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Comparing contaminated property redevelopment for mandatory and Voluntary Cleanup Programs in California
Peter M Schwarz1, Craig A Depken, Alex Hanning
1Department of Economics, Belk College of Business, University of North Carolina at Charlotte, Charlotte, NC 28223-0001, USA. pschwarz@uncc.edu
Abstract:
This study uses California data to compare redevelopment for properties subject to mandatory and voluntary cleanup. CalSites are subject to the CERCLA liability approach, while properties in the Voluntary Cleanup Program (VCP) are subject to a risk-based approach (RBA) that allows some contamination to remain for non-residential redevelopment. The expectation is that VCPs will show a greater proportion of industrial redevelopment, which has the least stringent standard, and a smaller proportion of residential redevelopment. The results show an overall trend toward more residential redevelopment of contaminated properties, but consistent with expectations, the trend is weaker for VCP properties than CalSites.
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