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Home My WebLink AboutMOU - City of Port Townsend Mill Road Lift StationCityOf Port ., Townsend MEMORANDUM OF UNDERSTANDING (MOU) MILL ROAD LIFT STATION WHEREAS, the City of Port Townsend (City), a Washington municipal corporation, and Jefferson County (County), a political subdivision of the State, agree to this Memorandum of Understanding (MOU) (each a Party and together the Parties); and, WHEREAS, the Parties agree to work together to collaboratively advance common interests related to economic development, provision of government services, affordable housing, and protection of public health and safety; and, WHEREAS, the City is developing a sanitary sewer lift station project (Mill Road Lift Station), as depicted in Exhibit A, as part of necessary infrastructure improvements to provide sewer service within the Port Townsend Urban Growth Area (UGA); and, WHEREAS, the intent of this MOU is to document the Parties' roles and responsibilities in supporting the Mill Road Lift Station's real property acquisition and development strategy; and, WHEREAS, the Mill Road Lift Station will provide sewer to areas previously zoned for development within the Port Townsend UGA; and, WHEREAS, the planned Mill Road Lift Station will service the City's proposed 320-unit mixed -income housing project known as Evans Vista. Planning for the Evans Vista development was initiated by the City in November 2023 in response to the local housing crisis, a shared city - county priority to address; and, WHEREAS, in 2023, the City received $1.65M from the Washington State Department of Commerce (Commerce) in grant funding to assist in the Mill Road Lift Station and associated piping. In 2025, the City also received notice of award for a $2.5M Community Grant from the U.S. Environmental Protection Agency (EPA). The City Capital Facilities Plan and General Sewer Plan includes an estimated $2.OM of City funds to be recovered through local facilities connection charges from benefiting properties; and, WHEREAS, the County owns land near the City's Evans Vista project, located within the Port Townsend UGA. The City and County agree that the Mill Road Lift Station was designed to serve this area that includes the Caswell Brown Village Supportive Housing site; and, WHEREAS, the County commissioned a feasibility study for extending sewer into the Glen Cove light industrial area entitled, Glen Cove Growth Alternatives, Existing Utility Page 1 of 4 Mill Road Lift Station MOU Conditions and Infrastructure Extension Analysis; and, WHEREAS, the County and City have agreed to consider extending sewer service into Glen Cove subject to Growth Management Act requirements and available fundings; and, WHEREAS, the County, in consultation with incorporated cities as required under RCW 36.70A.110, holds designation authority over urban growth areas within its boundaries; and, WHEREAS, in 2025, the City initiated engineering analysis for siting the Mill Road Lift Station on tax parcel #001161001 or #001162001 as the preferred location for the Mill Road Lift Station. This property is owned by the County and is within the unincorporated portion of the Port Townsend UGA. The area is depicted in Exhibit A; and, WHEREAS, the City is performing environmental review for the project and will serve as the SEPA lead agency; and, WHEREAS, this MOU expresses the intention of the Parties to mutually support and work together to support the Mill Road Lift Station, as well as to continue to work together to formalize the collaborative interests discussed below. NOW THEREFORE, the Parties agree that: The County agrees to sell or exchange Tax Parcel #001161001 (Property) to the City following due diligence acceptable to the City, including required environmental review and entitlement acquisition. If infeasible and as an alternative location for the Lift Station, the County agrees to grant a perpetual easement for the lift station on Tax Parcel #001162001 of adequate size to accommodate lift station equipment and operations (Estimated max size 25,000 sf) subject to consultation with, and concurrence of, the current leaseholder of this parcel. The Parties agree to satisfy Commerce and EPA acquisition requirements for the Property, including the Relocation Assistance and Real Property Acquisition Policies Act of 1970 (Uniform Act), as amended and implementing federal or state regulations, policies, and guidance. The City, as the utility developer, shall be financially responsible for all fair market acquisition, leasehold valuation damages, and relocation costs required under the Uniform Act. The areas needed for the improvements as illustrated in Exhibit A are not currently occupied. The County agrees to not allow occupation of these properties so that relocation assistance would be unneeded, as the City is not planning for relocation costs and associated delays. 3. The Parties understand and agree that state and federal environmental review must occur prior to Property acquisition negotiation, including review under the National Environmental Policy Act (NEPA). 4. The County agrees to authorize the City to apply for all necessary entitlements for the Page 2 of 4 Mill Road Lift Station MOU Property, including a conditional use permit. The City agrees to provide the County with a copy of the appraisal opinion of value for the Property. The Parties agree to use the appraisal opinion of value as the basis for the agreed upon purchase price for the Property. The County agrees to grant a perpetual easement to the City 50 feet in width for city access, ingress, egress, utilities, power, and communications across Tax Parcel #001162002 and Tax Parcel #001162001 at either no cost to the City or at fair market value in compliance with the Uniform Act. The general boundaries are depicted in Exhibit A. As lease terms allow the county to "design and construct a road" across parcel #001162001, siting in the preferred location would require consultation with the leaseholder to clarify and reserve a utility corridor for third -party city utility mains, power, and communications in addition to the access road. 8. The City agrees to provide a service stub -out for the Caswell Brown Village Supportive Housing and the County's Tax Parcel 001162001. All applicable connection fees shall be due at the time of connection. 9. The City agrees to construct a service road, at their cost, within the easements provided to the City to access and service the Mill Road Lift Station. Such service road may be utilized by the Jefferson PUD subject to future substation siting as agreed upon between the County and the Jefferson PUD. The easement will include a designated corridor for underground power necessary to serve the lift station and future substation. This is depicted in Exhibit A. 10. The Parties agree to cooperate with the Jefferson County Public Utility District #1 for a future substation on Tax Parcel ID 001162002. 11. Nothing in this MOU authorizes or commits either party to the extension of sewer beyond the current Urban Growth Area. Any such proposal would require separate agreements and all applicable planning, environmental, and legal review. 12. The terms and conditions in this MOU are agreed to by the Parties, but are contingent upon final execution of a purchase and sale agreement approved by representatives of the parties with the authority to bind a party. For the County only the Board of County Commissioners has authority to bind the County or authorize a representative to bind the County. [SIGNATURES FOLLOW ON NEXT PAGE] Page 3 of 4 Mill Road Lift Station MOU IN WITNESS WHEREOF, the Parties have executed this MOU as of the date signed by the last Party. For the City of Port Townsend: Steve King Acting City Manager For Jefferson County: - PIMADAW Josh D. Peters County Administrator 8/25/2026 Date Date Approved as to Form: Approved as to Form: August 2S, 2026 Austin Watkins Philip C. Hunsucker City Attorney Chief Civil Deputy Prosecuting Attorney Page 4 of 4 Mill Road Lift Station MOU IN WITNESS WHEREOF, the Parties have executed this MOU as of the date signed by the last Party. For the City of Port Townsend: For Jefferson County: Steve King Josh D.Peters Acting City Manager County Administrator i rZ g ( z (9 8/25/2026 Date Date Approved as to Form: Approved as to Form: " A gust 25, 2026 in Watkins Philip C. Hunsucker City Attorney Chief Civil Deputy Prosecuting Attorney Page 4 of 4 Mill Road Lift Station MOU CONTRACT REVIEW FORM L Clear Form (INSTRUCTIONS ARE ON THE NEXT PAGE) CONTRACT WITH: CITY OF PORT TOWNSEND Contract No: i�&) W k(1' Ito Contract For: MOU FOR INSTALATION OF A SANITARY SEWER LIFT STATION ON MILL RD Term: IN PERPITUITY.. NON -BINDING COUNTY DEPARTMENT: COUNTY ADMINISTRATOR Contact Person: JOSH D. PETERS Contact Phone: X130 Contact email: JDPETERS@CO.JEFFERSON.WA.US AMOUNT: TBD Revenue: Expenditure: Matching Funds Required: Sources(s) of Matching Funds Fund # Munis Org/Obj TBD PROCESS: Exempt from Bid Process Cooperative Purchase Competitive Sealed Bid Small Works Roster Vendor List Bid RFP or RFQ Other: APPROVAL STEPS: STEP 1: DEPARTMENT CERTIFIES COMP NC TH JC 3 5.080 AND CHAPTER 42.23 RCW. CERTIFIED: N/A: F■ � ` 7 i - Si�g t re Date STEP 2: DEPARTMENT CERTIFIES THE PERSON OPOSED FOR CONTRACTING WITH THE COUNTY (CONTRACTOR) HAS NOT BEEN DEQARRET � B� FEDERAL, STATE, OR LOCAL AGENCY. 1 /;T CERTIFIED: 11 N/A: F Signature STEP 3: RISK MANAGEMENT REVIEW (will be added -7 I_ - Date ically through Laserfiche): Electronically approved by Risk Management on 8/17/2026. STEP 4: PROSECUTING ATTORNEY REVIEW (will be added electronically through Laserfiche): Electronically approved as to form by PAO on 8/17/2026. DPA Luther reviewed and approved on 8-18-2026. STEP 5: DEPARTMENT MAKES REVISIONS & RESUBMITS TO RISK MANAGEMENT AND PROSECUTING ATTORNEY(IF REQUIRED). STEP 6: CONTRACTOR SIGNS STEP 7: SUBMIT TO BOCC FOR APPROVAL 0 W z Z Q U JEFFERSON COUNTY BOARD OF COUNTY COMMISSIONERS CONSENT AGENDA REQUEST TO: Board of County Commissioners FROM: Josh D. Peters, Countv Administrator DATE: lt SUBJECT: APPROVAL OF SIGNATURE AUTHORITY: authorizing the County Administrator to sign a Memorandum of Understanding with the City of Port Townsend re: installation of a sanitary sewer lift station on Mill Road STATEMENT OF ISSUE: The City of Port Townsend is developing a sanitary sewer lift station project ("Mill Road Lift Station") as part of necessary infrastructure improvements to provide sewer service within the Port Townsend Urban Growth Area (UGA), including within the unincorporated portion of the Port Townsend UGA along Mill Road. The city desires to enter into a Memorandum of Understanding (MOU) with the county regarding the location of the proposed Mill Road Lift Station, as depicted in Exhibit A to the MOU (attached). ANALYSIS: The intent of this non -binding MOU is to document the parties' roles and responsibilities in supporting the Mill Road Lift Station's real property acquisition and development strategy. The city has selected specific county -owned property as its preferred location for the Mill Road Lift Station. The proposed MOU references the intention to enable city sewer service to the county -owned property under lease to OlyCAP for operation of the Caswell -Brown Village (CBV) temporary housing facility. Staff believes that it is in the best interest of the county to enable construction of the Mill Road Lift Station at the preferred site in order to foster housing development in the area, sewer service to CBV (which would provide for full build -out potential for that location, and potentially sewer service to other appropriate sites in the Glen Cove area. For context, refer to the Whereas clauses in the attached MOU. The county's Community Development Director, Public Works Director, Central Services Director, and Chief Civil Deputy Prosecuting Attorney have reviewed the proposal, as has the Port Townend City Council. FISCAL IMPACT: TBD RECOMMENDATION: Authorize the County Administrator to sign the attached MOU with the City of Port Townsend. REVIEWED BY: Josh eters, County Administrator Date EXHIBIT A 7 T11 t , 41 f s 'F r r + t Caswell -,r> ,•. yly...' �,+�, ••y ,a2 " �1�� ` l Brown �"� ;} L._'Y ?' E ""`}4•.t`4. r .' 7 `"�.. Property„ r3 A is w• >��* R .Y�Y s* �'4 � ' .X . �. _ E ✓a Y S *a e �•. � IiF•u rip � ,. i ,,, ^, Proposed gravity t• :* Alternative Lift Station and force sewer . mains and water location corridor, Tax w• Parcel001162001 service L I^ Ate, �' zr�f�. '4r F •. • � qR �. Proposed 20'�;"" ;' •. utility/access road easement to be acquired by the City Easement to include Approx. 'R_ PUD authorization for ar y=� footprint * Syr i� ,'` proposed JPUD� use. +� 1 t '` substation City to acquire utility authorization/easement =, from PUD I Preferred sewer lift L station location t � X .. Tax Parcel #001161001 to be acquired by the City 4 a Y 'Q p k 9/9/2025, 7:58:47 AM PT2024 Street Names 1:4,514 ■ 0 0.03 0.06 0.12 mi Red: Band-1 Tax Parcels � ® �. 0 0.05 01 0.2 km Green: Band 2 City of Port Townsend, Maxar Blue: Band 3 Web AppBuilder for ArcGIS