Call me a procrastinator, but.....I'm working on the infamous Environmental Risk Program right before the November 1st implementation of the Final rule addressing "all appropriate inquiries."

Obviously I am making some changes to what we want on the Phase I, who we hire, etc, etc.

For some properties, our policy allows for a "questionnaire" to be completed. Any thoughts on that? Are we still doing questionnaires on lower risk properties? Have those gone by the wayside to a phase I on any commercial real estate?

Bumping my own post - - - am I the only one working on this?

I just got off of the Kirschman training webinar on how the CERCLA changes will affect lenders. Ah!

I'm rethinking my whole "risk-based" approach to this policy. Any of you have any thoughts?

I am wondering whose responsibility it is to inform potential buyers of their need to do a Phase I in our to claim any exemptions from liability in the future.

You are not alone! Keep in mind that my FI is in a small community, but for us we set our policy that any new loan inside the city limits with a PB of $150,000 would require a Phase I, under those limits requires the questionaire to be completed. And for new loans of $250,000 outside of the city limits a Phase I is required, under those limits requires the questionaire to be completed.

Hope that helps.

I know I'm late on this, but I'm still trying to wrap my arms around it... Does this only apply to commercial real estate? Am I understanding correctly that we need to determine when we will require an AAI-compliant Phase I, and ensure the consultant who performs the Phase I is qualified?

Yes, only commercial real estate, although don't forget farmland and vacant land purchased for development.

As I am changing our program, I am updating when we will or will not require a Phase I, what needs to be in the Phase I, who can do the Phase I, the timing of the pre-close Phase I and the shelf life of a Phase I.

We used to rely on dated Phase I's if the property hadn't changed hands......can't do that anymore.

We are also updating some procedureal items. Can't tell you how glad I am to know others are doing this, too. I kept thinking I must be in the wrong - - - -maybe I am just in the pond late!