(1) A local governmental unit may apply to the department for designation as an implementing agency for the purposes of implementing underground storage tank systems leak prevention and inspection programs conducted by and within that local governmental unit. Upon designation under this rule, an implementing agency may apply to the department for reimbursement of authorized services, in the manner provided by ARM 17.56.1004, and may enforce any rule in ARM Title 17, chapter 56, which it is authorized or required by any such rule to administer, in the same manner in which the department is authorized to enforce these rules.

(2) Applications for designation as an implementing agency shall be submitted to the department on a form prescribed by the department. The form shall include and the applicant shall provide the following information:

(a) the official name and address of the applicant;

(b) the name, address and telephone number of the person preparing the application for designation;

(c) a list of all the personnel to be used directly by the applicant in conducting the designated program, including for each such person, the person's:

(i) name, address and business telephone number; and

(ii) education, training, and experience in the professional, technical or programmatic area to which each person for whom reimbursement will be sought will be assigned in the local program.

(d) a listing of all major equipment to be used directly by the applicant in conducting the program for which designation is sought, including the names of the operators of the equipment;

(e) a description of the operation of the professional, technical or programmatic services to be conducted by the program, including the names of those persons directly involved in the service; and

(f) a listing of those services for which reimbursement will be sought from the department after program designation, including the names of the person(s) providing the service, and the approximate total cost of the program per year.

(3) Designation applications must also contain a letter of intent, signed by the chief administrative officer of the local governmental unit submitting the application, stating an intent to abide by these rules and any conditions contained in the department's letter of designation.

(4) The application for designation, together with all descriptions, lists, forms and other exhibits shall be sent to the department no later than 90 days prior to the date on which designation is expected or intended by the applicant. Upon receipt of the application the department shall review it for completeness and notify the applicant of any missing information or other deficiency in the application. Upon receipt of a completed application, the department shall make its determination concerning the approval or disapproval of the application. An application may be approved for all or any part of or under different terms than the designation applied for. The department shall issue the designation letter upon approval of the application.

(5) In approving or disapproving an application for designation under this rule, the department shall consider:

(a) The extent to which the training, equipment and personnel of the program will allow the local governmental unit to conduct competent inspections and enforcement to ensure compliance with these rules by owners and operators;

(b) The ability of the applicant to maintain appropriate records of costs for which reimbursement will be sought;

(c) The extent to which the applicant is or will be able to comply with the Montana Quality Assurance Plan for Inspections of Releases from Underground Storage Tanks;

(d) The extent to which the designation and resulting reimbursement will contribute to the viability of the applicant's program;

(e) The desirability of having an implementing agency in the geographic area of the applicant; and

(f) The amount of department funds available for reimbursement for the applicant's program.

(6) Within 30 days of approval of an application for designation the department shall issue a letter to the local governmental unit designating it as an implementing agency. The designation letter shall state that the local governmental unit is enabled to seek and receive reimbursement for authorized services and shall set forth any conditions or limitations determined necessary by the department. A designated local governmental unit shall enforce rules governing underground storage tank systems that it is authorized or required by any rule to administer.

(7) A local governmental unit designated by the department pursuant to this rule as an implementing agency shall immediately notify the department in writing when its ability to perform services authorized by these rules and the designation letter is lost, diminished or otherwise jeopardized by the loss or unavailability of trained personnel or equipment. Upon notification, the designation of the local governmental unit may be suspended by the department until such time as the local governmental unit provides evidence satisfactory to the department that the condition resulting in suspension has been remedied. The department may request and the local governmental unit shall provide, information determined necessary to redesignate a local unit of government following suspension under this subsection.