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HomeMy WebLinkAboutDoc 256 - IGA - La Pine Park-Rec Land Transfer"'E w00.0."e';:':", ,.' . rz....\ o -< Deschutes County Board of Commissioners 1300 NW Wall St., Suite 200, Bend, OR 97701-1960.' " (541) 388-6570 -Fax (541) 385-3202 -www.deschutes.org AGENDA REQUEST & STAFF REPORT For Board Business Meeting of May 29, 2013 Please see directions for completing this document on the next page. DATE: May 22, 2013 FROM: Teresa Rozic Property & Facilities 541-385-1414 TITLE OF AGENDA ITEM: Consideration of Board signature of Document 2013-256, an Intergovernmental Agreement between Deschutes County and The La Pine Parks and Recreation District. PUBLIC HEARING ON TIDS DATE? No BACKGROUND AND POLICY IMPLICATIONS: On August 10,2012, President Obama signed the La Pine Land Conveyance Act (the Act), Public Law 112-164, which directs the Secretary of the Interior, acting through the Bureau of Land Management (BLM), to convey land depicted as Parcel A on the attached map to Deschutes County. The Act states that the land shall be used for outdoor recreation, open space, or public parks, including a rodeo ground. The La Pine Parks and Recreation District (the District) operates existing public parks and is the appropriate entity to control Parcel A. The Act states that Deschutes County shall pay all surveys costs and other administrative costs associated with the conveyance of the land. The County and the District have reached an agreement whereby the District will reimburse the County for those costs over a period of three years. The Intergovernmental Agreement contains those terms. FISCAL IMPLICATIONS: Estimated costs are $22,935.00. RECOMMENDATION & ACTION REQUESTED: Staff recommends Board signature of Document 2013-256, and Board signature accepting the Promissory Note and Trust Deed. ATTENDANCE: Teresa Rozic DISTRIBUTION OF DOCUMENTS: One original to Teresa Rozic for the District. DESCHUTES COUNTY DOCUMENT SUMMARY (NOTE: This fonn is required to be submitted with ALL contracts and other agreements, regardless of whether the document is to be on a Board agenda or can be signed by the County Administrator or Department Director. If the document is to be on a Board agenda, the Agenda Request Fonn is also required. If this fonn is not included with the document, the document will be returned to the Department. Please submit documents to the Board Secretary for tracking purposes, and not directly to Legal Counsel, the County Administrator or the Commissioners. In addition to submitting this fonn with your documents, please submit this fonn electronically to the Board Secretary.) Please complete all sections above the Official Review line. Date: 105/22/20131 Department: IProperty & Facilitiesl Contractor/Supplier/Consultant Name: rhe La Pine Parks & Recreation Distri Contractor Contact: Bob Schulz, Directo Contractor Phone #: 541-536-2223 Type of Document: Intergovernmental Agreement Goods and/or Services: NIA Background &History: On August 10, 2012, President Obama signed the La Pine Land Conveyance Act (the Act), Public Law 112-164, which directs the Secretary of the Interior, acting through the Bureau of Land Management (BLM), to convey land depicted as Parcel A on the attached map to Deschutes County. The Act states that the land shall be used for outdoor recreation, open space, or public parks, including a rodeo ground. The La Pine Parks and Recreation District (the District) operates existing public parks and is the appropriate entity to control Parcel A. The Act states that Deschutes County shall pay all surveys costs and other administrative costs associated with the conveyance of the land. The County and the District have reached an agreement whereby the District will reimburse the County for those costs over a period of three years. The Intergovernmental Agreement contains those terms. Agreement Starting Date: t.::....::.:..:L-....-'--"'-'_ Ending Date: puly 1, 20161 Annual Value or Total Payment: 1$22,935.001 NIA D Insurance Certificate ReCeiVjd (ChiCk box) Insurance Expiration Date: N/A Check all that apply: D RFP, Solicitation or Bid Process D Informal quotes «$150K) D Exempt from RFP, Solicitation or Bid Process (specify ­see DCC §2.37) NIA Funding Source: (Included in current budget? DYes D No If No, has budget amendment been submitted? 0 Yes D No 5/22/2013 Is this a Grant Agreement providing revenue to the County? D Yes ~ No Special conditions attached to this grant: Deadlines for reporting to the grantor: If a new FTE will be hired with grant funds, confirm that Personnel has been notified that it is a grant-funded position so that this will be noted in the offer letter: Yes D No Contact information for the person responsible for grant compliance: Name: Phone #: Departmental Contact and Title: Teresa Rozic Phone #: 541-385-1414 Department Director Approval: --.f-!.~=--""::"":-=------­ I Signature Date Distribution of Document: One original to Teresa Rozic for the District. Official Review: County Signature Required (check one): D BOCC D Department Director (if <$25K) Administrator (if >$25K but <$150K; if >$150K, BOCC Order No. ____-J Legal Review Date Document Number 2013-256 5/22/2013 LA PINE, OREGON LAND TRANSFER December II, 2009 This map prepared at the request of Senator Wyden 28 .' .......... 27 26 25 ..".. r R 11 E 30 33 34 ·..-.......'--,) 36 3 1 4 0.25- 9 16 21 w*s 1:~.OOO (when pioned at &.5'>< 11 i o 0.25 0·t5 • J 0.25 0.5 KiIomeIers 0.5 FINLEY REED CITY 6 "." ..,............"..".'..... ,," ................. f .;~I~~~~IlIIIl~ II~~~~~~j~~ :;:;:;:;:::::::::;::is·a··:~c:·:·e·-:I: :::::::: · 7 :::::::::!~:::::::::'~"" ~.f .: :·.·;·;::::::::' .:::::::::::::::::::::::::::::8 :::::::::::::::: :~~~::::::::::::::::.:' :::::::::::::::::~ ::~~~~:::::;:::::::::::::::: ::::::::.::::::::: ,,". ' " IJ> • . ... ~~ 14 BUTTE Administered Land Bureau of Land Management U.S. Forest Service Private or Other No W8rranly '­made by the Bu,.au 01 Land lAanagement H to the accuracy, ,eliobility, 0' compIeteneu ot theee data tor k>ctividual or lWegate USI wfth .,.,., data. 0rtgInaI dala _e compiled from vorioUl lOU'cel. Thia Information m-v not ....., National IAap Acwracy Sllndards. This procb:l _ deIie10ped through d1gIIaI rneana Ind may be updated wMIOUI notifocation. 2 4 19 R 11 E T 21 S T 22 S • ~""" " --{@­ R 10 E R 10 E LEGEND Power Sub-Station Federal Lands Proposed for Transfer Transportation Federal Highway Road c:::J c=J T 21 S T 22 S REVIEWED LEGAL COUNSEl INTERGOVERNMENTAL AGREEMENT 1 LA PINE LAND CONVEYANCE PROJECT I This Agreement is made and entered into by and between Deschutes County, a political subdivision of the State of Oregon, hereinafter referred to as "County/' and The La Pine Parks and Recreation District, an Oregon special district, hereinafter referred to as "LPRD." WHEREAS, County and LPRD are authorized pursuant to ORS 190.003 through 190.110 to enter into an I intergovernmental agreement for the performance of any or all functions which a party to the agreement has the authority to perform; and I WHEREAS, on August 10, 2012, President Obama signed the La Pine Land Conveyance Act (the Act), Public Law 112-164, which directs the Secretary of the Interior, acting through the Director of the Bureau of Land Management (BLM), to convey to the County, without consideration, all right, title and interest in and to land depicted as Parcel A on the map attached as Exhibit A, incorporated herein by this reference (Parcel A or the Property); and ! 1 WHEREAS, the Act states that Parcel A shall be used for a outdoor recreation, open space, or public parks, including a rodeo ground and LPRD operates the existing public parks and recreation district; and WHEREAS, the Act requires the County to pay all survey costs and other administrative costs (the Project Costs) associated with the conveyance, as shown on the attached Exhibit B, incorporated herein by this reference; and I IT IS HEREBY AGREED by and between County and LPRD, for and in consideration ofthe mutual promises l and covenants contained herein, as follows: I 1. Effective Date. This Agreement is effective July 1, 2013. 2. Duration. This Agreement terminates on July 1, 2016, or the date on which the obligations of thet parties are fulfilled, unless sooner terminated in accordance with Paragraph 6 of this Agreement. This Agreement may be extended for one one-year term upon agreement of the parties. 3. Definitions. 3.1. "Closing" is the date on which LPRD will sign a Promissory Note and Trust Deed, and County will transfer title to the Property to LPRD. The Promissory Note and Trust Deed are attached to this agreement as Exhibit C, which is incorporated herein by this reference. Said Promissory Note contains the terms under which LPRO will make annual payments and defines default. 3.2. "Surveys" include but are not limited to surveys by professional land surveyors, and surveys for environmental studies. DC 2013-256 DC 2. 0 13 ~ 256 3.3. "Administrative Costs" include but are not limited to costs for BlM to develop the statement of work for environmental studies, set up and administer the contract for such environmental studies, process necessary permits, review and finalize reports, complete data entry, and conduct necessary Tribal consultation. Administrative Costs also include but are not limited to costs to partition the Property and recording fees. 4. Services and Consideration. I 4.1. Responsibilities of County. County shall, through its Board of County Commissioners: a. Pay all costs to survey Parcel A; and b. Pay all Administrative Costs, supported by invoices from BlM, associated with conveyance of Parcel A; and c. Convey by means of a bargain and sale deed all right, title and interest in Parcel A to lPRD, subject to the reversionary interest retained by the federal government; 1 ; 4.2. Responsibilities of LPRD. lPRD shall, through its Board of Directors, pay County: i a. One-third ofthe Project Costs by July 1, 2014; and b. One-third of the Project Costs by July 1, 2015; and I c. One-third of the Project Costs by July 1, 2016. I 5. Closing. County and LPRD acknowledge that on the effective date of this agreement, survey and administrative costs are approximate and may change after field surveys. l 5.1. County shall: 1 a. Determine final costs prior to closing. b. Provide documents produced from the field surveys to lPRD at closing. c. Transfer title to the Property to LPRD at closing. I i 5.2. LPRD shall: a. Sign a Promissory Note and Trust Deed for the final cost of surveys and administrative costs at closing. 1 6. Termination. This Agreement may be terminated by either party upon 30 days written notice to thei other party. Termination of this Agreement shall not affect any obligations or liabilities accrued prior to such termination. 1 7_ Limitotion. This Agreement is expressly subject to the debt limitation of Oregon counties set forth in I Article XI, Section 10, of the Oregon Constitution, and is contingent upon funds being appropriated therefore. In the event sufficient funds are not appropriated for the payment of consideration required to be paid under this Agreement, and if LPRD has no funds legally available for consideration from other sources, then either party may terminate this Agreement in accordance with Paragraph 4 of this Agreement. Any provisions herein which would conflict with law are deemed inoperative to that extent. 8. Partnership_ Neither party is, by virtue of this agreement, a partner or joint venturer in connection with activities carried out under this Agreement, and shall have no obligation with respect to the other party's debts or any other liability or obligation of the other party of whatever kind or nature , except as specifically provided herein. 1 DC 2013-256\¥ J Ii. 8.1. County's authorized representative for purposes of this Agreement shall be the Property and Facilities Department Director or the Director's designee. 8.2. lPRD's authorized representative for purposes of this Agreement shall be the Executive Director or the Executive Director's designee. 9. Indemnification and Hold Harmless. 9.1. To the extent permitted by the Oregon constitution, Article XI, section 10, and to the extent permitted by the Oregon Tort Claims Act, ORS 30.260 to 30.300, County shall defend, indemnify and save harmless lPRD and lPRD's elected officials, officers, agents and employees from and against any and all claims, lawsuits, or actions for damages, costs, losses, attorney fees and expenses, arising from County's torts, as the term "tort" is defined in ORS 30.260(8). 9.2. To the extent permitted by the Oregon constitution, Article XI, section 10, and to the extent permitted by the Oregon Tort Claims Act, ORS 30.260 to 30.300, lPRD shall defend, indemnify and save harmless County and County's elected officials, officers, agents and employees from and against any and all claims, lawsuits, or actions for damages, costs, losses, attorney fees and expenses, arising from lPRD's torts, as the term "tort" is defined in ORS 30.260(8). 10. County makes no representations as to the condition of the Property or its suitability for lPRD's use. lPRD acknowledges that it is accepting the Property As Is. Further, lPRD acknowledges that based upon lPRD's own inspection and investigation, lPRD is satisfied that the Property does not now contain any amounts of hazardous, toxic, radioactive or other substances for which a property owner or operator may be liable under state or federal environmental pollution or health and safety laws. lPRD's obligations, responsibilities and liabilities of this section are continuing obligations, I responsibilities and liabilities and shall not be extinguished by termination of this Agreement or merger with the deed or its recordation in the official records. 11. Attorney Fees. In the event an action, lawsuit or proceeding, including appeal therefrom, is brought for failure to fulfill or comply with any of the terms of this Agreement, each party shall be responsible for their own attorney fees, expenses, costs and disbursements for said action, lawsuit, proceeding or appeal.l 12. No Waiver of Claims. The failure by either party to enforce any provision of this Agreement shall not constitute a waiver by that party of that provision or of any other provision or provisions of thisI, Agreement. l J 13. Entire Agreement. This Agreement constitutes the entire agreement between the parties concerning the subject matter of this Agreement and supersedes any and all prior or contemporaneous negotiations or agreements among the parties, if any, whether written or oral, concerning the subject matter of this Agreement which are not fully expressed herein. This ~ DC 2013-256 Agreement may not be modified or amended except by a writing signed by all parties to this Agreement. DATED this __day of _____-', 2013. BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON ALAN UNGER, Chair ATIEST: TAMMY BANEY, Vice Chair Recording Secretary ANTHONY DEBONE, Commissioner DATED this l C; dayof_--'.M~AY~_----" 2013. LA PINE PARKS and RECREATION DISTRICT 6~~ [BOB SCHULZ, Directo , 1 DC 2013-256 Counterpart A Deschutes County LA PINE, OREGON LAND TRANSFER December 11. 2009 This map prepared at the request of Senator Wyden R 10 E R 11 E 28 27 _0,--... ' ··1 w*4 8 1:40,000 (when pIoned at e.5'x 11") 0.25 H 9 16 2 1 o 0.25 Mites 0.25 0 0.25 0.5 Kilometers 0.5 26 FINLEY REED 14 BUTrE 25 30 36 I 31 CITY 6 No _rranty 10 made by 1M Bur.au of Land Management as to the accuracy; reliability, compIe_ 01 ..... data for individual.or aggregate uaa with other data. Orig.... data were CIOIIlf)iIed ..om varioua aource.. This Information may not .....t NatJonal Map Aa:urecy Standards. Thla product _ dewIoped th~clgltal means and may be updated wtIhouI notifICation. 24 19 TT 2121 SS TT 2222 SS or R 10E R 11 E LEGEND • Administered LandPower Sub-Station ~ Bureau of Landa.:..:..:..:..I Federal Lands Proposed Managementfor Transfer U.S. Forest Service Transportation Private or Other --{@-Federal Highway Road EXHIBIT I x..;B-2§1, PROJECT COSTS -PARCEL A EXHIBIT B BlM Costs Project lead -realty responsibilities $ 12,500 Botanical Survey $ 552 Wildlife Survey $ 800 Range Survey $ 660 Deschutes County Costs FEE lot of Record Verification $ 920 FEE lot Line Adjustment $ 460 Survey & professional services lot Line Adjustment $ 7,043 TOTAL $ 22,935 DC 2013-256 REVIEWED EXHIBITC LEGAL COUNSEL PROMISSORY NOTE PARTIES: Promisor: THE LA PINE PARKS AND RECREATION DISTRICT Promisee: DESCHUTES COUNTY, a political subdivision of the State of Oregon Finance Department PO Box 6605 Bend, Oregon 97708-6005 ON DEMA Promisor ND, or if no demand is sooner delivered, then, on _(Insert three years) promises to pay to Promisee, or order, the maximum principal DOLLARS ($ s , um of .00) in lawful money of the United States of America. Unless otherwise directed by or on behalf of Promisee, all payment shall be addressed or delivered to the Deschutes County Finance Department, at the above address. The principal sum shall be payable to Deschutes County Treasurer, Finance Department, PO Box 6005, Bend, Oregon 97708-6005, or such other place as Promisee may designate, in consecutive annual installments of __________ DOLLARS ($ ), on the day of each year beginning _______ Such annual installments shall continue until the entire indebtedness evidenced by this Note is fully paid, except that any remaining indebtedness, if not sooner paid, shall be due and payable on (insert three years) ___, If any annual installment under this Note is not paid when due and remains unpaid after a date specified by a notice to Promisor, the entire principal amount outstanding and accrued interest thereon shall at once become due and payable at the option of Promisee. The date specified shall not be less than thirty days from the date such notice is mailed. Promisee may exercise this option to accelerate during any default by Promisor regardless of any prior forbearance. Promisor shall pay to Promisee a late charge of five per cent (5%) of any annual installment not received by Promisee within ten (10) days after the installment is due. Such late charge shall be paid on demand and Promisee may add such late charge to the principal balance of the Note. All or any portion of the indebtedness evidenced hereby may be prepaid at any time without penalty or surcharge of any kind or description. All persons liable either now or hereafter for payment of this Note severally waive presentment, demand for payment and notice of nonpayment. This Note shall be the joint and several obligation of all persons liable for payment of this Note, and shall be binding upon them and their successors and assigns. Any notice to Promisor provided for in this Note shall be given by mailing such notice by certified mail addressed to Promisor at the address set forth under Promisor's name, or to such other address as Promisor may designate by notice to Promisee. Any notice to Promisee shall be given by mailing such notice by certified mail, return receipt requested, to Promisee at the address set forth under Promisee's name, or at such other address as may have been 1 designated by notice to Promisor. This obligation is secured by a real estate Trust Deed, Deschutes County Document ____" with power of sale, of even date herewith, and is subject to all of the terms and conditions of such Trust Deed. If this Note is placed in the hands of an attorney, Promisor agrees to pay the reasonable fee and expenses of such attorney even though no suit or action is instituted or no sale of the property has been directed under the terms of the real estate Trust Deed securing this obligation. Such fees, expenses and costs may, at Promisee's option, be added to the principal balance of this Note. Failure to exercise any option to declare default or accelerate the balance due hereon shall not constitute a waiver of the right to exercise the same in the event of any subsequent default. Modification of the terms of payment of this Note made at the request of any person liable thereof shall not impair such person's liability or the liability of any other person now or hereafter liable for the payment hereof. Promisor acknowledges that based upon Promisor's own inspection and investigation, Promisor is satisfied that the premises identified in the Trust Deed do not now contain any amounts of hazardous, toxic, radioactive or other substances for which a property owner or operator may be liable under state or federal environmental pollution or health and safety laws. Accordingly, Promisor agrees that, as between Promisee and Promisor, Promisor will assume responsibility and liability and shall indemnify Promisee for any release or discharge of hazardous, toxic, radioactive or other dangerous substances regulated under state or federal pollution control laws found hereafter on, in or about the premises identified in the Trust Deed. PROMISOR: Date: ________ PROMISEE: DATED this __day of ________" 2013 BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON ALAN UNGER, Chair ATTEST: TAMMY BANEY, Vice Chair Recording Secretary ANTHONY DEBONE, Commissioner 2 __ ____________________________________ _ ------------------------------------------------------------------------------------------------------------------------------------ FORM No. 881 -TRUST DEED (Assignment Restricted). I) 1988-2003 STEVENS-NESS LAW PUBLISHING CO.• PORTLAND. OR www.s1evonsnesscom EA NO PART OF ANY STEVENS·NESS FORM MAY BE REPRODUCED IN ANY FORM OR BY ANY ELECTRONIC OR MECHANICAL MEANS. TRUST DEED ST~:;n~:o~~~~_~~_________________ } ss. I certify that the within instrument was __lh_~_.b~__~_~!.l!.._R~~~.:~__~_B:~_:~_':~_1:.~_~:'__P_~'::'1:.! ;ict received for recording on _________________________ ,PO Bnx 664 at ____________ o'clock _____ .M., and recorded in --lC;--p-i;;~-()ii--9-:77:39------------------------------ book/reel/volume No. __________ on page _________------------------Gmntor~-N;m;and~ddreas----------------- SPACE RESERVEDDeQnhute~ County and/ or as fee/file/instrument/microfilm/receptionFOR--l?O--B(;i:--6()O~-----------------------------------­ RECORDER'S USE No. Records of this County. --lB~~d--01i---9:77()8::6()O~------------------------- ----------------Ben8fiCian.fSNBme-and-Add~----------------Witness my hand and seal of County affixed. Altar recording, retum to (Name, Address, Zip): __.ne..<:.:'hut.e_~_..c.~1l!'..t.y__PJ:0-P.B_~t~-Ma~ag=".!!!=".n.t: --------NAii€---------------------rITLE-------------­ ~O_JB~_6JlO~ __ Jle..~dL_OJi ___9~7Jl8=:6JlO~_________________________ By _______________________________________ , Deputy. THIS TRUST DEED, made on ___________________________________________________________________________________ , between __~_~I1le__~_~~="_JPJi~~__6LJBJaCJ:eJitJLDll_.ni-~tJ:~t~~_____________________________________________________ , as (}ranto~ -_~_~~~jLlJL10Ji~P~S~Jl1Lt~S_JCCUJIltY--lJa~JJC0JlIl~~~~-~--------------_______________________________,asTrustee,and -_~_~D.e.s.c1m.t.~:'__.c..~u.nJ:..)l......-a-p.aJL1.:ti.r..a.l.-.auhdi"li.c;::i.~n.-.o.f--th~L-S-t.at..;L-D.L.a:!:'='...g..n..n..~~____________ , as Beneficiary, WITNESSETH: (}rantor irrevocably grants, bargains, sells and conveys to trustee, in trust, with power of sale, the property in ___________________________________ County, Oregon, described as: together with all and singular the tenements, hereditaments and appurtenances and all other rights thereunto belonging or in any way now or hereafter appertaining, and the rents, issues and profits thereof, and all fixtures now or hereafter attached to or used in con­ nection with the property. FOR THE PURPOSE OF SECURING PERFORMANCE of each agreement of grantor herein contained and payment of the sum of ____________________ _ Dollars, with interest thereon according to the tenns of a promissory note of even date herewith, payable to heneficiary or order and made by grantor, the fwal payment of principal and interest, if not sooner paid, to he due and payable on ________________________________________________. The date of maturity of the debt secured by this instrument is the date, stated above, on which the final installment of the note hecomes due and payable. Should the grantor either agree to, attempt to, or actually sell, convey, or assign all (or any part) of the property, or all (or any part) of grantor's interest in it without first obtaining the written consent or approval of the beneficiary, then, at the beneficiary's option*, all obligations secured by this instrument, irrespective of the matu­ rity dates expressed therein, or herein, shall become immediately due and payable. The execution by grantor of an earnest money agreement** does not constitute a sale, conveyance or assignment. To protect the security of this trust deed, grantor agrees: I. To protect, preserve and maintain the property in good condition and repair; not to remove or demolish any building or improvement thereon; and not to commit or pennit any waste of the property. 2. To complete or restore promptly and in good and habitable condition any building or improvement which may be constructed, damaged or destruyed there­ on, and pay when due all costs incurred therefor. 3. To comply with all laws, ordinances, regulations, covenants, conditions and restrictions affecting the property; if the beneficiary so requests, to join in exe­ cuting such financing statements pursuant to the Uniform Commercial Code as the beneficiary may require, and to pay for filing the same in the proper public office or offices, as well as the cost of all lien searches made by filing officers or searching agencies as may be deemed desirable by the beneficiary. 4. To provide and continuously maintain insurance on the buildings now or hereafter erected on the property against loss or damage by fire and other haz· ards, as the beneficiary may from time to time require, in an amount not less than $_____________________________________________, written by one or more . companies acceptable to the beneficiary, with loss payable to the latter. All policies of insurance shall be delivered to the beneficiary as soon as issued. If the grantor shall fail for any reason to procure any such insurance and to deliver the policies to the beneficiary at least fifteen days prior to the expiration of any policy of insur· ance now or hereafter placed on the buildings, the beneficiary may procure the same at grantor's expense. The amount collected under any fire or other insurance pol­ icy may be applied by beneficiary upon any indebtedness secured hereby and in such order as beneficiary may determine, or at option of beneficiary the entire amount so collected, or any part thereof, may be released to grantor. Such application or release shall not cure or waive any default or notice of default hereunder or invali­ date any act done pursuant to such notice. S. To keep the property free from construction liens and to pay all taxes, assessments and other charges that may be levied or assessed upon or against the property before any part of such taxes, assessments and other charges becomes past due or delinquent and promptly deliver receipts therefor to beneficiary. Should the grantor fail to make payment of any taxes, assessments, insurance premiums, liens or other charges payable by grantor, either by direct payment or by providing beneficiary with funds with which to make such payment, beneficiary may, at its option, make payment thereof, and the amount so paid, with interest at the rate set forth in the note secured hereby, together with the obligations described in paragraphs 6 and 7 of this trust deed, shall be added to and become a part of the debt secured by this trust deed, without waiver of any rights arising from breach of any of the covenants hereof. For such payments, with interest as aforesaid, the proper· ty hereinbefore described, as well as the grantor, shall be bound to the same extent that they are bound for the payment of the obligation herein described. All such payments shall be immediately due and payable without notice, and the nonpayment thereof shall, at the option of the beneficiary, render all sums secured by this trust deed immediately due and payable and shall constitute a breach of this trust deed. 6. To pay all costs, fees and expenses of this trust, including the cost of title search, as wen as the other costs and expenses of the trusree incurred in con· nection with or in enforcing this obligation, and trustee and attorney fees actually incurred. 7. To appear in and defend any action or proceeding purponing to affect the security rights or powers of beneficiary or trustee; and in any suit, action or pro­ ceeding in which the beneficiary or trustee may appear, including any suit for the foreclosure of this deed or any suit or action related to this instrument, including but not limited to its validity and/or enforceability, to pay all costs and expenses, including evidence of title and the beneficiary's or trustee's attorney fees. The amount of attorney fees mentioned in this paragraph in all cases shall be fixed by the trial court, and in the event of an appeal from any judgment or decree of the trial court, grantor further agrees to pay such sum as the appellate court shall adjudge reasonable as the beneficiary's or trustee's attorney fees on such appeal. It is mutually agreed that: 8. In the event that any ponion or all of the property shall be taken under the right of eminent domain or condemnation, beneficiary shall have the right, if it so elects, to require that all or any portion of the monies payable as compensation for such taking which are in excess of the amount required to pay all reasonable costs, expenses and attorney fees necessarily paid or incurred by grantor in such proceedings, shall be paid to beneficiary and applied by it first upon any reasonable costs and expenses and attorney fees, both in the trial and appellate courts, necessarily paid or incurred by beneficiary in such proceedings, and the balanc~ applied upon the indebtedness secured hereby. Grantor agrees, at its own expense, to take such actions and execute such instruments as shall be necessary in obtaining such compensation promptly upon beneficiary's request. NOT!:: The TruB! Daad Act providas that the trustee hereunder muB! be althar an attorney who is an active member of the Oragon St818 Bar, a bank, truB! company or savings and loan 8IIIIOCiBlion aulhorlzad to do business undar the laws of Oregon or the United Statas, a title Insurance company authorized to Insure title to raal property of this BIata, Ita subsidiaries, affiliates, agants or branches, the United St8188 or an~ agency thereof, or an eacr_ agent licensed under ORS 696.505 to S96.585. 'WARNlNG: 12 USC 17011-3 ragulatas and may prohibit 8Xarclse of this option. , 'lbe publisher euggesta that such an agreement address the issue of obtaining beneficiary's consent in complete datail. I 9. At any time, and from time to time upon written request of beneficiary, payment of its fees and presentation of this deed and the note for endorsement (in case of full reconveyances, for cancellation), without affecting the liability of any person for the payment of the indebtedness, trustee may (a) consent to the making of any map o.r plat of the property; (b) join in granting any easement or creating any restriction thereon; (c) join in any subordination or other agreement affecting this deed or the lien or charge thereof; or (d) reconvey, without warranty, all or any part of the property. The grantee in any reconveyance may be described as the "per­ son or persons legally entitled thereto," and the recitals therein of any matters or facts shall be conclusive proof of the truthfulness thereof. Trustee fees for any of the services mentioned in this paragraph shall be not less than $5. 10. Upon any default by grantor hereunder, beneficiary may, at any time without notice. either in person, by agent. or by a receiver to be appointed by a court, and without regacd to the adequacy of any security for the indebtedness hereby secured, enter upon and take possession of the property or any fart thereof, in its own name sue or otherwise collect the rents, issues and profits, including those past due and unpaid, and apply the same, less costs and expenses 0 operation and collec­ tion, including reasonable attorney fees, upon any indebtedness secured hereby, and in such order as beneficiary may determine. 11. The entering upon and taking possession of the property, the collection of such rents, issues and profits, or the proceeds of fire and other insurance poli­ cies or compensation or awards for any taking or damage of the property, and the application or release thereof as aforesaid, shall not cure or waive any default or notice of default hereunder, or invalidate any act done pursuant to such notice. 12. Upon default by grantor in payment of any indebtedness secured hereby or in grantor's performance of any agreement hereunder, time being of the essence with respect to such payment andlor performance, the beneficiary may declare all sums secured hereby immediately due and payable. In such event, the beneficiary may elect to proceed to foreclose this trust deed in equity as a mortgage or direct the trustee to foreclose this trust deed by advertisement and sale, or may direct the trustee to pursue any other right or remedy, either at law or in equity, which the beneficiary may have. In the event the beneficiary elects to foreclose by advertise­ ment and sale, the beneficiary or the trustee shall execute and cause to be recorded a written notice of default and election to sell the property to satisfy the obliga­ tion secured hereby whereupon the trustee shall fix the time and place of sale, give notice thereof as then required by law and proceed to foreclose this trust deed in the manner provided in ORS 86.735 to 86.795. 13. After the trustee has commenced foreclosure by advertisement and sale. and at any time prior to 5 days before the date the trustee conducts the sale, the grantor or any other person so privileged by ORS 86.753 may cure the default or defaults. If the default consists of a failure to pay, when due, sums secured by the trust deed, the default may be cured by paying the entire amount due at the time of the cure other than such portion as would not then be due had no default occurred. Any other default that is capable of being cured may be cured by tendering the performance required under the obligation or trust deed. In any case, in addition to curing the default or defaults, the person effecting the cure shall pay to the beneficiary all costs and expenses actoally inc.urred in enforcing the obligation of the trust deed, together with trustee and attorney fees not exceeding the amounts provided by law. 14. Otherwise, the sale shall be held on the date and at the time and place designated in the notice of sale or the time to which the sale may be postponed as provided by law. The trustee may sell the property either in one parcel or in separate parcels and shall sell the parcel or parcels at auction to the highest bidder for cash, payable at the time of sale. Trustee shall deliver to the purchaser its deed in fornl as required by law conveying the property so sold. but without any covenant or warranty, express or implied. The recitals in the deed of any matters of fact shall be conclusive proof of the truthfulness thereof. Any person, excluding the trustee, but including the grantor and beneficiary, may purchase at the sale. 15. When trustee sells pursuant to the powers provided herein, trustee shall apply the proceeds of sale to payment of: (l) the expenses of sale, including the compensation of the trustee and a reasonable charge by trustee's attorney; (2) to the obligation secured by the trust deed; (3) to all persons having recorded liens sub­ sequent to the interest of the trustee in the trust deed as their interests may appear in the order of their priority; and (4) the surplus, if any, to the grantor, or to any successor in interest entitled to such surplus. 16. Beneficiary may, from time to time. appoint a successor or successors to any trustee named herein or to any successor trustee appointed hereunder. Upon such appointment, and without conveyance to the successor trustee, the latter shall be vested with all title, powers and duties conferred upon any trustee herein named or appointed hereunder. Each such appointment and substitution shall be made by written instrument executed by beneficiary, which, when recorded in the mortgage records of the county or counties in which the property is situated, shall be conclusive proof of proper appointment of the successor trustee. 17. Trustee accepts this trust when this deed, duly executed and acknowledged, is made a public record as provided by law. Trustee is not obligated to notify any party hereto of pending sale under any other deed of trust or of any action or proceeding in which grantor, beneficiary or trustee shall be a party unless such action or proceeding is brought by trustee. The grantor covenants to and agrees with the beneficiary and the beneficiary's successors in interest that the grantor is lawfully seized in fee simple of the real property and has a valid, unencumhered title thereto, except as may be sel forth in any addendum or exhibit attached hereto, and that the grantor will warrant and for­ ever defend the same against all persons whomsoever. WARNING: Unless grantor provides beneficiary with evidence of insurance coverage as required by the contract or loan agree­ ment between them, beneficiary may purchase insurance at grantor's expense to protect beneficiary's interest. This insurance may, but need not, also protect grantor's interest. If the collateral becomes damaged, the coverage purchased by beneficiary may not pay any claim made by or against grantor. Grantor may later cancel the coverage by providing evidence that grantor has obtained prop­ erty coverage elsewhere. Grantor is responsible for the cost of any insurance coverage purchased by beneficiary, which cost may be added to grantor's contract or loan balance. If it is so added, the interest rate on the underlying contract or loan will apply to it. The effective date of coverage may be the date grantor's prior coverage lapsed or the date grantor failed to provide proof of coverage. The coverage beneficiary purchases may be considerably more expensive than insurance grantor might otherwise obtain alone and may not satisfy any need for property damage coverage or any mandatory liability insurance requirements imposed by applicable law. The grantor warrants that the proceeds of the loan represented by the above described note and this trust deed are (choose one):* (a) primarily for grantor's personal, family or household purposes (see Important Notice below). (b) for an organization, or (even if grantor is a natural person) are for business or commercial purposes. This deed applies to, inures to the benefit of, and binds all parties hereto, their heirs, legatees, devisees, administrators, executors. personal representatives, successors and assigns. The term beneficiary shall mean the holder and owner, including pledgee, of the contract secured hereby, whether or not Danled as a benefi­ ciary herein. In construing this trust deed, it is understood that the grantor, trustee andlor beneficiary may each be more than one person; that if the context so requires, the singular shall be taken to mean and include the plural, and that generally all graJl1ffialical changes shall be made, assumed and implied to make the provisions here­ of apply equally to corporations and to individuals. IN WI1NESS WHEREOF, the grantor has executed this instrument the day and year first written above. "IMPORTANT NOTICE: Delete, by lining out. whichever warranty (a) or (b) Is Inapplicable. If warranty (a) Is applicable and the beneficiary Is a creditor as such word Is defined In the Truth-In-Lending Act and Regulation Z. the beneficiary MUST comply with the Act and Regulation by maklnp required disclosures. If compliance with the Act is not required, disregard this notice. STATE OF OREGON, County of ___________________________________ ) ss. This instrument was acknowledged before me on _______________________________________________ , ! by _____________________________________________________________________________________________________. This instrument was acknowledged before me on _______________________________________________, by ______________________________________________________________________________________________________ as ______________________________________________________________________________________________________ of _____________________________________________________________________________________________________. Notary Public for Oregon My commission expires _________________________________________ REQUEST FOR FULL RECONVEYANCE (To be used only when obligations have been paid.) TO: ______________________________________________________ , Trustee The undersigned is the legal owner and holder of all indebtedness secured by the foregoing trust deed. All sums secured by the trust deed have been fully paid and satisfied. You hereby are directed, on payment to you of any sums owing to you under the terms of the trust deed or pursuant to statute, to cancel all evidences of indebtedness secured by the trust deed (which are delivered to you herewith together with the trust deed) and to reconvey, without warranty, to the parties desig­ nated by the terms of the trust deed, the estate now held by you under the same. Mail the reconveyance and documents to ____________________________________ DJl.11ED _____________________________________________________~. Do not lose or destroy this Trust Deed OR THE NOTE which it secures. BeneficiaryBoth should be delivered to the trustee for cancellation before reconveyance is made. I