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HomeMy WebLinkAboutColumbia East TLMCO - Water Rights AgreementWATER RIGHTS AGREEMENT This water rights agreement, hereinafter referred to as "Agreement" is between Columbia East, LLC, successor in interest to Columbia East Limited Partnership, hereinafter referred to as "Columbia East", Tippett Land & Mortgage Company, hereinafter referred to as "TLMCO" and the City of Pasco, Washington, a Municipal Corporation, hereinafter referred to as "City". WHEREAS, Columbia East is the record holder of certificates of water rights G3 -01176C and G3 -01177C, hereinafter referred to as "Water Right"' and WHEREAS, TLMCO purchased approximately 60 acres of land and presumptively a portion of the aforementioned Water Right from Columbia East on or about May 26, 1978; and WHEREAS, TLMCO now desires to subdivide a portion of its land and has a binding site plan pending with the City; and WHEREAS, the City, pursuant to PMC 26.04.115, requires water rights associated with land subject to the pending binding site plan be transferred to the City; and WHEREAS, Columbia East, TLMCO and other parties have expressed their view to the City that the requirements of PMC 26.04, as it applies to division of land contemplated for commercial and industrial uses, may exceed the volume of water necessary to offset the actual use of water by the subsequent development of the respective properties and question whether PMC 26.04 is lawful; and WHEREAS, the City Manager has agreed to cause further analysis of PMC 26.04 as it relates to commercial/industrial lands for possible amendment of PMC 26.04; and WHEREAS, none ofthe parties to this Agreement desire to delay development of the afore described properties pending potential amendment of PMC 26.04; and WHEREAS, the partes hereto desire to avoid the consequences of litigation; NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS: Section 1. Columbia East and TLMCO will assign to the City, by quit claim deed, 2 acre-feet of water right per irrigated acre within the divided parcel. Once so filed with the City, the deed shall constitute compliance with PMC 26.04 for purposes of subdividing the subject parcel. Section 2. The City will hold the aforesaid deed in its file for the time period associated with review and amendment of PMC 26.04, or two years, whichever is greater. Upon expiration of the holding period, Columbia East and TLMCO shall have the right to exchange the d__? &_ aforementioned deed for a new deed which fully complies with PMC 26.04 as it may have been amended prior to that date. Failure of Columbia East and TLMCO to so exchange the aforementioned deed within 30 calendar days after written notice from City shall constitute waiver of the right of deed exchange. Thereafter, the City shall have the unrestricted right to record the final deed and file same with the State Department of Ecology to effect the transfer of said water rights to the City, as contemplated under PMC 26.04. Section 3. By executing this Agreement, the parties do not waive their right to have the legality of PMC 26.04 adjudicated by a court ofproper jurisdiction and do not establish a precedent for future land development by the parties. The terms of this Agreement shall survive the execution of the aforesaid deed and any closing relating to this Agreement. In ess whereof the parties hereto have set their hand and seals this a� day of� 2004. COLUMBIA EAST, LLC By: Robert M. Tippe ember TIPPETT LAND & MORTGAGE COMPANY Date Date s/a7/&c/ \ —6-10 -716 y By: Robert M. Tippett, esident Date