may submit a written request to the Agency for

release of the amount in excess of the current cost estimate covered by the trust

fund.

Within 60 days after receiving a request from the owner or operator for release of

funds as specified in subsection (g) or (h) of this Section, the Agency must

instruct the trustee to release to the owner or operator such funds as the Agency

specifies in writing.

After beginning final plugging and abandonment, an owner and operator or any

other person authorized to perform plugging and abandonment may request

reimbursement for plugging and abandonment expenditures by submitting

itemized bills to the Agency. Within 60 days after receiving bills for plugging

and abandonment activities, the Agency must determine whether the plugging and

abandonment expenditures are in accordance with the plan or otherwise justified,

and if so, it must instruct the trustee to make reimbursement in such amounts as

the Agency specifies in writing. If the Agency has reason to believe that the cost

of plugging and abandonment will be significantly greater than the value of the

trust fund, it may withhold reimbursement of such amounts as it deems prudent

until it determines, in accordance with Section 704.222 that the owner or operator

is no longer required to maintain financial assurance.

The Agency must agree to termination of the trust when either of the following

occurs:

The owner or operator substitutes alternate financial assurance; or

The Agency releases the owner or operator in accordance with Section

704.222.

BOARD NOTE: Derived from 40 CFR 144.63(a) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.215

Surety Bond Guaranteeing Payment

An owner or operator may satisfy the financial assurance requirement by

obtaining a surety bond that conforms to the requirements of this Section and

submitting the bond to the Agency with the application for a permit or for

approval to operate under rule. The bond must be effective before the initial

injection of hazardous waste. The surety company issuing the bond must, at a

minimum, be among those listed as acceptable sureties on Federal bonds in

Circular 570 of the U.S. Department of the Treasury.

BOARD NOTE: The U.S. Department of the Treasury updates Circular 570,

“Companies Holding Certificates of Authority as Acceptable Sureties on Federal

Bonds and as Acceptable Reinsuring Companies,” on an annual basis pursuant to

31 CFR 223.16. Circular 570 is available on the Internet from the following

website: http://www.fms.treas.gov/c570/.

The wording of the surety bond must be as specified in Section 704.240.

The owner or operator who uses a surety bond to satisfy the financial assurance

requirement must also establish a standby trust fund. All payments made under

the terms of the bond must be deposited by the surety directly into the standby

trust fund in accordance with instructions from the Agency. This standby trust

fund must meet the requirements specified in Section 704.214, except that the

following limitations apply:

An original, signed duplicate of the trust agreement must be submitted to

the Agency with the surety bond; and

Until the standby trust fund is funded pursuant to this Section, the

following are not required:

Payments into the trust fund as specified in Section 704.214;

Updating of Schedule A of the trust agreement to show current

cost estimates;

Annual valuations as required by the trust agreement; and

Notices of non-payment as required by the trust agreement.

The bond must guarantee that the owner or operator will fulfill the following

requirements:

It will fund the standby trust fund in an amount equal to the penal sum of

the bond before the beginning of plugging and abandonment of the

injection well;

It will fund the standby trust fund in an amount equal to the penal sum

within 15 days after an order to begin plugging and abandonment is issued

by the Board or a U.S. district court or other court of competent

jurisdiction; or

It will provide alternate financial assurance, and obtain the Agency’s

written approval of the assurance provided, within 90 days after receipt by

both the owner or operator and the Agency of a notice of cancellation of

the bond from the surety.

Under the terms of the bond, the surety will become liable on the bond obligation

when the owner or operator fails to perform as guaranteed by the bond.

The penal sum of the bond must be in amount at least equal to the current cost

estimate, except as provided in Section 704.220.

Whenever the current cost estimate increases to an amount greater than the penal

sum, the owner or operator, within 60 days after the increase, must either cause

the penal sum to be increased to an amount at least equal to the current cost

estimate and submit evidence of such increase to the Agency, or obtain other

financial assurance to cover the increase. Whenever the current cost estimate

decreases, the penal sum may be reduced to the amount of the current cost

estimate following written approval by the Agency.

Under the terms of the bond, the surety may cancel the bond by sending notice of

cancellation by certified mail to the owner or operator and to the Agency.

Cancellation may not occur, however, during 120 days beginning on the date of

the receipt of the notice of cancellation by both owner or operator and the Agency

as evidenced by the returned receipts.

The owner or operator may cancel the bond if the Agency has given prior written

consent based on receipt of evidence of alternate financial assurance.

BOARD NOTE: Derived from 40 CFR 144.63(b) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.216

Surety Bond Guaranteeing Performance

An owner or operator may satisfy the financial assurance requirement by

obtaining a surety bond that conforms to the requirements of this Section and

submitting the bond to the Agency. An owner or operator of a new facility must

submit the bond to the Agency with the permit application or for approval to

operate under rule. The bond must be effective before injection of hazardous

waste is started. The surety company issuing the bond must, at a minimum, be

among those listed as acceptable sureties on Federal bonds in Circular 570 of the

U.S. Department of the Treasury.

BOARD NOTE: The U.S. Department of the Treasury updates Circular 570,

“Companies Holding Certificates of Authority as Acceptable Sureties on Federal

Bonds and as Acceptable Reinsuring Companies,” on an annual basis pursuant to

31 CFR 223.16. Circular 570 is available on the Internet from the following

website: http://www.fms.treas.gov/c570/.

The wording of the surety bond must be as specified in Section 704.240.

The owner or operator who uses a surety bond to satisfy the financial assurance

requirement must also establish a standby trust fund. All payments made under

the terms of the bond must be deposited by the surety directly into the standby

trust fund in accordance with instructions from the Agency. This standby trust

fund must meet the requirements specified in Section 704.214, except that the

following limitations apply:

An original, signed duplicate of the trust agreement must be submitted to

the Agency with the surety bond; and

Until the standby trust fund is funded pursuant to this Section, the

following are not required:

Payments into the trust fund as specified in Section 704.214;

Updating of Schedule A of the trust agreement to show current

cost estimates;

Annual valuations as required by the trust agreement; and

Notices of non-payment as required by the trust agreement.

The bond must guarantee that the owner or operator will fulfill the following

requirements:

It will perform plugging and abandonment in accordance with the plan and

other requirements of the permit for the injection well whenever required

to do so; or

It will provide alternate financial assurance, and obtain the Agency’s

written approval of the assurance provided, within 90 days after receipt by

both the owner or operator and the Agency of a notice of cancellation of

the bond from the surety.

Under the terms of the bond, the surety will become liable on the bond obligation

when the owner or operator fails to perform as guaranteed by the bond.

Following a determination that the owner or operator has failed to perform

plugging and abandonment in accordance with the plan and other permit

requirements when required to do so, under terms of the bond the surety must

perform plugging and abandonment as guaranteed by the bond or must deposit the

amount of the penal sum into the standby trust fund.

The penal sum of the bond must be in an amount at least equal to the current cost

estimate.

Whenever the current cost estimate increases to an amount greater than the penal

sum, the owner or operator, within 60 days after the increase, must either cause

the penal sum to be increased to an amount at least equal to the current cost

estimate and submit evidence of such increase to the Agency, or obtain other

financial assurance. Whenever the current cost estimate decreases, the penal sum

may be reduced to the amount of the current cost estimate following written

approval by the Agency.

Under the terms of the bond, the surety may cancel the bond by sending notice of

cancellation by certified mail to the owner or operator and to the Agency.

Cancellation may not occur, however, during 120 days beginning on the date of

the receipt of the notice of cancellation by both owner or operator and the Agency

as evidenced by the returned receipts.

The owner or operator may cancel the bond if the Agency has given prior written

consent. The Agency must provide such written content when either of the

following occurs:

An owner or operator substitute alternate financial assurance; or

The Agency releases the owner or operator in accordance with Section

704.222.

The surety will not be liable for deficiencies in the performance of plugging and

abandonment by the owner or operator after the Agency releases the owner or

operator in accordance with Section 704.222.

BOARD NOTE: Derived from 40 CFR 144.63(c) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.217

Letter of Credit

An owner or operator may satisfy the financial assurance requirement by

obtaining an irrevocable standby letter of credit that conforms to this Section and

submitting the letter to the Agency. An owner or operator of an injection well

must submit the letter of credit to the Agency during submission of the permit

application or for approval to operate under rule. The letter of credit must be

effective before initial injection of hazardous waste. The issuing institution must

be entity that has the authority to issue letters of credit and whose letter-of-credit

operations are regulated and examined by a federal or State agency.

The wording of the letter of credit must be as specified in Section 704.240.

An owner or operator who uses a letter of credit to satisfy the financial assurance

requirement must also establish a standby trust fund. Under the terms of the letter

of credit, all amounts paid pursuant to a draft by the Agency must be deposited by

the issuing institution directly into the standby trust fund in accordance with

instructions from the Agency. This standby trust fund must meet the

requirements of the trust fund specified in Section 704.214, except that the

following limitations apply:

An original, signed duplicate of the trust agreement must be submitted to

the Agency with the letter of credit; and

Unless the standby trust fund is funded pursuant to this Section, the

following are not required:

Payments into the trust fund as specified in Section 704.214;

Updating of Schedule A of the trust agreement to show current

cost estimates;

Annual valuations as required by the trust agreement; and

Notices of non-payment as required by the trust agreement.

The letter of credit must be accompanied by a letter from the owner or operator

referring to the letter of credit by number, issuing institution and date, and

providing the following information: the USEPA identification number, name

and address of the facility, and the amount of funds assured for plugging and

abandonment of the well by the letter of credit.

The letter of credit must be irrevocable and issued for a period of at least one

year. The letter of credit must provide that the expiration date will be

automatically extended for a period of at least one year unless, at least 120 days

before the current expiration date, the issuing institution notifies both the owner

or operator and the Agency by certified mail of a decision not to extend the

expiration date. Under the terms of the letter of credit, the 120 days will begin on

the date when both the owner or operator and the Agency have received the

notice, as evidenced by the return receipts.

The letter of credit must be issued in an amount at least equal to the current cost

estimate, except as provided in Section 704.220.

Whenever the current cost estimate increases to an amount greater than the

amount of the credit, the owner or operator, within 60 days after the increase,

must either cause the amount of the letter of credit to be increased so that it at

least equals the current cost estimate and submit evidence of such increase to the

Agency, or obtain other financial assurance to cover the increase. Whenever the

current cost estimate decreases, the amount of the letter of credit may be reduced

to the amount of the current cost estimate following written approval by the

Agency.

Following a determination that the owner or operator has failed to perform final

plugging and abandonment in accordance with the plan and other permit

requirements when required to do so, the Agency may draw on the letter of credit.

If the owner or operator does not establish alternate financial assurance and obtain

written approval of such alternate assurance from the Agency within 90 days after

receipt by both the owner or operator and the Agency of a notice from the issuing

institution that it has decided not to extend the letter of credit beyond the current

expiration date, the Agency must draw on the letter of credit. The Agency may

delay the drawing if the issuing institution grants an extension of the term of the

credit. During the last 30 days of any such extension the Agency must draw on

the letter of credit if the owner or operator has failed to provide alternate financial

assurance and obtain written approval of such assurance from the Agency.

The Agency must return the letter of credit to the issuing institution for

termination when:

An owner or operator substitutes alternate financial assurance; or

The Agency releases the owner or operator in accordance with Section

704.222.

BOARD NOTE: Derived from 40 CFR 144.63(d) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.218

Plugging and Abandonment Insurance

An owner or operator may satisfy the financial assurance requirement by

obtaining insurance that conforms to this Section and submitting a certificate of

such insurance to the Agency. An owner or operator of a new injection well must

submit the certificate of insurance to the Agency with the permit application or

for approval operate under rule. The insurance must be effective before injection

starts. At a minimum, the insurer must be licensed to transact the business of

insurance, or eligible to provide insurance as an excess or surplus lines insurer, in

one or more States.

The wording of the certificate of insurance must be as specified in Section

704.240.

The policy must be issued for a face amount at least equal to the current cost

estimate, except as provided in Section 704.220. The term “face amount” means

the total amount the insurer is obligated to pay under the policy. Actual payments

by the insurer will not change the face amount, although the insurer’s future

liability will be lowered by the amount of the payments.

The policy must guarantee that funds will be available whenever final plugging

and abandonment occurs. The policy must also guarantee that once plugging and

abandonment begins, the insurer will be responsible for paying out funds, up to an

amount equal to the face amount of the policy, upon the direction of the Agency

to such party or parties as the Agency specifies.

After beginning plugging and abandonment, an owner or operator or any other

person authorized to perform plugging and abandonment may request

reimbursement for plugging and abandonment expenditures by submitting

itemized bills to the Agency. Within 60 days after receiving bills for plugging

and abandonment activities, the Agency must determine whether the plugging and

abandonment expenditures are in accordance with the plan or otherwise justified,

and if so, it must instruct the insurer to make reimbursement in such amounts as

the Agency specifies in writing. If the Agency has reason to believe that the cost

of plugging and abandonment will be significantly greater than the face amount of

the policy, it may withhold reimbursement of such amounts as it deems prudent

until it determines, in accordance with Section 704.222, that the owner or

operator is no longer required to maintain financial assurance for plugging and

abandonment of the injection well.

The owner or operator must maintain the policy in full force and effect until the

Agency consents to termination of the policy by the owner or operator, as

specified in subsection (j) of this Section. Failure to pay the premium, without

substitution of alternate financial assurance, will constitute a significant violation

of these regulations, warranting such remedy as the Agency deems necessary.

Such violation will be deemed to begin upon receipt by the Agency of a notice of

future cancellation, termination or failure to renew due to non-payment of the

premium, rather than upon the date of expiration.

Each policy must contain provisions allowing assignment to a successor owner or

operator. Such assignment may be conditional upon consent of the insurer,

provided such consent is not unreasonably refused.

The policy must provide that the insurer may not cancel, terminate, or fail to

renew the policy except for failure to pay the premium. The automatic renewal of

the policy must, at a minimum, provide the insured with the option of renewal at

the face amount of the expiring policy. If there is a failure to pay the premium,

the insurer may elect to cancel, terminate, or fail to renew the policy by sending

notice by certified mail to the owner or operator and the Agency. Cancellation,

termination, or failure to renew may not occur, however, during 120 days

beginning with the date of receipt of the notice by both the Agency and the owner

or operator, as evidenced by the return of receipts. Cancellation, termination, or

failure to renew may not occur and the policy will remain in full force and effect

in the event that on or before the date of expiration any of the following occurs:

The Agency deems the injection well abandoned;

The permit is terminated or revoked or a new permit is denied;

Plugging and abandonment is ordered by the Board, a U.S. district court,

or any other court of competent jurisdiction;

The owner or operator is named as debtor in a voluntary or involuntary

proceeding under 11 USC (Bankruptcy); or

The premium due is paid.

Whenever the current cost estimate increases to an amount greater than the face

amount of the policy, the owner or operator, within 60 days after the increase,

must either cause the face amount to be increased to an amount at least equal to

the current cost estimate and submit evidence of such increase to the Agency, or

obtain other financial assurance to cover the increase. Whenever the current cost

estimate decreases, the face amount may be reduced to the amount of the current

cost estimate following written approval by the Agency.

The Agency must give written consent to the owner or operator that the owner or

operator may terminate the insurance policy when either of the following occurs:

An owner or operator substitutes alternate financial assurance; or

The Agency releases the owner or operator in accordance with Section

704.222.

BOARD NOTE: Derived from 40 CFR 144.63(e) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.219

Financial Test and Corporate Guarantee

An owner or operator may satisfy the financial assurance requirement by

demonstrating that the owner or operator passes a financial test as specified in this

Section. To pass this test the owner or operator must meet the criteria of either

subsection (a)(1) or (a)(2) of this Section:

The owner or operator must have each of the following:

Two of the following three ratios: A ratio of total liabilities to net

worth less than 2.0; a ratio of the sum of net income plus

depreciation, depletion, and amortization to total liabilities greater

than 0.1; and a ratio of current assets to current liabilities greater

than 1.5;

Net working capital and tangible net worth each at least six times

the sum of the current cost estimate;

A tangible net worth of at least $10 million; and

Assets in the United States amounting to at least 90 percent of the

owner or operator’s total assets or at least six times the sum of the

current cost estimate.

The owner or operator must have each of the following:

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;

A tangible net worth at least six times the sum of the current cost

estimate;

A tangible net worth of at least $10 million; and

Assets located in the United States amounting to at least 90 percent

of the owner or operator’s total assets or at least six times the sum

of the current cost estimates.

The phrase “current cost estimate” as used in subsection (a) of this Section refers

to the cost estimate required to be shown in paragraphs 1 through 4 of the letter

from the owner’s or operator’s chief financial officer, as specified in Section

704.240.

To demonstrate that the owner or operator meets this test, the owner or operator

must submit the following items to the Agency:

A letter signed by the owner’s or operator’s chief financial officer and

worded as specified in Section 704.240;

A copy of the independent certified public accountant’s report on

examination of the owner’s or operator’s financial statements for the latest

completed fiscal year; and

A special report from the owner’s or operator’s independent certified

public accountant to the owner or operator stating that the following are

true:

The accountant has compared the data that the letter from the chief

financial officer specifies as having been derived from the

independently audited, year-end financial statements for the latest

fiscal year with the amounts in such financial statements; and

In connection with that procedure, no matters came to the

accountant’s attention that caused the accountant to believe that

the specified data should be adjusted.

An owner or operator of a new injection well must submit the items specified in

subsection (c) of this Section to the Agency within 90 days after the close of each

succeeding fiscal year. This information must consist of all three items specified

in subsection (c) of this Section.

After the initial submission of items specified in subsection (c) of this Section, the

owner or operator must send updated information to the Agency within 90 days

after the close of each succeeding fiscal year. This information must consist of all

three items specified in subsection (c) of this Section.

If the owner or operator no longer meets the requirements of subsection (a) of this

Section, the owner or operator must send notice to the Agency intent to establish

alternate financial assurance. The notice must be sent by certified mail within 90

days after the end of the fiscal year for which the year-end financial data show

that the owner or operator no longer meets the requirements. The owner or

operator must provide the alternate financial assurance within 120 days after the

end of such fiscal year.

The Agency may, based on a reasonable belief that the owner or operator may no

longer meet the requirements of subsection (a) of this Section, require reports of

financial condition at any time from the owner or operator in addition to those

specified in subsection (c) of this Section. If the Agency finds, on the basis of

such reports or other information, that the owner or operator no longer meets the

requirements of subsection (a), the owner or operator must provide alternate

financial assurance within 30 days after notification of such a finding.

The Agency may disallow use of this test on the basis of qualifications in the

opinion expressed by the independent certified public accountant in the

accountant’s report on examination of the owner’s or operator’s financial

statements (see subsection (c)(2) of this Section). An adverse opinion or

disclaimer of opinion will be cause for disallowance. The Agency must evaluate

other qualifications on an individual basis. The owner or operator must provide

alternate financial assurance within 30 days after notification of the disallowance.

The owner or operator is no longer required to submit the items specified in

subsection (c) of this Section when either of the following occurs:

An owner or operator substitutes alternate financial assurance; or

The Agency releases the owner or operator in accordance with Section

704.222.

An owner or operator may meet the requirements of this Section by obtaining a

written guarantee, hereafter referred to as “corporate guarantee.” The guarantor

must be the parent corporation of the owner or operator. The guarantor must meet

the requirements for owners or operators in subsections (a) through (h) of this

Section and must comply with the terms of the corporate guarantee. The wording

of the corporate guarantee must be as specified in Section 704.240. The corporate

guarantee must accompany the items sent to the Agency, as specified in

subsection (c) of this Section. The terms of the corporate guarantee must provide

that the following limitations apply:

If the owner or operator fails to perform plugging and abandonment of the

injection well covered by the corporate guarantee in accordance with the

plan and other permit requirements whenever required to do so, the

guarantor must do so or establish a trust fund, as specified in Section

704.214 in the name of the owner or operator.

The corporate guarantee must remain in force unless the guarantor sends

notice of cancellation by certified mail to the owner or operator and the

Agency, as evidenced by the return receipts. Cancellation may not occur,

however, during the 120 days beginning on the date of receipt of the

notice of cancellation by both the owner or operator and the Agency, as

evidenced by the return receipts.

If the owner or operator fails to provide alternate financial assurance and

obtain the written approval of such alternate assurance from the Agency

within 90 days after receipt by both the owner or operator and the Agency

of a notice of cancellation of the corporate guarantee from the guarantor,

the guarantor must provide such alternative financial assurance in the

name of the owner or operator.

BOARD NOTE: Derived from 40 CFR 144.63(f) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.220

Multiple Financial Mechanisms

An owner or operator may satisfy the financial assurance requirement by establishing more than

one financial mechanism per injection well. These mechanisms are limited to trust funds, surety

bonds guaranteeing payment into a trust fund, letter of credit, and insurance. The mechanisms

must be as specified in Sections 704.214, 704.215, 704.217, and 704.218, respectively, except

that it is the combination of mechanisms, rather than the single mechanism, that must provide

financial assurance for an amount at least equal to the current cost estimate. If an owner or

operator uses a trust fund in combination with a surety bond or letter of credit, the owner or

operator may use that trust fund as the standby trust fund for the other mechanisms. A single

standby trust may be established for two or more mechanisms. The Agency may invoke any or

all of the mechanisms to provide for plugging and abandonment of the injection well.

BOARD NOTE: Derived from 40 CFR 144.63(g) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.221

Financial Mechanism for Multiple Facilities

An owner or operator may use a financial assurance mechanism specified in Sections 704.213 or

704.220 to meet the financial assurance requirement for more than one injection well. Evidence

of financial assurance submitted to the Agency must include a list showing, for each injection

well, the USEPA identification number, name, address, and the amount of funds for plugging

and abandonment assured by the mechanisms. The operator must provide sufficient financial

assurance to the Agency to plug and abandon all of the wells the operator has in Illinois. The

amount of funds available through the mechanism must be no less than the sum of funds that

would be available if a separate mechanism has been established and maintained for each

injection well. In directing funds available through the mechanism for plugging and

abandonment of any of the injection wells covered by the mechanism, the Agency may direct

only the amount of funds designated for that injection well, unless the owner or operator agrees

to use additional funds available under the mechanism.

BOARD NOTE: Derived from 40 CFR 144.63(h) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.222

Release of the Owner or Operator

Within 60 days after receiving certifications from the owner or operator and an independent

registered professional engineer that plugging and abandonment has been accomplished in

accordance with the plan, the Agency must notify the owner or operator in writing that the owner

or operator is no longer required by this Subpart G to maintain financial assurance for plugging

and abandonment of the injection well, unless the Agency has reason to believe that plugging

and abandonment has not been in accordance with the plan.

BOARD NOTE: Derived from 40 CFR 144.63(i) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.230

Incapacity

An owner or operator must notify the Agency by certified mail of the

commencement of a voluntary or involuntary proceeding under 11 USC

(Bankruptcy), naming the owner or operator as debtor, within 10 business days

after the commencement of the proceeding. A guarantor of a corporate guarantee

as specified in Section 704.219 must make such a notification if the guarantor is

named as debtor, as required under the terms of guarantee in Section 704.240.

An owner or operator who fulfills Section 704.213 by obtaining a letter of credit,

surety bond, or insurance policy will be deemed to be without the required

financial assurance in the event of bankruptcy, insolvency or a suspension or

revocation of the license or charter of the issuing institution. The owner or

operator must establish other financial assurance within 60 days after such an

event.

BOARD NOTE: Derived from 40 CFR 144.64 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.240

Wording of the Instruments

The Agency must promulgate standardized forms based on 40 CFR 144.70 (Wording of the

Instruments), incorporated by reference in 35 Ill. Adm. Code 720.111(b), with such changes in

wording as are necessary under Illinois law. Any owner or operator required to establish

financial assurance under this Subpart G must do so only upon the standardized forms

promulgated by the Agency. The Agency may reject any financial assurance document that is

not submitted on such standardized forms.

BOARD NOTE: Derived from 40 CFR 144.70 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

SUBPART H: ISSUED PERMITS

Section 704.260

Transfer

Transfer by modification. Except as provided in subsection (b) of this Section, a

permit may be transferred by the permittee to a new owner or operator only if the

permit has been modified or reissued (under Sections 704.261 through 704.264)

to identify the new permittee and incorporate such other requirements as may be

necessary under the appropriate Act. The new owner or operator to whom the

permit is transferred must comply with all the terms and conditions specified in

such permit.

Automatic transfers. As an alternative to transfers under subsection (a) of this

Section, any UIC permit for a well not injecting hazardous waste may be

automatically transferred to a new permittee if each of the following conditions

are fulfilled:

The current permittee notifies the Agency at least 30 days in advance of

the proposed transfer date in subsection (b)(2) of this Section;

The notice includes a written agreement between the existing and new

permittees containing a specific date for transfer of permit responsibility,

coverage and liability between them and the notice demonstrates that the

financial responsibility requirements of Section 704.189 will be met by the

new permittee and that the new permittee agrees to comply with all the

terms and conditions specified in the permit to be transferred under

subsection (b) of this Section; and

The Agency does not notify the existing permittee and the proposed new

permittee of its intent to modify or reissue the permit. A modification

under this subsection (b) may also be a minor modification under Section

704.264. If this notice is not received, the transfer is effective on the date

specified in the agreement mentioned in subsection (b)(2) of this Section.

BOARD NOTE: Derived from 40 CFR 144.38 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.261

Modification

When the Agency receives any information (for example, it inspects the facility; it receives

information submitted by the permittee, as required in the permit (see 35 Ill. Adm. Code 702.140

through 702.152); it receives a request for modification or reissuance; or it conducts a review of

the permit file), it may determine whether or not one or more of the causes listed in Sections

704.262 and 704.263 for modification or reissuance exist. If cause exists, the Agency may

modify or reissue the permit accordingly, subject to the limitations of Section 704.263 and may

request an updated application if necessary. When a permit is modified, only the conditions

subject to modification are reopened. If cause does not exist under Sections 704.261 through

704.264, the Agency may not modify or reissue the permit. If a permit modification satisfies the

criteria in Section 704.264 for “minor modifications” the permit may be modified without a draft

permit or public review. Otherwise, a draft permit must be prepared and other procedures in 35

Ill. Adm. Code 705 followed.

BOARD NOTE: Derived from 40 CFR 144.39 preamble (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.262

Causes for Modification

The following are causes for modification of a permit. For a Class I hazardous

waste injection well or a Class III injection well, any of the following may be

cause for reissuance of the permit, as well as for permit modification. For all

other injection wells, the following may be cause for reissuance of the permit, as

well as for permit modification, when the permittee requests or agrees:

Alterations. There are material and substantial alterations or additions to

the permitted facility or activity that occurred after permit issuance that

justify the application of permit conditions that are different or absent in

the existing permit.

Information. Permits other than for a Class III injection well may be

modified during their terms for this cause only if the information was not

available at the time of permit issuance (other than revised regulations,

guidance, or test methods) and would have justified the application of

different permit conditions at the time of issuance. For an area permit, this

cause must include any information indicating that cumulative effects on

the environment are unacceptable.

New statutory requirements or regulations. The standards or regulations

on which the permit was based have been changed by statute, through

promulgation of new or amended standards or regulations, or by judicial

decision after the permit was issued. A permit other than for a Class I

hazardous waste injection well or a Class III injection well may be

modified during their terms for this cause only as follows:

The Agency may modify the permit when standards or regulations

on which the permit was based have been changed by statute or

amended standards or regulations.

The permittee may request modification when all of the following

occur:

The permit condition requested to be modified was based

on a provision of 35 Ill. Adm. Code 730;

ii)

The Board has revised, withdrawn, or modified that

provision on which the permit condition was based; and

iii)

The permittee requests modification in accordance with 35

Ill. Adm. Code 705.128 within 90 days afterthe effective

date of the changed statute or amended standards or

regulations on which the request is based.

For judicial decisions, a court of competent jurisdiction has

remanded and stayed Board promulgated regulations, if the remand

and stay concern that portion of the regulations on which the

permit condition was based or if a request is filed by the permittee

in accordance with 35 Ill. Adm. Code 705.128 within 90 days after

judicial remand.

Compliance schedules. The Agency determines good cause exists for

modification of a compliance schedule, such as an act of God, strike,

flood, materials shortage, or other events over which the permittee has

little or no control and for which there is no reasonably available remedy.

The following are causes to modify or, alternatively, to reissue a permit:

The Agency has received notification (as required in the permit, see 35 Ill.

Adm. Code 702.152(c)) of a proposed transfer of the permit. A permit

also may be modified to reflect a transfer after the effective date of an

automatic transfer (35 Ill. Adm. Code 702.182(b)), but it must not be

reissued after the effective date of the transfer, except upon the request of

the new permittee.

A determination that the waste being injected is a hazardous waste, as

defined in 35 Ill. Adm. Code 721.103, either because the definition has

been revised, or because a previous determination has been changed.

BOARD NOTE: Derived from 40 CFR 144.39 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.263

Well Siting

Suitability of the well location must not be considered at the time of permit modification unless

new information or standards indicate that a threat to human health or the environment exists

that was unknown at the time of permit issuance or unless required under the Act [415 ILCS 5].

However, certain modifications may require site location suitability approval pursuant to Section

39.2 of the Act [415 ILCS 5/39.2].

BOARD NOTE: Derived from 40 CFR 144.39(c) (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.264

Minor Modifications

Upon the consent of the permittee, the Agency may modify a permit to make the corrections or

allowances for changes in the permitted activity listed in this Section, without following the

procedures of 35 Ill. Adm. Code 705. Any permit modification not processed as a minor

modification under this Section must be made for cause and with a 35 Ill. Adm. Code 705 draft

permit and public notice, as required in Sections 704.261 through 704.263. Minor modifications

may only involve the following changes:

Correcting typographical errors;

Requiring more frequent monitoring or reporting by the permittee;

Changing an interim compliance date in a schedule of compliance, provided the

new date is not more than 120 days after the date specified in the existing permit

and does not interfere with attainment of the final compliance date requirement;

Allowing for a change in ownership or operational control of a facility where the

Agency determines that no other change in the permit is necessary, provided that

a written agreement containing a specific date for transfer of permit

responsibility, coverage, and liability between the current and new permittees has

been submitted to the Agency; or

Making other limited changes, as follows:

Changing quantities or types of fluids injected that are within the capacity

of the facility as permitted and, in the judgment of the Agency, would not

interfere with the operation of the facility or its ability to meet conditions

described in the permit and would not change its classification.

Changing construction requirements approved by the Agency pursuant to

35 Ill. Adm. Code 704.182 (establishing UIC permit conditions), provided

that any such alteration must comply with this Part and 35 Ill. Adm. Code

702 and 730.

Amending a plugging and abandonment plan that has been updated under

Section 704.181(e).

BOARD NOTE: Derived from 40 CFR 144.41 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

SUBPART I: REQUIREMENTS FOR CLASS V INJECTION WELLS

Section 704.279

General

This Subpart I sets forth the requirements applicable to the owner or operator of a Class V

injection well. Additional requirements listed elsewhere in this Part may also apply. Where they

may apply, those other requirements are referenced rather than repeated in this Subpart I. The

requirements described in this Subpart I and elsewhere in this Part are intended to protect

USDWs and are part of the UIC program established under Section 13(c) of the Act [415 ILCS

5/13(c)].

BOARD NOTE: Derived from 40 CFR 144.79 (2005). USEPA wrote corresponding subpart G

of 40 CFR 144 in a question-and-answer format to make it easier to understand the regulatory

requirements. The Board has abandoned that format in favor of a more traditional approach of

using clear statements of the requirements and their applicability.

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.280

Definition of a Class V Injection Well

Section 704.106 defines the five classes of injection wells, including a Class V injection well, as

regulated under this Subpart I. Typically, Class V injection wells are shallow wells used to place

a variety of fluids directly below the land surface. However, if the fluids placed in the ground

qualify as a hazardous waste under RCRA, the well is either a Class I or Class IV injection well,

not a Class V injection well. Examples of Class V injection wells are described in Section

704.281.

BOARD NOTE: Derived from 40 CFR 144.80 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.281

Examples of Class V Injection Wells

The following are examples of Class V injection wells to which this Subpart I applies:

Air conditioning return flow wells used to return to the supply aquifer the water

used for heating or cooling in a heat pump;

A large capacity cesspool, including a multiple-dwelling, community, or regional

cesspool, or any other device that receives sanitary wastes containing human

excreta that has an open bottom and, sometimes, perforated sides. The UIC

requirements do not apply to a single family residential cesspool, nor do they

apply to a non-residential cesspool that receives solely sanitary waste and which

has the capacity to serve fewer than 20 persons a day;

A cooling water return flow well that is used to inject water previously used for

cooling;

A drainage well that is used to drain surface fluids, primarily storm runoff, into a

subsurface formation;

A dry well that is used for the injection of wastes into a subsurface formation;

A recharge well that is used to replenish the water in an aquifer;

A salt water intrusion barrier well that is used to inject water into a fresh aquifer

to prevent the intrusion of salt water into the fresh water;

A sand backfill and other backfill well that is used to inject a mixture of water and

sand, mill tailings, or other solids into mined out portions of a subsurface mine

whether what is injected is a radioactive waste or not;

A septic system well that is used to inject the waste or effluent from a multiple

dwelling, business establishment, community, or regional business establishment

septic tank. The UIC requirements do not apply to a single family residential

septic system well, nor to a non-residential septic system well that is used solely

for the disposal of sanitary waste and which has the capacity to serve fewer than

20 persons a day;

A subsidence control well (not used for the purpose of oil or natural gas

production) that is used to inject fluids into a non-oil-and-gas-producing zone to

reduce or eliminate subsidence associated with the overdraft of fresh water;

An injection well associated with the recovery of geothermal energy for heating,

aquaculture, and production of electric power;

A well that is used for solution mining of conventional mines, such as stopes

leaching;

A well that is used to inject spent brine into the same formation from which it was

withdrawn after extraction of halogens or their salts;

An injection well that is used in experimental technologies;

An injection well that is used for in situ recovery of lignite, coal, tar sands, and oil

shale; and

A motor vehicle waste disposal well that receives or which has received fluids

from vehicular repair or maintenance activities, such as an auto body repair shop,

an automotive repair shop, a new or used car dealership, a specialty repair shop

(e.g., transmission and muffler repair shop), or any facility that does any vehicular

repair work. Fluids disposed in this type of well may contain organic and

inorganic chemicals in concentrations that exceed the maximum contaminant

levels (MCLs) established by the primary drinking water regulations (35 Ill. Adm.

Code 611). These fluids also may include waste petroleum products and may

contain contaminants, such as heavy metals and volatile organic compounds, that

pose risks to human health.

BOARD NOTE: Derived from 40 CFR 144.81 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.282

Protection of Underground Sources of Drinking Water

This Subpart I requires that an owner or operator of a Class V injection well must not allow

movement of fluid into USDWs that might cause endangerment of the USDW, that the owner or

operator must comply with the UIC requirements in this Part and 35 Ill. Adm. Code 702 and 730,

that the owner or operator must comply with any other measures required by the State or USEPA

to protect USDWs, and that the owner or operator must properly close its well when the owner

or operator is through using it. The owner or operator also must submit basic information about

its well, as described in Section 704.283.

Prohibition of fluid movement.

As described in Section 704.122(a), an owner’s or operator’s injection

activity cannot allow the movement of fluid containing any contaminant

into USDWs if the presence of that contaminant may cause a violation of

the primary drinking water standards under 35 Ill. Adm. Code 611, may

cause a violation of other health-based standards, or may otherwise

adversely affect the health of persons. This prohibition applies to the

owner’s or operator’s well construction, operation, maintenance,

conversion, plugging, closure, or any other injection activity.

If the Agency learns that an owner’s or operator’s injection activity may

endanger a USDW, the Agency may require the owner or operator to close

its well, require the owner or operator to get a permit, or require other

actions listed in Section 704.122(c), (d), or (e).

Closure requirements. An owner or operator must close the well in a manner that

complies with the above prohibition of fluid movement. Also, the owner or

operator must dispose of or otherwise manage any soil, gravel, sludge, liquids, or

other materials removed from or adjacent to its well in accordance with all

applicable federal, State, and local regulations and requirements.

Other requirements in this Part and 35 Ill. Adm. Code 702 and 730. Beyond this

Subpart I, the owner and operator are subject to other UIC program requirements

in this Part and 35 Ill. Adm. Code 702 and 730. While most of the relevant

requirements are repeated or referenced in this Subpart I for convenience, the

owner or operator needs to read all of this Part and 35 Ill. Adm. Code 702 and 730

to fully understand the entire UIC program.

Other State requirements. This Part and 35 Ill. Adm. Code 702 and 730 define

minimum federally-derived UIC requirements. The Agency has the flexibility to

establish additional or more stringent requirements based on the authorities in this

Part, 35 Ill. Adm. Code 702 and 730, and the Act [415 ILCS 5], if such additional

requirements are determined to be necessary to protect USDWs. The owner and

operator must comply with any such additional requirements. The owner or

operator should contact the Agency to learn more.

BOARD NOTE: Derived from 40 CFR 144.82 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.283

Notification of a Class V Injection Well

The owner or operator of a Class V injection well needs to provide basic “inventory

information” about its well to the Agency, if the owner or operator has not done so already. The

owner or operator also needs to provide any additional information that the Agency requests in

accordance with the provisions of the UIC regulations.

Inventory requirements. Unless the owner or operator knows it has already

satisfied the inventory requirements in Section 704.128 that were in effect prior to

the issuance of this Subpart I, the owner or operator must give the Agency certain

information about itself and its injection operation.

BOARD NOTE: In the corresponding note to 40 CFR 144.83(a), USEPA states

that this information is requested on national form “Inventory of Injection Wells,”

USEPA Form 7520-16, incorporated by reference in 35 Ill. Adm. Code

720.111(a). Although USEPA Form 7520-16 is acceptable to USEPA, the

Agency may develop alternative forms for use in this State.

The owner or operator of a new or existing Class V injection well must

contact the Agency to determine what information it must submit and by

when it must submit that information.

The following is the information that the owner or operator must submit:

No matter what type of Class V injection well is owned or

operated, the owner or operator must submit at least the

following information for each Class V injection well:i)

The facility name and location;

ii)

The name and address of a legal contact person for the

facility;

iii)

The ownership of the facility;

iv)

The nature and type of the injection well or wells; and

The operating status of the injection well or wells.

Illinois is designated a “Primacy State” by USEPA.

Corresponding 40 CFR 144.83(a)(2)(ii) relates exclusively to

“Direct Implementation” states, so the Board has omitted it. This

statement maintains structural consistency with the federal

regulations.

The owner or operator must provide a list of all wells it owns or

operates, along with the following information for each well. (A

single description of wells at a single facility with substantially the

same characteristics is acceptable.)

The location of each well or project given by Township,

Range, Section, and Quarter-Section, according to the U.S.

Land Survey System;

ii)

The date of completion of each well;

iii)

The identification and depth of the underground formations

into which each well is injecting;

iv)

The total depth of each well;

A construction narrative and schematic (both plan view and

cross-sectional drawings);

vi)

The nature of the injected fluids;

vii)

The average and maximum injection pressure at the

wellhead;

viii)

The average and maximum injection rate; and

ix)

The date of the last inspection.

The owner and operator is responsible for knowing about, understanding,

and complying with these inventory requirements.

Illinois is designated a “Primacy State” by USEPA. Corresponding 40 CFR

144.83(b) relates exclusively to “Direct Implementation” states, so the Board has

omitted it. This statement maintains structural consistency with the federal

regulations.

BOARD NOTE: Derived from 40 CFR 144.83 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.284

Permit Requirements

No permit is required for a Class V injection well, unless the owner or operator falls within an

exception described in subsection (b) of this Section.

General authorization by rule. With certain exceptions listed in subsection (b) of

this Section, an owner’s or operator’s Class V injection activity is “authorized by

rule,” meaning that the owner and operator has to comply with all the

requirements of this Subpart I and the rest of this Part and 35 Ill. Adm. Code 702

and 730, but the owner or operator does not need to get an individual permit.

Well authorization expires once the owner or operator has properly closed its

well, as described in Section 704.282(b).

Circumstances in which permits or other actions are required. If an owner or

operator fits into one of the categories listed below, its Class V injection well is

no longer authorized by rule. This means that the owner or operator has to either

get a permit or close its injection well. The owner or operator can find out

whether its well falls into one of these categories by contacting the Agency.

Subparts D and H of this Part tell an owner or operator how to apply for a permit

and describe other aspects of the permitting process. Subpart C of 35 Ill. Adm.

Code 702 and Subpart E of this Part outline some of the requirements that apply

to the owner or operator if it gets a permit. An owner or operator must either

obtain a permit or close its injection well if any of the following is true:

The owner or operator fails to comply with the prohibition against fluid

movement in Section 704.122(a) and described in Section 704.282(a) (in

which case, the owner or operator must get a permit, close its well, or

comply with other conditions determined by the Agency);

The Class V injection well is a large-capacity cesspool (in which case, the

owner or operator must close its well as specified in the additional

requirements set forth in Section 704.288) or the Class V injection well is

a motor vehicle waste disposal well in a groundwater protection area or a

sensitive groundwater area (in which case, the owner or operator must

either close its well or get a permit, as specified in the additional

requirements set forth in Section 704.288). New motor vehicle waste

disposal wells and new cesspools are prohibited;

BOARD NOTE: A new motor vehicle waste disposal well or a new

cesspool is one for which construction had not commenced prior to April

5, 2000. See 40 CFR 144.84(a)(2).

The owner or operator is specifically required by the Agency to get a

permit (in which case, the authorization by rule expires on the effective

date of the permit issued, or the owner or operator is prohibited from

injecting into its well upon the occurrence of either of the following:

The failure of the owner and operator to submit a permit

application in a timely manner, as specified in a notice from the

Agency; or

The effective date of a permit denial; or

The owner or operator has failed to submit inventory information to the

Agency, as described in Section 704.283(a) (in which case, the owner and

operator is prohibited from injecting into the well until it complies with

the inventory requirements).

Illinois is designated a “Primacy State” by USEPA. Corresponding 40

CFR 144.84(b)(5) relates exclusively to “Direct Implementation” states,

so the Board has omitted it. This statement maintains structural

consistency with the federal regulations.

BOARD NOTE: Derived from 40 CFR 144.84 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.285

Applicability of the Additional Requirements

Large-capacity cesspools. The additional requirements set forth in Section

704.288 apply to a new and existing large-capacity cesspool. If the owner or

operator is using a septic system for these type of wastes, the owner or operator is

not subject to the additional requirements in Section 704.288.

Motor vehicle waste disposal wells existing on April 5, 2000. If the owner or

operator has a Class V motor vehicle waste disposal well, the additional

requirements in Section 704.288 apply to that owner or operator if the well is

located in a ground water protection area or other sensitive ground water area that

is identified by the Agency, the Board, or USEPA Region 5.

BOARD NOTE: An existing motor vehicle waste disposal well is one for which

construction had commenced prior to April 5, 2000. See 40 CFR 144.83(a)(1)(i)

and (a)(1)(ii), as added at 64 Fed. Reg. 68568 (December 7, 1999).

Corresponding 40 CFR 144.85(b) provides that the additional requirements apply

Statewide if the State or the USEPA Region fails to identify sensitive

groundwater areas. The Board has not included this Statewide applicability

provision by virtue of 14.1 through 14.6 and Sections 17.1 through 17.4 of the

Act [415 ILCS 5/14.1-14.6 and 17.1-17.4], Section 8 of the Illinois Groundwater

Protection Act [415 ILCS 55/8], and 35 Ill. Adm. Code 615 through 620.

New Motor Vehicle Waste Disposal Wells. The additional requirements in

Section 704.288 apply to a new motor vehicle waste disposal well.

BOARD NOTE: A new motor vehicle waste disposal well is one for which

construction had not commenced prior to April 5, 2000. See 40 CFR 144.85(c)

(2005).

BOARD NOTE: Derived from 40 CFR 144.85 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.286

Definitions

“State drinking water source assessment and protection program” is a new

approach to protecting drinking water sources, specified in section 1453 of the

1996 Amendments to the Safe Drinking Water Act (42 USC 300j-13).

BOARD NOTE: Under the federal requirements, states must prepare and submit

for USEPA approval a program that sets out how each state must conduct local

assessments, including the following: delineating the boundaries of areas

providing source waters for public water systems; identifying significant potential

sources of contaminants in such areas; and determining the susceptibility of

public water systems in the delineated areas to the inventoried sources of

contamination. The Illinois Groundwater Protection Act [415 ILCS 55] and the

regulations at 35 Ill. Adm. Code 620 adopted pursuant to that law and Sections

14.1 through 14.6 and 17.1 through 17.4 of the Environmental Protection Act

[415 ILCS 14.1-14.6 and 17.1-17.4] and the regulations at 35 Ill. Adm. Code 615

through 617 adopted under those provisions are major segments of the required

Illinois program.

“Complete local source water assessment for groundwater protection areas.”

When USEPA has approved a state’s drinking water source assessment and

protection program, the state must begin to conduct local assessments for each

public water system in that state. For the purposes of this Subpart I, local

assessments for community water systems and non-transient non-community

systems are complete when the four following requirements are met:

The State must delineate the boundaries of the assessment area for

community and non-transient non-community water systems, as such are

defined in 35 Ill. Adm. Code 611.101;

The State must identify significant potential sources of contamination in

these delineated areas;

The State must determine the susceptibility of community and non-

transient non-community water systems in the delineated area to such

contaminants; and

The Agency must make the completed assessments available to the public.

BOARD NOTE: The Agency administers the “Illinois Source Water Assessment

and Protection Program,” which is intended to comply with the federal source

water assessment requirements of SDWA Section 1453 (42 USC 300j-13).

“Groundwater protection area” is a geographic area near or surrounding a

community or non-transient non-community water system, as defined in 35 Ill.

Adm. Code 611.101, that uses groundwater as a source of drinking water. For the

purposes of this Subpart I, the Board considers a “setback zone,” as defined in

Section 3.61 of the Act [415 ILCS 5/3.61] and regulated pursuant to Sections 14.1

through 14.6 of the Act [415 ILCS 5/14.1-14.6], to be a “groundwater protection

area,” as intended by corresponding 40 CFR 144.86(c). (See 35 Ill. Adm. Code

615 and 616.) These areas receive priority for the protection of drinking water

supplies and federal law requires the State to delineate and assess these areas

under section 1453 of the federal Safe Drinking Water Act, 42 USC 300j-13. The

additional requirements in Section 704.288 apply to an owner or operator if its

Class V motor vehicle waste disposal well is in a groundwater protection area for

either a community water system or a non-transient non-community water system.

BOARD NOTE: USEPA stated in corresponding 40 CFR 144.86(c) that in many

states these areas will be the same as wellhead protection areas delineated as

described in section 1428 of the federal SDWA (42 USC 300h-7).

“Community water system,” as defined in 35 Ill. Adm. Code 611.101, is a public

water system that serves at least 15 service connections used by year-round

residents or which regularly serves at least 25 year-round residents.

“Non-transient, non-community water system,” as defined in 35 Ill. Adm. Code

611.101, is a water system that is not a community water system and which

regularly serves at least 25 of the same people over six months a year. These may

include systems that provide water to schools, day care centers, government or

military installations, manufacturers, hospitals or nursing homes, office buildings,

and other facilities.

“Delineation.” Once the State’s drinking water source assessment and protection

program is approved by USEPA, the State must begin delineating its local

assessment areas. “Delineation” is the first step in the assessment process in

which the boundaries of groundwater protection areas are identified.

“Other sensitive groundwater areas.” The State may also identify other areas in

the State in addition to groundwater protection areas that are critical to protecting

USDWs from contamination. For the purposes of this Subpart I, the Board

considers a “regulated recharge area,” as defined in Section 3.67 of the Act [415

ILCS 5/3.67] and regulated pursuant to Sections 17.1 through 17.4 of the Act

[415 ILCS 5/17.1-17.4], to be an “other sensitive groundwater area,” as intended

by corresponding 40 CFR 144.86(g). (See 35 Ill. Adm. Code 615 through 617.)

These other sensitive groundwater areas may include areas such as areas

overlying sole-source aquifers; highly productive aquifers supplying private

wells; continuous and highly productive aquifers at points distant from public

water supply wells; areas where water supply aquifers are recharged; karst

aquifers that discharge to surface reservoirs serving as public water supplies;

vulnerable or sensitive hydrogeologic settings, such as glacial outwash deposits,

eolian sands, and fractured volcanic rock; and areas of special concern selected

based on a combination of factors, such as hydrogeologic sensitivity, depth to

groundwater, significance as a drinking water source, and prevailing land-use

practices.

BOARD NOTE: Derived from 40 CFR 144.86 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.287

Location in a Groundwater Protection Area or Another Sensitive Area

A person is subject to Section 704.288 if the person owns or operates an existing

motor vehicle well and that person is located in a groundwater protection area or

another sensitive groundwater area. If the State fails to identify these areas within

the federally specified time frames, the additional requirements of Section

704.288 must apply to all existing motor vehicle waste disposal wells within this

State.

BOARD NOTE: Corresponding 40 CFR 144.87(a) provides that the “new

requirements” apply statewide if the State or the USEPA Region fails to identify

sensitive groundwater areas. The Board has interpreted “new requirements” as

synonymous with “additional requirements” elsewhere in this Subpart I. Sections

14.1 through 14.6 and 17.1 through 17.4 of the Act [415 ILCS 5/14.1-14.6 and

17.1-17.4] and 35 Ill. Adm. Code 615 through 617 designate protected

groundwater resources and allow the designation of other sensitive areas for

protection. Further, the Illinois Groundwater Protection Act [415 ILCS 55], and

the regulations adopted as 35 Ill. Adm. Code 620 under that statute, protect the

quality of all groundwater resources in Illinois.

Groundwater protection areas. Many segments of corresponding 40 CFR

144.87(b) set forth requirements applicable to the State only. Other requirements

apply to the regulated community contingent on the regulatory status of the

Illinois groundwater protection program. The Board has codified the

requirements applicable to the State in this subsection (b) for the purpose of

informing the regulated public and clarifying the requirements on the regulated

community.

For the purpose of this Subpart I, USEPA requires States to complete all

local source water assessments for groundwater protection areas by

January 1, 2004. Once a local assessment for a groundwater protection

area is complete every existing motor vehicle waste disposal well owner

in that groundwater protection area has one year to close the well or

receive a permit. If the State fails to complete all local assessments for

groundwater protection areas by January 1, 2004, the following may

occur:

The new requirements in this Subpart I apply to all existing motor

vehicle waste disposal wells in the State, and the owner or operator

of a motor vehicle waste disposal well located outside of the areas

of the completed area assessments for groundwater protection

areas must have closed its well or obtained a permit by January 1,

2005.

USEPA may have granted a state an extension for up to one year

from the January 1, 2004 deadline if the state was making

reasonable progress toward completing the source water

assessments for groundwater protection areas. States must have

applied for the extension by June 1, 2003. If a state failed to

complete the assessments for the remaining groundwater

protection areas by the extended date, the rule requirements apply

to all motor vehicle waste disposal wells in the state, and the

owner or operator of a motor vehicle waste disposal well located

outside of groundwater protection areas with completed

assessments must have closed its well or received a permit by

January 1, 2006.

The Agency must extend the compliance deadline for specific motor

vehicle waste disposal wells for up to one year if it determines that the

most efficient compliance option for the well is connection to a sanitary

sewer or installation of new treatment technology and the extension is

necessary to implement the compliance option.

BOARD NOTE: Any Agency determination of the most efficient

compliance option is subject to Board review pursuant to Section 40 of the

Act [415 ILCS 5/40].

Other sensitive groundwater areas. The owner or operator of an existing motor

vehicle waste disposal well within another sensitive groundwater area has until

January 1, 2007 to receive a permit or close the well. If the State failed to

identify these additional sensitive groundwater areas by January 1, 2004, the

additional requirements of Section 704.288 apply to all motor vehicle waste

disposal wells in the State effective January 1, 2007, unless they are subject to a

different compliance date pursuant to subsection (b) of this Section. If USEPA

has granted the State an extension of the time to delineate sensitive groundwater

areas, the owner or operator of an existing motor vehicle waste disposal well

within a sensitive groundwater area has until January 1, 2008 to close the well or

receive a permit, unless the owner or operator is subject to a different compliance

date pursuant to subsection (b) of this Section. If the State has been granted an

extension and fails to delineate sensitive areas by the extended date, an owner or

operator has until January 1, 2008 to close the well or receive a permit, unless it is

subject to a different compliance date pursuant to subsection (b) of this Section.

BOARD NOTE: Corresponding 40 CFR 144.87(c) provides that the State had

until January 1, 2004 to identify sensitive groundwater areas. It also provides that

USEPA may extend that deadline for up to an additional year if the State is

making reasonable progress towards identifying such areas and the State had

applied for the extension by June 1, 2003. The Board has not included these

provisions relating to deadlines for State action because they impose requirements

on the State, rather than on regulated entities. Further, the corresponding federal

rule provides that the “new requirements” apply statewide if the State or the

USEPA Region fails to identify sensitive groundwater areas and that “the rule

requirements” apply in the event of an extension granted by USEPA and the State

fails to delineate sensitive areas. The Board has interpreted “new requirements”

and “rule requirements” as synonymous with “additional requirements” as used

elsewhere in this Subpart I. Sections 17.1 through 17.4 of the Act [415 ILCS

5/17.1-17.4], Section 8 of the Illinois Groundwater Protection Act [415 ILCS

55/8], and 35 Ill. Adm. Code 615 through 620 protect groundwater resources and

allow the designation of sensitive areas.

Finding out if a well is in a groundwater protection area or sensitive groundwater

area. The Agency must make that listing available for public inspection and

copying upon request. Any interested person may contact the Illinois

Environmental Protection Agency, Bureau of Water, Division of Public Water

Supplies at 1021 North Grand Ave. East, P.O. Box 19276, Springfield, Illinois

62794-9276 (217-785-8653) to obtain information on the listing or to determine if

any Class V injection well is situated in a groundwater protection area or another

sensitive groundwater area.

Changes in the status of the State drinking water source assessment and protection

program. If the State assesses a groundwater protection area for groundwater

supplying a new community water system or a new non-transient non-community

water system after January 1, 2004, or if the State re-delineates the boundaries of

a previously delineated groundwater protection area to include an additional area,

the additional regulations of Section 704.288 would apply to any motor vehicle

waste disposal well in such an area. The additional regulations apply to the

affected Class V injection well one year after the State completes the local

assessment for the groundwater protection area for the new drinking water system

or the new re-delineated area. The Agency must extend this deadline for up to

one year if it determines that the most efficient compliance option for the well is

connection to a sanitary sewer or installation of new treatment technology and the

extension is necessary to implement the compliance option.

BOARD NOTE: Any Agency determination of the most efficient compliance

option is subject to Board review pursuant to Section 40 of the Act [415 ILCS

5/40].

If the State elects not to delineate the additional sensitive groundwater areas, the

additional regulations of Section 704.288 apply to all Class V injection wells in

the State, regardless of the location, on January 1, 2007, or January 1, 2008 if an

extension has been granted as provided in subsection (c) of this Section, except

for wells in groundwater protection areas that are subject to different compliance

deadlines explained in subsection (b) of this Section.

Application of requirements outside of groundwater protection areas and sensitive

groundwater areas. The Agency must apply the additional requirements in

Section 704.288 to an owner or operator, even if the owner’s or operator’s well is

not located in the areas listed in subsection (a) of this Section, if the Agency

determines that the application of those additional requirements is necessary to

protect human health and the environment.

BOARD NOTE: Any Agency determination to apply the additional requirements

of Section 704.288 is subject to Board review pursuant to Section 40 of the Act

[415 ILCS 5/40]. The Board has omitted certain segments of corresponding 40

CFR 144.87 that encouraged State actions, since those segments did not impose

requirements on the regulated community.

BOARD NOTE: Derived from 40 CFR 144.87 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.288

Additional Requirements

Additional requirements are as follows:

Additional Requirements for Large-Capacity Cesspools Statewide. See Section

704.285 to determine the applicability of these additional requirements.

If the cesspool is existing (operational or under construction by April 5,

2000), the following requirements apply:

The owner or operator must have closed the well by April 5, 2005.

The owner or operator must have notified the Agency of its intent

to close the well at least 30 days prior to closure.

BOARD NOTE: In the corresponding note to 40 CFR 144.83(a),

USEPA states that this information is requested on the federal

form entitled “Preclosure Notification for Closure of Injection

Wells.” Although the form “Preclosure Notification for Closure of

Injection Wells” is acceptable to USEPA, the Agency may develop

alternative forms for use in this State.

If the cesspool is new or converted (construction not started before April

5, 2000) it is prohibited.

BOARD NOTE: Corresponding 40 CFR 144.88(b)(2) sets forth a federal

effective date of April 5, 2000 for the prohibition.

Additional Requirements for Motor Vehicle Waste Disposal Wells. See Section

704.285 to determine the applicability of these additional requirements.

If the motor vehicle waste disposal well is existing (operational or under

construction by April 5, 2000) the following applies:

If the well is in a groundwater protection area, the owner or

operator must close the well or obtain a permit within one year

after the completion of the local source water assessment; the

Agency must extend the closure deadline, but not the permit

application deadline, for up to one year if it determines that the

most efficient compliance option is connection to a sanitary sewer

or installation of new treatment technology and the extension is

necessary to implement the compliance option;

If the well is in an other sensitive groundwater area, the owner or

operator must close the well or obtain a permit by January 1, 2007;

the Agency may extend the closure deadline, but not the permit

application deadline, for up to one year if it determines that the

most efficient compliance option is connection to a sanitary sewer

or installation of new treatment technology and the extension is

necessary to implement the compliance option;

If the owner or operator plans to seek a waiver from the ban and

apply for a permit by the date the owner or operator submits its

permit application, the owner or operator must meet the maximum

contaminant levels (MCLs) for drinking water, set forth in 35 Ill.

Adm. Code 611, at the point of injection while the permit

application is under review, if the owner or operator chooses to

keep operating the well;

If the owner or operator receives a permit, the owner or operator

must comply with all permit conditions by the dates specified in its

permit, if the owner or operator chooses to keep operating the well,

including requirements to meet MCLs and other health-based

standards at the point of injection, follow best management

practices, and monitor the injectate and sludge quality;

If the State has not completed all of its local assessments by

January 1, 2004 (or by the extended date if the State has obtained

an extension, as described in Section 704.287), and the well is

outside an area with a completed assessment, the owner or operator

must have closed the well or obtained a permit by January 1, 2005,

unless the State obtained an extension, as described in Section

704.287(b), in which case the deadline was January 1, 2006; the

Agency must have extended the closure deadline, but not the

permit application deadline, for up to one year if it determined that

the most efficient compliance option was connection to a sanitary

sewer or installation of new treatment technology and the

extension was necessary to implement the compliance option;

If the State had not delineated other sensitive groundwater areas by

January 1, 2004, and the well is outside of an area with a

completed assessment, the owner or operator must close the well

or obtain a permit regardless of its location by January 1, 2007,

unless the State obtains an extension as described in Section

704.287(c), in which case the deadline is January 2008; or

If the owner or operator plans to close its well, the owner or

operator must notify the Agency of its intent to close the well (this

includes closing the well prior to conversion) by at least 30 days

prior to closure.

BOARD NOTE: In the corresponding note to 40 CFR 144.83(a),

USEPA states that this information is requested on the federal

form entitled “Preclosure Notification for Closure of Injection

Wells.” Although the form “Preclosure Notification for Closure of

Injection Wells” is acceptable to USEPA, the Agency may develop

alternative forms for use in this State.

BOARD NOTE: Any Agency determination of the most efficient

compliance option under subsection (b)(1)(A), (b)(1)(B), or (b)(1)(E) of

this Section is subject to Board review pursuant to Section 40 of the Act

[415 ILCS 5/40].

If the motor vehicle waste disposal well is new or converted (construction

not started before April 5, 2000) it is prohibited.

BOARD NOTE: Corresponding 40 CFR 144.88(b)(2) sets forth a federal

effective date of April 5, 2000 for the prohibition.

BOARD NOTE: Derived from 40 CFR 144.88 (2000).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)

Section 704.289

Closure of a Class V Injection Well

The following describes the requirements for closing or converting a Class V injection well:

Closure.

Prior to closing a Class V large-capacity cesspool or motor vehicle waste

disposal well, the owner or operator must plug or otherwise close the well

in a manner that complies with the prohibition of fluid movement set forth

in Section 704.122 and summarized in Section 704.282(a). The owner or

operator must also dispose of or otherwise manage any soil, gravel,

sludge, liquids, or other materials removed from or adjacent to the well in

accordance with all applicable federal, State, and local regulations and

requirements, as described in Section 704.282(b).

Closure does not mean that the owner or operator needs to cease

operations at its facility, only that the owner or operator needs to close its

well. A number of alternatives are available for disposing of waste fluids.

Examples of alternatives that may be available to motor vehicle stations

include the following: recycling and reusing wastewater as much as

possible; collecting and recycling petroleum-based fluids, coolants, and

battery acids drained from vehicles; washing parts in a self-contained,

recirculating solvent sink, with spent solvents being recovered and

replaced by the supplier; using absorbents to clean up minor leaks and

spills, and placing the used materials in approved waste containers and

disposing of them properly; using a wet vacuum or mop to pick up

accumulated rain or snow melt, and if allowed, connecting floor drains to

a municipal sewer system or holding tank, and if allowed, disposing of the

holding tank contents through a publicly owned treatment works (POTW).

The owner or operator should check with the POTW that it might use to

see if the POTW would accept the owner’s or operator’s wastes.

Alternatives that may be available to owners and operators of a large-

capacity cesspool include the following: conversion to a septic system;

connection to a sewer; or installation of an on-site treatment unit.

Conversions. In limited cases, the Agency may authorize the conversion

(reclassification) of a motor vehicle waste disposal well to another type of

Class V well. Motor vehicle wells may only be converted if the two

conditions of subsections (b)(1) and (b)(2) of this Section are fulfilled,

subject to the conditions of subsection (b)(3) of this Section:1)

All

motor vehicle fluids are segregated by physical barriers and are not

allowed to enter the well; and

Injection of motor vehicle waste is unlikely based on a facility’s

compliance history and records showing proper waste disposal.

The use of a semi-permanent plug as the means to segregate waste is not

sufficient to convert a motor vehicle waste disposal well to another type of

Class V injection well.

BOARD NOTE: Derived from 40 CFR 144.89 (2005).

(Source: Amended at 31 Ill. Reg. 605, effective December 20, 2006)