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6 • WHO IS AFFECTED BY THESE REGULATIONS? Do You Have To Show Financial Responsibility? Either the owner or the operator of the tank must show financial responsibility, but not both if the owner and operator are different indi- viduals or firms. It is the responsibility of the owner and operator to decide which of them will show financial responsibility. Federal and State governments and their agen- cies that own USTs are not required to docu- ment financial responsibility. Local govern- ments, however, must comply with the new rule. If you owned or operated a tank that was prop- erly closed before the date for compliance that applies to you, then the financial responsibility requirements will not apply to your closed tank. What Do You Have To Do? The new financial responsibility regulations require you to show that you have one of the following: ♦ at least $1 million to cover the costs of a leak or spill from your underground storage tank if you are a PETROLEUM MARKETER (page 43334 of the Federal Register of October 26, 1988); or ♦ at least $500,000 if you are NOT A MARKETER (page 43330 of the Federal Register of October 26, 1988). You may show that you have this coverage by using insurance or any of the other methods of coverage explained in this brochure. The amount of financial responsibility that you must show does not limit your total liability for damages caused by a leak from your tank sys- tem. --3-- When Must You Comply With The Financial Responsibility Requirements? The rule takes effect 90 days after its publica- tion in the Federal Register (i.e., January 24, 1989). The date when you will have to show financial responsibility, however, depends on the compliance category that you fall into, as shown below: ♦ If you fall into one of the following groups, you must show financial responsibility on the same day that the rule becomes effective on January 24, 1989: 1) petroleum marketing firms that own 1,000 or more USTs; and 2) any other UST owners that report a tangible net worth of $20 million or more to the SEC, Dun and Bradstreet, the Energy Information Administration, or the Rural Electrification Administration. ♦ If you are a petroleum marketing firm that owns 100 to 999 USTs, you must show financial responsibility by October 26, 1989. ♦ If you are a petroleum marketing firm that owns 13 to 99 USTs at more than one site, you must show financial responsibility by April 26, 1990. ♦ If you fall into one of the following groups, you must show financial responsibility by October 26, 1990: 1) petroleum marketing firms owning 1 to 12 USTs or those having fewer than 100 USTs at one site; 2) all other UST owners with a tangible net worth of less than $20 million; and 3) local governments.