House Financial Services Committee Passes Landmark Brownfields Legislation

Apr 11, 2002
Press Release
Washington, DC- Today the House Financial Services Committee unanimously passed H.R. 2941, the "Brownfields Redevelopment Enhancement Act" sponsored by Congressman Gary Miller (R-CA) and Congresswoman Carolyn B. Maloney (D-NY). H.R. 2941 is designed to improve local communities' flexibility in redeveloping Brownfields properties.
"This bill will give cities new financing options for Brownfields redevelopment," stated Congressman Miller.

Specifically, H.R. 2941 de-links the Housing and Urban Development's (HUD) Brownfield Economic Development Initiative (BEDI) Grants from its Section 108 loan program. Under current law, in order to access a BEDI grant, cities must first obtain a Section 108 loan which is secured by its Community Development Block (CBDG) grant. Because CBDG grants are the largest source of federal assistance to state and local governments for community development activities, cities are reluctant to use these funds as loan collateral. As a result, the BEDI grant program has been largely difficult to access.

"This is terrific news for the nation's communities. Anything that makes it easier to redevelop Brownfields presents a unique opportunity to foster the sense of community and satisfies the increasing needs of our population," said Congresswoman Carolyn B. Maloney.

Additionally, H.R. 2941 creates a pilot program for the national redevelopment of Brownfields. This pilot program would allow the HUD Secretary to develop, maintain, and administer a common loan pool.

At today's mark-up, two technical amendments were accepted to H.R. 2941. This legislation could be debated on the Floor of the U.S. House of Representatives as early next week.

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