[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2869 Enrolled Bill (ENR)]

        H.R.2869

                      One Hundred Seventh Congress

                                 of the

                        United States of America


                          AT THE FIRST SESSION

         Begun and held at the City of Washington on Wednesday,
             the third day of January, two thousand and one


                                 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 one 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 one 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) one or more loans to an eligible entity, a site 
            owner, a site developer, or another person; or
                ``(ii) one 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 the 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 
            one 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 one 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 one 
            or more brownfield sites are located.
                ``(ii) The potential of the proposed project or the 
            development plan for an area in which one 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 the 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 one 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 one 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 the 
    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 the 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 in 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 one 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 the 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 the 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.''.

                               Speaker of the House of Representatives.

                            Vice President of the United States and    
                                               President of the Senate.