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East Sound Sewer Water Memorandum of Understanding Rosa Rio Highlands Water

East Sound Sewer Water Memorandum of Understanding Rosa Rio Highlands Water

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01/13/2011

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13 2011 10:25RM P2

R AND WATER DISTRICT

M8MORANDUM OF UNDERSTANDING

~3GARDIN3 PROPOSED PURCHASE OF

C,·f,;,Cl\S I~II(1.Hl~Af:~tlS 2~tSS(")CI .. A.TI()J0 ·'J.J.f).TE,F:Z S'I,ST;I~r~ I IIC:EN::')E FOP. I=:,CC)~::;S .A.ND Nl!::'L :)F.:LLLINC p,T:m OFTICN

THIS l>mt'1()FAND!.}~ll OF' Ul"IDERST'.A.NDINC;; is entered Lnt o 'chis 2~lth d£-l.Y of r;lc~cb.~_~!:J._9 9, by Be :?J ts ourid St:O!v-Jel and Wa t.e r Dist2C·i_,:·t: (" Di. ::)tX'Ice;:--)-'--a-:-:nci~'

Ox:'cas t!j,gr11a~'1{,:1s ,~"ss(.lc,.iati()r~J a \h7~1::'-:: it a ss o c.l a tion

(\\}1.ssociatlc:~:nn:! ~

A. Association owns and operates a water supp and distribution system ("Water System ) which se~ve8 the Plat cf Rosa~io Highlands, per plat ~ecorded in Volume 3, pages 7 & 7A of Plats, Plat of Rosario JaIi';Jtllallds :~~c'" L: re(:.:~,!.."Cl'(3di .. n \/Oll11t1_8 ,3 »f Pla..t:9, if':S 2'5 arid 25,A, Plat

of Rosa:d .. c H:~

lands ~o. 3 recorded

Volume 4 of Plats, Pages 7, 7A

~:111l.i 7B, PJ.2t o f C:tt~3.:r':5 La i r , r.~ec·():cc1.ed :i~~l Vol.urne 4 o f Platsl Pa .. gt.?~~ 29

and 2 9,P.~ an .: c; 0 L .r (:: ct i or, P.1 i!:~ r e c 0 r.\jr~d 1.1"1 "\lcl Lurne ·4 o f P 1 ·.3t t S f 53 (

Un-olatted rties Adjacent to Plat of Rosario Highlands, Plat of

Rcsarie Highlands NQ. 2 and Plat of ~osario Highlands No.3 and

RC:3a:r~i(J

Hi

Tract A and Tract 8 as 5e~ forth in Vo Lurne 4. «: f P lc:t s, page 7! 7 A

and

,'. c: ommor:

78 records of San Juan County, W

The ASSOolation has a emall

(~i\]\.[:3E~ccia:tj.Olt S~~r>t;,F:~C€! system management plan approv~d of Health and San Juan County that

the wastington State rtment

ButhoLizes the ~ssoc~ati0n to ,S,e:rv'ice ;q:r:eEl"

de wate~ service to t

As soc

t.iOl1

E. The Wat~r System includes all water storage, transmission and

distribution facilities ope=ated or owned the A~sociation, real

property a~d easements used in the operation of the Water Systemr 'i_rl':v~e:r~ to r:~~l 0 f S \.l})F], i::=:3 an.j. r.":l1~t;:; \.13~::~(i. i n t tl€ C,iP1:?, :',:'2. t:.i or: o f tlj.e l>Va. t ~::.~ System End interes~ as purchaser Jnder a water supply contract.

C: .'

Assoc~atlon wishes to di

the Water System

(including all itec5 referred to in Recital B abcve) and convey it ·to the District for no

D. Dl5tric~ i5 a mani 1 corporation whose corporate

boundaries have been by 2nnex~tion pursuant to RCW

(:1"1." 5'7 .. 24 t.o irJ.G~,.u(te, t he ;\.7isoc_~i..a't,j__c)J.'l.i ,'? se:r.'"\7ice 'p~,t:(-;j.9... ::~x'il"':Lg arid

(1)era.ti,rlq the .Al,~35ccia'~-j_on~ F~3 "ll''late~,· [;'j1stern I s .in t,Y~\9 pub L: ~~~. j__n_t13rf~6:. and the intere$~ of the D1SL~ict.

E L T-:}), e pu r pc 0 -:::~ 1:,l'1i ,:::~ rrl~~rnC~I ancuzn 0 f uride r ~~~ t .. and i n ~J' ~L ~1 1.~·. o p l an

for District's acquisi-ioD of the Water tern end to authorize

District to explc~e for a supply of water en certain real p~operty

SEWER & ~~TEP DIST.

F'HDH[

~-T-:"-'-:< c; f_:',

owned the A8socia~icn,

F. ABscc~atian and D~strict agree to use reasorable effo~ts to

Association's we er sys~em

D~6trlct sLbject to the q i6elines set

se pYlee shall be any obligations and th tbis sale.

z e ro ($--0-). liabilities

!)il.3trict of

will nat agree tc aSSLm8

li,~j.s ()C' ia't .i 0.('1 j_rl. ce.'·Til-'": e c: t 1. ()11

2.C

aotions rrrust occur prior to the

viable supply upon by District and

Associa~icn and defined as greater than 25 gal/min and acceptable

cJu .. ::::t1.i r lJa,'?;t?cl C)T: "lie: 11 d ri 11 In.9 arid })l,rrnF' t; BS t.il:1g of a. '.r'it~11 01:'\1'7-6.1l S to be drilled cn Association's common area located on the Sites described

in Section 8 below_

Plan. Dl5tr~c~'s

__ .. _.<----_._._-----_._-_.---_._-------_. __ .

small to serve Association's Service Area, or

if Distric~ C~OOS03 ?r is required co da so, adoption of e water system coreprehenBive plan. E~ther of s~ch documents will be ~ubJect

to the approval San Juan C~unty ~nd the State Cepartment of Health.

ion of Association's

2.3 District's review and inspection of the

phYBical condition of the facili~ies, financial records, real property and ~asemEr~s and contracts.

satisfi..'tc::tor':/ (::vt

Seller's delivery to the Distric~ of to RCW Titl. 24.C3, the sale of

two-third (2/3) of the AssociaT lS not legally req~ired.

;::l t ru c1: .. .i, on." C:::)n.t, j .. ~·)_u t? t; C) cr: e T ~~. t; e r

~-.- ----"----~_..,--"-- .. -----" .• "-:-"----

rnaintairl and repa~r ~he Water vste~ i~ a manner consiste~t wit~

P t::. t), 1. .i, <: \t·:'~, 'f.:.~'j .r s y ~s t. -::~ r~'l i, ~~1 c1 ~.j,5 ~,'~', ::':'-' Y C" t; t~ n 1.:1 (i. L' d E.,' a. n (:~ t Q a C;JE in, i ;,3 t. f~ ~Y-' i~ .0. a q () 0 1:-1 i..:: r.d \\,() r }::rna.tl} .. i, J;;,e {~'·_.31'lrl E:-:.t:' i~l ,J .. .1. })E} :"'L cl 1. n <J C:1()[}_ 3 t. /~t,JC t .i, ,~-.'n_ c () :r:~ '!::. r-a c +a .

"", ,-.

,,,; ~ ~::

E-e:c"",?5.ce A1~ea .. ,

iability ~nsu=ance and reasonable amou~ts.

F'HiJHE >jl],

any ~ew contracts ~ha~ would bi

[_:C J_ :.s t; .r i C~ t: ~

Association 3h2~1 warranties and represen~ationB

regarding ~ts facili:ies a~d opsrat and shall ina tv and defend

District fros and 0qainst any c:aims, obligations and su~ts arising out of the sa~e.

5.0 ~.c:Lctf0 ion '':;c

---- .. _-_._._-_._-_._--._-

closing of the sale. )istrict shall

th~ Customers 3ubjecc to Di2trict's rats5, rules, resolutions and

to

ations presen~ly in effect and as the

.. -

sarn(:=~ Inc~y J)C;' a c c

G.J ses. ~he Cis~-ict 9~all pay all the expenses re:ated to

the sale of ~he water system. bc~ not limited to: pre9ar

a 1 documents, c_tle insurance, cl~sing ard recording ~ee$. well

exploration, drill ng and t~5tingf upda~

system management :;l,balJ. ol},Ly p av

9 an, and surveying costs. whereas the Association

Association hereby grants District an

irr~VDcable license fo~ a peried of one the date jereof for entry, well drill

~undred eigh~y (150) from

f pump tE-2stin'J ti;"i.d n21ated

activities over the fal

deecribed real property ("SitegU):

a~05 ~D" 3 Tract A, Reserved land, Tax ?arcel

sd on the attached map

I'r: i x:d r:a_ rt jl oorit; :t~c_(":;t(>L',3 and, cor~;.31_: 1. r; an t s as 'll8 11 ;:,;~:3 D.i, ~:3, t r j_ c:~t. Personnel ~ay enter Lhe Sitars) for s ah purposes. ~ol conclusion.of t~c work, tte Site(s) sha:i be ~epairad in a rea5~n3ble condition, ~rovided that, a well tead and associated 0

a.:J,:;.:l ::3 t:.h.·:3;"V.i:EC-c)r L'ent6:i n o n t:.lle S.i. t l~;':" I)i B. t ri C:t. $1".:.2.11 I' 8(J·t~, i ~ce

€:'vr:;,L'~/ CCTlt.T ,:l.(':~', or i_::.ncJ CCD:= l.:, 1 t~;:;. n t e nt; e r .i, r~l':; t. h;; S .i. t,~::? t.o rna i nt.ai n corornerc.l a.l lj~f:lt)il:Lt~i .:~.r:.:_::,·t:.:r·r::j,nce C(l\/{e.rage- o f a':, l_f~a3t ~~1:, COUI OOC .i r;

The Cis~rlct shal pay a:: COS~5 of the work and shall no~ ,~111 (~\t\j a~'\ '.V J. .i ~~ n ·s t C ci t; t e. () b. t; ~J t.h (0 S j~ t; ~3 ,;

an easement ever, u~der and on the Site(s) as f

ions cer minu1e ~:t:

8 qJality, ~s lecatee as e resLlt

3

~:,:"'-_",_

",.1(0

13 20~1 lO:27~~ P5

of '::n8 d:c

. The efge~ent shall allow Distrj.ct and i~e cantr~ctors

t.he une.noumbe red rI t of a c·(:.,e:s;,s, u,t,ili'~:.ii.S2~::Jr t:E.~_~. 0;

t.. h '\E~ 'A~:.:'l '!'llt2~ i;~l ~:i . .':" .~:-: +; C' a i () n ",lJ e ~l< 1 r C Q n /'s t:,.r~ uc t . .i_. o n o f ,:~ l:':d) j. J, d j, n (i t; 0

and related wster ~ains to

connect the ~cll into a syste2 of water m&ins and appurte~anceA. The

ea :3~~lf~e·n,t~.5 heI L LIe n ori -_, c }~(~~J_ 1.1 s ~ v e ,_, f 0 :;C t: rlE3' a r e a ()c~c:"ur:; i €~(i 'b ~r t 1-1 ~~

~se prlce fer the easement h! to exe se its option

well house and secuyjty fencing. s~211 ~e zero. District sha_l have

to acquire t~e e~Bement at any time w~thin th~ee 3) years from the date hereof by providing wr~tten n0~ice co Association. A copy of the applicable e2se~ent farm ~5 attached heret~ and incorporated by reference. The 1 a1 description to the easement shall be prepared by a p~c£essianal aurveyo~ or engineey based on description of the licensed area described above. Upon exer~ e, the parties shall prcrnr/c.l:;/ r0.t:;,e,~:·_ toe }~~~C n T:: E.~ t 1~L5 ~a C~U!; ~inH~rl t; 13"Ild. l:):L 50 t_~' i ct S l"i.a].1. l:H~ respon3ib~e for record~ng It. If District exercises this option,

ASGocietion shall also

of Health) for 100 foot

radius around each we~_ head that will prohibit many fonne of cevelopment ~ithin such area.

A6S0ciati~n shall cooperate water rights for the

proposed well,s) by executing a water rights applica~icn to the

We Sta~e Depar~ment of Ecology and providing written and oral

information to support t~e ication as The Distr~ct

shall bear the cost of the wa~er rl

, although D~strict

~cation at any ti~9.

(' Ii

o. '.'

previsions of Section 7 as a preliminary

hereof, thi~ menorancium is

expression of general intentions and lS to be used for negot~ation

purposes only. a~ dad in Section 7 hereof, the parties

intend that neither sha'l have any contractual obligations to the other with respecL to the ma~t®r5 r~ferred herein unless and until a

(i e f.i I1 i t,i.':,T '-::? ;~:L (~ r ":~~ E:1'~~(~~~ n t; 1-1.a. E:, 1.J >8 \~ 1"1

fully executed and deli7sred by the pa~ties_ Exc

Sestion 7 hereof, p~_o_ :0 del.ivery af a definitive executed

agreern0nt, and w_thout any liabili

to the other party, e_ther

iations wit~ other

St:; S ummar.i z ~d ~t1e x:e I.n r

parLy ~ay 11 propose different ter~s from

(2 J' er~·~.~er .i.n to ',n(~

ene/or (3) unilate~allJ y r-16.2'.~e·:o y

terminate a_I neqot18tions witj

EXECUTED as of the date first appearing above.

FI--IC:::tfE rlO.

Eastsound St}V,rCT <met Water District ('<Di~;trkf') DI.!.1d 'Highlands Association e'Allsoclation"), pa.Iti_t~s

to that certain Memorandum ofUnderstanding Regarding Proposed Purchase (If Orcas Hig.hhillds AssocietlonWater System, License for Access and Well DdlEng and Option to AcquireWell Site Easement dated October 27,. 2009 e'J\:fOU~'),. hereby amend the license provisions contained in Section 7 thereof 8S follows,

The term. of the license is hereby extended to July 27" 201 () for the purpose of pu.tnp testing, water quality testing, surveying and related work,

Association hereby confirms that the wen site easement option contained in section 72 thereof has been exercised, the well site area and access points determined ~IDd that a survey tobe performed by District 'NiII clarify these areas for a recorded. easement, the. terms of which have been agreed. upon.

The parties hereby ratify and confirm that the MOU remains ill full force eU.d effect as amended hereby.

Eastsound Sewer and District

Orcas Highlands Association

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