Brownfields Enhancement, Economic Redevelopment, and Reauthorization Act - H.R.3017

What is a Brownfield?

A brownfield is a property, the expansion, redevelopment, or reuse of which may be complicated by the presence or potential presence of a hazardous substance, pollutant, or contaminant. It is estimated that there are more than 450,000 brownfields in the U.S. Cleaning up and reinvesting in these properties increases local tax bases, facilitates job growth, utilizes existing infrastructure, takes development pressures off of undeveloped, open land, and both improves and protects the environment.

Summary

H.R. 1207 reauthorizes the Environmental Protection Agency’s (EPA) Brownfields Program and makes several improvements to existing law. Specifically, the legislation:

• Clarifies the liability of states and local units of government that take title to property voluntarily
• Clarifies when a site contaminated by petroleum may be considered a brownfield site and when a leaseholder qualifies for liability protection
• Expands eligibility for nonprofit organizations and for eligible entities that took title to a brownfield site before January 11, 2001
• Increases the limit for remediation grants under the Brownfields Program, establishes multipurpose grants, and allows recovery of limited administrative costs
• Adds facilitation of the production of renewable energy to the list of criteria for the grant program
• Allows the EPA to provide additional funds for small, rural, and disadvantaged communities
• Authorizes $250 million annually over the 2018-2022 period

Background

A brownfield is defined as “a property, the expansion, redevelopment, or reuse of which may be complicated by the presence or potential presence of a hazardous substance, pollutant, or contaminant.” The EPA estimates that there are more than 450,000 brownfields in the United States.

Traditionally, brownfields are abandoned, closed, or under-utilized industrial or commercial facilities that show evidence of contamination and according to regulation require remediation. Development of such sites is expensive and time-consuming and can be difficult to secure financing for due to liability.

In 2002, the Small Business Liability Relief and Brownfields Revitalization Act provided EPA with the means to work with the public and private sectors to promote brownfields cleanup and reuse.  The law authorized funds to assess and cleanup brownfields and authorized funds for state and tribal response programs. The EPA Brownfields Program provides grants to fund environmental assessment, cleanup, and job-training activities. The authorization expired in 2006.

Cost

The Congressional Budget Office (CBO) estimates enacting H.R. 3017 would cost $888 million over the 2018-2022 period, assuming appropriation of the authorized amounts.  Any leftover funds would be distributed after 2022.

Democratic Whip Steny Hoyer:

This bipartisan bill reauthorizes the Environmental Protection Agency’s (EPA) Brownfields program at $250 million annually through FY 2022.  The Brownfields programs is essential in that it funds the development of abandoned, closed, or under-utilized industrial or commercial facilities that are contaminated.  Redeveloped or revitalizing properties that may be contaminated are often more costly and have a greater liability associated with them so they often go undeveloped. Leaving these properties vacant and unused negatively impacts real estate values and slows local economic development. 

The Brownfields Program expired in 2006 and it is essential that this program be reauthorized. H.R. 3017 is an important piece of legislation that will help to create jobs and supports our nation’s local economies.