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HomeMy WebLinkAboutDoc 048 - MOA - State Lands - So Redmond TractDeschutes County Board of Commissioners 1300 NW Wall St., Suite 200, Bend, OR 97701-1960 (541) 388-6570 - Fax (541) 385-3202 - www.deschutes.or#, AGENDA REQUEST & STAFF REPORT For Board Business Meeting of January 20, 2010 Please see directions for completing this document on the next page. DATE: January 12, 2010 FROM: Dave Kanner Admin. ext. 6565 TITLE OF AGENDA ITEM: Authorization of County Administrator signature of document no. 2010-048, a Memorandum of Agreement Between the Oregon Department of State Lands and Deschutes County Pertaining to Cooperative Planning for Development of the South Redmond Tract. PUBLIC HEARING ON THIS DATE? No BACKGROUND AND POLICY IMPLICATIONS: The Department of State Lands owns a 945 -acre parcel immediately south of the Fair and Expo C nter. We have been negotiating with the DSL to acquire up to a 238 -acre portion of that property. The County has no immediate plans for whatever land we might acquire, other than to ensure there's buffer between the fairgrounds and any other uses that might be approved on the DSL property. 'he DSL, however, would like to bring its holdings into the Redmond urban growth boundary and relone the property for large -lot heavy industrial development. Toward that end, the DSL and the County have jointly applied for and received a grant from the Department of Land Conservation and Development to conduct an economic opportunity analysi 3 in the tri -County Central Oregon region. The assumption is that an EOA will demonstrate the need for large - lot industrial property which could then be used to justify a special exception UGB expansion in Redmond. Last summer I was approached by John Lilly, DSL asset manager for Central Oregon, with the idea of having the DSL and the County enter into a memorandum of agreement on how our two agencies would proceed with the EOA, petition the city for UGB expansion and then support future industrial development on the property. An MOA is, of course, not binding on either party, but it is useful in clarifying mutual expectations and avoiding surprises. I also don't see much point in entering into this MOA until we know for certain that we've been awarded the EOA grant. The DLCD's schedule for announcing grant awards is uncertain. In general, the MOA states that the DSL and the County shall: -Work cooperatively on the EOA; - Jointly petition the City of Redmond for a UGB expansion (if justified by the EOA) and share proportionally in the cost of doing so; - Jointly petition the city for annexation of the property if the UGB is expanded; - Cooperate on the 19th Street extension through the DSL property; and - Have DSL pay its fair share of infrastructure improvement if their property is brought into the city. FISCAL IMPLICATIONS: None RECOMMENDATION & ACTION REQUESTED: Authorize County Administrator signature of Document No. 2010-048. ATTENDANCE: Dave Kanner DISTRIBUTION OF DOCUMENTS: Dave Kanner John Lilly Oregon Department of State Lands 775 Summer St. NE Ste. 100 Salem, OR 97301-1279 DESCHUTES COUNTY DOCUMENT SUMMARY (NOTE: This form 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 Form is also required. If this form 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 form with your documents, please submit this form electronically to the Board Secretary.) Date: 1/11/10 Please complete all sections above the Official Review line. Department: Contractor/Supplier/Consultant Name: Contractor Contact: John Lilly Admin Oregon Dept. of State Lands Contractor Phone #: Type of Document: Memorandum of Agreement 503-378-3805 Goods and/or Services: Details cooperative arrangement between Deschutes County and DSL regarding south Redmond tract Background & History: County and DSL will participate in a study to determine unmet regional need for industrical land and then cooperate on a potential urban growth boundary expansion in Redmond for the south Redmond tract, if justified by the economic opportunity analysis. Agreement is non-binding. Agreement Starting Date: 1/20/10 Ending Date: Annual Value or Total Payment: $0 fl Insurance Certificate Received check box) Insurance Expiration Date: [1 1/20/12 Check all that apply: �l RFP, Solicitation or Bid Process ❑ Informal quotes (<$150K) Exempt from RFP, Solicitation or Bid Process (specify — see DCC §2.37) Funding Source: (Included in current budget? ® Yes No If No, has budget amendment been submitted? ❑ Yes [l No Is this a Grant Agreement providing revenue to the County? = 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 :hat it is a grant -funded position so that this will be noted in the offer letter: J Yes D No 1/11 2010 Contact information for the person responsible for grant compliance: Name: Phone #: Departmental Contact and Title: Dave Kanngr Phone #: xt. 6565 Department Director Approval: Signature Date Distribution of Document: John Lilly, Dept. of State Lands, 775 Summer St. NE, Ste. 100, Salem, OR 97301-1279 Central contract file. Official Review: County Signature Required (check one): ❑ BOCC ❑ Department Director (if <$25K) ® Administrator (if >$25K by1 <$150K; if >$150K, BOCC Order No. Legal Review Document Number DC 2O'10 -0i,8 Date /- 1! - (6 1/1/2010 MEMORANDUM OF AGREEMENT Between THE OREGON DEPARTMENT OF STATE LANDS and DESCHUTES COUNTY pertaining to COOPERATIVE PLANNING FOR DEVELOPMENT OF THE SOUTH REDMOND TRACT January 20, 2010 The Oregon Department of State Lands (DSL) owns and manages the South Redmond Tract (SRT), a 945 -acre tract of vacant Common School Fund (CSF) land due south of the Deschutes County Fairgrounds and Expo Center and east of the Redmond Juniper Golf Course. Although currently outside of the Redmond Utban Growth Boundary (UGB) and Redmond City Limiis (CL), the SRT is immediately adjacent and contiguous to both the Redmond CL and UGB alonc the north and west property lines. In January 2009, DSL and Deschutes County (the County) entered into an agreement to transfer up to 238 -acres of the SRT to the County via land exchange. It is the mutual intention of both DSL and the County to: 1. To conduct and actively participate in a Regional Economic Opportunities Analyses (EOA) for large -lot industrial land needs in order to establish and document whether there is an unmet regional land need; 2. If justified by the findings and conclusions of the Regional EOA, petition the City )f Redmond to expand its UGB and city limits to include the SRT; 3. Support future large -lot industrial development and supporting uses throughout Central Oregon and especially in Deschutes County; and 4. Support the on-going and future (expanded) operations of the Deschutes County Fairgrounds and Expo Center DSL/Deschutes County Memorandum of Agreement, 1/20/10 LEGAL CONS Page 1 of 5 DC 201() • 0 h.P PURPOSE In order to further the intentions of DSL and the County regarding the UGB inclusion, annexation, infrastructure improvement and industrial development of the SRT, this Memorandum of Agreement (MOA) seeks to: • Promote collaboration, coordination and open communication; • Coordinate individual efforts and reduce duplication of effort; • Promote efficiency; • Control or reduce project costs; • Promote understanding, reduce potential conflicts and eliminate surprises; • Provide enhanced certainty regarding process and desired outcomes; and • Take advantage of combined knowledge, skills and experience of agency staff SCOPE This MOA outlines the roles and responsibilities, project sequencing and timing, and cost sharing regarding the following SRT -related initiatives and projects: a.) Regional Economic Opportunities Analysis (EOA) for large -lot industrial uses • The County has been awarded a Technical Assistance (TA) grant fro n the Department of Land Conservation and Development (DLCD) to fund the completion of the remaining work plan elements of the Regional EOA for large -lot industrial uses. • DSL has committed to assist the County in the administration of this DLCD TA Grant if requested by the County. Such administrative support may include but is not limited to: working with and/or managing consultants, financial reporting, organizing and participatilg in project meetings and presentations, reviewing consultant work products, providing project updates and progress reports, working vt ith project participants. b.) Urban Growth Boundary (UGB) expansion to include the SRT • DSL and the County agree to petition the City of Redmond to includ the SRT into the Redmond UGB (as supported by the findings and conclusions of the Regional EOA) and request the SRT be designa°ed for industrial and supporting uses. DSL/Deschutes County Memorandum of Agreement, 1/20/10 Page 2 of 5 • DSL and the County agree to cost share in the UGB petition costs (including in-kind planning service contributions) in proportions equivalent to their respective land ownership of the SRT. • In the event that the Regional EOA concludes that there is not an unmet regional land need for large lot industrial sites, then this section of the MOA is suspended. c.) Annexation of the SRT into Redmond and urban zoning assignment • In the event that the Regional EOA concludes that there is not an unmet regional land need for Targe lot industrial sites, then this section of the MOA is suspended. • Upon being added to the Redmond UGB, DSL and the County agree to petition for the SRT to be annexed into the City of Redmond and zoned for industrial and supporting uses. • DSL and the County agree to cost share in the annexation petition costs (including in-kind planning service contributions) in proportions equivalent to their respective land ownership of the SRT. d.) Land Entitlement Activities • DSL and the County agree to pursue City of Redmond land use entitlement/planning approvals for their respective land ownership individually and unilaterally. However, both parties agree to communicate freely and frequently as to their respective plans. • DSL and the County agree not to pursue SRT land use approvals or take any actions at the SRT that would be contrary or detrimental to t �e large -lot industrial and supporting uses development plans for the SF T as articulated and described in the October 2008 State Land Board approved South Redmond Tract Land Use and Management Plan. e.) 19th Street Extension Design and Right of Way (ROW) on DSL property DOJ/AG rulings have established that CSF assets (including R -O -W and easements) cannot be given away without appropriate compensation unlet s required as part of conditions of a land use approval. This is the historic an current practice that is routinely and consistently implemented with state agencies (ODOT, Parks, ODFW, ODOF, etc.) and local governments (cities & counties) regarding conveying rights -of -ways and easements on CSF assets. • DSL agrees to allow the County full access to the SRT for purpose:, of conducting preliminary design and reconnaissance work associated with the location and design of the 19th Street Extension. DSL/Deschutes County Memorandum of Agreement, 1/20/10 Page 3 of 5 • The County agrees to design the southward extension of 19th Street through the SRT according to design principles that readily permit and support the future transition to full City of Redmond urban design standards including PEAK CAPACITY DESIGN needed to support existing and future County facility activities and the proposed large lot industrial development and supporting uses on the SRT. DSL will credit the County for full build -out, Redmond city standard street engineering and design work that is above and beyond that needed to construct the proposed 19th Street county road. • The County agrees to apply to and acquire from DSL sufficient ROW on the SRT to accommodate the planned, County -standard 19th Street extension. • DSL agrees to promptly process the County's application [and issue a permit] for the ROW in accordance with (its] administrative rules (OAR 141-122) governing the processing and issuance of easements for ROW's such as the 19th Street extension. DSL will not unreasonably withhold approval of the easement application. • DSL will dedicate the ROW (without cost) if required by the City of Redmond or the County as a condition of a local land use approval or development permit. Otherwise DSL will require a cash or non-cash compensatory payment for the ROW in accordance with OAR 141-122. The value of the payment will be based on the appraised fair market value of the ROW. • If the County prefers a non-cash compensatory payment, DSL will make every reasonable effort to substitute a non-cash compensator payment for a cash payment. The terms of the non-cash compensatory payment will be negotiated by the parties and established by agreement. If, after a reasonable time following submittal of the County's ROW application, an agreement is not reached, a cash payment will be required. f) Infrastructure Cost Sharing Provided that the SRT becomes included in the Redmond UGB and receiti es an urban zoning assignment, DSL will work (in good faith) with the approp late local jurisdiction to determine the extent of its financial participation in infrastructure design, installation, improvement or enhancement based on the direct proportionality of the impacts attributable to urban development of DSL's SRT lands. It is important to note that urban infrastructure improvements on and through the SRT are of no direct value to the SRT, the Common School Fund (CSF) or DSL if the SRT remains outside of the Redmond UGB in Agriculture/EFU designation and zoning. There is no no:xus or rationale for the CSF/DSL to participate in infrastructure enhancement ; or improvements if the current EFU zoning assignment remains. With the ct rrent SRT EFU zoning, urban uses requiring urban infrastructure and services are DSL/Deschutes County Memorandum of Agreement, 1/20/10 Page 4 of 5 not permitted and thus there is no reason, rationale or basis for DSL to participate in such improvements. Modification or Termination This Agreement may be modified with agreement of both parties or terminated by either party with 30 days written notice to the other party. Expenditure of Funds Nothing in this Memorandum of Agreement shall be construed as obligating the County or DSL to expend funds or involve either party in contract or other obligation for the future payment of money in excess of appropriations authorized by law and administratively available for this work. OREGON DEPARTMENT OF DESCHUTES COUNTY STATE LANDS Louise Solliday, Director date Dave Kanner, County Administrator date DSL/Deschutes County Memorandum of Agreement, 1/20/10 Page 5 of 5