Excerpt:

Exhibit:

1. Roux Associates, Inc. Contract for Environmental and Hazardous Materials Consulting Services

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BACKGROUND

Alameda Point was an active United States Navy (Navy) base from 1940 to 1997. While active, as many as 18,000 personnel worked at the Naval Air Station (NAS Alameda). It was selected for closure as part of the 1993 Base Realignment and Closure (BRAC). Operational closure occurred in April 1997.

Alameda Point is a federal “Superfund” site due to contamination in the soil and groundwater associated with the Navy’s past use of the property. It is comprised of 300 petroleum sites and 34 federal Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) installation restoration sites, many of which have been remediated and closed. The Navy is responsible for the clean-up of contamination associated with its former activities at Alameda Point, and has been actively investigating and remediating the property for the last 15+ years, during which time it has spent over $500 million on these efforts.

The City has worked with one independent environmental consultant and advisor at Alameda Point, Peter Russell of Russell Resources, for the last 18 years, since before the Base was decommissioned. Dr. Russell is retiring this year, and the City is appreciative for all his years of service and expertise to ensure Alameda Point is transformed from a brownfield site to a sustainable and productive development.