RETURN TO USE INITIATIVE
2010 Demonstration Project
MANY DIVERSIFIED INTERESTS,
INC.
Houston, Texas
THE OPPORTUNITY: The MDI Site is located in
Houston's Fifth Ward, a historically African-American
district that is undergoing a rapid transformation due
to Houston's economic growth and the Fifth Ward's
proximity to downtown. Based on these factors, as
well as the property's large size and central location,
the MDI Site represented a potentially significant
value to developers. A community-based reuse
planning process was initiated with help from a
$100,000 pilot grant to the City of Houston from EPA's
Superfund Redevelopment Initiative (SRI). With input
from a diverse group of local stakeholders, the plan
anticipated mixed residential and light commercial land
uses at the Site, based on the Site's neighborhood
surroundings and the growth of new development
PICTURED: View of the MDI Superfund Site and the Houston
skyline in 2008
BEFORE: Abandoned metal casting foundry and chemical
recycling facility
AFTER: Planned mixed-use residential development
overlooking downtown Houston
THE SITE: The Many Diversified Interests Inc.
(MDI) Superfund Site occupies approximately 36
acres in Houston, Texas. From 1926 until the early
1990s, two metal casting foundries and a chemical
recycling facility were located at the MDI Site. Metal
casting foundries created specialty molded steel parts
that served as the foundation for industrial, railroad and
mining operations across the country. Site operations
and waste materials resulted in soils contaminated
with lead and ground water contaminated with other
metals. MDI filed for bankruptcy in 1992, and EPA
added the MDI Site to the Superfund National Priorities
List (NPL) in January 1999. Remedial actions included
the off-site disposal of abandoned catalyst drums,
asbestos materials, and an underground storage tank;
and the excavation, treatment, and off-site disposal of
contaminated soils. Ground water restrictions were
instituted to prevent exposure to site contaminants,
and monitored natural attenuation for the Site's ground
water is ongoing.
PICTURED: Abandoned foundry molds and debris on MDI Site
BARRIER: Redevelopment of the Site hampered by lack of
responsible party to fund cleanup
SOLUTION: First-ever agreement between EPA and a non-
liable party for the cleanup of a Superfund site
United States
Environmental Protection	Superfund Redevelopment Initiative
1—J § m Agency
kAgency
Updated: June 2010 1

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projects throughout the Fifth Ward. Mothers for Clean Air, a community group that received a Technical
Assistance Grant from the EPA, heightened awareness of the Site and encouraged local engagement
in the planning process.
THE BARRIER: By 2004, it looked like plans for the MDI Site had reached a stalemate - the
fenced-off area had been idle for 13 years, the Site was owned by a bankruptcy trustee, and EPA had
placed a lien on
the Site to recover past costs. Although the U.S. bankruptcy court determined in late 2003 to sell the
Site at auction, without a responsible party to clean up the Site, it was believed EPA would need to
clean up the Site before redevelopment could begin.
THE SOLUTION: During EPA informational sessions with the City of Houston and other
stakeholders, EPA identified a new, innovative solution: a non-liable party could acquire, clean up and
redevelop the Site. This had never been done. EPA Region 6 staff worked with the U.S. Department of
Justice and the Texas Commission on Environmental Quality (TCEQ) to develop draft "Agreed Order
on Consent and Covenant Not to Sue" documents that ultimately served as the framework for the Site's
cleanup and redevelopment. Knowing that the Site would be auctioned and that a buyer was likely, EPA
was able to draft a document to share with potential buyers. The Remedial Investigation and Feasibility
Study, performed by EPA during the Superfund investigation process, extensively documented the
Site's characteristics, condition and contamination. This study provided crucial information for the Site's
potential reuse. A Bona Fide Prospective Purchaser agreement facilitated the acquisition and cleanup
of the Site by a private party. Parties at the MDI Site charted new territory in addressing stigma and
liability issues. A group of stakeholders and EPA came together and created an innovative agreement
that has led to a new future for the Site and addressed the Site's contamination, thereby protecting
human health and the environment.
THE SITE NOW: In March 2005, several months after EPA provided the draft Agreed Order on
Consent and Covenant Not to Sue to the Site's bankruptcy trustee, the 36-acre MDI Site property was
sold at auction to Clinton-Gregg Investments for $7.8 million. In order to address stigma concerns
about the property's Superfund history, the Site owner has requested a partial Site deletion from the
NPL for all of the soils within the fenced boundaries of the Site and part of the underlying ground
water. Cleanup has been completed for the areas proposed to be deleted and they are no longer
contaminated. Construction of the MDI Site's $6.6 million remedy is now complete, and the developer
plans to begin redevelopment after the partial Site deletion has been finalized. EPA has continued
to support redevelopment efforts at the Site and will solicit public comment on the proposed partial
deletion in the near future. All parties anticipate that the Site's cleanup and reuse will benefit future site
residents and the surrounding community. They are hopeful that redevelopment will contribute to the
long-term social, economic, and environmental health and vitality of the Fifth Ward district and the City
of Houston.
FOR MORE INFORMATION, PLEASE CONTACT: Rafael Casanova, Remedial Project
Manager, at (214) 665-7437 or casanova. rafael@epa.gov: or Casey Luckett Snyder, Region 6 Superfund
Redevelopment Coordinator, at (214) 665-7393 or luckett.casev@epa.aov.
United States
Environmental Protection
i Agency
Superfund Redevelopment Initiative
Updated: June 2010 2

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