The permitting staff of the Hazardous Waste Program assist applicants in determining whether financial assurance is required for their facilities and in what amount. The total required depends on many site-specific factors but is generally based on an estimate of the amount necessary to completely or partially close the facility at any point during its intended operating life and to provide for proper care of the site after final closure is completed. Sites permitted by the Hazardous Waste Program may also be required to provide financial assurance for third-party liability coverage.
After the required amount is determined, the staff of the Division of Financial Assurance & Business Process Improvement works with permittees to ensure that they select a financial assurance mechanism that meets state requirements.
The following financial assurance mechanisms are allowed by the Hazardous Waste Program. Please click on the links below for the language required by the division. The financial institution/surety should use the language in these files to issue an original instrument on the institution's letterhead or in its standard instrument format.
Letter of Credit
- Irrevocable Standby Letter of Credit - Closure/Post-Closure Requirements
- Irrevocable Standby Letter of Credit - Liability Requirements
- Irrevocable Standby Letter of Credit - Solid Waste/Corrective Action
- Guidance Document for Use of Letters of Credit
- Surety Bond Guaranteeing Performance of Closure/Post-Closure Care
- Surety Bond for Closure/Post-Closure/Corrective Action
- Surety Bond for Combination Solid Waste and Corrective Action
- Surety Bond for Corrective Action
- Surety Bond Guaranteeing Payment into a Trust Fund
- Payment Bond - Liability
- Guidance Document for Use of Surety Bonds
Financial Test/Corporate Guarantee
- Financial Test - Closure/Post-Closure Costs Only
- Financial Test - Combined Hazardous and Solid Waste - Closure/Post-Closure Only
- Financial Test - Combined Hazardous and Solid Waste - Liability and Closure/Post-Closure
- Financial Test - Closure/Post-Closure and Liability
- Corporate Guarantee for Closure/Post-Closure
- Corporate Guarantee for Closure/Post-Closure - Combined Hazardous and Solid Waste
- Corporate Guarantee for Liability Coverage
- Guidance Document for Use of Financial Test
- Certificate of Insurance for Closure/Post-Closure
- Hazardous Waste Facility Certificate of Liability Insurance
- Hazardous Waste Facility Liability Endorsement
- Guidance Document for Use of Closure/Post-Closure Insurance Policies
- Guidance Document for Use of Third-Party Liability Insurance Policies
Note: The instrument language is provided here as a convenience. Please consult with your legal counsel and the TDEC Division of Financial Assurance & Business Process Improvement before submitting a financial instrument.