Section 606.60  Financial Responsibility of Facility Operator

a)         The facility operator shall meet either of the following tests to establish that it has the financial resources necessary to meet its financial obligations established under 32 Ill. Adm. Code 601, and the Illinois Low-Level Radioactive Waste Management Act.

1)         Test One:  The operator must have:

A)        Two of the following three ratios:  a ratio of total liabilities to net worth less than 2.0; a ratio of the sum of net income plus depreciation, depletion and amortization of total liabilities greater than 0.1; and a ratio of current assets to current liabilities greater than 1.5; and

B)        Net working capital and tangible net worth each at least six times the sum of the closure and post-closure costs estimates provided in the license application as required by 32 Ill. Adm. Code 601.310; and

C)        Tangible net worth of at least $10 million; and

D)        Assets in the United States amounting to at least 90 percent of its total assets or at least six times the sum of the closure and post-closure estimates contained in license application.

2)         Test Two:  The operator must have:

A)        A current rating for its most recent bond issuance of AAA, AA, A, or BBB as issued by Standard and Poor or Aaa, Aa, A or Baa as issued by Moody; and

B)        Tangible net worth at least six times the sum of the closure and post-closure cost estimates contained in the license application as required by 32 Ill. Adm. Code 601.310; and

C)        Tangible net worth of at least $10 million; and

D)        Assets located in the United States amounting to at least 90 percent of its total assets or at least six times the sum of the closure and post-closure cost estimates contained in the proposal.

b)         When determining whether the facility operator has satisfied the financial requirements of subsection (a), the Department shall apply the accounting standards of the Financial Accounting Standards Board of the American Institute of Certified Public Accountants current as of July 1, 1987, exclusive of subsequent amendments or editions.

c)         The facility operator shall post a performance bond with the Department or show evidence of liability insurance or other means of establishing financial responsibility in an amount sufficient to adequately provide for any necessary remedial actions or liabilities that might be incurred by the operation of a facility during the operating period and during a reasonable period of post-closure care (Section 6(b) of The Act).

(Source:  Amended at 15 Ill. Reg. 8958, effective June 10, 1991)