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June 24, 2021

$2.16M boost to Maine brownfields funds good news for major development sites

A modern glass multi story building that says sun life on top with small brick historic buildings behind it Courtesy / Sun Life A rendering of the planned Portland Co. redevelopment, at 58 Fore St. in Portland, which will include the New England headquarters for Sun Life. The site may benefit from EPA Brownfields Loan money to the city and the Greater Portland Council of Governments.
By Maureen Milliken
What do brownfields cleanups do for the economy?
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Five organizations in Maine will share $2.16 million in supplemental brownfields cleanup money, which may be used to clean up property at some of the state's biggest development projects.

The Environmental Protection Agency Brownfields Revolving Loan Fund money to the five organizations is part of $3.35 million granted throughout New England, the EPA said in a news release this week. 

The money, which went to organizations that have a successful track record of cleaning up brownfields sites, will be used to continue the work, spurring development of vacant and abandoned property. Potential recipients include the Portland Co. mixed-used project at 58 Fore St., in Portland; the mixed-use redevelopment of the former Maine Energy Recovery Corp. site in Biddeford and Lewiston's Bates Mill, the recipients said.

In general, a brownfield is a property that may have hazardous substances or pollutants that complicate development, and the EPA-financed cleanups help build housing, recreation and open space, health centers and more.

The recipients are:

  • Greater Portland Council of Governments, $500,000;
  • Maine Department of Economic & Community Development, $500,000;
  • Southern Maine Planning & Development Commission, $500,000;
  • Androscoggin Valley Council of Governments, $330,000;
  • City of Portland, $330,000.

Deb Szaro, EPA New England acting regional administrator, said the organizations have already proven they can clean up sites for successful redevelopment.

“EPA Brownfields funding provides a much-needed boost for economic development and job creation in Maine, and in many of New England’s hardest hit and underserved communities,” Szaro said. "These groups have redevelopment projects already lined up and ready to go, putting businesses to work and transforming local communities. Covid-19 has impacted every corner of New England and these grants have never been more important to our local partners or local economies.”

All five of the groups will use the money to recapitalize revolving loan funds that pay for brownfields cleanups, with the repayment going back into the fund.

Greater Portland Council of Governments, which serves most of Cumberland County, will bring its fund to $2.3 million. Potential projects include the large mixed-use Portland Co. project at  58 Fore St. in Portland. The site, being developed by Portland Foreside Development Co., is in an environmental justice area, which means that more than 20% of the residents live in poverty or more than 30% represent minority populations in the community.

Another potential site is Bridgton Memorial School, in Bridgton, which has been targeted for development, but was built on the site of a railroad yard and requires cleanup. Including other grants, the council has received a total of $3.8 million in EPA brownfields money.

“Brownfields redevelopment is one of the keys to economic recovery and economic vitality," said Kristina Egan, GPCOG executive director. "The Greater Portland Council of Governments looks forward to putting these funds to work returning sites to productive use, eliminating environmental hazards and invigorating our communities." She said EPA’s partnership and investment "has been invaluable in catalyzing job growth, expanding housing choice and creating new economic opportunities" in greater Portland.

Southern Maine Planning & Development Commission will recapitalize its loan fund, which supports cleanups in York County and parts of southern Cumberland and Oxford counties. The fund will increase to more than $4.6 million. Past projects include mill cleanups in Biddeford, Sanford and Saco.

Projects expected to benefit are the Pepperell Mill, as well as the former MERC incinerator site, which is under development by Jim Brady of Fathon Cos., and Brian Eng as a large mixed-use project. Both sites are in environmental justice areas. Another potential project is the Stenton Trust Mill in Sanford, a redeveloped former textile mill that requires asbestos cleanup. The commission has received more than $10.8 Million in EPA Brownfields funding from a variety of programs to date.

Brownfields cleanups supported by SMPDC have leverages more than $200 million in development, said Paul Schumacher, executive director. "These funds have allowed us to create affordable housing, downtown revitalization, business growth and shared community spaces,” he said .“Our success could not have been achieved without our partnership with the EPA Brownfields Program and its Region 1 staff. This latest supplemental RLF approval will allow us to continue this exciting work.”

Maine Department of Economic & Community Redevelopment will increase its fund to more than $4.6 million. Potential projects include Lewiston's Bates Mill Complex, being developed by Tom Platz of Auburn. Other MDECD potential projects include the Pepperell Mill in Biddeford, and the Merlin One generating station site in Caribou.

Androscoggin Valley Council of Governments will increase its fund to $1.75 million, supporting cleanups in Lewiston, Auburn and surrounding communities. Including past grants, AVCOG will have received a total of $2.43 million in EPA brownfields funding by the end of the year. Potential projects include Bates Mill and 60 Minot Ave., in Auburn, which is also in an environmental justice areas.

City of Portland will increase its fund to more than $1.6 million. Potential projects include the Homeless Services Center and the Portland Co. 58 Fore St. development, which are both in environmental justice areas. Including past grants, the city will have received a total of $3.62 million in EPA Brownfields funding by the end of this year.

“These funds support a healthier environment as well as the redevelopment of properties into new housing, mixed use, commercial and institutional uses," Portland Mayor Kate Snyder said. The city, through the program, has cleaned up and developed the Children's Museum and Theatre of Maine site on Thompson's Point, as well as other areas of the point, the Children's Odyssey School, Portland Housing Authority's Boyd Street Housing and Phase I of the Front Street Housing project.

Melanie Loyzim, commissioner of Maine Department of Environmental Protection said regional brownfields cleanup projects help the state as a whole. “Brownfields funding like this helps transform communities," Loyzim said. "Remediation and redevelopment of contaminated properties boosts local economies while reducing pollutants in our environment."

The projects also support economically disadvantaged communities where environmental cleanup and jobs are needed most, said Carlton Waterhouse, deputy assistant administrator for the Office of Land and Emergency Management. “This supplemental funding will help sustain and increase the great progress these communities have made in cleaning up brownfields sites, while also helping them become stronger, healthier and more economically competitive.”

Economic impact of the EPA's Brownfields Revolving Loan Fund

To date, EPA’s RLF grantees across the country have completed 794 cleanups and attracted approximately 48,000 jobs and $16.2 billion in public and private funding.

The funding increases local tax revenue. A study of 48 brownfields sites found that an estimated $29 million to $97 million in additional local tax revenue was generated in a single year after cleanup. That is two to seven times more than the $12.4 million EPA contributed to the cleanup of the sites.

It also increases residential property values. Another study found that property values of homes near revitalized brownfields sites increased between 5 and 15% following cleanup.

Source: Environmental Protection Agency

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