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CR 92-82 Land Recycling Act Legistlation I \ "\ Y 0 , .~ April 1, 1992 Council Report ; -'92-82 LAND RECYCLING ACT LEGISLATION ProDosed Action. staff recommends adoption of Resolution 92-35 supporting the proposed 1992 legislation entitled The Land Recycling Act. Overview. Senator Ted Mondale is presently sponsoring a bill entitled The Land Recycling Act of 1992. Following is a summary of that bill: o If a developer cleans up and redevelops a contaminated property the State will not force the developer to clean up other sources of pollution that were not created by the developer. o Previous landowners or other persons who polluted the property would continue to be liable for future remedial work. . 0 Protect developers who are not otherwise . responsible for contamination from super fund liability. o Protect developers from additional liability for contamination remaining on a property after initial cleanup that is necessary to develop the property. The bill as proposed is designed to encourage the cleanup and redevelopment of contaminated property. This legislation would help developers to secure financing for projects on contaminated sites. The resolution that is proposed by staff places the City Council on record in support of the bill by Senator Mondale. It is hoped. that with support by Hopkins and other communi ties that the legislature will be willing to give this bill a serious consideration. Supportinq Documents. o Resolution 92-35 S.F. Bill No. 1866 . lL . APR 01 '82 10: 32 AM TED MOI.jDALE 812_?21 1045 Page 2 --... .. ._- . , . \ " ; 02/15/92 (REVISOR ] CMR/LS 92-4126 . '. Senators Mondale; Merriam; Johnson, J.B.; FrederiCkson, D.R. and Dahl introduced-- . S . F. No. 1866 Referred to the Conuni ttee on Environment and Natural Resources 1 A bill for an act 2 relating to the environment; providing protection from 3 liability for releases of hazardous substances to 4 persons not otherwise liable who undertake and 5 complete cleanup actions under an approved cleanup 6 plan; providing for submission and approval of cleanup 7 plans and supervision of cleanup by the commissioner 8 of the pollution control agency: authori~ing the 9 commissioner of the pollution control agency to issue 10 determinations or enter into agreements with property 11 owners near the source of releases of hazardous 12 substances regarding future cleanup liabilitYJ l3 appropriating rnoney~ amending Minnesota Statutes 1990, 14 section 1158.17, subdivision 14; proposing coding for 15 new law in Minnesota Statutes, chapter 11SB. 16 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA~ 17 Section l. Minnesota Statutes 1990, section 1158.17, 18 subdivision 14, is amended to read: 19 Subd. 14. [REQUESTS FOR REVIEW, INVESTIGATION, AND 20 OVERSIGHT. ] (a) The commissioner may, upon request, assist a 21 person in determining whether real property has been the site of 22 a release or threatened release of a hazardous substance, 23 pOllutant, or contaminant. The commissioner may also assist in, 24 or supervise, the development and implementation of reasonable , 25 and necessary response actions. Assistance may include review 26 of agency records and files, and review and approval of a 27 requester'S investigation plans and reports and response action 28 plans and implementation. 29 (b) The person requesting assistance under this subdivision 30 shall pay the agency for the agency's cost, as d termlned by the 1 tll \;Joe:. . ... . - - . -~ "-"-"-'- ........ ........ ........ '''''' I ~I::t llO: w -.'" -'" .' ., ~-------''''' -.---..... ,_,._ ..,'J'_ . . : 02/15/92 [REVISOR ] CMR/LS 92-4126 . 1 commissioner, of providing assistance. Money received by the 2 agency for assistance under this section must be deposited in 3 the environmental response, compensation, and compliance fund. 4 JC) When a person investigates a release or threatened 5 release in accordance with an investigation plan approved by the 6 commissioner under this subdivision, the investigation does not 7 associate that person with the release or threatened release for 8 the purpose of section 1158.03, subdivision 3, paragraph (d). 9 Sec. 2. [115B.175] [VOLUNTARY RESPONSE ACTIONS: LIABILITY 10 PROTECT!ONj PROCEDURES.l 11 Subdi vision 1- [PROTECTION FROM LIABILITY; SCOPE.] 1!l 12 Subject to the provisions of this section, a person who is not 13 otherwise responsible under sections 1158.01 to 11Sg.1~ for a 14 release or threatened release will not be respon~ible under 15 those sections for the release or threatened release if the 16 person undertakes and completes response actions to remove or 17 remedy all releases and threatened releases at an identified 18 area of real pro~erty in accordance with a voluntary response 19 action plan approved by the commissioner. 20 (b) The liability protection provided under this 21 subdivision applies to releases or threatened releases at the 22 identified property that are not required to be removed or 23 remedied by the approved voluntary response action plan if the 24 requirements of subdivision 2 are met. 25 tc) The liability protection provided under this section 26 does not apply to a release or threatened release that is not 27 identified in the approved vOluntary response action plan or a 28 release that be9ins after the completion of response actions 29 required by the plan. 30 Subd. 2. [PARTIAL RESPONSE ACTION PLANS; CRITERIA FOR 31 APPR.OVAL,] l~l.Th~ commis!~ioner.,.~_approve a ,YP~,unt.ary resp~nse 32 action plan submitted under this section that does not require 33 removal or remedy of all releases and threatened releases at an 34 iden~ified area of real pro~erty if the commission~r determines I 35 that all of the following criteria have been met: . 36 ( 1) if reuse or development of the property is proposed, 2 I APR 01 '92 10:34 AM TED MONDALE 812 Fl 1045 Page 4 02/15/92 (REVISOR ) CMR/LS 92-4126 . 1 the voluntary response action plan provides f~r all response 2 actions required to carry out the proposed reuse or development 3 in a manner that protects public health and welfare and the 4 environ[t\ent~ 5 (2) the ~esponse actions and the activities associated with 6 any reuse or development proposed for the ~roperty will not 7 aggravate or contribute to releases or threatened releases that 8 are not reguired to be removed or remedied under the voluntary 9 response action plan, and will not interfere with or 10 substantially increase the cost of response actioEs to addr!!! 11 the remaining releases or threatened releases1 and 12 ( 3 ) the .owner of the property agrees to cooperate with the 13 commissioner or other per~ons acting at the direction of the 14 commissioner in takin9 response actions necessary to address 15 remaining releases or threatened releases, and_to avoid any 16 action that interferes w~th the response actions. 17 1~) Under paragraph (a), clause (3), an owner may be 1B required to agree to any or all of the following terms necessary 19 to carry out response actions to address remaining releases or 20 threatened releases: 21 (1) to provide access to the property to the commissioner 22 anQ the commissioner's authorized representatives, 23 L2) to allow the commissioner, or persons _actin9 at the 24 direction of the conunissioneJ:', to undertake activities at th 25 property including placement of borings, wells, equipment, and 26 structures on the property: and 27 Q) to grant easements or other interests in the Qroperty 28 to the agency for any of the purposes provided in clause (1) or 29 ill..:. 30 (c) An agreement under paragraph (a1, clause (3), must 31 !.EPl.1'.. to ang..J~.e J?_ind.in~t~~iiJ2on tb~9cessors. and assigns of the 32 owner. The owner shall record the agreement with the title of 33 the real property if reguested by the commissioner~ 34 Subd. 3. [SUBMISSION AND APPROVAL OF VOLUNTARY RESPONSE 35 ACTION PLANS.] tal A person shall submit ~ voluntary response 36 action plan to the commissioner under section 115?17, 3 - - . ....... "..... 1'\.... "-11.... t~ b12 221 11:145 Page 2 02/15/92 [REVISOR ] CMR/LS 92-4126 . . 1 subdivision 14. The commissioner may ~rovlde assistance to 2 review voluntary response action plans or supervise response 3 action implernentationunder that subdivision. 4 (~) Response actions required in a voluntary response S action plan under this section must meet the same standards for 6 protection of public health and welfare and the environment that 7 ~ply to response actions taken or r~quested under section 8 115B.17, subdivision 1 or 2. 9 (e) When the co~~issione( approves a voluntar~ response 10 action plan, the commissioner ~ay include in th~ approval an 11 acknowledgment that, upon certification of com.Qletion of the 12 response actions as provided in subdivision 5, the person 13 submitting the plan will receive the protection from liabilit.Y 14 provided under this section. 15 Subd. 4. [PERFORMANCE OF RESPONSE ACTIONS DOES NOT 16 ASSOCIATE PERSONS WITH RELEASE.) Eersons specified in 17 subdivision 6 do not associate themselves with any release or 18 threatened release identified in an aQproved voluntary response 19 ~ction plan for the purpose of section 115B.03,.JLubdivision 3, 20 paragraph (d), as a result of p-erformance of th~esponse 21 actions required in accordance with the plan and the di~ection 22 of the commissioner. This subdivision does not ~ly to a 23 person specified in subdivision 7. Nothing in this section 24 ~lieves a person of any liability for failure to exercise du~ 2S care in performing a response action. 26 Subd. 5. [CERTIFICATION OF COMPLETION OF RESPONSE 27 ACTIONS. ] (a) Response actions taken under an apprqved voluntary 28 ;esponse action plan are not completed until the commissioner 29 certifies completion in writin~. 30 {b) Certification of completion of resp~se actions taken 31 . under_ a volunt;,~ry response action 21an that does not requite 32 removal or remedy of all releases and threatened releases is 33 ,ubject to compliance by the owner, ~nd the owner's successors 34 and assigns, with the terms o~ the agreement required under 3S subdivision 2, paragraph (a), clause ( 3 ) . 36 Subd. 6. (PERSONS PROTECTED FROM L!ABILITY.) In addition 4 APR '" ':;~ II; ,HI AM II:.D MUNDALE 612 221 1045 Page 3 . , . 02/15/92 (REVISOR J CMR/LS 92-4126 . 1 to the person who undertakes and comEletes response actions, and 2 subject to the provisions of subdivision 7, the liability 3 protection"Erovided by this section applies to the followin2 4 persons when the commissioner issues the certificate of 5 completion of response actions under su~division 5: 6 ~ll the owner of the identified property, if the owner is 7 not responsible for any release or threatened release identified 8 in the ~proved VOluntary response action plan; 9 (2) a eerson providing financin9 to the p'e~son who 10 undertakes and completes the response actions, or who acquires 11 or develops the identified pro~erty; and 12 (3) a successor or assign of any person to whom t~ 13 liability protection applies. 14 Subd. 7. [PERSONS NOT PROTECTED FROM LIABILITY.] The 15 protection from liability J2.rovided by this ~ection does .not 16 apply to: 17 (1) a person who aQ9ravates or contributes to a release or 18 ~hreatened release that was not remedied under an approved 19 voluntary response action plan: 20 (2) a person who was responsible under sections 115B.01 to 21 115B.18 for a release or threatened release identified in the 22 approved voluntary response action.plan before taking an action 23 that would have made the person subject to the~otection under 24 subdivision 6: or 25 J3) a person who obtains approval of a voluntary response 26 action plan for eurposes of this section by~fraud or 27 misrepresentation, or by knowingly failinSL~&2isclose material 28 information, or who knows that appr~~al was so o~tained before 29 taking an action that would have made the person subject to the 30 protection under subdivision 6. 31 Subd. 8. rOTHER RIGHTS AND AUTHORITIES NOT 32 AFFECTED.] Nothing in this section affects th~.~uthority of the 33 agency or commissioner to exercise any power.~ or duties under 34 this cha~ter or other law with respect to any release or 35 threatened release, or the right of the agency, th~ 36 commissioner, or any other person to seek any relief available 5 APR 01 '92 11: (]f] AM TED MDt-lDALE . 612 Fl 1045 Page 4 . ~. to. 02/15/92 [REVISOR ] CMR/LS 92-4126 . 1 under this chapter against any party who is not_ ?ubject to the 2 liability protection provided under_thi~ section. 3 Sec. 3. [115B.177) [OWNER OF REAL PROPERTY AFFECTED 8Y 4 OFF-SITE RELEASE. 1 5 Subdivision 1. [DETERMINATION OR AGREEMtNT BY 6 COMMISSIONER.) ~! The commissioner ma~ issue a written 7 determination or enter into an agreement to take no action under 8 sections 1158.01 to 11SB.1B against a person who owns real 9 property subject to a release of a hazardous substance, or 10 pollutant or contaminant, if the commissioneE finds that the 11 release originates from a source on adjacent or nearby real 12 E!operty and that the person is not otherw~se responsibJe for 13 the release. 14 ib) A determination issued or agreement entered into under 15 this section must be conditioned upon the following: 16 (1) agreement by the person to allow entry upon the 17 property to the commissioner and the authori~ed representatives 18 of the commissioner to take response actions to address the 19 release, including in appropriate cases an agre~nt to grant 20 easements to the state for tha: Rurpose, 21 ~2) agreement by the person to avoid any interference with 22 the response actions to address the release ta~~~ by or at the 23 ~rection of the agency or the commissioner, and to avoid 24 actions that contribute to the release: 25 (3) invalidation of the determination or a9reement if the 26 commissioner receives new information indicating t~at the 27 property owned by the person is a source of. the release or that 28 the person is otherwise rasponsible for the release; and 29 L4) any other condition that the commissioner dee~ 30 reasonable and necessary: to eOS\,lre that the as/ency and 31 commiss~oner ca~ a~equately_resP?nd to the release. 32 Subd. 2. [SCOPE AND EFFECT OF DETERMINATION OR 33 AGREEMENT.) ta) A det~~mination issu~or agreement entered int~ 34 under this sec_~.!En~~a:t extend 1-0 the successors and assigns of 35 the person to whom it originally applies, if the successors and 36 assigns are not otherwise responsible for the release and are 6 APR 01 '92 11:01 AM TED MDtWALE 612 221 1045 Page 5 .. ., 02/15/92 [REVISOR l CMR/LS 92-4126 . " 1 bound by the conditions in the determination or agreement. . 2 (b ) Issuance of a determination or execution of an 3 agreem~nt under this section does not affect the authority of 4 the agency or commissioner to take any response action under 5 sections 115B.01 to 115B.18 with respect to the release subject 6 to the determination or agreement, or to take a~ministrative or 7 judicial action under those sections with respect to persons not 8 bound by the determination or a9reernen~ 9 Sec. 4 . {PROPERTY TRANSFER PROGRAM: POLLUTION CONTROL 10 AGENCY; COMPLEMENT AND APPROPRIATION.] 11 Subdivision 1. {COMPLEMENT. 1 The complement of the 12 pollution control agency is increased by.. ~ositions for th 13 purpose of providing assistance under Minnesota Statutes, . 14 section 1158.17, subdivision 14, including assistance to carry 15 out the provisions of section 1. 16 Subd. 2. [APPROPRIATION. ] $....... is a?~ropriated to th~ 17 pollution control agency from the environmental response, 18 compensation, and compliance account for the biennium ending 19 June 30, 1993, for the purpose of providing as~i~nce as 20 speCified in subdivision 1. 21 Sec. S. [SHORT TITLE.] 22 This act may be referred to as the Uland recycling act of 23 1992.11 24 Sec. 6. [EFFECTIVE DATE: APPLICATION.] 25 This act is effective the day following final enactment. 26 Section 3 a~plies to a determin~~ion issued or a~.~9reement 27 entered into by the commissioner of the pollution control agency 28 Erior to its effective date if the determination or agreement 29 meets the requirements of that section. 7 , . , CITY OF HOPKINS Hennepin County, Minnesota RESOLUTION NO: 92-35 RESOLUTION SUPPORTING THE PROPOSED 1992 LEGISLATION KNOWN AS THE LAND RECYCLING ACT WHEREAS, Minnesota State Legislature is presently considering a bill identified as S.F. No. 1866, referred to as the Land Recycling Act. WHEREAS, this act would help to facilitate the cleanup and redevelopment of contaminated and polluted properties. WHEREAS, there are such sites in the City of Hopkins and approval of the Land Recycling Act would help to encourage these sites to be cleaned up and developed. NOW THEREFORE BE IT RESOLVED, by the City Council of the City of Hopkins, that they hereby support the Recycling Act as proposed and ask the Minnesota State Legislature to . approve the legislation to adopt this act. Adopted this 7th day of April, 1992. Nelson W. Berg, Mayor ATTEST: James A. Genellie, City Clerk . .