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In November 2021, ASTM International published E1527-21, an update Standard Practice for Environmental Site Assessments: Phase I Environmental Site Assessment Process.  Previous iterations of the Phase I standard were released in 1997, 2000, 2005, and the last update in 2013.

 

The 2021 update provides clarification for many definitions and practices included in the 2013 standard.  While these updates may provide valuable guidance for environmental professionals performing the assessment, how do these updates affect the report user’s responsibilities and use of the report?

 

  • Non-scope considerations like asbestos containing building materials, lead-based paint, radon, and wetlands have been discussed in a previous version of the Phase I standard.  The 2021 updates include reference to emerging contaminants for which regulatory limits have not yet been established.  The report user may request and the environmental professional may include a discussion regarding emerging contaminants in the non-scope discussion.  A timely example of an emerging contaminant is fluorocarbons (like PFOA and PFAS) present in water repellents and firefighting foam that have been detected in public water supplies across the country.
  • In order to meet the CERCLA requirement for All Appropriate Inquiry (AAI), the user of the Phase I must complete a search for environmental liens and activity and use limitations (AULs).  This is not a new requirement.  The 2021 standard expands upon that AUL and title search requirement stating that users shall review land title records between 1980 and the present.  That was added because users were only provided land records dating to the last title transfer, sometimes missing restrictions noted on older deeds.
  • A Phase I report is considered viable if completed within 180 days prior to the date of acquisition of the property (or lease or refinance).  The 180-day viability of the Phase I is not new, but the 2021 standard does provide some clarification on the intention of this condition.  E1527-21 states the date of the report generally does not represent the date of completion of the individual AAI components (interviews, record and lien searches, and the site inspections), which must be completed within 180 days.

 

CMI has expert environmental professionals who provide thoughtful and individualized assessments and recommendations.  Contact us for more information or help with your environmental due diligence.

 

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