The Town of Madison was selected to receive a brownfields assessment grant and a revolving loan fund grant. The Town is a community of 6,975 in Dane County, Wisconsin. A portion of a 70-acre site, formerly occupied by two landfills, has already been redeveloped as a technology campus.

Scott Wilson

Please provide a brief overview of the project.
Goal of the Project: The Town of Madison was selected to receive a brownfields assessment grant and a revolving loan fund grant. The Town is a community of 6,975 in Dane County, Wisconsin. A portion of a 70-acre site, formerly occupied by two landfills, has already been redeveloped as a technology campus. The developer (The Alexander Company) has retained or optioned the remaining parcels and added them to the technology park; environmental assessments have been performed on most, but not all, of the properties to date. Because the target sites were used as landfills and have known environmental contamination, the developer required extensive environmental testing before purchasing and redeveloping the parcels comprising many of the 70 acres. A U.S. Environmental Protection Agency (EPA) Brownfield Assessment Grant provided money to perform environmental investigations at the target sites in preparation for their expected purchase and reuse. The Town of Madison and The Alexander Company used the funds to remediate parcels in south Madison, an area that has suffered from significant distress. The Town hopes that redevelopment in this area will bring greater opportunities for the people living in south Madison. Location of Site: From farming to business innovation, the Town of Madison's Icke Landfill site has been at the center of activity for more than half a century. One of the last major undeveloped parcels close to the City of Madison's Beltline Highway (the heavily used highway running along Madison's south side), the Icke Landfill's prime access allows for quick travel time to the east and west sides of town. These and many other assets led to the cleanup of this former farm-turned-landfill and transformed it into a unique business redevelopment and training center. The Town of Madison was awarded an EPA Brownfields Hazardous Substance Site Assessment Grant to investigate this area and to prepare a remediation plan to address any identified contaminants to allow for planned redevelopment. Former Use of Site: Like most of the land in the area before 1970, the Icke Landfill property was initially used for farmland. From the 1970s through the 1980s, the site was slowly transformed into a disposal area for demolition debris, soil material, and fly ash from the City power plants. This area of the Town of Madison, part of which was formerly occupied by two landfills, has a long history of industrial and commercial activities that may have caused environmental contamination to soil and groundwater. Potential contaminant sources within this redevelopment area include fly ash landfills, dry cleaners, service stations, auto repair facilities, a printing shop, a manufactured gas waste disposal area, and a trucking firm. The development area is adjacent to a residential area, and because of soil contamination from the fly ash and construction debris found in the landfill, any cleanup activities needed to address public health concerns at the property. The fly ash was found to contain cadmium, lead, and mercury. In 2000 the Wisconsin Department of Natural Resources (WDNR) Waste Program granted the developer involved in the redevelopment, The Alexander Company, an exemption to build on the property where solid waste was disposed. Actual End Use of Site: The Novation Technology Campus combines smart growth development practices for transportation, energy efficiency, and construction with inspired designs for an overall positive environmental impact. A common theme of connectivity resonates throughout the campus, as evidenced by the effort to incorporate the surrounding neighborhoods and establish an entirely connected campus via bike trails, pedestrian walkways, and the Novation Parkway, the main through roadway within the campus. Approximately one third complete, the Novation campus will contain 1,200,000 square feet of Class "A" office, hotel, retail, flex, and light industrial space. Upon completion, the projected project costs will exceed $180 million. Tenants in the recently completed 400,000-square-foot space include Summit Credit Union; offices for Meriter Health Services; Zimbrick BMW, Porsche, Audi, and Mercedes Benz; ShopBop.com, a subsidiary of Amazon.com; Cardinal Health; and a variety of other businesses. The Icke Landfill property with adjacent redevelopment is valued at approximately $60 million. The Town of Madison has already gained approximately 1,200 additional jobs with the first phase of the Novation campus development. Date of Completion: Brownfield remediation was completed in October 2010. The development of the Novation campus is approximately one-third complete, and development is ongoing.

What makes this project unique? How does it stand out among other successful brownfield redevelopment projects?
The Novation Technology Campus benefits the community in dual roles: Not only has the development revitalized a brownfield site on one of Madison's busiest thoroughfares, but it also has brought new economic growth and prosperity to an area in need. With more than 1,200 jobs created in a previously economically challenged area, coupled with the environmentally conscious cleanup and remediation techniques, the campus serves as a centerpiece for sustainable growth, neighborhood rejuvenation, and an economic engine in the future of Dane County.

What were the primary funding sources (i.e. private or public) for the project and what were the total redevelopment costs?
In 2000, the WDNR Waste Program granted The Alexander Company an exemption to build on the property where solid waste was disposed. In 2001, the company also received a $400,000 Wisconsin Department of Commerce Brownfield Grant for cleanup activities at the property. That same year Dane County received a $370,000 Economic Development Initiative grant from the U.S. Housing and Urban Development (HUD). In 2003, a portion of the Novation campus also received a $300,000 Wisconsin Department of Commerce Brownfield grant. In 2004, the Town of Madison received two WDNR Brownfield Site Assessment Grants (SAG) totaling $42,648 from the WDNR's Remediation and Redevelopment (RR) Program to work on properties adjacent to the landfill. Finally, in 2004, the EPA issued two funding awards to the Town of Madison – a $200,000 site assessment grant for environmental testing at the former landfill and surrounding properties in the technology park and a $1 million revolving loan fund for remediation of affected properties. The Town of Madison also created the first Environmental Remediation (ER) TIF district in the state. These programs, together with the use of New Market Tax Credits, were used to leverage total investment of approximately $60 million. When completed, the Novation campus development will be valued at $180 million and will consist of more than 1.2 million square feet of retail, office, hotel, and light industrial space.

What contaminants were present on the site? Please discuss what remediation technologies were used and what the total remediation costs were.
The property is adjacent to a residential area, where soil contamination from the fly ash and construction debris was found in the landfill. Consequently, cleanup activities needed to address public health concerns at the property. The fly ash was found to contain cadmium, lead, and mercury. To address these health concerns, the construction debris was removed from the site before the fly ash landfill was capped. The capping of this landfill took place several years before redevelopment to meet solid waste program regulations. During investigation of properties comprising the Novation campus, an area of contaminated soil was uncovered on the Icke property. The WDNR required a licensed environmental consultant to submit a work plan and schedule to assess and address the soil and groundwater contamination that had been detected. Ayres Associates was retained to determine the nature and extent of the soil contamination. The Icke property was found to contain fly ash fill and contamination consistent with manufactured gas plant (MGP) waste.

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After:

What kind of long-term economic benefits did the project bring to the local community, such as population increase, job creation, tax revenue generation, just to name a few possible benefits?
The Alexander Company tracks the economic impact associated with the Novation campus by contractually requiring occupants of the campus to report job creation occurring at the campus. At last count, approximately 1,200 jobs were located on the campus, more than half of which were newly created.

How were economic results measured and how swift was the return on investment?
The Novation campus is one of the largest infill redevelopment sites in Wisconsin. As such, it was always forecast as a long-term project that would take years to implement. ROI will occur in the later phases of the project.

Was the project completed on time and on budget?
To date, buildings have been constructed totaling approximately 400,000 square feet of space. Each of these buildings was completed on time and on budget as individual phases. Approximately one-third of the total land area has been developed.

What was most challenging about your project?
The Alexander Company is nationally known for the revitalization of neighborhoods. As is typical with this type of project, the initial phases are the most difficult to implement, when prospective tenants, leaders, and investors must have the foresight to see the vision for a blighted brownfield.

Did the project receive any loans, grants or financial assistance from any public or private organizations?
In 2000, the WDNR Waste Program granted The Alexander Company an exemption to build on the property where solid waste was disposed. In 2001, the company also received a $400,000 Wisconsin Department of Commerce Brownfield Grant for cleanup activities at the property. That same year Dane County received a $370,000 Economic Development Initiative grant from HUD. In 2003, a portion of the Novation campus also received a $300,000 Wisconsin Department of Commerce Brownfield grant. In 2004, the Town of Madison received two WDNR Brownfield SAG totaling $42,648 from the WDNR's RR Program to work on properties adjacent to the landfill. Finally, in 2004, the EPA issued two funding awards to the Town of Madison, a $200,000 site assessment grant for environmental testing at the former landfill and surrounding properties in the technology park, and a $1 million revolving loan fund for remediation of affected properties. The Town of Madison also created the first ER TIF district in the state. These programs, together with the use of New Market Tax Credits, were used to leverage total investment of approximately $60 million.

Could you describe the collaboration that occurred among multiple parties to enable the project?
Support for this project is evidenced by the public participation approved by all levels of government. The Town of Madison, Dane County, the State of Wisconsin (WDNR, Department of Commerce, governor) as well as the congressional delegations all pledged support for this important project before it proceeded.

What were the number of employees formerly employed at the site prior to abandonment, and primary job classifications at the former enterprise (e.g., mechanics, steelworkers, clerical, etc.)?
Other than a former construction yard for Icke Construction, which went out of business more than 20 years ago, there were no viable businesses on the property.

What are the number of employees currently employed at the site?

1,200