PHONE: (916) 482-2800 E-MAIL: aecsacto@att.net

March 26, 2014

Mr. Derek Sandgren Helm Properties 1520 Butte House Road, Suite 400 Yuba City, California 95993-2240 RE: Pre-Renovation Asbestos Survey Report 1517 Dodson Avenue, Marysville, California 95901 Dear Mr. Sandgren: On Thursday, March 20, 2014, Mr. William W. Anderson, a Building Inspector and Management Planner certified by the United States Environmental Protection Agency (“EPA”) and Certified Asbestos Consultant licensed with the California Division of Occupational Safety and Health (“Cal-OSHA”) inspected the vacant residence structure at 1517 Dodson Avenue in Marysville, California. The structure is scheduled for renovations. The structure is a one-story wood framed structure, constructed in 1962, built on a raised concrete foundation. Exterior walls are wood framed and are covered with painted wood shingles on all four sides. The roof structure is wood framed and the roof is covered with asphalt composition shingles over black roofing paper. Heating is provided by natural gas furnace with an asbestos-cement transite flue pipe located in a closet in the hallway. This unit supplies sheet metal ductwork in the attic. Cooling is provided by an electric evaporative cooler unit mounted through the living room wall. A natural gas powered hot water heater with a sheet metal flue pipe is located in the garage. Loose fiberglass insulation is located in the attic. Exterior doors are wood and window frames are metal The vehicle garage door is sheet metal.

The structure, including the attached garage, measures approximately 1,550 square feet in size and is shown on the attached diagram. The net living area is reported to be 1,092 square feet. Interior wood framed walls and ceilings are covered with painted and textured sheetrock panels throughout the structure. A small amount of wallpaper is applied to some kitchen walls. Floor coverings consist of carpet and pad over the wood subfloor in the living room, hallway, and three bedrooms. The kitchen, dining area, bathroom, and front entry floors are covered with two layers of 12-inch glue-down squares. Baseboards are wood. Interior doors are wood. The structure was inspected for the presence of friable Regulated Asbestos Containing Materials and non-friable asbestos containing materials. Seven (7) samples of materials suspected to contain asbestos were collected. The specific materials sampled were sheetrock composite (a combination of sheetrock panels, joint compound and joint tape), sheetrock texture coat (3 samples), wallpaper, and two types of roofing materials.

Helm Properties March 26, 2014 Page Two The bulk samples were delivered to CEI Labs, Inc. in Cary, North Carolina for analysis. The samples were analyzed using Polarized Light Microscopy with dispersion staining to estimate percent asbestos composition. CEI Labs, Inc. participates in the bulk sample proficiency analysis program conducted by the United States Environmental Protection Agency and is accredited under the National Voluntary Laboratory Accreditation Program (NVLAP) conducted by the National Institute of Standards and Technology and is also licensed by the California Department of Health Services under the Environmental Laboratory Accreditation Program (“ELAP”). Initial analysis of the sample of sheetrock composite collected (Sample 407901) using the visual analysis method showed an asbestos content of less than one percent. More precise analyses of the sample, required by EPA and California Air Resources Board (CARB) regulations, using the point-count analysis method shows that the actual asbestos content of the sample was 0.36% (36/100 of one percent). This sheetrock composite material is classified as a material that does not contain asbestos. Laboratory analysis detected no asbestos present in any of the other materials sampled.

Copies of the laboratory reports and chain-of-custody documentation and a floor plan diagram are attached. Please call me if you have any questions regarding the inspection. ANDERSON ENVIRONMENTAL CONSULTING GROUP

William W. Anderson California Certified Asbestos Consultant 09-4576 Certification Expires October 15, 2014

1517 DODSON AVENUEMARYSVILLE, CALIFORNIA 95901 NORTH

SAMPLE 407902(-)SAMPLE 407901(-)

SAMPLE 407904(-)

SAMPLE 407903(-)SAMPLE 407905(-)

SAMPLE 407906(-)SAMPLE 407907(-)

ASBESTOS LABORATORY REPORT

Prepared for

Anderson Environmental Consulting Group

TEL: 866-481-1412www.ceilabs.com

PROJECT:

CEI LAB CODE:

DATE ANALYZED:

DATE REPORTED:

TOTAL SAMPLES ANALYZED:

# SAMPLES >1% ASBESTOS:

1517 Dodson Ave., Marysville, CA 90901

A14-3381

03/25/14

7

03/25/14

Asbestos Report SummaryBy: POLARIZING LIGHT MICROSCOPY

PROJECT: 1517 Dodson Ave., Marysville, CA 90901 CEI LAB CODE: A14-3381

Client ID Lab ID Color Sample DescriptionASBESTOS

%Layer

METHOD: EPA 600 / R93 / 116 and EPA 600 / M4-82 / 020

A1673837 White,Beige Sheetrock/Joint Compound Chrysotile407901 <1%

A1673838 White,Beige Sheetrock Texture Coat None Detected407902

A1673839 White,Beige Sheetrock Texture Coat None Detected407903

A1673840 White,Beige Sheetrock Texture Coat None Detected407904

A1673841 Off-white Wallpaper None Detected407905

A1673842 Off-white Wallpaper None Detected407906

A1673843 Black Roofing Paper None Detected407907

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ASBESTOS BULK ANALYSISBy: POLARIZING LIGHT MICROSCOPY

CEI Lab Code: A14-3381Date Received: 03-24-14Date Analyzed: 03-25-14Date Reported: 03-25-14

Client IDLab ID

LabAttributes

LabDescription

ASBESTOS%

ASBESTOS BULK PLM, EPA 600 METHODNON-ASBESTOS COMPONENTS

Non-Fibrous

Client: Anderson Environmental Consulting Group3308 El Camino Avenue, Suite 300-111Sacramento, CA 95821-6328

Project: 1517 Dodson Ave., Marysville, CA 90901

Fibrous

White,BeigeSheetrock/JointCompound

407901A1673837

20%Heterogeneous

FibrousBound

Lab Notes: 2% Chrysotile in Joint Compound; <1% overall.

5%20%55%

Cellulose PaintCalc CarbGypsum

<1% Chrysotile

White,BeigeSheetrock Texture Coat407902

A16738385%Heterogeneous

FibrousBound

90%5%

Cellulose PaintCalc Carb

None Detected

White,BeigeSheetrock Texture Coat407903

A16738395%Heterogeneous

FibrousBound

90%5%

Cellulose PaintCalc Carb

None Detected

White,BeigeSheetrock Texture Coat407904

A16738405%Heterogeneous

FibrousBound

80%15%

Cellulose PaintCalc Carb

None Detected

Off-whiteWallpaper407905

A167384110%Heterogeneous

FibrousBound

90%Cellulose Binder None Detected

Off-whiteWallpaper407906

A167384210%Heterogeneous

FibrousBound

90%Cellulose Binder None Detected

BlackRoofing Paper407907

A167384375%Heterogeneous

FibrousBound

25%Cellulose Tar None Detected

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LEGEND: Non-Anth = Non-Asbestiform AnthophyliteNon-Trem = Non-Asbestiform TremoliteCalc Carb = Calcium Carbonate

The detection limit for the method is <1% by visual estimation and 0.25% by 400 point counts or 0.1%by 1,000 point counts.

Due to the limitations of the EPA 600 Method, nonfriable organically bound materials (NOBs) such asvinyl floor tiles can be difficult to analyze via polarizing light microscopy (PLM). EPA recommends thatall NOBs analyzed by PLM, and found not to contain asbestos, be further analyzed by TransmissionElectron Microscopy (TEM). Please note that PLM analysis of dust and soil samples for asbestos is notcovered under NVLAP accreditation.

CEI Labs, Inc. can perform positive stop analysis if requested by customer. However, it is theresponsibility of the customer to determine if the samples grouped together are in fact the same type ofmaterial and belong to the same homogeneous area.

This report may not be reproduced, except in full, without written approval by CEI LABS. CEI LABSmakes no warranty representation regarding the accuracy of client submitted information in preparingand presenting analytical results. This report may not be used by the client to claim productendorsement by NVLAP or any other agency of the U. S. Government.

ANALYST: APPROVED BY:Tianbao Bai, Ph.D.Laboratory Director

Elizabeth Godwin

CEI Labs, 107 New Edition Court, Cary, NC 27511, Phone: (866) 481-1412

METHOD: EPA 600 / R93 / 116 and EPA 600 / M4-82 / 020

ASBESTOS BULK ANALYSISBy: POLARIZING LIGHT MICROSCOPY

CEI Lab Code: A14-3381.1Date Received: 03-25-14Date Analyzed: 03-25-14Date Reported: 03-25-14

Client IDMaterial

DescriptionLab IDASBESTOS

%

ASBESTOS POINT COUNT PLM, EPA 600 METHOD

Total

Client: Anderson Environmental Consulting Group3308 El Camino Avenue, Suite 300-111Sacramento, CA 95821-6328

Project: 1517 Dodson Ave., Marysville, CA 90901

AsbestosPOINTS

A1673837407901 400Joint Compound Chrysotile7 1.8%

A1673837 Sheetrock/Joint Compound (CompositeResult from Point Count)

Lab Notes: Joint Compound is 20% of sample

Chrysotile0.36%

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Page 2 of 2

The detection limit for the method is <1% by visual estimation and 0.25% by 400 point counts or 0.1%by 1,000 point counts.

Due to the limitations of the EPA 600 Method, nonfriable organically bound materials (NOBs) such asvinyl floor tiles can be difficult to analyze via polarizing light microscopy (PLM). EPA recommends thatall NOBs analyzed by PLM, and found not to contain asbestos, be further analyzed by TransmissionElectron Microscopy (TEM). Please note that PLM analysis of dust and soil samples for asbestos is notcovered under NVLAP accreditation.

This report may not be reproduced, except in full, without written approval by CEI LABS. CEI LABSmakes no warranty representation regarding the accuracy of client submitted information in preparingand presenting analytical results. This report may not be used by the client to claim productendorsement by NVLAP or any other agency of the U. S. Government.

ANALYST: APPROVED BY:Tianbao Bai, Ph.D.Laboratory Director

Elizabeth Godwin

CEI Labs, 107 New Edition Court, Cary, NC 27511, Phone: (866) 481-1412

METHOD: EPA 600 / R93 / 116 and EPA 600 / M4-82 / 020