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Understanding Environmental Evaluation Reports

A Key Condo Guide

Understanding Environmental Site Assessments (ESAs)


ESAs are conducted in three phases to evaluate and manage potential contamination.


Phase 1 Environmental Site Assessment (ESA)


  • Purpose: Identifies potential contamination risks without physical testing.

  • Scope:

    • Historical review of land use and ownership records

    • Aerial photographs, fire insurance maps, and environmental databases

    • Site visit to assess visible signs of contamination

    • Interviews with property owners and local authorities

  • Outcome: Determines if a Phase 2 ESA is needed.


Phase 2 Environmental Site Assessment (ESA)


  • Purpose: Confirms whether contamination is present through sampling and testing.

  • Scope:

    • Soil, water, and air sampling

    • Laboratory analysis of hazardous substances (e.g., petroleum, asbestos, lead)

    • Assessment of potential environmental liabilities

  • Outcome: If contamination is found, a Phase 3 ESA may be required.


Phase 3 Environmental Site Assessment (ESA)


  • Purpose: Develops a remediation plan to address contamination.

  • Scope:

    • Excavation and removal of contaminated materials

    • Groundwater treatment

    • Long-term monitoring and environmental compliance reporting

  • Outcome: Ensures the property meets environmental safety standards.


When and Why Environmental Evaluations Are Required


Environmental assessments are essential when:


  • A condominium corporation is purchasing or refinancing property.

  • There is a history of environmental concerns on or near the site.

  • The condominium plans to develop or renovate common areas.

  • Government regulations require environmental compliance for specific land uses.


Key Factors Assessed in Environmental Reports


Environmental evaluations typically assess:

  • Soil and groundwater contamination (e.g., hydrocarbons, heavy metals)

  • Air quality (e.g., mold, asbestos, volatile organic compounds)

  • Hazardous materials (e.g., lead-based paint, radon gas)

  • Potential environmental risks to residents and surrounding properties


Legal Requirements and Compliance in Alberta


Condominium corporations must comply with disclosure regulations regarding known environmental hazards. According to the Real Estate Act Rules, a condominium corporation must disclose Material latent defects, including any known environmental hazards, that could make a unit or common property dangerous or unfit for habitation.


Application and Final Task


Condominium managers must be able to:


  • Identify when an ESA is required and which level applies.

  • Assist the condominium board in interpreting environmental reports.

  • Recommend next steps if contamination or hazards are identified.


Final Task

Develop a checklist for condominium boards to determine when an ESA is required and how to proceed with assessments.


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