LEASE BEFORE CLEANUP

[Lenny Siegel <lsiegel@igc.org>]

DEFENSE BILL ATTEMPTS TO OVERTURN PEASE DECISION

I have just learned that the Senate version of the Defense 
Authorization bill contains a section (2824) designed to allow the 
Defense Department to lease out contaminated property for long periods 
of time. The provision, sought earlier this year by the Defense 
Department, would overturn the court ruling at Pease Air Force base 
which found that a long-term lease was tantamount to a transfer by 
deed. The new language would simply exempt certain leases from Section 
120(h)(3) of CERCLA (the Comprehensive Environmental Response 
Compensation and Liability Act), which requires that remedial action be 
taken/in place before a transfer can take place.

The language imposes specific conditions: "The requirements of 
subparagraph (B) [of CERCLA 120(h)(3)] shall not apply to the lease of 
real property located at an installation approved for closure under a 
base closure law if the lessee has agreed to purchase the property and 
the Administrator [of EPA] determines that the property is suitable for 
lease and that there are adequate assurances that the United States 
will take all remedial action referred to in such subparagraph that has 
not yet been taken."

In the report that accompanies the bill, the Senate Armed Services 
Committee writes, "The committee recommends a provision that would 
allow the Department of Defense to enter into long-term lease 
agreements while any phase of environmental restoration is on going at 
a closing military installation."

Lenny Siegel