EWMA's successful SECUR-IT®guaranteed cleanup cost program is now being expanded to meet post closure needs.  Our new Post Remediation Care Liability Assumption (PRCLA) program is designed to meet the post closure needs of responsible parties, especially under the new  remedial action permit (RAP) program in New Jersey.  This program covers liability, technical and financial assurance obligations.  We can customize to a client's risk profile for a single or portfolio of sites, and can include environmental liability insurance and structured settlements to support indemnities offered in our guaranteed fixed price contract.  An environmental structured settlement uses a guaranteed secure annuity funding mechanism for all the known monitoring and maintenance costs.  This innovative funding mechanism satisfies NJDEP Remediation Trust Fund Agreement specifications and features simplicity and lower cost to implement over conventional funding mechanisms.

The New Jersey Department of Environmental Protection (NJDEP) is implementing this new RAP program for both soil and groundwater institutional and engineering controls (i.e., classification exception areas for groundwater and deed notices for soil).  The new RAP program's framework is similar to the existing biennial certification program for institutional and engineering controls, with some exceptions.  One key difference is a new financial assurance requirement for monitoring and maintaining engineering controls for as long as the control is needed, up to 30 years.  The RAP compliance costs could exceed hundreds of thousands of dollars over the duration of the control (up to 30 years), not including additional potential capital replacement costs.  Remediation trust agreements, environmental insurance, bank lines and letters of credit are listed as the only NJDEP acceptable means to post financial assurance for engineering controls.  Self guarantees are not allowed as a financial assurance mechanism.

EWMA has assembled a team of environmental, insurance, and financial experts to implement a third party liability assumption of the risks inherent in implementing a long-term post remediation care program.  Mr. Richardson is Vice President for EWMA in the Parsippany, NJ office and leads this program.  For more information, he can be reached at 800-969-3159 ext. 186.