Treatment of CERCLA Environmental Costs Sample Clauses

Treatment of CERCLA Environmental Costs. NASA has designated both the Department of the Army and the California Institute of Technology (Contractor) as potentially responsible parties (PRP) under the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA), as amended by 42 U.S.C. §9601 (et seq.,) for purposes of allocating the cost of responding to JPL CERCLA contamination. In 1992, the facility known as JPL was placed on the National Priorities List of Superfund sites. The designation of PRP was made in accordance with the CERCLA. This clause shall govern the extent to which the Contractor can charge its CERCLA environmental costs as a PRP to this Contract. This clause does not recognize or create any Government liability for the Contractor‘s PRP CERCLA liability in the absence of a contract between the Contractor and NASA to operate JPL as an FFRDC. Additionally, this clause does not create or constitute an admission of liability by the Contractor. The parties agree that, at a minimum, any allowable costs flowing from PRP CERCLA liability associated with the Contractor‘s business organization referred to as JPL can be treated as an allocated direct cost (ADC) to this Contract. To the extent a cost arises from environmental wrongdoing, as defined in the DCAA manual, NASA shall not consider it an allowable cost under this Contract. The Contractor specifically reserves the right to contest determinations of allowability, including the appropriateness and/or application of the DCAA standard of environmental wrongdoing, pursuant to the Disputes provision of this Contract. Any other PRP liability apportioned to the California Institute of Technology (Caltech) which constitutes an allowable cost can be treated as an institutional F&A cost. Additionally, Caltech agrees, when cost effective, to pursue any insurance claims relative to its liability under CERCLA as a PRP. The parties agree that insurance proceeds that the California Institute of Technology receives as reimbursement for CERCLA liability shall be applied as a credit against CERCLA environmental costs which were or would be otherwise allowable under this Contract.
Sample 1
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Related to Treatment of CERCLA Environmental Costs

  • Environmental Conditions A Phase I environmental site assessment (or update of a previous Phase I and or Phase II environmental site assessment) and, with respect to certain Mortgage Loans, a Phase II environmental site assessment (collectively, an “ESA”) meeting ASTM requirements conducted by a reputable environmental consultant in connection with such Mortgage Loan within 12 months prior to its origination date (or an update of a previous ESA was prepared), and such ESA (i) did not identify the existence of Recognized Environmental Conditions (as such term is defined in ASTM E1527-05 or its successor, hereinafter “Environmental Condition”) at the related Mortgaged Property or the need for further investigation, or (ii) if the existence of an Environmental Condition or need for further investigation was indicated in any such ESA, then at least one of the following statements is true: (A) an amount reasonably estimated by a reputable environmental consultant to be sufficient to cover the estimated cost to cure any material noncompliance with applicable Environmental Laws or the Environmental Condition has been escrowed by the related Mortgagor and is held or controlled by the related lender; (B) if the only Environmental Condition relates to the presence of asbestos-containing materials, radon in indoor air, lead based paint or lead in drinking water, the only recommended action in the ESA is the institution of such a plan, an operations or maintenance plan has been required to be instituted by the related Mortgagor that can reasonably be expected to mitigate the identified risk; (C) the Environmental Condition identified in the related environmental report was remediated, abated or contained in all material respects prior to the date hereof, and, if and as appropriate, a no further action, completion or closure letter or its equivalent, was obtained from the applicable governmental regulatory authority (or the Environmental Condition affecting the related Mortgaged Property was otherwise listed by such governmental authority as “closed” or a reputable environmental consultant has concluded that no further action or investigation is required); (D) an environmental policy or a lender’s pollution legal liability insurance policy that covers liability for the Environmental Condition was obtained from an insurer rated no less than “A-” (or the equivalent) by Xxxxx’x, S&P and/or Fitch; (E) a party not related to the Mortgagor was identified as the responsible party for the Environmental Condition and such responsible party has financial resources reasonably estimated to be adequate to address the situation; or (F) a party related to the Mortgagor having financial resources reasonably estimated to be adequate to address the situation is required to take action. To Seller’s knowledge, except as set forth in the ESA, there is no Environmental Condition at the related Mortgaged Property.

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