7 Del. Admin. Code § 1352-D-26.0

Current through Register Vol. 28, No. 7, January 1, 2025

Section 1352-D-26.0 - Form F - AST Irrevocable Standby Letter of Credit

__________________________________

[Name and address of issuing institution]

Delaware Department of Natural Resources and Environmental Control

Dear Sir or Madam:

We hereby establish our Irrevocable Standby Letter of Credit No. _____ in your favor, at the request and for the account of [Owner or Operator name] of [address] up to the aggregate amount of [in words] U.S. dollars ($[insert dollar amount]), available upon presentation [insert, if more than one Director of a State implementing agency is a beneficiary, "by any one of you"] of

(1) your sight draft, bearing reference to this letter of credit, No. ________________, and

(2) your signed statement reading as follows:

"I certify that the amount of the draft is payable pursuant to Regulations issued under the authority of 7 Del.C. Ch. 74A."

This letter of credit may be drawn on to cover [insert: "taking Corrective Action" and/or "compensating third parties for Bodily Injury and Property Damage" caused by Accidental Releases] arising from operating the aboveground storage tanks (ASTs) identified below in the amount of [in words] $[insert dollar amount] per Occurrence and [in words] $[insert dollar amount] Annual Aggregate:

List for each Facility: the name and address of the Facility where ASTs assured by this Letter of Credit are located, and indicate which ASTs are assured by this Letter of Credit. List each AST by the AST identification number provided in the registration form submitted pursuant to PART A of this regulation.

AST Facility I.D. Number: ____________________ (as listed on DNREC registration certificate)

Facility Name: ______________________________________________________________

Facility Street: ______________________________________________________________

Facility City: _____________________________________ Facility Zip Code: ____________

Click here to view Image

The letter of credit may not be drawn on to cover any of the following:

(a) Any obligation of [Owner or Operator] under a workers' compensation, disability benefits, or unemployment compensation law or other similar law;

(b) Bodily Injury to an employee of [insert Owner or Operator] arising from, and in the course of, employment by [insert Owner or Operator];

(c) Bodily Injury or Property Damage arising from the ownership, maintenance, use, or entrustment to others of any aircraft, motor vehicle, or watercraft;

(d) Property Damage to any property owned, rented, loaned to, in the care, custody, or control of, or occupied by [insert Owner or Operator] that is not the direct result of a Release from an AST;

(e) Bodily Injury or Property Damage for which [Owner or Operator] is obligated to pay damages by reason of the assumption of liability in a contract or agreement other than a contract or agreement entered into to meet the requirements of PART D, Section 3.0, of this regulation.

This letter of credit is effective as of [date] and shall expire on [date] but such expiration date shall be automatically extended for a period of [at least the length of the original term] on [expiration date] and on each successive expiration date, unless, at least 120 days before the current expiration date, we notify [Owner or Operator] by certified mail that we have decided not to extend this letter of credit beyond the current expiration date. In the event that [Owner or Operator] is so notified, any unused portion of the credit shall be available upon presentation of your sight draft for 120 days after the date of receipt by [Owner or Operator] as shown on the signed return receipt.

Whenever this letter of credit is drawn on under and in compliance with the terms of this credit, we shall duly honor such draft upon presentation to us, and we shall deposit the amount of the draft directly into the standby trust fund of [Owner or Operator] in accordance with your instructions.

We certify that the wording of this letter of credit is identical to the wording specified in PART D, Section 25.0, Form F of the Delaware Regulations Governing Aboveground Storage Tanks as such Regulations were constituted on the date shown immediately below.

[Signature(s) and title(s) of official(s) of issuing institution]

Name and Title: ______________________________________________________________

Print legibly or type

Name and Title: _______________________________________________________________

Print legibly or type

This credit is subject to [insert "the most recent edition of the Uniform Customs and Practice for Documentary Credits, published by the International Chamber of Commerce," or "the Uniform Commercial Code"].

7 Del. Admin. Code § 1352-D-26.0

20 DE Reg. 810 (4/1/2017)
27 DE Reg. 536 (1/1/2024) (Final)