General agency terms are defined in Chapter 3 of this title (relating to Definitions). Definitions for financial assurance terms that appear throughout this subchapter may alternatively be found in §37.11 of this title (relating to Definitions) or in §37.402 of this title (relating to Definitions). Petroleum UST specific terms may be found in Chapter 334, Subchapter A, §334.2 of this title (relating to Definitions). When used in this subchapter, the following terms shall have the meanings given below, unless otherwise specified.
(1) Accidental release--Any sudden or nonsudden release of petroleum from an UST that results in a need for corrective action and/or compensation for bodily injury or property damage neither expected nor intended by the tank owner or operator.
(2) Bodily injury--The meaning given to this term by applicable state law; however, this term shall not include those liabilities which, consistent with standard insurance industry practices, are excluded from coverage in liability insurance policies for bodily injury.
(3) Chief financial officer--In the case of local government owners and operators, the individual with the overall authority and responsibility for the collection, disbursement, and use of funds by the local government.
(4) Controlling interest--Direct ownership of at least 50% of the voting stock of another entity.
(5) Financial reporting year--The latest consecutive twelve-month period for which any of the following reports used to support a financial test is prepared:
(6) Legal defense cost--any expense that an owner or operator or provider of financial assurance incurs in defending against claims or actions brought:
(7) Local government--The meaning given this term by applicable state law. The term includes:
(8) Occurrence--An accident, including continuous or repeated exposure to conditions, which result in a release from an UST.
(9) Property damage--The meaning given this term by applicable state law. This term shall not include those liabilities which, consistent with standard insurance industry practices, are excluded from coverage in liability insurance policies for property damage. However, exclusions for property damage shall not include corrective action associated with releases from tanks where covered by the policy.
(10) Provider of financial assurance--An entity that provides financial assurance to an owner or operator of an UST through one of the approved mechanisms.
(11) Substantial governmental relationship--The extent of a governmental relationship necessary under applicable state law to make an added guarantee contract issued incident to that relationship valid and enforceable. A guarantee contract is issued "incident to that relationship" if it arises from a clear commonality of interest in the event of an UST release such as coterminous boundaries, overlapping constituencies, common ground-water aquifer, or other relationship other than monetary compensation that provides a motivation for the guarantor to provide a guarantee.
Source Note: The provisions of this §37.802 adopted to be effective November 23, 2000, 25 TexReg 11399