The following phased process is to be used for the assessment of toxic and hazardous substances when purchasing or receiving gifts/bequests of any University real estate. The due diligence process serves as a risk assessment and management tool for environmental liabilities associated with all UC real estate transactions. It is a flexible process - the level of investigation is not the same for every property, and will vary depending upon: nature/type of property; historical use; type of transaction; proposed use of the property; and information obtained in the course of the investigation. Similar procedures are in place for sales and leasing of University property. Contact at OP Environmental Protection Services (EPS) if you have any questions.
Risk assessments must be made at the conclusion of each phase of this process. A generalized decision
tree of this process follows:
Phase I
Preliminary Site Assessment Decision Process
Property appears free of contamination. Evaluate need for further investigation. Proceed with Phase II
or acquisition as appropriate.
OR
Potential for contamination is identified. Proceed to Phase II site sampling investigation.
OR
Known or confirmed contamination on site. Re-evaluate benefits of acquisition. Terminate acquisition if
risks outweigh advantages.
Phase II
Site Characterization Decision Process
Property appears free of contamination. Proceed with acquisition.
OR
Contamination confirmed. Proceed with additional site sampling to determine full nature and extent of
problem. Negotiate terms for remediation.
OR
Nature and extent of contamination poses significant liabilities. Terminate acquisition.
Phase III
Remediation
The last phase of this process (if necessary) consists of the cleanup (remediation) of any contamination
found during the Phase II site investigation. Generally, site cleanups are performed according to the
methodology set forth by a Risk-Based Corrective Action process administered by the appropriate environmental
regulatory agency. Consult with RESG, OGC, and EPS if remediation is required.
There is some degree of potential risk involved with every property transaction. Environmental due diligence will always be a condition of any purchase contract unless performed by the University prior to executing the purchase contract. The Phase I Preliminary Site Assessment (PSA) may be performed by the campus if qualified EH&S personnel are available. If potential for contamination is identified during the campus Phase I assessment, a qualified professional environmental consulting firm should be contracted to review the results of the Phase I report and conduct Phase II site sampling if necessary. It is strongly recommended that if the property is commercial or industrial or otherwise poses a high risk for contamination, that an environmental consultant be exclusively contracted to perform the work because of the inherent liabilities. Contact EPS for a list of currently qualified environmental consultants.
