November 12, Mr. Derek Sandgren Helm Properties 1520 Butte House Road, Suite 400 Yuba City, California

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November 12, 2014 Mr. Derek Sandgren Helm Properties 1520 Butte House Road, Suite 400 Yuba City, California 95993-2240 RE: Pre-Renovation Asbestos Survey Report 5862 Rupert Avenue, Marysville, California 95901 Dear Mr. Sandgren: On Saturday, November 8, 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 5862 Rupert Avenue in Marysville, California. The structure is scheduled for renovations and/or demolition. The residence structure is a one-story wood framed structure, constructed in 1945, built on a raised foundation. Exterior walls are wood framed and are covered with T-111 wood panels. The roof structure is wood framed and the roof is covered with two layers of asphalt composition shingles. Heating was provided by a natural gas powered wall heating unit in the living room. This unit has been removed. The flue pipe for this unit, an asbestos-cement transite pipe, is still present. No ductwork is present. Loose insulation is located in the attic. A natural gas powered hot water heater with a sheet metal flue pipe is located in a closet in the laundry room. Exterior doors are wood and window frames are wood and metal. The structure measures approximately 850 square feet in size and is shown on the attached diagram. Interior wood framed walls and ceilings are covered with painted and textured sheetrock panels throughout the structure. The ceiling in the living room consists of two layers of sheetrock panels. Spray-applied acoustical ceiling material is present between the two layers of sheetrock panels. Floor coverings consist of carpet over wood in the living room and two bedrooms; white sheet vinyl flooring at the front entry, 12-inch glue down squares over wood in the kitchen; 12-inch white vinyl tiles over wood in the laundry room; and ceramic tiles over wood in the bathroom. 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. Sixteen (16) 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), spray-applied acoustical ceiling material (3 samples), vinyl floor tiles with mastic, loose insulation material, white sheet vinyl flooring, window glazing, exterior stucco (3 samples), and two types of roofing materials. PHONE: (916) 482-2800 E-MAIL: aecsacto@att.net

Helm Properties November 12, 2014 Page Two The samples were delivered to CEI s, Inc. in Cary, North Carolina, for analysis using Polarized Light Microscopy with dispersion staining to estimate percent composition by volume. CEI s, Inc. participates in the bulk sample proficiency analysis program conducted by the United States Environmental Protection Agency and is accredited under the National Voluntary oratory Accreditation Program (NVLAP) conducted by the National Institute of Standards and Technology. CEI s, Inc. is licensed by the California Department of Health Services under the Environmental oratory Accreditation Program ( ELAP ). oratory analysis shows that the spray-applied acoustical ceiling material on the living room ceiling contains 2% Chrysotile asbestos. This acoustical ceiling material is classified as Regulated Asbestos Containing Material. There is approximately 200 square feet of this acoustical ceiling material on the living room ceiling. Most of this material is concealed by a second layer of sheetrock panels installed over the material. oratory analysis detected no asbestos present in the other materials sampled. Anderson Environmental Consulting Group recommends hiring a California licensed asbestos abatement contractor who is registered with Cal-OSHA to remove the identified asbestos containing acoustical ceiling material and transite pipe prior to any renovations that will disturb these materials. 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, 2015

5862 RUPERT AVENUE MARYSVILLE, CA 95901 NORTH SAMPLE 431201(-) SAMPLE 431206(-) SAMPLE 431212(-) SAMPLE 431208(-) SAMPLE 431202(-) SAMPLE 431203(-) SAMPLE 431204(-) SAMPLE 431205(+) SAMPLE 431205-A(n/a) SAMPLE 431205-B(n/a) SAMPLE 431211(-) SAMPLE 431212-A(-) SAMPLE 431209(-) SAMPLE 431210(-) SAMPLE 431207(-) SAMPLE 431212-B(-) ASBESTOS CONTAINING ACOUSTICAL CEILING MATERIAL (CONCEALED ABOVE SHEETROCK CEILING)

ASBESTOS LABORATORY REPORT Prepared for Anderson Environmental Consulting Group PROJECT: 5862 Rupert Avenue, Marysville, CA 95901 CEI LAB CODE: A14-15742 DATE ANALYZED: 11/10/14 DATE REPORTED: 11/10/14 TOTAL SAMPLES ANALYZED: 14 # SAMPLES >1% ASBESTOS: 1 TEL: 866-481-1412 www.ceilabs.com

Asbestos Report Summary By: POLARIZING LIGHT MICROSCOPY PROJECT: 5862 Rupert Avenue, Marysville, CA 95901 CEI LAB CODE: A14-15742 METHOD: EPA 600 / R93 / 116 and EPA 600 / M4-82 / 020 Client ID Layer ID Color Sample Description 431201 431202 431203 431204 ASBESTOS % A1862260,Tan Sheetrock/Mud A1862261 Texture A1862262 Texture A1862263 Texture 431205 A1862264 Texture Chrysotile 2% 431205-A 431205-B 431206 431207 431208 431209 431210 431211 431212 431212-A 431212-B A1862265 A1862266 Sample Not Analyzed per COC Sample Not Analyzed per COC A1862267A Floor Tile A1862267B Yellow Mastic A1862268 Beige, Sheet Vinyl A1862269 Brown Insulation A1862270 Green,Black Roof Shingle A1862271 Black Roof Shingle A1862272 Window Glazing A1862273,Gray Stucco A1862274,Gray Stucco A1862275,Gray Stucco Page 1 of 1

ASBESTOS BULK ANALYSIS By: POLARIZING LIGHT MICROSCOPY Client: Anderson Environmental Consulting Group 3308 El Camino Avenue, Suite 300-111 Sacramento, CA 95821-6328 Project: 5862 Rupert Avenue, Marysville, CA 95901 ASBESTOS BULK PLM, EPA 600 METHOD Client ID ID Description Attributes NON-ASBESTOS COMPONENTS Non- ASBESTOS % 431201 A1862260 Sheetrock/Mud,Tan 20% Cellulose 75% 5% Gypsum Calc Carb 431202 A1862261 Texture Calc Carb 431203 A1862262 Texture Calc Carb 431204 A1862263 Texture Calc Carb 431205 A1862264 Texture 20% 18% Calc Carb Foam 2% Chrysotile 431205-A A1862265 Sample Not Analyzed per COC 431205-B A1862266 Sample Not Analyzed per COC 431206 A1862267A Floor Tile 100% Vinyl Page 1 of 4

ASBESTOS BULK ANALYSIS By: POLARIZING LIGHT MICROSCOPY Client: Anderson Environmental Consulting Group 3308 El Camino Avenue, Suite 300-111 Sacramento, CA 95821-6328 Project: 5862 Rupert Avenue, Marysville, CA 95901 ASBESTOS BULK PLM, EPA 600 METHOD Client ID ID Description Attributes NON-ASBESTOS COMPONENTS Non- ASBESTOS % A1862267B Mastic 100% Mastic Yellow 431207 A1862268 Sheet Vinyl Beige, 50% Cellulose 50% Vinyl Mastic 431208 A1862269 Insulation Brown 100% Cellulose Loosely 431209 A1862270 Roof Shingle Green,Black Cellulose 30% 10% Tar Gravel 431210 A1862271 Roof Shingle Black Cellulose 30% 10% Tar Gravel 431211 A1862272 Window Glazing 95% 5% 431212 A1862273 Stucco,Gray Silicates Page 2 of 4

ASBESTOS BULK ANALYSIS By: POLARIZING LIGHT MICROSCOPY Client: Anderson Environmental Consulting Group 3308 El Camino Avenue, Suite 300-111 Sacramento, CA 95821-6328 Project: 5862 Rupert Avenue, Marysville, CA 95901 ASBESTOS BULK PLM, EPA 600 METHOD Client ID ID Description Attributes NON-ASBESTOS COMPONENTS Non- ASBESTOS % 431212-A A1862274 Stucco,Gray Silicates 431212-B A1862275 Stucco,Gray Silicates Page 3 of 4

LEGEND: Non-Anth = Non-Asbestiform Anthophylite Non-Trem = Non-Asbestiform Tremolite Calc Carb = Calcium Carbonate METHOD: EPA 600 / R93 / 116 and EPA 600 / M4-82 / 020 The detection limit for the method is 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 as vinyl floor tiles can be difficult to analyze via polarizing light microscopy (PLM). EPA recommends that all NOBs analyzed by PLM, and found not to contain asbestos, be further analyzed by Transmission Electron Microscopy (TEM). Please note that PLM analysis of dust and soil samples for asbestos is not covered under NVLAP accreditation. CEI s, Inc. can perform positive stop analysis if requested by customer. However, it is the responsibility of the customer to determine if the samples grouped together are in fact the same type of material and belong to the same homogeneous area. This report may not be reproduced, except in full, without written approval by CEI LABS. CEI LABS makes no warranty representation regarding the accuracy of client submitted information in preparing and presenting analytical results. This report may not be used by the client to claim product endorsement by NVLAP or any other agency of the U. S. Government. ANALYST: Megan Fisher APPROVED BY: Tianbao Bai, Ph.D. oratory Director CEI s, 107 New Edition Court, Cary, NC 27511, Phone: (866) 481-1412 Page 4 of 4