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r ' TECHNICAL SCOPE OF WORK (WORK PLAN) for PHASE II ENVIRONMENTAL SITE ASSESSMENT DOWNTOWN STOCKTON MULTI-MODAL STATION/TRANSPORTATION CENTER Six Blocks Bound by Miner Avenue,Stanislaus Street,Weber Avenue,Southern Pacific Railroad Stockton,California April 17, 2002 Condor Project#2993A INTRODUCTION Condor Earth Technologies,Inc. (Condor)will perform a Phase II Environmental Site Assessment(ESA) for parcels in the six-block area bounded by East Miner Avenue (north), North Stanislaus Street (west), East Weber Avenue (south), and the Southern Pacific Railroad right-of-way (east). These same parcels were the subject of a Phase I ESA completed by Condor in May, 2001. The work will be performed for the City of Stockton, Department of Housing and Redevelopment(DHR). The purpose of conducting a Phase II ESA as part of a commercial real estate transaction is to provide the purchaser of the real estate some initial and future protection from potential liability if hazardous substances are discovered on the site. Recognized Environmental Conditions (REQ and the Historically Recognized Environmental Conditions(HREC)were identified during the Phase I ESA. These RECs and HRECs will be investigated in greater detail during the Phase II ESA. Additionally, the businesses on parcels without previously identified RECs or HRECs will be further reviewed to investigate past handling practices of hazardous materials and wastes. The possibility of mishandling of hazardous materials by these businesses may elucidate further potential RECs or HRECs. The potential liability for the cleanup of hazardous substances and the available defenses to such liability are outlined in the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) and its amendments, commonly known as the Superfund law. The American Society of Testing and Materials (ASTM) states that a Phase II ESA, performed after the completion of a Phase I, will help to satisfy the requirement of"all appropriate inquiry into the previous ownership and uses of the property consistent with good commercial or customary practice" [42 USC § 9601(35)(B)] and will help to provide "innocent landowner defense" (ASTM Standard E 1527-00, Sec. 1.1) to the purchaser involved in a commercial real estate transaction. In addition,ASTM asserts that a Phase II ESA evaluates RECs "for the purpose of providing sufficient information regarding the nature and extent of contamination to assist in making informed business decisions" (ASTM Standard E 1903-97, Sec. 1.2) including "the potential financial exposure associated with environmental risks" (ASTM Standard E 1903-97, Sec. 3.1.3). It should be understood that a Phase II ESA only further investigates the site for existing or potential contamination. The tasks contained within Tasks A through F described on the next page comprise the scope of work requested by DHR, in scoping meetings with Condor, for a Phase II ESA.