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K L E I N F E L D E R EXPECT MORE available to Kleinfelder for MW-8 and MW-9 was for a sampling event conducted in May of 2004. Kleinfelder prepared a proposal on May 5, 2005 for Oakwood Lake Water District for continuance of groundwater monitoring under the provisions of WDR Order No. 5-01- 113. Kleinfelder was retained based on acceptance of this proposal and began groundwater sampling and reporting beginning with the second quarter of 2005 (May 2005). Kleinfelder performed a groundwater modeling evaluation for the Oakwood Lake Water District in a document dated February 23, 2006. The groundwater elevations within the proposed Oakwood Lake development project were modeled to evaluate the effect on the Oakwood Lake elevations, with primary focus on dry years. With historical modeling data used as a blueprint, Kleinfelder evaluated both a dry period (1988 to 1989) and a normal period (1999 to 2000). Based upon the output of the modeling results, the Oakwood Lake elevations are predicted to fluctuate from approximately 2.98 feet (minimum) to 3.58 feet (maximum) between the dry and average years. This data appears to be in agreement with the previous groundwater model, with a modeled 2.8 feet (minimum) to 4.3 feet (maximum). The wet-years model analysis indicated that water levels in Oakwood Lake (assuming no flood control pumping occurred) could exceed 8 feet msl for up to 23 weeks during the rainy season, with short-term peak elevations above 10 feet msl. Adjustments and corrections were made to the previous model, as well as through quality assurance. As noted through the modeling and comparison, the water budget incorporated within the Oakwood Lake water system is still within the bounds of the original designed parameters. 48093.E01/ST07R052/CJC/Iv Page B-2 ©2007 Kleinfelder, Inc January 26, 2007