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Brownfields: FAQs  

1. What are Brownfields? 

Brownfields are abandoned or under-utilized industrial and commercial properties where redevelopment is hindered by real or perceived contamination.


2. What are benefits of redeveloping Brownfieds?

Cleaning up and redeveloping Brownfields provides numerous environmental, economic, and community benefits, including:

  • protecting public health and improving the environment by expediting the cleanup of contaminated sites;
  • renewing local urban economies by stimulating redevelopment, creating new businesses, creating new jobs, and enhancing the vitality of communities;
  • maximizing the use of existing infrastructure such as roads, water and sewer, and utilities;
  • limiting urban sprawl and its associated environmental problems such as air pollution and traffic; and,
  • providing an alternative to developing farmland and open space.

3. What is the process for obtaining a Montgomery County Brownfields Property Tax Credit?
  • The applicant must submit an application to the Maryland Department of the Environment (MDE) Voluntary Cleanup Program (VCP) which includes an environmental site assessment, all known environmental data and reports, a description of the proposed voluntary cleanup project, and any other information required by MDE, together with an application fee.
  • MDE may make the determination that it has no further requirements for the site, or may make additional requirements, such as a Response Action Plan. This Response Action Plan details steps needed to clean up the property.
  • If a Response Action Plan is required, the applicant must file a performance bond with MDE within 10 days of MDE's approval of the Response Action Plan. The applicant must then perform required contamination delineation and remediation.
  • MDE issues a Certificate of Completion or a letter of No Further Requirements.
  • The applicant must redevelop property.
  • The applicant must apply to Maryland Department of Business and Economic Development (DBED) for a "Qualified Brownfields Site" designation. DBED will notify the State Department of Assessments and Taxation (SDAT) that the property needs to be reassessed. SDAT will then reassess the property and notify the Montgomery County Department of Finance of the reassessment. The Department of Finance will use the new assessment to recalculate the tax bill. If the tax-due, as calculated under the original bill, has been paid then the Department of Finance will issue a refund; if the tax has not been paid, then the new bill will replace the original bill.

4. Why is Montgomery County involved in the Brownfields process?

In Montgomery County, only a small percentage of sites contaminated by hazardous substances have contamination levels which may make them part of the National Priorities List ("NPL") under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 ("CERCLA"). These sites, presenting the most serious potential threats to health and the environment, are eligible for cleanup using the federal Superfund.

To address those sites that do not meet the NPL criteria, the Federal Environmental Protection Agency (EPA) has entered into an agreement delegating cleanup of lesser contaminated sites (i.e."Brownfields" sites) within the state to the State of Maryland. As a result, the State of Maryland established in 1997 two programs: the State Brownfields Voluntary Cleanup Program (VCP) and the State Brownfields Revitalization Incentive Program. The State Brownfields Voluntary Cleanup Program streamlines the process for cleaning up certain properties that are contaminated, or perceived to be contaminated.   The State Brownfields Revitalization Incentive Program provides financial incentives, such as low interest loans and grants, to remediate contaminated sites and to encourage redevelopment, and broadens protection for lenders at contaminated properties.

Montgomery County adopted legislation in December 1998 that allows Montgomery County to participate in the Maryland’s Brownfields Voluntary Cleanup and Revitalization programs; provides a property tax credit for the redevelopment of certain brownfields properties; and generally provides for a Brownfields property tax credit as authorized by Sate law.

By participating in the State Brownfields Voluntary Cleanup Program and the State Brownfields Revitalization Incentive Program, Montgomery County will further its goals to prevent urban sprawl, maximize the use of existing infrastructure, encourage revitalization of designated areas, expand employment opportunities, and cleanup contaminated sites, thus ensuring a clean and healthy environment for its residents.


5. Where can I get a copy of the Montgomery County Brownfields Property Tax Credit?

Click here for a link to the legislation.   


6. What is the Maryland Voluntary Cleanup Program process?
  • The applicant must submit an application to the Maryland Department of the Environment (MDE) Voluntary Cleanup Program, which includes an environmental site assessment, all known environmental data and reports, a  description of the proposed voluntary cleanup project, and any other information required by MDE, together with an application fee.
  • MDE may make the determination that it has no further requirements for the site, or may make additional requirements, such as a Response Action Plan. This Response Action Plan details steps needed to clean up the property. 
  • If a Response Action Plan is required, the applicant must file a performance bond with MDE within 10 days of MDE's approval of the Response Action Plan. The applicant must then perform required contamination delineation and remediation.
  • MDE issues a Certificate of Completion or letter of No Further Requirements.  The applicant is released from further liability and is not subject to a contribution action. This certificate is transferable with the property.

7. Who can participate in the VCP?

An owner of a contaminated property or a prospective purchaser and developers.


8. Is my property eligible for the VCP?

A property is eligible for the VCP if it is contaminated, or perceived to be contaminated, by hazardous waste, including sites on the Comprehensive Environmental Response, Compensation, and Liability System (CERCLIS). Properties not eligible are those:

  • on the National Priorities List (NPL);
  • under active enforcement by MDE;
  • subject to a State controlled hazardous substance permit (such as Oil Control Program);
  • contaminated after October 1, 1997, and owned or operated by a responsible person.

9. How can a property be eligible for economic incentives under the Brownfields Revitalization Incentive Program?
  • The applicant must submit a completed Brownfields Voluntary Cleanup Program application to the Maryland Department of Business and Economic Development (DBED). If the property is contaminated by oil, the applicant must submit an MDE Oil Control Program approved plan.
  • The applicant must submit to DBED a General Financing application.
  • DBED will determine eligibility within 30 days of completed applications.

10. What is the amount and duration of the Montgomery County's Brownfields Property Tax Credit?
  • The Montgomery County's Brownfields Property Tax Credit provides property tax credits for participants in the State Brownfields Voluntary Cleanup Program, of 50% against the increased property tax liability on a qualified Brownfields site for 5 years. It favors properties within the Enterprise Zone (such as Silver Spring and Wheaton) by granting an additional tax credit of 20% against the increased property tax liability extended from 5 to 10 years.

11. Where can I get more information?
   
Disclaimer: Some of the publications posted on the Department of Environmental Protection’s (DEP) web site may be outdated. The Department is currently redesigning the site to bring you updated content and materials. We appreciate your patience and understanding during our web site construction period. If you need information before we are finished, please contact DEP at 240-777-7700.
Last edited: 6/7/2007 1