Underground Heating Oil Tank Removal Grants

On August 6, 2006 the NJ Economic Development Authority (NJEDA) implemented a program that will reimburse homeowners who remove their non leaking underground heating oil tanks. A homeowner can receive up to $1,200.00 for the removal of a non-leaking underground oil tank and up to $3,000.00 for the removal of a non-leaking underground oil tank and the installation of a new aboveground oil tank. The forms that are required can be downloaded at njeda.com or oiltanksnj.com. Once the tank has been removed and it is confirmed that it has not leaked the application package can be submitted along with the required $250.00 application fee to the NJEDA. The applicant should receive their checks in 4-6 weeks.

In the event that the oil tank has leaked the same fund at the NJEDA can pay for the clean up costs that are not covered by a tank protection plan and homeowners insurance policy. The NJEDA Fund can even cover any insurance deductible that the homeowner may have to pay. Once the tank is removed and it is found to be leaking we investigate the soil beneath the tank and assess if the groundwater has been impacted by the heating oil. We assist the homeowner in placing a claim with their insurance carrier and facilitate the grant application process when applicable.

In order to qualify for a grant the applicant has to have a annual taxable income of less than $250,000 and a net worth of less than $500,000 not including the value of the applicant’s primary residence and retirement savings ( 401K/IRA/Pension). The applicant can be the owner or in certain cases the occupant of the residence.

These grants are also available to non-profit organizations with less than 100 employees and estates, depending on the equity in the estate. These grants can also be available to remove a tank or remediate a discharge at a second home, a rental property and even a commercial property, but certain restriction do apply.