Brownfields Cleanup
                         Revolving Loan  Fund
                         Pilot
                         New  Mexico  Environment Department
BACKGROUND

New Mexico is a large state with a relatively small
population (1.8 million) .Almost half of the state' s residents
live in small towns and rural areas. Urban areas in the state
have apoverty rate that is close to the national average, but
many of New Mexico's rural counties have poverty rates
approaching 35%. The state ranks 48* in average per
capita income. Historically, the state's economy depended
heavily on mining, oil and gas production, and agriculture.
High tech industries are now being attracted to urban
areas in the state, largely due to the presence of Sandia and
Los Alamos National Laboratories. However, many small
towns in New Mexico were built around a maj or industrial
facility that subsequently closed, leaving contaminated
property and unemployment.

Rural and small municipal brownfields redevelopment
projects are often overlooked by private developers in
favor of more lucrative projects in larger urban settings.
The New Mexico Environment Department  (NMED)
operates the state's Voluntary Cleanup Program (VCP)
and there are five Brownfields Assessment Demonstration
Pilots in the state. One of these pilots, the City of Deming,
has performed an assessment of its Peru Hill Mill site and
is now considering a BCRLF loan for cleanup. Deming is
typical of the small  communities in the state that are
economically distressed in large part due to the presence
of brownfields. The New Mexico Environment Department
is committed to using Deming as an example of what can
be achieved in a small community when the appropriate
resources are made available.

BCRLF OBJECTIVES

The goal of New Mexico's  BCRLF Pilot is to provide
small municipalities with the necessary capital to cleanup
contaminated properties and encourage appropriate
   PILOT SNAPSHOT
Date of Announcement:
May 2002

Amount: $1,000,000

BCRLF Target Area:
Sites throughout the State of
New Mexico, with emphasis
on small towns and rural areas
     State of New Mexico
   Contacts:

   New Mexico Environment
        Department
       (505)827-2754
 Region 6 Brownfields
    Coordinator
   (214)665-6688
       Visit the E PA Region 6 Brownfields web site at:
    http://www.epa.gov/earth1r6/6sf/bfpages/sfbfhome.htm

      Forfurther information, including specific Pilot contacts,
    additional Pilot information, brownfields news and events, and
    publications and links, visit the EPA Brownfields web site at:
            www.epa.gov/brownfields

redevelopment to benefit the community. Because of its
rural nature, most of the interest in brownfields in the state
is from municipalities. Many brownfields in smaller
communities are reused for parks, community centers, or
recreation. BCRLF funding will provide valuable cleanup
dollars and incentives for private investment in the many
small communities of the state.

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Properties throughout the state will be eligible for BCRLF
loans. Priority will be given to underservedandeconomically
challenged areas in the state. Projects will be selected
based on the public  benefits of potential projects. The
BCRLF Pilot will assist municipalities develop partner ships
with the private sector.

FUND STRUCTURE AND OPERATIONS

The  New Mexico Environment Department  is the
cooperative agreement recipient and will serve as the lead
agency and site manager. The Construction Programs
Bureau of the New Mexico Environment Department will
serve as the fund manager.

LEVERAGING OTHER RESOURCES

Low-interest loans available from the Clean Water State
Revolving Loan Fund are available for brownfields site
cleanups if a site is contributing to water pollution. Other
potential sources of funds include  U.S.  Economic
Development Administration grants, U.S. Department of
Housing and Urban Development Brownfields Economic
Development grants, and U.S. Army Corps of Engineers
in-kind services. BCRLF funds will be used to stimulate
additional private funding for  brownfields cleanup and
redevelopment.
Use of BCRLF Pilot funds must be in accordance with CERCLA, and all
CERCLA restrictions on use of funding also apply to BCRLF funds.
                                                          Solid Waste
                                                          and Emergency
                                                          Response (5101)
EPA 500-F-02-006
May 2002
www.epa.gov/brownfields/

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