Environmental Services, Inc (ESI) regularly performs Phase I and Phase II Environmental Site Assessments in Brownfields Redevelopment Areas, and can assist with reimbursement for contamination assessment and remediation of impacted properties that meet the requirements and definition of a Brownfields Project.
Brownfields are abandoned, idled, or underused industrial or commercial properties where expansion, reuse, or redevelopment may be complicated by real or perceived environmental conditions.
ESI's team is familiar with regulatory personnel and procedures and can navigate you through the Brownfields process. Among the greatest values in a creative Brownfields Redevelopment project are Environmental Liability Releases for Lenders and Redevelopers who agree to clean up impacted sites and attractive investment opportunities for foreign investors and developers.
Brownfields Redevelopment – Rejuvenating A Community
The object of a Brownfields Redevelopment Project is to rejuvenate abandoned, vacant, or underused properties and utilize them to their greatest potential. It is an incentive-driven program with financial enticement for redevelopment and liability relief when cleaning up any discovered contamination. A Brownfields designation opens the door to federal, state, and local incentives that might not otherwise be available, including job creation bonuses.
Typical Brownfields Financial Incentives
Below is a list of widely available incentives to assist with Brownfields Redevelopment.
- Environmental Site Assessment [ESA] Funding
- Reimbursement for qualified Phase I ESAs up to $5000. Phase II ESAs 50/50 match to $10,000.
- Voluntary Clean up Tax Credit
- Up to 35% of the costs of voluntary cleanup activity that is integral to site rehabilitation, not to exceed $250,000 per site per year.
- Revolving Loan Clean up Fund
- Short & Long Term loans and leveraging for additional funding if project has secured BCRLF support.
- Brownfield Redevelopment Bonus Refund
- Tax refunds of $2,500 per job created . Includes corporate income, sales, Ad Valorem, insurance premium, certain other taxes.
- Sales Tax Exemption for Building Materials
- Sales tax paid on building materials for housing, mixed-use, enterprise/empowerment zone, designated Brownfields, or urban infill projects.
- Special Industry Refunds
- Qualified Targeted Industry Tax Refund and Qualified Defense Contractor Tax Refund.
- Federal and EPA Incentives
- Reduces the tax burden indirectly by lowering taxable income related to eligible cleanup cost. Other Federal funding includes Environmental Cleanup Cost Deduction and Community Development Block Grants.
A host of other financial incentives are available at the State and local levels, including Countywide Economic Development Funds, Section 108 Loans (HUD), Ad Valorem Tax Exemption for Historic Properties, and Industrial Revenue Bonds.