I

103D CONGRESS

1ST SESSION H. R. 3620

To amend the Comprehensive Environmental Response, Compensation, and

Liability Act of 1980, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

NOVEMBER 22, 1993

Mr. UPTON introduced the following bill; which was referred jointly to the

Committees on Energy and Commerce, Public Works and Transportation,

and Ways and Means

A BILL

To amend the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, and for other

purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.

4 (a) SHORT TITLE.—This Act may be cited as the

5 ‘‘ ’’.

6 (b) TABLE OF CONTENTS.—

Sec. 1. Short title and table of contents.

TITLE I—INNOCENT LANDOWNER

Sec. 101. Amendment to Superfund pertaining to innocent landowner defense.

Sec. 102. Effective date.
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TITLE II—VOLUNTARY CLEANUPS

Sec. 201. Definitions.

Sec. 202. Applicability; integration with other Acts.

Sec. 203. Authorized State voluntary response programs.

Sec. 204. Procedures for undertaking voluntary responses.

Sec. 205. Response requirements.

Sec. 206. Relationship with other laws.

Sec. 207. Requirement to perform additional response action.

Sec. 208. Enforcement and effect of compliance with this title.

TITLE III—ECONOMIC INCENTIVES

Sec. 301. Environmental remediation tax credit.

Sec. 302. Deduction of environmental cleanup expenses.

TITLE IV—LENDER LIABILITY

Sec. 401. Amendments to Comprehensive Environmental Response, Compensation, and Liability Act of 1980.

Sec. 402. Scope of application.

TITLE V—MISCELLANEOUS

Sec. 501. Contractor liability

Sec. 502. Conduit acquisitions [To be provided].

1 TITLE I—INNOCENT

2 LANDOWNER

3 SEC. 101. AMENDMENT TO SUPERFUND PERTAINING TO IN4 NOCENT LANDOWNER DEFENSE.

5 Section 101(35) of the Comprehensive Environmental

6 Response, Compensation, and Liability Act of 1980 (42

7 U.S.C. 9601 et seq.) is amended by redesignating sub8 paragraphs (C) and (D) as subparagraphs (D) and (E),

9 respectively, and inserting after subparagraph (B) the fol10 lowing:

11 ‘‘(C)(i) A defendant who has acquired real property

12 shall have established a rebuttable presumption that he

13 has made all appropriate inquiry within the meaning of

14 subparagraph (B) if he establishes that, within 180 days
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1 prior to the time of acquisition, he conducted an environ2 mental site assessment of the real property which meets

3 the requirements of this subparagraph.

4 ‘‘(ii) For purposes of this subparagraph, the term

5 ‘environmental site assessment’ means an assessment of

6 the real property and surrounding areas to obtain com7 monly known or reasonably ascertainable information

8 about the property and to assess the obviousness of the

9 presence or likely presence of contamination at the real

10 property, and which consists of each of the following

11 elements:

12 ‘‘(I) Interview of owners, operators, and occu13 pants of the property to determine information re14 garding the potential for contamination there.

15 ‘‘(ii) review of standard historical sources as

16 necessary to determine previous uses and occupan17 cies of the property since the property was first de18 veloped. For purposes of this subclause, the term

19 ‘‘standard historical sources’’ means any of the fol20 lowing, providing they are reasonable ascertainable:

21 recorded chain of title documents regarding the real

22 property, including all deeds, easements, leases, re23 strictions, and covenants; aerial photographs; fire in24 surance maps; property tax files; USGS 7.5 minute

25 topographic maps; local street directories; building
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1 department records; zoning/land use records; and

2 any other sources that are credible to a reasonable

3 person and that identify past uses and occupancies

4 of the property.

5 ‘‘(III) Determination of the existence of re6 corded environmental cleanup liens against the real

7 property which have arisen pursuant to Federal,

8 State, or local statutes.

9 ‘‘(IV) Review of reasonably ascertainable Fed10 eral, State, and local government records of sites or

11 facilities that are likely to cause or contribute to

12 contamination at the real property, including, as ap13 propriate, investigation reports for such sites or fa14 cilities; records of activities likely to cause or con15 tribute to contamination at the real property, includ16 ing landfill and other disposal location records, un17 derground storage tank records, hazardous waste

18 handler and generator records and spill reporting

19 records; and such other reasonable ascertainable

20 Federal, State, and local government environmental

21 records which reflect incidents or activities which are

22 likely to cause or contribute to contamination at the

23 real property.

24 ‘‘(V) A visual site inspection of the real prop25 erty and all facilities and improvements on the real
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1 property, and a visual inspection of immediately ad2 jacent properties, including an investigation of any

3 hazardous substance use, storage, treatment, and

4 disposal practices on the property.

5 A record is considered to be ‘reasonably ascertainable’ for

6 purposes of this clause if a copy or reasonable facsimile

7 of the record, or access to it, is obtainable from the gov8 ernment agency by request (within reasonable time and

9 cost constraints) and the record is practically reviewable.

10 ‘‘(iii) No presumption shall arise under clause (i) un11 less the defendant has maintained a compilation of the in12 formation reviewed in the course of the environmental site

13 assessment.

14 ‘‘(iv) Notwithstanding any other provision of this

15 paragraph, if the environmental site assessment discloses

16 the presence of contamination at the real property to be

17 acquired, no presumption shall arise under clause (i) with

18 respect to such contamination unless the defendant has

19 taken reasonable steps, in accordance with commonly

20 available technology, existing law, and generally acceptable

21 engineering practices, as may be necessary to confirm the

22 absence of such contamination.

23 ‘‘(v) For the purposes of this paragraph, the term

24 ‘contamination’ means an existing release, a past release,

25 or the material threat of a release of a hazardous sub-
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1 stance, other than de minimis conditions that generally do

2 not present a material risk of harm to public health or

3 welfare or the environment.

4 SEC. 102. EFFECTIVE DATE.

5 Subparagraph (C) of section 101(35) of the Com6 prehensive Environmental Response, Compensation, and

7 Liability Act of 1980, as added by section 101, shall take

8 effect on the date of the enactment of this Act.

9 TITLE II—VOLUNTARY

10 CLEANUPS

11 SEC. 201. DEFINITIONS.

12 For purposes of this title, the terms used herein shall

13 have the same meaning as set forth in the Comprehensive

14 Environmental Response, Compensation and Liability Act

15 (42 U.S.C. 9601 et seq). Also for purposes of this Act,

16 the following definitions shall apply:

17 (1) The term ‘‘CAA’’ means the Clean Air Act

18 (42 U.S.C. 1401 et seq).

19 (2) The term ‘‘CERCLA’’ means the Com20 prehensive Environmental Response, Compensation

21 and Liability Act (42 U.S.C. 9601 et seq).

22 (3) The term ‘‘commercial property’’ means any

23 place where people work that is accessible to the

24 public. Such property includes, but is not limited to,
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1 institutional properties, stores, office buildings, and

2 indoor transportation centers.

3 (4) The term ‘‘CWA’’ means the Clean Water

4 Act (33 U.S.C. 1251 et seq).

5 (5) The term ‘‘engineering controls’’ means any

6 mechanism to contain or stabilize contamination or

7 ensure the effectiveness of a response action. Engi8 neering controls include caps, covers, dikes, trenches,

9 and leachate collection systems.

10 (6) The term ‘‘hazardous constituent’’ means

11 any hazardous waste constituent identified by the

12 Administrator under subtitle C of the Resource Con13 servation and Recovery Act (42 U.S.C. 6901 et seq).

14 (7) The term ‘‘industrial property’’ means any

15 property that does not meet the criteria established

16 under the definition of ‘‘residential property’’ or

17 ‘‘commercial property’’.

18 (8) The term ‘‘institutional controls’’ means

19 any mechanism used to limit human activity or ex20 posure at or near a contaminated site, including re21 strictions on the use of the site or access to the site.

22 Institutional controls include fences or gates, deed

23 restrictions, prohibitions on well use, and warning

24 signs.
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1 (9) The term ‘‘OPA’’ means the Oil Pollution

2 Act of 1990 (33 U.S.C. 2701 et seq).

3 (10) The term ‘‘RCRA’’ means the Solid Waste

4 Disposal Act, as amended by the Resource Conserva5 tion and Recovery Act (42 U.S.C. 6901 et seq).

6 (11) The term ‘‘residential property’’ means

7 any place where people live or reside. Such property

8 includes housing and the property on which housing

9 is located, playgrounds, schools, parks, and other

10 similar areas within a residential community.

11 (12) The term ‘‘SDWA’’ means the Safe Drink12 ing Water Act (42 U.S.C. 300(f) et seq).

13 (13) The term ‘‘TSCA’’ means the Toxic Sub14 stances Control Act (15 U.S.C. 2601 et seq).

15 SEC. 202. APPLICABILITY; INTEGRATION WITH OTHER

16 ACTS.

17 (a) PURPOSE.—This title provides an alternative

18 method for remediation of contaminated sites and, when

19 used at eligible sites, will satisfy the remediation require20 ments under the statutes specified in section 109(b) of

21 this Act. The title establishes requirements applicable to,

22 and criteria for determining the adequacy of, voluntary re23 sponses to releases or threatened releases of hazardous

24 substances or hazardous constituents into the environ25 ment.
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1 (b) APPLICABILITY.—Except as provided in sub2 section (c), this title applies to any facility where there

3 has been a release or threat of release of a hazardous sub4 stance or hazardous constituent into the environment in5 cluding:

6 (1) any facility subject to response under

7 CERCLA, including but not limited to facilities cur8 rently included on or proposed for inclusion on the

9 National Priorities List;

10 (2) any facility subject to corrective action

11 under RCRA sections 3004(u) or 3008(h);

12 (3) any facility containing polychlorinated

13 biphenyls subject to response under TSCA section

14 6(e); and

15 (4) any facility included on a State list of con16 taminated sites warranting response.

17 (c) EXCLUSIONS.—This title does not apply to the

18 following—

19 (1) any portion of a facility with respect to

20 which a Record of Decision has been issued by the

21 President under CERCLA section 104;

22 (2) any portion of a facility with respect to

23 which an administrative or judicial order or consent

24 decree requiring remedial action has been issued
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1 under CERCLA sections 106 or 122, RCRA section

2 7003, CWA section 504, or SDWA section 1431;

3 (3) any land disposal unit with respect to which

4 a closure notification under subtitle C of RCRA has

5 been submitted and closure requirements have been

6 specified in a closure plan or permit; or

7 (4) any portion of a facility with respect to

8 which a corrective action permit or order has been

9 issued, modified, or amended to require implementa10 tion of corrective measures.

11 SEC. 203. AUTHORIZED STATE VOLUNTARY RESPONSE PRO12 GRAMS.

13 (a) AGREEMENTS WITH STATES.—After enactment

14 of this Act, any State may apply to the Administrator to

15 administer the voluntary response program authorized

16 under this title.

17 (b) APPROVAL OF STATE PROGRAMS.—If the Admin18 istrator determines, after public notice and comment, that

19 a State program submitted pursuant to subsection (a) is

20 consistent with the provisions of this title and that the

21 State has the capability to administer such program in

22 accordance with the standards and procedures established

23 pursuant to this title, the Administrator shall enter into

24 an agreement with the State to administer such program.

25 The Administrator shall approve or disapprove a State ap-
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1 plication within sixty days of the close of the public com2 ment period. The Administrator’s determination on a

3 State application shall be published in the Federal Reg4 ister and, in the case of approval, shall identify the State

5 agency that will administer the program.

6 (c) EFFECT OF APPROVAL.—(1) Subject to para7 graph (2), a State with a program approved pursuant to

8 subsection (b) shall have sole jurisdiction and responsibil9 ity for implementing and enforcing the requirements of

10 this Act.

11 (2) Whenever the Administrator determines after

12 public hearing that a State is not administering and en13 forcing a program approved under subsection (b) in ac14 cordance with the requirements of this Act, the Adminis15 trator shall notify the State of such a determination. If

16 appropriate corrective action is not taken by the State

17 within a reasonable time, not to exceed ninety days, the

18 Administrator shall withdraw approval of such program

19 and provide notice of such withdrawal in the Federal Reg20 ister. The Administrator shall not withdraw approval of

21 any such program without having first notified the State,

22 and made public, in writing, the reasons for such with23 drawal.

24 (d) EFFECT OF DISAPPROVAL OR WITHDRAWAL.—

25 In the case of disapproval of a State application pursuant
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1 to subsection (b) or withdrawal of State approval pursuant

2 to subsection (c), the Administrator shall be responsible

3 for administering a Federal program pursuant to this title

4 and notice of such shall be published in the Federal

5 Register.

6 (e) STATE APPROVAL OF VOLUNTARY RESPONSE AC7 TION.—Any approval of a voluntary response action by a

8 State authorized under this section shall have the same

9 force and effect as approval by the Administrator under

10 this title.

11 SEC. 204. PROCEDURES FOR UNDERTAKING VOLUNTARY

12 RESPONSES.

13 (a) NOTICE OF INTENTION TO CONDUCT A VOL14 UNTARY RESPONSE.—Beginning six months after the date

15 of enactment of this Act, any person may submit a notifi16 cation of intent to conduct a voluntary response pursuant

17 to this title. Any person who intends to conduct a vol18 untary response pursuant to this title shall give written

19 notice to the Administrator and the State in which the

20 voluntary response is to occur. Such notice shall set forth

21 information sufficient for the Administrator (or the State,

22 if authorized) to determine that the facility is eligible for

23 the voluntary response program. If the person giving no24 tice is not the owner or operator of the facility, the notice

25 shall include a representation that the owner or operator
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1 has consented to the conduct of the voluntary response

2 action by the person giving notice.

3 (b) OVERSIGHT COSTS.—(1) As a condition of eligi4 bility for the voluntary response program, the person giv5 ing notice must agree in advance to pay the reasonable

6 direct costs incurred and documented by the Adminis7 trator (or the State, if authorized) in reviewing the re8 sponse action plan in subsection (d) and overseeing the

9 response.

10 (2) A person conducting a voluntary response pursu11 ant to this title shall make a one-time, non-refundable pay12 ment of $5,000 at the time the person submits a response

13 action plan under subsection (d), which payment shall con14 stitute a set-off against future oversight costs incurred by

15 the Administrator (or the State, if authorized).

16 (3) The Administrator (or the State, if authorized)

17 shall establish procedures for arbitration of disputes con18 cerning reimbursement of reasonable direct costs incurred

19 under this title.

20 (c) FACILITY INVESTIGATION.—Any person who in21 tends to perform a voluntary response under this title shall

22 first conduct a facility investigation which assesses those

23 factors listed below that are necessary to determine an ap24 propriate response to the particular release—
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1 (1) physical characteristics of the facility, in2 cluding important surface features, soils, geology,

3 hydrogeology, meteorology, and ecology;

4 (2) characteristics or classifications of air, sur5 face water, and groundwater at the facility;

6 (3) the general characteristics of the hazardous

7 substances and hazardous constituents at the facil8 ity, including quantity, state, concentration, toxicity,

9 propensity to bioaccumulate, persistence, and mobil10 ity;

11 (4) the extent to which the source of the release

12 of hazardous substances and hazardous constituents

13 can be adequately identified and characterized;

14 (5) actual and potential exposure pathways

15 through environmental media;

16 (6) actual and potential exposure pathways to

17 human receptors;

18 (7) the current use(s) of the property and adja19 cent properties; and

20 (8) other factors that pertain to the character21 ization of the facility for the purpose of a voluntary

22 response or selection of a response action alter23 native.

24 (d) RESPONSE ACTION PLAN.—
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1 (1) REQUIREMENT FOR A RESPONSE ACTION

2 PLAN.—A voluntary response to be carried out pur3 suant to this Act shall be set forth in a ‘‘response

4 action plan’’ submitted with the facility investigation

5 report to the Administrator (or the State, if author6 ized). The response action plan shall describe—

7 (A) the response action to be taken;

8 (B) the response standards to be achieved

9 in accordance with section 205;

10 (C) the level or standard of control for

11 hazardous substances or hazardous constituents

12 that will be discharged or emitted into the envi13 ronment during the response action consistent

14 with the standards under section 205; and

15 (D) a schedule for completion of the re16 sponse action.

17 (2) PUBLIC PARTICIPATION.—Within 15 days

18 of receipt of the response action plan, the Adminis19 trator (or the State, if authorized) shall publish in

20 the Federal Register (or State equivalent) notice of

21 receipt of the plan and a brief summary of the plan,

22 information regarding the availability of the plan to

23 the public, and notice of a 45-day comment period.

24 (3) APPROVAL OF RESPONSE ACTION.—A re25 sponse action plan or plan modification shall be
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1 deemed approved unless the Administrator (or the

2 State, if authorized) determines, within 30 days of

3 the close of the public comment period specified in

4 subsection (2), that

5 (A) based on site-specific factors, the re6 sponse action plan or plan modification does

7 not comply with the response standards under

8 section 205; or

9 (B) the response action plan or plan modi10 fication as submitted, or the facility investiga11 tion on which it is based, is otherwise not in ac12 cordance with the requirements of this title.

13 Such determination shall be in writing and shall

14 state with specificity the basis for the disapproval.

15 The Administrator (or the State, if authorized) shall

16 publish in the Federal Register (or State equivalent)

17 notice of its decision of approval or disapproval of a

18 response action plan, along with the name of the

19 person from which additional information may be

20 obtained concerning the agency’s decision.

21 (4) WAIVER.—

22 (A) A person conducting a voluntary re23 sponse under this title may submit with the re24 sponse action plan, or at any time thereafter, a

25 petition to the Administrator (or the State, if
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1 authorized) for a waiver of the response re2 quirements in section 205.

3 (B) Within 15 days of receipt of the waiver

4 petition, the Administrator (or the State, if au5 thorized) shall publish in the Federal Register

6 (or State equivalent) notice of the waiver peti7 tion and notice of a thirty-day comment period.

8 (C) The Administrator (or the State, if au9 thorized) shall, within thirty days of the close of

10 the comment period described in subsection

11 (B), grant a waiver of the applicable standards

12 at a particular facility in response to such peti13 tion where:

14 (i) compliance with the applicable

15 standards will result in greater risk to

16 human health and the environment than

17 alternative options;

18 (ii) compliance with the applicable

19 standards is impracticable from an engi20 neering perspective;

21 (iii) the response action will attain a

22 level of protection that is equivalent to that

23 provided by the applicable standards; or

24 (iv) contaminants will not travel the

25 expected exposure pathway(s) as a result
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1 of site-specific conditions, institutional con2 trols, or engineering controls.

3 (e) REPORTING AND RECORDKEEPING REQUIRE4 MENTS.—

5 (1) REPORTING.—A person conducting a vol6 untary response pursuant to this title shall submit

7 an annual progress report to the Administrator (or

8 the State, if authorized) which includes—

9 (A) a description of the actions which have

10 been taken in accordance with the approved re11 sponse action plan; and

12 (B) the results of sampling and analysis

13 required by the response action plan generated

14 during the prior year.

15 (2) RECORDKEEPING.—A person conducting a

16 voluntary response under this title shall document

17 the actions taken and maintain, for five years after

18 the person submits a certification under subsection

19 (f) to the appropriate agency, the following

20 records—

21 (A) the notification to the Administrator

22 and the State required by subsection (a);

23 (B) the facility investigation report;

24 (C) the response action plan;
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1 (D) all data required to be generated by

2 the response action plan, including post-re3 sponse verification data; and

4 (E) the certification submitted pursuant to

5 subsection (f) demonstrating that the voluntary

6 response is complete and in compliance with the

7 response action plan.

8 (f) CERTIFICATION.—(1) Upon completion of the vol9 untary response, a person conducting a response under

10 this title shall submit to the Administrator (or the State,

11 if authorized), a certification that the voluntary response

12 has been completed in accordance with the approved re13 sponse action plan. The certification shall include the in14 formation required under subsection (e)(1) and all post15 response verification data required by the response action

16 plan. For response action plans that require operation and

17 maintenance or monitoring for a period exceeding two

18 years, the certification may be submitted at the completion

19 of any other work required by the approved response ac20 tion plan. The certification shall be signed by the duly au21 thorized representative of the person conducting the vol22 untary response and an independent registered profes23 sional engineer.

24 (2) A voluntary response action under this title shall

25 be deemed approved unless, within ninety days of submis-
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1 sion of the certification provided in paragraph (1) of this

2 subsection, the Administrator (or the State, if authorized)

3 exercises its authority under section 207(a).

4 SEC. 205. RESPONSE REQUIREMENTS.

5 (a) COMPLIANCE WITH RESPONSE STANDARDS.—

6 Voluntary responses conducted pursuant to this Act shall

7 attain response standards derived on a site-specific basis

8 in accordance with this section. In determining the appro9 priate means of achieving such standards, persons under10 taking voluntary response and the approving governmental

11 agency shall take into account the practicability of the

12 chosen response from an engineering perspective, the ex13 istence of background levels of contaminants on the prop14 erty, and the cost of the response in relation to the degree

15 of risk reduction achieved by such response. Response ac16 tions under this Act may attain the response standards

17 of this section through the use of reliable engineering con18 trols (such as geohydrologic measures, grout curtains,

19 etc.) and/or institutional controls where the party under20 taking response can demonstrate that (i) other response

21 measures are impracticable for economic, technological, or

22 implementation reasons, or (ii) engineering and/or institu23 tional controls are necessary to control the source of con24 tamination or prevent exposure as part of an overall reme25 dial action program.
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1 (b) PERFORMANCE OF A SITE-SPECIFIC RISK AS2 SESSMENT.—A person seeking to conduct a voluntary

3 cleanup must submit a site-specific risk assessment along

4 with the response action plan. The risk assessment shall

5 be performed in accordance with currently acceptable sci6 entific principles, and shall take into account, among other

7 factors, variability in exposed individuals, variability in

8 contaminant levels, actual or planned land, surface water,

9 and groundwater use, reasonable exposure points, and the

10 most probable, as opposed to worst case, exposure

11 scenarios.

12 (c) ESTABLISHMENT OF SITE-SPECIFIC RESPONSE

13 STANDARDS.—A response action plan shall set forth re14 sponse standards to be achieved by the response action,

15 along with supporting documentation and explanation,

16 such that—

17 (1) for carcinogenic hazardous substances or

18 hazardous constituents, the concentration level rep19 resents an excess upper bound lifetime cancer risk to

20 an individual of between 1 x 10–4 and 1 x 10–6; or

21 (2) for noncarcinogenic hazardous substances

22 or hazardous constituents, the concentration level

23 will not result in adverse effects on human health

24 over a lifetime or part of a lifetime, with an ade25 quate margin of safety.
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1 (d) ALTERNATIVE RESPONSE STANDARDS.—A per2 son submitting a response plan may, in lieu of performing

3 a site-specific risk assessment and deriving response

4 standards therefrom, instead rely on promulgated Federal

5 and State response standards that are appropriate for

6 hazardous substances or constituents of concern and the

7 environmental conditions which obtain at the site, pro8 vided such standards meet the risk reduction goals set

9 forth in section 106(c).

10 (e) SCIENCE ADVISORY BOARD STUDY.—

11 (1) PURPOSE OF THE STUDY.—Within 12

12 months of the date of enactment of this Act, the En13 vironmental Protection Agency Science Advisory

14 Board shall complete a report on the validity of the

15 risk assessment methodologies used by the Environ16 mental Protection Agency with any recommenda17 tions it believes are appropriate to improve the accu18 racy and reliability of those methodologies.

19 (2) ELEMENTS TO BE STUDIED.—In conducting

20 such review, the National Academy of Sciences shall

21 consider relevant factors including the following:

22 (A) the degree to which exposure assump23 tions reflect actual exposure;
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1 (B) the appropriateness of assumptions

2 concerning human behavior, including land and

3 water use;

4 (C) other techniques used for estimating

5 the exposure of human receptors to contami6 nants; and

7 (D) other techniques used for assessing the

8 potential adverse human health effects associ9 ated with exposure.

10 (3) PUBLIC COMMENT ON THE REPORT.—The

11 Administrator shall publish the report upon receipt

12 from the Science Advisory Board and solicit com13 ment thereon within 30 days of publication. Within

14 60 days of the close of the public comment period,

15 the Science Advisory Board shall, if appropriate,

16 modify the report to incorporate public comment and

17 issue a final version of the report.

18 (4) CONTENT AND USE OF THE REPORT.—The

19 Science Advisory Board report shall describe in de20 tail current risk assessment practices and shall set

21 forth specific recommendations for revising such

22 practices. Within 3 months following issuance of the

23 final report, the Administrator shall revise the Envi24 ronmental Protection Agency’s risk assessment guid-
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1 ance and policy documents to reflect the rec2 ommendations contained in the report.

3 SEC. 206. RELATIONSHIP WITH OTHER LAWS.

4 (a) PERMITS NOT REQUIRED.—No Federal, State, or

5 local permit shall be required for any voluntary response

6 conducted onsite in compliance with this title.

7 (b) NCP.—Voluntary responses conducted in accord8 ance with the terms and conditions of this title shall be

9 deemed consistent with the National Contingency Plan for

10 purposes of private cost recovery claims under CERCLA

11 or OPA.

12 (c) EFFECT OF RESPONSE.—Performance of a vol13 untary response pursuant to this title shall not constitute

14 an admission of liability under any Federal, State, or local

15 laws or regulations or in any private action nor shall such

16 performance be admissible as evidence in any citizen’s suit

17 or private action brought under any of the statutes speci18 fied in section 208(b) of this title.

19 SEC. 207. REQUIREMENT TO PERFORM ADDITIONAL RE20 SPONSE ACTION.

21 Upon receiving certification under section 204(f) that

22 a voluntary response action under this title is complete,

23 the Administrator (or a State, if authorized) may require

24 additional response actions only under the following cir25 cumstances:
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1 (1) The Administrator (or the State, if author2 ized) determines in writing, based on review of

3 records or sampling data following completion of the

4 response action, that the voluntary response has not

5 been substantially completed; or

6 (2) The Administrator (or the State, if author7 ized) learns of new significant and reliable informa8 tion not available at the time of response action plan

9 approval, other than revised regulations, guidance,

10 or test methods, that would have justified the appli11 cation of substantially different conditions at the

12 time of approval and at the time of discovery of such

13 new information.

14 SEC. 208. ENFORCEMENT AND EFFECT OF COMPLIANCE

15 WITH THIS TITLE.

16 (a) ENFORCEMENT.—Whenever the Administrator

17 (or the State, if authorized) determines that any person

18 has failed to comply with the terms or conditions of an

19 approved response action plan, the Administrator (or the

20 State, if authorized) may issue an order requiring compli21 ance with such term or condition. If the person fails to

22 comply with the order, a civil penalty of not more than

23 $10,000 per violation may be assessed by the Adminis24 trator (or the State, if authorized) for the violation of the

25 term or condition of an approved response action plan
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1 identified in the order. In determining the amount of any

2 penalty assessed pursuant to this subsection, the Adminis3 trator (or the State, if authorized) shall take into account

4 the nature, circumstances, extent and gravity of the viola5 tion, any good-faith efforts to comply with the terms and

6 conditions of the response action plan, the degree of cul7 pability or the economic benefit (if any) resulting from the

8 violation, any prior history of such violation, and such

9 other matters as justice may require. No penalty may be

10 assessed under this subsection unless the person accused

11 of the violation is given notice and opportunity for a hear12 ing with respect to the violation.

13 (b) EFFECT OF COMPLIANCE.—Voluntary responses

14 undertaken pursuant to an approved response action plan

15 and the terms and conditions of this title shall be deemed

16 in compliance with the requirements of the CAA, CWA,

17 SDWA, OPA, CERCLA, RCRA, TSCA, and equivalent

18 State and local laws and shall not be subject to any sub19 stantive or procedural requirements of such laws, and no

20 further response action shall be required under such laws

21 for any matter addressed in the voluntary response plan

22 for a particular facility.
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1 TITLE III—ECONOMIC

2 INCENTIVES

3 SEC. 301. ENVIRONMENTAL REMEDIATION TAX CREDIT.

4 (a) GENERAL RULE.—Part IV of subchapter A of

5 chapter 1 of the Internal Revenue Code of 1986 (relating

6 to credits allowable) is amended by adding at the end

7 thereof the following new subpart:

8 ‘‘Subpart H—Environmental Remediation Credit

‘‘Sec. 54. Amount of environmental remediation credit.

‘‘Sec. 54A. Designation of eligible jurisdictions.

‘‘Sec. 54B. Allocation of credit limits.

‘‘Sec. 54C. Definitions and special rules.

9 ‘‘SEC. 54. AMOUNT OF ENVIRONMENTAL REMEDIATION

10 CREDIT.

11 ‘‘(a) GENERAL RULE.—For purposes of section 38,

12 the environmental remediation credit determined under

13 this section is 25 percent of the costs—

14 ‘‘(1) which are paid or incurred by an eligible

15 taxpayer for environmental remediation with respect

16 to any contaminated site, and

17 ‘‘(2) which are incurred by the taxpayer pursu18 ant to an environmental remediation plan for such

19 site which was approved by the Administrator of the

20 Environmental Protection Agency.

21 ‘‘(b) REMEDIATION PLAN MUST BE COMPLETED.—

22 ‘‘(1) IN GENERAL.—Except as otherwise pro23 vided in paragraph (2)—
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1 ‘‘(A) no environmental remediation credit

2 shall be determined under this section with re3 spect to any qualified contaminated site unless

4 the Administrator of the Environmental Protec5 tion Agency certifies the environmental remedi6 ation plan for such site has been completed,

7 and

8 ‘‘(B) if such Administrator certifies that

9 such plan has been completed, such credit shall

10 be taken into account under subsection (a) rat11 ably over the 5 taxable year period beginning

12 with the taxable year in which such plan was

13 completed.

14 ‘‘(2) SPECIAL RULE WHERE EXTRAORDINARY

15 COST INCREASES.—If—

16 ‘‘(A) the taxpayer determines that due to

17 unforeseen circumstances the cost of completing

18 the remediation plan for any qualified contami19 nated site exceeds 200 percent of the estimated

20 costs of completing such plan, and

21 ‘‘(B) the State or local official administer22 ing the remediation credit program agrees with

23 such determination,

24 the taxpayer may cease the implementation of such

25 plan and shall be entitled to an environmental reme-
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1 diation credit with respect to costs incurred before

2 such cessation. Such credit shall be taken into ac3 count under subsection (a) ratably over the 5-tax4 able-year period beginning with the taxable year in

5 which such cessation occurs.

6 ‘‘(c) ELIGIBLE TAXPAYER.—For purposes of this sec7 tion, any taxpayer who is not liable under any authority

8 of law for environmental remediation at a contaminated

9 site is an eligible taxpayer with respect to that site.

10 ‘‘(d) CERTAIN PARTIES NOT ELIGIBLE.—A taxpayer

11 shall not be eligible for any credit determined under this

12 section with respect to any qualified contaminated site if—

13 ‘‘(1) at any time on or before the date of the

14 enactment of this subpart such taxpayer was the

15 owner or operator of any business on such site,

16 ‘‘(2) at any time before, on, or after such date

17 of enactment such taxpayer—

18 ‘‘(A) had (by contract, agreement, or oth19 erwise) arranged for the disposal or treatment

20 of any hazardous materials at such site or ar21 ranged with a transporter for transport for dis22 posal or treatment of any hazardous materials

23 at such site, or

24 ‘‘(B) had accepted any hazardous mate25 rials for transport to such site, or
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1 ‘‘(3) the taxpayer is related to any taxpayer re2 ferred to in paragraph (1) or (2).

3 ‘‘(e) ADMINISTRATION BY STATE OR LOCAL GOVERN4 MENT AGENCIES PERMITTED.—Any reference in this sec5 tion, section 144(d), or section 150(b)(7) to the Adminis6 trator of the Environmental Protection Agency shall in7 clude a reference to the head of any State or local govern8 ment agency designated by the Administrator to carry out

9 the Administrator’s functions under such sections with re10 spect to any site.

11 ‘‘SEC. 54A. CREDIT LIMIT.

12 ‘‘For all periods after the enactment of this subpart,

13 there shall be an overall credit limitation of $500,000,000

14 to be allocated on the basis of the date on which each tax15 payer filed a claim for a credit determined under this sub16 part.

17 ‘‘SEC. 54B. DEFINITIONS AND SPECIAL RULES.

18 ‘‘(a) CONTAMINATED SITE.—For purposes of this

19 subpart—

20 ‘‘(1) IN GENERAL.—The term ‘contaminated

21 site’ means any site if at least 1 of the following en22 vironmental conditions are present on such site:

23 ‘‘(A) A release or threatened release of any

24 hazardous, toxic, or dangerous substance.
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1 ‘‘(B) Any storage tanks which contain any

2 hazardous, toxic, or dangerous substance.

3 ‘‘(C) Any illegal disposal of solid waste.

4 ‘‘(2) HAZARDOUS, TOXIC, OR DANGEROUS SUB5 STANCE.—Any substance, waste, or material shall be

6 treated as a hazardous, toxic, or dangerous sub7 stance if it is so treated under—

8 ‘‘(A) the Comprehensive Environmental

9 Response, Compensation, and Liability Act (42

10 U.S.C. 9601 et seq.),

11 ‘‘(B) the Resource Conservation and Re12 covery Act (42 U.S.C. 6901 et seq.), or

13 ‘‘(C) any State or local environmental law

14 or ordinance.

15 The following materials shall in any event be treated

16 as such a substance: petroleum or crude oil or any

17 derivative thereof, friable asbestos or any asbestos

18 containing material, polychlorinated biphenyls, or

19 urea formaldehyde foam insulation.

20 ‘‘(b) ENVIRONMENTAL REMEDIATION.—For pur21 poses of this subpart, the term ‘environmental remedi22 ation’ means—

23 ‘‘(1) removal or remediation activity in accord24 ance with an approved environmental plan including

25 soil and ground water remediation,
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1 ‘‘(2) restoration of natural, historic or cultural

2 resources at the site, or the mitigation of unavoid3 able losses of such resources incurred in connection

4 with the remediation or response activity,

5 ‘‘(3) health assessments or health effects stud6 ies,

7 ‘‘(4) environmental audits,

8 ‘‘(5) remediation of off-site contamination

9 caused by activity on the site, and

10 ‘‘(6) any other costs reasonably required by rea11 son of the environmental conditions of the site in12 cluding demolition of existing contaminated struc13 tures, site security, and permit fees necessary for re14 mediation.

15 ‘‘(c) BASIS REDUCTION.—The basis of any qualified

16 contaminated site shall be reduced by the amount of any

17 credit determined under this subpart with respect to such

18 site.

19 ‘‘(d) RELATED PERSON.—For purposes of this sub20 part, persons shall be treated as related to each other if

21 such persons are treated as a single employer under the

22 regulations prescribed under section 52(b) or such persons

23 bear a relationship to each other specified in section

24 267(b) or 707(b).’’
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1 (b) CREDIT MADE PART OF GENERAL BUSINESS

2 CREDIT.—Subsection (b) of section 38 of such Code is

3 amended by striking ‘‘plus’’ at the end of paragraph (7),

4 by striking the period at the end of paragraph (8) and

5 inserting ‘‘, plus’’, and by adding at the end thereof the

6 following new paragraph:

7 ‘‘(9) the environmental remediation credit

8 under section 54(a).’’

9 (c) LIMITATION ON CARRYBACK.—Subsection (d) of

10 section 39 of such Code is amended by adding at the end

11 thereof the following new paragraph:

12 ‘‘(4) NO CARRYBACK OF ENVIRONMENTAL RE13 MEDIATION CREDIT BEFORE EFFECTIVE DATE.—No

14 portion of the unused business credit for any taxable

15 year which is attributable to the credit under section

16 54 may be carried back to a taxable year ending be17 fore the date of the enactment of section 54.’’

18 (d) DEDUCTION FOR UNUSED CREDIT.—Subsection

19 (c) of section 196 of such Code is amended by striking

20 ‘‘and’’ at the end of paragraph (4), by striking the period

21 at the end of paragraph (5) and inserting ‘‘, and’’, and

22 by adding at the end thereof the following new paragraph:

23 ‘‘(6) the environmental remediation credit de24 termined under section 54.’’
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1 (e) CLERICAL AMENDMENT.—The table of subparts

2 for part IV of subchapter A of chapter 1 of such Code

3 is amended by adding at the end thereof the following new

4 item:

‘‘Subpart H—Environmental remediation credit.’’

5 (f) EFFECTIVE DATE.—The amendments made by

6 this section shall take effect on the date of the enactment

7 of this Act.

8 SEC. 302. DEDUCTION OF ENVIRONMENTAL CLEANUP EX9 PENSES.

10 (a) IN GENERAL.—Part VI of subchapter B of chap11 ter 1 of the Internal Revenue Code of 1986 (relating to

12 itemized deductions for individuals and corporations) is

13 amended by adding at the end thereof the following new

14 section:

15 ‘‘SEC. 197. HAZARDOUS SUBSTANCE CLEANUP EXPENDI16 TURES.

17 ‘‘(a) TREATMENT AS EXPENSES.—A taxpayer may

18 treat hazardous substance cleanup expenditures paid or

19 incurred during the taxable year as expenses which are

20 not chargeable to capital account. The expenditures so

21 treated shall be allowed as a deduction.

22 ‘‘(b) HAZARDOUS SUBSTANCE CLEANUP EXPENDI23 TURES.—For purposes of this section—

24 ‘‘(1) IN GENERAL.—The term ‘hazardous sub25 stance cleanup expenditures’ means expenditures
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1 paid or incurred in connection with a trade or busi2 ness of the taxpayer for any of the following:

3 ‘‘(A) Costs of removal or remedial action

4 required by reason of any release or threatened

5 release of a hazardous substance.

6 ‘‘(B) Costs of any environmental audit,

7 monitoring or oversight activity, or health eval8 uation occurring in connection with any such

9 removal or remedial action.

10 ‘‘(C) Costs of determining the extent to

11 which the taxpayer is required to take action or

12 pay costs or other damages under the Com13 prehensive Environmental Response, Compensa14 tion, and Liability Act of 1980.

15 ‘‘(2) DEFINITIONS.—The terms ‘hazardous sub16 stance’, ‘release’, ‘removal’, and ‘remedial action’

17 have the respective meanings given such terms by

18 section 101 of the Comprehensive Environmental

19 Response, Compensation, and Liability Act of 1980.

20 ‘‘(c) WHEN METHOD MAY BE ADOPTED.—

21 ‘‘(1) WITHOUT CONSENT.—A taxpayer may,

22 without the consent of the Secretary, adopt the

23 method provided in this section for the taxpayer’s

24 first taxable year which begins after the date of the

25 enactment of this section and during which the tax-
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1 payer paid or incurred hazardous substance cleanup

2 expenditures.

3 ‘‘(2) WITH CONSENT.—A taxpayer may, with

4 the consent of the Secretary, adopt at any time the

5 method provided in this section.

6 ‘‘(d) SCOPE.—The method adopted under this section

7 shall apply to all hazardous substance cleanup expendi8 tures. Such method shall apply to the taxable year for

9 which adopted and all subsequent taxable years unless the

10 Secretary consents to a different method for part or all

11 of such expenditures.’’

12 (b) TABLE OF SECTIONS.—The table of sections for

13 part VI of subchapter B of chapter 1 of such Code is

14 amended by adding at the end thereof the following new

15 item:

‘‘Sec. 197. Hazardous substance cleanup expenditures.’’

16 (c) EFFECTIVE DATE.—The amendments made by

17 this section shall apply to expenditures paid or incurred

18 in taxable years beginning after the date of the enactment

19 of this Act.

20 TITLE IV—LENDER LIABILITY

21 SEC. 401. AMENDMENTS TO COMPREHENSIVE ENVIRON22 MENTAL RESPONSE, COMPENSATION, AND LI23 ABILITY ACT OF 1980.

24 The Comprehensive Environmental Response, Com25 pensation, and Liability Act of 1980 is amended—
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1 (1) by striking the last sentence of paragraph

2 101(20)(A); and

3 (2) by inserting the following new paragraphs

4 101(20) (E) and (F):

5 ‘‘(E)(i) The term ‘owner or operator’ does

6 not include a person who, without participating

7 in the management of a vessel or facility, holds

8 indicia of ownership primarily to protect his or

9 her security interest in the vessel or facility.

10 ‘‘(ii) The term ‘indicia of ownership’ means

11 any legal or equitable interest in property ac12 quired directly or indirectly—

13 ‘‘(I) for the purpose of securing pay14 ment of a loan or indebtedness, a right of

15 reimbursement or subrogation under a

16 guaranty, or the performance of another

17 obligation,

18 ‘‘(II) evidencing ownership under a

19 lease financing transaction where the les20 sor does not initially select or ordinarily

21 control the daily operation or maintenance

22 of the property, or

23 ‘‘(III) in the course of protecting a se24 curity interest or right of reimbursement

25 or subrogation under a guaranty.
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1 ‘Indicia of ownership’ include evidence of inter2 ests in mortgages, deeds of trust, liens, surety

3 bonds, guaranties, lease financing transactions

4 where the lessor does not initially select or ordi5 narily control the daily operation or mainte6 nance of the property, other forms of encum7 brances against property recognized under ap8 plicable law as vesting the holder of the security

9 interest with some indicia of title, legal or equi10 table title obtained at, or in lieu of, foreclosure,

11 and their equivalents. A person may, but is not

12 required to, hold title in property in order to

13 hold indicia of ownership in that property.

14 ‘‘(iii) A ‘holder of a security interest’ is a

15 person who holds indicia of ownership in prop16 erty primarily to protect a security interest. A

17 ‘holder of a security interest’ includes the initial

18 holder (such as a loan originator) and any sub19 sequent holder (such as a successor-in-interest

20 or subsequent purchaser of the security interest

21 on the secondary market); guarantor; lease fin22 ancier or any successor where the lessor does

23 not initially select or ordinarily control the daily

24 operation or maintenance of the property; any

25 person who holds indicia or ownership primarily
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1 to protect a security interest; or a receiver or

2 other person who acts on behalf or for the bene3 fit of a holder of a security interest.

4 ‘‘(iv) The term ‘security interest’ means an

5 interest in property created or established for

6 the purpose of securing a loan, right of reim7 bursement or subrogation under a guaranty, or

8 other obligation or constituting a lease financ9 ing transaction. Security interests include mort10 gages, deeds of trust, liens, lease financing

11 transactions in which the lessor does not ini12 tially select or ordinarily control the daily oper13 ation or maintenance of the property, trust re14 ceipt transactions, and their equivalents. Secu15 rity interests may also arise from transactions

16 such as sales and leasebacks, conditional sales,

17 installment sales, certain assignments, factoring

18 agreements, accounts receivable financing ar19 rangements, and consignments, if the trans20 action creates or establishes an interest in prop21 erty for the purpose of securing a loan, right of

22 reimbursement or subrogation under a guaranty

23 or other obligation.

24 ‘‘(v) The term ‘participating in the man25 agement of property’ means actual participation
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1 in the management or operational affairs of the

2 property by the holder, and does not include the

3 mere capacity to influence, or ability to influ4 ence, or the unexercised right to control facility

5 operations. A holder is participating in manage6 ment while the borrower is still in possession of

7 the property encumbered by the security inter8 est, only if the holder either—

9 ‘‘(I) exercises decisionmaking control

10 over the borrower’s environmental compli11 ance, such that the holder has undertaken

12 responsibility for the borrower’s solid waste

13 handling or disposal practices; or

14 ‘‘(II) exercises control at a level com15 parable to that of a manager of the bor16 rower’s enterprise, such that the holder

17 has assumed or manifested responsibility

18 for the overall management of the enter19 prise encompassing the day-to-day deci20 sionmaking of the enterprise with respect

21 to—

22 ‘‘(aa) environmental compliance;

23 or

24 ‘‘(bb) all, or substantially all, of

25 the operational (as opposed to finan-
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1 cial or administrative) aspects of the

2 enterprise other than environmental

3 compliance. Operational aspects of the

4 enterprise include functions such as

5 that of facility or plant manager, op6 erations manager, chief operating offi7 cer, or chief executive officer. Finan8 cial or administrative aspects include

9 functions such as that of credit man10 ager, personnel manager, controller,

11 chief financial officer, or similar func12 tions.

13 ‘‘(vi) The term ‘primarily to protect a se14 curity interest’ includes indicia of ownership ac15 quired as a consequence of having or exercising

16 rights as a holder of a security interest where

17 the same is necessary or appropriate to protect

18 the security interest, to provide for compliance

19 with laws, to preserve the value of the property

20 or benefits therefrom, or to recover a loan, in21 debtedness or right of reimbursement or sub22 rogation under a guaranty or to redress any

23 other obligation secured by such interest or to

24 recover property subject to a finance lease. A

25 holder of a security interest who directly or in-
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1 directly acquires full title or a right to title or

2 possession of such property upon default under

3 the security interest, or at, or in lieu of, fore4 closure, or, in the case of a finance lease, upon

5 expiration, cancellation, or termination of such

6 lease, shall continue to hold indicia of owner7 ship primarily to protect a security interest so

8 long as such holder is diligently proceeding to

9 sell or convey title or the right to title or to re10 lease such property on commercially reasonable

11 terms at the earliest possible time, while pre12 serving the property in the interim.

13 ‘‘(vii) The term ‘property’ means real and

14 personal property and includes facilities, stor15 age tanks, equipment, vessels, vehicles, and

16 other modes of transportation whether by sea,

17 land, or air.

18 ‘‘(viii)(I) The term ‘guarantor’ includes

19 guarantors and sureties of security interests,

20 securities, and other obligations, issuers of let21 ters of credit and other credit enhancements,

22 title insurers, and entities which directly or in23 directly acquire indicia of ownership in the

24 course of protecting a security interest or acting

25 as such guarantors, sureties, issuers of letters
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1 of credit or other credit enhancements or title

2 insurers, and the term ‘guaranty’ includes guar3 anties, surety bonds, title insurance policies, let4 ters of credit and other credit enhancements,

5 and other agreements with a guarantor relating

6 to the obligations described in this subclause

7 (I).

8 ‘‘(II) ‘Directly or indirectly’ includes any

9 interest in property, security interest, indicia of

10 ownership title, or right to title held or acquired

11 by a fiduciary or similar entity for the benefit

12 of a holder of a security interest.

13 ‘‘(ix) The terms ‘borrower’, ‘debtor’, and

14 ‘obligor’ mean a person whose property is en15 cumbered by a security interest and includes a

16 lessee under a lease financing transaction.

17 ‘‘(x) Actions taken by a holder of a secu18 rity interest to foreclose, sell, liquidate, release

19 or otherwise divest or cause the transfer of

20 property subject to a security interest; or pre21 serve or protect the value of such property; or

22 otherwise to exercise rights of a holder of a se23 curity interest specified in subparagraph (v)

24 above; or to assist the borrower, debtor, obligor,

25 or lessee in winding down its operations or ac-
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1 tivities related to such property; or to abandon

2 or release the property prior to foreclosure or

3 its equivalents; or to require or conduct re4 sponse action on, or relating to, the property;

5 shall not be deemed ‘participating in the man6 agement of property’ within the meaning of this

7 subsection (101)(20)(E). Completion of an envi8 ronmental inspection or evaluation consistent

9 with good commercial or customary practice by

10 or for the use of a holder of a security interest

11 is probative evidence that a holder of a security

12 interest is acting to preserve and protect the

13 property during the time the holder of a secu14 rity interest may have possession or control of

15 such property, except that this Act does not re16 quire a holder of a security interest to conduct

17 nor does it require any environmental inspec18 tion or evaluation to qualify for this exemption.

19 ‘‘(xi) A holder of a security interest who,

20 in taking actions referred to in subparagraph

21 (x) above respecting property, actively and di22 rectly causes or exacerbates a release of a haz23 ardous waste for which a Federal or an author24 ized State government determines that response

25 action is necessary, shall be liable for the cost
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1 of such response action to the extent only that

2 the release is directly attributable to such hold3 er’s activities, except that such a holder shall

4 not be liable for response action costs arising

5 from a release which commences before and

6 continues after such holder takes any action re7 ferred to in subparagraph (x) above.

8 ‘‘(F)(i) The term ‘fiduciary’ means any en9 tity which is considered a fiduciary under sec10 tion 3(21) of the Employee Retirement Income

11 Security Act of 1974, as amended from time to

12 time, or who is acting as trustee, executor, ad13 ministrator, custodian, guardian of estates, con14 servator, committee of estates of disabled per15 sons, personal representative, receiver, agent,

16 nominee or in any other fiduciary capacity for

17 the benefit of another entity.

18 ‘‘(ii) A fiduciary who acquires ownership or

19 control of property without having owned, oper20 ated, or participated in the management of that

21 property prior to assuming ownership or control

22 as fiduciary, other than for the benefit of a

23 holder of a security interest, shall not be an

24 ‘owner’ or ‘operator’ under this Act.
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1 ‘‘(iii) Such a fiduciary who willfully, know2 ingly, or recklessly causes (in a direct and ac3 tive manner) a release of a hazardous sub4 stance, for which a Federal or an authorized

5 State government determines that response ac6 tion is necessary, shall be liable for the cost of

7 such response action to the extent only that the

8 release is directly attributable to the fiduciary’s

9 activities, except that such a fiduciary shall not

10 be liable for response action costs arising from

11 a release which commences before and contin12 ues after such fiduciary acquires ownership or

13 control of the property.

14 ‘‘(iv) Nothing in this subsection shall pre15 vent claims against the assets that constitute

16 the estate held by the fiduciary or the filing of

17 actions against the fiduciary in its representa18 tive capacity.

19 SEC. 402. SCOPE OF APPLICATION.

20 The provisions of this title shall apply to—

21 (1) all indicia of ownership acquired prior to

22 the date of enactment that are held primarily to pro23 tect a security interest in property; and
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1 (2) each fiduciary with respect to any property

2 acquired by the fiduciary prior to the date of enact3 ment.

Æ

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