UNIFORM ENVIRONMENTAL COVENANT

Creates the Uniform Environmental Covenants Act, proposed by the National Conference of Commissioners on Uniform State Laws. Creates an interest in real estate called an "environmental covenant" that assures a plan of rehabilitation for contaminated real property (brownfields) and controls the use of the property. An environmental covenant may be separately conveyed to and enforced by a relevant third person called a holder. An underlying plan between State or federal government and landowner for "remediation" of the property must be in place for an environmental covenant to be created and conveyed. The ultimate objective of this Act is to allow contaminated property to be returned to those uses consistent with prescribed clean-up, essentially making them marketable. The Act provides for the creation of such a covenant, its termination when appropriate, priority over other real estate interests, and enforcement over the time the covenant is in place. An environmental covenant is perpetual unless a specific term is prescribed in the instrument creating it. The interest will be recorded in the real estate records.