Phase I and II Evironmental Site Assessments

As part of USEPA’s “All Appropriate Inquiry Rule” implemented in November 2006, small business owners received relief from liability for environmental conditions from past operations at a newly purchased site. This relief becomes available following the performance of a Phase I ESA as part of a due diligence effort by the Buyer prior to the completion of a property transaction.

Environmental site assessments focus on the environmental condition of real property and may include construction materials surveys for asbestos, lead based paint, and mold. Environmental Realty Services’ experience includes hundreds of assessments conducted at properties of various sizes and complexity ranging from industrial facilities and commercial properties to residential structures and vacant land. Prior to conducting an assessment of the property, the end use of the assessment is discussed with the client so that the scope of work for the assessment is developed based on the identified purpose of the work product. The ASTM Standard Practice for Environmental Site Assessments: Phase I Environmental Site Assessment Process (E1527-05) which conforms to USEPA’s All Appropriate Inquiry Rule, is used as a guidance document in performing assessments.

At a minimum, a Phase I Environmental Site Assessment typically includes the following:

• Review of public records to obtain the historical use of the site, i.e. city directory search, historical aerial photographs, topographic maps, etc.
• Interviews with those persons connected with the site, i.e., employees, previous owners, neighbors, public agency staff, etc.
• Review of an environmental regulatory agency database search in connection with the site and off-site properties within a one-mile radius.
• Inspection of the site and adjacent property for indications of potential environmental concerns such as waste disposal, surface releases, operations involving hazardous materials, etc.
  
  Following the completion of the initial inspection, the presence of existing or potential environmental conditions that would require additional investigation is evaluated and a determination is made as to whether a Phase II Environmental Site Assessment may be warranted. The Phase II Environmental Site Assessment typically includes sampling and analysis of surface soil, surface water, subsurface soil, and/or ground water. In this way, identified concerns are dismissed or addressed as part of the strategy for property transaction or management.