United States Environmental Protection Agency Washington, D.C. 20460 Solid Waste and Emergency Response (5101) EPA500-F-00-151 May 2000 www.epa.gov/brownfields/ «>EPA Brownfields Cleanup Revolving Loan Fund Pilot Kansas City, MO 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), to assess brownfields sites and to test cleanup and redevelopment models; 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, cleanup revolving loan fund programs (each funded up to $500,000 over five years) to capitalize loan funds to make loans 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. BACKGROUND The Kansas City BCRLF is targeting the Central Industrial District (CID), the Northeast Industrial District (NEID), and Blue Valley. The CID was a national center of rail, livestock, and manufacturing industries from the 1880s through 1951. In recent years, the CID has suffered major business losses due to economic and technological changes and several devastating floods. The Blue Valley and the NEID were once home to manufacturing giants and a diverse set of heavy industries. Plant closures and urban flight in the 1970s and 1980s have brought about significant job loss. The City's Enhanced Enterprise Community (EEC), in particular, is in economic distress. The EEC' s poverty rate is 3 9 percent and the unemployment rate is almost 17 percent. As a coalition with the Unified Government of Wyandotte County and Kansas City, Kansas, the City was designated a Brownfields Assessment Pilot and a Federal Showcase Community. BCRLF OBJECTIVES Kansas City's BCRLF intends to create employment opportunities, expand the tax base, empower the community, and level the playing field between urban PILOT SNAPSHOT Kansas City, Missouri Date of Announcement: May 2000 Amount: $500,000 BCRLF Target Area: Central Industrial District, Northeast Industrial District, and Blue Valley Contacts: Department of Housing and Community Development (504)363-1505 Region 7 BCRLF Coordinator (913)551-7786 Visit the EPA Region 7 Brownfields web site at: www.epa.gov/region07/waste/brown/index.htm 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: http://www.epa.gov/brownfields ------- redevelopment and greenfield opportunities through the provision of short-term, or gap, financing. The City initially intends to explore the possibility of a loan to the Port Authority for the Riverfront Development Project. Other potential sites include the Sunshine Bakery site, Zea Chemical properties, the Union Pacific rail yard, and the General Body Building site. FUND STRUCTURE AND OPERATIONS Kansas City's Department of Housing and Community Development will serve as lead agency and the City's Department of Environmental Management will serve as site manager. The fund manager will be the EDC Loan Corporation, a private, non-profit entity that is legally separate from, but a component of, the City. The maximum loan size will be $250,000 and loan terms will be negotiable, but short terms (two to four years) are desired. LEVERAGING OTHER RESOURCES The City will work to leverage several other resources, including the US Department of Housing and Urban Development Enhanced Enterprise Community tax incentives program; the Missouri Brownfields Redevelopment Program (including remediation tax credits); Chapter 353 tax abatement through the Planned Industrial Expansion Authority; private capital; and the Federal Brownfields Tax Incentive in the Pilot zone and other eligible areas of economic distress. The Economic Development Corporation also has been working with the City to create a tax increment financing district in Riverfront Park and the CID. The City will provide for administrative services, including environmental consulting and oversight services, computer support, GIS assistance, marketing expertise and materials, and community outreach and plan to keep administrative costs of the BCRLF at 9 percent. 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 Kansas City, Missouri May 2000 EPA 500-F-00-151 ------- |