HomeMy WebLinkAboutRP Development - COP East UGA Sewer LID Preformation and EvaluationCITY OF PASCO EAST UGA SEWER LID
PREFORMATION AND EVALUATION AGREEMENT
This LID Preformation and Evaluation Agreement ("Agreement") takes effect on the
Effective Date, by and between the CITY OF PASCO, a municipal corporation of the State of
Washington ("City") and RP Development, a Washington corporation ("Entity"). The parties
agree as follows:
SECTION 1. RECITALS AND FINDINGS
1.1 The City desires to benefit the community by constructing sewer trunk mains and
lift station(s) to serve the East UGA expansion area.
1.2 The City has formally recognized the public benefit of the Improvements by
including it as a desired new wastewater utility extension in the City comprehensive plan, capital
improvement plan, and 2020 Comprehensive Sewer Plan Addendum.
1.3 Entity owns, or has interest in, property that would be benefited by the
Improvements, and, in order to benefit the public good as well as its own property, Entity desires
to facilitate the Improvements.
1.4 The City may fund the Improvements by forming a local improvement district
and, consequently, is authorized by RCW 35.43.184 to enter into a LID preformation agreement
with owners of property in the affected area for the purpose of generating preliminary
information. Any reimbursable cost incurred by developer under this agreement shall not create a
right to reimbursement, by developer, if the LID is not formed within six (6) years of the date
this agreement is executed.
SECTION 2. DEFINITIONS
2.1 "Effective Date." Effective Date means November 1, 2021.
2.2 "LID." LID means a local improvement district as described in RCW 35.43.042.
2.3 "Owners." Owners means Entity.
2.4 "Preformation Work." Preformation Work means (1) development of preliminary
engineering and design drawings for the Project, including utility plans; (2) development of cost
estimates for the Project; and, (3) appraisal, financial, legal and other work eligible under RCW
35.43.184 for City regarding the potential for formation of an LID.
2.5 "Project." Project means the Improvements as described in the City's
comprehensive plan, capital improvement plan, and 2020 Comprehensive Sewer Plan
Addendum, all as amended from time to time. The exact parameters of the Project may be
EAST UGA SEWER LID PREFORMATION AGREEMENT - RP DEVELOPMENT - 1 -
determined by the City in its sole discretion. A preliminary map showing the potential LID area
and utility improvements is attached to this Agreement as Exhibit A.
SECTION 3. LID PREFORMATION ACTIVITIES
3.1 Consultants. Within thirty days of the Effective Date, City shall identify and seek
the Entity's approval of one or more consultants to undertake the Preformation Work. City shall
obtain the Entity's review and approval of the consultant(s) and the scope of the consultant(s)'
work prior to hiring the consultant(s).
3.2 Expenditures. Entity shall pay the fees of the consultant(s). Upon completion of
the Preformation Work and delivery to City of the consultant(s)' work products, City shall credit
the Entity against future LID assessments, up to a maximum reimbursement of fifty thousand
dollars ($50,000). Provided, however, that City shall have no obligation to reimburse any funds
until all of the Project design and drawings are delivered to and found acceptable by City; and,
the final assessment roll for the LID is approved and in place. City shall have ownership rights
over the work products equal to the ownership rights of the Entity.
3.3 Standards,• Cily Su ervision. Any Preformation Work conducted pursuant to this
Agreement shall be accomplished under the direction and supervision of the City's Public Works
Department. All Preformation Work and work product shall be consistent with standard
engineering practices.
SECTION 4. CREATION OF LID
4.1 Creation of LID.
4.1.1 Subject to compliance with federal and state law, the City shall entertain
the creation of a LID pursuant to the "resolution" method provided by law. Should the City elect
to proceed with such a LID, (1) Owners shall not protest or in anyway attempt to block or stall
the creation of the LID and (2) the City shall order and carry out the construction of the Project
as expeditiously as possible. The City shall also exert its best efforts to finance the cost of the
Project with proceeds from special benefit assessments levied against the real property within the
LID.
4.1.2 It is understood and agreed by the parties to this Agreement that nothing
contained herein shall be construed to bind the City to the creation of a LID, levying of
assessments, or other action under Title 35 RCW. The City at its sole discretion may order the
construction of less than all the Project.
4.2 Non -Formation or Non -Completion. In the event a LID is not formed, Owners
shall have no claim against the City for failure to create a LID or for reimbursement of funds
spent under the terms of this Agreement.
4.3 Credit for Expenditures. As part of the ordinance creating the LID, the City shall
provide that moneys paid under this Agreement or the cost of facilities constructed by a property
owner in the district in satisfaction of obligations under chapter 39.92 RCW, shall be credited
against assessments due from the Entity as owner of such property at the time the credit is made,
EAST UGA SEWER LID PREFORMATION AGREEMENT - RP DEVELOPMENT - 2 -
if those moneys paid or facilities constructed directly defray the cost of the specified
improvements under the LID and if credit for such amounts is reflected in the final assessment
roll confirmed for the LID.
SECTION 5. GENERAL.
5.1 Indemnification. Owners shall indemnify, defend, and hold harmless City and its
officials and employees from and against any claims, liability, damages, losses, causes of action,
costs, and expenses brought against City by, or incurred by City due to an action of, a consultant
hired under the terms of this Agreement.
5.2 Waiver. Any waiver of a right to enforce a provision of this Agreement by either
the City or Owners shall not constitute a waiver of any similar or other subsequent right to
enforce the same or any other provision of this Agreement.
5.3 Notices. Any notice, demand, request, consent, or other communication required
or permitted under this Agreement shall be in writing and be (a) delivered personally to the
parties, (b) sent by certified mail, return receipt requested, or by private overnight courier to the
parties at their respective addresses listed below, or (c) sent by regular mail with back-up
transmission to the parties at their respective facsimile numbers listed below. Any such
communication shall be deemed given when so delivered, deposited in a U.S. Postal service mail
box with first-class postage prepaid or deposited with the private courier, or transmitted, unless
receipt is expressly required elsewhere in this Agreement. Any party may give to the other party
notice of a change of address in the manner provided in this section.
If to City: City of Pasco
Steve M. Worley, Public Works Director
P.O. Box 293
Pasco, WA 99301
(509) 543-5738
If to Entity. RP Development
Stephen Bauman, General Manager
6159 W Deschutes Ave
Kennewick, WA 99336
(509) 845-7199
5.4 Choice of Law — Venue. This Agreement shall be governed and construed in
accordance with the laws of the State of Washington, and venue in connection with any legal
proceeding affecting or arising out of this Agreement shall be in the Superior court of the State
of Washington in Franklin County.
5.5 Binding Successors. This Agreement shall be binding on the successors, assigns,
heirs, administrators, and executors of the parties hereto.
EAST UGA SEWER LID PREFORMATION AGREEMENT - RP DEVELOPMENT - 3 -
5.6 Termination. Prior to City's approval of the consultant(s) under section 3.1 of
this Agreement, either party may terminate this Agreement upon five (5) days notice to the other
ply.
5.7 Entire Understanding and Severability. This Agreement is the entire
understanding between the parties and no changes, amendments, or alterations shall be effective
unless agreed to in writing and signed by all parties. If any provision of this Agreement is finally
determined by a court of competent jurisdiction to be invalid or unenforceable, the remainder of
the provisions of this Agreement shall remain in full force and effect, provided, however, in the
event the invalid or unenforceable provision is a material part of the consideration for this
Agreement, this Agreement shall thereby be rendered voidable at the option of either party. The
option to void this Agreement shall be exercised by sending written notice to the other party no
later than ten (10) business days after the court's determination becomes final or the option shall
thereafter be deemed to be waived.
SECTION 6. EXECUTION.
IN WITNESS WHEREOF, the parties hereby indicate their agreement to the terms
written above by the signatures of their authorized representatives.
ATTEST:
Debra Barham
City Clerk
APPROVED AS TO FORM:
Kerr guson Law, PPLC
Attorney
CITY OF PASCO
Dave Zabel
City Manager
General Manager
EAST UGA SEWER LID PREFORMATION AGREEMENT - RP DEVELOPMENT -4-
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