Historical and Regulatory Background

Prior to the creation of the Private Site Management Program, the private sector frequently conducted site investigations and site cleanups without any government oversight. Project proponents (prospective purchasers, property owners, others) experienced financial institutions increasingly reluctant to underwrite redevelopment efforts or make loans using these properties as collateral. Their reluctance was the result of concerns about the adequacy of investigations and the effectiveness of cleanups.

To ensure that properties do not pose a risk to public health or the environment, the State of California, Environmental Protection Agency, and Department of Toxic Substance Control (DTSC) have developed performance standards that require consultants to follow the DTSC's Preliminary Endangerment Assessment (PEA) process. The DTSC provides oversight to ensure that site investigations are protective of public health and the environment.

Effective January 1, 2000, amendments to the Education Code require mandatory assessment and remediation or cleanup of toxic contamindation of new school sites. Amendments AB387 (Wildman) and SB162 (Escutia) require that properties selected for new school sites are free of significant contamination prior to allocation of public funding.

Many new school sites are undergoing a mandatory PEA process before or during potential property acquisition. The PEA process provides information for determining if current or past waste management practices released or threatened release of hazardous substances that pose a risk to public health or the environment.