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Home My WebLink About070714_ra02JEFFERSON COUNTY PUBLIC HEALTH 615 Sheridan Street o Port Townsend o Washington o 983M mrwjaReremwunrypublicFaallll.wg July 1, 2014 JEFFERSON COUNTY BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST TO: Board of County Commissioners Philip Morley, County Administrator FROM: Tami Pokomy, Environmental Health Specialist IJ DATE: July J, 2014 SUBJECT: Agenda Request: Public Hearing add possible Decision Regarding Applications for Conservation Futures Funding in 2014 STATEMENT OF ISSUE: On June 9, the BI received the recommendations of the Conservation Futures Citizen Oversight Committee from Chair I Smith and approved a Public Hearing Notice for the Conservation Futures Program project applications received in 2014. The make was published in the Port 96wnmeMa Jefferson E'mry Looser on June 18, 2014. SmR hat requukd net the BOCC bold public hearing on July 7, 2014 at 1030 AM. The Conservation Fumes Program CCC 3.08) requires a duly noticed public hearing to be held as per of the public process of allocating conservation futures funding to wonky projects that protect public open spaces. After Me hemung, Me BoCC may decide which projects) to fund and consider passing resolutions to include a factual finding as to whether each project would redo a Me county's capacity as accommodate growM. At Me mart of the hearing Tumi Pokorny, and to the Conservation Futures Citizen Oversight Commesse, will automation the committee's recommendations and recent information provided by Jefferson Card Trust. ANALYSISISTRATEGIC GOI The two applications for conservation fames fimdMg are: I.O rimmer W'Idllfe Corridor 2014, $32,500 towards the fee simple acquisition of two properties, each consisting of four platted pamels within Me Condor, which WW 1.4 acres of meant land. A significant portion of one property lies within the 100.year BOOdplain and the second buAas previously acquired wetland and wetland buK parcels no proposed much is J68,000 M the form suers ching bad value and contributions from the community. JWTOSOn Imml Trust is the projea sponsor. The City of Pon Townsend is the project applicants. Pori Mat locumn: Sec. 34, T. 31 N, C I EOMMONITYHEALnI PUBLIC HEALTH ENwaONMENTALNFALTN DEVELOPMENTAL DISMILIiIES WATEngVALTY MAIN 3603aSDAW Ann"W "m AIMR Na M(36013a5A1iA FAX: p6n13ssamr NEA MRER COEEYONMIf FA.. 136013mInea Add Sea 33, T.31N, 61 W. 2, Snow Creek WateramidAcquisitiops, $90,824towardsthe fee simple purchase of l5 parcelsanda nervation easement on one additional parcel. The project encompasses total of 104 acres of vowed land, with the exception of one small cabin, and 3,750 fast (both sides) ofthe maw FROM of Snow Crack. The Proposed match is $489,826 w the form of grant from one RCO Salmon Recovery Funding Bound, donated land value, and cash. leRerson Land Trust is the project sponsor. Project location: Sec. 2, T. 28N, R. 2W and Sec. 11, M 28N, R, 2W. At its April 30, 2014 messing, the Conservation FuOVes Citizen Oversight Committee voted unanimously that both projects are worthy of fndwg and recommended that We funds be allocated this year and the BOCC work with applicants As to where the funds will M expended due to an error in estimating the amount of fonds available. The June 9 agenda packet, including the Chatr's letter, may be viewed online m: for, www w'eficrson we us/comm ss'oneNAaende20 4SOS Aeend a/06 -09- l4duff A letter dated June 24 from project sponsor Jefferson Land Trust provides an update f the requested funding amounts as follows: Quim er Wildlif Co abor 2014 $31,176 Snow Creek Watershed 510,824 Ac uisitions The updeted total fegnest for funding equals $42,01)) which is NMI to the Amount available to new p jects. This briefing packet corium : • Two conservation futures applications zed supporting documentation 1). Quimpen Wildlife Corthled 2014 2), Snow Creek Wam WAcquisitions • Map of conservation furures projects 2003 -2013 • Memos from Stacie Hoskins, Jefferson County Department of Community Development planning manager, regarding the Snow Creek Watershed Acquisitions Project and Judy Surber, City of Port Tovemend plaming maMger, regarding the Quimper Wildlife Comdor 3014Project. • June 24 letter from Owen Fairbank, Jefferson Land Trust conservation projects committee chair • Had seadmidns for each of the Proposed p jests with award amounts entered consistent with the updated Mading requesta. The purpose ofthe CF Program is he address the "general and increasing need to provide a system of public open speoes ... for the health, welfare, benefit and safety of me residents of Jefferson COurrry," and to maintain "Jefferson County M a desirable place to live, visit and Tecate businesses." Consery don fi6ums tax levy collections, authorized under RCW 84.34.230 me Ad Mponma means ofremning comman character zed accomplishing open space policies and objectives of the Jeff con County ComPdmdddve Plan. The goal of line program is to preserve and protect the county's open space resources from developmenS and from being "negatively and petmuently affecred." COOMMIINWHEALTX PUBLIC HEALTN ENVIROXIENTTLHEALTX MAIN: MEMN eI50BILmES nFOR A OEERaXn WATER WAL11V Falx: 13s013as5aro MAIN: M5 sacs AA. 13co13aswm HEALTHIER COMM NrIY ION 37)c487 On lanuary3, 206, the BOCC approved Ordlamce No.01 0103A61n response m Chapter 449 ofthet year which allowed up to 15%ofthe conservation furme levy armies raised in the preceding yearn be used for operations and maintenance needs. Although an O & M funds are being requested &this dare, Chaper 449 also srams that IoW governments must consider and andyae whether new CF projects would reduce capacity accommodate planned growth. Gram agreements for approved projects between Jefferson Land Trust and the county will be developed by Environmental HeaIM and submitted to the BoCC for approval. fi4CBLIMVACT The explicit purpose of Me Conservation Futures Program is to fwd acquisition projects to sappm a system of public open spaces. There is no impact to Me General Fund for this effort The balance for Conservatim Futures Ford 6308 m the end of May was $662,249.92. Funds available to 2014 projects equal $42,00. The following projects arc anticipated to close in 2014: Ducledumb Flmdplain: $2500 -Gregory Property Short Family Farm: $43,500 To,bm Forest Conservation Phase 1: S 167,000 Tarawa Forest Conservation — Phase B: $167,000 2014 Quimper Wildlife Corridor— $31,176 (subjemm approvsp: The following pmjw is anticipated b close after 2014: Snow Creek Watershed Acquisitions: $10,824 (subject to approrap: No Supplemental Budget Appropriations are anticipated this year in order So proceed with approved p jecty including any approved in 2014. RECOMMENDATION: 1) Review Memoprojemproposalsbmughtfo bythe OversightCmnnihee. 2) Hold a public hearing on July 7,2014, m 1030 AM. C idwthe written and oral testimony, from the hearing and adopt any of the enclosed funding resolutions (with «without revisions) for project proposals and funding amounts Mar the Commissioners may wish M approve. REVIEWED BY: Philip Modey, Ca PAdmin'Igh Wr Date DEVELOPMENTAL ENFARONMEMAlDEA� t DIMBUTIES PUBLIC HEALTH MuN, 13m13asawp FAWN: (NO)U59b14 FAX: 13013 S%01 HEALTHIER COMIAUNITY FAX DS0l3sa4ae7 2014 Consen ation Funtres Application and Score Sheet 2014 Jefferson County Conservation Futures Program Property Acquisition and/or 'L >� FN o Operations and Maintenance Project Application �sy Please complete the following application in its entirety. Be sure to answer "N /A "for questions that don't apply to the project. Incomplete applications will not be accepted far consideration. Unless directed otherwise, use as much space as needed to answer each question. Contact program staff at 379 -4498 or tnokorny@co.iefferson.wo.us with questions. Background and Eligibility Information 1. Project Title: Quimper Wildlife Corridor 2a. Conservation Futures Acquisition Bequest: $32,500 b. Conservation Futures O &M Request: none 3. Total Conservation Futures Request: $32,500 4. Please indicate the type of interest contemplated in the acquisition process. X Warranty Deed — Easement _ Other (Please describe below.) In whose name will the property title be held after acquisition? The City of Port Townsend and Jefferson Land Trust 5. Applicant Information Name of Applicant or Organization: City of Port Townsend Contact: Rick Sepler Title: Planner Address: 250 Madison Street, Port Townsend, WA 98388 Phone: (360) 379 -5081 Email: rsepler@cityofpt.us 6. Sponsor Information: (if different than applicant) Organization Name: Jefferson Land Trust Contact: Sarah Spaeth Title: Executive Director Address: 1033 Lawrence Street Phone: (360) 379 -9501, ext. 101 Email: sspaeth @saveland.org Fax: Fax: (360) 379 -9897, ext. 2014 Cvnsenlation Futures ttpplicolicn and Score Sheet This application was approved by the sponsor's legally responsible body (e.g., board, council, etc,} on February 19, 2014. 7. Site Location Street Address or Description of Location: Parcel 1— The property is located at the east end of Fast Sapphire Street in the Bell street neighborhood south of Cook Avenue, Parcel 2 — located on 52 "d between Wilson St. and Gise St. Match parcel — South of City owned Levinski Wetland property on 45" Street Driving Directions from Port Townsend: Parcel 1 — from Jefferson County Fairgrounds proceed west on 49t" St to Cook Avenue to Bell St. Turn left and proceed to E Sapphire. Turn left and go to the end. Property is on the right. Parcel 2 — From Fairgrounds go N on Jackman St. Park at 52nd St and walk west on trail. Match parcel — from Jefferson County Fairgrounds proceed west on 49th St to Cook Avenue to Bell St. Turn left and proceed to E Sapphire. Turn left and go to the end. Walk onto trail at end -jog right then left onto 45th St trail, walk approximately 600 ft. Property is on the left. Section: Township: Parcel 1 Sec 34 Township 31 N Range 1W - TPN 951 944 603 Parcel 2 Sec 33 Township 31 N Range 1 W - TPN 972 901 402 Match parcel Sec 34 Township 31 N Range 1 W - TPN 998 002 001 8. EXISTING CONDITIONS New Site: Yes No X Number of Parcels: 3 Addition to Existing Site: Yes X No Total Project Acreage (if different): Range: Acres to Be Acquired: 1.4 Current Zoning: R1 Existing Structures/Facilities: None Any current covenants, easements or restrictions on land use: NA Current Use: Vacant Land, floodplain and trail corridor Waterfront (name of body of water): nla Shoreline (linear feet); nla Owner TidelandslShorelands: nla 9. Current Property Owner X is _is not a willing seller. 2 2014 Conservation Futures Application and Score Sheet Project Description 10. In 1000 words or less, provide a summary description of the project, the match, overarching goal, and three top objectives. Include information about the physical characteristics of the site that is proposed for acquisition with Conservation Futures Program funds including: vegetation, topography, surrounding land use, and relationship to parks, trails, and open space. Describe the use planned for the site, any development plans after acquisition (including passive development), characteristics of the site which demonstrate that it is well- suited to the proposed use, and plans for any structures currently on the site. If applicable, describe how the site relates to the larger project, and whether the project has a plan, schedule and funding dedicated to its completion. Please also list any important milestones for the project or critical dates, e.g, grant deadlines. List the dates and explain their importance. Please attach a spreadsheet of the budget. The City of Port Townsend, Jefferson Land Trust and Jefferson County have been working with the community since the mid 1990's to protect a ribbon of green across the Quimper Peninsula, connecting a series of wetlands, mature native forest and floodplains that provide habitat for over 200 bird species, amphibians and mammals. The 3'/2 mile Quimper Wildlife Corridor stretches from Middlepoint to Fort Worden State Park and has a high diversity of habitat and wildlife species, qualifying as a priority habitat under the Washington Department of Fish and Wildlife Priority Habitat and Species Program. It also provides recreational opportunities for community members and visitors on the many trails that weave through the forested habitats of the corridor and adjacent Cappy's Woods area. Much of the area containing the corridor was platted into 50 x 100 lots in the 1880`s and development pressures in certain areas are high. Over the nearly 20 years that the project has been underway, project partners have been steadily preserving the puzzle pieces of the corridor, as landowners choose to donate or sell parcels to the effort. Community contributions, Jefferson County Conservation Futures Funding, state and federal grants have been critical to the corridor preservation effort. The City of Port Townsend and Jefferson Land Trust are proposing the purchase of two properties, each consisting of 4 platted parcels in two areas of the corridor. As part of required match, another additional forested trail and wetland buffer property will be donated to the City for permanent protection. Parcel 1 includes four forested lots located on the corner of East Sapphire Street and is currently listed for sale through John L Scott. A significant portion of the property is shown as 100 -year flood plain on the City's critical area maps, and the presence of wetland vegetation is confirmation. The property provides an important link between the City owned Quaking Aspen Wetland to the east and City owned floodplain property to the west. The floodplain habitat of the property would be compromised if the remaining portion were to be developed. Parcel 2 is located directly north and adjacent to wetland and wetland buffer properties preserved through Jefferson Land Trust and the City. The landowner contacted Jefferson Land Trust and has offered to sell her property below the market rate. This parcel is significant for preservation due to the mature forest habitat and recreational trail used by many local residents. The parcel being donated as match is adjacent to the Quaking Aspen Wetland and provides buffer habitat to the wetland and a major trail corridor with Cappy's Woods that has been recognized by the City as important to protect for current and future recreational use. All properties proposed for acquisition will be maintained as native 3 201'4 Conservation Fiazires Applicc-tion and Score Sheet forested habitat. All of the match for the Conservation Futures proposal is in hand and consists of the property donations mentioned above, as well as community contributions collected by Jefferson Land Trust. The three top objectives for this project are: 1 j Acquire high priority threatened properties from the willing sellers. 2) Utilize adjacent donated parcel and bargain sale value as match 3) Permanently protect the properties as wild open space in partnership between the City of Port Townsend and Jefferson Land Trust, With Conservation Futures grant funds in hand, the acquisitions should be complete by Fall of 2014. 11. Estimate costs below, including the estimated or appraised value of the properties) or property right(s) to be acquired, even if Conservation Futures funds will only cover a portion of the total project cost. In the case of projects involving multiple acquisitions, please break out appraisals and estimated acquisition costs by parcel. a. Estimated or Appraised Value of Propert(ies) to be Acquired: Parcel 1 — $34,000 (list price is $24,900) Parcel 2 — $42,000 tasking price of $25,000) Match parcel - $12,000 Total value - $88,000 b. Total Estimated Acquisition - related Cost (see Conservation Futures Manual for eligible costs): Parcel 1 - $600 Parcel 2 - $1,700 Match Parcel - $300 Project Management and legal - $5,000 Total Acquisition Related costs - $7,600 c. Total Operation and Maintenance Cost: $5,000 d. Total Project Cost: $100,600 Basis for Estimates (include information about how the property values) was determined, anticipated acquisition - related costs, general description of operation and maintenance work to be performed, task list with itemized budget, and anticipated schedule for completion of work): The cost estimates are based on an appraisal conducted by Judy Maves -Klatt of MK Appraisal on February 27th, 2014, of the two properties proposed for acquisition as well as the match parcel. Parcel 1 was valued at $34,000. Parcel 2 was valued at $42,000. The appraised value of the parcel 4 2014 Conservation Futures Application and Score Sheet being donated as match is $12,000. In addition, the asking price for Parcel 1 is $24,900 and Parcel 2 is $25,000, therefore there is additional land match in the amount of $201,100. Anticipated project related costs include; appraisals, title insurance and closing costs, taxes and recording fees, project management. At this time, Jefferson Land Trust will be covering the costs associated with operations and Maintenance and that amount of $5,040 has been included in the total project cost. The acquisition is anticipated to be complete before the end of 2014. See attached Project Cost Table I a. Sponsor or other organizations X will will not contribute to acquisition of proposed site and/or operation and maintenance activities. b. If applicable, please describe below how contributions from groups or agencies will reduce the need to use Conservation Futures program funds. As the sponsor organization, Jefferson Land Trust will be coordinating the contribution of the donated adjacent land, as well as cash contributions that community members have made to the project through a capital campaign.. c. Matching Fund Estimate Conservation Futures Funds Requested Matching Funds/Resources* Total Project Acquisition Cost Acquisition O&M % 132,500 0 32% $63,100 $5,000 68% $95,600 +5,000 100% * If a prior acquisition is being proposed as match, please describe and provide documentation of value, location, date of acquisition and other information that would directly link the match to the property being considered for acquisition. d. Source of matching funds /resources Land Value Amount of Contribution contribution approved? X38,100 Yes No Community Contributions 3$ 0,000 Yes No Yes No $ Yes No If not, Contribution If not, when? available now? when? Yes No Yes No Yes No Yes No NOTE; Matching funds are strongly recommended and a higher rating will be assigned to those projects that guarantee additional resources for acquisition. Donation of property or a property right will be considered as a matching resource. Donation of resources for on -going maintenance or stewardship ( "in- kind" contributions) are not eligible as a match. 2 a. Sponsoring agency X is _is not prepared to provide long -term stewardship (maintenance, up -keep, etc.) for the proposed project site. 5 20,14 conservation Factures Application anal Score Shea The City and Jefferson Land Trust anticipate a stewardship program of annual monitoring to insure that the properties remain forever wild, that no building or development has occurred, that no trash has accumulated, and that no noxious weeds have invaded the property, Jefferson Land Trust staff and trained community volunteers and neighbors will conduct monitoring, maintenance and restoration efforts and are already monitoring adjacent properties. The Land Trust relies on trained professionals, including habitat biologists, foresters and others as appropriate. b. Describe any existing programs or future plans for stewardship of the property, including the nature and extent of the commitment of resources to carry out the stewardship plan. The Land Trust will conduct stewardship, monitoring and maintenance of the properties along with the rest of the Quimper Wildlife Corridor according to the Quimper Wildlife Corridor Management Plan (City of Port Townsend Ordinance 2976). The Land Trust's stewardship program includes annual monitoring (at least) of protected properties and easements, upkeep and maintenance (trash removal, signage, invasive plant control) and restoration efforts (tree planting, trail building, etc.) Jefferson Land Trust will conduct at least annual monitoring of the property by professional staff and trained volunteers, extensive data collection and management, help with stewardship, enhancement and restoration goals and legal defense of the conservation easements should it become necessary. Jefferson Land Trust has a legal defense fund of nearly $420,000 and continues to build this fund with each new easement acquisition, recognizing the legal obligation and responsibility of protecting conservation values in perpetuity. For several years now Jefferson Land Trust has coordinated an exciting opportunity for community members to deepen their engagement with our local landscape. The Northwest Naturalists Program trains participants over an 8 week period in wetland ecology, plant and animal identification, geology, wildlife tracking and other topics. Each year several participants have committed to being preserve stewards for protected properties, including the QWC. The program has also resulted in a Natural History Society that offers natural history presentations on a regular basis. 3 a. Describe the sponsoring agency's previous or on -going stewardship experience. Jefferson Land Trust continues to implement a rigorous stewardship program for the roughly 12,300 acres it currently stewards in Jefferson County. These stewardship obligations include properties protected with 54 conservation easements, Jefferson Land Trust preserves and land owned by partner organizations and agencies such as Washington State Parks, Jefferson County, the City, Washington Department of Natural Resources and the Hoh River Trust. The Land Trust is the only local organization or agency that has a monitoring and stewardship program for conservation easements and preserved properties, developed with the guidance of The Land Trust Alliance and utilized effectively for 25 years. As an example, over the last year Jefferson Land Trust worked with many community volunteers, Chimacum students and Port Townsend High School students, and partner organizations like North Olympic Salmon Coalition and the Jefferson County Conservation District to replant and restore salmon habitat on Chimacum Creek and Snow Creek. These stewardship projects provide students and folks of all ages the opportunity to get on the land, learn about salmon life cycles and make improvements in the habitat so critical for the salmon survival. 2 2014 Conservation Futures application and Score Sheet b. Has the sponsor and/or applicant of this project been involved in other projects previously approved for Conservation Futures funding? No, neither the sponsor nor applicant has been involved in a project previously approved for Conservation Futures funds. X Yes, the sponsor and /or applicant for this project has been involved in a project previously approved for Conservation Futures funds. Please provide details. Jefferson Land Trust has been the sponsor organization on numerous applications that have received Conservation Futures funds, and has also been the applicant on a number of applications as well. These projects include: Sunfield Farm, 2003; Quimper Wildlife Corridor, 2004; East Tarboo Creek Conservation Project, 2005; Tamanowas Rock Phase 1, 2006; the Winona Buffer Project, 2006; Glendale Farm, 2007; Finnriver Farm, 2008; Quimper Wildlife Corridor, 2009; Brawn Dairy, 2009; Salmon Creek Ruck 2014, Quimper Wildlife Corridor 2010; Tamanowas Rock 2010; Chimacum Creek Carleson 2011; Winona Basin - Bloedei 2011; L. Brown 2012, Boulton Farm 2012, Short Family Farm and Winona Basin - Bloedel Phase 11 2013. Jefferson Land Trust involvement was only made possible by the landowners interested in preserving the conservation values of their properties, either through outright sale, sale of conservation easements and donation of either as match. Community support and other public funding sources as match have also been a demonstration of the value of the approved projects. 4 a. Property X can _cannot feasibly be acquired in a timely fashion with available resources. b. Necessary commitments and agreements Xare _are not in place. c. All parties X are —are not in agreement on the cost of acquisition. If "not " to any of the above, please explain below. Landowners are willing sellers. Matching resources of cash and land donation value are currently available for purchase of the parcels proposed for acquisition. 5. The proposed acquisition X is specifically identified in an adopted open space, conservation, or resource preservation program or plan, or community conservation effort. Please describe below, including the site's importance to the plan. Please reference the website of the plan if available or include the playa with this application. _complements an adopted open space or conservation plan, but is not specifically identified. Please describe below, and describe how the proposed acquisition is consistent with the plan, —is a stand -alone project. The properties proposed for acquisition were indicated in the Quimper Wildlife Corridor Management Plan that was adopted by the City of Part Townsend on May 19, 2008, Ordinance 2967. This management plan is available at the City's website, http:// www ,cityofpt.us /dsd /planning.asp. The entire Quimper Wildlife Corridor lies in the area recognized in Jefferson County's Comprehensive Plan map as Parks, Recreation Areas, Conservation Easements and Areas for Future Cooperative Preservation Efforts. It is also recognized in the City of Port Townsend Comprehensive Plan, and the Parks and Open Space Plan. The Land Trust, the City of Port Townsend, Jefferson County, state 7 2014 Conservation Futures application and Score Sheet agencies, the local Audubon and Native Plant Society Chapter, and US Fish & Wildlife have been partnering on the project since the mid 1990's. These parcels have been identified in the acquisition priorities of the project since the beginning due to the wetland, floodplain, buffer and upland forest values, http:/1 www. co. jefferson .wa.us /idms /pdfs /parks99.pdf Jefferson Land Trust's Conservation Plan for Jefferson County, prepared with the input of many community members and adopted in 2010 specifically identifies the Quimper Wildlife Corridor. The plan is located on the Jefferson Land Trust website at www.saveland.org. 6. Conservation Opportunity or Threat: a. The proposed acquisition site X does `does not provide a conservation or preservation opportunity which would otherwise be lost or threatened. b. If applicable, please carefully describe the nature and immediacy of the opportunity or threat, and any unique qualities about the site. The City and Jefferson Land Trust have been attempting to acquire Parcel 1 for nearly 20 years and landowners finally listed the property in this last year. The landowner of Parcel 2 is eager to sell her property and neighbors and the land owner herself are most interested in seeing the property preserved for habitat and trail access as part of the QWC. 7. The proposed acquisition: X provides habitat for State of Washington Priority Habitat and/or State or Federal Threatened, Endangered or Sensitive species. X provides habitat for a variety of native flora or fauna species. X contributes to an existing or future wildlife corridor or migration route. If affirmative in any of the above, please describe below, and cite or provide documentation of species ' use. 1 The QWC provides critical habitat in an area of looming urban development and is home to a wide variety of flora and fauna, from the humble rough - skinned newt and Calypso orchid to nearly 200 bird species and numerous small and large mammals. Protection Island, located just offshore of the western end of the corridor, is a National Wildlife Refuge and home to nearly seventy percent of the seabirds that nest and breed in all of Puget Sound. Washington Department of Wildlife and the local Audubon Society have identified several state priority species in the QWC that are sensitive, threatened or listed. These include: Bald eagle, Peregrine Falcon, Wood duck, Great Slue Heron, Pileated Woodpecker, Band- Tailed Pigeon, Merlin, Olive Sided Flycatcher, black tailed deer, and bob cat. The corridor allows these species and others the safety of cover to move between wetland and forest ecosystems. 8 a. Describe the extent and nature of current and planned agricultural use of the proposed acquisition, including any anticipated changes to that use once the property, or property right, is acquired with Conservation Futures funds. ' See, for example, http:// www.dnr.wa.gov /researchscience/ topics /naturalheritage /pages /amp_nh.asox hltp://www.wdfw.wa.gov/conservation/phs/list/ http://wwwl.dnr.wa.gov/nhp/refdesk/Dlants.htmi http://ww-wl.dnr.wa.gov/nhD/refdesk/pubs/wa ecological s stems. df 8 2014 Consenation Futures Application and Score Sheet Not applicable b. Describe any participation by the current property owner in any other agricultural land conservation programs, including the program and nature of the involvement. Not applicable 9. Describe how the proposed acquisition benefits primarily a ,local area X broad county area including the area served, the nature of the benefit, the jurisdictions involved, and the populations served. Protection of the wetland, buffer and floodplain habitats of the QWC provides particular benefits to local residents in that it provides storm -water filtration and floodplain retention. In general, however, protection of the QWC habitats provides benefits not only to residents of Port Townsend and surrounding county areas, but also to the many visitors to our area. The corridor is used extensively for passive recreation by the community and visitors who enjoy walking the trails, bike riding and horseback riding. The wetlands and forests of the corridor provide education opportunities for all, and have been field classrooms for the Cedar Root School, the international Cyber Tracking Program, Native Plant Society, Jefferson County Master Gardeners, Audubon members conducting annual Christmas bird counts, and numerous local public and private school students. Realtors from all over the region taking continuing educational courses at WSU have participated in corridor field trips to understand wetland ecology. The bike trails of the corridor were identified in a national mountain bike magazine. Land Trust volunteers continue to conduct regular educational tours to various parts of the corridor as part of our ongoing community outreach efforts. 10. Describe the educational or interpretive opportunities that exist for providing public access, educational or interpretive displays (signage, kiosks, etc.) on the proposed site, including any plans to provide those improvements and any plans for public accessibility.2 The QWC and neighboring Cappy's Woods provide an extensive network of trails within the City of Port Townsend and out into Jefferson County. In fact, it is possible to walk from McCurdy Point on the west end of the corridor to Fort Worden State Park with very few road crossings! The City Non- Motorized Advisory Board and community volunteers conduct regular trail maintenance efforts in the QWC. Recently location signage was placed in key trail locations in the corridor. Land Trust volunteers are creating interpretive displays that will provide visitors to the corridor an understanding of the function of the corridor, as well directing people away from the more sensitive habitat areas. 11. The proposed acquisition _ includes historic or culturally significant resources and is registered with the National Register of Historic Places, or an equivalent program. is recognized locally has having historic or cultural resources. is adjacent to and provides a buffer for a historic or cultural site. 2 The words "education" and "interpretation" are interpreted broadly by the CF Committee. I Cultural resources means archeological and historic sites and artifacts, and traditional religious ceremonial and social uses and activities of affected Indian Tribes and mandatory protections of resources under chapters 27.44 and 27.53 RCW. 9 2014 Conservation Futures Application and Scare Sheet If affirmative in any of the above, please describe below, and cite or provide documentation of the historical or cultural resources. Not applicable 12a. Describe the extent and nature of current and planned silvicultural use of the proposed acquisition. Please cite or provide documentation of existing or planned silvicultural activities including forest management plans) or forest ecosystem restoration. None planned b. Describe any participation by current property owner in silviculture conservation programs, including the program and nature of the involvement. None planned Verification 13. Sponsors of applications that are approved for funding by the Board of County Commissioners are required to submit a brief progress report by October 30 every year for three years after the award is approved, or three years after the acquisition funds are disbursed to the applicant, whichever is later. The progress report must address any changes in the project focus or purpose, progress in obtaining matching funding, and stewardship and maintenance. Sponsors receiving O&M funds will also submit an annual report for each year that O&M funds are expended. The Committee will use the information to develop a project "report card" that will be submitted annually to the Board of County Commissioners. If this application is approved for funding, I understand the sponsor is required to submit progress reports for three years and for any year in which O&M funds are expended. Initials- ' I Date 14. If, three years after the date funding is approved by the Board of County Commissioners, the applicants have not obtained the required matching funds, the Committee may request the Board of County Commissioners to nullify their approval of funds, and may require the project to re- apply. If this application is approved for funding, I understand that we may be required to re- submit the application if the project sponsor does not obtain the necessary matching funding within three years. S Initials `' 3 JJL f ' Date 10 Quimper Wildlife Corridor 2014 Conservation Futures Program Acquisition Application Project related costs and O &M Tinteline Est. Cost Land to be acquired Fall 2014 $88,000 Appraisal February 2014 $904 itie insurance and closing costs, taxes, etc Fall 2014 $1,700 Project Management, Admin and legal fees Fall 2014 $5,000 &M (JLT) ngoing $5,000 February 22, 2014 To: Jefferson County Conservation Futures Advisory Committee Members: I own four city lots adjacent to the Quimper Wildlife Corridor, parcel #Prop I.D. 34927 (or Tax Parcel 972901402.) I approached Jefferson Land Trust about selling my property, and they have expressed interest in preserving these lots. We hope you will be able to contribute funds to help complete this purchase. I have been a supporter of the Land Trust for many years, and am delighted to be able to offer this land for preservation at well below its market value. This property is adjacent to Land Trust and City -owned property. There is a significant wetland adjacent to the property. Croce these lots are preserved, they will strengthen the Quimper Wildlife Corridor as it runs from Fort Worden, through the North Beach neighborhood, and out to Winona and the Levinski Wetlands. All four lots are wooded, and two of them feature mature cedars and Douglas fir trees. These trees are at least 124 years old. Pileated woodpeckers, coyotes, owls, raccoons, and many other native species roam regularly through these woods. After these four lots are preserved, no city streets will need to be opened in the surrounding few blocks. This means an additional 50 by 200 foot buffer all around the lots will never be developed. There is currently a non - motorized vehicle footpath running past these lots. (It runs along what would be 42nd street, from Jackman street all the way through to Hendricks street.) Many county citizens use this footpath. People love this area, and feel blessed to be able to walk through old growth forest while still within the city limits of Port Townsend. North Beach neighbors who live near this property have already pledged financial contributions (to the Land Trust) dedicated to preserving this property. A grant from your funding pool will ensure that the property is purchased, and preserved forever. There is very little of this untouched forest left in Port Townsend, so I will feel thrilled and grateful once this property is saved for future generations to enjoy. Thank you in advance for your consideration. e,,.. February 27, 2014 Jefferson Land Trust 1033 Lawrence Street Port Townsend, WA 98368 Re: Heikes property This letter is to indicate the landowner's willingness to sell the following parcels of land: Tax Parcel Number: 951 904 603, Fowler's Park Addition, Block 46, Lots It - 14. We understand that purchase of this land is contingent on funding from the Jefferson County Conservation Futures Program. Signed, Bill PUr ,Listing Agent John L Scott Realty 2219 West Sims Way port Townsend, WA 98368 (360) 385 -4115 I Ll Ge�� Matrix Cross Property Full Thomas & E.Sapphire St, Port Townsend 98368 MLS#: 475546 StatuS: Active CDOW 314 Area; 480 - Port Townsend County: 3efferson Agent., Office: Comm Lot Size: Elementary: Snr High: List Dt' Map Book. owner Hm: Agent Rmks: Directions: Map Link: Internet Ad: Own City /St: Ann Taxes: First Refusal: Zone Class: Possession: Terms: Restrict: Septic Inst: Lot ToplVeg Water: Sewer: Waterfront:. Road Info: Lot 005: Prop Feat. Recent: Page 1 o F 1 Lr $24,900 QLP: ;39,500 Remarks 4 City lots corner East Sapphire and Thomas In Bell / Mason Street area I 2 sites] 10,000 sci ft each- -Sewer on last Sapphire and Thomas- -water main across [north side] of Sapphire . -Power & phone on East Sapphire -- heavily treed with Fir & Cedar -- level- -does not appear to be wet - -at east end of pavement on East Sapphire http :llw,,"v. matrix. nwmis. com/ Matrixll' rintingIPrintOptions .aspx` ?c= AAEAAAU * * * * *A... 2/27,12014 Agent /Oftere Information — " -- -- Bill Perko Agent Ph: (360) 385 -4115 x561 (Office) xghn_L,.,ScultLl? :..7.5�1n±r?.s L?g! Office Ph: (360) 385 -4115 x561 S Entered By. General information - -- - ,459 ac /20,000 sf Price/Lot SF: #1.25 Grant Street Elem Jr High: Blue Heron Mid Port Townsend High School D: Port Townsend *50 04/1912013 Entry Dt: 04119/2013 Exp Dt: 12/31/2014 GMG1RRunner - Jeff Gd/Map: A3. 02 Lot #: 11 -14 Heikes Own Ph: (206) 364 -5129 TaxlD: 951 904 603 check with City of PT for infrastructure requirements 49th to Bell st- -south to East Sapphire- -east to end of pavement - -thru gate - -lots on right south] Scctlo�i Above price Yes Bank/REO: No Prim Ttl- No 3rd Pity: None Yes Pro Slog: Yes Allow Vi: Yes Show Pub: Yes Maple valley, Wa SubD /Prj: Fowiees Park _. Listing Informal :Ian $6S Tax Year: 2013 Sketch! Yes Form 17: Provided No HOA Dues Incl., Residential Zone Sur. City Ctosing Style Cd: 40- Res -Less thn 1 Ac Cash Out NO Manufacturd Homes - -- . ............ ........... Site ln€ r ation ... ... u aed5 Aa -: Rprts/Docs: Level improv: Available Electricity: Available In Street Gas: Not Available County Right of Way Corner Lot Heavily Forested 02/27/2014 : $ Reduced : $40K -]$25K http :llw,,"v. matrix. nwmis. com/ Matrixll' rintingIPrintOptions .aspx` ?c= AAEAAAU * * * * *A... 2/27,12014 3 v 41 eo p. (D C) Q 4 04 § N) c 1A CL OD Q +�� 'C o 4 'X h K (D v CX wl 03 [q�' V o 5_ A 5 Co 4 �1 O Qo Q-0 q n co tx lb o. � cry H O L 1D H 0 r a� a 4 N COO !z 0-" N ' W (D N CS O 0 v Q L T W j 0 v -n a Q a? 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Q Q � L � y G fl � n ro N O ^r^,, Q N (n a TI h] 0 O Q . w iD N -0 ❑ a N • v � Aq'' � g Q W C, Q C 41 v O .2 ❑ 0) N 3 rIi Q N ❑ ro 3• CL C) 0 v rM V + .0 V ;8 � s♦ . r « i • •• # #YrY Ry 14 ♦ +• +•f•• ♦•r •nAPY y A•eR.r # #•i# • ♦r P4�Y • ♦Rai }f ♦•n #••••o #! °R # + +* P e (!7 Beli St Magn-661st 0 6 N � m p T m D f1 D Q. r r v R• A•• i i #• i •� •• +•ip•Y #t YEA #e; i. #} v cwifR�A• N ♦ ♦iR ♦ # *•� # lily ♦.••v «• #. #,,P rim Boa �•#re ! ## Rf Y r #ws mg v vv •## •s••}s••i•r !!sR dk • v.i.f .i. 1 ro �_ m y 3 fa 0 6 N � m p T m D f1 D Q. QUIMPER WILDLIFE CORRIDOR CONSERVATION FUTURES FUNDS ILLUSTRATIONS - 2014 Habitat snag - Parcel 1 Facing west looking into Parcel 1 Wetland plants - Parcel 1 Facing east - Parcel 2 Xr r Traii facing west - Parcel 2 v r � s d'. Facing - Match Parcel '"k t JEFFERSON LAND TR UST AND SUBSIDIARY Consolidated Financial Statements For the Year Ended December 31, 2012 Table of Contents Independent Auditors' Report Consolidated Financial Statements: Consolidated Statement of Financial Position Consolidated Statement of Activities Consolidated Statement of Cash Flows Notes to Consolidated Financial Statements Supplementary Information: Consolidated Schedule of Functional Expenses Page 1 -2 3 4 5 6 -18 19 Independent Auditors' Report Board of Directors Jefferson Land Trust and Subsidiary Certified Public Port Townsend, Washington Accountants We have audited the accompanying consolidated financial statements of Jefferson Land Trust and and Consultants Subsidiary (collectively, JLT, a nonprofit organization), which comprise the consolidated statement of financial position as of December 31, 2012, and the related consolidated statements of activities and changes in net assets and cash flows for the year then ended, and the related notes to the financial statements. Management's Responsibility, for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditors' Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditors' judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. L I 1 MI Opinion In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of JILT as of December 31, 2012, and the changes in its net assets and its cash flows for the year then ended in conformity with accounting principles generally accepted in the United Certified Public States of America. Accountants Report on Summarized Comparative Information and Consultants We have previously audited JLT's 2011 financial statements, and we expressed an unmodified audit opinion on those audited financial statements in our report dated April 3, 2012. In our opinion, the summarized comparative information presented herein as of and for the year ended December 31, 2011, is consistent, in all material respects, with the audited financial statements from which it has been derived. Report on Supplementary Information Our audit was conducted for the purpose of forming an opinion on the financial statements as a whole. The consolidated schedule of functional expenses is presented for purposes of additional analysis and is not a required part of the financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the financial statements. The information has been subjected to the auditing procedures applied in the audit of the financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the financial statements or to the financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the information is fairly stated in all material respects in relation to the Financial statements as a whole. ce ps Certified Public Accountants March 19, 2013 -2- JEFFERSON LAND TR UST AND SUBSIDIARY Consolidated Statement of Financial Position December 31, 2012 (With Comparative Totals for 2011) Assets Cash and equivalents $ 333,764 $ 284,193 Investments (Note 2) 467,802 459,277 Accounts receivable 66,205 51,840 Pledges receivable (Note 3) 515,020 484,224 Note receivable (Note 4) 78,391 81,803 Prepaid expenses 1,479 1,679 Land, conservation easements, and purchase options - Habitat land 930,937 660,437 Working land 25,048 25,048 open space land 263,832 256,332 Conservation easements 49 47 Land held for sale 600,000 Total land, conservation easements, and purchase options (Note 5) 1,219,866 1,541,864 Furniture and equipment, net of accumulated depreciation of $15,798 (2011 - $12,996) 8,869 11,671 Total Assets $ 2,691,396 $ 2,916,551 Liabilities and Net Assets Accounts payable $ 8,810 $ 8,863 Accrued expenses and deferred revenue 53,433 49,676 Purchase option received 120,000 Longterm debt (Note 6) 444,000 Total Liabilities 62,243 622,539 Net Assets: Unrestricted (Note 9 )- Undesignated 682,369 180,220 Board designated 1,219,866 1,421,864 Total unrestricted net assets 11902,235 1,602,084 Temporarily restricted (Note 10) 691,453 660,932 Permanently restricted (Note 11) 35,465 30,996 Total Net Assets 2,629,153 2,294,412 Total Liabilities and Net Assets $ 2,691,396 $ 2,916,551 See accompanying notes. -3- JEFFERSON LAND TRUST AND SUBSIDIARY Consolidated Statement of Activities For the Year Ended December 31, 2012 (With Comparative Totals for 2011) See accompanying motes. -4- Temporarily Permanently Unrestricted Restricted Restricted 3012 Total 2011 Total Revenue and Gains: Gifts and contributions $ 82,576 $ 295,358 $ 4,469 $ 382,403 $ 347,156 Fair value of easement acquisitions 537,304 537,304 239,500 Grants and contracts 763,539 763,539 324,687 Special events income, net of net of expenses of $22,291 (2011 - $34,726) 105,748 105,748 87,260 Net investment return (Note 2) 12,895 12,895 8,118 Rental income 17,6$5 Release from restriction (Note 10) 264,837 (264,837) Total Revenue and Gains 1,766,899 36,521 4,469 1,801,889 1,024,406 Expenses: Program 1,281,690 1,281,690 781,209 General and administrative 98,117 98,117 93,392 Fundraising 86,941 86,941 70,864 Total Expenses 1,466,748 1,466,748 945,465 Change in Net Assets 300,151 30,521 4,469 335,141 78,941 Net assets, beginning of year 1,602,084 660,932 30,996 2,294,012 2,215,071 Net Assets, End of Year $ 1,902,235 $ 691,453 $ 35,465 $ 2,629,153 $ 2,294,012 See accompanying motes. -4- JEFFERSON LAND TRUST AND SUBSIDIARY Consolidated Statement of Cash Flows For the Year Ended December 31, 2012 (With Comparative Totals for 2011) See accompanying notes. -S- 2012 2011 Cash Flows from Operating Activities: Change in net assets 335,141 $ 78,941 Adjustments to reconcile change in net assets to net cash provided by operating activities - Depreciation 2,802 2,099 Realized and unrealized (gain) loss on investments (3,828) 5,467 Imputed interest expense 36,000 Write down of land value due to conservation easement 24,999 Donated stocks received (32,735) Donated land received (20,004) Pledge of donated land (15,000) Changes in assets and liabilities: Accounts receivable (14,365) 24,452 Pledges receivable (45,796) 29,804 Prepaid expenses 200 668 Accounts payable (53) (25,864) Accrued expenses and deferred revenue 3,757 1,338 Net Cash Provided by Operating Activities 313,658 74,169 Cash Flows from investing Activities: Purchases of investments (106,639) (239,957) Proceeds from sale of investments 101,942 119,995 Proceeds from note receivable 3,412 3,251 Purchases of land and land purchase option (263,002) (174,186) Proceeds from sale of land 480,000 308,760 Sale of purchase options 52,500 Purchases of furniture and equipment _ (7,847 Net Cash Provided (Used) by Investing Activities 215,713 62,716 Cash Flows from Financing Activities: Payments on long -term debt (480,000) (213,024) Net Cash Used by Financing Activities (480,OOOy (213,024) Net Change in Cash and Cash Equivalents 49,571 (76,139) Cash balance, beginning of year 284,193 360,332 Cash Balance, End of Year $ 333,764 $ 284,193 Supplemental Disclosure of Cash Flow Information: Cash paid for interest $ 2,567 $ 18,367 See accompanying notes. -S- JEFFERSON LAND TRUSTAND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note I - Organization and Summary of Significant Accounting Policies Organization - Jefferson Land Trust (the Land Trust) is a Washington nonprofit corporation, formed on April 7, 1989, The Land Trust's purpose is to acquire, preserve and manage open space lands and easements for land conservation purposes benefitting the public. The Land Trust also provides information and materials to the public on land conservation issues. The Land Trust serves Jefferson County on the Olympic Peninsula in Washington. The Land Trust has been accredited by the national Land Trust Alliance since August 5, 2009. On September 5, 2007, JLT Resources, LLC was formed with the Land Trust as its only member, JLT Resources, LLC was formed for the purpose of purchasing and holding land for conservation purposes. Principles of Consolidation - These financial statements consolidate the statements of Jefferson Land Trust and JLT Resources, LLC {collectively, "JLT" }. Inter - organization balances and transactions have been eliminated in consolidation. Basis of Accounting - The consolidated financial statements of JLT have been prepared on the accrual basis of accounting. Basis of Presentation - Net assets, revenues, expenses, gains and losses are classified based on the existence or absence of donor - imposed restrictions. Accordingly, the net assets of JLT and changes therein are classified and reported as follows: Unrestricted Net Assets - Include all net assets on which there are no donor - imposed restrictions for use, or on which donor - imposed restrictions were temporary and have expired. Temporarily Restricted Net Assets - Include all net assets subject to donor - imposed restrictions that will be met either by actions of JLT or the passage of time. Permanently Restricted Net Assets - Include all net assets received by donations wherein the donors impose a permanent restriction on the use of the gift. The donors require the gift to be invested and only the income from such investments may be used to support the intended cause. All donor- restricted support is reported as increases in temporarily or permanently restricted net assets, depending on the nature of the restriction. When restrictions expire (that is, when a stipulated time restriction ends or purpose restriction is accomplished), temporarily restricted net assets are reclassified to unrestricted net assets and reported in the consolidated statement of activities as net assets released from restriction. Gifts of equipment are reported as unrestricted support unless explicit donor stipulations specify how the donated assets must be used. Gifts of long -lived assets with explicit restrictions that specify how the assets are to be used and gifts of cash or other assets that must be used to acquire long -lived assets are reported as restricted support. Absent explicit donor stipulations about how long those long -lived assets must be maintained, expirations of donor restrictions are reported when the donated or acquired long -lived assets are placed in service. -6- JEFFERSON LAND TRUST AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 1- Continued Use of Estimates - The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Gash and Equivalents - For reporting purposes, JLT considers all unrestricted highly liquid investments with a purchased maturity of three months or less to be cash equivalents. Concentrations - JLT maintains its cash in bank deposit accounts with two financial institutions. JLT's cash balances may, at times, exceed federally insured limits. One donor's pledge represented approximately 32% of pledges receivable, and the total of all pledges from board members represented approximately 41 % of pledges receivable at December 31, 2012. one donor's pledge represented approximately 14% of pledges receivable, and the total of all pledges from board members represented approximately 28% of pledges receivable at December 31, 2011. Investments - Investments in marketable securities with readily determinable fair values and all investments in debt securities are valued at their fair values in the consolidated statement of financial position. The carrying amount of the investment held in trust is determined by the trustee holding the securities. Unrealized gains and losses are included in the change in net assets. JLT has established a designated fund at Jefferson County Community Foundation. As JLT has designated itself as the beneficiary of the fund, the fund balance and activity are reported in the consolidated financial statements of JLT as required by GAAP. Accounts Receivable - Accounts receivable are stated at the amount management expects to Collect from outstanding balances. Management provides for probable uncollectible amounts through a charge to earnings and a credit to a valuation allowance based on its assessment of the current status of individual accounts. Balances still outstanding after management has used reasonable collection efforts are written off through a charge to the valuation allowance and a credit to trade accounts receivable. Grants and Contracts - JLT receives grants and contracts from federal, state, and local agencies, as well as from private organizations, to be used for specific programs or land purchases. The excess of grants receivable over reimbursable expenditures to -date is recorded as deferred revenue. Furniture and Equipment - Furniture and equipment are capitalized at cost if purchased, or, if donated, at the approximate fair value at the date of donation. When retired or otherwise disposed of, the related carrying value and accumulated depreciation are removed from the respective accounts and the net difference, less any amount realized from disposition, is reflected in earnings. Maintenance and repairs are charged to expenses as incurred. Costs of significant improvements are capitalized. JLT provides for depreciation using the straight -line method over the estimated useful lives of the assets of five to ten years. -, JEFFERSON LAND TRUST AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 1- Continued Land and Easements - JLT records acquisitions of land at cost if purchased. Land acquired through donation is recorded at fair value, with fair values generally based on independent professional appraisals. These assets fall into four primary categories: Conservation Lands - Real property with significant ecological value for habitat, open space, or working lands. Stewardship programs of JLT manage these properties to protect the natural biological diversity of the property. JLT manages its working timberland as a Forest Stewardship Council - Certified, managed forest. Conservation Easements - Voluntary legal agreements between a landowner and a land trust or government agency to permanently protect the identified natural features and conservation values of the property. These easements may be sold or transferred to others so long as the assignee agrees to carry out, in perpetuity, the conservation purposes intended by the original grantor. Conservation easements owned by JLT protect habitat, open space and working lands, such as family farms, through its stewardship programs. Easements acquired represent numerous restrictions over the use and development of land not owned by JLT. Since the benefits of such easements accrue to the public upon acquisition, the fair market value of easements acquired is shown in the year of acquisition as an addition to net assets to record the donation of the easement, and unless conveyed to a public agency for consideration, shown as a reduction in net assets to record the value of the public's benefit and to recognize that these easements have no marketable value once severed from the land and held by JLT_ Easements held by JLT are carried on the consolidated statement of financial position at $1 each for tracking and accounting purposes. Two easements valued at $337,304 in total were donated to JLT during the year ended December 31, 2012, One other easement was modified during the year ended December 31, 2012, resulting in an increased value of $200,000. Accordingly, $537,344 of contribution revenue and $537,302 of related write down expense have been reported on the consolidated statement of activities for the year ended December 31, 2012. Land Held for Sale - At December 31, 2011, JLT owned one property, Tamanowas Rock Sanctuary, to be sold in the near future under prearranged agreements with the potential owner. Tamanowas Rock Sanctuary was purchased by JLT with the help of the Jamestown S'Klallam Tribe and a low interest loan from the Sullitt Foundation (Note 6). The Jamestown S'Klallam Tribe purchased an option on the property in 2449 which was exercised in December 2012. The Tribe donated a conservation easement on the property to JLT in 2012 as the intention of the Tribe is to protect the property in perpetuity for both habitat and cultural purposes. Tamanowas Rock Sanctuary has a long history of cultural ties to the Jamestown S'Klallam Tribe. Land Purchase Option - At December 31, 2010, JLT had $52,504 invested in purchase options for Chimacum Dairy, a historic dairy farm in the Chimacum Valley. These options were sold at cost during the year ended December 31, 2011, when a group of conservation investors bought the farm, they reimbursed JLT for the purchase option amount and entered into a long term lease with a local creamery in Jefferson County. JLT continues to hold a conservation easement on the property for working farm and habitat purposes. The group of conservation investors includes related parties to JLT. -8- JEFFERSON LAND TRUST AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 1- Continued Purchase Option Received - In 2009, JLT purchased the Tamanowas Rock Sanctuary with the help of the Jamestown S'Klallam Tribe and a low interest loan from the Sullitt Foundation (Note 6). The Jamestown S'Klallam Tribe paid $120,990 to JLT in 2009 for an option to purchase the property which was exercised in 2012. Federal Income Taxes - The Internal Revenue Service has determined Jefferson Land Trust and JLT Resources, LLC (a disregarded entity) to be exempt from federal income taxes under Internal Revenue Code Section 501(c)(3). Contributions to JLT are deductible as allowed under Section 170(b) (I)(A)(vi) of the Code. JLT files income tax returns with the U.S. government and is subject to income tax examinations for the current year and certain prior years based on the applicable laws and regulations. During the year ended December 31, 2012, the Land Trust elected the provisions of Section 501(h), relating to expenditures to influence legislation. Functional Allocation of Expenses - The costs of providing the various programs and other activities have been summarized on a functional basis in the consolidated statement of activities. Accordingly, certain costs have been allocated among the programs and supporting services benefited. Comparative Amounts for 2011 - The financial statements include certain prior -year summarized comparative information in total but not by net asset class. Such information does not include sufficient detail to constitute a presentation in conformity with GAAP. Accordingly, such information should be read in conjunction with JLT's financial statements for the year ended December 31, 2011, from which the summarized information was derived. Subsequent Events - JLT has evaluated subsequent events through March 19, 2013, the date on which the consolidated financial statements were available to be issued. Note 2 - Fair Value Measurements GAAP defines fair value, establishes a framework for measuring fair value, and requires disclosures about fair value measurements. To increase consistency and comparability in fair value measurements, GAAP uses a fair value hierarchy that prioritizes the inputs to valuation approaches into three broad levels. The hierarchy gives the highest priority to quoted prices in active markets (Level 1) and the lowest priority to unobservable inputs (Level 3). Valuation Techniques - Financial assets and liabilities valued using Level 1 inputs are based on unadjusted quoted market prices within active markets. Financial assets and liabilities valued using Level 2 inputs are based primarily on quoted prices for similar assets or liabilities in active or inactive markets. Financial assets and liabilities using Level 3 inputs are primarily valued using management's assumptions about the assumptions market participants would utilize in pricing the asset or liability. Valuation techniques utilized to determine fair value are consistently applied. -9- JEFFERSON LAND TRUST AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 2 - Continued Following is a description of the valuation methodologies used for assets measured at fair value. There have been no changes in the methodologies used at December 31, 2012 or 2011. Mutual Funds - Valued at quoted market prices in active markets, which represent the net asset value (NAV) of shares held by AT at year -end. Funds Held at Jefferson County, Community Foundation - Valued using the NAV provided by the fund's manager. The NAV is based on the fair value of the underlying assets owned by the fund. These underlying assets are traded in active public markets with observable market data. There are no significant redemption restrictions or unfunded commitments on these investments. Fair Values Measured on a Recurring Basis - Fair values of investments measured on a recurring basis at December 31 were as follows; Fair !Value Measurements as of December 31, 2012 Level Level Level Total Mutual funds - Fixed income mutual fund $ 38,130 $ - $ - $ 38,130 Funds held at Jefferson County Community Foundation 59,339 59,339 Total Investments Held at Fair Value $ 38,130 $ - $ 59,339 $ 97,469 Certificates of deposit, held at cost plus accrued interest 370,333 Total Investments $ 467,802 -10- JEFFERSON LAND TRUST AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 2 - Continued Mutual funds - Fixed income mutual fund Funds held at Jefferson County Community Foundation Total Investments Held at Fair Value Certificates of deposit, held at cost plus accrued interest Total Investments Fair Value Measurements as of December 31, 2011 Level Level Level Total $ 36,480 $ - $ - $ 36,480 56,085 56,085 $ 36,480 $ - $ 56,085 $ 92,565 366,712 $ 459,277 A reconciliation of the beginning and ending balances for fair value measurements made using significant unobservable inputs (Level 3) are as follows: Beginning balance at January 1 interest income Realized/unrealized gain (loss) Investment fees paid Withdrawals Ending Balance at December 31 investment return for the years ended December 31 consisted of the following: Interest income Realized /unrealized gain (loss) Investment fees _tf - 2012 2011 $ 56,085 $ 125,377 4,349 3,254 (5,122) (3,234) (65,285) 69,..339 $ 56,085 2012 2011 $ 9,289 $ 16,819 3,828 (5,467) 222) (3,234) $ 12.895 8,118 JEFFERSON LAND TRUSTAND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 3 - Pledges Receivable Pledges receivable at December 31 are to be received as follows: Less than one year Two to five years Thereafter Less discount to present value (0.6 %) Less allowance for uncollectible pledges Note 4 - Note Receivable 2012 2011 $ 191,458 $ 217,724 320,995 252,910 14,650 23,750 527,103 494,384 (6,301) (5,160) 5,782 (5,000) $ 615.020 484,224 On February 15, 2008, JLT granted a loan to an individual in relation to one of the pieces of conservation land owned by AT. AT received a promissory note in exchange. The promissory note is for the amount of $93,750 and is to be paid in monthly installments of approximately $600. The note matures on January 15, 2028, with an annual interest rate of 5 %. The note receivable at December 31 is to be received as follows: Less than one year Two to five years Thereafter -12- 2012 2011 $ 3,579 $ 3,405 20,838 15,454 53,974 62,944 78.391_; 81,803 JEFFERSON LAND TRUST AND SUBSIDIARY Notes to Consolidated Finaneial Statements For the Year Ended December 31, 2012 Note 5 - Land, Conservation Easements, and Purchase Options Land, conservation easements, and purchase options at December 31 are summarized as follows: Conservation lands - Quimper Wildlife Corridor Duckabush Oxbow Chimacum Creek Suliis Forest Preserve Kilham Comer Snow Creek Estuary Gateway Donovan Creek Conservation easements Land held for sale - Tamanowas Rock Sanctuary Note b - Long -Term Debt 2012 2011 $ 279,988 $ 264,987 180,000 180,000 280,159 160,160 125,240 125,240 38,930 38,930 86,000 86 „000 85,000 85,000 144,500 1,500 49 47 600,000 $ 1,219,866__ $ 1,541.864 On December 18, 2007, JLT entered into a loan agreement with a commercial lender in the amount of $226,110. The loan bore interest at 8.5 %, and was due in 60 monthly payments of principal and interest totaling $1,965, and a final principal payment of $200,809 on January 10, 2013. The loan was secured by the Red Dog Farm property and an Assignment of Rents from the lease described in Note 8. The underlying property was sold during the year ended December 31, 2011. At that time, this loan was paid off in full. On December 23, 2009, JLT entered into a promissory note in the face amount of $480,000 with a Washington nonprofit corporation to purchase the Tamanowas Rock Sanctuary property. The note is secured by the property. The note has a stated interest rate of 1 % and had a maturity date of December 31, 2011. When the loan proceeds were advanced, JLT recorded contribution revenue and a loan discount using an imputed interest rate of 8.5 %. During the year ended December 31, 2011, the note was extended through December 31, 2012, at the same interest terms as the original note. The discount on the loan was being amortized to interest expense over the life of the loan. Imputed interest expense of $36,000 was reported in the accompanying consolidated statement of activities for the years ended December 31, 2012 and 2011. The discounted amount due at December 31, 2011, was $444,000. During 2012, the Tamanowas Rock Sanctuary property was sold and the related debt was paid in full. -13- JEFFERSON LAND TR UST AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 7 - Retirement Plan In 2010, JLT began a Simplified Employee Pension - Individual Retirement Accounts Contribution Benefit Plan ( "the Plan'). Eligible employees may join the Plan after one year of service. The total employer contribution for 2012 and 2011 was $4,760 and $5,298, respectively, and is included in employee benefits on the consolidated schedule of functional expenses. Note 8 - Lease Agreements On July 2, 2008, JLT entered into an operating lease as lessee for its administrative office in Port Townsend, Washington. The lease was renewed effective July 2010 and continued through June 2012. The agreement called for monthly payments of $1,412 plus utilities. After June 2012, the lease converted to a month to month rental basis. Rent expense totaled $17,804 and $17,678 for the years ended December 31, 2012 and 2011, respectively. Note 9 - Unrestricted Net Assets Unrestricted net assets consisted of the following at December 31: Designated - Tamanowas Rock Sanctuary Quimper Wildlife Corridor Duckabush Oxbow Chimacum Creek Bulis Forest Preserve Kilham Corner Snow Creek Estuary Gateway Donovan Creek Conservation easements Total designated Undesignated 2012 2011 $ - $ 480,000 279,988 264,987 180,000 180,000 280,159 160,160 125,240 125,240 38,930 38,930 86,000 86,000 85,000 85,000 144,500 1,500 49 47 1,219,866 1,421,864 682,369 180,220 1 902 235 1 602xp$4 JEFFERSON LAND TR UST AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 10 - Temporarily Restricted Net Assets Temporarily restricted net assets consisted of the following at December 31: Purpose restriction - For stewardship of Bulis Forest Preserve Forest Legacy program For stewardship and management services for Tamanowas Rock Working Farm Fund Consulting fees WALT Stewardship Funding Other program restrictions Time restriction - outstanding pledges 2012 2011 $ 76,790 $ 78,643 40,002 53,865 19,008 45,468 12,500 1,000 673 15,032 176,433 166,548 515,020 494,384 $ 691,453 $ 660,932 Net assets of $69,223 were released from donor restrictions by incurring expenses satisfying the purpose restriction specified by the donor, and net assets of $195,614 were released due to the expiration of time restrictions for the year ended December 31, 2012, Note 11- Permanently Restricted Net Assets At December 31, 2012 and 2011, JLT had $35,465 and $30,996, respectively, of permanently restricted net assets. This is comprised of endowment investments Tote 12), the income of which is available to support general operations. Note 12 - Endowments The JLT endowment consists of one fund established to support general operations. As required by GAAP, net assets associated with endowment funds are classified and reported based on the existence or absence of donor - imposed restrictions. interpretation of Relevant Law - JLT's Board of Directors has interpreted the Washington State Prudent Management of institutional Funds Act (PMiFA) as requiring the preservation of the fair value of the original gift as of the gift date of the donor- restricted endowment funds absent explicit donor stipulations to the contrary. As a result of this interpretation, JLT classifies as permanently restricted net assets (a) the original value of gifts donated to the permanent endowment, and (b) the original value of subsequent gifts to the permanent endowment made in accordance with the direction of the applicable donor gift instrument at the time the accumulation is added to the fund. -15- JEFFERSON LAND TRUST AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 12 - Continued The remaining portion of the donor- restricted endowment fund that is not classified in permanently restricted net assets is classified as temporarily restricted net assets until those amounts are appropriated for expenditure by JILT in a manner consistent with the standard of prudence prescribed by PM1FA. However, JLT has informed donors of its spending policy which states that no distributions will be made during the first five years of the fund's existence or until it reaches a threshold balance of $400,000. Since these milestones have not yet been reached, JLT adds all amounts earned to the permanently restricted balance. In accordance with PMIFA, JILT considers the following factors in making a determination to appropriate or accumulate donor - restricted endowment funds: - The duration and preservation of the fund; - The purposes of JLT and the donor - restricted endowment fund; - General economic conditions; - The possible effect of inflation and deflation; - The expected total return from income and the appreciation of investments; - Other resources of JLT; and The investment policies of JLT. As of December 31, 2012, endowment net assets consisted of the following; Temporarily Permanewiv Unrestricted Restricted Restricted Total Donor restricted endowment funds $ - $ - $ 35,465 $ 35,465 Endowment Net Assets, December 31, 2012 $ - $ 35,465 35,465 As of December 31, 2011, endowment net assets consisted of the following: Temporarily Permanently Unrestricted Restricted Restricted Total Donor restricted endowment funds $ - $ - $ 30,996 $ 30,996 Endowment Net Assets, December 31, 2011 $ - - $ 30,996 $ _ 30,996 -16- .IEFFERSON LAND TR US AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 12 - Continued Changes to endowment net assets for the years ended December 31, 2012 and 2011, are as follows; Endowment net assets, January 1, 2011 Endowment investment return - Interest and dividends Realized and unrealized losses Total endowment investment return Contributions Endowment Net Assets, December 31, 2011 Endowment investment return - Interest and dividends Realized and unrealized gains Total endowment investment return Contributions Endowment Net Assets, December 31, 2012 Temporarily Permanently Unrestricted Restricted Restricted Total - $ - $ 20,226 $ 20,226 791 791 (271), (271) 520 520 10,250 10,250 $ - $ 30,996 $ 30,996 776 776 654 654 1,430 1,430 3,039 3,039 $ $ $ 35,465 $ 35,465 Funds with Deficiencies - From time to time, the fair value of assets associated with individual donor restricted endowment funds may fall below the level that the donor or PMIFA requires JLT to retain as a fund of perpetual duration. In accordance with GAAR deficiencies of this nature are reported in unrestricted net assets. There were no such deficiencies as of December 31, 2012 or 2011. Return Objectives and Risk Parameters - JLT has adopted investment and spending policies for endowment assets that attempt to provide a predictable stream of funding to programs supported by its endowment while seeking to maintain the purchasing power of the endowment assets. 'Endowment assets include those assets of donor- restricted funds that JLT must hold in perpetuity or for donor - specified periods as well as board- designated funds. Under this policy, as approved by the Board of Directors, the endowment assets are invested in a manner that is intended to produce results that exceed the price and yield results of a custom Policy Index made up of various indices. The composition of the custom Policy Index is based upon the strategic asset allocation of the investment portfolio and assumes a moderate level of investment risk. The investment objectives of the Operations Endowment Fund include maintenance of principal, timely liquidity, and preservation of purchasing power over time. -17- JEFFERSON LAND TR US T A ND S UBSIDIA R Y Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 12 - Continued Strategies Employed for Achieving Objectives - To satisfy its long -term rate -of- return objectives, JLT notes that for funds earmarked for capital appreciation, appropriate investments include intermediate term bond funds/ETF's, equity mutual funds, equity ETF's, and unconstrained bond funds. Spending Policy and How the Investment Objectives Relate to the Spending Policy - JLT's spending policy intends that no distributions may be made from the Operations Endowment Fund for the first five years of its existence or until it reaches a threshold balance of $400,000, whichever shall first occur. After a five -year period or after achieving the $400,000 threshold, distributions shall be made on an annual basis as determined by the Board. Regular disbursements should be limited to a maximum of 5% of the value of the portfolio at the beginning of each fiscal year, or one -half of the income generated by the fund for the most recent fiscal year, whichever is less. At no time will the distribution of the spendable amount result in the invasion of the original amounts donated. _/8- SUPPLEMENTARY INFORMATION ED 0 f--y �r O N 1L h O.i OJ N N M N o � y C*�r ura W � eu C� M M m r N CO N N M m i to � N N (fD N I%t N In] O cm h �r LO I- 6% UC) It N Cl C] 0) NN d cO P� m I7 im(LO N [Q m P- r N r 0% c O a cn a w 0 0 f`w Cif w r L) M N fl- r [o N '`Y G] 0) m �I7 w M a) Cl N ti N LO I` Lc) r M 't 00 G) Q) 4C8 N O* I,- M n W (0 V (D , N (c) M M M a -I- 06 N V C7 ir] (.fl 0) N 0) (0 V cl M N r r N (6 Cb (is M N cU M f - C7 (il Qa CL7 (Cl CO M V c[7 N (0 00 M O r M LO r 0'] R St '7' w 00 co co q= m [p C: CO 4 V, CO r N CO r r I� CO CO 0) I, 00 't I�- O I` R 00 M en 06 X6 L6 M ko r [1N r e (p co -tr M CV M M r �y co V U') (0 0) M d tn Q CO M M C? N N$ r CD d' C7 GQ M OD C7 M 4N'] M 4c) 6�] co Ln M N r r t LO r co C) M W N 00 00 (D r N d) 07 W M M Cl) Cl e- h- W r- V 0) 07 N 0: 4 w m N m m N t N't IT r LO M r 06 7 N O) Q Cl) N t0 M LO N N M m (0 m y I4 N 1.0 d C7 N N C) M I- r U) ❑) O M M O M T l[) 0) N LO M C7 It X') Cp M M r M R N W 'tr r p0 (0 06 t� CG M tq�i N M N cl e- �— N M N M O0 N d u7 N r fp r PN+ r M co m m N O N co t r K} N 4) M C'd N N W N O r d? R DO Dl GA C7 rD 11O N r VY 0.1 C0 _ N R N � C > x x LU m � m L CT o, d 0 � � @ H � � C � C d � x x LU N N C v C N > a) (D C w W Q. @ @ C C � @ rq � (� = CL C L3 x N @ 8 @ = N C 4. 0 .0 CL e d) -= w 4) .i : = Z C a C) m -t3 ro r CL v N m �° .� O N 0 = � En v C 0 CD '8 v N 06 A! ` Q 3 C ? U y .,Q a ii. i- a>JSD0�ai- a.OS❑i- ❑m w fp r PN+ r M co m m N O N co t r K} N 4) M C'd N N W N O r d? R DO Dl GA C7 rD 11O N r VY 0.1 C0 _ N R N � C > x x LU m � m L CT o, d 2 Jefferson Land Trust RESOLUTION February l8, 2014 WHEREAS, ,Jefferson Land Trust is an applicant or sponsor for more than one Conservation Futures Funding application, and Conservation Futures Funding Application process requires that Jefferson Land Trust prioritize its projects, and WHEREAS, Jefferson Land Trust has been working since 2001 in partnership with Jefferson County Conservation District, Jefferson County, Washington Department of Fish and Wildlife, North Olympic Salmon Coalition, the Hood Canal Coordinating Council, the Jamestown S'Kiallam Tribe and W SU Cooperative Extension to acquire and restore critical salmon spawning, rearing and migratory habitat in the Salmon /Snow Creek riparian area and estuary, and WHEREAS, these professional naturalists and scientists have recommended that Snow Creek habitat protection be expanded to provide further benefits for migrating salmonids and other species, and WHEREAS, acquisition of high- priority identified parcels on Snow Creek from willing sellers would provide such habitat protection, the Jenks property and the Irvin property have been identified as such, AND WHEREAS, this important community asset will require stewardship in perpetuity, to include annual monitoring, maintenance, and management, according to the Salmon and Snow Creek Fish and Wildlife Management Plan, AND WHEREAS, Jefferson Land Trust has been working since 1995 in partnership with Jefferson County, the City of Port Townsend, Washington Department of Natural Resources, the community and the U.S. Fish and Wildlife Service to acquire land lot by lot to preserve a 3.5- mile greenbelt and natural storm -water drainage -way called the Quimper Wildlife Corridor, and WHEREAS, professional naturalists and scientists have recommended that this corridor be expanded to provide further benefit for wildlife species, especially migrating birds, and to provide additional wetland buffers, and Jefferson Land Trust Page l of 2 WHEREAS, acquisition of high - priority identified lots in the Quimper Wildlife Corridor area from willing sellers would provide such wildlife and wetland protection, and WHEREAS, this important community asset will require stewardship in perpetuity, to include annual monitoring, maintenance, and management, as spelled out in the City - adopted Quimper Wildlife Corridor Management Plan, Resolution, AND BE IT HEREBY RESOLVED that Jefferson Land Trust agreed at its February 19, 2014 Board of Directors meeting to sponsor an application for Conservation Futures Funding for the Snow Creek Riparian Area, including acquisition of a conservation easement on the Jenks property, and fee simple acquisition of the Irvin property. The Board also agreed that The Snow Creek Riparian Area application is the highest priority for 2014 Conservation Futures Funding due to the fact that it would provide a vital connectivity to the Snow Creek project area, the properties are currently listed for sale, grant funding may be available now through and the Salmon Recovery Funding Board and the project represents a collaborative effort with community members and our Chumsortium partner organizations as they work to preserve this significant salmon habitat. The second highest priority is funding for the Quimper Wildlife Corridor, The properties for sale in the corridor are high priority for protection due to the habitat, floodplain and recreational qualities. However, if Salmon Recovery Funding Board grant matching funds are not awarded to Jefferson Land Trust in 2014 for the Snow Creek Riparian Area Project, Jefferson Land Trust requests that the Snow Creek Riparian Area Project application be rescinded until further notice and that the Quimper Wildlife Corridor application is considered as Jefferson Land Trust's highest priority for 2014 Conservation Futures Funding consideration. Signed this 18th day of February, 2414. 416-e Moore, Pre dent, Board of Directors Jefferson Land Trust Jefferson Land Trust Page 2 of 2 1 NY(APPRAISAL IMain RI a N 4 1L P #1 LAND APPRAISAL REPORT Rlr. Nn. 1 d[17CHr 1 LY Borrower NIA Census Tract 9506.02 Map Reference Page 2 A-4 Property Address Parcel !1951 - 90403 F- City Port Townsend County Jefferson State WA Zip Code 98368 Legal Description Lots 11 12 13 and 14 Block 46 of F —tier's Park Addltion• V2 P16 Sale Price S NIA Date of Sale NIA Loan Term NIA yrs. Property Rights Appralsed 21 Fee ❑ Leasehold ❑ De Minimfs PLO Actual Real Estate Taxes S 61 iyry Loan charges to be paid by seller S NIA Usher sales concessions NIA Lender/Cllent Jefferson Land Trust Address 1033 Lawrence Street, Port Townsend, WA 98368 Occupant Vacant Appraiser Judith L. Mayes -Klan InstructionsicApPraislef Estimate fair market value. Location ❑ Urban ® Suburban ❑ Rural Good Avg. Fair Poor Bu It Up ❑ Over 75% 025 %to 75% ❑ Under 25% Em to end Stability Convenience b Employment ❑ Growth Rate ❑ Fully Dev. ❑ Rapid ® Steady ❑ Slow Convenience to Shopping Property Values tR Increasing ❑ stable ❑ Declining Convenience to Schools ❑ ❑ DemanouPp7 ❑ Shortage ® In Balance ❑ Dversuppy Adequacy of Public Transportation Marketing Time ❑ Under 3 Mos. Z 4 -6 Mps. ❑ Do 6 Mos. Recreational Facilities M El ❑ ❑ Present 6o % One -Una 1 % 2.4 Unit 2 % Apts. 96 Condo 7 % Commercial Adequacy of Utilities M El El x Land Use industrial % Vacant 30 % P Compatibility �% tr Change In Present El Not Ldcely ❑ Likely { *} ❑ Taking Place (' ") Protection Irom Detrimental Conditions = Land Use (•j From To Police and Fine Protection ❑ m Predominant Occupancy Z Owner ❑ Tenant 5 % Vacant General Appearance of Pro erties Z OWU* Pro Range $ 35 to $ 1.10o Predorllinarit Value $ 245 Appeal to Market One -Unit Age Range D yrs. to 99+ yrs. Predominant Age 40 yrs. view, noise) See Text Addendum. Note: 3D% of the Comments including chose factors, favorable or unfavorable, affecting markefaltlily (e g. public parks, schools, resent land use is undevefo ed land oonsistin of vacant land that is either fields or wooded. Dimensions 109 x 200' More or less = 20,000 .46 acres X Comer Lot Zoning Classification RI {SF} Present Improvements 0 Do ❑ Do Not Conform b Zoning Regulations Highest and Bess Use ❑ Present Use Z Other (specify) Single family dwelino Public Other (Describe) OFF SIT E IMPROVOWITS Topo Level Elec. ® Street Access ❑ Public ❑ Private Sae Larger than typical Gas ❑ None surtace None Shape Rectangular wWater 21 Maintenance El Pubic E:1 Private View WoodedlAveraae San. Sewer X ❑ Storm Sewer ❑ CurKutter Drainage Appears adequate on south porfian of site. norm portion in food plain ❑ Unde(grourd Elect. & TOIL ❑ Sidewalk ❑ Street Lights Is the property located in a FEMA Special Flood Hazard Area? M Yes ❑ No Comments [favorable or unfavorable including any apparent adverse easements, encroachments. or other adverse condiions) The northern portion of the subject_ parcel is located in a 100 Year flood plain. There are wetlands located on parcels located directly to the east of the subject parcel. The subject is located approximately 100 feet Troth a paved road. The subject is located approximately one block from public sewer. There were no adverse easements encroachments or other unusual conditions noted. The undersigned has recited the following recent sales of properties most similar and proximate to subject and has considered these in the market analysis. The description includes a dollar adjustment reilectng market reaction m those items of significant variation between the subject and comparable properties. It a significant item in the comparable property is superior to or more favorable than the subject property , a minus ( -) adjustmerd Is made, thus reducing the indicated value of subject; it a significant Item In the comparable Is Interior to or less lavorable than the subject property, a plus ( +) adjuslmerf Is made thus increasing the indicated value of the subject. ITEM I SUBJECT PROPERTY COMPARABLE NO, I COMPARABLE ND, 2 COMPARABLE NO.3 Address Parcel #951- 904 -603 1224 Willow Street XXX 32nd Street XXX 39th Street Port Townsend WA 98368 Port Townsend WA 98368 Port Townsend WA 98368 Port Townsend WA 98368 pro xi to SU - of 1.54 miles SE 0.70 miles SE 0.42 miles SW Saks Price $ NIA Is 70.0001 $ 52,000 S 17,500 y Price $/S q. FL $ Is $ $ Data Source sL Assessor Rec. NWMLS#4748WAssessor Records NWMLS#4865931Asse3 Records NWMLS#4179251A5ses3or Records ITEM DESCRIPTION DESCRIPTION + - $ Adjust. DESCRIPTION + - S Adjust. DESCRIPTION + (-)S Adjust. a Date o1 SalwTiime Ad. NIA 07111/13 08/02/13 04/26/13 for Location Fowfer's Park Fort Worden -15,0 Dundee Hill +5,00 Fowlers Park G SiWView .46 acres .46 acres .56 acres -2,00 66 acres -4.00 View WnodedlA MWIWoodedlA -10.0 Wooded/Avg WoodedL4 Topography Level/Flood Plain LeveVSi ht Slope -12.0 Level -12 D00 LevWSli ht Slope -12,0,00 11c Ic Uhlities Sewer in suWtr 1 Blk Sewer Wtr 1 Block +6,000 Sewer 1 Blkfwtr In st -4 000 Sewer 6 EtlkslWtr In st +15,000 Road Access Unimproved Unimproved Gravel Road -7 DOO Unlm roved +15000 Sales or Financing NIA None None None Concessions NIA None None None Net oral ❑ + ^❑_ - s -31,000 ❑ + - $ - 20.000 51 + ❑ - $ 14 000 ate Indicated Value of Sub act S 39 000 S 32 000 $ 31,500 Gmmmerds on Market Data A Ihmu h seamh was made to locale the most similar sales from the subpBcl market area. These 4 sires are considered to be the best auaaable et the time d inapedgn Comp 1 is moll simlar in size size to the subisel Comps 2 - 5 are similar in vaswquaW, Comps 1 and 3 lira located on unimproved mods. Com s 1 and 2 are most simian in aYaiahtlll of utiR' Con 1 and 2 ors most similar overall and are walghted, with all comps considered o eslimaie of value. Comtents and Conditions of Appraisal This appraisal Is a summary report. This appraisal is in compliance with the Uniform Standards of Professional sisal Practices. No nor safes or listings were noted for the subject within the past 3 years or the Cvm ps in the past yearL Final Reconciliation Comps 1 and 2 are most similar overall and are weighted, with all comps considered. Reasonable exposure time is considered to be 36 tg 189 des r- a zi I tWE) ESTIVATE TI(@ T'(M1WF jS Dr- TpE i4B CT PRDPERFY A5 OF G2111/2014 TO BE S 34,DOO Z Appraiser Judith L. Maves-Klatt Supervisory Appraiser (it applicable) LOU Date of Signature and Report 92/2112014 Data of Signature Tile Certified Residential APpraiser Tille State Certification# 1702097 ST WA State Certlflcation# ST Or State License # ST Or State License # ST Expiration oate of Slate Cetrlicalon or License 0411 812 0 1 5 Expration Date of Sales Codification or License Date of Inspection 'd applicable) 02/1 1/2014 ❑ Did ❑ Did Not Inspect Pm Date of Ins Ilion 1-1UMI LAW - -YYII I I 1 M dVVI dl W! W1Wd1E 4}I d Ip I IUUG, ati. Pa =cf -2— MK APPRAISAL lam mono. Iaueue LANK APPRAISAL REPORT RIP No 1dnM1121 v Borrower N/A GeneuS Tract 95D6.01 Map Reference Pa e 2 C-3 Property Address Parcel #972 - 901 -402 r- City Port Townsend Courtly Jefferson State WA Zip Code 98368 w Legal Description Lots 2 4 6 and 8 Block 14 Walana Addition• V2 P31 m Sale Price $ NIA Date of Sale NIA Loan Term NIA yrs. Properly Rights Appraised ® Fee L] Leasehold El De Minims PUD Actual Real Estate Taxes $ 656 jyr} Loan charges to be paid by seller $ NIA Otter sales concessions NIA LenderlCkent Jefferson Land Trust Address 1033 Lawrence S"et Port Townsend WA 98368 Occupant Vacant raiser Jud tin L. Mayes Klan Instructions la Apprai ser Estimate fair market value. Location ❑ Urban IN Suburban ❑ Rural Built Up ❑ Over 75% Z 25% to 75% ❑ Under 25% Growth Rate ❑ Fufiy On, ❑ Rapid ® Steady ❑ Sow property Values Z Increasing ❑ Stable ❑ Declining DemandfSuppy ❑ Shortage ® In Balance ❑ Oversupply Marketing lime ❑ Under 3 Mos. ® 4-6 Mos, ❑ Over 6 Mos. c' Present 60 % One-Unil 1 % 2.4 Unit 2 %Apts. % Condo 7 % Commercial Land Use %industrial %Vacant 30 % Change in Presort Not Likely ❑ Likely ( *} ❑ Taking Ppce (*) Land Use ( *} from To Z Predominant Occupancy Owner ❑ Tenant 5 % Vacarrt One -Unit Price Range $ 35 to f _1,100 Predominant Value S 245 One -Unil Age Range 0 yrs- to 99+ yfs- Predominant Age 40 yrs, Comments including those Factors, favorable or unfavorable, affecting marketability (e.g. public parks, schods, present land use, is unttevelo d land consisting of vacant land that is either fields Good Em men[ Stability Avg. Fair Poor Carnenience to Employment Q 0 ❑ ❑ Convenience to Nipping Convenience to Schools F1 El ❑ Adequacy of Public Transportation Recreational Facilities Adequacy of Utilities Property ConVatitallity Protection from Detrimental Conditions Police and (tire Prolecton ❑ ❑ General Appearance of Properties al to Market M ❑ ❑ ❑ view, noise) See Text Addendum- or wooded. Note: 30% of the Dimensions 100' x 200' More or less 70ing Classilication RI (SF) Highest and Best We ❑ Present We Public Other (Describe) Elec. M „u Gas ❑ Wone water ® San- Sewer ® ❑ underground Elect f1 Tel. Comments (favorable or unfavorable inclining parcel has area that is desict Hated as = 20.000 .46 acres Corner Lot Present Improvements ® Do ❑ Do Not Contorm to Zoning Regulations Z Omer (specify) Single family dwelling OFF SITE IMPROVEMENTS Topo LevaUSli ht Slope Street Access ❑ Public ❑ Private Size Lerner than typical Surface None Shape Recta utar Malntanarice ❑ Public ❑ Private View Wooded/Average ❑ Storm Sewer ❑ CudVGuft Drainage Appears adequate ❑ Sidewalk ❑ Street Lights Is the properly located in a FEMA Special Food Hazard Area? ❑ Yes ® No any apparent adverse easements, encroachments, or other adverse conditions) The parcel directly south of the subject wetlands. The subject is located approximately one block from a paved street. The subject would require_ Street improvement to develop The subject s located approximately one block from public sewer and water. There were no adverse easements encroachments or other unusual conditions noted. The undersigned has recited the following recent sales of properties most shAWr and pro>amate to subject and has considered these in the market analysis. The description Includes a dollar adjustment reflecting market reaction to those Items of significant variation between the subject and comparable properties. If a significant item in fire comparable property is superior to or more favorable than the subject p(operty, a minus (-} adpslnrem is made, thus reducing the indicated value of subject; if a significant Item in the comparable Is Inferior 10 or less favorable than the subject property, a plus ( +) adjustment is made thus increasing the indicated value of the subject. ITEM I SUBJECT PROPERTY COMPARABLE NO.1 COMPARABLE N0.2 COMPARABLE NO.3 Address Parcel #972 - 901 -402 Port Townsend WA 98368 1224 Willow Street Port Townsend WA 98368 XXX 32nd Street Port Townsend WA 98368 XXX 39th Street Port Townsend WA 98368 Pro4mily to Sub'ect 1 1.26 miles SE 1.01 mites SW 0.96 mites SW Sales Price IS NIA 3 70,000 Is 52,000 S 17,500 Price VA. Ft. S $ is $ Data Source(s) Assessor Rec. NWMLS0474960fAssesscr Records NWMLS9466593fAssessor Records NWFALS94179251Assessor Records ac ITEM DESCRIPTION DESCRIPTION +(-)S Ad ust. DESCRIPTION + - Ad s1. DESCRIPTION + - $ p4 usl. c Date of Salenme Adj. NIA 07/11113 08/02/13 04/26/13 w Location North Beach Fort Worden -15,000 Dundee Hill +5 .DO Fowler's Park 0 Sltolcw 46 acres -46 acres 1.56 acres -2 000.66 acres -4 DUO nfrew T ra WoodedlA LeveVSli ht S MtNWoodedlA LevellSl' ht Slope - 10000Wooded/A Level O Wooded/Avg LevellSt F# Slo e Utilities Sewer Wtr 1 Block Sewer Wtr 1 Block Sewer 1 t3IklWtr in st -10 000 Sewer 6 BlkslWtr in st +9 000 Road ACCess Unim roved Unirr roved Gravel Road -7 ODO Unkn roved +15 000 Sales or Financing Concessions NIA NIA None None None None None Nerve Net Ad . otal ❑ + $ -25AD0 —1 + M- IS -14000 F�+ ❑ - Is 20,000 Indicated Value In is ec1 $ 45 —0t- 00 s 38 000 $ 37,5 Comments o0 Market Data A through search was made to locate U e mast similar sates from the subject market area. These 4 sales are considered to be the bast available at the time of inspection - comp 1 is moat similar in size size and avai[abil ity of utilities. Cam 2 -5 are mast similar in view quality. Comps 1 and 3 are k)cated on unimpfoved roads. Com s 1 and 2 are most similar overall and are weighted, with all comps considered in estimate of value. Comments and ConclSons of Appralsal This appraisal Is a summary report. This a sisal is in com Rance with the Uniform Standards of Professional Appraisal Practices No prior sales or listings were noted for the subiect within the past 3 years or the Camps in the past year. Final Recenclllallon Com 1 and 2 are most similar overall and are wet hied with all comps considered. Reasonable sure time is considered to be 30 to 180 days. I (WE) ESTRATE THEYRKT_1MC4,ME,0 WMf=O,.gFy 1%JEAU11415r-7 PROPERTY Appraise' Judith L. fMyes -Klalt Date of Signature and Report 0212112014 Title Certified Residential Appraiser _ Slate Cellfiealion # 1702097 ST WA Or State license # ST EVration Date of Stale Certification or License 04/1812015 AS OF 02111/2014 lubr0 Supemsory Appraiser (ii applicable) Date of Signature Title State Cenlfkcallon # Or Slate License # Emiratkn Date of State Certification or License Did Form LAND — 'WnTOTAL" appraisal software IN a to mode, Inc. — 1- 800-ALAMODE r A i ainF' 1 �°'° � � .y,�.►4 �•, �Cit �, � MK APPRAISAL M LAND APPRAISAL REPORT F1aNn imrmnan v Borrower N!A Census Tract 9506.02 Map Reference Page 2 B-4 Property Address Parcel #1996-002 -001 City Part Townsend County Jefferson State WA bp Gode 98368 Legal Description Lots 1-4 Block 20 Tacoma Addition; V1 P81 Sale Price $ NIA [Pate of Sale NIA Loan Term NIA yrs. Property Rights Appraised ® Fee ❑ Leasehold ❑ De Minors PUD Actual Real Estate Taxes $ 181 G rj Loan d arges to be paid by Soler $ NIA Other sales concessions WA Lepder/Clierd Jefferson Land Trust Address 1033 Lawrence Street, Port Townsend WA 98368 Occupant Vacant A raiser Judith L. Wves -Klatt Instructions 1e Appraiser Estimate fair market value. Location C1 Urban ® Suburban 71 Rural Built Up ❑ Over 75% R 25% to 75% ❑ Under 25% Growth Rate ❑ Foy Dev. ❑ 'Rapid (Z Steady ❑ Slaw Property Values Increasing ❑ Swie ❑ Declining Drat'iand/Srpo ❑ Shortage ® In Balance ❑ Dirmpply a Mariardng Tnrne ❑ Under 3 Mos. El 4.6 Mos, ❑ Over 6 Taos. presem rrD % One -Unit 1 % 24 Urrit 2 % Apts.. %Condo 7 % Camnrlercia! Goad Ern to en[ Stability Avg. Fair Poor Comvenliaxre to Em rrrend Q ❑ Convenience to S 1 CorNmerme to Schools M El ❑ Adequacy of Public Iran Recreational Fac!ties Aftuacy at Utilities Land USE % Industrial % Vacant -% m Charge in Present ® Not Llkey ❑ Li" r) ❑ Taking Plan (') s Lard Use (xj Flom To Predorninant Occupancy ® Owner ❑ Tenant 5 %VaOard PlWerly Corapdb2f M ❑ Protecum trom Detrimental CordW Police and Fire Protection 0 z Ll ❑ Goal ADvearrinca of Properties Om -Unit Price Range S 35 io $ 1,100 Predominant Value S 245 Appeal to Market One -Writ Age Range Q yrs- to 99+ yrs. Predominant Age 40 yrs. Comments induding those factors. favorable or unfavorable, affecting malketabtiity (e.g. public parks, schools, view, noise] See Text Addendum. Note, 30% of the present land use, is uldevebp fend Consisting of vacant land that is either fields or wocided. Dimensions 1 DV x 200' More or less = 20,000 .46 acres M Goner Lot Zoning Ciass4kation RI {SF] Present Improvemeras [9 Do ❑ Do Not Conform to Zoning Regulations High and Best Use ❑ Present Use ED Other (Specity) Single family dweillrrg Public Other (Describe} OFF S WWROVEMNTS Tapp Level Elm ® Street Access ❑ Public ❑ Private Size La than 'Cal Gas [] SeM None Shape Rectangular _ Water ® VWintenance ❑ Pubic ❑ Private View WoodeiNAverage San. Sewer ® ❑ Storm Server ❑ CurwGutw Drainage Appears adequate ❑ Underground Elect. & TeL ❑ Sidewalk ❑ Street Lights Is the properly localedl in a FEMA Special Flood Hazard Area? ❑ Yes ® No Comments (b arable or urkmabfe including any apparent adverse easemerds, mcrcxC rnerts, or other adverse conditions) The parcel dlrectty north of the subject parcel has area that is designated as wetlands The subiect is located apprt»d K' fve bbdks from a paved stmt. The sub act would ire street im rnvement to deveb .The stir ec1 is boated a ropmate 5 blocks from ublic water. There were no adverse easemerns, encroachments or other unusual cond' k— noted. The undersigned has recited the lolowing recent Sales of properties most simper and pro diriate 10 subject and has considered these in the market analysis. The description includes a dollar adjallnert rdWrtg market reaction to those items of slgrdiicard varialica between fie subject and comparable properties. 9 a signlfunt tern in rie comparable property is superior to of more favoable than the subject properly, a minus ( -) adjusmtent is made, thus reducing the indicate talus of subject; d a significant Item in the comparable is mferrtu to or less favorable than The subject property, a plus j +O adjust rut is made thus increasing the hxticated valte of the subject. ITEM I SUBJECT PROPERTY COMPARABLE NO.1 COMPARABLE NO.2 COMPARABLE NO.3 Address Parcel #998-0172 -OOI 1224 Willow Street XXX 32nd Street 300[ 39th Street Port Townsend WA 98368 Port Townsend WA 98368 Port Townsend WA 98368 Port Townsend WA 98368 Proxi b Std :I" — -NIAi 1.54 m lies SE 0.64 miles S 0.43 miles SW Sales Price $ $ 7D 000 - $ 52,000 $ 117.500 $ Y Data Spence $ Assessor Rec. NWMLS#47486WPsasssOr Records NWML Assessor Records NWMLS0179251Assessar Records C ITEM DESCRIPTION DESCRIPTION + - 'ust. DESCRIPTION + - ) $ Adjust DESCRIPTION + - AdbsL a Date of SaleJhne Ad NIA 07111113 08/02113 04!26113 h4 Lunation Tacoma Addition Fort Worden -15 ODO Dundee Hit +5,00 Fowlers Park 0 SIWMew 46 acres 46 acres 5B acres -ZOO .B ; acres -4 OOD Vietiv TOM WaodedlA Level M1UVWOodW Level)Sll ht Sipe - 1000DWoodedlA 0 Level WoodedlA Level/Slicitt Sloe 0 < Wiffies Sewer in sWytr 5 Elks Sevwer.Wtr 1 BbCk - 14,000 Sewer 1 Biki wtr in st -24 000 Sewer 6 elkslvulr in st -5 ODO Road Access Unimproved Unrn roved -15.00 Gravel Road -22 000 Unim roved 0 Sales or Fknancin g, NIA None None None Goamions Net Ad ofd ,N /A None None None ❑ + $ -54.000• + - S -43,000. ❑+ - $ -9 ,()OD p1 Value WWmm .._...- S 16 0 o $ 9 OOQ $ 8,500 Commends on Market Data A mmregh search was made to iosate InB must senior seise room are steeieet market area Tbma 4 sales are co mr wm m be the beer avaiW6leffi the iKae aF Inspe7lrun. Gam 7 "s most simwarin s¢e srZe. Comps 25 are most sini�r n Hew al 1 aM 3 ere rrxalea are unto roved roads. Cam i and 3 am most sinlaro�waa and are we Mad xih as mrri cansrd&e0 in the estimate d value. 1 Comments and Conditions M Appraisal This a ralsal is a summa report This appraisal is in coo Hance with the Uniform Standards of professional Appraisal Practices No prior sales or isiings were noted for the subject within the past 3 years or the Comps •m tt>e past near. Rrd FiecanCiUdon Comps 1 and 3 are mast similar overaN artd are weigrxsd with all comps considered. Reasonable exposure time _- considered to be 30 to 180 d — (WE) ESTIItATE TR(E�MARtWT,}gyryE+ � qq Tf E l , Cf PROPERTY AS OF 0211112014 MMES 12,000 Appraiser Judith L1. Maves-i4am Super "Appraiser (d applicable) Date of Signaft" and Report 02121!2014 Date of Signature Tolle Certified Residential Appraiser T]lle State Certification # 1702097 ST WA Stale Cerbficati0a # ST Or State License # ST Or State Uomse # ST b#ratlen Date of Stale Gertiiicatien or License 0 411812015 Expiration Date of Sate Certification or license p Date of Ins don fif Cable 0211 112014 Did U Did Not MNCI Property Date of Inspection _-- -- ---___ parse Form LAND — WmTUTAU appraisal srmware 0Y a a mope, mc. — i- uuuRLAmuuc 2014 Conservation Futures Application and Score Sheet �tiw¢SON `0 2014 Jefferson County Conservation Futures Program { Property Acquisition and/or Operations and Maintenance Project Application Please complete the following application in its entirety. Be sure to answer ""NIA" for questions that don't apply to the project. Incomplete applications will not be accepted for consideration. Unless directed otherwise, use as much space as needed to answer each question. Contact program staff at 379 -4498 or tpokorny @co.lefferson. wa. us with questions. Background and Eligibility Information 1. Project Title: Snow Creek Watershed Acquisitions _ Irvin and Jenks 2a. Conservation Futures Acquisition Request: $90,824 b. Conservation Futures O &M Request: none at this time 3. Total Conservation Futures Request: $90,824 4. Please indicate the type of interest contemplated in the acquisition process. X Warranty Deed X Easement _ Other ('lease describe below.) In whose name will the property title be held after acquisition? Jefferson Land Trust will hold title to the Irvin property with a Deed of Right to the State Recreation and Conservation Office, and the Jenks property will continue to be privately held with a conservation easement in place. 5. Applicant Information Name of Applicant or Organization: Jefferson Land Trust Contact: Sarah Spaeth Title: Executive Director Address: Executive Director Phone: (360) 379 -9501, ext. 101 Fax: {360 }379 -9897 Email: (360) 379 -9501, ext. 101 Fax: (360)379 -9897 6. Sponsor Information: (if different than applicant) Same 201 -1 Conrervazion Fatures Application and Score Sheet This application was approved by the sponsor's legally responsible body (e.g, board, council, etc.) on February 18, 2014. 7. Site Location Street Address or Description of Location: Snow Creek Ranch, west of Hwy. 101, NW of Crocker Lake, S of Hwy. 104 intersection Driving Directions from Port Townsend: Head south on Highway 20. Turn south (left) onto Highway 101 at Discovery Bay. South of the 104 intersection, turn west (right) into the Snow Creek homes development. Section: Township: _ Range: Irvin — S2 T28N R2W Jenks S11 T28N R2W Assessor's Parcel Number(s): Irvin Property - # 802 024 001; 995 400 040, 035, 025, 049, 058, 057, 059, 028, 037, 042, 054, 056, 113, 114 (15 parcels) Jenks Property - 802 111 001 8. EXISTING CONDITIONS New Site: Yes X No Number of Parcels. 2 properties —16 tax parcels Addition to Existing Site: Yes No Acres to Be Acquired: 104 Total Project Acreage (if different): 400 + in project area Current Zoning: Rural Residential 1.5 Existing Structures/Facilities Jenks — small vacation cabin Any current covenants, easements or restrictions on land use: none that we are aware of Current Use: Irvin property — vacant land Jenks property — one small vacation cabin, otherwise vacant Waterfront (name of body of water ): Snow Creek Riparian Shoreline (linear feet): 3750' of main stem Snow Creek in- stream riparian and upland habitat. Owner TidelandslShorelands: 9. Current Property Owner X is _is not a willing seller. 2 2014 Conservation Futures Application and Scare Sheer Project Description 10. In 1000 words or less, provide a summary description of the project, the match, overarching goal, and three top objectives. Include information about the physical characteristics of the site that is proposed for acquisition with Conservation Futures Program funds including: vegetation, topography, surrounding land use, and relationship to parks, trails, and open space. Describe the use planned for the site, any development plans after acquisition (including passive development), characteristics of the site which demonstrate that it is well- suited to the proposed use, and plans for any structures currently on the site. If applicable, describe how the site relates to the larger project, and whether the project has a plan, schedule and funding dedicated to its completion. Please also list any important milestones for the project or critical dates, e.g, grant deadlines. List the dates and explain their importance. Please attach a spreadsheet of the budget. Jefferson Land Trust and Chumsortium partners {includes Washington Department of Fish and Wildlife North Olympic Salmon Coalition, Jefferson County Conservation District, Hood Canal Salmon Enhancement Group, Hood Canal Coordinating Council, Jefferson County, WSU} have been working for years to preserve and restore important habitat in the Salmon and Snow Creek watersheds located south of Discovery Bay. As of early 2014, nearly 400 acres of Discovery Bay Estuary habitat, Salmon and Snow Creek habitat and farmland of the Discovery Bay valley are permanently preserved and major restoration activities have been accomplished. Chumsortium project partners identified the Irvin and Jenks properties, located just northwest of Crocker Lake as important for permanent protection and restoration efforts for migrating salmon species, water quality and other wildlife habitat in this larger watershed project area. Numerous salmon species utilize the habitat of Snow Creek that flows from the foothills down through the Jenks property, then onto the Irvin property on its way north to Discovery Bay. The Irvin property includes the upper end of the historic endangered Summer Chum distribution. The Snow Creek riparian corridor connects marine waters and estuary with upland forests, an important connection now and in the future as climate changes and species move. The Jenks property is directly adjacent and downstream from Department of Natural Resources forestland in the foothills of the Olympics, and is characterized as a gently- sloping valley —200' deep along about 1/4 mile of Snow Creek with mixed second- growth forest including spruce, maple, alder, western red cedar, Douglas fir and other native species. There are open grassy areas at the northern end of the Jenks property, with a mixture of native and non - native grasses and shrubs, and going upstream the gradient increases. There is a relatively small open area where a vacation cabin is located. The majority of the adjacent downstream Irvin property is relatively level floodplain made up of grassland and alder, with patches of blackberry, equisetum, rush, sedge, etc., and the area close to Snow Creek is primarily big leaf maple and native understory with occasional Douglas fir, western red cedar, alder, and Himalayan blackberry. The upland slopes are fairly mature mixed - species second - growth forest. Both properties include tributaries to Snow Creek, some of which are seasonal. The Irvin property includes 15 platted lots and is currently undeveloped. The landowner has been eager to sell the property for several years and has listed it on and off. The Jenks property is listed for '0 14 Conservation Futures Application and Score Sheet sale, and the landowner is willing to sell 4 of the 5 development rights on her property that are possible under current zoning. This residential development could significantly degrade existing habitat for salmon. Jefferson Land Trust proposes acquisition of the majority of the Irvin property for permanent protection of the floodplain and riparian habitat from development, and some replanting of the riparian buffer of Snow Creek. Purchase of a conservation easement on the Jenks parcels would reduce the development potential from five currently allowed building rights to one on this property. This would reduce the threat of habitat degradation and water quality impacts from development. These acquisitions would result in 102 acres of preserved property and reduce overall development from 20 potential home -sites to one. A habitat assessment conducted by the Hood Canal Coordinating Council biologist has indicated that both properties would benefit from understory planting of conifer species to provide year -round shade and better long run woody debris for creating pools and stream complexity. The project fits well with the Hood Canal Coordinating Council Strategy for Salmon Recovery. Critical habitat acquisition is number one on their sequenced project lists for both Salmon and Snow Creek watersheds. Jefferson Land Trust submitted a grant application in 2013 to the State Salmon Recovery Funding Board (SRFB) for funding for these Snow Creek acquisitions. The project ranked high enough for funding, though we are still waiting on final grant approval and should know by mid -March if the project has been awarded funding. If it does not receive funding in this grant cycle, Jefferson Land Trust requests that this application be retracted. The three top objectives for this project are: 1) Secure SRFB grant funds for the project. 2) Acquire high priority threatened properties from the willing sellers. 3) Permanently protect and restore the properties as part of the Snow Creek project area. 11. Estimate costs below, including the estimated or appraised value of the properties) or property right(s) to be acquired, even if Conservation Futures funds will only cover a portion of the total project cost. In the case of projects involving multiple acquisitions, please break out appraisals and estimated acquisition costs by parcel. a. Estimated or Appraised Value of Properties) to be Acquired: $500,000 Irvin - $350,000 Jenks Conservation Easement - $150,000 b. Total Estimated Acquisition - related Cost (see Conservation Futures Manualfor eligible casts): $80,650 c. Total Operation and Maintenance Cost: Not included d. Total Project Cost: $5$0,650 Basis for Estimates (include information about how the property value(s) was determined, anticipated acquisition- related costs, general description of operation and 4 2014 Conservation Futures Applicalion and Score Sheet maintenance work to be performed, task list with itemized budget, and anticipated schedule for completion of work]: The land estimate for the fee simple acquisition of the Irvin property is based on the asking price minus the estimated value of several non - riparian lots that are not being proposed for acquisition. Land acquisition costs for the conservation easement were estimated based on past experience with project development. Full appraisals and appraisal reviews will be conducted according to SRFB grant requirements prior to finalizing negotiations and acquisitions. Anticipated project related costs include; appraisal and appraisal reviews, title insurance and closing costs, survey, baseline documents, taxes and recording fees, project management, legal costs. In addition to the Land Trust's usual monitoring, we will be conducting restoration with project partners, though the restoration costs are not included in this grant application and will be funded through the SRFB grant. See attached Project Cost Table Scored Questions la. Sponsor or other organizations X will will not contribute to acquisition of proposed site and/or operation and maintenance activities. b. If applicable, please describe below how contributions from groups or agencies will reduce the need to use Conservation Futures program funds. As the sponsor organization, Jefferson Land Trust will be coordinating the contribution of the match, the majority of which will come from the State Salmon Recovery Funding Board grant. Additional match will come from land donation value and possible cash contributions. The Land Trust will assume the restoration responsibilities with our Chums partners and will conduct long term monitoring and maintenance. At this time we are not requesting CFF Q & M funding, though may in the future. c. Matching Fund Estimate Acquisition O &M % Conservation Futures Funds Requested Matching Funds/Resources* Total Project Acquisition Cost $90,824 $489,826 $580,650 16% 84% 1O0% * If a prior acquisition is being proposed as match, please describe and provide documentation of value, location, date of acquisition and other information that would directly link the match to the property being considered for acquisition. d. Source of matching Amount of funds /resources contribution SRFB 1370,854 Land Donation $90,922 Cash Contributions Contribution approved? Yes No Yes $28,050 Yes No No If not, Contribution when? available now? 3/19/2014 Yes No summer 2014 Yes No summer 2414 Yes No If not, when? 05/2014 closing closing 5 2014 Conservation Futures Applicc;tion and Score Sheet NOTE: Matching funds are strongly recommended and a higher rating will be assigned to those projects that guarantee additional resources for acquisition. Donation ofproperty or a property right will be considered as a matching resource. Donation of resources for on -going maintenance or stewardship ( "in- kind " contributions) are not eligible as a match. 2 a. Sponsoring agency X is `is not prepared to provide long -term stewardship (maintenance, up -keep, etc.) for the proposed project site. Jefferson Land Trust will conduct stewardship, monitoring and maintenance of the property along with the other parcels in the Salmon and Snow Creek watersheds that we own or are protected with conservation easements. Jefferson Land Trust's stewardship program includes monitoring (at least annually) of protected properties and easements, upkeep and maintenance (trash removal, signage, invasive plant control) and restoration efforts (tree planting, trail building, etc.). Staff and trained community volunteers will conduct monitoring, and maintenance efforts, Jefferson Land Trust relies on trained professionals, including habitat biologists, foresters and others as appropriate. b. Describe any existing programs or future plans for stewardship of the property, including the nature and extent of the commitment of resources to carry out the stewardship plan. Jefferson Land Trust will be working with Chumsortium partners for small -scale enhancement including understory conifer planting on the Irvin and Jenks properties, The proposal includes replanting of the riparian area on the both properties with spruce and cedar to ultimately provide year round shade and large woody debris for Snow Creek. Planting efforts will be conducted by Jefferson Land Trust and possibly Washington Conservation Crew with the oversight of Chumsortium restoration partners. The replanting effort will be funded through the State Salmon Recovery Funding Board grant, 3 a. Describe the sponsoring agency's previous or on -going stewardship experience. Jefferson Land Trust continues to implement a rigorous stewardship program for the roughly 12,300 acres it currently stewards in Jefferson County. These stewardship obligations include properties protected with 54 conservation easements, Jefferson Land Trust preserves and land owned by partner organizations and agencies such as Washington State Parks, Jefferson County, the City, Washington Department of Natural Resources and the Hoh River Trust, The Land Trust is the only local organization or agency that has a monitoring and stewardship program for conservation easements and preserved properties, developed with the guidance of The Land Trust Alliance and utilized effectively for 25 years. b. Has the sponsor and/or applicant of this project been involved in other projects previously approved for Conservation Futures funding? No, neither the sponsor nor applicant has been involved in a project previously approved for Conservation Futures funds. L Yes, the sponsor and/or applicant for this project has been involved in a project previously approved for Conservation Futures funds. Please provide details: Jefferson Land Trust has been the sponsor organization on numerous applications that have received Conservation Futures funds, and has also been the applicant on a number of applications as well, These projects include: Sunfield Farm, 2003; Quimper Wildlife Corridor, 2004; East Tarboo Creek 6 2011 Conservation Futures Application and Score Sheet Conservation Project, 2005; Tamanowas Rock Phase 1, 2006; the Winona Buffer Project, 2006; Glendale Farm, 2007; Finnriver Farm, 2008; Quimper Wildlife Corridor, 2009; Brown Dairy, 2009; Salmon Creek Ruck 2010, Quim per Wildlife Corridor 2010; Tamanowas Rock 2010; Chimacum Creek Carleson 2011; Winona Basin - Bloedel 2011; L. Brown 2012, Boulton Farm 2012, Short Family Farm and Winona Basin - Bloedel Phase 11 2013. Jefferson Land Trust involvement was only made possible by the landowners interested in preserving the conservation values of their properties, either through outright sale, sale of conservation easements and donation of either as match. Community support and other public funding sources as match have also been a demonstration of the value of the approved projects. 4 a. Property ,can X cannot feasibly be acquired in a timely fashion with available resources. b. Necessary commitments and agreements _are X are not in place. c. All parties _are X are not in agreement on the cost of acquisition. If "not" to any of the above, please explain below. Jefferson Land Trust submitted an application to the State Salmon Recovery Funding Board (SRFB) for funding acquisition of the Irvin property and for purchase of an easement on the Jenks property. The project ranked high enough at the state level for funding in 2013, however funding allocations have been held up due to a repriodtization process currently underway with our local lead entity the Hood Canal Coordinating Council. We expect to know if SRFB funding will be released sometime later this spring. Once we have secured the SRFB funding we will initiate the appraisals necessary to determine the fair market value of the acquisitions. If we do not receive the SRFB funding for this project, Jefferson Land Trust requests that this application be removed from consideration in the 2014 CFF grant cycle. 5. The proposed acquisition X is specifically identified in an adopted open space, conservation, or resource preservation program or plan, or community conservation effort. Please describe below, including the site's importance to the plan. Please reference the website of the plan if available or include the plan with this application. — complements an adopted open space or conservation plan, but is not specifically identified. Please describe below, and describe how the proposed acquisition is consistent with the plan. is a stand -alone project. The Irvin /Jenks properties are located in the Salmon and Snow Creek project area. This area has been the focus of protection and restoration efforts on the part of Chumsortium partners since 2000 and is identified in the Summer Salmon Chum Recovery Plan which can be located at the following website. http: / /www. nwr. noaa. g ov /Salmon- Recovery-Plan ningI Recovery-Dom ai ns /Puget - Sound /HC- Recovery- Plan.cfm The Hood Canal Coordinating Council 2013 3 -year work plan has stated that "Working with volunteer landowners, [to] develop high priority land acquisitions that either protect high quality habitats at risk of conversion or impacted habitats which require restoration that is incompatible with current land uses or landowner desires" as a current action item. In addition, the Snow Creek watershed is identified on the Jefferson County's Comprehensive Plan map as Parks, Recreation Areas, Conservation Easements and Areas for Future Cooperative Preservation Efforts: http://wwvv.co.mefferson.wa.us/idms/Rdfs/parks99. 7 2014 Conservation Futures Appdiection and Score Sheet In JLTs county Conservation Plan, this area has four priority habitat indicator layers (the maximum). The plan is located on the JLT website www. save land, org. The Nature Conservancy's Ecoregional Assessment categorizes this as both an aquatic and terrestrial Ecoregional Portfolio site (defined as areas of exceptional biological value and most likely for conservation to succeed). A copy of the plan can be downloaded from http://east.tnc.org/assessment/2/. 6. Conservation Opportunity or Threat: a. The proposed acquisition site Xdoes _does not provide a conservation or preservation opportunity which would otherwise be lost or threatened. b. If applicable, please carefully describe the nature and immediacy of the opportunity or threat, and any unique qualities about the site. Both the Irvin and Jenks properties are currently for sale and have been listed on and off for 4 years, Both are zoned for Rural Residential development at one residence per 5 acres, and portions of the Irvin property were platted much more densely prior to adoption of zoning by Jefferson County. The result is that the properties technically support future development of 20 home -sites most with ready access and PUD water availability. Some sites overlook Crocker Lake and all are located directly adjacent to Highway 101, a Washington State Scenic Byway, making the worksite an attractive development site. It is rare to find adjacent properties for sale that have as much valuable riparian habitat for multiple salmon species. 7. The proposed acquisition: Xprovides habitat for State of Washington Priority Habitat and/or State or Federal Threatened, Endangered or Sensitive species. X provides habitat for a variety of native flora or fauna species. X contributes to an existing or future wildlife corridor or migration route. If a,firmative in any of the above, please describe below, and cite or provide documentation of species' use.' The project area provides important for several salmonid species in various life stages, as indicated in the table below. All the salmonid species present are listed on the Washington Department of Fish and Wildlife Priority Habitat and Species list - lattp: l.!«« ww. wwdfw�.« �a .g�wr'conservatio�y^plasllistl. Both coho and endangered steelhead spawn in this stretch of Snow Creek, spotted owls have been recorded in the area, and bear, deer, elk, bobcat, coyote, cougar, trumpeter swans, and bald eagles are known to be here. Species Life History Current ESA Coverage Life History Present {egg, Population (YIN) Target (egg, ' uvenile, adult) Trend decline, juvenile, adu ' See, for example, http:// www.dnr.wa.pov /researchscience/ topics/ natura lheritagelpages /amp_nh.asux littp://www.wdAv.wa.gov/conservatioti/phs/list/ http://wwwl.daLwa.gov/nhp/refdesk/ lants.htm[ htt : / /www l .dnr.wa. ovinla /refdeskl ubs /wa ecological s stems. df 2014 Conservation Futures Application and Score Sheet S a. Describe the extent and nature of current and planned agricultural use of the proposed acquisition, including any anticipated changes to that use once the property, or property right, is acquired with Conservation Futures funds. Not applicable b. Describe any participation by the current property owner in any other agricultural land conservation programs, including the program and nature of the involvement. Not applicable 9. Describe how the proposed acquisition benefits primarily a `local area X broad county area including the area served, the nature of the benefit, the jurisdictions involved, and the populations served. The Snow Creek watershed, and Discovery Bay at its mouth, has regional significance, providing habitat, clean water, and outstanding scenery. As an element of the Hood Canal- Strait of Juan de Fuca salmon recovery effort, the Snow /Salmon Watershed Fish and Wildlife Management Plan was developed by the Snow /Salmon Technical Advisory Group (WDFW, DNR, JCCD, NQSC, JLT, HCCC, TU, Jefferson County, WSU, JSKT, PGSKT, Point No Point Treaty Council, several trails group, and the Governor's Puget Sound Action Team). This group's vision is "A thriving ecosystem consisting of old- growth forest and riverine system with functioning fioodplain, channel migration zones, and riparian processes that provide habitat for self - sustaining populations of native plants and animals. This area will coexist with human use of the watershed, characterized by thriving agricultural lands, managed forests, and residential communities taking an active interest in providing stewardship of the ecosystem." 14. Describe the educational or interpretive opportunities that exist for providing public access, educational or interpretive displays (signage, kiosks, etc.) on the proposed site, including any plans to provide those improvements and any plans for public accessibility? The Jenks property will remain in private ownership, and there is potential for education and interpretive displays on the Irvin property that is close to Hwy. 10 1, but access will need to be negotiated with the Snow Creek Homeowners Association as they own the access route. 11. The proposed acquisition — includes historic or culturally significant resourees3 and is registered with the National Register of Historic Places, or an equivalent program. ` The words "education" and "interpretation" are interpreted broadly by the CF Committee. 3 Cultural resources means archeological and historic sites and artifacts, and traditional religious ceremonial and social uses and activities of affected Indian Tribes and mandatory protections of resources under chapters 27.44 and 27.53 RCW. N stable, risin Summer Chum Egg, Adult Rising Y Egg, Adult Coho Egg, Juvenile, Adult Stable N Egg, Juvenile, Adult Steelhead Juvenile, Adult I Decline Y Juvenile, Adult Cutthroat trout Egg, Juvenile, Adult unknown I N Egg, Juvenile, Adult S a. Describe the extent and nature of current and planned agricultural use of the proposed acquisition, including any anticipated changes to that use once the property, or property right, is acquired with Conservation Futures funds. Not applicable b. Describe any participation by the current property owner in any other agricultural land conservation programs, including the program and nature of the involvement. Not applicable 9. Describe how the proposed acquisition benefits primarily a `local area X broad county area including the area served, the nature of the benefit, the jurisdictions involved, and the populations served. The Snow Creek watershed, and Discovery Bay at its mouth, has regional significance, providing habitat, clean water, and outstanding scenery. As an element of the Hood Canal- Strait of Juan de Fuca salmon recovery effort, the Snow /Salmon Watershed Fish and Wildlife Management Plan was developed by the Snow /Salmon Technical Advisory Group (WDFW, DNR, JCCD, NQSC, JLT, HCCC, TU, Jefferson County, WSU, JSKT, PGSKT, Point No Point Treaty Council, several trails group, and the Governor's Puget Sound Action Team). This group's vision is "A thriving ecosystem consisting of old- growth forest and riverine system with functioning fioodplain, channel migration zones, and riparian processes that provide habitat for self - sustaining populations of native plants and animals. This area will coexist with human use of the watershed, characterized by thriving agricultural lands, managed forests, and residential communities taking an active interest in providing stewardship of the ecosystem." 14. Describe the educational or interpretive opportunities that exist for providing public access, educational or interpretive displays (signage, kiosks, etc.) on the proposed site, including any plans to provide those improvements and any plans for public accessibility? The Jenks property will remain in private ownership, and there is potential for education and interpretive displays on the Irvin property that is close to Hwy. 10 1, but access will need to be negotiated with the Snow Creek Homeowners Association as they own the access route. 11. The proposed acquisition — includes historic or culturally significant resourees3 and is registered with the National Register of Historic Places, or an equivalent program. ` The words "education" and "interpretation" are interpreted broadly by the CF Committee. 3 Cultural resources means archeological and historic sites and artifacts, and traditional religious ceremonial and social uses and activities of affected Indian Tribes and mandatory protections of resources under chapters 27.44 and 27.53 RCW. N 2014 Consen ation Futures Application and Score Sheet is recognized locally has having historic or cultural resources. is adjacent to and provides a buffer for a historic or cultural site. If affirmative in any of the above, please describe below, and cite or provide documentation of the historical or cultural resources. None known 12a. Describe the extent and nature of current and planned silvicultural use of the proposed acquisition. Please cite or provide documentation of existing or planned silvicultural activities including forest management plan(s) or forest ecosystem restoration. As mentioned earlier, replanting of the riparian area on the both properties with spruce and cedar will take place to ultimately provide year round shade and large woody debris for Snow Creek. Once a healthy riparian forest exists that includes confers, no additional management is planned. b. Describe any participation by current property owner in silviculture conservation programs, including the program and nature of the involvement. Not applicable Verification 13. Sponsors of applications that are approved for funding by the Board of County Commissioners are required to submit a brief progress report by October 30 every year for three years after the award is approved, or three years after the acquisition funds are disbursed to the applicant, whichever is later. The progress report must address any changes in the project focus or purpose, progress in obtaining matching funding, and stewardship and maintenance. Sponsors receiving O &M funds will also submit an annual report for each year that O &M funds are expended. The Committee will use the information to develop a project "report card" that will be submitted annually to the Board of County Commissioners. If this application is approved for funding, I understand the sponsor is required to submit progress reports for three years and for any year in which O &M funds are expended. DS Initials3 `3 1 c j Date 14. If, three years after the date funding is approved by the Board of County Commissioners, the applicants have not obtained the required matching funds, the Committee may request the Board of County Commissioners to nullify their approval of funds, and may require the project to re- apply. If this application is approved for funding, I understand that we may be required to re- submit the application if the project sponsor does not obtain the necessary matching funding within three years. S c-:1 Initials3 l Date 10 Snow Creek Watershed 2014 Conservation Futures Program Acquisition Application ted Project related costs - Irvin Timeline Est. Cost quired — Irvin rto Fall 2014 $350,0 40 ppraisal reviews, surveys, Cultural Resources Assessments, Phase I assessments my 2414 21,550 Baseline and Stewardship Plans Fall $4,000 Title insurance and closing costs, taxes, etc Fall 2014 $3,000 Project Management, Admin and legal fees Fall 2014 $18,950 Total Irvin Project costs $397,500 otal Estimated Project related costs - Jenks Timeline Est. Cost Land to be acquired -� Irvin Fall 2014 $150,000 Appraisals, Appraisal reviews, surveys, Cultural Resources Assessments, Phase I assessments July 2014 $18,000 aseline and Stewardship Plans Fall $4,000 itle insurance and closing costs, taxes, etc Fall 2014 $2,000 Project Management, Admin and legal fees Fall 2014 8,700 Total Jenks Project costs $182, 700 Prand Total Project Costs $580.650 . .ndowner Acknowledoement Form Landowner Information Name of Landowner Landowner Contact Information: GIs. hate Jenks -.ontaet Mailing Address: P -0. Box 305 Port Townsend, Wa. 98368 Contact E -Mail Address:�f"fr� Property Address or Location: 67 foothill Dr. Quilcene Wa. 1.1 am the legal owner of property described in this grant application. 2.1 am aware that the project is being proposed on my property. 3-If the grant is successfully awarded, I will be contacted and asked to engage in negotiations. 4, My signature does not represent authorization of project implementation. Landowner Signature ?roject Sponsor information Project blame: Snow Creek Watershed Acquisition and Restoratior. Project Applicant Contact Information: Jefferson Land Trust Executive director Ms. Sarah Spaeth Mailing Address: 1033 Lawrence St. Port Townsend, Wa. 98368 E -Mail Address: ed @saveland..org Bate Salmon Recovery Grants Manual 18 . January 2013 Landowner Acknowledgement Form Lalridcrw ner Information Name of Landowner: Mr. Philip C. Irvin Landowner Contact Information: Contact Mal ling Address: 9033 30th Ave. SW Seattle Wa. 98126 Contact E -Mail Address: phillp,c.irvirl @grnail.tom Property Address or Location; Snow Creek stanch Quilcene Wa. 1.1 am the legal owner of property described in this grant application. 2.1 am aware that the project is being proposed on my property. 3-if the grant is successfully awarded, I will be contacted and asked to engage In negotiations- 4-My signature does not represent authorization of project implementation. J Landowner $ianatu Date Project Sponsor information Project Narne: Snow Creek Watershed Acquisition and Restoration Project Applicant Contact information: Jefferson Land Trust Executive Director Ms. Sarah Spaeth Mailing Address: 1033 Lawrence St. Port Townsend, Wa. 983bi3 £ -Mail Address: ed @saveland.org Salmon Recovery Crants Manual 18 . January 2013 l E7 Greek wOf, $al Maynar Creek S I. 190 Fort Disci Very, IIr Uncas l.� oil l01 -Y, i q, 0 Qj 0 Proposed Protections Snow/Salmon Watershed 2014 Conservation Futures Application Approximately 104 acres Peterson Lake Crocker Lake Jenks Property - Irvin Property Protection in Progress r JILT Protected National Forest; Federal - Other State Conservation Other State; Marinas Ea. County /Mun... Parks Other County /Mun... Land Tarboo Lake 101 ASK- 0 2.500 5, 000 50.000 Feet For informational purposes only. All data represented are from varying sources and approximate. Map created in February, 2014 N 0 312.5 625 1,250 Irvin Proposed Acquisition Fee` 2011 Aerial Image (NAIP) approximately 74 acres For informational purposes only. All data represented are from varying sources and approximate. N Map created in April, 2013 Jenks Proposed Conservation Easement approximately 28 acres 0 250 500 1,007 1- m EEEEEEI Feet 2011 Aerial Image (NAIP) For informational purposes only. All data represented are from varying 111 sources and approximate. 2A Map created in February, 2014 SNOW CREEK PROJECT CONSERVATION FUTURES FUNDS ILLUSTRATIONS - 2014 Snow Creek Irvin pasture and riparian buffer Snow Creek habitat - Irvin property Jenks Snow Creek habitat Snow Creek - Jenks L Entrance to Jenks from North INTERNAL REVENUE SERVICE DISTRICT DIRECTOR 2 CUPANIA CIRCLE MONTEREY PARK, CA 91755 -7406 Date. MAY 0 3 1994 JEFFERSON LAND TRUST C/O DOUG MASON PRES PO BOX 1610 PORT TOWNSEND, WA 98368-0109 Dear Applicant. DEPARTMENT OF THE TREASURY Employer Identification Number: 91- 1465078 Case Number: 954109042 Contact Person: TYRONE THOMAS Contact Telephone Number: (213) 894 -2289 Our Letter Dated: May 08, 1990 Addendum Applies: No This modifies our letter of the above date in which we stated that you would be treated as an organization that is not a private foundation until the expiration of your advance ruling period. Your exempt status under section 501(a) of the Internal Revenue Code as an organization described in section 501(-)(3) is still in effect. Based on the information you submitted, we have determined that you are not a private foundation within the meaning of section 509(a) of the Code because you are an organization of the type described in section 509(a)(1) and 170(b)(1)(A)(vi). Grantors and contributors may rely on this determination unless the Internal Revenue Service publishes notice to the contrary. however, if you lose your section 509(a)(1) status, a grantor or contributor may not rely on this determination if he or she was in part responsible for, or was aware of, the act or failure to act, or the substantial or material change on the part of the organization that resulted in your loss of such status, or if he or she acquired knowledge that the Internal Revenue Service had given notice that you would no longer be classified as a section S09(a)(1) organization. If we have indicated in the heading of this letter that an addendum applies, the addendum enclosed is an integral part of this letter. Because this letter could help resolve any questions about your private foundation status, please keep it in your permanent records. If you have any questions, please contact the person whose name and telephone number are shown above. Sincerely-yours, / . Richard R. Orosco District Director Letter lo5o (Do/CG) Internal Revenue Service District Director P 0 BOX 2350 ROOM 5127 ATTN: E.D. LOS ANGELES, CA 900532350 Date% MAY 8, 1990 JEFFERSON - COUNTY LAND TRUST 1322 WASHINGTON PO BOX 1610 PORT,TOWNSENT, WA 98368 Dear Applicant: Department of the Treasury Employer IdentificaL• ion Number, 91--1465078 Case Number: 950114110 Contact Person: JOSEPH CUNHA Contact Telephone Narmber (213) 89+4• -41'74 Accounting Pariod Eliding. December 31 Foundation Status Classifications soe attached Advance Ruling i'eriod Begins: April 7, 1990 Advance Ru I i rig Per i od b „nds: Dec. 31, 1,993 Addendum App I i e::s : none Based on information supplied, and assuming your operations Pr i l l be as stated in your application for recognition of exemption, ne have determined you are exempt from Fedoral intone tax under section 501(a) of the Internal Revenue Coda as an organization described in section 501(c)(3). Because you are a newly created organization, we are riot now making a final determination of your foundation stators under :section 509(a) OF the Code). However, we have determined that you can reasonably be expected to be a public- ly supported organization clesc r i bod in sections;; 509 (a) (1) and ] 70 (b) (1) (A) (v i) . Accordingly, you will be treated as a publicly supported organization, and not as a private foundation, during ara advance ruling period. This advance ruling period begins and ands on the dates shown above. Within 90 days of ter the end of your advance ruling period, yorr mus L submit to us information needed to determine rahether you lave met the require. rents of the applicable support test during the advance ruling period. If you establish that you have been a publicly supported organization, you will be classified as a section 509(a)(1) or 509(ra)(2) organization as long as you con- t i nue to meet the requiremesnts of the app linabsia support toast. If you do not meet the public support requirements during the advance rar i i ng period, you w i l l be classified as a private foundation for future pariods. Also, if you are classified as a private foundation, you wiII be treated as a private foundation from the date of your inception for purposes of sections 507(d) and 4940. Grantors and contributors may rely on the determination that you are riot a private f or_inda t i on until SO days a Fter the and of your advance ruling par i od. If you submit the required information within the 90 days, grantors and contri- butors may continue to rely on the advance determination until they Service l.attor 1045(CG) _2- JEFFERSON.CGUNTY LAND TRUST makes a final determination of your foundation status. If notice that you will no longer be treated as a publicly supported or- ganization is published in the Internal Revenue OulleLin, grantors And con - tributors may not.rely on this determination after the date of such publica- ton. In addition, if you lose your status as a publicly supported oryaniza,.. tion and a grantor or contributor was responsible for, or was aware of, the act or failure to act, that resulted in your loss of such' sta Ltis, that parson may not rely on this determination from the date of the act or failure to act. Also, if a grantor or contributor learned that the Searvico had given notice that you would be removed from classification as a publicly supported organiza- tion, them that person may not rely on this detarmirwalion As of the date such knowledge was acquired. Lf your sources of support, or your purposes, character, or method of operation changer, please let us know so He can cons i dor they effect of the change on your exempt status and foundation status. In tire case of an a.inend- ment to. your orggan i xat i ona I document or bylaws, p l oas o sane.] us a copy of the amended .document or by I aws. Also, you should inform us of a l l changes in your name or address. As of January 1, 1984, you area liable for taxes under the Federal Insur- ance Contributions Act (social security taxes) on remuneration of $t00 or more you pay to each of your employees during .a calendar year. You are not liable -for the tax imposed under the Federal Unemployment Tax Act (FUTA). organizations that are not private foundations are not subject to the pri- vate Foundation excise taxes under Chapter 42 of the Code. 'Nomover, you are not automatically exempt from other Federal excise tortes. If you have any questions about excise, employment, or other F eadora l Laxes, please let us know. Donors may deduct contributions to you as provided in section 1.70 of the Code. Begtrests, legacies, devises, transfers, or gifts to you or for your ussa are deductible for Federal estate and gift tax purposes if they meet the appli- cable-provisions of sections 2055) 2106, and 2527 of Lhe Codo. Contribution deduct i ons are allowable to donors only to the ex toot: that their contributions are gifts, with no consideration received. Ticket pur- chases and s i m i I a payments i n conjunct i on "i th Fundra i s i nq ave3nts may not necessar i I y qua I i f y as deduct i b l e contr i but i ons;, depand i rig on tiae c i rc:um-° stances. See Revenue Ruling 67 -246, published in Cumulative Bulletin 1967 ~2, on page 104, wla i ch sets f orth gu i de l i ness regard's rig the deduct i b i I i ty, as char i - table contributions, of payments aada by taxpayers For admission to or other participation in fundraising activities for charity. You are required to file Form 990, Return of Organ i ration Exempt From Income Tax, only if your gross receipts each year are norrviIly more than X25,400. However, if you receive a. Form 990 package in the mail, please file the return even if you do not exce3od the gross recce ipts test. If you art) not I.etter 104b(CG) -3- JEFFERSON,rCOUNTY LAND TRUST required to file, simply attach the label provided, check the box in the head•• ing to indicate that your annual gross receipts area normally $25,000 or less, and sign the return. If a return is required, it must be flied by the 15th day of the fifth month after the and of your annual accounting period. A penalty of $10 a day is charged when a return is filed late, unless there is reasonable cause for the delay. Homeyer, the maximum penalty charged cannot exceed $53000 or 5 por- cant of your gross receipts for the year, whichever is less. This penalty may also be charged i F a return is not complete, so please be sure your return is complete Before you file it. You are not required to f i l e Federal income tax returns unless you are subject to the tax on unrelated business income under section 511 of the Code:. If you are subject to this tax, you must file an income tax return on Form 990 -T, Exempt Organization Business Income Tax Rnturn. In this letter i,in are not determining whether any of your present or propose=d activities ore unre- lated trade or business as deaf ined in section 513 of the Cadn. You need an employer i dent i f icat i on number oven if yoti havo no employees, If an employer identification number was riot entered on your application, a number m i l l be assigned to you and you w i l l be add i ssocl of it. Please use that number on all returns you file and in all correspondence Neith the Internal Revenue Service.- If we have indicated in the heading of this lottor that an addendum applies, the addendum enclosed is an integral pert of this latter. Because this letter could help resolve any questions about your exempt status and foundation status, you should keep it in your permanent records. If you have any questions, please contact the poison whose name and telephone number are shown in the heading of this letter. E:nclosureSs) : Form 872 -C inceroly yours, Michael J. Uuinn District ©irector Latter 1045(CG) zc JEFFERSON COUNTY LAND TRUST FOUNDATION STATUS: 170 (b) (1) (A4 (vi) and 509(a) (1) Letter 1045 (CGD Consent Department of the Treasury-- Internal Revenue SeMo 0MB No. 1545-006. Form 87 2 —C Consent Fixing Period of Limitation Upon Upires331.89 Assessment of Tax Under Section 4940' of the To be used with Farm (Rev. March 1986) internal Revenue Code 1023. submit In (see Form 1023 Instructions for Part IV. line 3.) duplicate. Under section 6501(c)(4) of the Internal Revenue Code, and as part of a request filed with Form 1023 that-the organization named below be treated as a publicly supported organization under section 170(b)(1)(A)(vi) or section 509(a)(2) during an advance ruling period, JEFFERSON COUNTY LAND TRUST ....................... ( rtarn .... Pagel ... .......orrj ....................... and the Dlstric #Director P.Q. BOX 1610 PORT TOWNSEND, WA 98368 of Internal Revenue .t. ......... (Number, street city or town. state, and ZIP code) Consent and agree that the period for assessing tax (imposed under section 4940 of the Code) for any of the 5 tax years in the advance ruling period will extend 8 years, 4 months, and 15 days beyond the end of the first tax year. However, if a notice of deficlency.in tax for any of these years is sent to the organization before the period expires, then the time for malting an assessment will be "further extended by the number of days the assessment is prohibited, plus 60 days. Ending date of first tax year.... 12 � 31 / 8 JEFFERSON'COUNTY LAND TRUST or Signature ! District Diractru to Nalxcq�co�t�Ro>�h I I. 2/6/90 MICHAEL J. QUIN'N Date A I MAY p By ! i '_,� 1111 "ANAGER, E0_4 For Paperwork Reduction Act Notice. sae pate 1 of the Farm 1023 instructions. Jefferson land Trust Summary 2014 Budget for JLT Income Unrestricted Capital Funds for Programs and Values of Conservation Easements 2014 Operating Budget $ 87,500 Restricted Capital Funds, Grant Funds from Gov'I and Private Sources $ Endowment Funds $ Operations Income 155,970 3,700 Annual Contributions $ 128,400 Multi -Year Contributions (Pledges) $ 95,000 Special Events (Rainfest and other ticketed events) $ 114,500 Fee for Services $ 117,550 Investment Income $ 6,050 Other $ 25,200 Total Operations Income $ 486,700 Total Income $ 733,870 Expenses Cost of Goods Sold $ 225,986 Administrative Expenses $ 108,510 Payroll Expense $ 397,670 Total Expense $ 732,155 Net Income $ 1,704 ROSTER BOARD MEMBERS MOORE, Steve - President REID, David - VP MACHETTE, Michael - Treasurer LAMKA, Kathryn - Secretary DIEFENDERFER, Heida HULTMAN, Glenda KEISTER, Gary TYLER, Joanne VAN CLEVE, Brie TAFF SPAETH, Sarah - Executive Director BAIER, Ann - Deputy Director CLENDANIEL, Carrie - Conservation Assistant KINGFISHER, Erik - Stewardship Director NEWMAN, Nancy - Conservation Associate ROBERTSON, Caroline - Outreach Director SMITH, Shelby - Development Director WACKER, Kathleen - Finance Assistant JEFFERSON LAND TRUST AND SUBSIDIARY Consolidated Financial Statements For the Year Ended December 31, 2012 Table of Contents Independent Auditors' Report Consolidated Financial Statements; Consolidated Statement of Financial Position Consolidated Statement of Activities Consolidated Statement of Cash Flows Notes to Consolidated Financial Statements Supplementary Information: Consolidated Schedule of Functional Expenses Page 1 -2 3 4 5 6 -18 19 Independent A uditors'Report Board of Directors Jefferson Land Trust and Subsidiary Certified public Port Townsend, Washington Accountants We have audited the accompanying consolidated financial statements of Jefferson Land Trust and and Consultants Subsidiary (collectively, JLT, a nonprofit organization), which comprise the consolidated statement of financial position as of December 31, 2012, and the related consolidated statements of activities and changes in net assets and cash flows for the year then ended, and the related notes to the financial statements. Management's Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditors' Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditors' judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. CLARK NuBER Opinion In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of JLT as of December 31, 2012, and the changes in its net assets and its cash flows for the year then ended in conformity with accounting principles generally accepted in the United Certified Public States of America. Accountants Deport on Summarizer) Comparative Information and Consultants We have previously audited ]LT's 2011 financial statements, and we expressed an unmodified audit opinion on those audited financial statements in our report dated April 3, 2012. In our opinion, the summarized comparative information presented herein as of and for the year ended December 31, 2011, is consistent, in all material respects, with the audited financial statements from which it has been derived. Report on Supplementary Information Our audit was conducted for the purpose of forming an opinion on the financial statements as a whole. The consolidated schedule of functional expenses is presented for purposes of additional analysis and is not a required part of the financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the financial statements. The information has been subjected to the auditing procedures applied in the audit of the financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the financial statements or to the financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the information is fairly stated in all material respects in relation to the financial statements as a whole. 6&44 ?�4� Certified Public Accountants March 19, 20I3 -2- JEFFERSON LAND TRUST AND SUBSIDIAR Y Consolidated Statement of Financial Position December 31, 2012 (With Comparative Totals for 2011) Temporarily restricted (Note 10) Permanently restricted (Note 11) Total Net Assets Total Liabilities and Net Assets See accompanying notes. 691,453 660,932 35,465 30,996 2,629,153 2,294,012 $ 2,691,396 $ 2,916,551 2012 2011 Assets Cash and equivalents $ 333,764 $ 284,193 Investments (Note 2) 467,802 459,277 Accounts receivable 66,205 51,840 Pledges receivable (Note 3) 515,020 484,224 Note receivable (Note 4) 78,391 81,803 Prepaid expenses 1,479 1,679 Land, conservation easements, and purchase options - Habitat land 930,937 660,437 Working land 25,048 25,048 Open space land 263,832 256,332 Conservation easements 49 47 Land held for sale 600,004 Total land, conservation easements, and purchase options (Note 5) 1,219,866 1,541,864 Furniture and equipment, net of accumulated depreciation of $15,798 (2011 - $12,996) 8,869 11,671 Total Assets $ 2,691,396 $ 2,916,551 Liabilities and Net Assets Accounts payable $ 8,810 $ 8,863 Accrued expenses and deferred revenue 53,433 49,676 Purchase option received 120,000 Long -term debt (Note 6) 444,000 Total Liabilities 62,243 622,539 Net Assets: Unrestricted (Note 9)- Undesignated 682,369 180,220 Board designated 1,219,866 1,421,864 Total unrestricted net assets 1,902,235 1,602,084 Temporarily restricted (Note 10) Permanently restricted (Note 11) Total Net Assets Total Liabilities and Net Assets See accompanying notes. 691,453 660,932 35,465 30,996 2,629,153 2,294,012 $ 2,691,396 $ 2,916,551 JEFFERSON LAND TR UST AND SURSIDIAR Y Consolidated Statement of Activities For the Year Ended December 31, 2012 (With Comparative Totals for 2011) Expenses: Program 1,281,690 Temporarily Permanently General and administrative 98,117 98,117 Unresiricted Restricted Restricted 2012 Total 2011 Total Revenue and Gains: 1,466,748 11466,748 945,465 Change in Net Assets 300,151 Gifts and contributions $ 82,576 $ 295,358 $ 4,469 $ 382,403 $ 347,156 Fair value of easement acquisitions 537,304 $ 691,453 $ 35,465 $ 2,529,953 $ 2,294,012 537,304 239,500 Grants and contracts 763,539 763,539 324,687 Special events income, net of net of expenses of $22,291 (2011 - $34,726) 105,748 105,748 87,260 Net investment return (Note 2) 12,895 12,895 8,118 Rental income 17,685 Release from restriction (Note 10) 264,837 (264,837) Total Revenue and Gains 1,766,899 36,521 4,469 1,801,889 1,024,406 Expenses: Program 1,281,690 1,281,690 781,209 General and administrative 98,117 98,117 93,392 Fundraising 86,941 86,941 70,864 Total Expenses 1,466,748 11466,748 945,465 Change in Net Assets 300,151 30,521 4,469 335,141 78,941 Net assets, beginning of year 1,602,084 660,932 30,996 2,294,012 2,215,071 Net Assets, End of Year $ 1,902,235 $ 691,453 $ 35,465 $ 2,529,953 $ 2,294,012 See accompanying moles. -4- JEFFERSON LAND TRUSTAND SUBSIDIARY Consolidated Statement of Cash Flows For the Year Ended December 31, 2012 (With Comparative Totals for 2011) Cash Flows from Financing Activities: Payments on long -term debt (480,000) (213,024) Net Cash Used by Financing Activities (480,000) (213,024) Net Change in Cash and Cash Equivalents 49,571 (76,139) Cash balance, beginning of year 284,193 360,332 Cash Balance, End of Year $ 333,764 $ 284,193 Supplemental Disclosure of Cash Flow Information: Cash paid for interest $ 2,567 $ 18,367 See accompanying notes. -5- 2012 2011 Cash Flows from Operating Activities: Change in net assets $ 335,141 $ 78,941 Adjustments to reconcile change in net assets to net cash provided by operating activities - Depreciation 2,802 2,099 Realized and unrealized (gain) loss on investments (3,828) 5,467 Imputed interest expense 36,000 Write down of land value due to conservation easement 24,999 Donated stocks received (32,735) Donated land received (20,00+0) Pledge of donated land (15,000) Changes in assets and liabilities: Accounts receivable (14,365) 24,452 Pledges receivable (45,796) 29,804 Prepaid expenses 200 668 Accounts payable (53) (25,864) Accrued expenses and deferred revenue 3,757 1,338 Net Cash Provided by Operating Activities 313,858 74,169 Gash Flows from Investing Activities: Purchases of investments (106,639) (239,957) Proceeds from sale of investments 101,942 119,995 Proceeds from note receivable 3,412 3,251 Purchases of land and land purchase option (263,002) (174,186) Proceeds from sale of land 480,000 308,760 Sale of purchase options 52,500 Purchases of furniture and equipment (7,647) Net Cash Provided (Used) by Investing Activities 215,713 62,716 Cash Flows from Financing Activities: Payments on long -term debt (480,000) (213,024) Net Cash Used by Financing Activities (480,000) (213,024) Net Change in Cash and Cash Equivalents 49,571 (76,139) Cash balance, beginning of year 284,193 360,332 Cash Balance, End of Year $ 333,764 $ 284,193 Supplemental Disclosure of Cash Flow Information: Cash paid for interest $ 2,567 $ 18,367 See accompanying notes. -5- JEFFERSON LAND T'RUSTAND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note I - Organization and Summary of Significant Accounting Policies Organization - Jefferson Land Trust (the Land Trust) is a Washington nonprofit corporation, formed on April 7, 1989. The Land Trust's purpose is to acquire, preserve and manage open space lands and easements for land conservation purposes benefitting the public, The Land Trust also provides information and materials to the public on land conservation issues. The Land Trust serves Jefferson County on the Olympic Peninsula in Washington. The Land Trust has been accredited by the national Land Trust Alliance since August 5, 2009. On September 5, 2007, JLT Resources, LLC was formed with the Land Trust as its only member, JLT Resources, LLC was formed for the purpose of purchasing and holding land for conservation purposes. Principles of Consolidation - These financial statements consolidate the statements of Jefferson Land Trust and JLT Resources, LLC (collectively, "JLT' ). Inter- organization balances and transactions have been eliminated in consolidation. Basis of Accounting - The consolidated financial statements of JLT have been prepared on the accrual basis of accounting. Basis of Presentation - Net assets, revenues, expenses, gains and losses are classified based on the existence or absence of donor - imposed restrictions. Accordingly, the net assets of JLT and changes therein are classified and reported as follows: Unrestricted Net Assets - Include all net assets on which there are no donor- imposed restrictions for use, or on which donor- imposed restrictions were temporary and have expired. Temporarily Restricted Net Assets - Include all net assets subject to donor - imposed restrictions that will be met either by actions of JLT or the passage of time. Permanently Restricted Net Assets, - Include all net assets received by donations wherein the donors impose a permanent restriction on the use of the gift. The donors require the gift to be invested and only the income from such investments may be used to support the intended cause. All donor - restricted support is reported as increases in temporarily or permanently restricted net assets, depending on the nature of the restriction. When restrictions expire (that is, when a stipulated time restriction ends or purpose restriction is accomplished), temporarily restricted net assets are reclassified to unrestricted net assets and reported in the consolidated statement of activities as net assets released from restriction. Gifts of equipment are reported as unrestricted support unless explicit donor stipulations specify how the donated assets must be used. Gifts of long -lived assets with explicit restrictions that specify how the assets are to be used and gifts of cash or other assets that must be used to acquire long -lived assets are reported as restricted support. Absent explicit donor stipulations about how long those long -lived assets must be maintained, expirations of donor restrictions are reported when the donated or acquired long -lived assets are placed in service. -6- JEFFERSON LAND TR UST AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note I - Continued Use of Estimates - The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Cash and Equivalents - For reporting purposes, JLT considers all unrestricted highly liquid investments with a purchased maturity of three months or less to be cash equivalents. Concentrations - JLT maintains its cash in bank deposit accounts with two financial institutions. JLT's cash balances may, at times, exceed federally insured limits. One donor's pledge represented approximately 32% of pledges receivable, and the total of all pledges from board members represented approximately 41 % of pledges receivable at December 31, 2012. One donor's pledge represented approximately 14% of pledges receivable, and the total of all pledges from board members represented approximately 28% of pledges receivable at December 31, 2011. Investments - Investments in marketable securities with readily determinable fair values and all investments in debt securities are valued at their fair values in the consolidated statement of financial position. The carrying amount of the investment held in trust is determined by the trustee holding the securities. Unrealized gains and losses are included in the change in net assets. JILT has established a designated fund at Jefferson County Community f=oundation. As JLT has designated itself as the beneficiary of the fund, the fund balance and activity are reported in the consolidated financial statements of JLT as required by GAAP. Accounts Receivable - Accounts receivable are stated at the amount management expects to collect from outstanding balances. Management provides for probable uncollectible amounts through a charge to earnings and a credit to a valuation allowance based on its assessment of the current status of individual accounts. Balances still outstanding after management has used reasonable collection efforts are written off through a charge to the valuation allowance and a credit to trade accounts receivable. Grants and Contracts - JLT receives grants and contracts from federal, state, and Total agencies, as well as from private organizations, to be used for specific programs or land purchases. The excess of grants receivable over reimbursable expenditures to -date is recorded as deferred revenue. Furniture and Equipment - Furniture and equipment are capitalized at cost if purchased, or, if donated, at the approximate fair value at the date of donation. When retired or otherwise disposed of, the related carrying value and accumulated depreciation are removed from the respective accounts and the net difference, less any amount realized from disposition, is reflected in earnings. Maintenance and repairs are charged to expenses as incurred. Costs of significant improvements are capitalized. JLT provides for depreciation using the straight -line method over the estimated useful lives of the assets of five to ten years. - 7- JEFFERSON LAND TRUST AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note I - Continued Land and Easements - JLT records acquisitions of land at cost if purchased. Land acquired through donation is recorded at fair value, with fair values generally based on independent professional appraisals. These assets fall into four primary categories: Conservation Lands - Real property with significant ecological value for habitat, open space, or working lands. Stewardship programs of JLT manage these properties to protect the natural biological diversity of the property. JLT manages its working timberland as a Forest Stewardship Council - Certified, managed forest. Conservation Easements - Voluntary legal agreements between a landowner and a land trust or government agency to permanently protect the identified natural features and conservation values of the property. These easements may be sold or transferred to others so long as the assignee agrees to carry out, in perpetuity, the conservation purposes intended by the original grantor. Conservation easements owned by JLT protect habitat, open space and working lands, such as family farms, through its stewardship programs. Easements acquired represent numerous restrictions over the use and development of land not owned by JLT. Since the benefits of such easements accrue to the public upon acquisition, the fair market value of easements acquired is shown in the year of acquisition as an addition to net assets to record the donation of the easement, and unless conveyed to a public agency for consideration, shown as a reduction in net assets to record the value of the public's benefit and to recognize that these easements have no marketable value once severed from the land and held by JLT. Easements held by JLT are carried on the consolidated statement of financial position at $1 each for tracking and accounting purposes. Two easements valued at $337,304 in total were donated to JLT during the year ended December 31, 2012. One other easement was modified during the year ended December 31, 2012, resulting in an increased value of $200,000. Accordingly, $537,304 of contribution revenue and $537,302 of related write down expense have been reported on the consolidated statement of activities for the year ended December 31, 2012. Land Held for Sale - At December 31, 2011, JLT owned one property, Tamanowas Rock Sanctuary, to be sold in the near future under prearranged agreements with the potential owner. Tamanowas Rock Sanctuary was purchased by JLT with the help of the Jamestown S'Klallam Tribe and a low interest loan from the Bullitt Foundation (Note 6). The Jamestown S'Klallam Tribe purchased an option on the property in 2009 which was exercised in December 2012, The Tribe donated a conservation easement on the property to JLT in 2012 as the intention of the Tribe is to protect the property in perpetuity for both habitat and cultural purposes. Tamanowas Rock Sanctuary has a long history of cultural ties to the Jamestown S'Klallam Tribe. Land Purchase Option - At December 31, 2010, JLT had $52,500 invested in purchase options for Chimacum Dairy, a historic dairy farm in the Chimacum Valley. These options were sold at cost during the year ended December 31, 2011, when a group of conservation investors bought the faun, they reimbursed JLT for the purchase option amount and entered into a long term lease with a local creamery in Jefferson County. JLT continues to hold a conservation easement on the property for working farm and habitat purposes. The group of conservation investors includes related parties to JLT. -8- JEFFERSON LAND TRUST AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note I - Continued Purchase Option Received - In 2009, JLT purchased the Tamanowas Rock Sanctuary with the help of the Jamestown S'Klallam Tribe and a low interest loan from the Bullitt Foundation (Note 6). The Jamestown S'Klallam Tribe paid $120,000 to JLT in 2009 for an option to purchase the property which was exercised in 2012- Federal Income Taxes - The Internal Revenue Service has determined Jefferson Land Trust and JLT Resources, LLC (a disregarded entity) to be exempt from federal income taxes under Internal Revenue Code Section 501 (c)(3), Contributions to JLT are deductible as allowed under Section 170(b )(1)(A)(vi) of the Code. JLT files income tax returns with the U.S. government and is subject to income tax examinations for the current year and certain prior years based on the applicable laws and regulations. During the year ended December 31, 2012, the Land Trust elected the provisions of Section 501(h), relating to expenditures to influence legislation. Functional Allocation of Expenses - The costs of providing the various programs and other activities have been summarized on a functional basis in the consolidated statement of activities. Accordingly, certain costs have been allocated among the programs and supporting services benefited. Comparative Amounts for 2011 - The financial statements include certain prior -year summarized comparative information in total but not by net asset class. Such information does not include sufficient detail to constitute a presentation in conformity with GAAP. Accordingly, such information should be read in conjunction with JLT's financial statements for the year ended December 31, 2011, from which the summarized information was derived. Subsequent Events - JLT has evaluated subsequent events through March 19, 2013, the date on which the consolidated financial statements were available to be issued. Note 2 - Fair Value Measurements GAAP defines fair value, establishes a framework for measuring fair value, and requires disclosures about fair value measurements. To increase consistency and comparability in fair value measurements, GAAP uses a fair value hierarchy that prioritizes the inputs to valuation approaches into three broad levels. The hierarchy gives the highest priority to quoted prices in active markets (Level 1) and the lowest priority to unobservable inputs (Level 3). Valuation Techniques - Financial assets and liabilities valued using Level 1 inputs are based on unadjusted quoted market prices within active markets. Financial assets and liabilities valued using Level 2 inputs are based primarily on quoted prices for similar assets or liabilities in active or inactive markets. Financial assets and liabilities using Level 3 inputs are primarily valued using management's assumptions about the assumptions market participants would utilize in pricing the asset or liability. Valuation techniques utilized to determine fair value are consistently applied. -9- JEFFERSON LAND TR UST AND SUBSIDIAR Y Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 2 - Continued Following is a description of the valuation methodologies used for assets measured at fair value. There have been no changes in the methodologies used at December 31, 2012 or 2011. Mutual Funds - Valued at quoted market prices in active markets, which represent the net asset value (NAV) of shares held by JLT at year -end. Funds Held at Jefferson County Community Foundation - Valued using the NAV provided by the fund's manager. The NAV is based on the fair value of the underlying assets owned by the fund. These underlying assets are traded in active public markets with observable market data. There are no significant redemption restrictions or unfunded commitments on these investments. Fair Values Measured on a Recurring Basis - Fair values of investments measured on a recurring basis at December 31 were as follows: Fair Value. Measurements as of'December 31, 2012 Leven Level Level Total Mutual funds - Fixed income mutual fund $ 38,130 $ - $ - $ 38,130 Funds held at Jefferson County Community Foundation 59,339 59,339 Total Investments Held at Fair Value $ 38,130 $ - $ 59,339 $ 97,469 Certificates of deposit, held at cost plus accrued interest 370,333 Total Investments $ 467,802 -I0- JEFFERSON LAND TRUST AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 2 - Continued Fair Value Measurements as of December 31, 2011 Mutual funds- Fixed income mutual fund $ 36,480 $ - $ - $ 36,480 Funds held at Jefferson County Community Foundation 56,485 56,085 Total Investments Held at Fair Value $ 36,480 $ - $ 66,085 $ 92,565 Certificates of deposit, held at cost plus accrued interest 366,712 Total Investments $ 459,277 A reconciliation of the beginning and ending balances for fair value measurements made using significant unobservable inputs (Level 3) are as follows: 2]12 2011 Beginning balance at January 1 $ 56,085 $ 125,377 Interest income 4,349 Realized /unrealized gain (loss) 3,254 (5,122) Investment fees paid (3,234) Withdrawals {65,285} Ending Balance at December 31 $ 69,339 L_ 56,085 Investment return for the years ended December 31 consisted of the following Interest income Realized /unrealized gain (loss) Investment fees II - 2012 2011 $ 9,289 $ 16,819 3,828 (5,467) (222) (3,234) $ 12,895 $ 8.118 JEFFERSON LAND TR UST AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 3 - Pledges Receivable Pledges receivable at December 31 are to be received as follows: Less than one year Two to five years Thereafter Less discount to present value (0.6 %) Less allowance for uncollectible pledges Note 4 .- Note Receivable 7il 7 7 an I I $ 191,458 $ 217,724 320,995 252,910 14,650 23,750 527,103 494,384 (6,301) (5,160) (5,782 ) {5,000) $ 515.020 A 484,224 On February 15, 2008, JILT granted a loan to an individual in relation to one of the pieces of conservation land owned by JLT. JLT received a promissory note in exchange. The promissory note is for the amount of $93,750 and is to be paid in monthly installments of approximately $600. The note matures on January 15, 2028, with an annual interest rate of 5 %. The note receivable at December 31 is to be received as follows: Less than one year Two to five years Thereafter -12- Nll1� )II $ 3,579 $ 3,405 20,838 15,454 53,974 62,944 $ 78,391 _1__81,803_ JEFFERSON LAND TR UST AND SUBSIDIAR Y Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 5 - Lund, Conservation Easements, and Purchase Options Land, conservation easements, and purchase options at December 31 are summarized as follows: Conservation lands - Quimper Wildlife Corridor Duckabush Oxbow Chimacum Creek Bulis Forest Preserve Kilham Corner Snow Creek Estuary Gateway Donovan Creek Conservation easements Land held for sale - Tamanowas Rock Sanctuary Note 6 - Long -Term Debt 2012 2011 279,988 $ 264,987 180,000 180,000 280,159 160,160 125,240 125,240 38,930 38,930 86,000 86,000 85,000 85,000 144,500 1,500 49 47 .Ma $ 1,219,866 $ 1,541,864 On December 18, 2007, JLT entered into a loan agreement with a commercial leader in the amount of $226,110. The loan bore interest at 8.5 %, and was due in 60 monthly payments of principal and interest totaling $1,965, and a final principal payment of $200,809 on January 10, 2011 The loan was secured by the Red Dog Farm property and an Assignment of Rents from the lease described in Note 8. The underlying property was sold during the year ended December 31, 2011. At that time, this loan was paid off in full. On December 23, 2009, JLT entered into a promissory note in the face amount of $480,000 with a Washington nonprofit corporation to purchase the Tamanowas Rock Sanctuary property. The note is secured by the properly. The note has a stated interest rate of 1% and had a maturity date of December 31, 2011. When the loan proceeds were advanced, JLT recorded contribution revenue and a loan discount using an imputed interest rate of 8.5 %. During the year ended December 31, 2011, the note was extended through December 31, 2012, at the same interest terms as the original note. The discount on the loan was being amortized to interest expense over the life of the loan. Imputed interest expense of $36,000 was reported in the accompanying consolidated statement of activities for the years ended December 31, 2012 and 2011. The discounted amount due at December 31, 2011, was $444,000. During 2012, the Tamanowas Rock Sanctuary property was sold and the related debt was paid in full. -13- JEFFERSON LAND TR UST AND SUBSIDIAR Y Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 7 -Retirement Plan In 2010, JILT began a Simplified Employee Pension - Individual Retirement Accounts Contribution Benefit Plan ("the Plan"), Eligible employees may join the Plan after one year of service. The total employer contribution for 2012 and 2011 was $4,760 and $5,298, respectively, and is included in employee benefits on the consolidated schedule of functional expenses. Note & - Lease Agreements On July 2, 2008, JLT entered into an operating lease as lessee for its administrative office in Port Townsend, Washington. The lease was renewed effective July 2010 and continued through June 2012. The agreement called for monthly payments of $1,412 plus utilities. After June 2012, the lease converted to a month to month rental basis. Rent expense totaled $17,804 and $17,678 for the years ended December 31, 2412 and 2011, respectively. Note 9 - Unrestricted Net Assets Unrestricted net assets consisted of the following at December 31: Designated - Tamanowas Rock Sanctuary Quimper Wildlife Corridor Duckabush Oxbow Chimacum Creek Bulis Forest Preserve Kilham Corner Snow Creek Estuary Gateway Donovan Creek Conservation easements Total designated Undesignated _14- 2012 2011 $ - $ 480,000 279,988 264,987 180,000 180,000 280,159 160,160 125,240 125,240 38,930 38,930 86,000 86,000 85,000 85,000 144,500 1,500 49 47 1,219,866 1,421,864 682,369 180,220 t902,235 235 $ 1,602,084 JEFFERSON LAND TRUST AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 10 - Temporarily Restricted Net Assets Temporarily restricted net assets consisted of the following at December 31; Purpose restriction - For stewardship of Bulis Forest Preserve Forest Legacy program For stewardship and management services for Tamanowas Rock Working Farm Fund Consulting fees WALT Stewardship Funding Other program restrictions Time restriction - Outstanding pledges 2012 2011 $ 76,790 $ 78,643 40,002 53,865 19,008 45,468 12,500 1,000 673 15,032 176,433 166,54$ 515,020 494,384 $ 691,453 $ 660,932 Net assets of $69,223 were released from donor restrictions by incurring expenses satisfying the purpose restriction specified by the donor, and net assets of $195,614 were released due to the expiration of time restrictions for the year ended December 31, 2012. Note 11 - Permanently Restricted Net Assets At December 31, 2012 and 2011, JLT had $35,465 and $30,996, respectively, of permanently restricted net assets. This is comprised of endowment investments (Note 12), the income of which is available to support general operations. Note 12 - Endowments The JLT endowment consists of one fund established to support general operations. As required by GAAP, net assets associated with endowment funds are classified and reported based on the existence or absence of donor - imposed restrictions. Interpretation of Relevant Law - JLT's Board of Directors has interpreted the Washington State Prudent Management of Institutional Funds Act (PMIFA) as requiring the preservation of the fair value of the original gift as of the gift date of the donor - restricted endowment funds absent explicit donor stipulations to the contrary. As a result of this interpretation, JLT classifies as permanently restricted net assets (a) the original value of gifts donated to the permanent endowment, and {b} the original value of subsequent gifts to the permanent endowment made in accordance with the direction of the applicable donor gift instrument at the time the accumulation is added to the fund. -15- JEFFERSON LAND TRUST AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 12 - Continued The remaining portion of the donor - restricted endowment fund that is not classified in permanently restricted net assets is classified as temporarily restricted net assets until those amounts are appropriated for expenditure by JLT in a manner consistent with the standard of prudence prescribed by PMIFA. However, JLT has informed donors of its spending policy which states that no distributions will be made during the first five years of the fund's existence or until it reaches a threshold balance of $400,000. Since these milestones have not yet been reached, JLT adds all amounts earned to the permanently restricted balance. In accordance with PMIFA, JLT considers the following factors in making a determination to appropriate or accumulate donor - restricted endowment funds: - The duration and preservation of the fund; - The purposes of JLT and the donor- restricted endowment fund; - General economic conditions; - The possible effect of inflation and deflation; - The expected total return from income and the appreciation of investments; - Other resources of JLT; and - The investment policies of JLT. As of December 31, 2012, endowment net assets consisted of the following: Temporarily Permanently Unrestricted Restricted Rewpirted Tnrnt Donor restricted endowment funds $ - $ - $ 35,465 $ 35,465 Endowment Net Assets, December 31, 2012 $ $ 35,465 35,465 As of December 31, 2011, endowment net assets consisted of the following: Temporarily Permanently Unrestricted Restricted Restricted Tntnl Donor restricted endowment funds $ - $ - $ 30,996 $ 30,596 Endowment Net Assets, December 31, 2011 $ - 3Q 996 30,996 -16- JEFFERSON LAND TR UST AND SUBSIDIARY Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note 12 - Continued Changes to endowment net assets for the years ended December 31, 2012 and 2011, are as follows: Endowment net assets, January 1, 2011 Endowment investment return - Interest and dividends Realized and unrealized losses Total endowment investment return Contributions Endowment Net Assets, December 31, 2011 Endowment investment return - Interest and dividends Realized and unrealized gains Total endowment investment return Contributions Endowment Net Assets, December 31, 2012 Temporarily Permanently Unrestricted Restricted Restricted Total - $ - $ 20,226 $ 20,226 791 791 (271) (271) 520 520 10,250 10,250 $ - $ 30,996 $ 30,996 776 776 654 654 1,430 11430 3,039 3,439 $ - $ $ 35,465 $ 35,465 Funds with Deficiencies - From time to time, the fair value of assets associated with individual donor restricted endowment funds may fall below the level that the donor or PMIFA requires JLT to retain as a fund of perpetual duration. In accordance with GAAP, deficiencies of this nature are reported in unrestricted net assets. There were no such deficiencies as of December 31, 2012 or 2011. Return Objectives and Risk Parameters - JLT has adopted investment and spending policies for endowment assets that attempt to provide a predictable stream of funding to programs supported by its endowment while seeking to maintain the purchasing power of the endowment assets, Endowment assets include those assets of donor - restricted funds that JLT must hold in perpetuity or for donor- specified periods as well as board - designated funds. Under this policy, as approved by the Board of Directors, the endowment assets are invested in a manner that is intended to produce results that exceed the price and yield results of a custom Policy Index made up of various indices. The composition of the custom Policy Index is based upon the strategic asset allocation of the investment portfolio and assumes a moderate level of investment risk. The investment objectives of the Operations Endowment Fund include maintenance of principal, timely liquidity, and preservation of purchasing power over time, -17- JEFFERSON LAND TR UST AND SUBSIDIAR Y Notes to Consolidated Financial Statements For the Year Ended December 31, 2012 Note I2 - Continued Strategies Employed for Achieving Objectives - To satisfy its long -term rate -of- return objectives, JLT notes that for funds earmarked for capital appreciation, appropriate investments include intermediate term bond funds /ETF's, equity mutual funds, equity ETF's, and unconstrained bond funds. Spending Policy and How the Investment Objectives Relate to the Spending Policy - JLT's spending policy intends that no distributions may be made from the Operations Endowment Fund for the first five years of its existence or until it reaches a threshold balance of $400,000, whichever shall first occur. After a five -year period or after achieving the $400,000 threshold, distributions shall be made on an annual basis as determined by the Board. Regular disbursements should be limited to a maximum of 5% of the value of the portfolio at the beginning of each fiscal year, or one -half of the income generated by the fund for the most recent fiscal year, whichever is less. 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N d N P ff� CN7 N N N Cfl N CO T f+. r m m ask Q W CO r co N r .ko 0 (n c N Q 0 d C. x w_ R Cl 0 H O s s m m Jefferson Land Trust RESOLUTION February 18, 2014 WHEREAS, Jefferson Land Trust is an applicant or sponsor for more than one Conservation Futures Funding application, and Conservation Futures Funding Application process rewires that Jefferson Land Trust prioritize its projects, and WHEREAS, Jefferson Land Trust has been working since 2001 in partnership with Jefferson County Conservation District, Jefferson County, Washington Department of Fish and Wildlife, North Olympic Salmon Coalition, the Hood Canal Coordinating Council, the Jamestown S'K.lnllam Tribe and WSU Cooperative Extension to acquire and restore critical salmon spawning, rearing and migratory habitat in the Salmon/Snow Creek riparian area and estuary, and WHEREAS, these professional naturalists and scientists have recommended that Snow Creek habitant protection be expanded to provide further benefits for migrating salmonids and other species, and WHEREAS, acquisition of high- priority identifier) parcels on Snow Creels from willing sellers would provide such habitat protection, the Jenks property and the Irvin property have been identified as such, AND WHEREAS, this important community asset will require stewardship in perpetuity, to include annual monitoring, maintenance, and management, according to the Salmon and Snow Creek Fish and 'Wildlife Management Plan, AND WHEREAS, Jefferson Land Trust has been working since 1995 in partnership with Jefferson County, the City of Port Townsend, Washington Department of Natural Resources, the community and the U.S. Fish and Wildlife Service to acquire land lot by lot to preserve a 3.5- mile greenbelt and natural storm -water drainage -way called the Quirnper Wildlife Corridor.. and WHEREAS, professional naturalists and scientists have recommended that this corridor he expanded to provide further benefit for wildlife species, especially migrating birds, and to provide additional wetland buffers, and Jefferson Land Trust Page 1 oft WHEREAS, acquisition of high - priority identified lots in the Quimper Wildlife Corridor area from willing sellers would provide such wildlife and wetland protection, and WHEREAS, this important community asset will require stewardship in perpetuity. to include annual monitoring, maintenance, and management, as spelled out in the City - adopted Quimper Wildlife Corridor Management Plan. Resolution, AND BE IT HEREBY RESOLVED that Jefferson Land Trust agreed at its February 19, 2014 Board of Directors meeting to sponsor an application for Conservation Futures Funding for the Snow Creek Riparian Area, including acquisition of a conservation easement on the Jenks property, and fee simple acquisition of the Irvin property, The Board also agreed that The Snow Creek Riparian Area application is the highest priority for 2014 Conservation Futures Funding due to the fact that it would provide a vital connectivity to the Snow Creek project area, the properties are currently listed for sale, grant funding may be available now through and the Salmon Recovery Funding Board and the project represents a collaborative effort with community members and our C umsortium partner organizations as they work to preserve this significant salmon habitat. The second highest priority is funding for the Quimper Wildlife Corridor. The properties for sale in the corridor are high priority for protection due to the habitat, floodplain and recreational qualities. However, if Salmon .Recovery Funding Board grant ,snatching funds are not awarded to Jefferson Land Trust in 2014 for the Snow Creek Riparian Area Project, Jefferson Land Trust requests that the Snow Creek Riparian Area Project application be rescinded until further notice and that the Quimper Wildlife Corridor application is considered as Jefferson Land 'Trust's highest priority for 2014 Conservation Futures Funding consideration. Signed this 18th day of February, 2014. ve .Moore, Pre dent, Bo of Directors Jefferson Land 'Trust Jefferson Land Trust Page 2 of 2 STATE OF WASHINGTON County of Jefferson Dedication of Conservation Futures Funds to the Quimper Wildlife Corridor 2014 project as } Authorized by and in Accordance with Jefferson } RESOLUTION NO. County Code Section 3.08.030(7) to Provide a } System of Public Open Spaces } WHEREAS, conservation futures tax levy collections, authorized under RCW 84.34.230 are an important means of retaining community character and accomplishing the open space policies and objectives of the Jefferson County Comprehensive Plan that encourage the coordinated acquisition of key open space lands for long -term protection; and WHEREAS, Jefferson County is authorized by RCW 84.34.210 and 84.34.220 to acquire open space land, agricultural and timber lands as defined in RCW 84.34.220; and WHEREAS, the Conservation Futures Citizen Oversight Committee has reviewed project applications for 2014 and made its funding recommendations to the Board of County Commissioners in accordance with Jefferson County Code Chapter 3.08; and WHEREAS, under the provisions of the Jefferson County Conservation Futures Program, the Jefferson Land Trust, as project sponsor, requests funding towards the fee simple acquisition of up to two parcels of forested land in Sec. 34 T. 31N, R. 1 W with Assessor's Parcel Numbers 951904603 and 972901402; and WHEREAS, the County retains enough developable land to accommodate the Quimper Wildlife Corridor 2014 project as well as the housing and employment growth that it is expected to receive, thus satisfying the requirements of Chapter 449, Laws of 2005; and WHEREAS, Jefferson County considers it in the best public interest to contribute financially to this open space project. NOW, THEREFORE BE IT RESOLVED that: Jefferson County hereby dedicates up to $31,176 in conservation futures funds in the 2014 funding cycle for acquisition expenses contingent on a matching contribution of sixty -eight percent (68 %) of the total project cost. Resolution No. re: Dedication of Conservation Futures Funds to the Quimper Wildlife Corridor 2014 project 2. This dedication of funding may be nullified if a submittal for reimbursement, accompanied by documentation of matching funds sufficient to complete the acquisition, is not received from the sponsor within three years of the signing of this resolution. APPROVED AND ADOPTED this day of , 2014 in Port Townsend, Washington. SEAL: JEFFERSON COUNTY BOARD OF COMMISSIONERS ATTEST: John Austin, Chair Phil Johnson, Member Carolyn Avery Deputy Clerk of the Board David Sullivan, Member STATE OF WASHINGTON County of Jefferson Dedication of Conservation Futures Funds to the Snow Creek Watershed Acquisitions project as } Authorized by and in Accordance with Jefferson } RESOLUTION NO. County Code Section 3.08.030(7) to Provide a } System of Public Open Spaces } WHEREAS, conservation futures tax levy collections, authorized under RCW 84.34.230 are an important means of retaining community character and accomplishing the open space policies and objectives of the Jefferson County Comprehensive Plan that encourage the coordinated acquisition of key open space lands for long -term protection; and WHEREAS, Jefferson County is authorized by RCW 84.34.210 and 84.34.220 to acquire open space land, agricultural and timber lands as defined in RCW 84.34.220; and WHEREAS, the Conservation Futures Citizen Oversight Committee has reviewed project applications for 2014 and made its funding recommendations to the Board of County Commissioners in accordance with Jefferson County Code Chapter 3.08; and WHEREAS, under the provisions of the Jefferson County Conservation Futures Program, the Jefferson Land Trust, as project sponsor, requests funding towards the fee simple acquisition of up to 15 parcels of forested land in Sec. 2 T. 28N, R. 2W with Assessor's Parcel Numbers 802024001, 995400040, 995400035, 995400025, 995400049, 995400058, 995400057, 995400059, 995400028, 995400037, 995400042, 995400054, 995400056, 995400113, and 995400114 and to protect one additional parcel of largely vacant land in Sec. 11 T. 28N, R. 2W with Assessor's Parcel Number 802111001 by purchasing a conservation easement; and WHEREAS, the County retains enough developable land to accommodate the Snow Creek Watershed Acquisitions project as well as the housing and employment growth that it is expected to receive, thus satisfying the requirements of Chapter 449, Laws of 2005; and WHEREAS, Jefferson County considers it in the best public interest to contribute financially to this open space project. NOW, THEREFORE BE IT RESOLVED that: Jefferson County hereby dedicates up to $10,824 in conservation futures funds in the 2014 funding cycle for acquisition expenses contingent on a matching contribution of eighty -four percent (84 %) of the total project cost. Resolution No. re: Dedication of Conservation Futures Funds to the Snow Creek Watersheds Acquisitions project 2. This dedication of funding may be nullified if a submittal for reimbursement, accompanied by documentation of matching funds sufficient to complete the acquisition, is not received from the sponsor within three years of the signing of this resolution. APPROVED AND ADOPTED this day of 2014 in Port Townsend, Washington. SEAL: ATTEST: Carolyn Avery Deputy Clerk of the Board JEFFERSON COUNTY BOARD OF COMMISSIONERS John Austin, Chair Phil Johnson, Member David Sullivan, Member Qwes�'' r JEFFERSON COUNTY DEPARTMENT OF COMMUNITY DEVELOPMENT 621 Sheridan Street, Port Townsend; WA 98368 I 'Web: www. co, iefferson .wa,uslcammunitydeveloement Tel: 360,379,4456 Fax: 360,379.4451 1 Email: dcd co.'effierson.wa.us SquareON€ Resource Center I Building Permits & Inspections I i)evelopment Review I Long Range Planning MEMORANDUM TO: Tami Pokorny, Jefferson County Water Quality and Environmental Health FROM: Stacie Hoskins, Planning Manager, Community Development �� DATE: May 30, 2014 RE: 2014 Conservation Futures: Snow Creek Watershed Acquisitions Recommendation: In response to your inquiry of May 5, 2014 regarding 2014 Conservation Futures projects, Department of Community Development (DCD) has no objection to the 2014 proposed Conservation Futures acquisitions. Based upon the proceeding findings, DCD believes proposed acquisitions and easements would not significantly reduce the Jefferson County's capacity to accommodate planned growth, and Jefferson County would retain enough development land to accommodate the housing and employment growth that it is expected to receive. Findings: 1. The Jefferson County Comprehensive Plan identifies goals and policies for the preservation and enhancement of open space. • Open Space Goal (05G) 1.0 guides Jefferson County to preserve and enhance the existing open space lands, and Open Space Policy (OSP) 1.5 encourages the pursuit of public acquisition of potential parks, critical wildlife areas, and other open space lands by utilizing a variety of funding mechanisms. • Natural Resources Goal (NRG) 10,0 guides Jefferson County to conserve and protect the agricultural land base and its associated lifestyle, and Natural Resource Policy (NRP) 10.3 supports the conservation of agricultural land through tax incentive programs, the purchase or transfer of development rights, and other methods developed in cooperation with agricultural landowners and managers. NRP 10,9 Encourages the preservation of family owned farms by discouraging the conversion of these lands to other uses. • Natural Resources Goal (NRG) 1.0 guides Jefferson County to encourage the conservation of resource lands and the long -term sustainable use of natural resource -based economic activities throughout Jefferson County, NRP 1.7 guides us to consider incentive programs to support resource -based economic activities in rural areas, NRP 2.4 states, Protect the environment from cumulative adverse impacts resulting from resource management practices. 2. 1 understand the proposed projects involve the purchase of easements or acquisition of land in tee - simple of the following parcels: Irvin Property: Fee - simple acquisition Parcel Potential of numbers Name Zoning Approximate Developable acreage* parcels 802024001 Irvin Rural Residential RR 1:5 61.74 12 995400040 Irvin Rural Residential RR 1.5 0.87 1 995400035 Irvin Rural Residential RR 1:5 0.86 1 995400025 Irvin Rural Residential RR 1:5 0.59 1 995400049 Irvin Rural Residential RR 1:5 1.37 1 995400058 Irvin Rural Residential RR 1:5 1.23 1 995400057 Irvin Rural Residential RR 1:5 0.87 1 995400059 Irvin Rural Residential RR 1:5 0,89 1 995400028 Irvin Rural Residential RR 1:5 1.00 1 995400037 Irvin Rural Residential RR 1:5 1,01 1 995400042 Irvin Rural Residential RR 1:5 1.37 1 995400054 Irvin Rural Residential RR 1:5 0.34 1 995400056 Irvin Rural Residential RR 1:5 0.40 1 995400113 Irvin Rural Residential RR 1:5 0.45 1 995400114 Irvin IRural Residential RR 1 :5 0.36 1 vta 73.35 26 Jenks Property: Conservation easement Potential # of Parcel Approximate Developable numbers Name Zoning acreage* parcels 802111001 1 Jenks Rural Resid antis RR 1:5 27.58 5 Tots V 27.58 5 *Acreage is based on county mapping and information provided in the applications. Surveys may differ from these estimates. 3. None of these proposals include property located within an urban growth area, and the potential loss of developable parcels is minimal. 4. The proposal is consistent with the goals and policies of the Jefferson County Comprehensive Plan for the preservation and enhancement of open space. Please let me know if you have any questions or need anything else. Stacie L. Hoskins Planning Manager Page 2 June 2, 2014 Ms. Tami Pokorny Jefferson County Natural Resources and Environmental Health 615 Sheridan Street Port Townsend, WA 98368 Dear Ms. Pokorny RE: Quimper Wildlife Corridor 2014 Judy Surber Planning Manager /Senior Planner 250 Madison St., Suite 3 Port Townsend, WA 98368 360- 379 -5084 Fax 360- 344 -4619 jsurber@cityofpt.us Thank you for forwarding a copy of the Conservation Future Funds application for site acquisition of lots within the city limits. It is our understanding that the "Quimper Wildlife Corridor" proposal would permanently protect 3 parcels: APN #s 951 904 603, 972 901 402 and 998 002 001 (match parcel) for inclusion in the Corridor through fee - simple acquisition. You had asked whether the fee simple purchase of the project area for permanent conservation "would reduce the capacity of land suitable for development necessary to accommodate the allocated housing and employment growth, as adopted in the countywide planning policies ". All of the Mattern Parcel (APN# 972 901 402) and portions of the match parcel are identified on the City's Land Use Map as "Potential Park and Open Space ". This category includes areas that may have the potential to be included within a comprehensive and interconnected system of open space and trails. The P /OS (A) overlay appears in areas that could be valuable if maintained as open spaces, such as wooded areas, drainage corridors, and scenic vistas. Purchase of these properties was identified as a means of implementing the open space overlay. All three parcels are zoned for residential development. In regards to residential land, the city has a theoretical carrying capacity of over 30,000 people and thus, is adequately sized to accommodate anticipated future urban growth (11,804 by 2036). While the 1996 Comprehensive Plan projected a growth rate of 2.66 %, actual annual growth has averaged less than 1%. Given these factors, it is concluded that purchase of the project for permanent conservation would not reduce the capacity of land suitable for development necessary to accommodate the allocated housing and employment growth as adopted in the countywide planning policies. Purchase of the three parcels is consistent with the goals and policies of the City's Comprehensive Plan. We are pleased to see it recommended for preservation and are hopeful that the Commissioners approve the application. Please feel free to contact me at (360) 379 -5084 with any questions Sincerely, VAC Judy Surber Senior Planner/Planning Manager Conservation Futures Eastern Jefferson County, Project Wash i n gton - Boulton Farm 2012 - Brown Dairy 2009 - Carleson Chimacum Creek Acquisition 2011 - Chimacum Creek Estuary 2003 - Duckabush Floodplain 2013 RI. Q MWDa E-He W _Fetu W3B-d East Tarboo Creek 2005 Freer Da glJn4anda,GISP Ode �uay 32714 ©2W4.tl— Govnty GIS EAFinnriver Farm 2008 toth— dlhe tlda mataneihaen attl�no Gatewa Buffer 2004 wars tywithrepe toitsarre naavdidty Y oda n�tdnetm Ires � isrmte4hy Glendale Farm 2007 memo otla tlawrayo as dt�io L. 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