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The Brownfields Program Authorization: Cleanup of Contaminated Sites (CRS Report for Congress)

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Release Date Jan. 27, 2002
Report Number RL30972
Report Type Report
Authors Mark Reisch, Resources, Science, and Industry Division
Source Agency Congressional Research Service
Summary:

The Environmental Protection Agency (EPA) defines brownfields as abandoned, idled, or under-used industrial and commercial facilities where expansion or redevelopment is complicated by real or perceived environmental contamination. The brownfields program was established administratively by EPA under the aegis of the Superfund program; without explicit authority for it in the law, it has been financed by the Superfund appropriation. The program provides financial and technical assistance to help communities restore less seriously contaminated sites that have the potential for economic development. A combination of potential environmental, economic and social benefits gives this program broad support among governments, environmentalists, developers, and communities. The program began in 1993 and has grown to include 398 brownfields assessment grants (most for $200,000 over 2 years); 151 grants of up to $350,000 (up to $1 million beginning in FY2001) to establish revolving loan funds to help finance the actual cleanups; 47 job training grants; and 28 Brownfields Showcase Communities where technical and financial assistance from 20 participating federal agencies is being coordinated with state, local and non-governmental efforts. EPA also addressed some liability and cleanup issues affecting brownfields by changing its hazardous waste site tracking system, and issuing guidance clarifying the situations where it will not bring enforcement actions against brownfield property owners. FY1997 was the first year brownfields became a separate budgetary line item, at $37.7 million. For FY2000 the appropriation was $91.7 million, in FY2001 the appropriation was $91.6 million, and in FY2002 it is $97.7 million The 106th Congress extended the brownfields cleanup tax incentive to December 31, 2003, and expanded it to make all brownfields certified by a state environmental agency eligible for the tax break. The provision allows the costs of redeveloping brownfields to be deducted in the current year rather than being capitalized over a period of years. The administration favors making the provision permanent. Congress passed H.R. 2869 on December 20, 2001, and the President signed it on January 11 ( P.L. 107-118 ). The act provides statutory authority to the brownfields program, authorizes funding at $250 million per year, and protects certain property owners from Superfund liability. Ten other bills have also been introduced. This report provides background on the issue (including state voluntary cleanup programs), surveys the Environmental Protection Agency's current program, and reviews congressional action, including a description of the new law. The report will be updated as events dictate. For additional information on legislative activity, see CRS Issue Brief IB10078, Superfund and Brownfields in the 107th Congress.