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HomeMy WebLinkAbout3969 Resolution - Approving the QCD from the Bureau of ReclamationRESOLUTION NO. 3969 A RESOLUTION OF THE CITY OF PASCO APPROVING THE QUITCLAIM DEED FROM THE UNITED STATES DEPARTMENT OF THE INTERIOR BUREAU OF RECLAMATION. WHEREAS, the United States, through the Bureau of Reclamation, Department of the Interior, acquired land through the County Treasurer's Deed, signed October 1, 1948, and recorded under Franklin County Auditor's file number 118896, and under Correction County Treasurer's Deed, signed February 23, 1949, and recorded under Franklin County auditor's file number 121542, located in Section Fourteen (14), Township Nine (9) North, Range Thirty (30) East, Willamette Meridian, Franklin County, Washington; and WHEREAS, pursuant to the Columbia Basin Project Act, the Project Manager has determined the property is no longer needed for Project purposes; and WHEREAS, it has been determined under authority delegated by the Secretary of the Interior that the City of Pasco is eligible under the provisions of the Columbia Basin Project Act to acquire the land described in the attached Quitclaim Deed; and WHEREAS, the City of Pasco has a need for land to irrigate with wastewater from the Process Water Resource Facility; and WHEREAS, the land described in the Quitclaim Deed possesses important qualities conducive to this purpose; and WHEREAS, the City of Pasco has purchased the land described in the Quitclaim Deed for and in consideration of two hundred sixty-four thousand dollars ($264,000.00); and WHEREAS, the land described in the Quitclaim Deed shall be subject to the terms set forth in the Real Estate Purchase Agreement, a copy of which is attached hereto as Exhibit B, dated September 17, 2013, between the City of Pasco and Middleton Six Sons Farms, LLC. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PASCO, WASHINGTON: That the City Manager is authorized to sign and execute the Quitclaim Deed between the United States Department of the Interior Bureau of Reclamation, Columbia Basin Project, Ephrata, Washington, and the City of Pasco, a copy of which is attached hereto and incorporated herein by reference as Exhibit A; and to take all necessary steps required to accomplish this transaction. Be It Further Resolved, that this Resolution shall take effect immediately. Resolution Approving the Quitclaim Deed from the Bureau of Reclamation - 1 PASSED by the City Council of the City of Pasco, Washington, this 6th day of July, 2020. Saul Martinez Mayor ATTEST: i &k— Debra Bar iam, CMC City Clerk Resolution Approving the Quitclaim Deed from the Bureau of Reclamation - 2 APPROVED AS TO FORM: Kerr Fer on Law, PLLC City torney RETURN TO: Bureau of Reclamation Attn: Julia Sharp (Eph-2417) 32 C Street NW Ephrata, WA 98823 UNITED STATES DEPARTMENT OF THE INTERIOR BUREAU OF RECLAMATION Columbia Basin Project Ephrata, Washington QUITCLAIM DEED 0(k Contact No. 16-07-16-1,5643 EFO 18-0028 Parcel No. 113190049 NWIA Section 14, T.9 N., R.30 E., WM. Franklin County, Washington THIS QUIT CLAIM DEED made the day of , 2020, pursuant to the Act of June 17, 1902 (32 Stat. 388; 43 U.S.C. §391), commonly referred to as The Reclamation Act, and acts amendatory thereof and supplementary thereto, collectively referred to as the Federal Reclamation Laws, and specifically the Columbia Basin Project Act of March 10, 1943 (57 Stat. 14; 16 U.S.C. §835) as amended, between THE UNITED STATES OF AMERICA (Grantor), hereinafter referred to as the United States, acting by and through the Department of the Interior, Bureau of Reclamation, hereinafter referred to as Reclamation, and City of Pasco (Grantee) 525 N. 3' Avenue 3rd Floor Pasco, WA 99301. WITNESS, THAT: WHEREAS, the United States, through the Bureau of Reclamation, Department of the Interior, acquired land through the County Treasurer's Deed, signed October 1, 1948, and recorded under Franklin County Auditor's file number 118896, and under Correction County Treasurer's Deed, signed February 23, 1949, and recorded under Franklin County auditor's file number 121542, located in Section Fourteen (14), Township Nine (9) North, Range Thirty (30) East, Willamette Meridian, Franklin County, Washington; WHEREAS, pursuant to the Columbia Basin Project Act, the Project Manager has determined the property is no longer needed for Project purposes; WHEREAS, it has been determined under authority delegated by the Secretary of the Interior that the Grantee is eligible under the provisions of the Columbia Basin Project Act to acquire the land described in this Quitclaim Deed. NOW, THEREFORE, the UNITED STATES OF AMERICA, for and in consideration of two hundred sixty-four thousand dollars ($264,000.00), paid in hand, the receipt of which is hereby acknowledged, the United States of America, acting by and through the Bureau of Reclamation, within the provisions of the Federal Reclamation Laws previously cited, and acts amendatory thereof within the provisions of the Federal Property and Administrative Services Act of 1949 (63 Stat. 377), as amended, and delegations thereunder, does hereby remise, release, and forever quitclaim unto City of Pasco, their successors and assigns forever, all of the right, title, and interest in and to the property situated in Franklin County, Washington, to wit: The NWl/4 of Section Fourteen (14) Township Nine (9) North, Range Thirty (30) East, Willamette Meridian, Franklin County Washington. Subject to all Easements, Reservations, and Restrictions of Record. Containing 160.0 acres, more or less. As depicted and described on Exhibit A, attached hereto and by this reference made a part hereof. THIS QUITCLAIM IS SUBJECT TO THE FOLLOWING ADDITIONAL CONDITIONS, RESERVATIONS, EXCEPTIONS, AND OTHER OUTSTANDING RIGHTS: 1. The reservation of a right-of-way for ditches and canals constructed or to be constructed by the authority of the United States, this reservation being of the same character and scope as that created with respect to certain public lands by the Act of August 30, 1890 (26 Stat. 391) as amended. 2. Any third -party rights of record including, but not limited to, oil, gas or mineral interests, rights -of -ways or easements for roads, highways, public utilities, railroads, ditches and canals, flumes, pipelines, telephone, telegraph, and power transmission lines, created in favor of the public or public utilities, upon, over, under, and across said property. 3. The rights, if any, that were reserved to the United States, on all or any portion of the said lands in its original patent or other transfer by the United States. NOTICE IS HEREBY GIVEN that: THE INFORMATION CONTAINED IN THIS NOTICE IS REQUIRED UNDER THE AUTHORITY OF REGULATIONS PROMULGATED UNDER SECTION 120(h) OF THE COMPREHENSIVE ENVIRONMENTAL RESPONSE, LIABILITY, AND COMPENSATION ACT (CERCLA OR "SUPERFUND"), 42 U.S.C. SECTION 9620(h). (a) Acting pursuant to the requirements of 40 CFR 373, on June 1, 2017, the United States performed a hazardous waste survey on the subject lands. The land is being quitclaimed to City of Pasco in the same condition as existed on the date of said survey and which is more particularly described in the survey. No remediation by the United States on behalf of City of Pasco has been made or will be made as none is deemed necessary. Page 2 16-07-16-L5643 EFO 18-0028 (b) City of Pasco hereby accepts the premises and appurtenances as is, including but not limited to, accepting responsibility for management, monitoring and any legally required mitigation measures and/or cleanup associated with any existing improvements. (c) CERCLA Environmental Covenants and Stipulations: i. To the extent the United States is determined responsible, the United States warrants that any response action or corrective action found to be necessary after the date of the transfer shall be conducted by the United States. ii. City of Pasco grant the United States access to the property in any case in which a response action or corrective action is found to be necessary by the United States after such date at such property, or such access is necessary to carry out a response action or corrective action on adjoining property. IN WITNESS WHEREOF, the United States of America has executed this deed as of the date first above written. THE UNITED STATES OF AMERICA Department of the Interior By: Marc Maynard, Field Office Manager Bureau of Reclamation 32 C Street NW Ephrata, WA 98823 ACKNOWLEDGEMENTS STATE OF WASHINGTON ) ):ss COUNTY OF GRANT ) On the day of , 2020, Marc Maynard, personally appeared before me, the undersigned Notary, to me known to be the official of The United States of America, that executed the within and foregoing instrument, and acknowledged said instrument to be the free and voluntary act and deed of the United States, and on oath stated that he was authorized to execute said instrument. WITNESS my hand and official seal on the day of , 2020. Notary Public State of Washington Residing at: My Commission expires: Page 3 16-07-16-L5643 EFO 18-0028 Tract# 19157 Contract# 16-07-16-L5643 The NWl/a of Section Fourteen (14) Township Nine (9) North, Range Thirty (30) East, Willamette Meridian, Franklin County Washington. Disposal = 160 acres Page 4 16-07-16-L5643 EFO 18-0028 FILED FOR RECORD AT REQUEST OF: City of Pasco. Washington WHEN RECORDED RETURN TO: City of Pasco 525 North "d Pasco WA 9930 1 FOCI-�fi�r'� AFN # 1846335 AGREE 06?14/2016 04:08 Piot 6 Page(s) $78.00 Matt Beaton, Auditor Franklin Co.. WA P(r4V *11_"AP*41f Corrected for Re-recording REAL ESTATE PURCHASE AGREEMENT THIS REAL ESTATE PURCHASE AGREEMENT is entered into this /7 day of September, 2013, by and between the City of Pasco, Washington, a Municipal Corporation (hereinafter referred to as "City"), and Middleton Six Sons Farms, LLC, a Washington Limited Liability Company (hereinafter referred to as "Middleton"). WHEREAS, the City and Middleton are potential purchasers competing for the purchase of certain real property owned by the United States Department of Reclamation adjacent to the respectively owned properties in Franklin County, Washington, and WHEREAS, the parties have reached an agreement in regards to the respective ownership and use of that real property known as "BOR Property" legally described as the Northwest Quarter of Section 14, Township 9N, Range 30E, W.M., and illustrated as "BOR 1/4 Section" on Exhibit A, attached hereto and incorporated herein by this reference. NOW, THEREFORE, in consideration of the mutual covenants contained herein, the parties agree as follows: 1. City Purchase of BOR Pronerty. The City shall negotiate with the United States Bureau of Reclamation for the purchase of the BOR Property as generally described above, and as designated in Exhibit A attached hereto, according to the terms offered by the United States Bureau of Reclamation and acceptable to the City. 2. Middleton Forbearance. Middleton shall forebear from bidding against the City, or competing with the City to acquire the BOR Property described above; and shall permit the City to purchase the BOR Property waiving, and withdrawing any previous offers or options to purchase the BOR Property. Real Estate Purchase Agreement - 1 FILED FOR RECORD AT REQUEST OF: City of Pasco. Washington WHEN RECORDED RETURN TO: Cite of Pasco 525 North )"' Pasco WA 99301 REAL ESTATE PURCHASE AGREEMENT THIS REAL ESTATE PURCHASE AGREEMENT is entered into this 11 day of September, 2013, by and between the City of Pasco, Washingnon, a Municipal Corporation (hereinafter referred to as "City"), and Middleton Six Sons Farms,. LLC, a Washington Limited Liability Company (hereinafter referred to as "Middleton"). WHEREAS, the City and Middleton are potential purchasers competing for the purchase of certain real property owned by the United States Department of Reclamation adjacent to the respectively owned properties in Franklin County, Washington; and WHEREAS, the parties have reached an agreement in regards to the respective ownership and use of that real property known as "BOR Property" legally described as the Northwest Quarter of Section 14, Township 9N, Range 30E, 1',M., and illustrated as "BOR 1/4 Section" on Exhibit A, attached hereto and incorporated herein by this reference. NOW, THEREFORE, in consideration of the mutual covenants contained herein, the parties agree as follows: 1. Citv Purchase of BOR Property. The City shall negotiate with the United States Bureau of Reclamation for the purchase of the BOR Property as generally described above, and as designated in Exhibit A attached hereto, according to the terms offered by the United States Bureau of Reclamation and acceptable to the City. 2. Middleton Forbearance. Middleton shall forebear from bidding against the City, or competing with the City to acquire the BOR Property described above; and shall permit the City to purchase the BOR Property waiving, and withdrawing any previous overs or options to purchase the BOR Property. Real Estate Purchase Agreenient - 1 .s. sc, V� 3. Sale of the South 80 Acres to Middleton. Within one hundred eighty (180) days ("Closing Date") of purchase from the United States Bureau of Reclamation of the above-described real property, the City shall sell to Middleton the south half of the northwest quarter of Section l*; Township 9 North, Range 30 E.W.M., records of sem' Franklin County, Washington, consisting of approximately eighty (80) acres, more or -M--"_ " less. The exact description of such property shall be determined by survey as provided below. The sale price for the south half shall be equal to the per acre price the City paid to the United States Bureau of Reclamation for the above-described real property as provided in Section t above. The sale price shall be paid in cash, at closing. 4. Sale of "Corner" Property to Middleton. The City shall in addition to that property identified in Section 3 above, sell to Middleton, and Middleton shall purchase the southeast corner of City Circle No. 5 (SE 114 of Section 12) consisting of approximately five (5) acres. The exact legal description for such parcel shall be determined by survey as provided below. The sale price for the "Corner" property shall be at fair market value as established by an independent appraisal h-orn a qualified real estate appraiser selected by the City, within sixty (60) days of the City's purchase of the property provided in Section I above. Any dispute regarding the appraised fair market value of the corner property shall be resolved as provided in Section 1 1 below. The sale price shall be paid in cash, at closing. 5. Survev and Legal Description. The parties acknowledge that the exact legal descriptions for the parcels as described above are not available as of the execution of this Agreement. The City shall, within thirty (30) days of its purchase of the BOR Property described in Section 1 above; nominate a registered land surveyor to survey the BOR Property establishing the boundaries of that property to be sold to Middleton, and the "Corner" property providing corner pins, legal descriptions and a recordable record survey. The costs for such survey services shall be equally borne between Middleton and the City, If Middleton objects to the sunveyor designated by the City, within ten (10) days of its notice, the parties shall immediately meet and confer to determine a mutually agreeable surveyor. However, if such agreement cannot be reached, the dispute shall be resolved pursuant to Section l l below The parties authorize the attachment of the true legal description of the parcels above, as determined by the surveyor, to this Agreement. 6. Title. The City shall convey by Statutory Warranty Deed that real property identified in Section 3 and Section 4 above free and clear of any claims, liens, or encumbrances except the rights, reservations, covenants, conditions and restrictions presently of record, easements and encroachments of record, or of apparent use. Further, title is not warranted, nor the condition of the premises warranted, as to its present condition, use (authorized or unauthorized), nor environmental conditions. Middleton Real Estate Purchase: Agreement - 2 L.6� takes the property as is, subject to the terms and conditions of this Agreement, and with regard to any and all zoning requirements considering its use and occupancy. 7. Contingencies. Middleton's obligations to purchase the property identified in Section 2 and Section 3 above, is subject to the following contingency: A. Purchase by the City of the BOR Property as provided in Section 1 above. 8. Closing. This Agreement shall be closed on or before the date of closing provided in Section 3 above by Benton -Franklin Title Company in Kennewick, Washington. "Closing" means the date on which all documents are recorded and the sale proceeds are available for disbursement to the City. Middleton and the City shall deposit with the closing agent all documents and monies as required to complete this sale in accordance with this Agreement. Both Middleton and the City agree to cooperate with one another to close this sale according to the terms and conditions as contained herein Middleton shall be entitled to possession upon closing. 9. Closing Costs. The City shall assume and pay all closing costs incident to the purchase of the BOR Property as provided in Section I above. Middleton shall assume and pay all closing costs incident to the purchase of the real property identified in Section 2 and Section 3 above. The City and Middleton shall each pay their own attorney fees and costs incident to the negotiation, preparation of documents, and closing of this transaction. The following costs shall be equally divided between the parties: 1 Appraisal costs for the Corner property; B. Survey costs as required by Section 5 above.- C. bove; C. United States Bureau of Reclamation administrative costs and fees incident to and above the per acre costs for the land purchased by the City pursuant to Section 1 above; D. Cultural survey/report costs incurred by the City incident to the land purchase identified in Section I above; and E. Escrow and other closing costs charged by Benton -Franklin "Title Company that may be in addition to those incident to the purchase of the real property identified in Section 2 and Section 3 above. Real Estate Purchase Agrecmcnt - 3 10. Assignment Prohibited. Neither party may assign, transfer or convey any rights under this Agreement without the other party's prior written consent. 11. Dispute Resolution. For the purpose of this Agreement, time is of the essence. In the event of a dispute regarding the breach, enforcement or interpretation of this Agreement, including determination of the fair market price as provided in Section 4 above and the selection of a surveyor as provided in Section 5 above, the parties shall first meet in a good faith effort to resolve the dispute. In the event the dispute cannot be resolved by agreement of the parties, said dispute shall be resolved by arbitration pursuant to RCW 7.04A, as amended, with both parties waiving the right of a jury trial upon trial de nova, with venue placed in Pasco. Franklin County, Washington. The substantially prevailing party shall be entitled to its reasonable attorney fees and costs as additional award and judgment against the other. 12. Superseding Agreement. This Agreement supersedes all prior negotiations, agreements and communications, written or oral, between the parties with respect to the subject matter of this Agreement. IN WITNESS WHEREOF, the parties warrant their authorization to enter into this Agreement as of its execution on the date indicated above CITY OF PASCO, WASHINGTON 1 , City Manager Lave Zabel/ Approved as to Form: Leland B. Kerr, City Attorney Real Estate Purchase Agreement - 4 MIDDLETON SIX SONS FARMS,LLC Bi��iddlet n gi Middleton, ManaI Member — Michael A. Foehlich, Middleton Attorney T9R30S11 Parcel 113160017 Owner CITY OF PASCO Parcel 113190049 Owner USA — BUREAU OF RECLAMATION Parcel 113190084 Owner MIDDLETON FAMILY FARM LLC EXHIBIT A