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In April of 2013, 1 had several discussions with Golden Bear Ranches regarding the possibility of acquiring an easement on 37 acres located on Live Oak Road in San Joaquin County. Their desire was to put all 37 acres in to an easement and we discussed how Love's might be able to purchase just 5.06 acres. The owners indicated a desire to only proceed on the 5.06 acres if it were part of the entire 37 acres being dedicated. While the acquisition price per acre was lower than the County fee, when you add the Administrative fee, Monitoring fee, and Transaction fee, as well as the legal expense, the cost far exceeded the County fee. Further, even if the cost were close to the County fee, we could not guarantee that all 37 acres would be acquired in the time frame the owners required. In early May of 2013, I asked Doug Kraetsch, a realtor with Grupe Real Estate to conduct a search of properties that were not within the Sphere of influence of any Cities, were not located in the Primary Delta, and that were zoned agricultural and that may be suitable for an agricultural easement. At the time, the only sites available were 1) a 30 acre site located on North Thornton Road, where the asking price for the fee title was $750,000 or$25,000 per acre. "There was no indication that we could acquire a 5.06 acre Easement on a portion of this property, and 2) an 8.77 Acre Parcel located in a "ranchette" area on N. Highway 88. The asking price for this parcel was $189,000 or$21,550 per acre. Rtquests to purchase a 5.06 acre Agricultural Conservation easement went unanswered. In addition, as you will note later in this letter, neither of these sites meet the minimum criteria for the Central Valley Farmland Trust. No other sites were identified throughout May and June. In early July, I contacted Mr. Bill Martin at the Central Valley Farmland Trust to ascertain whether they had any easements available for acquisition. Mr. Martin indicated that they had a 160 Acre easement on Baker Road and they were working on an 85 acre easement on Mariposa Rd. The cost to "buy-in"to the Baker Rd. easement was quoted at $9,440.00 per acre, and he indicated that it was too early to price the Mariposa Road easement. In a follow up email, Mr. Martin gave me the fallowing information: "The property must first meet our selection criteria guidelines (see attached). The cost(as a % of the easement value) breakdown is estimated as follows: • Transaction costs—3-4% • Stewardship, monitoring, and legal defense—5% Administrative cost— 10'1 The problem with a 5+- acre easement is it is too small to meet our selection criteria guidelines for a minimum size easement (e.g., 40+ acres). Or the other thing to consider is to simply put an ag conservation easement on a parce/large enough to meet our selection criteria guidelines and use it for your own mitigation bank or sell credits to others. This type of mitigation bank does not require agency approval However you would probably want to get the County's approval. which we will gladly assist in that effort. " Love's does not have a larger parcel as suggested by Mr. Martin, and we are currently not aware of a parcel that is available that meets the criteria set forth in their Guidelines.