Connecticut’s shift to release-based cleanup: What property owners should know - by Louis Muratore

New statewide environmental regulations are about to change how certain properties are bought and sold. Beginning March 1, 2026, the state of Connecticut’s new Release-Based Cleanup Regulations will replace the Connecticut Property Transfer Program (CPTP) as the chief delineator of environmental documentation and cleanup requirements for the purchase and sale of real property.

What is the Connecticut Property Transfer Act?
Initially adopted in 1985, the Connecticut Property Transfer Act (CPTA) was intended to bolster development and facilitate both the clean-up and disclosure to buyers of environmental conditions at certain properties.

The law applies to the transfer of “real property” (real estate or businesses) identified as “establishments” based on the volume and frequency of hazardous waste generated, whether hazardous waste generated off-site is managed, and whether specifically-identified business (e.g., dry cleaners, vehicle body repair shops) operated at the site. Once identified as an establishment, the environmental conditions at the site must be documented by completing and submitting certain forms to the Connecticut Department of Energy and Environmental Protection (CTDEEP) and, at the time of transfer, the buyer, the seller, or another responsible party must agree to investigate and clean up contamination identified during the completion of site investigation activities.

However, rather than initiating and completing site clean-up, many sites were left to labor in a regulatory purgatory, hindering or stopping the progress of economic development.

In 2020, after years of revisions and modifications to address discontent with the CPTP, the Connecticut General Assembly (CGA) passed Public Act 20-9 to initiate the development Release-Based Cleanup Regulations (RBCRs) to replace the CPTA. Through the work of CTDEEP and input from a CGA-established work group comprising environmental lawyers and consultants, real estate professionals, the Connecticut Department of Economic and Community Development (DECD), and other stakeholders, the development of the RBCRs was completed.

What are Release-Based Cleanup Regulations?
Rather than initiate investigation and remediation protocols at the time of sale, the RBCRs mandate that investigation and remediation occur at the time a spill occurs and/or is discovered. Additionally, sites that require remediation are no longer entered into the CPTP but must instead adhere to new RBCR frameworks that provide clear, uniform standards for investigation and remediation and enhance transparency and clarity for buyers, lenders, and other real property stakeholders. Most importantly, the RBCRs shift the focus of these environmental rules toward proactive management of new and potential spills and away from property transactions acting as the catalyst for much-needed investigation and remediation.

With the RBCRs in place, it is anticipated that property transactions will be timelier and more efficient by encouraging proactive or preemptive cleanup well before a property is sold or transferred. However, even though the RBCRs outline a process for dealing with spills, property owners are still not required to perform routine environmental evaluations; this means that if a spill on a property is never discovered, intentionally or not, the property’s owner is not legally obliged to look for them ahead of a property transaction. Because of this, buyers should always assess the potential environmental risks and liabilities associated with a property.

What does this mean for development in Connecticut?
The shift in philosophy underpinning the implementation of new RBCRs offers the opportunity to improve how Connecticut fosters the cleanup and development of contaminated properties and allows Connecticut to favorably align with other states. By simplifying the process by which property can be redeveloped in an environmentally-responsible manner, the RBCRs have the potential to spark renewed interest in properties that faced environmental challenges and difficult paths to development in the past and encourage overall greater investment in the State of Connecticut. These economic development opportunities often lead to greater local investment, new and revitalized infrastructure, an expanded workforce with a wider variety of job opportunities, and enhancements to the overall quality of life for Connecticut residents.

How do I adhere to the RBCRs when a spill occurs?
An environmental consultant can examine a spill or release and determine whether or not it is reportable to CTDEEP. Spills designated as imminent hazards must be reported within the first two hours of discovery, whereas other types of spills may have a window of up to 365 days from discovery. Identifying the presence of spills is the first important step, but characterizing the level of hazard a spill poses is key to creating an appropriate plan for remediation that meets the standards outlined by the RBCRs.

Remediation plans can then be put into action under the direction of an environmental professional. When remediation is complete, a Licensed Environmental Professional (LEP) is required to verify that all cleanup criteria has been met. For less significant releases, such as small petroleum surface spills that do not affect groundwater quality, a new class of professional called the Permitted Environmental Professional can sign off on cleanups. However, the broader authority granted to LEPs makes them the ideal environmental consultant at every stage of the process.

These new regulations are poised to improve the efficiency of real property sales, but require property owners to take a much more proactive approach in identifying and addressing spills and other releases. By partnering with experienced consultants, preferably LEPs, property owners can more effectively protect their property from environmental hazards and ensure a smooth transition when the time comes to sell.

Louis Muratore, LEP, CHMM, is deputy director of environmental services – New England at H2M architects + engineers, Boston, Mass.