Leaking Underground Storage Tank Trust Fund Corrective Action Program
Program Funding
Annual program obligations reported to SAM.gov.
Funded Projects
Examples of what this program has supported.
Program Objective
To support state (including territories that are included in the definition of state in the Solid Waste Disposal Act) and tribal corrective action programs that address releases from underground storage tanks (USTs). Funding Priorities - Fiscal Year 2025: Cooperative agreements to states and tribes to support activities in making progress in cleaning up petroleum leaks by initiating and completing cleanups and reducing the backlog of sites not yet cleaned up. In FY 2025, at least 80 percent of LUST corrective action appropriated funds have been provided to states to carry out the LUST corrective action program. The priority in FY 2025 is to provide resources to states to perform core cleanup work, with a focus on cleaning up the highest priority sites.
Eligibility
Eligible Applicants
- State
- U.S. Territory Government
- U.S. State Government
- Federally Recognized Tribal Government
- Other
Cooperative agreements are only available to States and Territories that have UST programs. Additionally, these cooperative agreements are only available to Federally-recognized Tribes and Intertribal Consortia that must meet the requirements, as described in the Federal Register Notice, Vol. 67, No. 213, pp. 67181-67183, "Update to EPA Policy on Certain Grants to Intertribal Consortia."
How to Apply
Award Procedure
These funds are awarded non-competitively. Applications will be subjected to administrative evaluation to determine the adequacy of the application in relation to assistance agreement regulations and to technical and program evaluation to determine the merit and relevance of the project. The Agency will advise the applicant if funding is being considered. A final work plan will be negotiated with the applicant. A cooperative agreement must be signed between EPA and the state or territory or EPA and the tribe or intertribal consortia. EPA awards cooperative agreements to states through a previously established allocation process, issued under national guidance rather than through competition. See EPA Order 5700.5A1, EPA's Policy for Competition of Assistance Agreements, Section 6(c)(1) at: https://www.epa.gov/grants/epa-order-57005a1-epas-policy-competition-assistance-agreements.
Decision Timeline
- Approval: From 90 to 120 days
Funds will be disbursed to Regions via a lump sump and Regions have discretion on whether to fully fund cooperative agreements upon initial award or incrementally throughout the year. Funding levels for states are determined by an annual allocation formula that includes a base amount, the number of confirmed releases, and the percentage of the population that uses groundwater for drinking water.
Program details & compliance
Description
The purpose the Leaking Underground Storage Tank Trust Fund Corrective Action Program is to support corrective action programs for states, territories and tribes. These activities are geared toward initiating and completing cleanups of LUST releases.
Mission Categories
Primary: Solid Waste Management
Use of Funds
Allowed Uses
States and tribes may use financial assistance under this program for eligible and allowable costs incurred under cooperative agreements for corrective action, as described in the "Objectives" section of this assistance listing. This financial assistance program is not eligible for inclusion in Performance Partnership Grants under 40 CFR 35.133. EPA will award cooperative agreements for corrective action activities. Leaking Underground Storage Tank Trust Fund Corrective Action Cooperative Agreement Guidelines apply to states receiving funds under this program. See https://www.epa.gov/ust/state-grant-policy-and-guidance. LUST Trust Funds for corrective action will not be used to implement any provision of the Energy Policy Act (EPAct) of 2005, Title XV, Subtitle B, that is not also a LUST activity authorized by Section 205 of the Superfund Amendments and Reauthorization Act. LUST Trust Fund corrective action cooperative agreements are Continuing Environmental Program Grants[1], administered by EPA, and provide money to states to address petroleum[2] releases from underground storage tanks (USTs). States must comply with the requirements in the Leaking Underground Storage Tank Trust Fund Corrective Action Cooperative Agreement Guidelines (EPA-510-K-002, March 2025) and the Cost Recovery Policy for Leaking Underground Storage Tank Trust Fund Corrective Action Cooperative Agreements (November 2023) as a condition of receiving LUST Trust Fund corrective action cooperative agreement funding. See https://www.epa.gov/ust/state-grant-policy-and-guidance. This program makes Federal awards on a discretionary basis. A discretionary award means an award in which the Federal awarding agency, in keeping with specific statutory authority that enables the agency to exercise judgement (“discretion”), selects the recipient and/or the amount of Federal funding awarded through a competitive process or based on merit of proposals. A discretionary award may be selected on a non-competitive basis, as appropriate. For further information, please contact the Headquarters or regional office.
Restrictions
Funds may only be used for activities associated with the corrective action of LUST sites. Examples of activities that cannot utilize this funding include:
Any LUST prevention activities, such as compliance, inspections, or tank tightness when a release is not suspected.
Releases from hazardous substance tanks
Third party liability costs.
General education or job training activities for LUST staff.
Funds used to cost share (match) federal funds, including cost recovered matching funds unless a federal statute authorizes the practice.
Payment of fines or penalties except to the limited extent allowable under 2 CFR Section 200.441
A more in-depth discussion on the eligible uses and restrictions of funding in this program may be found in the Leaking Underground Storage Tank Trust Fund Corrective Action Cooperative Agreement Guidelines (March 2025), found at https://www.epa.gov/ust/state-grant-policy-and-guidance.
Required Documentation
Even though the LUST corrective action cooperative agreements are only used for traditional cleanup activities under Section 9003(h), states and territories must either submit certification indicating the state or territory meets the applicable Energy Policy Act provisions, or submit documentation describing the state or territory's efforts to meet the requirements, in accordance with EPA's Energy Policy Act grant guidelines (https://www.epa.gov/ust/energy-policy-act-2005-and-underground-storage-tanks-usts). The EPA regional offices maintain the credentials or documentation for state and territorial programs and Federally-recognized tribes and intertribal consortia. 2 CFR 200, Subpart E - Cost Principles applies to this program.
Matching Requirements
This program does not have a statutory formula. However, EPA allocates funds based on formulas contained in regulations or program guidance. LUST corrective action funding awarded under Section 9003(h)(7) of the Solid Waste Disposal Act is subject to an allocation process developed by the Agency. By guidance, the Agency has established a process for allocating funds to states under Section 9003(h)(7) based on the cumulative numbers of confirmed UST releases, total number of existing registered petroleum UST systems, cleanups initiated, cleanups completed, the percentage of the population using groundwater for drinking water, and the number of states with approved UST programs. This program allocates funding to tribes and intertribal consortia non-competitively based on their programmatic needs and national guidance. States must provide a 10 percent cost share for cooperative agreements awarded under Section 9003(h)(7). There is no matching requirement for corrective action cooperative agreements for tribes or intertribal consortia awarded pursuant to Public Law 105-276.
Reporting & Compliance
Applicable 2 CFR 200 Subparts
- Subpart B — General Provisions
- Subpart C — Pre-Federal Award Requirements
- Subpart D — Post-Federal Award Requirements
- Subpart E — Cost Principles
- Subpart F — Audit Requirements