Item 02 - Department of Toxic Substances Control Standard Voluntary Agreement

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Department of Toxic Substances Control Standard Voluntary Agreement for 1126 and 1146 E. Washington Avenue, Santa Ana, CA 92701 July 20, 2021 Page 2 1 8 9 6 lease of the land. The approximately 2.286 acre site includes two parcels (identified in Table 1) owned by the County of Orange (the “County”) and the Housing Authority of the City of Santa Ana (the “Authority”). Both parcels are currently vacant and free of building structures or occupants. However, the sites were previously used for agriculture, industrial storage and vehicular services. Various contractors and businesses, including transit agencies, auto repair services, and trucking companies, occupied the Authority parcel from 1966 to 1991. The County parcel was developed with a materials/equipment storage area between 1972 and 1989. The northwestern portion of the entire site was primarily occupied by vehicle service facilities that used on-site gasoline, diesel fuel underground storage tanks, and fuel dispensers. Between 2007 and 2019, various contractors and services leased both parcels (e.g., ARB Underground, Christiansen Amusement, etc.). Table 1 – Property Ownership Property Owner Assessor’s Parcel Number Acres Housing Authority of the City of Santa Ana 398-092-14 1.456 County of Orange 398-092-13 0.83 Total 2.286 Environmental Assessments Washington Santa Ana Housing Partners, L.P. (the “Developer”), a California limited partnership formed by The Related Companies of California, LLC and A Community of Friends, retained Altec Testing & Engineering, Inc. (“Altec”) during the due diligence period to conduct environmental investigations for the sites. An initial Phase I environmental investigation was conducted on October 19, 2019, indicating the likely presence of hydrocarbon contamination on the site in view of past uses that would require some off-site disposal of soil, a manageable mitigation. A Phase II Environmental Site Assessment (“Phase II ESA”) Report was warranted based on the Phase I findings and was prepared by Altec on February 19, 2020. The Phase II ESA Report identified unexpected contaminants (e.g., Tetrachloroethylene, also known as PCE) and recommended additional environmental investigations to determine the vertical and horizontal extent of the soil contamination on the County and Authority properties. Subsequently, the County retained Geosyntec Consultants, Inc. to provide environmental peer review services and to act as the County’s consultant with respect to environmental issues on the site, for the benefit of both the County and the Authority. Additional environmental assessments in May and September 2020 concluded that the levels of contaminants might warrant environmental oversight by a public agency. As a preemptive measure, all parties agreed to reach out to the Orange County Health Care Agency (“OCHCA”) to serve as the oversight agency under its voluntary environmental oversight program. The involvement of an oversight agency provides regulatory direction on further assessments and mitigation/remediation options for the site. The May and