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Connecticut Department of Energy and Environmental Protection

Connecticut Department of Energyand Environmental Protection

Connecticut Department of Energy and Environmental Protection

Connecticut Department of Energy and Environmental Protection

DEEP’s Role in Brownfields Redevelopment -

How Can We Help You?

May 27, 2014Mark Lewis, DEEP Brownfields Coordinator

Connecticut Department of Energy and Environmental ProtectionConnecticut Department of Energy and Environmental Protection

My Background

• Connecticut DEEP - Remediation DivisionEnvironmental Analyst- 1993-2014

• Previous work: land surveying, environmental consulting, US Geological Survey

• BS - Geology - Bates College, Lewiston, Maine

Connecticut Department of Energy and Environmental Protection

Today’s Topics

• Shared Success• State Assistance• Proposed Cleanup Transformation

Connecticut Department of Energy and Environmental Protection

Willimantic Thread Factory- J. Alden Weir- 1893

Our mills inspired 19th century landscape painters.They remain a resource and a source of inspiration

today.

Connecticut Department of Energy and Environmental ProtectionConnecticut Department of Energy and Environmental Protection

Changing the perception of site cleanup

– Work with

Connecticut Department of Energy and Environmental Protection

Brownfields CoordinationMunicipalities

State of CT – DECD & DEEP

US EPA

Developers / End Users

Connecticut Department of Energy and Environmental Protection

Success – Past and Future• State and Federal Agencies have been working

with Municipalities on Brownfields since 1992• Partnership have yielded great success• Connecticut is interested in more success with

municipal projects

Connecticut Department of Energy and Environmental Protection

Bryant Electric / Industrial Redevelopment- Bridgeport

New Businesses• Akdo Intertrade Inc. • Chaves Bakery II Inc.• Carr's Ice Cream LLC• Modern Plastics, Inc.

Connecticut Department of Energy and Environmental Protection

Brownfield to Grocery Store- Bridgeport

Partners• State of CT• City of Bridgeport• Bridgeport Housing

Authority

Project• Redevelopment of moth-

balled housing development

Tools Used• $2.5 M Urban Act Grant• $15.0 M Private

Investment• DEEP Technical Assistance

Connecticut Department of Energy and Environmental Protection

Main & Pavilion Shopping Center- Hartford

• US EPA– $160,000 Revolving Loan Fund

• City of Hartford – $100,000 Community Development Block Grant– Donation of land

• Community Economic Development Fund– $5,000 Technical Assistance Grant– $100,000 Bridge Loan Financing

• US HUD– $1,500,000 Section 108 Loan– $300,000 Brownfield Economic Development Grant– $300,000 Urban Development Action Grant

• Private– $2,200,000 Construction– $500,000 Loan Guarantee

Connecticut Department of Energy and Environmental Protection

Remington Rand, Middletown

State grant for general improvement - $765K

• DEEP identified Responsible Party through Urban Sites program

• RPs funded most cleanup

• State provided $200,000 in EPA funds to complete remediation

10 business leasing space at the complex

City acquired through tax foreclosure

Connecticut Department of Energy and Environmental Protection

Killingly Commons- Killingly

• CBRA $1.5M Tax Increment Financing

• 1,000,000 ft2 manufacturing and warehouse buildings

Redevelopment of site into retail center

Connecticut Department of Energy and Environmental Protection

University of Hartford – Performing Arts Center

• State provided $4M grant• CBRA $2.5M PILOT (payment in lieu of taxes)• Over $16M private investment

Former Auto Dealership

Connecticut Department of Energy and Environmental Protection

Goodwin College, East Hartford• CBRA $3M PILOT• State grant $2.25M• USEPA – 3 Cleanup Grants ($200K each)• Leveraged over $20M in private

investment• Former petroleum tank farm

Connecticut Department of Energy and Environmental Protection

Occum Park, Norwich

• Two State grants $2.1 M

• Local funding $200,0002008 Real Estate Exchange Award

for Community Development

Former factory destroyed in 1988 fire Redeveloped into Riverside Park

Connecticut Department of Energy and Environmental Protection

State Brownfield Assistance• Funding (DECD)• Liability Relief (DEEP and DECD)• Technical Assistance (DEEP and DECD)

Connecticut Department of Energy and Environmental Protection

State Liability Relief

• Many programs offered to limit the liability of municipalities, economic development organizations, and private parties

Connecticut Department of Energy and Environmental Protection

Liability Relief

• Covenants Not To Sue• Third-party liability relief• Abandoned Brownfield Cleanup Program• Brownfield Remediation and Redevelopment

Program (a.k.a. Section 17)• Municipal Brownfields Liability Relief

Connecticut Department of Energy and Environmental Protection

Covenants Not To Sue

• Obtained early – after submitting a Brownfield Investigation Plan and Remediation Schedule

• Two types: CGS §22a-133aa and §22a-133bb• 133aa transferable, discretionary, has many

protections, costs 3% of property value – Free for municipalities; other parties can schedule

payments over time• 133bb: non-transferable, less protections, free

Connecticut Department of Energy and Environmental Protection

Third Party Liability Relief

• Third-party liability limited for non-responsible parties that own a contaminated property and investigate and remediate such properties

CGS §22a-133- No owner shall be liable for any costs or damages to any person other than this state, any other state or the federal government, with respect to any pollution or source of pollution on or emanating from such owner's real property that occurred or existed prior to such owner taking title to such property

Mark R Lewis
Do we have a statutory reference?
DEEP
Sec. 22a-133ee

Connecticut Department of Energy and Environmental Protection

Innocent Land Owners

CGS § 22a-452d & 22a-452e• Innocent Land Owners will not be liable for State

actions taken to contain, remove or mitigate a spill

• Innocent Land Owners will not be liable for any order of the Commissioner to abate or remediate a spill or discharge (which order was issued on or before August 1990)

Connecticut Department of Energy and Environmental Protection

Abandoned Brownfield Cleanup Program

• For properties unused or significantly underutilized for 5 years prior

• Redevelopment of regional or municipal benefit by non-responsible party

• No obligation to investigate/ remediate off-site• Liability relief from state or any third party• No fee, exempt from Property Transfer Act• Must apply prior to property acquisition

Connecticut Department of Energy and Environmental Protection

Brownfield Remediation and Redevelopment Program

• 32 properties per year admitted by DECD• Must be bona fide prospective purchaser,

innocent property owner or contiguous landowner

• Off-site obligation to investigate and remediate eliminated

• Liability relief from state or any third party• Fee is 5% value of the land, exempt from

Property Transfer Act

Connecticut Department of Energy and Environmental Protection

Municipal Brownfields Liability Relief Program

• Open to municipalities or development corps that are not responsible parties

• Simple application submitted prior to acquisition

• Provides state and third party liability relief, exemption from Property Transfer Act

• Not required to fully investigate or cleanup the Brownfield but are required to serve as good stewards of the land

Connecticut Department of Energy and Environmental Protection

Municipal Access Liability Relief CGS § 22a-133dd

• Any municipality, economic development entity, or LEP may enter a property to conduct an investigation without liability if:– Owner cannot be located– Property encumbered by tax lien– Notice of eminent domain filed– Municipality finds investigation in public interest to

determine if property should be redeveloped– Municipal official determines investigation necessary

to assess potential risk to health or environment

Connecticut Department of Energy and Environmental Protection

Transforming Cleanup in Connecticut

Connecticut Department of Energy and Environmental Protection

Why Transform Now• Status quo not good for:

– environment and public health – pollution remains and risks can increase with time

– economy – too much uncertainty to get needed investment

• Everyone has learned from the pros and cons of the current system

• Current system too cumbersome and too slow to yield timely results commensurate with risk

Connecticut Department of Energy and Environmental Protection

Entered Cleanup Program 1986

We’re Still Working on It

Remington- Bridgeport

Waterbury

Mark R Lewis
what site is this?
DEEP
See next slide. Not sure what it is known as locally but it should be in CMS as the old property owner's name too.

October 2008 visit to Mill #52American Rental, 2100 South Main Street, Waterbury

Southern view. Notice: roof collapse, fence down and site accessibility, overgrown vegetation.

Connecticut Department of Energy and Environmental Protection

What We Need To Change

• Unified Program …….

• Primarily a Release-based System

• Earlier and Multiple Exits

• Self-Implementation and Clearer Obligations

CURRENT STATE

• Multiple and Overlapping Programs

• Property-based and Release-based System

• Few Properties Exit Cleanup Program

• Command and Control System

FUTURE STATE

HIGH ENVIRONMENTAL STANDARDS PRESERVED

TO:

TO:

TO:

TO:

Connecticut Department of Energy and Environmental Protection

BASIC STRUCTURE OF PROPOSED SYSTEM

Connecticut Department of Energy and Environmental Protection

Current RSRs – Limited OptionsSelf- i

mplementing using Default Assumptions / Criteria

Few

Many

Releases

Connecticut Department of Energy and Environmental Protection

Future RSRs – Risk Based &Tiered ApproachSelf- i

mplementing using Default Assumptions /

Criteria

Self-implementing using Well-

defi

ned

Site-specific Adjustments

Few

Many

Releases

Connecticut Department of Energy and Environmental Protection

Key Takeaways• Release-based approach• Self-implementing with robust auditing and

enforcement• Multiple, clear, and early exits • Risk-based cleanup options and alternatives• Transparency and meaningful participation• No more Transfer Act• Level playing field for all businesses

Connecticut Department of Energy and Environmental Protection

Keys To Success

Successful Cleanup Program

Broad Applicability to Report

MAKE SAFEAchievable Cleanup Standards

Connecticut Department of Energy and Environmental Protection

Ongoing Priorities

Continue to work on making DEEP’s processes more efficient

• DEEP Remediation Roundtable– Quarterly meetings- Next- August 26, 2014 1:30 pm– Information at www.ct.gov/deep/remediation

• Contact me with your ideas/ questions/ concerns

– I’m here to listen and help

Connecticut Department of Energy and Environmental Protection

What do You See?

This? Or This?

Proposed city boat launch at former oil terminal- Norwich

Connecticut Department of Energy and Environmental Protection

Thank you

Mark R. LewisDEEP Brownfields Coordinator

[email protected] (860) 424-3768