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I want to thank Jack Davis and Cindy Westerman for
extending me the opportunity to speak to the local Sierra Club. Having
been part of the leadership team of a major national environmental group
in Washington, D.C. for 12-1/2 years, I know how much of an impact
grassroots organizations can have on public policy.
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Here’s the commonly used definition of a
brownfield. It refers to an industrial or commercial facility that is
abandoned or under-used, where real or perceived contamination
complicates the ability to expand or redevelop the property. Also
implicit in the term is the potential for urban revitalization.
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This Risk-Benefit matrix illustrates the factors
that control real-world decisions to redevelop or bypass a Brownfield
site. The higher the return on investment (ROI) and the lower the
liability risk, the more viable the prospects for redevelopment. For
example, the sites in the lower right-hand quadrant, which are
high-risk, low-return, are viewed as the least viable and, are,
therefore, the least likely to be cleaned up in a voluntary cleanup
program. Yet, these are the ones from a human health perspective that
are often most in need of cleanup. Between the two extremes are
numerous “threshold” sites that can be pushed either way. They can be
pushed into the viable category through a combination of enhanced
financial incentives and/or relaxed regulatory disincentives.
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EPA and State environmental agencies generally have
overlapping, but distinct Brownfields-related goals. EPA wants to
concentrate on high-hazard, Superfund-caliber sites. It wants to
encourage voluntary cleanups of even high-hazard sites before they get
to the point of formal listing on the NPL. And, it wants to boost the
redevelopment of previously used sites especially in economically
disadvantaged urban areas. States generally also want to encourage
voluntary cleanups—because this helps minimize State costs. They
generally want to limit sprawl and encourage recycling of urban land.
And, they want to convert underused land to jobs and tax base. In New
York, the usual rules don’t apply. Here, the strength of the
environmental lobby is such that the primary goal of the State’s
brownfields program has been to clean such sites to predisposal
conditions.
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From the standpoint of the local community,
brownfield-related concerns and objectives include cleaning contaminated
sites, redeveloping underutilized properties, creating new jobs and tax
base, discouraging pollution, avoiding “brown-lining,” and encouraging
banks to invest in the local community.
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Among the most important philosophical
underpinnings of a successful brownfields program, which are reflected
both in the federal program and in the programs of almost every state
but New York are the need for: certainty and predictability in cleanup
standards and objectives; use-based or risk-based cleanup standards; an
accelerated cleanup process; a revitalization rather than a remediation
or enforcement focus; a flexible, user-friendly approach, rather than a
rigid, one-size-fits-all, punitive program; shared public and private
sector enthusiasm for the program; and an enlightened community
participation program, which balances the public’s right to know against
the need for a streamlined decision-making process.
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The Angelou Economics Strategic Economic
Development Plan—more commonly known as the “BC Plan” for Greater
Binghamton—recommended: a focus on land-use corridors, particularly
“gateways” into the community; strategic redevelopment of brownfield
sites; expanding infrastructure to underutilized sites; and transforming
the central business districts of Binghamton, Johnson City, and
Endicott.
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DEC has been in the unenviable position of running
a voluntary cleanup program since 1994 without the benefit of specific
legislative authority or authorization. That has made it a focus of
heavy criticism from both the business community and environmental
groups. It may be one reason that DEC relies so heavily on standards
and procedures established for state Superfund sites in administering
the voluntary cleanup program at low-risk brownfield sites.
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This slide shows that DEC Region 7, which includes
the Southern Tier and parts of Central New York, falls in the middle of
the 9 DEC regions with 108 state Superfund sites. The largest number of
State Superfund sites can be found in DEC region 9 (Buffalo), but the
most toxic sites are in region 1 (Long Island). This slide also shows
that region 7 has the highest number of brownfield sites in all of
Upstate New York—coming in a close third to New York City and the
Mid-Hudson Valley on a statewide basis. Also, on a per capita basis,
the Southern Tier has the highest concentration of brownfield
sites—second only to the North Country/Mohawk Valley region.
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There is no official “inventory” of brownfield
sites in Broome County. However, the Brownfields Subcommittee, which I
chair, within the County’s Environmental Management Council, in
conjunction with the Department of Planning & Economic Development, has
developed a database of brownfield sites with currently includes upwards
of 81 sites. More than 1/3rd of these sites are in the Town of Union—if
you include the villages of Endicott and Johnson City. Another 22% of
the sites are in the City of Binghamton. The remaining sites are
distributed among all of Broome County’s local jurisdictions—so that,
with one exception, every locality has at least one brownfield site.
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The BFSC has pulled a diverse group of people from
the community, including a number of “guest experts,” together to
systematically address the brownfields issue in Greater Binghamton.
Despite some constraints associated with being under the EMC umbrella,
the BFSC has been a focal point for brownfields-related initiatives in
Broome County. We’ve inventoried sites, assembled information about
them in a database, developed methodologies for evaluating and ranking
the sites, and prodded the County to seek and obtain a federal
brownfields “pilot program” grant which we are helping the County to
administer. For example, in connection with the EPA grant, we assisted
the EMC director in developing a Community Public Participation Plan.
As part of that, we will be hosting a community public participation
meeting at the Broome County library on June 25th in the
evening, at a time to be announced. I hope many of you will be able to
make it to that meeting. Let me hasten to add that, I am conveying this
information as a private citizen and not officially on behalf of the EMC
or the brownfields subcommittee.
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The Brownfield pilot program grant is run by a
Brownfields Coordinator, who is the County’s Chief Planner, Frank
Evangelisti. The effort is overseen and assisted by a management team,
which includes the County Planning Commissioner, the EMC director, two
County Health Department representatives, and the Chair of the BFSC.
The County is in the process of identifying candidate sites for
assessment under the grant and has solicited qualifications from
environmental consulting firms interested in performing this work.
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The term “brownfield” is somewhat subjective
because it relates in large part to a third-party’s perceptions of
contamination and risks. The term covers a broad spectrum of sites,
ranging from quite clean to highly contaminated, with widely different
exposure risks and cleanup liabilities. New EPA and state brownfield
policies often apply differently to different types of brownfield sites.
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As mentioned earlier, the term Brownfield can cover
a broad spectrum of sites, ranging from low-risk sites that have never
crossed EPA’s or DEC’s radar screens, to full-fledged Superfund National
Priorities List sites—which are generally not eligible for coverage
under a state’s voluntary cleanup program. In between, are so-called
“NRAP” or “archived” sites, which EPA has characterized, but feels do
not warrant further remedial action (NFRAP stands for “No Further
Remedial Action Planned”); non-NPL sites on the CERCLIS tracking system;
State Superfund sites; and hazardous waste generator, treatment,
storage, or disposal sites.
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Up-to-date information on various categories of
contaminated sites in Broome County, or in other parts of the state, can
be accessed on the internet through the EPA and DEC websites. For
example, on this slide, I have tabulated information on the County’s 4
active Federal Superfund sites; 3 sites that have been deleted from the
Superfund National Priorities List; and another 2 sites for which
construction of the Superfund remedy has been completed, which will
probably be delisted from the NPL in the near future. There are also 11
sites on the CERCLIS inventory and 17 NFRAP sites that have been taken
off the inventory and archived.
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The next slide lists the 11 Broome County projects
that have been addressed under DEC’s voluntary cleanup program; and the
sole Broome County project currently being addressed under the municipal
brownfields program.
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As noted in my Legislative Gazette article, there
are dramatic economic benefits that can flow from a system that promotes
the revitalization of brownfield sites. These benefits include:
- $10 to $100 in economic benefits for every $1
spent by the State.
- $2.48 in leveraged private investment for every
$1 of federal spending
- An average of 4.5 acres of preserved open space
for every one acre redeveloped.
- And enhanced value of nearby commercial and
industrial properties—ranging from a 4% increase for industrial
properties to a 62% increase for hotel sites.
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States like Pennsylvania play an active role in
marketing and promoting the resale of Brownfield sites. The
Pennsylvania Site Finder program works like a multiple listing service
for Brownfield sites. Brownfield Inventory Grants (BIGs) are given by
the State to municipalities and economic development agencies to
inventory their Brownfield properties and post those available for
redevelopment on the PA Site Finder website. Grantees receive $1,000
for each site posted, up to a maximum of $50,000.
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In 1996, the National Sierra Club issued
Brownfields Guidance, which still appears on its website and still seems
to influence its policies and positions—although subsequent experience
has shown that many of the concerns raised have not materialized. For
example, the Guidance expresses the fear that if the same health-based
standards are not applied to all contaminated sites, or if some
degradation is allowed at certain sites, the incentive to prevent
pollution will be undermined. The flaw in this argument is that
innocent investors and redevelopers who had nothing to do with causing
the pollution at a brownfield site cannot be treated the same as
responsible polluters. For two reasons: first, it would not be fair;
and, second, it would deter people from coming forward to acquire or
redevelop brownfield sites. If those who contaminated the site can be
found, they should be forced to do the fullest cleanup allowed by law.
The Guidance also argues that, if incentives are needed to attract
cleanup volunteers, the incentives should be financial, rather than
lowering cleanup standards. The problem with that logic is that fear of
open-ended legal liability is often a more pressing concern than simple
dollars and cents—especially in Upstate New York where real estate
values are much lower than Downstate.
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The Guidance argues that risk assessment can’t
prove that a cleanup method is safe enough. It is true that nothing can
be proven with absolute certainty. But zero risk is unattainable, and
if you place too many safety margins on brownfield cleanup standards,
you will quickly make those cleanups unaffordable. Right now the
problem is not standards that are too lenient, but standards and
procedures that are far too stringent and open-ended for low-risk sites,
and legislative proposals that will make a bad situation even worse.
Should site use-restrictions be attached to the deed where less than
full residential cleanups are done? Sure. Should limits be placed on
the ability of responsible parties, or sites with newly generated
pollution, to participate in the voluntary cleanup program?
Absolutely. But do we want to force every brownfield site, no matter
how it will be used, to be cleaned up to Garden of Eden levels of
pristineness? Absolutely not. Neither the government nor the private
sector could afford the staggering price tags involved.
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There are 3 main Brownfield bills currently under
discussion in Albany. The Marcellino bill (S.2935) has already passed
the Senate. The DiNapoli bill (A.7507), which is on a fast-track for
approval in the Assembly. And, the Schimminger/Alesi bill
(A.7512/S.4996), which has been side-stepped in the Assembly but could
be resurrected in the Senate.
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The Marcellino bill is not much of an improvement
on the status quo. It includes Superfund-like cleanup provisions and
relies heavily on site-by-site DEC decisionmaking.
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The DiNapoli bill out-Superfunds Superfund. While
the cleanup goal currently under State Superfund is restoration to
pre-disposal conditions to the extent feasible and authorized by law,
the cleanup goal of the DiNapoli bill is to “achieve a complete and
permanent cleanup” of brownfield sites sufficient to allow any site use
without restriction, including restoration of all non-saline groundwater
to drinking water standards. Not only does the DiNapoli bill subject
cleanup volunteers to an unrealistic cleanup goal, and vague and onerous
cleanup standards, but it creates strong disincentives for innocent
current owners of brownfield sites to ever consider selling the property
to a potential cleanup volunteer.
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The Schimminger/Alesi bill mandates source removal
and ensures protection of public health and the environment, while
providing for clear cleanup standards. This is the only bill of the
three before the Legislature that has any chance of improving the
existing DEC administrative program.
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This is a somewhat whimsical flow-diagram of how
Brownfields decisions are made. Unfortunately, New York’s program makes
even this satirical representation look good by comparison. Hopefully,
that will change if meaningful Brownfields legislation makes it through
the state legislature this year. I’ll let you work your way through the
flow diagram at your leisure….
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One thing that I believe is necessary to make New
York’s brownfields program effective is a change in mindset (attitude
overhaul?) by DEC. In other states, the environmental agency and the
business community are enthusiastic about working together to revitalize
brownfield sites. There is none of that in New York State. Recognizing
that this is not likely to change as long as DEC continues to treat the
brownfields program as an offshoot of the Superfund remediation program,
both the Schimminger bill and the Marcellino bill would move certain
brownfields functions to a separate office or separate entities. The
Schimminger bill would move the whole program to a new office of “smart
development and brownfield revitalization.” The Marcellino bill would
create two outside entities to help steer the program: a 14-member
Brownfields Advisory Board and a 7-member State Brownfield Redevelopment
Council. The DiNapoli bill, unfortunately, would leave things as they
are. This slide illustrates the very different and much more positive
attitudes that pervade other states’ programs. In Maryland, the
Maryland Department of the Environment—MDE, to promote brownfields
redevelopment, put out foam insulators imprinted as shown on the slide.
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They also gave out pens with a message of
encouraging brownfields redevelopment.
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If we looked for a slogan that matched New York
State DEC’s attitude to go with its acronym, what would we come up
with?....
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Here are some suggestions from colleagues at the
EMC as well as in the business community
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One of the speakers at the Clinton Brownfields
conference made the telling comment that New York State remains
impervious to how other states do things—even to how every other
state does things—because key state officials and leaders have an
“Empire State” mindset that makes them think we are different and better
than everyone else, so that we have to do things our own way. In the
Brownfields arena, different is not better. And the sooner we recognize
that, the better off we’ll all be. Thank you.
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