[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1120 Introduced in House (IH)]







105th CONGRESS
  1st Session
                                H. R. 1120

  To assist local governments in assessing and remediating brownfield 
sites, to amend the Comprehensive Environmental Response, Compensation, 
    and Liability Act of 1980 to encourage State voluntary response 
      programs for remediating such sites, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 19, 1997

 Mr. Dingell (for himself, Mr. Gephardt, Mr. Oberstar, Mr. Borski, Ms. 
   DeGette, Mr. Manton, Mr. Brown of Ohio, Mr. Towns, Mr. Rush, Mr. 
Clement, Mr. Clyburn, Mr. Waxman, Mr. Markey, Mr. Mascara, Mr. Boucher, 
 Mrs. Tauscher, Mr. Pascrell, Ms. Furse, Mr. Deutsch, Mr. Blumenauer, 
Ms. Eshoo, Mr. Klink, Mr. Stupak, Mr. Engel, Mr. Sawyer, Mr. Wynn, Mr. 
     Green, Ms. McCarthy of Missouri, Mr. Conyers, Ms. Rivers, Ms. 
  Kilpatrick, Mr. Barrett of Wisconsin, Ms. Kaptur, Ms. DeLauro, Mr. 
Olver, Mr. Lipinski, Mr. Doyle, Mr. DeFazio, Mr. Johnson of Wisconsin, 
 Mr. Menendez, Mr. Gordon, Ms. Brown of Florida, Ms. Norton, Mr. Wise, 
   Ms. Millender-McDonald, Mrs. Lowey, Mr. Cummings, and Mr. Rangel) 
 introduced the following bill; which was referred to the Committee on 
   Commerce, and in addition to the Committee on Transportation and 
   Infrastructure, for a period to be subsequently determined by the 
  Speaker, in each case for consideration of such provisions as fall 
           within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
  To assist local governments in assessing and remediating brownfield 
sites, to amend the Comprehensive Environmental Response, Compensation, 
    and Liability Act of 1980 to encourage State voluntary response 
      programs for remediating such sites, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Community 
Revitalization and Brownfield Cleanup Act of 1997''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
       TITLE I--BROWNFIELD REMEDIATION AND ENVIRONMENTAL CLEANUP

Sec. 101. Definitions.
Sec. 102. Inventory and assessment grant program.
Sec. 103. Grants for revolving loan programs.
Sec. 104. Economic redevelopment grants.
Sec. 105. Reports.
Sec. 106. Limitations on use of funds.
Sec. 107. Effect on other laws.
Sec. 108. Regulations.
Sec. 109. Authorizations of appropriations.
              TITLE II--STATE VOLUNTARY RESPONSE PROGRAMS

Sec. 201. State voluntary response programs.
   TITLE III--INNOCENT LANDOWNERS AND PROSPECTIVE PURCHASER LIABILITY

Sec. 301. Innocent landowners.
Sec. 302. Limitations on liability for response costs for prospective 
                            purchasers.
Sec. 303. Contiguous or nearby properties.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) Brownfields are parcels of land that contain or 
        contained abandoned or under-used commercial or industrial 
        facilities, the expansion or redevelopment of which is 
        complicated by the presence or potential presence of hazardous 
        substances, pollutants, or contaminants.
            (2) Brownfields, which may number in the hundreds of 
        thousands nationwide, threaten the environment, devalue 
        surrounding property, erode local tax bases, and prevent job 
        growth.
            (3) Despite potentially great productive value, prospective 
        developers may avoid brownfields because of the uncertainty of 
        cleanup and development costs, which leads to construction on 
        undeveloped so-called greenfield sites, contributing to urban 
        sprawl, creating infrastructure problems, and reducing the 
        amount of open spaces.
            (4) Cleanup and redevelopment of brownfields would reduce 
        environmental contamination, encourage job growth, and curb the 
        development of greenfields.
            (5) State voluntary programs to address environmental 
        contamination, and addressing liability concerns to encourage 
        developers and current owners to invest in brownfield sites, 
        can be very effective in promoting the cleanup and 
        redevelopment of brownfields.

       TITLE I--BROWNFIELD REMEDIATION AND ENVIRONMENTAL CLEANUP

SEC. 101. DEFINITIONS.

    In this title:
            (1) Administrator.--The term ``Administrator'' means the 
        Administrator of the Environmental Protection Agency.
            (2) Brownfield site.--The term ``brownfield site'' means a 
        parcel of land that contains or contained abandoned or under-
        used commercial or industrial facilities, the expansion or 
        redevelopment of which may be complicated by the presence or 
        potential presence of hazardous substances, pollutants, or 
        contaminants.
            (3) Disposal.--The term ``disposal'' has the meaning given 
        the term in section 1004 of the Solid Waste Disposal Act (42 
        U.S.C. 6903).
            (4) Environment.--The term ``environment'' has the meaning 
        given the term in section 101 of the Comprehensive 
        Environmental Response, Compensation, and Liability Act of 1980 
        (42 U.S.C. 9601).
            (5) Environmental contamination.--The term ``environmental 
        contamination'' means the existence at a brownfield site of one 
        or more hazardous substances, pollutants, or contaminants that 
        may pose a threat to human health or the environment.
            (6) Facility.--The term ``facility'' has the meaning given 
        the term in section 101 of the Comprehensive Environmental 
        Response, Compensation, and Liability Act of 1980 (42 U.S.C. 
        9601).
            (7) Grant.--The term ``grant'' includes a cooperative 
        agreement.
            (8) Ground water.--The term ``ground water'' has the 
        meaning given the term in section 101 of the Comprehensive 
        Environmental Response, Compensation, and Liability Act of 1980 
        (42 U.S.C. 9601).
            (9) Hazardous substance.--The term ``hazardous substance'' 
        has the meaning given the term in section 101 of the 
        Comprehensive Environmental Response, Compensation, and 
        Liability Act of 1980 (42 U.S.C. 9601).
            (10) Indian tribe.--The term ``Indian tribe'' has the 
        meaning given the term in section 101 of the Comprehensive 
        Environmental Response, Compensation, and Liability Act of 1980 
        (42 U.S.C. 9601).
            (11) Local government.--The term ``local government'' has 
        the meaning given the term ``unit of general local government'' 
        in the first sentence of section 102(a)(1) of the Housing and 
        Community Development Act of 1974 (42 U.S.C. 5302(a)(1)), 
        except that the term includes an Indian tribe.
            (12) Natural resources.--The term ``natural resources'' has 
        the meaning given the term in section 101 of the Comprehensive 
        Environmental Response, Compensation, and Liability Act of 1980 
        (42 U.S.C. 9601).
            (13) Owner or operator.--The term ``owner or operator'' has 
        the meaning given the term in section 101 of the Comprehensive 
        Environmental Response, Compensation, and Liability Act of 1980 
        (42 U.S.C. 9601).
            (14) Person.--The term ``person'' has the meaning given the 
        term in section 101 of the Comprehensive Environmental 
        Response, Compensation, and Liability Act of 1980 (42 U.S.C. 
        9601).
            (15) Pollutant or contaminant.--The term ``pollutant or 
        contaminant'' has the meaning given the term in section 101 of 
        the Comprehensive Environmental Response, Compensation, and 
        Liability Act of 1980 (42 U.S.C. 9601).
            (16) Prospective purchaser.--The term ``prospective 
        purchaser'' has the meaning given the term in section 107(p).
            (17) Release.--The term ``release'' has the meaning given 
        the term in section 101 of the Comprehensive Environmental 
        Response, Compensation, and Liability Act of 1980 (42 U.S.C. 
        9601).
            (18) Response action.--The term ``response action'' has the 
        meaning given the term ``response'' in section 101 of the 
        Comprehensive Environmental Response, Compensation, and 
        Liability Act of 1980 (42 U.S.C. 9601).
            (19) Site assessment.--
                    (A) In general.--The term ``site assessment'' means 
                an investigation that determines the nature and extent 
                of a release or potential release of a hazardous 
                substance at a brownfield site and meets the 
                requirements of subparagraph (B).
                    (B) Investigation.--For the purposes of this 
                paragraph, an investigation that meets the requirements 
                of this subparagraph--
                            (i) shall include--
                                    (I) an onsite evaluation; and
                                    (II) sufficient testing, sampling, 
                                and other field-data-gathering 
                                activities to accurately determine 
                                whether the brownfield site is 
                                contaminated and the threats to human 
                                health and the environment posed by the 
                                release of hazardous substances, 
                                pollutants, or contaminants at the 
                                brownfield site; and
                            (ii) may include--
                                    (I) review of such information 
                                regarding the brownfield site and 
                                previous uses as is available at the 
                                time of the review; and
                                    (II) an offsite evaluation, if 
                                appropriate.
            (20) State.--The term ``State'' has the meaning given the 
        term in section 101 of the Comprehensive Environmental 
        Response, Compensation, and Liability Act of 1980 (42 U.S.C. 
        9601).

SEC. 102. INVENTORY AND ASSESSMENT GRANT PROGRAM.

    (a) In General.--The Administrator shall establish a program to 
award grants to local governments to inventory brownfield sites and to 
conduct site assessments of brownfield sites.
    (b) Scope of Program.--
            (1) Grant awards.--To carry out subsection (a), the 
        Administrator may, on approval of an application, provide 
        financial assistance to a local government.
            (2) Grant application.--An application for a grant under 
        this section shall include, to the extent practicable, each of 
        the following:
                    (A) An identification of the brownfield sites for 
                which assistance is sought and a description of the 
                effect of the brownfield sites on the community, 
                including a description of the nature and extent of any 
                known or suspected environmental contamination within 
                the sites.
                    (B) A description of the need of the applicant for 
                financial assistance to inventory brownfield sites and 
                conduct site assessments.
                    (C) A demonstration of the potential of the grant 
                assistance to stimulate economic development or 
                creation of recreational areas, including the extent to 
                which the assistance will stimulate the availability of 
                other funds for site assessment, site identification, 
                or environmental remediation and subsequent 
                redevelopment of the areas in which eligible brownfield 
                sites are situated.
                    (D) A description of the local commitment as of the 
                date of the application, which shall include a 
                community involvement plan that demonstrates meaningful 
                community involvement.
                    (E) A plan that shows how the site assessment, site 
                identification, or environmental remediation and 
                subsequent development will be implemented, including--
                            (i) an environmental plan that ensures the 
                        use of sound environmental procedures;
                            (ii) an explanation of the appropriate 
                        government authority and support for the 
                        project as in existence on the date of the 
                        application;
                            (iii) proposed funding mechanisms for any 
                        additional work; and
                            (iv) a proposed land ownership plan.
                    (F) A statement on the long-term benefits and the 
                sustainability of the proposed project that includes--
                            (i) the ability of the project to be 
                        replicated nationally and measures of success 
                        of the project; and
                            (ii) to the extent known, the potential of 
                        the plan for each area in which an eligible 
                        brownfield site is situated to stimulate 
                        economic development of the area or creation of 
                        recreational areas on completion of the 
                        environmental remediation.
                    (G) Such other factors as the Administrator 
                considers relevant to carry out this title.
            (3) Approval of application.--
                    (A) In general.--In making a decision whether to 
                approve an application under this subsection, the 
                Administrator shall--
                            (i) consider the need of the local 
                        government for financial assistance to carry 
                        out this section;
                            (ii) consider the ability of the applicant 
                        to carry out an inventory and site assessment 
                        under this section; and
                            (iii) consider such other factors as the 
                        Administrator considers relevant to carry out 
                        this section.
                    (B) Grant conditions.--As a condition of awarding a 
                grant under this section, the Administrator--
                            (i) shall require the recipient of the 
                        grant to notify the State in which the 
                        recipient is located of the receipt of the 
                        grant; and
                            (ii) may, on the basis of the criteria 
                        considered under subparagraph (A), attach such 
                        other conditions to the grant as the 
                        Administrator determines appropriate.
            (4) Grant amount.--The amount of a grant awarded to any 
        local government under subsection (a) for inventory and site 
        assessment of one or more brownfield sites shall not exceed 
        $200,000.
            (5) Termination of grants.--If the Administrator determines 
        that a local government that receives a grant under this 
        subsection is in violation of a condition of a grant referred 
        to in paragraph (3)(B), the Administrator may terminate the 
        grant made to the local government and require full or partial 
        repayment of the grant.
            (6) Authority to award grants to states.--The Administrator 
        may award a grant to a State under the program established 
        under this section if the Administrator determines that a grant 
        to the State is necessary in order to facilitate the receipt of 
        funds by one or more local governments that otherwise do not 
        have the capabilities, such as personnel and other resources, 
        to manage grants under the program.

SEC. 103. GRANTS FOR REVOLVING LOAN PROGRAMS.

    (a) In General.--
            (1) Establishment.--The Administrator shall establish a 
        program to award grants to be used by local governments to 
        capitalize revolving loan funds for the cleanup of brownfield 
        sites.
            (2) Loans.--The loans may be provided by the local 
        government to finance cleanups of brownfield sites by the local 
        government, or by an owner or a prospective purchaser of a 
        brownfield site (including a local government) at which a 
        cleanup is being conducted or is proposed to be conducted.
    (b) Scope of Program.--
            (1) In general.--
                    (A) Grants.--In carrying out subsection (a), the 
                Administrator may award a grant to a local government 
                that submits an application to the Administrator that 
                is approved by the Administrator.
                    (B) Use of grant.--The grant shall be used by the 
                local government to capitalize a revolving loan fund to 
                be used for cleanup of one or more brownfield sites.
                    (C) Grant application.--An application for a grant 
                under this section shall be in such form as the 
                Administrator determines appropriate. At a minimum, the 
                application shall include the following:
                            (i) Evidence that the grant applicant has 
                        the financial controls and resources 
to administer a revolving loan fund in accordance with this title.
                            (ii) Provisions that--
                                    (I) ensure that the grant applicant 
                                has the ability to monitor the use of 
                                funds provided to loan recipients under 
                                this title;
                                    (II) ensure that any cleanup 
                                conducted by the applicant is 
                                protective of human health and the 
                                environment; and
                                    (III) ensure that any cleanup 
                                funded under this Act will comply with 
                                all laws that apply to the cleanup.
                            (iii) Identification of the criteria to be 
                        used by the local government in providing for 
                        loans under the program. The criteria shall 
                        include the financial standing of the 
                        applicants for the loans, the use to which the 
                        loans will be put, the provisions to be used to 
                        ensure repayment of the loan funds, and the 
                        following:
                                    (I) A complete description of the 
                                financial standing of the applicant 
                                that includes a description of the 
                                assets, cash flow, and liabilities of 
                                the applicant.
                                    (II) A written statement that 
                                attests that the cleanup of the site 
                                would not occur without access to the 
                                revolving loan fund.
                                    (III) The proposed method, and 
                                anticipated period of time required, to 
                                clean up the environmental 
                                contamination at the brownfield site.
                                    (IV) An estimate of the proposed 
                                total cost of the cleanup to be 
                                conducted at the brownfield site.
                                    (V) An analysis that demonstrates 
                                the potential of the brownfield site 
                                for stimulating economic development or 
                                creation of recreational areas on 
                                completion of the cleanup of the 
                                brownfield site.
            (2) Grant approval.--In determining whether to award a 
        grant under this section, the Administrator shall consider--
                    (A) the need of the local government for financial 
                assistance to clean up brownfield sites that are the 
                subject of the application, taking into consideration 
                the financial resources available to the local 
                government;
                    (B) the ability of the local government to ensure 
                that the applicants repay the loans in a timely manner;
                    (C) the extent to which the cleanup of the 
                brownfield site or sites would reduce health and 
                environmental risks caused by the release of hazardous 
                substances, pollutants, or contaminants at, or from, 
                the brownfield site or sites;
                    (D) the demonstrable potential of the brownfield 
                site or sites for stimulating economic development or 
                creation of recreational areas on completion of the 
                cleanup;
                    (E) the demonstrated ability of the local 
                government to administer such a loan program;
                    (F) the demonstrated experience of the local 
                government regarding brownfield sites and the reuse of 
                contaminated land, including whether the government has 
                received any grant under the Comprehensive 
                Environmental Response, Compensation, and Liability Act 
                of 1980 (42 U.S.C. 9601 et seq.) to assess brownfield 
                sites, except that applicants who have not previously 
                received such a grant may be considered for awards 
                under this section;
                    (G) the experience of administering any loan 
                programs by the entity, including the loan repayment 
                rates;
                    (H) the demonstrations made regarding the ability 
                of the local government to ensure a fair distribution 
                of grant funds among brownfield sites within the 
                jurisdiction of the local government; and
                    (I) such other factors as the Administrator 
                considers relevant to carry out this section.
            (3) Grant amount.--The amount of a grant made to an 
        applicant under this section shall not exceed $500,000.
            (4) Revolving loan fund approval.--Each application for a 
        grant to capitalize a revolving loan fund under this section 
        shall, as a condition of approval by the Administrator, include 
        a written statement by the local government that cleanups to be 
        funded under the loan program of the local government shall be 
        conducted under the auspices of, and in compliance with, the 
        State voluntary cleanup program or State Superfund program or 
        Federal authority.
    (c) Grant Agreements.--Each grant under this section for a 
revolving loan fund shall be made pursuant to a grant agreement. At a 
minimum, the grant agreement shall include provisions that ensure the 
following:
            (1) Compliance with law.--The local government will include 
        in all loan agreements a requirement that the loan recipient 
        shall comply with all laws applicable to the cleanup and shall 
        ensure that the cleanup is protective of human health and the 
        environment.
            (2) Repayment.--The local government will require repayment 
        of the loan consistent with this title.
            (3) Use of funds.--The local government will use the funds 
        solely for purposes of establishing and capitalizing a loan 
        program in accordance with this title and of cleaning up the 
        environmental contamination at the brownfield site or sites.
            (4) Repayment of funds.--The local government will require 
        in each loan agreement, and take necessary steps to ensure, 
        that the loan recipient will use the loan funds solely for the 
        purposes stated in paragraph (3), and will require the return 
        of any excess funds immediately on a determination by the 
        appropriate local official that the cleanup has been completed.
            (5) Nontransferability.--The funds will not be 
        transferable, unless the Administrator agrees to the transfer 
        in writing.
            (6) Liens.--
                    (A) Definitions.--In this paragraph, the terms 
                ``security interest'' and ``purchaser'' have the 
                meanings given the terms in section 6323(h) of the 
                Internal Revenue Code of 1986.
                    (B) Liens.--A lien in favor of the grant recipient 
                shall arise on the contaminated property subject to a 
                loan under this section.
                    (C) Coverage.--The lien shall cover all real 
                property included in the legal description of the 
                property at the time the loan agreement provided for in 
                this section is signed, and all rights to the property, 
                and shall continue until the terms and conditions of 
                the loan agreement have been fully satisfied.
                    (D) Timing.--The lien shall--
                            (i) arise at the time a security interest 
                        is appropriately recorded in the real property 
                        records of the appropriate office of the State, 
                        county, or other governmental subdivision, as 
                        designated by State law, in which the real 
                        property subject to the lien is located; and
                            (ii) be subject to the rights of any 
                        purchaser, holder of a security interest, or 
                        judgment lien creditor whose interest is or has 
                        been perfected under applicable State law 
                        before the notice has been filed in the 
                        appropriate office of the State, county, or 
                        other governmental subdivision, as designated 
                        by State law, in which the real property 
                        subject to the lien is located.
            (7) Notice to state.--The local government will notify the 
        State in which the local government is located of the receipt 
        of the grant and of the identity of recipients of loans made 
        under the revolving loan fund.
    (d) Audits.--
            (1) In general.--The Inspector General of the Environmental 
        Protection Agency shall audit a portion of the grants awarded 
        under this section to ensure that all funds are used for the 
        purposes set forth in this section.
            (2) Future grants.--The result of the audit shall be taken 
        into account in awarding any future grants to the local 
        government.
    (e) Authority To Award Grants to States.--The Administrator may 
award a grant to a State under the program established under this 
section at the request of a local government in the State if the 
Administrator determines that a grant to the State is necessary in 
order to facilitate the receipt of funds by one or more local 
governments that otherwise do not have the capabilities, such as 
personnel and other resources, to manage grants under the program.

SEC. 104. ECONOMIC REDEVELOPMENT GRANTS.

    (a) Expenditures From the Superfund.--Amounts in the Hazardous 
Substance Superfund established by section 9507 of the Internal Revenue 
Code of 1986 shall be made available consistent with, and for the 
purposes of carrying out, the grant programs established under sections 
102 and 103.
    (b) Authority To Award Grants.--There is authorized to be 
appropriated from the Hazardous Substance Superfund for grants to local 
governments under sections 102 and 103, $45,000,000 for each of fiscal 
years 1998 through 2000.

SEC. 105. REPORTS.

    (a) In General.--Not later than one year after the date of 
enactment of this Act, and not later than January 31 of each of the 3 
calendar years thereafter, the Administrator shall prepare and submit a 
report describing the results of each program established under this 
title to--
            (1) the Committees on Commerce and on Transportation and 
        Infrastructure of the House of Representatives; and
            (2) the Committee on Environment and Public Works of the 
        Senate.
    (b) Contents of Report.--Each report shall, with respect to each of 
the programs established under this title, include a description of--
            (1) the number of applications received by the 
        Administrator during the preceding calendar year;
            (2) the number of applications approved by the 
        Administrator during the preceding calendar year; and
            (3) the allocation of assistance under sections 102 and 103 
        among the local governments.

SEC. 106. LIMITATIONS ON USE OF FUNDS.

    (a) Excluded Facilities.--(1) A grant for site inventory and 
assessment under section 102 or to capitalize a revolving loan fund 
under section 103 may not be used for any activity involving--
            (A) a facility or portion of a facility that is the subject 
        of a response action (including a facility or portion of a 
        facility with respect to which a record of decision, other than 
        a no-action record of decision, has been issued) under the 
        Comprehensive Environmental Response, Compensation, and 
        Liability Act of 1980 (42 U.S.C. 9601 et seq.), unless a 
        preliminary assessment, site investigation, or response action 
        has been completed at such facility or portion of a facility 
        and the President has decided not to take further response 
        action at such facility or portion of a facility;
            (B) a facility included, or proposed for inclusion, on the 
        National Priorities List maintained by the President under the 
        Comprehensive Environmental Response, Compensation, and 
        Liability Act of 1980 (42 U.S.C. 9601 et seq.);
            (C) an NPL-caliber facility, as defined in paragraph (2);
            (D) a facility that is subject to corrective action under 
        section 3004(u) or 3008(h) of the Solid Waste Disposal Act (42 
        U.S.C. 6924(u) or 6928(h)) to which a corrective action permit 
        or order has been issued or modified to require the 
        implementation of corrective measures;
            (E) any land disposal unit with respect to which a closure 
        notification under subtitle C of the Solid Waste Disposal Act 
        (42 U.S.C. 6921 et seq.) has been submitted and closure 
        requirements have been specified in a closure plan or permit;
            (F) a facility at which there has been a release of a 
        polychlorinated biphenyl and that is subject to the Toxic 
        Substances Control Act (15 U.S.C. 2601 et seq.);
            (G) a facility with respect to which an administrative or 
        judicial order or decree requiring cleanup has been issued or 
        entered into by the President under--
                    (i) the Comprehensive Environmental Response, 
                Compensation, and Liability Act of 1980 (42 U.S.C. 9601 
                et seq.);
                    (ii) the Solid Waste Disposal Act (42 U.S.C. 6901 
                et seq.);
                    (iii) the Federal Water Pollution Control Act (33 
                U.S.C. 1251 et seq.);
                    (iv) the Toxic Substances Control Act (15 U.S.C. 
                2601 et seq.); or
                    (v) the Safe Drinking Water Act (42 U.S.C. 300f et 
                seq.);
            (H) the portion of a facility at which assistance for 
        response activities may be obtained under subtitle I of the 
        Solid Waste Disposal Act (42 U.S.C. 6991 et seq.) from the 
        Leaking Underground Storage Tank Trust Fund established by 
        section 9508 of the Internal Revenue Code of 1986; and
            (I) a facility owned or operated by a department, agency, 
        or instrumentality of the United States, except for land held 
        in trust by the United States for an Indian tribe.
    (2) For purposes of paragraph (1), the term ``NPL-caliber 
facility'' means a facility for which the President, in consultation 
with the State concerned, has prepared or is preparing a hazardous 
ranking system scoring package or that satisfies such other definition 
as the Administrator may promulgate by regulation. The term does not 
include a facility for which the President--
            (A) has obtained a score under the hazardous ranking 
        system; and
            (B) based on that score, has made a determination not to 
        list on the National Priorities List.
    (3) Notwithstanding paragraph (1), the President may, on a 
facility-by-facility basis, allow a grant under section 102 or section 
103 to be used for an activity involving any facility listed in 
subparagraph (D), (E), (F), (G)(ii), (G)(iii), (G)(iv), (G)(v), (H), or 
(I) of paragraph (1). In the case of a facility listed in subparagraph 
(I), the President may use the authority in the preceding sentence only 
if the facility is not a facility described in subparagraph (A), (B), 
(C), or (G)(i).
    (b) Fines and Cost-Sharing.--A grant made under this title may not 
be used to pay any fine or penalty owed to a State or the Federal 
Government, or to meet any Federal cost-sharing requirement.
    (c) Other Limitations.--
            (1) In general.--Funds made available to a local government 
        under the grant programs established under section 102 shall be 
        used only to inventory and assess brownfield sites as 
        authorized by this title. Funds made available to a local 
        government under the grant programs established under section 
        103 shall be used only for capitalizing a revolving loan fund 
        as authorized by this title.
            (2) Responsibility for cleanup action.--Funds made 
        available under this title may not be used to relieve a local 
        government of the commitment or responsibilities of the local 
        government under State law to assist or carry out cleanup 
        actions at brownfield sites.

SEC. 107. EFFECT ON OTHER LAWS.

    Nothing in this title changes, modifies, or otherwise affects the 
liability of any person or the obligations imposed or authorities 
provided under any other law or regulation, including--
            (1) the Comprehensive Environmental Response, Compensation, 
        and Liability Act of 1980 (42 U.S.C. 9601 et seq.);
            (2) the Solid Waste Disposal Act (42 U.S.C. 6901 et seq.);
            (3) the Federal Water Pollution Control Act (33 U.S.C. 1251 
        et seq.);
            (4) the Toxic Substances Control Act (15 U.S.C. 2601 et 
        seq.); and
            (5) the Safe Drinking Water Act (42 U.S.C. 300f et seq.).

SEC. 108. REGULATIONS.

    (a) In General.--The Administrator may issue such regulations as 
are necessary to carry out this title.
    (b) Procedures and Standards.--The regulations shall include such 
procedures and standards as the Administrator considers necessary, 
including procedures and standards for evaluating an application for a 
grant or loan submitted under this title.

SEC. 109. AUTHORIZATIONS OF APPROPRIATIONS.

    (a) Site Assessment Program.--There is authorized to be 
appropriated to carry out section 102 $15,000,000 for each of fiscal 
years 1998 through 2000.
    (b) Economic Redevelopment Assistance Program.--There is authorized 
to be appropriated to carry out section 103 $30,000,000 for each of 
fiscal years 1998 through 2000.
    (c) Availability of Funds.--The amounts appropriated under this 
section shall remain available until expended.

              TITLE II--STATE VOLUNTARY RESPONSE PROGRAMS

SEC. 201. STATE VOLUNTARY RESPONSE PROGRAMS.

    Title I of the Comprehensive Environmental Response, Compensation, 
and Liability Act of 1980 (42 U.S.C. 9601 et seq.) is amended by adding 
at the end the following new section:

``SEC. 127. STATE VOLUNTARY RESPONSE PROGRAMS.

    ``(a) Purposes and Objectives.--The purposes and objectives of this 
section are--
            ``(1) to significantly increase the pace of response 
        activities at contaminated sites by promoting and encouraging 
        the creation, development, and enhancement of State voluntary 
        response programs; and
            ``(2) to benefit the public health, welfare, and the 
        environment by cleaning up and returning contaminated sites to 
        economically productive or other beneficial uses.
    ``(b) Assistance to States.--The Administrator shall provide 
technical, financial, and other assistance to States to establish and 
enhance voluntary response programs. The Administrator shall encourage 
the States to develop risk sharing pools, indemnity pools, or insurance 
mechanisms to provide financing for response actions under their 
voluntary response programs.
    ``(c) Limitation on Federal Authority To List on National 
Priorities List.--Except as provided in subsection (e), the President 
shall not list on the National Priorities List the portion of a 
facility subject to a response action plan approved under a State 
program qualified under subsection (i)--
            ``(1) while substantial and continuous voluntary response 
        activities are being conducted in compliance with the plan at 
        that portion of the facility; or
            ``(2) after response activities conducted in compliance 
        with the plan at that portion of the facility have been 
        certified by the State as complete.
    ``(d) Limitation on Federal Authority To Recover Costs.--(1) Except 
as provided in subsection (e), if substantial and continuous voluntary 
response activities are being conducted at a voluntary response action 
site in compliance with a response action plan approved under a State 
program qualified under subsection (i) or if response activities 
conducted at such a site in compliance with the plan have been 
certified by the State as complete, then no person shall be liable to 
the Administrator under section 107(a) for response costs incurred with 
respect to a release or substantial threat of release of a hazardous 
substance addressed by the response action plan unless one or more of 
the following conditions is met:
            ``(A) The Administrator determines that the release or 
        threat of release may present an imminent and substantial 
        danger to the public health or welfare or the environment.
            ``(B) The State requests the Administrator to take action.
            ``(C) Conditions at the site that were unknown to the State 
        at the time the response action plan was approved by the State 
        are discovered, and such conditions indicate, as determined by 
        the Administrator or the State, that the response action is not 
        protective of human health or the environment.
            ``(D) The cleanup of the site under the response action 
        plan of the State program is no longer protective of human 
        health or the environment, as determined by the Administrator 
        or the State, because of a change or a proposed change in the 
        use of the site.
    ``(2) For purposes of this subsection, the term `voluntary response 
action site' means a site subject to a response action plan under a 
State program qualified under subsection (i).
    ``(3) Nothing in this subsection shall preclude the Administrator 
from recovering costs incurred by the Administrator at a site before 
State approval of a response action plan for that site.
    ``(e) Facilities Ineligible for Limitations.--(1) The limitations 
on Federal authority provided under subsections (c) and (d) do not 
apply to any of the following facilities:
            ``(A) A facility or portion of a facility that is the 
        subject of a response action (including a facility or portion 
        of a facility with respect to which a record of decision, other 
        than a no-action record of decision, has been issued) under 
        this Act, unless a preliminary assessment, site investigation, 
        or response action has been completed at such facility or 
        portion of a facility and the President has decided not to take 
        further response action at such facility or portion of a 
        facility.
            ``(B) A facility included, or proposed for inclusion, on 
        the National Priorities List maintained by the President under 
        this Act.
            ``(C) An NPL-caliber facility, as defined in paragraph (2).
            ``(D) A facility that is subject to corrective action under 
        section 3004(u) or 3008(h) of the Solid Waste Disposal Act (42 
        U.S.C. 6924(u) or 6928(h)) to which a corrective action permit 
        or order has been issued or modified to require the 
        implementation of corrective measures.
            ``(E) Any land disposal unit with respect to which a 
        closure notification under subtitle C of the Solid Waste 
        Disposal Act (42 U.S.C. 6921 et seq.) has been submitted and 
        closure requirements have been specified in a closure plan or 
        permit.
            ``(F) A facility at which there has been a release of a 
        polychlorinated biphenyl and that is subject to the Toxic 
        Substances Control Act (15 U.S.C. 2601 et seq.).
            ``(G) A facility with respect to which an administrative or 
        judicial order or decree requiring cleanup has been issued or 
        entered into by the President under--
                    ``(i) this Act;
                    ``(ii) the Solid Waste Disposal Act (42 U.S.C. 6901 
                et seq.);
                    ``(iii) the Federal Water Pollution Control Act (33 
                U.S.C. 1251 et seq.);
                    ``(iv) the Toxic Substances Control Act (15 U.S.C. 
                2601 et seq.); or
                    ``(v) the Safe Drinking Water Act (42 U.S.C. 300f 
                et seq.).
            ``(H) The portion of a facility at which assistance for 
        response activities may be obtained under subtitle I of the 
        Solid Waste Disposal Act (42 U.S.C. 6991 et seq.) from the 
        Leaking Underground Storage Tank Trust Fund established by 
        section 9508 of the Internal Revenue Code of 1986.
            ``(I) A facility owned or operated by a department, agency, 
        or instrumentality of the United States, except for land held 
        in trust by the United States for an Indian tribe.
    ``(2) For purposes of paragraph (1), the term `NPL-caliber 
facility' means a facility for which the President, in consultation 
with the State concerned, has prepared or is preparing a hazardous 
ranking system scoring package or that satisfies such other definition 
as the Administrator may promulgate by regulation. The term does not 
include a facility for which the President--
            ``(A) has obtained a score under the hazardous ranking 
        system; and
            ``(B) based on that score, has made a determination not to 
        list on the National Priorities List.
    ``(3) Notwithstanding paragraph (1), the President may, on a 
facility-by-facility basis and pursuant to an agreement with the State 
concerned, apply the limitations on authority provided under 
subsections (c) and (d) to any facility listed in subparagraph (D), 
(E), (F), (G)(ii), (G)(iii), (G)(iv), (G)(v), (H), or (I) of paragraph 
(1). In the case of a facility listed in subparagraph (I), the 
President may use the authority in the preceding sentence only if the 
facility is not a facility described in subparagraph (A), (B), (C), or 
(G)(i).
    ``(f) EPA Assistance to States for State Voluntary Response 
Programs.--The Administrator shall assist States to establish and 
administer State voluntary response programs that--
            ``(1) provide voluntary response actions that ensure 
        adequate site assessment and are protective of human health and 
        the environment;
            ``(2) provide opportunities for technical assistance 
        (including grants) for voluntary response actions;
            ``(3) provide meaningful opportunities for public 
        participation on issues that affect the community, which shall 
        include prior notice and opportunity for comment in the 
        selection of response actions and which may include involvement 
        of State and local health officials during site assessment;
            ``(4) provide streamlined procedures to ensure expeditious 
        voluntary response actions;
            ``(5) provide adequate oversight, enforcement authorities, 
        resources, and practices--
                    ``(A) to ensure that voluntary response actions are 
                protective of human health and the environment, as 
                provided in paragraph (1), and are conducted in a 
                timely manner in accordance with a State-approved 
                response action plan;
                    ``(B) to ensure completion of response actions if 
                the person conducting the response action fails or 
                refuses to complete the necessary response activities 
                that are protective of human health and the 
                environment, including operation and maintenance or 
                long-term monitoring activities;
            ``(6) provide mechanisms for the approval of a response 
        action plan; and
            ``(7) provide mechanisms for a certification or similar 
        documentation to the person who conducted the response action 
        indicating that the response is complete.
    ``(g) Financial Assistance for Development and Enhancement of State 
Voluntary Response Programs and Reporting Requirement.--
            ``(1) Authorization of appropriations.--In each of the 
        first 5 fiscal years commencing after the date of enactment of 
        this section, the sum of $15,000,000 is authorized to be 
        appropriated for assistance to States to develop or enhance 
        State voluntary response programs.
            ``(2) Public record.--To assist the Administrator in 
        determining the needs of States for assistance under this 
        section, the Administrator shall encourage the States to 
        maintain a public record of facilities, by name and location, 
        that have been or are planned to be addressed under a State 
        voluntary response program.
            ``(3) Reporting requirement.--Each State receiving 
        financial assistance under this section shall submit to the 
        Administrator a report at the end of each calendar year on the 
        progress of its voluntary response program, which shall include 
        the following information with respect to that calendar year:
                    ``(A) The number of sites, if any, undergoing 
                voluntary cleanup, with the number of sites in each 
                stage of such cleanup set forth separately.
                    ``(B) The number of sites, if any, entering 
                voluntary cleanup.
                    ``(C) The number of sites, if any, that received a 
                certification from the State indicating that a response 
                action is complete.
    ``(h) EPA Review of State Programs.--At any time after the date of 
enactment of this section, a State may submit, for review by the 
Administrator, documentation that the State considers appropriate to 
describe a State voluntary response program, together with a 
certification that the program is consistent with the elements set 
forth in subsection (f), and, if such program is developed by 
administrative action or regulation, documentation of public comment 
and State response to comment on the adequacy of the State voluntary 
response program.
    ``(i) Qualification of State Program.--
            ``(1) Approval or disapproval.--(A) The Administrator shall 
        approve a State voluntary response program submitted under 
        subsection (h) within 180 days after the Administrator receives 
        documentation and certification under subsection (h) if the 
        Administrator determines that the State's submission is 
        consistent with the elements set forth in subsection (f). A 
        program so approved by the Administrator shall be considered a 
        qualified program under this Act.
            ``(B) The Administrator shall publish in the Federal 
        Register the reasons for the approval or disapproval of any 
        such program.
            ``(C) If the Administrator needs additional information 
        under subparagraph (A)(ii), the 180-day time period referred to 
        in subparagraph (A) shall be extended until such date as the 
        Administrator is satisfied that enough additional information 
        has been obtained in order to make a determination.
            ``(2) Withdrawal of qualification.--Whenever the 
        Administrator determines that a State is not administering and 
        enforcing a qualified program in accordance with subsection 
        (f), the Administrator shall notify the State in writing of 
        such determination. If appropriate corrective action is not 
        taken by the State within 120 days after receipt of the notice, 
        the Administrator shall propose to withdraw approval of the 
        program and publish a notice of such proposed withdrawal in the 
Federal Register. The Administrator shall not withdraw approval of any 
such program unless the Administrator provides to the State in writing 
and publishes in the Federal Register the reasons for such withdrawal. 
If the State subsequently completes the necessary corrective measures 
as determined by the Administrator, the Administrator shall reinstate 
the program as a qualified program under this section.
    ``(j) Effect of Response.--Performance of a voluntary response 
action pursuant to this section shall not constitute an admission of 
liability under any Federal, State, or local law or regulation or in 
any citizens suit or other private action.
    ``(k) Compliance with NCP.--Solely for the purpose of private cost 
recovery and contribution claims under this Act, response actions 
conducted pursuant to a qualified program shall be presumed to be 
consistent with the National Contingency Plan.
    ``(l) Annual Reporting.--
            ``(1) Reports by state.--Each State with a qualified 
        program under this section shall submit to the Administrator a 
        report at the end of each calendar year on the status of its 
        program. Each such report shall include a statement regarding 
        whether the program continues to be consistent with the 
        elements set forth in subsection (f).
            ``(2) Report by administrator.--The Administrator shall 
        report, not later than two years after the enactment of this 
        section, and annually thereafter, to the Congress on the status 
        of State voluntary response programs. The report shall include 
        an analysis of whether qualified State voluntary response 
        action programs continue to be consistent with the elements set 
        forth in subsection (f).
    ``(m) Effect on Existing State Programs.--This section is not 
intended to impose any requirement on any State voluntary response 
program, including a program existing on or before the date of the 
enactment of the Community Revitalization and Brownfield Cleanup Act of 
1997. A program shall not be considered to be a qualified program under 
this Act unless the program is approved in accordance with this 
section.
    ``(n) Effect on Agreements Between State and EPA.--This section is 
not intended to modify or otherwise affect a memorandum of agreement, 
or a cooperative agreement, relating to Superfund between a State 
agency and the Environmental Protection Agency in effect on or before 
the date of the enactment of the Community Revitalization and 
Brownfield Cleanup Act of 1997. Such an agreement shall remain in 
effect, subject to the terms of the agreement. This section is not 
intended to restrict or limit the President's discretionary authority 
to enter into or modify an agreement with a State or other person 
relating to the President's implementation of statutory authorities.
    ``(o) Effect on Other Laws.--Except as provided in subsections (c) 
and (d), this section does not change, modify, or otherwise affect the 
liability of any person or the obligations imposed or authorities 
provided under any law or regulation, including this Act, the Solid 
Waste Disposal Act, the Clean Water Act, the Toxic Substances Control 
Act, and title XIV of the Public Health Service Act (the Safe Drinking 
Water Act).
    ``(p) Relationship to Innocent Landowner and Prospective 
Purchaser.--(1) The successful completion of a response action at a 
facility pursuant to a response action plan approved under a qualified 
program under this section shall be evidence to be considered for 
purposes of section 107(o)(3)(B) and section 101(39)(D).
    ``(2) Nothing in this section shall be construed to require any 
person to participate in a qualified voluntary response program under 
this section or in any other voluntary response program in order to 
qualify as an innocent landowner or bona fide prospective purchaser for 
purposes of subsections (o) and (p) of section 107.''.

   TITLE III--INNOCENT LANDOWNERS AND PROSPECTIVE PURCHASER LIABILITY

SEC. 301. INNOCENT LANDOWNERS.

    (a) Environmental Site Assessment.--Section 107 of the 
Comprehensive Environmental Response, Compensation, and Liability Act 
of 1980 (42 U.S.C. 9607) is amended by adding at the end the following 
new subsection:
    ``(o) Innocent Landowners.--
            ``(1) Conduct of environmental assessment.--A person who 
        has acquired real property shall have made all appropriate 
        inquiry within the meaning of subparagraph (B) of section 
        101(35) if he establishes that, within 180 days prior to the 
        time of acquisition, an environmental site assessment of the 
        real property was conducted which meets the requirements of 
        paragraph (2).
            ``(2) Definition of environmental site assessment.--For 
        purposes of this subsection, the term `environmental site 
        assessment' means an assessment conducted in accordance with 
        the standards set forth in the American Society for Testing and 
Materials (ASTM) Standard E1527-94, titled `Standard Practice for 
Environmental Site Assessments: Phase I Environmental Site Assessment 
Process' or with alternative standards issued by rule by the President 
or promulgated or developed by others and designated by rule by the 
President. Before issuing or designating alternative standards, the 
President shall first conduct a study of commercial and industrial 
practices concerning environmental site assessments in the transfer of 
real property in the United States. Any such standards issued or 
designated by the President shall also be deemed to constitute 
commercially reasonable and generally accepted standards and practices 
for purposes of this paragraph. In issuing or designating any such 
standards, the President shall consider requirements governing each of 
the following:
                    ``(A) Interviews of owners, operators, and 
                occupants of the property to determine information 
                regarding the potential for contamination.
                    ``(B) Review of historical sources as necessary to 
                determine previous uses and occupancies of the property 
                since the property was first developed. For purposes of 
                this subclause, the term `historical sources' means any 
                of the following, if they are reasonably ascertainable: 
                recorded chain of title documents regarding the real 
                property, including all deeds, easements, leases, 
                restrictions, and covenants, aerial photographs, fire 
                insurance maps, property tax files, USGS 7.5 minutes 
                topographic maps, local street directories, building 
                department records, zoning/land use records, and any 
                other sources that identify past uses and occupancies 
                of the property.
                    ``(C) Determination of the existence of recorded 
                environmental cleanup liens against the real property 
                which have arisen pursuant to Federal, State, or local 
                statutes.
                    ``(D) Review of reasonably ascertainable Federal, 
                State, and local government records of sites or 
                facilities that are likely to cause or contribute to 
                contamination at the real property, including, as 
                appropriate, investigation reports for such sites or 
                facilities; records of activities likely to cause or 
                contribute to contamination at the real property, 
                including landfill and other disposal location records, 
                underground storage tank records, hazardous waste 
                handler and generator records and spill reporting 
                records; and such other reasonably ascertainable 
                Federal, State, and local government environmental 
                records which could reflect incidents or activities 
                which are likely to cause or contribute to 
                contamination at the real property.
                    ``(E) A visual site inspection of the real property 
                and all facilities and improvements on the real 
                property and a visual inspection of immediately 
                adjacent properties, including an investigation of any 
                hazardous substance use, storage, treatment, and 
                disposal practices on the property.
                    ``(F) Any specialized knowledge or experience on 
                the part of the landowner.
                    ``(G) The relationship of the purchase price to the 
                value of the property if uncontaminated.
                    ``(H) Commonly known or reasonably ascertainable 
                information about the property.
                    ``(I) The obviousness of the presence or likely 
                presence of contamination at the property, and the 
                ability to detect such contamination by appropriate 
                investigation.
        A record shall be considered to be `reasonably ascertainable' 
        for purposes of this paragraph if a copy or reasonable 
facsimile of the record is publicly available by request (within 
reasonable time and cost constraints) and the record is practically 
reviewable.
            ``(3) Appropriate inquiry.--A person shall not be treated 
        as having made all appropriate inquiry under paragraph (1) 
        unless--
                    ``(A) the person has maintained a compilation of 
                the information reviewed and gathered in the course of 
                the environmental site assessment;
                    ``(B) the person exercised appropriate care with 
                respect to hazardous substances found at the facility 
                by taking reasonable steps to stop on-going releases, 
                prevent threatened future releases of hazardous 
                substances, and prevent or limit human or natural 
                resource exposure to hazardous substances previously 
                released into the environment; and
                    ``(C) the person provides full cooperation, 
                assistance, and facility access to persons authorized 
                to conduct response actions or natural resource 
                restoration at the facility, including the cooperation 
                and access necessary for the installation, integrity, 
                operation, and maintenance of any complete or partial 
                response action or natural resource restoration at the 
                facility.''.
    (b) Cross Reference.--Section 101(35)(B) (42 U.S.C. 9601(35)(B)) is 
amended by inserting after ``all appropriate inquiry'' the following: 
``(as specified in section 107(o))''.

SEC. 302. LIMITATIONS ON LIABILITY FOR RESPONSE COSTS FOR PROSPECTIVE 
              PURCHASERS.

    (a) Limitations on Liability.--Section 107 of the Comprehensive 
Environmental Response, Compensation, and Liability Act of 1980 (42 
U.S.C. 9607) is further amended by adding at the end the following new 
subsection:
    ``(p) Limitations on Liability for Prospective Purchasers.--
Notwithstanding paragraphs (1) through (4) of subsection (a), to the 
extent the liability of a person, with respect to a release or the 
threat of a release from a facility, is based solely on subsection 
(a)(1), the person shall not be liable under this Act if the person--
            ``(1) is a bona fide prospective purchaser of the facility; 
        and
            ``(2) does not impede the performance of any response 
        action or natural resource restoration at a facility.''.
    (b) Prospective Purchaser and Windfall Lien.--Section 107 of the 
Comprehensive Environmental Response, Compensation, and Liability Act 
of 1980 (as amended by subsection (a)) is amended by adding after 
subsection (p) the following new subsection:
    ``(q) Prospective Purchaser and Windfall Lien.--
            ``(1) In general.--In any case in which there are 
        unrecovered response costs at a facility for which an owner of 
        the facility is not liable by reason of subsection (p), and the 
        conditions described in paragraph (3) are met, the United 
        States shall have a lien on the facility, or may obtain, from 
        the appropriate responsible party or parties, a lien on other 
        property or other assurances of payment satisfactory to the 
        Administrator, for the unrecovered costs.
            ``(2) Amount; duration.--The lien--
                    ``(A) shall be for an amount not to exceed the 
                increase in fair market value of the property 
                attributable to the response action at the time of a 
                subsequent sale or other disposition of the property;
                    ``(B) shall arise at the time costs are first 
                incurred by the United States with respect to a 
                response action at the facility;
                    ``(C) shall be subject to the requirements for 
                notice and validity specified in subsection (l)(3); and
                    ``(D) shall continue until the earlier of 
                satisfaction of the lien or recovery of all response 
                costs incurred at the facility.
            ``(3) Conditions.--The conditions referred to in paragraph 
        (1) are the following:
                    ``(A) Response action.--A response action for which 
                there are unrecovered costs is carried out at the 
                facility.
                    ``(B) Fair market value.--The response action 
                increases the fair market value of the facility above 
                the fair market value of the facility that existed on 
                the date that is 180 days before the response action 
                was commenced.''.
    (c) Definition of Bona Fide Prospective Purchaser.--Section 101 of 
the Comprehensive Environmental Response, Compensation, and Liability 
Act of 1980 (42 U.S.C. 9601) is amended by adding at the end the 
following:
            ``(39) Bona fide prospective purchaser.--The term `bona 
        fide prospective purchaser' means a person who acquires 
        ownership of a facility after the date of enactment of the 
        Community Revitalization and Brownfield Cleanup Act of 1997, or 
        a tenant of such a person, who can establish each of the 
        following by a preponderance of the evidence:
                    ``(A) Disposal prior to acquisition.--All active 
                disposal of hazardous substances at the facility 
                occurred before the person acquired the facility.
                    ``(B) Inquiry.--
                            ``(i) In general.--The person made all 
                        appropriate inquiry into the previous ownership 
                        and uses of the facility in accordance with 
                        generally accepted good commercial and 
                        customary standards and practices.
                            ``(ii) Standards.--The ASTM standards 
                        described in section 107(o)(2) or the 
                        alternative standards issued or designated by 
                        the President pursuant to that section shall 
                        satisfy the requirements of this subparagraph.
                            ``(iii) Residential property.--In the case 
                        of property in residential or other similar use 
                        at the time of purchase by a nongovernmental or 
                        noncommercial entity, a site inspection and 
                        title search that reveal no basis for further 
                        investigation shall satisfy the requirements of 
                        this subparagraph.
                    ``(C) Notices.--The person provided all legally 
                required notices with respect to the discovery or 
                release of any hazardous substances at the facility.
                    ``(D) Care.--The person exercised appropriate care 
                with respect to hazardous substances found at the 
                facility by taking reasonable steps to--
                            ``(i) stop ongoing releases;
                            ``(ii) prevent threatened future releases 
                        of hazardous substances; and
                            ``(iii) prevent or limit human or natural 
                        resource exposure to hazardous substances 
                        previously released into the environment.
                    ``(E) Cooperation, assistance, and access.--The 
                person provides full cooperation, assistance, and 
                facility access to such persons as are authorized to 
                conduct response actions at the facility, including the 
                cooperation and access necessary for the installation, 
                integrity, operation, and maintenance of any complete 
                or partial response action at the facility.
                    ``(F) Relationship.--The person is not liable, or 
                is not affiliated with any other person that is 
                potentially liable, for response costs at the facility, 
                through any direct or indirect familial relationship, 
                or any contractual, corporate, or financial 
                relationship other than that created by the instruments 
                by which title to the facility is conveyed or 
                financed.''.

SEC. 303. CONTIGUOUS OR NEARBY PROPERTIES.

    Section 107 of the Comprehensive Environmental Response, 
Compensation, and Liability Act of 1980 (42 U.S.C. 9607) is further 
amended by adding at the end the following new subsection:
    ``(q) Contiguous Properties.--(1) A person who owns or operates 
real property that is contiguous to or otherwise similarly situated 
with respect to real property on which there has been a release or 
threatened release of a hazardous substance and that is or may be 
contaminated by such release shall not be considered to be an owner or 
operator of a facility under subsection (a)(1) solely by reason of such 
contamination, if such person establishes by a preponderance of the 
evidence that--
            ``(A) such person exercised due care with respect to the 
        hazardous substance, in light of all relevant facts and 
        circumstances;
            ``(B) such person took precautions against any foreseeable 
        act or omission that resulted in the release or threatened 
        release and the consequences that could foreseeably result from 
        such act or omission; and
            ``(C) such person did not cause or contribute to the 
        release or threatened release.
    ``(2) The President may issue an assurance of no enforcement action 
under this Act to any such person and may grant any such person 
protection against cost recovery and contribution actions pursuant to 
section 113(f)(2).''.
                                 <all>