Owners or operators of Solid Waste facilities requiring closing and or long-term care financial assurance
shall annually adjust their facility closure cost estimates for inflation and submit updated information to the Department.
Most permittees must follow Rule 62-701.630(4), Florida Administrative Code (F.A.C.). See Special Notes below for Used Oil
and Waste Tire Facilities. Outlined below are Rule 62-701.630(4), F.A.C., requirements for submission of closure cost estimates.
- Form 62-701.900(28)
is used to prepare and submit closure cost estimates. Contact your permitting office for assistance with this form.
- Annual cost estimate adjustments may be made either by recalculating the maximum cost of closure in current dollars or
by using the
current year inflation factor.
- For owners or operators using an escrow account to demonstrate financial assurance, cost estimates must be submitted
between July 1 and September 1 of each year.
- For owners or operators using an alternate financial mechanism to demonstrate financial assurance, cost estimates
must be submitted between January 1 and March 1 of each year.
- Please submit Form 62-701.900(28) to the appropriate permitting office with a copy to the Solid Waste Financial Coordinator:
|or by mail:
Financial Assurance Subsection
Florida Department of Environmental Protection
2600 Blairstone Road MS 4548
Tallahassee, Florida 32399-2400
|or by fax:
||(850) 245-8803 - Please phone when faxing as the fax machine is not monitored.
Calculation of the Inflation Factor
- The annual inflation factor is derived from the most recent Implicit Price Deflator for Gross National Product published
by the U.S. Department of Commerce in its Survey of Current Business, pursuant to Rule 62-701.630(4)(a)(2), F.A.C.
- To calculate the current inflation factor, divide the latest published annual Deflator by the Deflator for the previous year.
- Implicit Price Deflator data is published by the U.S. Department of Commerce, Bureau of Economic Analysis on their website,
- The data necessary to calculate the inflation factor is released by the U.S. Department of Commerce in April. Therefore,
it is appropriate to use the previous year's factor when inflation adjusting cost estimates due between January 1 and March 1.
- To prevent confusion, we recommend (and allow) the use of the inflation factor we calculate when annual deflators are first
published for a 'new year' around April 1st. As deflators (including previous year’s deflators) are revised several
times each year, occasionally the inflation factor we publish in April is slightly different from what would be calculated later.
We now round up only when the 4th decimal is 9.
- The annual deflators used to calculate the latest inflation factor are dated March 25, 2016 and are 108.800 (for 2014) and 109.868 (for 2015).
||for estimates due between January 1 and March 1, 2016
||for estimates due between July 1 and September 1, 2016
Recent Inflation Factors:
Multiply the previous year’s estimate by the applicable inflation factor to calculate the new year’s estimate.
|New Cost Estimate’s Year
||Inflation Factor for Estimates Due Between January 1 and March 1
||Inflation Factor for Estimates Due Between July 1 and September 1
- Used Oil facility owners or operators use
[Used Oil Processing Facility Closing Cost Estimate Form].
- Waste Tire facility owners or operators do not have a cost estimate form to use but must submit recalculated cost estimates
60 prior to anniversary date of their financial assurance instrument.