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H _ I PHASE 1 ENVIRONMENTAL SITE ASSESSMENT 4101 S. Airport Way, Stockton, CA August 2009, Page 13 of 15 6.0 CONCLUSIONS 6.1 On-Site Issues As discussed in Section 4.0,floor drains currently drain into an operating septic system. There is no direct evidence that this has been a source of environmental contamination,but there is also no direct evidence that eliminates it as a former potential pathway. The floor drains and old septic system are brought to the reader's attention but are not considered to be a recognized environmental condition. An asbestos survey was completed at the facility in August 2007 and shows that asbestos is currently in use in the facility. This asbestos was reported to be in good condition and there was no immediate need to remove this material.The estimated cost to abate the asbestos in 2007 was approximately$70,000. PCBs are contained in an unknown number of light ballasts within the warehouse. Ballasts are removed when the lights are repaired. This condition is brought to the reader's attention but is not considered to be a recognized environmental condition. Observations made during a site reconnaissance and as depicted on an oblique aerial photo from 2009 show that three areas of stained soil and distressed vegetation are located on the western edge of the subject property,adjacent to a rail spur and chemical manufacturing plant. Therefore, a regulatory compliance liability could be associated with the subject property. This is considered to be a recognized environmental condition. 6.2 Off-Site Issues As discussed in Section 5.0, during this assessment we observed nearby properties from the street,reviewed aerial photographs and conducted a database search. Based on that review,we conclude that there is at least one site within one mile of the subject property (Sierra Chemical Co.)that is likely to have an adverse environmental impact on the subject property.This situation constitutes the recognized environmental condition discussed in Section 6.1. 6.3 Data Gaps No data gaps have been identified.