California Land Reuse and Revitalization Act (CLRRA) Quick Reference Guide
The California Land Reuse and Revitalization Act (CLRRA) (Health and Safety Code Chapter 6.82 and 6.83) provides liability protections to:
- Bona Fide Purchasers
- Innocent Landowners
- Contiguous Property Owners
- Prospective Purchasers; and
- Bona Fide Ground Tenants
The liability protections are intended to promote the cleanup and redevelopment of blighted contaminated properties. The law establishes a process for eligible property owners to obtain immunities, conduct a site assessment, and implement a response action as necessary, to ensure that the property can be reused or redeveloped. Immunities begin when a party enters into a CLRRA agreement. CLRRA was first effective January 1, 2005. The sunset date for the original CLRRA bill has been extended multiple times. The current sunset date is January 1, 2027.
All Appropriate Inquiries
One of the eligibility requirements for CLRRA is that All Appropriate Inquiries (AAI), per ASTM E1527-05, be conducted within one year before purchase, with the following components conducted or updated within 180 days of the date of purchase:
- interviews with owners, operators, and occupants;
- searches for recorded environmental cleanup liens;
- reviews of government records;
- visual inspections of the property and surroundings; and
- the declaration by the environmental professional responsible for the assessment or update.
(See H&S Code Section 25395.65)
How different is the CLRRA process from other DTSC voluntary agreements?
- CLRRA encourages streamlined environmental approaches
- CLRRA requires both applicant and site to meet specific eligibility criteria
- Prior to entering into a CLRRA agreement, the DTSC notifies relevant regulatory agencies of the upcoming agreement, and that immunities will attach
- By entering into the CLRRA agreement, the Applicant receives specific immunities
- Through CLRRA, subsequent owners or lessees may benefit via Assignment & Assumption or Successor Agreements
- The CLRRA assessment and cleanup implementation is expedited, while being as protective as any other DTSC process
- DTSC public participation, California Environmental Quality Act, and tribal consultation requirements apply
Who can enter into a CLRRA Agreement?
- Must be a Bona Fide Purchaser (BFP), Innocent Land Owner (ILO), and/or Contiguous Property Owner (CPO) who:
- Took title after January 1, 2005
- Did not cause or contribute to contamination
- Is not affiliated with the party responsible for contamination
- Conducted AAI as per ASTM E1527-05 prior to purchase
- Is planning redevelopment and/or reuse
- Can also be a Prospective Purchaser (PP) who meets the applicable requirements, provides notice to DTSC when title has been transferred, and provides a copy of AAI prior to purchase to confirm eligibility.
- Can also be a Bona Fide Ground Tenant (BFGT) who meets the applicable requirements, has a lease term of at least 25 years, and completed AAI prior to signing the lease.
(See H&S Code Sections 25395.69, .70, .75, .91 and .102 (a)(2).)
For more information, contact Maryam.Tasnif-Abbasi@dtsc.ca.gov.
This document is intended to be guidance only and it does not supersede or implement laws or regulations. The information in this advisory is intended solely as guidance and as educational reference material and should not be considered enforceable or regulatory in nature.