Senate Bill 1202
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Florida Senate - 1998 SB 1202
By Senator Latvala
312-926B-98
1 A bill to be entitled
2 An act relating to brownfields redevelopment;
3 amending s. 376.77, F.S.; correcting a
4 cross-reference; amending s. 376.79, F.S.;
5 redefining terms and defining the term
6 "secretary"; amending s. 376.80, F.S.;
7 providing that closed military bases may be
8 designated as brownfield areas; clarifying the
9 job-creation criteria for the designation of a
10 brownfield site; clarifying certain terms;
11 amending s. 376.81, F.S.; deleting a
12 duplicative provision relating to the issuance
13 of no-further-action orders; amending s.
14 376.82, F.S.; providing clarification regarding
15 the eligibility of certain brownfield sites;
16 clarifying the provisions relating to the job
17 creation eligibility criteria; providing
18 liability protection for properties acquired by
19 local or state governments under certain
20 conditions; amending s. 376.83, F.S.;
21 correcting a cross-reference; amending s.
22 288.106, F.S.; providing that the wage
23 requirement criteria may be waived for a
24 designated brownfield area; requiring the
25 Director of the Office of Tourism, Trade, and
26 Economic Development to approve certain wage
27 requirement waiver requests; amending s.
28 288.107, F.S.; defining the terms "brownfield
29 area" and "brownfield site"; providing
30 legislative intent regarding the inefficient
31 use of public facilities and services in
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1 brownfield areas; creating the Brownfield Areas
2 Loan Guarantee Program; creating the Brownfield
3 Areas Loan Guarantee Council; providing duties
4 and membership; providing that not more than $5
5 million of the investment earnings on the
6 investment of the minimum balance of the
7 Nonmandatory Land Reclamation Trust Fund in a
8 fiscal year shall be at risk at any time on one
9 or more loan guarantees, or as loan loss
10 reserves; requiring lenders seeking loan
11 guarantees from the council to follow certain
12 specified procedures; limiting the
13 circumstances under which a lender may file a
14 claim for a loss pursuant to the guaranty;
15 providing the council with certain rulemaking
16 authority; authorizing the council to receive
17 certain funds; requiring the council to file an
18 annual report to the Legislature; providing for
19 future legislative review; amending s.
20 288.9602, F.S.; providing for the redevelopment
21 of brownfield areas to be included in the
22 declaration of findings regarding economic
23 development; amending s. 288.9605, F.S.;
24 expanding the powers and duties of the Florida
25 Development Finance Corporation to authorize
26 the corporation to make determinations
27 regarding participation in certain partnerships
28 and agreements concerning the redevelopment of
29 brownfield areas and the guaranty of revenue
30 bonds, loan guarantees, or loan loss reserves;
31 requiring the Board of Regents to establish a
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1 Center for Brownfield Rehabilitation Assistance
2 in the Environmental Sciences and Policy
3 Program in the College of Arts and Sciences at
4 the University of South Florida; specifying the
5 purpose and duties of the center; amending s.
6 163.3187, F.S.; providing that local government
7 comprehensive plan amendments directly related
8 to proposed redevelopment of designated
9 brownfield areas may be approved without regard
10 to certain statutory limits on the frequency of
11 amendments to the local comprehensive plan;
12 providing legislative findings and intent
13 regarding lienholders on brownfield property;
14 providing that certain counties and
15 municipalities may apply for designation of an
16 enterprise zone encompassing a brownfield pilot
17 project under certain circumstances; providing
18 an effective date.
19
20 Be It Enacted by the Legislature of the State of Florida:
21
22 Section 1. Section 376.77, Florida Statutes, is
23 amended to read:
24 376.77 Short title.--Sections 376.77-376.85 376.83 may
25 be cited as the "Brownfields Redevelopment Act."
26 Section 2. Section 376.79, Florida Statutes, is
27 amended to read:
28 376.79 Definitions.--As used in ss. 376.77-376.85, the
29 term:
30 (1) "Additive effects" means a scientific principle
31 that the toxicity that occurs as a result of exposure is the
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1 sum of the toxicities of the individual chemicals to which the
2 individual is exposed.
3 (2) "Antagonistic effects" means a scientific
4 principle that the toxicity that occurs as a result of
5 exposure is less than the sum of the toxicities of the
6 individual chemicals to which the individual is exposed.
7 (3) "Brownfield sites" means sites that are generally
8 abandoned, idled, or underused industrial and commercial
9 properties where expansion or redevelopment is complicated by
10 actual or perceived environmental contamination.
11 (4) "Brownfield area" means a contiguous area of one
12 or more brownfield sites, some of which may not be
13 contaminated, and which has been designated by a local
14 government by resolution. Such areas may include all or
15 portions of community redevelopment areas, enterprise zones,
16 empowerment zones, other such designated economically deprived
17 communities and areas, and Environmental Protection
18 Agency-designated brownfield pilot projects.
19 (5) "Contaminated site" means any contiguous land,
20 surface water, or groundwater areas that contain contaminants
21 that may be harmful to human health or the environment.
22 (6) "Department" means the Department of Environmental
23 Protection.
24 (7) "Engineering controls" means modifications to a
25 site to reduce or eliminate the potential for exposure to
26 contaminants. Such modifications may include, but are not
27 limited to, physical or hydraulic control measures, capping,
28 point of use treatments, or slurry walls.
29 (8) "Environmental justice" means the fair treatment
30 of all people of all races, cultures, and incomes with respect
31
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1 to the development, implementation, and enforcement of
2 environmental laws, regulations, and policies.
3 (9) "Institutional controls" means the restriction on
4 use of or access to a site to eliminate or minimize exposure
5 to contaminants. Such restrictions may include, but are not
6 limited to, deed restrictions, use restrictions, or
7 restrictive zoning.
8 (10) "Local pollution control program" means a local
9 pollution control program that has received delegated
10 authority from the Department of Environmental Protection
11 under s. 403.182 and s. 376.80(11).
12 (11) "Natural attenuation" means the verifiable
13 reduction of contaminants through natural processes, which may
14 include diffusion, dispersion, adsorption absorption, and
15 biodegradation.
16 (12) "Person responsible for brownfield site
17 rehabilitation" means the individual or entity that is
18 designated by the local government in its resolution
19 establishing a brownfield area to enter into the brownfield
20 site rehabilitation agreement with the department or an
21 approved local pollution control program and enters into an
22 agreement with the local government for redevelopment of the
23 site.
24 (13) "Person" means any individual, partner, joint
25 venture, or corporation; any group of the foregoing, organized
26 or united for a business purpose; or any governmental entity.
27 (14) "Secretary" means the Secretary of Environmental
28 Protection.
29 (15)(14) "Site rehabilitation" means the assessment of
30 site contamination and the remediation activities that reduce
31 the levels of contaminants at a site through accepted
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1 treatment methods to meet the cleanup target levels
2 established for that site.
3 (16)(15) "Source removal" means the removal of free
4 product or contaminants from soil that has been contaminated
5 to the extent that leaching to groundwater has or is
6 occurring.
7 (17)(16) "Synergistic effects" means a scientific
8 principle that the toxicity that occurs as a result of
9 exposure is more than the sum of the toxicities of the
10 individual chemicals to which the individual is exposed.
11 Section 3. Section 376.80, Florida Statutes, is
12 amended to read:
13 376.80 Brownfield program administration process.--
14 (1) A local government with jurisdiction over the
15 brownfield area must notify the department of its decision to
16 designate a brownfield area for rehabilitation for the
17 purposes of ss. 376.77-376.84. The notification must include a
18 resolution, by the local government body, to which is attached
19 a map adequate to clearly delineate exactly which parcels are
20 to be included in the brownfield area or alternatively a
21 less-detailed map accompanied by a detailed legal description
22 of the brownfield area. If a property owner within the area
23 proposed for designation by the local government requests in
24 writing to have his or her property removed from the proposed
25 designation, the local government shall grant the request. For
26 municipalities, the governing body shall adopt the resolution
27 in accordance with the procedures outlined in s. 166.041,
28 except that the notice for the public hearings on the proposed
29 resolution must be in the form established in s.
30 166.041(3)(c)2. For counties, the governing body shall adopt
31 the resolution in accordance with the procedures outlined in
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1 s. 125.66, except that the notice for the public hearings on
2 the proposed resolution shall be in the form established in s.
3 125.66(4)(b)2.
4 (2)(a) If a local government proposes to designate a
5 brownfield area that is outside community redevelopment areas,
6 enterprise zones, empowerment zones, closed military bases, or
7 designated brownfield pilot project areas, the local
8 government must conduct at least one public hearing in the
9 area to be designated to provide an opportunity for public
10 input on the size of the area, the objectives for
11 rehabilitation, job opportunities and economic developments
12 anticipated, neighborhood residents' considerations, and other
13 relevant local concerns. Notice of the public hearing must be
14 made in a newspaper of general circulation in the area and the
15 notice must be at least 16 square inches in size, must be in
16 ethnic newspapers or local community bulletins, must be posted
17 in the affected area, and must be announced at a scheduled
18 meeting of the local governing body before the actual public
19 hearing. In determining the areas to be designated, the local
20 government must consider:
21 1. Whether the brownfield area warrants economic
22 development and has a reasonable potential for such
23 activities;
24 2. Whether the proposed area to be designated
25 represents a reasonably focused approach and is not overly
26 large in geographic coverage;
27 3. Whether the area has potential to interest the
28 private sector in participating in rehabilitation; and
29 4. Whether the area contains sites or parts of sites
30 suitable for limited recreational open space, cultural, or
31 historical preservation purposes.
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1 (b) A local government shall designate a brownfield
2 area under the provisions of this act provided that:
3 1. A person who owns or controls a potential
4 brownfield site is requesting the designation and has agreed
5 to rehabilitate and redevelop the brownfield site;
6 2. The rehabilitation and redevelopment of the
7 proposed brownfield site will result in economic productivity
8 of the area, along with the creation of at least 10 new
9 permanent jobs, whether full-time or part-time, which are not
10 associated with the implementation of the rehabilitation
11 agreement or an agreement, between the person responsible for
12 site rehabilitation and the local government with
13 jurisdiction, which contains terms for the redevelopment of
14 the brownfield site or brownfield area;
15 3. The redevelopment of the proposed brownfield site
16 is consistent with the local comprehensive plan and is a
17 permittable use under the applicable local land development
18 regulations;
19 4. Notice of the proposed rehabilitation of the
20 brownfield area has been provided to neighbors and nearby
21 residents of the proposed area to be designated, and the
22 person proposing the area for designation has afforded to
23 those receiving notice the opportunity for comments and
24 suggestions about rehabilitation. Notice pursuant to this
25 subsection must be made in a newspaper of general circulation
26 in the area, at least 16 square inches in size, and the notice
27 must be posted in the affected area; and
28 5. The person proposing the area for designation has
29 provided reasonable assurance that he or she has sufficient
30 financial resources to implement and complete the
31 rehabilitation agreement and redevelopment plan.
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1 (c) The designation of a brownfield area and the
2 identification of a person responsible for brownfield site
3 rehabilitation simply entitles the identified person to
4 negotiate a brownfield site rehabilitation agreement with the
5 department or approved local pollution control program
6 government.
7 (3) The local government must at the time of the
8 adoption of the resolution notify the department of the entity
9 that it is designating as the person responsible for
10 brownfield site rehabilitation. If the agency or person who
11 will be responsible for the coordination changes during the
12 approval process specified in subsections (4), (5), and (6),
13 the department or the affected approved local pollution
14 control program must notify the affected local government when
15 the change occurs.
16 (4) Local governments or persons responsible for
17 rehabilitation and redevelopment of brownfield areas must
18 establish an advisory committee for the purpose of improving
19 public participation and receiving public comments on
20 rehabilitation and redevelopment of the brownfield area,
21 future land use, local employment opportunities, community
22 safety, and environmental justice. Such advisory committee
23 should include residents within or adjacent to the brownfield
24 area, businesses operating within the brownfield area, and
25 others deemed appropriate. The advisory committee must review
26 and provide recommendations to the board of the local
27 government with jurisdiction on the proposed site
28 rehabilitation agreement provided in subsection (5).
29 (5) The person responsible for brownfield site
30 rehabilitation must enter into a brownfield site
31 rehabilitation agreement with the department or an approved
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1 local pollution control environmental program. The brownfield
2 site rehabilitation agreement must include:
3 (a) A brownfield site rehabilitation schedule,
4 including milestones for completion of site rehabilitation
5 tasks and submittal of technical reports and rehabilitation
6 plans as agreed upon by the parties to the agreement;
7 (b) A commitment to conduct site rehabilitation
8 activities under the observation of professional engineers or
9 geologists who are registered in accordance with the
10 requirements of chapter 471 or chapter 492, respectively.
11 Submittals provided by the person responsible for brownfield
12 site rehabilitation must be signed and sealed by a
13 professional engineer registered under chapter 471, or a
14 professional geologist registered under chapter 492,
15 certifying that the submittal and associated work comply with
16 the law and rules of the department and those governing the
17 profession. In addition, upon completion of the approved
18 remedial action, the department shall require a professional
19 engineer registered under chapter 471 or a professional
20 geologist registered under chapter 492 to certify that the
21 corrective action was, to the best of his or her knowledge,
22 completed in substantial conformance with the plans and
23 specifications approved by the department;
24 (c) A commitment to conduct site rehabilitation in
25 accordance with an approved comprehensive quality assurance
26 plan under department rules;
27 (d) A commitment to conduct site rehabilitation
28 consistent with state, federal, and local laws and consistent
29 with the brownfield site contamination cleanup criteria in s.
30 376.81, including any applicable requirements for risk-based
31 corrective action;
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1 (e) Timeframes for the department's review of
2 technical reports and plans submitted in accordance with the
3 agreement. The department shall make every effort to adhere
4 to established agency goals for reasonable timeframes for
5 review of such documents;
6 (f) A commitment to secure site access for the
7 department or approved local pollution control environmental
8 program to all brownfield sites within the eligible brownfield
9 area for activities associated with site rehabilitation;
10 (g) Other provisions that the person responsible for
11 brownfield site rehabilitation and the department agree upon,
12 that are consistent with ss. 376.77-376.84, and that will
13 improve or enhance the brownfield site rehabilitation process;
14 (h) A commitment to consider appropriate pollution
15 prevention measures and to implement those that the person
16 responsible for brownfield site rehabilitation determines are
17 reasonable and cost-effective, taking into account the
18 ultimate use or uses of the brownfield site. Such measures
19 may include improved inventory or production controls and
20 procedures for preventing loss, spills, and leaks of hazardous
21 waste and materials, and include goals for the reduction of
22 releases of toxic materials; and
23 (i) Certification that an agreement exists between the
24 person responsible for site rehabilitation and the local
25 government with jurisdiction over the brownfield. Such
26 agreement shall contain terms for the redevelopment of the
27 brownfield.
28 (6) Any contractor performing site rehabilitation
29 program tasks must demonstrate to the department that the
30 contractor:
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1 (a) Meets all certification and license requirements
2 imposed by law; and
3 (b) Has obtained approval for the comprehensive
4 quality-assurance plan prepared under department rules.
5 (7) The contractor must certify to the department that
6 the contractor:
7 (a) Complies with applicable OSHA regulations.
8 (b) Maintains workers' compensation insurance for all
9 employees as required by the Florida Workers' Compensation
10 Law.
11 (c) Maintains comprehensive general liability and
12 comprehensive automobile liability insurance with minimum
13 limits of at least $1 million per occurrence and $1 million
14 annual aggregate, sufficient to protect it from claims for
15 damage for personal injury, including accidental death, as
16 well as claims for property damage which may arise from
17 performance of work under the program, designating the state
18 as an additional insured party.
19 (d) Maintains professional liability insurance of at
20 least $1 million per occurrence and $1 million annual
21 aggregate.
22 (e) Has the capacity to perform or directly supervise
23 the majority of the work at a site in accordance with s.
24 489.113(9).
25 (8) Any professional engineer or geologist providing
26 professional services relating to site rehabilitation program
27 tasks must carry professional liability insurance with a
28 coverage limit of at least $1 million.
29 (9) During the cleanup process, if the department or
30 local program fails to complete review of a technical document
31 within the timeframe specified in the brownfield site
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1 rehabilitation agreement, the person responsible for
2 brownfield site rehabilitation may proceed to the next site
3 rehabilitation task. However, the person responsible for
4 brownfield site rehabilitation does so at its own risk and may
5 be required by the department or local program to complete
6 additional work on a previous task. Exceptions to this
7 subsection include requests for "no further action,"
8 "monitoring only proposals," and feasibility studies, which
9 must be approved prior to implementation.
10 (10) If the person responsible for brownfield site
11 rehabilitation fails to comply with the brownfield site
12 rehabilitation agreement, the department shall allow 90 days
13 for the person responsible for brownfield site rehabilitation
14 to return to compliance with the provision at issue or to
15 negotiate a modification to the brownfield site rehabilitation
16 agreement with the department for good cause shown. If an
17 imminent hazard exists, the 90-day grace period shall not
18 apply. If the project is not returned to compliance with the
19 brownfield site rehabilitation agreement and a modification
20 cannot be negotiated, the immunity provisions of s. 376.82 are
21 revoked.
22 (11) The department is specifically authorized and
23 encouraged to enter into delegation agreements with local
24 pollution control programs approved under s. 403.182 to
25 administer the brownfield program within their jurisdictions,
26 thereby maximizing the integration of this process with the
27 other local development processes needed to facilitate
28 redevelopment of a brownfield area. When determining whether
29 a delegation pursuant to this subsection of all or part of the
30 brownfields program to a local pollution control program is
31
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1 appropriate, the department shall consider the following. The
2 local pollution control program must:
3 (a) Have and maintain the administrative organization,
4 staff, and financial and other resources to effectively and
5 efficiently implement and enforce the statutory requirements
6 of the delegated brownfields program; and
7 (b) Provide for the enforcement of the requirements of
8 the delegated brownfields program, and for notice and a right
9 to challenge governmental action, by appropriate
10 administrative and judicial process, which shall be specified
11 in the delegation.
12
13 The local pollution control program shall not be delegated
14 authority to take action on or to make decisions regarding any
15 brownfield site on land owned by the local government. Any
16 delegation agreement entered into pursuant to this subsection
17 shall contain such terms and conditions necessary to ensure
18 the effective and efficient administration and enforcement of
19 the statutory requirements of the brownfields program as
20 established by the act and the relevant rules and other
21 criteria of the department.
22 (12) Local governments are encouraged to use the full
23 range of economic and tax incentives available to facilitate
24 and promote the rehabilitation of brownfield areas, to help
25 eliminate the public health and environmental hazards, and to
26 promote the creation of jobs and economic development in these
27 previously run-down, blighted, and underutilized areas.
28 Section 4. Section 376.81, Florida Statutes, is
29 amended to read:
30 376.81 Brownfield site and brownfield areas
31 contamination cleanup criteria.--
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1 (1) It is the intent of the Legislature to protect the
2 health of all people under actual circumstances of exposure.
3 By July 1, 1998, the secretary of the department shall
4 establish criteria by rule for the purpose of determining, on
5 a site-specific basis, the rehabilitation program tasks that
6 comprise a site rehabilitation program and the level at which
7 a rehabilitation program task and a site rehabilitation
8 program may be deemed completed. In establishing the rule,
9 the department shall incorporate, to the maximum extent
10 feasible, risk-based corrective action principles to achieve
11 protection of human health and safety and the environment in a
12 cost-effective manner as provided in this subsection. The
13 rule shall also include protocols for the use of natural
14 attenuation and the issuance of "no further action" letters.
15 The criteria for determining what constitutes a rehabilitation
16 program task or completion of a site rehabilitation program
17 task or site rehabilitation program must:
18 (a) Consider the current exposure and potential risk
19 of exposure to humans and the environment, including multiple
20 pathways of exposure. The physical, chemical, and biological
21 characteristics of each contaminant must be considered in
22 order to determine the feasibility of risk-based corrective
23 action assessment.
24 (b) Establish the point of compliance at the source of
25 the contamination. However, the department is authorized to
26 temporarily move the point of compliance to the boundary of
27 the property, or to the edge of the plume when the plume is
28 within the property boundary, while cleanup, including cleanup
29 through natural attenuation processes in conjunction with
30 appropriate monitoring, is proceeding. The department also is
31 authorized, pursuant to criteria provided for in this section,
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1 to temporarily extend the point of compliance beyond the
2 property boundary with appropriate monitoring, if such
3 extension is needed to facilitate natural attenuation or to
4 address the current conditions of the plume, provided human
5 health, public safety, and the environment are protected.
6 When temporarily extending the point of compliance beyond the
7 property boundary, it cannot be extended further than the
8 lateral extent of the plume at the time of execution of the
9 brownfield site rehabilitation agreement, if known, or the
10 lateral extent of the plume as defined at the time of site
11 assessment. Temporary extension of the point of compliance
12 beyond the property boundary, as provided in this paragraph,
13 must include actual notice by the person responsible for
14 brownfield site rehabilitation to local governments and the
15 owners of any property into which the point of compliance is
16 allowed to extend and constructive notice to residents and
17 business tenants of the property into which the point of
18 compliance is allowed to extend. Persons receiving notice
19 pursuant to this paragraph shall have the opportunity to
20 comment within 30 days of receipt of the notice.
21 (c) Ensure that the site-specific cleanup goal is that
22 all contaminated brownfield sites and brownfield areas
23 ultimately achieve the applicable cleanup target levels
24 provided in this section. In the circumstances provided below,
25 and after constructive notice and opportunity to comment
26 within 30 days from receipt of the notice to local government,
27 to owners of any property into which the point of compliance
28 is allowed to extend, and to residents on any property into
29 which the point of compliance is allowed to extend, the
30 department may allow concentrations of contaminants to
31 temporarily exceed the applicable cleanup target levels while
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1 cleanup, including cleanup through natural attenuation
2 processes in conjunction with appropriate monitoring, is
3 proceeding, if human health, public safety, and the
4 environment are protected.
5 (d) Allow brownfield site and brownfield area
6 rehabilitation programs to include the use of institutional or
7 engineering controls, where appropriate, to eliminate or
8 control the potential exposure to contaminants of humans or
9 the environment. The use of controls must be preapproved by
10 the department and only after constructive notice and
11 opportunity to comment within 30 days from receipt of notice
12 is provided to local governments, to owners of any property
13 into which the point of compliance is allowed to extend, and
14 to residents on any property into which the point of
15 compliance is allowed to extend. When institutional or
16 engineering controls are implemented to control exposure, the
17 removal of the controls must have prior department approval
18 and must be accompanied by the resumption of active cleanup,
19 or other approved controls, unless cleanup target levels under
20 this section have been achieved.
21 (e) Consider the additive effects of contaminants.
22 The synergistic and antagonistic effects shall also be
23 considered when the scientific data become available.
24 (f) Take into consideration individual site
25 characteristics, which shall include, but not be limited to,
26 the current and projected use of the affected groundwater and
27 surface water in the vicinity of the site, current and
28 projected land uses of the area affected by the contamination,
29 the exposed population, the degree and extent of
30 contamination, the rate of contaminant migration, the apparent
31 or potential rate of contaminant degradation through natural
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1 attenuation processes, the location of the plume, and the
2 potential for further migration in relation to site property
3 boundaries.
4 (g) Apply state water quality standards as follows:
5 1. Cleanup target levels for each contaminant found in
6 groundwater shall be the applicable state water quality
7 standards. Where such standards do not exist, the cleanup
8 target levels for groundwater shall be based on the minimum
9 criteria specified in department rule. The department shall
10 consider the following, as appropriate, in establishing the
11 applicable minimum criteria: calculations using a lifetime
12 cancer risk level of 1.0E-6; a hazard index of 1 or less; the
13 best achievable detection limit; the naturally occurring
14 background concentration; or nuisance, organoleptic, and
15 aesthetic considerations.
16 2. Where surface waters are exposed to contaminated
17 groundwater, the cleanup target levels for the contaminants
18 shall be based on the surface water standards as established
19 by department rule. The point of measuring compliance with
20 the surface water standards shall be in the groundwater
21 immediately adjacent to the surface water body.
22 3. The department may set alternative cleanup target
23 levels based upon an applicant's demonstration, using
24 site-specific modeling and risk assessment studies, that human
25 health, public safety, and the environment are protected to
26 the same degree as provided in subparagraphs 1. and 2. Where
27 a state water quality standard is applicable, a deviation may
28 not result in the application of cleanup target levels more
29 stringent than the standard. In determining whether it is
30 appropriate to establish alternative cleanup target levels at
31 a site, the department must consider the effectiveness of
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1 source removal that has been completed at the site and the
2 practical likelihood of the use of low yield or poor quality
3 groundwater, the use of groundwater near marine surface water
4 bodies, the current and projected use of the affected
5 groundwater in the vicinity of the site, or the use of
6 groundwater in the immediate vicinity of the contaminated
7 area, where it has been demonstrated that the groundwater
8 contamination is not migrating away from such localized
9 source, provided human health, public safety, and the
10 environment are protected.
11 (h) Provide for the department to issue a "no further
12 action order" when alternative cleanup target levels
13 established pursuant to subparagraph (g)3. have been achieved.
14 (h)(i) Provide for the department to issue a "no
15 further action order" with conditions, where appropriate, when
16 alternative cleanup target levels established pursuant to
17 subparagraph (g)3. have been achieved, or when the person
18 responsible for brownfield site rehabilitation can demonstrate
19 that the cleanup target level is unachievable within available
20 technologies. Prior to issuing such an order, the department
21 shall consider the feasibility of an alternative site
22 rehabilitation technology in the brownfield area.
23 (i)(j) Establish appropriate cleanup target levels for
24 soils.
25 1. In establishing soil cleanup target levels for
26 human exposure to each contaminant found in soils from the
27 land surface to 2 feet below land surface, the department
28 shall consider the following, as appropriate: calculations
29 using a lifetime cancer risk level of 1.0E-6; a hazard index
30 of 1 or less; the best achievable detection limit; or the
31 naturally occurring background concentration. Institutional
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1 controls or other methods shall be used to prevent human
2 exposure to contaminated soils more than 2 feet below the land
3 surface. Any removal of such institutional controls shall
4 require such contaminated soils to be remediated.
5 2. Leachability-based soil target levels shall be
6 based on protection of the groundwater cleanup target levels
7 or the alternate cleanup target levels for groundwater
8 established pursuant to this paragraph, as appropriate. Source
9 removal and other cost-effective alternatives that are
10 technologically feasible shall be considered in achieving the
11 leachability soil target levels established by the department.
12 The leachability goals shall not be applicable if the
13 department determines, based upon individual site
14 characteristics, that contaminants will not leach into the
15 groundwater at levels which pose a threat to human health,
16 public safety, and the environment.
17 3. The department may set alternative cleanup target
18 levels based upon an applicant's demonstration, using
19 site-specific modeling and risk assessment studies, that human
20 health, public safety, and the environment are protected.
21 (2) The department shall require source removal, if
22 warranted and cost-effective. Once source removal at a site
23 is complete, the department shall reevaluate the site to
24 determine the degree of active cleanup needed to continue.
25 Further, the department shall determine if the reevaluated
26 site qualifies for monitoring only or if no further action is
27 required to rehabilitate the site. If additional site
28 rehabilitation is necessary to reach "no further action"
29 status, the department is encouraged to utilize natural
30 attenuation and monitoring where site conditions warrant.
31
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1 Section 5. Section 376.82, Florida Statutes, is
2 amended to read:
3 376.82 Eligibility criteria and liability
4 protection.--
5 (1) ELIGIBILITY.--Any person who has not caused or
6 contributed to the contamination of a brownfield site on or
7 after July 1, 1997, is eligible to participate in the
8 brownfield rehabilitation program established in ss.
9 376.77-376.84, subject to the following:
10 (a) Potential brownfield sites that are subject to an
11 ongoing formal judicial or administrative enforcement action
12 or corrective action pursuant to federal authority, including,
13 but not limited to, the Comprehensive Environmental Response
14 Compensation and Liability Act, 42 U.S.C. ss. 9601, et seq.,
15 as amended; the Safe Drinking Water Act, 42 U.S.C. ss.
16 300f-300i, as amended; the Clean Water Act, 33 U.S.C. ss.
17 1251-1387, as amended; or under an order from the United
18 States Environmental Protection Agency pursuant to s. 3008(h)
19 of the Resource Conservation and Recovery Act, as amended (42
20 U.S.C.A. s. 6928(h)); or that have obtained or are required to
21 obtain a permit for the operation of a hazardous waste
22 treatment, storage, or disposal facility; a postclosure
23 permit; or a permit pursuant to the federal Hazardous and
24 Solid Waste Amendments of 1984, are not eligible for
25 participation unless specific exemptions are secured by a
26 memorandum of agreement with the United States Environmental
27 Protection Agency pursuant to paragraph (2)(e). A brownfield
28 site within an eligible brownfield area that subsequently
29 becomes subject to formal judicial or administrative
30 enforcement action or corrective action under such federal
31 authority shall have its eligibility revoked unless specific
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1 exemptions are secured by a memorandum of agreement with the
2 United States Environmental Protection Agency pursuant to
3 paragraph (2)(g).
4 (b) Persons who have not caused or contributed to the
5 contamination of a brownfield site on or after July 1, 1997,
6 and who, prior to the department's approval of a brownfield
7 site rehabilitation agreement, are subject to ongoing
8 corrective action or enforcement under state authority
9 established in this chapter or chapter 403, including those
10 persons subject to a pending consent order with the state, are
11 eligible for participation in a brownfield corrective action
12 if:
13 1. The proposed brownfield site is currently idle or
14 underutilized as a result of the contamination, and
15 participation in the brownfield program will immediately,
16 after cleanup or sooner, result in increased economic
17 productivity at the site, including at a minimum the creation
18 of 10 new permanent jobs, whether full-time permanent or
19 part-time, which are not associated with implementation of the
20 brownfield site corrective action plan; and
21 2. The person is complying in good faith with the
22 terms of an existing consent order or department-approved
23 corrective action plan, or responding in good faith to an
24 enforcement action, as evidenced by a determination issued by
25 the department or an approved local pollution control program.
26 (c) Potential brownfield sites owned by the state or a
27 local government which contain contamination for which a
28 governmental entity is potentially responsible and which are
29 already designated as federal brownfield pilot projects or
30 have filed an application for designation to the United States
31
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1 Environmental Protection Agency are eligible for participation
2 in a brownfield corrective action.
3 (d) After July 1, 1997, petroleum and drycleaning
4 contamination sites shall not receive both restoration funding
5 assistance available for the discharge under this chapter and
6 any state assistance available under s. 288.107. Nothing in
7 this act shall affect the cleanup criteria, priority ranking,
8 and other rights and obligations inherent in petroleum
9 contamination and drycleaning contamination site
10 rehabilitation under ss. 376.30-376.319, or the availability
11 of economic incentives otherwise provided for by law.
12 (2) LIABILITY PROTECTION.--
13 (a) Any person, including his or her successors and
14 assigns, who executes and implements to successful completion
15 a brownfield site rehabilitation agreement, shall be relieved
16 of further liability for remediation of the contaminated site
17 or sites to the state and to third parties and of liability in
18 contribution to any other party who has or may incur cleanup
19 liability for the contaminated site or sites.
20 (b) This section shall not be construed as a
21 limitation on the right of a third party other than the state
22 to pursue an action for damages to property or person;
23 however, such an action may not compel site rehabilitation in
24 excess of that required in the approved brownfield site
25 rehabilitation agreement or otherwise required by the
26 department or approved local pollution control program.
27 (c) This section shall not affect the ability or
28 authority to seek contribution from any person who may have
29 liability with respect to the contaminated site and who did
30 not receive cleanup liability protection under this act.
31
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1 (d) The liability protection provided under this
2 section shall become effective upon execution of a brownfield
3 site rehabilitation agreement and shall remain effective,
4 provided the person responsible for brownfield site
5 rehabilitation complies with the terms of the site
6 rehabilitation agreement. Any statute of limitations that
7 would bar the department from pursuing relief in accordance
8 with its existing authority is tolled from the time the
9 agreement is executed until site rehabilitation is completed
10 or immunity is revoked pursuant to s. 376.80(10).
11 (e) Completion of the performance of the remediation
12 obligations at the brownfield site shall be evidenced by a
13 site rehabilitation completion letter or a "no further action"
14 letter issued by the department or the approved local
15 pollution control program, which letter shall include the
16 following statement: "Based upon the information provided by
17 (property owner) concerning property located at (address), it
18 is the opinion of (the Florida Department of Environmental
19 Protection or approved local pollution control program) that
20 (party) has successfully and satisfactorily implemented the
21 approved brownfield site rehabilitation agreement schedule
22 and, accordingly, no further action is required to assure that
23 any land use identified in the brownfield site rehabilitation
24 agreement is consistent with existing and proposed uses."
25 (f) Compliance with the agreement referenced in s.
26 376.80(5)(i) must be evidenced by a finding by the local
27 government with jurisdiction over the brownfield that the
28 terms of the agreement have been met.
29 (g) The Legislature recognizes its limitations in
30 addressing cleanup liability under federal pollution control
31 programs. In an effort to secure federal liability protection
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1 for persons willing to undertake remediation responsibility at
2 a brownfield site, the department shall attempt to negotiate a
3 memorandum of agreement or similar document with the United
4 States Environmental Protection Agency, whereby the United
5 States Environmental Protection Agency agrees to forego
6 enforcement of federal corrective action authority at
7 brownfield sites brownfields that have received a site
8 rehabilitation completion or "no further action" determination
9 from the department or the approved local pollution control
10 program or that are in the process of implementing a
11 brownfield site rehabilitation agreement in accordance with
12 this act.
13 (h) No unit of state or local government may be held
14 liable for implementing corrective actions at a contaminated
15 site within an eligible brownfield area as a result of the
16 involuntary ownership of the site through bankruptcy, tax
17 delinquency, abandonment, or other circumstances in which the
18 state or local government involuntarily acquires title by
19 virtue of its function as a sovereign, or as a result of
20 ownership from donation, or gift, or foreclosure unless the
21 state or local government has otherwise caused or contributed
22 to a release of a contaminant at the brownfield site.
23 (i) The Legislature finds and declares that certain
24 brownfield sites brownfields may be redeveloped for open
25 space, or limited recreational, cultural, or historical
26 preservation purposes, and that such facilities enhance the
27 redeveloped environment, attract visitors, and provide
28 wholesome activities for employees and residents of the area.
29 Further, the Legislature finds that purchasers of contaminated
30 sites who are nonprofit conservation organizations acting for
31 the public interest and who did not cause or contribute to the
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1 release of contamination on the site warrant protection from
2 liability.
3 (j) Notwithstanding any provision of this chapter,
4 chapter 403, other laws, or ordinances of local governments, a
5 nonprofit, charitable, federal tax-exempt, s. 501(c)(3)
6 national land conservation corporation which purchases title
7 to property in the state for the purpose of conveying such
8 land to any governmental entity for conservation, historical
9 preservation or cultural resource, park, greenway, or other
10 similar uses shall not be liable to the state, local
11 government, or any third party for penalties or remediation
12 costs in connection with environmental contamination found in
13 the soil or groundwater of such property, provided that such
14 corporation did not cause the original deposit or release of
15 the environmental contaminants, and provided the department
16 and local pollution control program and responsible parties
17 have access to the land for investigation, remediation, or
18 monitoring purposes.
19 (3) REOPENERS.--Upon completion of site rehabilitation
20 in compliance with ss. 376.77-376.84, no additional site
21 rehabilitation shall be required unless it is demonstrated:
22 (a) That fraud was committed in demonstrating site
23 conditions or completion of site rehabilitation;
24 (b) That new information confirms the existence of an
25 area of previously unknown contamination which exceeds the
26 site-specific rehabilitation levels established in accordance
27 with s. 376.81, or which otherwise poses the threat of real
28 and substantial harm to public health, safety, or the
29 environment in violation of the terms of ss. 376.77-376.84;
30 (c) That the remediation efforts failed to achieve the
31 site rehabilitation criteria established under s. 376.81;
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1 (d) That the level of risk is increased beyond the
2 acceptable risk established under s. 376.81 due to substantial
3 changes in exposure conditions, such as a change in land use
4 from nonresidential to residential use. Any person who changes
5 the land use of the brownfield site thus causing the level of
6 risk to increase beyond the acceptable risk level may be
7 required by the department to undertake additional remediation
8 measures to assure that human health, public safety, and the
9 environment are protected to levels consistent with s. 376.81;
10 or
11 (e) That a new release occurs at the brownfield site
12 subsequent to a determination of eligibility for participation
13 in the brownfield program established under s. 376.80.
14 (4) ADDITIONAL LIABILITY PROTECTION FOR LENDERS.--
15 (a) The Legislature declares that, in order to achieve
16 the economic redevelopment and site rehabilitation of
17 brownfield sites brownfields in accordance with this act, it
18 is imperative to encourage financing of real property
19 transactions involving brownfield site rehabilitation plans.
20 Accordingly, lenders, including those serving as a trustee,
21 personal representative, or in any other fiduciary capacity,
22 in connection with a loan, are entitled to the liability
23 protection established in subsection (2) if they have not
24 caused or contributed to a release of a contaminant at the
25 brownfield site.
26 (b) Lenders who hold indicia of ownership of a parcel
27 within a brownfield area primarily to protect a security
28 interest or who own a parcel within a brownfield area as a
29 result of foreclosure or a deed in lieu of foreclosure of a
30 security interest and who seek to sell, transfer, or otherwise
31 divest the parcel via sale at the earliest practicable time
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1 are not liable for the release or discharge of a contaminant
2 from the parcel; for the failure of the person responsible for
3 brownfield site rehabilitation to comply with the brownfield
4 site rehabilitation agreement; or for future site
5 rehabilitation activities required pursuant to a reopener
6 provision established in subsection (3) where the lender has
7 not divested the borrower of, or otherwise engaged in,
8 decisionmaking control of the site rehabilitation or site
9 operations or undertaken management activities beyond those
10 required to protect its financial interest while making a good
11 faith effort to sell the site as soon as practicable and when
12 an act or omission of the lender has not otherwise caused or
13 contributed to a release of a contaminant at the brownfield
14 site.
15 (c) The economic incentives that were granted to a
16 person responsible for site rehabilitation by state or local
17 governments shall not accrue to a lender who obtains ownership
18 of the brownfield site by one of the methods described in this
19 subsection. The economic incentives are abated during the
20 lender's ownership, but they may be transferred and reinstated
21 upon the sale of the brownfield site.
22 Section 6. Section 376.83, Florida Statutes, is
23 amended to read:
24 376.83 Violation; penalties.--
25 (1) It is a violation of ss. 376.77-376.84 376.82, and
26 it is prohibited for any person, to knowingly make any false
27 statement, representation, or certification in any
28 application, record, report, plan, or other document filed or
29 required to be maintained, or to falsify, tamper with, or
30 knowingly render inaccurate any monitoring device or method
31 required to be maintained under ss. 376.77-376.82, or by any
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1 permit, rule, or order issued under this chapter or chapter
2 403.
3 (2) Any person who willfully commits a violation
4 specified in subsection (1) is guilty of a misdemeanor of the
5 first degree, punishable by a fine of not more than $10,000 or
6 by 6 months in jail, or by both, for each offense. Each day
7 during any portion of which such violation occurs constitutes
8 a separate offense.
9 Section 7. Subsection (4) of section 288.106, Florida
10 Statutes, is amended to read:
11 288.106 Tax refund program for qualified target
12 industry businesses.--
13 (4) APPLICATION AND APPROVAL PROCESS.--
14 (a) To apply for certification as a qualified target
15 industry business under this section, the business must file
16 an application with the office before the business has made
17 the decision to locate a new business in this state or before
18 the business had made the decision to expand an existing
19 business in this state. The application shall include, but is
20 not limited to, the following information:
21 1. The applicant's federal employer identification
22 number and the applicant's state sales tax registration
23 number.
24 2. The permanent location of the applicant's facility
25 in this state at which the project is or is to be located.
26 3. A description of the type of business activity or
27 product covered by the project, including four-digit SIC codes
28 for all activities included in the project.
29 4. The number of full-time equivalent jobs in this
30 state that are or will be dedicated to the project and the
31 average wage of those jobs. If more than one type of business
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1 activity or product is included in the project, the number of
2 jobs and average wage for those jobs must be separately stated
3 for each type of business activity or product.
4 5. The total number of full-time equivalent employees
5 employed by the applicant in this state.
6 6. The anticipated commencement date of the project.
7 7. The amount of:
8 a. Taxes on sales, use, and other transactions paid
9 under chapter 212;
10 b. Corporate income taxes paid under chapter 220;
11 c. Intangible personal property taxes paid under
12 chapter 199;
13 d. Emergency excise taxes paid under chapter 221; and
14 e. Excise taxes on documents paid under chapter 201.
15 8. The estimated amount of tax refunds to be claimed
16 in each fiscal year.
17 9. A brief statement concerning the role that the tax
18 refunds requested will play in the decision of the applicant
19 to locate or expand in this state.
20 10. An estimate of the proportion of the sales
21 resulting from the project that will be made outside this
22 state.
23 11. A resolution adopted by the governing board of the
24 county or municipality in which the project will be located,
25 which resolution recommends that certain types of businesses
26 be approved as a qualified target industry business and states
27 that the commitments of local financial support necessary for
28 the target industry business exist. Before adoption of the
29 resolution, the governing board may review the proposed public
30 or private sources of such support and determine whether the
31 proposed sources of local financial support can be provided.
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1 12. Any additional information requested by the
2 office.
3 (b) To qualify for review by the office, the
4 application of a target industry business must, at a minimum,
5 establish the following to the satisfaction of the office:
6 1. The jobs proposed to be provided under the
7 application, pursuant to subparagraph (a)4., must pay an
8 estimated annual average wage equaling at least 115 percent of
9 the average private sector wage in the area where the business
10 is to be located or the statewide private sector average wage.
11 The office may waive this average wage requirement at the
12 request of the local governing body recommending the project
13 and Enterprise Florida, Inc. The wage requirement may only be
14 waived for a project located in a brownfield area designated
15 under s. 376.80 or in a rural city or county or in an
16 enterprise zone and only when the merits of the individual
17 project or the specific circumstances in the community in
18 relationship to the project warrant such action. If the local
19 governing body and Enterprise Florida, Inc., make such a
20 recommendation, it must be transmitted in writing and the
21 specific justification for the waiver recommendation must be
22 explained. If the director elects to waive the wage
23 requirement, the waiver must be stated in writing and the
24 reasons for granting the waiver must be explained.
25 2. The target industry business's project must result
26 in the creation of at least 10 jobs at such project.
27 3. The business activity or product for the
28 applicant's project is within an industry or industries that
29 have been identified by the office to be high-value-added
30 industries that contribute to the area and to the economic
31 growth of the state and that produce a higher standard of
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1 living for citizens of this state in the new global economy or
2 that can be shown to make an equivalent contribution to the
3 area and state's economic progress. The director must approve
4 requests to waive the wage requirement for brownfield areas
5 designated under s. 376.80 unless it is demonstrated that such
6 action is not in the public interest.
7 (c) Each application meeting the requirements of
8 paragraph (b) must be submitted to the office for
9 determination of eligibility. The office shall review and
10 evaluate each application based on, but not limited to, the
11 following criteria:
12 1. Expected contributions to the state strategic
13 economic development plan adopted by Enterprise Florida, Inc.,
14 taking into account the long-term effects of the project and
15 of the applicant on the state economy.
16 2. The economic benefit of the jobs created by the
17 project in this state, taking into account the cost and
18 average wage of each job created.
19 3. The amount of capital investment to be made by the
20 applicant in this state.
21 4. The local commitment and support for the project.
22 5. The effect of the project on the local community,
23 taking into account the unemployment rate for the county where
24 the project will be located.
25 6. The effect of any tax refunds granted pursuant to
26 this section on the viability of the project and the
27 probability that the project will be undertaken in this state
28 if such tax refunds are granted to the applicant, taking into
29 account the expected long-term commitment of the applicant to
30 economic growth and employment in this state.
31
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1 7. The expected long-term commitment to this state
2 resulting from the project.
3 8. A review of the business's past activities in this
4 state or other states, including whether such business has
5 been subjected to criminal or civil fines and penalties.
6 Nothing in this subparagraph shall require the disclosure of
7 confidential information.
8 (d) The office shall forward its written findings and
9 evaluation concerning each application meeting the
10 requirements of paragraph (b) to the director within 45
11 calendar days after receipt of a complete application. The
12 office shall notify each target industry business when its
13 application is complete, and of the time when the 45-day
14 period begins. In its written report to the director, the
15 office shall specifically address each of the factors
16 specified in paragraph (c) and shall make a specific
17 assessment with respect to the minimum requirements
18 established in paragraph (b). The office shall include in its
19 report projections of the tax refund claim that will be sought
20 by the target industry business in each fiscal year based on
21 the information submitted in the application.
22 (e)1. Within 30 days after receipt of the office's
23 findings and evaluation, the director shall enter a final
24 order that either approves or disapproves the application of
25 the target industry business. The decision must be in writing
26 and must provide the justifications for approval or
27 disapproval.
28 2. If appropriate, the director shall enter into a
29 written agreement with the qualified target industry business
30 pursuant to subsection (5).
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1 (f) The director may not enter a final order that
2 certifies any target industry business as a qualified target
3 industry business if the value of tax refunds to be included
4 in that final order exceeds the available amount of authority
5 to enter final orders as determined in s. 288.095(3). A final
6 order that approves an application must specify the maximum
7 amount of tax refund that will be available to the qualified
8 industry business in each fiscal year and the total amount of
9 tax refunds that will be available to the business for all
10 fiscal years.
11 (g) Nothing in this section shall create a presumption
12 that an applicant will receive any tax refunds under this
13 section. However, the office may issue nonbinding opinion
14 letters, upon the request of prospective applicants, as to the
15 applicants' eligibility and the potential amount of refunds.
16 Section 8. Subsection (1) of section 288.107, Florida
17 Statutes, is amended to read:
18 288.107 Brownfield redevelopment bonus refunds.--
19 (1) DEFINITIONS.--As used in this section:
20 (a) "Account" means the Economic Development
21 Incentives Account as authorized in s. 288.095.
22 (b) "Brownfield Area" "Brownfield" or "brownfield
23 site" means a parcel or a contiguous area of one or more
24 parcels, which have been designated by local government by
25 resolution, that are generally abandoned, idled, or underused
26 industrial and commercial properties where expansion or
27 redevelopment is complicated by actual or perceived
28 environmental contamination. Such areas may include, but are
29 not limited to, portions of community redevelopment areas,
30 enterprise zones, empowerment zones, other such designated
31 economically deprived communities and areas, and United States
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1 Environmental Protection Agency designated brownfield pilot
2 projects.
3 (c) "Director" means the director of the Office of
4 Tourism, Trade, and Economic Development.
5 (d) "Eligible business" means a qualified target
6 industry business as defined in s. 288.106(2)(o).
7 (e) "Jobs" means full-time equivalent positions,
8 consistent with the use of such terms by the Department of
9 Labor and Employment Security for the purpose of unemployment
10 compensation tax, resulting directly from a project in this
11 state. This number does not include temporary construction
12 jobs involved with the construction of facilities for the
13 project and which are not associated with the implementation
14 of the site rehabilitation as provided in s. 376.80.
15 (f) "Office" means the Office of Tourism, Trade, and
16 Economic Development.
17 (g) "Project" means the creation of a new business or
18 the expansion of an existing business as defined in s.
19 288.106.
20 Section 9. (1) The Legislature finds that the
21 underuse of brownfield areas results in the inefficient use of
22 public facilities and services, as well as land and other
23 natural resources, extends conditions of blight in local
24 communities, and contributes to concerns about environmental
25 equity and the distribution of environmental risks across
26 population groups.
27 (2) The reuse and redevelopment of brownfield areas is
28 an important component of sound land-use policy for productive
29 urban purposes which will help prevent the premature
30 development of farm land, open space areas, and natural areas
31
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1 and reduce public costs for installing new water, sewer, and
2 highway infrastructure.
3 (3) The Legislature finds that providing economic and
4 financial incentives to promote the redevelopment of
5 brownfield areas is an important and appropriate public
6 purpose.
7 Section 10. Brownfield Areas Loan Guarantee Program.--
8 (1) The Brownfield Areas Loan Guarantee Council is
9 created to review and approve or deny by a majority vote of
10 its membership, the situations and circumstances for
11 participation in partnerships by agreements with local
12 governments, financial institutions, and others associated
13 with the redevelopment of brownfield areas pursuant to the
14 Brownfield Redevelopment Act for a limited state guaranty of
15 up to 5 years of loan guarantees or loan loss reserves issued
16 pursuant to law. The limited state loan guaranty applies only
17 to 10 percent of the primary lenders loans for redevelopment
18 projects in brownfield areas. A limited state guaranty of
19 private loans or a loan loss reserve is authorized for lenders
20 licensed to operate in the state upon a determination by the
21 council that such an arrangement would be in the public
22 interest and the likelihood of the success of the loan is
23 great.
24 (2) The Council shall consist of the Secretary of the
25 Department of Environmental Protection or the secretary's
26 designee, the Secretary of the Department of Community Affairs
27 or the secretary's designee, the Executive Director of the
28 State Board of Administration or the executive director's
29 designee, the Executive Director of the Florida Housing
30 Finance Agency or the executive director's designee, and the
31 Director of the Governor's Office of Tourism and Economic
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1 Development or the director's designee. The chairperson of the
2 Council shall be the Director of the Governor's Office of
3 Tourism and Economic Development. Staff services for
4 activities of the Council shall be provided as needed by the
5 member agencies.
6 (3) The Council may enter into an investment agreement
7 with the Department of Environmental Protection and the State
8 Board of Administration concerning the investment of the
9 earnings accrued and collected upon the investment of the
10 balance of funds maintained in the Nonmandatory Land
11 Reclamation Trust Fund. The investment must be limited as
12 follows:
13 (a) Not more than $5 million of the investment
14 earnings earned on the investment of the minimum balance of
15 the Nonmandatory Land Reclamation Trust Fund in a fiscal year
16 may be at risk at any time on loan guarantees or as loan loss
17 reserves.
18 (b) The investment earnings may not be used to
19 guarantee any loan guaranty or loan loss reserve agreement for
20 a period longer than 5 years.
21 (4) A lender seeking a limited state guaranty for a
22 loan from the Brownfield Areas Loan Guaranty Council must
23 first provide to the council a report demonstrating that the
24 lender has reviewed the project for redevelopment of the
25 brownfield area and determined its feasibility in accordance
26 with its standard procedures. The procedures include, but are
27 not limited to:
28 (a) Obtaining a satisfactory credit report from a
29 source deemed reliable by the lender;
30
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1 (b) Reviewing a report of environmental conditions at
2 the project and determining that actions are underway to
3 comply with specific recommendations;
4 (c) Investigating the background and experience of the
5 entity to receive the loan and manage the project and
6 determining that the managing entity appears to possess the
7 experience, competence, and capacity to manage the project;
8 (d) Determining that conditions exist to establish a
9 financially sound redevelopment project that exposes the state
10 loan guarantee program to a reasonable or acceptable level of
11 risk; and
12 (e) Determining that the local government with
13 jurisdiction over the area where the brownfield redevelopment
14 project is located has committed local financial resources to
15 the redevelopment project of at least 10 percent.
16 (5) A lender covered by a limited state guaranty for a
17 loan is not entitled to file a claim for loss pursuant to the
18 guaranty unless all reasonable and normal remedies available
19 and customary for lending institutions for resolving problems
20 of loan repayments are exhausted. If the lender has received
21 collateral security in connection with the loan, the lender
22 must first exhaust all available remedies against the
23 collateral security.
24 (6) The council may, by rule, establish requirements
25 for the issuance of loan guarantees, including contractual
26 provisions to foster reimbursement, in the event of default,
27 to the guarantee fund.
28 (7) The council may receive public and private funds,
29 federal grants, and private donations in carrying out its
30 responsibilities.
31
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1 (8) The Council shall provide an annual report to the
2 Legislature by February 1 of each year describing its
3 activities and agreements approved relating to redevelopment
4 of brownfield areas. This section shall be reviewed by the
5 Legislature by October 1, 2003, and a determination made
6 related to the need to continue or modify this section. New
7 loan guarantees may not be approved in 2003 until the review
8 by the Legislature has been completed and a determination has
9 been made as to the feasibility of continuing the use of the
10 Nonmandatory Land Reclamation Trust Fund to guarantee portions
11 of loans under this section.
12 Section 11. Subsections (1), (6), and (8) of section
13 288.9602, Florida Statutes, are amended to read:
14 288.9602 Findings and declarations of necessity.--The
15 Legislature finds and declares that:
16 (1) There is a need to enhance economic activity in
17 the cities and counties of the state by attracting
18 manufacturing, development, redevelopment of brownfield areas,
19 business enterprise management, and other activities conducive
20 to economic promotion in order to provide a stronger, more
21 balanced, and stable economy in the cities and counties of the
22 state.
23 (6) In order to improve the prosperity and welfare of
24 the cities and counties of this state and its inhabitants, to
25 improve and promote the financing of projects related to the
26 economic development of the cities and counties of this state,
27 including redevelopment of brownfield areas, and to increase
28 the purchasing power and opportunities for gainful employment
29 of citizens of the cities and counties of this state, it is
30 necessary and in the public interest to facilitate the
31 financing of such projects as provided for in this act and to
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1 do so without regard to the boundaries between counties,
2 municipalities, special districts, and other local
3 governmental bodies or agencies in order to more effectively
4 and efficiently serve the interests of the greatest number of
5 people in the widest area practicable.
6 (8) In order to efficiently and effectively achieve
7 the purposes of this act, it is necessary and in the public
8 interest to create a special development finance authority to
9 cooperate and act in conjunction with public agencies of this
10 state and local governments of this state, through interlocal
11 agreements pursuant to the Florida Interlocal Cooperation Act
12 of 1969, in the promotion and advancement of projects related
13 to economic development, including redevelopment of brownfield
14 areas, throughout the state.
15 Section 12. Paragraph (w) is added to subsection (2)
16 of section 288.9605, Florida Statutes, to read:
17 288.9605 Exercise of powers by the corporation.--
18 (2) The corporation is authorized and empowered to:
19 (w) Determine the situations and circumstances for
20 participation in partnerships by agreement with local
21 governments, financial institutions, and others associated
22 with the redevelopment of brownfield areas pursuant to the
23 Brownfield Redevelopment Act for a limited state guaranty of
24 revenue bonds, loan guarantees, or loan loss reserves.
25 Section 13. Interdisciplinary Center for Brownfield
26 Rehabilitation Assistance.--The Board of Regents shall
27 establish a Center for Brownfield Rehabilitation Assistance in
28 the Environmental Sciences and Policy Program in the College
29 of Arts and Sciences at the University of South Florida with
30 the collaboration of other related disciplines such as
31 business administration, environmental science, and medicine.
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1 The center shall work in conjunction with other colleges in
2 the State University System. The Center for Brownfield
3 Rehabilitation Assistance shall:
4 (1) Conduct research relating to problems and
5 solutions associated with rehabilitation and restoration of
6 brownfield areas as defined in section 376.79, Florida
7 Statutes. The research must include identifying innovative
8 solutions to removing contamination from brownfield sites to
9 reduce the threats to drinking water supplies and other
10 potential public health threats from contaminated sites.
11 (2) Provide public service to local, regional, and
12 state agencies, units of government, and authorities by
13 helping them to create workable mechanisms, partnerships with
14 public and private sectors and other techniques for
15 rehabilitating brownfield areas.
16 (3) Conduct special research relating to risk-based
17 corrective actions for rehabilitation of brownfield areas.
18 (4) Develop a base of informational and financial
19 support from the private sector for the activities of the
20 center.
21 Section 14. Paragraph (g) is added to subsection (1)
22 of section 163.3187, Florida Statutes, to read:
23 163.3187 Amendment of adopted comprehensive plan.--
24 (1) Amendments to comprehensive plans adopted pursuant
25 to this part may be made not more than two times during any
26 calendar year, except:
27 (g) Any local government comprehensive plan amendments
28 directly related to proposed redevelopment of brownfield areas
29 designated under s. 376.80 may be approved without regard to
30 statutory limits on the frequency of consideration of
31 amendments to the local comprehensive plan.
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1 Section 15. Brownfield Property Ownership Clearance
2 Assistance.--
3 (1) The Legislature recognizes that some brownfield
4 redevelopment projects are more difficult to redevelop due to
5 the existence of various types of liens on the property and
6 complications from previous ownership having declared
7 bankruptcy. Oftentimes lien holders on brownfield property are
8 reluctant to foreclose on the property out of concern for
9 liability questions and may be willing to settle for a reduced
10 value on their lien to clear up any of their rights to the
11 property and to clear the way for organized efforts by a
12 private and public partnership to revitalize and redevelop
13 brownfield areas.
14 (2) The Legislature recognizes that a revolving loan
15 fund could assist in the early stages of redeveloping
16 brownfields by helping to clear prior liens on the property
17 through a negotiated process. Such a revolving loan fund could
18 be repaid in later years from the resale of brownfield
19 properties following site rehabilitation and other activities
20 that will enhance the properties' ultimate value.
21 Section 16. Notwithstanding any provision of law to
22 the contrary, the governing body of a municipality or county
23 containing a United States Environmental Protection Agency
24 brownfield pilot project that was designated as of May 1,
25 1997, may apply to the Office of Tourism, Trade, and Economic
26 Development for designation of one enterprise zone
27 encompassing the brownfield pilot project, if the project is
28 located in a county with a population less than 1 million. The
29 application must be submitted by December 31, 1999, and must
30 comply with the requirements of section 290.0055, Florida
31 Statutes, except section 290.0055(3), Florida Statutes.
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1 Notwithstanding the provisions of section 290.0065, Florida
2 Statutes, limiting the total number of enterprise zones
3 designated and the number of enterprise zones within a
4 population category, the Office of Tourism, Trade, and
5 Economic Development shall designate one enterprise zone under
6 this section if the zone is consistent with the limitations
7 imposed under this section. The Office of Tourism, Trade, and
8 Economic Development shall establish the initial effective
9 date of the enterprise zone designated pursuant to this
10 section.
11 Section 17. This act shall take effect July 1, 1998.
12
13 *****************************************
14 SENATE SUMMARY
15 Provides that closed military bases may be designated as
brownfield areas. Clarifies job creation criteria for the
16 designation of a brownfield area. Revises eligibility
criteria and liability protection provisions. Requires
17 the Director of the Office of Tourism, Trade, and
Economic Development to approve wage requirement waiver
18 requests for tax refunds. Creates the Brownfield Areas
Bond and Loan Guarantee Program and a council to
19 administer the program. Provides for the redevelopment of
brownfield areas to be part of the declaration of
20 findings for economic development. Authorizes the Florida
Development Finance Corporation to determine when a
21 brownfield redevelopment area qualifies for a limited
state guaranty of revenue bonds, loan guarantees, or loan
22 loss reserves. Directs the Board of Regents to establish
a Center for Brownfield Rehabilitation Assistance at the
23 University of South Florida. Provides that local
government comprehensive plan amendments related to
24 redevelopment of brownfield areas are exempt from
limitations on frequency of amendments. Provides
25 legislative intent regarding lienholders on brownfield
areas. Authorizing certain counties and municipalities to
26 apply for designation of an enterprise zone if the zone
encompasses a brownfield pilot project.
27
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31
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