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December - 2009 Issue #62 

 Alternative Environmental Solutions, Inc.
 "Your Source for Client - Centered Environmental Solutions"

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o    A Primer on Environmental Liability

o    Asbestos and Liability

o    Understanding Environmental Liability Issues in Real Estate Transactions

o    Seeking Employment?

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Click topics below to learn more of what AES has to offer.

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·         www.altenv.com

·         * Phase I & II Environmental Site Assessments

·         * Site Characterization & Remediation

·         * Tank Consulting and Related Services

·         * NPDES Phase 2 Stormwater Infiltration Testing & Permitting

·         * Asbestos and Indoor Air Quality

·         * Environmental Compliance

·         * Brownfields & Pennsylvania Act 2 Services

·         * Litigation Support and Expert Witness Testimony

·         * Water Supply & Groundwater Availability

·         * Energy Conservation and Cost Reduction Strategies

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·         Firm Profile

·         Case Studies

·         Careers

·         How to Find Us

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 A Primer on Environmental Liability
 
- by William C. Gable

http://www.altenv.com/images/Our%20Professionals/William%20Gable%20thumbnail.jpgNOTE: The following is provided for general information purposes only. This information should not be cited or relied upon as legal authority nor does it substitute for the advice of competent professional counsel.

As a general working definition, an environmental liability is a legal obligation to make a future expenditure due to the past or ongoing manufacture, use, release, or threatened release of a particular substance, or other activities that adversely affect the environment and/or human health. The obligation may be a current obligation or a potential obligation if it depends on future events or a law or regulation that is not yet in effect. A property owner has an opportunity to prevent or mitigate a potential liability obligation in order to avoid an adverse impact.

The following six categories or types of environmental liabilities are generally recognized:

Compliance Obligations. These obligations arise from laws and regulations that govern the manufacture, use, disposal, and release of chemical substances and other activities that adversely affect the environment and/or human health.

Remediation Obligations. These obligations relate to the cleanup of a property or site contaminated by chemicals or other substances that pose a risk to human health and the environment. Among the types of environmental liabilities, remediation obligations can present a property owner with particularly high risk exposure since an owner may be liable for cleaning up contamination at inactive unregulated sites, formerly owned or leased properties, sites where a business sent wastes for disposal as a third-party, and property a business acquired but did not contaminate. Thus, a business may have remediation obligations for currently known contamination and potential remediation obligations for future unknown contamination.

Fines and Penalties. Any property owner not in compliance with applicable statutory or regulatory requirements may have obligations to pay civil and criminal fines and penalties as well as expenses for projects agreed to as part of any settlement for noncompliance. Fines and penalties can range from thousands of dollars to millions of dollars per violation.

Compensatory Damages. Under some state and federal statutes as well as common law, a property owner may be obligated to pay compensation for "damages' (also known as compensatory damages) incurred by individuals, their property, and businesses from the use or release of toxic substances or other pollutants. This is also referred to as toxic tort liability. Compensation costs can be fairly minor or quite substantial depending on, among other factors, the number of claimants, the nature of the claim, and the legal defense costs incurred in handling these claims.

Punitive Damages. Payments for punitive damages can be imposed in addition to compensatory damages as a means to punish and deter conduct viewed as showing a callous disregard for others or being grossly negligent. Although rarely assessed, punitive damages are often many times larger than compensatory damages.

Natural Resource Damages. Liability for natural resource damages (NRD) arises from injury, destruction, loss, or loss of use of natural resources (e.g., plants, wildlife, land, air and water) that do not constitute private property. Natural resources must be controlled by federal, state, local, foreign, or tribal governments.

If you have any questions or concerns regarding a potential environmental liability for your case please contact the professionals at AES. Our experience in dealing with state and local compliance issues enables us to provide you with sound advice regarding your specific concerns.

 

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 Asbestos and Liability
 
-by Peter Voci, CABI

http://www.altenv.com/images/Our%20Professionals/Peter%20Voci%20thumbnail.jpgAlmost twenty five years ago, the Asbestos Hazard Emergency Response Act (AHERA) was enacted to require inspection for asbestos and implementation of appropriate response actions in schools (K-12). Failure to comply with the requirements of AHERA may result in asbestos exposure of students, school district employees, and ancillary personnel as well as fines and lawsuits against the school district.

It is interesting to note that even after almost 25 years, AHERA and countless newspaper articles, television programs, increased awareness of the dangers of exposure to asbestos that we still hear of schools, school districts, and commercial organizations failing to comply with AHERA. There are many misconceptions about asbestos. A few months ago I received a call from a woman who stated that her neighbor believed that the siding on her house contained asbestos and he took it upon himself to cut off a section of her siding, without her permission, and took it to the police station as "evidence" for them to use in their prosecution of her. The woman was terrified that she was going to be held liable for asbestos exposure because her siding contained asbestos. After calming her down, I told her that it is not a crime if her siding was asbestos containing and that her neighbor's act of vandalism to her house was something the police might be interested in, not whether or not some of the building materials in her home contain asbestos.

The first step in reducing exposure to asbestos and the possibility of a lawsuit should be to have a properly trained and certified asbestos building inspector complete an asbestos inspection prior to any demolition and/or remodeling. ( In Pennsylvania, the Department of Labor and Industry (PA DOLI) is responsible for issuing the asbestos building inspector certification. Students who participate in the class must pass a written examination in order to receive their certification.) Once the asbestos survey is completed and the laboratory results of the collected samples detect more than one percent of the fibers in each sample to be asbestos fibers, the material from which that sample was collected from is considered to be asbestos, by US standards. The key here is greater than one percent asbestos requirement. If the sample result is exactly one percent (or less), the material is not considered to be asbestos containing and can be disposed of accordingly.

The asbestos building inspector then prepares a report that details the inspection, lists the samples, locations, and quantities of materials from which samples were taken, and describes which materials are classified as asbestos and what type of asbestos they contain. Finally, a proper asbestos survey report will include a detailed list of recommendations that must be complied with in order to avoid asbestos exposure from occurring.

The consequences for school districts and commercial entities for not properly handling asbestos exposure are immense as are the consequences suffered by individuals who develop health problems related to asbestos. If asbestos exposure is not handled properly, many individuals and families are affected not just those who develop asbestos-related health problems. In many cases, the sizes of the settlements are large enough to cause many corporations to lay off employees and in some cases, cause companies to enter into bankruptcy.

If you are planning on remodelling a property, or have reason to suspect that your property has asbestos containing materials, please contact the experts at AES. We have the knowledge to get the job done.

 

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 Understanding Environmental Liability Issues in Real Estate Transactions
 
-by Jude Horton

http://www.altenv.com/images/Our%20Professionals/Jude%20Horton%20Thumbnail.jpgDoing one's due diligence is now more important than ever. Some view this step with trepidation, while others recognize it for what is - a vital and necessary part of the commercial real estate transaction. It is the final step in protecting your, and your clients', legal environmental liability. In order to understand the liability issues associated with a Phase I ESA, one must fully understand what is involved in the process.

A brief explanation of a Phase I ESA is "a thorough, non-invasive investigation of past and current actions or situations that have an adverse and / or potentially adverse impact on the future occupants of the property." In other words, the Environmental Professional does the research that measures the real and / or perceived environmental health of the property.

A Phase I ESA must be performed by an Environmental Professional, or EP. To be qualified as an EP, one must have the appropriate level of education in applicable areas and a predetermined amount of relevant experience. This level of qualification is important in that the EP is responsible to form and report his or her opinions and conclusions regarding and Recognized Environmental Conditions (REC) associated with the site.

A thorough investigation includes -

  • Historical data of the site and outlying areas. (Were there any reported releases? Where are nearby underground storage tanks located? Any leaking storage tanks? Are there any gaps in the data? - among other things.)
  • Aerial photos or other historical information source references.
  • A physical walk of the site.
  • Interviews with past and present owners, operators and tenants, as well as neighbors if property is abandoned.
  • A User Questionnaire to be filled out by the potential buyer.
  • It is important to note that ASTM guidelines state that the EP should be given 20 business days to complete this investigation.



All these things lead to a well-informed opinion on the part of the EP. Should any of the ASTM guidelines not be followed, and a property is found to have been contaminated, all involved parties may be at risk for legal action.

Considering the liability issues involved, it is of the utmost importance to choose the right EP for the job. We at AES have a great deal of experience with environmental site assessments, and would like to put that experience to work for you. Call us toll free at (888) 844-2371 with your environmental challenges.

 

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 Seeking Employment?
 - By Brian J. Beahan, P.G., CHMM, President

http://www.altenv.com/images/brian%20Beahan%20thumbnail.jpgWe are always interested in speaking with qualified professionals to join our team. We appreciate your referrals of business and now are seeking your referrals for qualified environmental and geologic consulting professionals. If you know of anyone who is seeking a change and a challenging new direction in their career, where creativity and solutions-oriented thinking really make a difference, please pass on our contact information.

Find out more.... 

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Our customers have approached us with problems, we've understood what needed to be done and we've provided appropriate solutions. Our mission statement, indeed our company as a whole, is centered on meeting this objective. May we put our quality, client-centered environmental solutions to work for you too?

On behalf of the staff of Alternative Environmental Solutions, Inc., I invite you to experience the value we add to your business.

Sincerely,


Brian J. Beahan

Alternative Environmental Solutions

 


email: aes1@altenv.com

phone: 717-517-5000

fax: 717-517-5004

web: http://www.altenv.com

 










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