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Built and Natural Environment

As a leader in environmental risk management, we continually develop new methods to meet changing regulatory climates and share our successes with clients and the industry.

4/2017: Real Estate Value Restoration
4/2017: Reducing Risks and Increasing Profits
3/2017: GaiaTech + Iris + JDC = RPS Environmental Risk
2/2017: Pacific Northwest Trends
12/2016: RPS GaiaTech expands to Seattle
10/2016: Updates to Property Condition and Seismic ASTM Standards
- In 2016, ASTM International adopted new standards for Property Condition Assessments (superseding the 2008 Standard) and Seismic Risk Assessments (superseding the 2007 Standard). ASTM’s intention in adopting changes to the PCA Standard was to more accurately represent what most Consultants were already providing, accounting for client-driven needs and current regulatory standards. With these standards RPS GaiaTech works carefully to ensure a custom and effective strategy to address property-specific liabilities by offering value-added engineering services to protect the long-term value of your asset.
  
  Accessibility Review
  The new PCA Standard includes ASTM’s adoption of the 2010 ADA Design Standards. A new abbreviated checklist has been added for multi-family residential properties, extending screening to residential units and amenities provided for residents and guests as per the Fair Housing Act.
  
  Good, Fair, Poor Physical Condition
  A notable addition to the new ASTM PCA Standard includes the introduction of definitions for good, fair, and poor condition. While the new definitions are an attempt to create consistency, they do not alter the PCA process performed by RPS GaiaTech.
  
  ASTM E2026-16: Standard Guide for Seismic Risk Assessment (SRA) of Buildings And ASTM E2557-16: Standard Practice for Probable Maximum Loss (PML) Evaluations for Earthquake Due Diligence Assessments
  
  What’s New
  These newly updated Standards include strict rules regarding qualifications of the Assessor as well as guidance regarding plan review, calculations, and report requirements.
  
  Levels of Investigation
  The new ASTM Standard includes four levels of investigation from a Level 0 (simple screening), through Levels 2 and 3 (more detailed evaluation of seismic risk). Level 1 is preferred for most real estate transactions.
  
  RPS GaiaTech’s assessors are highly qualified, experienced, and relied upon as trusted advisors throughout the due diligence process. If you have questions or require additional guidance regarding the new ASTM PCA and Seismic Standards, please contact:
  
  Paul Temcio, Vice President Real Estate & Facilities
  Email: Paul.Temcio@rpsgroup.com
  312-262-4372
8/2016: Environmental Liability Evaluation – Costs to Cure
- Environmental liability is traditionally estimated based on results of Phase II sampling and a Remedial Action Plan for an impacted property. However, such information is very often not available at the time a property transaction is initiated.
  
  In connection with environmental due diligence reviews, RPS GaiaTech's business-oriented professionals help investors, owners, and other stakeholders understand environmental liabilities as a whole. We evaluate costs associated with corrective actions to address known or potential contamination issues, as well as resolve regulatory compliance deficiencies.
  
  Site cleanup evaluation includes a review of existing environmental reports to assess the nature and extent of future cleanup requirements. Current and historical information is used in conjunction with risk analytical models to develop separate low, moderate and reasonable worst case cost estimates for each corresponding site closure scenario. RPS GaiaTech relies on realistic assumptions to provide a range of reasonable costs and a probability of occurrence for each scenario, resulting in a well-documented basis for overall expected value. This methodology is generally consistent with the industry-standard ASTM assessment protocol.
  
  RPS prepares estimates for both capital investment and operating costs for any given site closure scenario, including cash-flow analysis to help clients prioritize risks and expenditures. We also evaluate financial reserves for environmental matters, asset retirement obligations, and investor disclosure obligations where appropriate. For more information on RPS GaiaTech and our environmental services, please contact:
  
  Steven D. Kline, P.E
  President
  Steven.Kline@RPSGroup.com
  Tel: 312-262-4326
  
  John H. Yang, CPG
  Senior Vice President
  John.Yang@RPSGroup.com
  Tel: 312-262-4330
7/2016: Understanding Your Reach in the European Market
- The Registration, Authorization and Restriction of Chemicals (REACH) is an important requirement for all U.S. companies entering the European market; the regulation covers the registration, classification and restriction of substances throughout the European Union. The REACH regulation applies to America-based manufacturers introducing chemicals and certain articles into Europe, European manufacturers, distributors and importers. Prior to offering a regulated substance for sale in the EU, a company must submit a registration dossier to the European Chemical Agency (ECHA), along with the relevant fees based on company size. This added registration requirement must be incorporated into the company's expansion plan in order to allow for the added time and expense of registering new substances in the EU.
  
  The REACH requirements have been in place for the largest quantities of chemicals (greater than 100 tons per year) for the past 8 years. The next milestone of the regulation is registration of regulated substances that are manufactured or imported in much smaller quantities (1 tonne to 100 tonnes) on May 30, 2018. While this milestone is years off, the process for registration can take time and consideration of obtaining registrations as early as possible should be made. Additionally, for mergers and acquisitions, understanding the impact to a potential new portfolio company and how that company is planning to meet the new requirements is important.
  
  RPS GaiaTech can help companies navigate the registration process and ask the right questions during due diligence activities to gain an understanding of what potential road blocks may be present prior to purchasing a new portfolio company. With extensive RPS resources in Europe, RPS GaiaTech is ready to advise on REACH requirements and assist companies through the registration process.
  
  RPS GaiaTech is committed to assisting our clients through engineering solutions with a business approach. For specific guidance on how REACH may impact your operatoins, please contact the following leaders in our Compliance Services Group:
  
  Lisa Bongiovanni, P.E.
  Vice President, Compliance, Air & Liability Management Services
  Lisa.Bongiovanni@rpsgroup.com
  Tel: (949) 724-8900 x11
  
  David Buchalter
  Senior Director
  Dave.Buchalter@rpsgroup.com
  Tel: (404) 809-3863
6/2016: Sweeping Changes to OSHA'S Injury Reporting Rules; NEW OSHA Penalty Structure
- With OSHA’s revised rules, employers should be prepared to have much of their workplace injury and illness data published for the world to see. On May 11, 2016 OSHA published its final rule revising its regulations for Recording and Reporting of Occupational Injuries and Illnesses. The rollout schedule for compliance with the revised Recording and Reporting of Occupational Injuries and Illnesses extends into 2017 and 2018 for most employers, so companies need to start making H&S improvements. Additionally, OSHA is required by Congress to make cost of living adjustments to penalties.
  
  Online Injury Data Reporting
  Currently, employers are required to prepare and maintain records of serious occupational injuries and illnesses and OSHA has required the data be submitted by a limited number of companies (approximately 80,000). This new rule expands this initiative to a much broader group of employers and requires employers to submit workplace injury and illness information to OSHA on an annual basis through a secure website. Employer’s injury information will be available to the public in a searchable online database, allowing for detailed examination into a company’s injury history.
  
  Anti-Retaliation Provisions
  The new rule also prohibits employers from discouraging employees from reporting injuries, potentially impacting employer’s provisions for post-accident drug testing and/or incentive programs that reward employees for achieving accident-free records.
  
  OSHA Citation Penalty Limits to Increase
  In addition to the revised reporting requirements, The Bipartisan Budget Act of 2015 requires OSHA to make cost of living adjustments to their civil penalty structure. The adjustments must occur before August 1, 2016 and will allow OSHA to adjust penalties annually based on inflation. The new maximum penalties are likely to represent 70-80% increases from current levels, reaching $126,000 each for repeat or willful violations.
  
  Companies need to start improving workplace health and safety now in preparation for the new online reporting in 2017 / 2018. RPS GaiaTech is here to assist company leadership determine their compliance status and develop H&S programs to reduce workplace injuries and the risk of enforcement. Some of our services include:
  
  Performance of OSHA compliance reviews to identify those regulatory areas in need of improvement such as machine guarding, OSHA-required programs, and personal protection equipment, and
  
  Development of safety programs, policies and H&S training programs.
  
  When it comes to Health & Safety, RPS GaiaTech has the expertise to assist with resolving deficiencies and improve overall H&S performance of your company. These improvements can make an impact to the company’s bottom line, as well as, improve the statistics that will be reported to OSHA through reduction in workplace injuries.
  
  RPS GaiaTech has a long history as a trusted advisor to assist investors, operating companies and transaction-oriented parties in addressing regulatory compliance deficiencies and maximizing the value of an investment. Understanding how well a company is managing health and safety can provide good insight into how its business responsibilities are being managed. For more information, please contact:
  
  Bill Gallagher
  Director of Health & Safety Services
  Bill.Gallagher@RPSGroup.com
  Tel: (312) 262-4338
5/2016: Regulatory Filing Deadline for Form R Reporting
- With the due date for Toxic Chemical Release (Form R) Reporting for calendar year 2015 fast approaching, RPS GaiaTech stands ready to assist our industry clients in evaluating and documenting their material use to ensure compliance with this important regulatory deadline. Under Section 313 of EPCRA, certain businesses must annually report on the amounts of "Form R" chemicals their facilities released into the environment. State and local authorities expect these reports to be both timely and complete, so now is a good time to prepare your data.
  
  How to know if a facility triggers Form R reporting?
  Form R applicability is oftentimes identified during diligence as part of RPS GaiaTech's Limited Environmental Compliance Review. RPS GaiaTech can also review findings from previous diligence documents and assess whether Form R is potentially applicable to your facility.
  
  In absence of recent diligence her are a few quick checks to see if Form R is potentially applicable: Are there more than 10 full time employees? Have you reported Form R in the past? Do facility operations include the following activities:
  Painting Plastic molding/extrusion Metal working Fuel oil use/combustion Large scale welding Wood processing Lack of Form R reporting can result in regulatory action and significant fines. RPS GaiaTech assists many clients in addressing regulatory compliance reporting requirements for operations or portfolio assets, answer questions about the applicability of the reporting requirements for a facility, and assist in completing the reports.
  
  For more information about Form R or to have previously prepared LECRs findings reviewed for potential applicability, please contact us:
  
  David Buchalter, PE
  Director Compliance
  Dave.Buchalter@rpsgroup.com
  Tel: (404) 809-3863
  
  Cheryl Horn, PE
  Senior Engineer
  Cheryl.Horn@RPSGroup.com
  Tel: (423) 902-5336
3/2016: New Requirements for Underground Storage Tanks - Are You Ready?
- In late 2015, USEPA has issued significant revisions to the underground storage tank (UST) regulations which increase emphasis on properly operating and maintaining equipment to help prevent and detect releases and ensure that all affected USTs meet the same minimum standards. The revised requirements include:
  
  Secondary containment for new and replaced tanks and piping;
  
  Operator training;
  
  Periodic operation and maintenance requirements for UST systems;
  
  Compatibility verification for biofuel blends and system components; and
  
  Removing compliance deadline deferrals for emergency generator tanks, airport hydrant systems, and field constructed tanks.
  
  Tank systems subject to these rules which are located in 38 states (plus the District of Columbia and Puerto Rico) with USEPA-approved UST programs have until October 13, 2018 to comply.
  
  For the remaining 12 states, the deadline for compliance is April 11, 2016. These states include: Alaska, Arizona, California, Florida, Illinois, Kentucky, Michigan, Ohio, New Jersey, New York, Wisconsin, and Wyoming.
  
  Regardless of geographic location, new and replaced USTs and associated piping systems, and new dispenser systems must comply with applicable secondary containment and interstitial monitoring requirements by April 11, 2016.
  
  Are you unsure about how or when your UST system will be affected by these changes? RPS GaiaTech can help you chart a secure course to compliance in the ever evolving regulatory landscape.
  
  For more information please contact:
  
  John H. Yang, CPG
  Senior Vice President
  John.Yang@RPSGroup.com
  Tel: 312-262-4330
  
  David Buchalter, PE
  Director Compliance
  Dave.Buchalter@rpsgroup.com
  Tel: (404) 809-3863

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