EPA Issues Draft Guidelines for Fiscal Year 2011 Brownfields Grants

August 8, 2010
Client Alert Newsletter August 2010

On June 22, 2010, the U.S. Environmental Protections Agency ("EPA") published its draft guidelines for 2011 Brownfield grants. The grants, which are authorized under Section 104(k) of the Comprehensive Environmental Response Compensation and Liability Act, provide financial assistance to eligible entities such as states and local governments, redevelopment agencies, and non-profit organizations in some cases, for brownfield revitalization activities. Under the grant programs, three types of brownfield grants are available: (1) assessment grants for inventory, characterization, assessment, planning and community involvement-related activities; (2) Revolving Loan Fund ("RLF") grants that provide capital for a recipient’s revolving fund and allow the recipient to provide loans or subgrants to other eligible entities, property owners or developers for site cleanup activities; and, (3) cleanup grants for cleanup activities at specific brownfield sites.

In general, under the draft guidelines, assessment grants of up to $200,000 may be awarded on a community-wide or site-specific basis for assessment activities related to hazardous substances, pollutants, or contaminants, and up to an additional $200,000 may be awarded for assessment activities related to petroleum contamination (coalition applicants may be awarded up to $1,000,000). RLF grants of up to $1,000,000 per entity and cleanup grants of up to $200,000 per site are also proposed to be available.

It is anticipated that EPA will release the final funding and proposal guidelines by the end of summer 2010, and that grant proposals will be due to EPA in October 2010.