Category: Drycleaners

IN THE PAST, I HAVE TALKED A LOT ABOUT WHAT LEADS TO THE DISCOVERY OF CONTAMINATION, AND WHAT TO DO IF, OR WHEN, YOU LEARN THAT CONTAMINATION HAS BEEN DISCOVERED AT YOUR SITE OR A PROPERTY. BUT WHAT I HAVEN’T DONE BEFORE, IS PRESENT A SYSTEMATIC PROCESS OF WHAT STEPS SHOULD BE UNDERTAKEN WHEN PERC CONTAMINATION IS FOUND. GETTING IT RIGHT IS IMPORTANT BECAUSE YOUR LEGAL SECURITY, YOUR MONEY, AND YOUR REPUTATION ARE ON THE LINE.

BY: JEFF CARNAHAN

To start, I’ll walk through the three important areas to become familiar with when addressing environmental contamination. Also, if you’re interested in this topic area, check out our webinar with Cleaner and Launderer on “how to respond when you find perc contamination”.

UNDERSTANDING THE REGULATORY DEMANDS

If an environmental contamination problem has come to light and you’ve been notified, there are regulations, rules, and laws in effect that require you to respond. Congress passes the laws that govern the United States, but Congress has also authorized EPA and other federal agencies to help put those laws into effect by creating and enforcing regulations. The EPA, in turn, has given each state the authority to implement and enforce their regulations within their area of jurisdiction, so long as the state regulations are at least as stringent as the federal regulations. A similar process exists in Canada between the federal and provincial environmental regulating agencies.

When an environmental release of hazardous substances has occurred onto or beneath the ground surface, these regulations require that the parties that may have caused or contributed to that contamination are responsible for investigating the nature and extent of the release. There are many nuances involved in determining who may become considered a potential responsible party, and who may ultimately be required to clean up the contamination, as I’ve discussed in recent articles. This question of rightful responsibility, if potentially contested, really belongs in the realm of legal liabilities, and an attorney should be consulted. The process for complying with the regulatory agencies is a bit less complex, although there are many nuances and an experienced environmental consultant will be needed to interface with the agency on your behalf.

So, when you first learn that there has been a release of hazardous materials, such as chlorinated or petroleum dry cleaning solvents, the first thing you’ll need to do is quickly find a consultant or an environmental attorney to make sure that you follow the required process for your state. Commonly, there is a reporting process that must be followed, and there are well-defined timelines that must be met. Once the contamination has been reported to the agency, your case will receive a number, which will be used throughout your regulatory process. You may be given an option to enter a voluntary cleanup program, or you may be required to remain in an enforcement program. Those who take the option to perform investigation and cleanup in a voluntary program usually are allowed more freedom in process and timing and may be eligible for a greater degree of indemnification at the close of the process after cleanup is complete. Enforcement programs may take longer since the agency remains involved in every step, and approvals may take a while. There are other regulatory vehicles that may come into play, such as agreed orders or enforcement orders, when higher levels of assurance are needed by you as the responsible party or the agency.

Each agency has its own personality and may create its own frustrations for you. Bottom line, however, is that if an environmental release has been identified and you want to put it behind you, involvement of the regulatory agency will be necessary. The mission of environmental agencies is to protect human health and the environment. If you keep that in mind and let that be the basis for dealings with the agency, you may be able to have a better understanding of their actions. You may also need to remind certain people within the agency of the scope and limits of their own mission at times to keep them from overreaching their boundaries. That’s specifically what most environmental consultants are good at, so look to them to lead these conversations.

UNDERSTANDING THE LEGAL LIABILITIES

There are many legal issues that may arise soon after you discover environmental contamination, for which you may be responsible. The very first of which is, are you potentially responsible. Since this question is a matter of environmental laws, an environmental attorney should help you answer that. If you are a single owner who has operated at a site where nobody else has, then it may not really be an applicable question. However, if there have been multiple operators and landowners at the contaminated site and you are just one of them, there are some legal matters to address. That’s just the tip of the iceberg when it comes to involving an environmental attorney on your behalf.

The environmental rules and regulations are very closely linked with the law. Any time a matter of law is involved, so should an attorney. Your environmental consultant cannot and should not give advice related to the law. They can help you adhere to regulations, but not laws. As such, relying on your consultant to assist with regulations at a lower price, and have your attorney help with true legal matters at a typically higher price is the normal combination. Conversely, attorneys aren’t in the business of making scientific recommendations regarding the actual investigation and cleanup of the contamination, so that’s another reason why both environmental consultants and attorneys are needed.

It’s common for your environmental attorney to also assist you in understanding other aspects of legal liability outside of regulatory issues that you may have because of the contamination. For example, if the contamination at your site has crossed the property line, there may be trespass issues, and potentially human exposure liabilities to assess and attend to. By allowing your attorney to guide you during the investigation and cleanup process, you’ll have someone watching your back and making sure you don’t expose yourself to liabilities accidentally. You will want a specialized environmental attorney who has much experience with these types of matters. A general business practitioner is likely not experienced enough with these matters to give you sound advice.

UNDERSTANDING THE FINANCIAL BURDENS

The third component of getting started with handling your environmental contamination problem has to do with money. The investigation and cleanup process ranges from expensive to very expensive, so having a hard look at a financial strategy is of paramount importance. The legal advice and work costs money, the investigation and cleanup process itself costs money, the agency is likely to charge you fees for their oversight, and heaven forbid, there could even be penalties involved if you get behind the eight ball. The really bad news here is that lack of funding doesn’t constitute an avenue for forgiveness of a responsible party’s ownership of the liability to investigate and clean up the contamination. Given a demonstration of financial hardship to the agency, you could qualify for various forms of aid, however. Some agencies work with state-run financial entities that may be able to provide you with a low-interest loan, but that may not be a great alternative. The first action is to evaluate all your business assets to make sure that you aren’t leaving any stones unturned. Of course, look at your old commercial general liability (CGL) policies. If you know that you bought these policies but can’t find them, hire an insurance archeologist to help recreate your old insurance portfolio. If you are in a state with favorable case law, you could be covered for the investigation costs, cleanup costs, and your environmental attorney costs.

Work with your environmental consultant to determine the potential financial burden that you may be facing. They will be very cautious about giving you an estimate because until the investigation phase of the work has been completed it will be difficult to quantify a dollar amount. Therefore it’s important to have various options for funding readily available. Contamination can be very tricky, especially chlorinated solvent releases such as tetrachloroethylene (Perc), which tend to hide the true magnitude until a full evaluation has been conducted. The investigation process alone can cost a few hundred thousand dollars. Over my decades of environmental work, it’s common to see an average cost of over one million dollars for a drycleaner site where a release of Perc has occurred. Granted, I’ve seen regulatory closures attained for less than five hundred thousand dollars, but I’ve also seen drycleaner cleanups cost into the tens of millions of dollars. It just depends on how long ago the release happened, and how bad it was.

Hiring a consultant who has performed numerous drycleaner site cleanups is critical since they can help you understand the potential cost more than others. A good one should also be familiar with other potential funding resources that may be available to you. Everyone understands that small business, and even larger ones, may have a hard time with the financial burden of environmental investigation and cleanups. Don’t panic until you’ve explored all avenues.

These three areas – regulatory, legal and financial – are all important when you’re faced with environmental contamination. Whether you expected it or not, you could be on the hook for the cleanup. By following the advice given in this article, you’ll be well on your way to addressing environmental contamination responsibility with a sense of calm for your legal security, your financial plans and your reputation. Both your pocketbook and the future value of your property will thank you and you can rest assured that you took every step you could to get the best outcome possible.

Contact us today to address your environmental contamination.

As seen in Cleaner and Launderer

Jeff Carnahan, President
Jeff Carnahan, LPG, has 20+ years of environmental consulting and remediation experience. His technical expertise focuses on the investigation and interpretation of subsurface releases of hazardous substances for the purpose of evaluating and controlling the risk and cost implications. He has been a partner of the drycleaning industry for the past decade, and is a frequent contributor to the national drycleaning publication Cleaner & Launderer. He is an industry leader in understanding that environmental risk includes not only cleanup costs, but also known and unknown third-party liability.

THREE METHODS TO DETERMINING WHEN PERC WAS RELEASED AND IF THERE ARE OTHER RESPONSIBLE PARTIES TO SHARE IN THE LIABILITY

BY: JEFF CARNAHAN

Let’s get technical. With the recent and anticipated increases in the number of drycleaner businesses and properties changing hands, we’re seeing an increase in environmental issues needing to be addressed. It’s rare for a single operator to have occupied a drycleaning business property through the years, especially as far back in time as the 60’s or 70’s. If environmental contamination is discovered at a property with a history of drycleaning operations, every one of the corporate entities that conducted business at that location is subject to claims of the release(s) that occurred during their time at the property.

WHO IS RESPONSIBLE FOR A PERC TEST, INVESTIGATION, AND CLEANUP?

Can Perc releases be accurately age dated? The answer isn’t a straightforward yes. It can be extremely difficult to tell exactly when an environmental release occurred, but there are scientific methods available to help bracket a range of dates when it was likely. There are three ways to pinpoint when a perc release has occurred. I’ll explain this by using tetrachloroethylene (PCE), also known as Perc, contamination in the groundwater as an example.

1. DETERMINING THE AGE OF THE PERC RELEASE

One way to determine the relative age of a release is by evaluating the breakdown products of Perc. The process goes like this: trichloroethene (TCE)  dichloroethane (DCE)  vinyl chloride (VC)—these are known as “daughter products”, which come from decaying Perc. Perc is considered a recalcitrant compound, meaning it is pervasive in the subsurface environment and doesn’t break down easily under natural conditions. When Perc is released into a typical groundwater environment, where an ample amount of oxygen is present, it generally breaks down very, very slowly, if at all. We have seen groundwater plumes of Perc that are over 50 years old that haven’t degraded at all. Significant natural breakdown of Perc only occurs in groundwater when there is very little oxygen, and the microorganisms that thrive in those anaerobic conditions are abundant. These are the factors that can equate to the degradation of Perc to TCE, DCE, and VC. The longer the plume has existed under these optimal conditions for breakdown, the more daughter products there are. The sequence can be illustrated by the following sequence based on relative proportions of these compounds:

As mentioned, using the ratio of breakdown products to Perc is not singularly a reliable method for estimating the age of the Perc release in groundwater where there is plenty of oxygen.

Learn more about what makes cleaning up Perc spills so expensive

2. DETERMINING HOW FAR THE PERC RELEASE HAS TRAVELED

Another approach is to determine the horizontal extent of the contaminated groundwater plume. In general, the groundwater velocity multiplied by the amount of time since the release occurred equals the distance traveled. Fundamentally, if you know the velocity of the groundwater and the distance the groundwater plume has traveled, you should be able to mathematically determine the amount of time that has passed since the release entered the groundwater. Clearly, it is much more complicated than that and it takes a seasoned hydrogeologist to perform those calculations. Often, a computer model of groundwater conditions needs to be created to account for the vast multitude of variables that come into play.

3. DETERMINING WHO IS RESPONSIBLE FOR THE PERC RELEASE

The age dating approaches are useful if you are trying to determine when a release of Perc happened at a single property and get a feel for who was operating at that time. A more complicated scenario is when one is trying to determine the age of a Perc release when it has merged with another release from a different property. This is known as a comingled plume. In this scenario, scientists may rely on evaluating the presence of differing chemical isotopes within the Perc found in the distinct groundwater plumes. To understand this approach, the scientist must have information on the original product that the drycleaner used over specific time periods. Different manufacturers of Perc had unique product formulas from their competitors and recycled Perc would have a very different formula from virgin Perc. Under this set of facts, the isotopic analysis, or fingerprint of the product, can be useful.

Find out how environmental forensics can help determine who is liable for a contaminant release

In comingled plume studies, the isotopic fingerprint of each source is established using these methods. In theory, this is not too difficult and would require just a couple of samples in the source area and at the leading edge of the plume. However, in actuality age dating a plume is more complex. As mentioned above, a precondition is that we know the isotopic fingerprint of the Perc product that was used at a given time and location versus the isotopic fingerprint of the Perc product used at a different time and location. If one is trying to establish the age of a release at the same site, we need to know the date when the Perc products that were used switched from one to another.

FIND AN ENVIRONMENTAL CONSULTANT THAT UNDERSTANDS PERC

These three approaches help the investigation process move forward and allow drycleaners to pinpoint when a Perc release happened. As with many things in life, there’s ambiguity, especially to an untrained eye. This is why it’s so important to find an environmental consultant who understands the complexity that comes with environmental work at drycleaning businesses. They will be able to guide you through this investigation with clear goals knowing which challenges may arise and which challenges that can be avoided.

As always, we’re here to support our friends in the drycleaning community and want to see the best outcome for you no matter your situation.

Learn more about how we can assist you through the environmental investigation and cleanup process. Fill out our contact form.

As seen in Cleaner and Launderer

Jeff Carnahan, President
Jeff Carnahan, LPG, has 20+ years of environmental consulting and remediation experience. His technical expertise focuses on the investigation and interpretation of subsurface releases of hazardous substances for the purpose of evaluating and controlling the risk and cost implications. He has been a partner of the drycleaning industry for the past decade, and is a frequent contributor to the national drycleaning publication Cleaner & Launderer. He is an industry leader in understanding that environmental risk includes not only cleanup costs, but also known and unknown third-party liability.

BE PROACTIVE BY CONTACTING AN INSURANCE ARCHEOLOGIST AND AN ENVIRONMENTAL CONSULTANT

BY: DRU CARLISLE

We understand that most people are unhappy when environmental issues pop up. This can happen when a Phase I Environmental Site Assessment (ESA) has uncovered Recognized Environmental Conditions (RECs), you’ve received a demand letter from an environmental regulatory agency, or you’re aware that you most likely have contamination. Back in the day, many industrial solvents and chemicals used in operations like dry cleaning and manufacturing were not known to be hazardous, so regulations were different than they are today. Even newer industrial operations can have minor hazardous leaks and spills causing environmental impacts that will need to be addressed when they are discovered. Depending on the past business operations at certain properties, sometimes environmental issues are inevitable. Fortunately, there are steps you can take to protect yourself and potentially minimize your out of pocket expenses.

In this blog, we’ll dive into effective strategies to address environmental issues.

BE PROACTIVE WITH INSURANCE ARCHEOLOGY

It’s never too early to prepare for the potential challenges associated with environmental issues; whether it’s finding funds to cover the expenses through insurance archeology or finding the right partner to lean on for support. This is why it’s important for drycleaners, industrial launderers and textiles, and manufacturers to be proactive and assemble their available resources before an environmental issue is discovered.

LOCATE YOUR OLD POLICY INFORMATION AND BUSINESS RECORDS

Business owners that search for their old comprehensive general liability (CGL) insurance policies before an environmental investigation begins will have an important step taken care of because these policies can be used to help pay for resolving environmental liabilities.

Historical CGL policies, once located and leveraged, typically cover the costs of your legal defense and will pay on your behalf of damages if you are found liable—up to the limits of your policy. Historical CGL policies are valuable assets that may be worth millions of dollars and depending on your situation and the state in which you conduct business, the out-of-pocket environmental cleanup costs may be minimal.

If locating your old policy information and business records proves to be too difficult to do on your own, you can bring in an experienced insurance archeologist to help find your old policy information, put together a corporate history and coverage chart for your company and property.  Insurance Archeologists utilize a number of methods for tracking down evidence of policies, whether your own, or past owners or operators.

Learn more about our insurance archeology services 

TAKE CHARGE OF YOUR ENVIRONMENTAL INVESTIGATION WITH AN ENVIRONMENTAL CONSULTANT

Since contamination devalues a business and a cleanup can take some time to do, it’s smart to act sooner than later, like when you’re ready to sell or pass on your business to the next generation. And now that you know how to find your old policy information and business records, it’s time to start strategizing with environmental experts to prepare for an environmental investigation.

DETERMINE THE RIGHT CONSULTANT FOR YOUR ENVIRONMENTAL STRATEGY

Experience matters and choosing an environmental expert with the right background and knowledge to guide you as you prepare your environmental strategy is crucial. Find environmental experts with significant experience in your industry. For example, drycleaners and industrial launders and textiles should look for experts with proven chlorinated solvent experience while manufacturers should look for experts with proven polychlorinated biphenyl (PCB) or hexavalent chromium experience.

The strategy may include an environmental investigation, a vapor intrusion assessment or maybe even an environmental remediation if contamination is found. It’s hard to know exactly what to expect when the process starts but having an experienced environmental consultant with expertise in your industry can make a big difference. They’ll have a better sense of what to expect at your business and will be there to help you navigate the decisions you’ll need to make to move forward with your environmental strategy.

While cleanup strategies are personal for each business, the overall steps are similar. A smart strategy begins with 1) finding what coverage is available, 2) determining the extent of contamination, and 3) implementing a site-specific cleanup plan.

There’s no need to face environmental liabilities or demand letters on your own. Business owners can take proactive steps to get in the driver’s seat and protect their assets with the support of insurance archeologists and environmental consultants. We strongly believe there shouldn’t be a financial barrier to performing meaningful environmental restoration work and that insurance policy coverage for environmental liabilities should be honored by the carriers.

Do you have questions about environmental investigations? Contact us today.

Dru Carlisle, Director of Drycleaner Accounts
For over 10 years, Dru has helped numerous business and property owners facing regulatory action, navigate and manage their environmental liability. Dru has vast experience in assisting dry cleaners in securing funding for their environmental cleanups through historical insurance policies. Dru is a member of numerous drycleaning associations in addition to serving on the Midwest Drycleaning and Laundry Institute (MWDLI) advisory council and on the Drycleaning & Laundry Institute Board (DLI) as an Allied Trade District Committee Member.

EVERYONE IS MAKING TOUGH DECISIONS RIGHT NOW ABOUT WHAT TO SPEND MONEY ON, AND WHAT CAN WAIT. IN THIS ARTICLE, I’LL WALK YOU THROUGH WHAT CAN WAIT AND WHAT CANNOT WAIT EVEN IN OUR CURRENT COVID-19 BUSINESS ENVIRONMENT.   

BY: JEFF CARNAHAN 

The EPA and many State environmental agencies have issued statements providing loose guidance related to the potential availability of some slack in regulations due to COVID-19  and the financial stress that it has put on many responsible parties who are in a cleanup program. If you are in a position where there is a known release of hazardous substances from your operations or previous operations at your site, there are decisions that need to be made about whether or not to proceed with various aspects of the environmental investigation and cleanup process. Some things can wait, and some just cannot.   

 ENVIRONMENTAL CONTAMINATION ISSUES THAT CANNOT WAIT 

There is an adage that says, “Do whatever you want, so long as it doesn’t hurt anyone”. With environmental contamination issues, there is often the possibility that others could be put in harm’s way from exposure to hazardous substances. The work related to investigating and eliminating a direct exposure to contamination should be top priorities, and it really can’t be put on hold. Here are three scenarios where environmental cleanup shouldn’t wait: 

1. VAPOR INTRUSION ASSESSMENT

At sites where a subsurface release of volatile organic compounds (VOCs) such as PCE, TCE, or Benzene has occurred, the potential for vapor intrusion most likely exists at nearby buildings. If there are residences, daycare facilities, schools, or medical care facilities close by, that threat carries an even higher urgency. Whereas many investigations that include soil or groundwater sampling are measuring a potential exposure, vapor intrusion assessments measure actual exposure situations. If vapor intrusion is actually occurring at a building, the occupants are breathing the contamination directly. The VOCs mentioned above are all carcinogenic to some degree and are highly regulated. Exposure scenarios where their levels are identified at concentrations higher than risk-based screening levels are strictly enforced by regulatory agencies. If you are the responsible party for a release of VOCs and the vapor intrusion exposure pathway hasn’t been ruled out, appropriate sampling of the inhalation exposure pathway at nearby structures should not be delayed. If it is confirmed that levels of VOCs in the indoor air at sampled buildings are higher than the regulated levels, immediate actions to protect the occupants, such as the installation of a sub-slab depressurization system, will also be required.  

2. GROUNDWATER SAMPLING IN DRINKING WATER WELL PROTECTION AREAS

It is not uncommon for releases of contamination to migrate into the groundwater, and then become mobile and transport downgradient. Since groundwater is a valuable drinking water resource in many areas, the potential exists for contamination to make its way into potable water supply wells. Like vapor intrusion assessments, the sampling of groundwater for the presence of contamination within a well-head protection area is an assessment of a direct exposure for those who may drink that water. This type of exposure scenario, if likely or probable, is one where there should not be delay in making a determination if your release is impacting others. The timing is unfortunate, but sampling of the ingestion exposure pathway in this situation will be strictly mandated by regulatory agencies.  

3. SURFACE SOIL SAMPLING WITHIN INHABITED AREAS

One factor that allows subsurface soil sampling at contamination sites to proceed at a calculated pace is that many times the impacts are well below the ground surface. When this is the situation, the likelihood of people coming into contact with the hazardous substance is pretty low and may be limited to construction workers who may be digging in the area. When contamination appears to be present at the ground surface in a location that is frequented by people, especially children, the potential for direct contact with that soil is much higher. While this threat is less common than vapor intrusion or groundwater ingestion exposure, if your site fits into this scenario, be prepared for the regulators to demand that investigation and exposure mitigation measures be carried out, with little to no leniency.  

ENVIRONMENTAL CONTAMINATION ISSUES THAT CAN WAIT 

If you’ve already advanced your site investigation and/or remediation process past the point where you know whether there is a threat of an ongoing exposure, you can probably get some concurrence from the regulators to slow things down a bit. Here are two scenarios where environmental work could be postponed: 

1. POST-REMEDIAL ACTION MONITORING

Typically, after a cleanup action has been implemented, say a source area soil excavation or a groundwater cleanup, there is a period of time during which routine quarterly, semi-annual or annual groundwater monitoring is required to demonstrate that the project was successful. Sometimes the cleanup mark can be missed, and it isn’t known until post-remedial monitoring shows a rebound in contaminant concentrations. Although any delay in the performance of this monitoring has the effect of prolonging the amount of time until you get your regulatory closure, if it is necessary to route the funding to other, more critical business efforts, it is likely that you can get the relief you need. 

2. CLEANUP ACTIVITY IF ONLY YOUR PROPERTY IS IMPACTED

If you are involved in an environmental investigation and cleanup, and you have already shown through sampling that the extent of contamination doesn’t extend beyond your own property boundaries, it is also likely that you can put off cleanup for a period of time. Of course, if conditions were to arise in the meantime that involve the potential sale or refinancing of your property, the issue would once again be at the forefront and most likely the work would need to move forward to complete the deal.   

When economic conditions turn sour, as they are now, business leaders look to save cash on things that don’t absolutely need to happen right now. There are some situations, as we’ve discussed, where environmental projects may be delayed for a period of time to help out. Keep in mind, however, that as long as there is an environmental condition at your property that has not been closed through a regulatory program, your business and your property will never have its full value. Perhaps now is the time to seize the day and protect your assets’ value If this is your goal, it makes sense to keep the project moving.  

Contact us today to review your environmental investigation and remediation priorities. 

_____________________________________________________________________________ 

As seen in Cleaner and Launderer  

Jeff Carnahan, President 
Jeff Carnahan, LPG, has 20+ years of environmental consulting and remediation experience. His technical expertise focuses on the investigation and interpretation of subsurface releases of hazardous substances for the purpose of evaluating and controlling the risk and cost implications. He has been a partner of the drycleaning industry for the past decade, and is a frequent contributor to the national drycleaning publication Cleaner & Launderer. He is an industry leader in understanding that environmental risk includes not only cleanup costs, but also known and unknown third-party liability.  

IT’S IMPORTANT TO UNDERSTAND THAT THE VALUE OF AN ENVIRONMENTAL CLEANUP IS MORE THAN JUST GETTING THE MOST FOR YOUR MONEY

The decision to undergo an environmental investigation and cleanup is an understandably tough one for drycleaners. It requires an outsized investment of time, money, and other resources that can put a small business under significant stress. But, in the long-term, deciding to address one’s environmental issues proactively can prove to be an incredibly business-savvy decision. An environmental cleanup not only removes contamination, but it also alleviates business stress, such as regulatory and legal liabilities while increasing the monetary value of your business investment.

WHO PAYS FOR AN ENVIRONMENTAL CLEANUP?

The short answer to this question, if you’re a dry cleaner, is you. By law, the parties responsible for potential environmental issues are liable for costs to clean up the problem. An environmental cleanup project may be the most expensive thing you ever buy. Our firm has been cleaning up properties contaminated with Perc for nearly 25 years, and we have seen that the average price ranges from $1 to $1.25 million dollars. That’s a pretty big lift for anyone, especially a small to medium-sized dry cleaner. Even if you can afford it, that doesn’t mean you want to afford it.

This is where I will stop and pose a question for you to ponder throughout this article, where is the value for a business to clean up contamination?

DIGGING INTO DIFFERENT TYPES OF VALUES

Value can be a subjective concept and it means different things to different people. Even by definition, it has multiple meanings. Maybe value isn’t the first thing considered when evaluating environmental problems, but it fits into the conversation in a few important ways.

1. The word value can be used as a noun as in “This customer’s dress has great value”, or as a verb like “I value my customers very much”.
2. Value can also be used as a meaning for one’s moral or ethical beliefs, such as “I respect this employee’s values”.
3. Value can also be used when talking about monetary exchanges such as paying for an environmental cleanup. We typically would think of value as meaning that we have received an ample amount of goods or services in exchange for the money we’ve spent. In environmental cleanups, maximizing this type of value is mostly managed by choosing an experienced consultant to lead the project with competitive pricing for completion of the work.

Now that we’ve covered the different ways value can be used, I’ll apply them to environmental issues with a few examples. Then you’ll have to decide which ones mean the most to you, based on your individual needs and…values.

ELIMINATE YOUR REGULATORY RESPONSIBILITIES AND INCREASE YOUR PROPERTY VALUE

The most common driver for initiating an environmental cleanup is the fact that a federal or state regulatory agency is requiring that it be done. There may be other factors that arise during the process that are also motivating, such as an identified human exposure, but the number one value that the cleanup satisfies is getting the regulator off your back. This can be huge for some businesses, but what else do you get out of it? Very simply stated, you also get a cleaner piece of property. A clean and unencumbered plot of commercial property is an investment. We all know that. There are real estate investment companies out there whose sole business model is to buy and sell commercial properties based on its predicted future price or value. As such, even if the primary objective of performing an environmental cleanup has absolutely nothing to do with the potential sales price of your property, the reality is that the commercial viability of a property will increase as a result of the cleanup. As a matter of fact, if a property owner could shift their mindset to fully understand and quantify the potential gains associated with an environmentally clean property, it may be a good enough reason alone for initiating such a project. The average cost of a dry cleaner environmental cleanup is pretty hefty, as mentioned above, but there are plenty of smaller examples where the cost of cleanup could be paid for by the resulting increase in property value. In such a case, the regulatory closure would be just a bonus.

Thinking about selling your dry cleaning business? Read our blog How to Sell Your Dry Cleaning Business in 3 Steps

ELIMINATE YOUR LEGAL LIABILITY

Value can also be added to cleanup projects by the elimination of long-term liability associated with environmental contamination. Whether or not it is on your radar, any time there is contamination, there is risk and liability, which can take many forms. Just think of the many ways that you may become aware of contamination; there are unique forms of liability in each.

Let’s say that an adjacent property owner has decided to sell their property and has undergone the due diligence process and that they have identified environmental impacts emanating from your dry cleaning operations. You may now be exposed to several types of liability from this single situation.

1. First, you have a liability to investigate and clean up the contamination on their property. That’s to be expected. What may not be anticipated is the risk of additional liability that could be associated with trespass. In many states, the law says that if contamination from one property “trespasses” upon a second property owned by a different party, there can be a lawsuit. This is important because in a trespass suit the judge may award punitive damages in excess of the cost of performing the cleanup itself. I’m not an attorney and I can’t give legal advice as to the interpretation of trespass laws, but I’ve seen my clients forced to deal with this situation.
2. Another type of liability that happens at times as related to environmental contamination is the threat of bodily injury or even wrongful death lawsuits. It’s no secret that Perc has been identified by the EPA as a likely carcinogen. Even though many dry cleaners have worked around this solvent for many years, or even their whole lives, people who aren’t as familiar with Perc as dry cleaners can be substantially more skittish about having been exposed to it. This risk of liability is most realized when contamination has entered drinking water supplies or indoor air at offsite buildings through vapor intrusion.
3. Liability could even potentially come from your own employees. Studies have even shown that people exposed to Perc in the workplace are subject to increased risk of several types of cancer, including non-Hodgkin lymphoma. Typically, your successful OSHA monitoring practices should protect you from having this problem.

The intended purpose of mentioning all these potential liabilities is to highlight the fact that when an environmental cleanup is performed, these issues get brought to light, and then put to bed. The value that brings can be immeasurable.

BONUS: YOU BECOME AN ENVIRONMENTAL STEWARD

An obvious, but perhaps often overlooked value to performing an environmental cleanup is that by improving the environmental conditions of your little corner of the world, you are on the positive side of the environmental history. Our planet has seen its fair share of degradation through the last several centuries brought on by advancements in the industry. There was a time when the progress of civilization almost always meant the degradation of environmental quality. The industrial revolution in the US and Europe was a time of great strides in technological innovations that created a huge boost for humans and a huge hit to the environment.

Dry cleaning as we know it came around toward the end of the industrial revolution. For decades now, the trend has been toward reversing those negative effects and focus has been more on improving environmental conditions. There has been a shift in our values on that matter. There is good news because this shift in values toward more environmentally friendly industrial technologies doesn’t need to interfere with continued technological advancement. So, while “greener” industrial development marches on, the process of restoring those environmental damages that occurred in the past is in full swing. When you take care of your regulatory obligation to clean up a property, not only do you increase the value of your property and relieve those liabilities as discussed above, you also get to be a part of cleaning up of the planet. Even if that doesn’t resonate strongly with you personally, I’d hazard a guess that it does with a good portion of your customers.

Learn more about how an environmental cleanup can be good public relations for your dry cleaning business

That brings me to the last point of added value from an environmental cleanup – peace of mind. There can’t be a dollar amount assigned to the value of putting all of this behind you. I’m sure that everyone can relate to how issues perceived to be negative can linger and tap your energy day after day. Once the issue has been tackled and resolved, we always say to ourselves, “I wish I had taken care of that years ago”. The common wisdom that has been passed from generation to generation in almost every major philosophical discipline is, “Thinking is harder than doing”. When it is time for you to tackle your environmental issues and conduct a cleanup, please be sure to recognize that there are many ways for it to be valued for your business, your community, and last but not least your peace of mind.

Contact us to learn more about how you can get maximum value out of your environmental cleanup.

As seen in Cleaner & Launderer