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2011-020133 Washington County, Oregon 2011-020133 03/11/2011 10:01 :44 AM D -M Cntn1 Stn =7 K GRUNEWALD $66.00 $5.00 $11.00 $16.00 - Total ■ $88.00 1 Nil 11 1111 1 111111 1111111 1111 AFTER RECORDING RETURN TO: 01580819201100201330110112 1, Richard Hobernlcht, Director of Assessment and �,Fra aG City of Tigard Taxation and Ex- Officio County Clerk for Washington ti ;;may . 13 125 SW Hall Blvd County, Oregon, do hereby certify that the within f-, - , , r - instrument of writing was received a d re orded In the �" " ? Tigard OR 97223 book of records of sold coU , Richard Hobernlcht, Director of Assessment and' Taxation, Ex- Offlclo County Clerk NO CHANGE IN TAX STATEMENTS This sate is reserved or recorder's use. SERVICE CONNECTION DEED OF TRUST THIS DEED OF TRUST, made this 25th day of February 2011, between Ellen G. Schun, with an address of 11900 SW James Court, Tigard, Oregon, as Grantor, Jeff Bennett, attorney, a Vice President of the Jordan Schrader Ramis, PC, having its office at Two Centerpointe Drive 6 Floor, Lake Oswego, Oregon, as Trustee, and the City of Tigard, an Oregon Municipal Corporation, with an address of 13125 SW Hall Boulevard, Tigard, OR 97223, as Beneficiary. Grantor hereby grants, bargains, sells, and conveys to Trustee in trust, with power of sale, the property in Washington County, Oregon, described as follows: Lot 4, TRAVPORT PARK, in the City of Tigard, Washington County, Oregon, (the "Property "), together with all rights, privileges, permits, licenses, tenements, hereditaments, rights -of -way, easements and appurtenances of the land, and all right, title and interest of Grantor in and to any streets, ways, alleys or strips adjoining the Property or any part thereof, and all other rights thereunto belonging or in any way now or hereafter appertaining, and the rents, issues, and profits thereof. Grantor owns the Property which is improved with a residential structure existing at the time the reimbursement district was finalized, the septic system serving the structure has failed, the Grantor is in financial hardship, and Grantor desires to connect that structure to the sewer system. Grantor has voluntarily applied to Beneficiary to connect to the public sewerage system, By its duly adopted resolutions, Beneficiary has sponsored and Page 1 - SERVICE CONNECTION DEED OF TRUST finalized a sewer reimbursement district that has extended sewer service to the Property. By finalizing the reimbursement district, the Beneficiary has imposed a sewer reimbursement fee. As a condition of connecting a structure to the sewer system, the Beneficiary has also imposed a sewer system development charge. The total sewer reimbursement fee and system development charge is $16,912.00, for the privilege of connecting the Property to the Beneficiary's sewerage system. Grantor desires to make payments of the sewer reimbursement district fees and system development charge over an extended period of time and the Beneficiary has agreed to such payment plan. FOR THE PURPOSE OF SECURING PERFORMANCE of each agreement of Grantor herein and payment of the sum of $16,912.00 as described above, with accrued and compounded interest thereon according to the terms of a promissory note of even date herewith, payable to Beneficiary and made by Grantor, the final payment of principal and interest, if not sooner paid, to be due and payable on the first day of January 2031, or when the property is conveyed to any other party, whichever first occurs. The date of maturity of the debt secured by this instrument is the date, stated above, on which the final installment of the note becomes due and payable. 1. Grantor agrees to pay to Beneficiary sewer reimbursement fees plus the system development charge which totals $16,912.00 in not less than twenty (20) equal installments of $1,501.30, including interest, each on the first day of January and July of each year, with the first payment being due on the first day of July 2021. Interest on the unpaid principal balance shall be accrued and compounded semi - annually through December 31, 2020, as more specifically set forth in the note. Payments received shall be applied first to accrued interest and then to principal. 2. Grantor agrees 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 permit any waste or cause diminution of the value of the Property. Beneficiary shall have the right directly or through agents, to inspect the Property at all reasonable times with or without prior notice to Grantor. 3. Grantor agrees to complete or restore promptly and in good and habitable condition any building or improvement which may be constructed, damaged, or destroyed thereon, and pay all costs incurred in such construction or reconstruction when due. 4. Grantor agrees to comply with all laws, ordinances, regulations, covenants, conditions, and restrictions affecting the Property; if the Beneficiary so requests, to join in executing such financing statements pursuant to the Uniform Commercial Code as the Beneficiary may require and to pay for filing 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. Page 2 - SERVICE CONNECTION DEED OF TRUST 5. Grantor agrees 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 become past due or delinquent and promptly deliver receipts therefor to Beneficiary; should the Grantor fail to make payment of any taxes, assessments, 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 below, shall be added to and become a part of the debt secured by this Deed of Trust, without waiver of any rights arising from breach of any of the covenants hereof and for such payments, with interest as aforesaid, the Property herein before 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, and 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 Deed of Trust immediately due and payable and constitute a breach of this Deed of Trust. 6. Grantor agrees to pay all costs, fees, and expenses of this Deed of Trust including the cost of title search as well as the other costs and expenses of the Trustee incurred in connection with or in enforcing this obligation and Trustee's fees and attorney fees actually incurred. 7. Grantor agrees to appear in and defend any action or proceeding purporting to affect the security rights or powers of Beneficiary or Trustee; and in any suit, action, or proceeding in which the Beneficiary or Trustee may appear, including any suit for the foreclosure of this Deed of Trust 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 7 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 at the appellate court shall adjudge reasonable as the Beneficiary's or trustee's attorney fees on such appeal. 8. Grantor agrees to keep this Property and all buildings now or hereafter erected on the Property insured against loss or damage by fire and other hazards, as the Beneficiary may from time to time require, in an amount not less than $25,000.00, written by one or more companies acceptable to the Beneficiary, with loss payable to the latter. Grantor shall further ensure that all policies of insurance required hereunder provide not less than thirty (30) days' prior written notice to Beneficiary of any cancellation or material change in terms of any required policies. 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 (15) days prior to the expiration of any policy of insurance now or hereafter placed on the buildings, the Beneficiary may procure the same at Grantor's expense. The amount collected under any Page 3 - SERVICE CONNECTION DEED OF TRUST fire or other insurance policy 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 invalidate any act done pursuant to such notice. 9. Grantor further agrees that each of the following shall be an event of default hereunder: 9.1 Failure to Pay. The failure of the Grantor to make any payment to Beneficiary as and when due. Beneficiary shall provide Grantor with ten (10) days' written notice of default, but not more than two (2) such notices need be sent during any twelve (12) -month period. 9.2 Other Defaults. Failure of Grantor to observe or perform any other obligations under this Deed of Trust, other than as specified in Section 9.1 above, within ten (10) days after notice from Beneficiary specifying the nature of the deficiency. No notice of default and opportunity to cure shall be required if during the prior twelve (12) months Beneficiary has already sent a notice to Grantor concerning a failure to pay or a deficiency in performance of the same obligation. 9.3 Insolvency. The insolvency of Grantor; abandonment of the Property, or any parcel or portion thereof; an assignment by Grantor for the benefit of creditors; the filing by Grantor of a voluntary petition in bankruptcy or an adjudication that Grantor is bankrupt; the appointment of a receiver for the property of Grantor; or the filing of an involuntary petition in bankruptcy and the failure of Grantor to secure the dismissal of the petition within thirty (30) days after filing. 9.4 Transfer. The sale, conveyance, transfer or other disposition of the Property, or any part thereof, or any interest therein, including the transfer of possessory rights therein, directly or indirectly, either voluntarily, involuntarily or by operation of law, by contract, deed or otherwise, without Beneficiary's prior written consent, which consent shall not be unreasonably withheld. The Beneficiary may attach such conditions to its consent as Beneficiary may determine in its sole discretion, including without limitation, an increase in the interest rate or the payment of transfer or assumption fees and the payment of administrative and legal fees and costs incurred by Beneficiary. 9.5 The default by Grantor under any superior encumbrance to this Deed of Trust. Any event of default under this Section 9 shall apply and refer to Grantor, any guarantor of Grantor's obligations to Beneficiary, and to each of the individuals or entities which are collectively referred to as "Grantor." Page 4 - SERVICE CONNECTION DEED OF TRUST IT IS MUTUALLY AGREED among the parties that: 10. In the event that all or any portion of the Property shall be taken under the right of eminent domain or condemnation, Beneficiary shall have the right, at its option, 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 balance applied upon the indebtedness secured hereby; and 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. 11. Upon written request of Beneficiary, at any time and from time to time, and upon payment of its fees and presentation of this Deed of Trust 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 or 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 of Trust or the lien or charge thereof; (d) reconvey, without warranty, all or any part of the Property. The Grantee in any reconveyance may be described as the "person or persons legally entitled thereto," and the recitals therein of any matters or facts shall be conclusive proof of the truthfulness thereof. Trustee's fees for any of the services mentioned in this paragraph shall be not less than $5.00. 12. Upon any default by Grantor hereunder, Beneficiary may at any time without notice and ex parte, either in person, by agent, or by a receiver to be appointed by a court, and without regard to the adequacy of any security for the indebtedness hereby secured, enter upon and take possession of the Property or any part 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 of operation and collection, including reasonable attorney fees upon any indebtedness secured hereby, and in such order as Beneficiary may determine. Any receiver appointed may serve without bond. Beneficiary shall not be disqualified to serve as receiver. The expense of the receivership (including counsel fees and other costs) shall be secured by this Deed of Trust. 13. The entering upon and taking possession of the Property, the collection of such rents, issues and profits or compensation or awards for any taking 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. 14. The Beneficiary may declare all sums secured hereby immediately due and payable, 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 and /or performance. In such an event, the Beneficiary may elect to Page 5 - SERVICE CONNECTION DEED OF TRUST proceed to foreclose this Deed of Trust in equity as a mortgage or direct the Trustee to foreclose this Deed of Trust 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 advertisement 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 obligation secured hereby whereupon the Trustee shall fix the time and place of sale, give notice thereof as required by law, and proceed to foreclose this Deed of Trust in the manner provided in ORS 86.735 to 86.795. 15. After the Trustee has commenced foreclosure by advertisement and sale, and at any time prior to five (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 Deed of Trust, 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 Deed of Trust. In any case, in addition to curing the default or defaults, the person making the cure shall pay all costs and expenses actually incurred by the Beneficiary enforcing the obligation of the Deed of Trust together with Trustee's fees and attorney fees not exceeding the amounts provided by law. 16. If the default is not so cured, 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 the form 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. 17. When Trustee sells pursuant to the powers provided herein, Trustee shall apply the proceeds of sale to payment of (1) 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 Deed of Trust, (3) to all persons having recorded liens subsequent to the interest of the Trustee in the Deed of Trust 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 thereto. 18. 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 Successor Trustee 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 Page 6 - SERVICE CONNECTION DEED OF TRUST county or counties in which the Property is located, shall be proof of proper appointment of the successor trustee. 19. Trustee accepts this trust when this Deed of Trust, duly executed and acknowledged, is recorded and 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 and agrees to and with the Beneficiary and the Beneficiary's successor in interest that the Grantor is lawfully seized in fee simple of the real Property and has a valid, unencumbered title thereto, except as may be set forth in an addendum or exhibit attached hereto, and that the Grantor will warrant and forever defend the same against all persons whomsoever. This Deed of Trust applies to, inures to the benefit of, and shall bind 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 named as a Beneficiary herein. IN WITNESS WHEREOF, the Grantor has executed this instrument on the day and year first above written. GRANTOR: V Ellen Schun STATE OF OREGON } ,� 4 ,(\ ) ss. County of /ails Lv } This instrument was acknowledged before me on this 1 5` day of !' ' 1 , 2011, by Ellen G. Schun. rr . OFFICIAL s NOTARY PUBLIIOR OREGON JJ ^ •; " DIANE AA JELDERK My Commission pares: ! ( f f( I / :..' NOTARY PUBUGOREGON / F ^sa GOMMI SSION NO. 423 siY COM MISSION EXP IRES NOV 1 8 , 2 11 ) Page 7 - SERVICE CONNECTION DEED OF TRUST 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 Deed of Trust. All sums secured by the Deed of Trust 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 Deed of Trust or pursuant to statute, to cancel all evidences of indebtedness secured by the Deed of Trust (which are delivered to you herewith together with the Deed of Trust) and to reconvey, without warranty, to the parties designated by the terms of the Deed of Trust the estate now held by you under the same. Mail reconveyance and documents to: DATED: , 20 Beneficiary Page 8 - SERVICE CONNECTION DEED OF TRUST PROMISSORY NOTE �/ 7 l r -o"( , Oregon �ebruary 2.r , 2 011 FOR VALUE RECEIVED, the undersigned promises to pay in lawful money of the United States to the order of the City of Tigard the original principal sum of $1 6,912.00, together with interest as provided below, in semi- annual installments. The unpaid balance of the principal amount stated above shall bear interest at the rate of 3.82% per annum from the date of this Note until fully paid; interest shall accrue, be compounded semi - annually and be added to the principal balance, commencing July 1, 2011 and continuing through December 31, 2020. The adjusted principal balance of this Note as of each such date is set forth as Exhibit A attached hereto and incorporated herein. Thereafter, interest shall be paid semi - annually on the principal balance then due on or before the first day of each July and January commencing with July 2021. The dates of required payments and the amounts of principal and interest to be credited on each such payment are reflected on the Loan Amortization Schedule attached hereto as Exhibit B and incorporated herein by reference. The entire principal balance with any accrued and unpaid interest shall be paid on or before January 1, 2031, or when the property is conveyed to any other party, whichever first occurs. This Note may be prepaid, in whole or in part, without penalty. If any payment due pursuant to this Note is not made when due, then at the option of the holder of this Note the entire indebtedness represented by this Note, upon 30 days' written notice to the undersigned, shall immediately become due and payable and thereafter shall bear interest at the rate of 5% per annum above the prime rate published in the Wall Street Journal or 12% per annum, whichever is higher, provided such interest rate shall not exceed the maximum rate permitted by law. Failure or delay of the holder to exercise this option shall not constitute a waiver of the right to exercise the option in the event of subsequent default or in the event of continuance of any existing default after demand for the performance under the terms of this Note. The undersigned shall pay upon demand any and all expenses, including reasonable attorney fees, incurred or paid by the holder of this Note without suit or action in attempting to collect funds due under this Note. In the event an action is instituted for the collection of this Note, the prevailing party shall be entitled to recover, at trial or on appeal, such sums as the court may adjudge reasonable as attorney fees, in addition to costs and necessary disbursements. The undersigned and his /her /its successors and assigns hereby waive presentment for payment, notice of dishonor, protest, notice of protest, and diligence in collection, and consent that the time of payment on any part of this Note may be extended by the holder without otherwise modifying, altering, releasing, affecting, or li Ting their liability. (` Ellen G. Schun -J Page 1 — PROMISSORY NOTE 5001 - 1-56722 PNwe docVT 2.25 -2011 EXHIBIT A Loan Schedule I Enter values) Loon amount', 4, 16.5 05 I . Annual interest ratai 3 54 6 1 Loan period Ti years 10 1 t lumbei of payments per /ear ^1 1 Stort dcto of loan `— 1 / 1 /201 l l O pfioncl extra pa ,'menu' $ - 1 Date of Compounding Interest Balance 1 7/26/11 8 324 71 8 17,236 71 1/26/12 330 94 17,567.66 3 7 :26i12 337 30 1 95 4 1!26113 343 78 18,248 73 5 7!26/13 350.38 18,59910 6 1/26/14 357 10 18,956 71 7 7/26/14 363 96 19,320 17 8 1/26/15 370,95 19.691 11 9 726/15 378 07 20,069 18 10 1/26,16 385.33 20,454.51 11 726/16 392 7 3 20,847 .24 12 1/26/17 400_; 7 21,24 51 13 7/26/17 407 9 21 655.46 14 1/26/13 415 79 22,071 24 15 7 /26/18 423. 22,495.01 16 1126119 431 90 22,926 91 17 7.'26,19 440.20 23,367 11 18 1:26/20 448 65 23,815 76 19 7■26/0 457.26 24,273 02 20 1/26/21 466 04 $ 24,739.06 Balance at the end of 10 years $ 7,827.46 Interest accrued over 10 years EXHIBIT A 500l- -36792 P.'/oie.docx,Tti,2 '25..2011 EXHIBIT B Loan Amortization Schedule Enter values Loan summary LQCI'i a7r nnu, - l1 $ 04 /3Y0 6: 6 Scheco p� rrari $ 1.501.30 - - - Annual ir,rs, - -,t r ate .. - � 94 6 _el ,ed „ Isd nu - n57I pI oor1 r,d 2 P:r rt:- f ir „oc 10 Hcilrc,k n Tmht ca menY. 20 11001 , ,Ip =. m n5 per ear 2 T mar1", pc/ments $ - S 0,rtcr•lte'_, L'sn' 1/1/2 {)21 T7 $ 5,287.01 Opilr_r,pIe irar7, rrlenis $ - Lender name:I Pmt Beginning Scheduled Extra Ending Cumulative No Payment Date Balance Payment Payment Total Paymenf Principal Interest Balance Interest 1 7 5 24,739 06 $ 1,531 30 5 - $ 1,501 30 9 1.028 31 5 4 99 $ 23. 75 $ 474 09 2 111;2022 23, 75 1,501 30 - 1,601 30 1,045 02 455 28 22,665 73 930 27 0 7./1 2022 22,563 '3 1 501 .30 - 1,501 30 1,067 10 435 20 21,600 62 1,365 48 4 1.'1, 2025 21.600 62 1,501 30 - 1 501 30 1,080 57 414 73 20.514 05 1,730 21 5 "12023 20,514 05 1,5•)1 30 - 1.501 30 1,107 43 393 87 19 408 61 2,174 05 1'1/2024 1 61 1,501 30 - 1,501 30 1,128 70 2'2 61 15,277 02 2,04E 68 7,1/2024 15.27 32 1,501 50 - 1,501 30 1,150 37 350 94 17 12755 2 , 8 97 62 8 1'1/2025 17,12'55 1,50130 - 1,50130 1,1 32885 15.35509 3,2 9 7, 1r2025 15,955 09 1,501 30 - 1,501 30 1 194 97 306 34 14, 13 3,532 81 10 1/1/2026 14,760 13 1.501 30 - 1,501 30 1,217 91 283 39 13,542 22 5,815 21, 11 711:2026 13,542 22 1,501 30 - 1,50 ! 30 1,241 29 260 01 12,300 92 4,076 21 12 1/1:2027 12,300 92 1,501 30 - 1,501 30 1,265 13 236 18 11.035 80 4,312 33 %1.'2021 11,055 80 1,501 30 - 1 501 30 1 289 42 21 1 89 9,746 38 4 524 28 14 1'1)2025 9 746 38 1,50130 - 1.50130 1 314 1 157 8,43220 4,71141 15 ''1,2026 5 432 20 1,501 30 - 1,501 30 1,339 41 151 30 7,092 5.0 4,873 31 10 1'1 2029 7,002 80 1 501 30 - 1,501 30 1,705 12 126 18 5.'27 68 5 ,009 49 1 711;2029 2' 08 1,501 30 ._ 1,501 30 1.301 33 109 9 4 336 34 5,119 45 18 1/1,2030 4.036 34 1,501 30 - 1,501 30 1,415 05 83 26 2,01830 5,202 72 19 71"2030 2,918 30 1,501 35 - 1,551 30 1.445 27 55 03 1,473 32 5,258 76 20 1'172031 1,4 02 1,501 30 - 1 02 1 444 74 28 28 0 00 5,287 03 EXHIBIT B 50014-36792 PIJnte.docxiTK'2 25 2011