Client Alert: IDEM Clarifies SEA 277 Petroleum UST Corrective Action Requirements

What petroleum UST owners and operators need to know.

Senate Enrolled Act (SEA) 277 took effect July 1, 2026, introducing new statutory requirements for petroleum underground storage tank (UST) corrective action in Indiana. That same day, the Indiana Department of Environmental Management (IDEM) issued a clarification letter addressing an ambiguity KERAMIDA's Lauren Nielsen, P.E., Senior Engineer, Land Services, had raised in testimony before the Indiana General Assembly.

Under SEA 277, IDEM cannot issue a No Further Action determination, approve closure, or request certain institutional controls until it has received and reviewed an evaluation of potential remedies. That requirement is triggered whenever a "reportable quantity" of petroleum remains or may remain underground at a site. Because the term was not defined for petroleum USTs, IDEM's letter clarifies that it will use 40 CFR 280.53 and its Risk-based Closure Guide (R2) for interpretation. State Forms #55439 and #55441 have also been updated to reflect correct up-to-date citations.

Read the full breakdown here.