In the United States, environmental site ratings are reports prepared for real estate ownership that identify potential or existing environmental contamination obligations. The analysis, often called ESA , usually discusses both the underlying land and the physical improvements to the property. Some contaminated sites are "brownfield sites." In severe cases, brownfield sites can be added to the National Priority List where they will be subject to the US Environmental Protection Agency's Superfund program.
Actual sampling of soil, air, groundwater and/or building materials is not normally performed during Phase I of ESA. Phase I ESA is generally regarded as the first step in the environmental due diligence process. Standards for conducting Phase I location assessments have been enacted by the US EPA and partly based on ASTM in Standards E1527-13.
If a site is deemed to be contaminated, a Phase II environmental location assessment may be performed, ASTM E1903 test, a more detailed investigation involving chemical analysis for hazardous and/or petroleum hydrocarbons.
Video Phase I environmental site assessment
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In the early 1970s special property buyers in the United States undertook research that resembled the current Phase I ESA, to assess the risk of commercial property ownership that has a high level of risk from prior use of toxic chemicals or disposal. Often this research is the preparation to understand the nature of the cleaning costs if the property is being considered for redevelopment or land use change.
In the United States the demand increased dramatically for this type of research in the 1980s after a court decision related to the obligation of the property owner to influence the cleaning of the site. Interpreting the Comprehensive Comprehensive Compensation and Comprehensive Environment Act (1980) (CERCLA), a US court has declared that a buyer, a charterer, or a lender may be held liable for the remediation of hazardous residue, even if the previous owner caused contamination; Environmental Site Assessment Performance Phase I, according to court reasoning, creates a safe harbor, known as the 'Innocenter Land Owners' Defense'.
In 1998 the need to conduct Phase I of the ESA was underlined by congressional action in passing the Superfund Cleaning Act Act of 1998. This action requires commercial property buyers to conduct Phase I studies that meet the specific standards of ASTM E1527: Standards for Environmental Assessment Site Assessment: Phase I Environmental Site Rating Process.
The latest standard is "Standards and Practices for All Right Questions" 40 of the Federal Code of Regulations, Section 312 drawn from ASTM E1527-13, which is an ASTM Standard for 'All Right Questions' (AAI) for environmental assessment of real property. Previous guidance on the ASTM E1527 standard is ASTM E1527-97, ASTM E1527-00, and ASTM E1527-05.
Residential property buyers only need to conduct location inspection and title chain surveys.
Maps Phase I environmental site assessment
Triggering actions
The various reasons for the Phase I study that will be conducted exist, the most common being:
- Purchase of real property by someone or entity not previously in the title.
- Contemplation by new lenders to lend on the subject of real estate.
- Purchase partnership or major redistribution of ownership.
- Applications to public agencies for changes in use or other discretionary land use permits.
- The desire of existing property owners to understand the toxic history of the property.
- Coercion by regulatory bodies that suspect toxic conditions on the site.
- Divestment property
Coverage
Soil inspections include examination of potential soil contamination, groundwater quality, surface water quality and sometimes problems associated with harvesting of harmful substances by the biota. Site inspection may include: the definition of chemical residue in the structure; identification of possible asbestos containing building materials; inventory of hazardous materials stored or used on site; assessment of mold and mildew; and evaluation of other indoor air quality parameters.
Depending on the protocol used, there are a number of variations within the scope of the Phase I study. The tasks listed here are common to almost all Phase I ESA:
- Performance on-site visits to view current conditions (chemical spillage remaining, die-growing vegetation, etc.); use of hazardous substances or petroleum products (presence of above ground storage or underground storage, acid storage, etc.); and evaluate the possible history of sites that are harmful to the environment.
- Evaluate the risk of neighboring properties over the subject property
- Reviews Federal, State, Local, and Tribal Notes for the distances determined by ASTM 1528 and AAI Standards (ranging from 1 to 1 miles depending on the database)
- Interviews about people who are knowledgeable about the history of the property (previous owners, current owners, managers of major sites, current tenants, neighbors).
- Check city or district planning files to check prior use and prior land permits
- Perform file searches with public institutions (State Board, firefighters, local health departments, etc.) that have relative oversight of water quality and soil contamination issues.
- Check the historic air photos nearby.
- Check the current USGS map for researching drainage and topographic patterns.
- Check the chains-titles for Liens Environment and/or Activities and Restrictions on Land Use (AULs).
In many cases, public file searches, historical research, and chain-of-title checks are outsourced to information services that specialize in such activities. Non-Scope Items in the Environmental Site Rating I Phase may include visual inspection or review note search for:
- Asbestos Containing Building Materials (ACBM)
- Lead-Based Cat
- Lead in Drinking Water
- Clock
- Radon
- Wetlands
- Endangered and Endangered Species
- Mercury poisoning
- Debris stream
- Earthquake Hazard
- Steam intrusion
Preparers
Often a multi-disciplinary approach is taken in compiling all components of the Phase I study, as skills in chemistry, atmospheric physics, geology, microbiology and even botany are often required. Many of its constituents are environmental scientists who have been trained to integrate these various disciplines. Many countries have professional registration applicable to the ESA Stage I compilers; for example, the state of California has a registry entitled "California Registered Environmental Assessor Class I or Class II" until July 2012, when removing this REA certification program due to budget cuts.
Under ASTM E 1527-13 the parameters are set for who is eligible to conduct Phase I of ESA. An Environmental Professional is someone with
- license or registration of a Professional Professional Engineer or Professional Geologist from a US country or region with an equivalent 3-year full-time experience;
- have a bachelor's degree or higher from an accredited institution of higher education in engineering or science disciplines and 5 years of equivalent full-time experience; or
- has an equivalent 10 year full-time experience.
An individual who fails to meet one or more of these qualifications may assist in the implementation of ESI Phase I if the individual is under the supervision or responsibility of a person who meets the definition of the Environmental Professional when terminating the activity.
Most location assessments are conducted by private companies independent of landlord or prospective buyers.
Example
While there are many sites that have been analyzed to date in the United States, the following list will serve as an example of the subject matter:
- Auke Bay Post A.S., Juneau, Alaska
- Esso Canada Ltd. Former Bulk Fuels Facility, Owen Sound, Ontario, Canada
- Dakin Building, Brisbane, California
- East Elk Grove Special Plan, Elk Grove, California
- Mariners Marsh Park, Staten Island, New York
- Richmond State Garden State Park, Indiana County, Indiana
- Sydney Steel Plantation, Sydney, Nova Scotia
- Weyerhauser Technology Center, Federal Way, Washington
International context
In Japan, with the issuance of the Soil Contamination Control Act 2003 , there is a strong movement to conduct Phase I studies more regularly. At least one jurisdiction in Canada (Ontario) now requires a Phase I settlement prior to the transfer of some kind of industrial property. Several parts of Europe began conducting Phase I studies on selected properties in the 1990s, but still received less comprehensive attention given to almost all major real estate transactions in the US.
In the UK contaminated land rules are outlined in the Environmental Act of 1995. The UK and Wales Environment Agency has produced a set of guides; CLEA is a standard approach to the assessment of soil contamination. Phase 1 Desktop studies are often required to support planning applications. In the UK, this report should be collected by "competent people".
Other environmental site rating types
There are several other types of reports that have similarities in the name or level of detail for Environmental Stage Location Assessment Phase I:
Phase II Environmental Assessment is an "intrusive" investigation that collects the original sample of soil, ground water or building materials to analyze the quantitative values ​​of various contaminants. This investigation is usually done when Phase I ESA determines the possibility of site contamination. The materials most frequently tested are petroleum hydrocarbons, heavy metals, pesticides, solvents, asbestos and fungi.
Phase III Environmental Site Rating is an investigation that involves site improvements. The third phase investigation aims to describe the physical level of contamination based on the recommendations made in the Phase II assessment. Phase III investigations may involve intensive testing, sampling, and monitoring, "fate and transport" studies and other modeling, and design feasibility studies for remediation and improvement plans. This study usually involves the assessment of alternative cleaning methods, costs and logistics. Related reports report the steps taken to perform site cleaning and follow-up monitoring for residual contaminants.
Environmental Location Assessment I Limited Phase is a truncated ESA Phase I, typically removing one or more working segments such as site visits or specific file searches. When field visit components are removed, this study is sometimes called Transaction Screen .
Environmental Assessment has nothing to do with hazardous substances, but rather a preliminary study of the Environmental Impact Statement, which identifies the environmental impacts of land development measures and analyzes a range of parameters including biodiversity, environmental noise, water pollution , air pollution, traffic, geotechnical risks, visual impact, public safety issues and also hazardous substances.
Assessment of the SBA Phase I Environment Location means all properties purchased through the Fixed Assets Financing Program 504 The Small Business Administration of the United States requires specific and often more specific due diligence requirements high than normal Real Estate deals. The due diligence requirement is determined in accordance with the NAICS code associated with the previous business use of the property. There are 58 specific NAICS codes that require a Phase I Investigation. These include, but are not limited to: Funeral Homes, Dry Cleaners, and Gas Stations. The SBA also requires a Phase II Environmental Site Assessment to be conducted at any gas station that has been operating for more than 5 years. The additional costs for conducting this assessment can not be included in the amount requested in the loan and add significant costs to the borrower.
Freddie Mac/Fannie Mae Phase I Environmental Site Rating [1] are two special Phase I ESase types that are required when loans are financed through Freddie Mac or Fannie Mae. The scope of work is based on ASTM Standard E1527-05 but has special requirements including the following: percentage and scope of property inspection; requirements for radon testing; asbestos and lead-based testing and operation (O & M) will manage the existing hazards; lead in drinking water; and mushroom inspection. For condominiums, Fannie Mae requires Phase I of ESA when any initial underwriting analysis indicates an environmental problem.
The HUD Phase I Environmental Assessment The US Department of Housing and Urban Development also requires Phase I of ESA for each condominium under construction that wishes to offer FHA loans insured to potential buyers.
See also
- Environmental remediation
- Environmental scientist
- Dangerous Materials Manager
- The Institute of Environmental Management and Assessment
References
Source of the article : Wikipedia
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