United States
                               Protection Agency
                               Washington, D.C.  20460
                          Solid Waste
                          and Emergency
                          Response (5101)
May 2001
Hennepin County,  Minnesota
BCRLF Pilot  Project
Outreach and Special Projects Staff (5105)
                                                   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 is funding: assessment demonstration pilot programs (each funded up to $200,000 over two years, with additional funding
provided forgreenspace), to assess brownfields sites and to test assessment models and facilitate coordinated assessment and
cleanup efforts at the federal, state, tribal, and local levels; and job training pilot programs (each funded up to $200,000 over two
years), to provide training for residents of communities affected by brownfields to facilitate cleanup of brownfields sites and prepare
trainees for future employment in the environmental field; and, brownfields cleanup revolving loan fund (BCRLF) pilot programs (each
funded up to $1,000,000 over five years) to provide financial assistance for the environmental cleanup of brownfields. These pilot
programs are intended to provide EPA, states, tribes, municipalities, and communities with useful information and strategies as they
continue to seek new methods to promote a unified approach to site assessment, environmental cleanup, and redevelopment.

Hennepin County contains one-quarter of Minnesota's
population   (1,050,000)  and  includes  the   city  of
Minneapolis and 44 suburbs. An important part of the river
and rail corridor systems of the upper-midwest, Hennepin
County must  now  contend with  contamination,  or
perceived contamination at many former industrial and
commercial sites. These sites reduce the County's quality
of life  and property tax valuations, and inhibit efforts to
retain and attract commercial and industrial businesses.

In September  1999,  the U.S. EPA  selected Hennepin
County to  receive  a  $500,000  Brownfields  Cleanup
Revolving Loan Fund (BCRLF) Pilot. The BCRLF Pilot
will provide low-interest loans to clean up brownfields
sites in Hennepin County. Eligible borrowers will include
private, for-profit businesses, non-profit businesses and
public entities.

Hennepin County's BCRLF targets sites throughout the
County, with priority consideration given to sites within
Minneapolis' Empowerment Zone, and within  special
designated  districts  such  as  hazardous waste districts,
which are tax increment financing districts.


Hennepin County is the  lead  agency for the  BCRLF
program  and will also  serve as fund manager for the
program. The Program  is administered by the Hennepin
County Department of Environmental Services (DES). All
sites receiving loan funds from the BCRLF are required to
enroll in the Minnesota  Pollution Control Agency's
                        PILOT SNAPSHOT
                                               Date of Loan: December 2000

                                               Amount: $240,000 with escalation
                                                      up to $425,000

                                              Loan Profile: Hennepin County is
                                              making a $240,000 loan to Fire Barn
                                              Associates, LLC for the cleanup of
                                              property located near the intersection
                                              of East Hennepin Ave., and University
                                              Ave., NE, Minneapolis
                         Hennepin County, I

                            Hennepin County
                           BCRLF Coordinator
   Region 5 Brownfields
                                Visit the EPA Region 5 Brownfields web site at:

                         For further information, including specific Pilot contacts, additional
                        Pilot information, brownfields news and events, and publications and
                                 links, visit the EPA Brownfields web site at:
                       (MPCA's) Voluntary Investigation and Cleanup  (VIC)
                       Program. The MPCA also will serve as site manager for
                       the Hennepin County BCRLF.

                       Hennepin County DES is the heart of Hennepin County's
                       brownfields programs. The Contaminated Lands Unit of
                       the Hennepin County DES was created in 1996 and seeks

to strengthen urban communities by returning vacant and
under-utilized  contaminated lands to productive use,
thereby retaining  and creating jobs and reducing urban


Fire Barn Associates, LLC, which is part of a greater real
estate development enterprise known as  HuntGregory,
LLC, is the borrower for this project. Fire Barn Associates,
LLC has teamed with the United  States  Department of
Housing and Urban Development, the Minnesota Pollution
Control Agency, the Minnesota Department of Health, the
Minnesota  Department   of  Trade  and   Economic
Development,  Hennepin  County   DES   and  the
Metropolitan Council to revitalize  the neighborhoods by
cleanup of environmental hazards and by construction of
housing units  and commercial retail and office  space.
Hennepin County is making a $240,000 BCRLF loan to
Fire  Barn Associates, LLC for the cleanup  of property
located near the intersection of East Hennepin Avenue and
University Avenue, NE, Minneapolis. The loan documents
provide for the loan  to increase up to $425,000 should
additional funds be needed to address environmental issues
associated with the cleanup. The site falls within the
Nicollet Island/East Bank neighborhood  and within the
larger University community of Minneapolis. More than
40% of the population in this neighborhood is below the
poverty level.


The properties that comprise Block  40 and Block 41, Saint
Anthony  Falls  Addition  to  Minneapolis   near  the
intersection of East  Hennepin Avenue and  University
Avenue, NE, Minneapolis, include a former car dealership
and  associated  automotive service  and body work
facilities. The car dealership and predecessor dealerships
involved retail  sales, storage of new cars both  inside
buildings and on paved surfaces surrounding the buildings,
automobile service facilities, and body and collision repair
services. The dealership  and associated  service garage
were located on Block 40. The dealership has been vacant
for a number of years.

The  existing building housing  the  "Collision Center"
(body shop) on Block 41 was constructed in 1951. The
auto-body and collision repair services facility  was in
operation  until a few months ago. A small filling station
was  constructed on Block 41 in  1947 and  demolished
between 1983 and 1993.
The surrounding area is characterized by mixed land use.
Surrounding property includes  a variety of industrial,
commercial, and retail facilities, as well as high-density
residential. The  area has been developed for over 150
years,  as the  area around  St.  Anthony  Falls was a
commercial hub during the early development of the City
of Minneapolis.

Site investigations conducted in 1999 and 2000 indicate
that historic activities at the site have resulted in a release
of poly-nuclear  aromatic hydrocarbons (PAHs) to site
soils. Chemical analyses showed PAHs present in the fill
at levels  above  Minnesota  Pollution Control Agency
(MPCA)  human   health  based   screening  criteria.
Contaminated fill was found on both blocks of the site, and
it  is not clear where the contaminated  fill originated,
however, it appears that it would have been placed at the
site sometime between  1940 and  1950.  Contaminants
include PAHs in soil from historic fill that  was used to
raise the grade of Block  41 and PAHs in fill from a
building foundation on Block 40. Petroleum contamination
from a former underground storage tank leaksite (closed by
the Minnesota Pollution Control Agency) and chlorinated
solvents are also  present in the soil and groundwater.


In order to redevelop the site, fill will be excavated to an
average depth of 5 feet on Block 41 and 13 feet on Block
40, amounting to 25,000 tons of contaminated soil. This
contaminated soil will be transported to an off-site disposal
facility. Following cleanup,  Fire Barn will construct a
$30-million redevelopment complex that will include 30
affordable housing units, 48 townhomes, 15,000 square
feet of commercial/retail space and 30,000 square feet of
commercial/office space.


The $240,000 BCRLF loan will return over $30 million in
development and create over 275 full time, permanent

Deborah DeLuca, Hennepin County BCRLF Coordinator
EPA Region 5 Brownfields Coordinator (312) 886-7576

 Use of BCRLF Pilot funds must be in accordance  with
 CERCLA, and all CERCLA restrictions on use of funding
 also apply to BCRLF funds.
Brownfields Cleanup Revolving Loan Fund Pilot
May 2001	
                                    Hennepin County, MN
                                      EPA 500-F-01-002