Leaking Underground Storage Tank Trust Fund Corrective Action Program

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

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.

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."

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.

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.

The terms of the grant shall be determined at the time of the grant award by the specific EPA Regional Office. LUST Trust Fund Corrective Action Program cooperative agreements are awarded to states annually on a multi-year cycle.

Preapplication coordination is required. Environmental impact information is not required for this program. Executive Order 12372, "Intergovernmental Review of Federal Programs," applies to this listing when Federal financial assistance involves planning and construction necessary to carry out corrective action. EPA financial assistance programs and activities subject to intergovernmental review that are subject to review under State single point of contact procedures are identified at https://www.epa.gov/grants/epa-financial-assistance-programs-subject-executive-order-12372-and-section-204. Applicants for programs or activities subject to Intergovernmental Review that are not subject to State single point of contact review must provide directly affected State, areawide, regional, and local entities at least 60 days to review their application following notification by EPA that the application has been selected for funding as provided by 40 CFR 29.8(a) and (c).

This program allocates funding to states and tribes non-competitively under an allocation system. For more information, see Leaking Underground Storage Tank Fund Corrective Action Cooperative Agreement Guidelines at http://www.epa.gov/ust/state-grant-policy-and-guidance.

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.

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.

Contact the appropriate Regional Office. See https://www.epa.gov/ust/underground-storage-tank-ust-contacts.

Disputes relating to matters other than the competitive selection of recipients will be resolved under 2 CFR 1500 Subpart E, as applicable.