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Baseline Environmental Assessments
Baseline Environmental Assessment (BEAs) establish pre-existing environmental conditions at sites in Michigan as a means of providing liability protection for prospective lenders and purchasers under state law. A BEA is typically based on the results of a Phase I ESA and Phase II investigation and is only necessary when a property meets the definition of a “facility” (e.g., contamination is found above cleanup criteria). The degree to which hazardous substances will be used is an important factor in determining the appropriate type of BEA to prepare for a site. The three BEA categories are:
- Category N, no proposed significant hazardous substance used;
- Category D, proposed use of different hazardous substance than those known or likely to be site contaminants; and
- Category S, proposed use of the same hazardous substance as those that are known to be facility contaminants, or there will be no limits on the future use of hazardous substances at the site.
Please be aware that to be afforded protection from liability for existing contamination at a site, a BEA must be completed within 60 days of the date of purchase, occupancy or foreclosure of the site, and the results of the BEA must be disclosed to the MDNRE within six months.
For more information email Karen Hathaway or call her at our Grand Rapids office - (616) 554-3210.
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