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r '--adient Environmental Cc -ultants no 17 �D July 9,2010 ! i 13 U411I 10,NA 1-AIT PEA State Water Resources Control BoardF. 1T/sLR4/� Underground Storage Tank Cleanup Fund P.O. Box 944212 Sacramento,CA 94244-2120 _ Subject: Hydukes's Valley Motors. 800 E.Main Street, Stockton Claim# 12540 In-December 2009 we were made aware of a request that vendvis and consulting companies provide a letter stating a willingness to wait for payment for services performed until the State Water Resources Control Board Underground Storage Tank Cleanup Fund(USTCF)has reimbursed the Responsible Parry for such services. That request pertained particularly to our contract with Hyduke's Valley Motors of Stockton, California, for whom Upgradient Environmental has provided consulting services since 1996. At no time have we required payment before being reimbursed by the USTCF. We were therefore somewhat surprised to receive such a request. Nonetheless we complied. The purpose of this letter is to request information about the current reimbursement status for.this RP(site#12540). At present,our oldest outstanding invoices date back to May 2007 and fourteen more invoices have been sent since then. None of.these have been paid,and we have not received a payment from our client since January 2009. On several occasions since.January of this year,we have requested that the RP contact the USTCF to ascertain when the next reimbursement would be.forthcoming. As of this date, Hydukes's Valley Motors has not acknowledged receiving any correspondence.from the USTCF indicating if there is a problem or when the next distribution will occur. Upgradient Environmental is caught between a State reimbursement program that is dragging its feet in reimbursing RP's for work performed and County environmental health departments that are demanding additional work and threatening RP's with non- compliance and removal from eligibility for reimbursement. Upgradient cannot continue to front the money for RP's who must wait for reimbursement before paying our invoices. We have advised Hyduke's Valley Motors to inform San Joaquin County that further work must be delayed until payments resume. We are concerned because Hydukes's Valley Motors on two occasions in the past has received reimbursement from the USTCF but has used the funds as an"interest free short term loan". It was only through contacts with the USTCF that we became aware of the 3369 Kimberly Road Cameron Park CA 95682 530 677 3055 255 Bussard Lake Road,Bonners Ferry, ID 83805 208 267 5726