Dept. of Trans.       PROGRESS   Serial No.  Contract No.                               
                                          04-237-11-25  01-425604                       
                PROGRESS PAYMENT VOUCHER  %complete:   %time:                           
Location:                                  39%          58%                             
01-MEN-1-74.1/ .0                    Federal Project:                                   
                                     NONE                                               
                                                                                        
                                                                                        
Progress payment No. 02            Payment period ending: 08-20-04                      
K M F CONSTRUCTION                                                                      
P O BOX 5486                                                                            
SHASTA LAKE  CA 96089                                                                   
                                                                                        
                                                                                        
Escrow No.  00000                                                                       
                                    Total Estimate   This Estimate                      
1. Contract Itms Without Mobil.          79,147.00       64,250.00                      
2.a. Extra Work                                                                         
  b. Adjustment Comp.                    -2,620.66       -2,620.66                      
3. Materials on Hand                                                                    
4. Earned Subject to Retention           76,526.34       61,629.34                      
5. Mobilization                          23,750.00       11,250.00                      
6. Total Work Completed      100,276.34                                                 
7. Deductions                                                                           
8. a.Contract Retentions                 -5,422.67       -3,932.97                      
   b. Unsatisfactory Prog.                                                              
   c. Reduction after 95% Comp.                                                         
9. Total pay to Contractor               94,853.67       68,946.37                      
10. Reduction Amt to Escrow                                                             
11. Payment to Escrow             0.00                                                  
12. Net Pymt. this Estimate                              68,946.37