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Michigan UST Program Now More Attractive

Michigan’s corrective action program for underground storage tanks (UST) just became more attractive for UST owners and operators. Newly passed legislation reduces the deductible from $50,000 per claim to $2,000 per claim for owners or operators managing fewer than eight refined petroleum USTs across the State, and $10,000 per claim for owners/operators of eight or more USTs. The new lower deductibles not only reduce the barrier to entry for the program, but they also increase what is covered by the cleanup funds, thus making the program far more beneficial for UST owners and operators.

Administrative requirements have also been simplified by eliminating a provision that requires a claimant to provide detailed evidence, such as copies of corrective action work invoices, as proof that the required deductible amount has been met. Instead, claimants would be required to provide a list of goods and services detailing the costs of corrective actions related to a claim, including a statement of the amount due to the owner/operator under the program. The legislation is subject to Governor Snyder’s signature prior to becoming law, though this is expected.

The Michigan Underground Storage Tank Authority (MUSTA), chaired by AKT Peerless Principal & Co-Founder Brian Eggers, was established in 2015 to serve Michigan’s petroleum UST owners and operators by managing the UST Cleanup Fund on a sound fiscal basis while assisting them in meeting their financial assurance requirements and efficiently providing financial assistance to manage the costs of remediating contamination caused by UST releases.

If you have any questions about the MUSTA program, please contact AKT Peerless at 800-985-7633 or at