DEEP: Property Transfer Program Fact Sheet

Property Transfer Program
An Environmental Program Fact Sheet

Program Overview

The Property Transfer Program, administered by the Remediation Division of the Bureau of Water Protection and Land Reuse, requires the disclosure of environmental conditions when certain real properties and/or businesses ("establishments") are transferred. When an establishment is transferred, one of eight Property Transfer Forms must be executed, and a copy of the form must be filed with the Department of Energy & Environmental Protection. When transferring an establishment where there has been a release of a hazardous waste or a hazardous substance, the parties negotiate who will sign the Property Transfer Form as the Certifying Party to investigate the parcel and remediate pollution caused by any release of a hazardous waste or hazardous substance from the establishment.

It is important to note that in all transfers, an investigation of the parcel is required in accordance with prevailing standards and guidelines. When transferring a business that meets the definition of an establishment, any pollution caused by any release of a hazardous waste or a hazardous substance from the business operation must be considered to determine the appropriate form to file. One of four forms must be filed for the transfer of a business.

When transferring real estate that meets the definition of an establishment, the environmental condition of the entire parcel needs to be evaluated to determine the appropriate form to file. One of four forms must be filed for the transfer of real estate.

Authorizing Statutes

Sections 22a-134 through 22a-134e of the Connecticut General Statutes (CGS) are commonly known as "the property transfer law." Until the CGS revised to January 1, 2011 are published, it is very important to refer to the CGS revised to January 1, 2009 in conjunction with Public Act 09-235 and Section 406 of Public Act 09-3.

Guidance

The Department has issued a final Site Characterization Guidance Document (SCGD) effective September 1, 2007. The SCGD describes the Department's expectations for the standard of care to be exercised by environmental professionals responsible for designing, conducting, and documenting site investigations and by any parties/ persons required by law to conduct an investigation of a property in accordance with prevailing standards and guidelines.
 
For Property Transfer sites, the Transfer Act Site Assessment Guidance Document (dated June 1989, revised November 1991) and the draft Site Characterization Guidance Document (dated June 12, 2000) are both superseded by the final SCGD.

Who Must Comply?

Whenever an establishment is transferred, the parties involved in the transfer must comply with the property transfer law. You should carefully review the definitions in CGS Section 22a-134, particularly the definitions of "establishment" and "transfer of establishment," to accurately determine the applicability of the property transfer law to the subject transaction. A transfer generally refers to any change in ownership of the real property and/or business, which meets the definition of establishment.

Establishment means any real property at which or any business operation from which: (A) on or after November 19, 1980, there was generated, except as the result of remediation of polluted soil, groundwater, or sediment, more than one hundred kilograms of hazardous waste in any one month; (B) hazardous waste generated at a different location was recycled, reclaimed, reused, stored, handled, treated, transported, or disposed of; (C) the process of dry cleaning was conducted on or after May 1, 1967; (D) furniture stripping was conducted on or after May 1, 1967; or (E) a vehicle body repair facility was located on or after May 1, 1967.

Required Documents

 
Property Transfer Forms (Forms I, II, III, IV, Environmental Condition Assessment Form (ECAF), verification forms, and LEP approval forms ) are provided by the Property Transfer Program. The filing must be on an original or photocopied form prescribed by the Commissioner.
Form I

Complete a Property Transfer Program - Form I (DEP-PERD-PTP-201) when an investigation of the parcel has been conducted in accordance with prevailing standards and guidelines and no release of hazardous waste or a hazardous substance has occurred at the establishment being transferred; or when no release of a hazardous waste has occurred at the establishment and a Licensed Environmental Professional (LEP) has verified that any release of a hazardous substance has been remediated in accordance with the Remediation Standard Regulations (RSRs). Any person submitting a Form I shall simultaneously submit an ECAF.

Form II

Complete a Property Transfer Program - Form II (DEP-PERD-PTP-202) when an investigation of the parcel has been conducted in accordance with prevailing standards and guidelines and a release of hazardous waste or a hazardous substance has occurred at the establishment, but the Commissioner has approved in writing or a LEP has verified pursuant to CGS Sections 22a-133x, 22a-133y, or 22a-134a that any pollution from the establishment has been remediated in accordance with the RSRs. Written documentation of the Commissioner's approval or written LEP verification must accompany the submission of the Form II.

Form III

Complete a Property Transfer Program - Form III (DEP-PERD-PTP-203) when the environmental conditions at the establishment are unknown, or a release of hazardous waste or a hazardous substance has occurred at the establishment and any pollution from the establishment has not been remediated in accordance with the RSRs. The party signing the Form III certification agrees to investigate the parcel and remediate pollution caused by any release of a hazardous waste or a hazardous substance from the establishment in accordance with the RSRs. The statute does not require completion of remediation before the establishment is transferred. Any person submitting a Form III shall simultaneously submit a completed ECAF.

Form IV

Complete a Property Transfer Program - Form IV (DEP-PERD-PTP-204) when an investigation of the establishment has been completed in accordance with prevailing standards and guidelines, there has been a release of hazardous waste or a hazardous substance at the establishment, and a LEP has verified that all actions to remediate any pollution from the establishment have been taken in accordance with the RSRs except natural attenuation monitoring, post-remediation groundwater monitoring, or the recording of an Environmental Land Use Restriction. The party signing the Form IV certification agrees to conduct natural attenuation monitoring and/or post-remediation monitoring in accordance with the RSRs. Any person submitting a Form IV shall simultaneously submit a completed ECAF, a schedule for groundwater monitoring, and the recording of an Environmental Land Use Restriction, as applicable, and a verification rendered by a LEP to support the filing of the Form IV. There verification must be submitted on a form prescribed by the Commissioner. 

ECAF

The Environmental Condition Assessment Form (ECAF) is a form prescribed by the Commissioner that defines the environmental conditions at the parcel, that is prepared under the supervision of a LEP, and that is executed by the Certifying Party as defined pursuant to CGS Section 22a-134(6). The most recent version of the ECAF must be used. An ECAF must be submitted simultaneously with the filing of a Form I, III, or IV in order for the filing to be considered complete. Upon receipt of a complete Form III or IV filing, the Department evaluates the information presented in the ECAF and considers the environmental conditions of the parcel, potential risk to human health, and sensitivity of the surrounding land uses to determine if the Department or a LEP shall oversee the investigation and remediation of the parcel.

LEP or DEEP Oversight? Upon receipt of the Department's letter notifying the Certifying Party that a Form III filing is complete, oversight of the investigation and remediation of the parcel is defaulted to a LEP, unless the Department notifies the Certifying Party that review and approval of the investigation and remediation by the Department is required.
LEP Lead
Oversight - Complete Investigation Within 2 Years

Not later than two years from the date of the Department's letter acknowledging a complete Form III, the Certifying Party must provide documentation signed by the LEP to the Commissioner that the investigation of the establishment has been completed in accordance with prevailing standards and guidelines. The final site investigation report must be submitted under cover of the Department's Completion of Investigation Transmittal Form (Word / PDF) [Instructions].

LEP Lead Oversight - Initiation of Remediation Within 3 Years

Not later than three years from the date of the Department's letter acknowledging a complete Form III, the Certifying Party must initiate remediation of the establishment and must provide documentation to the Commissioner that remediation has been initiated. Prior to initiating remediation, public notice of remediation must be provided. A Remedial Action Plan (RAP) approved by a LEP must be submitted under cover of the Departmentís Remedial Action Plan Transmittal Form  (Word / PDF) [Instructions].

LEP Lead Oversight - Complete Remediation Within 8 Years Not later than eight years from the date of the Department's letter acknowledging a complete Form III (filed after October, 1, 2009), the Certifying Party must complete remediation to support a LEP final verification or interim verification.

Fees

Property Transfer Filing fees increased October 1, 2009, as a result of Section 406 of Public Act 09-3 and are as follows:

Form I filing fee is $375.00, and is due in full upon filing.

Form II filing fee is $1,300.00, except when a site was remediated pursuant to CGS section 22a-133x and the Commissioner approved a cleanup within three years of the transfer, in which case the fee is the same as for a Form III pursuant to CGS section 22a-134e(n). The appropriate Form II fee is due in full upon filing.

Form III filing fees
Initial
fee due upon filing is $3,000.00 (unchanged).
Form III total filing fee is dependent on whether the Department or a LEP approves the cleanup. If a LEP verifies the cleanup, no subsequent fee is due. If the Commissioner approves the cleanup, the subsequent fee is based on the cost of cleanup (COC) and is due prior to the Commissioner's issuance of a final approval of the investigation and remediation.

$    250 if COC is < $ 25,000
$ 1,750 if COC is > $ 25,000 and < $ 50,000
$ 4,000 if COC is > $ 50,000 and < $ 100,000
$18,250 if COC is > $ 100,000 and < $ 500,000
$27,250 if COC is > $ 500,000 and < $1,000,000
$31,750 if COC is > $1,000,000

Form IV filing fees
Initial fee
due upon filing is $3,000.00 (unchanged).
Form IV total filing fee is dependent on whether the Department or a LEP approves the cleanup. If a LEP verifies the cleanup, no subsequent fee is due. The subsequent fee for a Form IV is based on the total COC and is due prior to the Commissioner's issuance of final approval of the remediation.

$    250 if COC is < $ 50,000
$    625 if COC is > $ 50,000 and < $ 100,000
$ 7,750 if COC is > $ 100,000 and < $ 500,000
$12,250 if COC is > $ 500,000 and < $1,000,000
$14,550 if COC is > $1,000,000

Program Procedures

Within 90 days of receipt of a Form I or Form II, the Commissioner shall notify the transferor whether the Form I or Form II is complete or incomplete. 

Within 30 days of receipt of a Form III or Form IV, the Commissioner shall notify the Certifying Party whether the form is complete or incomplete.

Effective July 1, 2007, the Certifying Party shall use a LEP to oversee investigation of the parcel in accordance with prevailing standards and guidelines and remediation of the establishment in accordance with the RSRs, unless the Commissioner notifies the certifying party in writing that review and approval of the investigation and remediation by the Commissioner is required.

Contact Information

For fee processing, all Forms I, II, III, and IV, ECAFs, any supporting documents, and fee payments should be mailed or hand delivered to:

CENTRAL PERMIT PROCESSING UNIT, 1st FLOOR
DEPARTMENT OF ENERGY & ENVIRONMENTAL PROTECTION
79 ELM STREET
HARTFORD, CT 06106-5127

All subsequent correspondence or subsequent reports should be mailed to:

REMEDIATION DIVISION, 2nd floor
BUREAU OF WATER PROTECTION AND LAND REUSE
DEPARTMENT OF ENERGY & ENVIRONMENTAL PROTECTION
79 ELM STREET
HARTFORD, CT 06106-5127

Remediation Division phone number: (860) 424-3705

This overview is designed to answer general questions and provide basic information. You should refer to the appropriate statutes for the specific language. It is your responsibility to comply with all applicable laws. The information contained in this fact sheet is intended only to acquaint you with the property transfer program and does not constitute the Department's interpretation of the applicable laws. Fact Sheet: DEP-PTP-FS-200

The Property Transfer Program process is also available in a flow chart format (PDF). The flow chart presents a generalized overview of the procedures and decisions associated with the Property Transfer Program. It does not reflect all decisions and processes associated with this program.

Property Transfer Program | Remediation Programs and Information
Environmental Program Fact Sheets | DEEP Laws and Regulations

Content Last Updated October 28, 2009