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HomeMy WebLinkAbout4559 Resolution - Settlement Agreement for ROW Acquisition with Culbert LLCResolution – Settlement Agr & ROW Acquisition - 1 RESOLUTION NO. 4559 A RESOLUTION OF THE CITY OF PASCO, WASHINGTON, AUTHORIZING THE CITY MANAGER TO EXECUTE THE DRIVEWAY RELOCATION AND STREET WIDENING SETTLEMENT AGREEMENT BETWEEN THE CITY OF PASCO AND CULBERT, LLC. WHEREAS, the Road 40 East Extension project was added to the City of Pasco's Transportation Improvement Plan in 2022 to improve freight connectivity, with right-of-way acquisition initiated in the same year; and WHEREAS, the City has faced challenges acquiring the last segment of right-of-way needed for the project, leading to the engagement of a Right-of-Way Acquisition consultant and a community advocate to facilitate negotiations related to claims made by the property owner, Culbert, LLC to asserted prior commitments made by the City; and WHEREAS, after extended negotiations, the City and Culbert LLC have reached agreement on value of the land being acquired, relocation costs and development conditions for the adjacent parcels owned by Culbert LLC; and WHEREAS, the City is to issue a total payment of $378,000 for purchase and relocation costs; and this acquisition and other conditions are documented in a settlement agreement; and WHEREAS, the City Council has reviewed the conditions in the settlement agreement and now seeks to authorize the City Manager to execute the agreement to acquire the necessary right-of- way and proceed with the project. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PASCO, WASHINGTON: That the City Council of the City of Pasco approves the terms and conditions of the Driveway Relocation and Street Widening Settlement Agreement between the City of Pasco and Culbert, LLC, a copy of which is attached hereto as Exhibit A. Be It Further Resolved, that the City Manager of the City of Pasco, Washington, is hereby authorized, empowered, and directed to sign and execute said Agreement on behalf of the City of Pasco; and to make minor substantive changes necessary to execute the Agreement. Be It Further Resolved, that this Resolution shall take effect immediately. Resolution – Settlement Agr & ROW Acquisition - 2 PASSED by the City Council of the City of Pasco, Washington, on this 21st day of January, 2025. _____________________________ Pete Serrano Mayor ATTEST: APPROVED AS TO FORM: _____________________________ ___________________________ Debra Barham, MMC Kerr Ferguson Law, PLLC City Clerk City Attorneys City of Pasco - Culbert LLC Settlement Agreement - 1 DRIVEWAY RELOCATION AND STREET WIDENING SETTLEMENT AGREEMENT THIS SETTLEMENT AGREEMENT is entered into this _____ day of ____________, 2025, by and between the CITY OF PASCO, a Washington Municipal Corporation (“City”), and CULBERT, LLC, a Washington Limited Liability Company (“Culbert”). WHEREAS, Culbert owns property located at the northwest corner of E. 8th St. and Road 40, in Pasco, Washington; and WHEREAS, (on or about ______ date,) in connection with Culbert’s development of its above-described property, it sought a permit from the City of Pasco to install driveways to its property on the north side of E. 8th St., west of Road 40 within the City of Pasco, Washington; and WHEREAS, because of the increased traffic that has developed in the vicinity including, but not limited to, Amazon warehouse and shipment facilities to the south, along road 40, there is now the need for widening of streets in the vicinity of the Culbert property; and WHEREAS, a dispute arose about obligations Culbert had to contribute land for the widening to the street, or obligations for the relocation of its driveways based prior approvals; and WHEREAS, in order to resolve the dispute between Culbert and the City, both parties reached an agreement in settlement of the dispute, whereby certain property would be conveyed to the City by Culbert for street widening purposes, and Culbert, would be paid an agreed upon sum for such right-of-way and driveway relocation, and such other consideration is described herein below. NOW, THEREFORE, IN CONSIDERATION OF THE MUTUAL COVENANTS CONTINAINED HEREIN, it is agreed as follows: 1. As part of the City’s contribution related to the City of Pasco – Culbert LLC – Driveway Relocation and Street Widening Settlement Agreement, the City of Pasco will conduct all necessary inspections related to the relocation of the existing driveway that provides access to Parcels #113-730-124 and #113-730-142, which inspections shall be pursuant to appropriate permits issued by the City, provided that Culbert shall not be charged for the permits or the inspections. The current driveway is located on East “A” Street within the frontage of Parcel #113-730-124. Inspection services provided by the City will match the standard level of service applied to all projects in the City of Pasco. 2. With the completion of the terms of this Driveway Relocation and Street Widening Settlement Agreement, Culbert will not be responsible for any costs associated with future right-of-way improvements that may be required as part of any future onsite permit applications for Parcels #113-730-124, #113-730-142, and #113-730-142, Provided that these improvements are intended to benefit the overall transportation network; and Provided that the proposed use(s) comply(ies) with the conditional allowable uses outlined City of Pasco - Culbert LLC Settlement Agreement - 2 in the Pasco Municipal Code and is/are consistent with the use(s) previously approved for Parcel #113-730-124 under Special Use Permit #SP2012-002. The City of Pasco will review the applications for the Special Use Permit submitted by Culbert LLC and, if in compliance, recommend approval to the Hearings Examiner. 3. Culbert will, however, remain financially responsible for any other right-of-way improvements that are necessary to provide access to or directly serve any of the parcels listed in this agreement. 4. Within Sixty (60) days of executing this Settlement Agreement a lump sum payment of $378,000.00 shall be made by the City to Culbert to cover the purchase price of the property to be conveyed to the City for right-of-way purposes, described more particularly herein on the attached EXHIBIT A, which description shall also include such other details as may relate to said property. Thereafter, within ____ days after the demand by the City, Culbert shall convey to the City, by conveyance document acceptable to the City, the (right-of- way) property described on said EXHIBIT A 5. Time is of the essence for this agreement. 6. The new driveway for Parcel #113-130-124 will be located along the eastern property line. This driveway will allow unrestricted access, allowing both northbound and southbound entry onto Road 40 East. The approved location is as depicted on the civil plans prepared by Christine Batayola, PE, stamped and signed on April 12, 2023, under project number 22-117.1. Under no circumstances shall the driveway be constructed any closer than 220 feet from the centerline of the East “A” Street right-of-way or 180 feet from the southern property line of Culbert, LLC. 7. The conditions outlined in this agreement constitute an exclusive arrangement between the City of Pasco and Culbert LLC. These conditions are not intended to extend to future landowners and will not apply in perpetuity to the property. 8. Both parties in consideration of this Agreement, do hereby release and discharge the other of any and all claims, liabilities, causes of action, damages, losses, demands or obligations of any kind and nature related to or based upon, known or unknown, or arising out of the above-referenced property; and Culbert and the City accepts as full and final satisfaction of any claims related thereto. 9. By entering into this Agreement, both parties expressly acknowledge that there is no admission of liability on behalf of either party except as specifically provided herein, and that this Agreement is the result of a negotiated compromise and settlement. 10. This Agreement settles, waives, releases, and forever bars any and all claims and actions at law by either party, or their successors, heirs, or assigns against the other party or their successors, heirs, or assigns arising out of the above- referenced matter, except as provided herein. This Release does not apply to any other parties. City of Pasco - Culbert LLC Settlement Agreement - 3 11. Each signatory hereto represents and warrants that all necessary signatures and consents to enter into this Agreement, and to assume and perform the obligations hereunder, have been properly obtained. 12. Each term and provision of this Agreement is deemed to have been explicitly negotiated at arm's length between the parties and in all cases, shall be construed and interpreted according to the fair meaning and not strictly for or against either party, and without reference to who might have drafted the term. 13. This Agreement is entered into and shall be construed and interpreted in accordance with the laws of the State of Washington. 14. This Agreement embraces and includes the entire agreement between the parties and may not be changed except in writing signed by all parties. 15. This Agreement may be executed in counterparts. Each counterpart shall be deemed an original, all of which taken together shall be one and the same instrument. This Agreement shall become effective upon execution of the counterpart by each party and delivery to the other party. 16. The conditions outlined in this agreement constitute an exclusive arrangement between the City of Pasco and Culbert LLC. These conditions are not intended to extend to future landowners and will not apply in perpetuity to the property. THIS IS A RELEASE IN WITNESS WHEREOF, the parties have executed this Agreement on the date designated above. CITY OF PASCO, WASHINGTON CULBERT, LLC ____________________________________ ____________________________________ Adam Lincoln, City Manager ____________________________________