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ARIZONA STATE SENATE
Fifty-Seventh Legislature, First Regular Session
hazardous substance release; notice; liability
Purpose
Requires the owner of a qualifying property where there has been a release or threatened release of a hazardous substance to provide written notice that there has been a release or threatened release of a hazardous substance on the qualifying property to any prospective buyer of the qualifying property, the Director of the Arizona Department of Environmental Quality (ADEQ) and the State Mine Inspector if the site is a mine or abandoned mine.
Background
A person, for the purposes of imposing liability, is deemed the party responsible for the release or threatened release of a hazardous substance if the person: 1) owned or operated the facility when the hazardous substance was placed or came to be located in or on the facility, when the hazardous substance was located in or on the facility but before the release or during the time of the release or threatened release; 2) owned or possessed the hazardous substance and arranged, by contract, the agreement for the disposal, treatment or transport for disposal or treatment of the hazardous substance; and 3) accepted for transport to a disposal or treatment facility waste that contained a hazardous substance and either selected the facility to which it was transported or disposed of it in a manner contrary to law (A.R.S. § 49-283).
When information of a possible release or threatened release of a hazardous substance is received by ADEQ, the Director of ADEQ may conduct a preliminary investigation to obtain additional information necessary to determine the potential risk to the public health, welfare or the environment in order to score the site or portion the site and include it on the site registry. The Director of ADEQ must maintain a registry of scored sites or portions of sites that includes a brief description of the site or portion of the site, its score and a brief description of the status of investigative remedial actions (A.R.S. § 49-287.01).
There is no anticipated fiscal impact to the state General Fund associated with this legislation.
Provisions
1. Requires the owner of a qualifying property to provide written notice to:
a) any prospective buyer of the qualifying property;
b) the Director of ADEQ:
i. when the qualifying property owner lists or offers the qualifying property or any portion of the qualifying property for sale; and
ii. when the purchase of the qualifying property or any portion of the qualifying property is complete; and
c) the State Mine Inspector if the site is a mine or abandoned mine:
i. when the qualifying property owner lists or offers the qualifying property or any portion of the qualifying property for sale; and
ii. when the purchase of the qualifying property or any portion of the qualifying property is complete.
2. Requires the outlined notice to any prospective buyer of the qualifying property to occur before the qualifying property is conveyed.
3. Defines qualifying property as property where there has been a release or threatened release of a hazardous substance that is known to the owner of the property, the owner is a responsible party and the property meets either of the following classifications:
a) a site on the statutorily outlined site registry; or
b) a site not on the statutorily outlined site registry if ADEQ has identified the release or threat of release of a hazardous substance and engages in regulatory action that results in a written notice of violation or written enforcement action in response to the release or threat of release of a hazardous substance and the enforcement action is ongoing.
4. Defines written notice as written communication to a prospective buyer that there has been a release or threatened release of a hazardous substance on the qualifying property.
5. Defines prospective buyer as a person that has entered into a contract to purchase a qualifying property.
6. Makes technical and conforming changes.
7. Becomes effective on the general effective date.
House Action
NREW 2/11/25 DPA 10-0-0-0
3rd Read 2/24/25 59-0-1
Prepared by Senate Research
March 14, 2025
SB/slp