Residential Heating Oil Underground Storage Tanks (USTs)
Frequently Asked Questions (FAQs)
From the Experts
- Why are underground heating oil tanks a concern? Answer.
- Why do underground heating oil tanks corrode? Answer.
- Are residential underground heating oil tanks regulated by the law? Answer.
- How do I know if a residential property has an underground storage tank? Answer.
- We found an underground fuel oil tank, what do we do now? Answer.
- How do you test the tank? Answer.
- Why test an underground heating oil tank? Answer.
- The property I am buying has an underground heating oil tank that was decommissioned (taken out of service). The tank is filled with sand, gravel or foam and contains no oil. The seller has provided permits and reports from the town building inspector stating that the tank was properly abandoned and decommissioned. Is it still necessary to test the soil surrounding the tank to determine whether contamination exists? Answer.
- If the seller cannot provide any written reports about soil testing, should testing be performed? Answer.
- Why test the soil around the tank? Answer.
- What is the State’s role? Answer.
- What are the steps for cleanup for a heating oil tank leak? Answer.
- The property owner said he never used that tank and it was there when he bought it, so he or she is not paying for any testing or removal? Answer.
- When an oil tank is removed what is a tank certification? Answer.
- What is involved with removing an underground heating oil tank? Answer.
- First time home buyers are looking to purchase a house built in 1960. It has a buried fuel oil tank, but no mention of soil testing or liability was in the disclosure statement. Do you hire someone to test for leaks? Answer.
- Does Insurance Cover any Costs and is there Financial Assistance? Answer.
- Can you explain what the process would be if the tank was leaking? We have used the tank for years and don't believe it is, because we have never had a problem with the tank. Answer.
- What are the costs to remediate a tank leak? Answer.
- I removed my oil tank and was told the tank leaked and requires remediation. How do I know if the tank leaked? The tank company wants to remediate and I don't believe the oil tank leaked? Answer.
- I am selling and/or I am buying a property that that is being sold "AS IS with an oil tank"? Answer.
- What does it cost to remove an oil tank? Answer.
Question: My oil tank was removed, and I am told that I need remediation. The company did not take any soil samples but said the tank had holes. Answer: This is a really common scenario; we have a separate page to answer this question that can be reached at the following link: What do I do when my oil tank leaks?
Why are underground heating oil tanks a concern?
A1. Historically, petroleum products have been stored in steel Underground Storage Tanks, (UST's). These steel tanks have a finite life expectancy (rust never sleeps) and when corrosion holes breach the tank shell or the welded seams of the tank fail, petroleum will leach into the environment. In response to both state and federal environmental requirements and emerging technologies, replacement of single wall steel UST's have become a growing trend in order to remove the environmental liabilities associated with Leaking Underground Storage Tanks, (LUST's). Buried heating oil tanks raise a variety of environmental, safety, legal and economic concerns for homeowners and home buyers. The largest concerns relating to environmental issues are heating oil leaks that cause soil or groundwater contamination. Economic issues consist of the cost and risks associated with testing, tank removal and site cleanup.
In English: Oil leaks and if concentrations exceed allowable limits, the OWNER of the property has to cleanup (remediate) the leak. A small leak can be $10,000 and larger cleanups. The sky is the limit.
Why do underground heating oil tanks corrode?
A2. Corrosion is caused by the inherent tendency of iron based metals that most all heating oil underground storage tanks are comprised of metal, to revert to a stable form. This stable form is what you know as rust. When and how fast steel turns to rust is dependent on a wide variety of variables such as soil moisture, pH acidity, backfill material, physical location of the tank, the thickness of the tank, amount of water in the tank, age of the tank and any scratching or damage occurring during the tank's installation.
Rust never sleeps and eventually all steel tanks will corrode and leak, maybe next week, maybe 20 years from now.
Are residential underground heating oil tanks regulated by the law?
A3. If you have an underground home heating oil tank installed at a residential property, your tank is exempt from Federal Regulations. Should a home heating oil tank release oil into the environment, then at that point the owner of the tank is no longer exempt from the provisions of environmental regulation governing uncontrolled discharges or releases into the environment. At the time it is discovered that an oil tank has leaked, the property owner would need to take reasonable measures to address the source of the leak/spill and prevent it from spreading and the incident reported to the appropriate agency. In New Jersey the governing agency is the New Jersey Department of Environmental Protection, (NJDEP) not the Environmental Protection Agency, (EPA) which is a Federal agency and does not have immediate jurisdiction for these types of incidents. If a heating oil discharge has occurred at your home, regardless of the quantity, the owner is required to report the leak to the New Jersey Department of Environmental Protection (NJDEP). Calling the NJDEP’s toll free 24 hour Environmental Action Hot Line at 1-877-WARN DEP (1-877-927-6337) as soon as a leak is discovered. After discovery of the tank leak, a subsurface investigation (soil borings and testing) would have to be completed and contingent on the petroleum levels appropriate corrective action (i.e., cleanup/remediation) would need to be initiated to address the tank leak. The same reporting requirements exist for tank leaks in Pennsylvania ({PADEP) and Delaware (DNREC). For more information, please click here.
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How do I know if a residential property has an underground storage tank?
A4. Typically (85%) of the time there are tell-tale signs of an in-ground oil tank such as a visible vent and/or filler pipes, disconnected oil lines coming through the foundation wall which were the supply and return lines from the heating oil tank, a concrete channel may be visible in the basement floor that leads to the furnace area. Any of these physical signs is a good indication of a tank that has been removed or, there is still a tank in the ground.
To be more certain hire an environmental professional who is trained to look for this evidence as well as other key signs and who can also be equipped with a metal detector and a radio frequency locator or ground penetrating radar unit to evaluate a property for a suspect tank (UST). How to find a buried oil tank.
More information on Ground Penetrating Radar can be found here.
If the house was built between the 1900 and the 1990's, there is a good chance the property had oil heat at some time. At the turn of the century homes had coal heat, which was both dirty and labor intensive. After World War II, oil was readily available and many homes converted to oil, if only to get away from having to shovel coal. Plus, natural gas was a monopoly and was more expensive than oil until the 1970's when the oil embargo caused oil prices to skyrocket due to restricted supply.
We found an underground fuel oil tank, what do we do now?
A5. The phrase let the buyer beware should be listened too and an appropriate investigation of the tank should be performed. If this is a real estate transaction, under no condition purchase the house, no matter how “good the deal is” until the tank is removed and/or ground is tested by a licensed environmental company for any contamination. If the current owner does not have any paperwork on the tank, then assume such paperwork does not exist and an evaluation of the tank will be required.
It should be noted that the vast majority of oil tanks in the ground are not leaking, but tanks like roofs are an expendable items and require replacement. In addition if a buyer fails to investigate a tank and later (after the purchase) finds that the tank has leaked, the cost for cleanup will be the responsibility of the new owner.
If you have an oil tank that is not in use, it should be removed as it serves no useful purpose other than being a concern to a potential purchaser of the property.
Oil Tank removal info: Oil Tank Removal
How do you test the tank?
A6. To investigate for the presence of petroleum, three to four soil borings are advanced around the perimeter of the buried tank. Each soil sample is evaluated on the site for petroleum and the sample indicating the highest field screen reading is submitted to a New Jersey certified laboratory for testing. Soils borings rely on the premise that if a tank leaks, oil will be found in the soils next to the tank. Soil borings also allow you to help quantify the extent of the oil in the soil b running soil samples for independent laboratory analysis. In short if we find oil in the soils around a buried tank, the tank or a part of the tank system leaked. For information can be found by clicking: Tank Testing
Why test an underground heating oil tank?
A7.Testing heating oil Underground Storage Tanks, (USTs) allows home buyers to complete their Due Diligence Investigation, concerning the integrity of the underground petroleum storage tanks.
The property I am buying has an underground heating oil tank that was decommissioned (taken out of service). The tank is filled with sand, gravel or foam and contains no oil. The seller has provided permits and reports from the town building inspector stating that the tank was properly abandoned and decommissioned. Is it still necessary to test the soil surrounding the tank to determine whether contamination exists?
A8. If a seller provides a report from a state certified environmental company with laboratory results from a state certified laboratory stating that the soil was tested at the time the tank was taken out of service and filled with sand/gravel or foam, additional soil testing would not be necessary as long as the soil tests were acquired from the appropriate locations and analyzed for the proper laboratory analysis. To verify this answer, an environmental professional should review this report to ensure it is complete and thorough. If you do not have a statement that the tank did not leak then you have to answer that very important question.
If all you have is a copy of the local permit that the oil tank was removed and approved by the local township, then you STILL do not know if the tank leaked. It is not the construction departments responsibility to comment on tank leaks it is a different department. So often times a local permit of a tank removal or closure in place of an oil tank incorrectly gives people the opinion that the tank did not leak. Only independent soil testing can confirm that an oil tank leaked. Let's be honest you can tell your cholesterol level without testing so why would testing a tank be any different?
In English: If you do not have, clear and concise paperwork (REPORT) stating that TESTING was performed and the conclusion was the tank did not leak, well then you do not have what you need and 90% of filled in place lack this crucial piece of information.
What are NJDEP soil standards for heating oil tanks?
NJDEP soil standards are as follows:
1. ND (Non Detect) No NJDEP reporting required.
2. <1000 ppm for EPH: No remedial action required, but NJDEP reporting and depth to groundwater to be determined. Groundwater sampling if contamination is with 2' of groundwater.
3. 1000 to 5300 ppm EPH, contingent Naphthalene (6-ppm maximum allowable) & 2-Methylnapthalene (5-ppm maximum allowable) required to be performed. If samples exceed for either compound, Synthetic Precipitation Leachate Procedure (SPLP) analysis required, results to be below 390 ug/L. If levels meet these standards, depth to groundwater to be determined. Groundwater sampling if contamination is with 2' of groundwater. NJDEP reporting and depth to groundwater determination with potential sampling.
4. >5100 ppm EPH: Soil remediation is required with NJDEP reporting and associated $400.00 NJDEP review fee.
Key bit of information, UNLESS you have laboratory testing performed you don't know if your tank leak requires remediation, click the link to learn more Did my oil tank leak?
If the seller cannot provide any written reports about soil testing, should testing be performed?
A9. Many homeowners have discovered soil contamination exists around their buried abandoned oil tanks that their town or municipality considered properly decommissioned. These homeowners originally purchased property based strictly on the municipality or town building inspector's approval and ignored the fact that soil testing was not performed at the time the underground heating oil tank was filled with sand, gravel or foam. Now, the homeowners are selling their homes and they are providing the buyer with all the municipality's documents about the buried oil tank on the property. Since the homeowner provided no documents about the condition of the soil in the tank excavation, the buyer tests the soil and discovers levels of contamination (heating oil) in the area around the underground tank. Even though the homeowner has all the supporting documentation from the municipality, the responsibility for cleaning up the contamination rests solely with the unsuspecting new homeowner. The regulations read that whoever owns the property owns the problem.
If there is no written report certifying the soil's condition, if the abandoned or "properly closed" heating oil tank, then you will likely have to reverse engineer the tank closure, by removing it before you take possession of the property.
Why test the soil around the tank?
A10. If a spill has ever occurred while filling the tank, or if the tank or piping has or is leaking, residual oil will be present in the soil around the tank. Analytical data from an independent laboratory provides third party data concerning the presence or absence of petroleum around the buried storage tank. Environmental regulations are not fair, and place the burden of cleanup (The Responsible Party) as the property owner, not the person who used the tank last.
What is the State's role?
A11. Under state laws, cleanup activities must be conducted for discharges of heating oil when levels are over PADEP, DNREC or NJDEP standards or groundwater has been impacted. Contaminated soil and water cleanups may take place with or without state oversight. However, to obtain final state approval of a cleanup, a “No Further Action” letter is needed through the PADEP, DNREC and NJDEP’s Voluntary Cleanup Program or UHOT program. This letter is required by mortgage and insurance companies for most real estate transactions. If a NFA letter is needed at closing, please ensure that you leave ample time to complete the cleanup and gain final state approval.
What are the steps for cleanup for a heating oil tank leak?
A12.The following are some of the steps a contractor will take to clean up fuel oil contamination. All individual cleanups will differ depending on the size of the plume and if groundwater was encountered. The following steps will help you better understand the general cleanup process.
If there is an underground storage tank that must be removed, it will be removed according to local codes and the American Petroleum Institute’s recommended practices. Your municipality will require a construction permit in order to remove the tank. The tank will be thoroughly cleaned and properly disposed of at recycling/scrap metal facility. Once the tank has been removed, the contractor will take soil samples to determine if a release has occurred. A NJDEP certified laboratory will analyze the samples, and the results will be compared to the NJDEP’s soil cleanup criteria to determine if remediation is required. A quick overview of NJDEP standards:
1.<1000 ppm for Extractable Petroleum Hydrocarbons (EPH): No remedial action required, but NJDEP reporting is necessary and a $400.00 NJDEP review fee would be incurred.
2. 1000 to 5300 ppm EPH, contingent Naphthalene (6-ppm maximum allowable) & 2-Methylnapthalene (5-ppm maximum allowable) required to be performed on the highest EPH containing soil sample result. If samples exceed for either compound, Synthetic Precipitation Leachate Procedure (SPLP) analysis required, results to be below 390 ug/L. If levels meet these standards, then no remediation is required, but NJDEP reporting is necessary and a $400.00 NJDEP review fee would be incurred. Depth to groundwater is required to be determined and a groundwater sample required if groundwater is within 2' of the EPH containing soil.
3. >5300 ppm EPH: Soil remediation is required.
* Samples must be stored at 4 to 2 degrees Celsius until analyzed. Samples must be extracted within 14 days and extracts must be analyzed within 40 days of extraction.
Once the soil samples are obtained the contractor will be able to determine the size of the plume and give a cost estimate for the clean-up. The contractor will then apply for permits and the remediation process will begin. The contractor will have the soil pre-approved into a licensed recycling facility so that they can be recycled properly. After all of the impacted soils are removed the contractor will take post-excavation soil samples and then backfill the area with certified clean fill.
The property owner said he never used that tank and it was there when he bought it, so he or she is not paying for any testing or removal?
A13.Just because the current owner made a bad decision doesn't mean you should. Depending on the state where the property is located, there maybe a construction code requiring a tank that is out of service for longer than a year to be removed or properly abandoned, this could help budge the owner to do the right thing and address the tank issue.
The cleanup of an oil tank leak in the photo below cost over $100,000.00
When an oil tank is removed what is a tank certification?
A14. It is typically recommended that all tanks be removed from the ground when taking a tank out of service. When a tank is removed and a site assessment soil sampling is performed by a qualified individual, a professional determination can be put forward as to the integrity of the tank. Some people refer to the determination as a Tank CERTIFICATION. There is no standard certification that is mandated by the EPA or the NJDEP for residential heating oil tanks and given by an independent company. What a property owner can receive is a professional determination from the company performing the tank removal activities describing what transpired during the tank removal. This determination can and should contain a statement regarding the visual integrity of the tank and if the tank did or did not leak. The site assessment to evaluate whether contamination is present in the excavation can be carried out in a variety of ways while the tank is being removed and can consist of the following:
1.Visual evidence of contamination can be determined from product odors, product stained soils, and/or visual evidence of free product.
2.By inspection of the Underground Storage Tank, (UST), for evidence of corrosion or perforations once the tank is removed from the ground.
3. Obtaining soil samples from along the bottom invert of the tank excavation. This is the most accurate and will be the DECIDING factor on if your site requires remediation. Think of it like having your cholesterol checked, lab testing provides quantifiable data. If your cholesterol is high you need to do something, change your diet, take a statin, etc. Where items 1 & 2 above provide visual evidence, all States allow a permissible amount of oil to be left in the ground, so although your oil tank may have a hole, or some oil may have leaked out it may not be in the concentration that requires remediation. I can't stress the importance of testing. If you don't understand this call our office.
In New Jersey the standard analytical testing method for number two heating oil is Extractable Petroleum Hydrocarbons (EPH). In Delaware it is DRO and in Pennsylvania there is a short list of petroleum parameters you test for. Clarification as to concentrations of oil in soil, can be ascertained by collection of a soil sample from the tank excavation and submitting the soil sample or samples to an independent licensed laboratory for analysis. Standard turnaround or completion of sample analysis is ten business days from the date the laboratory receives the soil sample. Quicker analysis time frames can be obtained but will be more expensive than the standard ten day around. Bear in mind that turn around times for completing soil laboratory analysis is based on when the laboratory receives/logs in the actual sample or samples. The laboratory may not pickup and log in the soil sample for twenty-four hours after the sample is collected from the property.
What is involved with removing an underground heating oil tank?
A15.There are a variety of required procedures that need to be followed when a heating oil Underground Storage Tank (UST) is permanently taken out of service. The most important are the confined space requirements for personnel who clean tanks. Any individual who enters a confined space, (an example of a confined space is an oil tank), must complete a 40-hour training course with a yearly 8-hour refresher class to certify the individual for confined space entry. At a minimum, both American Petroleum Institute, API, standards and Occupational Safety and Health Administration, OSHA, regulations should be observed during tank closures. (For the same reasons that you hire a trained and licensed plumber or electrician, you should also hire an environmental company fully capable of servicing your tank needs).
Standard procedures for closing a UST system entail following American Petroleum Institute, (API), "Recommended Practice 1604, Removal and Disposal of Used Underground Petroleum Storage Tanks,” and American Petroleum Institute Publication 2015, "Cleaning Petroleum Storage Tanks.” Occupational Health and Safety Administration, (OSHA), 2226 - Excavations, OSHA, 29 CFR Part 1926 Occupational Safety and Health Standards Excavations, OSHA, 29 CFR Part 1910, Occupational Safety and Health Standards and National Institute for Occupational Safety and Health (NIOSH) "Criteria for a Recommended Standard - Working in Confined Space.” By ensuring that tank removal activities follow the guidelines set forth by Federal, state and local ordinances and industry organizations such as the Occupational Health and Safety Administration (OSHA), National Institute for Occupational Safety and Health (NIOSH), and the American Petroleum Institute (API), a property owner is assured that the potential risks relating to performing tank closure activities are addressed.
Local construction/fire permits are typically required to be applied for before the tank can be removed. Once the local permits are approved, it is typical that the local inspector will need to be on site for all or a part of the removal activities.
State law requires that before any excavation activities can commence, a utility mark out will need to be performed. The company performing the tank removal should call for an underground mark out Not all underground utilities are covered by this service. Also, utility mark outs do not include portions of service lines which are the property owner's responsibility to maintain. It is the responsibility of the property owner to identify all underground utilities which may not be covered by the mark out service.
It is the law in every state, to call for a utility mark out before you dig. Make sure the company you choose to remove the tank obtains a mark out confirmation number. It protects all parties involved.
To access a buried oil tank it is necessary to uncover the top of the tank to permit entry into the tank for the purpose of cleaning the tank. The majority of Underground Storage Tanks are typically located adjacent to an existing structure or dwelling. Accordingly, excavation of an underground storage tank should be made with due care to avoid undermining the dwelling foundation.
After the tank has been excavated to expose the top, and all pumpable liquids removed, the tank should be purged of petroleum vapors. Purging of the tank consists of drawing air through the tank to remove/purge the tank of any hazardous vapors. Without purging the tank, a hazardous environment inside the tank may exist due to lack of oxygen in the tank. After the tank has been properly purged, an inspection of the oxygen level in the tank should be performed. If no hazardous vapors are present and the tank contains sufficient oxygen, the tank should then be entered and cleaned. Cleaning of the tank will consist of wiping, squeegeeing and removing all liquids and sludges from the tank. Liquids are then either placed into on site storage containers or a vacuum truck. The liquids are then typically transported off the site for recycling. The tank should only be removed from the ground after it has been properly cleaned.
After the tank is removed, soil samples can be obtained and tank excavation will need to be inspected by the local official. Once this is done the tank excavation can be backfilled with clean certified fill.
More information can be found at this link: /oil-tank-removal--abandonment
First time home buyers are looking to purchase a house built in 1960. It has a buried fuel oil tank, but no mention of soil testing or liability was in the disclosure statement. Do you hire someone to test for leaks?
A16. YES First, if the tank is not used any longer it should be removed by the owner with testing to verify 100% it did not leak. Buried tanks that are removed from service represent an environmental liability to the property and serve no benefit other than to concern and dissuade potential buyers.
How long does an oil tank last? Click here: Life Span of an Oil Tank
Second, if the tank is being used (in service) and is not doubt original to home, request to have the tank removed and replaced with an above ground storage tank (AST) and the cost added to the purchase price. As this is what you would do AFTER you bought the house anyway (you would not continue to use an old tank). This is the best option as an old tank should be replaced and it would have been a cost a buyer incurred anyway. This approach also places the responsibility of the tank on the owner, who truly is the responsible party. If you follow this approach, if the tank leaks you do not own the site and the owner can't avoid the issue.
Third, test the tank 100%, before you buy. This is extremely important if the owner refuses to acknowledge the oil tank as an issue.
The advice is given in order of how not to spend your money. This is stated due to the fact that if you test the tank and it is not leaking, the advice will be to remove it before it starts to leak. The age of the tank alone should trigger common sense that the tank should be replaced. A simple comparison, if the roof has been replaced, which I am sure it has and the same tank is in the ground, it is ludicrous to think the tank should not be addressed. Roofs and tanks can have similar life spans, the issue is tanks are out of site and out of mind.
A17. My oil tank leaked, should I put a claim in with my Insurance company?
You should file a claim with your homeowner’s insurance company as soon as evidence of a leak is discovered. Most policies require at least prompt notice of a claim, and they may require your assistance in providing information to the insurer. The language of each individual policy determines if there is insurance coverage for cleanup of contamination from leaking residential underground storage tanks.
Are there grants or Financial Assistance for a leaking oil tank?
Grant and loan programs are available from the State of New Jersey to provide financial assistance for cleanup costs. To find out if you are eligible, go to www.nj.gov/dep/srp/finance/ustfund/, or contact the Division of Remediation Support, Bureau of Contract and Fund Management, at (609) 777-0101.
Grant info Click Here: Oil Tank Grants
Effective Aug. 2, 2006, the Petroleum Underground Storage Tank Remediation, Upgrade and Closure Program provides loans and grants to eligible applicants to help finance project costs for the closure and replacement of a non-leaking residential underground storage tank. This funding assistance is available through the EDA. If you have additional questions, contact EDA Customer Support at (609) 777-4898 or go to the Economic Development Authority’s Web site
Can you explain what the process would be if the tank was leaking? We have used the tank for years and don't believe it is, because we have never had a problem with the tank.
A18. An oil tank leak is a problem and like all problem you must first determine the severity of the problem,. i.e., how big or small the leak was will determine the extent of remediation required. A delineation (diagnosis) is typically performed after an oil tank leak is found. When an underground heating oil tank is removed and found to be leaking, the next question that needs to be answered is how large or small of an area will require remediation. To determine the extent further investigation of the tank discharge is necessary. This is completed by advancing soil borings both within the tank excavation (to determine vertical extent) and around the perimeter of the former tank location to determine the horizontal extent. This develops a form of 3D model of the extent of contamination, and then a plan can be developed to remediate the contamination. Just as a doctor will do biopsy around a tumor, you do soil borings around an oil tank leak to determine how far the oil has spread.
What are the costs to remediate a tank leak?
A19. If you have a delineation that defines the extent of the contamination, then you can determine a cost. If you have no soil testing results, then any cost would be purely a guess. We have been remediating tank leaks for over 20 years and there is no magic bullet or years of experience where someone can JUST TELL it is going to cost this much.
Generally a small tank leak, some soil, testing, reporting etc. can run up to the $5,000.00 range. Costs can incrementally increase by thousands of dollars based on the increase in soil removal (contaminated soil) and replacement (clean fill). Could you spend $7000.00, $10,000.00 or more, yes, if the tank leak is big enough to require that expense. Bottom line you can't determine a cost unless you define how big a problem is present. Trust us the majority of oil tanks do not leak, but they do not make for good stories. The stories you hear about are the tank leaks that cost tens of thousands of dollars.
I removed my oil tank and was told the tank leaked and requires remediation. How do I know if the tank leaked? The tank company wants to remediate and I don't believe the oil tank leaked?
A20. This all to common question has an entire page dedicated to how do you know if your oil tank REALLY needs remediation. Can I trust my tank removal company and/or Did my oil tank really Leak?
I am selling and/or I am buying a property that that is being sold "AS IS with an oil tank"?
A21. Any property being sold as is really means "all the problems with the property are being pawned off of to the buyer". As is properties can get home inspections rather inexpensively to assess what needs to be addressed within the bones of the house. Determining issues with an oil tank is a more costly endeavor that many home buyers do not wish to undertake. The reason being is it could cost a few thousand dollars to diagnosis a problem and home buyers don't want to spend the money to fix someone else's problem. To be blunt, what we hear most often is "I am not cleaning up their mess and what other issues are they hiding"?.
The as is sale is even more dangerous the lower the value of the home. A $20,000.00 remediation is more easily swallowed on a $400,000.00 property, less so on a $100,000.00 property.
What does it cost to remove an oil tank?
A22. The cost to remove an oil tank is directly related to the tank size and location. Generally, smaller tanks (290 gallon) are less expensive to remove than larger tanks (1,000 gallon). Location is also a factor; a tank under a lawn is less costly to remove than one that may be underneath a deck or patio, which would require removal and replacement of the patio or deck.
There are certain ingredients (costs) that make up a tank removal price, and they are as follows: 1. Labor, equipment, fill, and reporting 2. Permit fee 3. Liquid disposal charge 4. Laboratory analysis. Permit fees and liquid disposal are variable costs, as the exact quantity of either is typically unknown until the project is undertaken. So, you should expect to see a unit charge for these items in an estimate. Laboratory analysis is not required by law, but is a prudent task to have completed, as it will provide independent laboratory analysis that your tank did not leak. This is valuable information to have when you wish to sell your home and the buyer asks for your certification that the tank did not leak.
The base cost for a tank removal should include the time to apply for and obtain permits, the excavation equipment necessary to dig up the tank and remove it from the ground, the fill necessary to back fill the void space in the ground once the tank is removed, labor to do the referenced work, and finally but most importantly the time it takes a project manager to write a report that clearly documents the tank removal. This last ingredient is extremely important, but very few firms provide this service. The report at its core describes all the steps completed to remove the tank, the reasons that the tank is being declared a non-leaker and all pertinent documents such as local permit, tank scrap receipt, clean fill certification, etc. Many budget companies do not provide an extensive report and instead rely on a paid invoice referencing that an oil tank was removed. Some people mistake this for a certification. Repeatedly our firm gets involved in evaluating a property where a tank was removed and the owner never received proper documentation for the tank removal. What is considered proper is a detailed explanation of the tank removal activities, project documentation and a professional statement regarding if the tank did or did not leak. This last statement is the most important as people get confused that a tank removal project receives an APPROVAL from the construction office. This is basically the construction office agreeing that a firm did what they said they would do, which is remove an oil tank. While legally removing a tank as per construction code is an important part of a tank removal, the most important question that needs answering is if the tank leaked. Leaking tanks cost more money to fix than a simple tank removal. So the money question is: Did the Tank Leak? Any report documenting a tank removal should answer this question.
Do I have to remove an oil tank filled with sand in order to sell my house? This was done decades ago and I can't seem to find the verification of this service and can't remember the name of the company. If not, Can a company reissue verification of tank filled with sand? Is there an agency that has this verification?
If you or anyone wants to buy a property that has or had a petroleum storage tank, the question that the buyer, mortgage company, attorney or insurance carrier wants to know is if the tank LEAKED. This is accomplished by testing the soil from below the tank.
- It is highly unlikely that a tank that was filled in place decades ago had testing completed. Often times people close a tank in place to avoid finding a leak (when you remove a tank, you may see holes in the tank or smell oil in the ground, both signs that a leak may have occurred). If testing was completed the report, you received is normally stored in a secure place as it can be viewed as valuable as your property survey or deed. Here is the real rub for the first-time oil tank abandonment customer. If you have never dealt with an oil tank issue, chances are you are unprepared to make the best decision. I say this as even today I find that property owners who have their tank removed or closed in place had the work performed under a proposal – estimate – contract- that does not include any report of the work. Decades ago, this was even more common. I say with over 26 years of experience that the odds of you having been GIVEN a report with soil sampling documenting the tank was closed properly years ago is highly unlikely. Not impossible, but unlikely.
- No one or company can certify another firms work without know what was performed (read tank closure documentation you do not have and most likely ever did).
- You will need to have the tank removed and soil samples obtained below the tank so you can provide evidence the tank did not leak. You may also have to remove the material that was placed in the tank at the time of prior closure in place, as these soils may have oil in them as not every firm cleans a metal tank 100% of residual oil. So the sand placed in the tank may be impacted with residual oil that was not fully removed from the tank.
- Lastly, let me prep you that when the tank is removed, you will have many holes in the tank as the tank has been acting like a bath tub for years and the water will have allowed the tank to corrode many times faster than if a hole had not been cut into the tank allowing water to flow into the tank during rain event.
- If you want costs to address the tank, call our office, as I can imagine we have dealt with situations like this countless times
Q. I have a certificate from a tank company certifying that "on 3/31/2005 they abandoned the underground storage tank using the practice and procedures outlined in bulletin 95-1B, section C of the state of New Jersey, Department of community Affairs, division of codes and Standards. the underground storage tank was filled with Polymaster R 501-TF amino-plant resin fill material, an NJDEP and EPA accepted inert material" Can I sell this property with no further action regarding the oil tank?
A24 The tank work complied with the New Jersey construction code, so you are good with that aspect.
The most important question to answer about any tank is if it leaked. How you know is like knowing your cholesterol level and that is by testing the soil below the tank. In a case like yours where the tank was filled in place, holes our coupons would have been cut through the bottom of the tank and soil samples obtained and submitted to a laboratory for testing. You would have another document or a report from the company that did the tank work detailing the tank closure activities and a discussion of the soil sampling activities and interpretation of the lab results relative to NJDEP soil standards for oil in soil.
I suspect that testing was not performed or else you would be referencing this other report.
Bottom line the work was done legally regarding construction codes but you do not know if the tank leaked or not as testing was not completed.
If you were going to buy the property and asked for our opinion, I would say to have the tank removed with soil sampling performed. Testing is the only way to know 100% the tank did not leak.
Please note that if anyone buys the property and subsequently learns that the tank leaked, then that owner is responsible for the cleanup, this is why testing is necessary.
So to answer your question I do not know if the tank leaked based on what you are providing so yes further work is necessary.
Q25 An addition was built over the oil tank, so how can it be removed without compromising the home?
Your situation would alleviate the need to remove the tank as it may be physically impossible or simple prohibitively expensive. That said it does not relieve you of the liability of the oil tank, meaning you must show the tank did not leak in the past and will not in the future. The tank will need to be excavated, cut open, cleaned and soil sampling obtained below the tank bottom. Rust never sleeps, so every steel tank will eventually rust, and holes will form. Removing all oil from the tank will prevent oil leaking out in the future. After the tank has been cleaned, you are now tasked with testing the soil, you do this by taking soil samples below the tank after it has been cleaned to answer the question if the tank has leaked in the past.
Q26 Can an old oil tank for a home be abandoned in place, and filled?
If you are considering, filling the tank in place without testing and hoping that in the future no one will question if the tank leaked or not, well that is probable not going to happen. Buyers are more savvy today than they were even a few years ago. The internet has allowed a wealth of information to be at a person’s fingertips. If you google oil tank leak, expect to find a variety of pages covering tanks that leaked. Mortgage companies are not keen on loaning money for properties where an oil tank was untested. A buyers realtor, home inspector or attorney will flag an oil tank that has been abandoned in place without testing to ensure it did not leak. Tank Abandonment in Place
In English: If a tank is in a really difficult area, making removal near impossible or just really expensive, you can fill the tank in place. You do this by digging a PORTION of the tank so you can open the tank, clean it, take soil samples through the bottom of the tank and lastly you fill the tank with an inert material, like foam, sand or concrete.
Q27 I am buying a house that the entire backyard is covered with patio block. The house is 150 years old and I am worried an oil tank could be buried under the patio block. Will your unit detect it with 100% guarantee if it is there with GPR technology?
GPR is the best available technology for tank scans. GPR provides a visual representation of buried tanks.
GPR limitations are that it needs to be able to scan a given area. A patio that is flat works. If a shed, pool, hot tub, or other obstruction is placed on top of a tank, the GPR would not be able to scan it. Physical obstructions also prevent the utilization of other methods. Metal detectors being a common substitute for GPR, but metal detectors are notoriously unreliable to scan for an oil tank as you cannot expect to find a developed property that does not have metallic signature.. It sounds counter intuitive, but most tanks are in a close proximity to a dwelling, which maintains a magnetic signature, metal can be found naturally in the ground, utilities leaving a dwelling underground carry metallic signature as well as metal being present on ground cover on a site, including minor buried debris, rebar or wire mesh in concrete, etc.
Homes built 1900 to 1980’s are probable for oil tanks. At 150 years, this home had wood, then coal then most likely went to oil, so your chances of oil heat usage are high.
If these answers are not sufficient or you require additional information, please feel free to contact Curren Environmental at 888-301-1050 or info@currenenvironmental.com.
Q 28. We had our oil tank removed today. It was previously closed in place with gravel fill in 1994. The removal company advised that there was the smell of oil in soil We started remediation process with them, with an estimate of approx. 21k. They have already removed approx. 8-10 tons of soil and are returning tomorrow to dig until they find clean soil Do I need a second opinion?
A. So you go from. $1,200 tank removal to a $21,000 Remediation? It sounds like this is a real estate transaction? I am unclear regarding why the rush to remediate without testing of the soil below the tank? Clearly you had no testing done in 1994 or when the tank was just removed. So how do you know you have oil levels above permissible limits?
I am sure the tank was riddled with holes as to be expected from a tank that was previously filled in place and has been holding rainwater for years, all this hastens the corrosion process. Our advice stop digging up soil, collect soil samples and see if you really have oil levels above 5100 ppm.
The tank in the photo was at a school & had been previously filled in place with sand, problem was they didn't remove the oil before they put the sand in the tank.
Q 29. I choose the cheapest tank removal company I could find. We are getting ready to list our house. In fact, we WERE going to list this Friday. We did testing when we bought the house in 1993 and converted to gas heat in 1994. The testing was clean, at the time, however, I can’t find the report.
On day of tank removal the company arrived at 9:30am. The people smelled oil (as did my husband when they pointed it out.) We got a contract sent to us, and we gave them the go ahead on the same day the tank was removed. They went to Wendy’s while we waited for the contract, then dug for approximately an hour, then left for the day because they said they needed to bring back truck or backhoe. They left approximately 1pm. When I called their office, they didn’t know they had left, but advised me they had already removed 8-10 tons of soil. I looked at the hole tonight, and it’s not much bigger than the tank itself, though it may be deeper.
I asked the woman at tank removal office to explain the process to me. I asked her when they stop digging. She said they dig until they get to what appears to be “clean” soil. Then they take soil samples and run them through a PID meter that will show the concentration of oil in the soil. If the “clean” sample show contamination, they dig again. They then send it out to get testing, which takes 10 days to get test results back.
The more days, the more it costs. Estimate for 1.5 days is $11,975.00. 2.5 days is $21,070.00. I was glad I told her that her guys left early—she did not know. I didn’t want to be charged for extra days if they were gone
We are hesitant to tell them to get lost because we need them. Your website has given me encouragement, but now that we’re underway, we’re less apt to cancel them. Is this how your company would have handled a tank removal with the smell of oil?
A. What Curren would have done or any other ethical company? Obtain two soil samples at tank excavation invert (bottom). Back fill tank removal hole, meaning finish contracted scope. Submit samples to lab in 5 to 7 days you get test results and find out if you need remediation or not.
The NJDEP, PADEP & DNREC all allows a permissible level of petroleum to be left in place. The PID or vapor meter has no standard, it cannot be used to determine clean or contaminated. From what you have provided, as well as the professionalism exhibited by the firm in your description is that you are needless spending money.
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