Oregon asbestos cleanup lacks funding, EPA says


KLAMATH FALLS, Ore. (AP) -- The U.S. Environmental Protection Agency says there may not be enough money to pay for asbestos cleanup at the North Ridge Estates subdivision.

The asbestos is from boards on the walls of three military barracks used several decades ago. The barracks were torn down, but the asbestos wasn't removed.

The federal agency had hoped to pay for the cleanup by selling the 19 houses that are in receivership at the subdivision.

"I cannot say EPA will clean it up," said Denise Baker-Kircher, EPA project manager.

The cost of a potential cleanup is unknown because the EPA is still in the process of deciding what method it will choose to mitigate the asbestos, a known carcinogen.

Residents living near the contaminated subdivision got an update during a meeting Tuesday in Klamath Falls.

One way to raise additional money would be building more homes at the subdivision and selling them along with the other 19, said Cliff Villa, EPA assistant regional counsel.

All profits from property sales would revert to the agency, which could use the money for the remediation effort.

Villa said some developers might realize the profit potential in buying properties, cleaning and reselling them. More than $2 million already has been spent on emergency cleanup, and investigation of how much asbestos exists and where it is located.

Judy Smith, EPA outreach coordinator, said the original emergency cleanup occurred after homeowners were told of the existence of asbestos about six years ago.

"Even at that time, we knew that it was a Band-aid when surgery was needed," she said.

Villas said the initial emergency measures removed about 57 tons of asbestos-containing material. About 1,522 tons were used in construction of the military buildings, he said.

In January 2006, a federal judge in Eugene approved an $11 million settlement in a lawsuit residents filed against North Ridge developer MBK.

According to a timeline released Tuesday, the EPA hopes to have a proposed plan for cleanup by early June.

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