SB 1235 Summary

• Requires persons operating facilities with potential to emit hazardous or extremely hazardous substances under Clean Air Act section 112(r) to purchase general liability insurance coverage.

• Insurance policies must cover civil damages and property damage to adjacent buildings and businesses resulting from catastrophic releases of hazardous or extremely hazardous substances.

• Director of the division of emergency management shall prescribe required coverage amounts based on substance type, amount at risk, and facility location relative to vulnerable areas such as day care centers, schools, hospitals, or elder care facilities.

• County or municipal officials may request proof of insurance during business hours, and failure to provide proof triggers immediate proceedings to revoke the facility's occupancy permit or zoning designation.

• Required proof of insurance must be submitted to the director or appropriate county/municipal official no later than March 1, 2011.