april 2008

DEP Ends Issuance of ISRA Letters of Non-Applicability

DEP has announced that it will discontinue the issuance of applicability and non-applicability determinations under New Jersey’s Industrial Site Recovery Act (ISRA), effective April 30, 2008. DEP’s notice attributes the change to “budgetary constraints and a focus on required services”. The notice also advises that applications for Letters of Non-Applicability (LNAs) will be returned unprocessed after April 30.

Since shortly after the ISRA program was established in 1984 (the law took effect December 31, 1983), the real estate and business communities have relied on DEP’s ISRA applicability service to render decisions on whether particular transactions and operations fall within the ambit of New Jersey’s transaction-triggered environmental law.

Certain members of the regulated community have initiated efforts to have DEP reconsider and reverse its decision. DEP’s responses to prior entreaties in this regard have focused on the severe budget cuts that have been significantly impacted the Department, and its need to make difficult decisions in prioritizing all of DEP’s responsibilities.

Should DEP’s decision stand, it will now fall to affected parties to make their own judgment calls as to ISRA applicability. We will continue to closely monitor developments concerning this change in DEP procedure and will keep you advised accordingly.

If you have any questions concerning ISRA issues, please contact David Farer at 908-789-8550 or by email at dfarer@farerlaw.com