Department of Environmental Protection

Apply for Underground Oil Tank Cleanup Reimbursement from the Department of Environmental Protection

You can apply for the Underground Heating Oil Tank Cleanup Reimbursement Program for funds to help with eligible environmental cleanup costs.

Overview

The Underground Heating Oil Tank Cleanup Reimbursement Program provides funds to help tank owners with eligible environmental cleanup costs resulting from releases of heating oil from underground tanks.

Program Details

If you can answer “YES” to all the questions below, you may be eligible for reimbursement.

  • Are/were you the tank owner?

  • Was the heating oil tank an underground (buried) tank?

  • Was the tank capacity 3,000 gallons or less?

  • Did the tank store fuel that was used for heating on the premises?

  • Was there a release of heating oil to the environment from the tank, the associated lines/pipes, or resulting from a spill or overfill due to a failure of the tank system?

  • Did the release occur, or was it discovered, on or after January 30, 1998?

  • Has an environmental cleanup been completed, or is one in progress?

Note: Aboveground heating oil tanks are not eligible for this program. This includes tanks on or above the floor in an underground area, like a basement or cellar.

Eligible costs include, but are not limited to:

  • Excavating, emptying, cleaning, and disposing of a leaking underground storage tank that stored heating oil for on-site use only. These costs for the removal or decommissioning of the leaking tank are only eligible for reimbursement if environmental cleanup work is also performed.

  • Excavating contaminated soil and/or recovering released heating oil.

  • Transporting and disposing of wastes (e.g. in-tank materials, contaminated soil, contaminated groundwater).

  • Activities to find the extent of contamination. This includes soil borings or installing wells.

  • Design and implement systems to remediate groundwater and surface water contamination. This includes installing and maintaining well water treatment systems. Also, placing absorbent booms in streams, lakes, or ponds.

  • Restoring disturbed or contaminated areas by backfilling, grading, and basic revegetation.

  • Preparing tank closure and environmental cleanup reports that are submitted to DEP.

  • Permit and inspection fees associated with tank removal or closure, or environmental cleanup.

  • Implementing on-site soil treatment technologies (e.g. bioremediation) may be eligible. 
    • Property owners considering remediation methods other than the excavation and off-site disposal of contaminated soil must contact their respective DEP regional office for guidance on applicability. We need pre- and post-remediation soil tests. They will confirm the effectiveness and establish eligibility.
       
  • Costs for sampling and analysis related to:
    • Waste disposal
    • Contamination assessment
    • Cleanup progress evaluation
    • Cleanup confirmation

 

 

Ineligible costs include, but are not limited to:

  • Excavating, emptying, cleaning, removing, transporting, and disposing of a non-leaking tank.

  • Costs related to aboveground storage tanks. This includes tanks in underground areas, like basements, if they are on or above the floor.

  • Costs associated with underground storage tanks that dispense heating oil for off-site use.

  • Repairing a heating oil tank. Installing a new one. Repairing or replacing a heating system. Replacing fuel.

  • Fees for inspections and permits not related to tank removal, closure, or cleanup. This includes permit fees for installing a new tank or heating system.

  • Preparing the reimbursement application, and preparation of reports solely for the tank owner’s use.

  • Activities eligible for reimbursement under other assistance programs or those covered by private insurance.

Report any heating oil release that may have contaminated groundwater or surface water to the local DEP office. It's hard to assess the risk of contaminating water, so  DEP recommends reporting all heating oil spills.

The DEP regional office can help with information on cleaning up a heating oil release. It can also help with getting cleanup liability protection.

To report an environmental emergency, please call 1-800-541-2050.

How to Apply for Oil Tank Cleanup Reimbursement from DEP

You can apply for the Underground Heating Oil Tank Cleanup Reimbursement Program for funds to help with eligible environmental cleanup costs.

Reimbursements have a $1,000 deductible. The tank owner pays the first $1,000 of eligible costs. The tank owner may receive a reimbursement for remaining eligible costs paid, up to a maximum of $4,000. For owners of multiple tanks, the deductible and limit apply per tank.

Funding for the program is received from the Underground Storage Tank Indemnification Fund. Up to $750,000 per year is available for this program through December 31, 2027. 

Applications Process

Submit the Application for Reimbursement electronically via the Pennsylvania Electronic Single Application system.

Applicants must upload copies of the following documentation to complete the online application.

  • The original itemized invoices from contractors for the tank closure and/or environmental cleanup work that has been completed. Contractor estimates or proposals will not be accepted.
  • Proof of payment for all eligible costs to be considered for reimbursement. 
    Proof of payment may include:
    • A copy of both sides of a canceled check.
    • A paid invoice or statement.
    • Another paid receipt.

DEP will process complete applications on a "first come, first served" basis. This will continue until we spend all program funds for the current state fiscal year (July 1 to June 30). DEP does not guarantee the availability of program funds.

Reimbursement payment information will be reported to the IRS and may be subject to federal tax.

Contact Us

To report an environmental emergency, please call 1-800-541-2050.

Call us

For more info, contact the Storage Tank Cleanup Program at:

(717) 787-0886

Email us

You can also reach the Environmental Cleanup Program at:

tankcleanup@pa.gov

Contact DEP

You can also reach the Environmental Cleanup Program at a local DEP office.

Local DEP Office