Dcr.ver Radium Superfund Site http://www.epa.gov/superfund/oerr/accomp/redevel/denver.htm vvEPA IMMSWM Office of Emergency and Remedial Response (5201G) EPA540/F-98/010 OSWER 9378.0-17FS PB 98-963212 March 1998 www.epa.gov/superfund Denver Radium Superfund Site Denver, Colorado A Superfund Redevelopment Success Denver Radium At a Glance Problem: Contamination of soil resulting from radium processing and other industrial activities. Solution: Excavation of soils, demolition of buildings, and off-site disposal of radioactive materials; construction of a soil cap over metal-contaminated soil; and restrictions on future land and groundwater use. Redevelopment: Partnership formed among EPA, Colorado Department of Public Health and Environment, and Home Depot USA, Inc., resulted in the construction of a 130,000 square foot retail sales facility on the site. A portion of the Denver Radium Superfund site has been cleaned up and returned to productive use with the construction of a Home Depot store. As part of the Superfund program, EPA is entering into partnerships with States, local governments, and private developers to clean up and return hazardous waste sites to beneficial uses for the community. The Denver Radium Superfund site, a former radium processing plant located in Denver, Colorado, demonstrates how EPA's Superfund program has returned the land to economic usability. Once a contaminated property that threatened human health and the environment, a portion of the Denver Radium site has become a major commercial business establishment providing jobs, income, and other short- and long-term economic impacts. This document describes the cleanup and redevelopment of a portion of the Denver Radium Superfund site, and provides estimates of the positive economic impacts and environmental and social benefits that have resulted at and around the site. Site Snapshot The Denver Radium Superfund site consists of many properties located throughout the Denver, Colorado area. This fact sheet addresses just one of the properties located in downtown Denver, south of the central business district. The properties bordering the site are primarily commercial and industrial. The nearest residential property is located several blocks east, and there are over 86,000 households within two miles of the site. The site lies 1,000 feet from the South Platte River within the Platte River Valley. The Denver Radium site is a legacy of our country's early efforts to produce radium domestically. In the early 1900s, the U.S. Bureau of Mines and the National Radium Institute entered into an agreement to develop and operate a radium processing plant in Denver, Colorado. Denver was selected as the location for the plant because of the lof? 8/25/98 12:49PM ------- Denver Radium Superfund Site http://www.epa.gov/superfund/oerr/accomp/redevel/denver.htm abundance of carnotite, a radium-bearing ore found in the Colorado Plateau. By the late 1920's, the plant closed and left the properties contaminated with radioactive soil and debris. As property ownership, industrial activities, and land use changed, radioactive by-products were often left in place, used as fill or foundation materials, or otherwise mishandled. These by-products contained such contaminants as radium-226, arsenic, zinc, and lead. In the 1940s, the Robinson Brick Company (ROBCO) purchased the original plant, which consisted of 17 acres of land. ROBCO used the property as a brick and tile manufacturing facility until the mid-1980s. This portion of the site contained both radioactive and metals contamination. A railroad right-of-way owned by the Denver and Rio Grande Western Railroad was also located on the property. The former ROBCO-owned portion of the Denver Radium site is located near the South Platte River to the south of Denver's commercial business district. Source: U.S. EPA Back to the top Cleanup In September 1983, EPA added the Denver Radium site to the Superfund National Priorities List—the Agency's list of priority hazardous waste sites needing cleanup. After conducting detailed investigations and soliciting community input, EPA, with concurrence from the State, unveiled a plan to clean up the contamination at the site. Beginning in 1988, EPA excavated almost 97,000 tons of radioactive soil and materials, demolished and removed radium-contaminated buildings, and shipped the contaminated materials to an EPA-approved facility equipped to handle radioactive wastes. "White still cleaning up the contamination, well replace a no-man *s land with a thriving business/' - G«/e Norton, Attorney Genera/, State of Colorado Department of Law During the cleanup of the radioactive contamination, EPA uncovered soil that was 2 of 7 8/25/98 12:49 PM ------- Dep.ver.R,adium Superfund Site http://www.epa.gov/superfund/oerr/accomp/redevel/denver.htm contaminated with heavy metals. To address this problem, EPA developed another cleanup plan that included covering the metal-contaminated soil with a protective cap to limit exposure to the contamination and prevent the metals contamination from migrating. This cleanup plan was designed specifically to allow the property to be used for commercial purposes. With the goal of redeveloping the site, Home Depot USA, Inc., approached EPA and the State of Colorado with a plan to purchase the property from ROBCO and assist in the cleanup of the heavy metals contamination. Back to the top Redevelopment In 1995, Home Depot USA, Inc., offered to buy the property from ROBCO in order to build a retail store as part of its home improvement supply business. The company also entered into a partnership with EPA and the State to assist in cleaning up the heavy metals contamination in exchange for a limitation on the company's liability for the contamination at the site. This partnership was formalized in a Prospective Purchaser Agreement, which established the legal conditions by which Home Depot would participate in the cleanup and included a covenant not to sue or take enforcement action against the company by EPA or the State. As partners in the cleanup of the site, EPA was responsible for consolidating the heavy metal contamination on the site, and Home Depot was responsible for constructing and maintaining a protective cap over the contamination. Home Depot also agreed to add restrictions to the land deed that prevent the property from being used for residential purposes and restrict the use of groundwater for drinking water. With the agreement in place, Home Depot constructed the protective cap over the consolidated metals contamination and began redeveloping the property in 1995. The construction of the store, parking lot, outdoor garden and lawn area was completed and Home Depot opened for business by the end of 1996. Back to the top Benefits The partnership among EPA, the State, and Home Depot at the ROBCO portion of the Denver Radium site has had a positive effect on the local community. In particular, the cleanup and redevelopment of the site have resulted in significant economic impacts, as well as environmental and social benefits. A summary of these benefits is provided below. Additional information on the calculations used to estimate the economic impacts is provided in the Technical Appendix to this fact sheet. Economic Impacts 3 of 7 8/25/98 12:49 PM ------- Denver Radium Superfund Site http://www.epa.gov/superfijnd/oerr/accomp/redeveydenver.htm Positive Economic Impacts Redevelopment of the ROBCO portion of the Denver Radium site and the successful construction of the Home Depot retail facility have resulted in numerous positive economic impacts in the form of jobs and associated income and local spending. During the eight years of cleanup activities at the site, an average of 130 jobs were supported each year with an estimated total annual income of $3.2 million. In addition, approximately 15 jobs were supported during redevelopment of the site, resulting in an estimated $480,000 in income. The Home Depot store supports approximately 113 permanent jobs. The total annual income associated with these permanent jobs is estimated to be $1.9 million, which is expected to result in personal spending of almost $1.5 million. The redevelopment of the site into a Home Depot also results in public revenue. For example, the Home Depot store is estimated to generate as much as $ 1.25 million in State sales taxes each ' " year. In addition, the income associated with the permanent jobs will result in approximately $93,000 in State income tax, as well as over $35,000 in State sales taxes resulting from purchases in the local economy made by the employees of the Home Depot store. The cleanup and redevelopment of the site also has positive effects on property values at and around the site. For example, Home Depot purchased the property in 1995 for an estimated $4.4 million; now, the property has been assessed at $6.4 million. In addition, the cleanup has led to an increase of up to $65 million in total residential property values within 2 miles of the site. Back to the top Environmental Benefits An average of over 130 jobs per year supported during eight years of cleanup and an additional 15 jobs during redevelopment $3.2 million in annual income associated with cleanup jobs and $480,000 in income associated with redevelopment jobs. 113 permanent jobs at the Home Depot store. $1.9 million in annual income associated with permanent jobs resulting in almost $1.5 million in personal spending. Over $128,000 in State income and sales taxes associated with spending by permanent employees As much as $1.25 million generated in State sales taxes from purchases at the Home Depot Store. $2 million increase in assessed value of redeveloped property and up to $65 million increase in residential property values within 2 miles of site. In keeping with EPA's mission, the I primary benefit achieved through the j cleanup of the ROBCO property is the j long-term protection of human health and j the natural environment. Radium j presented a possible carcinogenic risk j from contact with radioactive soils. The j demolition and removal of contaminated | buildings discouraged trespassing and j removed the immediate risk of unsafe j buildings. The permanent removal and i proper disposal of the j radium-contaminated buildings and soils j eliminated the long-term risks of direct contact or ingestion by removing the source Environmental Benefits Exposure to high levels of radioactive contamination eliminated. Threat of direct exposure to heavy metals contamination minimized. Migration of heavy metals contamination from the site prevented. Ongoing monitoring of the site to ensure continued protection of human health and the environment. of the contamination. 4 of 7 8/25/98 12:49 PM ------- Denver,Radium Superfund Site http://www.epa.gov/superfund/oerr/accomp/redevel/denver.htm Heavy metal contaminants in the soil, such as arsenic, zinc, and lead, posed a potential threat of health problems associated with the circulatory system. EPA was able able to minimize exposure to metal-contaminated soils by creating a hard, permanent barrier between the soils and workers and future visitors. Home Depot is monitoring the cap to ensure that it is structurally sound and that metals are not migrating off site. EPA is overseeing Home Depot's efforts, thereby ensuring continued protection of site visitors and the surrounding environment. Before Cleanup and Redevelopment A protective cap aw heavy metals contamination was constructed. Owr 97,060 ton* of t edio8«tiw s«H» an materials weft r erne vest An fvtngc of *w 1W job* w*ne supported each year with M estimated torn annual income of $3,2 million during tfi« tight y«tr* of cleanup uversfi thte»t to human and the environ- After Cleanup and Redevelopment State income and property to** «9s«ei*t«S Mof*than |«bs vvith a total ,8 million the Mom« ncrttwd acceii to retail shopping mproved aesfttie paiity to tfte arts. to ft 15m j annually w St»ie sales tax at the Home Depot Back to the top Social Benefits 5 of 7 8/25/98 12-.49PM ------- . R,ad-ium Superfiind Site http://www.epa.gov/superfundyoerr/accomp/redevel/denver.htm Social Benefits Restored the land to a state of economic usability. Increased access to retail shopping. Improved the aesthetic quality of the area. Created an atmosphere conducive to additional redevelopment activity. At the Denver Radium site, the primary social benefit is the transformation of an abandoned, contaminated property into a retail shopping facility. Other social benefits for the Denver Radium site include intangible community-based effects, such as the improvement in the aesthetic quality of the local landscape and an increased sense of civic pride associated with achieving the successful redevelopment of a Superfund site. Redevelopment of the Denver Radium site provides local residents with new shopping opportunities, and serves as a magnet for regional consumers who patronize other commercial establishments in the area. Redevelopment of this former hazardous waste site also may encourage additional redevelopment in the area. Home Depot provides a social benefit to the area by sponsoring local and regional community events and supporting many environmental, youth, and housing charities. Home Depot has received national recognition and numerous awards for providing outstanding examples of effective environmental solutions. Back to the top For Mo re In lor m at i on The Technical Appendix to this fact sheet provides detailed information on the economic impacts associated with this site, including the specific calculations used, sources of information, and possible limitations associated with the calculations. To obtain copies of the Technical Appendix for this fact sheet, or to learn more about economic analyses performed for this site or other Superfund sites, please contact: John Harris, Senior Advisor for Economics, Office of Emergency and Remedial Response U.S. Environmental Protection Agency Mail Code 5204G 401 M Street, SW Washington, DC 20460 (703) 603-9075 iiarris.john(g),eparnail.epa.gov For further information about the cleanup and redevelopment of the Denver Radium site, please contact the site manager: Rebecca J. Thomas, RPM U.S. EPA-Region VIII 999-18th Street, Suite 500 8EPR-SR Denver, CO 80202-2466 (303)312-6552 tliomas.rebeccafajepamail.epa.gov 6 of 7 8/25/98 12:49 PM ------- . Radium SuperfAind Site http://www.epa.gov/superfund/oerr/accomp/redevel/denver.htm Economic impacts presented in this fact sheet represent positive local impacts occurring at and around the site. Available information does not allow a determination of whether or how many of the jobs associated with the cleanup and redevelopment are new. Consequently, the economic impacts presented in this fact sheet are not "net" impacts. Although the redevelopment of the site also may generate other positive impacts throughout the rest of the economy, this analysis does not quantify these indirect effects or estimate any offsetting negative effects or costs. Whenever information specific to the site was available, it was used. However, certain numerical estimates are, of necessity, based on general formulas rather than site-specific information and are, therefore, approximations. Although there may be uncertainty associated with many of these estimates, point estimates are used throughout the fact sheet. The economic impacts reflect the information available at the time of fact sheet development and may change over time. Monetary estimates are expressed in July 1997 dollars. Estimates of jobs associated with cleanup and redevelopment are presented as annualized values, reflecting the average number of jobs per year. Technical Appendix f EPA Home I OSWER Home I Search this Site I Search EPA ] [ What's New I Comments ] 7 of 7 8/25/98 12:49 PM ------- |