007-15 - Resolution - First Amendment to Development Agreement with Bayside, LLC for Bayside PlatIntroduced by:
Requested by:
Drafted by:
Introduced:
Public Hearing:
Adopted:
RESOLUTION NO.007-15
Development Director
City Attorney
City Attorney
March 24, 2015
March 24, 2015
March 24, 2015
A RESOLUTION OF THE CITY OF PORT ORCHARD, WASHINGTON,
ADOPTING THE FIRST AMENDMENT TO THE DEVELOPMENT
AGREEMENT BETWEEN THE CITY OF PORT ORCHARD AND L224-1
BAYSIDE, LLC FOR THE BAYSIDE PLAT TO ELIMINATE THE
CURRENT PROCEDURE WHEREBY THE DEVELOPER PAYS ROAD
MITIGATION FEES INTO ESCROW, ALLOWING THE DEVELOPER
TO PAY THESE FEES DIRECTLY TO THE CITY OF PORT ORCHARD.
WHEREAS, the Bayside Plat, which is within the permitting jurisdiction of the City of
Bremerton, which approved the subdivision of 294 lots on 56 acres; and
WHEREAS, the Bayside Plat was originally planned to take access from the Kitsap
County -owned and maintained road of Anderson Hill Road, and was therefore required to obtain
County Road Approach Permits, Right -of -Way Permits and to pay Road Mitigation Fees to the
County, all as set forth in a 20G7 Development Agreement; and
WHEREAS, in 2009, the City of Port Orchard annexed the McCormick Woods area, and
vehicle access to the Bayside Plat is now from a road within Port Orchard City limits; and
WHEREAS, Kitsap County assigned the 2007 Development Agreement to the City of
Port Orchard to allow the Road Mitigation Fees to be collected by the City; and
WHEREAS, since November 22, 2014, the developer has paid the Road Mitigation Fees
into an escrow account, but both parties desire that the Fees be paid directly to the City of Port
Orchard;
WHEREAS, a public hearing was held on this First Amendment to the Development
Agreement on March 24, 2015; Now, therefore,
THE CITY COUNCIL OF THE CITY OF PORT ORCHARD, WASHINGTON,
HEREBY RESOLVES AS FOLLOWS:
Section 1. The City Council hereby authorizes the Mayor to sign the First Amendment to
Development Agreement By and Between the City of Port Orchard and L224-1 Bayside, LLC
for the Bayside Plat, which is attached hereto as Exhibit A and incorporated herein by this
reference.
Resolution No. 007-15
Paae 2 of 2
PASSED by the City Council of the City of Port Orchard, SIGNED by the Mayor and
attested by the City Clerk in authentication of such passage on this 24th day of March, 2015.
ATTEST:
City Clerk, Brandy Rinearson, CMC
Mayor Timothy . Matthes
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Resolution No. 007-15
Exhibit A
CITY OF PORT ORCHARD 201506260273
Amended Agreement Rec Fee $ 79.00
06/26/2015 02:48 PM Page 1 of 8
Dolores Gilmore, Kitsap Co Auditor
AFTER RECORDING RETURN TO:
The City of Port Orchard
Attn: City Clerk
216 Prospect Street
Port Orchard, WA 98366
WASHINGTON STATE COUNTY AUDITOR/RECORDER'S INDEXING FORM
Document Title(s) (or transactions contained therein):
1. FIRST AMENDMENT TO DEVELOPMENT AGREEMENT ... BAYSIDE PLAT
Grantor(s) (Last name first, then first name and initials)
2. City of Port Orchard
Grantee(s) (Last name first, then first name and initials)
3. FREESTONE BAYSIDE LLC
Legal Description (abbreviated: i.e., lot, block, plat or section, township, range)
4. Freestone at Bayside Division 1. according to the Plat recorded in Volume 33 of Plats. naaes
185-189 (all lots 1-125 and Tracts A-F and XX).
Assessor's Property Tax Parcel or Account Number: 042301-1-065-2004 (AFN
201306100393)
Reference Number(s) of Documents Amended: Kitsap County Auditor's No. 201409080187.
Resolution No. 007-15
Exhibit A
6/8/15
FIRST AMENDMENT TO
DEVELOPMENT AGREEMENT
BY AND BETWEEN THE CITY OF PORT ORCHARD
AND FREESTONE BAYSIDE LLC
FOR THE BAYSIDE PLAT
THIS FIRST AMENDMENT TO THE DEVELOPMENT AGREEMENT
executed on November 5, 2007 (hereinafter the "Development Agreement" recorded
under Kitsap County Auditor's No. 201409080187), is made on the 11*1 day of
,:�rUA L , 2015, by and between the City of Port Orchard, a Washington municipal
corporation, hereinafter the "City," and Freestone Bayside LLC, a limited liability
corporation, organized under the laws of the State of Washington, hereinafter the
"Developer," with its principal place of business at 6820 20`" St E Suite A, Fife, WA,
98424.
RECITALS
WHEREAS, the "Development Agreement" relates to the residential development
known as the Bayside Plat, which is to be constructed on property located west of
Anderson Hill Road, approximately 1000 feet north of SW Old Clifton Road, Tax
Account No. 042301-1-065-2004 (hereinafter the `Bayside Plat" or the "Property"); and
WHEREAS, the Property is within the permitting jurisdiction of the City of
Bremerton, and Bremerton approved a subdivision on the Property of 294 lots on 56
acres; and
WHEREAS, the Bayside Plat was originally planned to take access from the
Kitsap County -owned and maintained road of Anderson Hill Road, and was therefore
required to obtain County Road Approach Permits, Right -of -Way Permits and to pay
Road Mitigation Fees to the County, all as set forth in the Development Agreement
executed in 2007; and
WHEREAS, in 2009, the City of Port Orchard annexed the McCormick Woods
area, and vehicle access to the Bayside Plat is now from a road within Port Orchard City
limits; and
FIRST AMENDMENT to the Development Agreement
Bayside Plat
Page 1 of 6
Resolution No. 007-15
Exhibit A
WHEREAS, on August 25, 2014, Kitsap County executed an Assignment of
Development Agreement (C064-14), which was recorded against the Property and
assigned all of its rights under the 2007 Development Agreement to the City; and
WHEREAS, based on the above, the Developer has agreed to establish a process
under which road mitigation fees of One Thousand Fifty -Nine Dollars and no cents
($1,059.00) per dwelling unit in the Bayside Plat are paid to the City of Port Orchard, as a
condition of issuance of building permits by the City of Bremerton; and
WHEREAS, the parties acknowledge that between November 22, 2014 and
1 0115(insert date), road mitigation fees were paid by the Developer into an escrow with
First American Title Insurance Company (3905 Martin Way, Suite A, Olympia, WA
98506); and
WHEREAS, the parties agree that immediately following the execution of this
First Amendment by both parties, these fees, which total Seventy -Nine Thousand, Four
Hundred Twenty Five Dollars ($79,425.00), will be transferred from the First American
Title Insurance Company, and paid directly to the City of Port Orchard either by check or
wire transfer; and
WHEREAS, immediately after such payment is received by the City of Port
Orchard, the City shall provide the Developer with a written receipt, showing that the full
amount of $79,425.00 was paid to the City; and
WHEREAS, the parties further agree that all future road mitigation fees
corresponding to building permits received from the City of Bremerton must also be paid
to the City of Port Orchard; and
WHEREAS, the parties desire to enter into this First Amendment to the
Development Agreement in order to establish this new method for payment of road
mitigation fees directly to the City of Port Orchard; and
WHEREAS, the Port Orchard City Council provided public notice and held a
public hearing on this First Amendment to the Development Agreement on
, 2015; Now, therefore, the parties hereto agree as follows:
GENERAL PROVISIONS
Section 1. Substitution of the City of Port Orchard for Kitsap County. The parties
acknowledge that as a result of the Assignment of Development Agreement executed
between the City of Port Orchard and Kitsap County on August 25, 2014, all references
FIRST AMENDMENT to the Development Agreement
Bayside Plat
Page 2 of 6
Resolution No. 007-15
Exhibit A
to "Kitsap County" in the Development Agreement are hereby stricken and replaced with
"the City of Port Orchard."
Section 2. Amendment of Section 3 of the Development Agreement. Section 3 of the
Development Agreement is hereby amended to read as follows:
3. Mitigation Fee Payment Schedule for Bayside Plat. Bayside
agrees to pay the Mitigation Fee described in of Section 2 to imp
Gou -the City of Port Orchard as follows:
a. The building mifigation fee for- eaeh let shall be paid into a
single eser-ew aeeeunt at Bank of Amefiea prior- to the issidanee of the
asseei4ed building permit by the City of Brefne4en. Bayside shall
Br-efneAea.
b. Kitsap Geuf4y may withdraw monies deposited to
Prior to the issuance of a building permit for any residence in the
Bayside Plat, Bayside shall deposit the Mitigation Fee described in
Section 2 with the City of Port Orchard, at the address and to the attention
of the person identified in Section 7 herein.
Section 4. Amendment of Section 4 to the Development Agreement. Section 4 of
the Development Agreement shall be amended to read as follows:
4. Building Applications. At the same time Bayside, or its
successor, agent or assigns, applies to the City of Bremerton for a building
permit within the Bayside Plat, Bayside, or its successor, agent or assigns,
will also submit a copy of the Building Permit application to the City of
Port Orchard at the address and to the attention of the person identified in
Section 7 herein.
NOT..
WIN.
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Section 5. Amendment of Section 6 to the Development Agreement. The parties
acknowledge that neither Kitsap County nor the City of Port Orchard is required to
FIRST AMENDMENT to the Development Agreement
Bayside Plat
Page 3 of 6
Resolution No. 007-15
Exhibit A
perform under Section 6 to the Development Agreement and that Section 6 is hereby
stricken in its entirety.
Section 6. All Other Provisions of Development Agreement to Apply. This First
Amendment only amends the portions of the Development Agreement identified in
Sections 1 through 5 herein, and the parties agree that all other provisions of the
Development Agreement shall remain in full effect and validity.
Section 7. Notice and Payment of Fees. Any notice to be given to the parties
under this Agreement and/or the payment of fees by the Developer to the City, shall be to
the parties at the addresses set forth below:
City of Port Orchard
Attn: Nicholas Bond
216 Prospect Street
Port Orchard, WA 98366
Freestone Bayside LLC
Attn: Malcolm Griffin
Freestone Companies
6820 20`h St. E Suite A
Fife, WA 98424
Section 8. Covenants Runniniz with the Land. The conditions and covenants set forth in
this First Amendment to the Development Agreement are incorporated herein, and shall
run with the land. The benefits and burdens of this First Amendment to the Development
Agreement shall bind and inure to the benefit of the parties. The Developer, Landowner
and every purchaser, assignee or transferee of an interest in the Subject Property, or any
portion thereof, shall be obligated and bound by the terms and conditions of this First
Amendment to the Development Agreement and the Development Agreement, and shall
be the beneficiary thereof and a party thereto, but only with respect to the Subject
Property, or such portion thereof, sold, assigned or transferred to it. Any such purchaser,
assignee or transferee shall observe and fully perform all of the duties and obligations of
a Developer contained in this First Amendment and the Development Agreement, as such
duties and obligations pertain to the portion of the Subject Property sold, assigned or
transferred to it.
IN WITNESS WHEREOF, the parties hereto have caused this Development
Agreement to be executed as of the dates set forth below:
FIRST AMENDMENT to the Development Agreement
Bayside Plat
Page 4 of 6
Resolution No. 007-15
Exhibit A
CITY OF PORT ORCHARD:
By:
Timothy 6. Matthes
Its: Mayor
Date:
ATTEST:
B y:
B and mearson, City Clerk
APPROVED AS TO FORM:
By:
Carol A. Morris, Interim City Attorney
STATE OF WASHINGTON )
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COUNTY OF KITSAP
FRI+.'ES'CON .+.; BAYSIDE I.LC
rvveo OW? to /sW-. �►�•�s � .
By: 0e _ & -
Print Name:
Its: Managing Member
Date: plc, FfIfL
On this day personally appeared before me Timothy C. Matthes to me known to be the Mayor of
the City of Port Orchard, the municipal corporation described in and that executed the within
and foregoing instrument, and acknowledged that he signed said instrument to be the free and
voluntary act and deed of said municipal corporation, for the uses and purposes therein
mentioned, and on oath stated that he was authorized to execute said instrument on behalf of
said municipal corporation.
GIVEN under my hand and official seal this at day of 2015.
FIRST AMENDMENT to the Development Agreement
Bayside Plat
Page 5 of 6
ATTEST:
Clerk
APPR7 S TO FOR
By:
C roI A. w4ris, Interim City Attorney
i
STATE OF WASIINGTON
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i
COUNTY OF KITSAP
On this day personally.appeart d before me Timothy C; Matthes tome known to be the Mayor of
the City of 'Port Orchard; the municipal corpo ation described in and that executed the within
and foregoing instrument, an& acknowledged that he signed said: nstriimetlt, to be, the free and
voluntaryact and . deed of aid municipal corporation, for the. uses and purposes, therein
mentioned, and on oath state .that he was authorized tQ execute said instrument on behalf of
said municipal corporation.
GIVEN under my hand and of icial seal this day of 2015.
FIRST AMENDMENT to the Dev.elopment.Agreement
Bayside Plat
Page,5 of 6
Resolution No. 007-15
Exhibit A
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STATE OF WASHINGTON )
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COUNTY OF KITSAP )
OTARY PUBLIC in and for the State
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Print Name:. cai-n C
My appointment expires:
On this day personally appeared before me 4n an to me known to be the Managing
Member of FREESTONE BAYSI.DE LL the corporation described in and that executed the
within and foregoing instrument, and acknowledged that he signed said instrument to be the free
and voluntary act and deed of said corporation, for the uses and purposes therein mentioned, and
on oath stated that he was authorized to execute said instrument on behalf of said corporation.
GIVEN under my hand and official seal this day of Jt/rw 2015.
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NOTARY PUBLI in and for the State
of Washing on, rest mg at
Print ame:
My appointment expires:
FIRST AMENDMENT to the Development Agreement
Bayside Plat
Page 6 of 6