[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2869 Engrossed in House (EH)]

  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
107th CONGRESS
  1st Session
                                H. R. 2869

_______________________________________________________________________

                                 AN ACT


 
To provide certain relief for small businesses from liability under the 
 Comprehensive Environmental Response, Compensation, and Liability Act 
  of 1980, and to amend such Act to promote the cleanup and reuse of 
     brownfields, to provide financial assistance for brownfields 
   revitalization, to enhance State response programs, 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.

    This Act may be cited as the ``Small Business Liability Relief and 
Brownfields Revitalization Act''.

              TITLE I--SMALL BUSINESS LIABILITY PROTECTION

SEC. 101. SHORT TITLE.

    This title may be cited as the ``Small Business Liability 
Protection Act''.

SEC. 102. SMALL BUSINESS LIABILITY RELIEF.

    (a) Exemptions.--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 subsections:
    ``(o) De Micromis Exemption.--
            ``(1) In general.--Except as provided in paragraph (2), a 
        person shall not be liable, with respect to response costs at a 
        facility on the National Priorities List, under this Act if 
        liability is based solely on paragraph (3) or (4) of subsection 
        (a), and the person, except as provided in paragraph (4) of 
        this subsection, can demonstrate that--
                    ``(A) the total amount of the material containing 
                hazardous substances that the person arranged for 
                disposal or treatment of, arranged with a transporter 
                for transport for disposal or treatment of, or accepted 
                for transport for disposal or treatment, at the 
                facility was less than 110 gallons of liquid materials 
                or less than 200 pounds of solid materials (or such 
                greater or lesser amounts as the Administrator may 
                determine by regulation); and
                    ``(B) all or part of the disposal, treatment, or 
                transport concerned occurred before April 1, 2001.
            ``(2) Exceptions.--Paragraph (1) shall not apply in a case 
        in which--
                    ``(A) the President determines that--
                            ``(i) the materials containing hazardous 
                        substances referred to in paragraph (1) have 
                        contributed significantly or could contribute 
                        significantly, either individually or in the 
                        aggregate, to the cost of the response action 
                        or natural resource restoration with respect to 
                        the facility; or
                            ``(ii) the person has failed to comply with 
                        an information request or administrative 
                        subpoena issued by the President under this Act 
                        or has impeded or is impeding, through action 
                        or inaction, the performance of a response 
                        action or natural resource restoration with 
                        respect to the facility; or
                    ``(B) a person has been convicted of a criminal 
                violation for the conduct to which the exemption would 
                apply, and that conviction has not been vitiated on 
                appeal or otherwise.
            ``(3) No judicial review.--A determination by the President 
        under paragraph (2)(A) shall not be subject to judicial review.
            ``(4) Nongovernmental third-party contribution actions.--In 
        the case of a contribution action, with respect to response 
        costs at a facility on the National Priorities List, brought by 
        a party, other than a Federal, State, or local government, 
        under this Act, the burden of proof shall be on the party 
        bringing the action to demonstrate that the conditions 
        described in paragraph (1)(A) and (B) of this subsection are 
        not met.
    ``(p) Municipal Solid Waste Exemption.--
            ``(1) In general.--Except as provided in paragraph (2) of 
        this subsection, a person shall not be liable, with respect to 
        response costs at a facility on the National Priorities List, 
        under paragraph (3) of subsection (a) for municipal solid waste 
        disposed of at a facility if the person, except as provided in 
        paragraph (5) of this subsection, can demonstrate that the 
        person is--
                    ``(A) an owner, operator, or lessee of residential 
                property from which all of the person's municipal solid 
                waste was generated with respect to the facility;
                    ``(B) a business entity (including a parent, 
                subsidiary, or affiliate of the entity) that, during 
                its 3 taxable years preceding the date of transmittal 
                of written notification from the President of its 
                potential liability under this section, employed on 
                average not more than 100 full-time individuals, or the 
                equivalent thereof, and that is a small business 
                concern (within the meaning of the Small Business Act 
                (15 U.S.C. 631 et seq.)) from which was generated all 
                of the municipal solid waste attributable to the entity 
                with respect to the facility; or
                    ``(C) an organization described in section 
                501(c)(3) of the Internal Revenue Code of 1986 and 
                exempt from tax under section 501(a) of such Code that, 
                during its taxable year preceding the date of 
                transmittal of written notification from the President 
                of its potential liability under this section, employed 
                not more than 100 paid individuals at the location from 
                which was generated all of the municipal solid waste 
                attributable to the organization with respect to the 
                facility.
        For purposes of this subsection, the term `affiliate' has the 
        meaning of that term provided in the definition of `small 
        business concern' in regulations promulgated by the Small 
        Business Administration in accordance with the Small Business 
        Act (15 U.S.C. 631 et seq.).
            ``(2) Exception.--Paragraph (1) shall not apply in a case 
        in which the President determines that--
                    ``(A) the municipal solid waste referred to in 
                paragraph (1) has contributed significantly or could 
                contribute significantly, either individually or in the 
                aggregate, to the cost of the response action or 
                natural resource restoration with respect to the 
                facility;
                    ``(B) the person has failed to comply with an 
                information request or administrative subpoena issued 
                by the President under this Act; or
                    ``(C) the person has impeded or is impeding, 
                through action or inaction, the performance of a 
                response action or natural resource restoration with 
                respect to the facility.
            ``(3) No judicial review.--A determination by the President 
        under paragraph (2) shall not be subject to judicial review.
            ``(4) Definition of municipal solid waste.--
                    ``(A) In general.--For purposes of this subsection, 
                the term `municipal solid waste' means waste material--
                            ``(i) generated by a household (including a 
                        single or multifamily residence); and
                            ``(ii) generated by a commercial, 
                        industrial, or institutional entity, to the 
                        extent that the waste material--
                                    ``(I) is essentially the same as 
                                waste normally generated by a 
                                household;
                                    ``(II) is collected and disposed of 
                                with other municipal solid waste as 
                                part of normal municipal solid waste 
                                collection services; and
                                    ``(III) contains a relative 
                                quantity of hazardous substances no 
                                greater than the relative quantity of 
                                hazardous substances contained in waste 
                                material generated by a typical single-
                                family household.
                    ``(B) Examples.--Examples of municipal solid waste 
                under subparagraph (A) include food and yard waste, 
                paper, clothing, appliances, consumer product 
                packaging, disposable diapers, office supplies, 
                cosmetics, glass and metal food containers, elementary 
                or secondary school science laboratory waste, and 
                household hazardous waste.
                    ``(C) Exclusions.--The term `municipal solid waste' 
                does not include--
                            ``(i) combustion ash generated by resource 
                        recovery facilities or municipal incinerators; 
                        or
                            ``(ii) waste material from manufacturing or 
                        processing operations (including pollution 
                        control operations) that is not essentially the 
                        same as waste normally generated by households.
            ``(5) Burden of proof.--In the case of an action, with 
        respect to response costs at a facility on the National 
        Priorities List, brought under section 107 or 113 by--
                    ``(A) a party, other than a Federal, State, or 
                local government, with respect to municipal solid waste 
                disposed of on or after April 1, 2001; or
                    ``(B) any party with respect to municipal solid 
                waste disposed of before April 1, 2001, the burden of 
                proof shall be on the party bringing the action to 
                demonstrate that the conditions described in paragraphs 
                (1) and (4) for exemption for entities and 
                organizations described in paragraph (1)(B) and (C) are 
                not met.
            ``(6) Certain actions not permitted.--No contribution 
        action may be brought by a party, other than a Federal, State, 
        or local government, under this Act with respect to 
        circumstances described in paragraph (1)(A).
            ``(7) Costs and fees.--A nongovernmental entity that 
        commences, after the date of the enactment of this subsection, 
        a contribution action under this Act shall be liable to the 
        defendant for all reasonable costs of defending the action, 
        including all reasonable attorney's fees and expert witness 
        fees, if the defendant is not liable for contribution based on 
        an exemption under this subsection or subsection (o).''.
    (b) Expedited Settlement.--Section 122(g) of such Act (42 U.S.C. 
9622(g)) is amended by adding at the end the following new paragraphs:
            ``(7) Reduction in settlement amount based on limited 
        ability to pay.--
                    ``(A) In general.--The condition for settlement 
                under this paragraph is that the potentially 
                responsible party is a person who demonstrates to the 
                President an inability or a limited ability to pay 
                response costs.
                    ``(B) Considerations.--In determining whether or 
                not a demonstration is made under subparagraph (A) by a 
                person, the President shall take into consideration the 
                ability of the person to pay response costs and still 
                maintain its basic business operations, including 
                consideration of the overall financial condition of the 
                person and demonstrable constraints on the ability of 
                the person to raise revenues.
                    ``(C) Information.--A person requesting settlement 
                under this paragraph shall promptly provide the 
                President with all relevant information needed to 
                determine the ability of the person to pay response 
                costs.
                    ``(D) Alternative payment methods.--If the 
                President determines that a person is unable to pay its 
                total settlement amount at the time of settlement, the 
                President shall consider such alternative payment 
                methods as may be necessary or appropriate.
            ``(8) Additional conditions for expedited settlements.--
                    ``(A) Waiver of claims.--The President shall 
                require, as a condition for settlement under this 
                subsection, that a potentially responsible party waive 
                all of the claims (including a claim for contribution 
                under this Act) that the party may have against other 
                potentially responsible parties for response costs 
                incurred with respect to the facility, unless the 
                President determines that requiring a waiver would be 
                unjust.
                    ``(B) Failure to comply.--The President may decline 
                to offer a settlement to a potentially responsible 
                party under this subsection if the President determines 
                that the potentially responsible party has failed to 
                comply with any request for access or information or an 
                administrative subpoena issued by the President under 
                this Act or has impeded or is impeding, through action 
                or inaction, the performance of a response action with 
                respect to the facility.
                    ``(C) Responsibility to provide information and 
                access.--A potentially responsible party that enters 
                into a settlement under this subsection shall not be 
                relieved of the responsibility to provide any 
                information or access requested in accordance with 
                subsection (e)(3)(B) or section 104(e).
            ``(9) Basis of determination.--If the President determines 
        that a potentially responsible party is not eligible for 
        settlement under this subsection, the President shall provide 
        the reasons for the determination in writing to the potentially 
        responsible party that requested a settlement under this 
        subsection.
            ``(10) Notification.--As soon as practicable after receipt 
        of sufficient information to make a determination, the 
        President shall notify any person that the President determines 
        is eligible under paragraph (1) of the person's eligibility for 
        an expedited settlement.
            ``(11) No judicial review.--A determination by the 
        President under paragraph (7), (8), (9), or (10) shall not be 
        subject to judicial review.
            ``(12) Notice of settlement.--After a settlement under this 
        subsection becomes final with respect to a facility, the 
        President shall promptly notify potentially responsible parties 
        at the facility that have not resolved their liability to the 
        United States of the settlement.''.

SEC. 103. EFFECT ON CONCLUDED ACTIONS.

    The amendments made by this title shall not apply to or in any way 
affect any settlement lodged in, or judgment issued by, a United States 
District Court, or any administrative settlement or order entered into 
or issued by the United States or any State, before the date of the 
enactment of this Act.

   TITLE II--BROWNFIELDS REVITALIZATION AND ENVIRONMENTAL RESTORATION

SEC. 201. SHORT TITLE.

    This title may be cited as the ``Brownfields Revitalization and 
Environmental Restoration Act of 2001''.

             Subtitle A--Brownfields Revitalization Funding

SEC. 211. BROWNFIELDS REVITALIZATION FUNDING.

    (a) Definition of Brownfield Site.--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) Brownfield site.--
                    ``(A) In general.--The term `brownfield site' means 
                real property, the expansion, redevelopment, or reuse 
                of which may be complicated by the presence or 
                potential presence of a hazardous substance, pollutant, 
                or contaminant.
                    ``(B) Exclusions.--The term `brownfield site' does 
                not include--
                            ``(i) a facility that is the subject of a 
                        planned or ongoing removal action under this 
                        title;
                            ``(ii) a facility that is listed on the 
                        National Priorities List or is proposed for 
                        listing;
                            ``(iii) a facility that is the subject of a 
                        unilateral administrative order, a court order, 
                        an administrative order on consent or judicial 
                        consent decree that has been issued to or 
                        entered into by the parties under this Act;
                            ``(iv) a facility that is the subject of a 
                        unilateral administrative order, a court order, 
                        an administrative order on consent or judicial 
                        consent decree that has been issued to or 
                        entered into by the parties, or a facility to 
                        which a permit has been issued by the United 
                        States or an authorized State under the Solid 
                        Waste Disposal Act (42 U.S.C. 6901 et seq.), 
                        the Federal Water Pollution Control Act (33 
                        U.S.C. 1321), the Toxic Substances Control Act 
                        (15 U.S.C. 2601 et seq.), or the Safe Drinking 
                        Water Act (42 U.S.C. 300f et seq.);
                            ``(v) a facility that--
                                    ``(I) is subject to corrective 
                                action under section 3004(u) or 3008(h) 
                                of the Solid Waste Disposal Act (42 
                                U.S.C. 6924(u), 6928(h)); and
                                    ``(II) to which a corrective action 
                                permit or order has been issued or 
                                modified to require the implementation 
                                of corrective measures;
                            ``(vi) a land disposal unit with respect to 
                        which--
                                    ``(I) a closure notification under 
                                subtitle C of the Solid Waste Disposal 
                                Act (42 U.S.C. 6921 et seq.) has been 
                                submitted; and
                                    ``(II) closure requirements have 
                                been specified in a closure plan or 
                                permit;
                            ``(vii) a facility that is subject to the 
                        jurisdiction, custody, or control of a 
                        department, agency, or instrumentality of the 
                        United States, except for land held in trust by 
                        the United States for an Indian tribe;
                            ``(viii) a portion of a facility--
                                    ``(I) at which there has been a 
                                release of polychlorinated biphenyls; 
                                and
                                    ``(II) that is subject to 
                                remediation under the Toxic Substances 
                                Control Act (15 U.S.C. 2601 et seq.); 
                                or
                            ``(ix) a portion of a facility, for which 
                        portion, assistance for response activity has 
                        been 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 under section 9508 of the 
                        Internal Revenue Code of 1986.
                    ``(C) Site-by-site determinations.--Notwithstanding 
                subparagraph (B) and on a site-by-site basis, the 
                President may authorize financial assistance under 
                section 104(k) to an eligible entity at a site included 
                in clause (i), (iv), (v), (vi), (viii), or (ix) of 
                subparagraph (B) if the President finds that financial 
                assistance will protect human health and the 
                environment, and either promote economic development or 
                enable the creation of, preservation of, or addition to 
                parks, greenways, undeveloped property, other 
                recreational property, or other property used for 
                nonprofit purposes.
                    ``(D) Additional areas.--For the purposes of 
                section 104(k), the term `brownfield site' includes a 
                site that--
                            ``(i) meets the definition of `brownfield 
                        site' under subparagraphs (A) through (C); and
                            ``(ii)(I) is contaminated by a controlled 
                        substance (as defined in section 102 of the 
                        Controlled Substances Act (21 U.S.C. 802));
                            ``(II)(aa) is contaminated by petroleum or 
                        a petroleum product excluded from the 
                        definition of `hazardous substance' under 
                        section 101; and
                            ``(bb) is a site determined by the 
                        Administrator or the State, as appropriate, to 
                        be--
                                    ``(AA) of relatively low risk, as 
                                compared with other petroleum-only 
                                sites in the State; and
                                    ``(BB) a site for which there is no 
                                viable responsible party and which will 
                                be assessed, investigated, or cleaned 
                                up by a person that is not potentially 
                                liable for cleaning up the site; and
                            ``(cc) is not subject to any order issued 
                        under section 9003(h) of the Solid Waste 
                        Disposal Act (42 U.S.C. 6991b(h)); or
                            ``(III) is mine-scarred land.''.
    (b) Brownfields Revitalization Funding.--Section 104 of the 
Comprehensive Environmental Response, Compensation, and Liability Act 
of 1980 (42 U.S.C. 9604) is amended by adding at the end the following:
    ``(k) Brownfields Revitalization Funding.--
            ``(1) Definition of eligible entity.--In this subsection, 
        the term `eligible entity' means--
                    ``(A) a general purpose unit of local government;
                    ``(B) a land clearance authority or other quasi-
                governmental entity that operates under the supervision 
                and control of or as an agent of a general purpose unit 
                of local government;
                    ``(C) a government entity created by a State 
                legislature;
                    ``(D) a regional council or group of general 
                purpose units of local government;
                    ``(E) a redevelopment agency that is chartered or 
                otherwise sanctioned by a State;
                    ``(F) a State;
                    ``(G) an Indian Tribe other than in Alaska, or
                    ``(H) an Alaska Native Regional Corporation and an 
                Alaska Native Village Corporation as those terms are 
                defined in the Alaska Native Claims Settlement Act (43 
                U.S.C. 1601 and following) and the Metlakatla Indian 
                community.
            ``(2) Brownfield site characterization and assessment grant 
        program.--
                    ``(A) Establishment of program.--The Administrator 
                shall establish a program to--
                            ``(i) provide grants to inventory, 
                        characterize, assess, and conduct planning 
                        related to brownfield sites under subparagraph 
                        (B); and
                            ``(ii) perform targeted site assessments at 
                        brownfield sites.
                    ``(B) Assistance for site characterization and 
                assessment.--
                            ``(i) In general.--On approval of an 
                        application made by an eligible entity, the 
                        Administrator may make a grant to the eligible 
                        entity to be used for programs to inventory, 
                        characterize, assess, and conduct planning 
                        related to 1 or more brownfield sites.
                            ``(ii) Site characterization and 
                        assessment.--A site characterization and 
                        assessment carried out with the use of a grant 
                        under clause (i) shall be performed in 
                        accordance with section 101(35)(B).
            ``(3) Grants and loans for brownfield remediation.--
                    ``(A) Grants provided by the president.--Subject to 
                paragraphs (4) and (5), the President shall establish a 
                program to provide grants to--
                            ``(i) eligible entities, to be used for 
                        capitalization of revolving loan funds; and
                            ``(ii) eligible entities or nonprofit 
                        organizations, where warranted, as determined 
                        by the President based on considerations under 
                        subparagraph (C), to be used directly for 
                        remediation of 1 or more brownfield sites owned 
                        by the entity or organization that receives the 
                        grant and in amounts not to exceed $200,000 for 
                        each site to be remediated.
                    ``(B) Loans and grants provided by eligible 
                entities.--An eligible entity that receives a grant 
                under subparagraph (A)(i) shall use the grant funds to 
                provide assistance for the remediation of brownfield 
                sites in the form of--
                            ``(i) 1 or more loans to an eligible 
                        entity, a site owner, a site developer, or 
                        another person; or
                            ``(ii) 1 or more grants to an eligible 
                        entity or other nonprofit organization, where 
                        warranted, as determined by the eligible entity 
                        that is providing the assistance, based on 
                        considerations under subparagraph (C), to 
                        remediate sites owned by the eligible entity or 
                        nonprofit organization that receives the grant.
                    ``(C) Considerations.--In determining whether a 
                grant under subparagraph (A)(ii) or (B)(ii) is 
                warranted, the President or the eligible entity, as the 
                case may be, shall take into consideration--
                            ``(i) the extent to which a grant will 
                        facilitate the creation of, preservation of, or 
                        addition to a park, a greenway, undeveloped 
                        property, recreational property, or other 
                        property used for nonprofit purposes;
                            ``(ii) the extent to which a grant will 
                        meet the needs of a community that has an 
                        inability to draw on other sources of funding 
                        for environmental remediation and subsequent 
                        redevelopment of the area in which a brownfield 
                        site is located because of the small population 
                        or low income of the community;
                            ``(iii) the extent to which a grant will 
                        facilitate the use or reuse of existing 
                        infrastructure;
                            ``(iv) the benefit of promoting the long-
                        term availability of funds from a revolving 
                        loan fund for brownfield remediation; and
                            ``(v) such other similar factors as the 
                        Administrator considers appropriate to consider 
                        for the purposes of this subsection.
                    ``(D) Transition.--Revolving loan funds that have 
                been established before the date of enactment of this 
                subsection may be used in accordance with this 
                paragraph.
            ``(4) General provisions.--
                    ``(A) Maximum grant amount.--
                            ``(i) Brownfield site characterization and 
                        assessment.--
                                    ``(I) In general.--A grant under 
                                paragraph (2) may be awarded to an 
                                eligible entity on a community-wide or 
                                site-by-site basis, and shall not 
                                exceed, for any individual brownfield 
                                site covered by the grant, $200,000.
                                    ``(II) Waiver.--The Administrator 
                                may waive the $200,000 limitation under 
                                subclause (I) to permit the brownfield 
                                site to receive a grant of not to 
                                exceed $350,000, based on the 
                                anticipated level of contamination, 
                                size, or status of ownership of the 
                                site.
                            ``(ii) Brownfield remediation.--A grant 
                        under paragraph (3)(A)(i) may be awarded to an 
                        eligible entity on a community-wide or site-by-
                        site basis, not to exceed $1,000,000 per 
                        eligible entity. The Administrator may make an 
                        additional grant to an eligible entity 
                        described in the previous sentence for any year 
                        after the year for which the initial grant is 
                        made, taking into consideration--
                                    ``(I) the number of sites and 
                                number of communities that are 
                                addressed by the revolving loan fund;
                                    ``(II) the demand for funding by 
                                eligible entities that have not 
                                previously received a grant under this 
                                subsection;
                                    ``(III) the demonstrated ability of 
                                the eligible entity to use the 
                                revolving loan fund to enhance 
                                remediation and provide funds on a 
                                continuing basis; and
                                    ``(IV) such other similar factors 
                                as the Administrator considers 
                                appropriate to carry out this 
                                subsection.
                    ``(B) Prohibition.--
                            ``(i) In general.--No part of a grant or 
                        loan under this subsection may be used for the 
                        payment of--
                                    ``(I) a penalty or fine;
                                    ``(II) a Federal cost-share 
                                requirement;
                                    ``(III) an administrative cost;
                                    ``(IV) a response cost at a 
                                brownfield site for which the recipient 
                                of the grant or loan is potentially 
                                liable under section 107; or
                                    ``(V) a cost of compliance with any 
                                Federal law (including a Federal law 
                                specified in section 101(39)(B)), 
                                excluding the cost of compliance with 
                                laws applicable to the cleanup.
                            ``(ii) Exclusions.--For the purposes of 
                        clause (i)(III), the term `administrative cost' 
                        does not include the cost of--
                                    ``(I) investigation and 
                                identification of the extent of 
                                contamination;
                                    ``(II) design and performance of a 
                                response action; or
                                    ``(III) monitoring of a natural 
                                resource.
                    ``(C) Assistance for development of local 
                government site remediation programs.--A local 
                government that receives a grant under this subsection 
                may use not to exceed 10 percent of the grant funds to 
                develop and implement a brownfields program that may 
                include--
                            ``(i) monitoring the health of populations 
                        exposed to 1 or more hazardous substances from 
                        a brownfield site; and
                            ``(ii) monitoring and enforcement of any 
                        institutional control used to prevent human 
                        exposure to any hazardous substance from a 
                        brownfield site.
                    ``(D) Insurance.--A recipient of a grant or loan 
                awarded under paragraph (2) or (3) that performs a 
                characterization, assessment, or remediation of a 
                brownfield site may use a portion of the grant or loan 
                to purchase insurance for the characterization, 
                assessment, or remediation of that site.
            ``(5) Grant applications.--
                    ``(A) Submission.--
                            ``(i) In general.--
                                    ``(I) Application.--An eligible 
                                entity may submit to the Administrator, 
                                through a regional office of the 
                                Environmental Protection Agency and in 
                                such form as the Administrator may 
                                require, an application for a grant 
                                under this subsection for 1 or more 
                                brownfield sites (including information 
                                on the criteria used by the 
                                Administrator to rank applications 
                                under subparagraph (C), to the extent 
                                that the information is available).
                                    ``(II) NCP requirements.--The 
                                Administrator may include in any 
                                requirement for submission of an 
                                application under subclause (I) a 
                                requirement of the National Contingency 
                                Plan only to the extent that the 
                                requirement is relevant and appropriate 
                                to the program under this subsection.
                            ``(ii) Coordination.--The Administrator 
                        shall coordinate with other Federal agencies to 
                        assist in making eligible entities aware of 
                        other available Federal resources.
                            ``(iii) Guidance.--The Administrator shall 
                        publish guidance to assist eligible entities in 
                        applying for grants under this subsection.
                    ``(B) Approval.--The Administrator shall--
                            ``(i) at least annually, complete a review 
                        of applications for grants that are received 
                        from eligible entities under this subsection; 
                        and
                            ``(ii) award grants under this subsection 
                        to eligible entities that the Administrator 
                        determines have the highest rankings under the 
                        ranking criteria established under subparagraph 
                        (C).
                    ``(C) Ranking criteria.--The Administrator shall 
                establish a system for ranking grant applications 
                received under this paragraph that includes the 
                following criteria:
                            ``(i) The extent to which a grant will 
                        stimulate the availability of other funds for 
                        environmental assessment or remediation, and 
                        subsequent reuse, of an area in which 1 or more 
                        brownfield sites are located.
                            ``(ii) The potential of the proposed 
                        project or the development plan for an area in 
                        which 1 or more brownfield sites are located to 
                        stimulate economic development of the area on 
                        completion of the cleanup.
                            ``(iii) The extent to which a grant would 
                        address or facilitate the identification and 
                        reduction of threats to human health and the 
                        environment, including threats in areas in 
                        which there is a greater-than-normal incidence 
                        of diseases or conditions (including cancer, 
                        asthma, or birth defects) that may be 
                        associated with exposure to hazardous 
                        substances, pollutants, or contaminants.
                            ``(iv) The extent to which a grant would 
                        facilitate the use or reuse of existing 
                        infrastructure.
                            ``(v) The extent to which a grant would 
                        facilitate the creation of, preservation of, or 
                        addition to a park, a greenway, undeveloped 
                        property, recreational property, or other 
                        property used for nonprofit purposes.
                            ``(vi) The extent to which a grant would 
                        meet the needs of a community that has an 
                        inability to draw on other sources of funding 
                        for environmental remediation and subsequent 
                        redevelopment of the area in which a brownfield 
                        site is located because of the small population 
                        or low income of the community.
                            ``(vii) The extent to which the applicant 
                        is eligible for funding from other sources.
                            ``(viii) The extent to which a grant will 
                        further the fair distribution of funding 
                        between urban and nonurban areas.
                            ``(ix) The extent to which the grant 
                        provides for involvement of the local community 
                        in the process of making decisions relating to 
                        cleanup and future use of a brownfield site.
                            ``(x) The extent to which a grant would 
                        address or facilitate the identification and 
                        reduction of threats to the health or welfare 
                        of children, pregnant women, minority or low-
                        income communities, or other sensitive 
                        populations.
            ``(6) Implementation of brownfields programs.--
                    ``(A) Establishment of program.--The Administrator 
                may provide, or fund eligible entities or nonprofit 
                organizations to provide, training, research, and 
                technical assistance to individuals and organizations, 
                as appropriate, to facilitate the inventory of 
                brownfield sites, site assessments, remediation of 
                brownfield sites, community involvement, or site 
                preparation.
                    ``(B) Funding restrictions.--The total Federal 
                funds to be expended by the Administrator under this 
                paragraph shall not exceed 15 percent of the total 
                amount appropriated to carry out this subsection in any 
                fiscal year.
            ``(7) Audits.--
                    ``(A) In general.--The Inspector General of the 
                Environmental Protection Agency shall conduct such 
                reviews or audits of grants and loans under this 
                subsection as the Inspector General considers necessary 
                to carry out this subsection.
                    ``(B) Procedure.--An audit under this subparagraph 
                shall be conducted in accordance with the auditing 
                procedures of the General Accounting Office, including 
                chapter 75 of title 31, United States Code.
                    ``(C) Violations.--If the Administrator determines 
                that a person that receives a grant or loan under this 
                subsection has violated or is in violation of a 
                condition of the grant, loan, or applicable Federal 
                law, the Administrator may--
                            ``(i) terminate the grant or loan;
                            ``(ii) require the person to repay any 
                        funds received; and
                            ``(iii) seek any other legal remedies 
                        available to the Administrator.
                    ``(D) Report to congress.--Not later than 3 years 
                after the date of enactment of this subsection, the 
                Inspector General of the Environmental Protection 
                Agency shall submit to Congress a report that provides 
                a description of the management of the program 
                (including a description of the allocation of funds 
                under this subsection).
            ``(8) Leveraging.--An eligible entity that receives a grant 
        under this subsection may use the grant funds for a portion of 
        a project at a brownfield site for which funding is received 
        from other sources if the grant funds are used only for the 
        purposes described in paragraph (2) or (3).
            ``(9) Agreements.--Each grant or loan made under this 
        subsection shall--
                    ``(A) include a requirement of the National 
                Contingency Plan only to the extent that the 
                requirement is relevant and appropriate to the program 
                under this subsection, as determined by the 
                Administrator; and
                    ``(B) be subject to an agreement that--
                            ``(i) requires the recipient to--
                                    ``(I) comply with all applicable 
                                Federal and State laws; and
                                    ``(II) ensure that the cleanup 
                                protects human health and the 
                                environment;
                            ``(ii) requires that the recipient use the 
                        grant or loan exclusively for purposes 
                        specified in paragraph (2) or (3), as 
                        applicable;
                            ``(iii) in the case of an application by an 
                        eligible entity under paragraph (3)(A), 
                        requires the eligible entity to pay a matching 
                        share (which may be in the form of a 
                        contribution of labor, material, or services) 
                        of at least 20 percent, from non-Federal 
                        sources of funding, unless the Administrator 
                        determines that the matching share would place 
                        an undue hardship on the eligible entity; and
                            ``(iv) contains such other terms and 
                        conditions as the Administrator determines to 
                        be necessary to carry out this subsection.
            ``(10) Facility other than brownfield site.--The fact that 
        a facility may not be a brownfield site within the meaning of 
        section 101(39)(A) has no effect on the eligibility of the 
        facility for assistance under any other provision of Federal 
        law.
            ``(11) Effect on federal laws.--Nothing in this subsection 
        affects any liability or response authority under any Federal 
        law, including--
                    ``(A) this Act (including the last sentence of 
                section 101(14));
                    ``(B) the Solid Waste Disposal Act (42 U.S.C. 6901 
                et seq.);
                    ``(C) the Federal Water Pollution Control Act (33 
                U.S.C. 1251 et seq.);
                    ``(D) the Toxic Substances Control Act (15 U.S.C. 
                2601 et seq.); and
                    ``(E) the Safe Drinking Water Act (42 U.S.C. 300f 
                et seq.).
            ``(12) Funding.--
                    ``(A) Authorization of appropriations.--There is 
                authorized to be appropriated to carry out this 
                subsection $200,000,000 for each of fiscal years 2002 
                through 2006.
                    ``(B) Use of certain funds.--Of the amount made 
                available under subparagraph (A), $50,000,000, or, if 
                the amount made available is less than $200,000,000, 25 
                percent of the amount made available, shall be used for 
                site characterization, assessment, and remediation of 
                facilities described in section 101(39)(D)(ii)(II).''.

            Subtitle B--Brownfields Liability Clarifications

SEC. 221. CONTIGUOUS PROPERTIES.

    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:
    ``(q) Contiguous Properties.--
            ``(1) Not considered to be an owner or operator.--
                    ``(A) In general.--A person that owns real property 
                that is contiguous to or otherwise similarly situated 
                with respect to, and that is or may be contaminated by 
                a release or threatened release of a hazardous 
                substance from, real property that is not owned by that 
                person shall not be considered to be an owner or 
                operator of a vessel or facility under paragraph (1) or 
                (2) of subsection (a) solely by reason of the 
                contamination if--
                            ``(i) the person did not cause, contribute, 
                        or consent to the release or threatened 
                        release;
                            ``(ii) the person is not--
                                    ``(I) potentially liable, or 
                                affiliated with any other person that 
                                is potentially liable, for response 
                                costs at a facility through any direct 
                                or indirect familial relationship or 
                                any contractual, corporate, or 
                                financial relationship (other than a 
                                contractual, corporate, or financial 
                                relationship that is created by a 
                                contract for the sale of goods or 
                                services); or
                                    ``(II) the result of a 
                                reorganization of a business entity 
                                that was potentially liable;
                            ``(iii) the person takes reasonable steps 
                        to--
                                    ``(I) stop any continuing release;
                                    ``(II) prevent any threatened 
                                future release; and
                                    ``(III) prevent or limit human, 
                                environmental, or natural resource 
                                exposure to any hazardous substance 
                                released on or from property owned by 
                                that person;
                            ``(iv) the person provides full 
                        cooperation, assistance, and access to persons 
                        that are authorized to conduct response actions 
                        or natural resource restoration at the vessel 
                        or facility from which there has been a release 
                        or threatened release (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 
                        vessel or facility);
                            ``(v) the person--
                                    ``(I) is in compliance with any 
                                land use restrictions established or 
                                relied on in connection with the 
                                response action at the facility; and
                                    ``(II) does not impede the 
                                effectiveness or integrity of any 
                                institutional control employed in 
                                connection with a response action;
                            ``(vi) the person is in compliance with any 
                        request for information or administrative 
                        subpoena issued by the President under this 
                        Act;
                            ``(vii) the person provides all legally 
                        required notices with respect to the discovery 
                        or release of any hazardous substances at the 
                        facility; and
                            ``(viii) at the time at which the person 
                        acquired the property, the person--
                                    ``(I) conducted all appropriate 
                                inquiry within the meaning of section 
                                101(35)(B) with respect to the 
                                property; and
                                    ``(II) did not know or have reason 
                                to know that the property was or could 
                                be contaminated by a release or 
                                threatened release of 1 or more 
                                hazardous substances from other real 
                                property not owned or operated by the 
                                person.
                    ``(B) Demonstration.--To qualify as a person 
                described in subparagraph (A), a person must establish 
                by a preponderance of the evidence that the conditions 
                in clauses (i) through (viii) of subparagraph (A) have 
                been met.
                    ``(C) Bona fide prospective purchaser.--Any person 
                that does not qualify as a person described in this 
                paragraph because the person had, or had reason to 
                have, knowledge specified in subparagraph (A)(viii) at 
                the time of acquisition of the real property may 
                qualify as a bona fide prospective purchaser under 
                section 101(40) if the person is otherwise described in 
                that section.
                    ``(D) Ground water.--With respect to a hazardous 
                substance from 1 or more sources that are not on the 
                property of a person that is a contiguous property 
                owner that enters ground water beneath the property of 
                the person solely as a result of subsurface migration 
                in an aquifer, subparagraph (A)(iii) shall not require 
                the person to conduct ground water investigations or to 
                install ground water remediation systems, except in 
                accordance with the policy of the Environmental 
                Protection Agency concerning owners of property 
                containing contaminated aquifers, dated May 24, 1995.
            ``(2) Effect of law.--With respect to a person described in 
        this subsection, nothing in this subsection--
                    ``(A) limits any defense to liability that may be 
                available to the person under any other provision of 
                law; or
                    ``(B) imposes liability on the person that is not 
                otherwise imposed by subsection (a).
            ``(3) Assurances.--The Administrator may--
                    ``(A) issue an assurance that no enforcement action 
                under this Act will be initiated against a person 
                described in paragraph (1); and
                    ``(B) grant a person described in paragraph (1) 
                protection against a cost recovery or contribution 
                action under section 113(f).''.

SEC. 222. PROSPECTIVE PURCHASERS AND WINDFALL LIENS.

    (a) Definition of Bona Fide Prospective Purchaser.--Section 101 of 
the Comprehensive Environmental Response, Compensation, and Liability 
Act of 1980 (42 U.S.C. 9601) (as amended by section 211(a) of this Act) 
is amended by adding at the end the following:
            ``(40) Bona fide prospective purchaser.--The term `bona 
        fide prospective purchaser' means a person (or a tenant of a 
        person) that acquires ownership of a facility after the date of 
        enactment of this paragraph and that establishes each of the 
        following by a preponderance of the evidence:
                    ``(A) Disposal prior to acquisition.--All disposal 
                of hazardous substances at the facility occurred before 
                the person acquired the facility.
                    ``(B) Inquiries.--
                            ``(i) In general.--The person made all 
                        appropriate inquiries into the previous 
                        ownership and uses of the facility in 
                        accordance with generally accepted good 
                        commercial and customary standards and 
                        practices in accordance with clauses (ii) and 
                        (iii).
                            ``(ii) Standards and practices.--The 
                        standards and practices referred to in clauses 
                        (ii) and (iv) of paragraph (35)(B) shall be 
                        considered to satisfy the requirements of this 
                        subparagraph.
                            ``(iii) Residential use.--In the case of 
                        property in residential or other similar use at 
                        the time of purchase by a nongovernmental or 
                        noncommercial entity, a facility inspection and 
                        title search that reveal no basis for further 
                        investigation shall be considered to satisfy 
                        the requirements of this subparagraph.
                    ``(C) Notices.--The person provides all legally 
                required notices with respect to the discovery or 
                release of any hazardous substances at the facility.
                    ``(D) Care.--The person exercises appropriate care 
                with respect to hazardous substances found at the 
                facility by taking reasonable steps to--
                            ``(i) stop any continuing release;
                            ``(ii) prevent any threatened future 
                        release; and
                            ``(iii) prevent or limit human, 
                        environmental, or natural resource exposure to 
                        any previously released hazardous substance.
                    ``(E) Cooperation, assistance, and access.--The 
                person provides full cooperation, assistance, and 
                access to persons that are authorized to conduct 
                response actions or natural resource restoration at a 
                vessel or facility (including the cooperation and 
                access necessary for the installation, integrity, 
                operation, and maintenance of any complete or partial 
                response actions or natural resource restoration at the 
                vessel or facility).
                    ``(F) Institutional control.--The person--
                            ``(i) is in compliance with any land use 
                        restrictions established or relied on in 
                        connection with the response action at a vessel 
                        or facility; and
                            ``(ii) does not impede the effectiveness or 
                        integrity of any institutional control employed 
                        at the vessel or facility in connection with a 
                        response action.
                    ``(G) Requests; subpoenas.--The person complies 
                with any request for information or administrative 
                subpoena issued by the President under this Act.
                    ``(H) No affiliation.--The person is not--
                            ``(i) potentially liable, or affiliated 
                        with any other person that is potentially 
                        liable, for response costs at a facility 
                        through--
                                    ``(I) any direct or indirect 
                                familial relationship; or
                                    ``(II) any contractual, corporate, 
                                or financial relationship (other than a 
                                contractual, corporate, or financial 
                                relationship that is created by the 
                                instruments by which title to the 
                                facility is conveyed or financed or by 
                                a contract for the sale of goods or 
                                services); or
                            ``(ii) the result of a reorganization of a 
                        business entity that was potentially liable.''.
    (b) Prospective Purchaser and Windfall Lien.--Section 107 of the 
Comprehensive Environmental Response, Compensation, and Liability Act 
of 1980 (42 U.S.C. 9607) (as amended by this Act) is further amended by 
adding at the end the following:
    ``(r) Prospective Purchaser and Windfall Lien.--
            ``(1) Limitation on liability.--Notwithstanding subsection 
        (a)(1), a bona fide prospective purchaser whose potential 
        liability for a release or threatened release is based solely 
        on the purchaser's being considered to be an owner or operator 
        of a facility shall not be liable as long as the bona fide 
        prospective purchaser does not impede the performance of a 
        response action or natural resource restoration.
            ``(2) Lien.--If there are unrecovered response costs 
        incurred by the United States at a facility for which an owner 
        of the facility is not liable by reason of paragraph (1), and 
        if each of the conditions described in paragraph (3) is met, 
        the United States shall have a lien on the facility, or may by 
        agreement with the owner, obtain from the owner a lien on any 
        other property or other assurance of payment satisfactory to 
        the Administrator, for the unrecovered response costs.
            ``(3) Conditions.--The conditions referred to in paragraph 
        (2) are the following:
                    ``(A) Response action.--A response action for which 
                there are unrecovered costs of the United States 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 
                before the response action was initiated.
            ``(4) Amount; duration.--A lien under paragraph (2)--
                    ``(A) shall be in an amount not to exceed the 
                increase in fair market value of the property 
                attributable to the response action at the time of a 
                sale or other disposition of the property;
                    ``(B) shall arise at the time at which costs are 
                first incurred by the United States with respect to a 
                response action at the facility;
                    ``(C) shall be subject to the requirements of 
                subsection (l)(3); and
                    ``(D) shall continue until the earlier of--
                            ``(i) satisfaction of the lien by sale or 
                        other means; or
                            ``(ii) notwithstanding any statute of 
                        limitations under section 113, recovery of all 
                        response costs incurred at the facility.''.

SEC. 223. INNOCENT LANDOWNERS.

    Section 101(35) of the Comprehensive Environmental Response, 
Compensation, and Liability Act of 1980 (42 U.S.C. 9601(35)) is 
amended--
            (1) in subparagraph (A)--
                    (A) in the first sentence, in the matter preceding 
                clause (i), by striking ``deeds or'' and inserting 
                ``deeds, easements, leases, or''; and
                    (B) in the second sentence--
                            (i) by striking ``he'' and inserting ``the 
                        defendant''; and
                            (ii) by striking the period at the end and 
                        inserting ``, provides full cooperation, 
                        assistance, and facility access to the persons 
                        that 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), is in compliance with any land use 
                        restrictions established or relied on in 
                        connection with the response action at a 
                        facility, and does not impede the effectiveness 
                        or integrity of any institutional control 
                        employed at the facility in connection with a 
                        response action.''; and
            (2) by striking subparagraph (B) and inserting the 
        following:
                    ``(B) Reason to know.--
                            ``(i) All appropriate inquiries.--To 
                        establish that the defendant had no reason to 
                        know of the matter described in subparagraph 
                        (A)(i), the defendant must demonstrate to a 
                        court that--
                                    ``(I) on or before the date on 
                                which the defendant acquired the 
                                facility, the defendant carried out all 
                                appropriate inquiries, as provided in 
                                clauses (ii) and (iv), into the 
                                previous ownership and uses of the 
                                facility in accordance with generally 
                                accepted good commercial and customary 
                                standards and practices; and
                                    ``(II) the defendant took 
                                reasonable steps to--
                                            ``(aa) stop any continuing 
                                        release;
                                            ``(bb) prevent any 
                                        threatened future release; and
                                            ``(cc) prevent or limit any 
                                        human, environmental, or 
                                        natural resource exposure to 
                                        any previously released 
                                        hazardous substance.
                            ``(ii) Standards and practices.--Not later 
                        than 2 years after the date of enactment of the 
                        Brownfields Revitalization and Environmental 
                        Restoration Act of 2001, the Administrator 
                        shall by regulation establish standards and 
                        practices for the purpose of satisfying the 
                        requirement to carry out all appropriate 
                        inquiries under clause (i).
                            ``(iii) Criteria.--In promulgating 
                        regulations that establish the standards and 
                        practices referred to in clause (ii), the 
                        Administrator shall include each of the 
                        following:
                                    ``(I) The results of an inquiry by 
                                an environmental professional.
                                    ``(II) Interviews with past and 
                                present owners, operators, and 
                                occupants of the facility for the 
                                purpose of gathering information 
                                regarding the potential for 
                                contamination at the facility.
                                    ``(III) Reviews of historical 
                                sources, such as chain of title 
                                documents, aerial photographs, building 
                                department records, and land use 
                                records, to determine previous uses and 
                                occupancies of the real property since 
                                the property was first developed.
                                    ``(IV) Searches for recorded 
                                environmental cleanup liens against the 
                                facility that are filed under Federal, 
                                State, or local law.
                                    ``(V) Reviews of Federal, State, 
                                and local government records, waste 
                                disposal records, underground storage 
                                tank records, and hazardous waste 
                                handling, generation, treatment, 
                                disposal, and spill records, concerning 
                                contamination at or near the facility.
                                    ``(VI) Visual inspections of the 
                                facility and of adjoining properties.
                                    ``(VII) Specialized knowledge or 
                                experience on the part of the 
                                defendant.
                                    ``(VIII) The relationship of the 
                                purchase price to the value of the 
                                property, if the property was not 
                                contaminated.
                                    ``(IX) Commonly known or reasonably 
                                ascertainable information about the 
                                property.
                                    ``(X) The degree of obviousness of 
                                the presence or likely presence of 
                                contamination at the property, and the 
                                ability to detect the contamination by 
                                appropriate investigation.
                            ``(iv) Interim standards and practices.--
                                    ``(I) Property purchased before may 
                                31, 1997.--With respect to property 
                                purchased before May 31, 1997, in 
                                making a determination with respect to 
                                a defendant described of clause (i), a 
                                court shall take into account--
                                            ``(aa) any specialized 
                                        knowledge or experience on the 
                                        part of the defendant;
                                            ``(bb) the relationship of 
                                        the purchase price to the value 
                                        of the property, if the 
                                        property was not contaminated;
                                            ``(cc) commonly known or 
                                        reasonably ascertainable 
                                        information about the property;
                                            ``(dd) the obviousness of 
                                        the presence or likely presence 
                                        of contamination at the 
                                        property; and
                                            ``(ee) the ability of the 
                                        defendant to detect the 
                                        contamination by appropriate 
                                        inspection.
                                    ``(II) Property purchased on or 
                                after may 31, 1997.--With respect to 
                                property purchased on or after May 31, 
                                1997, and until the Administrator 
                                promulgates the regulations described 
                                in clause (ii), the procedures of the 
                                American Society for Testing and 
                                Materials, including the document known 
                                as `Standard E1527-97', entitled 
                                `Standard Practice for Environmental 
                                Site Assessment: Phase 1 Environmental 
                                Site Assessment Process', shall satisfy 
                                the requirements in clause (i).
                            ``(v) Site inspection and title search.--In 
                        the case of property for residential use or 
                        other similar use purchased by a 
                        nongovernmental or noncommercial entity, a 
                        facility inspection and title search that 
                        reveal no basis for further investigation shall 
                        be considered to satisfy the requirements of 
                        this subparagraph.''.

                  Subtitle C--State Response Programs

SEC. 231. STATE RESPONSE PROGRAMS.

    (a) Definitions.--Section 101 of the Comprehensive Environmental 
Response, Compensation, and Liability Act of 1980 (42 U.S.C. 9601) (as 
amended by this Act) is further amended by adding at the end the 
following:
            ``(41) Eligible response site.--
                    ``(A) In general.--The term `eligible response 
                site' means a site that meets the definition of a 
                brownfield site in subparagraphs (A) and (B) of 
                paragraph (39), as modified by subparagraphs (B) and 
                (C) of this paragraph.
                    ``(B) Inclusions.--The term `eligible response 
                site' includes--
                            ``(i) notwithstanding paragraph 
                        (39)(B)(ix), a portion of a facility, for which 
                        portion assistance for response activity has 
                        been 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 under section 9508 of the 
                        Internal Revenue Code of 1986; or
                            ``(ii) a site for which, notwithstanding 
                        the exclusions provided in subparagraph (C) or 
                        paragraph (39)(B), the President determines, on 
                        a site-by-site basis and after consultation 
                        with the State, that limitations on enforcement 
                        under section 128 at sites specified in clause 
                        (iv), (v), (vi) or (viii) of paragraph (39)(B) 
                        would be appropriate and will--
                                    ``(I) protect human health and the 
                                environment; and
                                    ``(II) promote economic development 
                                or facilitate the creation of, 
                                preservation of, or addition to a park, 
                                a greenway, undeveloped property, 
                                recreational property, or other 
                                property used for nonprofit purposes.
                    ``(C) Exclusions.--The term `eligible response 
                site' does not include--
                            ``(i) a facility for which the President--
                                    ``(I) conducts or has conducted a 
                                preliminary assessment or site 
                                inspection; and
                                    ``(II) after consultation with the 
                                State, determines or has determined 
                                that the site obtains a preliminary 
                                score sufficient for possible listing 
                                on the National Priorities List, or 
                                that the site otherwise qualifies for 
                                listing on the National Priorities 
                                List; unless the President has made a 
                                determination that no further Federal 
                                action will be taken; or
                            ``(ii) facilities that the President 
                        determines warrant particular consideration as 
                        identified by regulation, such as sites posing 
                        a threat to a sole-source drinking water 
                        aquifer or a sensitive ecosystem.''.
    (b) State 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:

``SEC. 128. STATE RESPONSE PROGRAMS.

    ``(a) Assistance to States.--
            ``(1) In general.--
                    ``(A) States.--The Administrator may award a grant 
                to a State or Indian tribe that--
                            ``(i) has a response program that includes 
                        each of the elements, or is taking reasonable 
                        steps to include each of the elements, listed 
                        in paragraph (2); or
                            ``(ii) is a party to a memorandum of 
                        agreement with the Administrator for voluntary 
                        response programs.
                    ``(B) Use of grants by states.--
                            ``(i) In general.--A State or Indian tribe 
                        may use a grant under this subsection to 
                        establish or enhance the response program of 
                        the State or Indian tribe.
                            ``(ii) Additional uses.--In addition to the 
                        uses under clause (i), a State or Indian tribe 
                        may use a grant under this subsection to--
                                    ``(I) capitalize a revolving loan 
                                fund for brownfield remediation under 
                                section 104(k)(3); or
                                    ``(II) purchase insurance or 
                                develop a risk sharing pool, an 
                                indemnity pool, or insurance mechanism 
                                to provide financing for response 
                                actions under a State response program.
            ``(2) Elements.--The elements of a State or Indian tribe 
        response program referred to in paragraph (1)(A)(i) are the 
        following:
                    ``(A) Timely survey and inventory of brownfield 
                sites in the State.
                    ``(B) Oversight and enforcement authorities or 
                other mechanisms, and resources, that are adequate to 
                ensure that--
                            ``(i) a response action will--
                                    ``(I) protect human health and the 
                                environment; and
                                    ``(II) be conducted in accordance 
                                with applicable Federal and State law; 
                                and
                            ``(ii) if the person conducting the 
                        response action fails to complete the necessary 
                        response activities, including operation and 
                        maintenance or long-term monitoring activities, 
                        the necessary response activities are 
                        completed.
                    ``(C) Mechanisms and resources to provide 
                meaningful opportunities for public participation, 
                including--
                            ``(i) public access to documents that the 
                        State, Indian tribe, or party conducting the 
                        cleanup is relying on or developing in making 
                        cleanup decisions or conducting site 
                        activities;
                            ``(ii) prior notice and opportunity for 
                        comment on proposed cleanup plans and site 
                        activities; and
                            ``(iii) a mechanism by which--
                                    ``(I) a person that is or may be 
                                affected by a release or threatened 
                                release of a hazardous substance, 
                                pollutant, or contaminant at a 
                                brownfield site located in the 
                                community in which the person works or 
                                resides may request the conduct of a 
                                site assessment; and
                                    ``(II) an appropriate State 
                                official shall consider and 
                                appropriately respond to a request 
                                under subclause (I).
                    ``(D) Mechanisms for approval of a cleanup plan, 
                and a requirement for verification by and certification 
                or similar documentation from the State, an Indian 
                tribe, or a licensed site professional to the person 
                conducting a response action indicating that the 
                response is complete.
            ``(3) Funding.--There is authorized to be appropriated to 
        carry out this subsection $50,000,000 for each of fiscal years 
        2002 through 2006.
    ``(b) Enforcement in Cases of a Release Subject to State Program.--
            ``(1) Enforcement.--
                    ``(A) In general.-- Except as provided in 
                subparagraph (B) and subject to subparagraph (C), in 
                the case of an eligible response site at which--
                            ``(i) there is a release or threatened 
                        release of a hazardous substance, pollutant, or 
                        contaminant; and
                            ``(ii) a person is conducting or has 
                        completed a response action regarding the 
                        specific release that is addressed by the 
                        response action that is in compliance with the 
                        State program that specifically governs 
                        response actions for the protection of public 
                        health and the environment;
                the President may not use authority under this Act to 
                take an administrative or judicial enforcement action 
                under section 106(a) or to take a judicial enforcement 
                action to recover response costs under section 107(a) 
                against the person regarding the specific release that 
                is addressed by the response action.
                    ``(B) Exceptions.--The President may bring an 
                administrative or judicial enforcement action under 
                this Act during or after completion of a response 
                action described in subparagraph (A) with respect to a 
                release or threatened release at an eligible response 
                site described in that subparagraph if--
                            ``(i) the State requests that the President 
                        provide assistance in the performance of a 
                        response action;
                            ``(ii) the Administrator determines that 
                        contamination has migrated or will migrate 
                        across a State line, resulting in the need for 
                        further response action to protect human health 
                        or the environment, or the President determines 
                        that contamination has migrated or is likely to 
                        migrate onto property subject to the 
                        jurisdiction, custody, or control of a 
                        department, agency, or instrumentality of the 
                        United States and may impact the authorized 
                        purposes of the Federal property;
                            ``(iii) after taking into consideration the 
                        response activities already taken, the 
                        Administrator determines that--
                                    ``(I) a release or threatened 
                                release may present an imminent and 
                                substantial endangerment to public 
                                health or welfare or the environment; 
                                and
                                    ``(II) additional response actions 
                                are likely to be necessary to address, 
                                prevent, limit, or mitigate the release 
                                or threatened release; or
                            ``(iv) the Administrator, after 
                        consultation with the State, determines that 
                        information, that on the earlier of the date on 
                        which cleanup was approved or completed, was 
                        not known by the State, as recorded in 
                        documents prepared or relied on in selecting or 
                        conducting the cleanup, has been discovered 
                        regarding the contamination or conditions at a 
                        facility such that the contamination or 
                        conditions at the facility present a threat 
                        requiring further remediation to protect public 
                        health or welfare or the environment. 
                        Consultation with the State shall not limit the 
                        ability of the Administrator to make this 
                        determination.
                    ``(C) Public record.--The limitations on the 
                authority of the President under subparagraph (A) apply 
                only at sites in States that maintain, update not less 
                than annually, and make available to the public a 
                record of sites, by name and location, at which 
                response actions have been completed in the previous 
                year and are planned to be addressed under the State 
                program that specifically governs response actions for 
                the protection of public health and the environment in 
                the upcoming year. The public record shall identify 
                whether or not the site, on completion of the response 
                action, will be suitable for unrestricted use and, if 
                not, shall identify the institutional controls relied 
                on in the remedy. Each State and tribe receiving 
                financial assistance under subsection (a) shall 
                maintain and make available to the public a record of 
                sites as provided in this paragraph.
                    ``(D) EPA notification.--
                            ``(i) In general.--In the case of an 
                        eligible response site at which there is a 
                        release or threatened release of a hazardous 
                        substance, pollutant, or contaminant and for 
                        which the Administrator intends to carry out an 
                        action that may be barred under subparagraph 
                        (A), the Administrator shall--
                                    ``(I) notify the State of the 
                                action the Administrator intends to 
                                take; and
                                    ``(II)(aa) wait 48 hours for a 
                                reply from the State under clause (ii); 
                                or
                                    ``(bb) if the State fails to reply 
                                to the notification or if the 
                                Administrator makes a determination 
                                under clause (iii), take immediate 
                                action under that clause.
                            ``(ii) State reply.--Not later than 48 
                        hours after a State receives notice from the 
                        Administrator under clause (i), the State shall 
                        notify the Administrator if--
                                    ``(I) the release at the eligible 
                                response site is or has been subject to 
                                a cleanup conducted under a State 
                                program; and
                                    ``(II) the State is planning to 
                                abate the release or threatened 
                                release, any actions that are planned.
                            ``(iii) Immediate federal action.--The 
                        Administrator may take action immediately after 
                        giving notification under clause (i) without 
                        waiting for a State reply under clause (ii) if 
                        the Administrator determines that 1 or more 
                        exceptions under subparagraph (B) are met.
                    ``(E) Report to congress.--Not later than 90 days 
                after the date of initiation of any enforcement action 
                by the President under clause (ii), (iii), or (iv) of 
                subparagraph (B), the President shall submit to 
                Congress a report describing the basis for the 
                enforcement action, including specific references to 
                the facts demonstrating that enforcement action is 
                permitted under subparagraph (B).
            ``(2) Savings provision.--
                    ``(A) Costs incurred prior to limitations.--Nothing 
                in paragraph (1) precludes the President from seeking 
                to recover costs incurred prior to the date of 
                enactment of this section or during a period in which 
                the limitations of paragraph (1)(A) were not 
                applicable.
                    ``(B) Effect on agreements between states and 
                epa.--Nothing in paragraph (1)--
                            ``(i) modifies or otherwise affects a 
                        memorandum of agreement, memorandum of 
                        understanding, or any similar agreement 
                        relating to this Act between a State agency or 
                        an Indian tribe and the Administrator that is 
                        in effect on or before the date of enactment of 
                        this section (which agreement shall remain in 
                        effect, subject to the terms of the agreement); 
                        or
                            ``(ii) limits the discretionary authority 
                        of the President to enter into or modify an 
                        agreement with a State, an Indian tribe, or any 
                        other person relating to the implementation by 
                        the President of statutory authorities.
            ``(3) Effective date.--This subsection applies only to 
        response actions conducted after February 15, 2001.
    ``(c) Effect on Federal Laws.--Nothing in this section affects any 
liability or response authority under any Federal law, including--
            ``(1) this Act, except as provided in subsection (b);
            ``(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. 232. ADDITIONS TO NATIONAL PRIORITIES LIST.

    Section 105 of the Comprehensive Environmental Response, 
Compensation, and Liability Act of 1980 (42 U.S.C. 9605) is amended by 
adding at the end the following:
    ``(h) NPL Deferral.--
            ``(1) Deferral to state voluntary cleanups.--At the request 
        of a State and subject to paragraphs (2) and (3), the President 
        generally shall defer final listing of an eligible response 
        site on the National Priorities List if the President 
        determines that--
                    ``(A) the State, or another party under an 
                agreement with or order from the State, is conducting a 
                response action at the eligible response site--
                            ``(i) in compliance with a State program 
                        that specifically governs response actions for 
                        the protection of public health and the 
                        environment; and
                            ``(ii) that will provide long-term 
                        protection of human health and the environment; 
                        or
                    ``(B) the State is actively pursuing an agreement 
                to perform a response action described in subparagraph 
                (A) at the site with a person that the State has reason 
                to believe is capable of conducting a response action 
                that meets the requirements of subparagraph (A).
            ``(2) Progress toward cleanup.--If, after the last day of 
        the 1-year period beginning on the date on which the President 
        proposes to list an eligible response site on the National 
        Priorities List, the President determines that the State or 
        other party is not making reasonable progress toward completing 
        a response action at the eligible response site, the President 
        may list the eligible response site on the National Priorities 
        List.
            ``(3) Cleanup agreements.--With respect to an eligible 
        response site under paragraph (1)(B), if, after the last day of 
        the 1-year period beginning on the date on which the President 
        proposes to list the eligible response site on the National 
        Priorities List, an agreement described in paragraph (1)(B) has 
        not been reached, the President may defer the listing of the 
        eligible response site on the National Priorities List for an 
        additional period of not to exceed 180 days if the President 
        determines deferring the listing would be appropriate based 
        on--
                    ``(A) the complexity of the site;
                    ``(B) substantial progress made in negotiations; 
                and
                    ``(C) other appropriate factors, as determined by 
                the President.
            ``(4) Exceptions.--The President may decline to defer, or 
        elect to discontinue a deferral of, a listing of an eligible 
        response site on the National Priorities List if the President 
        determines that--
                    ``(A) deferral would not be appropriate because the 
                State, as an owner or operator or a significant 
                contributor of hazardous substances to the facility, is 
                a potentially responsible party;
                    ``(B) the criteria under the National Contingency 
                Plan for issuance of a health advisory have been met; 
                or
                    ``(C) the conditions in paragraphs (1) through (3), 
                as applicable, are no longer being met.''.

            Passed the House of Representatives December 20 
      (legislative day, December 19), 2001.

            Attest:

                                                                 Clerk.
107th CONGRESS

  1st Session

                               H. R. 2869

_______________________________________________________________________

                                 AN ACT

To provide certain relief for small businesses from liability under the 
 Comprehensive Environmental Response, Compensation, and Liability Act 
  of 1980, and to amend such Act to promote the cleanup and reuse of 
     brownfields, to provide financial assistance for brownfields 
   revitalization, to enhance State response programs, and for other 
                               purposes.