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HomeMy WebLinkAboutLog056 tp,EARBORN & MOSS P.L.L.C~ , Attorneys at Law July 14, 2006 RJECEIVJED JUL 1 7 2006 JEfFERSON COUNfY DCD Stephen KCasseaux:, Ir. Jefferson County Hearing Examiner c/o Barbara Nightingale, Lead Planner Jefterson County Community Development Department 621 Sheridan Port Townsend, WA 98368 Re: Amendment No. 1 to Port Ludlow Development Agreement Dear Mr. Casseaux:: We represent Lewis Hale, a property owner in Port Ludlow resort and party to the proceedings relating to the Ludlow Cove Division 2. On behalf of Mr. Hale, we submit comments on the amendment to the Port Ludlow Development Agreement (PLDA) proposed by Port Ludlow Associates, LLC (pLA) for the benefit of Trendwest Resorts, Inc. (Trendwest). SUMMARY OF COMMENTS PLA seeks to amend the PLDA to permit time share units in Tract E of the Port Ludlow Master Planned Resort (MPR). There is a problem: an amendment to the PLDA cannot and will not accomplish this purpose. The PLDA specifies that the Port Ludlow Master Plan Resort (MPR) is subject to MPR Zoning Code, now codified in Title 17 Jefferson County Code (JCC). The MPR Zoning designated Tract is a MPR.SF, a zone which does not allow multi. family or time share units. An amendment to the PLDA cannot authorize a use prohibited by the MPR Zoning Code. The MPR Zoning Code has to be amended or Tract E rezoned to a zone which permits time share units. Alternatively, PLA could demonstrate that its proposal is vested to a prior code which does allow time share units. There is a problem with this approach as well: the County's Appellate Hearing Examiner (Appellate Examiner) has found that the prior code did not permit time share units in Tract E. Jefferson County Appellate Hearing Examiner Decision on Ludlow Cove Division 2, File SUBOS.OOO04, (Galt Decision). In December, 2005 PLA appealed Appellate Examiner's decision to Superior Court. However, it has not prosecuted its appeal. Rather, in sprin& 2006, it chose to try to 2183 Sunset Ave. SW Seattle, Washington 98116 Phone: (206) 923-0816 Fax: (206) 923-0814 , "'"'\,.-.. .11 r- M. l '...'~..'." . !..... i . \./,""'? i c' l- #' -.~~ .. -'.'~-'- f S-.!) I 0_: ,- . " , ~ ,~. .... ~ e ~ Stephen K. Casseaux, Jr. July 14, 2006 Page 2 e RECEr\TED JUL 1 7 2006 circumvent the Appellate Examiner's decision by amending the PLDA.1 ~f6~~<OO UNIT D CO us back to the first problem: the PillA amendment won't accomplish this. Only an amendment to the MPR Zoning Code or a rezone will. The PLDA provides that the MPR is subject to the Land Use Procedures Ordinance adopted by Ordinance 04-0828-98 (LUPO). Despite this provision, we understand that staffhad determined that the application should be processed under Title 18 as a recommendation by the Hearing Examiner to the Board of Commissioners (Commissioners). We ask you to recommend that the amendment be denied for at least four reasons: (1) As explained above, it does not solve PLAts problem. The proposed use - timeshare units - is predicated on vesting to the 1994 zoning code, the code that preceded the PLDA. An amendment to the PillA cannot retroactively change the 1994 code. To authorize timeshare units, the County must either amend the MPR-SF zone, the zoning designation applied to Tract E by the PLDA, or rezone Tract E. (2) It conflicts with the final determination by the Appellate Examiner that the 1994 code does not permit time share units in Tract E. The Appellate Examiner is the County's officer with the highest level of authority to make a determination of uses permitted under the applicable development regulations. (3) It conflicts with the statute authorizing and governing development agreements, which requires that a development agreement: (a) be consistent with applicable Jefferson County GMA development regulations; (b) set forth the development standards and other provisions that govern and vest the development, use, and mitigation of the development. (4) It is inconsistent with the purposes of the PLDA to provide predictability and certainty for residents of Port Ludlow, not just its developer. Below we address each argument in more detail. I The recitals to the proposed amendment make clear that PLA seeks to substitute the proposed new development regulations for Tl3ct E for the regulations to which the 1995 applications were vested. Proposed Amendment, Recital L. e , Stephen K. Casseaux, Jr. July 14,2006 Page 3 e RJE('1EJr'TED JUL 1 7 2006 JEffERSON COUNTY DeD Trendwest wishes to develop a 120-unit time share project on Tract E of Port Ludlow. As required by RCW 36. 70B.170(1), the PLDA sets forth the development standards and other provisions that govern and vest the development, use, and mitigation of development of the MPR Those regulations are now codified in Title 17 JCC.2 They apply the MPR-SF zone to Tract E , a zone which permits single family uses, but does not allow either multi-family uses or transient accommodations. JCC 17.10.020-.030. No one asserts that the proposed timeshare units are single family uses. Thus, the only ways for the Trendwest proposal to proceed are: (I) for it to be vested to a Code which permitted the desired use, timeshare units; or (2) to amend the regulations applying to the MPR, not the development agreement. DETAILED COMMENTS The Problem In its March 3, 2006 letter to the Board of Commissioners initiating the PLDA amendment (pLA Letter), PLA recognizes the problem -- it states: PLA and Trendwest believe that timeshare structure and uses are multi-family residential structures and may be developed within Tract E to a vested density of up to sixteen (16) timeshare units per acre of land. .. PLA Letter, p. 2 (emphasis added); see also, proposed Amendment, Recital B. Having conceded at least tacitly that its proposal requires vesting to the 1994 code, PLA then asks that the Board ofComm.issioners to amend the PLDA to permit timeshare units in Tract E. PLA Letter, p. 2. But amending the PLDA does not retroactively amend the development regulations to which development of Tract E is vested. The amendment, even if it were proper, would not solve PLAls problem. Confounding matters further, PLA then contends that the PillA amendment does not require an amendment to the MPR zoning code or comprehensive plan. PLA Letter, p. 2. We are baffled. As we have pointed out, the MPR code applies the MPR-SF to Tract E. The MPR-SF zone does not allow either multifamily or timeshare units. Consequently, the MPR-SF zone would need to be amended or the property rezoned to permit timeshare units. 2 PLDA ~ 3.1; Jefferson County Appellate Hearing Examiner Decision on Ludlow Cove Division 2, File SUB05..()()()()4, (Galt Decision), Finding 3. e . Stephen K. Casseaux, Jr. July 14, 2006 Page 4 e RIE("EIVEJD JUL 1 7 2006 JHffRSON COUNTY Den The County Has Rendered a Final Determination that the Regulations to Which Tract E is Vested Do Not Permit Timeshare Units Several years prior to the County's adoption of the PLDA, in January 1995, Pope Resources, PLA's predecessor in interest, filed three applications: (1), SUB95-0003, a subdivision; (2) ZON95-oo1, a conditional use permit for unspecified multifamily residential development on Tracts A and B of Ludlow Code; and (3) SDP97-009 a substantial development permit for the subdivision. The Coutity determined the applications to be complete on January 19, 1995. When these applications ultimately proceeded to a hearing in 2002, the Hearing Examiner found that, despite many revisions, they remained vested to the regulations in effect in January, 1995 (referred to herein as the 1994 Code). Tracts A and B were subsequently combined into Tract E. Galt Decision, Findings 2-6. In January, 1995 what is now Tract E was zoned G-l zone, a zone which allowed, as a conditional use, multifamily development with a maximum density of 16 dwelling units/acre. Galt Decision, Findings 5, 10, and 11; Conclusion 10. In 2002, the Hearing Examiner approved the applications. Galt Decision, Finding 5. Ten years later, in January, 2005 PLA submitted applications for a 120-unit condominium development on Tract E. Galt Decision, Finding 8. In May, 2005 it resubmitted the applications changing the proposed use to a 120-unit time share multifamily development. Galt Decision, Finding 9. PLA and Trendwest took the position that these applications were also vested to the 1994 Code, presumably as the completion of the 2002 approvals. However, the 1994 G-l zone did not permit transient accommodations. The Hearing Examiner approved the 2005 applications, finding that time share units were a permitted multifamily use and not a hotel or other commercial use. Galt Decision, Finding 11. Our client appealed that decision to the Appellate Examiner, presenting the following issue: whether the Trendwest Resort is a 'multi-family residential development' or 'transient accommodations. III Galt Decision, Finding 14. The Appellate Examiner concluded that the proposed use was not a multifamily residential development and, thus, was not permitted under the 1994 regulations to which the applications were vested. Galt Decision, Conclusions 1 and 18-21. The Appellate Examiner is the County's officer with the highest level of authority to make a determination of uses permitted within the Port Ludlow Master Planned Resort. LUPO ~18.D.7; Galt Decision, p.11. e . Stephen K. Cassea.ux, Jr. July 14, 2006 Page 5 e {~lE K,\TE D JUL 1 7 2006 In December, 2005, PLA and Trendwest filed a petition under the Land mi~N,~OUNTY DLD Act (LUP A), in Jefferson County Superior Court appealing the Appellate Examiner's decision.3 In their application for the PLDA amendment, they argue that the LUP A appeal (their own appeal) could delay the project significantly at feat expense to themselves. However, they have not prosecuted the LUP A case. In summary, the County has made a final determination that the 1994 Code to which the 1995 applications were vested and on which the 2005 applications depend does not permit a timeshare use. PLA and Trendwest cannot change this result by amending the PLDA. Amending the Development Agreement Is Not Sufficient The PLDA was adopted under chapter 36.70B RCW. Jefferson County Resolution 42- 00, (Resolution 42-00) Recital 4; PLDA, ~ 1.3.3. A development agreement must be consistent with the applicable County GMA development regulations and must specify the development standards to which the project is vested. RCW 36.70B.170.5 The permitted uses are set forth in the Port Ludlow MPR Zoning Code chapter of the Jefferson County Code. PLDA, ~ 3.1. As we have pointed out several times above, the MPR Zoning Code designates Tract E as MPR-SF, a zone which does not allow time share units. Thus, for Trendwest to proceed, the County must amend the MPR-SF zone to permit this use or rezone the property a zone which does allow time share units. In either event, vesting is lost and the proposal is subject to all the current development regulations. PLA and Trendwest cannot pick and choose between old and new zoning codes. 3 PLA characterized these events as a dispute between 3 property owners within the MPR on the one hand and PLA, Trendwest, and the County on the other band. March 3, 2006 letter from PLA to Commissioners, p. 2. This attempt to belittle the other parties is not only irrelevant and unprofessional, it is incorrect. For the purposes ofLUP A, the Appellate hearing Examiner is the County. It is PLA and Trendwest who have a dispute with the County. 4 They have not even set the preliminary hearing date was supposed to have been held no more than 50 days after the filing of the petition. RCW 36.7OC.08O. Had they prosecuted their own case, they most likely would have had a decision by now. 5 The Board of Commissioner found that the PLDA was consistent with the County's applicable GMA regulations. Resolution 42-00, Recita16. See also. PLDA ~1.3.11. e Stephen K. Casseaux, Jr. July 14,2006 Page 6 e ~."'\ 'fA' lT~ TTC~ D t idtll 'Y jl~ The Amendment Sought Contravenes Many Purposes of the PLDA JUL 1 7 2006 JEffERSON COUNTY Den The PLDA repeatedly emphasizes the importance of planning and predictability not only to the parties to development agreement, but also the residents of Port Ludlow. 1. One of the stated purposes of the PLDA is to further the public health, safety, and welfare by allowing development to take place in a predictable manner consistent with the Comp Plan and MPR Code. Resolution 42-00, ~ 1.0 (emphasis added). 2. Coordinated planning of the MPR provides unique opportunities for the benefit of the County and existing and future residents of the MPR. PLDA, ~ 1.3.9 (emphasis added). 3. Section 1.3.13 is instructive: Build out of the Pope Property is expected to occur over the next ten to twenty years. Pope, Jefferson County, Port Ludlow community groups and members of the public at large will invest considerable time in the County permit and review process for the future build out of the Pope Property. A development agreement is an appropriate way of providing certainty over time with respect to permitted densities, uses, development standards and other aspects of the development reVIew process. Time share units are not permitted by the MPR code. Permitting them now in an area which has been designated for single family uses for more than six years hardly promotes certainty and predictability for who have invested in Port Ludlow. Nor as the records before the Hearing Examiner and Appellate Examiner demonstrate, does it benefit them. Rather, as Mr. Hale argued to the Appellate Examiner, a time share facility such as that proposed by Trendwest is not a facility where people live/reside and become members of the community, but merely come to vacation. Each unit will be occupied by up to 50 different families or groups of individuals each year. The impacts to existing and future residents would be significantly greater than either the uses permitted in the G-I zone or the single family uses permitted by the current zoning. ~ . C Stephen K. Casseaux, Jr. July 14,2006 Page 7 e JR~ lT~f'\]EK~7ED JUL 1 7 2006 JEffERSON COUNTY OLD For all of these reasons, we ask that the Hearing Examiner recommend denial of the PLDA amendment. IfPLA and Trendwest wish to build time share units, they should prosecute their LUP A case or seek the proper approvals - an amendment to the zoning code or a rezone. a:-~ Alison Moss Enclosures 1. Jefferson County Appellate Hearing Examiner Decision on Ludlow Cove Division 2, File SUB05-00004. 2. March 3, 2006 letter to the Board of Commissioners initiating the PLDA amendment. 3. PLDA. cc: Lewis Hale (w/o enclosures) Marco de Sa e Silva (w/o enclosures) Don Marcy (w/o enclosures) , . - ~ . e . '. . - BEFORE THE APPELLATE HEARING EXAMINER FOR JEFFERSON COUNTY IN THE MATTER OF THE APPEALS OF LESLIE A. POWERS/RICHARD L. ROZZELL AND LEWIS J. HALE ) ) ) ) ) ) ) ) ) DECISION FILE: SUB05-00004 Ludlow Cove Division 2 DECISION SUMMARY The Jefferson County Hearing Examiner's Decision is VACATED and REMANDED for further proceedings in accordance with this Decision. INTRODUCTION Leslie A. Powers (Powers), 44 Heron Road, Port Ludlow, Washington 98365, joined by Richard L. Rozzell (Rozzell), 41 Windrose Drive, Port Ludlow, Washington 98365 (C/o Powers & Therrien, P.S., 3502 Tieton Drive, Yakima, Washington 98902) and Lewis J. Hale (Hale), 10552 15th Avenue NW, Seattle, Washington 98177, separately appeal from the September 2, 2005, Decision of Irv Berteig, Jefferson County Hearing Examiner (Examiner), approving the Binding Site Plan/Condominium Subdivision of Ludlow Cove Division 2 and an associated Shoreline Management Act (SMA) Substantial Development Permit (SDP). Port Ludlow Associates LLC (PLA), C/o Marco de Sa e Silva (de Sa e Silva), Davis Wright Tremaine LLP, 2600 Century Square, 1501 Fourth Avenue, Seattle, Washington 98101-1688, is the project applicant. The Powers/Rozzell and Hale appeals were assigned to Appellate Hearing Examiner (Appellate Examiner) John E. Galt. Throughout these proceedings Appellants Powers/Rozzell have been represented by Powers, Appellant Hale has represented himself, the County's Department of Community Development (Department) has been represented by Mike Bergstrom (consultant to the County), and Applicant PLA has been represented by Donald E. Marcy, Cairncross & Hempelmann, P.S., 524 Second Avenue, Suite 500, Seattle, Washington 98104-2323 (who is attorney for prospective developer Trendwest Resorts, Inc. (Trendwest)). c:\documents and settings\alison l1loss\local settings\temporary internet files\olk6\sub05-00004d.doc , e . APPELLATE HEARING EXAMu," ER DECISION RE: SUB05-00004 (Power~/RozzeU and Hale appeals) December 7, 2005 Page 2 of 22 - On October 14, 2005, the Appellate Examiner issued an Initial Appeal Guidance letter to the Parties. (Log Item No. 175) That letter included the following statement: Therefore, unless persuasive statutory, ordinance, or contractual evidence can be presented to prove the contrary, I find that I have no jurisdiction over the SDP. That being the case, argument regarding the merits of the SDP Decision will not be considered. Appellant Powers sought reconsideration of that statement. (Log Item No. 179) The Appellate Examiner denied reconsideration in an Interlocutory Order issued October 31, 2005. (Log Item No. 181) On November 22, 2005, Appellant Powers sought an indefinite continuance of the scheduled hearing. (Log Item No. 206) The Appellate Examiner denied that request by Order issued November 23,2005. (Log Item No. 212) The Appellate Examiner held a consolidated closed record appeal hearing on November 29, 2005. The Department gave notice of the closed record hearing as required by applicable regulations. (Log Item No. 1 QO) Appellants Powers/Rozzell, Appellant Hale, and Applicant PLA submitted prehearing written argument. 1 (Log Item Nos. 1298, 200, and 199, respectively) The Department issued Staff Ri;,;portS. (Log Item Nos. 210 and 211) The record made by the Examiner below (Log Item Nos. 1 - 166), as well as those documents generated during the appeal process (Log Item }\~os. 167 - 212), were entered into the record of the closed record appeal hearing. The action taken herein ar.'} the requirements, limitations and/or conditions imposed by this decision are, to the best of the Appellate Examiner's knowledge or belief, only such as are lawful and within the authority of C) Appellate Examiner to take pursuant to applicable law and policy. FINDINGS OF FACT 1. The proposed Ludlow Cove Division 2 is located within that portion of Jefferson County known as the Port Lu.dlow Master Planned Resort (Port Ludlow MPR). (Log Item 144, p. 7, Finding 1 2) "The project site lies between Paradise Bay Road and Port Ludlow Bay, east of the Village Center." (Log Item No. la, p. 5) 2 As a result of a challenge raised by PLA (by and through Mr. Marcy), the Examiner ruled orally during the closed record hearing that Exhibit 1 to the Powers/Rozzell hearing brief (Log Item No. !) constituted new evidence which could not be considered in adjudicating the closed record appeaL Although the Exhibit was not physically removed from the record, it has not and will not be considered. Log Item citations are provided for the reader's benefit and indicate: 1) The source of a quote or specific fact; and/or 2) The major document(s) upon which a stated fact is based. While the Appellate Examiner considers all relevant dor,uments in the record, typically only major documents are cited. The Appellate Examiner's Decision is bac;ed upon all documents in the record. c:\documents and settings\alison moss\local settings\temporary internet files\olk6\sub05-00004d.doc e , APPELLATE HEARING EXANld-lER DECISION RE: SUB05-00004 (Powers/Rozzell and Hale appeals) December 7, 2005 Page 3 of 22 e 2. In January 1995, Pope Resources (Pope), PLA's predecessor in interest, filed three applications which the Department deemed to be complete as of January 19, 1995 (the 1995 Applications): A. SUB95-0003, Ludlow Cove, a subdivision of 27.75 acres into 24 lots for single family residential use and two tracts "(Tracts A and B) consisting of 15.65 acres '" proposed as future residential development tracts." (Log Item No. la, p.25, Finding 2 3) That application apparently also included two variance requests, one for right-of-way width and one for setbacks. (Log Item No. la, p. 24) B. ZON95-0001, a Conditional Use Permit (CUP) for Tracts A and B seeking unspecified multifamily residential development approval. (Log Item No. la, p. 24) C. SDP97-0009, an SDP for the subdivision. (Log Item No. la, p. 24) The 1995 Applications were revised in July and December, 1997, March, 1999, January, 2000, and November, 2001. (Log Item No. la, p. 42) 3. On or about May 8, 2000, Pope resources entered into the Port Ludlow Development Agreement (PLDA), executed pursuant to Board of County Commissioners (BoCC) Resolution No. 42-00. The PLDA provides that development applications within the Port Ludlow MPR are "vested to and governed by the Port Ludlow MPR chapter of the Jefferson County Zoning Code (as defined in Section 3.1 and Appendices A-F) ..." for the term of the PLDA, which is 20 years. (PLDA, S 3.13, underlining in original, and S 4.22) Appendices A - F are listed on page 17 of the PLDA: Appendix A is the MPR chapter, Ordinance No. 08-1004-99, later codified as Title 17 JCC (MPR Code); Appendix B contains Port Ludlow MPR comprehensive plan policies, Resolution No. 72-98; Appendix C is the Stormwater Management Ordinance, Ordinance No. 10-1104-96; Appendix D is the Interim Critical Areas Ordinance (ICAO), Ordinance No. 05-0509-94 as amended by Ordinance No. 14-0626-95; Appendix E is the Land Use Application Procedures Ordinance (LUPO), adopted by Ordinance No. 04-0828-984; and Appendix F is the Shoreline Master Program. LUPO included Rules of Procedure (RoP) for the Examiner and Appellate Examiner. 5 4 Log Item No. 1a consists of several documents. The page numbers cited herein are the page numbers assigned to the Log Item, not the page numbers of the individual component documents. For example, the Examiner's August 2,2002, Decision encompasses pages 22 - 40 in Log Item 1a and page 25 of Log Item 1a is page 4 in that Decision. LUPO was later repealed by Ordinance No. 11-1218-00 when the County adopted a Unified Development Code (UDe). (See Ordinance No. 01-0203-03.) LUPO remains in effect for development within the Port Ludlow MPR, however. The BoCC adopted new RoP after adoption of the UDC. (Ordinance No. 01-0203-03) Those RoP do not apply to applications subject to the PLDA. 5 c:\documents and settings\alison moss\loca1 settings\temporary internet files\0Ik6\sub05-00004d.doc e .. APPELLATE HEARING EXAlVJ il'-lER DECISION RE: SUB05-00004 (Powers/Rozzell <:nd Hale appeals) December 7, 2005 Page 4 of 22 e Pope sold its interest in Port Ludlow to PLA in 2001. (Stipulation at hearing; see also Log Item No. 199, p. 2, ll. 18 and 19) 4. The 1995 Applications came on for hearing before the Examiner on July 16, 2002. (Log Item la, p. 22) The July 10, 2002, Department Staff Report (1995 Staff Report) to the Examiner advised that the applications were deemed complete as of January 19, 1995, (Log Item No. la, p. 42) and that "the revised environmental checklist dated November 8, 2001 indicate [sic] tl:.at initially 24 lots will be developed and that tracts A & B mayor may not be developed for an additional 64 residential units." (Log Item No. la, p. 46) The 1995 Staff Repcrt indicated that the "Jefferson County Zoning Code classifies the site and the area to the south, northeast and a portion of the property to the north as 'General Use' (G-1)." (Log Item la, p. 44) The 1995 Staff Repo~,i also stated that "The Conditional Use Review Criteria and the Development Standards for Multi-Family Residential of the Zoning Code will apply to the future developm'mt of Tracts A and R" (Log Item No. la, p. 57, ~ 66) In the subsequent paragraphs, the 1995 Staff Report stated that the CUP review criteria of Zoning Code Section 7.30.1 and the CUP Site Development Standards of Zoning Code Section 7.40 applied to the application and that "the proposal has been conditioned to assure compliance with these" criteria and standards. (Log Item No. la, p. 58, ~~ 67 and 68) The 1995 Staffrteport does not include any discussion of any specific plan for the development of Tracts A and B. (Log Item la, pp. 41 - 64) 5. On August 2,2002, tbe Examiner issued his Decision on the 1995 Applications (the 2002 Decision). (Log Item No. la, pp. 22 - 40) The 2002 Decision begins with the following statements: These applications are unique because they were filed as "substantially complete" on January 19, 1995. The Department has monitored tb applications' review progress, and agrees with the Applicant tha': applications are vested in the adopted plans and regulations in place at th'" time of complete application. Although there were revisions in 1997, 1999. 2000 and 2001, those revisions did not cause the applications to bse their vesting status. (Log Item No. la, p. 22) The Examiner "accepted" the Department's position on vesting of the 1995 applicatkns. (Log Item No. la, p. 27, Conclusion of Law 1) The Examiner stated that the 1995 :tpplications were subject to Port Ludlow Interim Urban Growth Areas Ordinance No. 01-0117-95, Jefferson County Hearing Examiner Ordinance No. 1- 0318-91, the Mardl 7, 1989, Shoreline Management Master Program, State Environmental Policy Act (SEP A) Implementing Ordinance No. 7-84, Jefferson County Critical Areas Ordiml;lce No. 05-0509-94, and Jefferson County Zoning Code Ordinance No. 09-0801-94. (LcJ Item No. la, p. 25, first Finding 2) The Examiner found that "Phasing or division:: ,1:'e contemplated." (Log Item la, p. 25, second Finding 2) c:\documents and settings\alison l.~: Jss\local settings\temporary internet files\olk6\sl:bOS-00004d.doc e APPELLA TE HEARING EXAMH'IlER DECISION RE: SUB05-00004 (Powers/Rozzell and Hale appeals) December 7, 2005 Page 5 of 22 It The Examiner stated that phased SEP A review was being applied and that "detailed environmental review on the future development of Tracts A & B will be conducted when that phase ofthe proposal is ready." (Log Item la, pp. 26 and 27, Findings 7 and 8; quote from Finding 8) The 2002 Decision does not include any discussion of any specific plan for the development of Tracts A and B. (Log Item No. la, pp. 22-40) The 2002 Decision does discuss a requirement of Ordinance No. 09-0801-94 that a permittee "must implement that CUP within one year of approval." (Log Item la, p. 26, Finding 5) The Examiner noted that "the one-year time limit could easily expire. ... The Applicant suggests that the current regulations should be applied, which allow a 3-year minimum with extensions." (Id.) The "current regulations" referred to the Jefferson County Unified Development Code (UDC) as the same existed in 2002. (Log Item No. la, p. 28, Conclusion of Law 6) The Examiner then concluded as follows: 7. The Applicant's arguments for applying the current UDC Maximum Duration time limit of 3 years plus a possible I-year extension are valid. The UDC Maximum Duration provision only will be applied to Tracts A & B. 8. In accordance with Staff recommended Findings 67 and 68, all the provisions of Section 7.30 and development standards of Section 7.40 are or will be met with conditions." (Log Item 1 a, p. 29) The Examiner approved the 1995 Applications subject to a total of 65 conditions. (Log Item No. la, pp. 30 - 40) One condition, No. 65, refers expressly to the CUP for Tracts A andB: The application was initially submitted in 1995 and is vested under the ordinances in effect at the time of submittal. The Port Ludlow Master Planned Resort Code was adopted effective October 4, 1999. At the time of application submittal, the Jefferson County Zoning Code was in effect. The Site Development Standards for Multi-Family Residential of Section 7.40.1(a,b,c,d, and e) would apply under vesting. The current provisions of the Uniform Development Code [UDC] for determining Maximum Duration of the Condition [sic] Use Permit for Tracts A & B shall apply as follows: (1) The applicant shall initiate the SEP A portion of Phased Review for Tracts A & B within three (3) years of the effective date; and the applicant shall submit a complete application for a building permit(s) for Tracts A & B within one (1) additional year. c:\documents and settings\alison moss\local settings\temporary internet files\olk6\sub05-00004d.doc .' - e APPELLATE HEARING EXAM i l.JER DECISION RE: SUB05-00004 (Powers/Rozzell and Hale appeals) December 7, 2005 Page 6 of 22 (2) The Maximum Duration shall not count time devoted to the SEP A portion of Phased Review, in accordance with UDC 8.10.5. Initiation of SEP A Review; Limitation on ACtions During Review. (Log Item la, pp. 39 and 40) 6. Phase 1 of Ludlow Cove Division 1 was recorded in December, 2003. Phase 1 consisted of eight single family residential lots and Tracts B - E. (Log Item No. la, pp. 16 - 21) Former Tracts A and B were combined and recorded as Tract E, containing 14.66 acres. Phase 2 as subsequently recorded contained nine more single family residential lots, for a total in both phases of 17 (rather than the approved 24) such lots. (Stipulation at hearing; see also Log Item No. 124, p. 3) 7. In 2004, PLA proposed to sell Tract E to Trendwest. (Stipulation at hearing; see also Log Item No. 199, p. 3, 11. 3 and 4) 8. On January 13, 2005, PLA submitted a Master Permit Application (See Log Item Nos. 4, 5, and 12 - 16.) for "Ludlow Cove Division 2 - 120 unit condominium development within Port Ludlow MPR". The Master Application covered Variance, Binding Site Plan (BSP), and SDP applications (the 2005 Applications) affecting Tract E. (Log Item No.5, p. 1) The applications were assigned County file numbers SUB05-00004 and SDP05- 00002. (Log Item No. 144) A separate BSP application described the proposal as "a 120-unit condominium development situated on a 14.66 acre site known as Ludlow Cove Division 2." 6 (Log Item No. 16, p. 1) 9. On May 9, 2005, PLA re-submitted its applications, specifying that the BSP was for four lots and describing the project as "a 120-unit time share multifamily development". 7 (Log Item No. 70; see also Log Item Nos. 68, 71, 72, and 74) 6 Section 11 of Jefferson County Subdivision Ordinance No. 04-0526-92 contained regulations relating to "Condominium Divisions.' Section 11 constituted "a 'binding site plar.process' for divisions of land into lots or tracts, as permitted by RCW 58.17.040(7), when the improvemeats to be constructed thereon will be included in one (l) or more condominiums or owned by an association or other legal entity in which the owners of units therein, or their owner's associations, have a membership or other legal or beneficial interest." Section 11 c0l1t2ined no expficit requirement to depict proposed buildings on application materials. (Log Item No. 124, pp. 13 and 14, ,-r 48) Section 58.17.040 RCW lists exemptions from the subdivision requirements of Chapter 58.17 RCW. Thus, the BSP process is essentially a form of land division which is exempt from standard subdivision requirements. The 120 unit development has been variously described in record documents as a "condominium" (Log Item Nos. 4, 5, 15, and 16), a "time share multiple family development" (Log Item No. 70), a "120-unit multiple family development" (Log Items No. 72 and 74), and a "120-unit time-share multiple family residential development" (Log item No. 124). c:\documents and settings\alison Iw)ss\local settings\temporary internet files\0Ik6\sub05-00004d.doc e APPELLATE HEARING EXAM11\iER DECISION RE: SUB05-00004 (Powers/Rozzell and Hale appeals) December 7, 2005 Page 7 of22 . 10. The 2005 Applications came on for hearing before the Examiner on August 16, 2005. (Log Item No. 144, p. 1) The July 26,2005, Amended Final Department Staff Report (the 2005 Staff Report) noted the original 1995 subdivision and CUP file numbers as well as the two 2005 file numbers, but stated that only BSP and SDP approvals were required. (Log Item No. 124, p. 1) The 2005 Staff Report stated that "[t]he multifamily component of Ludlow Cove, i.e., this project - Ludlow Cove Division 2, was conditionally approved, subject to future SEP A review" in 2002. (Log Item 124, p. 2, ~ 5) The Staff stated that "[t]he site is currently zoned for single family residential development according to the MPR Code, ordinance #08-1004-99, but was zoned G-l for General Use when the original Ludlow Cove proposal was submitted." (Log Item No. 124, p. 3, ~ 11) The Ludlow Cove Division 2 proposal would develop a 120-unit time- share multifamily residential project on 14.66 acres situated within the Port Ludlow Master Planned Resort urban growth area in Jefferson County. The proposed project would include six multifamily time-share residential buildings, one reception/recreation building, a private road system, recreational amenities such as a private swimming pool, barbeques, spas, and public and private trails. (Log Item No. 124, p. 4, ~ 14) The four lot [BSP] proposal reflects a phasing plan for construction of the seven buildings. The first phase will contain only the recreation building (building 7) and four parking spaces. Phase 2 includes buildings 1 and 2 and the associated parking. Phase 3 contains buildings 3 and 4 and associated parking, and phase 4 contains the last two buildings (5 and 6) and their parking. (Log Item No. 124, p. 5, ~ 16) The 2005 Staff Report stated that the 2005 Applications were vested to 1995 regulations. (Log Item No. 124, pp. 7 and 8, ~~ 21 and 22) The 2005 Staff Report contained an analysis of compliance with 1995 CUP multiple-family development standards (Log Item No. 124, pp. 10 and 11, ~~ 35 -40), but not with 1995 CUP review criteria. 11. On September 2, 2005, the Examiner issued his Decision on the 2005 Applications (the 2005 Decision). (Log Item No. 144) The Examiner stated that BSP/Condominium Subdivision and SDP approvals were being sought. (Log Item No. 144, p. 1) The Examiner found that "the property was vested to the land use controls that were in effect on the date that the 'Ludlow Cove' applications were submitted in 1995." (Log Item No. 144, p. 10, Finding 10) He further noted that "[a]t the time of project vesting, the site was located within the Port Ludlow Interim UGA [Urban Growth Area] and designated in the Comprehensive Plan for multifamily development with a maximum density of 16 dwelling units per acre." (Log Item No. 144, p. 9, Finding 7) The Examiner also found that the 2002 Decision "included Conditional Use approval for a multifamily project." (Log Item No. 144, p. 10, Finding 11) c:\documents and settings\alison moss\local settings\temporary internet files\0Ik6\sub05-00004d.doc e : APPELLATE HEARING EXAMINER DECISION RE: SUB05-00004 (powers/Rozzell and Hale appeals) December 7, 2005 Page 8 of 22 e The nature of Trendwest's proposed use was apparently rather thoroughly argued before the Examiner and his analysis of that issue occupies much of the 2005 Decision. (Log Item No. 144) He ult~~ately concluded that "the Trendwest time-share proposal does not change the project from multifamily residential to hotel or other commercial use." (Log Item No. 144, p. 17, Conclusion of Law 13) The Examiner apprr.:"led the SDP and BSP/Condominium Subdivision subject to 36 conditions. (Log Itee No. 144, pp. 19 - 25) 12. Powers, Rozzell, and Eale each own property in or live in Port Ludlow. (Log Item Nos. 144 {po 2}, 162, anc' J 74) Powers and Hale participated in the Examine;'s August 16, 2005, open record h:>9dng; Rozzell attended but did not testify. (Log Item No. 144, p. 2) Each has standing to appeal. 13. Powers and Hale timely filed separate Motions for Reconsideration. (Log Item Nos. 152 and 162) The Examiner denied both Motions. (Log Item Nos. 165 and 166) Hale and Powers/Rozzell subsequently timely filed appeals. (Log Item Nos. 173 and 174) It is those appeals which ere now before the Appellate Examiner. 14. The Hale Ludlow COll:? Division 2 appeal raises one issue: "whether the Trendwest Resort is a 'multi-family resiliential development' or 'transient accommodations'." (Log Item No. 173, p. 2) Hale argues that the Department and Exanlincr have mis-interpreted the 1994 Zoning Code . provisions. He believes that the proposal is a transient accommodation, not a multifamily residential development. Hale seeks denial of the proposal based on th.:; fact that transient accommodations are not allowed under the 1994 G-1 zone. (Log Item No. 173) 15. The Powers/Rozzell'Ludlow Cove Division 2 appeal raises five issues: 8 That Pope waived its right to develop under the 1995 regulations when it entered into the PLDA in 2000; that the proposed Trendwest use constitutes transient accommodations, not allowed on the subject property under either the 1995 or current codes; that the SDP should not have been approved (The Appellate Examiner dismissed this issue based on lack of jurisdiction; see the Introduction, above, and Log Item No. 181.); that the proposal does not meet the self-contained/integrated requirements of a master planned resort under the growth Management Act (GMA); and that the effect of the South Bay Covenants, Conditions, & Restrictions (CC&Rs) on Tract E development is an "open issue." (Log Item No. 174) 16. Several participants in the Examiner's hearing provided information about the Trendwest business model, some of which was quoted from the Trendwest website and/or Trendwest materials. The Department has identified nine issues in the Powers/Rozzell appeal. (Log Item No. !) The Appellate Examiner's identification of five issues results from "collapsing" some of the Department's identified issues into fewer, slightly more broadly stated issues. c:\documents and settings\alison moss\local settings\temporary internet files\olk6\sub05-00004d.doc e APPELLATE HEARING EXAMINER DECISION RE: SUB05-00004 (Powers/Rozzell and Hale appeals) December 7,2005 Page 9 of 22 e A single corporation will own all the units in this particular project. Club Members buy only the right of use among 4500 or so other units in other locations and for short periods of time. According to the CC&R's provided by Trendwest, Club Members are not owners of the real property . .. The number of employees claimed to be needed for operations, 40-50 as quoted by the Trendwest executives, .... (Log Item No. 88, p. 2) Following are from the Trendwest website: "Trendwest is the developer, marketer and manager of W orldMark properties. The company purchases and develops vacation properties and transfers them debt-free to WorldMark, a nonprofit mutual benefit entity that owns, operates and maintains the resorts." "W orldMark is a pure credit-based resort system that allows you to vacation where, when and how long you want. In contrast, a typical timeshare program requires you to purchase a specific unit in a specific resort for a specific period each year." "When you become a WorldMark owner, you purchase vacation credits through Trendwest. You can "spend" your credits like currency on resorts in the W orldMark network of resorts." (Log Item No. 96, p. 2) Trend West [sic] is part of Cendant. Its basic business is to acquire or develop facilities, to sell the facilities to timeshare owners on weekly timeshare time slots, to bring the owners as part of the package into a vacation club and to operate the facilities. The owners receive points based on the value of their units. Valuation is done through Value Mark, which is associated with Trend West. Owners apply the points to acquire the right to use units for vacation purposes. The units, the use of which the owners acquire would only by accident be the units they own or the time slots to which they would be entitled as owners. The owners pay the maintenance of the units through periodic dues in the club. Key here is that the owners are investing in a vacation club and receiving a theoretical discount for making the investment. They are not investing in a residential unit that they necessarily intend to use themselves in the time slot they purchase. Rather they are investing in the right to visit any of 5,000 units under management of Trend West. Currently about 250,000 members share ownership in such units. Trend West operates the units and makes c:\documents and settings\alison moss\local settings\temporary internet files\olk6\sub05-00004d.doc ~- I r~ IYH?AfY', h UJ"l.l f , - APPELLATE HEARING EXAMINER DECISION RE: SUB05-00004 (Powers/Rozzell and Hale appeals) December 7, 2005 Page 10 of 22 -- money from their initial sale and from their ongoing operation. It puts the staff onsite. . .. Cendant is publicly traded. . .. Trend West has the exclusive control over a resort project using investor vacationer money both for capiel costs and operations. ... . .. [Trendwe::~] is a pool of buyers of a rental unit that is then leased to a vacation club for use of its members. ... (Log Item No. 119, pp. 7 and 8) Trendwest seEs blocks of time (or points) to timeshare purchasers that join its vacation association. Members must either use points as credits against the facilities tbey want to use, pay cash for points, or use a combination of points and carh. ... The timeshare units are reserved by Trendwest/World- Mark members in blocks of one week. (Log Item 134, p. 3) ... Cendant ':orporation, a publicly traded holding company, owns Trendwest w'l~? will develop and maintain the buildings. ... The company's own literature indicates that you are unable to tie owners to specific unit [sic] within a building. ... "Traditional timeshare makes luxurious vacations affordable and helps owners beat vacation inflation, but may people find it too restrictive - they're tied year after year to a fixed week in the same unit at the same property. With many people taking shorter, more frequent vacations, most of the time within driving distance of home, a more flexible system of vacation ownership was needed. Enter Trendwest and its innovative points-based program. When you become a WorldMark owner, you purchase vacation credits through Trendwest. You can spend your credits like currency on resorts in the W orldMark network of resorts." (Log Item No. 137,p. 2, quote from ..http://www.trendwestresorts.com/ownershipl..as the same existed when visited by the author of Log Item No. 137) 17. In the process of seeking a ruling in 2004 from the Department regarding the number of accessible dwelling units which would be required, the Trendwest architect described the project in the following terms: The Trendwest Resort under consideration provides transient residential occupancies. The average stay of Trendwest Members at c:\documents and settings\alison moss\local settings\temporary internet files\olk6\s:J.b05-00004d.doc ~ ~PPELLA TE HEARING EXAIER DECISION RE: SUB05-00004 (Powers/Rozzell and Hale appeals) December 7, 2005 Page 11 of 22 e Trendwest resorts is less than 4 days. The members do not have any ownership interest in any particular property or unit. In general, all members may use any unit in any Trendwest resort based on a point system. Members do not have a right to return to any particular unit at any particular time. Members make reservations based on rooms available at the time a reservation is made. (Log Item No. la, p. 9) 9 18. At a public meeting held at Port Ludlow on March 24, 2005, a Trendwest executive's explanation of the proposal led to the following description in the "Peninsula Daily News": Trendwest is to develop the site, Hensley [Trendwest Executive Vice President] said. After that, W orldMark, the Club, which is owned by Trendwest, would own and manage the resort through a flexible, point-based system. As part of Trendwest, WorldMark counts 220,000 members who continuously use its 56 resorts worldwide, Hensley said. (Log Item No. 57, p. 1) 19. Any Conclusion deemed to be a Finding of Fact is hereby adopted as such. PRINCIPLES OF LAW Authority Appeals from Hearing Examiner Decisions on Type III (formerly Type B under LUPO) applications are heard by the Appellate Examiner. [JCC 18.40.040, Table 8-2; LUPO S 18.A] Examiner decisions "on a type III permit (including its [sic] decision on the underlying project ...) may be appealed by a party of record to the appellate hearing examiner." [JCC 18.40.360(3)(b)] The Appellate Examiner's Decision is final subject to the right of reconsideration and appeal to Superior Court. [LUPO S 18.D.7 and RoP 111.13] 9 PLA argued at hearing that this description should not be accorded great weight in detennining the nature of the use under zoning, based on the fact that it was written for the purpose of seeking a building code ruling, not a zoning ruling. The Examiner assumes that the Trendwest architect provided a true, factual description of the nature of the proposed use. That such a description might lead to one detennination under the building code and a different detennination under the zoning code, does not alter the truth of the description. c:\documents and scttings\alison moss\local settings\temporary internet files\olk6\sub05-00004d.doc . APPELLATE HEARING EXAMINER DECISION RE: SUB05-00004 (Powers/Rozzell and Hale appeals) . December 7,2005 Page 12 of22 e The Appellate Examiner may: a. Affirm the decision; or b. Reverse the decision; or c. Affirm the decision with modifications; or d. Remand the decision to the Hearing Examiner for further consideration, including a statement of the issues to be reviewed on remand. [LUPO ~ 18.D.1] Vested Rights Vesting of development applications in Washington State is based on either statutory law or judicial recognized common law doctrine. Subdivision and short subdivision applications are governed by a statutory vesting rule: Such applications "shall be considered under the subdivision or short subdivisiC'n ordinance, and zoning or other land use control ordinances, in effect on the land at the tiEt';'; a fully completed application ... has been .submitted ...." [RCW 58.17.033] The judicially recognized common law vested rights doctrine has been applied w only certain applications, including CUPs: Washington does ad:lere to the minority rule that a landow.ner obtains a vested right to develop land '.vhen he or she makes a timely and complete building permit application that complies with the applicable zoning and building ordinances in effect on the date of the application. Our vested rights rule also has been applied to building permits, ::::onditional use permits, a grading pClmit, and a [shoreline manageme~t] substantial development permit. [Norco Construction v. King County, 97 Wn.2d 680, 684, 649 P.2d 103 (1982), citations omitted] 10 Under the PLDA, All development prc;:osed on Pope Property shall be vested to and governed by the Port Ludlow MPR chapter of the Jefferson County Zoning Code (as defined in Section 3.1 and Appendices A-F) .... The vesting period shaH be the same as the term of this Agreem~nt. Except as otherwise provided in Section 3.13.1 through 3.13.3 below, any nc\.v or different development standards adapted by the County during the term of this Agreement shall not apply to the Pope Property. To the extent this Agreemcl't does not establish standards or requhements covering a subject, element or conditions, then the development approval sought shall vest to 10 Other states recognize and apply different forms of common law vesting ofland use applications. c:\documents and s(:ttings\alison mos';\local settings\temporary internet files\01k6\sub05-00004d.doc e . APPELLATE HEARING EXAMINER DECISION RE: SUB05-00004 (Powers/Rozzell and Hale appeals) December 7, 2005 Page 13 of 22 . and be governed by the County codes, regulations and standards in effect upon the date of the future application. ... (PLDA, S 3.13, underlining in original) PLDA Sections 3.13.1 - 3.13.3 address public health and safety requirements, the Endangered Species Act, and structural codes. The PLDA expires on May 8, 2020. (PLDA, S 4.22) Standard of Review The applicable standard of review is set forth at LUPO S 18.D.2: The Appellate Examiner may grant the appeal if, following a review of the record, one of the following standards has been met: a. The land use decision is an erroneous interpretation of the law; b. The land use decision is not supported by evidence that is substantial when viewed in light of the whole record; c. The land use decision is a clearly erroneous application of the law to the facts; or d. The land use decision is outside the authority or jurisdiction of the Hearing Examiner. Scope of Consideration The Appellate Examiner has considered Log Items Nos. 1 - 212; applicable adopted laws, ordinances, plans, and policies; and the pleadings, positions, and arguments of the parties of record. DISCUSSION Vested Rights The "Principles of Law" section, above, contains a basic statement of the vested rights doctrine as applied to land use applications in Washington State. As the Examiner quite properly noted (Log Item No. 144, p. 13, Conclusion of Law 6), vested rights serve to fix the regulations which will be applied in the review of an application. Vested rights do not assure that the application will be approved. What vests is the right to consideration under a fixed set of regulations, not the right to approval under those regulations. A key question in the present appeal is: When one has a vested right, what exactly does it protect? The State Supreme Court addressed that question in, among other cases, Noble Manor v. Pierce County, 133 Wn.2d 269,943 P.2d 1378 (1997): We conclude that it is not only the right to divide land which vests at the time of a [. . .] subdivision application, but also the right to develop or use property under the laws as they exist at the time of application. The issue then becomes what development rights vest at that time. c:\documents and settings\alison moss\local settings\temporary internet files\olk6\sub05-00004d.doc , APPELLATE HEARING EX.NER DECISION RE: SOO05-00004 (Powers/Rozzell and Hale appeals) December 7,2005 Page 14 of22 . Two alternatives are possible. Either (1) all uses allowed by the zoning and land use laws on the date of the application for the [...] plat should be vested at the time of application, irrespective of the uses sought in an application; or (2) an applicant should have the right to have the uses disclosed in their application considered by the county or local government under the laws in existence at the time of the application. We conclude the second alternative comports with prior vesting law. [at 283, emphasis added] Applications, not property, vest. Thus, the only thing which vests is the particular application at issue and the uses disclosed within and on that application. Other uses, not disclosed, which might be allowed under then-current land use regulations do not vest. Put differently, it is the particular uses disclosed on the particular application for a particular property which vest, not every use allowed by the then-current regulations that might conceivably be developed on that particular property. Once a subdivision has received final approval and been recorded, u. it is subject to and benefited by the provisions ofRCW 58.17.170: . . . Any lots in a final plat filed for record shall be a valid land use notwithstanding any change in zoning laws for a period of five years from the date of filing. A subdivision shall be governed by the terms of approval of the final plat, and the st8..tutes, ordinances, and regulations in effect at the time of approval under RC\V 58.17.150 (1) and (3) for a period of five years after final plat approval unless the legislative body finds that a change in conditions creates a serious threat to the lJublic health or safety in the subdivision. The Noble Manor court exple,ined the difference between this "vesting" of a recorded final plat 12 and the RCW 58.17.033 vesting of a preliminary subdivision application: RCW 58.17.170 was enacted in 1969 and it gave rights to a developer to use a subdivision lot in accord with the terms of approval of the final plat and the laws in effect on the date of final plat approval (not the date of stlhdivision application) for a period of five years from the date of approval. This section of the statute applies only to formal subdivisions and not to short subdivisions. (Noble Manor, at 281, footnote omitted) 11 The subdivision process is a two step procedure: Preliminary approval foHowed, after construction and/or bonding of the required. physical improvements within the proposed subdivision, by final approval and recordation with the County Auditor (or equivalent office in charter counties). [Chapter 58.17 RCW] A "plat" is the graphic rc!)resentation of a "subdivision." [RCW 58.17.020(2) and (1), in that order] The two terms are often used interchangeably, although it is technically incon'ect to do so. 12 c:\documents and settings\alison n:oss\local settings\temporary internet files\0Ik6\sub05-00004d.doc . e APPELLA TE HEARING EXMv'1I' ~ER DECISION RE: SUB05-00004 (Powers/Rozzell and Hale appeals) December 7, 2005 Page 15 of22 . 6 Section 58.17.170 RCW is irrelevant to the issues in this case. PLAlTrendwest seek vested rights ,y,'-<7 protection based on the date of the 1995 Applications, not on the dates (the earliest of which was. -'",; c('j<.7 in 2003) that the two phases of Ludlow Cove Division 1 were recorded. '(~x I Multifamily Residential v. Transient Accommodations The question of whether the PLA/Trendwest development proposal for Tract E is a multifamily residential development or a transient accommodation depends in large measure upon the application of a number of provisions within the applicable regulations. For ease of reference, the text of the key provisions. is provided below; their effect on the facts in this case will occur in the Conclusions, below. The first provisions of interest are definitions from Jefferson County Zoning Code Ordinance No. 09-0801-94, Section 3.1 0: 32. DWELLING UNIT: One or more rooms physically arranged so as to create an independent housekeeping establishment for occupancy by one family with separate toilet and facilities for cooking and sleeping. 69. MULTI-FAMIL Y RESIDENTIAL DEVELOPMENT: Developments containing structures housing two (2) or more residential dwelling units. Multi- family residential developments are those that are designed and intended for residential occupancy in multi-family structures regardless of the type of building or ownership in which such use occurs. Examples include, but are not limited to: townhouses, duplexes, multiplexes, condominiums, apartment houses, boarding houses, and lodging houses. Accessory Dwelling Units, i.e.: Mother-in-law and accessory apartments shall not be considered multi-family residences. 94. TRANSIENT ACCOMMODATIONS: A building or group of buildings in which lodging or lodging and meals are provided for transient guests for /compensation. Transient accommodations include but are not limited to cabins, ( resort~ hotels, motels, hostels, and campgrounds. For the purposes of this "Ordinince, transient shall be defined as being not more than 30 consecutive days duration. The word "residential" is not defined in Jefferson County Zoning Code Ordinance No. 09-0801- 94. Words which are not defined are to be given their common, ordinary meaning, unless the context clearly requires some special meaning. A dictionary may be used to ascertain that meaning. [US West v. Utilities and Transportation Commission, 134 Wn.2d 74, 97, 949 P.2d 1337 (1997)] "Webster's Encyclopedic Unabridged Dictionary of the English Language," 1989 Edition, defines "residential" as "1. of or pertaining to residence or to residences: a residential requirement for a doctorate. 2. adapted or used for residence: a residential neighborhood" (Emphases in original) The same dictionary defines "residence" as "1. the place, esp. the house, in which one lives or resides; dwelling place; home: Their residence is in New York City. 2. a structure serving as a dwelling or home, esp. one of large proportion and superior quality: They have a summer residence in Connecticut. ..." (Emphases in original) c:\documents and settings\alison moss\local settings\temporary internet files\0Ik6\sub05-00004d.doc '~PPELLA TE HEARING EXA!"fER DECISION RE: SUB05-00004 (Powers/Rozzell and Hale appeals) December 7, 2005 Page 16 of22 e The second group of provisions of interest ate found in the CUP submittal and review requirements within Jefferson County Zoning Code Ordinance No. 09-0801-94, Section 7. [Application] forms shall require the following minimum information: ... 5. A plan of the proposed use showing existing and proposed streets, structures, open spaces, uses of each structure, parking areas, fencing, pedestdan paths and trails, buffers, and landscaping. [~ 7.20] The CUP review criteria in S 7.30.1 state that CUP applications "shall not be ... granted unless all of the following findings are made in the affirmative:", One of the required six findings is that "The charact(~r of the use is in harmony with the surrounding area". (s 7.30.1(5)) The following provisions from Chapter 36.70C RCW, the Land also particularly relevant: Petition Act (LUP A), are (2) A land use petition is barred, and the court may not grant review, unless the petition is. timely filed with the court and tirnely served on the following persons who shall be parties to the review of the land use petition: (3) The petition is timely if it is filed and served all parties listed in subsecticrH (2) of this sc:ction within twenty-one days of the:3suance of the land use deci~~ion. [RCW 36.70C.G40] LUPA has been "the exclusive means of judicial review of[virtually all local government] laicd use decisions" since its enactment in 1995. [RC'V! 36.70C.030] The exceptions in Section 040 would not apply to subdivision or CUP applications. CONCLUSIONS 1. The COI'lclusions which follow show that: PLA has a vested right to develop a multifamily residential development on Tract E; the extent that right is limited by the representations made in the original 1995 Applications; that right requires demonstration of compliance with CUP criteria which was deferred in 2002; the use presently proposed by Trendwest is not a multifamily residential development; and Trendwest's proposed use cannot be established under PLA's vested right. The Appellate Examiner concludes that the Examiner's 2005 Decision contains erroneous interpretations of the law, resulting in a clearly erroneous application of those laws to the facts \vhich were before him. 2. The Conclusions which follow address Hale's one appeal issue (nature of the Trendwest proposal) and two of Powers/Rozzell's appeal issues (vesting and nature of the Trendwest proposal). In view of the conclusions reached on those two issues, the remaining Powers/Rozzell issues are' moot. Moot issues are not nomlally addressed. The moot issues in the Powers/Rozzell appeal will not be addressed. c:\documents and settings\alison n;oss\local settings\temporary internet files\olk6\~:ub05-00004d.doc . e APPELLA TE HEARING EXAJ'vh'l-J'ER DECISION RE: SUB05-00004 (Powers/Rozzell and Hale appeals) December 7,2005 Page 17 of22 . 3. The Conclusions in this Decision are grouped by topic only for the reader's convenience. Such groupings do not indicate any limitation of applicability to the Decision as a whole. 4. Any Finding of Fact deemed to be a Conclusion is hereby adopted as such. Vested Rights 5. The Examiner's 2002 Decision cannot be disturbed. The time to appeal from that decision ended 21 days after it's issuance (or, if reconsideration had been sought, 21 days after issuance of the Examiner's decision on reconsideration). It is now some three years later. No right of appeal exists. Thus, the Examiner's 2002 ruling on vested rights stands as the law of the case and binds all of the current parties. The Appellate Examiner need not consider Appellant Powers' waiver of vested rights argument since the time to challenge the 2002 Decision has long passed. 6. However, the preceding Conclusion does not fully resolve the vesting challenge, for we must determine what vested before we can answer the question of whether the current BSP and Trendwest proposal are vested to the regulations as they existed on January 19, 1995. 7. A BSP is not a subdivision; rather, it is a form ofland division which is exempt, by law, from subdivision requirements. Was a BSP a part of the 1995 Applications? The record available to the Appellate Examiner is not sufficient to provide a reliable answer to that question. From what is available in this record, it would not appear that it was: The plan was to create a number of single family residential lots with multifamily residential use of Tracts A and B. The record available here does not indicate that further division of Tracts A and B was contemplated under the 1995 applications. The record available here also does not allow one to determine the configuration of Tracts A and B, nor to determine why they were combined into Tract E when Ludlow Cove Division 1 was recorded. 8. If further division of Tracts A and B was disclosed in the 1995 Applications, then that further division is vested, whether it be by further subdivision, short subdivision, or exempt BSP division. If further division of Tracts A and B was not included in the 1995 Applications, then no vested right exists and such further division must occur subject to the regulations in effect when the application for that further division was/is filed. Just because a proposed subdivision vested in 1995 to 1995 regulations does not mean that every succeeding division of land within that original subdivision is somehow also vested to 1995 regulations. 9. The 2005 Applications need to be remanded to the Examiner for a factual determination as to whether the 2005 BSP land division application is or is not vested to 1995 regulations, with consideration of the merits of that application to follow subject to the applicable regulations. c:\documents and settings\alison moss\local settings\temporary internet files\0Ik6\sub05-00004d.doc .' - .' APPELLATE HEARING EXAI'vl.L,rER DECISION RE: SUB05-00004 (Powers/Rozzeil311d Hale appeals) December 7,2005 Page 18 of22 . 10. The available record shows that as of January 19, 1995, what is now known as Tract E was zoned G-1 and, 3S such, had a potential for up to 16 dwelling units per acre of multifamily residential housing upon issuance of a CUP. Only the 1995 Applications and the uses expressly disclosed therein vested to the 1995 regulations. Future uses of the property that might have been allowed under the G-1 zoning do not vest; only the uses proposed in the 1995 Applications for that property enjoy a vested right. [Noble Manor v. Pierce County, 133 Wn.2d 269,283,943 P.2d 1378 (1997)J The record available to the Appellate Examiner (which is not the entire 2002 record) indicates that the 1995 Applications were for a 24 lot single family residential subdivision and a CUP for multifamily housing on Tracts A and B (now Tract E). The most specific descri.':tionmentioned in this record of tllC multifamily development portion of the 1995i~pplications indicated that Tract E or may not be developed with 64 tmits of multifamily residential housing. If that in fact, the most specific description of the ml.lltifamily proposal in the 1995 Applivations, then that description represents what was proposed and what enjoys a vested right. 11. Since the 1995 applications included a CUP for multifamil: residential development of Tract E, some level of rnultifamily residential development cfTract E is vested under the 1995 CUP application. Substantial modifications between the date an application is filed and the. date it is eventually heard may result in its losing any vested right which it otherwise would have enjoyed. A 120 unit multifamily residential develop:nent would be almost twice as larg",~ and dense as that which was apparently represented to be the project within the 2002 record. The 1995 vested right vvould not protect a 120 unit multifanlily development proposal if what was vested was a 64 unit multifamily development proposal. The Examiner should have the opportunity to again revi,'},v the 1995 Applications to determine whether tL~ current proposal, whatever it may:.:nimately be, is so changed from the concept de:,:~'dbed in the 1995 Applications and ai the 2002 hearing as to cause the vested right to 19ps~. Remand of the matter is the appropriate way in which to allow that action to occur. 12. Under the zoning regulations in effect on January 19, 1995, a CUP application required submittal of a speciE.:: site development plan which then formed the basis for the required CUP compatibility review. The present record contains no evidence that any specific site development plan was before the Examiner in 2002, nor that the required compatibility review was performed, (The required review could not be performed without a specific development propos~.! to review.) In fact, the available record makes abundantly clear that no plan was pre:':ented: Multiple family development of Tract E would be evaluated at a later time. c:\documents and st:ttings\alison j'. xJ\local settings\temporary internet files\olk6\"Eb05-00004d.doc ,.. . APPELLATE HEARING EXATvt.,4ER DECISION RE: SUB05-00004 (Powers/Rozzell and Hale appeals) December 7,2005 Page 19 of22 e How then can the Examiner's 2002 CUP approval be explained? 13 We must first assume that the Examiner understood the code requirements and intended to issue a decision that complied with those requirements. The only logical conclusion is that the Examiner approved the general concept of multifamily residential development of Tract E while deferring to the future compliance with CUP site plan submittal and analysis requirements. 14 13. Unfortunately, that analysis has never occurred because the 2005 applications and the 2005 Decision overtly exclude the CUP component. 15 While a vested right to a CUP for multifamily residential development of Tract E does exist, the review process required under the vested regulations has never been completed. The multifamily residential development right that vested with application ZON95-00001 is not a right to avoid compliance with the applicable 1995 regulations. Since the Examiner deferred that compliance in 2002, that compliance must yet occur. The 1995 CUP application should have been before the Examiner in 2005. The case must be remanded to allow the applicable CUP requirements to be met. In that process, the Examiner will have to determine whether the proposal has so changed as to void the _ vested right. Multifamily Residential v. Transient Accommodations 14. Whether Trendwest's current proposal is a multifamily residential development or transient accommodations must be decided based upon the definitions found in the 1994 Zoning Code (because the CUP for multifamily residential development of Tract E is vested to that version of the Zoning Code). If it is multifamily residential, it would be allowed subject to issuance of a CUP under the zoning to which the 1995 CUP is vested; if it is a transient accommodation, it could not be allowed. 15. The type of ownership of the buildings is, according to the definition of multifamily residential development, completely irrelevant to the question at hand. 16. The parties to this proceeding seem to agree that an apartment building is multifamily residential and that a hotel/motel is transient accommodation. The basic dispute is whether Trendwest's proposal is more like an apartment than a hotel/motel. The number and type of rooms in a unit can no longer (if ever they could) be used to definitively distinguish an apartment from a hotel/motel: Some entire hotel/motel chains are based on a "suite" concept in which units may contain more than one room and include cooking 13 14 IS As has been noted, it is too late to challenge the Examiner's 2002 Decision. That Decision must be applied as it stands. The Powers/Rozzell appeal questions how 2002 CUP term of approval standards could be used when PLA was claiming a vested right to 1995 regulations. (Log Item No. !) A recent appellate court case [East County Reclamation Co. v_ Bjornsen, 125 Wn. App. 432, 105 P.3d 94 (2005)] holds that vested rights may not be applied selectively in that fashion. However, as noted, it is too late to challenge the 2002 Decision. The statement in the 2002 Staff report that the CUP "has been conditioned" to assure conformance with required standards was simply not correct since there was no specific site plan present to be conditioned. c:\documents and settings\alison moss\local settings\temporary internet files\0Ik6\sub05-00004d.doc 20. e APPELLATE HEARING EXAl'vi.. i'! ER DECISION RE: SUB05-00004 (Powers/RozzcU aad Hale appeals) December 7,2005 Page 20 of 22 e facilities. Neither can the presence or absence of recreationhui1dings, swimming pools, barbeques, etc.: Both apartment complexes and hotelshnote1s commonly have such features. 17. Trendwest stipulates that its members' occupancy would be ti'i;.lllsient by definition (for 30 days or less). (Argumem of counsel) Under the applicable 1994 Zoning Code definitions, the proposal would thus be a transient accommodation if "cofi:pensation" is paid. But "compensation" is almost universally involved in both multifamily residential developments and in transient accommodations: Apartment renters pay rent to the landlord for the right to occupy a unit; hotel/motel guests pay for the right to occupy a unit. It would be wrong to suggest that "compensation" is unique to transient accommodations. 18. The preponderance of the evidence shows that Trendwest members buy vacation points so that they may vacation anywhere within the Trendwest system, that they use these points to "rent" the accommodation they desire (paying mcr~ points for a larger, more desirabk unit or during "high" season), and that they cansll.fJplement points with cash. The evidence also shows that the units are available to non-Trendwest members when not reserved by Trendwest members. No matter what the legal nuances of a Trendwest member's ownership are, the reality is that Trendwest members pay compensation (points and/or cash) to use units within the Trendwest system for vacation stays. Therefore, a Trench,vest resort is, under the applicable definitions, a transient accommodation, not a multifamily residential development. Therefore, the proposed Trendwest resort is not permitted under either the, 1995 G-l zoning or the current single family residential zoning. 19. Another approach to the issue is to consider the meaning of the word "residential." The words "residence" and "residential" clearly imply a significant degree of permanence. (If this were not true, then a hotel would be a residence and would qualify as a multifamily residential development. The illogic of that result is apparent.) Such permanence is not present at a Trendwest resort. A Trendwest resort is likely not the "residence" of any of its guests; rather, it is a vacation resort, a place to get away from one's residence. Since it does not contain residences, the proposal cannot be a multifamily residential development. A third approach is to consider the examples of each defined term as listed in the Zoning Code definitions. Only "transient accommodations" includes "resorts" in its list of examples. The examples under multifamily residential development are not at all similar to the Trendwest model. 16 ]6 The "condominium" example in the definition was discussed in the 2005 Decision. The evidence available to the Appellate Examiner leads to the inescapable conclusion that the Trendwest proposal would not qualify as a condominium: Trendwest members have no interest in the real property and, even if they did, c:\documents and scttings\alison E'OS ,\local scttings\temporary internet files\oIk6\sub05-00004d.doc (Footnote continued on next page.) ^. e APPELLATE HEARING EXAM",rER DECISION RE: SUB05-00004 (Powers/Rozzeli and Hale appeals) December 7, 2005 Page 21 of22 e 21. All three approaches to this issue lead to the same result: The Trendwest proposal is a transient accommodation resort, not a multifamily residential development. Transient accommodations are not allowed under either the 1995 G-l zoning nor under the current single family residential zoning. 22. The Examiner's acceptance of the position that Trendwest's proposal is a multifamily residential development was clearly erroneous. 23. Since PLA is the legal successor to the party whose 1995 Applications vested and Trendwest is but the prospective developer of Tract E, PLA should not lose its vested right just because the prospective developer's plan is not "U.owed under either vested or current zoning. Therefore, the most appropriate action not to deny the entire application, but to remand for compliance with the holdings of this Decision. DECISION Based upon the preceding Findings of Fact and Conclusions, the Appellate Examiner hereby VACATES the Examiner's September 2,2005, Decision and REl\lANDS the matter for further proceedings in eccordance with the holdings of this Decision. Decision issued December 7, 2005. \s\ John E. Galt (Signed original in official file) JOHN E. GALT Appellate Hearing Examiner the common areas would not be restricted in their use. to only those few members who actually "own" a unit in the proposed resort. At best, the proposal is a "timeshare" resort. .. c:\documents and settings\alison moss\local settings\temporary internet files\0Ik6\sub05-00004d.doc e APPELLATE HEARING EXAML.,ER DECISION RE: SUB05-00004 (Powers/Rozzell and Hale appeals) December 7, 2005 Page 21 of22 e 21. All three approaches to this issue lead to the same result: The Trendwest proposal is a transient accommodation resort, not a multifamily residc';i1.1al development. Transient accommodations are allowed under either the 1995 G- JlEoning nor under the current single family residential zoning. 22. The EXfuJ.liner's acceptance of the position that Trendwe~,V proposal is a multifamily residential development was clearly erroneous. 23. Since PLA is the legal successor to the party whose 1995 Applications vested and Trendwcst is but the prospective developer of Tract E, PLA should not lose its vested right just because the pl'ospective developer's plan is not allowed under either vested or current zoning. Therefore, the most appropriate action is not to deny the entire application, but to remand for compliance with the holdings of this Decision. DECISION Based upon the preceding Fi[.dings of Fact and Conclusions, thl;;.\.ppellate Examiner hereby VACATES the Examiner's S.eptember 2,2005, Decision and REr-r"hNDS the matter for further proceedings inJ>ceordance with the holdings of this Decision. Decision issued December 7,2005. \s\ John E. Galt (Signed original in official file) JOHNE. GALT Appellate Hearing Examiner the common areas would not be restricted in their use to only those fevl members who actually "own" a unit in the proposed resort At best, the proposal is a "timeshare" resort. .. c:\documents and settings\aIison l11oss\local settings\temporary internet files\0IkG\$~lb05-00004d.doc - . -- -- ~ APPELLATE HEARING EXAMJj~ER DECISION RE: SUB05-00004 (Powers/RozzeH and Hale appeals) December 7, 2005 Page 22 of22 NOTICE of RIGHT of RECONSIDERATION This Decision is final subject to the right of any party of record to file a written motion for reconsideration within 10 working days following the issuance of this Decision in accordance with the procedures of RoP 111.13.2. The filing of a motion for reconsideration does not stop the period provided to appeal the Appellate Examiner's Decision. See RoP III.13 for additional information and requirements regarding reconsideration. NOTICE of RIGHT of APPEAL This Decision is final subject to the right of a party of record with standing, as provided in RCW 36.70C.060, to file a land use petition in Superior Court in accordance with the procedures of LUPO ~ 18.D.7. Any appeal must be filed within 21 calendar days following the issuance of this Decision. c:\documents and settings\alison moss\local settings\temporary internet files\olk6\sub05-00004d.doc ,t . e LAWYERS II Davis Wright Tremaine LLP ANCHORAGB BI!LLllVUE LOS ANGELES NI!W YORK PORTLAND SAN fllANCISCO SBATTLI! SHANGHAI WASHINGTON, D.C. 2600 CENTURY SQUARE 1501 FOURTH AVJlNUJl SEATTLB, WA 98101-1688 TEL (206) 622-3150 PAX (206) 628-7699 www.dwt.com March 3, 2006 VIA ELECTRONIC MAIL AND CERTIFIED MAIL, RETURN RECEIPT REQUESTED Ai Seal( Director Department of Community Development Jefferson County 621 Sheridan Street Port Townseo.d, Washington 98368 Pat Rodgers Board of County Commissioners Jefferson County 1820 Jefferson Street Port Townsend, Washington 98368 David Sullivan Board of County Commissioners Jefferson County 1820 Jefferson Street Port Townsend, Washington 98368 Phil Jolmson Board of County Commissioners Jefferson County 1820 Jefferson Street Port Townseo.d, Washington 98368 Lorna Delaney Clerk of the Board of County ComrnillSioners Jefferson County P.O. Box 1220 Port Townsend, Washington 98368 John Fischbach County Administrator Jefferson County 1820 Jefferson Street Port Townsend, Washington 98368 Re: Amendment No. 1 to Port Ludlow Development Agreement Ladies and Gentlemen: I represent Port Ludlow Associates LLC and Olympic Water and Sewer, Inc. (conectively, "PLA''). I am. writing in connection with the Port Ludlow Development Agreement dated May 1, 2000, and effective May 8, 2000 (the "Agreement''), between Pope Resources, Olympic Property Group LLC, Olympic Resorts LLC, Olympic Water and Sewer, Inc., and Olympic Real Estate Development LLC (conectively"Pope''), and the County, which was recorded in the real property records of Jefferson County, Washington, under Auditor's File No. 435974. The Agreement relates to the development ofland within the Port Ludlow Master Planned Resort, which was designated by Jefferson County in 1998 under the authority ofRCW SEA 1762306v16S364-1 Seattle " ,J e e II Jefferson County, Washington Matcl13, 2006 Page 2 36.70A.362. PLA acquired the interest of Pope in August 2001 and is the assignee and successor to Pope under the Agreement Trendwest Resorts, Inc., proposes to develop a timeshare community on a parcel ofland commonly known as Tract E of the Plat of Ludlow Cove. The project would have 120 timeshare units and would significantly enhance the resort features of the Port Ludlow MPR. Tract E comprises a 14.66-acre portion of the Port Ludlow MFR. Tract E currently is owned by PLA but is under contract for sale to Trendwest. PLA and Trendwest believe that timeshare structures and uses are multi-family residential structures and may be developed within Tract E to a vested density ofup to sixteen (16) timeshare units per acre of land (although the Trendwest proposal is for approximately nine (9) units per acre). In a decision dated September 2, 2OOS, your Hearing Examiner agreed with P~ Trendwest, and your Department of Community Development statt: and approved the Trendwest project. A dispute has arisen between three property owners within the Port Ludlow MPR, on the one hand, and PLA, Trendwest, and the County, on the other hand, whether timeshare structures and uses are permitted on Tract E under the Agreement Last fall, those three individuals appealed the binding site plan decision of the Hearing Examiner to the Appellate Hearing Examiner and appealed the shoreline decision of the Hearing Examiner to the Shorelines Hearings Board. In a decision dated December 7, 2OOS, the County Appellate Hearing Examiner agreed with the three property owners as to the binding site plan decision, and PLA and Trendwest have appealed that decision to Jefferson County Superior Court, where the matter is pending. The Shorelines Hearings Board has not yet made a decision in the shoreline appeal. PLA and Trendwest believe that the Hearing Examiner's decision was conect and that the Appellate Hearing Examiner's decision was made in error. PLA and Trendwest also expect that the Shorelines Hearings Board will affinn the Hearing Examiner's favorable shoreline decision. However, the Trendwest project could be delayed for a significant period of time, at great expense to PLA, Trendwest, and the County, by the three appellants, regardless whether or not their appeals have merit. The prompt resolution of the controversy is of significant public importance in the Port Ludlow community and will provide benefits to the County and to its citizens. The Board of County Commissioners has the authority to approve an amendment to the Port Ludlow Development Agreement that will resolve the disagreement - made evident in the conflicting decisions of the Hearing Examiner and Appe1Iate Hearing Examiner -- whether timeshare structures and uses are permitted. within Tract E. The amendment does not require an amendment to the MPR zoning code or comprehensive plan. I am writing to request your approval of such an amendment, and PLA's proposed draft is enclosed for your consideration. SEA 1162J06v1 65364-1 Seattle " . . Jefferson County, Washington March 3, 2006 Page 3 II It is a requinment of state law and County ordinances that your review of this application be a public process and that you hold a public hearing prior to your decision. However, because County staff already has completed the environmental review of the Trendwest project, and because a complete set of conditions and mitigation measures already has been developed, the process can be completed quickly. I propose the following schedule to complete the process: Filing of complete application: March 3 Publication of notice of application and public comment period: March 15 End of public comment period: April 14 Staff report: April 28 Publication of notice ofBOCC public hearing and availability of staff report: May 3 BOCC public hearing: May 18 (third Thursday) BOCC decision: May 18 Deadline for LUP A appeals: June 8 It is possible that Trendwest will submit to the County new binding site plan and shoreline permit applications and ask that they be consolidated with this application. This would allow the County to approve the Trendwest project under the new development standards descn'bed in our proposed amendment PLA consents to and would support such consolidation. You will receive strong and repeated opposition to this proposed amendment from our three opponents and from some of their friends. As you consider their comments, I hope that you will consider the significant benefits of the project to the Port Ludlow community, the thorough evaluation and approval of the project given by the Department of Community Development and Hearing Examiner, and the significant compatibility of a timeshare community with a master planned resort. SEA 1762306\'165364-1 Seattle ,.....'- 1'1 ., 118 II III II II II d III II" II. II II _. - ~: t - ii i: . i - 1~11I11I~IIIII.mnllll~I.1I ~~~7:;... J.".rlon County, WA POPE RROuReU. RESO !S8.00' 1 STATE OF WASHINGTON County of Jefferson IN THE MAITER OF A RESOLUTION to enter into a development agreement with land owned by Pope Resources per Chapter 36.70B.170 and Chapter 36.70B.200 Revised Code of Washington } } } } } Resolution No. 42-00 The Jefferson County Board of Commissioners enters the following findings: I. On August 28, 1998 the BOCC adopted Resolution No. 72-98 establishing the Jefferson County Comprehensive Land Use Plan in accordance with the Growth Management Act Chapter 36.70A RCW. 2. The Comprehensive Plan established the Port Ludlow Master Planned Resort. The Comprehensive Plan contains policies in LNG 25.0 of the Land Use and Rural element, which maintain the viability of Port Ludlow, as Jefferson County's only Master Planned Resort (JvfPR). 3. On October 4, 1999 the BOCC adopted Ordinance No. 08.1004-99 as development regulations for the Port Ludlow Master Planned Resort. 4. Pursuant to Chapter 36. 70B.170 Jefferson County may enter into a development agreement with a person having ownership of real property within Jefferson County. 5. Land Use and Rural Strategy C, Master Planned Resort, Action Item 3 of the Comprehensive Plan (page 3-94) allows for the adoption of a Development Agreement between Jefferson County and Pope Resources (Olympic Property Group) pursuant to Chapter 36.70.B.170 RCW. 6. The Board of County Commissioners finds that the Development Agreement is consistent with the applicable development regulations adopted by Jefferson County under chapter 36.70A RCW. NOW, THEREFORE. BE IT RESOLVED by the Board of County Commissioners. Jefferson County, . Washington, as follows: 1.0 The adoption of Port Ludlow Development Agreement (attached hereto as Exhibit A) covering approximately 1,200 acres of land owned by Pope Resources and located in Jefferson County furthers the public's health, safety and welfare by allowing d~yeJoPment to take place in a predictable manner consistent with the County's Comprehensive Plan artdfthePort Ludlow Master Planned Resort Code, Ordinance No. 08- I 0004-99. 2.0 The Boan~ intends this Resolution shall apply to all land owned by Pope Resources within the Port Ludlow~aster Planned.Resort, to the extent permitted by law. e 1111_111111:~~~;~. J.".raOrl County. WA POPE RESOURCU RE$O sse."' 3.0 Effective Date. This resolution shall become effective on the 8th day of May 2000. ~ ~ 4.0 AdopHon. Adopted by the Jefferson County Board of Commission"" this t day of ~ 2000., ~ SEAl: i '- " : · J . . -- a. .' " / ATTEST: APPROVED AS TO FORM: ONLY ~~~ Joe -anne Dalzell . / Jefferson County Prosecuting Attorney nity Development I ~ ~~ II e ~ ~ . . -...-.-. ItI II II iii II Ita II II. ~ 11\ ~. j, j. , ,~ e e N]IIII!IWI illll~~~~!;. J.".r.an Countv. WA POPE ftESOURCE6 RESO 1188.11 I "EXHIBIT . PORT LUDLOW DEVELOPMENT AGREEMENT 1. PARTIES, PLANNING CONCEPT and RECITALS 1.1 PARTIES This DEVELOPMENT AGREEMENT ("Agreement") is entered into this / d- day of ;4ta~ ' 2000, by and between POPE RESOURCES, a Delaware Limited Partner 'p, its subsidiary companies OLYMPIC PROPERTY GROUP LLC (a Washington limited liability company), OLYMPIC RESORTS LLC (a Washington limited liability company), OLYMPIC WATER AND SEWER, INe. (a Washington corporation), OLYMPIC REAL ESTATE DEVELOPMENT LLC. (A Washington limited liability company) (collectively referred to as. "P-ope" hereinafter) and JEFFERSON COUNTY, a municipal corporation under the laws of the State of Washington. Tms Agreement relates to real property consisting of some 1200 acres owned by Pope and located in Jefferson County, Washington within the area known as the Port Ludlow Master Planned Resort or "Port Ludlow MPR." The term "Pope Property" as used elsewhere in tms Development Agreement shall include and shall refer solely to the property owned by Pope within the Port Ludlow MPR, as described in Exmbit I (the "Pope Property"). 1.2 PLANNING CONCEPT AND VALUE A plan for future buildout ofthe Pope Property within the Port Ludlow :MPR promotes growth management and planning objectives of the County, including reasonably priced housing; innovative and sensitive land development with clustering and critical area ti'afts; environmental protection; creative mix of resort, commercial and residential uses~and sustainable economic vitality. 1.3 RECITALS 1.3.1 The Wasmngton State legislature finds that the lack of certainty in the approval of development projects can result in a waste of public and private resources, escalate housing costs for consumers and discourage the commitment to /' comprehensive planning which would make maximum efficient use of resources at the . least economic cost to the public. RCW 36.70RI70. 1.3.2 Jefferson County is a municipal corporation under the laws of the State of Washington with authority to enact laws and enter into agreements to promote the health, safety and welfare of its citizens, including the approval of land use plans and develoPIl:1ent. devagrnlfinal February II. 2000 e Imlll.IIII:~7;... J.".raon County, WA POPE RESO\IlCES ItESO He." e 1.3.3 The County is authorized by state law to enter into a development agreement that will set forth the requirements for future development in the Port Ludlow MPR. RCW 36.70B.170. 1.3.4 ort Ludlow has bee designated fonnaIly as a Master Planned Resort, as defined i RCW_~6.70A.362' the Jefferson County Comprehensive Plan adopted on August 8, 1998 in tion No. 72-98. 1.3.5 The County has allocated and reserved from its population forecast prepared by the state Department of Community, Trade and Economic Development 2250 residential dwelling units (at buildout) to the entire Port Ludlow MPR, including Pope Property. Residential dwelling units do not include transient, resort units or commercial properties. 1.3.6 In keeping with the Growth Management Act's purpose of promoting wise use of land through coordinated planning efforts, the Jefferson County Countywide Planning Policies and the Comprehensive Plan anticipate completion of the resortJresidential community of Port Ludlow. 1.3.7 This Agreement relates to the future development of real property owned by Pope or any of its subsidiary companies located in Jefferson County, Washington. The Pope Property is comprised of approximately 1200 acres of land and is part of the Port Ludlow MPR. I 1.3.8 The Port Ludlow MPR has a variety of designated uses including residential, resort, community facilities, Village Commercial Center. open space and recreational areas, including a golf course and marina. / 1.3.9 The coordination ofland use decision-making involving large land areas, such as Port Ludlow, provide unique opportunities for the benefit of the County and the existing and future residents of the Port Ludlow MPR. 1.3.10 The County has determined that the coordinated planning of Port Ludlow furthers the goals of the County, as reflected in the Countywide Planning Policies and the Comprehensive Plan. 1.3.11 The parties to this Agreement acknowledge that the Zoning Ordinance for the Port Ludlow MPR is in confonnance with the standards set forth in the Countywide Planning Policies and the Jefferson County Comprehensive Plan and is consistent '!VJth the goalsandieq':lirements ofth.e G!9wth Managemen~ Act. _ 1.3.12 As of the date of this Agreement, Port Ludlow has approximately devagrnlfinal February II. 2000 2 4 1/ -rj,:;., e I' l~aIIIBIIJlj~II~~~~~;.~ J.".rlon ~t'l. WA POPE RESOUIfCU REBO 888." lie II 1791 developed homes, condominiums and platted lots, as well as a small resort, marina and commercial center. All parties acknowledge there is a development cap for the Port Ludlow MPR set forth in the zoning chapter as "Measurement ERUs" (Measurement Equivalent Residential Units or MERUs). Total allowed development within the Port Ludlow MPR is 2,575 MERUs, with a residential unit maximum of2,250, as set forth in zoning chapter adopted by the Board of County Commissioners on October 4,1999 in Ordinance 08-1004-99. II I!t 1.3.13 Buildout of the Pope Property is expected to occur over the next ten to twenty years. Pope, Jefferson COWlty, Port Ludlow community groups and members of the public at large wiJI invest considerable time in the COWlty permit and review process for the future buildout of the Pope Property. A development agreement is an appropriate way of providing certainty over time with respect to permitted densities, uses, development standards and other aspects of the de:-elopment review process. ,II II Ii 1.3.14 The parties to this Agreement acknowledge the separ.ate document entitled Memorandum of Understanding regarding the provision of sewer service (Sewer MOU), which document was approved by the Board of County Commissioners on October 4, 1999. .. .... .~~~ I I 1.3.15 Pursuant to RCW 36.70B.200, this Agreement was the subject ofa fifteen (15) day comment period, which ran from April 19, 2000 to May 5 2000, and a hearing was held before the Jefferson County Board of County Commissioners on May 1 , 2000. The Board of County Commissioners reviewed and took official action adopting this Agreement on May 8 , 2000. 2. POPE PROPERTY ELEMENTS 2.1. POPE PROPERTY The Pope Property consists of approximately 1200 acres. The Pope Property is described with particularity in Exhibit 1. A map showing the location of the Pope Property within the Port Ludlow MPR is attached as Exhibit 2. ~ I I. 11 II - " I' 2.2 PORT LUDLOW MPR DESIGNATED ZONES The Port Ludlow MPR includes the following designated zones, with permitted uses as defined. in Port Ludlow MPR Zoning Chapter of the Jefferson County Code, attached as Appendix A hereto: · Single Family (MPR-SF) · Single Family Tracts (MPR-SFT) · Multiple Family (MPR-MF) ~. devagmtfinal February Ii. 2000 3 ~ ~ ~ ~\ ~ N ~ '\"'\ ~ ~ ~"- \[\~ ~\S e 1IIIIIIIIuIIO :::,~, J.t !.rlon County, WIll POPE RESOURCES RESOa".ee .4M · Resort Complex/Community Facilities (MPR-RC/CF) · Village Commercial Center (MPR-VC) · Recreation Areas (MPR-RA) · Open Space Reserve (MPR-OSR) 2.3 MAP OF MASTER PLANNED RESORT AND PERMITTED USES . Attached as Exhibit 3 is a map of the Port Ludlow MPR in a recordable format. Exhibit 2 shows the location of the Pope Property within the Port Ludlow MPR. 3. DEVELOPMENT STANDARDS 3.1 PERMIITED LAND USES AND DENSITY STANDARDS; ZONING - The permitted land uses, regulatory standards- and density standards for development within the Pope Property are set forth in the Port Ludlow MPR Zoning Code chapter of the Jefferson County zoning code, attached as Appendix A. 3.2 PLANNING GOALS AND OBJECTIVES The planning goals adopted by Jefferson County in the Comprehensive Plan .shall be the policy guidance and the foundation for all future development of Pope Property. The Comprehensive Plan policies for the Port Ludlow MPR are attached as Appendix B. 3.3 SURFACE WATER STANDARDS All future development within the Port Ludlow MPR shall be subject to the Jefferson County Stonnwater Management Ordinance #10-1104-96. A copy of the ordinance is attached in Appendix C. The County shall be responsible for the management of surface water in all public road rights of way, easements accepted by the County for maintenance and other areas dedicated to the public. 3.4 CRITICAL AREA STANDARDS The critical areas, boundaries of such critical areas and allowed uses within the critical areas of the Port Ludlow MPR shall be detennined based upon the Jefferson County Interim Critical Areas Ordinance No. 05-0509-94 as arnended by Ordinance No. 14-0626-95. A copy of the ordinance is attached in Appendix D. 3.5 PLATTING STANDARDS Platting within Port Ludlow MPR shall be pursuant to RCW 58.17 and the Jefferson County Subdivision Ordinance No. 04-0526-92 and within the time frames adopted by devagmlfinal February 11.2000 4 eJ " I I I I I I . I I I I I I ,I , I II 111_ II II mJ II III II II It' I I. I I II. 1! 1\ " I a' e_ 1IIIIIdlllll~=~~.?~, J'''.non ~ty, WA POPE H$~S :trl!H' t1 :40A "H." Jefferson County pursuant to the 1995 Regulatory Reform Legislation, ESHB 17.24 (ch. 347, Laws of 1995), as codified in Land Use Application Procedures Ordinance No. 04- 0828-98. A copy of the ordinances are attached in Appendix E. . 3,6 SHORELINE MASTER PROGRAM All future development within the Port Ludlow MPR shall be subject to the Jefferson County Shoreline Master Program in effect as of the date of this Agreement. A copy of the applicable Shoreline Master Program is attached as Appendix F. iJ tJr1 3.7 PORT LUDLOW WATER SERVICE /)f}/ 2(/ Water main extensions and water system improvements that may be required to .(/ serve the Pope Property shall be installed in conformance with the most current approved specifications and requirements, at the time of installatiOn, of the Ludlow Water Company Water System Plan, the Jefferson County Coordinated Water System Plan and the Washington State Department of Health, and all other applicable laws, ordinances, rules and regulations. 3.8 PORTLUDLOWSE~RSER~CE Sewer mains and sewer system improvements that may be required to serve the Pope Property shall be installed in confonnance with the most current, approved specifications and requirements of the Pope Resources General Sewer Plan, as approved by the Department of Ecology, and all other applicable laws, ordinances, rules and regulations. d13.9 /J(tf/) r ~v :;:: ..:: within the Port Ludlow MPR shall be provided by 1effmon County '1 Fire District No.3. Mitigation fees associated with develppment, ifany, shall be . . ~~ ,/t ined and paid pursuant to applicable state and local law. J~ 3.11 FLEXIBILITY AND MODIFICATION OF POPE PROPERTY (J EVELOPMENT ELEMENTS, STANDARDS FOR DEVELOPMENT AND OTHER . ~ "v. MITIGATIONS BY COUNTY ~VV POLICE Jefferson County shall provide police services within the Port Ludlow MPR. devagmlfiJl!lI February 11.2000 5 'i~ 72- Z':4/a:;:; , .~ e I UllUmllllllll1 :~~~,~~ JI"lrlon County, WA POP( RESOURCES REaG &18.08 ~; .~i ~ut. However, the parties acknowledge that modifications to the proposed _ development will occur during the buildout period in order to achieve a variety of purposes, including: incorporation of new information; responding to changing community and market needs; encouraging reasonably priced housing; and encouraging modifications that provide comparable benefit or functional equivalent with no significant reduction of public benefits or increased cost to the development (collectively, "Flexibility Objectives''). 3.12 COUNTY PROCESSING AND REVIEW 3.12.1 County Review Procedures and Standard~ The review and approval of proposed development applications proposed by Pope for Pope Property shall be pursuant to the Port Ludlow MPR Zoning Ordinance (Appendix A) and the County's Land Use Application Procedures Ordinance, Ordinance 04-0828-98, which is attached in Appendix E. 3.12.2 SEPA Compliance 3.12.2.1 Prior EIS. The parties acknowledge that potentialimpacts and mitigation measures for certain future development of the Pope Property have been reviewed in prior enviromnental documents, including environmental impacts from the development of Ludlow Bay Village, which is in the resort vicinity of the Port Ludlow MPR. The parties acknowledge that the prior EISs reviewed potential impacts and mitigation regarding potential development on a macro-level and were not project- specific EISs. e The prior reviews were published in the following documents: Draft Enviromnental Imt>act Statement for Inn at Port Ludlow (October 1992); Inn at Port Ludlow. Final Environmental Impact Statement (April 1993); Port Ludlow Development Program. Draft EnvironmentallInpact Statement (October 1992); Port Ludlow Development PrOl:rranl. Final Enviromnental Impact Statement (April 1993). 3.12.2.2 Future SEP A Review for Individual Projects. The parties agree that this Agreement and the prior EISs set forth the regulations and certain mitigation requirements to be applied to future Pope Property development proposals. The parties further agree that new enviromnental review (SEPA compliance) shall be required for each future project that is not categorically exempt from SEPA review. Relevant information from prior EISs shall be used to the fullest extent possible in fUture SEPA review. This review may result in adoption of the prior EISs, issuance ofan addendwn or supplement to the prior EISs. or issuance of a new threshold determination . of non-significance or significance, incorporating information from the prior EISs. The 6 I I ~ I devagmtfinal February II, 2000 I ~' .. II I . ~ ; -- . .'1111111411111~:~~;~~ J.".rlon County, WA POPE RESOURCEtI RESO 6".80 scope of future environmental review shall be limited to considering only infonnation of how or whether the new or modified projects differ from or exceed the sCope of the prior EISs and resulting potentially significant adverse impacts relating to project differences or changed scope. 3.12.2.3 Nothing in Section 3.12.2 shall release Pope or its successors, successors in title or assignees from complying fully with the terms of the Port Ludlow MPR Zoning Ordinance (Appendix A) regarding the mandatory Supplemental EIS that is and shall be required for any 'resort plan development' as described in Section 3.904 of the Port Ludlow MPR Zoning Ordinance. 7 3.13 VESTING OF DEVELOPMENT STANDARDS AND MITIGATION -- ~f>~dopment propos~ Pope ProneJUt sh~Hbe vested to and governed by the Port Ludlow MPR ch~ter of the Jefferson County Zoninfl Code (as defined in Section 3.1 and Appendices A-F) and shallbe implementf'A'I through plats_ short plats, binding site plans, boundary line adjustments, site development permits, building permits and other permits and approvals issued by the County. The vesting period shallbe the same as the tenn of this A~eement. Except as otherwise provided in Section 3.13.1 through 3.13.3 below, any new or different development standards adopted by the County during the term of this Agreement shall not apply to Pope Property. To the extent this Agreement does not establish standards or requirements covering a subject, element or condition, then the development approval sought shall vest to and be governed by the County codes, regulations and standards in effect upon the date of the future application. The development standards identified in this Agreement shall apply to the Pope Property for the term of this Agreement, except: II - 3.13.1 Public health or safety requirements. The Board of County Commissioners reserve the authority to modify one or more of the standards or requirements of development for the Port Ludlow MPR during the term of the Agreement, after notice, a public hearing and adoption of findings and conclusions, to the extent required to avoid a serious threat to public health or safety, as provided in RCW 36.70B.170. I I II 1. II. ,~ j~ 3.13.2 Endan~ered Species Act and other Federal mandates. The Board of County Commissioners reserves the right to enforce new or different standards of development mandated by federal or state law, such as the EIi~angered Species Act. 3.13.3 Notwithstanding the foregoing, the Uniform Building Code, Uniform Fire Code and other construction codes in effect on the date of the development application, building permit or other construction application shall apply, except no code changes after the date of this Agreement shall require retrofitting or modification of utilities, facilities or other infrastructure which are installed or approved to be installed in devagmtfinal February 11. 2000 e I accordance with this Agreement unless such retrofitting or modifications are required to . avoid a serious threat to public health or safety 3.14 After Termination. Any development applications for Pope Property submitted after the expiration of this Agreement shall be vested to the development standards in effect at the time of the submission of a completed development application, pursuant to the then-effective state and local law. I 3.15 Ludlow Bay Village Plat. I 3.15.1 The parties acknowledge that development of the resort complex may require alteration of the Ludlow Bay Village Plat. One option the parties may exercise regarding any required plat alteration is to process and consider the plat- alteration in conjunction with (or on a parallel track with) the resort complex proposal. Alternatively, if the plat alteration is not decided until aRer the resort complex proposal has been decided, the County shall ensure that any approval of the resort complex is conditioned or made contingent upon approval of any required plat alteration. I I I 3.15.2 Any application for alteration of the Ludlow Bay Village Plat shall be processed pursuant to the County land use procedures ordinance and applicable state law. A public hearing shall be uired necess plat alteration, and the review proce~s shall consid~the s.titw.a in RCW 58.17.215 controlling plat altetation~. I - .4. . GENERAL PROVISIONS 4.1 GOVERNING LAW I This Agreement shall be governed by and interpreted in accordance with the laws and regulations of the State of Washington. I 4.2 BINDING ON SUCCESSORS AND SUCCESSORS IN TITLE; ASSIGNMENT; RELEASE OF LIABILITY 4.2.1 This Agreement shall be binding upon and inure to the. benefit of the successors, successors in title and assigns of Pope and each of its related entities executing this Agreement and upon the County. I I 8 I I I ~ 4.2.2 Assignment. The parties acknowledge that development of Port Ludlow may involve sale and assignment of portions of the Pope Property to other persons who will own. develop and/or occupy portions of the Pope Property and buildings thereon. Pope shall have the right to assign or transfer all or any portion ofthe respective interests, rights or obligations under this Agreement or in the Pope Property to dcvagmlfinal FeblU8ry II. 2000 I lie I e 1IIIIIftI~~llml;~~:,L J.".rlon COI.rth,WA POPE RESOURCES RElSO !lll8." other parties acquiring an interest or estate in all or any portion of the Pope Property, including transfer of all interests through foreclosure Gudicial or non-judicial) or by deed in lieu of foreclosure. Consent by the County shall not be required for any transfer of rights pursuant to this Agreement. - - i Upon the transfer or assignment under this Section 4.2.2, where the transferee agrees to assume obligations hereunder pertaining to the property transferred or assigned, the transferee shall be entitled to all inten:sts and rights and be. subject to all obligations under this Agreement pertaining to the property transferred or assigned, and Pope shall be released ofliability under this Agreement for the property transferred or assigned, but shall retain liability for any breach which occurred prior to the transfer of rights to another party and for those portions of the Property still owned by Pope. i i I I- I I 4.2.3 Release of Liability. Pope shall be released of all liabilities and obligations under the Agreement if: (a) Pope provides notice to the County of an assignment of the Agreement and (b) the assignee has assumed in writing the obligations of the Agreement. If the conditions for release are met under this sub-section, then from and after the date of transfer, Pope shall have no further liability or obligation under the Agreement, and the assignee shall exercise the rights and perform the obligations of Pope under the Agreement for that portion of the Pope Property acquired by the successor or assign. The parties acknowledge that Pope may transfer or assign title to a portion of Pope Property in any manner consistent with this Agreement. Should the .transfer or assignment of title relate to only a portion of Pope Property, then the release of liability pursuant to this paragraph shall only apply to acts or omissions arising from or related to the portion of Pope Property being assigned or transferred. 4.3 RECORDING; RELEASE AS TO RESIDENTIAL DEVELOPMENT I I I i II -- ~1 j' This Agreement shall be recorded with the Jefferson County Auditor against the Pope Property as a covenant running with the land and shall be binding on Pope, its successors, successors in title and assigns. Upon the approval ora final plat, a condominium declaration or other approved land division in compliance with this Agreement that relates to residential development of Pope Property, then there shall be executed and recorded with the Jefferson County Auditor a release of the covenant solely with respect to that particular and specific parcel or parcels of real property that received fmal plat approval, filed a condominium declaration or was the subject of other approved land division, provided however, residential development shall continue to be subject to any conditions, covenants and restrictions applicable to the particular property. 4.4 INTERPRET AnON; SEVERABILITY 4.4.1 Interoretation. The parties intend this Agreement to be devagmtfina( . February 1'~. 2000 9 111~liglldllilll:~:?'~lM J.".rlon CourItv, WA POPE RESOURCES RESO Sn.H' e' , - e interpreted to the full extent authorized by law as an exercise of the County's authority to enter into such agreements, and this Agreement shall be construed to reserve to the County only that police power authority which is prohibited by law from being subject to a mutual agreement with consideration. The parties acknowledge the County has police powers, contracting authority and other powers granted by the Washington State Constitution and by general law, including without limitation home rule charter authority, authority to enter into interlocal agreements (see RCW Ch, 39.34), statutory enabling legislation and authority to adopt development regulations as part of annexations (see RCW 35A.14.330), and the Development Agreement Statute (see Ch, 347, 1995 Wash. Laws, Part V, 9 501-06). 4.4.2 Severability. If any Material Provision ofthis Agreement is determined by a court of law to be unenforceable or invalid, then the remainder of the Agreement shall remain in full force and effect. Furtht;!', as to those Material Provisions held by a court of law to be unenforceable, the parties shall confer and agree to amend the Agreement to implement the' mutual intent of the parties to the maximum allowed by law. 4.5 AUTHORITY The County and Pope, and the related Pope entities that are parties to this Agreement, each represents it has the respective power and authority to execute this Agreement. 4.6 AMENDMENT This Agreement shall not be amended without the express written approval of the County and Pope (or its successors, successor in title 'and assigns with respect to the property in which they have an interest). The Board of County Commissioners must approve all amendments to this Agreement by ordinance or resolution and only after notice to the public and a public hearing. 4.7 EXIDBITS AND APPENDICES Exhibits 1. 2 and 3 and Appendices A throu~ F are incorporated herein by this reference as if fully set forth. In the event of any conflict or inconsistency between the Exhibits and Appendices and the main body of this Agreement. the main body of this Agreement shall control. 4.8 HEADINGS The headings in this Agreement are inserted for reference only and shall not be construed to expand, limit or otherwise modifY the terms and conditions oftrus Agreement. devagmlfinal February II. 2000 10 I I I . I I I I I I I .. I e 11I1~lllnllrIIIIHI~:~~~ J.".rlon County. WA POPE IltSOUFlCEll RESO ISSl8." e -- II 4.9 TIME OF ESSENCE Time is of the essence oftrus Agreement in every provision hereof. Unless otherwise set forth in this Agreement, the reference to "days" shall mean calendar days. If any time for action OCCurs on a weekend or legal holiday, then the time period shall be extended automatically to the next business day. ~ IL.I -- Ii II II -- II I 4.1 0 INTEGRATION This Agreement represents the entire agreement of the parties with respect to the subject matter hereof. The~e are no other agreements, oral or written, except as expressly set forth herein. 4.11 DISPUTE RESOLUTIONIMEDIATION II I I j I. ~. '1 In the event of any dispute relating to this Agreement, all parties upon the request of any other party shall meet within the five (5) business days to seek in good faith to resolve the dispute. The County shall send a department director or the qualified lead planner (Section 1.50 of Appendix A). and other persons with information relating to the dispute, and Pope shall send an owner's representative and any consultant or other person with teclurical information or expertise related to the dispute. lfthe parties are unable to reach an amicable resolution ora dispute within fourteen (14) days of the written notice of dispute issued by one of the parties, .the panies agree that they will immediately identify a mediator and participate in mediation in good faith. The selected mediator shall have documented experience and expertise in Washington land use law. The mediation shall be completed within 60 days of the original written notice of dispute by one of the parties. The parties agree to work cooperatively to select a mediator with land use and real estate experience. Each party will identify and propose to the other party three potential mediators. Between the proposed mediator lists, the parties will select a mutually agreeable mediator to resolve the dispute. If the parties are unable to reach a resolution following timely mediation, each party reserves the right to seek resolution and pursue remedies available under this Agreement and at law. The parties agree that the cost of mediation pursuant to this paragraph shall be borne equally by the parties to this. Agreement. 4.12 DEFAULT AND REMEDIES No party shall be in default under this Agreement unless it has failed to perform a material provision under this Agreement for a period of thirty (30) days after written notice of default from any other party. Each notice of default shall specify the nature of the alleged default and the manner in which the default may be cured satisfactorily. Ifthe nature of the alleged default is such that it cannot be reasonably cured within the thirty . '1<;.-- devagmtfinal February 11.2000 11 lllllftlllll:::~,~:" J,"el'lon County, WA !lOPE RElOURCES RUO SM..H e e (30) day period, then commencement of the cure within such time period and the diligent prosecution to completion of the cure shall be deemed a cure. Any party not in default under this Agreement shall have all rights and remedies provided by law including without limitation damages, specific perfonnance or writs to compel perfonnance or require action consistent with this Agreement. In recognition of the possible assignment and sale of portions of the Pope Property (see Section 4.2.2), any claimed default shall relate as specifically as possible to the portion of the Property involved and any remedy against any party shall be limited to the extent possible to the owners of such portion of the Pope Property. To the extent possible, the parties to this Agreement shall seek those remedies which do not adversely affect the rights, duties or obligations of any other non- defaulting owner of portions of the Pope Property under this Agreement. The prevailing party (or the substantially prevailing party if no one party prevails entirely) shall be entitled to reasonable attorneys fees and costs. 4.13 NO THIRD PARTY This Agreement is made and entered into for the sole protection and benefit of the parties hereto and their successors, successors in title and assigns. No other person shall have any right of action based upon any provision of this Agreement. Members of the general public shall not have any cause of action or enforceable rights under this Agreement. 4.14 CONSTRUCTION This Agreement has been reviewed and revised by legal counsel for all parties and no presumption or rule that ambiguity shall be construed against the party drafting the document shall apply to the interpretation or enforcement of this Agreement. 4.15 NOTICE All communications, notices and demands of any kind which .a party under this Agreement requires or desires to give to any other party shall be in writing deposited in the U.S. mail, certified mail postage prepaid, return receipt requested, and addressed as follows: To the County: Jerry Smith Qualified Lead Planner Jefferson County. Department of Community Development 621 Sheridan Street Port Townsend. WA 98368 devagmlfinal February 11.2000 12 e - II' - 1IIIi .IDIIIHI:~~~~, J,,,,,.lllI'l Countr. WA POPE RESourtc:Q RESl! 5".~1.4IA ,. -- II cc: Board .of County Cammissioners P.O. Box 1220 Port Townsend, W A 98368 To Pope: Greg McCaay 19245 10th Avenue N.E. P.O. Bax 1780 Poulsbo, W A 98370 II II 4.16 ESTOPPEL CERTIFICATES - Within 30 days following any written request that any party or a Martgagee may make from time to time, the other party shall execute and deliver to the requesting person a statement certifying that: 1) this Agreement is in full force and effect, and stating any formal amendments to the Agreement; 2) to the best of the knawledge of the certif.ying party, na natice .of default has been sent and na notice .of violation of applicable laws has been issued regarding the praject;and any other reasanably requested infarmatian. Failure to provide a timely response to the requesting party shall be deemed conclusive evidence that the Agreement is unmodified. and in full force and effect and that no notices of default or vialation have been issued. Issuance of estoppel certificates is an administrative matter within the County: The Caunty shall have na liability to the requesting party if it provides an estoppel certificate in gaod faith and with reasonable care. -- .[ij II -- " - I I i :j -. ~ '1 4.17 COOPERATION The parties shall not unreasonably withhald requests for information, approvals or consents provided for in this Agreement. The parties agree ta take further actions and execute further documents, whether jaintly or within their respective pawers and autharity, to implement the intent of this Agreement. 13 4.18 INDEMNIFICATION Except as otherwise specifically provided elsewhere in this agreement and any exhibits hereto, and ta the fullest extent passible under the law, each party shall protect, defend and indemnify and hold harmless the other parties and their .officers, agents and employees, or any of them, from and against all claims, actions, suits. liability, loss, casts, expenses and damages .of any nature whatsoever, which are caused by .or result from any negligent acts or omissians of the indemnifying party's awn officers, agents, or employees in performing services pursuant to this Agreement. If any suit based upon such a claim. action, loss, liability or damage is brought against any party or parties, the party or parties whose negligent acts .or omissions give rise to the claim shall defend all parties at the party .or parties' sole cost and expense, and if a final judgment is rendered devagmlfiilal February n. 2000 e 1111111u111111:~~~~~ J,".non County. WA POP! IIESOURCrI IlEBO he.... I against the other party or parties or their officers, agents or employees or jointly the parties and their respective officers, agents or employees, the parties whose actions or omissions give rise to the claim shall satisfy the same; provided that, in the event of concurrent negligence, each party shall indemnify and hold the other parties hannless only to the extent of that party's negligence. This indemnification hereunder shall be for the benefit of the County as a municipal entity and not for the benefit of the general public. Under no circumstances will the County be responsible for costs, claims, losses, damages or expenses associated with the existence or enforcement of any conditions, covenants and restrictions recorded against the residential properties within the Port Ludlow MPR. 4.19 NO WAIVER No waiver by any party of any term or condition of this Agreement sh<\ll be deemed or construed as a waiver of any other term or condition, or a waiver of any subsequent breach, whether ofthe same or a different provision of this Agreement. 4-20 NO PRlV ATE CCR ENFORCEMENT BY COUNTY. The parties acknowledge and .agree that nothing in this Agreement shall alter, infringe upon, modify. change, limit or restrictthe ability or powers ofthe existmg neighborhood, tract or subdivision property owner or lot owner associations from enforcing, interpreting and utilizing any and all covenants, conditions or restrictions that pre-exist this Agreement or covenants, conditions or restrictions recorded with the Jefferson County Auditor after the effective date of this Agreement. The parties further acknowledge and agree that Jefferson County bears no responsibility for the enforcement, interpretation or resolution of any dispute, filing, grievance, complaint Or appeal that might arise as a result of recorded covenants, conditions or restrictions relating to tracts, subdivisions, lots or parcels within the Port Ludlow MPR. Pursuant to Section 4.13, no third party may use the dispute resolution mechanism provided within this Agreement to resolve disputes regarding recorded. covenants, conditions or restrictions associated with the Port Ludlow MPR. 4.21 QUALIFIED LEAD PLANNER. Pursuant to Section 1.50 of the Port Ludlow ?vIPR Zoning Code chapter, the Director of Community Development shall appoint a qualified planner to serve as the lead planner for the Port Ludlow MPR. The lead planner shall review or coordinate review of all land use applications with the Port Ludlow MPR boWldaries, and shall serve as the initial point of contact for citizens seeking information on development proposals or planning issues in the community. devagmlfinal February 11. 2000 14 e I I I I I ~ I The term ofthis agreement shall be twenty (20) years from the effective date. The effective date shall be the date Qfthe adoption of a resolution by the Jefferson COlmty Board of CoUnty Conunissioners approving this Development Agreement. e -' -- . III Ii . Ii ! . III _e II II I I ~ ~ ~. t J 4.22 TERM 4.23 EFFECTIVE DATE. Commissioners APPROVED AS TO FORM: AI Scalf Director of Community Development devagmlfinal February 11. 2000 111111111111:~~~~l~ J.trer.on COlI'Ity, WA POPE MIOUReIS MSO ,.... JEFFERSON COUNTY Jefferson County Board of COUnty 'blYJoo By f)M,~~ By 5)S}OO 15 devagmtfinal February II. 2000 e IU 1IIIIIIIIIIml g~::~~:.. J.".,..On Count.,., 1M POPE RESOllRCEI RESO IIM.II POPE RESOURCES e Estate OLYMPIC PROPERTY GROUP LLC OLYMPIC RESORTS LLC - Officer J;;;TEiS;;~fNC' By Tom Griffin /!) . Its President and Chief Executive Officer I I I I I I -I I OLYMPIC REAL ESTATE DEVELOPMENT LLC hief Executive 0 cer 16 '-' ,. .- . . IN u . Ii I ~ iii lII,a II II I ~ ~ ct .. ~ - e tit 1111111111111~~~;1~1.. J.".rlon COI.ntV. 1M POPE RESOURCES ItESO 61l8.el Attachments: Exhibit I - Legal description of Pope Property Exhibit 2 - Map of Pope and subsidiary company properties Exhibit 3 - Port Ludlow ?v1PR Land Use Map (recordable version of Aug. 28, 1998 Comprehensive Plan map) Appendix A - MPR zoning chapter, Ordinance # 08-1004-1999 . Appendix B - Comprehensive Plan policies reo p~. 6'.... ~solution No. 72-98) ___ Appendix C - Stormwater Management Ordinan # 1 0-11 04-96 . Appendix D - Interim Cri.tical Area Ordinance # 05-0509-94 as amended by Ordinance #14-0626-95 ~ Appendix E - Land Use Application Procedures Ordin~e# .Q~_~ Appendix F - Shoreline Master Program . ~ -. I STATE OF WASHINGTON) ) ss_ COUNTY OF JEFFERSON ) On this i-G'J day of M~ .2000, before me, a Notary Public in and for the State ofWasrungton, personally appeared Greg McCany, personally known to me (or proved to me on the basis of satisfactory. evidence) to be the person who executed this instrument, on oath stated that he was authorized to execute the instrwnent, and acknowledged it as the Senior Vice-President of Real Estate for Pope Resources, to be the free and voluntary act and deed of said corporation for the uses and purposes mentioned in the instrument. . and year first above written. )w~ vv.d x NOTARY PUBLIC in and for the State of Washington, residing at l"t>iY ~bo My appointment expires 'f( -:J.Ootf Print Name M1Che'11 e vu;! CO X devagmllinal February II, 2000 17 e . \ \\\\\\ \\\\\ \\\\\\\ \\\" '\In "" 111'.- ... - Je tt er ICll'l (;O\ll'I h', \Ml pOl'E RE,S.OUltCEf> ,,~.. ,01' W ~SHINGTON ) ) 55. in' OF JEFfERSON ) On this ~ d.y nl M 1J..i----' 2000, helore me, · NotarY Puhlic in and lor tate 0 IW ashington, ve;;;;;:iJ.J 'VVeared Greg McCartY, Ver50nally known to me (or ed tn roe on the hasis of satisl.ctOry evidence) to he the Versoo who ""ecuted \his iIlment, OU o.th stated thot he was .uthorized to. ""ecute the ins""",,:,,t, and nowledged it as the vreSident and Chief O\>erating ollieer nl OlymP'C proVertY GroUV C, . whollY owned subsidiarY olPope Resources, to}>e the frec and voluntarY act and ,d 01 said coq>Oration for the useS and vurposes ",,,,,tiooed 1tl the ms""",ent. nd 'leaf first above written. 51 ALE OF W A51llNGTON ) ) 55. COUNlY 01' JEffERSON ) On \his ~ d.y 01 ~ 21)()0, helote ",e, · NotarY Public in ar the State 01 wasbinglon, J><'son.lly 'VVeared Greg MCCartY, perSOn.llY known " proved to me on the basis of satislactory ",idence) to be the Verson who execute< instJ:UDlent, on o.th st.ted th.t he w" .uthorized tn execute the ms""",ent, and .cknOwledged it .. the President and Chiel ll<ecutive orlicer 01 OlymV'C Real' D""clopment 1l.C,' wholly owned ..bsidiarY 01 pave Resources, to be the [rer voluntarY act and deed 01 said corporation for the useS and purposes ment,oned instf\llUent. otvagmtfina\ feo1uafY \ \, 1.000 \8 e IIIR~IAIIIIU::~~~,~l., J_"_rIOl'l County, WA POPt /tESOUltCEt ROO aM.M II. lie III II Ii II 'I"\IIA vv NOTARY PUBLIC in and for the State of Washington, residing at Pt91Z/s:HO My appointment expires if I'l-l ').c)O if Print Name Mit;ht'fJi? 0h1 CO K II II II - -- III I I * j I. - J STATE OF WASHINGTON) ) 55. COUNTY OF JEFFERSON ) On this / S't'""" day of M€Y4t. ' 2000, before me, a Notary Public in and for the State of Washington, personally appeared Greg McCarry, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person who executed this instrwnent, on oath stated that he was authorized to execute the instrument, and acknowledged'it as the President 'and Chief Operating Officer of Olympic Property Group LLC. a wholly owned subsidiary of Pope Resources, to be the free and voluntary act and deed ofsaid corporation for the uses and purposes mentioned in th instrument. WI. IN WITNESS WHEREOF, I have hereunto set F the day and year first above written. '.!If-.~~. . ~'.e':.f.. . 2:8 01ARY e. it ~: ~ ic :). ~ ro.t .c..uV i ~ ..... e. r'-!v c::.,,,".eli? ! . ,............, ~" ,/ OF WS -': hlUt- w CO X NOTARY PUBLIC in and for the State of Washington, residing at ~t:)ltt.f"bCJ My appointment expires 4-/tf/2tJO'!- Print Name A.//:t'he/Je. w;1 {OX devagmlfill/ll February 11.2000 19 e I 1111 I Imll III I 11111111 III ~:,~~~~, J.rr.rlon Counly \fA POPE RES"'.......... II/M/2m 11'.4eA , """'''''''.. RESO SH.et' t " ST ATE OF WASHINGTON) ) ss. COUNTY OF JEFFERSON ) On this Ji!- day of tvlC/ 't ,2000, before me, a Notary Public in and for tbe State of Washington, personally app ared Tom Gnffm, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person who executed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the President and Chief Executive Officer of Olympic Water and Sewer, Inc., to be the free and voluntary act and deed of said corporation for the uses and purposes mentioned in the'instrument. tot. NOTARY PUBLIC in and for the State of V\I, Washington, residing at ,,~g-j,O My appointment expires t/ otfj z..ooLf- Print Name M; r;. VI e" e- wit c () X ST ATE OF W ASHlNGTON ) ) ss. COUNTY OF JEFFERSON ) ~ On this X day of "l1J.~ ' 2000, before me, a Notary Public in and for the State of Washington, personally a eared €; e.hCtR iJ \Do~+ , ~ t..J id A R P <:) L~ and ., personal y known to me (or proved to me on the basis of satisfactory evidence 0 be the persons who executed this instrument, on oath stated that they were authorized to execute the instrUment, and acknowledged it as the three members of the Jefferson County Board of Coooty Commissioners to be the free and volootary act and deed of said Board, acting in their official capacity representing Jefferson Coooty, Washington for the uses and purposes mentioned in the instrument. devagmUinal February II, 2000 20 II ~ -- II Ii rt II .. ~ II r i I i I I I .. I I e . IIIIIII..~ IIIIIII J,"erlon Count.,., WA POPE RlSOUIlCn II. ~~:~~? ~1 181041H" 11:4eA RtSO 588." . IN WITNESS WHEREOF, I have hereunto set my hand and official seal the day and year first above written. devagltllfinal" February II. 2000 21 - -- II II ..... ItJ II Ii II Ii rJ8 III II -- Ii I :i .. I J " e . I . .:i .. - . ....,. r r. "-."-~- , ; ~; Ti" i- 2~:~: ~:'''H!' \)t( " ..-.. ~ ;-! t t. .,.~ ; '.'. .,. g ,';"1"'" ~:~ . ,,' .,,'ph - 'I II :"\"!('I" ' \ I;" 'I"" I. _ . . o~, 1'1' ,.' : '. 'I I",",j ,"",,,_, ,.__"'~-" hi ""'-1""0 , "", " \. · ,- ("PI; ," ," _ '111'1,'_,. ~', I "I \. ,.. i\;I'I' .' . \ (" ' ;111111,,,,11\ I' .' . ;\11 Ill!' 1',1,:', 'OIIl'II"'~ .".If" ". ,c "11'1' I IL'{'E~I ;-:111 "i"'~' F" , ..' ..: !"! d t" (\11'[: ;" ') I' ,.' EI' I.T J!) Ii ~ _' ...:11 \ '1'",..(", . ~ 0'''''1 _'I. "I 1;\\.,Jj'II' I , .' t' ".. " .:... III"" D ,- . ,N"-" '.-, . ,-, ,- \ I>,..' . ~ - . t,t;':~ 1'<1" ' '"~. .' I...." 1'1"1' o_c,,-,,'''''' \_ . " - -" , ,yr 1'-" f^71 . . . {'il (MH" 1""-\' I .. .1 !.!.X.J ~\I" ", 1<' . .. -"qllll'lll~ ('0 ", ~h.. lof., .....,.Iw. ~ "" !llll,d ....:d,. ' .Iu. ~~.,: ,.u.-I .1"'~II' n( 1'.~".t"'i1.r .;:" .o!'.... I I lot'~ It, <.11 ~"') , '1" ".,,, I I ," 0"'''''10 . I), .\' ( I ., .. _>. ..,/ ':.;::"~: .. '. . ....'11..,. ,I", \11'1'. . OPII'{'1I1 ~":'<ltlialll~'II.J\\, ~IJt' ,..,,....u..fitrt. 4. II , ,ne llfllt~tl."'TI;.:"~;; ,''''.' '''"':'("d"",.1 - ,-"~~ ~ LAND USE AND RURAL -. .., --J .. Table 3-1 Jefferson County and City of Port Townsend 20-Year population Projection and Distributionl Jefferson County and City of Port Townsend Est. population Est. population 26-year population Projection and Distribution 1996 2016 Incorporated Areas: Port Townsend 8,366 T 13,876 Unincorporated Areas: Quimper Peninsula (including Glen Cove) 2,927 4,076 Marrowstone Island 839 1,0\5 Tri-Area (Kala Point, Irondale, Port Hadlock, and Chimacum Crossroads) 4,324 5,489 Discovery Bay (including Gardiner) 1,085 \,470 S. Chimacum I Inland Valleys I Center 1,35\ 1,759 Port Ludlow Master Planned Community 1,326 3,950 North Port Ludlow 659 950 Paradise Bay I Shine I Thorndyke 897 1,471 Toandos Peninsula (including Coyle) 411 596 Quilcene (including Lake Leland Valley) 1,308 1,797 Brinnon \,299 1,943 West End 962 1,005 .- Total 25,754 39,397 ...- ~ RURAL RESIDENTIAL LANDS: ALLOCATION OF GROWTH Existing residential land use and ownership patterns a<e only one of seve<lll faetors for determ,ning futun: development patterns in Jeffersun County. The all0<3tion offuture population must be eonsidered when aualyzing the overail need for the creation of additional residential lots and determining when: those lots should be located to accommodate future growth. In order to develop a rural residential land use strategy for this Plan, an inventory was prepared in \996 tn asseSS existing patterns of iand use, and to evaluate the supply of developable rural residential properties. During th. review of the Dmft Comprehensivo pion of Fehruary 26, 1997 (Dmft Plan) an inventnry of existing buildable residential lots in rnral Jefferson County conducted ,n 1995 by Berryman and Heniga<' was a Iso reviewed- The 1995 study n:sults and included io the Draft Plan differ from those derived in the 1996 inventory. Both the 1996 inventory performed by the Planning staff and rhe 1995 Berryman and Henigar inventory are discussed in the following section. , Pnpulation projections and allocat,on ngures were derived from ,he Popuwllon F o,eem' fo, Jefferson County ond Port lownsend' Finoi Report, IJ<c,mbe<, t 994, and Addend.m #I to ,h, F'nal Repar', february, 1995, pn:par,d by e the Watterson West Group. Inc. '''Land Use C"P"'ity," D,aft Ex',/i"" Conditions Repart' Alterna'i'es, Ben)'man and Hen;."" Moreh, t995, pages \20-13 t. t ( Jefferson County Comprehensive Plan 3-4 August 28, 1998