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Environment
Newsletter - Fourth Quarter 2003
 
In this Issue...
Florida Expands Risk-Based Corrective Action
 
October 24, 2003
 

On June 20, 2003, Governor Jeb Bush approved House Bill 1123 (hereinafter the Act), which extends risk-based corrective action principles to all contaminated sites resulting from a discharge of pollutants or hazardous substances.  This important legislation provides the Department of Environmental Protection (DEP) greater flexibility to clean up and restore Florida’s natural resources.  Prior to the passage of this bill, only petroleum-contaminated sites, brownfields sites in designated brownfields areas, and dry-cleaning solvent contaminated sites (often referred to as “program sites”) applied risk-based corrective action (RBCA) principles.  This legislation, which allows for clean up of contaminated sites based upon environmental and health risks, is often referred to as “Global Rebecca.”  It provides a common-sense, cost-effective, and flexible approach to waste site clean up, while at the same time ensuring a high level of public protection.  The new law uses a one-in-one-million cancer risk level for cleaning up all contaminated sites.

The Act states that prior to July 1, 2004, the Secretary of the DEP shall adopt cost-effective rules that tailor site rehabilitation tasks to site-specific conditions and risks.  Section 2(f) of the Act requires that DEP take into consideration individual site characteristics, including: the current and projected use of the affected groundwater and surface water in the vicinity of the site; current and projected land uses of the area affected by the contamination; the exposed population; the degree and extent of contamination; the rate of contaminant migration; the apparent or potential rate of contaminant degradation through natural attenuation processes; the location of the plume; and the potential for further migration in relation to site property boundaries.

Section 2 further requires that the rules include protocols for the use of natural attenuation, the use of institutional and engineering controls, and the issuance of “No Further Action” orders. The newly adopted global RBCA principles also provide the DEP with clear authority to adopt Cleanup Target Levels (CTLs) and to allow for Alternative Cleanup Target Levels (ACTLs) as determined by a site-specific risk assessment.  Section 2(g)(3) of the Act states that the DEP shall approve ACTLs in conjunction with institutional and engineering controls based upon an applicant’s demonstration – through use of site-specific data, modeling results, risk assessment studies, risk reduction techniques, or combination thereof – that human health, public safety and the environment are protected.  In determining whether it is appropriate to establish ACTLs at a site, the department must consider, among other variables, the effectiveness of source removal that has been completed at the site and the current and projected use of the affected groundwater in the vicinity of the site; provided that human health, public safety, and the environment are protected.

The Act, and any rules adopted pursuant thereto,  is to be applied retroactively, except for those sites where cleanup target levels have been accepted by the DEP in an approved technical letter or a “No Further Action” order.  However, Section 1(d) of the Act allows the person responsible for site rehabilitation to elect to have the provisions of the Act apply in lieu of those in any approved technical document or other agreement. 

Additionally, the Act provides certain conditions under which further rehabilitation may be required.  Section 4 of the Act states that upon completion of site rehabilitation, additional site rehabilitation is not required unless it is demonstrated that:

(a)       Fraud was committed in demonstrating site conditions or completion of site rehabilitation.

(b)       New information confirms the existence of an area of previously unknown contamination which exceeds the site-specific rehabilitation, or which otherwise poses the threat of real and substantial harm to public health, safety, or the environment.

(c)        The remediation efforts failed to achieve the site rehabilitation criteria established under this section.

(d)       The level of risk is increased beyond the acceptable risk established due to substantial changes in exposure conditions, such as a change in land use from nonresidential to residential use.  Moreover, any person who changes the land use of the site, thereby causing the level of risk to increase, may be required by the department to undertake additional remediation measures to ensure that human health, public safety, and environment are protected.

(e)        A new discharge of pollutants or hazardous substances occurs at the site subsequent to the issuance of a “No Further Action” order associated with the original contamination being addressed pursuant to this section.

Lastly, the Act contains several provisions relating to tax credits that are beyond the scope of this article. Those provisions include: clarifying who may apply for tax credits and the time period for use of tax credits, allowing a tax credit applicant to claim credit on a consolidated return up to the amount of the consolidated group’s tax liability, and converting the tax credit application time period to a calendar year.

For more information, e-mail Rory Ryan at rory.ryan@hklaw.com or call toll free, 1-888-688-8500.

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