Why is cost pre-approval important?
Responsible persons will know what costs are reimbursable before money is spent. Also, it assists the Board in controlling costs, which helps to keep tank fees affordable.
Are there mandatory cost pre-approvals?
Yes, mandatory cost pre-approval is required for interim response actions which require prior approval from BUSTR, remedial action plans, tier 3 evaluation plans and tier monitoring plans. Please refer to the FundFact “Mandatory Cost Pre-Approval” for more detail.
What can be submitted for voluntary pre-approval?
When submitting costs for voluntary pre-approval, a detailed explanation of the scope of the proposed work and estimated costs should be provided. Examples of proposed work include, but are not limited to, the following:
? Pilot testing
? Initial corrective actions
? Drilling with the number of borings/wells and estimated depths/diameters
? Field services including drilling supervision and sampling
? Report preparation
? Analytical services
? Liquid and/or soil disposal
? Materials and equipment
? Labor rates and classifications
? Tier 1 and Tier 2 Evaluations
? Interim response actions not requiring BUSTR approval
Costs will be evaluated to determine if they are typical for the work being proposed. The owner and consultant will be notified in writing of the costs that are pre-approved for the scope of work reviewed.
If costs submitted for pre-approval are later revised by the responsible person, or if during the implementation of the corrective actions for which cost pre-approval has been granted the costs will be exceeded, the responsible person must immediately notify the Board of the estimated additional costs.