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HomeMy WebLinkAboutTrust Land Transfer Quimper East JEFFERSON COUNTY BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST TO: Board of County Commissioners FROM: Mark McCauley, County Administrator DATE: March 13, 2023 SUBJECT: Purchase and Sale Agreements by and Between the State of Washington Acting Through the Department of Natural Resources and Jefferson County: Quimper West and Quimper East STATEMENT OF ISSUE: Jefferson Land Trust(JLT)partnered with Jefferson County in 2009 to lease three Trust Land Transfer (TLT)Properties, which are state trust land, to the County under the Leases. The Leases were made as trust land transfers under the authority of Washington Laws of 2008, chapter 328, Section 3042. The Leases contained a provision whereby the County could purchase the TLT Properties, under certain conditions. On June 9, 2009, JLT and the County entered into a Stewardship Agreement relating to the Quimper Peninsula East Property, the Quimper Peninsula West Property, and the Thorndike Property, whereby JLT agreed to undertake certain reporting, monitoring, and stewardship activities.Now, Jefferson County desires to exercise its authority, with the support and partnership of Jefferson Land Trust, under the Leases to purchase the fee interest of the TLT Properties from the State of Washington, held by the Department of Natural Resources (DNR). The County's purchase of the TLT Properties from the State would satisfy JLT's mission, by bringing the TLT Properties into perpetual conservation. JLT will facilitate the purchase of the TLT Properties by the County, by contributing funds pursuant to this Agreement. In 2021 Jefferson County and DNR entered into an Interagency Agreement the purpose of which was to facilitate the transfer of the three properties by laying out the ground rules for preparing purchase and sale agreements for the properties. Subsequently,the County elected not to pursue acquisition of the Thorndyke property due to the high appraisal - $2,572,800, On August 1, 2022, following a recommendation from the Conservation Futures Committee the Board of County Commissioners adopted Resolution 35-22 dedicating up to $199,500 in Conservation Futures funding for the acquisition of the two Quimper properties. The resolution also required at least a 50% match using funds from another source, in this case the JLT. ANALYSIS: The parties have now taken all required steps to transfer two of the properties: Quimper West and Quimper East to include the preparation of Purchase and Sale Agreements for both, which are attached. Execution of these Purchase and Sale Agreements will transfer ownership to Jefferson County. Jefferson County will pay DNR$382,800 for the properties: $367,000 for Quimper West and $15,800 for Quimper East. Subsequent to the acquisition of the properties the Jefferson Land Trust will remit 50% of the acquisition cost, or$191,400 to the County. At closing of the County's purchase of any of the TLT Properties from DNR that has been funded by JLT, the County shall record a restrictive covenant on the property, preventing subdivision, while allowing agricultural uses, sustainable forest management, and habitat protections and not converted to a different use from these uses, unless and only if JLT consents. FISCAL IMPACT: At closing the County will pay$382,000 using Conservation Futures Funds. Subsequent to closing JLT will reimburse the County$191,400 resulting in a net cost to the County of$191,400. RECOMMENDATION: Approve and sign both Purchase and Sale Agreements and the respective seller's disclosures. REVIEWED BY: � 3� Mark McCaule ounty Administrator Dat CONTRACT REVIEW FORM Clear Form (INSTRUCTIONS ARE ON THE NEXT PAGE) CONTRACT WITH: Washington State-DNR Contract No: TLT PSA-1 2023 Contract For: Trust Land Transfer-Quimper East Term: Through Closing COUNTY DEPARTMENT: County Administrator Contact Person: Mark McCauley Contact Phone: 360-385-9130 Contact email: mmccauley@co.jefferson.wa.us AMOUNT: $15,800 PROCESS: Exempt from Bid Process Revenue: N/A Cooperative Purchase Expenditure: $15,800 Competitive Sealed Bid Matching Funds Required: N/A Small Works Roster Sources(s)of Matching Funds N/A Vendor List Bid Fund# 308 RFP or RFQ Munis Org/Obi 40.59439.610100 Other: APPROVAL STEPS: STEP 1: DEPARTMENT CERTIFIES CO AN E IT J 080 AND CHAPTU/R 4Y2.23 RCW. CERTIFIED: 0■ N/A: d -3 Sig t re ate STEP 2: DEPARTMENT CERTIFIES THE PERSON PROPOSED F CONTRACTING WITH THE COUNTY (CONTRACTOR) HAS NOT EN DEBARRED BY ANY FEDERAL, STATE, OR LOCAL AGENCY. CERTIFIED: F N/A: Z Si ture ate STEP 3: RISK MANAGEMENT REVIEW(will be added electronically through Laserfiche): Electronically approved by Risk Management on 3/8/2023. State PSA document. STEP 4: PROSECUTING ATTORNEY REVIEW(will be added electronically through Lasertiche): Electronically approved as to form by PAO on 3/9/2023. Contract contains risk transfer language that is very favorable to the State, including shifting of liability during state's ownership to the County (including environmental exposures) with indemnity from the County to the State. Risk Management assessment of very low possible liability. STEP 5: DEPARTMENT MAKES REVISIONS & RESUBMITS TO RISK MANAGEMENT AND PROSECUTING ATTORNEY(IF REQUIRED). STEP 6: CONTRACTOR SIGNS STEP 7: SUBMIT TO BOCC FOR APPROVAL j STATE OF WASHINGTON DEPARTMENT OF NATURAL RESOURCES HILARY S. FRANZ,COMMISSIONER OF PUBLIC LANDS AGREEMENT FOR PURCHASE AND SALE OF REAL ESTATE THIS AGREEMENT is made as of the 1 st day of March, 2023, by and between the STATE OF WASHINGTON,acting by and through the Department of Natural Resources("State")and Jefferson County,a political sub-division of the State of Wash ington("Purchaser"). WHEREAS, State is the owner of certain real property known as Quimper East located in Jefferson County, Washington;and WHEREAS,State desires to convey the real property to Purchaser,and Purchaser desires to acquire the real property; NOW,THEREFORE, in exchange for the mutual promises and covenants herein contained,and other good and valuable consideration,the mutual receipt and sufficiency of which is hereby acknowledged by Purchaser and State, it is agreed as follows: SECTION 1 PROPERTY 1.1 Property to be Sold. State shall sell and convey to Purchaser,and Purchaser shall purchase and accept from State,all subject to the terms,conditions and contingencies of this Agreement,that certain real property located in Jefferson County, Washington,the legal description of which is set forth on Exhibit A,together with all easements, rights-of-way and other rights appurtenant to said real property. The foregoing property and rights and interests described above are collectively referred to herein as the"Property." 1.2 Reservation. This sale is subject to the reservation of oils, gases,and minerals and easements for removal of valuable materials as prescribed in RCW 79.11.210 and in RC W 79.36.370. SECTION 2 PAYMENT 2.1 Purchase Price. Purchaser shall pay State the Purchase Price of Fifteen Thousand Eight Hundred U.S. Dollars($15,800)and other charges owed by Purchaser described in Section 10.2 below in cash sufficiently in advance of Closing to facilitate certification of payment to the Governor and issuance of the deed,but in no event shall the Purchase Price be paid later than sixty (60)days after approval of this sale by the Board of Natural Resources. 2.2. No Interest. Any deposits or advance payments made by Purchaser under this Agreement shall be held by the state treasurer without interest. Qwmper East Fee Transfer 402-102693 02/03/2023 MVM SECTION 3 CLOSING 3.1 Date. The"Closing Date," "Closing,"or"Date of Closing,"as those terms are used herein, shall mean the date upon which all monies are paid and all documents are recorded. Closing shall be as soon as practical for State to issue a quitclaim deed from the Governor's Office upon confirmation that the entire Purchase Price shall have been paid to the State Treasury and all terms, conditions and contingencies have been met. Closing shall not occur later than ninety(90)days after Board of Natural Resources approval, unless otherwise agreed in writing by the parties. 3.2 Place. Closing shall be carried out at the Olympia office of the Department of Natural Resources. Purchaser acknowledges that State is acting as an interested party in preparing documentation for and closing this sale; State is not acting as an escrow. Purchaser should consult an attorney regarding the legal effects of this transaction. SECTION 4 CONVEYANCE,TITLE INSURANCE AND POSSESSION 4.1 Possession. Purchaser shall be entitled to possession of the Property on the Closing Date. 4.2 Form of Deed. State shall convey title to the Property to Purchaser by quitclaim deed executed by the Governor of the State of Washington. Said deed shall be in the same form and format as Exhibit B,attached hereto and incorporated by this reference herein. 4.3 Title Insurance. State will not furnish a policy of title insurance at Closing. SECTION 5 RIGHTS AND OBLIGATIONS AFTER ACCEPTANCE 5.1 Inspection. Following the date of this Agreement,and with two(2)business days'prior notice, State shall permit Purchaser and/or its designated agents to enter upon the Property at all reasonable times for the purpose of investigating the Property, and the physical condition thereof, including without limitation,the condition of improvements, if any, located upon the Property. Purchaser shall not conduct any invasive testing of the soils without prior written consent of State. 5.2 Indemnification and Hold Harmless Regarding Purchaser's Inspection. Purchaser agrees to indemnify,defend with counsel acceptable to State,and release State, its officers,agents, and employees from any and all claims, liens or costs,damages, fees and expenses(including but not limited to attorney and paralegal fees,costs and expenses, including costs and fees incurred on appeal and in bankruptcy,as well as consultant fees and costs)arising out of or relating to the actions of Purchaser and actions of Purchaser's agents or employees in exercising such rights of entry or inspections under this Agreement. Purchaser will be responsible for the payment of any fines or penalties charged against State or Purchaser,or for any employees or equipment while under Purchaser's control,employment,or direction, related to activities under Sections 5.1 above and 5.3 below. 53 Reports and Studies. (a) Subject to the conditions set forth above, Purchaser shall have the right to prepare, or have prepared,engineering studies, feasibility studies, surveys, resurveys or Qui npa East Fee Transfer 002-102693 02/03/2023 MVM 2 survey updates,environmental reviews,studies or investigations all of which are also collectively referred to as the "Purchaser's Studies"with respect to the Property. All information discovered by Purchaser through Purchaser's Studies shall be deemed to have been disclosed by State. (b) Further,with respect to Purchaser's Studies, Purchaser agrees that it is not acting as the agent of State, and that Purchaser's contractors, architects,engineers,or other consultants are solely employed by Purchaser to perform the studies for the benefit of Purchaser. Purchaser further shall provide written notice to each contractor, architect,engineer and other consultant of these facts, which notice shall also instruct these parties not to file any liens or notices against the Property prior to Closing. Purchaser shall ask each party to acknowledge receipt of the notice. Purchaser shall supply State with a written list of each party to whom this notice was sent within ten(10)days of their issuance,as well as a copy of each notice as acknowledged by the party to whom it was given or sent. (c) In the event that Purchaser does not complete the purchase contemplated in this Agreement, Purchaser shall immediately provide State with Purchaser's Studies at no cost to State. (d) Purchaser shall have the right to examine studies and reports, if any, prepared by State or its consultants,excluding appraisal reports(all of which are collectively referred to as "State's Studies"). 5.4 Condition of Purchase. If Purchaser's Studies indicate the Property is not reasonably suitable for the intended use by Purchaser or the Property presents an unreasonable risk to Purchaser of liability associated with hazardous substances, Purchaser may terminate this Agreement without further obligation,and Purchaser shall be refunded any deposit. Purchaser shall give State written notice of Purchaser's decision to terminate within thirty (30)days of the date of this Agreement. The termination notice shall specify the problems identified. In the event Purchaser fails to give State such written notice,this termination right shall expire. SECTION 6 DESTRUCTION OR CONDEMNATION State shall bear the risk of loss until Closing. If on or before the Closing Date either the Property is materially damaged,or condemnation proceedings are commenced with respect to the Property, Purchaser shall elect either to terminate this Agreement or to purchase the Property. Purchaser must give written notice of such election to State within fifteen(15)days of Purchaser's knowledge of such damage or condemnation. Failure to give State notice of Purchaser's election to terminate shall be deemed an election to purchase. If Purchaser elects to terminate this Agreement,any deposit shall be returned to Purchaser,and all rights and obligations of Purchaser and State shall terminate. If Purchaser elects to purchase the Property, Purchaser shall be entitled to the insurance proceeds, if any,or to the condemnation award either of which shall be without adjustment to the Purchase Price. Damage shall be deemed "material" if it cannot be repaired or replaced within ninety(90)days or it represents more than ten percent(101/6)of the Purchase Price. QuuMa East fa Traos&r M02-I02693 02/03/2023 MVM 3 SECTION 7 CONDI'TION OF THE PROPERTY 7.1 As Is. The Property is sold "AS IS, WHERE IS." Purchaser is encouraged to examine the Property to ascertain the condition of the Property,including but not limited to the existence of encumbrances,encroachments,etc. State does not make and specifically disclaims any warranties, express or implied, including any warranty of merchantability or fitness for a particular purpose about the Property, including but not limited to any improvements located thereon. No employee or agent of State is authorized to make any warranty or representation to the contrary. The foregoing specifically disclaims warranties with respect to the existence or nonexistence of any pollutants, contaminants,or hazardous waste or claims based thereon arising out of the actual or threatened discharge,disposal, seepage,migration,or escape of such substances at, from,or into the Property. 7.2 Release/Indemnity. Purchaser hereby fully releases State from any and all liability to Purchasers arising out of or related to the condition of the Property prior to,at,or after Closing, including but not limited to the deposit or release of hazardous or toxic wastes or material, pollutants,and the following known or suspected defects: None. It is the intent of the parties that this constitutes a full and final release of any and all claims concerning any substance including,but not limited to,hazardous substances. This release extends to and includes any action for contribution for any environmental remedial action. Purchaser agrees to indemnify,defend with counsel acceptable to State,and release State with respect to,but not limited to any claims,damages, liabilities,penalties(civil or criminal),.and any other costs, including attorneys'fees and costs imposed or related to any hazardous,toxic,dangerous,or harmful substances on the Property deposited or released after Closing. 7.3 Waiver of Seller's Disclosure. If and to the extent that the Property is used for residential purposes or is zoned for residential use,the Purchaser hereby agrees to waive the right to receive a seller's disclosure statement pursuant to RCW Chapter 64.06. Notwithstanding the foregoing,to the extent that the State has actual knowledge of conditions on the Property that would result in a "yes"answer to any of the questions in the Environmental section of the statutory disclosure form, State shall provide a completed copy of that section of the disclosure statement to Purchaser. 7.4 Notice of Possible Proximity to Farming Operations. This notice is to inform Purchaser that the Property being purchased may lie in close proximity to a farm. The operation of a farm involves usual and customary agricultural practices,which are protected under RCW 7.48.305,the Washington right to farm act. SECTION 8 ASSESSMENTS Purchaser shall buy the Property subject to any assessment remaining unpaid at Closing. SECTION 9 STATE CONTINGENCY State's obligations are contingent upon the following: (a) Approval of the sale by the Board of Natural Resources which shall be made at their sole discretion;and QuinW East Fa Trmsf'er 402-102693 02/03/2023 MVM 4 (b) Performance prior to or at Closing of all other acts and payments required of Purchaser under this Agreement. SECTION 10 CLOSING AND CLOSING COSTS Prior to or at Closing the parties shall do the following: 10.1 State. (a) issue a duly executed quitclaim deed conveying title to the Property within a reasonable time after confirmation of receipt of the Purchase Price by the State Treasury; (b) sign a Real Estate Excise Tax Affidavit; (c) provide any other documents necessary to consummate this agreement; and (d) pay prorations to the extent required and determinable. 10.2 Purchaser. (a) pay the Purchase Price into the State Treasury as set forth in Subsection 2.1; (b) sign a Real Estate Excise Tax Affidavit; (c) provide any other documents necessary to consummate this Agreement; (d) pay all sums and prorations to the extent required under this Agreement and determinable; and (e) pay the cost of recording the deed and the county processing fee for filing the Real Estate Excise Tax Affidavit. 10.3 Prorations. All rents and other income, if any, and water, sewer, utility and maintenance charges and any other expenses(excluding local improvement assessment as provided under Section 8)with respect to the operation of the Property levied against the Property shall be prorated between Purchaser and State as of the Closing Date. To the extent information is then available, such prorations shall be calculated and paid as of Closing. Such prorations shall be adjusted and completed after the Closing Date, if necessary, as and when complete information becomes available, and State and Purchaser agree to cooperate and use their best efforts to complete such prorations not later than sixty(60)days after the Closing Date. No insurance proration shall be made. SECTION 11 SURVIVAL The obligations not satisfied at Closing or intended to continue beyond Closing shall not be deemed to have merged in the deed. Quanper East Fee Transfer 002-102693 02/032023 161 k'M 5 SECTION 12 REAL ESTATE COMMISSION Purchaser shall pay any real estate commission payable in connection with this transaction. Any real estate agent or broker acting in this transaction shall be deemed to be the sole agent of Purchaser. SECTION 13 NOTICES All notices required or permitted to be given hereunder shall be in writing and shall be deemed given upon personal service or deposit in the United States first class mail, postage prepaid, and addressed as follows: To Purchaser: Jefferson County Attn: Mark McCauley PO Box 1220 Port Townsend, WA 98368 To State: Department of Natural Resources State Lands—Acquisitions and Divestitures Attn: Matthew Matulovich PO Box 47014 Olympia, WA 98504-7014 The foregoing addresses may be changed by written notice. SECTION 14 MISCELLANEOUS 14.1 Entire Agreement. This Agreement constitutes the entire Agreement between the parties. No prior and contemporaneous negotiations, understandings and agreements,whether oral or written shall be deemed to exist or bind any of the parties hereto. 14.2 Binding Nature; Assignment of Rights. All rights and obligations arising out of this Agreement shall inure to the benefit of and be binding upon the respective assigns, if any,of the parties hereto. However,this Agreement shall not be assignable by Purchaser without the prior written consent and acceptance by State,which shall be at State's sole and absolute discretion. 14.3 Washington Law. This Agreement shall be construed, interpreted,and enforced pursuant to the laws of the state of Washington and venue shall be in Thurston County. The terms of this Agreement shall be given their ordinary meaning and shall not be construed in favor of or against either party hereto. 14.4 Time of the Essence. Time is of the essence in this Agreement. No waiver or consent to QuirVer East Fee Transfer 002-102693 02/03/2023 MVM 6 any breach or other default in the performance of any of the terms of this Agreement shall be deemed to constitute a waiver of any subsequent breach of the same or any other term or condition hereof. In the event time for performance falls on a weekend or legal holiday designated by the United States or Washington State, performance shall be deemed to be timely rendered if so rendered on the next business day. 14.5 Captions. The captions and section headings hereof are inserted for convenience purposes only and shall not be deemed to limit or expand the meaning of any section. 14.6 Invalidity. If any provisions of this Agreement shall be invalid, void or illegal, it shall in no way affect, impair or invalidate any of the other provisions hereof. 14.7 Counterparts. This Agreement may be signed in counterparts, any one of which shall be deemed an original. 14.8 Date of Agreement. The date of this Agreement shall be the date on which the last party executes this Agreement. Said date shall be inserted on the first page hereof when such date is determined. 14.9 Good Faith. Both parties shall act reasonably and in good faith in order to consummate this transaction. 14.10 Authorization. Purchaser and the person(s)executing this Agreement on behalf of Purchaser represent and warrant that they are authorized to do so and that this is a legal, valid,and binding obligation on behalf of Purchaser, and is enforceable against Purchaser in accordance with its terms. 14.11 Default. In the event of default, neither party shall be liable for consequential damages. 14.12 Attorneys' Fees and Costs. If either party brings suitor submits to an alternative dispute process to interpret or enforce any provision of the agreement,the prevailing party shall be entitled to reasonable attorney fees, paralegal fees, accountant and other expert witness fees and all other fees, costs and expenses actually incurred in connection therewith, including those incurred on appeal, in addition to all other amounts provided by law, regardless of whether the matter proceeds to judgment or is resolved by the defaulting party curing the default. 14.13 Submission. This Agreement must be executed by Purchaser, and an original delivered to State,at the address set forth in this Agreement, on or before 4:00 p.m. on March 22nd, 2023, to be considered by State. This Agreement shall not be binding upon State until signed by an authorized representative of the State. Quunper East Fee Transfer 002-102693 02/03/2023 MVM 7 IN WITNESS WHEREOF,the parties have executed this Agreement as of the day and year first above written. PURCHASER: Dated: By: Title: Approved as to form only: 0 C. March 9, 2023 Philip C.Hunsucker, Date Chief Civil Deputy Prosecuting Attorney STATE: i STATE OF WASHINGTON DEPARTMENT OF NATURAL RESOURCES Dated: By: Hilary S.Franz Commissioner of Public Lands Affix the Seal of the Commissioner of Public Lands Standard Purchase and Sale Agreement Approved as to Form in December 2002 by James Schwartz Assistant Attorney General State of Washington QuinW� Fat Fee Twsfv e02-102693 02/03/2023 MVM 8 PUBLIC AGENCY ACKNOWLEDGMENT STATE OF WASHINGTON ) ) ss COUNTY OF_JEFFERSON) On this day of , 2023, personally appeared before me to me known to be the of the public agency that executed the within and foregoing instrument, and acknowledged said instrument to be the free and voluntary act and deed of said corporation, for the uses and purposes therein mentioned, and on oath stated that authorized to execute said instrument for said corporation and that the seal affixed is the corporate seal of the said corporation. IN WITNESS WHEREOF, I have hereunto set my hand and seal the day and year first above written. Notary Public in and for the State of Washington, residing at My appointment expires Quinrper Fast Fee Transfer#02-102693 02/03/2023 MVM 9 STATE ACKNOWLEDGMENT STATE OF WASHINGTON ) ) ss COUNTY OF THURSTON ) On this day of , 2023, personally appeared before me HILARY S. FRANZ, to me known to be the Commissioner of Public Lands, and administrator of the Department of Natural Resources of the State of Washington, that he executed the within and foregoing instrument on behalf of the State of Washington, and acknowledged said instrument to be the free and voluntary act and deed of the State of Washington for the uses and purposes therein mentioned, and on oath stated that he was authorized to execute said instrument and that the seal affixed is the official seal of the Commissioner of Public Lands for the State of Washington. IN WITNESS WHEREOF, I have hereunto set my hand and seal the day and year first above written. Notary Public in and for the State of Washington, residing at My appointment expires Quunper East Fee Transfer 002-102693 02/03/2023 MVM 10 EXHIBIT A QUIMPER EAST—DIRECT TRANSFER Legal Description Portion of Section 33, T3 I N, R 1 W Jefferson County, Washington Government lot 5 of Section 33, Township 31 North, Range 1 West, Willamette Meridian, Jefferson County, Washington, EXCEPT the north 330 feet thereof, as shown and described by that Record of Survey recorded January 11, 1996, in Book 17 of Surveys at Pages123-128, under Auditor's File No. 387842, Jefferson County records. Quin per East Fee Transfer 002-102693 02/03/2023 MVM EXHIBIT B QUIMPER EAST—DIRECT TRANSFER Form of Deed AFTER RECORDING RETURN TO: Department of Natural Resources State Lands—Strategic Planning Section Attn:Matthew Matulovich PO Box 47014 Olympia,WA 98504-7014 QUITCLAIM DEED Jefferson County Grantor: State of Washington, acting by and through the Department of Natural Resources. Grantee: Jefferson County,a political subdivision of the State of Washington Abbreviated Legal Desc: Portion of Section 33,T3IN, R 1 W Tax Parcel#: 101333002 THE GRANTOR, STATE OF WASHINGTON,acting by and through the Department of Natural Resources, for and in consideration of the sum of FIFTEEN THOUSAND EIGHT HUNDRED Dollars ($15,800), hereby conveys and quitclaims to JEFFERSON COUNTY, a political subdivision of the State of Washington, GRANTEE, all interest in the real property situated in Jefferson County, Washington, and described in Exhibit A, attached hereto, which by this reference is made a part hereof. The above-described lands are subject to that certain statutory reserved right as set forth in RCW 79.36.370 and to the following reservation: Qumiper Eau Fee Trmskr#02-102693 02/032023 MVM 12 The Grantor hereby expressly saves, excepts, and reserves out of the grant hereby made, unto itself and its successors and assigns forever, all oils, gases, coal, ores, minerals, and fossils of every name, kind, or description, and which may be in or upon said lands above described, or any part thereof, and the right to explore the same for such oils, gases, coal, ores, minerals, and fossils; and it also hereby expressly saves and reserves out of the grant hereby made, unto itself and its successors and assigns forever, the right to enter by itself or its agents, attorneys, and servants upon said lands, or any part or parts thereof, at any and all times, for the purpose of opening, developing, and working mines thereon, and taking out and removing therefrom all such oils, gases, coal, ores, minerals, and fossils, and to that end it further expressly reserves out of the grant hereby made, unto itself, its successors and assigns, forever, the right by its or their agents, servants, and attorneys at any and all times to erect, construct, maintain, and use all such buildings, machinery, roads, and railroads, sink such shafts, remove such soil, and to remain on said lands or any part thereof for the business of mining and to occupy as much of said lands as may be necessary or convenient for the successful prosecution of such mining business, hereby expressly reserving to itself and its successors and assigns, as aforesaid, generally, all rights and powers in, to, and over said land, whether herein expressed or not, reasonably necessary or convenient to render beneficial and efficient the complete enjoyment of the property and the rights hereby expressly reserved. No rights shall be exercised under the foregoing reservation, by the state or its successors or assigns, until provision has been made by the state or its successors or assigns, to pay to the owner of the land upon which the rights reserved herein to the state or its successors or assigns, are sought to be exercised, full payment for all damages sustained by said owner, by reason of entering upon said land: PROVIDED, That if said owner from any cause whatever refuses or neglects to settle said damages, then the state or its successors or assigns, or any applicant for a lease or contract from the state for the purpose of prospecting for or mining valuable minerals, or option contract, or lease, for mining coal, or lease for extracting petroleum or natural gas, shall have the right to institute such legal proceedings in the superior court of the county wherein the land is situate, as may be necessary to determine the damages which said owner of said land may suffer. Quirtiper East Fee Transfer#02-102693 01032023%1�M 13 This Deed is executed and delivered pursuant to RCW 79.02.270 at the request of the Commissioner of Public Lands with the approval of the Board of Natural Resources, State of Washington. WITNESS the Seal of the State of Washington, affixed this day of , 2023. GOVERNOR ATTEST: SECRETARYOFSTATE Approved as to form this day of , 2023. Assistant Attorney General State Deed No. (4) State Record of Deeds, Volume (4), Page (4). Transaction File No. 02-102693 Quimper Fast Fee Transfer 002-102693 02/032023 MVM 14 QUITCLAIM DEED-EXHIBIT A QUIMPER EAST—DIRECT TRANSFER Legal Description Portion of Section 33,T31 N, R I W Jefferson County, Washington Government lot 5 of Section 33, Township 31 North, Range I West, Willamette Meridian, Jefferson County, Washington, EXCEPT the north 330 feet thereof,as shown and described by that Record of Survey recorded January 11, 1996, in Book 17 of Surveys at Pages123-128, under Auditor's File No. 387842, Jefferson County records. Quimpa East Fee Transfer 002-102693 02/03/2023 MVM 15 SELLER DISCLOSURE: RESIDENTIAL REAL PROPERTY (1) In a transaction for the sale of unimproved residential property, the seller shall, unless the buyer has expressly waived the right to receive the disclosure statement under RCW 64.06.010, or unless the transfer is otherwise exempt under RCW 64.06.010,deliver to the buyer a completed seller disclosure statement in the following format and that contains, at a minimum, the following information: INSTRUCTIONS TO THE SELLER Please complete the following form. Do not leave any spaces blank. If the question clearly does not apply to the property write "NA". If the answer is "yes" to any * items, please explain on attached sheets. Please refer to the line number(s) of the question(s) when you provide your explanation(s). For your protection you must date and sign each page of this disclosure statement and each attachment. Delivery of the disclosure statement must occur not later than five business days, unless otherwise agreed, after mutual acceptance of a written contract to purchase between a buyer and a seller. NOTICE TO THE BUYER THE FOLLOWING DISCLOSURES ARE MADE BY SELLER ABOUT THE CONDITION OF THE PROPERTY LOCATED AT PORTION OF GOVERNMENT LOT 5 OF SECTION 33,TOWNSHIP 31 NORTH, RANGE 1 WEST, W.M.,JEFFERSON COUNTY, WASHINGTON, EXCEPT THE NORTH 330 FEET THEREOF. ("THE PROPERTY"), OR AS LEGALLY DESCRIBED ON ATTACHED EXHIBIT A. SELLER MAKES THE FOLLOWING DISCLOSURES OF EXISTING MATERIAL FACTS OR MATERIAL DEFECTS TO BUYER BASED ON SELLER'S ACTUAL KNOWLEDGE OF THE PROPERTY AT THE TIME SELLER COMPLETES THIS DISCLOSURE STATEMENT. UNLESS YOU AND SELLER OTHERWISE AGREE IN WRITING, YOU HAVE THREE BUSINESS DAYS FROM THE DAY SELLER OR SELLER'S AGENT DELIVERS THIS DISCLOSURE STATEMENT TO YOU TO RESCIND THE AGREEMENT BY DELIVERING A SEPARATELY SIGNED WRITTEN STATEMENT OF RESCISSION TO SELLER OR SELLER'S AGENT. IF THE SELLER DOES NOT GIVE YOU A COMPLETED DISCLOSURE STATEMENT,THEN YOU MAY WAIVE THE RIGHT TO RESCIND PRIOR TO OR AFTER THE TIME YOU ENTER INTO A SALE AGREEMENT. THE FOLLOWING ARE DISCLOSURES MADE BY SELLER AND ARE NOT THE REPRESENTATIONS OF ANY REAL ESTATE LICENSEE OR OTHER PARTY. THIS INFORMATION IS FOR DISCLOSURE ONLY AND 1S NOT INTENDED TO BE A PART OF ANY WRITTEN AGREEMENT BETWEEN BUYER AND SELLER. FOR A MORE COMPREHENSIVE EXAMINATION OF THE SPECIFIC CONDITION OF Seller's Initial Date1lh, Seller's Initial Date THIS PROPERTY YOU ARE ADVISED TO OBTAIN AND PAY FOR THE SERVICES OF QUALIFIED EXPERTS TO INSPECT THE PROPERTY, WHICH MAY INCLUDE, WITHOUT LE IITATION, ARCHITECTS, ENGINEERS, LAND SURVEYORS, PLUMBERS, ELECTRICIANS, ROOFERS, BUILDING INSPECTORS, ON-SITE WASTEWATER TREATMENT INSPECTORS,OR STRUCTURAL PEST INSPECTORS. THE PROSPECTIVE BUYER AND SELLER MAY WISH TO OBTAIN PROFESSIONAL ADVICE OR INSPECTIONS OF THE PROPERTY OR TO PROVIDE APPROPRIATE PROVISIONS IN A CONTRACT BETWEEN THEM WITH RESPECT TO ANY ADVICE, INSPECTION, DEFECTS OR WARRANTIES. Seller. . . . is/ . X. . . is not occupying the property. I.SELLER'S DISCLOSURES: *If you answer "Yes" to a question with an asterisk (*), please explain your answer and attach documents, if available and not otherwise publicly recorded. If necessary, use an attached sheet. 1.TITLE [X] Yes [ ] No [ J Don't know A. Do you have legal authority to sell the property? If no, please explain. [X] Yes [ J No [ ] Don't know *B. Is title to the property subject to any of the following? (1) First right of refusal (2) Option (3) Lease or rental agreement with Jefferson County thru Trust Land Transfer Program with DNR (4) Life estate? X Yes [ ) No [ ] Don't know *C. Are there any encroachments, boundary agreements,or boundary disputes? Real EstateTrespass noted on DNR Records Search No. T3-084741 [ ] Yes [ X[ No [ J Don't know *D. Is there a private road or easement agreement for access to the property? [ ] Yes [ ] No [X] Don't know *E. Are there any rights-of-way,easements,or access limitations that may affect the Buyer's use of the property? [ ] Yes [ ] No [X] Don't know *F. Are there any written agreements for joint maintenance of an easement or right-of-way? [ ] Yes [ I No [X] Don't know *G. Is there any study, survey project,or notice that would adversely affect the property? ( J Yes ( J No [X] Don't know *H. Are there any pending or existing assessments against the property? [ ] Yes [ J No [X ] Don't know *1. Are there any zoning violations, nonconforming uses,or Seller's Initial _ Date3 Seller's Initial Date any unusual restrictions on the property that would affect future construction or remodeling? X Yes [] No [ ] Don't know *J. Is there a boundary survey for the property? [ ) Yes [X] No [ ] Don't know *K. Are there any covenants,conditions,or restrictions recorded against title to the property? 2. WATER A. Household Water [ ] Yes [ X] No [ ] Don't know (1) Does the property have potable water supply? (2) If yes, the source of water for the property is: ( ] Private or publicly owned water system [ ] Private well serving only the subject property *[ ] Other water system [ ] Yes [] No [ ] Don't know *If shared, are there any written agreements? N/A [ ] Yes [ ] No [ ] Don't know *(3) Is there an easement (recorded or unrecorded) for access to and/or maintenance of the water source? N/A [ ] Yes [ ] No [ ] Don't know *(4) Are there any known problems or repairs needed? N/A [ ] Yes [ ] No [ ] Don't know (5) Is there a connection or hook-up charge payable before the property can be connected to the water main? N/A [ ] Yes [ ] No [ ] Don't know (6) Have you obtained a certificate of water availability from the water purveyor serving the property? (If yes, please attach a copy.) N/A [ ) Yes [X] No [ ] Don't know (7) Is there a water right permit,certificate,or claim associated with household water supply for the property? (If yes, please attach a copy. [ ] Yes ( ) No [ ] Don't know (a) If yes, has the water right permit,certificate,or claim been assigned, transferred, or changed? [ ] Yes [ ] No [ ] Don't know *(b) If yes, has all or any portion of the water right not been used for five or more successive years? [ ] Yes [ ] No [ j Don't know (c) If no or don't know, is the water withdrawn from the water source less than 5 gallons a day? [ ] Yes [ ] No [ ] Don't know *(8) Are there any defects in the operation of the water system (e.g. pipes, tank, pump,etc.)? Seller's Initial _ Date Seller's Initial Date B. Irrigation [ J Yes [ X] No [ J Don't know (1) Are there any irrigation water rights for the property, such as a water right permit,certificate, or claim? (If yes, please attach a copy.) [ ] Yes [ ] No [ ] Don't know (a) If yes, has all or any portion of the water right not been used for five or more successive years? [ ] Yes [ J No [J Don't know (b) If yes,has the water right permit,certificate,or claim been assighned, transferred,or changed? [ ] Yes [XJ No [ ] Don't know *(2) Does the property receive irrigation water from a ditch company, irrigation district,or other entity? If so, please identify the entity that supplies water to the property: C. Outdoor Sprinkler System [ J Yes [ X] No [ ] Don't know (1) Is there an outdoor sprinkler system for the Property? [ j Yes [ ] No [ ] Don't know *(2) If yes,are there any defects in the system? [ ] Yes [ ] No [ ] Don't know *(3)If yes, is the sprinkler system connected to irrigation water? 3.SEWER/ON-SITE SEWAGE SYSTEM A. The property is served by: NONE [ J Public sewer system ( ] On-site sewage system(including pipes, tanks, drainfields, and all other component parts) [ ] Other disposal system, please describe: [ ] Yes [ ] No [ J Don't know B. Is the property subject to any sewage system fees or charges in addition to those covered in your regularly billed sewer or on-site sewage system maintenance service? N.A C. If the property is connected to an on-site sewage system: N.A [ J Yes [ ] No [ ] Don't know *(I) Was a permit issued for its construction? [ ] Yes [ ] No [ ] Don't know *(2) Was it approved by the local health department or district following its construction? [ ] Yes [ ] No [ ] Don't know (3) Is the septic system a pressurized system? Seller's Initial V"d" DateA3 Seller's Initial Date [ ] Yes [ ] No [ ] Don't know (4) Is the septic system a gravity system? [ ] Yes [ ] No [ ] Don't know *(5) Have there been any changes or repairs to the on-site sewage system? [ J Yes [ ] No [ ] Don't know 6. Is the on-site sewage system, including the drainfield, located entirely within the boundaries of the property? If no, please explain. [ ] Yes [] No [ ] Don't know *7. Does the on-site sewage system require monitoring and maintenance services more frequently than once a year? 4. ELECTRICALIGAS [ J Yes [XJ No [ ] Don't know A. Is the property served by natural gas? [ ] Yes [ ] No [X ] Don't know B. Is there a connection charge for gas? [ ] Yes [X ] No [ ] Don't know C. Is the property served by electricity? [ ] Yes [ ] No [X] Don't know D. Is there a connection charge for electricity? [ ] Yes [ J No [ X] Don't know *E. Are there any electrical problems on the property? 5. FLOODING [ ] Yes [ X] No [ ] Don't know A. Is the property located in a government designated flood zone or floodplain? No, Per check with Jefferson County Planning Department. 6.SOIL STABILITY [ ] Yes [ ] No [X J Don't know *A. Are there any settlement,earth movement, slides, or similar soil problems on the property? 7. ENVIRONMENTAL [ J Yes [ ] No [X] Don't know *A. Have there been any flooding, standing water, or drainage problems on the property that affect the property or access to the property? [ ] Yes [ J No [XI Don't know *B. Does any part of the property contain fill dirt, waste,or other fill material? [ ] Yes [ ] No [X] Don't know *C. Is there any material damage to the property from fire, wind, floods, beach movements,earthquake,expansive soils,or landslides? [ ] Yes [ J No [XI Don't know D. Are there any shorelines, wetlands, floodplains, or critical areas on the property? [ ] Yes [ ] No [X] Don't know *E. Are there any substances, materials, or products in or on the property that may be environmental concerns, such as asbestos, formaldehyde, radon gas, lead-based paint, fuel or chemical storage tanks, or contaminated soil or water ? Seller's Initial ��_ Date Seller's Initial Date X Yes [ J No [ ] Don't know *F. Has the property been used for commercial or industrial purposes? Commercial Forestry [ ] Yes [ ] No [X Don't know *G. Is there any soil or groundwater contamination? [ J Yes [J No [XI Don't know *H. Are there transmission poles or other electrical utility equipment installed, maintained,or buried on the property that do not provide utility service to the structures on the Property? [ J Yes [ ] No [X] Don't know *I. Has the property been used as a legal or illegal dumping site? [ ] Yes [ ] No [X] Don't know *J. Has the property been used as an illegal drug manufacturing site? [ ] Yes [] No [X] Don't know *K. Are there any radio towers in the area that cause interference with cellular telephone reception? 8. HOMEOWNERS' ASSOCIATION/COMMON INTERESTS ( ] Yes [ X] No [ ] Don't know A. Is there a homeowners' association?Name of association and contact information for an officer,director, employee,or other authorized agent, if any,who may provide the association's financial statements, minutes,bylaws,fining policy,and other information that is not publicly available: [ ] Yes [ X] No [ ] Don't know B. Are there regular periodic assessments: $ Per [ ] Month [ ] Year [ ] Other [ j Yes [X ] No [ ] Don't know *C. Are there any pending special assessments? [ ] Yes [X ] No [ ] Don't know *D. Are there any shared"common areas"or any joint maintenance agreements(facilities such as walls, fences, landscaping, pools, tennis courts, walkways, or other areas co-owned in undivided interest with others)? 9.OTHER FACTS [ J Yes [X] No [ j Don't know *A. Are there any disagreements,disputes,encroachments, or legal actions concerning the property? ( ] Yes [ ] No [ ] Don't know *B. Does the property have any plants or wildlife that are designated as species of concern, or listed as threatened or endangered by the government? [ j Yes [XI No [ ] Don't know *C. Is the property classified or designated as forest land or open space? [ ] Yes [X J No [ ] Don't know D. Do you have a forest management plan? If yes, attach. [ j Yes [X J No [ ] Don't know *E. Have any development-related permit applications been submitted to any government agencies? If the answer to E is "yes"what is the status or outcome of Seller's Initial Date Seller's Initial Date those applications? X Yes [ ) No [ J Don't know F. Is the property located within a city, county, or district or within a department of natural resources fire protection zone that provides fire protection services? 10. FULL DISCLOSURE BY SELLERS A. Other conditions or defects: [ ] Yes [ ] No [XI Don't know *Are there any other existing material defects affecting the property that a prospective buyer should know about? B. Verification: The foregoing answers and attached explanations(if any) are complete and correct to the best of my/our knowledge and Uwe have received a copy hereof. Uwe authorize all of my/our real estate licensees, if any, to deliver a copy of this disclosure statement to other real estate licensees and all prospective buyers of the property. DATE SELLER — SELLER NOTICE TO THE BUYER INFORMATION REGARDING REGISTERED SEX OFFENDERS MAY BE OBTAINED FROM LOCAL LAW ENFORCEMENT AGENCIES.THIS NOTICE IS INTENDED ONLY TO INFORM YOU OF WHERE TO OBTAIN THIS INFORMATION AND IS NOT AN INDICATION OF THE PRESENCE OF REGISTERED SEX OFFENDERS. II. BUYER'S ACKNOWLEDGMENT A. Buyer hereby acknowledges that: Buyer has a duty to pay diligent attention to any material defects that are known to Buyer or can be known to Buyer by utilizing diligent attention and observation. B. The disclosures set forth in this statement and in any amendments to this statement are made only by the Seller and not by any real estate licensee or other party. C. Buyer acknowledges that, pursuant to RCW 6..06.050(2), real estate licensees are not liable for inaccurate information provided by Seller, except to the extent that real estate licensees know of such inaccurate information. D. This information is for disclosure only and is Seller's Initial —�'` DateIAILA 2-t Seller's Initial Date not intended to be a part of the written agreement between the Buyer and Seller. E. Buyer(which term includes all persons signing the "Buyer's acceptance" portion of this disclosure statement below)has received a copy of this Disclosure Statement (including attachments, if any) bearing Seller's signature. DISCLOSURES CONTAINED IN THIS DISCLOSURE STATEMENT ARE PROVIDED BY SELLER BASED ON SELLER'S ACTUAL KNOWLEDGE OF THE PROPERTY AT THE TIME SELLER COMPLETES THIS DISCLOSURE STATEMENT. UNLESS BUYER AND SELLER OTHERWISE AGREE IN WRITING, BUYER SHALL HAVE THREE BUSINESS DAYS FROM THE DAY SELLER OR SELLER'S AGENT DELIVERS THIS DISCLOSURE STATEMENT TO RESCIND THE AGREEMENT BY DELIVERING A SEPARATELY SIGNED WRITTEN STATEMENT OF RESCISSION TO SELLER OR SELLER'S AGENT. YOU MAY WAIVE THE RIGHT TO RESCIND PRIOR TO OR AFTER THE TIME YOU ENTER INTO A SALE AGREEMENT. BUYER HEREBY ACKNOWLEDGES RECEIPT OF A COPY OF THIS DISCLOSURE STATEMENT AND ACKNOWLEDGES THAT THE DISCLOSURES MADE HEREIN ARE THOSE OF THE SELLER ONLY, AND NOT OF ANY REAL ESTATE LICENSEE OR OTHER PARTY. DATE BUYER BUYER (2)The seller disclosure statement shall be for disclosure only, and shall not be considered part of any written agreement between the buyer and seller of residential property.The seller disclosure statement shall be only a disclosure made by the seller,and not any real estate licensee involved in the transaction,and shall not be construed as a warranty of any kind by the seller or any real estate licensee involved in the transaction. Seller's Initial N- Date Ih t 23 Seller's Initial Date