Underground heated oil tank removal (decommisioned)
I hope someone can offer some advice on this situation. We have a contract on my now deceased parents home and had it listed as "as is". Now, they were aware that this oil tank was in the ground and they were tearing the house down and rebuilding so at the time it didn't seem to be a problem. Now their contractor is saying that it could pose a problem with that tank even though it hasn't been used for a very long time, more than 30 years, so to keep from losing this sale my sister and brothers feel like we need to proceed and remove the tank.
We did check to see if it had any oil in the tank and the "dip stick" came back with oil on it (about 18"). I am not sure if and when this tank went out of service and if it is leaking but my concern is the cost if it is. We do have an estimate to dig but if it is leaking then they cannot proceed until the soil has been tested and we have been told several different things on the cost.
We are hoping that the buyers will consume some of the cost but in good faith we are willing to take the loss to maintain this sale. The "due diligence" will be up the end of the month so we must proceed to keep from holding things up. We have been told the cost could be around $10,000 if the soil is contaminated but what I am not sure of what all that costs include.
My question is does anyone know what the total cost of removing this tank would be? Now we do know that if there is no leaks it will cost around $2500. I am assuming that if it gets up around the $10,000 mark that includes the testing and removal of the soil.
Also, I was told that there is also a grant that would reimberse 60% of the cost but not sure if this grant is still active.
I appreciate any help or suggestions.
Last edited by jb4kats; 04-19-2012 at 08:38 AM..