HomeMy WebLinkAboutITEM VIII-B-5~*
CITY OF
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AGENDA BILL APPROVAL FORM
A ends Sub'ect: Resolution No. 4196 Date: Ma 25,.2007
De artment: Public Works Attachments: Resolution No. 4196 Bud et Im act: 0.00
Administrative Recommendation:
City Council adopt Resolution No. 4196.
Background Summary:
Resolution No. 4196 authorizes the Mayor and City Clerk to execute an agreement between the City of
Auburn and Gates, Gates & Gates (Gates) for completion of 'A' Street NW from approximately 5th Street
NW to the existing road constructed by Gates previously at approximately 7th Street NW.
In 2003, the City entered into a Traffic Impact Fee Credit Agreement with Gates for the completion of the
A Street NW corridor through their development within existing right-of-way from approximately 7th to 8th
Streets NW. Gates constructed the complete 'A' Street Improvements within the existing right-of-way at
a cost exceeding the Traffic Impact Fee for the development at that time.
In 2005, the City and Gates discussed Gates completing right-of-way dedication and roadway
improvements along the A Street corridor from 5th Street NW to the previous Gates improvements to the
north as part of additional new development. These additional improvements would again create a Traffic
Impact Fee Credit for the Gates property. At that time, the City also discussed using this new credit along
with the remaining credit on the previous development against the cost for the completion of wetland
mitigation required for the new Gates development.
Resolution No. 4196 obligates Gates to complete additional right-of-way dedication and road
improvements above and beyond those required for the development along A Street NW in exchange for
the City completing the required wetland mitigation improvements on City owned property. In 2007, the
City decided to pursue a concrete road section for the A Street NW Corridor project and Gates has
agreed to also construct a concrete road which exceeds the City's road standards. Because this was not
contemplated during the 2005 discussions, the incremental increase in cost to build a concrete road
rather then an asphalt road will be applied as a remaining Traffic Impact Fee Credit for future
development of the Gates property.
W0604-5
A3.16.9, 04.9.3
Reviewed by Council & Committees: Reviewed by Departments & Divisions:
^ Arts Commission COUNCIL COMMITTEES: ^ Building ^ M&O
^ Airport ^ Finance ^ Cemetery ^ Mayor
^ Hearing Examiner ^ Municipal Serv. ^ Finance ^ Parks
^ Human Services ^ Planning & CD ^ Fire ^ Planning
^ Park Board ®Public Works ^ Legal ^ Police
^ Planning Comm. ^ Other ®Public Works ^ Human Resources
Action:
Committee Approval: ^Yes ^No
Council Approval: ^Yes ^No Call for Public Hearing _/_/_
Referred to Until _/_/_
Tabled Until _/_/_
Councilmember: Wa ner Staff: Dowd
Meetin Date: :June 4, 2007 Item Number: VI11.6.5
AIJ$URN * MORE TI IAN YOU IMAGINED
RESOLUTION N0.41 9 6
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
AUBURN, WASHINGTON, AUTHORIZING THE MAYOR AND
CITY CLERK TO EXECUTE AN AGREEMENT BETWEEN THE
CITY OF AUBURN AND GATES, GATES & GATES FOR
COMPLETION OF A STREET NW,~AUBURN, WASHINGTON
WHEREAS, the Gates, Gates & Gates (Developer) is the owner of
certain real properties legally described as Lots 1 to 4 of Auburn SP-17-79
Revised Recording No. 8207130444 (Lots 1 to 4) and Parcel B of Auburn LLA-
04-0001 Recording No. 20040408001614 (Parcel B) as depicted in Exhibit A of
this Agreement ("Gates Properties"); and,
WHEREAS, the City has included in its Six Year Transportation
Improvement Program (2007-2012) two Road Capacity Projects identified as
follows: TIP #2 "A" Street NW, Phase 1 (3rd Street NW to 14th Street NW) and
TIP #9 "A" Street NW, Phase 2 (West Main to 3rd Street NW). These two
projects establish a future public roadway hereinafter referred to as "A Street
NW." That portion of A Street NW between approximately 5th Street NW and
8th Street NW is proposed to be located along, and within the Gates Properties;
and,
WHEREAS, on October 7, 2003, the City and the Developer entered into
a Traffic Impact Fee Credit Agreement for the purpose of the development of a
portion of A Street NW within the City's right-of-way along the frontage of Lots 1
to 4 of the Gates Properties; and,
WHEREAS, on April 9, 2004, the City accepted the development of A
Street NW along the frontage of Lots 1 to 4 of the Gates Properties and
Resolution No. 4196
May 25, 2007
Page 1 of 5
provided the Developer with traffic impact fee credits in accordance with the
October 7, 2003 Traffic Impact Fee Credit Agreement; and,
WHEREAS, the Developer desires, as part of development of the Gates
Properties, to make additional roadway improvements (Roadway Development)
within Parcel B that would not ordinarily be required of the Developer, which
exceeds the roadway development required by City codes and standards; and,
WHEREAS, rather than compensate the Developer for the Roadway
Development measures beyond those required by City codes and standards
entirely by monetary payment, the City is willing to compensate the Developer
for the Roadway Development by granting to the Developer Transportation
Impact Fee Credits (TIF Credits) that can be applied pursuant to Auburn City
Code (ACC) 19.04.060; and,
WHEREAS, on June 3, 2005, representatives of the City and the
Developer met to review the mutual needs for the completion of the A Street
NW corridor between 3rd Street NW and 14th Street NW identified in the City's
Transportation Improvement Program; and,
WHEREAS, at the June 3, 2005 meeting, the parties verbally agreed that
if the Developer purchased the property denoted as Parcel B and designed and
constructed the full street improvements through Parcel B in accordance with
City minor arterial standards, the City would enter into a Traffic Impact Credit
Agreement related to the improvements completed above and beyond those
required in the development of Parcel B and would use this credit amount
towards satisfying wetland mitigation requirements for development of Parcel B.
Resolution No. 4196
May 25, 2007
Page 2 of 5
Discussion was also held concerning the use of existing credits related to the
October 7, 2003 Traffic Impact Fee Credit Agreement; and,
WHEREAS, although the verbal understanding was never formalized in
writing, nor did the Developer apply for the permits that would have vested the
Developer with the traffic impact fees then in effect, the Developer did take
substantial steps toward the performance of the verbal agreement, including but
not limited to acquiring Parcel B, with the property necessary for the
development of A Street NW; and,
WHEREAS, the Developer relied upon the verbal agreement
consummated on June 3, 2005, and purchased Parcel B on October 25, 2005,
and has now made applications with the City in good faith for development of
the site; and,
WHEREAS, the parties contemplated and verbally agreed that the Traffic
Impact Fees would be computed based upon the rates applicable on June 3,
2005, but that all other development fees would be based upon those in effect
at the time of actual development; and,
WHEREAS, in connection with the dispute or controversy as to which
impact fees now apply, the parties again met to address this issue, and the
parties agree that in light of the substantial partial performance of the verbal
agreement, the City's traffic impact fee effective at the time of the verbal
agreement will apply to development of Parcel B; and,
Resolution No. 4196
May 25, 2007
Page3of5
WHEREAS, since the June 3, 2005 meeting, the City has revised the
proposed design of "A St. NW" from an asphalt concrete pavement to a cement
concrete pavement due to poor soil conditions is the roadway corridor; and.
WHEREAS, in order to effect the understandings between the City and
Gates, Gates and Gates, it is appropriate to enter into an agreement such as
was negotiated by and between the parties, attached hereto.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AUBURN,
KING COUNTY, WASHINGTON, HEREBY RESOLVES as follows:
Section 1. The Mayor of the City of Auburn and the Auburn City Clerk
are hereby authorized to execute an Agreement between the City of Auburn
and Gates, Gates & Gates for completion of A Street NW, in Auburn,
Washington, which agreement shall be in substantial conformity with the
Agreement a copy of which is attached hereto, marked as Exhibit "A" and
incorporated herein by this reference.
Section 2. The Mayor is hereby authorized to implement such
administrative procedures as may be necessary to carry out the directives of
this legislation.
Section 3. This resolution shall be in full force and effect upon
passage and signatures hereon.
Dated and Signed this day of , 2007.
CITY OF AUBURN
PETER B. LEWIS
MAYOR
Resolution No. 4196
May 25, 2007
Page 4 of 5
ATTEST:
Danielle E. Daskam, City Clerk
Resolution No. 4196
May 25, 2007
Page 5 of 5
EXHIBIT "A"
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WASHIN~TC)N
AGREEMENT
FOR COMPLETION OF
A STREET NW,
AUBURN, WASHINGTON
City of Auburn
Engineering Division
Development Section
Public Works Department
25 West Main St.
Auburn, WA 98001-4998
(253) 931-3010
FAX (253) 931-3053
. CITY OF
AGREEMENT FOR CITY/DEVELOPER PARTICIPATION FOR
COMPLETION OF A STREET NORTHWEST AND SETTLEMENT OF
DISPUTED CLAIM
THIS AGREEMENT made and entered into this day of , 2007,
by and between the City of Auburn, hereinafter referred to as the "City", and Gates, Gates and
Gates, a Washington Partnership, hereinafter referred to as the "Developer", hereby enter into
this Developer and Settlement Agreement, hereinafter referred to as the "Agreement", and make
the following expressed mutual promises and covenants regarding the Developer's proposed
Public Street, hereinafter referred to as the "Extension", wherein the City agrees to accept the
Extension for operation and maintenance if the Developer, at the Developer's expense, designs,
constructs, conveys and transfers said Extension to the City pursuant to the terms and conditions
of this Agreement. This Agreement is valid and binding for the extension of A Street NW
through the property as described herein below:
RECITALS
1. WHEREAS, the Developer is the owner of certain real properties legally described as Lots 1
to 4 of Auburn SP-17-79 Revised Recording No. 8207130444 (Lots 1 to 4) and Parcel B of
Auburn LLA-04-0001 Recording No. 20040408001614 (Parcel B) as depicted in Exhibit A
of this Agreement ("Gates Properties").
2. WHEREAS, the City has included in its Six Year Transportation Improvement Program
(2007-2012) two Road Capacity Projects identified as follows: TIP #2 "A" Street NW,
Phase 1 (3rd Street NW to 14th Street NW) and TIP #9 "A" Street NW, Phase 2 (West Main
to 3rd Street NW). These two projects establish a future public roadway hereinafter referred
to as "A Street NW." That portion of A Street NW between approximately 5th Street NW
and 8th Street NW is proposed to be located along, and within the Gates Properties as
depicted in Exhibit B of this Agreement.
3. WHEREAS, on October 7, 2003, the City and the Developer entered into a Traffic Impact
Fee Credit Agreement for the purpose of the development of a portion of A Street NW within
the City's right-of--way along the frontage of Lots 1 to 4 of the Gates Properties.
4. WHEREAS, on Apri19, 2004, the City accepted the development of A Street NW along the
frontage of Lots 1 to 4 of the Gates Properties and provided the Developer with traffic impact
fee credits in accordance with the October 7, 2003 Traffic Impact Fee Credit Agreement.
5. WHEREAS, the Developer desires, as part of development of the Gates Properties, to make
additional roadway improvements (Roadway Development) within Parcel B that would not
ordinarily be required of the Developer, which exceeds the roadway development required by
City codes and standards.
6. WHEREAS, rather than compensate the Developer for the Roadway Development measures
beyond those required by City codes and standards entirely by monetary payment, the City is
Agreement for Extension of A Street NW
May 25, 2007 Exhibit A to Resolution No. 4196
Page 1 of 6
willing to compensate the Developer for the Roadway Development by granting to the
Developer Transportation Impact Fee Credits (TIF Credits) that can be applied pursuant to
Auburn City Code (ACC) 19.04.060.
7. WHEREAS, on June 3, 2005, representatives of the City and the Developer met to review the
mutual needs for the completion of the A Street NW corridor between 3rd Street NW and
14th Street NW identified in the City's Transportation Improvement Program.
8. WHEREAS, at the June 3, 2005 meeting, the parties verbally agreed that if the Developer
purchased the property denoted as Parcel B and designed and constructed the full street
improvements through Parcel B in accordance with City minor arterial standards, the City
would enter into a Traffic Impact Credit Agreement related to the improvements completed
above and beyond those required in the development of Parcel B and would use this credit
amount towards satisfying wetland mitigation requirements for development of Parcel B.
Discussion was also held concerning the use of existing credits related to the October 7, 2003
Traffic Impact Fee Credit Agreement.
9. WHEREAS, although the verbal understanding was never formalized in writing, nor did the
Developer apply for the permits that would have vested the Developer with the traffic impact
fees then in effect, the Developer did take substantial steps toward the performance of the
verbal agreement, including but not limited to acquiring Parcel B, with the property
necessary for the development of A Street NW.
10. WHEREAS, the Developer relied upon the verbal agreement consummated on June 3, 2005,
and purchased Parcel B on October 25, 2005, and has now made applications with the City in
good faith for development of the site.
11. WHEREAS, the parties contemplated and verbally agreed that the Traffic Impact Fees would
be computed based upon the rates applicable on June 3, 2005, but that all other development
fees would be based upon those in effect at the time of actual development.
12. WHEREAS, in connection with the dispute or controversy as to which impact fees now
apply, the parties again met to address this issue, and the parties agree that in light of the
substantial partial performance of the verbal agreement, the City's traffic impact fee effective
at the time of the verbal agreement will apply to development of Parcel B.
13. WHEREAS, since the June 3, 2005 meeting, the City has revised the proposed design of "A
St. NW" from an asphalt concrete pavement to a cement concrete pavement due to poor soil
conditions is the roadway corridor.
AGREEMENT
NOW THEREFORE, in consideration of the terms and conditions of this Agreement, the
sufficiency of which is hereby acknowledged, the Parties agree and bind themselves and their
respective legal representatives, successors, and assigns, as follows.
Agreement for Developer Extension of A Street NW
May 25, 2007
Page 2 of 6
Section 1: Development Fees
l.l. Even though the June 3, 2005, verbal agreement was not memorialized in a formal
writing, and even though the Developer did not formally apply for permits that would
have clearly vested his project to the City's earlier impact and development fees, and to
resolve the dispute, in light of the substantial partial performance by the Developer, it is
agreed by and between the parties that the applicable traffic impact fees shall be deemed
vested as to those fees in effect as of June 3, 2005.
1.2. All development fees, excluding traffic impact fees, shall be based upon the fees in effect
at the time of actual development.
Section 2: Roadway Development
2.1. The City has established preferred roadway parameters for the Roadway Development
through Parcel B. These roadway parameters include, but are not limited to, the
pavement width, sidewalk requirements, roadway illumination, utility requirements,
grade for drainage of the Cities project just south of Parcel B, and landscaping. The
initial information has already been conveyed to the Developer for incorporation into the
roadway design for the Roadway Development.
2.2. The initial roadway parameters for the Roadway Development were conveyed to the
Developer on March 9, 2007. These initial parameters included the utilization of asphalt
concrete pavement for roadway surfacing. Since the conveyance of these initial
parameters, the City has determined that the roadway surfacing shall be cement concrete
pavement. To document the additional cost to the Developer for the .change from asphalt
concrete to cement concrete, the Developer shall provide to the City verifiable
construction bids for both surfacing options. The cost difference shall be agreed upon by
both Parties and identified as the "Cement Concrete Roadway Adjustment."
2.3. The Developer shall incorporate the City's preferred roadway parameters for A Street
NW into the development of Parcel B. The Developer shall obtain, through the City's
development review process, all permits, including the execution of a Facility Extension
Agreement, necessary to construct the Roadway Development from approximately 5th
Street NW to approximately 7th Street NW.
2.4. The Developer shall construct the Roadway Development as part of Parcel B
development, to be completed no later than June 30, 2008. The Developer shall provide
to the City, no later than sixty (60) days after completion ,certification that all financial
encumbrances, including liens, are removed from the Roadway Development.
Section 3: Traffic Impact Fee Credits
3.1. The Parties agree that the Roadway Development to be constructed by the Developer
within Parcel B exceeds those measures required by City codes and standards.
Agreement for Extension of A Street NW
May 25, 2007
Page 3 of 8
3.2. The City agrees to compensate the Developer for the Roadway Development of A Street
NW by granting to the Developer Transportation Impact Fee (TIF) Credits.
3.3. The Parties agree to execute a Traffic Impact Fee Credit Agreement to document the
determination and consideration of Traffic Impact Fee Credits for the Roadway
Development on Parcel B that is above and beyond the improvements required for their
development including dedication of right-of--way. The Traffic Impact Fee Credit
Agreement shall be completed and fully executed prior to beginning construction of the
Roadway Development identified in Section 2 of this Agreement.
Section 4: Lot Line Adjustment
4.1. The Parties agree that property segregation between Lots 1 to 4 and Parcel B prevent
various terms of this Agreement from being implemented according to Auburn City
Code.
4.2. The Developer agrees to pursue a lot line adjustment for Lot 3 of Auburn SP-17-79
Revised Recording No. 8207130444 to incorporate Parcel B of Auburn LLA-04-0001
Recording No. 20040408001614. The said lot line adjustment shall be completed and
fully executed prior to the execution of the Traffic Impact Fee Credit Agreement
identified in Section 3 of this Agreement.
Section 5: Wetland Mitigation
5.1. Even though the June 3, 2005, verbal agreement was not memorialized in a formal
writing, both Parties agree that the City shall administer, develop, and execute the
wetland mitigation requirements for the Developer's improvements of what is currently
Parcel B in exchange for certain traffic impact fee credits associated with the Gates
Properties.
5.2. The City will administer, develop, and execute the wetland mitigation requirements
pursuant to Auburn City Code (ACC) 16.10., the City's Critical Area regulations, by
using Traffic Impact Fee Credits from the development of A Street NW through Parcel B
to finance the required wetland mitigation. Said requirements include a City provided
site, wetland mitigation design, wetland mitigation construction and wetland mitigation
monitoring sufficient to compensate for filling and eliminating wetlands on Parcel B.
5.3. The City and Developer agree that the value of the wetland mitigation is equal to the
traffic impact fees available with the October 7, 2003 Traffic Impact Fee Credit
Agreement along with the traffic impact fees associated with the new Traffic Impact Fee
Credit Agreement identified in Section 3 of this Agreement, less the value of the Cement
Concrete Roadway Adjustment.
5.4. The unused traffic impact fee credits associated with the Gates Properties shall be equal
to the value of the Cement Concrete Roadway Adjustment. These unused traffic impact
fee credits may be used by the Developer pursuant to Auburn City Code 19.04.060 to
Agreement for Developer Extension of A Street NW
May 25, 2007
Page 4 of 6
offset future Transportation Impact Fees that may be required for future development
upon the Gates Properties.
5.5. The timing for the completion of the wetland mitigation requirements by the City shall
not be related to the timing of development of Parcel B by the Developer.
The Developer hereby acknowledges that the City's concession regarding development and
impact fees as described above constitutes a full and complete settlement and satisfaction of any
and all claims, damages or injuries of any nature whatsoever that the undersigned may have
against the City of Auburn, its officials, employees, agents or licensees, stemming from, directly
or indirectly, or arising out of the potential imposition of development and impact fees different
than described above. The Developer also hereby waives and releases any and all claims, rights
that the undersigned now has or may have relative thereto, against the City of Auburn, its
officials, employees, agents or licensees.
This Agreement may be executed in counterparts each of which shall be deemed an Original.
Agreed the date and year first above written.
CITY OF AUBURN
Mayor
Dated:
Attest:
City Clerk
DEVELOPER, Gates, Gates and Gates
Title:
Dated:
Title:
Approved as to Form: Dated:
City Attorney
Agreement for Extension of A Street NW
May 25, 2007
Page 5 of 8
STATE OF WASHINGTON )
ss
COUNTY OF )
On this day of , 200_, before me, the undersigned, a Notary
Public in and for the State of Washington, duly commissioned and sworn, personally appeared Peter B. Lewis and
Danielle E. Daskam, to me known as the Mayor and City Clerk, for the City of Auburn, Washington, the municipal
corporation who executed the within and foregoing instrument, and acknowledged the said instrument to be the
free and voluntary act and deed of said City of Auburn, for the uses and purposes therein mentioned, and on oath
stated that he is authorized to execute said instrument on behalf of said municipal corporation.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal on the date
hereinabove set forth.
NOTARY PUBLIC in and for the State of
Washington, residing at
MY COMMISSION EXPIRES:
STATE OF WASHINGTON )
ss:
COUNTY OF )
On this day of , 200_, before me, the undersigned, a Notary Public
in and for the State of Washington, duly commissioned and sworn, personally appeared and
on behalf of Gates, Gates and Gates, a partnership (the Developer), that executed the
within and foregoing instrument, and acknowledged the said instrument to be the free and voluntary act and deed
of said Developer, for the uses and purposes therein mentioned, and on oath stated that they are authorized to
execute said instrument on behalf of said Developer.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal on the date
hereinabove set forth.
NOTARY PUBLIC in and for the State of
Washington, residing at
MY COMMISSION EXPIRES:
Agreement for Developer Extension of A Street NW
May 25, 2007
Page 6 of 6