ARTICLE
13 February 2025

U.S. Senate Committee Unanimously Reports Brownfields Reauthorization Legislation

HK
Holland & Knight

Contributor

Holland & Knight is a global law firm with nearly 2,000 lawyers in offices throughout the world. Our attorneys provide representation in litigation, business, real estate, healthcare and governmental law. Interdisciplinary practice groups and industry-based teams provide clients with access to attorneys throughout the firm, regardless of location.
The Senate Committee on Environment and Public Works (EPW) on Feb. 5, 2025, held a markup on the Brownfields Reauthorization Act of 2025 (S. 347), where the legislation was unanimously reported to the full.
United States Ohio Environment

The Senate Committee on Environment and Public Works (EPW) on Feb. 5, 2025, held a markup on the Brownfields Reauthorization Act of 2025 (S. 347), where the legislation was unanimously reported to the full Senate. To date, floor consideration has not been scheduled, and a U.S. House of Representatives companion measure has not yet been introduced in the 119th Congress. S. 347 was reintroduced by Sens. Shelley Moore Capito (R-W.Va.), chair of the EPW Committee, and Lisa Blunt Rochester (D-Del.). Similar legislation unanimously passed the EPW Committee during the last Congress in September 2023.

Since first being authorized in 2002, the Brownfields program has served as an important economic revitalization and cleanup tool. The goal is to provide federal financial assistance for the cleanup of properties that are frequently abandoned or underutilized and on which known or suspected contamination is a deterrent to redevelopment. In the U.S., it is estimated that there are more than 450,000 brownfields sites.

Potential Programmatic Changes

The Brownfields Reauthorization Act of 2025 would reauthorize the U.S. Environmental Protection Agency's (EPA) Brownfields Program through fiscal year 2030. According to a committee summary, the legislation would reduce financial barriers for small and underserved communities and expand access to the program by:

  • reducing the cost-share requirement from 20 percent to 10 percent
  • providing cost-share waivers for small and underserved communities
  • streamlining the application process to make it more accessible for smaller communities
  • expanding the definition of eligible entities to include organizations defined under Section 501(c)(6) of the Internal Revenue Code, in addition to 501(c)(3) organizations; 501(c)(6) entities include business leagues, chambers of commerce, real estate boards, boards of trade and professional football leagues
  • doubling maximum site cleanup grants from $500,000 to $1 million
  • increasing state program funding to $75 million annually by 2030

Conclusion

The Brownfields program will continue to be a priority during the 119th Congress. In addition to the reauthorization effort, Reps. Mikie Sherrill (D-N.J.) and Mike Turner (R-Ohio) have reintroduced the Brownfields Redevelopment Tax Incentive Reauthorization Act that would reinstate the Brownfields tax incentive that expired in 2012, permitting developers to fully deduct the costs of brownfield environmental remediation in the year they are incurred.

Stakeholders will have opportunities to shape this important legislation and should monitor congressional action to understand how these adjustments may impact existing and future initiatives.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

Mondaq uses cookies on this website. By using our website you agree to our use of cookies as set out in our Privacy Policy.

Learn More