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differential settlement

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i have a question:
we are planning to build a community center in tijuana, mexico. it's a two
story wood construction. the size of the first, central, part is 20'x100'.
two more "wings" (40'x60') will be added in the near future. it is
relatively light building (load to footings is approx. 1000 plf).

the problem: the site is an old garbage dump. 

soils engineer: recommends 2' overexcavating beneath footings. expects
settlements of 1" and up to 2" in areas with highly organic material. 

question: based on the size of the building (overall), can the structure
handle that type of the settlemenent? any thoughts? any literature?

thank you

neno grguric