LCO No. 5403 1 of 13 General Assembly Raised Bill No. 1404 January Session, 2025 LCO No. 5403 Referred to Committee on COMMERCE Introduced by: (CE) AN ACT CONCERNING CONFORMING ADJUSTMENTS TO SUPPORT THE TRANSITION TO A RELEASED-BASED CLEANUP PROGRAM. Be it enacted by the Senate and House of Representatives in General Assembly convened: Section 1. Subsection (a) of section 22a-134rr of the general statutes is 1 repealed and the following is substituted in lieu thereof (Effective from 2 passage): 3 (a) Any person who creates or maintains a release to the land and 4 waters of the state on or after the date when regulations are [first 5 adopted] effective after adoption pursuant to section 22a-134tt shall, 6 upon discovery of such release: (1) Report the release, if such a report is 7 required by the regulations adopted pursuant to section 22a-134tt, and 8 (2) remediate any release to the standards identified in regulations 9 adopted pursuant to section 22a-134tt. If any person fails to comply with 10 the provisions of this section and section 22a-134tt, such person shall be 11 liable for any costs incurred by the commissioner in accordance with 12 section 22a-451, or costs incurred by any other person who contains or 13 removes or otherwise mitigates the effects of such release in accordance 14 with section 22a-452. 15 Raised Bill No. 1404 LCO No. 5403 2 of 13 Sec. 2. Subdivision (1) of section 22a-134 of the general statutes is 16 repealed and the following is substituted in lieu thereof (Effective from 17 passage): 18 (1) "Transfer of establishment" means any transaction or proceeding, 19 on or before the effective date of regulations [are] adopted pursuant to 20 section 22a-134tt, through which an establishment undergoes a change 21 in ownership, but does not mean: 22 (A) Conveyance or extinguishment of an easement; 23 (B) Conveyance of an establishment through (i) a foreclosure, as 24 defined in subsection (b) of section 22a-452f, (ii) foreclosure of a 25 municipal tax lien pursuant to section 12-181, (iii) a tax warrant sale 26 pursuant to section 12-157, (iv) a transfer of title to a municipality by 27 deed in lieu of foreclosure, (v) an exercise of eminent domain by a 28 municipality or pursuant to section 8-128, 8-169e or 8-193 or by 29 condemnation pursuant to section 32-224 or purchase pursuant to a 30 resolution by the legislative body of a municipality authorizing the 31 acquisition through eminent domain for establishments that also meet 32 the definition of a brownfield, as defined in section 32-760, or (vi) a 33 subsequent transfer by such municipality that has acquired the property 34 pursuant to any mechanism described in subparagraphs (B)(i) to (B)(iii), 35 inclusive, of this subdivision or pursuant to the remedial action and 36 redevelopment municipal grant program established in section 32-763, 37 provided (I) the party acquiring the property from the municipality did 38 not establish, create or contribute to the contamination at the 39 establishment and is not affiliated with any person who established, 40 created or contributed to such contamination or with any person who is 41 or was an owner or certifying party for the establishment, and (II) on or 42 before the date the party acquires the property from the municipality, 43 such party or municipality enters and subsequently remains in the 44 voluntary remediation program administered by the commissioner 45 pursuant to section 22a-133x and remains in compliance with schedules 46 and approvals issued by the commissioner. For purposes of this 47 Raised Bill No. 1404 LCO No. 5403 3 of 13 subparagraph, subsequent transfer by a municipality includes any 48 transfer to, from or between a municipality, municipal economic 49 development agency or entity created or operating under chapter 130 or 50 132, a nonprofit economic development corporation formed to promote 51 the common good, general welfare and economic development of a 52 municipality that is funded, either directly or through in-kind services, 53 in part by a municipality, a nonstock corporation or limited liability 54 company controlled or established by a municipality, municipal 55 economic development agency or entity created or operating under 56 chapter 130 or 132, or a Connecticut brownfield land bank; 57 (C) Conveyance of a deed in lieu of foreclosure to a lender, as defined 58 in and that qualifies for the secured lender exemption pursuant to 59 subsection (b) of section 22a-452f; 60 (D) Conveyance of a security interest, as defined in subdivision (7) of 61 subsection (b) of section 22a-452f; 62 (E) Termination of a lease and conveyance, assignment or execution 63 of a lease for a period less than ninety-nine years including conveyance, 64 assignment or execution of a lease with options or similar terms that will 65 extend the period of the leasehold to ninety-nine years, or from the 66 commencement of the leasehold, ninety-nine years, including 67 conveyance, assignment or execution of a lease with options or similar 68 terms that will extend the period of the leasehold to ninety-nine years, 69 or from the commencement of the leasehold; 70 (F) Any change in ownership approved by the Probate Court; 71 (G) Devolution of title to a surviving joint tenant, or to a trustee, 72 executor or administrator under the terms of a testamentary trust or 73 will, or by intestate succession; 74 (H) Corporate reorganization not substantially affecting the 75 ownership of the establishment; 76 Raised Bill No. 1404 LCO No. 5403 4 of 13 (I) The issuance of stock or other securities of an entity which owns 77 or operates an establishment; 78 (J) The transfer of stock, securities or other ownership interests 79 representing fifty per cent or less of the ownership of the entity that 80 owns or operates the establishment; 81 (K) Any conveyance of an interest in an establishment where the 82 transferor is the sibling, spouse, child, parent, grandparent, child of a 83 sibling or sibling of a parent of the transferee; 84 (L) Conveyance of an interest in an establishment to a trustee of an 85 inter vivos trust created by the transferor solely for the benefit of one or 86 more siblings, spouses, children, parents, grandchildren, children of a 87 sibling or siblings of a parent of the transferor; 88 (M) Any conveyance of a portion of a parcel upon which portion no 89 establishment is or has been located and upon which there has not 90 occurred a discharge, spillage, uncontrolled loss, seepage or filtration of 91 hazardous waste, provided either the area of such portion is not greater 92 than fifty per cent of the area of such parcel or written notice of such 93 proposed conveyance and an environmental condition assessment form 94 for such parcel is provided to the commissioner sixty days prior to such 95 conveyance; 96 (N) Conveyance of a service station, as defined in subdivision (5) of 97 this section; 98 (O) Any conveyance of an establishment which, prior to July 1, 1997, 99 had been developed solely for residential use and such use has not 100 changed; 101 (P) Any conveyance of an establishment to any entity created or 102 operating under chapter 130 or 132, or to an urban rehabilitation agency, 103 as defined in section 8-292, or to a municipality under section 32-224, or 104 to Connecticut Innovations, Incorporated or any subsidiary of the 105 Raised Bill No. 1404 LCO No. 5403 5 of 13 corporation; 106 (Q) Any conveyance of a parcel in connection with the acquisition of 107 properties to effectuate the development of the overall project, as 108 defined in section 32-651; 109 (R) The conversion of a general or limited partnership to a limited 110 liability company; 111 (S) The transfer of general partnership property held in the names of 112 all of its general partners to a general partnership which includes as 113 general partners immediately after the transfer all of the same persons 114 as were general partners immediately prior to the transfer; 115 (T) The transfer of general partnership property held in the names of 116 all of its general partners to a limited liability company which includes 117 as members immediately after the transfer all of the same persons as 118 were general partners immediately prior to the transfer; 119 (U) Acquisition of an establishment by any governmental or quasi-120 governmental condemning authority; 121 (V) Conveyance of a unit in a residential common interest 122 community; 123 (W) Acquisition and all subsequent transfers of an establishment (i) 124 that is in the abandoned brownfield cleanup program established 125 pursuant to section 32-768 or the brownfield remediation and 126 revitalization program established pursuant to section 32-769, provided 127 such establishment is in compliance with any applicable provisions of 128 the general statutes, or (ii) by a Connecticut brownfield land bank, 129 provided such establishment was entered into a remediation or liability 130 relief program under section 22a-133x, 22a-133y, as amended by this act, 131 32-768 or 32-769 and the transferor of such establishment is in 132 compliance with such program at the time of transfer of such 133 establishment or has completed the requirements of such program; 134 Raised Bill No. 1404 LCO No. 5403 6 of 13 (X) Any transfer of title from a municipality to a nonprofit 135 organization or from any entity to a nonprofit organization, as ordered 136 or approved by a bankruptcy court; 137 (Y) Conveyance from the Department of Transportation to the 138 Connecticut Airport Authority of any properties comprising (i) Bradley 139 International Airport and all related improvements and facilities now in 140 existence and as hereafter acquired, added, extended, improved and 141 equipped, including any property or facilities purchased with funds of, 142 or revenues derived from, Bradley International Airport, and any other 143 property or facilities allocated by the state, the Connecticut Airport 144 Authority or otherwise to Bradley International Airport, (ii) the state-145 owned and operated general aviation airports, including Danielson 146 Airport, Groton/New London Airport, Hartford Brainard Airport, 147 Waterbury-Oxford Airport and Windham Airport and any such other 148 airport as may be owned, operated or managed by the Connecticut 149 Airport Authority and designated as general aviation airports, (iii) any 150 other airport as may be owned, operated or managed by the Connecticut 151 Airport Authority, and (iv) any airport site or any part thereof, 152 including, but not limited to, any restricted landing areas and any air 153 navigation facilities; or 154 (Z) The change in the name of a limited liability company as an 155 amendment to such company's certificate of organization, pursuant to 156 section 34-247a. 157 Sec. 3. Section 22a-6u of the general statutes is amended by adding 158 subsection (p) as follows (Effective October 1, 2025): 159 (NEW) (p) On and after the effective date of regulations adopted 160 pursuant to section 22a-134tt, the requirements of this section shall 161 apply only to releases that, pursuant to subsections (c) and (d) of section 162 22a-134rr, are not subject to the requirements of sections 22a-134qq to 163 22a-134xx, inclusive, and any hazard required to be reported by a 164 municipality or Connecticut brownfield land bank pursuant to 165 Raised Bill No. 1404 LCO No. 5403 7 of 13 subsection (b) of section 22a-133dd. 166 Sec. 4. Section 22a-133y of the general statutes is repealed and the 167 following is substituted in lieu thereof (Effective from passage): 168 (a) [On and after January 1, 1996] Before the effective date of 169 regulations adopted pursuant to section 22a-134tt, any licensed 170 environmental professional licensed by the State Board of Examiners of 171 Environmental Professionals pursuant to section 22a-133v may, 172 pursuant to a voluntary site remediation conducted in accordance with 173 subsections (a) to (e), inclusive, of this section, conduct a Phase II 174 environmental site assessment or a Phase III investigation, prepare a 175 Phase III remedial action plan, supervise remediation or submit a final 176 remedial action report to the Commissioner of Energy and 177 Environmental Protection in accordance with the standards provided 178 for remediation in the regulations adopted by the commissioner under 179 section 22a-133k for any real property which has been subject to a spill 180 and which meets the following criteria: (1) Such property is located in 181 an area classified as GB or GC under the standards adopted by the 182 commissioner for classification of groundwater contamination; and (2) 183 such property is not the subject of any order issued by the commissioner 184 regarding such spill, consent order or stipulated judgment regarding 185 such spill. Any such professional employed by a municipality may 186 enter, without liability, upon any property within such municipality for 187 the purpose of performing an environmental site assessment or 188 investigation if the owner of such property is unknown or such property 189 is encumbered by a lien for taxes due to such municipality. Nothing in 190 this subsection shall affect the ability of any person, firm or corporation 191 to provide any of the services enumerated in this subsection in 192 connection with the remediation of contaminated real property other 193 than as provided for a voluntary site remediation conducted pursuant 194 to this section. 195 (b) Following any Phase II environmental site assessment or a Phase 196 III investigation for any such property, any Phase III remedial action 197 Raised Bill No. 1404 LCO No. 5403 8 of 13 plan prepared for purposes of a voluntary site remediation under 198 subsections (a) to (e), inclusive, of this section shall be prepared by a 199 licensed environmental professional in accordance with the standards 200 for such property adopted by the commissioner under section 22a-133k. 201 Prior to commencement of remedial action taken pursuant to such plan, 202 the owner of the property shall submit such plan to the commissioner 203 and shall: (1) Publish notice of the remedial action in a newspaper 204 having a substantial circulation in the town where the property is 205 located; (2) notify the director of health of the municipality where the 206 parcel is located; and (3) either (A) erect and maintain for at least thirty 207 days in a legible condition a sign not less than six feet by four feet on the 208 property, which sign shall be clearly visible from the public highway, 209 and shall include the words "ENVIRONMENTAL CLEAN -UP IN 210 PROGRESS AT THIS SITE. FOR FURTHER INFORMATION 211 CONTACT:" and include a telephone number for an office from which 212 any interested person may obtain additional information about the 213 remedial action; or (B) mail notice of the remedial action to each owner 214 of record of property which abuts such property, at the address on the 215 last-completed grand list of the relevant town. The commissioner may 216 review such plan and may advise such owner as to the adequacy of such 217 plan. The remedial action shall be conducted under the supervision of a 218 licensed environmental professional. The commissioner shall expedite 219 the process for issuing any permits required under this title for such 220 action. The final remedial action report shall be submitted by a licensed 221 environmental professional. In preparing such report, the licensed 222 environmental professional shall render an opinion, in accordance with 223 the standard of care provided for in subsection (c) of section 22a-133w, 224 that the action taken to contain, remove or mitigate the spill is in 225 accordance with the remediation standards for such property adopted 226 by the commissioner under section 22a-133k. The owner of the property 227 shall maintain all records relating to such remedial action for a period 228 of not less than ten years and shall make such records available to the 229 commissioner at any time upon his request. 230 Raised Bill No. 1404 LCO No. 5403 9 of 13 (c) Any final remedial action report submitted to the commissioner 231 for such a property by a licensed environmental professional shall be 232 deemed approved unless, within sixty days of such submittal, the 233 commissioner determines, in his sole discretion, that an audit of such 234 remedial action is necessary to assess whether remedial action beyond 235 that which is indicated in such report is necessary for the protection of 236 human health or the environment. Such an audit shall be conducted 237 within six months of such determination. After completing such audit, 238 the commissioner may disapprove the report provided he shall give his 239 reasons therefor in writing and further provided such owner may 240 appeal such disapproval to the superior court in accordance with the 241 provisions of section 4-183. Prior to approving a final remedial action 242 report, the commissioner may enter into a memorandum of 243 understanding with the owner of such property with regard to any 244 further remedial action or monitoring activities on or at such property 245 which the commissioner deems necessary for the protection of human 246 health or the environment. 247 (d) Upon the approval of such report, the owner of the property shall 248 execute and record an environmental use restriction in accordance with 249 the provisions of section 22a-133o, unless a licensed environmental 250 professional presents evidence, satisfactory to the commissioner, that 251 the remediation has achieved a standard sufficient to render such a 252 restriction unnecessary and the commissioner issues a written finding 253 that such restriction is not necessary. Approval of a final remedial action 254 report pursuant to subsections (a) to (e), inclusive, of this section shall 255 be sufficient to support the filing of a Form II, as defined in section 22a-256 134, as amended by this act. 257 (e) Nothing in this section shall relieve any person of any obligation 258 to comply with sections 22a-134 to 22a-134e, inclusive, as amended by 259 this act. 260 (f) On or after the effective date of regulations adopted pursuant to 261 section 22a-134tt, any licensed environmental professional licensed by 262 Raised Bill No. 1404 LCO No. 5403 10 of 13 the State Board of Examiners of Environmental Professionals pursuant 263 to section 22a-133v may, pursuant to prevailing standards and 264 guidelines, conduct a parcel-wide Phase II environmental site 265 assessment and a parcel-wide Phase III investigation, for any parcel of 266 real property which has, or which may have been, subject to a release, 267 as defined in section 22a-134pp, for the purposes of entering such parcel 268 into a voluntary parcel-wide remediation program pursuant to 269 subsections (f) to (k), inclusive, of this section, except as provided by 270 subsection (g) of this section. Any such professional employed by a 271 municipality may enter, without liability, upon any property within 272 such municipality for the purpose of performing an environmental site 273 assessment or investigation if the owner of such property is unknown 274 or such property is encumbered by a lien for taxes due to such 275 municipality, or as otherwise provided for pursuant to section 22a-133e. 276 Nothing in subsections (f) to (k), inclusive, of this section shall affect the 277 ability of any person, firm or corporation to provide any of the services 278 described in this subsection in connection with the remediation of 279 contaminated real property other than as provided for a voluntary 280 parcel-wide remediation conducted pursuant to subsections (f) to (k), 281 inclusive, of this section. 282 (g) A parcel shall be eligible for voluntary parcel-wide remediation 283 pursuant to subsections (f) to (k), inclusive, of this section if such parcel 284 is not subject to sections 22a-134a to 22a-134e, inclusive, and sections 285 22a-134h and 22a-134i, the parcel is not the subject of any order issued 286 by the commissioner regarding one or more releases, or a consent order 287 or stipulated judgment regarding one or more releases, and a parcel-288 wide Phase II environmental site assessment is initiated before the 289 discovery of a release on a parcel subject to the requirements of chapter 290 445b for which a release remediation closure report has not previously 291 been prepared, or not more than sixty days following the discovery of a 292 release on a parcel for which a release remediation closure report has 293 not previously been prepared, provided any immediate actions 294 otherwise required by the regulations adopted pursuant to section 22a-295 Raised Bill No. 1404 LCO No. 5403 11 of 13 134tt are completed within a timeframe and in the manner required by 296 such regulations. 297 (h) Each release identified by a parcel-wide Phase II environmental 298 assessment conducted pursuant to subsection (g) of this section through 299 multiple lines of evidence or the laboratory analysis of samples taken 300 from the land and waters of the state shall be determined to be 301 discovered for the purposes of section 22a-134tt, and any regulations 302 adopted pursuant to said section. Not later than the earliest deadline to 303 report any release discovered pursuant to subsection (g) of this section, 304 as established in regulations adopted pursuant to section 22a-134tt, the 305 environmental professional shall provide notice to the commissioner, on 306 a form prescribed by the commissioner, of the intent to enter the 307 voluntary parcel-wide cleanup program. Such form shall include, but 308 not be limited to, the date of the initiation of the Phase II environmental 309 site assessment, a description of the investigation conducted and the 310 identification each release discovered. 311 (i) Each release discovered pursuant to subsection (h) of this section 312 shall be subject to the requirements of chapter 445b, and the regulations 313 adopted pursuant to section 22a-134tt, provided: 314 (1) For each release discovered pursuant to subsection (g) of this 315 section, any investigation or characterization required to assign the 316 release to a cleanup tier shall be completed and submitted to the 317 commissioner not more than two years after the initiation of the parcel-318 wide Phase II environmental site assessment. The commissioner may 319 audit such submission and, if the commissioner determines that the 320 investigation or characterization is inadequate, may specify a schedule 321 for the completion of additional investigation or characterization. If 322 such additional investigation or characterization is not completed in 323 accordance with such schedule, the commissioner may subject each 324 release discovered pursuant to subsections (g) and (h) of this section to 325 the requirements of chapter 445b; 326 Raised Bill No. 1404 LCO No. 5403 12 of 13 (2) Upon completion of tier characterization, each release discovered 327 pursuant to subsections (g) and (h) of this section shall be grouped 328 together for the purpose of assignment to cleanup tier in accordance 329 with regulations adopted pursuant to section 22a-134tt. Such releases 330 shall be assigned to the environmental professional supervised cleanup 331 tier with the longest timeline for remediation; 332 (3) To the extent each release discovered pursuant to subsections (g) 333 and (h) of this section is subject to any fee assessed by regulations 334 adopted pursuant to section 22a-134tt, releases grouped together 335 pursuant to subdivision (2) of this subsection shall be considered a 336 single release for the purpose of calculating the fee assessed; and 337 (4) Any deadline for remediation of releases grouped together 338 pursuant to subdivision (2) of this subsection that is established by 339 regulations adopted pursuant to section 22a-134tt shall be extended by 340 one year. 341 (j) Any parcel remediated pursuant to the requirements of 342 subsections (f) to (k), inclusive, of this section shall be eligible for a 343 covenant not to sue pursuant to section 22a-133aa, provided a detailed 344 written plan for remediation of the property, in accordance with 345 standards adopted by the commissioner pursuant to section 22a-134tt, 346 has been approved by the commissioner. 347 (k) The commissioner shall expedite the process for issuing any 348 permits required under this title for parcel-wide remediation. 349 This act shall take effect as follows and shall amend the following sections: Section 1 from passage 22a-134rr(a) Sec. 2 from passage 22a-134(1) Sec. 3 October 1, 2025 22a-6u(p) Sec. 4 from passage 22a-133y Raised Bill No. 1404 LCO No. 5403 13 of 13 Statement of Purpose: To establish a transition period from the Transfer Act to regulations that provide for release-based cleanup remediation standards. [Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]