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Appendix E(Initial Study/Part 10 Page 10 ago) was inspected in an effort to identify potential environmental issues that may exist due to the current or past activities conducted on or near the project site. In association with the site inspection, the assessment included regulatory agency records review and inquiry and related historical research. The Preliminary ESA reports that no hazardous substances or hazardous wastes were observed or stored on the project site. Three underground storage tanks (UST) previously containing diesel fuel were permanently removed in December 1989, under San Leandro Fire Department oversight. Not all affected soil and groundwater was removed upon UST removal. In order not to disturb the structural integrity of the Boiler Building, an undetermined amount of affected soil was left in place. Closure was granted by the California Regional Water Quality Control Board (RWQCB) in May of 1996. The "Case Closure Summary" document issued by the Alameda County Health Care Services in 1996, indicates that due to the affected soil left in place, corrective action should be reviewed prior to change of land use. This is a potentially significant impact. Mitigation: Prior to issuance of building permits, affected soil and groundwater shall be remediated to the satisfaction of the City of San Leandro Environmental Services Division, and the Regional Water Quality Control Board. Implementation of this mitigation measure would result in a less than significant impact. Four aboveground storage tank (AST) pads are located north of the Preserve Plant building. Sugar-containing ASTs were situated on these pads during Safeway's occupancy of the project site. Removal of these ASTs did not require outside agency approval and no site remediation was required. Three monitoring wells were constructed in 1990, subsequent to UST removal activities. Three additional wells were constructed in 1992, in the vicinity of the former UST locations. Each of the six monitoring wells has been abandoned and granted closure by the Alameda County Department of Environmental Health. An Asbestos Survey Report indicates that asbestos-containing material (ACM) and asbestos- containing construction material (ACCM) have been found in several areas within the on-site buildings that are proposed for demolition. If not properly removed or remediated, this could result in a potentially significant impact during demolition of the existing structures. Mitigation: Prior to issuance of demolition permits, the applicant shall secure the proper permits from the Bay Area Air Quality Management District (BAAQMD) for removal of asbestos-containing materials in the existing buildings. Written notification is required by the EPA, National Emission Standards for Hazardous Air Pollutants (NESHAP) Asbestos Regulations, at least 10 working days prior to beginning any work for disturbance or removal of greater than 100 square feet or 160 lineal feet of asbestos-containing materials. This notification X34,