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CH2M HILL
                                                                                           325 East Hillcrest Drive
                                                                                           Suite 125

                                                                                           Thousand Oaks, CA
                                                                                           91360-5828
                                                                                           Tel 805.371.7822
                                                                                           Fax 805.371.7818

                   December 2, 2004
                   178973.B1.01

                   Mr. Robert DiPrimio                               Mr. Dan Masnada
                   Valencia Water Company                            Castaic Lake Water Agency
                   24631 Rockefeller Avenue                          27234 Bouquet Canyon Road
                   Valencia, California  91385-5904                  Santa Clarita, California 91350-2173

                   Mr. William  Manetta                              Mr. Steve Cole
                   Santa Clarita Water Division, CLWA                Newhall County Water District
                   22722 Soledad Canyon Road                         P.O. Box 220970
                   Saugus, California 91350                          23780 North Pine Street
                                                                     Santa Clarita, California 91322-0970
                   Subject:  Submittal of Final Report on Perchlorate Containment Analysis

                   Dear Mr. DiPrimio, Mr. Masnada, Mr. Manetta, and Mr. Cole:

                   CH2M HILL is pleased to submit the enclosed final report titled Analysis of Perchlorate
                   Containment in Groundwater Near the Whittaker-Bermite Property, Santa Clarita, California. This
                   report has been developed for the Upper Basin Water Purveyors and is the second of two
                   reports that present and evaluate the strategy for containing perchlorate that is emanating
                   from the Whittaker-Bermite site. This work has been performed as part of the
                   Environmental Oversight Agreement with DTSC, which has approved both reports. The
                   first report, dated April 2004, documented the construction and calibration of a ground-
                   water flow model for the Santa Clarita Valley. The enclosed report presents a modeling
                   analysis of the perchlorate containment plan and also discusses the general design of a
                   sentinel monitoring plan that will be implemented in conjunction with the perchlorate
                   containment plan (per the requirements of the Department of Health Services’ 97-005
                   Policy).
                   It has been our pleasure to serve the Upper Basin Water Purveyors on this important
                   project. Please feel free to call me at 503/235-5022, if you have any questions.
                   Sincerely,

                   CH2M HILL





                   John J. Porcello                                          Nathan R. Brown
                   Project Manager                                           Hydrogeologist

                   RDD/041620011(clr2739.doc)
                   Enclosures
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