Brownfields Economic Redevelopment Initiative http://www.epa.gov/swerosps/bf/html-doc/econinit.htm
United States Solid Waste EPA500-F-97-158
Environmental and Emergency September 1997
Protection Agency Response (5101)
Washington, D.C. 20460
Brownfields Economic Redevelopment
Initiative
Outreach and Special Proj ects Staff (5101) Quick Reference Fact Sheet
EPA's Brownfields Economic Redevelopment Initiative is designed to empower States,
communities, and other stakeholders in economic redevelopment to work together in a timely manner
to prevent, assess, safely clean up, and sustainably reuse brownfields. A brownfield is a site, or
portion thereof, that has actual or perceived contamination and an active potential for redevelopment
or reuse. EPA's Brownfields Initiative strategies include funding pilot programs and other research
efforts, clarifying liability issues, entering into partnerships, conducting outreach activities,
developing job training programs, and addressing environmental justice concerns.
Many areas across the country that were once used for industrial and commercial purposes have been
abandoned—some are contaminated. Because lenders, investors, and developers fear that involvement
with these sites may make them liable for cleaning up contamination they did not create, they are more
attracted to developing sites in pristine areas, called "greenfields." The result can be blighted areas rife
with abandoned industrial facilities that create safety and health risks for residents, drive up
unemployment, and foster a sense of hopelessness. These areas are called "brownfields."
OBJECTIVE
EPA's Brownfields Economic Redevelopment Initiative is designed to empower States, cities, Tribes,
communities, and other stakeholders in economic redevelopment to work together in a timely manner to
prevent, assess, safely clean up, and sustainably reuse brownfields.
ACTIVITIES
EPA's Brownfields Initiative identifies and addresses barriers to cleanup and redevelopment. It
recommends swift, aggressive measures for change within the context of the existing Superfund law.
Four broad and overlapping activities, discussed below, serve as the cornerstones of EPA's Brownfields
Initiative.
Brownfields Assessment Demonstration Pilots—To date, EPA has awarded 115 Brownfields
Assessment Demonstration Pilots that are funded through cooperative agreements of up to $200,000
each for a two-year period. Of the 115 Pilots, 64 of these are National Pilots selected and funded through
EPA Headquarters. The remaining 51 are Regional Pilots selected and funded through the ten EPA
Regions. The pilots are exploring innovative approaches to solving brownfields problems and providing
a growing knowledge base to help direct the Brownfields Initiative. In February 1996, EPA hosted the
Brownfields Pilots National Workshop to explore the successes, issues, and next steps for the
Brownfields Initiative.
Clarification of Liability Issues—EPA has issued numerous guidance to address the liability concerns
of lending institutions, municipalities, property owners, developers, prospective purchasers, and others.
For example, EPA's policy explaining the Asset Conservation, Lender Liability, and Deposit Insurance
Protection Act of 1996 clearly outlines the circumstances under which lenders and government entities
are protected against enforcement actions by the U.S. government and third party contribution claims for
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Brownfields Economic Redevelopment Initiative http://www.epa.gov/swerosps/bf/html-doc/econinit.htm
CERCLA liability. Most recently, EPA has issued draft guidance designed to assist EPA regional offices
in negotiating agreements with State environmental agencies to specify State and EPA roles and
responsibilities for the cleanup of sites generally not addressed under the Federal Superfund Program,
but that might be addressed under State Voluntary Cleanup Programs. In addition, EPA has archived
approximately 30,000 sites from the Superfund site inventory (CERCLIS) indicating that there is no
further Federal Superfund interest, thereby removing the stigma of potential contamination and liability
associated with these sites.
Partnerships and Outreach—EPA is building partnerships with Federal agencies, States, cities, and
other organizations to assure a coordinated approach to addressing brownfields. In July 1996, the
Interagency Working Group on Brownfields was established as a forum for Federal agencies to
exchange information on brownfields-related activities and to establish a national coordinated strategy
for addressing brownfields. More than twenty Federal departments and agencies are participating in the
Brownfields National Partnership Action Agenda.
Workforce Development—EPA is working with community colleges and others to foster workforce
development in brownfields communities through environmental education, recruitment of students
from disadvantaged communities, and quality worker training.
OTHER MILESTONES
Brownfields Tax Incentive—On August 5, 1997, President Clinton signed the Taxpayer Relief Act (PL
105-34/HR 2014), which included a new tax incentive to spur the cleanup and redevelopment of
brownfields in distressed urban and rural areas. Under the tax incentive, environmental cleanup costs for
properties in targeted areas are fully deductible in the year in which they are incurred, rather than having
to be capitalized. The tax incentive will help bring thousands of abandoned and under-used industrial
sites back into productive use, providing the foundation for neighborhood revitalization, job creation,
and the restoration of hope in our nation's cities and distressed rural areas.
National Partnership Action Agenda—The Clinton Administration has launched a landmark effort to
improve communities by building partnerships between public and private organizations to link
environmental protection with economic development and community revitalization. The Brownfields
National Partnership Action Agenda includes more than 100 commitments from more than 25
organizations, including more than 15 Federal agencies. These commitments represent a $300 million
investment in brownfields communities by the Federal government and an additional $165 million in
loan guarantees.
Brownfields Cleanup Revolving Loan Fund Pilots—EPA's Brownfields Cleanup Revolving Loan
Fund (BCRLF) Demonstration Pilot program is designed to enable eligible States, cities, towns,
counties, U.S. Territories, and Tribes to capitalize revolving loan funds to safely clean up and
sustainably reuse brownfields. Pilots will be funded from $50,000 up to $350,000 by EPA Headquarters.
The BCRLF Pilots will lend money to parties that have not contributed to contamination at the site(s)
subject to the loan and will be used for cleanup and redevelopment activities. Only the 29 entities that
were awarded National or Regional Brownfields Assessment Demonstration Pilots by September 30,
1995 will be eligible to apply for fiscal year 1997 BCRLF Pilots.
Brownfields Showcase Communities—A partnership of Federal agencies with interests in brownfields
redevelopment has been formed that will offer technical, financial, and other assistance to selected
communities. These communities will be called Brownfields Showcase Communities and will serve as
models demonstrating the benefits of collaborative activity on brownfields. The Federal partners plan to
designate ten Brownfields Showcase Communities, distributed across the country, varying by size,
resources, and community character.
Presidential Initiative—In August 1996, the President called for renewed support for State and local
efforts to revitalize brownfields, including the expansion of grants to communities for site assessments
and redevelopment planning, and support for revolving loans to finance brownfields cleanup efforts at
the local level. The President also proposed additional support for State Voluntary Cleanup Programs
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and workforce development and training. The proposal would require Federal legislation. An additional
$200 million in EPA funds for brownfields over four years would be provided, as follows:
$150 million for EPA for cooperative agreements for site assessment and capitalization of
revolving loan funds for cleanup. It would expand the brownfields program to approximately 300
cities;
$30 million for funding State voluntary cleanup infrastructure; and
$20 million for brownfields-related job training ($8 million of this is non-Superfund general
appropriations).
This tax incentive proposal for brownfields also calls for an expansion of HUD's Economic
Development Initiative (EDI) grants and use of HUD Section 108 loan guarantees to leverage
brownfields redevelopment funds.
CONTACT
Katherine Dawes
U.S. EPA - OSWER
(202) 260-8394
dawes.katherine@epamail.epa.gov
For additional information on EPA's Brownfields Economic Redevelopment Initiative, contact the
RCRA/Superfund Hotline at (800) 424-9346 or visit our web site at:
http://www.epa.gov/brownfields
Brownfields Fact Sheet Brownfields Economic Redevelopment Initiative
September 1997 EPA 500-F-97-158
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