Due Diligence

An initial screening of readily-apparent environmental conditions associated with a property or multi-site corporate acquisition can help you determine if it is worth moving forward with a deal.   Initial screenings are great value, and if you decide to move forward with additional due diligence, we will credit you the cost of  the initial screening.  Screening studies can also be an efficient way to assess and rank multiple potential targets.

We conduct Phase I ESAs to the ASTM E1527 standard to provide you the regulatory protection of "All Appropriate Inquiry."  Phase I ESAs are non-intrusive studies (i.e., samples are not collected or analyzed) based upon a site visit and a review of regulatory records and historical information.  The goal of a Phase I ESA is to determine if contamination or conditions that can result in contamination (called "Recognized Environmental Conditions, or RECs) are likely present at a property.  Our assessments and reports are tops in the industry and competitively priced.

To address your corporate standards, specific risk concerns, and properties for which CERCLA  liability may not be the primary concern--such as upstream petroleum acquisitions--we will work with you to tailor due diligence efforts to assess the environmental risks specific to your ownership and operations.

If RECs are identified during a Phase I ESA, SciTechMs can conduct a Phase II ESA.  During a Phase II ESA, samples are collected and analyzed to further assess if contamination is present at a property.  Soil, groundwater, soil vapor, or indoor air samples may be collected, depending upon the REC.  We conduct Phase II ESAs to the ASTM E1902 standard and scope investigations to efficiently target RECs, while minimizing impact to day-to-day operations of the property.

If you identify potential environmental liability associated with an acquisition, should you continue to move forward with the deal?  Quite often the answer to this question is dependent upon the potential cost to address the liability.  Our professionals, who have conducted liability valuation studies for acquisitions ranging from a single site to hundreds of properties, can help you quantify potential liability, identify strategies to manage risk, and tailor "go/no go" decisions to your particular risk tolerance.

If you plan to continue an acquired site's operations or to utilize a property's infrastructure, you will want to make sure that necessary environmental permits are in place, reporting is current, and that there are no outstanding obligations or notices of violation (NOVs).  Our limited regulatory compliance reviews include onsite observations of site operations and HSE practices, coupled with review of client-provided documents; online database listings from federal, state, and local agencies; and applicable federal, state, and local code.  If the regulatory compliance review identifies deficiencies, ScitTechMS will provide recommendations to mitigate the gaps.

If you are acquiring another company, your acquisition is much more than property and materials.  It includes human resources, current HSE practices, and management systems.   SciTechMS can review a target acquisition's current HSE program design and implementation and assist you in developing an integration plan so that you can "hit the ground running" after acquisition.

Planning ahead is the best way to get top dollar for your divestiture and to avoid HSE-related devaluation and deal-breakers.  SciTechMS provides HSE auditing to identify record and data gaps and potential environmental conditions that could impact your divestiture, as well as strategies to mitigate identified concerns prior to "go to market."  

For sellers, SciTechMS can assist you in selecting the appropriate HSE data and records to include in an electronic file room.  We can design and develop the file room for you, and organize the electronic files.  For buyers, we can provide thorough review of file room documents and prepare targeted summaries of potential material issues and critical concerns.