| Hazardous Discharge Site Remediation Fund
Purpose of Funding
To provide grants to public entities (municipalities,
counties, and redevelopment entities) for 100% of the
costs of the investigation and a portion of the costs
(25% to 75% depending on the end use) of the cleanup
of contaminated sites identified as areas specifically
in need of redevelopment. To provide grants to
public entities for 75% of the costs to cleanup contaminated
sites specifically located in a designated Brownfield
Development Area (BDA). To provide grants and loans to private entities (individuals, corporations, businesses, etc.) for the investigation and cleanup of contaminated sites
Source of Funding
A constitutional amendment approved in November 2014 changed the overall funding allocation to the program each year. However, a stable source of HDSRF funding in the range of $10 to $15 million per year is in place for the HDSRF program.
Who is Eligible
Loans: Public entities that elect to complete an RA at a property that they own are eligible for loan funding. Private entities that can not obtain funding from a conventional lending institution are eligible for 100% of the costs to complete PA, SI, RI, and RA activities.
Grants: Public entities that either hold a tax sale certificate for a property, have acquired a property through foreclosure or other similar means, or have passed an ordinance or resolution indicating their intent to acquire a property by voluntary conveyance are eligible for 100% of the costs to complete Preliminary Assessment (PA), Site Investigation (SI), and Remedial Investigation (RI) activities. Public entities are eligible for an additional 75% of the costs of the Remedial Action (RA) if the property is located in a designated BDA. Public entities that own the contaminated property are eligible for 25% of the costs to complete an RA by achieving an unrestricted use No Further Action or Response Action Outcome designation. Public entities that plan a recreation/conservation use for a property or a renewable energy project are eligible for 75% of the costs of the RA and for affordable housing are eligible for 50% of the costs of the RA. Private entities with a net worth of less than $2 million are eligible for 25% of the costs of the remedial action for soil cleanup achieving an unrestricted use No Further Action or Response Action Outcome designation.
Public entity applicants are required to provide documentation indicating the need for redevelopment at the subject property through a comprehensive plan or resolution. Public entity applicants are required to provide proof of ownership or ownership interest documentation, with the exception of properties located in a BDA. Information pertaining to a suspected discharge at the property must be provided (e.g. former use of property, previous environmental investigations conducted at property) and the applicant must enter a memorandum of agreement (MOA) with the NJDEP for the remediation.
entities: Matching grants for an RA unrestricted use No Further Action or Response Action Outcome designation are capped at $250,000 per project. Loans are available for 100% of the remediation costs up to $500,000 per calendar year.
Public entities: Funding is available to public entities up to $2 million per calendar year and an additional $1 million per calendar year is available if the property is located within a BDA. Matching grants for an RA unrestricted use No Further Action or Response Action Outcome designation are capped at $250,000 per project.
Applications are available online or may be obtained
by request from the NJDEP, Division of Site Remediation
and Waste Management, Office of Brownfield Reuse. The
administrative and technical aspects of the application
are reviewed by the NJDEP. The New Jersey Economic
Development Authority completes a review of financial
eligibility, property ownership and site control
FOR INFORMATION OR TO REQUEST
AN NJDEP APPLICATION, CONTACT
William Lindner, Administrator
Office of Brownfield Reuse
East State Street