A. INTRODUCTION

Construction continued on Segment 1 (Milepost [MP] 0 to 33), Segment 3C (MP 82 to 90), and Segment 5 (MP 108 to 118). Construction is complete on Segments 2A (MP 33 to 50), 2C (MP 50 to 56), 3B (MP 90 to 99), 4A (MP 99 to 108), and 4B (El Segundo MP 0 to 11). Construction is also complete at Whitaker Station.

B. SEGMENT 1 CONSTRUCTION PROGRESS

This segment extends southward from the southern end of the San Joaquin Valley (Emidio), through the Tejon Pass, to the northern perimeter of the Angeles National Forest. Construction will occur through agricultural fields, along roads and across very steep slopes. Segment 1 Environmental Monitors (EM), Brooke Langle and Kris Thorne, have been on-site during construction. PPSI has seven craft inspectors, one environmental inspector, one Native American monitor, and one contaminated soils monitor inspecting the work of approximately 65 contractor employees. Construction progress from December 28, 1998 through January 3, 1999 included:

Segment 1-Tejon Bench:

Activity Milepost (approximate) Activity Milepost (approximate)

• Trenching complete                 • Coating complete

• Lower-In complete                 • Backfill/Conduit 18.08 to 18.00

Segment 1-Warbler Skip:

Activity Milepost (approximate)        Activity Milepost (approximate)

• Trenching 21.69 to 21.48        • Coating 21.68 to 21.55

• Lower-In 21.68 to 21.48        • Backfill/Conduit 21.65 to 21.60

Segment 1 Comments

Construction crews did not work New Year’s Day, January 1. Boring activities continued at two sites: Stream Crossing #9 (EMP 15.35) and Tejon Bench/I-5 (EMP 16.49). Backfill was completed at Stream Crossing #4 (EMP 9.03) and Tecuya Creek/I-5 bore (EMP 9.84). Backfill continued at California Aqueduct (EMP 12.22) and Cuddy Creek Tributary (EMP 25.45). The hydrotest from Emidio Pump Station (EMP 0.00) to the north side of the California Aqueduct (EMP 12.20) was completed.

Commissioning of Emidio Pump Station (EMP 0.0) and Grapevine Pump Station (EMP 15.51) is underway.

Three non-compliance events occurred and six project memos were issued this week. The memos were to remind PPSI that (1) when night work occurs along Lebec Road documentation of approval from Kern County must be provided; (2) work in San Joaquin kit fox habitat must comply with Mitigation Measure B-W-3, including having a wildlife biologist present; (3) dust suppression is required; (4) refueling may not occur adjacent to drainage or waterway; (5) the use of an anemometer is required to measure wind speeds; and (6) the storm drains should be protected from sediment.

The California Public Utilities Commission notified PPSI on December 30, 1998, that the Commission expected PPSI to be in full compliance with the established project mitigation measures by 5:00 p.m. PST on January 3, 1999. On January 4, 1999, the CPUC notified PPSI that the Pacific Pipeline Project is currently in compliance and no further action would be taken by the Commission, at this time.

Segment 1 Schedule for Next Week:

Crews will no longer work seven-days a week on the Tejon Bench and hours are expected to return to 8 hours per day.

C. SEGMENT 2A CONSTRUCTION PROGRESS

This segment within the Angeles National Forest (ANF) involved very steep slopes and required significant time and additional equipment for trenching, stringing, and other pipe-laying activities. General construction has been completed on this segment, including supplemental activities such as road repair, revegetation, completion of valve installation, installation of fiber optic cable, and hydrotesting.

D. SEGMENT 2B CONSTRUCTION PROGRESS

This segment is primarily in open lands and roadway right-of-ways from Castaic to Sylmar. PPSI has two craft inspectors inspecting the work of approximately 15 contractor employees.

Construction progress December 28, 1998 through January 2, 1999 included finish work at Weldon Canyon and laying electrical conduit for the Santa Susanna vault. No crews worked New Year’s Day, January 1. Next week crews will finish the conduit laying for the tie-in of the Santa Susanna vault.

No non-compliance events occurred. No project memos were issued this week.

E. SEGMENT 2C CONSTRUCTION PROGRESS

This segment was primarily in open lands and roadway right-of-ways from Templin Highway to Castaic. General construction has been completed on this segment, including revegetation, erosion control, installation of fiber optic cable, and hydrotesting.

F. SEGMENT 3A CONSTRUCTION PROGRESS

This segment is within MTA rail right-of-way from San Fernando to Taylor Yard in Los Angeles. On Segment 3A, PPSI has one craft inspectors and one part-time environmental inspector inspecting the work of approximately 15 contractor employees.

Construction progress from December 28, 1998 through January 2, 1999 included completing the backfilling of the bore at Tuxford Street (EMP 83.21). No crews will work New Year’s Day, January 1. Construction activities are complete on

No non-compliance events occurred. No project memos were issued this week.

G. SEGMENT 3B CONSTRUCTION PROGRESS

This segment was within MTA rail right-of-way in restricted areas of Taylor, Midway and Cornfield yards. General construction has been completed on this segment, including installation of fiber optic cable, bridge work, and repair of concrete paving in maintenance facility.

H. SEGMENT 3C CONSTRUCTION PROGRESS

This segment is within MTA rail right-of-way from Sylmar to San Fernando in Los Angeles. On Segment 3C, PPSI has two craft inspectors, one part-time environmental inspector, one Native American monitor, and one contaminated soils inspector inspecting the work of approximately 10 contractor employees.

Construction progress from December 28, 1998 through January 2, 1999 included completing hydrotest at Balboa Blvd. General clean-up of the ROW continued. No crews worked New Year’s Day, January 1. Plans for next week finish work at High Speed Channel and general clean-up.

No non-compliance events occurred. No project memos were issued this week.

I. SEGMENT 4A-NIGHT CONSTRUCTION PROGRESS

This segment involved nighttime construction (7:30 p.m. to 6:00 a.m.) in railroad and roadway right-of-ways through mostly industrial areas from downtown Los Angeles to Compton. General construction has been completed on this segment.

J. SEGMENT 4B CONSTRUCTION PROGRESS

This segment involves construction in railroad and roadway right-of-ways through mostly industrial areas from Watts Junction to El Segundo Refinery area. Segment 4B EM, Chris Huntley, has been on-site during construction. PPSI has one craft inspector and one part-time contamination inspector inspecting the work of approximately 5 contractor employees.

Construction progress from December 28, 1998 through January 3, 1999 included work at Lynwood Station (ESMP 0.0) where crews continued to build the block wall around the station and install electrical conduit. Commissioning is occurring at El Segundo (ESMP 10.78).

No non-compliance events occurred. No project memos were issued this week.

K. SEGMENT 5 CONSTRUCTION PROGRESS

This segment involves construction in railroad and roadway right-of-ways through mostly industrial areas from Compton to the Long Beach Harbor. Construction is complete on Segments 5A and 5B. Segment 5C EM, Chris Huntley, has been on-site during construction. Work has been completed on Segment 5C, except at the Wilmington Station and the new Edison tie-in.

Construction progress from December 28, 1998 through January 3, 1999: Construction crews did not work New Year’s Day, January 1, 1999. Crews began excavation for the bore pit for a tie-in to Edison. The crew at Wilmington Station continued electrical work and tie-ins. Plans for next week include beginning the bore at Edison and finishing the backfill at Wilmington.

No non-compliance events occurred. No project memos were issued this week.

L. VARIANCES

The following variance was were approved by CPUC or ANF on December 23, 1998. No variances were approved by CPUC or ANF December 28 through 31, 1998.

M. EXTRA WORK SPACE

No extra work spaces/equipment storage areas were approved by CPUC or ANF December 28 through 31, 1998.

N. GENERAL PLANS FOR NEXT WEEK