February 1, 2011

The Minnesota Department of Employment and Economic Development (DEED) awarded more than $4.3 million in grant monies to investigate and cleanup polluted sites in communities across the State of Minnesota. In many cases the DEED monies can be leveraged with other monies from the public and private sectors and contribute to the redevelopment of Brownfield property. Without the influx of State dollars, many polluted sites would remain contaminated. Local units of government are interested in promoting the redevelopment of contaminated sites to increase the local tax base and create new jobs.

The costs of the investigation of a site and subsequent cleanup may preclude many parties from even considering the purchase of property. Once a site is cleaned up, the new owner and lenders may be able to receive liability assurances from the Minnesota Pollution Control Agency (MPCA) that minimize future liability risk.

The $4.3 million in DEED monies were awarded in mid-December 2010 to projects that are being promoted by local economic development authorities. Projects were funded in Minneapolis, St. Paul, Duluth, Cloquet, Hibbing and Scott County. DEED has two rounds of grant funding each year.

For more information on the latest recipients please see the January 30, 2011 story from the St, Paul Pioneer press at:

http://www.twincities.com/stpaul/ci_17246901?nclick_check=1. The DEED press release about the latest round of funded projects can be found at:http://www.positivelyminnesota.com/Newsroom/Press_Releases/Most_Current_Releases/Dec._17_-_DEED_Awards_Cleanup_Grants.aspx.

At Hessian & McKasy Environmental Law Attorney Practice Group we work regularly with parties who are purchasing and selling property that may be subject to contamination. We assist our clients in evaluating the environmental condition of property and, where appropriate, obtaining liability assurances through the Minnesota Pollution Control Agency’s Voluntary Investigation and Cleanup (VIC) and Petroleum Brownfields Programs. In certain cases, an owner of contaminated property may be able to seek recovery of response costs from the persons who may be liable under federal or state Superfund or other environmental laws. Our environmental law attorneys work closely with attorneys at Hessian & McKasy who practice in the areas of real estate or litigation.

The views contained within this entry and on this website are my own and do not constitute those of Hessian & McKasy, a Professional Association.

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