INCENTIVIZING THE RLF: KEYS TO USING SUBGRANTS EPA Brownfields RLF Webinar November 18, 2014 866-299-3188 / code 202 566 2773 Speakers: Michele Christina,

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Presentation transcript:

INCENTIVIZING THE RLF: KEYS TO USING SUBGRANTS EPA Brownfields RLF Webinar November 18, / code Speakers: Michele Christina, BRS Inc (Newark, NJ) Erin Hazleton, Ohio Development Services Agency

EPA Revolving Loan Fund Use of Sub-Grant Funding Michele Christina BRS Inc.

BRS, Inc. – Who are we?  Hudson County, NJ  Mayor’s Office of Environmental Remediation, New York City, NY  Newark, NJ  Jersey City Redevelopment Agency, Jersey City, NJ  Camden Redevelopment Agency, Camden, NJ  Trenton, NJ General Programmatic Support Grant Management Fund Management On Scene Coordination

How Do You Select Sites for Sub-grants? IDEALLY……  Existing pipeline of projects  Strategically selected from pool of applicants  Everything happens just like presented in grant proposal

How Do You Select Sites for Sub-grants? REALITY………  Emerging needs of non-profits  Political expediency  Non-profit redevelopment projects  Need for expending EPA funds Subgrants are a great way for struggling RLFs to kickstart the process!

Newark, NJ Urban League of Essex County Child Development Center  State Mandated Environmental Evaluation  Center open and operating  Contaminated soil in play area from prior activities Site Remediation Preparation for remedy Installation of remedy LSRP oversight $98,000 ($102,000 pending)

Hudson County, NJ Jersey City Redevelopment Agency Berry Lane Park  12 different sites / properties  Former gas station, auto repair, junkyards, former railroad yards, USTs, historic fill  Development budget estimated $41m Loan: $317,204 (Finch Oil Site) Subgrant: $205,000 (65 & 75 Woodward Ave)

Questions? Michele Christina BRS, Inc

The State of Ohio is an Equal Opportunity Employer and Provider of ADA Services Programs and Partnerships: Brownfield Redevelopment in Ohio Erin Hazelton Office of Energy & Redevelopment

Business Assistance Centers –Small Business –Minority-Owned Business –Manufacturing Support System Access to Capital –Collateral enhancement –Tax-exempt private activity bonds Community Assistance Grants Energy and Redevelopment Programs Ohio Development Services Agency

Brownfield Revolving Loan Fund Program Highlights Hazardous (Asbestos, lead-paint) and petroleum Petro loans: 50% may be forgiven for eligible entities 2% for 10 years, 1 st year deferred 80% collateral value No match required $1M max per loan 1 manager + support staff

Goal: Remove obstacles and promote sustainable redevelopment

USEPA $11,244, Grants $2,401, Loans $7,824,000 Program Income $6M by Default $640,000 Brownfield Revolving Loan Fund 23 projects since 2001

Redevelopment Leverage $51,754,000 Project Partners State Brownfield funds County Brownfield funds Historic Preservation Tax Credits TBA (128a) HUD loans CDBG Tax Credits $11,746,000 Remediation Leverage $10,700,000 USEPA $11,244,000

Ohio Brownfield Funding Partners Ohio Development Services Agency Non-state partners Ohio EPA Targeted Brownfield Assessments Revitalization Funds County/City Funds Federal Funds Ohio Brownfield Fund CDBG Energy Loans Tax Credits

PlanningAssessmentRemediation Redevelopment The Brownfield Spectrum

Versatility of Funds Contaminants Hazardous materials Asbestos Lead-based paint Petroleum Activities PlanningAssessmentRemediation Uses ResidentialCommercialIndustrialInstitutionalOpen space Applicants PublicPrivateNonprofit Responsible parties

Ohio’s Legislative Landscape Voluntary Action Program through Ohio EPA “Non-viable party” legislation for underground storage tanks State-agency partnerships (official and working) for Brownfield issues Ohio property tax credit for Brownfield remediation

Revolving Loan Fund Challenges Promotion Borrower/Subgrantee capacity Challenging markets: rural communities, gas stations Eligibility hurdles (Section 106, CERCLA liability)

Solutions Partner with other agencies to create new Brownfield programs Package incentives and market as one offer Strategic investment (grants as a “carrot”) Assist communities and borrowers with developing partnerships Model federal programs to prepare communities –Brownfield Action Plan Program

Former Parker Marathon, Canal Winchester

Operations ceased - abandoned (1989) State forfeiture (2002) Parker (2006) County (2007) CIC (2007) Former Parker Marathon, Canal Winchester

Brownfield Revolving Loan Fund Petro Loan $150,000 (0%, 5 years) Brownfield Revolving Loan Fund Grant $150,000 Loan secured via a pledged account (County) Cleanup: July February 2014 Currently greenspace Former Parker Marathon, Canal Winchester

Former Rosenblatt Steel, Tiffin

State Phase II grant $289,000 in 2002 State cleanup grant $750,000 in 2007 Tiffin University $1.5M in 2007 Coal - gasification pit discovered 2010

Former Rosenblatt Steel, Tiffin Partnership with Seneca Industrial & Economic Development Corporation (non-profit) for land transfer and loan repayment. BRLF Loan: $1M with $200,000 forgivable 2.5% for 6 years Completion in 2013

Former Rosenblatt Steel, Tiffin

The State of Ohio is an Equal Opportunity Employer and Provider of ADA Services Questions Erin Hazelton Office of Energy and Redevelopment (614) development.ohio.gov