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HomeMy WebLinkAboutCity Council Packet - 02/13/2018 Ill4 city of Tigard TIGARD Tigard Business Meeting—Agenda s ,, TIGARD CITY COUNCIL MEETING DATE AND TIME: February 13,2018 - 6:30 p.m. Study Session;7:30 p.m. Business Meeting MEETING LOCATION: City of Tigard-Town Hall- 13125 SW Hall Blvd.,Tigard,OR 97223 PUBLIC NOTICE: Anyone wishing to speak on an agenda item should sign on the appropriate sign-up sheet(s). If no sheet is available,ask to be recognized by the Mayor at the beginning of that agenda item. Citizen Communication items are asked to be two minutes or less. Longer matters can be set for a future Agenda by contacting either the Mayor or the City Manager. Times noted are estimated;it is recommended that persons interested in testifying be present by 7:15 p.m. to sign in on the testimony sign-in sheet. Business agenda items can be heard in any order after 7:30 p.m. Assistive Listening Devices are available for persons with impaired hearing and should be scheduled for Council meetings by noon on the Monday prior to the Council meeting. Please call 503-718-2419, (voice) or 503-684-2772 (1'DD -Telecommunications Devices for the Deaf). Upon request, the City will also endeavor to arrange for the following services: • Qualified sign language interpreters for persons with speech or hearing impairments;and • Qualified bilingual interpreters. Since these services must be scheduled with outside service providers,it is important to allow as much lead time as possible. Please notify the City of your need by 5:00 p.m. on the Thursday preceding the meeting by calling: 503-718-2410 (voice) or 503-684-2772 (TDD -Telecommunications Devices for the Deaf). SEE ATTACHED AGENDA VIEW LIVE VIDEO STREAMING ONLINE: http://live.tigard-or.2ov CABLE VIEWERS: The regular City Council meeting is shown live on Channel 28 at 7:30 p.m. The meeting will be rebroadcast at the following times on Channel 28: Thursday 6:00 p.m. Sunday 11:00 a.m. Friday 10:00 p.m. Monday 6:00 a.m. INI City of Tigard Tigard Business Meeting—Agenda TIGARD!. TIGARD CITY COUNCIL MEETING DATE AND TIME: February 13,2018 - 6:30 p.m. Study Session;7:30 p.m. Business Meeting MEETING LOCATION: City of Tigard-Town Hall- 13125 SW Hall Blvd.,Tigard,OR 97223 6:30 PM •STUDY SESSION A. RECEIVE UPDA 1'h ON WILLAME fib INTAKE FACILITY INTERGOVERNMENTAL AGREEMENT 6:30 p.m. estimated time B. COUNCIL LIAISON REPORTS 6:50 p.m. estimated time •EXECUTIVE SESSION: The Tigard City Council may go into Executive Session. If an Executive Session is called to order,the appropriate ORS citation will be announced identifying the applicable statute.All discussions are confidential and those present may disclose nothing from the Session. Representatives of the news media are allowed to attend Executive Sessions,as provided by ORS 192.660(4),but must not disclose any information discussed. No Executive Session may be held for the purpose of taking any final action or making any final decision. Executive Sessions are closed to the public. 7:30 PM 1. BUSINESS MEETING A. Call to Order B. Roll Call C. Pledge of Allegiance D. Call to Council and Staff for Non-Agenda Items 2. CITIZEN COMMUNICATION (Two Minutes or Less,Please) A. Follow-up to Previous Citizen Communication B. Tigard High School Student Envoy C. Tigard Area Chamber of Commerce D. Update from Police Chief McAlpine E. Citizen Communication—Sign Up Sheet 3. CONSENT AGENDA: (Tigard City Council) These items are considered routine and may be enacted in one motion without separate discussion.Anyone may request that an item be removed by motion for discussion and separate action. 7:35 p.m. estimated time A. RECEIVE AND FILE: 1. Council Calendar 2. Council Tentative Agenda for Future Meeting Topics B. APPROVE CITY COUNCIL MINU IES: •November 28,2017 •December 12,2017 •January 2,2018 •January 16,2018 •Consent Agenda-Items Removed for Separate Discussion:Any items requested to be removed from the Consent Agenda for separate discussion will be considered immediately after the Council/City Center Development Agency has voted on those items which do not need discussion. 4. CONSIDER ORDINANCE ADOPTING WILLAME1"1'E INTAKE FACILITIES IGA FOR JOINT OWNERSHIP,OPERATION AND MANAGEMENT 7:40 p.m. estimated time 5. CONSIDER AUTHORIZING THE CITY MANAGER TO APPROVE AN OVERBILLING SETTLEMENT CLAIM 7:55 p.m. estimated time 6. PUBLIC HEARING -CONSIDER AMENDMENT TO TIGARD MUNICIPAL CODE CHAPTER 7.60-ABANDONED VEHICLES 8:10 p.m. estimated time 7. CONSIDERATION OF LOCAL OPTION LEVY REFERRAL 8:25 p.m. estimated time 8. NON AGENDA ITEMS 9. EXECUTIVE SESSION: The Tigard City Council may go into Executive Session. If an Executive Session is called to order,the appropriate ORS citation will be announced identifying the applicable statute.All discussions are confidential and those present may disclose nothing from the Session. Representatives of the news media are allowed to attend Executive Sessions,as provided by ORS 192.660(4),but must not disclose any information discussed. No Executive Session may be held for the purpose of taking any final action or making any final decision. Executive Sessions are closed to the public. 10. ADJOURNMENT 8:55 p.m. estimated time 111 II City of Tigard Tigard City Council Meeting Agenda T I GARD February 13, 2018 CITY COUNCIL STUDY SESSION A. RECEIVE UPDA 1'E ON WILLAME'F1'E INTAKE FACILITY INTERGOVERNMENTAL AGREEMENT 6:30 p.m. estimated time Utility Manager Goodrich will present this item. B. COUNCIL LIAISON REPORTS 6:50 p.m. estimated time The Tigard City Council may go into Executive Session. If an Executive Session is called to order,the appropriate ORS citation will be announced identifying the applicable statute. All discussions are confidential and those present may disclose nothing from the Session. Representatives of the news media are allowed to attend Executive Sessions,as provided by ORS 192.660(4),but must not disclose any information discussed. No Executive Sessions may be held for the purpose of taking any final action or making any final action or making any final decision. Executive Sessions are closed to the public. Administrative Items None Council Meeting Calendar February 6* Tuesday Council Business Meeting—6:30 p.m.,Town Hall 7 Wednesday State of the City Address— 6-8 p.m., Broadway Rose Theatre 12 Monday Council Winter Outreach—6-8 p.m.,Summerfield Clubhouse 13* Tuesday Council Business Meeting—6:30 p.m.,Town Hall 20* Tuesday Council Busienss/Workshop Meeting—6:30 p.m.,Town Hall 27* Tuesday Council Business Meeting—6:30 p.m.,Town Hall March 6* Tuesday Council Business Meeting—6:30 p.m.,Town Hall 13* Tucoday Council Bu3inc33 Meeting CANCELLED, LACK OF QUORUM 20* Tuesday Council Workshop Meeting—6:30 p.m.,Town Hall 27* Tuesday Council Business Meeting—6:30 p.m.,Town Hall April 3* Tuesday Council Business Meeting—6:30 p.m.,Town Hall 10* Tuesday Council Business Meeting—6:30 p.m.,Town Hall 17* Tuesday Council Workshop Meeting—6:30 p.m.,Town Hall 23 Monday Budget Committee Meeting-6:30 p.m.,Public Works Auditorium 24* Tuesday Council Business Meeting—6:30 p.m.,Town Hall Regularly scheduled Council meetings are marked with an asterisk(*) AIS-3339 A. Business Meeting Meeting Date: 02/13/2018 Length (in minutes): 20 Minutes Agenda Title: Receive Update on Willamette Intake Facility Intergovernmental Agreement Prepared For: John Goodrich Submitted By: John Goodrich, Public Works Item Type: Update,Discussion,Direct Staff Meeting Type: Council Business Mtg- Study Sess. Public Hearing No Newspaper Legal Ad Required?: Public Hearing Publication Date in Newspaper: Information ISSUE Brief council on an executive summary of the proposed intergovernmental agreement regarding the joint ownership,operation and management of the Willamette Intake Facility. STAFF RECOMMENDATION /ACTION REQUEST Receive an update and information regarding the Willamette Intake Facility Intergovernmental Agreement. KEY FACTS AND INFORMATION SUMMARY The Willamette Governance Group (WGG) over the last several years has worked to develop concepts to formulate an agreement regarding the ownership and operation of the Willamette Intake Facility (WIF). There are six partners to the agreement, each of whom are treated differently within the agreement. The purpose of this agenda item is for staff to give a brief overview of the agreement and allow council members to ask questions. Under a separate agenda item, council will consider an ordinance approving an intergovernmental agreement (IGA) to create the Willamette Intake Facilities Commission between the Tualatin Valley Water District (TVWD) and the cities of Hillsboro, Sherwood,Beaverton,Tigard and Wilsonville. The proposed WIF IGA establishes the general operating procedures for the WIF Commission,including designating TVWD as its managing agency. Wilsonville will be the operating agency until 2026. Willamette River Charter Prohibition The City Charter states in Chapter IX,Section 51: "The City of Tigard shall not use the Willamette River as a drinking water source for its citizens unless the question of using the Willamette River as a drinking water source has been approved by not less than fifty (50%) percent of voters voting in a City-wide election (Measure 34-8,September 21, 1999 Election)." This prohibition does not apply to other jurisdictions served by Tigard,including Durham,King City,and the Tigard Water District. In 2010, the city attorney rendered an opinion that the purchase of future pipeline capacity—constructed by others and not connected to the Tigard water systemwas not a violation of the City Charter. OTHER ALTERNATIVES This is an informational item only. COUNCIL OR TCDA GOALS, POLICIES, MASTER PLANS Council adopted the May 2010 Water Master Plan and January 2014 Water Master Plan Addendum. DATES OF PREVIOUS CONSIDERATION Council was last updated on September 12,2017,during a workshop meeting regarding the Willamette Water Supply System program and intake facility agreements. Council has been briefed numerous times over the last few years pertaining to Willamette Water Supply Program,Willamette Governance Group activities,and future actions coming before council pertaining to these programs. A list of these previous briefings is available upon request. Fiscal Impact Cost: 3,100,000 Budgeted (yes or no): Yes Where Budgeted (department/program): Water CIP Additional Fiscal Notes: Tigard purchases 10% capacity (15 million gallons per day) in the Willamette Intake Facility project at an estimated cost share of approximately$3.1 million. Annual joint ownership commission and management costs are estimated at$15,000 based on TVWD information. Project costs include initial property and facility buy-in and construction costs for expansion to 150 mgd capacity as designed and authorized by the joint ownership partners. Attachments Willamette Intake Facility Agreement Willamette Intake Facility Agreement Exhibits Ordinance Willamette Intake Facilities Intergovernmental Agreement EFFECTIVE DATE APRIL 6, 2018 • BY AND AMONG TUALATIN VALLEY WATER DISTRICT CITY OF WILSONVILLE CITY OF SHERWOOD CITY OF HILLSBORO CITY OF TIGARD AND CITY OF BEAVERTON Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 TABLE OF CONTENTS EXHIBIT LIST 2 RECITALS 3 AGREEMENT 8 2. Definitions 8 3. Commission 13 4. Board of Commissioners 13 5. Managing Agency 16 6. Management,Operations,Finance, and Other Committees 20 7. Financial Management 21 8. Intake Facilities Ownership and Easement 26 9. Water Rights 26 11. Operations Plan 28 12. Curtailment Plan and Emergency Response and Management Plan 29 13. Right of First Offer 29 14. Leasing 30 15. Overuse 33 16. Remedies for Overuse 34 17. Expansion and Capital Improvements 35 18. Sale of Water to Non-Party 37 19. Withdrawal and Sale of Interest 37 20. Admission of New Municipal Parties 41 21. Indemnity 43 22. Default 44 23. Remedies 46 24. Default by the Managing Agency 48 25. Dispute Resolution 50 26. Dissolution 52 27. General Provisions 53 Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 1 of 58 EXHIBIT LIST Exhibit No. Title 1 Willamette Intake Facilities Easement Agreement("Easement") 2 Willamette Intake Facilities Preliminary Design Drawings and Layout 3 Willamette Intake Facilities Capacity Ownership Allocations 4 Real Property 5 Water Rights Authorized for Use at the Willamette Intake Facilities ("Water Rights") 6 Willamette Intake Facilities Organizational Structure 7 Willamette Intake Facilities Initial Management Plan 8 Willamette Intake Facilities Budget Calendar 9 Willamette Intake Facilities Interim Financials Procedures 10 Willamette Intake Facilities Lease Formulas and Sample Lease 11 Willamette Intake Facilities Improvements Cost Allocation Summary 12 Willamette Intake Facilities Insurance Requirements and Limits 13 Existing Agreements Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 2 of 58 Willamette Intake Facilities Intergovernmental Agreement This Willamette Intake Facilities Intergovernmental Agreement("Agreement")for the ownership, management and operation of the Willamette Intake Facilities("Intake Facilities") is entered into between Tualatin Valley Water District ("TVWD"), a domestic water supply district organized under ORS Chapter 264;the City of Wilsonville("Wilsonville"),a municipal corporation;the City of Sherwood ("Sherwood"), a municipal corporation; the City of Hillsboro ("Hillsboro") a municipal corporation; the City of Tigard ("Tigard"), a municipal corporation; and the City of Beaverton("Beaverton"), a municipal corporation; all of which are local governments authorized to own, operate and maintain municipal water supply systems. The cities and TVWD may be referred to herein individually as a"Party" or jointly as "Parties." RECITALS WHEREAS,TVWD is a domestic water supply district under ORS 264,which distributes potable water to its respective water system Users; WHEREAS,Wilsonville operates a municipal water supply utility under ORS 225, which distributes potable water to its respective water system Users; WHEREAS, Sherwood operates a municipal water supply utility under ORS 225, which distributes potable water to its respective water system Users; WHEREAS, Hillsboro operates a municipal water supply utility under ORS 225, which distributes potable water to its respective water system Users; WHEREAS, Tigard operates a municipal water supply utility under ORS 225, which distributes potable water to its respective water system Users; WHEREAS, Beaverton operates a municipal water supply utility under ORS 225, which distributes potable water to its respective water system Users; Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 3 of 58 WHEREAS, TVWD and Wilsonville entered into the Agreement Regarding Water Treatment Plant Design, Construction, Operation and Property Ownership, dated July 6, 2000 ("2000 Master Agreement"), and the Accord Agreement dated June 19, 2001 ("Accord"), to construct and operate intake facilities, pumps, a water treatment plant, and certain transmission facilities upon jointly owned real property ("Willamette River Water Treatment Plant") for the purpose of supplying potable water to Wilsonville and providing a future water supply for TVWD; WHEREAS, TVWD and Wilsonville entered into the First Amendment to Agreement Regarding Water Treatment Plant Design, Construction, Operation, and Property Ownership, dated , 2018, which modified the above agreement to reflect a change in direction and the rights and obligations between TVWD and Wilsonville; WHEREAS,TVWD and Wilsonville have also entered into an Operation and Maintenance Contract with Veolia Water North America-West LLC, dated July 1, 2012, as amended, which pertains to the Willamette River Water Treatment Plant and the Intake Facilities; WHEREAS, in April 2002, Wilsonville and TVWD completed construction of the intake and the Willamette River Water Treatment Plant facilities, including the fish screens, intake pipeline, a raw water pump station, raw water transmission line, the treatment plant and related appurtenances including electrical facilities; WHEREAS, TVWD and Sherwood entered into an Agreement on December 27, 2006 ("Sherwood TVWD WRWTP Agreement") for the purchase and sale of five million gallons per day ("MGD") of capacity in the Intake Facilities, pump station, treatment plant, and certain transmission facilities for the purpose of supplying potable water to Sherwood; WHEREAS,on October 15,2008,TVWD Sherwood,Tigard,and Tualatin entered into the First Restated Intergovernmental Cooperative Agreement Continuing the Willamette River Water Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 4 of 58 Coalition"("WRWC Agreement")to jointly hold a water right permit for future use of Willamette River water and to plan for regional water supply facilities that would meet future needs; WHEREAS, Hillsboro and TVWD entered into the Agreement for Design and Construction of the Willamette Water Supply Program ("WWSP Agreement") on June 16, 2015 to permit,design,and construct a water supply system including intake and transmission facilities, a water treatment plant, and reservoir facilities ("Willamette Water Supply System") to provide additional potable water to Hillsboro and TVWD and provide for system redundancy and reliability; WHEREAS,TVWD, Hillsboro, and Wilsonville entered into a Ground Lease for the Raw Water Pipeline, dated , 2018, and an Easement for Raw Water Pipe, dated 2018, that will allow the Intake Facilities to connect to a raw water pipeline located in and along Wilsonville right-of-way and lands owned or to be acquired by Wilsonville and TVWD; WHEREAS,the Parties hold or may hold certain storage,release and surface water rights on the Willamette River and its tributaries("Water Rights") for the purpose of providing water to the Treatment Plant Facilities for ultimate delivery to their respective water system Users; WHEREAS, the Intake Facilities provide a regional benefit and are the foundation of the other water system assets of the Parties. WHEREAS, the Parties except Wilsonville are in the process of acquiring a portion of TVWD's excess capacity ownership interest in the Intake Facilities from TVWD and,with respect to those transfers, Wilsonville has agreed to waive its First Right of Offer pursuant to the Agreement Regarding Water Treatment Plant Design, Construction, Operation, and Property Ownership, dated July 6, 2000 ("2000 Master Agreement")the Accord Agreement, dated June 19, Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 5 of 58 2001 ("Accord"), and the First Amendment to Agreement Regarding Water Treatment Plant Design, Construction, Operation, and Property Ownership, dated , 2018; WHEREAS, Wilsonville already owns the Intake Facilities with TVWD, but is participating in expanding the screen to allow for additional 5 MGD capacity, among other rights, pursuant to the City of Wilsonville and Tualatin Valley Water District Willamette Water Supply System Intake Facility Agreement; WHEREAS,the transfer,purchase and sale of a portion of TVWD's excess capacity in the Intake Facilities to the Parties,except Wilsonville,are governed by the Agreement(s)for Transfer, Purchase and Sale of Intake Facilities,dated ,2018.TVWD's transfer to Wilsonville is governed by the City of Wilsonville and Tualatin Valley Water District Willamette Water Supply System Intake Facility Agreement.A condition of any transfer by TVWD of existing Intake Facility capacity is the expansion of the Intake Facilities to an anticipated capacity of 150 MGD; WHEREAS,the Parties each own and operate municipal water supply systems that provide essential service to their communities, including protection of public health, emergency fire suppression, and potable water supply to support viable community and economic activities, and the Intake Facilities are the foundation of those other water systems; WHEREAS,the purpose of this Agreement is to set forth the terms for the joint ownership, operation and management of the Intake Facilities in a prudent, economic and efficient manner to provide water to the existing Willamette River Water Treatment Plant ("WRWTP") and the anticipated Willamette Water Supply System Water Treatment Plant("WWSS WTP"),to preserve and protect the Parties' Water Rights, to support the functioning of the Intake Facilities as the foundation of their water systems, and to support their commitment to watershed planning and management; and Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 6 of 58 WHEREAS, the Parties are authorized under ORS 190 to enter into an agreement for the performance of any or all functions and activities that the Parties, their officers, employees or agents have authority to perform, and to create this intergovernmental entity. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 7 of 58 NOW,THEREFORE, in consideration of the mutual covenants and agreements contained herein,the Parties agree as follows: AGREEMENT Based on the foregoing Recitals and the mutual promises and obligations as set forth herein, and other good and fair consideration, the sufficiency of which is hereby acknowledged, the Parties agree to the following. 1. Effective Date This Agreement is effective as of the 6th day of April, 2018. 2. Definitions As used in this Agreement, the following terms when capitalized shall have the following meanings: 2.1. Agreement means this Willamette Intake Facilities Intergovernmental Agreement. 2.2. Board means the Board of Commissioners of the Willamette Intake Facilities Commission created by this Agreement, consisting of one elected or appointed official from each Party. Each Party will appoint one Board member and each Board member will have one equal vote. 2.3. Capacity means the instantaneous ability of various components of the Intake Facilities to deliver available water that does not exceed a Party's allocation, measured in million gallons per day, gallons per minute, cubic feet per second or other comparable measurement as set forth in the Operations Plan and consistent with generally accepted engineering and prudent utility operating practices. 2.4. Capacity Expansion means the expansion of the Intake Facilities through a capital improvement project. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 8 of 58 2.5. Commission means the Willamette River Intake Facilities Commission, an ORS 190 entity formed under this Agreement whose Parties are TVWD, Wilsonville, Sherwood, Hillsboro, Tigard, and Beaverton. 2.6. Curtailment Plan means a plan developed and approved by the Board for curtailment of water service in accordance with OAR Chapter 690 Division 86 rules. 2.7. Demand means the amount of water used or projected to be used by a Party and imposed on the Intake Facilities to deliver water to be treated at a Water Treatment Plant where the Party owns capacity. The instantaneous measurement of Demand shall be defined in the Operations Plan as million gallons per day, gallons per minute,cubic feet per second,or other agreed measurement for the Intake Facilities. 2.8. Easement means the Intake Facilities Easement, attached as Exhibit 1. 2.9. Emergency Response Plan means a plan that outlines emergency procedures that are recommended for implementation by the Federal Emergency Management Agency and are consistent with the National Incident Management System in order to respond quickly and appropriately to an emergency event. 2.10. Effective Date means the date specified in Section 1. 2.11. Facilities Modification means a capital improvement to meet operational changes or upgrades in response to requirements of regulatory agencies, but that does not result in a Capacity Expansion. 2.12. Finance Committee means the committee with a representative appointed by each Party to act as provided in Section 6.3. 2.13. Fiscal Year means the time period July 1 through June 30. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 9 of 58 2.14. Intake Facilities means existing, expanded, or upgraded Intake Facilities -used to withdraw and transmit water to the Parties at the agreed System Separation Point between the Willamette River Water Treatment Plant System and the Willamette Water Supply System Water Treatment Plant. The Intake Facilities include the fish screens, intake pipe, caisson, pump station building, and other jointly owned equipment leading up to the System Separation Point described in Exhibit 2, and the Intake Facilities Easement described in Exhibit 1. 2.15. Lease means the lease of Capacity in the Intake Facilities according to the terms and conditions of Section 14. 2.16. Management Committee means the committee with a representative appointed by each Party to act as provided in Section 6.1. 2.17. Managing Agency means the Party designated under Section 5 to manage the business affairs of the Commission and act in accordance with Section 5 and other provisions of this Agreement. 2.18. Master Plan means a plan that analyzes the performance, documents recommended upgrades, estimates water demand projections from the Parties, and updates the capital improvement plan of the Intake Facilities. 2.19. Member means a person appointed by a Party to serve on the Board. 2.20. MGD is an acronym for million gallons per day. 2.21. Municipal Water Provider means a city or special district, as defined by ORS 174.116, that supplies drinking water to the public. 2.22. Non-Peak Season means the period from November 1St through April 30`h of any given year. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 10 of 58 2.23. Operations Committee means the committee with a representative appointed by each Party to act as provided in Section 6.2. 2.24. Operations Plan means the plan that describes the operational protocols, communications, and coordination for the Intake Facilities with the Water Treatment Plants. 2.25. Ownership means the Capacity interest of a Party in the Intake Facilities, established following a financial investment in the Intake Facilities.The anticipated Capacity of each Party is set forth in Exhibit 3. 2.26. Party or Parties means the Municipal Water Providers that have Capacity ownership interest in the Intake Facilities and that comprise the Commission. 2.27. Peak Season means the period from May 1st through October 31st of any given year. 2.28. Point of Diversion means the geographic location from which water is diverted from the Willamette River using the Intake Facilities and put to beneficial use through the Water Treatment Plants and associated water systems. 2.29. Real Property means the real property upon which the Intake Facilities are located. The Real Property is described in Exhibit 4 and is owned by TVWD and Wilsonville. 2.30. Supermajority means an affirmative vote from all except one of the Members of the Board eligible to vote. 2.31. System Separation Point means that point designated on Exhibit 2 where the Intake Facilities terminate and the water from the caisson of the Intake Facilities is separated by the pumps into untreated water pipes conveying water to either the Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 11 of 58 WRWTP or WWSS WTP. 2.32. Users means any water system users or customers of a Party's water system including but not limited to residential, commercial and industrial uses as well as other units of local government with whom the Party has agreed to sell water. 2.33. Water Rights means those surface water registrations, permits (including storage and secondary), or certificates held by a Party, the WRWC, or the Commission as registered with the State of Oregon Water Resources Department, which allow for diversion of water from the Willamette River at the existing Intake Facilities Point of Diversion to deliver water to the Party's respective Water Treatment Plant. The Water Rights are more fully described in Exhibit 5. 2.34. Water Treatment Plant refers to either the WRWTP or the WWSS WTP. 2.35. Willamette River Water Coalition ("WRWC") means the ORS 190 entity currently consisting of TVWD and Sherwood,Tigard, and Tualatin. 2.36. Willamette River Water Treatment Plant ("WRWTP") means the Water Treatment Plant located near the Intake Facilities currently serving potable water to Wilsonville, Sherwood, and other potential Parties. 2.37. Willamette Water Supply System ("WWSS") means the water supply system infrastructure facilities including the raw water pipeline, water treatment plant, finished water pipeline(s), finished water storage, and related facilities that serve potable water to TVWD, Hillsboro, and other potential Parties. 2.38. Willamette Water Supply System Water Treatment Plant ("WWSS WTP") means the Water Treatment Plant to be located in Washington County outside of Wilsonville to be designed, constructed, and serve potable water to TVWD, Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 12 of 58 Hillsboro, and other potential Parties. 3. Commission There is hereby created, pursuant to ORS 190, the Willamette Intake Facilities Commission ("Commission") governed by the Board of Commissioners according to this Agreement and the laws of Oregon. The Commission is created under this Agreement to own and manage the Intake Facilities in order to enable the Parties to this Agreement to draw water through the Intake Facilities to the System Separation Point and convey water to each Water Treatment Plant. The Board is served by appointed Management and Operations Committees and the affairs of the Board are administered by an appointed Managing Agency with an organization structure illustrated in Exhibit 6. 4. Board of Commissioners 4.1. Appointment The Commission shall be governed by a six-Member Board consisting of one person and one alternate person appointed by each Party pursuant to the laws and regulations of the Party's governing body. A Member serves at the pleasure of the Member's governing body. The name of the Board is the Willamette Intake Facilities Board("Board"). 4.2. General Powers and Duties The Board shall manage the business and affairs of the Commission for the mutual benefit of all of the Parties. The Board shall adopt such bylaws, rules, regulations and policies as it deems necessary in furtherance of the purposes of this Agreement. Subject to the approval of expenditures by the Parties, as set forth in Section 7, the Board shall have the power to hire employees as it deems necessary and to contract for the purchase of property and services. The Board shall perform such further duties as may be required by this Agreement and shall have all powers necessary and incidental to the execution of its specific duties. Except for the provision of Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 13 of 58 liability of debt obligations as provided for under ORS 190.080, the Board may perform its activities in any manner permitted under ORS 190.030 to 190.150. 4.3. Duration Subject to the dissolution provisions in Section 26, this Agreement is perpetual. 4.4. Meetings; Manner of Acting Board meetings shall be conducted in accordance with the provisions of the Oregon Public Meeting Law, ORS 192.610 to 192.710. The Board shall hold meetings as needed,generally on a quarterly basis,but in no event less than twice a year. Special meetings may be called by the Chair or by any two Members. The Board shall adopt rules governing the conduct of its proceedings. 4.5. Quorum and Voting 4.5.1. If a unanimous vote of all Members is required, then all Members must be present to constitute a quorum. In all other cases, five of six Members of the Board shall constitute a quorum for the conduct of business. 4.5.2. Except where a unanimous or Supermajority vote is required,an affirmative vote of five Members is required to decide any issue before the Board. 4.5.3. If the Member and the alternate attend the same meeting, the Member shall be the voting representative for the Party. The Member shall inform the Chair in advance of any meeting if he or she cannot attend and whether the alternate member will attend and will be authorized to vote. 4.6. Officers The Board shall annually elect from its Members a chair and a vice chair,who shall be officers of the Board. The elections shall occur at the first meeting of the Board in each calendar year, unless otherwise agreed. The chair shall serve as the presiding officer. In the absence of the chair,the vice chair shall serve as presiding officer. Officers shall serve at the pleasure of the Board or until a successor is Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 14 of 58 appointed. 4.7. Powers and Duties The Board shall, among other things: 4.7.1. Appoint a Managing Agency, as provided in Section 5, including approval and entry into any agreement(s)with the Managing Agency as described in Section 5.2. 4.7.2. Approve an operations and management contract(s) as needed. 4.7.3. Annually adopt a budget, as described in Section 7.4. 4.7.4. Annually adopt a work plan in association with the budget. 4.7.5. Annually approve a five year capital improvement plan that includes the current fiscal year. 4.7.6. Adopt contracting rules and serve as the local contract review board under ORS 279A. 4.7.7. Approve and periodically update a Master Plan and Operations Plan for the Intake Facilities. 4.7.8. Approve the addition of a new Party, as provided in Section 20, subject to unanimous approval of the Board. 4.7.9. Approve modifications or amendments to the Exhibits to this Agreement. 4.7.10. Approve and periodically update an emergency response and management plan,and related policies and practices,to govern the operation of the Assets in an emergency. 4.7.11. Approve and periodically update a Curtailment Plan based on a recommendation from the Management Committee. 4.7.12. Consider for approval any Lease that has a term less than one year or longer than five years, as provided in Section 14. 4.7.13. Approve and periodically update overuse plans developed under Section 15. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 15 of 58 4.7.14. Cause an annual audit to be conducted. 4.7.15. Obtain appropriate insurance and fidelity coverages. 4.7.16. Oversee the management and operation of the Managing Agency. 4.7.17. Approve contracts; acquire real property by negotiation, sale or condemnation; and dispose of surplus personal property. 4.7.18. Take other actions necessary and proper to manage, operate and maintain the Intake Facilities. 5. Managing Agency 5.1. Initial Appointment of Managing Agency TVWD is appointed the Managing Agency for an initial term beginning on the Effective Date through June 30, 2032 ("Initial Term") with formal performance review in 2029 by the Board. 5.2. Subsequent Terms Once the Initial Term expires or is terminated, the Board may continue with the initial Managing Agency or appoint a successor Managing Agency to manage the business affairs of the Commission. The Board may elect to enter into a written Managing Agency agreement between the designated Managing Agency and the Board. The designated Managing Agency's subsequent term will be a six year term, effective on July 1, 2032, or other date as agreed to by the Parties. At the end of the fourth year of the term, the full Board shall either re-appoint the Managing Agency for an additional six year term to commence at the end of the current term or direct the Management Committee to obtain proposals for the selection of a Managing Agency. If the Board elects to obtain proposals rather than reappoint the Managing Agency, the Managing Agency may submit a proposal to continue on as Managing Agency. A proposal process will be required for selection of a Managing Agency at a minimum every twelve years. If the Board initiates a proposal process Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 16 of 58 for the selection of the Managing Agency, at the end of the fifth year of the term, the Management Committee shall submit to the Board a recommendation for a Managing Agency. A Party who submits a proposal to be Managing Agency cannot participate in the selection process. Upon designation of a new Managing Agency, the current and new Managing Agency will be required to create a one year transition plan unless a different period is approved by the Board. The components of the transition plan shall be reviewed and approved by the Management Committee prior to implementation. 5.3. Contracted Services The Board may elect to contract the management of the business affairs of the Commission to a non-Party. In such case, the Board will direct the Management Committee to obtain proposals and provide a recommendation for the award of a contract by the Board. The Board will designate a Party to manage the contract and will adopt an annual work plan. Upon Board approval of the contract, the current Managing Agency will be required to create a one year transition plan unless a different period is approved by the Board. The components of the transition plan shall be reviewed and approved by the Management Committee prior to implementation. The Board may terminate the contract at its sole discretion and appoint a new Managing Agency. 5.4. Annual Review The Management Committee will conduct an annual performance review of the Managing Agency and submit a report to the Board. 5.5. Termination or Resignation The Managing Agency may be terminated at any time at the Board's discretion, or may withdraw at its own discretion. The Board will provide a reasonable notice to Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 17 of 58 the Managing Agency and Parties if the termination is for convenience and not due to a default. The Managing Agency will provide a notice to the Board if withdrawal is desired. A notice to terminate may specify an effective date for termination or withdrawal. A transition plan with a reasonable period for transfer of duties to the new Managing Agency will be developed by the Board. Termination related to default is covered in Section 24. 5.6. Powers and Duties of Managing Agency TVWD's initial management of the Intake Facilities and Capacity Expansion projects are described in Exhibit 7 and those terms are only applicable during TVWD's Initial Term. With respect to all other roles and responsibilities of the Managing Agency, the Board may delegate powers to the Managing Agency to provide the management functions required to administer the Commission. The Managing Agency is responsible for administering the business affairs of the Commission. This Section does not prevent the Board, upon a finding that it is in the best interest of the Commission, from modifying the duties of the Managing Agency. The Managing Agency shall act for the mutual benefit of all Parties at all times in the performance of all Managing Agency duties. The Managing Agency duties shall include but are not necessarily limited to the following: 5.6.1. Prepare an annual work plan in conjunction with the annual budget. 5.6.2. Perform such duties as established in an annual work plan and any other duties as directed by the Board. 5.6.3. Provide administration of the Board meetings and required public meeting notices and duties. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 18 of 58 5.6.4. Maintain records consistent with public records laws. 5.6.5. Provide administration of the infrastructure operations and maintenance of the Intake Facilities and associated contract approvals. 5.6.6. Perform financial planning and management including payment of invoices, accounting, reporting, and budgeting in accordance with Oregon law. 5.6.7. Develop and coordinate capital improvements plans, including the timing of any improvements or expansions as relate to the Intake Facilities. Each Party will participate in planning projects, such as a Master Plan or facilities plan, and will provide good-faith estimates for future Demand. 5.6.8. Provide capital project management, unless otherwise directed by the Board. 5.6.9. Provide administration and staffing for the Board and committees such as the Management Committee, Operations Committee, and Finance Committee. 5.6.10. Prepare an Operations Plan in coordination with the Parties.The Operations Plan must be approved by the Operations Committee prior to submitting it to the Board for adoption. 5.6.11. Coordinate with WRWTP and WWSS to support and facilitate the orderly and effective operations, maintenance and construction activities of the Intake Facilities,WRWTP and WWSS. 5.6.12. Take prompt action, as necessary, in response to a Curtailment Plan or an Emergency Response Plan and report to the Parties and the Board as soon as reasonably possible. In the case of an emergency, an after-action report Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 19 of 58 including the nature of the emergency,the effect(s)on the Intake Facilities, and the steps taken by the Managing Agency in response will be provided to the Board. 5.6.13. Procure and manage appropriate insurance coverages and fidelity coverages, in accordance with the insurance requirements set forth in Section 27.3, or as the Board may otherwise direct. 5.6.14. Approve and execute contracts, subject to the contracting rules and direction of the Board. 5.6.15. Other duties as may be assigned by the Board. 6. Management, Operations,Finance, and Other Committees 6.1. Management Committee Each Party shall appoint its Chief Executive Officer, City Manager, or its designee to serve on the Management Committee. The Managing Agency shall meet with the Management Committee to receive recommendations on policies, planning, operations,capital projects,contract awards, etc.,to be forwarded to the Board.The Management Committee members will also serve as the liaison to each of their respective governing bodies and shall be charged with authority to act on behalf of the Party's governing body, except as otherwise provided herein. 6.2. Operations Committee Each Party shall appoint one person technically knowledgeable in water system operations or engineering to the Operations Committee. A Party may allow other attendees, but in no event will a Party have more than one vote in making a recommendation to the Management Committee. The Managing Agency will advise and consult with the Operations Committee on matters including but not Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 20 of 58 limited to Intake Facilities operations, capital improvements and planning, and contract management. The Operations Committee shall, as required by this Agreement or requested by the Management Committee, report on or provide recommendations to the Management Committee on any such matter. 6.3. Finance Committee Each Party shall appoint one person,knowledgeable in municipal finance laws and practices, to the Finance Committee. A Party may allow other attendees, but in no event will a Party have more than one vote in making a recommendation to the Management Committee. The Finance Committee shall provide recommendations to the Management Committee on the proposed annual budget, capital improvement plan including resource availability and timing, and other financial policies. The Finance Committee will also provide comment and recommendations on the financial procedures to be developed and implemented by the Managing Agency. 6.4. Other Committees Other Committees may be formed as needed to support and provide guidance to the Commission. 7. Financial Management 7.1. Budget Process and Calendar The Board shall adopt a budget for its operations and capital improvements for each Fiscal Year. The Managing Agency shall annually prepare a budget for administration, operations, and capital improvements in coordination with the appropriate committees representing the Parties as described in this Section. The budget review process shall follow the schedule described in Exhibit 8 unless a Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 21 of 58 modified schedule is approved by the Board. 7.2. Operations and Finance Committees Budget Review An initial draft budget shall be prepared and distributed by the Managing Agency to the Operations and Finance Committees. The initial draft budget shall include estimates for full-time equivalents, associated benefits, materials and services, a listing of contracts in effect and contemplated for future periods,capital outlay, and any other necessary expenditures. The initial draft budget shall also include supporting detail and assumptions for the Committee's consideration. Joint meeting(s) of the Operations and Finance Committees will be held as needed to refine the initial draft budget. The Operations and Finance Committees will review the initial draft budget, and will provide its recommendation, after any requested revisions are incorporated by the Managing Agency, to the Management Committee. The Managing Agency will incorporate such revisions and prepare a revised draft budget for consideration by the Management Committee. 7.3. Management Committee Budget Review The revised draft budget shall be distributed to the Management Committee as described in Exhibit 8,but not later than March 15th of each year. The Management Committee will review the revised draft budget, and will either provide a recommendation to the Board for adoption or provide requested revision(s) to the Managing Agency. Following Management Committee review and revisions, the Managing Agency shall prepare a proposed budget and distribute it to the Board. 7.4. Budget Adoption The Board will consider the proposed budget consistent with the schedule presented in Exhibit 8. Furthermore, the Board will strive to adopt the budget by resolution in April of each year to enable the Parties to adequately reflect necessary commitments in their own respective budgets, but in no case will the Board adopt Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 22 of 58 the annual budget later than June 1St of each year. The adopted budget shall include estimated subtotals for the categories of personnel services,materials and services, capital outlay, and all other appropriation categories used in the adopted budget. The adopted budget shall also include a narrative describing the supporting detail and assumptions summarized for the Board's consideration, including personnel counts stated as full-time equivalents. Each Party's proportionate share of expenses of operations and maintenance of the Intake Facilities, including reserves and replacements, debt services, payments to the Managing Agency, and all other expenses as may be incurred by the Commission, shall be estimated by the Managing Agency and set forth in the Commission's adopted budget. 7.5. Capital Improvement Plan Budget The Managing Agency shall maintain capital improvement plan budget projections for at least the subsequent four Fiscal Years following the fiscal year budgeted, which shall be updated annually and submitted with the initial draft budget and the proposed budget. The Operations and Finance Committees will review the proposed capital improvement plan, and will provide a recommendation to the Management Committee for review or provide requested revision(s) to the Managing Agency for incorporation. The Management Committee will review the proposed capital improvement plan, as may have been revised by the two committees, and will provide a recommendation to the Board for adoption or provide requested revision(s) to the Managing Agency for incorporation. The Managing Agency will include the capital improvement plan budget, as reviewed and revised by the Management Committee, in the proposed budget and submit it to the Board. The Board will consider the capital improvement plan for adoption on an annual basis on the same timeline as the annual budget. The capital outlay category includes routine purchases as well as major improvements or expansions Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 23 of 58 as may be outlined under the provisions of Section 17. 7.6. Accounting The Managing Agency shall comply with government accounting standards, maintain independent budget and accounting control procedures, and provide budget financial status reports at least quarterly to the Board and to each of the Parties not later than 30 days after the end of each quarter. The report shall show expenditures and receipts consistent with the requirements of the financial procedures described in Section 7.9. The Managing Agency shall maintain all fiscal records relating to the Intake Facilities and associated capital improvement projects in accordance with generally accepted accounting principles. In addition, the Managing Agency shall maintain any other records pertinent to the Intake Facilities and associated capital improvement projects in such a manner as to clearly document the Managing Agency's performance hereunder. All such fiscal records, books, documents, papers, plans, and writings shall be retained by the Managing Agency and kept accessible as required by law. The Managing Agency agrees that the other Parties and their authorized representatives shall have access to all books, documents, papers and records of the Managing Agency which are directly related to the Intake Facilities and associated capital improvement projects for the purpose of making any audit, examination, copies, excerpts and transcripts. 7.7. Audit The Board shall cause an independent audit of the financial affairs of the Commission to be performed by a certified public accountant licensed and certified to do municipal auditing in the State of Oregon. The audit shall be performed in accordance with the provisions of the Oregon Municipal Audit Law, ORS Section 297.405 — 297.555. The audit shall be completed annually within six months following the end of each Fiscal Year. The Board shall review, accept the annual Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 24 of 58 audit,and direct the Managing Agency to complete correction actions as needed. A copy of the annual audit shall be provided to each Party upon acceptance by the Board. 7.8. Issuance of Debt When authorized by a unanimous vote of the Board and an affirmative vote by the governing body of each Party, the Board may issue debt under ORS 287A, as allowed under ORS 190.080, as the Board deems necessary to finance capital improvements.Upon receipt of an affirmative vote of each of the governing bodies, the Board shall approve the order or resolution authorizing the issuance of debt, which shall specify the joint and severable liabilities and obligations of the Parties as set forth in ORS 190.080 (3). 7.9. Financial Procedures Interim financial procedures are included as Exhibit 9, and will be used until the long-term financial procedures are developed and approved by the Board. The Managing Agency shall propose financial procedures consistent with the requirements of this Section. The Finance Committee will review the proposed financial procedures, and will provide a recommendation to the Management Committee for review or provide requested revision(s)to the Managing Agency to incorporate and forward to the Management Committee. The Management Committee will review the proposed financial procedures, and will provide a recommendation to the Board for adoption or provide requested revision(s) to the Managing Agency to incorporate and forward to the Board. The Board will consider the recommended financial procedures for adoption or send back to the Management Committee for modification. The financial procedures will be reviewed and updated on at least a ten-year basis or as requested by the Finance Committee, Managing Agency, or the Board. The Board approved long-term Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 25 of 58 financial procedures will be included as an amended Exhibit 9 to this Agreement subsequent to the effective date of this Agreement. 8. Intake Facilities Ownership and Easement 8.1. Capacity Ownership The Parties each own various shares of Capacity in the Intake Facilities. The ownership of each Party is a percentage share of the Intake Facilities that is equal to the Party's Capacity in MGD compared to the total Capacity of the Intake Facilities. The Parties' respective shares of the anticipated design Capacity of the Intake Facilities are set forth in Exhibit 3. Upon completion of construction, the Board shall determine ownership of Capacity based on actual Capacity achieved of the Intake Facilities to the System Separation Point. If the actual Capacity achieved is more or less than the design Capacity anticipated in Exhibit 3, the Exhibit will be revised to reflect the ownership based on the actual Capacity achieved. The Capacity shares shall be proportionately increased or reduced. If the actual Capacity achieved is less than the design Capacity anticipated, in no event will the Capacities of TVWD,Wilsonville and Sherwood be less than 56.5 MGD,20 MGD and 5 MGD,respectively. 8.2. Easement The Intake Facilities have been granted an Easement described in Exhibit 1 and are located on the Real Property described in Exhibit 4. 9. Water Rights 9.1. Existing Water Rights A Party shall continue to hold its Water Rights in its individual name, except that TVWD, Sherwood, Tigard and Tualatin jointly hold their Water Right through the WRWC. Exhibit 5 identifies the Water Rights held by each Party and the WRWC for use at the Intake Facilities Point of Diversion and as described in this Section. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 26 of 58 9.2. Restriction on Use If surface water withdrawal rights are partially or fully restricted and unavailable, then each Party will be subjected to the restrictions and conditions applicable to its own Water Rights. The available Water Rights will be used for the benefit of the Party(ies) that own(s) the Water Rights. To the extent that the non-restricted or partially restricted Water Rights are greater than that required by the Party owning the Water Rights, then the unused portion of the Water Rights may be leased to the other Parties, as set forth in the leasing provisions. In times of emergency or curtailment, the Board may allow Parties to use the Water Rights of other Parties without a leasing requirement, subject to the agreement of those Parties. Those Water Rights held jointly through WRWC shall be allocated for use by the WRWC Parties as described in the WRWC agreement. 9.3. Supplemental Water Rights A Party or the Commission may obtain additional Water Rights from the Oregon Water Resources Department or a federal agency that initiates a municipal contracting program in the United States Army Corps of Engineers storage facilities in the Willamette Basin ("Willamette Basin Project") as the Demand and need is identified. The Board will establish Capacity ownerships of any jointly held Water Right by the Commission at the time of application. Exhibit 5 identifies the Water Rights authorized for use at the Intake Facilities Point of Diversion held by individual Parties and those jointly held by the WRWC or by the Commission. Exhibit 5 will be updated by the Board as additional Water Right transactions occur. 9.4. Obligations of Each Party Each Party is responsible for obtaining its own Water Rights with a point of diversion at the Intake Facilities sufficient to meet its Capacity. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 27 of 58 9.5. Perfection and Certification A Party's certification or perfection of its individual Water Right through the Intake Facilities cannot exceed the Party's owned Intake Facilities Capacity unless the Board approves otherwise and such approval is not to the detriment to the other Parties' Water Rights. 10. Use of the Intake Facilities by the Parties Each Party shall use the Intake Facilities in a manner consistent with prudent water utility operating practices and in a manner that minimizes the impact of use on the other Parties. The Managing Agency shall manage the Intake Facilities for the mutual benefit of all Parties. Each Party shall obtain sufficient Capacity in the Intake Facilities to serve the Demand imposed on the Intake Facilities by the Party. 11. Operations Plan Prior to the date the Willamette Water Supply System commences delivery of potable water to its respective Users, an Operations Plan shall be developed by the Operations Committee with support from the Managing Agency, and submitted to the Management Committee. The Management Committee will review the proposed Operations Plan, will work with the Managing Agency on modifications, and will provide a recommendation to the Board for adoption or will send back to the Operations Committee for modification.The Operations Plan for the Intake Facilities will include,but is not limited to, agreed protocols and a methodology to provide for the equitable, effective and efficient operation of the Intake Facilities in accordance with generally accepted utility practices regarding the operation, management, capital improvements, and expansion of all aspects of the Intake Facilities. The Operations Plan will provide that the Parties will use best efforts and good faith in the operation of the Intake Facilities for the mutual benefit of all Parties. The Operations Plan will be updated as needed. The agency responsible for operating the Intake Facilities shall follow the Board- Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 28 of 58 adopted Operations Plan. 12. Curtailment Plan and Emergency Response and Management Plan 12.1. Curtailment Plan The Board shall adopt a Curtailment Plan that establishes policies and procedures for when and how reductions in Demand shall be made. The Managing Agency shall develop a proposed Curtailment Plan for review by the Operations Committee. The Operations Committee will review the proposed Curtailment Plan, and will provide any requested revision(s) to the Managing Agency before presentation to the Management Committee. The Management Committee will review the proposed Curtailment Plan, and will either provide a recommendation to the Board for adoption or will send back to the Operations Committee for further review and modification. The Management Committee will provide a recommendation to the Board for its consideration and adoption. When reductions in Demand become necessary, the reduction shall be in accordance with the Curtailment Plan. Any Curtailment Plan must treat all Parties fairly and equitably. 12.2. Emergency Response Plan The Managing Agency shall prepare an Emergency Response Plan to be reviewed by the Operations Committee and the Management Committee. Procedures and protocols will be included in the proposed Emergency Response Plan. The Operations Committee and Management Committee will review the proposed Emergency Response Plan, and will either provide a recommendation to the Board for adoption or will provide requested revision(s)to the Managing Agency. 13. Right of First Offer Wilsonville and TVWD entered into the 2000 Master Agreement, Accord, First Amendment and the Willamette Intake Facilities Agreement regarding the construction,joint ownership, and continuing operations of the WRWTP, which all remain and will remain in full force and Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 29 of 58 effect, except as otherwise amended, in writing, by TVWD and Wilsonville. The Accord Agreement, dated June 19, 2001, expressly provides a Right of First Offer be made between Wilsonville and TVWD with respect to any sale, transfer, exchange, grant of option to purchase, lease, or other disposal of their respective interests in the Property, or any part of, or interest in, or ownership interest in the Supply Facilities (which include the Intake Facilities). Wilsonville has been offered and declined the first right to purchase the Intake Facility capacity held by TVWD and consented to sale, purchase and transfer of 62.3 MGD of existing and expanded capacity between TVWD and the other Parties to this Agreement and waived further application of the Accord Agreement thereto. In accordance with the Accord Agreement, the reciprocal Right of First Offer with respect to Intake Facilities remains in full force and effect with respect to 56.5 MGD of TVWD's retained interest in the Intake Facilities and Wilsonville's 25.0 MGD retained interest in the Intake Facilities, notwithstanding anything to be construed to the contrary in this Agreement. Additional terms with respect to the Right of First Offer continue to apply and are detailed in the Accord Agreement. If TVWD or Wilsonville declines to lease or purchase all or a portion of the amount offered, then the declined amount may be offered to the Parties for lease or for purchase, as provided in Sections 14 and 19. Notwithstanding the terms of the Right of First Offer, Wilsonville and TVWD do hereby agree to waive their Right of First Offer for leases of five years or shorter duration offered by Wilsonville or TVWD to the other Parties("Short Term Waiver"). A lease to which this Short Term Waiver applies may be renewed for one additional term and the Short Term Waiver is applicable for that one time renewal. 14. Leasing 14.1. Leasing The Parties recognize that options for leasing Capacity in the Intake Facilities or Water Rights are important to maintain the cost effective and efficient use of the Intake Facilities and associated infrastructure. Only Parties to this Agreement are Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 30 of 58 eligible to engage in leasing. Leasing options will include firm, interruptible, and surplus water pool. A Party will not be forced to lease its Capacity in the Intake Facilities or Water Rights to other Parties. Each Party retains sole discretion as to how much, if any, Capacity of the Intake Facilities or Water Rights to make available for leasing. Prior to expanding or adding new infrastructure to the Intake Facilities above 150 MGD, the Parties will determine if leasing options are a reasonable approach as a method to defer capital expansion. The following provisions regarding Leasing are subject to the Right of First Offer, including the Short Term Waiver between TVWD and Wilsonville, as set forth in Section 13. 14.2. Leasing Procedures The Managing Agency will coordinate and manage the annual leasing process, including associated agreements and approval requirements, on a schedule that accommodates the Commission and the Parties' budget processes. The Managing Agency will request available Capacity or Water Rights for leasing options from all Parties who are interested in leasing on an annual Fiscal Year basis prior to the Peak Season. Each interested Party will estimate the amount of Capacity,duration, and type of Lease(interruptible or firm)or Water Rights it wishes to make available to lease to, or the amount of Capacity, duration, and type of Lease(interruptible or firm) it seeks to lease from, the other Parties. The Managing Agency will develop forms and protocols for managing the leasing process including the leasing requests and annual surplus Capacity designated by each Party. A rate methodology for each of the leasing options will be developed by the Managing Agency, reviewed and recommended by the Management Committee and the Finance Committee,and adopted by the Board. A sample Lease form and methodology are attached in Exhibit 10, which may be modified and/or updated by the Board. In those years when Water Rights are limited and if requested by the Parties,the Board may adopt Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 31 of 58 an equitable methodology for leasing of the Water Rights. 14.3. Firm and Interruptible Lease Terms The length of time for firm and interruptible leases will be a minimum of one year and a maximum of five years,unless otherwise approved by the Board and subject to the Right of First Offer provisions. The Capacity acquired from a firm Lease will be considered transferred Capacity from the lessor to the lessee for the quantity and the duration of the Lease agreement for use and overuse purposes. The Capacity acquired from an interruptible Lease will be considered the lessee's Capacity for use and overuse purposes until the lessor calls back the Capacity from the lessee pursuant to the terms of the Lease. The Managing Agency will develop recommended protocols and the terms to be approved by the Board for firm and interruptible Leases, the latter of which will include the terms under which a lessor may call back the"interruptible" leased Capacity, such as when curtailment or loss of Capacity occurs. 14.4. Surplus Capacity Pool Terms When excess Capacity is made available for leasing that is not dedicated to a firm or interruptible Lease, that excess Capacity shall be included in the Surplus Capacity Pool to be made available for a period not to exceed one year from the date of placement in the Surplus for lease for less than one year by the Parties in coordination with the Managing Agency. The premium short term lease rate is included in Exhibit 10, and may be amended by the Board. The Managing Agency will develop for approval by the Board the terms, costs, and protocols for the management and use of the Surplus Capacity Pool, taking into account the best interests of the Parties while maintaining the integrity of the system. 14.5. Lease Approval A Lease that is within the terms of this Section will be reviewed and approved by Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 32 of 58 the Management Committee and administered by the Managing Agency. Status reports regarding the Lease agreements will be provided to the Board by the Managing Agency. A Lease that is not consistent with the terms of this Section must be approved by the Board. 14.6. Lease Distribution and Payments Lease requests and associated Lease revenues will be divided among the lessors based on the percent of Capacity or Water Rights leased, if more than one lessor and one lessee are involved unless otherwise approved by the Board. A Lease approved between two Parties may provide for payment made directly from the lessee to the lessor. When Lease requests exceed the amount of Capacity or Water Rights made available, available Lease Capacity or Water Rights will be divided amongst the lessees based on the percent of Capacity or Water Rights requested unless otherwise approved by the Board. 15. Overuse 15.1. Notification A Party will manage its Demand on the Intake Facilities within the Party's respective ownership and Capacity share of the Intake Facilities as may be augmented by firm,interruptible or surplus Capacity pool Lease sources. Overuse terms are included in the Agreement in order to discourage use that may result in adverse impacts to the operational integrity of the Intake Facilities and to promote prudent planning of needed expansions. The Managing Agency shall notify a Party when the Party's instantaneous Demand has exceeded its Capacity ownership as augmented by any leased Capacity, including any short term lease from the Surplus Capacity Pool of the Intake Facilities. A Party should notify the Managing Agency if the Party exceeds or anticipates exceeding its Capacity share as augmented by any leased Capacity and short term lease from the Surplus Capacity Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 33 of 58 Pool. A Party will be required to take appropriate corrective action to decrease the Party's Demand on the Intake Facilities to be within its Capacity ownership as augmented by any leased Capacity and the surplus Capacity pool. A Party shall be deemed to have overused the Intake Facilities if the Party's Demand on the Intake Facilities exceeds the Party's Capacity as described in Sections 8 and 10. Overuse is subject to remedies described in Section 16. 15.2. Overuse Terms If a Party has been notified by the Managing Agency that their instantaneous Demand on the Intake Facilities has exceeded their ownership Capacity as augmented by any leased Capacity and the surplus Capacity pool, and corrective action was not taken to decrease the Demand within their ownership Capacity as augmented by any leased Capacity and the surplus Capacity pool, then the following Overuse Terms shall apply. A Party shall be deemed to have overused the Intake Facilities if the Party's Demand on the Intake Facilities exceeds the Party's Capacity as augmented by any leased Capacity and the surplus Capacity pool by 5%continuously over a 12 hour period for: i)three consecutive days in two consecutive years or ii) three consecutive days in any three years out of a five year period. Overuse also includes a Party's use exceeding its Water Right ownership regardless of the extent of overuse during times of regulation or curtailment per Section 12, unless otherwise approved by the Board. If overuse occurs, then the Party shall be subject to the remedies for overuse terms set forth in Section 16. 16. Remedies for Overuse 16.1. Remedies Considered by the Board To the extent that a Party overuses the Capacity or Water Rights of the Intake Facilities as defined in Section 15 of this Agreement, the Party shall compensate the other Parties as set forth in Section 16.2. When overuse occurs,the Board may Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 34 of 58 require the Party to lease Capacity or Water Rights in the Intake Facilities, reduce Demand on the Intake Facilities, or purchase Capacity in the Intake Facilities, if made available by another Party such that the overuse will cease to occur. Compensation for overuse is described in Section 16.2. The Party that overused the Intake Facilities shall deliver to the Management Committee and the Board a plan to avoid overuse in the future. The plan must include a proposal for a Lease agreement, a Capacity purchase agreement, and/or other measures to eliminate overuse of the Intake Facilities.Nothing herein shall compel a Party to lease or sell Capacity or Water Rights to an overusing Party. The Board shall approve a plan to eliminate overuse by the Party, and the Managing Agency shall monitor the implementation of the plan and report back to the Board. Penalties for overuse may only be waived by the Board. A request for a waiver may be given to the Managing Agency, along with justification for the waiver, to be presented to the Board. 16.2. Compensation To the extent that a Party overuses the Capacity or Water Rights of the Intake Facilities as defined in Section 15 of this Agreement, the Party shall compensate the other Parties. Unless modified by the Board,compensation for overuse shall be five times the firm Lease rate for Capacity, which would have been in effect in the last period described above in which the overuse occurred for the entire period of the overuse(i.e. two consecutive or three out of five years).The amount of Capacity overused for the determination of retroactive compensation shall be equal to the difference between the Party's Capacity as augmented by any leased Capacity or surplus Capacity pool and the Demand imposed by the Party during the overuse period. The compensation for overuse shall be distributed to the other Parties by their ownership Capacity percentage. 17. Expansion and Capital Improvements Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 35 of 58 17.1. Current Expansion As described in the Recitals,the Parties have or will enter into separate agreements to design and construct upgrades for a Capacity Expansion of the Intake Facilities to achieve a design Capacity of 150 MGD. The preliminary concept and layout for the Intake Facilities improvements are shown in Exhibit 2. The preliminary cost allocations for the Intake Facilities improvements are described in Exhibit 11. The process set forth in Sections 17.2 and 17.3 shall not apply to this current Capacity Expansion. 17.2. Future Expansion or Improvement Capacity Expansion of the Intake Facilities refers to any capital improvement project not part of Section 17.1 that results in increased Intake Facilities Capacity. Capacity Expansion or Facilities Modification of the Intake Facilities, to the extent possible, shall be planned for through a Master Plan to be updated not less than every five years. The Managing Agency will lead and facilitate the development of the Master Plan, which will be reviewed and recommended for adoption by the Operations and Finance Committees to the Board. The Managing Agency will conduct the planning and implementation of the Intake Facilities Capacity Expansion,including provision for minimum operational impacts and cost impacts, to the other Parties using the Intake Facilities. A Party will notify the Managing Agency of any proposed Capacity Expansion outside the planned Capacity Expansions including the proposed Capacity and schedule. 17.3. Determination of Future Expansion The Managing Agency will provide notice to the Parties of any proposed Capacity Expansions to determine participation. Parties shall have 120 days from the date they receive notice, with an option for an additional 60 days if requested, in which to respond to the Managing Agency whether they wish to participate in the Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 36 of 58 proposed Capacity Expansion and any proposed conditions for participation. Once participation in the proposed Capacity Expansion is fixed and the scope, budget, and schedule are established,then the non-participating Parties shall have no further opportunity to participate unless all participating Parties approve. Participating Parties will include their proportionate share of the estimated costs in their respective annual budgets. In the case of any proposed Capacity Expansion, a Supermajority of the Board must agree to the proposed Capacity Expansion. If the Board agrees to allow the Capacity Expansion, each Party will have the option to participate in the Capacity Expansion. If not all Parties agree to participate in the Capacity Expansion, then only those Parties electing to participate in the Capacity Expansion will be responsible for all costs related to the Capacity Expansion. The Managing Agency will strive to resolve objections to proposed Expansion prior to a final decision being made with respect to the Capacity Expansion. 18. Sale of Water to Non-Party The Parties agree that sale of water to a non-party shall occur only through the associated Water Treatment Plant agreements. Parties that require Capacity for such sales shall lease Capacity from other Parties to this Agreement pursuant to Section 14 or purchase Capacity from other Parties pursuant to Section 19. 19.Withdrawal and Sale of Interest 19.1. Notification Subject to the notification requirements of the Right of First Offer described in Section 13,one or more Parties("Selling Parties") may sell all or a portion of their ownership Capacity in the Intake Facilities by providing written notice to the Managing Agency and the other Parties. Within 60 days of receipt of the notice, each Party with an interest in acquiring additional Capacity in the Intake Facilities shall respond in writing to the Managing Agency and the Selling Party indicating Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 37 of 58 whether it wishes to purchase all or a portion of the interest in the Intake Facilities, the offer price, and the proposed terms and conditions of the purchase and sale ("Purchase Nomination"). 19.2. Purchase Nomination Recommendation The Managing Agency will review each Purchase Nomination and make a preliminary determination as to whether all Parties submitting a Purchase Nomination ("Purchasing Parties") and Selling Parties can be accommodated in full. If the Managing Agency is a purchaser or seller, then the Management Committee will perform the tasks outlined in this Section. If all Purchasing and Selling Parties can be accommodated in full,the Managing Agency shall notify the Selling Parties and Purchasing Parties of how the reallocation of ownership will be calculated. If all Purchasing and Selling Parties cannot be satisfied in full, then the Managing Agency will confer with the Purchasing and Selling Parties individually or collectively and make a recommendation as to how the total interest designated for sale should be allocated among the Purchasing and Selling Parties. The Managing Agency shall allocate proportionately in order to achieve an equitable and fair solution for the Purchasing and Selling Parties. The Managing Agency will make the recommendation to the Management Committee with respect to the proposed allocation within 30 days after receipt of Purchase Nominations. 19.3. Purchase Negotiations Within 30 days after the Managing Agency makes the recommendation and provides written notice of the proposed allocation(as approved by the Management Committee),the Managing Agency will convene a meeting of the Selling Party and the Purchasing Party to reach final agreement on the allocation of Capacity, the purchase price to be paid and other terms of sale. The Purchasing Party and Selling Party will each designate a representative for negotiations. As a result of the Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 38 of 58 negotiations, one price will be set that will apply to all Selling and Purchasing Parties. 19.4. Purchase Term Sheet All Purchasing Parties and Selling Parties, with the Managing Agency as the facilitator,will have 60 days to negotiate a fair and equitable transaction through a process so that all Purchasing and Selling Parties are privy to all discussions of price and terms resulting in a mutually agreed final reallocation of Intake Facilities ownership and the terms of purchase and sale. The final terms will be reduced to a term sheet for tentative approval by the designated representatives of the Purchasing and Selling Parties. If the Managing Agency is a Purchasing Party or a Selling Party, the Management Committee will assume the facilitator role throughout the purchase and sale process. 19.5. Acceptance or Rejection Within 45 days of approval of a term sheet, each Purchasing and Selling Party will conduct such internal review as it deems necessary and provide written notice of intent to proceed with or decline the transaction to the other Parties and the Managing Agency. If any Purchasing or Selling Party declines,then the Managing Agency will convene the remaining Purchasing and Selling Parties who will then determine how to reallocate the Capacity and adjust their respective purchase price or terms. If there is excess Capacity available,the Managing Agency may also offer the excess Capacity to those Parties who had earlier declined to be a Purchasing Party. Those declining Parties shall have 15 days from notice by the Managing Agency to accept or decline the term sheet as is and without opportunity to vary its terms unless the Purchasing Party and Selling Party mutually agree. 19.6. Purchase and Sale Agreement Once the terms of purchase and sale are determined, the Managing Agency shall Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 39 of 58 notify all Parties of the pending transaction. Purchasing and Selling Parties will prepare the necessary documents for final approval by the governing bodies of the Selling and Purchasing Parties and the transaction will close within 30 days after approval, unless a longer period is agreed to by the Selling and Purchasing Parties. Upon closing of the transaction the Managing Agency will undertake to gather or prepare amended Exhibits and other documents necessary to memorialize the transaction and will enter the revised Capacity allocation and resulting equity interest on the books and records of the Commission. Board approval of the transaction is not required, but the Board will approve the amended Exhibits that reflect the revised Capacity allocations. 19.7. Commission's Purchase Rights If all or a portion of the offered Capacity remains unsold after the exhaustion of the procedure in Sections 19.1 through 19.6 above, the Board will have the right to consider whether to purchase a Selling Party's interest on terms and conditions agreed upon by the Board and the Selling Party. If so acquired, the Commission will hold the Capacity in trust for the benefit of all of the Parties. 19.8. Sale to Municipal Non-Party If all or a portion of the offered Capacity remains unsold after the exhaustion of the procedure in Sections 19.1 through 19.7, then the Selling Parties may seek and obtain offer(s) from a non-Party so long as the non-Party is a Municipal Water Provider and becomes a Party to the Commission and this Agreement. Such offers will be reviewed in accordance with Section 20. 19.9. Party Status If the interests of the Selling Party remain unsold, then the Selling Party will continue as a Party.Upon sale of all ownership interests,the Selling Party will cease Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 40 of 58 to be a Party. 19.10. Water Rights The process described in this Section does not govern the sale or purchase of Water Rights. 19.11. Schedule Participating Parties in any proposed transaction may adjust the schedule provided in this Section as mutually agreed. 20. Admission of New Municipal Parties 20.1. Eligibility Only a Municipal Water Provider is eligible to apply to become a Party and must make a written request to become a Party("Applicant"). 20.2. Applicant Request The Applicant's written request shall state the proposed date of joinder, Demand and Capacity sought to be purchased, identify the quantity and status of Water Rights the Applicant would provide, identify the existing Capacity necessary to serve the Applicant, identify any improvement(s) that would need to be built or expanded to accommodate the Applicant, and other supply sources available to Applicant. 20.3. Consideration by Managing Agency and Board The Applicant shall deliver its request to the Managing Agency who shall then distribute it to the Board and the Management Committee. Each Party's representative of the Management Committee will be responsible for presenting the application to their respective governing bodies for a recommendation to approve or deny. Once the Management Committee reports back the results from each of the Party's respective governing bodies, at the next regularly scheduled Board Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 41 of 58 meeting, the Board will consider the request. A decision to consider an application for admission will require a unanimous affirmative vote of the Board. If the Board determines that the application will not be considered, the Managing Agency will inform the Applicant the request is denied and the matter will be deemed concluded. 20.4. Provision of Additional Information If the Board unanimously votes to consider the admission, the Board, through the Managing Agency,shall request that Applicant provide all information as the Board deems necessary,in its sole discretion,to adequately consider the matter. This may include a request for oral presentation by Applicant's staff and/or elected officials. 20.5. Term Sheet Based on the information submitted, the Board shall determine if there is unanimous interest to continue to consider the request. If so, then the Managing Agency shall deliver a term sheet to the Applicant defining the terms and conditions for joinder, including but not limited to the date of joinder, the method of payment for existing Capacity and Applicant's obligations for construction of new Intake Facilities or expansion of existing Intake Facilities. 20.6. Applicant Review of Term Sheet and Negotiation The Applicant shall have 30 days from the receipt of the term sheet to accept or decline the term sheet, or propose modified terms. If the term sheet is acceptable to the Applicant and the Board, or if the Applicant and the Board negotiate and reach agreement within 30 days on the proposed modified terms, the Managing Agency shall cause a joinder agreement to be prepared for approval by the Applicant and the Board. If declined,the matter will be deemed terminated without any further action. 20.7. Sale or Transfer to Applicant Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 42 of 58 In accordance with Section 19, if an existing Party wishes to sell or transfer Capacity ownership to an Applicant, the Party seeking to sell shall give notice to the Managing Agency as provided in Section 19, Sale of Interest. The Party shall also include a written statement of its intent to sell. Thereafter, the evaluation of the Applicant and terms and conditions of joinder shall follow the process of Applicant request under this Section concurrent with the Sale of Interest provisions of Section 19 for the Selling Party and remaining Parties. 21. Indemnity 21.1. Indemnification of Board, Officers and Employees Except as may otherwise be provided by contractual agreement between the Commission or Board and any agent of the Commission, including but not limited to the Managing Agency, the Commission shall defend and indemnify any Board member, officer, committee member, employee or agent of the Commission who was or is a party, or is threatened to be a party, to any threatened or actual action, suit or proceeding, whether civil, criminal, administrative or investigative (other than an action by the collective Parties under this Agreement),by reason of the fact that such person is or was a Board member, officer,committee member,employee, or agent of the Commission, against all reasonable expenses, attorney fees, judgments, fines and amounts paid in settlement actually and reasonably incurred by said person in connection with such suit, action or proceeding if such person acted in good faith and such person reasonably believed his or her conduct to be lawful. The termination of any action, suit, or proceeding by judgment, order, settlement, or conviction, or with a plea of nolo contendere or its equivalent shall not in and of itself create a presumption that the person did not act in good faith or did not reasonably believe his or her conduct to be lawful. Payment under this clause may be made during the pendency of such claim, action suit or proceeding Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 43 of 58 as and when incurred, subject to the right of the Commission to recover such payment from such person, should it be proven at a later time that such person had no right to such payments. Any person who is ultimately held liable for his/her good faith and reasonably believed to be lawful actions on behalf of the Commission as a Board Member, officer, committee member, employee, or agent of the Commission shall be fully covered by this indemnity. Any person who is ultimately held liable but is determined by the Board to have acted in bad faith or without reasonably believing his or her conduct to be lawful shall not be indemnified by the Commission but may have a right of contribution over and against any other Board Members, officers, committee member, employees, agent of the Commission,or Parties who, in bad faith or without reasonably believing his or her conduct to be lawful,participated in the action that created said liability. As used herein, "person" refers to an individual or an entity. 22.Default 22.1. Generally A Party is deemed in Default of this Agreement if the Party violates any provision of this Agreement or fails to perform an obligation required to be performed or otherwise breaches this Agreement. An Event of Default shall be deemed to have occurred if the Defaulting Party fails to cure the Default within the cure period designated in this Section. 22.2. Notice of Default and Cure A written notice of Default ("Notice of Default") shall be delivered to the Party in Default ("Defaulting Party") by the Managing Agency, acting at the direction of the Board. The Notice must specify the nature of the Default and provide a specified period to cure the Default or otherwise reasonably commence to cure the Default in a diligent manner. A reasonable cure period ("Cure Period") shall be Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 44 of 58 deemed to be 30 days unless another time for cure is set by the Board and contained in the Notice of Default. The Notice of Default may also include a requirement to engage in the Dispute Resolution process. A copy of the Notice of Default shall be delivered to all other Parties. Specific provisions relating to Default by the Managing Agency are found in Section 24. 22.3. Response by Defaulting Party 22.3.1. Nonpayment Default The alleged Defaulting Party shall either: (1) make payment in full by the date set in the Default notice; (2)submit a plan for repayment that the Board must approve; or(3)request Dispute Resolution. The Cure Period for non- payment is a 30 day period, but the Board may, in its sole discretion, approve a payment plan in extraordinary circumstances. 22.3.2. Other Defaults The Defaulting Party must: (1)cure the Default by the Cure Period set forth in the Notice of Default; (2) state why the Default cannot be cured within the Cure Period, what efforts the Defaulting Party has made to Cure the Default and provide a reasonable plan to cure the Default; or (3) request Dispute Resolution. The Board must approve the plan for cure and if not approved, an Event of Default will be declared. If Dispute Resolution is requested by the Defaulting Party of the Board, then that process will be followed. 22.3.3. Failure to Cure Failure to cure the Default within the allowed Cure Period will result in the Declaration of an Event of Default, and a Final Notice to Cure will be delivered to the Defaulting Party by the Managing Agency. The Final Notice to Cure will contain one final allowed Cure Period. Failure to cure Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 45 of 58 the Event of Default within Final Notice of Default Cure Period will result in a Declaration of Default and the Remedies for Default will apply. 23. Remedies 23.1. Determination of Remedy Upon Declaration of an Event of Default, the Board will determine an appropriate remedy. The Defaulting Party will not have voting privileges regarding the appropriate remedy and a Supermajority vote of the remaining Board Members shall be required to determine the remedy. The imposition and scope of remedies by the Board is subject to Dispute Resolution. In making a determination of remedy for the Default, the remaining Board Members shall consider: 23.1.1. The nature of and severity of the Event of Default and resulting impact on the other Parties; 23.1.2. Whether the factors leading to the Event of Default were beyond the reasonable control of the Defaulting Party; 23.1.3. The Defaulting Party's history of performance and satisfaction of obligations and duties under this Agreement; 23.1.4. The Defaulting Party's responsiveness and cooperation to cure the Event of Default, including consideration of how proactive the Defaulting Party was in revealing the Default. 23.1.5. Other factors that the Board deems relevant. 23.2. Potential Remedies for Consideration by the Board The Board may consider all remedies available at law, or in equity, for breach of this Agreement as provided in this Section and Section 24. The purpose of the remedy is to make all non-Defaulting Parties whole and to bring the Defaulting Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 46 of 58 Party into compliance, if possible. The remedies, until the Event of Default is cured, may include,but not be limited to, the following: 23.2.1. Loss of Voting Privileges The loss of voting privileges such that a Supermajority of the remaining Members of the Board may conduct business without the Defaulting Party until the Defaulting Party fully cures the Event of Default. 23.2.2. Money Damages The Board may recover money damages for additional costs of service, costs of capital and other actual costs incurred by the other Parties resulting from the Default, plus interest at the statutory judgement rate of interest from the date of Default. 23.2.3. Termination of Service The Board may elect: (1) to terminate water deliveries to the Defaulting Party until the Event of Default is cured, if the Defaulting Party has other sources of water sufficient to meet Non-peak Season average daily demands,or(2)reduce water deliveries so that the Intake Facilities provides only enough water to meet Non-peak Season average daily demands when combined with the Defaulting Party's other sources. 23.2.4. Expulsion In cases of repeated Defaults by the Defaulting Party, the Board may expel the Defaulting Party from the Commission and require the Defaulting Party to sell their Capacity ownership in the Intake Facilities. The removed Defaulting Party may ask to be a wholesale finished water supply purchaser from either Water Treatment Plant. 23.2.5. Litigation Subject to Section 22 and 23, if the Event of Default is not cured or the Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 47 of 58 Board imposed Remedies are not complied with and the Dispute Resolution process has been waived or unsuccessful, any Party may file a lawsuit and seek available remedies under Oregon law. 23.3. Suspension of Legal Remedies Imposed by the Board A Default may be addressed using the Dispute Resolution process described in Section 25. If Dispute Resolution has been requested,then the Remedy provisions of Section 23 will be suspended until the Dispute Resolution process is exhausted. Notwithstanding the foregoing, if the Default is of a nature that it poses a health risk to any user of the Intake Facilities or could cause damage to the Intake Facilities. Water Treatment Plants, or the Real Property, then the Board or any aggrieved Party may seek immediate equitable relief without waiting for initiation or completion of any Dispute Resolution. 24. Default by the Managing Agency 24.1. Generally This Agreement obligates the Managing Agency to manage the business affairs of the Commission for the mutual benefit of all Parties to consistently deliver water from the Intake Facilities to their respective Water Treatment Plants. If the Managing Agency is also a Party and is alleged to be a Defaulting Party, a Supermajority of the remaining Board Members shall designate another Party to act as the facilitator for the Default. Based on the nature of the Default, the Board may also remove the Managing Agency from some or all Managing Agency duties pending Dispute Resolution, mediation, arbitration, or litigation, as the case may be. The following provisions shall apply to a Default by the Managing Agency, unless other Default provisions are contained in a separate Managing Agency contract, with the Managing Agency and are stated to control and supersede over these provisions. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 48 of 58 24.2. Notice of Default and Cure A written Notice of Default shall be delivered to the Managing Agency by the Board following a Supermajority vote of the remaining Members of the Board. The Managing Agency serves at the will of the Board. Therefore, the Notice may include a Notice of Termination of the Managing Agency, which termination may be immediate for acts or omissions such as gross negligence, malfeasance or dishonesty in financial practices, or at the end of a specified period of time set by the Board in the Notice. The Board must consider and provide a plan of transition if the Notice includes termination. If a Notice of Default with an opportunity to cure the Default is given, the Notice must specify the nature of the Default and provide a specified period in which to cure the Default or otherwise reasonably commence to cure the Default in a diligent manner. A reasonable cure period ("Cure Period") shall be deemed to be 30 days unless another time for cure is set by the Board and contained in the Notice of Default. The Notice of Default may also include a requirement by the Board for the Managing Agency to engage in the Dispute Resolution process. A copy of the Notice of Default shall be delivered to all Parties. If the Managing Agency is a Party and the Board does not elect to terminate the Managing Agency, the Board may vote to temporarily remove the Managing Agency from some or all of its duties pending a cure of the Default. 24.3. Event of Default The Managing Agency shall be deemed in Default of this Agreement if it fails to perform any obligation required to be performed by the Managing Agency under this Agreement or through a separate Managing Agency contract. An Event of Default shall be deemed to have occurred if the Managing Agency fails to cure the Default within the Cure Period designated in this Section 24.2, if any Cure Period Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 49 of 58 is allowed. If no Cure Period is given, then the Default shall be deemed to be an immediate Event of Default. 24.4. Remedies If the Managing Agency commits an Event of Default, the Commission may seek any remedy available to it, at law or in equity. Such remedies include but are not limited to money damages, including restitution; specific performance; injunctive relief; and termination of the Managing Agency's contract. The Board, at its sole discretion, may enter into the Dispute Resolution process described in Section 25 if requested by the Managing Agency. 25. Dispute Resolution This Agreement obligates the Parties to cooperate in the ownership and operation of the Intake Facilities for the mutual benefit of all Parties to consistently deliver water to their respective Water Treatment Plants. The Intake Facilities are the foundation of the other water system assets and Water Treatment Plants of the Parties. To that end,the Parties agree that each Party should bring forward issues regarding past performance or anticipated performance of obligations and duties at the earliest reasonable opportunity so that all Parties can proactively work toward solutions in an attempt to avoid a formal declaration of default. This Dispute Resolution process is provided to encourage informal resolution through negotiation among the Parties' staff, executives or elected officials before resorting to a formal process using mediation, arbitration, or litigation. 25.1. Notice of Dispute Except in the case of a Default, any dispute shall be submitted in writing to the Management Committee. The Management Committee has 30 days from the date of notice to meet with the affected Parties to resolve the dispute. If the Management Committee does not resolve the dispute within the 30 day period,it shall be referred to mediation. In the case of a Default, either the Defaulting Party or the Board may Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 50 of 58 demand Dispute Resolution at any time during the Default process or within 10 days following imposition of any of the Remedies by the Board or the court, as set forth above. If Dispute Resolution is not requested during that time period, it shall be deemed waived and any aggrieved Party may proceed to litigation. 25.2. Mediation A Party desiring mediation shall provide the other Parties with a written notice ("Request to Mediate"),which shall set forth the nature of the dispute. The Parties will thereafter cooperate in good faith to select the mediator within 14 days of either Party requesting mediation, and may adopt any procedural format that seems appropriate for the particular dispute. Mediation should be scheduled within 14 days of selection of the mediator, or as soon as possible,based on availability. In the event the Parties cannot agree on a mediator, the Parties will ask the Presiding Judge of Clackamas County Circuit Court to appoint a mediator. The mediator will then set the ground rules for the mediation. The Parties will share the mediation costs as agreed upon with the mediator. If a written settlement agreement is not reached by the Parties within 60 days from the date of the Request to Mediate, or such longer time frame as may be agreed upon, in writing,by the Parties,then the Parties may commence litigation. If the mediation fails the Parties may agree to binding arbitration. If all Parties do not agree to arbitrate, then any Party may seek legal relief through the Circuit Court of Clackamas County, or U.S. District Court if jurisdiction is available. 25.3. Arbitration If the Parties agree to enter into binding arbitration, selection of the arbitrator,time frame for arbitration, and ground rules for arbitration will be agreed upon at that time. Any arbitrator or arbitrators selected must have a minimum of 10 years' of municipal law experience,unless the Parties mutually agree, in writing, otherwise. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 51 of 58 25.4. Injunctive Relief and Specific Performance A Party may seek and obtain immediate equitable relief before or during the Dispute Resolution process and as described in Section 23.3. 25.5. Attorney Fees Each Party shall bear its own legal fees and expert witness fees and all other costs in any Dispute Resolution process, including litigation. 26. Dissolution The Parties may desire to dissolve the Commission. Dissolution of the Commission shall require an affirmative vote of each Party's governing body. Dissolution shall occur no later than five years from the date of the last affirmative vote to dissolve and no sooner than two years, unless the governing body of each Party agrees to a different deadline. If the Commission is not dissolved then any Party(ies) seeking dissolution may elect to terminate and withdraw as described in Section 19. If the Commission is dissolved, the Easement for the Intake Facilities in Exhibit 1 will be automatically terminated. 26.1. Plan of Dissolution The Managing Agency will develop a dissolution plan to wind up business affairs, to be reviewed and approved by the Management Committee before it is presented to each Party's respective governing body. The dissolution plan must provide for among other things: (1) the continued operation of the Intake Facilities while the dissolution plan is implemented; (2) an accounting of assets and liabilities; (3) provisions for the payment of debts and obligations, including assumption of future payment for ongoing debts and obligations along with appropriate indemnity provisions as the Parties mutually agree; (4) the creation of a reserve account for known, unforeseen, and contingent liabilities; (5) a plan for liquidation of the assets; and (6) a mechanism for distribution of asset proceeds and excess funds among the Parties in accordance with their ownership interest, following payment Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 52 of 58 of all liabilities and obligations related to the Intake Facilities. 26.2. Transfer of Capacity Ownership The dissolution plan may provide for transfers of Capacity ownership, for cash or other consideration, from a Party that seeks complete divestiture of ownership to a Party who plans to remain and withdraw water from the Willamette River at the Intake Facilities. The dissolution plan must provide for appropriate documents to vest proportionate ownership as tenants in common for owners that remain in joint ownership of the Intake Facilities. 26.3. Disputes Any dispute regarding dissolution, the dissolution plan, division of Capacity or transfer of Capacity shall be first subject to the Dispute Resolution process of Section 25 and, if not resolved in Dispute Resolution or mediation, then as determined by the Circuit Court of Clackamas County under ORS 190.020 (2). 27. General Provisions 27.1. Warranties and Representations Each Party hereto warrants and represents that it has the legal authority to enter into this Agreement. 27.2. Ordinance of the Governing Body Each Party to this Agreement hereby represents that it has undertaken or will undertake the necessary public procedures to approve an ordinance in accordance with ORS 190.085. The ordinance shall authorize the Party's representatives to the Board of the Commission to modify the Exhibits to this Agreement as provided in Section 27.6. The Parties further agree that they shall file with the Secretary of State, within 30 days after the Effective Date, the filings described in ORS 190.085(2). Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 53 of 58 27.3. Insurance Requirements The insurance requirements and limits necessary for the operations of the Intake Facilities are described in Exhibit 12 and shall be purchased and maintained at all times. The requirements will be reviewed by the Board annually, and modified when necessary per recommendations from the Managing Agency. 27.4. Other Agreements Each Party warrants that entry into this Agreement will not constitute a default under any other agreement or covenant the Party may be bound to. 27.5. Interpretation Unless a clear contrary intention appears: (a)reference to any person includes such person's successors and assigns but, if applicable, only if such successors and assigns are peinutted by this Agreement, and reference to a person in a particular capacity excludes such person in any other capacity; (b) reference to any gender includes each other gender; (c) reference to any agreement (including this Agreement), document or instrument means such agreement, document or instrument as amended or modified and in effect from time to time in accordance with the terms thereof and, if applicable, the terms hereof; (d) reference to any Section, Schedule or Exhibit means such Section, Schedule or Exhibit to this Agreement, and references in any Section, Schedule, Exhibit or definition to any clause means such clause of such Section, Schedule, Exhibit or definition; (e) "hereunder," "hereof," "hereto," "herein," and words of similar import are references to this Agreement as a whole and not to any particular Section or other provision hereof; (f) relative to the determination of any period of time, "from" means "from and including", "to" means "to but excluding," and "through" means "through and including"; (g)"including" (and with correlative meaning "include") Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 54 of 58 means including without limiting the generality of any description preceding such term; (h) reference to any law (including statutes and ordinances) means such law as amended,modified, codified or reenacted, in whole or in part, and in effect from time to time,including rules and regulations promulgated thereunder; and reference to a singular number or person may include the plural number or person, and the plural number or person the singular. 27.6. Exhibits The Parties agree that the Exhibits to this Agreement may be modified or amended by the Commission without other modification or amendment to this Agreement and without approval by the governing body of each Party. Upon execution of this Agreement, the Parties have agreed to include Exhibits 1 through 13, attached hereto and incorporated by reference. The purpose and intent of specific exhibits are set forth in other parts of this Agreement. Exhibits consisting of other agreements or contracts among other Parties to this Agreement, or with outside parties, may only be modified by consent of all of those named Parties/parties to those other agreements or contracts and not by the Commission without the consent of those other Parties/parties. 27.7. Existing Agreements Existing Agreements between some or all of the Parties that affect or are affected by the Intake Facilities that are the subject of this Agreement are identified in Exhibit 13. These related agreements are not superseded or modified by this Agreement. Nothing in this Agreement shall be construed to require any alteration or modification of any other Existing Agreement. Specifically,the duration of this Agreement does not alter or extend the term of the Ground Lease. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 55 of 58 27.8. Periodic Review Exhibits shall be reviewed at least annually by the Board. Exhibits must be updated by resolution of the Board when ownership percentages change, new or expanded Capacity is placed in service,a new Party joins,an existing Party withdraws,or one or more Party(ies) purchases or sells an interest in the Intake Facilities. 27.9. Severability Should any provision of this Agreement be rendered invalid by a court of competent jurisdiction or arbitrator with authority to render a provision invalid, it is agreed that every other part of the Agreement shall remain in full force and effect. 27.10. No Joint and Several Liability Each Party to this Agreement assumes its own rights and obligations and does not assume the rights and obligations of any other Party. 27.11. Counterparts This Agreement may be signed in one or more counterparts, and each counterpart shall be deemed to be an original instrument. 27.12. Amendments and Modifications Except as provided in Section 27.6 for Exhibits, any modification or amendment to this Agreement requires unanimous approval of the Board and an affirmative vote of the governing bodies of all Parties. The amended Agreement must be signed by all Parties upon approval. 27.13. Judicial Review and Attorney Fees This Agreement and its construction shall be governed by and construed in accordance with the laws of the State of Oregon without regard to principles of conflicts of law. Any claim, action, suit or proceeding between the Parties that arises from or relates to this Agreement shall be brought and conducted solely and Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 56 of 58 exclusively within the Circuit Court of Clackamas County for the State of Oregon. In any such claim, action, suit, or proceeding, the Parties shall bear their own fees and costs including attorney fees. 27.14. Third Parties Except as expressly provided otherwise in this Agreement, the provisions of this Agreement are for the exclusive benefit of the Parties hereto and not for the benefit of any other persons, as third-party beneficiaries or otherwise, and this Agreement shall not be deemed to have conferred any rights, express or implied, upon any person not a Party to this Agreement. 27.15. Non-Waiver Failure of any Party at any time to require performance of any provision of this Agreement shall not limit the Party's right to enforce the provision, nor shall any waiver of any breach of any provision be a waiver of any succeeding breach of the provision or a waiver of the provision itself or any other provisions. 27.16. Time of the Essence Time is of the essence of each and every term, covenant, and condition set forth in this Agreement. 27.17. Further Assurances Each Party agrees that it will reasonably consider cooperation in the execution of other documents and/or performance of other action as may be reasonably requested by another Party to more effectively consummate or achieve the purposes or subject matter of this Agreement. 27.18. Signing Authority Each person signing this Agreement on behalf of a Party hereby warrants actual authority to bind their respective Party. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 57 of 58 TUALATIN VALLEY WATER CITY OF WILSONVILLE DISTRICT By: By: Tim Knapp, Mayor Richard Burke, President APPROVED AS TO FORM APPROVED AS TO FORM By: By: Clark Balfour,District Counsel Barbara Jacobson, City Attorney CITY OF SHERWOOD CITY OF HILLSBORO By: By: Lee Weislogel,Mayor Michael Brown, City Manager APPROVED AS TO FORM APPROVED AS TO FORM By: By: Josh Soper, City Attorney Christopher Crean, City Attorney CITY OF TIGARD CITY OF BEAVERTON By: By: John Cook, Mayor Dennis Doyle,Mayor APPROVED AS TO FORM APPROVED AS TO FORM By: By: Shelby Rihala,City Attorney Peter Livingston,City Attorney Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 58 of 58 Exhibit 1 -Intake Facilities Easement After recording, return to: City of Wilsonville Attn: Legal Department 29799 SW Town Center Loop East Wilsonville OR 97070 INTAKE FACILITIES EASEMENT KNOW ALL BY THESE PRESENTS, that the City of Wilsonville, a duly chartered home rule municipal government of the State of Oregon ("Grantor Wilsonville"), and Tualatin Valley Water District, a duly organized water supply district under Oregon Revised Statutes (ORS) Chapter 264 ("Grantor TVWD") (hereinafter collectively referred to as "Grantor"), as the legal owners of that certain real property described below ("Property"), for the consideration hereinafter stated, do hereby grant and convey unto the Willamette River Intake Facilities Commission, an ORS Chapter 190 entity of the State of Oregon (hereinafter referred to as "Grantee"), a permanent Intake Facilities Easement ("Easement"), effective the day of 2018 ("Effective Date"), in, under, across, and along the full width and length of that certain land owned by Grantor ("Easement Area") and legally described and depicted as follows: See Exhibit A, Easement legal description, and Exhibit B, drawing of Easement Area showing Intake Facilities, attached hereto and incorporated by reference as if fully set forth herein. The true and actual consideration paid for this Easement, stated in terms of dollars, is Zero Dollars, but consists of value given or promised, which is agreed by Grantor and Grantee to be whole and adequate consideration. TO HAVE AND TO HOLD the above-described Easement unto said Grantee for the benefit of the Grantee, in accordance with the conditions and covenants as follows: 1. Scope of Easement. Pursuant to the terms of the Willamette Intake Facilities Intergovernmental Agreement, dated , 2018 (the "IGA"), this Easement grants to Grantee the right, privilege, and authority to access, construct, inspect, operate, maintain, repair, replace, and remove the Intake Facilities. Grantor, upon request of Grantee, will authorize reasonable temporary work areas outside of the permanent easement area for a reasonable time period required for Grantee to perform construction, maintenance, repair, or replacement of the Intake Facilities. As used herein, Intake Facilities means the existing or upgraded Intake Facilities used to withdraw and transmit water from the authorized diversion point in the Willamette River to the agreed System Separation Point between the Willamette River Water Treatment Plant and the Willamette Water Supply System Water Treatment Plant. The System Separation Point means that point shown where the Intake Facilities terminate and water from the caisson of the Intake Facilities is separated by pumps into untreated water pipes conveying water to the two above-referenced Plants. There will be items beyond the System Separation Point that are separately owned and are Intake Facilities Easement Page 1 Exhibit 1 -Intake Facilities Easement not assets of Grantee but rather are some assets owned by Grantor and some assets owned by only certain of the Grantees, as depicted on Exhibit B. The Intake Facilities and the System Separation Point, as noted on Exhibit B are all Permanent Assets and can remain with the Easement Area. All of those assets are permitted and will remain within the Easement Area. Except those buildings or structures depicted on Exhibit B, and for existing structures or improvements already located within the Easement Area, including but not limited to the pedestrian bridge, no buildings or structures shall be constructed within the Easement Area that would materially impede access to Grantee's Intake Facilities. Grantor shall, however, continue to have full access to the Easement Area and use of the same as long as the use does not unreasonably interfere with the uses granted to Grantee herein. Any expansion of the Intake Facilities beyond those shown on Exhibit B will require written approval of Grantor and an amendment to this Easement. Attached hereto as Exhibit C is a copy of Pipeline Easement No. 22670-EA from the Division of State Lands (DSL)to Grantor City of Wilsonville for that area at or below the ordinary low water mark which allows for the current in-water facilities. As part of this Easement, Grantor Wilsonville allows Grantee to exercise Wilsonville's rights under this DSL Easement, provided Grantee complies with all provisions. Grantor and Grantee understand the DSL Easement may need to be amended,with such amendment subject to DSL approval, in order to accommodate the new Intake Facilities. Grantor Wilsonville will use good faith efforts to work with DSL to obtain any such amendment, if needed. 2. Definitions. Capitalized terms not defined herein are as defined in the IGA. 3. Security. Grantee acknowledges and agrees that the Easement Area is currently and must remain a secure area and that access to the Easement Area must be closely monitored by Grantor Wilsonville. Therefore, except in the case of an emergency, Grantee shall give Grantor Wilsonville at least a 24-hour notice (may be by email or telephone) that Grantee will be coming to the Easement Area. In all cases, Grantee must sign in at the Willamette River Water Treatment Plant administration building before entering the Easement Area. While on site, Grantee must follow the Willamette River Water Treatment Plant security protocol. The administration building is staffed 24 hours a day, seven days a week. If this staffing protocol should ever change, Grantee will be given another means of immediate access (after required notice) before any change is made. Grantee shall give as much notice as reasonably possible in the case of an emergency. If Grantee wishes to come on to the Easement Area for routine operations, maintenance, or inspection and has not given at least 24 hours' advance notice, Grantee may contact Grantor Wilsonville and ask permission to come onto the Easement Area with shorter notice. Grantor Wilsonville may deny any shorter request that would interfere or conflict with already planned operations of the Willamette River Water Treatment Plant. 4. AS IS CONDITION. Except for warranty of title, Grantor makes no other representations or warranties with regard to the condition or suitability of the Easement Area for Grantee's intended use. This disclaimer of any and all warranties, excepting warranty of title, includes, but is not limited to, the environmental condition of the Easement Area and adjacent lands. It is Grantee's sole responsibility to conduct environmental due diligence and remediation for the Easement Area and any required archeological studies, if applicable, prior to construction. If any environmental hazards are discovered within the Easement Area, Grantee will be solely responsible for clean-up and remediation unless Grantee can prove that a Hazardous Substance release was caused by Grantor after the Effective Date of this Easement. Grantor will not be responsible to Grantee for the clean-up or remediation of any pre-existing environmental hazards, releases, or contamination. Grantee shall also be responsible for any exacerbation by Grantee of Intake Facilities Easement Page 2 Exhibit 1 -Intake Facilities Easement any Hazardous Substance release that was caused by either Grantor after the Effective Date, but only to the extent of the exacerbation as long as Grantee had not been made aware of the condition caused by Grantor after the Effective Date and prior to the action that caused the exacerbation. Grantor's limited post-Effective Date responsibility for any Hazardous Substance condition within the Easement Area will apply only to the Grantor who actually caused the Hazardous Substance release after the Effective Date, and not to the other member of the collective Grantor(s). As used herein, "Hazardous Substances" include, but are not necessarily limited to, any substance, material, or product defined or designated as hazardous, toxic, radioactive, or dangerous, regulated wastes or substances, or any other similar term in or under any Environmental Laws as now apply or may apply in the future. 5. Damage and Restoration. Grantee, upon the initial expansion and construction of the Intake Facilities, and upon each and every occasion that the same be occupied for inspection, repair, replacement, addition to, or removal, shall restore the Easement Area and any improvements disturbed by Grantee, including but not limited to the pedestrian ramp, if any, to the same or better condition and repair, unless Grantor mutually agrees to some other proposed condition. Grantee shall be responsible to follow all City of Wilsonville public works and permitting standards during construction and shall be liable for all repair and restoration of any damage caused by Grantee's use of or operations within the Easement Area. Grantee shall also be liable to reimburse Grantor for any damage to Grantor's adjoining property caused by Grantee's construction or operations. Grantee shall have no obligation, however, to restore any building or structure placed within the Easement Area in violation of Paragraph 1. 6. Relocation. Grantor, or any one of them, may request relocation of the Easement Area and Intake Facilities impacted thereby, provided that such request for relocation is subject to written approval by Grantee, which approval shall not be unreasonably withheld or delayed. If requested by one Grantor, the other Grantor must also approve the requested relocation, in writing. If approved,the cost of relocation shall be at the requesting Grantor's sole expense. 7. Duration of Easement. This Easement begins on the Effective Date and will remain in place for as long as the Intake Facilities are used to transmit water to Grantee's water treatment plants for public consumption. Nothing contained herein, however, including duration, shall be construed in any way to alter or extend the term of the Ground Lease (wherein Grantor Wilsonville is the lessor) for the water pipeline currently used to convey water from the Intake Facilities to the Willamette Water Supply System Water Treatment Plant. If the Ground Lease is terminated, it will be incumbent upon Grantee to find another route to move the water from the Intake Facilities to its destination. 8. Abandonment. If the Intake Facilities are not used for a period of two years by Grantee, this Easement shall be deemed abandoned unless such lack of use is due to damage, destruction, reconstruction, or another event that temporarily prevents use by Grantee, and Grantee has made Grantor aware of the interruption in use and is exercising good faith to restore use. Notwithstanding the foregoing, if the Easement is not used for a period of seven years or longer, it will be deemed abandoned and this Easement will terminate. A delay in completion of construction of the Willamette Water Supply System Water Treatment Plant will not be considered an abandonment if longer than two years, as long as the construction is ongoing. Intake Facilities Easement Page 3 Exhibit 1 -Intake Facilities Easement 9. Insurance. Grantee will maintain and abide by the insurance requirements set forth in the 1GA and will name Grantor as additional insureds with respect to this Easement. In addition, during construction activities and any time Hazardous Substances are being used within the Easement Area, other than in small quantities as generally needed for landscaping or as cleaning supplies, Grantee or Grantee's contractor shall carry full environmental coverage, including sudden and accidental and gradual release pollution liability coverage that will cover, among other things, environmental damage, any spillage of chemicals, fuels, oils, lubricants, de-icing, anti-freeze, or other hazardous materials, or disturbance of any Hazardous Substances during the performance of any work on the pipeline and/or other activities in the Easement Area or as a result of any pipe rupture, leakage, or other failure, written on an "occurrence" form policy. Grantee will be fully responsible for the cost of any clean-up of any released materials or disturbance, in accordance with Oregon Department of Environmental Quality ("DEQ") and Federal Environmental Protection Agency ("EPA") clean-up requirements. The amount of coverage will be agreed by Grantor and Grantee to be reasonable given the type of construction activity. Whatever the coverage might be, however, will not limit Grantee's liability or responsibility for any environmental damage claim or Hazardous Substances release. If said insurance is carried by Grantee's contractor, in lieu of Grantee, then Grantee must ensure that Grantor is named as an additional insured on the pollution policy in accordance with all requirements for naming Grantor as an additional insured. Nothing contained herein, however, shall be construed as a limitation on liability. Grantor shall maintain a direct right of action against Grantee and shall not be required to first seek relief through the insurance carrier or general contractor. 10. Grantee's General Indemnity. Grantee agrees to defend (using legal counsel reasonably acceptable to Grantor, taking into account insurance defense requirements), indemnify, reimburse, and hold harmless Grantor from and against any and all claims, demands, damages to person or property, including Grantor's own property, causes of action for injury or death, fines, penalties, expenses, costs, fees (including, but not limited to, attorney, accountant,paralegal, expert, and escrow fees), liabilities, losses, proceedings, and/or suits that may be imposed on or claimed against Grantor, in whole or in part, directly or indirectly, arising from or in any way connected with: (a)any act, omission, or negligence by Grantee or its partners, officers, directors, members, managers, agents, employees, invitees, contractors, subcontractors, and suppliers; (b) any use, occupation, management, or control of the Easement Area by Grantee, including, but not limited to, the sudden or accidental release of raw water that causes damage to person or property; (c) any condition created in or about the Easement Area by Grantee, including any accident, injury, or damage occurring on or about the Easement Area during the term of this Easement, unless caused by Grantor or a third party unrelated to Grantee; (d)any breach, violation, or nonperformance of any of Grantee's obligations under this Easement; or (e) any damage caused on or to the Easement Area during Grantee's use or occupancy thereof, unless caused by Grantor or a third party unrelated to Grantee. As used throughout this Easement, "Grantee" includes all of Grantee's partners, officers, directors, members, managers, agents, employees, invitees, contractors, consultants, and suppliers. This indemnity shall apply to any claim, however caused, or regardless of the legal grounds and basis, in which Grantor is named. 11. Grantee's Environmental Indemnity. Grantee will be solely responsible for and agrees to defend (using legal counsel reasonably acceptable to Grantor, taking into account insurance defense requirements), indemnify, and hold harmless Grantor from and against all environmental costs claimed against or assessed against Grantor arising, in whole or in part, from acts or omissions of Grantee (including Grantee's own employees, agents, contractors, or suppliers) Intake Facilities Easement Page 4 Exhibit 1 -Intake Facilities Easement on or about the Easement Area. Grantee will be responsible to promptly and fully address and remediate any claims for natural resources damages, as directed by the agency assessing such damage claim. Notwithstanding the foregoing, Grantee will not be responsible for, and does not indemnify Grantor for, any actions of Grantor, including Grantor's own employees, agents, contractors, suppliers, or any other tenant of Grantor, that cause environmental damage or a violation of any environmental law within the Easement Area occurring after the Effective Date of this Easement. 12. Condemnation. If the Easement Area or any interest therein is taken as a result of the exercise of the right of eminent domain or under threat thereof(a "Taking"), this Easement will terminate with regard to the portion that is taken by condemnation authority. If Grantee determines that the portion of the Easement Area taken does not feasibly permit the continuation of the operation of the Intake Facilities,this Easement will terminate. The termination will be effective as of the date of the Taking. Any condemnation award relating to the land will be the property of Grantor. Grantee will not be entitled to any proceeds of any such real property award, except Grantee will be entitled to any compensation attributed by the condemning authority to Grantee's ownership interest in the Intake Facilities and relocation expense and loss or interruption of business. 13. Legal Effect and Assignment. This Easement runs with the land and shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns. 14. Defaults and Disputes. Any legal action based on an alleged violation of this Easement will be brought in Clackamas County Circuit Court in the State of Oregon, and all remedies available at law or in equity will be available to the aggrieved Grantor(s) or Grantee. Except in those cases where either Grantor(s) or Grantee determines that equitable relief, including injunctive relief or specific performance, is needed, Grantor and Grantee agree to follow the mediation provision set forth in the IGA. In the case of equitable relief, either Grantor or Grantee may apply for immediate relief from the Court. 15. Legal Action/Attorney Fees. If a suit, action, or other proceeding of any nature whatsoever (including any proceeding under the U.S. Bankruptcy Code) is instituted in connection with any controversy arising out of this Easement or to interpret or enforce any rights or obligations hereunder,the prevailing party shall be entitled to recover attorney,paralegal, accountant, and other expert fees and all other fees, costs, and expenses actually incurred and reasonably necessary in connection therewith, as determined by the court or body at trial or on any appeal or review, in addition to all other amounts provided by law. Payment of all such fees shall also apply to any administrative proceeding, trial, and/or any appeal or petition for review. This attorney fee provision will not apply to mediation proceedings conducted pursuant to the IGA. 16. Governing Law. This Easement will be governed in accordance with the laws of the State of Oregon. 17. Nonwaiver. Any failure to enforce any provision of this Easement will not be deemed a waiver of the right to enforce that provision or any other provision of this Easement. Intake Facilities Easement Page 5 Exhibit 1 -Intake Facilities Easement 18. Severability. If any provision of this Easement is found to be void or unenforceable, it is the intent of the parties that the rest of the Easement shall remain in full force and effect, to the greatest extent allowed by law. 19. Modification. This Easement may not be modified unless signed by Grantor and Grantee and the modification is recorded. 20. Time of the Essence. Time is of the essence in performance of this Easement. 21. Recording. The fully executed original of this Easement shall be duly recorded in the Deed Records of Clackamas County, Oregon. 22. Notices. Any notice required or permitted under this Easement shall be in writing and shall be given when actually delivered in person or 48 hours after having been deposited in the United States mail as certified or registered mail, addressed to the addresses set forth below, or to such other address as one party may indicate by written notice to the other party. To Grantor Wilsonville: City of Wilsonville Attn: Finance Director 29799 SW Town Center Loop East Wilsonville, OR 97070 with copy to: Wilsonville City Attorney 29799 SW Town Center Loop East Wilsonville, OR 97070 To Grantor TV WD: Tualatin Valley Water District Attn: Chief Executive Officer 1850 SW 170th Avenue Beaverton, OR 97003 with copy to: District Counsel 1850 SW 170th Avenue Beaverton, OR 97003 To Grantee: Willamette River Intake Facilities Commission Attn: Managing Agency 1850 SW 170th Avenue Beaverton, OR 97003 [Signatures on following pages] Intake Facilities Easement Page 6 Exhibit 1 -Intake Facilities Easement 23. Authority. The individuals executing this Easement on behalf of Grantor and Grantee each represent and warrant that he/she has the full power and authority to do so on behalf of the respective party and to bind said party to the terms of this Easement. IN WITNESS WHEREOF, the undersigned have executed this Easement effective as of the date first above written. GRANTOR WILSONVILLE: CITY OF WILSONVILLE APPROVED AS TO LEGAL FORM: By: Bryan Cosgrove Barbara A. Jacobson, City Attorney As Its: City Manager STATE OF OREGON ) ) ss. County of Clackamas ) This instrument was acknowledged before me on , 2018, by Bryan Cosgrove,who personally appeared before me,was identified by satisfactory evidence, and acknowledged that he executed the instrument in his authorized capacity as the City Manager of the City of Wilsonville, a municipal corporation of the State of Oregon,to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Notary Public—State of Oregon [Signatures continued on following pages] Intake Facilities Easement Page 7 Exhibit 1 -Intake Facilities Easement GRANTOR TVWD: TUALATIN VALLEY WATER DISTRICT APPROVED AS TO LEGAL FORM: By: Mark Knudson, P.E. Clark Balfour, Counsel As Its: Chief Executive Officer STATE OF OREGON ) ) ss. County of Washington ) This instrument was acknowledged before me on , 2018, by Mark Knudson, P.E., who personally appeared before me, was identified by satisfactory evidence, and acknowledged that he executed the instrument in his authorized capacity as the Chief Executive Officer of Tualatin Valley Water District, a water supply district organized under ORS Chapter 264, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Notary Public—State of Oregon [Signatures continued on following pages] Intake Facilities Easement Page 8 Exhibit 1 -Intake Facilities Easement ACCEPTED BY: GRANTEE: TUALATIN VALLEY WATER DISTRICT By: Richard Schmidt As Its: Board President STATE OF OREGON ) ) ss. County of Washington ) This instrument was acknowledged before me on , 2018, by Richard Schmidt, who personally appeared before me, was identified by satisfactory evidence, and acknowledged that he executed the instrument in his authorized capacity as the Board President of the Tualatin Valley Water District, a water supply district organized under ORS Chapter 264, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Notary Public—State of Oregon APPROVED AS TO FORM: Clark Balfour, Counsel [Signatures continued on following pages] Intake Facilities Easement Page 9 Exhibit 1 -Intake Facilities Easement ACCEPTED BY: GRANTEE: CITY OF BEAVERTON By: Dennis Doyle As Its: Mayor STATE OF OREGON ) ) ss. County of Washington ) This instrument was acknowledged before me on , 2018, by Dennis Doyle, who personally appeared before me, was identified by satisfactory evidence, and acknowledged that he executed the instrument in his authorized capacity as the Mayor of the City of Beaverton, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Notary Public—State of Oregon APPROVED AS TO FORM: Peter Livingston. City Attorney [Signatures continued on following pages] Intake Facilities Easement Page 10 Exhibit 1 -Intake Facilities Easement ACCEPTED BY: GRANTEE: CITY OF HILLSBORO By: Michael Brown As Its: City Manager STATE OF OREGON ) ) ss. County of Washington ) This instrument was acknowledged before me on , 2018, by Michael Bropwn, who personally appeared before me, was identified by satisfactory evidence, and acknowledged that he executed the instrument in his authorized capacity as the City Manager of the City of Hillsboro, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Notary Public—State of Oregon APPROVED AS TO FORM: Christopher Crean, City Attorney [Signatures continued on following pages] Intake Facilities Easement Page 11 Exhibit 1 -Willamette Intake Facilities Easement ACCEPTED BY: GRANTEE: CITY OF SHERWOOD By: Lee Weislogel As Its: Mayor STATE OF OREGON ) ) ss. County of Washington ) This instrument was acknowledged before me on , 2018, by Krisanna Clark,who personally appeared before me, was identified by satisfactory evidence, and acknowledged that she executed the instrument in her authorized capacity as the Mayor of the City of Sherwood, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Notary Public—State of Oregon APPROVED AS TO FORM: Josh Soper, City Attorney [Signatures continued on following pages] Intake Facilities Easement Page 12 Exhibit 1 -Intake Facilities Easement ACCEPTED BY: GRANTEE: CITY OF TIGARD By: John Cook As Its: Mayor STATE OF OREGON ) ) ss. County of Washington ) This instrument was acknowledged before me on , 2018, by John Cook, who personally appeared before me, was identified by satisfactory evidence, and acknowledged that he executed the instrument in his authorized capacity as the Mayor of the City of Tigard, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. • Notary Public—State of Oregon APPROVED AS TO FORM: Shelby Rihala, City Attorney [Signatures continued on following page] Intake Facilities Easement Page 13 Exhibit 1 -Intake Facilities Easement ACCEPTED BY: GRANTEE: CITY OF WILSONVILLE By: Tim Knapp As Its: Mayor STATE OF OREGON ) ) ss. County of Clackamas ) This instrument was acknowledged before me on , 2018, by Tim Knapp, who personally appeared before me, was identified by satisfactory evidence, and acknowledged that he executed the instrument in his authorized capacity as the Mayor of the City of Wilsonville, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Notary Public—State of Oregon APPROVED AS TO FORM: Barbara A. Jacobson. City Attorney APPROVED AS TO LEGAL DESCRIPTION: Nancy J.T. Kraushaar, P.E., City Engineer City of Wilsonville, Oregon 1:\dir\wr wtp\wgg wwsp\doc\esmt water pipeline—wlsv-tvwd(bj^)11.0.doc Intake Facilities Easement Page 14 Exhibit 1 -Intake Facilities Easement EXHIBIT A PLACEHOLDER FOR LEGAL DESCRIPTION To be completed at a later date EXHIBIT A EXHIBIT B N+.......__ r-AIR RECEIVER TANK ---CONCEPTUAL SEISMIC 10' DIAMETER DRILLED SHAFT -CONCEPTUAL ' (TYP) SEISMIC 4'DIAMETER TANGENT PILE WALL CiI 1 I1' 1 1Z. t II l'' _i_- -i .. \' ( — I.• I 5'-b" • \ INTAKE FISH SCREEN IMPROVEMENTS m 0 L1 ip \\ `- - - EXISTING RAW WATER ff CONCEPTUALINTAKE PIPE d SEISMIC JET / DSL ORDINARY 9 GROUT BLOCK HIGH WATER LINE 3 EL 74'(VERTICAL EXISTING CAISSON DATUM:NAVD 88) `• 1, -- SECTION 10 ORDINARY HIGH WATER LINE EL 78.7 -----EXISTING RAW WATER '• . (VERTICAL DATUM:NAVD 88) PUMP STATION(TO BE MODIFIED) EXHIBIT B -- EASEMENT WILLAMETTE INTAKE EXISTING INFRASTRUCTURE NOTES: FACILITIES EASEMENT 1)EXHIBIT B IS A GENERAL LAYOUT DESCRIPTION BASED ON PRELIMINARY DESIGN CONCEPTS.BUT IS SUBJECT TO FINAL JANUARY 2018 NEW WILLAMETTE INTAKE APPROVAL AT THE TIME EXHIBIT A IS GENERATED AND APPROVED. FACILITIES WILLAMETTE M TTE INTAKE 2)THE SYSTEM SEPARATION POINT IS LOCATED AT THE POINT WITHIN SYSTEM SEPARATION AREA THAT THE RAW WATER ENTERS THE RAW WATER PUMPS. 3)THERE ARE ITEMS SUCH AS PUMPS AND ASSOCIATED MECHANICAL AND ELECTRICAL EQUIPMENT THAT ARE LOCATED scale: SYSTEM SEPARATION AREA WITHIN THE SYSTEM SEPARATION AREA THAT ARE NOT PART OF THE WILLAMETTE INTAKE FACILITIES EASEMENT. 50' Exhibit 1 -Intake Facilities Easement STATE OF OREGON Division of State Lands PIPELINE EASEMENT NO. 22670-EA The STATE OF OREGON, by and through its Division of State Lands, GRANTOR, for and in consideration of Two Hundred and Fifty Dollars and no cent ($250.00), hereby grants to City of Wilsonville, GRANTEE, an easement and right to construct, maintain, operate and replace a water intake structure and pipeline in, over, upon, and across the State-owned submerged and submersible land of the Willamette River, in Clackamas County, Oregon, described as follows: That portion of the following described land being below the Ordinary Low Water line as defined by elevation 55.0 feet above mean sea level, NGVD 1929, and being described as follows: A strip of land, variable in width located within the Southwest one-quarter of Section 23, Township 3 South, Range 1 West, Willamette Meridian, City of Wilsonviiile, Clackamas County, Oregon. The centerline of said strip being described as commencing at the Northwest corner of said Section 23, Township 3 South, Range 1 West, Willamette Meridian,from which the North one-quarter corner of said Section 23 bears South 88°24'47" East, a distance of 2631.38 feet; thence South 07°32'58" East, a distance of 3081.79 feet to the TRUE POINT OF BEGINNING; thence South 03°04'44" East, a distance of 230 feet more or less to the said Ordinary Low Water line; thence continuing South 03°04'44" East, a distance of 104.20 feet to the terminus of said centerline. The width of said strip East of said centerline being 12 feet measured at right angles to said centerline from the point of beginning to its terminus. The width of said strip West of said centerline being 12 feet measured at right angles to said centerline from the point of beginning to a point 28 feet from its terminus; varying in width by straight line from 12 feet at 28 feet from the terminus to 17 feet at 14 feet from its terminus; varying in width by straight line from 17 feet at 14 feet from its terminus to 12 feet at the terminus. Said strip of land encompassing 2,571 square feet or 0.06 acres, more or less, and as shown on the attached Exhibit "A". STATE TO CITY OF WILSONVILLE Willamette River Page 1 of 3 Exhibit 1 -Intake Facilities Easement TO HAVE AND TO HOLD the same unto GRANTEE for 40 years, subject to the following conditions: 1. Construction in navigable waters shall conform to standards and specifications set by the U.S. Army Corps of Engineers or the U.S. Coast Guard for this Project. 2. The bed and banks of the waterway shall be restored to a condition acceptable to the GRANTOR as soon as construction or maintenance is completed. 3. Any blasting which may be necessary in the construction of the pipeline shall be performed according to the laws of the State. 4. GRANTOR reserves the right to lease or otherwise utilize the State-owned lands within the granted area hereinabove described in a manner and for uses that will not be incompatible with the primary use for which this easement is granted. 5. GRANTOR shall have the right to stop operation of the pipeline for noncompliance with the conditions of this easement or any lawful requirement by a regulatory agency of this State. 6. GRANTEE agrees to defend and hold GRANTOR harmless from any and all claims suffered or alleged to be suffered on the promises. Further, GRANTEE shall be responsible for the payment of any fines or penalties charged against the premises as a result of GRANTEE's action in not complying with laws or regulations affecting the premises. 7. If the facility for which this easement is granted is not used for a period of five (5) consecutive years, this easement may be terminated by written notice from GRANTOR to GRANTEE at its last known address. Upon termination, GRANTEE will have 90 days to remove the pipeline and appurtenances from the State-owned lands. 8. Nothing in this document may be construed as permission, except during construction or maintenance periods, to GRANTEE to interfere with navigation or reduce the public's rights to the free and unimpeded use of the navigable waters of the State of Oregon within the boundaries of this easement; provided, however, that to the extent necessary to facilitate construction and maintenance of these facilities, GRANTEE mat so interfere, but shall keep such interference to an absolute minimum. 9. GRANTEE shall pay all assessments that may be legally charged on public lands which are levied against the property subject to this easement, whether or not such assessments have been levied against the leasehold or STATE by the assessing agency. 10. GRANTEE shall use the property subject to this easement only in a manner, or for such purposes, that assure fair and nondiscriminatory treatment or all persons STATE TO CITY OF WILSONVILLE Willamette River Page 2 of 3 Exhibit 1 -Intake Facilities Easement without respect to race, creed, color, religion, handicap, disability, age, gender or national origin. This easement does not convey an estate in fee simple of the lands used for a right- of-way. This grant is for an easement only, and title remains in the State of Oregon. W TNESS the seal of the Division of State Lands affixed this L> day of , 20 4o . f / .k , ff t 11'' •t r► A., ;s ' % ff4lis ,',> \ •' ' I 1 STATE OF OREGON, •r 'g by and through its Division of State Lands. Ste 41,71/ • .pJ. Pur ' STATE OF Oregon ) ) ss County of Marion ) The foregoing instrument was acknowledged before me this � day of , 2000, by Stephen J. Purchase, the Assistant Director (title) of the Division of S e Lands. 76; S gnature My Commission Expires 9/1 g. , 2003 JIAttachmentAxwctlAStEA Easements122670-EAdoc OFFICIAL SEAL --4-":,7 METHS/0M L , I NOTAMMIRYSF ON NOPt Ruc-o.REQd4 CO $27026 MY COMMlSStOs ,cXPIHES SEPT.1 _:... STATE TO CITY OF WILSONVILLE Willamette River Page 3 of 3 xlimn, TO Exhibi 1te,Fa s miy„ DESCRIPTION Water Intake Easement SW J44 Section 13, Township 8 South,Range 1 West Willamette tiferitall, City of WIlsonp Ile, Clackamas County, Oregon SECTION 7 CORNER S ee^24 97"E 14 3'.a 7616930.19 1S� X= 761429942 283138' 28 Y= 80477745 22 Yp 60465052 ONE-QUARTER `f' CORNER b t- U EA • 22 6 70 Prepared for. FOS, tn The CITY of WILSONVIL.LE TRUEOF BEGINNIIV © i= 7614704 71 Y= 60179546 - r Iii IScale:1"=50' BEARINGS ARE BASED ON OREGON AREA ON 55 FEET IABOVE I,- COORDINATE' SYSTEM NORTH ZONE R ,,,,:: PRIVATE SURVEY NUMBER 25005 CLACKAMAS COUNTY SURVEY RECORDS „• in I ORDINARY LOW WATER LINE I;; AT ELEVATION 55 FEET ABOVE „ MEAN SEA LEVEL,NGVD 1929 I in 1= 7614717.06 11 Y= 601565.78 CII It ,ii Prepared bp. III- DEHAAS .g WILLAMETTE' ASSOCIATES, INC. RIVER ` SUITE 300 -A.G.C.CEN7'R rim.- AREA COVERED 9450 5.W COM CE CIRCLE BY EASEMENT W LSONVTLLE,OREGON 97070 PHONE.(303)682-2450 FAX(303)682-4018 1 CENTERLINE ': TERMINUS iI y' �i X= 7914722.86 12' 0 ' Ya 601461.73 Exhibit 2 Willamette Intake Facilities Preliminary Design Drawings and Layouts Willamette Intake Facilities IGA 01-08-2018 Exhibit 2 Page 1 New, Existing, and Modified WIF Project Components WWSS Electrical Improvements WRWTP Pumps Electrical, SCADA, and l&C Equipment LEGEND \ \___I iliExisting Grade AirlBurst System 1 1 Willamette Intake Facilities (WIF) i I Willamette Water Supply System (WWSS) 1 i Willamette River Water Treatment Plant (WRWTP) 1=1 New 1 1 --------- ---. :::::: Existing -- CDModified '------ -... Existing :i ii --------,.... ---, Pump -.--Seismic -. z - --- Station Improvements ----..... A Intake Screens -- Building ., .. . .. . ., - i: .... .. 0,.. --6—Intake Screen Protection —------ " L76" Intake Pipe Caisson-1 WWSS Pumps and Revised Mechanical Equipment Intake Bollards The System Separation Point is located where the raw water enters the raw water pumps. ,\,.._ IL. , ,,,.,,,i1((,\ I I,..„. ,,,,„,, q .,....1"\\ v Illok„,,,,\:,.. , . ,, , \ LY11.11:""....1.--________F T ,_. _ : T mo ,.\,,tor,‘ -1,A .,:.‘\...,,,,, .. n�tt l T..T \ f� lo, .: ���� 1111 ��. 111 �lii: ! II' , ' ( 4A iP,,- A -, ,x, -- 'wqk A, t,r F/ 1 1 I ,INT AkE F` . 1 / �y�1 `,,,v..\ ,411:„ -,-.- \,,,,A .o i YTanoN O ter, /. LIN.' s :k K.T.F: ,� IIrtJ II. wiz MO A 1/2114 MM. l'! 1' t 1 'rill •-.: -� l '.: '''''''': 1 \'\''\1 ., ' 1: \ \ ' '\I , \\\ , ( (-7---;;--,-: 11. INTAKE PIPE PLAN — �' _ � rw 110 fibilliliP I 2G 7c �:. - s _ = 120 - 4 -_. _ - - - SECTION ( .. t. flPN ao IS DETAIL ( i > _ a .. - va.1 0 Y iii--. Mao 20_ —_ _. .... A n RECORD DRAWING nom._... ._..._,�__...__,...: • _-- _ ._._._..__ -- ,,.,,M.'...,M e..o.«,m... ...,..,..0 ..---__.v. ..:_j____ _____—rJ I - 1 --_ s-- r , — HM d.�Mg�,_ T _- )WY .M➢ --,1,";,'—'::117:::' M.,.... a•w,...W "I CT;ON M ....•111,art bw.'.KIrOY.W,nb W.21........4 tat ..r,ro Intel ■6aTIO H ' --( City Ofp/� y� _ cm S vavow [_ AW _�� 4 liana ._44 ,-.Ca al..,1 aM1Ef iiz�c Jnr' ® MOM/YO�IY Ri�/OLI 44i{'/ CLINE YCREEND SECT C�� �.w, .a,a�a irw.<y - -, r�•'"�^n. �•i+^ 3r OREGON %oELINE vUk AND SECTION11: 3 Exhibit 3 Willamette Intake Facilities Capacity Ownership Allocations Description: Willamette Intake Facilities Capacity Ownership Entity Capacity(mgd) (1) Percent Wilsonville 25.0 16.67% Tualatin Valley Water District 59.1 39.40% Sherwood(2) 9.7 6.47% Tigard (3) 15.0 10.00% Hillsboro (3) 36.2 24.13% Beaverton(3) 5.0 3.33% Total 150.00 100.00% (1) Estimated capacity which will be evaluated through additional physical hydraulic modeling. (2) Includes existing ownership interest with allocation of increased intake capacity to 150 mgd and estimated capacity to be purchased from TVWD. (3) Estimated capacity to be purchased by each entity from TVWD. Willamette Intake Facilities—Asset Values at Original (2002) Cost of Construction* Project Element Wilsonville TVWD Sherwood Total Screening $ 207,147 $ 466,082 $ 51,787 $ 725,016 Intake Pipe $ 228,029 $ 1,083,139 $ 57,007 $ 1,368,175 Wetwell $ 364,847 $ 1,733,021 $ 91,212 $ 2,189,079 Pump Station Building $ 233,834 $ 1,110,709 $ 58,458 $ 1,403,001 Total $ 1,033,857 $ 4,392,950 $ 258,464 $ 5,685,271 *Notes: (1) Original cost shares based on 2002 original construction costs and do not include allocation of program management costs. (2) Pumps, Electrical Wire & Conduit, Electrical Equipment and the Raw Water Pipeline from the caisson to the Willamette River Water Treatment Plant were included as part of the original cost of construction in 2002, but are not included here since those assets are not included in the Willamette Intake Facilities. Methodology used to establish buy-in costs for each Party: Willamette Intake Facilities IGA 01-08-2018 Exhibit 3 Page 1 1. TVWD & Wilsonville identified TVWD's share of Original Direct Cost(2002) for each asset included in the purchase and sale 2. For each asset, added TVWD's share of Program Costs from original Wilsonville-TVWD construction(2002)to Original Direct Cost to establish TVWD Original Cost 3. Subtracted depreciation from TVWD Original Cost to establish TVWD Book Value 4. Added TVWD Cost of Capital(from 2002 to 2016 at 4%per year) to TVWD Book Value to establish TVWD Asset Offer Price 5. Added one-time Administrative Cost(3%of Asset Offer Price)to TVWD Asset Offer Price to establish Buy-in Offer Price 6. Calculated cost per MGD of Buy-in Offer Price based on TVWD available capacity of 59.7 MGD to establish Buy-in Offer Unit Price 7. For each asset being purchased by each Party, multiplied the Buy-in Unit Price times the capacity being purchased by the party to establish Buy-in Offer Price by Party by asset 8. For each party, totaled the Party's Buy-in Offer Price for all assets being purchased Resulting Capacity and Cost of Purchase for WIF Assets Acquired from TVWD* Acquired Capacity(MGD)from 1VWD by Party by Asset Project Element Wilsonville I TVWD I Sherwood I Tigard I Tualatin I Hillsboro I Beaverton 4 Total Screening 0 0 0 0 0 0 0 0 Intake Pipe 0 0 3.45 15 0 36.2 5 59.65 Wetwell 0 0 3.45 15 0 36.2 5 59.65 Pump Station Building 0 0 3.45 15 0 36.2 5 59.65 Cost of Purchase($)from TVWD by Party by Asset Project Element Wilsonville I TVWD I Sherwood I Tigard I Tualatin I Hillsboro I Beaverton Total Screening $ - $ - $ - $ $ - $ - $ - $ - Intake Pipe $ - $ - $ 50,462 $ 219,399 $ - $ 529,482 $ 73,133 $ 872,476 Wetwell $ - $ - $ 80,739 $ 351,038 $ - $ 847,171 $ 117,013 $ 1,395,961 Pump Station Building $ - $ - $ 41,355 $ 179,802 $ - $ 433,923 $ 59,934 $ 715,014 Total $ - $ - $ 172,555 $ 750,239 $ - $ 1,810,577 $ 250,080 $ 2,983,451 *Notes: 1. Raw water Pumps, Electrical Wire & Conduit, Electrical Equipment, and Raw Water Pipeline are not WIF assets and transfers of Raw Water Pipeline capacity are covered under separate agreements. 2. Wilsonville acquired 5 MGD of capacity in existing Raw Water Pipeline to the WRWTP from TVWD under separate agreement. 3. Sherwood acquired 4.7 MGD of capacity in existing Raw Water Pipeline to the WRWTP from TVWD under a separate agreement. 4. Tigard will not acquire capacity in the existing Raw Water Pipeline to the WRWTP or the future WWSS at this time. Tigard will conduct planning in the future to determine if Tigard will use capacity from the WWSS system or from the WRWTP Willamette Intake Facilities IGA 01-08-2018 Exhibit 3 Page 2 system,in which case Tigard will need to obtain Raw Water Pipeline capacity from TVWD and/or capacity in the WWSS. Willamette Intake Facilities Seismic and Facilities Improvements (1) Location Year Cost Wilsonville Tualatin Valley Water District Sherwood Tigard Hillsboro Beaverton Total: (1)To be updated after project completion with actual design and construction costs. Willamette Intake Facilities IGA 01-08-2018 Exhibit 3 Page 3 Exhibit 4 Real Property Description: The Real Property currently owned by Wilsonville and TVWD upon which the Willamette Intake Facilities and appurtenances are located are described in Attachment 1, Real Property Legal Description and Map, and Attachment 2, Special Warranty Deed. Willamette Intake Facilities IGA 01-08-2018 Exhibit 4 Page 1 Exhibt 4 Attachment 1 Exhibit A Order No: 216629 • LEGAL DESCRIPTION PARCEL I: Being a part of the R. V. Short Donation Land Claim in Township 3 South, Range 1 West, Willamette Meridian, in the County of Clackamas and State of Oregon, bounded and described as follows, to-wit: Beginning at a point on the line between Sections 22 and 23, said township and range, 792.23 feet South 0°03' East of the Northwest corner of said Section 23; running thence South 0°03' East on said section line 604.99 feet to the Southwest corner of M.A. Holbrook Tract as recorded in Book 159, Page 546, Records of Deed for Clackamas County, Oregon; thence North 89°50' East 1239.0 feet along the South boundary of the said Holbrook Tract to the East line of the above mentioned Short DLC; thence North ' 0°17' West along the East boundary of the said Short DLC 545.7 feet to a point; thence North 87°25' West 1237.9 feet to the place of beginning. EXCEPT the West 20 feet thereof conveyed for private roadway. AND FURTHER EXCEPTING THEREFROM that portion included in Quit Claim Deed to Joe Bernert Towing Co. , Inc. recorded December 29, 1987 as Recorder's Fee No. 87057703. PARCEL II: A tract of land in a portion of the Robert V. Short DLC No.46 located in the Northwest and Southwest one-quarters of Section 23, Township 3 South, Range 1 West of the Willamette Meridian, in the County of Clackamas and State of Oregon, described as follows: Beginning at a point on the North line of said Section 23, that bears East a distance of 20.00 feet from the Northwest corner of said Section 23; thence South 0°03'00" East, parallel with and 20 feet Easterly of the West line of said Section 23, a distance of 1397.22 feet to an interior angle corner in the Northerly line of that tract of land conveyed to Hardy S. Young by Deed, described in and recorded under Fee Number 74-10618 Clackamas County Deed Records; thence North 89°51' East, along said Young's North line, a distance of 580.00 feet to a 5/8 inch iron rod at the Northwest corner of that tract of land conveyed as a Tract I to Joe Bernert Towing Company, Inc., in a contract recorded under Fee Number 75-9882, Deed Records; thence South 0°03' East, along the Westerly line of said Towing Company Tract, a distance of 220.00 feet to a 5/8 inch iron rod at the Northeast corner of that tract of land conveyed to Joe Bernert Towing Company, Inc., by a contract described in and recorded under Fee Number 90-2243, Deed Records; thence South 89°51' West, along the Northerly line of last said tract, a distance of 60.00 feet to a 5/8 inch iron rod; thence South 77°08'26" West, along last said Towing Company Tract, a distance of 492.25 feet to a 5/8 inch iron rod; thence South 0°03' East, along the Westerly line of last said tract, a distance of 141.69 feet to a 5/8 inch iron rod; thence South 49°54'37" East, along a Westerly line of last said tract, a distance of 659.97 feet to a 5/8 inch iron rod at an angle corner in said Westerly line; thence South 9°47'13" East, along said Westerly line, a distance of 747.37 feet to a 5/8 inch iron rod, being the South corner of said Fee Number 90-2243, said South corner being on the West line of said Tract I of Fee Number 75-9882; thence South 0°03' East, along the West line of said Tract I, a distance of 225.18 feet, more or less, to the South line of said Fee Number 74-10618; thence South 83°31'40" West, along the South line of said Fee Number 74-10618, a distance of 517.54 feet, more or less, to the mouth of a ravine; thence Willamette Intake Facilities IGA 01-08-18 Exhibit 4 Attachment 1 • • . Exhibt 4 Attachment 1 Order No: 216629 • LEGAL DESCRIPTION South 77°46'41" West, continuing along the South line of Fee Number 74-10618, a distance of 79.72 feet to the Southwest corner thereof; thence North, along the Westerly line of said Fee Number 74-10618, a distance of 966.90 feet to a point; thence North 58°00' West, a distance of 117.48 feet to a point on the West line of said Section 23; thence North 0°03" West, along said West section line, a distance of 2299.44 feet to the Northwest corner of said Section 23; thence East a distance of 20.00 feet returning to the point of beginning. PARCEL III: TOGETHER WITH an easement for road and utility purposes over the following described parcel: A tract of land situated in Section 23, Township 3 South, Range 1 West, of the Willamette Meridian, in the County of Clackamas and State of Oregon, being more particularly described as follows, to wit: A strip of land 60.00 feet in width and heretofore known as the Industrial Way Road easement, the centerline intersection of said 60.00 foot strip of land with the centerline of Market Road No. 6 (also known as Wilsonville Road) , which intersection is North 89°56' East along the centerline of Market Road No. 6, 1278.43 feet from the Northwest corner of said Section 23, Township 3 South, Range 1 West, of the Willamette Meridian, in the County of Clackamas and State of Oregon, from said place of beginning; thence leaving said centerline of Market Road No. 6, South 31°36' East along the centerline of said 60.00 foot strip of land 263.90 feet; thence South 17°48' East 64.49 feet; thence South 10°22' West, 145.34 feet to the intersection of the North line of the Bailey D.L.C. No. 45; the same point of intersection being South 89°55' East 163.15 feet from the Northwest corner of the Thomas Bailey D.L.C. No. 45; thence South 10°22' West 906.74 feet along the centerline of said 60.00 foot strip of land South to the point of intersection of said centerline with the West line of said Thomas Bailey D.L.C. • Willamette Intake Facilities IGA 01-08-18 Exhibit 4 Attachment 1 1 • . i (i1.* . \ (1[_,v„_;...„,...„,,,,,.__------,,. . \ it :. ,,� c �--r• AREA 4 AREA 2 W � • . (PIPELINE • l,pf'tEASEMENT) 4.�i,,0 3 ii /16 �i. 11 .-l'""+"0141.4404,441' 4, 1 AREA 10 13 OK Q 1I+yip �co 1►'W .•.qA��!,�,�` 140..*`tit ''''7:C111"itcl"4.Intl I 4:k tflti\ ...::.:.7'-1--;, ::-...-:7-:.—.._::::::-,..:*:::::::::;-17 i I d/4„,„., G:.� o•► ' �� �����������, ii `pa fit( ,1, Si I; 'N .s AREA 3 U N C LL N N E Y@ _. U C O) Q •fi E f, X NOTES IIr • -,r t AREA 4 -OFF•SITE LOCATION FOR ACCESS AND PIPELINE IS OWNED I N . i-i BY THE CITY WITHIN THE INDUSTRIAL WAY EASEMENT,BUT IS CITY OF WILSONVILLE If EXHIBIT ,.:. SHOWN NEARBY IN CONTEMPLATION OF A PROBABLE LOCATION B ° ADJUSTMENT BY DEVELOPMENT REVIEW BOARD AND ACOUISITION WILLAMETTE RIVER WATER TREATMENT PLANT B FROM PROPERTY OWNERS. GENERAL AREA MAP Exhibit 4 Attachment 2 We certify this instr men`-to be a true recorded ,_ , vC _ c____z271 --6-7VZ-F6P'9 ' ,..:cords 0,., r.; Ci-tiC U:;i .: LE Itt:SURA•Y.JG C.::�i1 ' SPECIAL WARRANTY DEED Be- yj City of Wilsonville, an Oregon Municipal corporation, Grantor, grants, conveys and specially warrants to Tualatin Valley Water District, a water supply district, Grantee, an undivided forty-nine percent (49%) interest as tenant in common, and the City of Wilsonville reserves to itself the remaining fifty-one percent (51%) interest as tenant in common, in and to the following described real property free of encumbrances created or suffered by the Grantor except as specifically set forth herein, situated in Clackamas County, Oregon, to-wit: Parcels I and II, together with Parcel III, an easement, as described in the attached Exhibit A and incorporated by reference herein. The true consideration for this conveyance is $1,291.350.00. The said property is free of all encumbrances created or suffered by Grantor, except easements, access agreements, roadway agreements, and maintenance agreements of record, and changes (if any) in the location of the Willamette River and shall be subject to the following covenants to run with the land: 1. The above described real property is dedicated, conveyed and granted for domestic and municipal water supply purposes and such accessory uses as may be necessary and convenient thereto,together with the following purposes: 1.1 Area 1, which is the northern portion of the property as set forth in Exhibit B, attached hereto and incorporated herein, shall include an access road and bicycle and pedestrian access to Areas 2 and 3. The Grantor reserves Area 1 for park and recreational purposes at the sole risk and cost of Grantor; provided, however, upon one-year notice by either Grantor or Grantee to the other, park and recreation usage shall terminate to accommodate use for future domestic and municipal water supply facility capacity in excess of the 70 mgd facilities in Area 2, subject to required land use approval and such other governmental approvals as may be required. Nothing in the foregoing sentence is intended to limit or restrict the parties from agreeing to use the property in any manner in support of the Supply Facilities and/or such governmental regulations as may be imposed on the parties for the operation of up to a 70 mgd capacity plant. After recording, return to: Until requested otherwise, send tax statements to: City Recorder, City of Wilsonville No Change 30000 SW Town Center Loop E. Wilsonville, OR 97070 Special Warranty Deed -Page 1 of 3 C:\WINNTIProfiIcs\king\Desktop\TVWD Dced.doc Willamette Intake Facilities IGA 01-08-2018 Exhibit 4 Attachment 2 Exhibit 4 Attachment 2 1.2 Area 2 is that portion on the site which includes the multi-barrier treatment plant with expansion up to 70 mgd (the wall and area behind the wall) as set forth in Exhibit B. 1.3 Area 3 is the "Meadow Area" and Water Feature as set forth on Exhibit B and is to be developed for passive recreational use and will have bicycle and pedestrian use and access. This public bicycle and pedestrian access will also extend to the Plant. 1.4 Area 4 is the 70' access easement, together with such other property and/or easements necessary for the alignment of the access roadway from the property to Wilsonville Road and the water transmission line from the Treatment Plant to Wilsonville Road as set forth in Exhibit B. Thereafter, the transmission line will be in the Grantor's Wilsonville Road right-of-way until it joins the City's transmission system at or about Station 67+00+'' of the Grantor's Kinsman Road right-of-way. The Grantor's Wilsonville Road and Kinsman Road right-of-ways are not intended to be conveyed to Grantee as part of this deed or otherwise. 2. Grantee's 49% ownership interest may be conveyed in whole or in part by Grantee, with prior approval by Grantor to the Willamette Water Supply Agency (WWSA) for a period of one year (365 days) from June 30, 2000, and thereafter without prior approval by Grantor; provided, however, WWSA's membership remains one of local governments and water districts. Neither Grantor nor Grantee shall convey to any person or entity which is not a local government or water district without the prior consent of the other. Each party's consent shall be based in its sole discretion on whether an allocation or conveyance to an entity other than a local government or water district is in the best interest of, in the case of Grantor, its citizens and, in the case of Grantee, its customers. Nothing in this paragraph is intended to prevent Grantee from conveying to Grantor or Grantor from conveying to Grantee its respective interest as the parties may agree in the future. 3. Neither Grantor nor Grantee shall seek or obtain through any legal proceedings an administrative or judicial partition of the Property or sale of the Property in lieu of partition, without the prior written consent of the other. Paragraph 2 above is not intended or meant to create a partition of the Property and this paragraph on partition is not intended or meant to prevent an allocation and conveyance of Grantee's interest as set forth in paragraph 2 above. 4. Nothing in the above covenants is intended to prevent a deletion, amendment, or modification of the above covenants if expressly agreed to by Grantor and Grantee, their respective successors in interest, if any, in writing and duly recorded. Grantee has inspected the said property and accepts the condition of the said property as is. Special Warranty Deed -Page 2 of 3 C:IWINNTmProfileAlcing\Desktop1TVWD Deed.doc Willamette Intake Facilities IGA 01-08-2018 Exhibit 4 Attachment 2 • Exhibit 4 Attachment 2 This Deed fully satisfies paragraphs 2.1 and 2.2 of that certain Agreement Regarding Water Treatment Plant Design, Construction, Operation, and Property Ownership, which document is a matter of record and on file with both the Grantor and Grantee. THIS INSTRUMENT WILL NOT ALLOW USE OF THE PROPERTY DESCRIBED IN THIS INSTRUMENT IN VIOLATION OF APPLICABLE LAND USE LAWS AND REGULATIONS. BEFORE SIGNING OR ACCEPTING THIS INSTRUMENT, THE PERSON ACQUIRING FEE TITLE TO THE PROPERTY SHOULD CHECK WITH THE APPROPRIATE CITY OR COUNTY PLANNING DEPARTMENT TO VERIFY APPROVED USES AND TO DETERMINE ANY LIMITS ON LAWSUITS AGAINST FARMING OR FOREST PRACTICES AS DEFINED IN ORS 30.930. IN WITNESS WHEREOF,the Grantor has executed this instrument thisTr-k day of Sc.- - kt/ ,2000. GRANTOR: CITY OF� S• -r E By Charlotte Lehan Title: Mayor ATTESTED TO: (� �p By `� Jl.8uw • T Qn• kFz---- _ lJt o., �. 'P a- „ GtCT1 n3 C'I t , R,ecticd.tr Date: �-",\y 7 A000 STATE OF OREGON ) )as County of Clackamas ) On this'P' day of ,2000,before me,a notary public in and for said County and State,personally a geared Charlotte Lehan, known to me to be the Mayor of the City of Wilsonville and whose name she subscribed to the within instrument and acknowledged that she executed the same for the purposes therein contained. IN WITNESS WHEREOF, I have hereunto set my hand and official seal on the day and year above written. IkAkb Notary Public for Oregon `Jl'/�/��/ff✓✓✓✓✓irl✓/�!�.�J!'�� My Commission Expirek--V\G& s t a , a(l o 3 .� OFFICIALSEcAL r-... ,. � � .��= c SUSAN MARK FARNSW48TN s"1,4':11:1 NOTARY PUBLIC - OREGON COMMISSION NO. 318949 � MY COMMISSION EXPIRES MARCH 12.2003 Special Warranty Deed -Page 3 of 3 C:\WINN'I1Profiles\king\Desktop\TVWD Deed.doc Willamette Intake Facilities IGA 01-08-2018 Exhibit 4 Attachment 2 WATER REM AT WILLAMETTE INTAKE FACILITIES POINT OF DIVERSION EXHIBIT 5-Water Rights Authorized for Use at Willamette Intake Facilities Water Right Permits and Certificates Authorized by the Oregon Water Resources Department Entity Name on Water Transfer or Type of Authorized Authorized Right AmendmentApplication Permit CertificateaAmendmentPriority Oats Beneficial Completion Permit ial Rab Conditions • Measuring device required • Fish screen required • A 50-day waiting period is required between WMCP approval and diversion of water for the first diversion and each increment of'green light water for each water supplier. Willamette River Water Munidpel • WMCP provisions apply to additional future municipal Coalition 3-80693 840240 ltd N/A T-10477 June 19,1973 I 202.0 October 1,2047 water suppliers using water under pend under certain conditions.WRWC member Sherwood has access to up to 23 cfs based on last WMCP approval. TV W D has access to up to 80.1 cfs following approval of its most recent updated WMCP. • Fish persistence conditions.Proportional reduction based on target flows and the portion of permit to which permittee has legal access.Reduction is capped at 20%during April,May and June. • • Measuring device required City of Wilsonville 8-51780 8-48319 N/A T-8444 March 27,1974 Municipal 30.0 October 1,2042 • Fish screen required • Measuring device and wafer use reporting are required City of Beaverton S-87084 8-54940 N/A - March 11,2014 Municipal 33.7 May4,2035 • Fish screen required • Diversion of wafer is prohibited at times when the ODFW recommended flax targets at the Salem gape are not met. • • Willamette Intake Facilities added as a point of diversion through a permit amendment • Conditions from permit amendment require measurement device and fish screen. • Decwnber 8, 58 Fish persistence conditions.Proportional reduction City of HlWgm 3-85010 8-55045 N/A T-12512 Iger Municipal October 1.2088 based on target Tiros end permit's maximum authorized rate;capped at 20%Veer-round. • Approval of a WMCP is required to obtain access to • water under the permit. WILLAMETTE INTAKE FACILITIES!GA 01-08-2018 EXHIBIT 5 PAGE 1 Exhibit 6 Organizational Structure Description: This Exhibit sets forth the Organizational Structure for the Willamette Intake Facilities Commission. Board of Commissioners1 Managing Agency2'3 WIF Operator Management Committees,s Operations Finance Other Committee6 Committee6 Committees6 Notes: 1. Appointed by governing bodies of each Party 2. Provides its and Management Committee's recommendations to Board 3. Provides support to and consults with all committees 4. Provides recommendations to Managing Agency to be forwarded to the Board 5. Serve as liaisons to Parties' governing bodies 6. Provides recommendations to Management Committee Willamette Intake Facilities IGA 01-08-2018 Exhibit 6 Page 1 Exhibit 7 Willamette Intake Facilities Managing Agency Initial Management Plan Description: This Exhibit sets forth the Managing Agency Interim Term Plan under Section 5 of the Willamette Intake Facilities Intergovernmental Agreement(Agreement). 1. Designation of Interim Managing Agency 1.1. TVWD is designated as the Interim Managing Agency under Section 5 until June 30,2032. In 2029,the Commission will complete a performance review of the Managing Agency and will decide whether to initiate the selection process under Section 6.1, Subsequent Appointment of Managing Agency,or continue with TVWD without engaging in the described process. TVWD will designate General Manager that will have primary responsibility for reporting to the Commission. 2. Duties of Interim Managing Agency 2.1. TVWD shall have all duties and powers of the Managing Agency under Section 6,except as provided in Paragraphs 3.0 and 4.0 of this Exhibit. 3. Interim Operations Management Until 2022 3.1. Wilsonville and TVWD have approved an operations contract extension with Veolia through June 30,2022 for the Willamette River Water Treatment Plant. The scope of work for this contract includes operation of the Willamette Intake Facilities. Upon execution of this Agreement by the parties,the Commission delegates authority to Wilsonville,through its own forces or through the operations contract,to manage daily operations and operational coordination of the Intake Facilities to: 3.1.1.Assure delivery of water to the WRWTP for the benefit of Wilsonville and Sherwood;and 3.1.2.Assure effective coordination with the design and construction of improvements, modifications,and expansion of the Intake Facilities and connection to a new WWSS transmission pipeline. 3.2. Prior to expiration of this contract extension,the Parties will cooperate in conducting an evaluation of performance under the contract and will coordinate to identify planned activities of all Parties relating to the Intake Facilities during the period July 1,2022 to June 30,2026. Based on that coordination,the Management Committee will recommend to Wilsonville terms and activities that should be addressed in a contract extension or operations protocols for the period July 1,2022 through June 30,2026. 4. Interim Operations Management from 2022 to 2026 4.1. For the period of July 1,2022 to June 30,2026,the Commission delegates authority to Wilsonville,through its own forces or through an operations contract,to manage daily operations and operational coordination of the Intake Facilities. Thereafter,the Commission shall determine who will manage the operations of the Intake Facilities and may either delegate this responsibility to the Managing Agency or to a Party or contractor. Willamette Intake Facilities IGA 01-08-2018 Exhibit 7 Page 1 5. Wilsonville covenants that it will do the following during the Interim Operations Management periods: 5.1. Daily operations and operational coordination to supply water to the existing WRWTP; 5.2. Timely and cooperative coordination with TVWD(or its designee,Willamette Water Supply Program staff)in the construction of the expansion of the Intake Facilities and the WWSS transmission pipeline; 5.3. Timely and cooperative coordination with TVWD(or its designee,Willamette Water Supply Program staff)of Wilsonville/Sherwood operations and the startup and commissioning of the expansion of the Intake Facilities during calendar year 2025; 5.4. Best efforts to effect transition of all intake operations to the Commission and facilitate assumption of operational duties to the Party designated by the Board on or before June 30, 2026. 6. Repairs to Existing Intake Facility Assets Prior to June 30,2026 6.1. Wilsonville has identified that there may be potential repairs required to the intake pipe,caisson, sparge system,and grout pipe joints in order to repair maintain and preserve the Intake Facilities. Any such repair costs(less any cost for sediment removal which shall only be paid by those actually drawing water through the Intake Facilities,currently Wilsonville and Sherwood),shall be shared by Wilsonville,TVWD, Sherwood,Hillsboro,Tigard and Beaverton in proportion to Intake Facilities Capacity ownership. Wilsonville will evaluate the condition of the Intake Facility when the sediment clean-out occurs,scheduled for Fiscal Year 2017-18. If the need for any repairs is identified,Wilsonville will work with the Willamette Water Supply Program to incorporate those repairs into the expansion of the Intake Facilities,managed by TVWD,to achieve construction coordination and cost savings. If Wilsonville discovers any repairs that it deems must be made before the expansion of the Intake Facilities is ready for construction, including any emergency repairs,Wilsonville will notify the Managing Agency about the repairs and may proceed independent of the expansion of the Intake Facilities.Wilsonville will follow all public contracting rules in making any such repairs and will invoice the Managing Agency the actual costs of any such required repairs. Wilsonville and TVWD will coordinate the Intake Facility expansion and any other Intake Facility repairs so that the making of the repairs and expansion of the Intake Facility will not interfere with or adversely impact the expansion of the Intake Facilities or the WRWTP. 7. Interim Fee 7.1. TVWD,as the initial Managing Agency,will prepare a work plan and associated cost estimate for the Fiscal Year 2017-18 budget for Commission administration responsibilities. Budgets for subsequent years will be proposed by TVWD and will be subject to review by the Parties and will require approval by the Board,as provided in this Agreement. 7.2. Wilsonville elects not to charge an Interim Operations Fee to the Commission. Willamette Intake Facilities IGA 01-08-2018 Exhibit 7 Page 2 Exhibit 8 Willamette Intake Facilities Budget Calendar Description: Annual Proposed Budget Submission and Calendar The Board shall adopt a budget for its operations and capital improvements for each Fiscal Year. The Managing Agency shall annually prepare a budget for administration,operations,and capital improvements in coordination with the appropriate committees representing the Parties as described in Section 7 of this Agreement. The budget review process shall follow the following schedule listed below. Budget Annual Submission Party Receiving Deliverable Date Budget Preliminary capital December 15 Operations improvement Committee project list Preliminary budget January 5 Operations and Finance Committees Draft budget February 15 Management Committee Proposed budget March 31 Board The proposed budget for review shall be submitted with the proposed annual work plan, associated budget narratives,project descriptions, and budget summary spreadsheets for each level of Committee and Board review. Willamette Intake Facilities IGA 01-08-2018 Exhibit 8 Page 1 Exhibit 9 Willamette Intake Facilities Interim Financial Procedures Description: The Willamette Intake Facilities Commission(Commission) is a joint venture of the cities of Beaverton,Hillsboro,Tigard, Sherwood,and Wilsonville and the Tualatin Valley Water District. The Commission owns and operates water intake facilities for the benefit of the Parties to the Willamette Intake Facilities (WIF) Agreement. This Exhibit establishes the interim financial procedures to be followed by the Commission as it undertakes its activities as described in Exhibit 7 to the WIF Agreement. The City of Wilsonville operates the current WIF facilities and those operations are not included within the interim financial procedures. These interim financial procedures consist of three sections. Each is described below. 1. Elements of Financial Procedures: a) Establishing Rates and Charges This section outlines the methodology the Commission will use to set rates and charges to recover the cost of operating the Commission. b) Accounting and Financial Reporting This section outlines the accounting and financial procedures that the Commission and its managing agency will follow. 2. Establishing Rates and Charges: a) Rate Setting Process Each Party's proportionate share of the expenditures of the Commission, shall be estimated by the Commission, and set forth in the Commission's annual budget. b) Quarterly Payments Each Party shall make quarterly payments to the Commission for operations in accordance with the IGA. i. Commission Expenditures Each Party shall pay for its share of the Commission's expenditure quarterly based on the formulas described below. ii. Allocation of Expenditures for Administration Expenditures related to administration of the Commission will be allocated among the Parties using the following formula: Twenty-five percent of the expenditures of the Commission will be divided evenly among the Parties; and Willamette Intake Facilities IGA 01-08-18 Exhibit 9 Page 1 the remaining 75 percent will be divided among the Parties according to each Party's percentage share of the Capacity Ownership in the WIF facilities. iii. Allocation of Expenditures for Operations,Maintenance, and Repair Expenditures by the WIF for Operations, Maintenance, and Repair of the facilities shall be identified by the Operations and Finance Committees along with an allocation methodology. Operations, Maintenance, and Repair expenditures that are the result of use of the facilities will be allocated based on each Party's proportionate use of the WIF facilities. Operations, Maintenance, and Repair expenditures that are unrelated to use will be allocated based on each Party's proportionate ownership of the WIF facilities. If an expenditure serves multiple purposes,jointly,the Operations and Finance Committees shall divide expenditures into both use-based allocations and ownership-based allocations in a fair and equitable manner. If the matter cannot be resolved by the joint Operations and Finance Committees,the matter shall be referred to the Management Committee for resolution. iv. Invoicing The Commission shall invoice the Parties for the prior quarter's expenditures within thirty days of the end of the preceding quarter. Payment is due to the Commission thirty days after receipt of the invoice. 3. Accounting and Financial Reporting: a) Periodic Financial Reports The Commission shall maintain an independent budget control procedure and provide budget reports at least quarterly to each of the Parties not later than 30 days after the end of each quarter. This report shall show expenditures and receipts by budget item for each transaction through the last working day of the preceding quarter. b) Accounting Policies i. Fiscal Year The Commission shall operate on a fiscal year basis from July 1 through June 30 of the subsequent year. ii. Accounting Standards The Managing Agency shall use generally accepted accounting principles to account for the transactions of the Commission. The Commission shall be treated as an enterprise fund for accounting purposes and report its finances on an accrual basis. Willamette Intake Facilities IGA 01-08-18 Exhibit 9 Page 2 iii. Indirect Cost Allocations The Managing Agency shall maintain an indirect cost allocation plan that conforms to industry standards for allocating the indirect overhead costs of the entity. The Managing Agency shall submit the indirect cost allocation plan annually with the budget. iv. Working Capital The Managing Agency will provide working capital for the Commission by paying the Commission's bills when due and receiving payments from the Partners within 30 days after invoicing. The Managing Agency shall adopt accounting procedures to determine the cost of providing the Commission working capital and shall be entitled to charge the Parties a proportionate share of the cost of providing the working capital. The cost of providing the Commission's working capital shall be based on the forgone interest earnings the Managing Agency could have earned at its then-current rate of earnings on its portfolio of investments. Working capital, and the rate, will be listed separately on the invoices. Willamette Intake Facilities IGA 01-08-18 Exhibit 9 Page 3 Exhibit 10 Willamette Intake Facilities Lease Payment Formulas Firm Lease Formula: The lease payment for Willamette Intake Facilities capacity shall be determined by utilizing the depreciated replacement cost value of the asset amorized over the remaining book depreciation life of the asset at an interest rate equal to the Municipal Bond Index rate at the year of the lease payment, Engineering News Record(ENR) index rate, or a comparible index. The Commission may modify the method used to calculate lease payments by resolution of the Board. A firm lease rate example is shown in the Attachment 1 to this Exhibit. Interruptible Lease Formula: The interruptible lease payment for the Willamette Intake Facilities shall be 80 percent of the firm lease rate formula minus the daily rate amount that the capacity was withdrawn from the Lessee back to the Lessor. The interruptible lease shall have a minimum term of 12 months. The lease payment shall be calculated at the start of the lease term using 80 percent of the firm lease as determined by the firm lease formula. The interruptible lease cost shall be recalculated at the end of the lease term. If the Lessor notified the Commission that its interruptible capacity was not available for any portion of that lease year, the interruptible lease cost would be reduced by 1/365 of the cost for each day that it withdrew the interruptible capacity. If the Lessor agency did not exercise the right to withdraw capacity during the lease year, then full interruptible lease cost would apply. Interruptible Lease Rate= 80% * (Firm Lease Rate for 1 year)— [(Number of Days Withdrawn/365 * (80% * Firm Lease Rate for 1 Year)] Surplus Capacity Pool Formula: The protocols for Surplus Capacity Pool payment for the Willamette Intake Facilities shall be determined using the firm lease rate formula calculated with a daily rate and multiplied by a factor of two. For each day that the Surplus Capacity Pool capacity was used, the Lessee of the pool will be required to pay that daily rate. The Surplus Capacity Pool capacity requests and payment procedures will be developed and determined by the Managing Agency. Surplus Pool Daily Rate=(1/365) * Firm Lease Rate for 1 year * 2 Willamette Intake Facilities IGA 01-08-2018 Exhibit 10 Page 1 Exhibit 10 - Attachment 1 Willamette Intake Facilities Commission Firm Lease Payment Example Assumptions: Year of Construction 2000 Cost of Constuction $ 19,683,536 Capacity 150 MGD Useful Life 50 Years First Year of Lease 2026 Municipal Bond Index(Year of Lease) 4.93% ENR Cost Construction Index-Seattle(Month/Year Construction was Complete) 7,368.25 ENR Cost Construction Index-Seattle-December Prior to Mo/Year of Lease-Update for all assets 7,368.25 Lease Calculation: Replacement Cost(Capacity*ENR CCI-Seattle Construction Complete/ENR CCI-Seattle-Dec prior to lease) $ 19,683,536 Accumulated Depreciation(Replacement cost/Useful Life*(First Year of Lease-Year of Construction) 10,235,439 Depreciated Replacement Cost $ 9,448,097 Lease Payment $ 680,057 Annual Cost $ 4,534 Per MGD Willamette Intake Facilities IGA 01-08-2018 Exhibit 10 Attachment 1 Page 1 EXHIBIT 10 ATTACHMENT 2 SAMPLE LEASE This Willamette Intake Facilities Lease(Agreement) is entered into this day of , 20 between , located in Washington County,Oregon(hereinafter " "), and , a located in Washington County, Oregon. Recital: WHEREAS,the parties to this Agreement are members of the Willamette Intake Facilities Commission(Commission), an intergovernmental entity formed pursuant to ORS Chapter 190 by agreement dated , and amended at various and sundry times since, including the addition of new members; WHEREAS, the parties of the Commission have into a Willamette Intake Facilities Agreement dated , 20_; WHEREAS,the Willamette Intake Facilities Agreement, among other things,provides for a party to lease all or a portion of its interest in a component(s) of the Intake Facilities as defined therein, including water rights and supplemental water rights, to another party, upon such terms and conditions as approved by the Commission; WHEREAS,the parties hereto have agreed that will lease to upon the terms and conditions set forth herein and that the Commission has approved the terms and conditions as evidenced by signature below and being fully advised NOW,THEREFORE, THE PARTIES AGREE AS FOLLOWS: 1. Intake Facilities Capacity. agrees to provide , and agrees to purchase, _million gallons per day in Willamette Intake Facilities capacity each fiscal year during the life of this Agreement, unless modified by other provisions of this Agreement, for an initial=year period beginning through , subject to renewal, extension or termination on the terms and conditions as set forth in this Agreement. If a change in lease is anticipated because (Lessor's) demands have increased,the parties will negotiate the terms of such change. 2. Connections, Measurement and Meters. The Commission or the leasing Party as appropriate and necessary will provide and maintain meters, valves and controls, and measurement devices, in proper order for measurement of Intake Facilities capacity used and connections at the following locations: Willamette Intake Facilities IGA 01-08-2018 Exhibit 10 Attachment 2 Page 1 Meters or measurement devices shall be tested and calibrated biennially by the Commission or an independent tester qualified to do such work. A copy of the test report shall be forwarded to the parties hereto. 3. Rates. shall be billed monthly for the total leased Intake Facilities capacity under this Agreement, and payment shall be made within 30 days of billing. A late fee of 1.5 percent per month shall be assessed for any unpaid balance. will pay monthly to for all leased asset capacity , at rates as described in Exhibit X of the Willamette Intake Facilities Agreement. Inasmuch as has contracted to lease an amount of capacity each year, agrees to pay the greater of: the amount calculated based on the actual volume of water passing through the meter(s) described above; or the amount calculated based on the minimum lease amount. This calculation will be done annually after the end of the year. 4. Term. This Agreement shall be for -years, commencing with execution of this Agreement and ending years thereafter. [ALTERNATIVE A] agrees to notify in writing as soon as practicable if wishes to extend the term of this Agreement, but not later than one year prior to the termination of this Agreement. The parties shall meet to determine if extension or renewal and the terms thereof is mutually agreeable. [ALTERNATIVE B] shall have the right to renew this Agreement for successive periods of years, each by giving written notice thereof not less than one year prior to the expiration of this Agreement,whichever shall first occur. The terms and conditions of this Lease shall continue in any renewal term. 5. Notices. Notices shall be deemed sufficient if deposited in the United States mail, postage prepaid,to the following addresses: 6. Severability. In the event any provisions of this Agreement shall be held to be impossible,invalid or unenforceable,the remaining provisions shall be valid and binding upon the parties hereto. One or more waivers by either party of any provision,term, condition or covenant, shall not be construed by the other party as a waiver of subsequent breach of the same by the other party. Both parties have fully participated in negotiating and writing this Agreement; therefore, it Willamette Intake Facilities IGA 01-08-2018 Exhibit 10 Attachment 2 Page 2 shall not be construed against the party preparing it, but shall be construed as if both parties have prepared it. 7. Acts of God, Emergency, Etc. Performance or delay in performance of the obligations stated in this Agreement shall be reasonably excused when performance or timely performance is impossible or impracticable because of the occurrence of unforeseeable events such as emergency, catastrophe, disaster, labor disputes, or acts of God. 8. Disputes:Attorney's Fees. If a dispute arises between the parties regarding breach of this Lease,the dispute resolution process in Section_of the Agreement shall be utilized. 9. Full Agreement. This document is the entire, final and complete agreement of the parties pertaining to lease of Intake Facilities to , and supersedes and replaces all prior or existing written and oral agreements between the parties or their representatives. 10. Service Reduction in Case of Emergency. If a general emergency or water shortage requires restrictions on the delivery of raw water, general restrictions placed upon deliveries to shall be determined by the Curtailment Plan. By: By: APPROVED AS TO FORM AND CONTENT WILLAMETTE INTAKE FACILITIES COMMISSION By: Willamette Intake Facilities IGA 01-08-2018 Exhibit 10 Attachment 2 Page 3 Exhibit 11 Willamette Intake Facilities Intake Improvements Cost Allocation Summary Preliminary Estimate - June 2017 Description: The following is a summary of the cost estimate for the Intake Facilities improvements required to achieve a Capacity of 150 MGD. The cost estimates are based on preliminary design and will be refined as design progresses. Attachment 1 includes the preliminary design drawings and layout of the Intake Facilities. Assumptions 1. Costs based on WWSP cost estimates presented to WGG on 5/25/17 2. Assumes total expanded capacity of intake is 150 MGD, including: Feature Capacity(MGD) _ Existing Screen Capacity 70 Additional Screen Capacity resulting from expansion 80 Existing Hydraulic Capacity of intake pipe&caisson 120 Additional Hydraulic Capacity of intake pipe&caisson from 30 expansion 3. Assumes permitting and mitigation costs= $1.257 million(WWSP,6/9/17) 4. Assumes screen cost for 150 MGD= $4.65 million—includes intake screen replacement to 150 MGD,intake screen protection, and upgrades to air burst system(WWSP, 5/24/17) 5. Assumes seismic upgrade for the Intake Facilities=$9.36 million—includes piles and jet grout for seismic stability of existing caisson structure(only); does not include seismic improvements for WWSS improvements(WWSP, 5/24/17) 6. Value of remaining useful life of existing screen=$7,876 per MGD (Wilsonville,March 2017) Anticipated Cost Allocations Note: Costs and cost allocations are based on capacity shares and preliminary cost estimates as of current date and are subject to change.Final cost shares will be updated based on final capacity shares and actual costs for proposed improvements using cost allocation methodology as detailed below. Capacity Capacity Cost Allocations($) Share Partner (MGD) Permitting Screen& Air WIF Seismic Total (1) Burst Upgrades(9) Wilsonville 25.0 16.7% $ 75,000 $ 50,000 (2) $ - $ 125,000 (3) TVWD(4,8) 59.1 39.4% $ 393,786 $ 955,000 (5) $ 4,487,458 $ 5,836,244 Sherwood(6) 9.7 6.5% $ 77,567 $ 160,000 (7) $ 605,280 $ 842,847 Tigard(8) 15.0 10.0% $ 189,674 $ 930,160 $ 1,138,949 $ 2,258,783 Willamette Intake Facilities IGA 01-08-2018 Exhibit 11 Page 1 Hillsboro (8) 36.2 24.1% $ 457,748 $ 2,244,786 $ 2,748,663 $ 5,451,197 Beaverton(8) 5.0 3,3% $ 63,225 $ 310,053 $ 379,650 $ 752,928 Total 150.0 100.0% $ 1,257,000 $ 4,650,000 $ 9,360,000 $ 15,267,000 Footnotes for Cost Allocation Methodology Cost allocations are generally based on proportionate ownership shares subject to additional terms and conditions as noted below. 1. Permitting cost allocation assumes 50%of costs applied to new capacity(80 MGD) and 50% of costs applied to total capacity(150 MGD). 2. Wilsonville receives full credit equal to remaining undepreciated asset value of 20 MGD share of existing screen. 3. Wilsonville total cost cap for permitting, screen, air burst&seismic= $125,000. 4. TVWD capacity share includes 56.5 MGD for demand and 2.6 MGD of capacity not allocated to other partners. 5. TVWD receives partial credit for remaining undepreciated asset value of 45 MGD share of existing screen. 6. Sherwood does not contribute toward Wilsonville's cost shares in excess of Wilsonville cost caps for permitting,screen,and seismic improvements. 7. Sherwood receives partial credit for remaining undepreciated asset value of 5 MGD share of existing screen. 8. TVWD,Tigard,Hillsboro and Beaverton costs include allocation,proportionate to capacity share, for Wilsonville's cost shares for permitting, screen,and seismic improvements in excess of Wilsonville cost caps. 9. Improvements for seismic stability of existing caisson structure and intake pipe only; does not include seismic improvements for WWSS improvements. Wilsonville cost share for seismic improvements= $0. TVWD,Tigard,Hillsboro and Beaverton-but not Sherwood-pay Wilsonville's cost share for seismic improvements. Willamette Intake Facilities IGA 01-08-2018 Exhibit 11 Page 2 Exhibit 12 Willamette Intake Facilities Insurance Requirements and Limits Description: The following insurance requirements and limits are necessary for the operations of the Willamette Intake Facilities(Intake Facilities)and shall be purchased and maintained at all times. The requirements will be reviewed and approved by the Board annually, and modified when necessary. 1. Insurance Requirements (a) The Managing Agency shall obtain and maintain at all times appropriate insurance coverage for the Intake Facilities on behalf of the Commission based on exposure. Where applicable,the insurance limit shall meet or exceed the corresponding monetary limit of the Oregon Tort Claims Act. For all other insurance, the insurance limits shall meet or exceed the corresponding limit or obligation established for a special government body under Oregon law. (b) The Managing Agency shall recommend the purchase of all necessary insurance to protect the interests of the Intake Facilities and the Commission. (c) The Board shall review and approve insurance coverage, limits and deductibles proposed by the Managing Agency. (d) The Commission,its members,officers,boards, agents and employees will be listed as additional insureds on all policies purchased by the Managing Agency for the Intake Facilities, and be listed on insurance policies required of the Commission of their contractors and consultants. 2. Summary Insurance Requirements and Limits: a) Property To include loss or damage to all types of property owned by the Commission due to perils such as fire,wind, theft, vandalism, malicious mischief, earthquake and flood, for the full insurable replacement-cost basis. (For earthquake and flood, a sublimit typical of the industry standard). Property coverage shall also include machinery breakdown coverage. Willamette Intake Facilities IGA 01-17-2018 Exhibit 12 Page 1 b) Commercial General Liability To include all major coverage including bodily injury,personal injury,property damage and wrongful acts. Coverage shall be provided for all XCU(explosion, collapse and all underground)hazards and shall be in the amount not less than $2,000,000 per occurrence and$4,000,000 general aggregate. c) Automobile Liability To include all owned,hired and non-owned vehicles of a combined single limit per occurrence shall not be less than$2,000,000. d) Workers' Compensation and Employers' Liability Workers'compensation coverage sufficient to meet statutory liability limits and Employers' Liability of$1,000,000 for each accident, $1,000,000 for each bodily injury/disease and$1,000,000 for aggregate bodily injury/disease. e) Fidelity bond or Crime A fidelity bond or equivalent crime coverage in the amount not less than $500,000. f) Directors and Officers For the protection of all directors and officers of the Commission in the amount of not less than$1,000,000. g) Pollution Liability The Board may require the purchase of pollution liability coverage for any significant construction projects on the Intake Facilities or may require contractors to obtain pollution liability coverage for the Intake Facilities construction projects. Contractors' policy shall name the Commission as an additional insured. Willamette Intake Facilities IGA 01-17-2018 Exhibit 12 Page 2 Exhibit 13 Existing Agreements Description: The following is a list of existing agreements between some or all of the Parties that affect or are affected by the Intake Facilities that are the subject of this Agreement. These related agreements are not superseded by this Agreement unless agreed to by the parties to those agreements. 1) Agreement Regarding Water Treatment Plant Design, Construction, Operation and Property Ownership ("2000 Master Agreement"), dated July 6, 2000 and entered into by Wilsonville and TVWD 2) The Accord Agreement ("Accord"), dated June 19, 2001 and entered into by Wilsonville and TVWD 3) First Amendment to Agreement Regarding Water Treatment Plant Design, Construction, Operation, and Property Ownership,dated , 2018, entered into by TVWD and Wilsonville; 4) Operation and Maintenance Contract with Veolia Water North America-West LLC, dated July 1, 2017, as amended, entered into by TVWD and Wilsonville; 5) First Restated Intergovernmental Cooperative Agreement Continuing the Willamette River Water Coalition" ("WRWC Agreement"), dated October 15, 2008 and entered into by TVWD, Sherwood, Tigard, and Tualatin 6) Sherwood and Tualatin Valley Water District Willamette River Water Treatment Plant Agreement ("Sherwood TVWD WRWTP Agreement"),dated December 27, 2006 and entered into by TVWD and Sherwood 7) Agreement for Design and Construction of the Willamette Water Supply Program ("WWSP Agreement"), dated June 16, 2015 and entered into by TVWD and Hillsboro 8) Agreement(s) for Transfer, Purchase and Sale of Intake Facilities, dated , 2018 and separate agreements entered into by TVWD and Beaverton, TVWD and Hillsboro, TVWD and Sherwood, TVWD and Tigard 9) City of Wilsonville and Tualatin Valley Water District Willamette Water Supply System Intake Facility Agreement, dated , 2018 and entered into by Wilsonville and TVWD Willamette Intake Facilities IGA 01-08-2018 Exhibit 13 Page 1 10)Ground Lease for the Raw Water Pipeline, dated , 2018, entered into by TVWD,Wilsonville, and Hillsboro. 11)Easement for Raw Water Pipe, dated , 2018, entered into by TVWD, Wilsonville, and Hillsboro. 12)Intake and Pipeline Easement No. 22670-EA, dated July 13, 2000 and granted by the State of Oregon Division of State Lands to the City of Wilsonville. Willamette Intake Facilities IGA 01-08-2018 Exhibit 13 Page 2 CITY OF TIGARD, OREGON TIGARD CITY COUNCIL ORDINANCE NO. 18- AN ORDINANCE APPROVING THE WILLAMETTE INTAKE FACILITIES IN 1'ER- GOVERNMENTAL AGREEMENT TO CREATE THE WILLAMETTE INTAKE FACILITIES COMMISSION,AN IN 1'LRGOVERNMENTAL ENTITY FORMED UNDER ORS CHAP I'ER 190, BETWEEN TUALATIN VALLEY WATER DISTRICT AND THE CITIES OF HILLSBORO, SHERWOOD,BEAVERTON,TIGARD,AND WILSONVILLE. WHEREAS,in 2000,Tualatin Valley Water District(District) and the City of Wilsonville (Wilsonville) entered into an Agreement Regarding the Water Treatment Plant Design,Construction, Operation and Property Ownership for the Willamette River Water Treatment Plant (WRWTP) located in Wilsonville;and WHEREAS,the WRWTP was constructed by TVWD and Wilsonville,and those parties owned the real property and assets in varying percentages until TVWD sold part of its interest in the WRWTP facility but not the land to the City of Sherwood (Sherwood) so that these three entities now own various interests; and WHEREAS, the District and the City of Hillsboro (Hillsboro) have entered into an agreement to design,construct,own, operate,maintain,repair and replace the Willamette Water Supply System(WWSS) which will consist of raw water transmission,pumps,water treatment plant, finished water pipelines and terminal storage to deliver water to their respective service boundaries,and it is anticipated that the City of Beaverton (Beaverton)will join the District and Hillsboro in the WWSS;and WHEREAS,the District,Wilsonville,Sherwood,Hillsboro,Beaverton and Tigard have agreed that the existing Willamette Intake Facilities (WIF),located at the WRWTP property, should be upgraded and expanded from current capacity of 120 million gallons per day to 150 million gallons per day and that the WIF should be owned,operated and managed for the use and benefit of the WRWTP and the planned WWSS Water Treatment Plant(WWSS WTP) by an intergovernmental entity formed under ORS 190.003 to 190.265;and WHEREAS,the District,Wilsonville,Sherwood,Hillsboro,Beaverton and Tigard have agreed to execute the Willamette Intake Facilities Intergovernmental Agreement (WIF IGA),effective April 1,2018, to form the Willamette Intake Facilities Commission (WIF Commission),an intergovernmental entity under the authorities cited above,vested with the powers and authorities as set forth in Exhibit A,attached hereto and incorporated by reference;and WHEREAS,Tigard City Council finds that it is in the best interest of the City to enter into the WIF IGA and to become a member of the WIF Commission;and WHEREAS,ORS 190.085 requires the City and the other parties to enact an ordinance approving the WIF IGA and creation of the WIF Commission. ORDINANCE No. 18- Page 1 NOW THEREFORE,THE CITY OF TIGARD ORDAINS AS FOLLOWS: SECTION 1: Pursuant to ORS 190.085,the Tigard City Council approves the Willamette Intake Facilities Intergovernmental Agreement and joins the Willamette Intake Facilities Commission with the following parties: the cities of Hillsboro,Beaverton,Sherwood, and Wilsonville and the Tualatin Valley Water District. The Willamette Intake Facilities Agreement is attached hereto as Exhibit A and incorporated by reference. SECTION 2: The effective date of the agreement is on or about April 1,2018. SECTION 3: The public purpose for which the WIF Commission is created is to use any authority vested in the WIF IGA to further the economy and efficiency of each party for the operation, maintenance, construction, repair and replacement and resource management of the Willamette Intake Facility as set forth in the WIF IGA among the parties or with others. SECTION 4: To carry out its public purposes, the WIF Commission shall have the following powers, duties and functions in addition to those specified in ORS 190.003 through 190.265: A. To provide operation,maintenance,construction,repair and replacement and water resource management of the Willamette Intake Facility as described in the WIF IGA for water intake and transmission to the WRWTP or the WWSS WTP; B. To issue debt pursuant to ORS 190.080(1)(a) and the terms of the WIF IGA; C. To otherwise manage the business affairs of the Willamette Intake Facilities as set forth in the WIF IGA; D. To retain such offers and employees as it deems necessary and to contract for the purchase of property and services; E. To perform the administration and accounting of all payments and receipts related to operation of the Willamette Intake Facility for the account of a party,parties or the WIF Commission; F. To adopt such bylaws,rules,regulations and policies as the parties deem necessary to further the purposes of the WIF IGA; G. To exercise all powers pursuant to the applicable acts,charters,or laws of the individual parties,which are necessary or desirable to economically and efficiently develop and operate the WIF Commission. SECTION 5: Not later than 30 days after the effective date of the agreement,the parties to the WIF IGA will file with the Secretary of State copies of their respective ordinances and all other required information. SECTION 6: This ordinance shall be effective 30 days after its passage by the council, signature by the mayor,and posting by the city recorder. PASSED: By vote of all council members present after being read by number and title only,this day of ,2018. ORDINANCE No. 18- Page 2 Carol A.Krager,City Recorder APPROVED: By Tigard City Council this day of ,2018. John L. Cook,Mayor Approved as to form: City Attorney Date ORDINANCE No. 18- Page 3 Council Update tan re- City018 SUPPLEMENTAL PACKET FOR9d/ FS Chamber Update (DATE OF MEETING) Leadership Tigard Education Day was held today, got an indepth overview of TTSD School Board Roles,TTSD Strategic Vision/Plan/Challenges, key programs and offerings, alternative programs, STEAM and more. Education,Advocacy, & Building a Strong Local Economy • 2/14/18—Noon—Leverage and Learn— How to Partner with a Non-Profit— FREE, but Registration Required • 2/21/18— 1:15 p.m. —Gov't Affairs and Public Policy Committee Meeting • 2/27/18 7:30 -8:45 a.m.—Invest in U—Working on Your Business Brand presented by Nicholas De Salvo Founder of Edge One Media @ the Broadway Rose Theater • 18 businesses have joined the chamber in January Promoting Community • Save the Date for Tigard Shining Stars Community Awards Gala Friday 4/27/18, 5:30 p.m. o Award nominations now open, recognize a volunteer, more info at https://tigardchamber.org/content/shining-stars-community-awards-celebration o Scholarship applications now being accepted Networking/Visibility 2/15/18—Speed Networking starting at 7 a.m., hosted by SERPRO of Tigard Tualatin @ Embassy Suites Good Morning Tigard (GMT),Thursday A.M. Networking 7:30 a.m.—Weekly 2/22/18— Hosted by the City of Tigard at their location, 3/1/18— Hosted by Wholey Gardner, 3/8/18— Hosted by H&R Block G.E.T. Connected After Hours hosted by Crown Plaza 2/20/18 5-630 p.m. Details at http://business.tigardchamber.org/events/calendar/ follow us on Twitter @tigardchamber Tigard Farmers Market Update Opening Day will be May 6th, 2018! We've got some exciting things coming up, stay tuned TDA Downtown Updates Save the date for Artwalk 2018 over Mother's Day Weekend, more details coming soon! Find us on Facebook at exploredowntowntigard and at . Follow us on Twitter @Tigarddowntown and on Instagram at downtowntigard q�d x 7 ., . . .ti.a Leadership Tigard TDA T Bufir#ttig%ecssiers. Growing Community. GROW.Gcrnce.GIVE SUPPLEMENTAL PACKET / FOR _ 2 /3 - Ti and PD Strategic D as hbArEd°F MEETING) .,,i-ouC1 For January 2018 * wR2016 Population Estimate: 51,253 (Adopted Budget FY 2017-2018) Selected Group A Offenses Jan 2017 Jan 2018 % Chg 2017 YTD 2018 YTD °!„ Chg Person Crime 38 27 -28.95% 38 27 0 -28.95% Assault 24 22 -8.33% 24 22 • -8.33% Robbery 5 2 -60.00% 5 2 • -60.00% Property Crime 172 260 51.16% 172 260 0 51.16% Burglary-Residential 4 4 0.00% 4 4 * 0.00% Burglary-Business 4 2 4TM" -50.00% 4 2 0 -50.00% Burglary- Other 4 1 -75.00% 4 1 • -75.00% UUMV 8 6. . ` -25.00% 8 6 0 -25.00% Theft 84 124 47.62% 84 124 0 47.62% Vandalism 29 62 113.79% 29 62 * 113.79% Societal Crimes 28 50 78.57% 28 50 i 78.57% DLIII 7 9 28.57% 7 9 • 28.57% Drug Offense 8 24 200.00% 8 24 M 200.00% Disorderly Conduct 2 6 200.00% 2 6 * 200.00% Calls for Service Jan 2017 Jan 2018 % Chg 2017 YTD 201.8 YTD %Chg Dispatched Calls 1606 1792 11.58% 1606 1792 * 11.58% Self Initiated Calls 1377 1943 41.10% 1377 1943 0 41.10% Response Time Priority 1 &2 6:23 6:27 1.04% 6:23 6:27 r 1.04% Priority 3 9.90 10.77 8.79% 9.90 10.77 f. 8.79°/o Priority 4 + 10.03 10.50 4.69% 10.03 10.50 4.69% Community Snapshot Community Concerns *Stranger Danger(3 Reports in Two Weeks) *Multiple Reports of Transients Community Outreach and Events Upcoming Events *Monthly Landlord Forum(1/10/2018) *Spring Shred Event(4/21/2018) *Tigard Breakfast Rotary K-9 Donation Presentation(1/23/2018) *Drug Turn in Event(4/28/2018) *Ashwood Neighborhood Watch Kick-Off Meeting(1/31/2018) *New TPD Informational kiosk'go live'at Regal Bridgeport Cinema(1/24/2018) *Coffee-with-a-Cop(2/10/2018) *Person Crime-Assault,Homicide,Robbery,Kidnap,Forcible/Non-Forcible Sex Offense *Property Crimes-Arson,Bribery,Res Burglary,Bus Burglary,Oth Burglary,Forgery,Vandalism,Embezzle,Fraud,Theft,UUMV,Bad Check *Societal Crimes-Drug Offense,Prostitution,Weapons,Curfew,DisCon,DuII,Family Offense,Liqour Laws,Peeping Tom,Trespass 1 Tigard PD Strategic Dashboard a For January 2018 ,,,,-,6 „i, _ ., 2016 Population Estimate: 51,253 (Adopted Budget FY 2017-2018) Department Staffing Information Actual Budget %Budget Sworn 70 72 97% Non-Sworn 16.5 16.5 100% Total Number of Personnel 86.5 88.5 98% Patrol Officer Staffing 33 351 Personnel Unavailable for Work Patrol All Other Overall #of Recruits in Pre-Academy - - - #of Recruits in Academy 2 - 2 #of Recruits in FTEP 1 - 1 #of Personnel on Extended Sick Leave 1 - 1 #of Personnel on Military Leave 1 - 1 #of Personnel on Light Duty 2 1 3 #of Personnel on Administrative Leave - - - Total Personnel Unavailable to Work during some Period during the Month 7 1 8 Total Officers Available to work PATROL some period during the Month 26 Operational Effectiveness Snapshot BudgetIntormation is based on the best a IT::,, FY 2016-2017 Budget FY 2017-2018 Budget Percent YTD Status Percent YTD Status Department Budget Actual Budgeted Actual Budgeted Administrative 63% 58% a 5% 51% 58%e -7% Operations 54% 58% 0 -4% 54% 58% 0 -5% Services 54% 58% 0 -4% 58% 58% -1% Total Department Budget 55% 58% 0 -4% 55% 58% 0 -3%- Budget Information is based on the best available data. FY 2016-2017 FY 2017-2018 Percent YTD Budget Percent YTD Budget Status Status Department Overtime Actual Budgeted Actual Budgeted Administrative 51% 58% -8% 53% 58% • -5% Operations 73% 58% 0 15% 35% 58% 0 -23% Services 46% 58%0 -13% 60% 58% 2% Total Overtime 63% 58% • 5% 42% 58% cs -16% 2 Tigard PD Strategic Dashboard For January 2018 -06 2016 Population Estimate: 51,253 (Adopted Budget FY 2017-2018) JANUARY JANUAI PUBLIC DEMAND CALLS SELF INITIATED CALLS 1192 -..-""166""'•►' Reisons e Times - 5 Year Trend -January _1 PRIORITY 1 2 "� �� PRIORITY 3 5.33 x 451-14 x.67 r Priority 1= PRIORITY 4+ Priority 3 = Iimninent threat to life Urgent call where crime i0.5 10 9 JR---"'10"3 °03 prevention is needed 1 -�....8.17- Priority 2= Immediate threat to life,occuring now Priority 4+ = Cold crimes or public assistance 3 Tigard PD Strategic Dashboard For January 2018 lilt, 2016 Population Estimate: 51,253 (Adopted Budget FY 2017-2018) For Service - By Month SELF INITIATED PUBLIC DEMAND AVERAGE 1666 AVERAGE 11111111111111111111111111111111.1111111 JAN-18 1943 JAN 18 IIIIMMIIIIIIIIMIMIIMIIIIEEII DE( 1706 DE( 11111111111111111111111111111M NOV t1 1668 NOV t 11111111111111111111111111111111111111111111M3 0C1 1792 (JC- 1111111111111111111111111111111111111= SEP1 AIIIIIIIIIMienTO SEPT IIIIIIIPIIIIINIIBIIMIIIIIIIIMII AUG ' 1 1640 AUG ' 191* JULY , 1496 JUL' JUNE ' 1599 JUNE 1 lialimmumpagagagE3 , MAY /715 APR 1, 1611f, APR MAR J IMIrEttt MAE 1 FEB JUN!! FEE • t JAN-17 JAN 1 t 1 t.' u SOO 1000 1500 2000 2500 ti a.t 1000 1500 2000 2500 Tracking Code Cases -January _ . ,,.... . , , I•tiitiar 2013 Overdose 0 0 0 1 0 6 Police Hold 0 10 9 10 10 0 Suicide 0 0 0 0 0 1 Attempt Suicide 0 4 3 4 5 14 DHS Referral 33 39 44 34 33 43 Vulnerable Adult Null 8 1 3 4 2 Dom Violence 9 6 11 7 7 13 DV No Crime Null Null 0 13 8 8 ORC Theft 4 14 1 2 3 3 Graffiti 27 22 31 9 5 36 4 Y'f Tigard PD Strategic Dashboard gt3LIC ,t)o, -_ ) For January 2018 E + 2016 Population Estimate: 51,253 (Adopted Budget FY 2017-2018) w .aL vk PRIORITY RESPONSE COMPARISON .Jan-17 4 Jan-18 8:05 6:46 5:17 4:5T a 4:20 Priority 1&Z Priort„ 3 Pr.or.ty 4,- 90th Percentile Response Time )an 2017 )an 2018 %o Chg 2017 YTD 2018 YTD %Chg , Priority 1 &2 5:17 4:38 -12.30% 5:17 4:38 0 -12.30% Priority 3 8:05 6:46 e. -16.29% 8:05 6:46 A -16.29% Priority 4+ 4:07 4:20 05.26% 4:07 4:20 0 5.26% The 90th percentile calculations are on Dispatched Calls Minus Cancelled calls, Duplicate Calls, and Qued out calls. Minus calls that were missing Dispatched Times Minus calls that were missing Arrival Times. BHI - Transient Total Calls Logged: 239 #of Calls-BHI 120 #of Calls Transient 135 #of Calls Dispatched 171 #of Calls Self Initiated 68 Total Time Spent 159:21:26 (hr:min:sec) 5 AGENDA ITEM NO. 2 E - CITIZEN COMMUNICATION DATE: February 13, 2018 (Limited to 2 minutes or less,please) The Council wishes to hear from you on other issues not on the agenda and items on the agenda, but asks that you first try to resolve your concerns through staff. This is a City of Tigard public meeting, subject to the State of Oregon's public meeting and records laws. All written and oral testimony becomes part of the public record. The names and addresses of persons who attend or participate in City of Tigard public meetings will be included in the meeting minutes, which is a public record. NAME,ADDRESS & PHONE TOPIC STAFF Please Print CONTACTED Name: Also,please spell your name as it sounds,if it will help the presiding officer pronounce: Address ct ,e,„« YY CityI (-7 State Zip Phone No. Name: Also,please spell your name as it sounds,if it will help the presiding officer pronounce: Address City State Zip Phone No. Name: Also,please spell your name as it sounds,if it will help the presiding officer pronounce: Address City State Zip Phone No. CITIZEN COMMUNICATION I:\ADM\CITY RECORDERS\000 City Recorder-Records Resources and Policies\CCSignup\2018\citizen communication second Reek business 180213.doc AIS-3427 3.A. Business Meeting Meeting Date: 02/13/2018 Length (in minutes):Consent Item Agenda Title: Receive and File: Council Calendar and Tentative Agenda Submitted By: Carol Krager,Central Services Item Type: Receive and File Meeting Type: Consent- Receive and File Public Hearing: No Publication Date: Information ISSUE Receive and file the Council Calendar and the Tentative Agenda for future council meetings. STAFF RECOMMENDATION / ACTION REQUEST No action is requested; these are for information purposes. KEY FACTS AND INFORMATION SUMMARY Attached are the Council Calendar and the Tentative agenda for future Council meetings. OTHER ALTERNATIVES N/A COUNCIL GOALS, POLICIES,APPROVED MASTER PLANS N/A DATES OF PREVIOUS COUNCIL CONSIDERATION N/A -Receive and File Items Attachments Council Calendar Tentative Agenda • MEMORANDUM TIGARD TO: Honorable Mayor& City Council FROM: Carol A. Krager, City Recorder RE: Three-Month Council Calendar DATE: February 6,2018 Below is a listing of council meetings for the next three months. Regularly scheduled Council meetings are marked with an asterisk(*). February 6* Tuesday Council Business Meeting—6:30 p.m.,Town Hall 12 Monday Council Outreach at Summerfield Clubhouse, 10650 SW Summerfield Dr., 6-8 p.m. 13*Tuesday Council Business Meeting—6:30 p.m.,Town Hall 19 Monday Presidents'Day Holiday—City offices closed;Library open 20* Tuesday Council Workshop Meeting—6:30 p.m.,Town Hall 27* Tuesday Council Business Meeting—6:30 p.m.,Town Hall March 6* Tuesday Council Business Meeting—6:30 p.m.,Town Hall 13*Tucsday Council Bu3incss Meeting 6:30 p.m.,Town Hall Cancelled 20* Tuesday Council Workshop Meeting—6:30 p.m.,Town Hall 27* Tuesday Council Business Meeting—6:30 p.m.,Town Hall April 3* Tuesday Council Business Meeting—6:30 p.m.,Town Hall 10*Tuesday Council Business Meeting—6:30 p.m.,Town Hall 17* Tuesday Council Workshop Meeting—6:30 p.m.,Town Hall 23 Monday Budget Committee Meeting-6:30 p.m.,Public Works Auditorium 24* Tuesday Council Business Meeting—6:30 p.m.,Town Hall is\adm\city council\council calendar\3-month calendar word format.doc Meeting Banner 0 Business Meeting 0 Study Session Special Meeting ❑■ Consent Agenda 0 Meeting is Full Workshop Meeting 0 City Council Tentative Agenda 2/5/2018 11:04 AM- Updated Form Meeting Inbox or Submitted By Meeting Title Department # Date Type Finalized 02/07/2018 February 7, 2018 State of the City Address - Broadway Rose Theatre, 12850 SW Grant Ave, Tigard (6pm-8pm) 02/12/2018 February 12 - City Council Winter Outreach - Summerfield Clubhouse, 10650 SW Summerfield Dr (6pm-8pm) 3312 02/13/2018 Kelly Burgoyne AAA February 13, 2018 Business Meeting 3339 02/13/2018 John Goodrich ACCSTUDY 1 20 Minutes - Receive Update on Willamette Public Works Krager C, City Recorder Intake Facility Intergovernmental Agreement 3374 02/13/2018 Kelly Burgoyne ACCSTUDY 2 15 Minutes - Council Liaison Reports Central 12/07/2018 Services Total Time: 35 Minutes of 45 Minutes Scheduled 3228 02/13/2018 John Goodrich CCBSNS 1 15 Minutes - Consider Ordinance Adopting Public Works Krager C, City Recorder Willamette Intake Facilities Intergovernmental Agreement for Joint Ownership, Operation and Management 3395 02/13/2018 John Goodrich CCBSNS 2 15 Minutes - Consider Authorizing the City Public Works Krager C, City Recorder Manager to Approve an Overbilling Settlement Claim 3403 02/13/2018 Carol Krager CCBSNS 3 15 Minutes - Legislative Public Hearing - Police 01/30/2018 Consider Amendment to TMC Chapter 7.60 Abandoned Vehicles 3378 02/13/2018 Carol Krager CCBSNS 4 30 Minutes - Consideration of Local Option City Marty W, City Manager Levy Referral Management Total Time: 75 Minutes of 100 Minutes Scheduled 1 I Page is\adm\city recorders\tentative agenda\february 5,2018.docx Meeting Banner 0 Business Meeting 0 Study Session 0 Special Meeting W Consent Agenda 0 Meeting is Full Workshop Meeting 0 City Council Tentative Agenda 2/5/2018 11:04 AM - Updated 3313 02/20/2018 Kelly Burgoyne AAA February 20, 2018 COMBO WORKSHOP/BUSINESS MEETING 3399 02/20/2018 Dana Bennett CCWKSHOP 1 10 Minutes - Hold for Heal City Confirmation City Bennett, D, HR Director Managemenj 3393 02/20/2018 Sean Farrelly CCWKSHOP 2 25 Minutes - Review Downtown Plaza Concept Community Laughlin D, Conf. Exec. Asst. Development 3418 02/20/2018 Liz Lutz CCWKSHOP 3 30 Minutes - External Financial Audit & CAFR Finance and Lutz L, Conf Exec Asst Presentation with Moss Adams Information Services 3379 02/20/2018 Carol Krager CCWKSHOP 4 30 Minutes - Public Hearing - Consideration of City Marty W, City Manager Local Option Levy Management , Total Time: 95 Minutes of 180 Minutes Scheduled 3314 02/27/2018 Kelly Burgoyne AAA February 27, 2018 Business Meeting 3389 02/27/2018 Lori Faha ACCSTUDY 1 30 Minutes - Receive Update on the Status of Public Works Faha L, City Engineer Capital Improvement Program Implementation 3375 02/27/2018 Kelly Burgoyne ACCSTUDY 2 15 Minutes - Council Liaison Reports Central 12/07/2017 Services 3336 02/27/2018 Marissa Grass CCBSNS 1 20 Minutes - Consider a Resolution to Adopt Public Works Faha L, City Engineer the Stormwater Master Plan 3390 02/27/2018 Kelly Burgoyne CCBSNS 2 10 Minutes - Consideration of Resolution Public Works Faha L, City Engineer Concurring with Washington County Findings Regarding Vacation of Public Slope and Drainage Easements Along SW Roy Rogers 3415 02/27/2018 Shaina Hobbs CCBSNS 3 15 Minutes - Approve an IGA with Metro to Community Marty W, City Manager Accept and Manage a RTO Grant Award for Safe Development Routes to School 3350 02/27/2018 Kelly Burgoyne CCBSNS 4 10 Minutes - LCRB - Placeholder Finance and Barrett], Sr Mgmt Analyst Information Services 2 I Page is\adm\city recorders\tentative agenda\february 5,2018.docx Meeting Banner ❑ Business Meeting 0 Study Session Special Meeting 0 Consent Agenda 0 Meeting is Full Workshop Meeting 0 City Council Tentative Agenda 2/5/2018 11:04 AM - Updated 3411 02/27/2018 Tom McGuire CCBSNS 5 5 Minutes - Amendment to Procedure for Community McGuire, T, Asst CD Director Appointment to Citizen Advisory Committees Development 3412 02/27/2018 Tom McGuire CCBSNS 6 15 Minutes - Amend the Tigard Municipal Community McGuire, T, Asst CD Director Code Chapter 6.02 to Remove Specific Development Requirements on Keeping Livestock and Poultry 3418 02/27/2018 Marissa Grass CCBSNS 7 10 Minutes - Consider Resolution Granting a Public Works Grass, M, Conf Exec Assistant Franchise Agreement to Verizon Access Transmission Services Corp. 3424 02/27/2018 Kelly Burgoyne CCBSNS 8 15 Minutes - Finance Placeholder Finance and Krager C, City Recorder Information Services 3315 03/06/2018 Kelly Burgoyne AAA March 06, 2018 Business One Meeting amu, .hWa �n_.._ ....,... 3351 03/06/2018 Kelly Burgoyne CCBSONE 1 10 Minutes - LCRB - Placeholder Finance and Barrett J, Sr Mgmt Analyst Information Services 3391 03/06/2018 Sean Farrelly CCBSONE 2 40 Minutes - Joint Meeting with Town Center Community Farrelly S, Redev Project Advisory Commission Development Manager 3392 03/06/2018 Susan Shanks CCBSONE 3 25 Minutes - System Development Charge Community Code Amendments Development Total Time: 75 Minutes of 180 Minutes Scheduled 3316 03/13/2018 Kelly Burgoyne AAA March 13, 2018 Business Meeting - MEETING CANCELLED - LACK OF QUORUM Total Time: 10 Minutes of 100 Minutes Scheduled 3317 03/20/2018 Kelly Burgoyne AAA March 20, 2018 Workshop Meeting 3Page is\adm\city recorders\tentative agenda\february 5,2018.docx Meeting Banner 0 Business Meeting 0 Study Session 0 Special Meeting 0 Consent Agenda 0 Meeting is Full Workshop Meeting 0 City Council Tentative Agenda 2/5/2018 11:04 AM - Updated 3302 03/20/2018 Schuyler Warren CCWKSHOP 1 20 Minutes - Development Code Policy and Community Warren S, Associate Planner Procedures Phase II Update Development 3423 03/20/2018 Doreen Laughlin CCWKSHOP 2 75 Minutes - Southwest Corridor Update and Community Scott, L, Community Discussion Development Engagement Coord Total Time: 95 Minutes of 180 Minutes Scheduled 3318 03/27/2018 Kelly Burgoyne AAA March 27, 2018 Business Meeting I _ I 3413 03/27/2018 John Goodrich ACCSTUDY 1 15 Minutes - Temporary and Emergency Water Public Works Goodrich J, Division Manager Supply Connection IGA with TVWD 3421 03/27/2018 John Goodrich ACCSTUDY 2 10 Minutes - Proposed Purchase Sale Public Works Goodrich J, Division Manager Agreement for Willamette Intake Facility (WIF) Total Time: 25 Minutes of 45 Minutes Scheduled 3353 03/27/2018 Kelly Burgoyne CCBSNS 1 10 Minutes - LCRB - Placeholder Finance and Barrett J, Sr Mgmt Analyst Information Services 3404 03/27/2018 Liz Lutz CCBSNS 2 10 Minutes - Consider a Resolution Granting Finance and Lutz L, Conf Exec Asst Exemption from Property Taxes under TMC 3.50 Information for Five Non-Profit Low Income Housing Services Properties 3414 03/27/2018 John Goodrich CCBSNS 3 15 Minutes - Proposed Construction Water Public Works Goodrich J, Division Manager Agreement with TVWD and City of Hillsboro 3420 03/27/2018 John Goodrich CCBSNS 4 15 Minutes - Proposed Purchase Sale Public Works Goodrich J, Division Manager Agreement for Willamette Intake Facility Total Time: 50 Minutes of 100 Minutes Scheduled 3319 04/03/2018 Kelly Burgoyne AAA April 03, 2018 Business One Meeting 4 I Page is\adm\city recorders\tentative agenda\february 5,2018.docx Meeting Banner 0 Business Meeting 0 Study Session Special Meeting 61 Consent Agenda 0 Meeting is Full Workshop Meeting 0 City Council Tentative Agenda 2/5/201811:04 AM- Updated 3354 04/03/2018 Kelly Burgoyne CCBSONE 1 10 Minutes - LCRB - Placeholder Finance and Barrett J, Sr Mgmt Analyst Information Services Total Time: 10 Minutes of 180 Minutes Scheduled 3320 04/10/2018 Kelly Burgoyne AAA April 10, 2018 Business Meeting 3355 04/10/2018 Kelly Burgoyne CCBSNS 1 10 Minutes - LCRB - Placeholder Finance and Barrett J, Sr Mgmt Analyst Information Services Total Time: 10 Minutes of 100 Minutes Scheduled 3321 04/17/2018 Kelly Burgoyne AAA April 17, 2018 Workshop Meeting _ 3397 04/17/2018 Margaret Reh CCWKSHOP 1 30 Minutes - Joint Meeting between Tigard Library Library Board and the Tigard City Council Total Time: 30 Minutes of 180 Minutes Scheduled 04/23/2018 April 23, 2018 Budget Committee Meeting - 6:30 p.m. 3322 04/24/2018 Kelly Burgoyne AAA April 24, 2018 Business Meeting 3357 04/24/2018 Kelly Burgoyne CCBSNS 1 10 Minutes - LCRB - Placeholder Finance and Barrett ], Sr Mgmt Analyst Information Services 3422 04/24/2018 Kent Wyatt CCBSNS 2 15 Minutes - Receive Report from the Youth City Wyatt K, Management Analyst Advisory Council About the National League of Management Cities Conference Total Time: 25 Minutes of 100 Minutes Scheduled May 7, 2018 Budget Committee Meeting 05/07/2018 6:30 p.m. 5IPagc is\adm\city recorders\tentative agenda\february 5,2018.docx Meeting Banner 0 Business Meeting 0 Study Session Special Meeting Consent Agenda 0 Meeting is Full Workshop Meeting 0 City Council Tentative Agenda 2/5/2018 11:04 AM - Updated 05/21/2018 May 21, 2018 Budget Committee Meeting 6:30 p.m. 05/29/2018 May 29, 2018 Budget Committee Meeting 6:30 p.m. — IF NEEDED Budget Committee Meeting Dates: Monday,April 23,2018—6:30 p.m. Monday,May 7,2018—6:30 p.m. Monday,May 21,2018—6:30 p.m. Tuesday,May 29,2018—6:30 p.m. -If needed. Council Confirmed Travel&Vacation Dates: Eric Zimmerman February 4-17 Councilor Anderson March 9-14(NLC Conference) Council President Snider March 9-14(NLC Conference) Councilor Woodard March 9-14 (NLC Conference) Councilor Goodhouse March 9-14 (NLC Conference) Marty Wine May 1-4 (OCCMA NW Regional Mgr Mtg) Eric Zimmerman May 1-4(OCCMA NW Regional Mgr Mtg) Mayor June 7-12 (US Conf. of Mayors,Boston) Eric Zimmerman June 15-22 (Vacation) Marty Wine July 10-13 (OCCMA Summer Conf.) 6IPage is\adm\city recorders\tentative agenda\february 5,2018.docx AIS-3426 3. B. Business Meeting Meeting Date: 02/13/2018 Length (in minutes):Consent Item Agenda Title: Approve City Council Meeting Minutes Submitted By: Carol Krager,Central Services Item Type: Motion Requested Meeting Type: Consent Agenda Public Hearing: No Publication Date: Information ISSUE Approve City Council meeting minutes. STAFF RECOMMENDATION /ACTION REQUEST Approve minutes as submitted. KEY FACTS AND INFORMATION SUMMARY Attached council minutes are submitted for City Council approval: •November 28,2017 •December 12,2017 •January 2,2018 *January 16,2018 OTHER ALTERNATIVES N/.1 COUNCIL GOALS, POLICIES, APPROVED MASTER PLANS N/A DATES OF PREVIOUS COUNCIL CONSIDERATION N/A Attachments November 28,2017 Minutes December 12,2017 Minutes January 2,2018 Minutes January 16,2018 Minutes ,111 111 City of Tigard Tigard City Council Meeting Minutes TIGARD November 28, 2017 STUDY SESSION A. DISCUSSION ON FORMING A HOUSING TYPOLOGIES CITIZEN ADVISORY COMMITTEE Planner Warren gave council background on a proposed housing typologies citizen advisory committee (CAC) to guide with code updates in the housing portion of the Policy and Procedures Phase II Development Code update. In this phase changes will be made to the 2013 Housing Strategies Report, the 2015 Strategic Plan Implementation Code Audit,Senate Bill 1051 as well as other suggested changes from staff. The committee will focus on changes to the development code affecting housing construction.There are state-mandated changes that must-be made to the code by July 1, 2018. Mayor Cook asked who the committee will advise and Associate Planner Warren said it would advise staff and the Planning Commission. Mayor Cook said he did not want to create another committee when the city has yet to form a committee it told the Homebuilders would be formed. Councilor Goodhouse suggested that if it is short-term it would be more of a task force than a committee. Mr. Warren said it is not expected to be long-term and at this only time four meetings are planned between January and April, 2018. Council President Snider recommended not using the word"typologies"which may be confusing and suggested just saying"housing types" when communicating about this committee. Councilor Woodard suggested mentioning universal design and encouraging everything necessary to maintain people in their homes. ADA compliant homes involve extra amenities. Mayor Cook commented that he has attended presentations on the"missing middle"in housing and noted that duplexes, triplexes, fourplexes and cottage homes have not been built in Tigard for some time. He said investors love them but banks do not. He said he would like to see this concept back in the code but questioned whether they can get financing. Councilor Woodard suggested adding the words "ADA compliant" or"universal design" to resolution in the second to last Whereas clause. Council agreed that this could go on a future Consent Agenda. B. COUNCIL LIAISON REPORTS Councilor Woodard reported on the Park and Recreation Conference where the focus was on outdoor exercise facilities and rails to trails. He will provide notes to council. There is an obesity TIGARD CITY COUNCIL MEETING MINUTES -November 28, 2017 City of Tigard I 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov I Page 1 of 10 epidemic and one-third of children are obese while in adults the percentage is 60 percent. Obstacle courses and fitness gyms along paths can provide recreation opportunities to adults. We have playgrounds for children but no structures for people besides kids. Councilor Anderson noted that the Washington County Housing Authority met with the Planning Commission to get them up to speed on affordable housing. He and Mayor Cook interviewed and selected four new Planning Commissioners. Council President Snider discussed a meeting with Tigard Water District and the City of Durham. Councilor Goodhouse noted that the SW Corridor Steering Committee announced that TriMet is handing the project to Metro which will put together a bond for the 2020 ballot rather than in 2018. Mayor Cook said Metro will submit a housing measure in 2018. Councilor Woodard mentioned a homeless camp and what appeared to be a possible bike theft near the Tigard Street Trail. The camp has grown to about 20 people camping in that area. City Manager Wine said there are active complaints regarding activities and trash at the camp. Mayor Cook asked if there was a need to update council goals or ground rules this January and the consensus was there is not. City Manager Wine said a quarterly goal update will be sent to council and if anyone wants to discuss an update it can be scheduled. Administrative Items: 1. Council will tape their TVCTV holiday greeting tonight. 2. Emailed testimony regarding the Welcoming Community resolution was given to council. 1. BUSINESS MEETING A. At 7:32 p.m. Mayor Cook called the meeting of the City Council to order. B. City Recorder Krager called the roll. Present Absent Councilor Woodard ✓ Councilor Anderson V Mayor Cook V Councilor Goodhouse V Council President Snider V C. Mayor Cook asked everyone to stand and join him in the Pledge of Allegiance. D. Call to Council and Staff for Non-Agenda Items—None. TIGARD CITY COUNCIL MEETING MINUTES-November 28, 2017 City of Tigard 1 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov 1 Page 2 of 10 2. CITIZEN COMMUNICATION A. Follow-up to Previous Citizen Communication—None. B. Citizen Communication—Sign-up Sheet. Michael Leigland, 11820 SW Manzanita Street,Tigard, OR 97223, said he lives near Scholls Ferry Road and is concerned about the proposed development at the Trinity Evangelical Church property. He said as part of this development there will be a connecting street to 119``' Avenue which will create a huge increase in traffic. Drivers already cut through the neighborhood to avoid the intersection on 121st Avenue to get to North Dakota Street. He handed out some diagrams that were added to the record for this meeting. The city's engineer is pushing for connectivity and he understands that but felt this could be accomplished by something as small as a sidewalk rather than putting through a hazardous throughway. He said the road is too narrow for this amount of traffic and the bus stops where his children wait will be affected tenfold. He did not believe there was a traffic study for the development but said people will soon figure out it is a shortcut. He handed out a diagram of a nearby development that is on a cul-de-sac rather than a through street. City Manager Wine said this development is the same one discussed last week and Community Development staff are in dialog with some of the neighbors in an effort to make sure their concerns are heard. Stephanie Herr, 10893 SW 118th Court,Tigard,OR 97223,spoke in opposition to the proposed development at 10900 SW 121'Avenue at the Trinity Evangelical Church and referred to sections of the Community Development Code that relate to this development. She referenced a letter given to council and added to the meeting packet from the community of 119th Avenue, 118th Court,Manzanita Street, and Springwood Drive. It included a packet of signatures. She read code section Street Utility Improvement Standards 18,810.19. B.b, "traffic calming." She hoped that this is taken into consideration and the city engineer and council require these measure to be taken. She referenced the traffic study requirement listed in the code. Dan Geist, 11055 SW 119th Avenue,Tigard, OR 97223, spoke to the connection issue caused by the proposed development. He said he has been a 40-year resident of Tigard and gave some historical perspective on the neighborhood. SW Manzanita and 119th were developed in 1967 and at least five other residents have been there as long as he has. He said it is a multi- generational street and some neighbors who grew up on that street are now raising their families there. A new generation of young people is learning to skate and ride bikes without sidewalks and streetlights. He is concerned that if the road connection goes through to 121" Avenue it will only be a matter of time before commuters find their way through this neighborhood to avoid backups on 121'and North Dakota. He had no action request for council but urged that these concerns get addressed beforehand prior to problems in the neighborhood are created by this. Donald Sims, 13348 SW Ascension Drive in Tigard,97223, said he is a former federal criminal investigator and currently works as an anti-terrorism instructor with the State Department for TIGARD CITY COUNCIL MEETING MINUTES -November 28, 2017 City of Tigard 1 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov 1 Page 3 of 10 police leaders and US-partner nations. He shared his belief with council that the neighborhood on Ascension is unsafe to live and drive in.The reason is the numerous reckless, aggressive, and extreme speeders using our narrow street which is posted for a 25-mile per hour speed limit. It is a convenient shortcut which began with the opening of Progress Ridge Mall in 2011 and has increased exponentially since then. On a daily basis cars travel in excess of 50 miles per hour. Residents attempting to slow down and turn into their driveways are tailgated, honked at, and passed aggressively. He fears for his neighbor children's safety. Even the mail carrier has expressed concerns about the dangerous street. Mr. Sims shared these observations in October 2013 with council and staff and assurances were made that this would be resolved but it has not been. He initiated meetings that same month with the city's engineer and traffic unit sergeant and proposed viable solutions and engineering. With one exception in October of 2016 when citations were issued to speeders, there has been no deterrent or consequences for these traffic violations. He said he is concerned that someone will be killed or injured on this street unless the city enforces the three E's of traffic safety: Enforcement,Engineering and Education. He handed out information to council which has been added to the record for this meeting. Stanford Curry, 13107 SW Ascension Drive,Tigard, OR 97223, said he has lived there since 2011 and has seen the volume and velocity of traffic increase substantially during this time. Major developments along Roy Rogers Road and 150th Avenue have added more people who are seeking ways to and through Progress Ridge,Murray Scholls, etc. During that time Ascension Drive has not received any speed bumps,humps or traffic calming measures. Recently someone drove through his yard,causing property damage.They would like to get something in place to prevent someone getting hit. He said he sent council a pdf file of recent property damage at his home and testimonials from 14 households on Ascension Drive concerned enough about this to consider crowd-sourcing if the city does not have enough money to sustain it. Illustrations and map locations were identified that would not hinder road construction equipment or emergency vehicle passage. 3. CONSIDERATION OF WELCOMING CITY RESOLUTION City Manager Wine gave the staff report. In April the City Council heard from community members,members from the faith community and other organized groups during the Citizen Communication segment of the agenda requesting approval of a sanctuary city resolution. Council also heard from members of the public who testified in opposition. Since that time, some council members have met with some community members and Police Chief McAlpine. A Unity Statement was read by Mayor Cook at an April council meeting and since that time a draft resolution was prepared for council consideration that affirms Tigard is a'Welcoming City." Mayor Cook announced that there would be public testimony and he called on those who signed up to speak. Gloria Pinzon, 9655 SW McKenzie Street,Tigard, OR 97223, said she met with council during the process of discussing this resolution and is here as a mother, a sister and an auntie (her nephew was present),wanting to support this symbolic resolution. A group of Tigard residents has met on several occasions to try to communicate that there is a lot of fear in our community. Many people TIGARD CITY COUNCIL MEETING MINUTES— November 28, 2017 City of Tigard I 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov I Page 4 of 10 are experiencing hardship and while they understand the city council cannot fix some of those problems, this resolution is a great step and building block towards making Tigard a more inclusive and united city. This will encourage victims to report crimes regardless of their immigration status. It has also encouraged more people to get involved in government,which she said is important. She said the city is very diverse and includes indigenous people of multiple generations past and new generations as well. She said she was here to stand up for documented and undocumented and blended status neighbors who make up the fabric of the city and are in danger. These families live in fear because of the threat of violence, discrimination and the fear of deportation. She asked Council to pass this resolution. Mariana Garcia, 11030 SW Walnut Street,Tigard, OR 97223, said when asked where she lives, she always responds, "the best city in the United States—Tigard, Oregon." She grew up in Tigard. Her father loved the city. He thought the homes and neighborhoods looked like those in picture books. He wanted his children to go to school here and live in a safe home that they unfortunately could not in their country of origin. Her family made the difficult decision to leave everything behind to come live here and chase the American dream. She said Tigard is home to many refugees,some who are documented and some who are asylum seekers. She said she is a DACA recipient. DACA is a program for youth who came to the United States at a very young age as undocumented immigrants and they are granted a temporary work permit that must be renewed every two years for $500 in legal fees. They must go through an extensive application and background check process. This program was just rescinded and once it expires 11,000 youth in Oregon alone face deportation. Unfortunately immigrants, especially undocumented ones are portrayed falsely in the media and often mistreated in ways that are dehumanizing. She said,"Despite everything,we continue working and contributing to our country because this is our home and we love it,just as much as you do." She asked that Council pass the resolution. Rosa Colquitt, 13366 SW 161'Place,Tigard, OR 97223, said she thinks Tigard is wonderful. She described herself as bi-racial,African American and Native American,and wanted to use her voice to speak on behalf of those who were not present. She said every word and line in the resolution is very important and she thanked the mayor,members of council, Chief McAlpine and City Manager Wine for the hours spent working with the Inclusive Tigard group and they are grateful. She said it is important that every Tigard resident feels safe and welcome.This resolution does so much to impact whether or not they feel welcome. She admitted that she does not feel safe at times so safety is an important part of this resolution. She asked for council's affirmative vote. Eric Winger, 11090 SW 131'Place,Tigard, OR 97223,,spoke briefly to fear and the response to threats. He said the fear is losing federal grant money and there has been a lot of recent press about sanctuary cities losing Department of Justice grants. The threats are real and coming from the federal level. There have been challenges in court and there may be some people in Tigard who are afraid that we will lose some of that money. He said it was his understanding that the City of Tigard does not receive the Byrne grant so there will not be the loss of federal money from an Edward Byrne grant,unlike in Chicago and Los Angeles. He noted that the word"sanctuary"is nowhere in the document. He asked council to think about the fear and realize it may not be a real fear. A vote in the affirmative for this resolution is the right thing to do to alleviate some other fears in the community. He submitted a letter of support into the record for this meeting. TIGARD CITY COUNCIL MEETING MINUTES -November 28, 2017 City of Tigard I 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov I Page 5 of 10 Council Discussion: Council President Snider summarized that this statement is the result of a significant amount of effort and dialog between the community and council members in a variety of settings. He said it was difficult work and acknowledged that while most of the community members present do not love the language in the resolution and would like it to be stronger, everyone came to the table and this is something we can live with. He said he wholeheartedly supported this effort. Councilor Goodhouse said this is similar to the statement of unity. He reiterated that this does not change federal government or state law status. He wanted people to know that if this passes it does not mean that people are safe from not getting arrested if here illegally. He suggested some minor amendments including changing the title to "Tigard's Statement of Unity Resolution" to avoid confusion. He also suggested removing specific state code citations because the reference numbers may change if the law changes in the future. He recommended just saying, "State law." Mayor Cook agreed and also suggested simply saying, "Oregon State law"in the last sentence. Councilor Goodhouse asked for removal of the "regardless of immigration status" so that everyone will feel safe and welcome,not just one targeted group. Councilor Anderson said they did not like the words sanctuary city because they are contentious, do not effectively have any teeth behind them and may create a false sense of security. He said this is the third draft and has the desired intent of showing that council and staff understand the fear and we want our citizens to go to school and work, feel good about their city and feel safe. The Police Department has signed off and we have confidence in Chief McAlpine. He said he supported this. Councilor Woodard said he had a hard time supporting a resolution because resolutions are city policy positions and sometimes can be interpreted as law. His biggest concern is that this is a politically charged issue and blamed state legislators because state law is conflicting. He said he had a suggested solution to this fear. He noted that this started out as an"inclusive" city document but Renton,Washington passed an inclusive city statement and it was ruled as a meaning they are a sanctuary city and now there is a lot of divisiveness in their community. He said council ran as non-partisan candidates and suggested that the state legislators are the ones to fix this. He said the Oregon sanctuary law is not formalized as a sanctuary state but is referred to as that. The law is 181.A.820—Enforcement of federal immigration law. He said there is no enforcement of this law. He said he is not concerned about law abiding immigrants but wants a process to ensure enforcing the rule of law. He suggested the legislature could take this portion of the federal immigration law and create a policy that categorizes illegal acts. He said a council resolution feels good but is the wrong tool. Councilor Woodard said he needed more information before taking a vote on this resolution. He said what council is doing is agreeing on a resolution to take a stance on a policy position without a vote of the city. He suggested an advisory vote be taken to see where the public stands. Mayor Cook asked Chief McAlpine to speak on what the city policy is and what officers are asked to do specifically in these situations. Chief McAlpine said Tigard's police policies mirror local ones so they do not ask for immigration status but look into allegations and possible violations. Councilor Woodard asked in what situation Tigard police contact ICE. Chief McAlpine said there has not been such a situation since she has been here but such a situation would be if it came to TIGARD CITY COUNCIL MEETING MINUTES—November 28, 2017 City of Tigard I 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov I Page 6 of 10 officer safety or if ICE called for priority backup. Tigard police would come both for officer or community member safety. Chief McAlpine said the policy is that the police do not ask for immigration status. It is not listed on reports and jail intake forms do not ask that either. She said, "All we deal with is the crime." Councilor Woodard said he is concerned that criminal immigrants without documents and papers are released from the Washington County Jail. Chief McAlpine said each jail handles it differently. Councilor Woodard said he is representing constituents and wants to see something that is fair and balanced for the community. He said the Police Chief just verified that an immigrant committing a crime will go to Washington County jail,not checked for status and be released to potentially come back to Tigard and commit another crime. He said what council is doing is agreeing on a resolution to take a stance on a policy position without a vote of the city. He suggested an advisory vote be taken to see where the public stands. Councilor Woodard asked City Attorney Rihala the difference between the words sanctuary, welcoming,inclusive and unity and what legal risks the city would be taking should a resolution pass under one of these names. City Attorney Rihala-said a resolution does not have the force of law; an ordinance would do that. In response to a comment by Councilor Woodard that it could be interpreted as law,Ms. Rihala said it should not be. She said a resolution is an administrative tool that the city can use and an ordinance is the legislative tool. She did not see a difference in the word choices, especially in a resolution. She clarified that Title 8 of the U.S. Code is titled,Aliens and Nationality so it is not the criminal code. Councilor Woodard asked those in the audience that provided public testimony why they prefer a resolution verses a unity statement. Ms. Garcia returned to the microphone and asked, "If it is the same thing,why is it so difficult to pass?" She said all council coming together and a voting on a resolution is a more powerful statement and shows that the city stands with its people. She said she understood concerns about the wording but this was proved unconstitutional in California by a Federal Judge. Councilor Goodhouse moved for adoption of Resolution No. 1745 with amendments: Change the title to Tigard's Statement of Unity Resolution;in the fourth Whereas statement,remove the ORS reference and in Section 1 change Oregon law 181.020 references and replace with the words, Oregon state law. Council President Snider seconded the motion. City Recorder Krager read the number and title of the resolution. RESOLUTION NO. 17-45 - TIGARD'S STATEMENT OF UNITY RESOLUTION, as amended. Mayer Cook conducted a vote. Yes No Councilor Woodard ✓ Councilor Anderson ✓ Mayor Cook ✓ Councilor Goodhouse ✓ Council President Snider ✓ TIGARD CITY COUNCIL MEETING MINUTES — November 28, 2017 City of Tigard 1 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov 1 Page 7 of 10 Mayor Cook announced that Resolution No. 17-45 passed by a majority vote. 4. QUASI-JUDICIAL PUBLIC HEARING: CANYON COURT COMPREHENSIVE PLAN AMENDMENT/ZONE CHANGE/SUBDIVISION/ADJUSTMENT (CPA2017-00001, ZON2017-00001) a. Mayor Cook opened the public hearing. b. City Attorney Rihala read the hearing procedures. c. Mayor Cook asked council if any member had a conflict of interest or ex parte contact. Councilor Anderson said he visited the site. Mayor Cook said he drives by the site quite often. d. Mayor Cook asked if anyone in the audience challenged the participation of a council member. There were no challenges. e. Mayor Cook read a statement about hearing conduct. f. Associate Planner Bilodeau gave the staff report and presented a slide show. She said the project will change the zoning from low density residential R-4.5 to medium density residential R-12 on a .91-acre site for an eight-lot subdivision. The request also includes an adjustment of setbacks adjacent to property zoned R-4.5,reducing from 30 feet to 24 feet. The side is less than one mile away from downtown Tigard. One issue brought up was concern about traffic impacts on SW 98th Avenue.Associate Planner Bilodeau said 98th Avenue is designed to handle a slightly higher traffic load. Sidewalk connections will be installed along the frontage. The project will pay into the Washington County and Tigard SDCs to help with traffic impacts. Building eight homes did not trigger a traffic study according to the City's code. The preliminary plan shows reduced setbacks which only affect some lots. An aerial photo was shown for perspective. Associate Planner Bilodeau said staff recommends approval of this Comprehensive Plan Amendment and Zone Change. g. Applicants Scott Miller, 1327 Jay Court,West Linn, OR 97068 and Annemarie Skinner, 6545 SW Halbrook Place, Beaverton, OR 97008 spoke. Ms. Skinner said they agree with conditions listed in the staff report. She said in regard to the setback adjustment, it allows for a deeper house but still maintains a 15 percent tree canopy and 40 percent overall tree canopy on the site. She said even with the adjustment there is still an additional nine feet between the house and the property line. There are a number of higher density areas in existing surrounding zones. The zoning map shows a significant number of R-12 as well as R-7 and R-25. A number of commercial businesses are in the area and it has changed from strictly residential. h. Public Testimony: Mayor Cook said no one signed up to testify. i. Response to testimony by staff. None; there was no testimony. j. Applicant rebuttal to testimony None;there was no testimony. Mayor Cook commented that when changing to zone R-12 he saw no problem except it created an island of R-4.5 surrounded by zone R-12. He preferred to see the entire area with the same zoning so hoped that if the island of R-4.5 is redeveloped it gets rezoned. He TIGARD CITY COUNCIL MEETING MINUTES—November 28, 2017 City of Tigard I 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov I Page 8 of 10 wanted the public to know that there are not 12 houses being built on this property; there will only be eight. Mayor Cook said he had an issue with the City's code which allows a private lane for eight houses. He asked, "Why put something in the development code when there is a way around it? Putting six houses on one private lane and two on another allows two private lanes." Councilor Anderson said the existing R-4.5 is fairly new but he could see them changing to R-12 in the future. He said he had no problem with the setbacks and the sidewalk would be beneficial. Mayor Cook asked if the sidewalk will go across the driveway and whether the city will need to ask for right of way from the homeowner. Principal Engineer Le said no additional right of way on the south is needed and the City will fix the apron out to the street. k. Close Public Hearing—Mayor Cook closed the public hearing. 1. Council Discussion and Consideration: Ordinance No. 17-24 Councilor Woodard moved to approve Ordinance No. 17-24. Council President Snider seconded the motion. City Recorder Krager read the number and title of the ordinance. ORDINANCE NO. 17-24—AN ORDINANCE ADOPTING COMPREHENSIVE PLAN AMENDMENT (CPA2017-00001)AND ZONE CHANGE (ZON2017-00001) TO AMEND THE TIGARD COMPREHENSIVE PLAN DESIGNATIONS AND ZONING DISTRICTS MAP FROM R-4.5 TO R-12 ON TAX LOT 1S135CD01600 There being no further discussion Mayor Cook asked City Recorder Krager to conduct a roll-call vote. Yes No Councilor Woodard ✓ Councilor Anderson ✓ Mayor Cook V Councilor Goodhouse ✓ Council President Snider ✓ Mayor Cook announced that Ordinance No. 17-24 passed unanimously. 5. NON AGENDA ITEMS None. 6. EXECUTIVE SESSION None. TIGARD CITY COUNCIL MEETING MINUTES -November 28, 2017 City of Tigard 1 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov 1 Page 9 of 10 7. ADJOURNMENT At 9:06 p.m. Council President Snider moved for adjournment and Councilor Goodhouse seconded the motion.All voted in favor. Yes No Councilor Woodard ✓ Councilor Anderson V Mayor Cook ✓ Councilor Goodhouse V Council President Snider V Carol A. Krager,City Recorder Attest: John L. Cook,Mayor Date: TIGARD CITY COUNCIL MEETING MINUTES—November 28, 2017 City of Tigard 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov Page 10 of 10 City ofTigard Tigard City Council Meeting Minutes TIGARD December 12, 2017 STUDY SESSION A. POLICE DEPARTMENT UPDATE TO COUNCIL Police Chief McAlpine provided council with an update on the department's five-year assessment which induded employee needs and trends, staffing levels,city goals,vision work,national trends, crime statistics,how Tigard compares to surrounding cities and the department's successes and challenges. B. COUNCIL LIAISON REPORTS Councilor Woodard discussed his attendance at the Parks and Recreation Advisory Board (PRAB) meeting. He said they discussed the Levy and Bond Task Force,possible levy and how to align new goals with their previous goals. Mayor Cook talked about his recent trip to Napa's Mayors Conference where he shared information about the Lake Oswego/Tigard Water partnership, accomplishments,water sustainability during wildfires and water reuse. 1. BUSINESS MEETING 7:30 p.m. A. At 7:30 p.m. Mayor Cook called the meeting to order. B. Deputy City Recorder Burgoyne called the roll. Name Present Absent Councilor Goodhouse 4 Council President Snider Councilor Woodard Councilor Anderson Mayor Cook C. Mayor Cook asked everyone to stand and join him in the Pledge of Allegiance. TIGARD CITY COUNCIL MEETING MINUTES — December 12, 2017 City of Tigard 1 13125 SW Hall Blvd.,Tigard,OR 97223 www.tigard-or.gov 1 Page 1 of 12 D. Call to Council and Staff for Non-Agenda Items—There was none. 2. CITIZEN COMMUNICATION (Two Minutes or Less,Please) A. Follow-up to Previous Citizen Communication—There was none. B. Tigard High School Student Envoy—Associated Student Body Vice-President Sierra Kruse updated council on Tigard High activities and events: Give Back Drive,1i'DLA business program giving tree,open table,granting winter wishes,holiday assembly, showcase of talent. She said the football and wrestling teams both took first place and the advanced theater performed"It's all Greek to me". The high school band will be performing at the Grotto. C. Tigard Area Chamber of Commerce—Tigard Chamber CEO Mollahan gave an update on Chamber activities,Leadership Tigard's business and economy day tours to Gerber,Agilyx and Fought Steel. She announced weekly Thursday would be hosted by Sery-Pro Tualatin, updated council with new member information and said the tree lighting event saw record crowds. The Tigard Farmer's Market is currently working on their 2018 season. D. Citizen Communication Chris Brown,12326 SW 131"Avenue,Tigard,OR 97223,explained he has lived in Tigard for over thirty-years,currently in the Summer Lake neighborhood,and with the new rezone,Type II business licenses are creating a livability concern in Tigard neighborhoods. He said one of his neighbors next to him runs a Type II home occupation business out of her home and now there are people coming all hours of the day and walking alongside his home to get to her home business. He stated that the neighborhoods CC&R's do not allow for this,however, the city of Tigard does not recognize CC&R's and he does not think that all neighborhoods in Tigard should allow for Type II businesses. Mayor Cook asked if this is only allowed in one part of Summer Lake and Mr. Brown responded that Tigard allows for Type II's in all residential zones. Mr.Brown said that Type I's have never been an issue,and that only the Type II businesses are posing the problem. Mayor Cook said he would have the Assistant City Manager get in contact with him. 3. CONSENT AGENDA: (Tigard City Council and Town Center Development Agency) A. RECEIVE AND FILE: a. Council Calendar b. Council Tentative Agenda for Future Meeting Topics Councilor Woodard moved to approve the consent agenda and Council President Snider seconded the motion. Motion passed by a unanimous vote. TIGARD CITY COUNCIL MEETING MINUTES — December 12, 2017 City of Tigard 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov Page 2 of 12 Name Yes No Councilor Goodhouse Council President Snider Councilor Woodard Councilor Anderson (Absent) Mayor Cook 4. APPOINTMENT OF PLANNING COMMISSION MEMBERS Assistant Community Development Director McGuire gave the staff report. New commission members Jan Lambert,John Roberts and alternate member Cole Whitehurst were present at the meeting. Council President Snider moved to approve Resolution No. 17-49 and Councilor Goodhouse seconded the motion. Motion passed by a unanimous vote. Resolution No. 17-49—A RESOLUTION APPOINTING JOHN C. ROBERTS AND JAN LAMBERT AS VOTING MEMBERS OF THE TIGARD PLANNING COMMISSION,AND APPOINTING MELANIE BROOK AND COLE WHITEHURST AS ALTERNATE,NON- VOTING MEMBERS Name Yes No Councilor Goodhouse Council President Snider Ai Councilor Woodard Councilor Anderson (Absent) Mayor Cook 5. APPOINTMENT OF TOWN CEN TER ADVISORY COMMISSION MEMBERS Redevelopment Project Manager Farrelly gave the staff report. New members Thomas Murphy, Ryan Ruggiero and Ralph Hancock were present at the meeting. Councilor Woodard moved to approve Resolution No. 17-50 and Councilor Goodhouse seconded the motion. Motion passed by a unanimous vote. Resolution No. 17-50—A RESOLUTION APPOINTING FAEZ SOUD,RALPH HANCOCK, RYAN RUGGIERO,AND THOMAS MURPHY AS VOTING MEMBERS OF THE TOWN CENTER ADVISORY COMMISSION AND LUCAS BROOK AND KELSEY PARPART AS NON-VOTING ALTERNA 1'h MEMBERS TIGARD CITY COUNCIL MEETING MINUTES —December 12, 2017 City of Tigard 13125 SW Hall Blvd.,Tigard,OR 97223 www.tigard-or.gov Page 3 of 12 Name Yes No Councilor Goodhouse Council President Snider Councilor Woodard Councilor Anderson(Absent) Mayor Cook 6. LEVY AND BOND AVISORY TASK FORCE DISCUSSION Assistant City Manager Zimmerman presented this item and gave a PowerPoint presentation. Members of the Levy and Bond Task Force present at the meeting included: Alan Miles,Angela Anastasakis,Carl Switzer,Cathy Olson,Chris Middaugh,Christopher Staggs,Darlene Dick,Erin Scheller,Holly Koontz,Jamie Watson,Kate Rogers,Melody Graeber,Mitch Friedman,Robert Van Vlack and Wayne Gross. Mr. Zimmerman gave an overview of the task force role,schedule and represented members, discussed Tigard's ability to raise revenues and the difficulty in Tigard's permanent tax rate. He said Tigard has the second lowest tax rate for cities in Washington County, provided funding scenarios the task force considered,and said staff recommends a ten-year outlook for services. Mr. Zimmerman said the task force group supported scenarios two and three and discussed questions the task force considered prior to their recommendation. Councilor Goodhouse said some other cities gave back their tax rate and some cities have higher tax rates. Particularly,the city of Tualatin has a lot more industrial businesses,which allows them to bring in more tax roll. Levy and Bond Task Force Member Dick said this was not an easy recommendation for the group. She said they reviewed the financial forecast,had discussions about the financial forecast and considered impacts to services. She said after several meetings and thoughtful consideration,the group came to a unanimous recommendation for council to go out for a levy. Ms.Dick said her "aha"moment came when she started to notice the deterioration of park maintenance and build-up of garbage around play structures. Levy and Bond Task Force Member Middaugh said he has walked all over the city and sits on the planning commission. He said his "aha"moment was when the 2010&2012 layoffs occurred and even now,staffing levels have only recovered to the 2008 staffing levels. He explained sidewalks and traffic safety improvements are important issues to him. He encouraged Tigard to be a thriving city. Levy and Bond Task Force Member Gross said he has worked in local government parks and recreation departments,and is surprised to see the lack of staffing in the city's parks and recreation department. Mr. Gross said he moved to Tigard in 2010,and since then has seen new parks,limited staffing and aging assets. He said he appreciates councils park and recreation support,but if they do not do anything now,they will be taking a big step backwards. Mr. Gross then read a statement from Levy and Bond Task Force Member Rone who was unable to attend the meeting. TIGA.RD CITY COUNCIL MEETING MINUTES — December 12, 2017 City of Tigard 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov Page 4 of 12 Levy and Bond Task Force Member Olson said she and her husband moved here eleven years ago and she has spent a lot of time walking around the city. She always felt safe and that the trails have been maintained,but she is afraid there will be a loss of public safety and unmaintained trails if the city does not put forth a levy. She appreciates the library,and a loss of public safety,unmaintained trails and loss of library services are a concern if a levy does not pass. Levy and Bond Task Force Member Switzer said the city must be a well-run and maintained city, citizens should vote to operate and maintain the city all levels of services will benefit from an approved levy. Services and stable future depend on it. Levy and Bond Task Force Member Staggs lives near Washington Square and is interested in the future of the city,and felt lucky to be part of the task force. He believes the future of Tigard is huge,has amazing potential to be a more vibrant city and the task force feel their recommendation is very in line with making the city more vibrant. Mr. Staggs also talked about the importance of sidewalks. Levy and Bond Task Force Member Miles talked about the huge gap the city is facing with the lack of funding and that this is detrimental to the city,and he does not want to see services continue to decline. He wants to maintain police levels and if we do not,then he does not believe Tigard will be a place people will want to come. He said he is worried that asking for$1.50 might be difficult to pass. Levy and Bond Task Force Member Graeber said this is vital in order to continue the vitality of the city and that she is proud of the task force. Levy and Bond Task Force Member Van Vlack said he has been a resident for over 14 years and lives in the Summerfield community, supports a local option levy and being a part of Task Force has been eye opening and the city has done a good job with their finances. He has studied the list of capital improvement projects that have been pushed aside due to lack of funding,and he is in support of the local option levy and letting the voters of Tigard decide. Levy and Bond Task Force Member Koontz thanked the city council for the opportunity to be on the Task Force and said she loves Tigard for many reasons and she feels safe. She supports maintaining safety and sidewalks and supports their recommendations. She read a letter of support from Levy and Bond Task Force Member Croke who was not able to attend the meeting. Levy and Bond Task Force Member Friedman thanked the city for the opportunity. He said in order to reach the city's goal there needs to be an investment to drive the goals of the citizens. He said it begins with public safety,park maintenance and business growth. Timing is crucial;he is in favor of making the city great and supports the local option levy, fixing roads,and congestions,build more parks and maintain them. He would like having a civic center that people can walk to. Levy and Bond Task Force Member Anastaskis said public safety is ingrained in her and being on the task force has been eye opening. She suspects that many citizens do not understand why city TIGARD CITY COUNCIL MEETING MINUTES —December 12,2017 City of Tigard 13125 SW Hall Blvd.,Tigard,OR 97223 www.tigard-or.gov Page 5 of 12 • services are less and do not know why. She supports the local option levy now and it is needed in order for Tigard to thrive. Levy and Bond Task Force Member Scheller has seen a lot in Tigard since moving here and being on the task force has really allowed her to see the city's funding,infrastructure and safety,and these things are becoming more important to her. Levy and Bond Task Force Member Watson has lived here for four-years,and is grateful for such a beautiful city and agrees with what the other task force members have said. She said her neighborhood has no sidewalks,no street lighting and open drainage,and that last year alone there were three different vehicles in the drain ditch. Levy and Bond Task Force Member Rogers said she has lived here for just over three years,serves on the City Center Advisory Commission and is looking forward to the development in the Triangle. She commended staff and council for their use of funds up to this point and is not sure how they have done it. She believes the city needs to calibrate what needs to be done,and they need to be aspirational in order to protect all the citizens of Tigard. Assistant City Manager Zimmerman asked council how they would like to proceed. Mayor Cook said he prefers council ask questions of the members and not make statements. Councilor Woodard said it is difficult for him not to make a statement,and asked if anyone knew he had voted no last year on the levy. He explained it was based on a city performance audit that was done back in 2011 that showed a revenue problem,but he wants to make sure the city does not have a spending problem and the only way to determine this is to have another performance audit done. He said he is not against the levy,but that the other half of the puzzle is missing and the other half of the work should be done first so the city needs more time. Councilor Woodard passed out information to members of the task force,which has been added to the packet for this meeting. Councilor Goodhouse noticed the issue of sidewalks was mentioned several times,and said sidewalks alone can be a large price tag. He asked what their vision is for sidewalks as it pertains to the levy,is it fixing sidewalks or creating new sidewalks. Mr. Middaugh said not all sidewalks can be done at once,but maybe they could start with sidewalks near schools. Ms. Dick said they realize sidewalks are expensive but to start with schools is important. Ms. Koontz said one of the things the group discussed was safety for children and having something tangible that citizens can see come from higher property taxes will show them a return on their investment. She said their children would have a safer way to walk to school; they will have a safer way to walk through their neighborhood,and she supports the city's mission of being one of the most walkable cities. It is marketable,it is tangible,and people see it and it is something that citizens will enjoy and is useful for the dollars they are giving the city. TIGARD CITY COUNCIL MEETING MINUTES —December 12, 2017 City of Tigard I 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov I Page 6 of 12 Ms.Watson said that missing sidewalks and lighting should be a basic need. Mr. Van Vlack said as a transportation advisory committee member one of the goals is to fill sidewalk gaps and schools are the most important areas to start with and the levy would be help with funding. Council President Snider asked if they are going to have effective conversations on a council level and discuss the recommendation from the task force,and will staff be preparing some sort of packet of material so that come January or February,council can have an effective discussion. Assistant City Manager Zimmerman said they envision some individual meetings between management and council in order to get their individual feedback and their impression of the presentation presented tonight. He said that if council would like,they could direct staff to develop a packages that would include what a levy would look like, and then staff would develop a timeline for council to reference when it comes to putting the referral of a levy forward to the voters. Mr. Zimmerman said they have already reserved time in early 2018 for possible referral if they so wish,that tonight was just informative and for staff to get direction from council. Council President Snider said he prefers staff prepare packages that include repealing the parks and recreation charge,not repealing the parks and recreation charge,and moving forward with what a local option would look like. Mayor Cook asked Levy and Bond Task Force member Friedman how he suggests including accountability,transparency and showing results as part of the levy language. Mr. Friedman said the group talked about sidewalks and this is a tangible thing people can see,and he thinks this is important when sending this out to citizens so they know. He said he hears a lot that people do not have a great opinion of government overall,and if results are tangible and people are able to see and touch and see the growth;that creates a positive investment for people. Mr. Friedman asked Councilor Woodard about his reference to an audit done on expenditures and his no vote to a levy previously and why results from last year's audit report that was performed by the Audit Committee regarding expenditures was not brought to this group for consideration. Councilor Woodard responded it is a shame and if there are no checks and balances to human behavior,how do you know what the fraud waste and abuse is and where the gap is. He said he does not know what the audit committee does,but it is not a city performance audit. Council President Snider said it is a financial audit and the Audit Committee has a very specific role. Mr. Friedman asked Councilor Woodard for clarification on his previous no vote and if this was because he wanted to have a performance audit done. Councilor Woodard replied this was done in 2011,and the same discussion came up and everyone on council was in favor of this. He said the city manager agreed to a city performance audit or an audit of parks and maintenance because this is typically where there are cost savings. He explained that when council changed in 2012,these things went away,and he has been beating on this drum every year. He said he is a lone voice in this and has conservative principals and is not going to shift from this. These are his tax dollars too and he does not want to pay more if he does not have too,and if you are going to set priorities,then set them on what they actually are. TIGARD CITY COUNCIL MEETING MINUTES —December 12, 2017 City of Tigard 13125 SW Hall Blvd.,Tigard,OR 97223 www.tigard-or.gov Page 7 of 12 Mayor Cook clarified that the audit committee is suggested by the state for financial purposes and is an external committee that audits financial statements. Outside auditors come in and look at the financial numbers. He said what Councilor Woodard is talking about is more of an internal audit for auditing an agency's performance. Councilor Woodard said the performance audit was discussed in the minutes that he included in the information he passed out. He said Councilor Beaner was the person who brought up performance audits and at the time,he himself was part of the budget committee and he was talking about performance audits for checks and balances and Councilor Beaner is the one to bring up the performance audit. He explained that at the time,this was only his second meeting,and the city manager at the time said the city did not have the funds,but he did not know what the cost was. Mr. Friedman asked Councilor Woodard if it was last year that he said no. Councilor Woodard replied based on the city not having a performance audit done. He said there has not been one done since 2010,and then it was not a true city performance audit,so how do they know that all the matrixes are correct. He does not know. Mr. Friedman asked why this has not been done. He said as a citizen,he wants to move forward with the city,he said we all have visions of how we want the city to be,and they do not want to take steps back. He said this is the feeling people have about government. You can talk and say things,but get things done. Council President Snider stated it is important to put this in context,that they have not heard from any other councilor tonight and the reason the task force has met over the last year is that the majority of the city council voted to take that action. He said they are hearing one voice and no one else has spoken. He would like the group to keep this in perspective and encouraged the entire group to be present for all of the discussions,because they were not scheduled to have this discussion at tonight's meeting. Councilor Goodhouse asked the group if they would rather see a proper sidewalk package or just a little. He said the city could spend a couple million dollars just on one little area. He wants people to understand the costs associated and does not want people to feel that they are not seeing what they thought they would. Mr. Friedman asked to look at public safety,which is important to people in the community. He said Ms. Watson spoke about safety concerns regarding the lack of sidewalks in her neighborhood,and it has to start somewhere. He asked the city to do some research and look at where the worse areas are regarding public safety and sidewalks and that is where you should start. Assistant City Manager Zimmerman said that early in this process staff worked with the task force to look at something like whether or not a specific levy was favorable and this task force has resoundingly supported a more wholesome look. Ms. Dick asked Councilor Woodard why he is apprehensive about parks and maintenance,because they were unaware of that. She said to put a levy before the people,they need to see some results and see what is progressing during the year and not having to wait an entire year to realize nothing was done. In order to be transparent,it has to be something tangible so that people can see where their money is being spent. The group would like to see accountability back to the community that TIGARD CITY COUNCIL MEETING MINUTES — December 12, 2017 City of Tigard I 13125 SW Hall Blvd.,Tigard,OR 97223 www.tigard-or.gov I Page 8 of 12 voted. She said they need more police officers, sidewalks and better park maintenance in the smaller neighborhood parks. Mr. Zimmerman said that in the interest of time,it would be best to pursue individual meetings with council to get an impression on where they each are. Mayor Cook thanked the task force for getting together and meeting. He said before assembling this committee and doing the interviews they did not expect all of the members to come before council with a unanimous recommendation,especially since many of the people interviewed had different opinions. He thanked each of them again and asked them to stay involved and continue to come forward to discuss this. Councilor Goodhouse agreed and said he is available to speak with them off-line anytime. Councilor Woodard said if anyone wanted a copy of what he handed out,contact him and he will send them a copy. 7. LEGISLATIVE PUBLIC HEARNING: TIGARD TRIANGLE LEAN CODE PHASE II A. Mayor Cook opened the public hearing. Senior Planner Shanks presented this item and gave a PowerPoint presentation. She discussed the multiple components to Phase II of the Tigard Triangle Lean Code. She said it is a combination of three separate actions,the most significant one being the Comprehensive Plan and zoning map amendment in order to rezone the Tigard Triangle. She explained the other set of amendments pertain to updating the Transportation System Plan(TSP),and amendments to the Development Code that relate to the Tigard Triangle Plan District,the Downtown Tigard Plan District and the Sign Code. Ms. Shanks explained the first amendment is in regards to rezoning existing and proposed Comprehensive Plan and Zoning Designations. She said that Landmark Ford had concerns with what the rezone would mean for their property. She explained staff met with Landmark Ford and they agreed to some compromised language that would potentially allow Landmark Ford to modestly expand into the property outlined in yellow on the map. Secondly,Ms. Shanks discussed the TSP amendments, traffic analysis and various amendments proposed to the TSP text and maps for consistency with the Lean Code and other city initiatives. Councilor Woodard recommended adding the word "recreation to page 5.73 of the TSP after the words "community development"and before the words "economic activity". Council agreed. Ms. Shanks said that both the TPR requirements and the TSP rezone,if adopted tonight would allow the Lean Code to go into effect. Finally,Ms. Shanks talked about various minor amendments to the Sign Code;new sign standards proposed in the Downtown Triangle, window signs,A-frame signs and freestanding signs. TIGARD CITY COUNCIL MEETING MINUTES —December 12, 2017 City of Tigard 1 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov 1 Page 9 of 12 Councilor Woodard asked if A-frame signs are allowed on private property. Ms. Shanks replied,yes,but currently only temporarily for a maximum of 90-days. She said with the proposed changes,staff is recommending to allow them year-round on both private property and in the public right-of-way,though the owner would need to obtain a sign permit and the city would regulate where the signs would be placed. Councilor Goodhouse asked if A-frame signs are allowed only during business hours or 24- hours. Ms. Shanks said they would only be allowed during business hours and would need to be taken inside during non-business hours and must be secured to something in the right-of- way. Ms. Shanks summarized by saying the city coordinated with ODOT and they provided a letter of support, staff met with the Tigard Downtown Alliance ('IDA),the Chamber of Commerce,Landmark Ford, sent mailings to over 2,000 residents in the Tigard Triangle and Downtown area,and received public comment from Jim Corliss,Steve DeAngelo and Base Camp One,LLC. Ms. Shanks said the Planning Commission unanimously recommended adoption of the proposal. Council President Snider asked about the non-conforming signs and if this means the sign and content gets to stay even if the owner of the business changes. That it is just the physical structure that is non-conforming. Ms. Shanks replied yes;non-conforming does not mean that the city gets to tell that owner that it has to go away. She said if they maintain it they can keep the copy and it can remain,but if they want to do more than that,then they would need to come into conformance. Ms. Shanks said staff's recommendation is to adopt the proposed amendments by an emergency ordinance and in addition,adopt the final few amendments that were sent to council through a memo. She said in working between the two projects there was a lot of coordination,and these are just a few things that were missed. Councilor Woodard said the additional provisions for signage are fantastic. Mayor Cook said he worries about ADA issues concerning A-frame signs. He said activating the street is important to economic viability,but thinks things need to be out of the way of sidewalks. He is ok with A-frame signs,but they need to be located off sidewalks. Ms. Shanks said currently signs are unregulated and this will help regulate them. C. Mayor Cook called upon those who signed up in favor to testify.There was none. D. Mayor Cook called upon those who signed up in opposition to testify.There was none. E. Response to testimony by staff—There were none. F. Mayor Cook closed the public hearing. TIGARD CITY COUNCIL MEETING MINUTES — December 12, 2017 City of Tigard I 13125 SW Hall Blvd.,Tigard,OR 97223 www.tigard-or.gov I Page 10 of 12 G. Council Discussion and Consideration: Ordinance No. 17-25 Council President Snider moved to approve Ordinance No. 17-25. Councilor Woodard made a friendly amendment to the motion to add,as amended with amendments proposed by staff and amendment to page 5.73 in the TSP, adding the word recreation after community development, before economic activity and Council President Snider accepted the amendment,and seconded the motion. Motion passed by a unanimous vote. Ordinance No. 17-25—AN ORDINANCE ADOPTING A PACKAGE OF AMENDMENTS SPECIFIC TO THE TIGARD TRIANGLE AND DOWNTOWN TIGARD,INCLUDING AMENDMENTS TO THE TIGARD TRIANGLE COMPREHENSIVE PLAN AND ZONING MAP DESIGNATIONS,THE TIGARD TRANSPORTATION SYS'1'hM PLAN,AND THE TIGARD MUNICIPAL CODE TITLE 18 CHAPTER 18.660 (TIGARD TRIANGT.F PLAN DISTRICT), CHAPTER 18.650 (11GARD DOWNTOWN PLAN DISTRICT),AND CHAPTER 18.435 (SIGNS) TO IMPLEMENT THE DEVELOPMENT OF VISION FOR THE TIGARD TRIANGLE AND DOWNTOWN TIGARD,A REGIONAL TOWN CENTER,AS DESCRIBED IN THE COMPREHENSIVE PLAN AND IN FURTHERANCE OF TIGARD'S WALABILITY GOALS. (Land Use files: CPA2017-00002,ZON2017-00002, AND DCA2017-00004) DECLARING AN EMERGENCY AS AMENDED WITH AMENDMENTS PROPOSED BY STAFF AND AMENDMENT TO PAGE 5.73 IN THE TSP ADDING THE WORD RECREATION AFTER COMMUNITY DEVELOPMENT AND BEFORE ECONOMIC ACTIVITY Name Yes No Councilor Goodhouse Council President Snider 4 Councilor Woodard Councilor Anderson (Absent) Mayor Cook 8. NON AGENDA I 1'1MS -There was none. 9. EXECUTIVE SESSION—There was none. 10. ADJOURNMENT At 9:53 p.m. Councilor Goodhouse moved to adjourn the meeting and Council President Snider seconded the motion. Motion passed by a unanimous vote. TIGARD CITY COUNCIL MEETING MINUTES — December 12, 2017 City of Tigard 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov I Page 11 of 12 Name Yes No Councilor Goodhouse Council President Snider Councilor Woodard Councilor Anderson (Absent) Mayor Cook Kelly Burgoyne,Deputy City Recorder Attest: John L. Cook,Mayor Date: TIGARD CITY COUNCIL MEETING MINUTES — December 12, 2017 City of Tigard I 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov I Page 12 of 12 City of Tigard 1111 NB Tigard City Council Meeting Minutes T I GARD January 2, 2018 1. BUSINESS MEETING 6:30 p.m. A. At 6:33 p.m. Mayor Cook called the meeting to order. B. Deputy City Recorder Burgoyne called the roll. Name Present Absent Councilor Anderson Mayor Cook Councilor Goodhouse N' Council President Snider N' Councilor Woodard N' C. Mayor Cook asked everyone to stand and join him in the Pledge of Allegiance. D. Call to Council and Staff for Non-Agenda Items —There were none. 2. CITIZEN COMMUNICATION (Two Minutes or Less,Please) A. Follow-up to Previous Citizen Communication—There was none. B. Citizen Communication— Sign-up Sheet. —No one signed up to speak. 3. CONSENT AGENDA: (Tigard City Council and Town Center Development Agency) A. CONSIDER RESOLUTION WAIVING TEMPORARY SIGN PERMIT FEES FOR SOUTHWEST METRO BABE RUTH BASEBALL Resolution No. 18-01 -A RESOLUTION WAIVING $256 IN TEMPORARY SIGN PERMIT FEES FOR SOUTHWEST METRO BABE RUTH BASEBALL B. APPROVE CITY COUNCIL MINUTES: a. October 17, 2017 b. October 24, 2017 c. November 14, 2017 TIGARD CITY COUNCIL MINUTES —January 2, 2018 City of Tigard I 13125 SW Hall Blvd.,Tigard, OR 97223 I www.tigard-or.gov Page 1 of 6 Councilor Woodard moved to approve the consent agenda as presented and Council President Snider seconded the motion. Motion passed by a unanimous vote. Name Yes No Councilor Anderson Mayor Cook Councilor Goodhouse Council President Snider \i Councilor Woodard 4. APPOINTMENT OF TIGARD TRANSPORTATION ADVISORY MEMBERS Senior Transportation Planner Brown gave the staff report. In attendance were Ruth Harshfield and Eric Halstead. Councilor Woodard moved to approve Resolution No. 18-02 and Council President Snider seconded the motion. Motion passed by a unanimous vote. Resolution No. 18-02—A RESOLUTION REAPPOINTING CANDI CORNILS,BEN GOOLEY AND ERIK HALSTEAD AS VOTING MEMBERS OF THE TIGARD TRANSPORTATION ADVISORY COMMITTEE,AND REAPPOINTING GEORGE BRANDT AND APPOINTING CARL FISHER AND RUTH HARSHFIELD AS NON- VOTING ALTERNATE MEMBERS Name Yes No Councilor Anderson Mayor Cook Councilor Goodhouse Council President Snider 4 Councilor Woodard 5. LEGISLATIVE PUBLIC HEARING: CONSIDER AMENDMENTS TO TMC CHAPTERS 10.28 PARKING AND 7.60 ABANDONED VEHICLES A. Mayor Cook opened the public hearing. B. Hearing Procedures—Mayor Cook announced that anyone may offer testimony and asked those interested in testifying to sign up to speak. C. Staff Report- Senior Transportation Planner Brown&Commander McDonald gave the staff report. Mr. Brown said this was a continuation from the December 5 meeting and addressed the issues and concerns from the last meeting. Commander McDonald asked council if there was anything specific they would like addressed. He said this revised version includes washing TIGARD CITY COUNCIL MINUTES —January 2, 2018 City of Tigard 13125 SW Hall Blvd., Tigard, OR 97223 www.tigard-or.gov Page 2 of 6 a vehicle on the street as a violation. Additionally, staff adjusted fines per the state statute and clarified sections so they are consistent with state law and current practices. Mayor Cook asked if it references state statute or a specific dollar amount. Commander McDonald said it allows council to make adjustments in the Master Fees Schedule. Councilor Goodhouse said he preferred referencing the state statute. Mr. Brown responded that Exhibit C of their packet,Master Fees and Charges Schedule addresses this. Councilor Goodhouse asked about the abandoned vehicle change. Commander McDonald said they changed the language to 24-hours for removal of abandoned vehicles,unless staff determines the vehicle creates a hazard,and staff could remove the vehicle immediately. In addition,they are no longer required to send out a certified letter to the vehicle owner. Council President Snider asked if the maximum bail is set for illegal handicap parking because the city references the state ORS. City Attorney Rihala replied yes,it is in the code that the city cites "as pursuant to ORS" for whatever the motor vehicle code is,and that is the basis for the fine. Mayor Cook asked if the code was simplified and certain sections more defined. Commander McDonald said they combined storage of vehicles and abandoned vehicles together under Tigard Municipal Code (TMC) 7.60. He said storing a vehicle is defined as parking a vehicle on the street for a period-of-time. In the proposed language, staff recommends changing the time limit to 72 hours;meaning that if someone parked their car on city streets on a Friday and did not move it until Monday morning when they left for work, they would not be in violation. He explained that abandoned vehicles would fall under the 24-hour timeframe and after that,it could be towed. Commander McDonald said they tried to find a good middle ground. Senior Transportation Planner Brown read testimony from people who sent letters into staff regarding this issue. D. Public Testimony—Mayor Cook called upon those who signed up to testify. Michael Brewin, 11225 SW Morgen Court,Tigard, OR 97223, said that like Tigard,Portland and Oregon City have a 24-hour parking limit on street storage of motor vehicles,and in addition,Portland, Oregon City and Milwaukie have strict standards regarding recreation vehicles. Mr. Brewin recommended Tigard adopt the same 24-hour maximum time. He said that over the years, city neighborhoods with curbs have been negatively impacted by vehicle storage,as well as other neighborhoods such as Summerfield with policies in place that already restrict such activity. He said neighborhoods should be protected similarly as the downtown area. Mr. Brewin discussed the material he presented council. He suggested tier levels, retaining section D regarding storage in Chapter 10.28,prohibiting recreational vehicle parking on the street, changing recreational vehicle language to travel trailer,language changes to unattached trailers,prohibiting continuous parking for 48-hours, adding language TIGARD CITY COUNCIL MINUTES —January 2, 2018 City of Tigard I 13125 SW Hall Blvd., Tigard, OR 97223 I www.tigard-or.gov Page 3 of 6 prohibiting electrical hook-ups and hoses, and said it is important to define what a camper is. He said Tigard is more flexible in what they allow than the City of Portland, Oregon City and Milwaukie and urged council to keep the 24-hour timeframe for stored vehicles. Robert VanVlack, 15585 SW 109th Avenue,Tigard, OR, 97223, said there is a problem in Summerfield with people storing stretch vans for long periods-of-time,being noticed then moving to a new location. He asked if this revision would help limit the timeframe on situations like this. E. Response to testimony by staff Commander McDonald replied to Mr. Van Vlack and said that currently the code requires staff to send a certified letter to the owner of the vehicle before any action can be taken. He said staff is proposing replacing this requirement with allowing staff to respond within 24 hours,making it easier and more efficient for staff to remove these vehicles and address chronic problems. Commander McDonald replied to Mr. Brewin regarding his suggestion of changing the parking hours from 9:00 p.m. to 7:00 a.m.vs the city's language of 12:00 a.m. to 6:00 a.m. He explained staff has not seen an issue with the current hours and keeping the current language and hours is easier for staff to address. Mayor Cook stated that as a citizen who stores his recreational vehicle offsite and then parks it on his street while he gets ready to use it; can sometimes be after 9:00 p.m. before it is moved. He said the current language seems to be more in line with reality. He told Mr. Brewin he understands his concern,however,if staff does not feel this is an issue, then he would have to agree to keep the current language. Mayor Cook asked Commander McDonald to respond to Mr. Brewin's suggestion of lowering the timeframe on storage of vehicles from 72 hours to 24 hours and to share staffs thought on this. Commander McDonald said they looked at what other communities do regarding storage of vehicles, and staff landed on 72 hours because staff feels it is a reasonable and fair amount of time. He said with the exception of Beaverton who has a 24-hour timeframe, all the other cities surrounding Tigard allow 72 hours and staff thought 24 hours might be too restrictive. Commander McDonald explained that if someone parked their vehicle after work on Friday and did not move it until they left for work on Monday,under the 24-hour timeframe they would be in violation. Council President Snider said if they take the 24-hour standard as suggested by Mr.Brewin, then a vehicle parked at 5:00 p.m. on Friday would be in violation if it remained in the same spot until 5:01 p.m. Saturday. Commander McDonald replied yes. Mayor Cook asked Commander McDonald to talk about the camper vs recreational vehicle language. Commander McDonald explained that in the ORS,which is referenced in Section 8.01 of the City Code,it states that a camper is something that can be attached or mounted TIGARD CITY COUNCIL MINUTES —January 2, 2018 City of Tigard 13125 SW Hall Blvd., Tigard, OR 97223 www.tigard-or.gov Page 4 of 6 on top of a vehicle for use, and in the proposed language,if a camper is detached and left they could have it there for a ten day period. He said though he has not seen this occur in the city,it probably does,but regardless of the number of days it is there, staff considers this to be a hazard, and staff can request the owner move it or the city could have it removed. He said it is a fine line,but if it does encroach into the lane of travel,it is a hazard. Commander McDonald replied to the question regarding the use of public utilities. He said in section 10.28.030(c),it states that no feature of a vehicle may create a hazard to pedestrian traffic,including and not limited to. He said this is important language to have. He gave the example of someone who has a tripping hazard, such as a sewer pipe or electrical cord going across the sidewalk and that that would create a hazard to pedestrian traffic and therefore under this language,would be a violation. F. Mayor Cook closed the public hearing. G. Council Discussion and Consideration—Ordinance No. 18-01 and Resolution No. 18-03. Council President Snider said being a councilor requires balancing and making judgements and it is difficult to say that everyone in the city must do something. He said he is prepared to move forward as proposed. Councilor Woodard stated the proposed changes look good to him and that most people are respectful. He said his concerns for safety were addressed, and he understands it is difficult to address everything. He thanked Mr.Brewin for his time and effort. Councilor Goodhouse said these are good changes and allow for more flexibility in some of the problem areas. He is prepared to move forward as proposed. Councilor Anderson agreed with the changes. Mayor Cook said this is a better product this time around. Council President Snider moved to approve Ordinance No. 18-01 and Councilor Goodhouse seconded the motion. Motion passed by a unanimous vote. Ordinance No. 18-01 —AN ORDINANVE AMENDING SECTIONS 10.28 AND 7.60 OF THE TIGARD MUNICIPAL CODE RELATING TO PARKING AND ABANDONED VEHICLES Name Yes No Councilor Anderson Mayor Cook Councilor Goodhouse Council President Snider Councilor Woodard TIGARD CITY COUNCIL MINUTES —January 2, 2018 City of Tigard 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov Page 5 of 6 Councilor Woodard moved to approve Resolution No. 18-03 and Councilor Anderson seconded the motion. Motion passed by a unanimous vote. Resolution No. 18-03—A RESOLUTION TO AMEND THE CITYWIDE MASTER FEES AND CHARGES SCHEDULE AS ADOPTED BY RESOLUTION NO. 17-34 TO IMPLEMENT THE CITY'S PARKING PERMIT AND ENFORCEMENT PROGRAM Name Yes No Councilor Anderson 1� Mayor Cook Councilor Goodhouse Council President Snider Councilor Woodard 6. NON AGENDA ITEMS —There were none. 7. EXECUTIVE SESSION—There were none. 8. ADJOURNMENT At 7:21 p.m. Councilor Goodhouse moved to adjourn the meeting and Council President Snider seconded the motion. Motion passed by a unanimous vote. Name Yes No Councilor Anderson Mayor Cook Councilor Goodhouse Council President Snider Councilor Woodard Kelly Burgoyne,Deputy City Recorder Attest: John L. Cook,Mayor Date: TIGARD CITY COUNCIL MINUTES —January 2, 2018 City of Tigard 13125 SW Hall Blvd.,Tigard,OR 97223 www.tigard-or.gov Page 6 of 6 III City ofTigard Tigard Workshop Meeting Minutes TIGARD January 16, 2018 ,4 1. WORKSHOP MEETING A. At 6:34 p.m. Mayor Cook called the City Council workshop meeting to order. B. Deputy City Recorder Burgoyne called the roll. Name Present Absent Council President Snider V Councilor Woodard V Councilor Anderson V Mayor Cook ✓ Councilor Goodhouse V C. Mayor Cook asked those in attendance to stand with him for the Pledge of Allegiance. D. Mayor Cook asked Council and Staff for any Non Agenda Items. There were none. 2. UPDATE ON SECOND QUARTER BUDGET COMMITTEE MEETING Finance and Information Services Director LaFrance presented this item,gave a presentation and provided background on budget committee members. Mr. LaFrance discussed key concepts regarding expenditures,Tigard's growing population, how growth does not keep up with costs, declining service levels, how the city cannot maintain its current service levels and financial problems facing Tigard. He explained that over time, service levels have continued to decline and said a local option levy would help maintain service levels. He said staff is currently preparing their proposed budgets that will not assume a passed levy. Budget Committee Member Newton asked how the city would determine what services to maintain, and how they would come to that determination. Mr. LaFrance said staff would cover this during the upcoming budget meetings. Mr. LaFrance gave an overview of forecasted services and expenditures that take into account growth in the community along with associated costs. He talked about cash reserve and said they need to make sure there is enough money in the bank July 1 in order to make payroll and pay other bills,because the city does not receive any revenues from property taxes until November. This amount is approximately 25% of the city's expenditures and continues to grow. Council President Snider said that as options become less desirable,would the city be able to borrow funds. Mr. LaFrance replied yes, but that he has not looked to see if other communities utilize this method and the interest rate the city would pay would not be ideal, and would create additional costs TIGARD CITY COUNCIL MINUTES -January 16, 2018 City of Tigard 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov Page 1 of 4 that would need to be budgeted. Council President Snider said he is not suggesting the city do this, but wanted to give the public the entire picture. Mr. LaFrance said staff have been tasked with preparing their budgets with no increases,along with another year of cuts,which would be approximately$5 million. Staff will then be able to talk about individual cuts in April and at this point, some of these known cuts would be to police,parks and recreation and library. The cuts to these areas will mean the city will be reactive instead of proactive, focusing only on emergency needs in parks maintenance, fewer programs and hours to the library and less administrative help. City Manager Wine said the leadership team has discussed what core services are and what items matter the most. Mr. LaFrance discussed the expectations for the proposed budget meetings,assuming no local option levy and incorporating one and two-year budget cuts. Staff will not present white papers to the budget committee as they have in the past. Council President Snider said that if reductions are proposed, staff should call these out in the form of a white paper as they present to the budget committee. He said he is not comfortable with staff not presenting white papers. Budget Committee Member Rone said there have been a number of white papers presented by staff in the past that include fundamental information,and that maybe these could come to the committee as an explanation, especially for new budget committee members. Mr.LaFrance explained the agenda's for the budget committee meetings,how they will be outlined, how to address questions from the budget committee,public testimony,possibility of a local option levy election occurring between budget meetings two and three and budget committee meeting agendas for meetings three and four. Budget Committee dates include,April 23 and May 7,then levy election on May 15,with final budget committee meetings on May 21 and May 29. Mr. LaFrance concluded by introducing the Budget Committee members in attendance: Clifford Rone, Timothy Cadman, Chris Bence, Stephanie Veal,Tom Schwitzer and Liz Newton. Mayor Cook thanked the members in attendance for coming to the meeting. 3. UPDATE ON STORMWA'1'ER MASTER PLAN City Engineer Faha presented this item and gave a presentation. She explained she would be updating council on the master plan and would bring this back to council in February for adoption. Ms. Faha said the Stormwater Master Plan is the first Tigard has seen in thirty-years, she discussed the known and new issues,recommended solutions,project delivery and the consultant team. She explained that erosion is the number one issue. Ms. Faha gave an overview of how to navigate the city's Stormwater web page and the story map for the public to use. She talked about the process for developing the Stormwater Master Plan, Stakeholder Involvement Committee and who is represented,public outreach events,talked about the rating and ranking criteria and the top eighteen priority projects and implementation plan. She said the purpose of the plan is to provide a road map to the city's systems and that Tigard's streams and greenways make Tigard special and unique and that deterioration is affecting these streams. She said Tigard has done a good job of protecting the city's greenways and floodplains. TIGARD CITY COUNCIL MINUTES —January 16, 2018 City of Tigard I 13125 SW Hall Blvd.,Tigard,OR 97223 I www.tigard-or.gov Page 2 of 4 Council President Snider asked why the city has not had a Stormwater Master Plan in the last thirty- years. Ms. Faha said there really is no good answer,but if the city had had one in place, they would not have such massive projects now. Mayor Cook said that all of the land that is now included in the proposed Stormwater Master Plan was not always in city limits. Ms. Faha said the city has inherited problems over the years as well and now when new development occurs there are more standards, however and older developments did not have the same standards when they were built. She said Clean Water Services started implementing standards in 1990 or 1991 and that is when the city started seeing some of these problems. Councilor Goodhouse said people do not realize these issues, and that when water comes through so quickly,it digs down and creates a problem. Councilor Anderson commended staff for their work on the Stormwater Master Plan. Councilor Woodard commented on the great work done on the bank restoration to the Genesis Trail system. He said it looks like someone went in and created a natural fall;it has nice slated rocks and a nice sound to it. If this is what staff is doing to mitigate the erosion problems, then they are doing a great job. Council President Snider asked about funding. Ms. Faha replied this will be funded over twenty- years, and in the future,they will look at the rates coming in. Councilor Goodhouse asked how the city is looking at this in the Tigard Triangle, how this would be funded and would it be broken into two separate parts. Ms. Faha said in the Tigard Triangle Urban Renewal Plan it talks about areas like Red Rock Creek,areas along Red Rock Creek and creating a trail and greenway system along this area, so there is an opportunity to use urban renewal as a funding source, as well as storm and sanitary sewer funds. City Manager Wine said it is not that the Tigard Triangle gets pulled out separately,it is that there would be a multitude of funding sources available to phase and fund these projects over time. 4. COUNCIL GOAL REVIEW AND DISCUSSION FOR 2018 City Manager Wine and Assistant City Manager Zimmerman presented this item, and asked if there were any changes or updates council would like to make for 2018. Mayor Cook said that some of the goals have outside funding risks and discussed the projects and goals that have been accomplished. He said they have done work on each goal,but some may not be completed within the two-year timeframe, and worries that some may not be completed at all due to financial restraints. Councilor Goodhouse agreed with the Mayor and said if the levy does not pass,they may be limited to what they are able to complete. He said this shows the citizens what the city maintains and what the city wants, and thinks they should wait and discuss this in more detail when they know if the levy has passed or not. TIGARD CITY COUNCIL MINUTES —January 16, 2018 City of Tigard I 13125 SW Hall Blvd.,Tigard, OR 97223 I www.tigard-or.gov Page 3 of 4 Councilor Anderson said they are all still priorities. Council President Snider said that their priorities could be just surviving. City Manager Wine clarified that staff is still assuming these projects are still a two-year goal and said staff will do the best they can with the funding available. Councilor Goodhouse said they need the levy to pass in order for some of these to continue to be priorities. 5. NON AGENDA ITEMS-There were none. 6. EXECUTIVE SESSION—There were none. 7. ADJOURNMENT At 7:55 p.m. Councilor Anderson moved for adjournment and Councilor Goodhouse seconded the motion. Motion passed by a unanimous vote. Name Yes No Council President Snider ✓ Councilor Woodard ✓ Councilor Anderson V Mayor Cook ✓ Councilor Goodhouse V Kelly Burgoyne, Deputy City Recorder Attest: John L. Cook, Mayor Date: TIGARD CITY COUNCIL MINUTES —January 16, 2018 City of Tigard I 13125 SW Hall Blvd.,Tigard, OR 97223 www.tigard-or.gov Page 4 of 4 AIS-3228 4. Business Meeting Meeting Date: 02/13/2018 Length (in minutes): 15 Minutes Agenda Title: Consider Ordinance Adopting Willamette Intake Facilities Intergovernmental Agreement for Joint Ownership,Operation and Management Prepared For: John Goodrich Submitted By: John Goodrich, Public Works Item Type: Meeting Type: Council Business Meeting- Main Public Hearing Newspaper Legal Ad Required?: Public Hearing Publication Date in Newspaper: Information ISSUE Shall the City of Tigard enter into an Intergovernmental Agreement(IGA) regarding the joint ownership, operation and management of the Willamette Intake Facilities? STAFF RECOMMENDATION /ACTION REQUEST Pass an ordinance adopting the Intergovernmental Agreement for joint ownership, operation and management. KEY FACTS AND INFORMATION SUMMARY The Willamette Intake Facilities (WIF) are located at the Willamette River Water Treatment Plant (WRWTP) in Wilsonville,OR. The WIF houses the raw water pumps that safely and reliably draw water from the Willamette River. The existing raw water pumps currently provide water to the WRWTP. The Willamette Water Supply Program (WWSP),which is a partnership of the City of Hillsboro and the Tualatin Valley Water District (TVWD),is designing improvements to the WIF that will expand its capacity,improve its seismic reliability,and enable it to deliver water to the future Willamette Water Supply System (WWSS) water treatment plant. The Willamette Governance Group (WGG) over the last several years has worked to develop concepts for an agreement regarding the ownership and operation of the WIF. The purpose of the agreement is to: •Set forth the terms for the joint ownership, operation and management of the WIF; •Preserve and protect the Parties'Water Rights; •Support the functioning of the WIF as the foundation of the Parties'water systems;and •Support the Parties' commitment to watershed planning and management. The attached Intergovernmental Agreement details: •Joint ownership: The WIF will be owned by the cities of Wilsonville,Sherwood,Tigard,Beaverton,and Hillsboro,and TVWD. •Operation: Wilsonville will be the Operating Agency until 2026. •Management: The proposed WIF Intergovernmental Agreement (IGA) establishes the general operating procedures for the WIF Commission,including designating TVWD as its managing agency (MA). Willamette River Charter Prohibition Willamette River Charter Prohibition The City Charter states in Chapter IX,Section 51: "The City of Tigard shall not use the Willamette River as a drinking water source for its citizens unless the question of using the Willamette River as a drinking water source has been approved by not less than fifty (50%) percent of voters voting in a City-wide election (Measure 34-8,September 21, 1999 Election)." This prohibition does not apply to other jurisdictions served by Tigard,including Durham,King City, and the Tigard Water District. In 2010, the city attorney rendered an opinion that the purchase of future pipeline capacity—constructed by others and not connected to the Tigard water systemwas not a violation of the city charter. OTHER ALTERNATIVES Council could choose to not adopt the ordinance authorizing joint ownership, operation,and management of the Willamette Intake Facility. COUNCIL OR TCDA GOALS, POLICIES, MASTER PLANS Council adopted May 2010 Water Master Plan,and adopted January 2014 Water Master Plan Addendum. DATES OF PREVIOUS CONSIDERATION Council was provided a briefing and discussion of the proposed Tigard allocation in the Willamette Intake Facility during a workshop session on September 12,2017. Council has been briefed numerous times over the last few years pertaining to Willamette Water Supply Program,Willamette Governance Group activities,and future actions coming before council pertaining to these programs. A listing of these previous briefings is available upon request. Fiscal Impact Cost: $3,100,000 Budgeted (yes or no): yes Where Budgeted (department/program): Water CIP Additional Fiscal Notes: Tigard cost share is approximately$3.1 million for 10% capacity share,or 15 million gallons per day intake capacity. Costs include purchase of existing intake structure,and estimated construction costs. WIF joint ownership,operation,and management budget costs estimated at$15,000 for each annual fiscal budget. Attachments Willamette Intake Facility Agreement Willamette Intake Facility Agreement Exhibits Ordinance a Willamette Intake Facilities Intergovernmental Agreement EFFECTIVE DATE APRIL 6, 2018 BY AND AMONG TUALATIN VALLEY WATER DISTRICT CITY OF WILSONVILLE CITY OF SHERWOOD CITY OF HILLSBORO CITY OF TIGARD AND CITY OF BEAVERTON Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 TABLE OF CONTENTS EXHIBIT LIST 2 RECITALS 3 AGREEMENT 8 2. Definitions 8 3. Commission 13 4. Board of Commissioners 13 5. Managing Agency 16 6. Management, Operations, Finance, and Other Committees 20 7. Financial Management 21 8. Intake Facilities Ownership and Easement 26 9. Water Rights 26 11. Operations Plan 28 12. Curtailment Plan and Emergency Response and Management Plan 29 13. Right of First Offer 29 14. Leasing 30 15. Overuse 33 16. Remedies for Overuse 34 17. Expansion and Capital Improvements 35 18. Sale of Water to Non-Party 37 19. Withdrawal and Sale of Interest 37 20. Admission of New Municipal Parties 41 21. Indemnity 43 22. Default 44 23. Remedies 46 24. Default by the Managing Agency 48 25. Dispute Resolution 50 26. Dissolution 52 27. General Provisions 53 Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 1 of 58 EXHIBIT LIST Exhibit No. Title 1 Willamette Intake Facilities Easement Agreement("Easement") 2 Willamette Intake Facilities Preliminary Design Drawings and Layout 3 Willamette Intake Facilities Capacity Ownership Allocations 4 Real Property 5 Water Rights Authorized for Use at the Willamette Intake Facilities ("Water Rights") 6 Willamette Intake Facilities Organizational Structure 7 Willamette Intake Facilities Initial Management Plan 8 Willamette Intake Facilities Budget Calendar 9 Willamette Intake Facilities Interim Financials Procedures 10 Willamette Intake Facilities Lease Formulas and Sample Lease 11 Willamette Intake Facilities Improvements Cost Allocation Summary 12 Willamette Intake Facilities Insurance Requirements and Limits 13 Existing Agreements Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 2 of 58 Willamette Intake Facilities Intergovernmental Agreement This Willamette Intake Facilities Intergovernmental Agreement("Agreement")for the ownership, management and operation of the Willamette Intake Facilities ("Intake Facilities") is entered into between Tualatin Valley Water District ("TVWD"), a domestic water supply district organized under ORS Chapter 264;the City of Wilsonville("Wilsonville"),a municipal corporation;the City of Sherwood ("Sherwood"), a municipal corporation; the City of Hillsboro ("Hillsboro") a municipal corporation; the City of Tigard ("Tigard"), a municipal corporation; and the City of Beaverton("Beaverton"), a municipal corporation; all of which are local governments authorized to own, operate and maintain municipal water supply systems. The cities and TVWD may be referred to herein individually as a"Party" or jointly as"Parties." RECITALS WHEREAS,TVWD is a domestic water supply district under ORS 264,which distributes potable water to its respective water system Users; WHEREAS,Wilsonville operates a municipal water supply utility under ORS 225, which distributes potable water to its respective water system Users; WHEREAS, Sherwood operates a municipal water supply utility under ORS 225, which distributes potable water to its respective water system Users; WHEREAS, Hillsboro operates a municipal water supply utility under ORS 225, which distributes potable water to its respective water system Users; WHEREAS, Tigard operates a municipal water supply utility under ORS 225, which distributes potable water to its respective water system Users; WHEREAS, Beaverton operates a municipal water supply utility under ORS 225, which distributes potable water to its respective water system Users; Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 3 of 58 WHEREAS, TVWD and Wilsonville entered into the Agreement Regarding Water Treatment Plant Design, Construction, Operation and Property Ownership, dated July 6, 2000 ("2000 Master Agreement"), and the Accord Agreement dated June 19, 2001 ("Accord"), to construct and operate intake facilities, pumps, a water treatment plant, and certain transmission facilities upon jointly owned real property ("Willamette River Water Treatment Plant") for the purpose of supplying potable water to Wilsonville and providing a future water supply for TVWD; WHEREAS, TVWD and Wilsonville entered into the First Amendment to Agreement Regarding Water Treatment Plant Design, Construction, Operation, and Property Ownership, dated , 2018, which modified the above agreement to reflect a change in direction and the rights and obligations between TVWD and Wilsonville; WHEREAS,TVWD and Wilsonville have also entered into an Operation and Maintenance Contract with Veolia Water North America-West LLC, dated July 1, 2012, as amended, which pertains to the Willamette River Water Treatment Plant and the Intake Facilities; WHEREAS, in April 2002, Wilsonville and TVWD completed construction of the intake and the Willamette River Water Treatment Plant facilities, including the fish screens, intake pipeline, a raw water pump station, raw water transmission line, the treatment plant and related appurtenances including electrical facilities; WHEREAS, TVWD and Sherwood entered into an Agreement on December 27, 2006 ("Sherwood TVWD WRWTP Agreement") for the purchase and sale of five million gallons per day ("MGD") of capacity in the Intake Facilities, pump station, treatment plant, and certain transmission facilities for the purpose of supplying potable water to Sherwood; WHEREAS,on October 15,2008,TVWD Sherwood,Tigard,and Tualatin entered into the First Restated Intergovernmental Cooperative Agreement Continuing the Willamette River Water Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 4 of 58 Coalition"("WRWC Agreement")to jointly hold a water right permit for future use of Willamette River water and to plan for regional water supply facilities that would meet future needs; WHEREAS, Hillsboro and TVWD entered into the Agreement for Design and Construction of the Willamette Water Supply Program ("WWSP Agreement") on June 16, 2015 to permit,design,and construct a water supply system including intake and transmission facilities, a water treatment plant, and reservoir facilities ("Willamette Water Supply System") to provide additional potable water to Hillsboro and TVWD and provide for system redundancy and reliability; WHEREAS, TVWD, Hillsboro, and Wilsonville entered into a Ground Lease for the Raw Water Pipeline, dated , 2018, and an Easement for Raw Water Pipe, dated 2018, that will allow the Intake Facilities to connect to a raw water pipeline located in and along Wilsonville right-of-way and lands owned or to be acquired by Wilsonville and TVWD; WHEREAS, the Parties hold or may hold certain storage,release and surface water rights on the Willamette River and its tributaries ("Water Rights")for the purpose of providing water to the Treatment Plant Facilities for ultimate delivery to their respective water system Users; WHEREAS, the Intake Facilities provide a regional benefit and are the foundation of the other water system assets of the Parties. WHEREAS, the Parties except Wilsonville are in the process of acquiring a portion of TVWD's excess capacity ownership interest in the Intake Facilities from TVWD and,with respect to those transfers, Wilsonville has agreed to waive its First Right of Offer pursuant to the Agreement Regarding Water Treatment Plant Design, Construction, Operation, and Property Ownership,dated July 6, 2000("2000 Master Agreement")the Accord Agreement,dated June 19, Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 5 of 58 2001 ("Accord"), and the First Amendment to Agreement Regarding Water Treatment Plant Design, Construction, Operation, and Property Ownership,dated , 2018; WHEREAS, Wilsonville already owns the Intake Facilities with TVWD, but is participating in expanding the screen to allow for additional 5 MGD capacity, among other rights, pursuant to the City of Wilsonville and Tualatin Valley Water District Willamette Water Supply System Intake Facility Agreement; WHEREAS,the transfer,purchase and sale of a portion of TVWD's excess capacity in the Intake Facilities to the Parties,except Wilsonville,are governed by the Agreement(s)for Transfer, Purchase and Sale of Intake Facilities,dated ,2018.TVWD's transfer to Wilsonville is governed by the City of Wilsonville and Tualatin Valley Water District Willamette Water Supply System Intake Facility Agreement.A condition of any transfer by TVWD of existing Intake Facility capacity is the expansion of the Intake Facilities to an anticipated capacity of 150 MGD; WHEREAS,the Parties each own and operate municipal water supply systems that provide essential service to their communities, including protection of public health, emergency fire suppression, and potable water supply to support viable community and economic activities, and the Intake Facilities are the foundation of those other water systems; WHEREAS,the purpose of this Agreement is to set forth the terms for the joint ownership, operation and management of the Intake Facilities in a prudent, economic and efficient manner to provide water to the existing Willamette River Water Treatment Plant ("WRWTP") and the anticipated Willamette Water Supply System Water Treatment Plant("WWSS WTP"),to preserve and protect the Parties' Water Rights, to support the functioning of the Intake Facilities as the foundation of their water systems, and to support their commitment to watershed planning and management; and Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 6 of 58 WHEREAS, the Parties are authorized under ORS 190 to enter into an agreement for the performance of any or all functions and activities that the Parties, their officers, employees or agents have authority to perform, and to create this intergovernmental entity. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 7 of 58 NOW,THEREFORE, in consideration of the mutual covenants and agreements contained herein, the Parties agree as follows: AGREEMENT Based on the foregoing Recitals and the mutual promises and obligations as set forth herein, and other good and fair consideration, the sufficiency of which is hereby acknowledged, the Parties agree to the following. 1. Effective Date This Agreement is effective as of the 6h day of April,2018. 2. Definitions As used in this Agreement, the following terms when capitalized shall have the following meanings: 2.1. Agreement means this Willamette Intake Facilities Intergovernmental Agreement. 2.2. Board means the Board of Commissioners of the Willamette Intake Facilities Commission created by this Agreement, consisting of one elected or appointed official from each Party. Each Party will appoint one Board member and each Board member will have one equal vote. 2.3. Capacity means the instantaneous ability of various components of the Intake Facilities to deliver available water that does not exceed a Party's allocation, measured in million gallons per day, gallons per minute, cubic feet per second or other comparable measurement as set forth in the Operations Plan and consistent with generally accepted engineering and prudent utility operating practices. 2.4. Capacity Expansion means the expansion of the Intake Facilities through a capital improvement project. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 8 of 58 2.5. Commission means the Willamette River Intake Facilities Commission, an ORS 190 entity formed under this Agreement whose Parties are TVWD, Wilsonville, Sherwood, Hillsboro, Tigard, and Beaverton. 2.6. Curtailment Plan means a plan developed and approved by the Board for curtailment of water service in accordance with OAR Chapter 690 Division 86 rules. 2.7. Demand means the amount of water used or projected to be used by a Party and imposed on the Intake Facilities to deliver water to be treated at a Water Treatment Plant where the Party owns capacity. The instantaneous measurement of Demand shall be defined in the Operations Plan as million gallons per day, gallons per minute,cubic feet per second,or other agreed measurement for the Intake Facilities. 2.8. Easement means the Intake Facilities Easement, attached as Exhibit 1. 2.9. Emergency Response Plan means a plan that outlines emergency procedures that are recommended for implementation by the Federal Emergency Management Agency and are consistent with the National Incident Management System in order to respond quickly and appropriately to an emergency event. 2.10. Effective Date means the date specified in Section 1. 2.11. Facilities Modification means a capital improvement to meet operational changes or upgrades in response to requirements of regulatory agencies, but that does not result in a Capacity Expansion. 2.12. Finance Committee means the committee with a representative appointed by each Party to act as provided in Section 6.3. 2.13. Fiscal Year means the time period July 1 through June 30. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 9 of 58 2.14. Intake Facilities means existing,expanded,or upgraded Intake Facilities -used to withdraw and transmit water to the Parties at the agreed System Separation Point between the Willamette River Water Treatment Plant System and the Willamette Water Supply System Water Treatment Plant. The Intake Facilities include the fish screens, intake pipe, caisson, pump station building, and other jointly owned equipment leading up to the System Separation Point described in Exhibit 2, and the Intake Facilities Easement described in Exhibit 1. 2.15. Lease means the lease of Capacity in the Intake Facilities according to the terms and conditions of Section 14. 2.16. Management Committee means the committee with a representative appointed by each Party to act as provided in Section 6.1. 2.17. Managing Agency means the Party designated under Section 5 to manage the business affairs of the Commission and act in accordance with Section 5 and other provisions of this Agreement. 2.18. Master Plan means a plan that analyzes the performance, documents recommended upgrades, estimates water demand projections from the Parties, and updates the capital improvement plan of the Intake Facilities. 2.19. Member means a person appointed by a Party to serve on the Board. 2.20. MGD is an acronym for million gallons per day. 2.21. Municipal Water Provider means a city or special district, as defined by ORS 174.116, that supplies drinking water to the public. 2.22. Non-Peak Season means the period from November 1St through April 30th of any given year. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 10 of 58 2.23. Operations Committee means the committee with a representative appointed by each Party to act as provided in Section 6.2. 2.24. Operations Plan means the plan that describes the operational protocols, communications, and coordination for the Intake Facilities with the Water Treatment Plants. 2.25. Ownership means the Capacity interest of a Party in the Intake Facilities, established following a financial investment in the Intake Facilities.The anticipated Capacity of each Party is set forth in Exhibit 3. 2.26. Party or Parties means the Municipal Water Providers that have Capacity ownership interest in the Intake Facilities and that comprise the Commission. 2.27. Peak Season means the period from May 1St through October 31' of any given year. 2.28. Point of Diversion means the geographic location from which water is diverted from the Willamette River using the Intake Facilities and put to beneficial use through the Water Treatment Plants and associated water systems. 2.29. Real Property means the real property upon which the Intake Facilities are located. The Real Property is described in Exhibit 4 and is owned by TVWD and Wilsonville. 2.30. Supermajority means an affirmative vote from all except one of the Members of the Board eligible to vote. 2.31. System Separation Point means that point designated on Exhibit 2 where the Intake Facilities terminate and the water from the caisson of the Intake Facilities is separated by the pumps into untreated water pipes conveying water to either the Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 11 of 58 WRWTP or WWSS WTP. 2.32. Users means any water system users or customers of a Party's water system including but not limited to residential, commercial and industrial uses as well as other units of local government with whom the Party has agreed to sell water. 2.33. Water Rights means those surface water registrations, permits (including storage and secondary), or certificates held by a Party, the WRWC, or the Commission as registered with the State of Oregon Water Resources Department, which allow for diversion of water from the Willamette River at the existing Intake Facilities Point of Diversion to deliver water to the Party's respective Water Treatment Plant. The Water Rights are more fully described in Exhibit 5. 2.34. Water Treatment Plant refers to either the WRWTP or the WWSS WTP. 2.35. Willamette River Water Coalition ("WRWC") means the ORS 190 entity currently consisting of TVWD and Sherwood, Tigard, and Tualatin. 2.36. Willamette River Water Treatment Plant ("WRWTP") means the Water Treatment Plant located near the Intake Facilities currently serving potable water to Wilsonville, Sherwood, and other potential Parties. 2.37. Willamette Water Supply System ("WWSS") means the water supply system infrastructure facilities including the raw water pipeline, water treatment plant, finished water pipeline(s), finished water storage, and related facilities that serve potable water to TVWD, Hillsboro, and other potential Parties. 2.38. Willamette Water Supply System Water Treatment Plant ("WWSS WTP") means the Water Treatment Plant to be located in Washington County outside of Wilsonville to be designed, constructed, and serve potable water to TVWD, Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 12 of 58 Hillsboro, and other potential Parties. 3. Commission There is hereby created, pursuant to ORS 190, the Willamette Intake Facilities Commission ("Commission") governed by the Board of Commissioners according to this Agreement and the laws of Oregon. The Commission is created under this Agreement to own and manage the Intake Facilities in order to enable the Parties to this Agreement to draw water through the Intake Facilities to the System Separation Point and convey water to each Water Treatment Plant. The Board is served by appointed Management and Operations Committees and the affairs of the Board are administered by an appointed Managing Agency with an organization structure illustrated in Exhibit 6. 4. Board of Commissioners 4.1. Appointment The Commission shall be governed by a six-Member Board consisting of one person and one alternate person appointed by each Party pursuant to the laws and regulations of the Party's governing body. A Member serves at the pleasure of the Member's governing body. The name of the Board is the Willamette Intake Facilities Board("Board"). 4.2. General Powers and Duties The Board shall manage the business and affairs of the Commission for the mutual benefit of all of the Parties. The Board shall adopt such bylaws, rules, regulations and policies as it deems necessary in furtherance of the purposes of this Agreement. Subject to the approval of expenditures by the Parties, as set forth in Section 7, the Board shall have the power to hire employees as it deems necessary and to contract for the purchase of property and services. The Board shall perform such further duties as may be required by this Agreement and shall have all powers necessary and incidental to the execution of its specific duties. Except for the provision of Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 13 of 58 liability of debt obligations as provided for under ORS 190.080, the Board may perform its activities in any manner permitted under ORS 190.030 to 190.150. 4.3. Duration Subject to the dissolution provisions in Section 26, this Agreement is perpetual. 4.4. Meetings; Manner of Acting Board meetings shall be conducted in accordance with the provisions of the Oregon Public Meeting Law, ORS 192.610 to 192.710. The Board shall hold meetings as needed, generally on a quarterly basis,but in no event less than twice a year. Special meetings may be called by the Chair or by any two Members. The Board shall adopt rules governing the conduct of its proceedings. 4.5. Quorum and Voting 4.5.1. If a unanimous vote of all Members is required, then all Members must be present to constitute a quorum. In all other cases, five of six Members of the Board shall constitute a quorum for the conduct of business. 4.5.2. Except where a unanimous or Supermajority vote is required,an affirmative vote of five Members is required to decide any issue before the Board. 4.5.3. If the Member and the alternate attend the same meeting, the Member shall be the voting representative for the Party. The Member shall inform the Chair in advance of any meeting if he or she cannot attend and whether the alternate member will attend and will be authorized to vote. 4.6. Officers The Board shall annually elect from its Members a chair and a vice chair,who shall be officers of the Board. The elections shall occur at the first meeting of the Board in each calendar year, unless otherwise agreed. The chair shall serve as the presiding officer. In the absence of the chair,the vice chair shall serve as presiding officer. Officers shall serve at the pleasure of the Board or until a successor is Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 14 of 58 appointed. 4.7. Powers and Duties The Board shall, among other things: 4.7.1. Appoint a Managing Agency, as provided in Section 5, including approval and entry into any agreement(s)with the Managing Agency as described in Section 5.2. 4.7.2. Approve an operations and management contract(s) as needed. 4.7.3. Annually adopt a budget, as described in Section 7.4. 4.7.4. Annually adopt a work plan in association with the budget. 4.7.5. Annually approve a five year capital improvement plan that includes the current fiscal year. 4.7.6. Adopt contracting rules and serve as the local contract review board under ORS 279A. 4.7.7. Approve and periodically update a Master Plan and Operations Plan for the Intake Facilities. 4.7.8. Approve the addition of a new Party, as provided in Section 20, subject to unanimous approval of the Board. 4.7.9. Approve modifications or amendments to the Exhibits to this Agreement. 4.7.10. Approve and periodically update an emergency response and management plan,and related policies and practices,to govern the operation of the Assets in an emergency. 4.7.11. Approve and periodically update a Curtailment Plan based on a recommendation from the Management Committee. 4.7.12. Consider for approval any Lease that has a term less than one year or longer than five years, as provided in Section 14. 4.7.13. Approve and periodically update overuse plans developed under Section 15. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 15 of 58 4.7.14. Cause an annual audit to be conducted. 4.7.15. Obtain appropriate insurance and fidelity coverages. 4.7.16. Oversee the management and operation of the Managing Agency. 4.7.17. Approve contracts; acquire real property by negotiation, sale or condemnation; and dispose of surplus personal property. 4.7.18. Take other actions necessary and proper to manage, operate and maintain the Intake Facilities. 5. Managing Agency 5.1. Initial Appointment of Managing Agency TVWD is appointed the Managing Agency for an initial term beginning on the Effective Date through June 30, 2032 ("Initial Term") with formal performance review in 2029 by the Board. 5.2. Subsequent Terms Once the Initial Term expires or is terminated, the Board may continue with the initial Managing Agency or appoint a successor Managing Agency to manage the business affairs of the Commission. The Board may elect to enter into a written Managing Agency agreement between the designated Managing Agency and the Board. The designated Managing Agency's subsequent term will be a six year term, effective on July 1,2032, or other date as agreed to by the Parties. At the end of the fourth year of the term, the full Board shall either re-appoint the Managing Agency for an additional six year term to commence at the end of the current term or direct the Management Committee to obtain proposals for the selection of a Managing Agency. If the Board elects to obtain proposals rather than reappoint the Managing Agency, the Managing Agency may submit a proposal to continue on as Managing Agency. A proposal process will be required for selection of a Managing Agency at a minimum every twelve years. If the Board initiates a proposal process Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 16 of 58 for the selection of the Managing Agency, at the end of the fifth year of the term, the Management Committee shall submit to the Board a recommendation for a Managing Agency. A Party who submits a proposal to be Managing Agency cannot participate in the selection process. Upon designation of a new Managing Agency, the current and new Managing Agency will be required to create a one year transition plan unless a different period is approved by the Board. The components of the transition plan shall be reviewed and approved by the Management Committee prior to implementation. 5.3. Contracted Services The Board may elect to contract the management of the business affairs of the Commission to a non-Party. In such case, the Board will direct the Management Committee to obtain proposals and provide a recommendation for the award of a contract by the Board. The Board will designate a Party to manage the contract and will adopt an annual work plan. Upon Board approval of the contract, the current Managing Agency will be required to create a one year transition plan unless a different period is approved by the Board. The components of the transition plan shall be reviewed and approved by the Management Committee prior to implementation. The Board may terminate the contract at its sole discretion and appoint a new Managing Agency. 5.4. Annual Review The Management Committee will conduct an annual performance review of the Managing Agency and submit a report to the Board. 5.5. Termination or Resignation The Managing Agency may be terminated at any time at the Board's discretion,or may withdraw at its own discretion. The Board will provide a reasonable notice to Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 17 of 58 the Managing Agency and Parties if the termination is for convenience and not due to a default. The Managing Agency will provide a notice to the Board if withdrawal is desired. A notice to terminate may specify an effective date for termination or withdrawal. A transition plan with a reasonable period for transfer of duties to the new Managing Agency will be developed by the Board. Termination related to default is covered in Section 24. 5.6. Powers and Duties of Managing Agency TVWD's initial management of the Intake Facilities and Capacity Expansion projects are described in Exhibit 7 and those terms are only applicable during TVWD's Initial Term. With respect to all other roles and responsibilities of the Managing Agency, the Board may delegate powers to the Managing Agency to provide the management functions required to administer the Commission. The Managing Agency is responsible for administering the business affairs of the Commission. This Section does not prevent the Board, upon a finding that it is in the best interest of the Commission, from modifying the duties of the Managing Agency. The Managing Agency shall act for the mutual benefit of all Parties at all times in the performance of all Managing Agency duties. The Managing Agency duties shall include but are not necessarily limited to the following: 5.6.1. Prepare an annual work plan in conjunction with the annual budget. 5.6.2. Perform such duties as established in an annual work plan and any other duties as directed by the Board. 5.6.3. Provide administration of the Board meetings and required public meeting notices and duties. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 18 of 58 5.6.4. Maintain records consistent with public records laws. 5.6.5. Provide administration of the infrastructure operations and maintenance of the Intake Facilities and associated contract approvals. 5.6.6. Perform financial planning and management including payment of invoices, accounting,reporting, and budgeting in accordance with Oregon law. 5.6.7. Develop and coordinate capital improvements plans, including the timing of any improvements or expansions as relate to the Intake Facilities. Each Party will participate in planning projects,such as a Master Plan or facilities plan, and will provide good-faith estimates for future Demand. 5.6.8. Provide capital project management, unless otherwise directed by the Board. 5.6.9. Provide administration and staffing for the Board and committees such as the Management Committee, Operations Committee, and Finance Committee. 5.6.10. Prepare an Operations Plan in coordination with the Parties.The Operations Plan must be approved by the Operations Committee prior to submitting it to the Board for adoption. 5.6.11. Coordinate with WRWTP and WWSS to support and facilitate the orderly and effective operations, maintenance and construction activities of the Intake Facilities,WRWTP and WWSS. 5.6.12. Take prompt action, as necessary, in response to a Curtailment Plan or an Emergency Response Plan and report to the Parties and the Board as soon as reasonably possible. In the case of an emergency, an after-action report Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 19 of 58 including the nature of the emergency,the effect(s) on the Intake Facilities, and the steps taken by the Managing Agency in response will be provided to the Board. 5.6.13. Procure and manage appropriate insurance coverages and fidelity coverages, in accordance with the insurance requirements set forth in Section 27.3, or as the Board may otherwise direct. 5.6.14. Approve and execute contracts, subject to the contracting rules and direction of the Board. 5.6.15. Other duties as may be assigned by the Board. 6. Management, Operations,Finance, and Other Committees 6.1. Management Committee Each Party shall appoint its Chief Executive Officer,City Manager,or its designee to serve on the Management Committee. The Managing Agency shall meet with the Management Committee to receive recommendations on policies, planning, operations,capital projects,contract awards,etc.,to be forwarded to the Board.The Management Committee members will also serve as the liaison to each of their respective governing bodies and shall be charged with authority to act on behalf of the Party's governing body,except as otherwise provided herein. 6.2. Operations Committee Each Party shall appoint one person technically knowledgeable in water system operations or engineering to the Operations Committee. A Party may allow other attendees, but in no event will a Party have more than one vote in making a recommendation to the Management Committee. The Managing Agency will advise and consult with the Operations Committee on matters including but not Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 20 of 58 limited to Intake Facilities operations, capital improvements and planning, and contract management. The Operations Committee shall, as required by this Agreement or requested by the Management Committee, report on or provide recommendations to the Management Committee on any such matter. 6.3. Finance Committee Each Party shall appoint one person,knowledgeable in municipal finance laws and practices, to the Finance Committee. A Party may allow other attendees,but in no event will a Party have more than one vote in making a recommendation to the Management Committee. The Finance Committee shall provide recommendations to the Management Committee on the proposed annual budget, capital improvement plan including resource availability and timing, and other financial policies. The Finance Committee will also provide comment and recommendations on the financial procedures to be developed and implemented by the Managing Agency. 6.4. Other Committees Other Committees may be formed as needed to support and provide guidance to the Commission. 7. Financial Management 7.1. Budget Process and Calendar The Board shall adopt a budget for its operations and capital improvements for each Fiscal Year. The Managing Agency shall annually prepare a budget for administration, operations, and capital improvements in coordination with the appropriate committees representing the Parties as described in this Section. The budget review process shall follow the schedule described in Exhibit 8 unless a Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 21 of 58 modified schedule is approved by the Board. 7.2. Operations and Finance Committees Budget Review An initial draft budget shall be prepared and distributed by the Managing Agency to the Operations and Finance Committees. The initial draft budget shall include estimates for full-time equivalents, associated benefits, materials and services, a listing of contracts in effect and contemplated for future periods,capital outlay, and any other necessary expenditures. The initial draft budget shall also include supporting detail and assumptions for the Committee's consideration. Joint meeting(s) of the Operations and Finance Committees will be held as needed to refine the initial draft budget. The Operations and Finance Committees will review the initial draft budget, and will provide its recommendation, after any requested revisions are incorporated by the Managing Agency, to the Management Committee. The Managing Agency will incorporate such revisions and prepare a revised draft budget for consideration by the Management Committee. 7.3. Management Committee Budget Review The revised draft budget shall be distributed to the Management Committee as described in Exhibit 8,but not later than March 15th of each year. The Management Committee will review the revised draft budget, and will either provide a recommendation to the Board for adoption or provide requested revision(s) to the Managing Agency. Following Management Committee review and revisions, the Managing Agency shall prepare a proposed budget and distribute it to the Board. 7.4. Budget Adoption The Board will consider the proposed budget consistent with the schedule presented in Exhibit 8. Furthermore, the Board will strive to adopt the budget by resolution in April of each year to enable the Parties to adequately reflect necessary commitments in their own respective budgets, but in no case will the Board adopt Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 22 of 58 the annual budget later than June 1St of each year. The adopted budget shall include estimated subtotals for the categories of personnel services, materials and services, capital outlay, and all other appropriation categories used in the adopted budget. The adopted budget shall also include a narrative describing the supporting detail and assumptions summarized for the Board's consideration, including personnel counts stated as full-time equivalents. Each Party's proportionate share of expenses of operations and maintenance of the Intake Facilities, including reserves and replacements, debt services, payments to the Managing Agency, and all other expenses as may be incurred by the Commission, shall be estimated by the Managing Agency and set forth in the Commission's adopted budget. 7.5. Capital Improvement Plan Budget The Managing Agency shall maintain capital improvement plan budget projections for at least the subsequent four Fiscal Years following the fiscal year budgeted, which shall be updated annually and submitted with the initial draft budget and the proposed budget. The Operations and Finance Committees will review the proposed capital improvement plan, and will provide a recommendation to the Management Committee for review or provide requested revision(s) to the Managing Agency for incorporation. The Management Committee will review the proposed capital improvement plan, as may have been revised by the two committees, and will provide a recommendation to the Board for adoption or provide requested revision(s) to the Managing Agency for incorporation. The Managing Agency will include the capital improvement plan budget, as reviewed and revised by the Management Committee, in the proposed budget and submit it to the Board. The Board will consider the capital improvement plan for adoption on an annual basis on the same timeline as the annual budget. The capital outlay category includes routine purchases as well as major improvements or expansions Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 23 of 58 as may be outlined under the provisions of Section 17. 7.6. Accounting The Managing Agency shall comply with government accounting standards, maintain independent budget and accounting control procedures, and provide budget financial status reports at least quarterly to the Board and to each of the Parties not later than 30 days after the end of each quarter. The report shall show expenditures and receipts consistent with the requirements of the financial procedures described in Section 7.9. The Managing Agency shall maintain all fiscal records relating to the Intake Facilities and associated capital improvement projects in accordance with generally accepted accounting principles. In addition, the Managing Agency shall maintain any other records pertinent to the Intake Facilities and associated capital improvement projects in such a manner as to clearly document the Managing Agency's performance hereunder. All such fiscal records, books, documents, papers, plans, and writings shall be retained by the Managing Agency and kept accessible as required by law. The Managing Agency agrees that the other Parties and their authorized representatives shall have access to all books, documents, papers and records of the Managing Agency which are directly related to the Intake Facilities and associated capital improvement projects for the purpose of making any audit, examination, copies, excerpts and transcripts. 7.7. Audit The Board shall cause an independent audit of the financial affairs of the Commission to be performed by a certified public accountant licensed and certified to do municipal auditing in the State of Oregon. The audit shall be performed in accordance with the provisions of the Oregon Municipal Audit Law, ORS Section 297.405 — 297.555. The audit shall be completed annually within six months following the end of each Fiscal Year. The Board shall review, accept the annual Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 24 of 58 audit, and direct the Managing Agency to complete correction actions as needed. A copy of the annual audit shall be provided to each Party upon acceptance by the Board. 7.8. Issuance of Debt When authorized by a unanimous vote of the Board and an affirmative vote by the governing body of each Party, the Board may issue debt under ORS 287A, as allowed under ORS 190.080, as the Board deems necessary to finance capital improvements. Upon receipt of an affirmative vote of each of the governing bodies, the Board shall approve the order or resolution authorizing the issuance of debt, which shall specify the joint and severable liabilities and obligations of the Parties as set forth in ORS 190.080 (3). 7.9. Financial Procedures Interim financial procedures are included as Exhibit 9, and will be used until the long-term financial procedures are developed and approved by the Board. The Managing Agency shall propose financial procedures consistent with the requirements of this Section. The Finance Committee will review the proposed financial procedures, and will provide a recommendation to the Management Committee for review or provide requested revision(s)to the Managing Agency to incorporate and forward to the Management Committee. The Management Committee will review the proposed financial procedures, and will provide a recommendation to the Board for adoption or provide requested revision(s) to the Managing Agency to incorporate and forward to the Board. The Board will consider the recommended financial procedures for adoption or send back to the Management Committee for modification. The financial procedures will be reviewed and updated on at least a ten-year basis or as requested by the Finance Committee, Managing Agency, or the Board. The Board approved long-term Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 25 of 58 financial procedures will be included as an amended Exhibit 9 to this Agreement subsequent to the effective date of this Agreement. 8. Intake Facilities Ownership and Easement 8.1. Capacity Ownership The Parties each own various shares of Capacity in the Intake Facilities. The ownership of each Party is a percentage share of the Intake Facilities that is equal to the Party's Capacity in MGD compared to the total Capacity of the Intake Facilities. The Parties' respective shares of the anticipated design Capacity of the Intake Facilities are set forth in Exhibit 3. Upon completion of construction, the Board shall determine ownership of Capacity based on actual Capacity achieved of the Intake Facilities to the System Separation Point. If the actual Capacity achieved is more or less than the design Capacity anticipated in Exhibit 3, the Exhibit will be revised to reflect the ownership based on the actual Capacity achieved. The Capacity shares shall be proportionately increased or reduced. If the actual Capacity achieved is less than the design Capacity anticipated, in no event will the Capacities of TVWD, Wilsonville and Sherwood be less than 56.5 MGD,20 MGD and 5 MGD, respectively. 8.2. Easement The Intake Facilities have been granted an Easement described in Exhibit 1 and are located on the Real Property described in Exhibit 4. 9. Water Rights 9.1. Existing Water Rights A Party shall continue to hold its Water Rights in its individual name, except that TVWD, Sherwood, Tigard and Tualatin jointly hold their Water Right through the WRWC. Exhibit 5 identifies the Water Rights held by each Party and the WRWC for use at the Intake Facilities Point of Diversion and as described in this Section. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 26 of 58 9.2. Restriction on Use If surface water withdrawal rights are partially or fully restricted and unavailable, then each Party will be subjected to the restrictions and conditions applicable to its own Water Rights. The available Water Rights will be used for the benefit of the Party(ies) that own(s) the Water Rights. To the extent that the non-restricted or partially restricted Water Rights are greater than that required by the Party owning the Water Rights,then the unused portion of the Water Rights may be leased to the other Parties, as set forth in the leasing provisions. In times of emergency or curtailment, the Board may allow Parties to use the Water Rights of other Parties without a leasing requirement, subject to the agreement of those Parties. Those Water Rights held jointly through WRWC shall be allocated for use by the WRWC Parties as described in the WRWC agreement. 9.3. Supplemental Water Rights A Party or the Commission may obtain additional Water Rights from the Oregon Water Resources Department or a federal agency that initiates a municipal contracting program in the United States Army Corps of Engineers storage facilities in the Willamette Basin ("Willamette Basin Project") as the Demand and need is identified. The Board will establish Capacity ownerships of any jointly held Water Right by the Commission at the time of application. Exhibit 5 identifies the Water Rights authorized for use at the Intake Facilities Point of Diversion held by individual Parties and those jointly held by the WRWC or by the Commission. Exhibit 5 will be updated by the Board as additional Water Right transactions occur. 9.4. Obligations of Each Party Each Party is responsible for obtaining its own Water Rights with a point of diversion at the Intake Facilities sufficient to meet its Capacity. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 27 of 58 9.5. Perfection and Certification A Party's certification or perfection of its individual Water Right through the Intake Facilities cannot exceed the Party's owned Intake Facilities Capacity unless the Board approves otherwise and such approval is not to the detriment to the other Parties' Water Rights. 10. Use of the Intake Facilities by the Parties Each Party shall use the Intake Facilities in a manner consistent with prudent water utility operating practices and in a manner that minimizes the impact of use on the other Parties. The Managing Agency shall manage the Intake Facilities for the mutual benefit of all Parties. Each Party shall obtain sufficient Capacity in the Intake Facilities to serve the Demand imposed on the Intake Facilities by the Party. 11. Operations Plan Prior to the date the Willamette Water Supply System commences delivery of potable water to its respective Users, an Operations Plan shall be developed by the Operations Committee with support from the Managing Agency, and submitted to the Management Committee. The Management Committee will review the proposed Operations Plan, will work with the Managing Agency on modifications, and will provide a recommendation to the Board for adoption or will send back to the Operations Committee for modification. The Operations Plan for the Intake Facilities will include, but is not limited to, agreed protocols and a methodology to provide for the equitable, effective and efficient operation of the Intake Facilities in accordance with generally accepted utility practices regarding the operation, management, capital improvements, and expansion of all aspects of the Intake Facilities. The Operations Plan will provide that the Parties will use best efforts and good faith in the operation of the Intake Facilities for the mutual benefit of all Parties. The Operations Plan will be updated as needed. The agency responsible for operating the Intake Facilities shall follow the Board- Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 28 of 58 adopted Operations Plan. 12. Curtailment Plan and Emergency Response and Management Plan 12.1. Curtailment Plan The Board shall adopt a Curtailment Plan that establishes policies and procedures for when and how reductions in Demand shall be made. The Managing Agency shall develop a proposed Curtailment Plan for review by the Operations Committee. The Operations Committee will review the proposed Curtailment Plan, and will provide any requested revision(s) to the Managing Agency before presentation to the Management Committee. The Management Committee will review the proposed Curtailment Plan, and will either provide a recommendation to the Board for adoption or will send back to the Operations Committee for further review and modification. The Management Committee will provide a recommendation to the Board for its consideration and adoption. When reductions in Demand become necessary, the reduction shall be in accordance with the Curtailment Plan. Any Curtailment Plan must treat all Parties fairly and equitably. 12.2. Emergency Response Plan The Managing Agency shall prepare an Emergency Response Plan to be reviewed by the Operations Committee and the Management Committee. Procedures and protocols will be included in the proposed Emergency Response Plan. The Operations Committee and Management Committee will review the proposed Emergency Response Plan, and will either provide a recommendation to the Board for adoption or will provide requested revision(s) to the Managing Agency. 13.Right of First Offer Wilsonville and TVWD entered into the 2000 Master Agreement, Accord, First Amendment and the Willamette Intake Facilities Agreement regarding the construction,joint ownership, and continuing operations of the WRWTP, which all remain and will remain in full force and Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 29 of 58 effect, except as otherwise amended, in writing, by TVWD and Wilsonville. The Accord Agreement, dated June 19, 2001, expressly provides a Right of First Offer be made between Wilsonville and TVWD with respect to any sale, transfer, exchange, grant of option to purchase,lease, or other disposal of their respective interests in the Property, or any part of,or interest in, or ownership interest in the Supply Facilities(which include the Intake Facilities). Wilsonville has been offered and declined the first right to purchase the Intake Facility capacity held by TVWD and consented to sale, purchase and transfer of 62.3 MGD of existing and expanded capacity between TVWD and the other Parties to this Agreement and waived further application of the Accord Agreement thereto. In accordance with the Accord Agreement,the reciprocal Right of First Offer with respect to Intake Facilities remains in full force and effect with respect to 56.5 MGD of TVWD's retained interest in the Intake Facilities and Wilsonville's 25.0 MGD retained interest in the Intake Facilities,notwithstanding anything to be construed to the contrary in this Agreement. Additional terms with respect to the Right of First Offer continue to apply and are detailed in the Accord Agreement. If TVWD or Wilsonville declines to lease or purchase all or a portion of the amount offered, then the declined amount may be offered to the Parties for lease or for purchase,as provided in Sections 14 and 19. Notwithstanding the terms of the Right of First Offer, Wilsonville and TVWD do hereby agree to waive their Right of First Offer for leases of five years or shorter duration offered by Wilsonville or TVWD to the other Parties("Short Term Waiver"). A lease to which this Short Term Waiver applies may be renewed for one additional term and the Short Term Waiver is applicable for that one time renewal. 14. Leasing 14.1. Leasing The Parties recognize that options for leasing Capacity in the Intake Facilities or Water Rights are important to maintain the cost effective and efficient use of the Intake Facilities and associated infrastructure. Only Parties to this Agreement are Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 30 of 58 eligible to engage in leasing. Leasing options will include firm, interruptible, and surplus water pool. A Party will not be forced to lease its Capacity in the Intake Facilities or Water Rights to other Parties. Each Party retains sole discretion as to how much, if any, Capacity of the Intake Facilities or Water Rights to make available for leasing. Prior to expanding or adding new infrastructure to the Intake Facilities above 150 MGD, the Parties will determine if leasing options are a reasonable approach as a method to defer capital expansion. The following provisions regarding Leasing are subject to the Right of First Offer, including the Short Term Waiver between TVWD and Wilsonville, as set forth in Section 13. 14.2. Leasing Procedures The Managing Agency will coordinate and manage the annual leasing process, including associated agreements and approval requirements, on a schedule that accommodates the Commission and the Parties' budget processes. The Managing Agency will request available Capacity or Water Rights for leasing options from all Parties who are interested in leasing on an annual Fiscal Year basis prior to the Peak Season. Each interested Party will estimate the amount of Capacity, duration, and type of Lease(interruptible or firm)or Water Rights it wishes to make available to lease to, or the amount of Capacity, duration, and type of Lease (interruptible or firm) it seeks to lease from, the other Parties. The Managing Agency will develop forms and protocols for managing the leasing process including the leasing requests and annual surplus Capacity designated by each Party. A rate methodology for each of the leasing options will be developed by the Managing Agency, reviewed and recommended by the Management Committee and the Finance Committee,and adopted by the Board. A sample Lease form and methodology are attached in Exhibit 10, which may be modified and/or updated by the Board. In those years when Water Rights are limited and if requested by the Parties,the Board may adopt Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 31 of 58 an equitable methodology for leasing of the Water Rights. 14.3. Firm and Interruptible Lease Terms The length of time for firm and interruptible leases will be a minimum of one year and a maximum of five years,unless otherwise approved by the Board and subject to the Right of First Offer provisions. The Capacity acquired from a firm Lease will be considered transferred Capacity from the lessor to the lessee for the quantity and the duration of the Lease agreement for use and overuse purposes. The Capacity acquired from an interruptible Lease will be considered the lessee's Capacity for use and overuse purposes until the lessor calls back the Capacity from the lessee pursuant to the terms of the Lease. The Managing Agency will develop recommended protocols and the terms to be approved by the Board for firm and interruptible Leases, the latter of which will include the terms under which a lessor may call back the"interruptible" leased Capacity, such as when curtailment or loss of Capacity occurs. 14.4. Surplus Capacity Pool Terms When excess Capacity is made available for leasing that is not dedicated to a firm or interruptible Lease, that excess Capacity shall be included in the Surplus Capacity Pool to be made available for a period not to exceed one year from the date of placement in the Surplus for lease for less than one year by the Parties in coordination with the Managing Agency. The premium short term lease rate is included in Exhibit 10, and may be amended by the Board. The Managing Agency will develop for approval by the Board the terms, costs, and protocols for the management and use of the Surplus Capacity Pool, taking into account the best interests of the Parties while maintaining the integrity of the system. 14.5. Lease Approval A Lease that is within the terms of this Section will be reviewed and approved by Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 32 of 58 the Management Committee and administered by the Managing Agency. Status reports regarding the Lease agreements will be provided to the Board by the Managing Agency. A Lease that is not consistent with the terms of this Section must be approved by the Board. 14.6. Lease Distribution and Payments Lease requests and associated Lease revenues will be divided among the lessors based on the percent of Capacity or Water Rights leased, if more than one lessor and one lessee are involved unless otherwise approved by the Board. A Lease approved between two Parties may provide for payment made directly from the lessee to the lessor. When Lease requests exceed the amount of Capacity or Water Rights made available, available Lease Capacity or Water Rights will be divided amongst the lessees based on the percent of Capacity or Water Rights requested unless otherwise approved by the Board. 15. Overuse 15.1. Notification A Party will manage its Demand on the Intake Facilities within the Party's respective ownership and Capacity share of the Intake Facilities as may be augmented by firm, interruptible or surplus Capacity pool Lease sources. Overuse terms are included in the Agreement in order to discourage use that may result in adverse impacts to the operational integrity of the Intake Facilities and to promote prudent planning of needed expansions. The Managing Agency shall notify a Party when the Party's instantaneous Demand has exceeded its Capacity ownership as augmented by any leased Capacity, including any short term lease from the Surplus Capacity Pool of the Intake Facilities. A Party should notify the Managing Agency if the Party exceeds or anticipates exceeding its Capacity share as augmented by any leased Capacity and short term lease from the Surplus Capacity Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 33 of 58 Pool. A Party will be required to take appropriate corrective action to decrease the Party's Demand on the Intake Facilities to be within its Capacity ownership as augmented by any leased Capacity and the surplus Capacity pool. A Party shall be deemed to have overused the Intake Facilities if the Party's Demand on the Intake Facilities exceeds the Party's Capacity as described in Sections 8 and 10. Overuse is subject to remedies described in Section 16. 15.2, Overuse Terms If a Party has been notified by the Managing Agency that their instantaneous Demand on the Intake Facilities has exceeded their ownership Capacity as augmented by any leased Capacity and the surplus Capacity pool, and corrective action was not taken to decrease the Demand within their ownership Capacity as augmented by any leased Capacity and the surplus Capacity pool, then the following Overuse Terms shall apply. A Party shall be deemed to have overused the Intake Facilities if the Party's Demand on the Intake Facilities exceeds the Party's Capacity as augmented by any leased Capacity and the surplus Capacity pool by 5%continuously over a 12 hour period for: i)three consecutive days in two consecutive years or ii) three consecutive days in any three years out of a five year period. Overuse also includes a Party's use exceeding its Water Right ownership regardless of the extent of overuse during times of regulation or curtailment per Section 12, unless otherwise approved by the Board. If overuse occurs, then the Party shall be subject to the remedies for overuse terms set forth in Section 16. 16. Remedies for Overuse 16.1. Remedies Considered by the Board To the extent that a Party overuses the Capacity or Water Rights of the Intake Facilities as defined in Section 15 of this Agreement, the Party shall compensate the other Parties as set forth in Section 16.2. When overuse occurs, the Board may Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 34 of 58 require the Party to lease Capacity or Water Rights in the Intake Facilities, reduce Demand on the Intake Facilities, or purchase Capacity in the Intake Facilities, if made available by another Party such that the overuse will cease to occur. Compensation for overuse is described in Section 16.2. The Party that overused the Intake Facilities shall deliver to the Management Committee and the Board a plan to avoid overuse in the future. The plan must include a proposal for a Lease agreement, a Capacity purchase agreement, and/or other measures to eliminate overuse of the Intake Facilities.Nothing herein shall compel a Party to lease or sell Capacity or Water Rights to an overusing Party. The Board shall approve a plan to eliminate overuse by the Party, and the Managing Agency shall monitor the implementation of the plan and report back to the Board. Penalties for overuse may only be waived by the Board. A request for a waiver may be given to the Managing Agency, along with justification for the waiver, to be presented to the Board. 16.2. Compensation To the extent that a Party overuses the Capacity or Water Rights of the Intake Facilities as defined in Section 15 of this Agreement, the Party shall compensate the other Parties. Unless modified by the Board,compensation for overuse shall be five times the firm Lease rate for Capacity, which would have been in effect in the last period described above in which the overuse occurred for the entire period of the overuse(i.e. two consecutive or three out of five years). The amount of Capacity overused for the determination of retroactive compensation shall be equal to the difference between the Party's Capacity as augmented by any leased Capacity or surplus Capacity pool and the Demand imposed by the Party during the overuse period. The compensation for overuse shall be distributed to the other Parties by their ownership Capacity percentage. 17.Expansion and Capital Improvements Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 35 of 58 17.1. Current Expansion As described in the Recitals,the Parties have or will enter into separate agreements to design and construct upgrades for a Capacity Expansion of the Intake Facilities to achieve a design Capacity of 150 MGD.The preliminary concept and layout for the Intake Facilities improvements are shown in Exhibit 2. The preliminary cost allocations for the Intake Facilities improvements are described in Exhibit 11. The process set forth in Sections 17.2 and 17.3 shall not apply to this current Capacity Expansion. 17.2. Future Expansion or Improvement Capacity Expansion of the Intake Facilities refers to any capital improvement project not part of Section 17.1 that results in increased Intake Facilities Capacity. Capacity Expansion or Facilities Modification of the Intake Facilities,to the extent possible, shall be planned for through a Master Plan to be updated not less than every five years. The Managing Agency will lead and facilitate the development of the Master Plan, which will be reviewed and recommended for adoption by the Operations and Finance Committees to the Board. The Managing Agency will conduct the planning and implementation of the Intake Facilities Capacity Expansion,including provision for minimum operational impacts and cost impacts, to the other Parties using the Intake Facilities. A Party will notify the Managing Agency of any proposed Capacity Expansion outside the planned Capacity Expansions including the proposed Capacity and schedule. 17.3. Determination of Future Expansion The Managing Agency will provide notice to the Parties of any proposed Capacity Expansions to determine participation. Parties shall have 120 days from the date they receive notice, with an option for an additional 60 days if requested, in which to respond to the Managing Agency whether they wish to participate in the Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 36 of 58 proposed Capacity Expansion and any proposed conditions for participation. Once participation in the proposed Capacity Expansion is fixed and the scope, budget, and schedule are established,then the non-participating Parties shall have no further opportunity to participate unless all participating Parties approve. Participating Parties will include their proportionate share of the estimated costs in their respective annual budgets. In the case of any proposed Capacity Expansion, a Supermajority of the Board must agree to the proposed Capacity Expansion. If the Board agrees to allow the Capacity Expansion, each Party will have the option to participate in the Capacity Expansion. If not all Parties agree to participate in the Capacity Expansion, then only those Parties electing to participate in the Capacity Expansion will be responsible for all costs related to the Capacity Expansion. The Managing Agency will strive to resolve objections to proposed Expansion prior to a final decision being made with respect to the Capacity Expansion. 18. Sale of Water to Non-Party The Parties agree that sale of water to a non-party shall occur only through the associated Water Treatment Plant agreements. Parties that require Capacity for such sales shall lease Capacity from other Parties to this Agreement pursuant to Section 14 or purchase Capacity from other Parties pursuant to Section 19. 19. Withdrawal and Sale of Interest 19.1. Notification Subject to the notification requirements of the Right of First Offer described in Section 13, one or more Parties("Selling Parties") may sell all or a portion of their ownership Capacity in the Intake Facilities by providing written notice to the Managing Agency and the other Parties. Within 60 days of receipt of the notice, each Party with an interest in acquiring additional Capacity in the Intake Facilities shall respond in writing to the Managing Agency and the Selling Party indicating Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 37 of 58 whether it wishes to purchase all or a portion of the interest in the Intake Facilities, the offer price, and the proposed terms and conditions of the purchase and sale ("Purchase Nomination"). 19.2. Purchase Nomination Recommendation The Managing Agency will review each Purchase Nomination and make a preliminary determination as to whether all Parties submitting a Purchase Nomination ("Purchasing Parties") and Selling Parties can be accommodated in full. If the Managing Agency is a purchaser or seller, then the Management Committee will perform the tasks outlined in this Section. If all Purchasing and Selling Parties can be accommodated in full,the Managing Agency shall notify the Selling Parties and Purchasing Parties of how the reallocation of ownership will be calculated. If all Purchasing and Selling Parties cannot be satisfied in full, then the Managing Agency will confer with the Purchasing and Selling Parties individually or collectively and make a recommendation as to how the total interest designated for sale should be allocated among the Purchasing and Selling Parties. The Managing Agency shall allocate proportionately in order to achieve an equitable and fair solution for the Purchasing and Selling Parties. The Managing Agency will make the recommendation to the Management Committee with respect to the proposed allocation within 30 days after receipt of Purchase Nominations. 19.3. Purchase Negotiations Within 30 days after the Managing Agency makes the recommendation and provides written notice of the proposed allocation(as approved by the Management Committee),the Managing Agency will convene a meeting of the Selling Party and the Purchasing Party to reach final agreement on the allocation of Capacity, the purchase price to be paid and other terms of sale. The Purchasing Party and Selling Party will each designate a representative for negotiations. As a result of the Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 38 of 58 negotiations, one price will be set that will apply to all Selling and Purchasing Parties. 19.4. Purchase Term Sheet All Purchasing Parties and Selling Parties, with the Managing Agency as the facilitator, will have 60 days to negotiate a fair and equitable transaction through a process so that all Purchasing and Selling Parties are privy to all discussions of price and terms resulting in a mutually agreed final reallocation of Intake Facilities ownership and the terms of purchase and sale. The final terms will be reduced to a term sheet for tentative approval by the designated representatives of the Purchasing and Selling Parties. If the Managing Agency is a Purchasing Party or a Selling Party, the Management Committee will assume the facilitator role throughout the purchase and sale process. 19.5. Acceptance or Rejection Within 45 days of approval of a term sheet, each Purchasing and Selling Party will conduct such internal review as it deems necessary and provide written notice of intent to proceed with or decline the transaction to the other Parties and the Managing Agency. If any Purchasing or Selling Party declines,then the Managing Agency will convene the remaining Purchasing and Selling Parties who will then determine how to reallocate the Capacity and adjust their respective purchase price or terms. If there is excess Capacity available,the Managing Agency may also offer the excess Capacity to those Parties who had earlier declined to be a Purchasing Party. Those declining Parties shall have 15 days from notice by the Managing Agency to accept or decline the term sheet as is and without opportunity to vary its terms unless the Purchasing Party and Selling Party mutually agree. 19.6. Purchase and Sale Agreement Once the terms of purchase and sale are determined, the Managing Agency shall Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 39 of 58 notify all Parties of the pending transaction. Purchasing and Selling Parties will prepare the necessary documents for final approval by the governing bodies of the Selling and Purchasing Parties and the transaction will close within 30 days after approval,unless a longer period is agreed to by the Selling and Purchasing Parties. Upon closing of the transaction the Managing Agency will undertake to gather or prepare amended Exhibits and other documents necessary to memorialize the transaction and will enter the revised Capacity allocation and resulting equity interest on the books and records of the Commission. Board approval of the transaction is not required, but the Board will approve the amended Exhibits that reflect the revised Capacity allocations. 19.7. Commission's Purchase Rights If all or a portion of the offered Capacity remains unsold after the exhaustion of the procedure in Sections 19.1 through 19.6 above, the Board will have the right to consider whether to purchase a Selling Party's interest on terms and conditions agreed upon by the Board and the Selling Party. If so acquired, the Commission will hold the Capacity in trust for the benefit of all of the Parties. 19.8. Sale to Municipal Non-Party If all or a portion of the offered Capacity remains unsold after the exhaustion of the procedure in Sections 19.1 through 19.7, then the Selling Parties may seek and obtain offer(s) from a non-Party so long as the non-Party is a Municipal Water Provider and becomes a Party to the Commission and this Agreement. Such offers will be reviewed in accordance with Section 20. 19.9. Party Status If the interests of the Selling Party remain unsold, then the Selling Party will continue as a Party.Upon sale of all ownership interests,the Selling Party will cease Willamette Intake Facilities intergovernmental Agreement 01-08-2018 Page 40 of 58 to be a Party. 19.10. Water Rights The process described in this Section does not govern the sale or purchase of Water Rights. 19.11. Schedule Participating Parties in any proposed transaction may adjust the schedule provided in this Section as mutually agreed. 20. Admission of New Municipal Parties 20.1. Eligibility Only a Municipal Water Provider is eligible to apply to become a Party and must make a written request to become a Party("Applicant"). 20.2. Applicant Request The Applicant's written request shall state the proposed date of joinder, Demand and Capacity sought to be purchased, identify the quantity and status of Water Rights the Applicant would provide, identify the existing Capacity necessary to serve the Applicant, identify any improvement(s) that would need to be built or expanded to accommodate the Applicant, and other supply sources available to Applicant. 20.3. Consideration by Managing Agency and Board The Applicant shall deliver its request to the Managing Agency who shall then distribute it to the Board and the Management Committee. Each Party's representative of the Management Committee will be responsible for presenting the application to their respective governing bodies for a recommendation to approve or deny. Once the Management Committee reports back the results from each of the Party's respective governing bodies, at the next regularly scheduled Board Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 41 of 58 meeting,the Board will consider the request. A decision to consider an application for admission will require a unanimous affirmative vote of the Board. If the Board determines that the application will not be considered, the Managing Agency will inform the Applicant the request is denied and the matter will be deemed concluded. 20.4. Provision of Additional Information If the Board unanimously votes to consider the admission, the Board, through the Managing Agency,shall request that Applicant provide all information as the Board deems necessary,in its sole discretion,to adequately consider the matter. This may include a request for oral presentation by Applicant's staff and/or elected officials. 20.5. Term Sheet Based on the information submitted, the Board shall determine if there is unanimous interest to continue to consider the request. If so, then the Managing Agency shall deliver a term sheet to the Applicant defusing the terms and conditions for joinder, including but not limited to the date of joinder, the method of payment for existing Capacity and Applicant's obligations for construction of new Intake Facilities or expansion of existing Intake Facilities. 20.6. Applicant Review of Term Sheet and Negotiation The Applicant shall have 30 days from the receipt of the term sheet to accept or decline the term sheet, or propose modified terms. If the term sheet is acceptable to the Applicant and the Board, or if the Applicant and the Board negotiate and reach agreement within 30 days on the proposed modified terms, the Managing Agency shall cause a joinder agreement to be prepared for approval by the Applicant and the Board. If declined,the matter will be deemed terminated without any further action. 20.7. Sale or Transfer to Applicant Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 42 of 58 In accordance with Section 19, if an existing Party wishes to sell or transfer Capacity ownership to an Applicant, the Party seeking to sell shall give notice to the Managing Agency as provided in Section 19, Sale of Interest. The Party shall also include a written statement of its intent to sell. Thereafter, the evaluation of the Applicant and terms and conditions of joinder shall follow the process of Applicant request under this Section concurrent with the Sale of Interest provisions of Section 19 for the Selling Party and remaining Parties. 21.Indemnity 21.1. Indemnification of Board, Officers and Employees Except as may otherwise be provided by contractual agreement between the Commission or Board and any agent of the Commission, including but not limited to the Managing Agency, the Commission shall defend and indemnify any Board member, officer, committee member, employee or agent of the Commission who was or is a party, or is threatened to be a party, to any threatened or actual action, suit or proceeding, whether civil, criminal, administrative or investigative (other than an action by the collective Parties under this Agreement),by reason of the fact that such person is or was a Board member, officer, committee member, employee, or agent of the Commission, against all reasonable expenses, attorney fees, judgments, fines and amounts paid in settlement actually and reasonably incurred by said person in connection with such suit, action or proceeding if such person acted in good faith and such person reasonably believed his or her conduct to be lawful. The termination of any action, suit, or proceeding by judgment, order, settlement, or conviction, or with a plea of nolo contendere or its equivalent shall not in and of itself create a presumption that the person did not act in good faith or did not reasonably believe his or her conduct to be lawful. Payment under this clause may be made during the pendency of such claim, action suit or proceeding Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 43 of 58 as and when incurred, subject to the right of the Commission to recover such payment from such person, should it be proven at a later time that such person had no right to such payments. Any person who is ultimately held liable for his/her good faith and reasonably believed to be lawful actions on behalf of the Commission as a Board Member, officer, committee member, employee, or agent of the Commission shall be fully covered by this indemnity. Any person who is ultimately held liable but is determined by the Board to have acted in bad faith or without reasonably believing his or her conduct to be lawful shall not be indemnified by the Commission but may have a right of contribution over and against any other Board Members, officers, committee member, employees, agent of the Commission,or Parties who, in bad faith or without reasonably believing his or her conduct to be lawful,participated in the action that created said liability. As used herein, "person"refers to an individual or an entity. 22. Default 22.1. Generally A Party is deemed in Default of this Agreement if the Party violates any provision of this Agreement or fails to perform an obligation required to be performed or otherwise breaches this Agreement. An Event of Default shall be deemed to have occurred if the Defaulting Party fails to cure the Default within the cure period designated in this Section. 22.2. Notice of Default and Cure A written notice of Default ("Notice of Default") shall be delivered to the Party in Default ("Defaulting Party") by the Managing Agency, acting at the direction of the Board. The Notice must specify the nature of the Default and provide a specified period to cure the Default or otherwise reasonably commence to cure the Default in a diligent manner. A reasonable cure period ("Cure Period") shall be Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 44 of 58 deemed to be 30 days unless another time for cure is set by the Board and contained in the Notice of Default. The Notice of Default may also include a requirement to engage in the Dispute Resolution process. A copy of the Notice of Default shall be delivered to all other Parties. Specific provisions relating to Default by the Managing Agency are found in Section 24. 22.3. Response by Defaulting Party 22.3.1. Nonpayment Default The alleged Defaulting Party shall either: (1) make payment in full by the date set in the Default notice; (2)submit a plan for repayment that the Board must approve; or(3)request Dispute Resolution. The Cure Period for non- payment is a 30 day period, but the Board may, in its sole discretion, approve a payment plan in extraordinary circumstances. 22.3.2. Other Defaults The Defaulting Party must: (1)cure the Default by the Cure Period set forth in the Notice of Default; (2) state why the Default cannot be cured within the Cure Period, what efforts the Defaulting Party has made to Cure the Default and provide a reasonable plan to cure the Default; or (3) request Dispute Resolution. The Board must approve the plan for cure and if not approved, an Event of Default will be declared. If Dispute Resolution is requested by the Defaulting Party of the Board, then that process will be followed. 22.3.3. Failure to Cure Failure to cure the Default within the allowed Cure Period will result in the Declaration of an Event of Default, and a Final Notice to Cure will be delivered to the Defaulting Party by the Managing Agency. The Final Notice to Cure will contain one final allowed Cure Period. Failure to cure Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 45 of 58 the Event of Default within Final Notice of Default Cure Period will result in a Declaration of Default and the Remedies for Default will apply. 23. Remedies 23.1. Determination of Remedy Upon Declaration of an Event of Default, the Board will determine an appropriate remedy. The Defaulting Party will not have voting privileges regarding the appropriate remedy and a Supermajority vote of the remaining Board Members shall be required to determine the remedy. The imposition and scope of remedies by the Board is subject to Dispute Resolution. In making a determination of remedy for the Default,the remaining Board Members shall consider: 23.1.1. The nature of and severity of the Event of Default and resulting impact on the other Parties; 23.1.2. Whether the factors leading to the Event of Default were beyond the reasonable control of the Defaulting Party; 23.1.3. The Defaulting Party's history of performance and satisfaction of obligations and duties under this Agreement; 23.1.4. The Defaulting Party's responsiveness and cooperation to cure the Event of Default, including consideration of how proactive the Defaulting Party was in revealing the Default. 23.1.5. Other factors that the Board deems relevant. 23.2. Potential Remedies for Consideration by the Board The Board may consider all remedies available at law, or in equity, for breach of this Agreement as provided in this Section and Section 24. The purpose of the remedy is to make all non-Defaulting Parties whole and to bring the Defaulting Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 46 of 58 Party into compliance, if possible. The remedies, until the Event of Default is cured, may include, but not be limited to,the following: 23.2.1. Loss of Voting Privileges The loss of voting privileges such that a Supermajority of the remaining Members of the Board may conduct business without the Defaulting Party until the Defaulting Party fully cures the Event of Default. 23.2.2. Money Damages The Board may recover money damages for additional costs of service, costs of capital and other actual costs incurred by the other Parties resulting from the Default, plus interest at the statutory judgement rate of interest from the date of Default. 23.2.3. Termination of Service The Board may elect: (1) to terminate water deliveries to the Defaulting Party until the Event of Default is cured, if the Defaulting Party has other sources of water sufficient to meet Non-peak Season average daily demands,or(2)reduce water deliveries so that the Intake Facilities provides only enough water to meet Non-peak Season average daily demands when combined with the Defaulting Party's other sources. 23.2.4. Expulsion In cases of repeated Defaults by the Defaulting Party, the Board may expel the Defaulting Party from the Commission and require the Defaulting Party to sell their Capacity ownership in the Intake Facilities. The removed Defaulting Party may ask to be a wholesale finished water supply purchaser from either Water Treatment Plant. 23.2.5. Litigation Subject to Section 22 and 23, if the Event of Default is not cured or the Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 47 of 58 Board imposed Remedies are not complied with and the Dispute Resolution process has been waived or unsuccessful, any Party may file a lawsuit and seek available remedies under Oregon law. 23.3. Suspension of Legal Remedies Imposed by the Board A Default may be addressed using the Dispute Resolution process described in Section 25. If Dispute Resolution has been requested,then the Remedy provisions of Section 23 will be suspended until the Dispute Resolution process is exhausted. Notwithstanding the foregoing, if the Default is of a nature that it poses a health risk to any user of the Intake Facilities or could cause damage to the Intake Facilities. Water Treatment Plants, or the Real Property, then the Board or any aggrieved Party may seek immediate equitable relief without waiting for initiation or completion of any Dispute Resolution. 24. Default by the Managing Agency 24.1. Generally This Agreement obligates the Managing Agency to manage the business affairs of the Commission for the mutual benefit of all Parties to consistently deliver water from the Intake Facilities to their respective Water Treatment Plants. If the Managing Agency is also a Party and is alleged to be a Defaulting Party, a Supermajority of the remaining Board Members shall designate another Party to act as the facilitator for the Default. Based on the nature of the Default, the Board may also remove the Managing Agency from some or all Managing Agency duties pending Dispute Resolution, mediation, arbitration, or litigation, as the case may be. The following provisions shall apply to a Default by the Managing Agency, unless other Default provisions are contained in a separate Managing Agency contract, with the Managing Agency and are stated to control and supersede over these provisions. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 48 of 58 24.2. Notice of Default and Cure A written Notice of Default shall be delivered to the Managing Agency by the Board following a Supermajority vote of the remaining Members of the Board. The Managing Agency serves at the will of the Board. Therefore, the Notice may include a Notice of Termination of the Managing Agency, which termination may be immediate for acts or omissions such as gross negligence, malfeasance or dishonesty in financial practices, or at the end of a specified period of time set by the Board in the Notice. The Board must consider and provide a plan of transition if the Notice includes termination. If a Notice of Default with an opportunity to cure the Default is given, the Notice must specify the nature of the Default and provide a specified period in which to cure the Default or otherwise reasonably commence to cure the Default in a diligent manner. A reasonable cure period ("Cure Period") shall be deemed to be 30 days unless another time for cure is set by the Board and contained in the Notice of Default. The Notice of Default may also include a requirement by the Board for the Managing Agency to engage in the Dispute Resolution process. A copy of the Notice of Default shall be delivered to all Parties. If the Managing Agency is a Party and the Board does not elect to terminate the Managing Agency, the Board may vote to temporarily remove the Managing Agency from some or all of its duties pending a cure of the Default. 24.3. Event of Default The Managing Agency shall be deemed in Default of this Agreement if it fails to perform any obligation required to be performed by the Managing Agency under this Agreement or through a separate Managing Agency contract. An Event of Default shall be deemed to have occurred if the Managing Agency fails to cure the Default within the Cure Period designated in this Section 24.2, if any Cure Period Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 49 of 58 is allowed. If no Cure Period is given, then the Default shall be deemed to be an immediate Event of Default. 24.4. Remedies If the Managing Agency commits an Event of Default, the Commission may seek any remedy available to it, at law or in equity. Such remedies include but are not limited to money damages, including restitution; specific performance; injunctive relief; and termination of the Managing Agency's contract. The Board, at its sole discretion, may enter into the Dispute Resolution process described in Section 25 if requested by the Managing Agency. 25.Dispute Resolution This Agreement obligates the Parties to cooperate in the ownership and operation of the Intake Facilities for the mutual benefit of all Parties to consistently deliver water to their respective Water Treatment Plants. The Intake Facilities are the foundation of the other water system assets and Water Treatment Plants of the Parties. To that end,the Parties agree that each Party should bring forward issues regarding past performance or anticipated performance of obligations and duties at the earliest reasonable opportunity so that all Parties can proactively work toward solutions in an attempt to avoid a formal declaration of default. This Dispute Resolution process is provided to encourage informal resolution through negotiation among the Parties' staff, executives or elected officials before resorting to a formal process using mediation, arbitration, or litigation. 25.1. Notice of Dispute Except in the case of a Default, any dispute shall be submitted in writing to the Management Committee. The Management Committee has 30 days from the date of notice to meet with the affected Parties to resolve the dispute. If the Management Committee does not resolve the dispute within the 30 day period,it shall be referred to mediation. In the case of a Default, either the Defaulting Party or the Board may Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 50 of 58 demand Dispute Resolution at any time during the Default process or within 10 days following imposition of any of the Remedies by the Board or the court, as set forth above. If Dispute Resolution is not requested during that time period, it shall be deemed waived and any aggrieved Party may proceed to litigation. 25.2. Mediation A Party desiring mediation shall provide the other Parties with a written notice ("Request to Mediate"), which shall set forth the nature of the dispute. The Parties will thereafter cooperate in good faith to select the mediator within 14 days of either Party requesting mediation, and may adopt any procedural format that seems appropriate for the particular dispute. Mediation should be scheduled within 14 days of selection of the mediator, or as soon as possible, based on availability. In the event the Parties cannot agree on a mediator, the Parties will ask the Presiding Judge of Clackamas County Circuit Court to appoint a mediator. The mediator will then set the ground rules for the mediation. The Parties will share the mediation costs as agreed upon with the mediator. If a written settlement agreement is not reached by the Parties within 60 days from the date of the Request to Mediate, or such longer time frame as may be agreed upon, in writing, by the Parties, then the Parties may commence litigation. If the mediation fails the Parties may agree to binding arbitration. If all Parties do not agree to arbitrate, then any Party may seek legal relief through the Circuit Court of Clackamas County, or U.S. District Court if jurisdiction is available. 25.3. Arbitration If the Parties agree to enter into binding arbitration, selection of the arbitrator,time frame for arbitration, and ground rules for arbitration will be agreed upon at that time. Any arbitrator or arbitrators selected must have a minimum of 10 years' of municipal law experience, unless the Parties mutually agree, in writing, otherwise. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 51 of 58 25.4. Injunctive Relief and Specific Performance A Party may seek and obtain immediate equitable relief before or during the Dispute Resolution process and as described in Section 23.3. 25.5. Attorney Fees Each Party shall bear its own legal fees and expert witness fees and all other costs in any Dispute Resolution process, including litigation. 26. Dissolution The Parties may desire to dissolve the Commission. Dissolution of the Commission shall require an affirmative vote of each Party's governing body. Dissolution shall occur no later than five years from the date of the last affirmative vote to dissolve and no sooner than two years, unless the governing body of each Party agrees to a different deadline. If the Commission is not dissolved then any Party(ies) seeking dissolution may elect to terminate and withdraw as described in Section 19. If the Commission is dissolved, the Easement for the Intake Facilities in Exhibit 1 will be automatically terminated. 26.1. Plan of Dissolution The Managing Agency will develop a dissolution plan to wind up business affairs, to be reviewed and approved by the Management Committee before it is presented to each Party's respective governing body. The dissolution plan must provide for among other things: (1) the continued operation of the Intake Facilities while the dissolution plan is implemented; (2) an accounting of assets and liabilities; (3) provisions for the payment of debts and obligations,including assumption of future payment for ongoing debts and obligations along with appropriate indemnity provisions as the Parties mutually agree; (4) the creation of a reserve account for known, unforeseen, and contingent liabilities; (5) a plan for liquidation of the assets; and (6) a mechanism for distribution of asset proceeds and excess funds among the Parties in accordance with their ownership interest, following payment Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 52 of 58 of all liabilities and obligations related to the Intake Facilities. 26.2. Transfer of Capacity Ownership The dissolution plan may provide for transfers of Capacity ownership, for cash or other consideration, from a Party that seeks complete divestiture of ownership to a Party who plans to remain and withdraw water from the Willamette River at the Intake Facilities. The dissolution plan must provide for appropriate documents to vest proportionate ownership as tenants in common for owners that remain in joint ownership of the Intake Facilities. 26.3. Disputes Any dispute regarding dissolution, the dissolution plan, division of Capacity or transfer of Capacity shall be first subject to the Dispute Resolution process of Section 25 and, if not resolved in Dispute Resolution or mediation, then as determined by the Circuit Court of Clackamas County under ORS 190.020 (2). 27. General Provisions 27.1. Warranties and Representations Each Party hereto warrants and represents that it has the legal authority to enter into this Agreement. 27.2. Ordinance of the Governing Body Each Party to this Agreement hereby represents that it has undertaken or will undertake the necessary public procedures to approve an ordinance in accordance with ORS 190.085. The ordinance shall authorize the Party's representatives to the Board of the Commission to modify the Exhibits to this Agreement as provided in Section 27.6. The Parties further agree that they shall file with the Secretary of State, within 30 days after the Effective Date, the filings described in ORS 190.085(2). Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 53 of 58 27.3. Insurance Requirements The insurance requirements and limits necessary for the operations of the Intake Facilities are described in Exhibit 12 and shall be purchased and maintained at all times. The requirements will be reviewed by the Board annually, and modified when necessary per recommendations from the Managing Agency. 27.4. Other Agreements Each Party warrants that entry into this Agreement will not constitute a default under any other agreement or covenant the Party may be bound to. 27.5. Interpretation Unless a clear contrary intention appears: (a)reference to any person includes such person's successors and assigns but, if applicable, only if such successors and assigns are permitted by this Agreement, and reference to a person in a particular capacity excludes such person in any other capacity; (b) reference to any gender includes each other gender; (c) reference to any agreement (including this Agreement), document or instrument means such agreement, document or instrument as amended or modified and in effect from time to time in accordance with the terms thereof and, if applicable, the terms hereof; (d) reference to any Section, Schedule or Exhibit means such Section, Schedule or Exhibit to this Agreement, and references in any Section, Schedule, Exhibit or defmition to any clause means such clause of such Section, Schedule, Exhibit or definition; (e) "hereunder," "hereof," "hereto," "herein," and words of similar import are references to this Agreement as a whole and not to any particular Section or other provision hereof; (f) relative to the determination of any period of time, "from" means"from and including", "to"means "to but excluding," and "through"means "through and including"; (g)"including" (and with correlative meaning"include") Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 54 of 58 means including without limiting the generality of any description preceding such term; (h) reference to any law (including statutes and ordinances) means such law as amended,modified,codified or reenacted,in whole or in part, and in effect from time to time,including rules and regulations promulgated thereunder; and reference to a singular number or person may include the plural number or person, and the plural number or person the singular. 27.6. Exhibits The Parties agree that the Exhibits to this Agreement may be modified or amended by the Commission without other modification or amendment to this Agreement and without approval by the governing body of each Party. Upon execution of this Agreement, the Parties have agreed to include Exhibits 1 through 13, attached hereto and incorporated by reference. The purpose and intent of specific exhibits are set forth in other parts of this Agreement. Exhibits consisting of other agreements or contracts among other Parties to this Agreement, or with outside parties, may only be modified by consent of all of those named Parties/parties to those other agreements or contracts and not by the Commission without the consent of those other Parties/parties. 27.7. Existing Agreements Existing Agreements between some or all of the Parties that affect or are affected by the Intake Facilities that are the subject of this Agreement are identified in Exhibit 13. These related agreements are not superseded or modified by this Agreement. Nothing in this Agreement shall be construed to require any alteration or modification of any other Existing Agreement. Specifically, the duration of this Agreement does not alter or extend the term of the Ground Lease. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 55 of 58 27.8. Periodic Review Exhibits shall be reviewed at least annually by the Board. Exhibits must be updated by resolution of the Board when ownership percentages change, new or expanded Capacity is placed in service,a new Party joins,an existing Party withdraws,or one or more Party(ies) purchases or sells an interest in the Intake Facilities. 27.9. Severability Should any provision of this Agreement be rendered invalid by a court of competent jurisdiction or arbitrator with authority to render a provision invalid, it is agreed that every other part of the Agreement shall remain in full force and effect. 27.10. No Joint and Several Liability Each Party to this Agreement assumes its own rights and obligations and does not assume the rights and obligations of any other Party. 27.11. Counterparts This Agreement may be signed in one or more counterparts, and each counterpart shall be deemed to be an original instrument. 27.12. Amendments and Modifications Except as provided in Section 27.6 for Exhibits, any modification or amendment to this Agreement requires unanimous approval of the Board and an affirmative vote of the governing bodies of all Parties. The amended Agreement must be signed by all Parties upon approval. 27.13. Judicial Review and Attorney Fees This Agreement and its construction shall be governed by and construed in accordance with the laws of the State of Oregon without regard to principles of conflicts of law. Any claim, action, suit or proceeding between the Parties that arises from or relates to this Agreement shall be brought and conducted solely and Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 56 of 58 exclusively within the Circuit Court of Clackamas County for the State of Oregon. In any such claim, action, suit, or proceeding, the Parties shall bear their own fees and costs including attorney fees. 27.14. Third Parties Except as expressly provided otherwise in this Agreement, the provisions of this Agreement are for the exclusive benefit of the Parties hereto and not for the benefit of any other persons, as third-party beneficiaries or otherwise, and this Agreement shall not be deemed to have conferred any rights, express or implied, upon any person not a Party to this Agreement. 27.15. Non-Waiver Failure of any Party at any time to require performance of any provision of this Agreement shall not limit the Party's right to enforce the provision, nor shall any waiver of any breach of any provision be a waiver of any succeeding breach of the provision or a waiver of the provision itself or any other provisions. 27.16. Time of the Essence Time is of the essence of each and every term, covenant, and condition set forth in this Agreement. 27.17. Further Assurances Each Party agrees that it will reasonably consider cooperation in the execution of other documents and/or performance of other action as may be reasonably requested by another Party to more effectively consummate or achieve the purposes or subject matter of this Agreement. 27.18. Signing Authority Each person signing this Agreement on behalf of a Party hereby warrants actual authority to bind their respective Party. Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 57 of 58 TUALATIN VALLEY WATER CITY OF WILSONVILLE DISTRICT By: By: Tim Knapp,Mayor Richard Burke, President APPROVED AS TO FORM APPROVED AS TO FORM By: By: Clark Balfour,District Counsel Barbara Jacobson, City Attorney CITY OF SHERWOOD CITY OF HILLSBORO By: By: Lee Weislogel, Mayor Michael Brown, City Manager APPROVED AS TO FORM APPROVED AS TO FORM By: By: Josh Soper, City Attorney Christopher Crean, City Attorney CITY OF TIGARD CITY OF BEAVERTON By: By: John Cook, Mayor Dennis Doyle, Mayor APPROVED AS TO FORM APPROVED AS TO FORM By: By: Shelby Rihala,City Attorney Peter Livingston, City Attorney Willamette Intake Facilities Intergovernmental Agreement 01-08-2018 Page 58 of 58 CITY OF TIGARD, OREGON TIGARD CITY COUNCIL ORDINANCE NO. 18- AN ORDINANCE APPROVING THE WILLAME 1TE INTAKE FACILITIES INTER- GOVERNMENTAL AGREEMENT TO CREATE THE WILLAME ITh INTAKE FACILITIES COMMISSION,AN INTERGOVERNMENTAL ENTITY FORMED UNDER ORS CHAPTER 190, BETWEEN TUALATIN VALLEY WATER DISTRICT AND THE CITIES OF HILLSBORO, SHERWOOD,BEAVERTON,TIGARD,AND WILSONVILLE. WHEREAS,in 2000,Tualatin Valley Water District(District) and the City of Wilsonville (Wilsonville) entered into an Agreement Regarding the Water Treatment Plant Design, Construction, Operation and Property Ownership for the Willamette River Water Treatment Plant(WRWTP) located in Wilsonville;and WHEREAS, the WRWTP was constructed by TVWD and Wilsonville,and those parties owned the real property and assets in varying percentages until TVWD sold part of its interest in the WRWTP facility but not the land to the City of Sherwood (Sherwood) so that these three entities now own various interests; and WHEREAS, the District and the City of Hillsboro (Hillsboro) have entered into an agreement to design,construct,own,operate,maintain,repair and replace the Willamette Water Supply System(WWSS) which will consist of raw water transmission,pumps,water treatment plant,finished water pipelines and terminal storage to deliver water to their respective service boundaries,and it is anticipated that the City of Beaverton(Beaverton)will join the District and Hillsboro in the WWSS;and WHEREAS,the District,Wilsonville,Sherwood,Hillsboro,Beaverton and Tigard have agreed that the existing Willamette Intake Facilities (WIF),located at the WRWTP property, should be upgraded and expanded from current capacity of 120 million gallons per day to 150 million gallons per day and that the WIF should be owned,operated and managed for the use and benefit of the WRWTP and the planned WWSS Water Treatment Plant(WWSS WTP) by an intergovernmental entity formed under ORS 190.003 to 190.265;and WHEREAS, the District,Wilsonville,Sherwood,Hillsboro,Beaverton and Tigard have agreed to execute the Willamette Intake Facilities Intergovernmental Agreement(WIF IGA),effective April 1,2018, to form the Willamette Intake Facilities Commission(WIF Commission),an intergovernmental entity under the authorities cited above,vested with the powers and authorities as set forth in Exhibit A,attached hereto and incorporated by reference;and WHEREAS,Tigard City Council finds that it is in the best interest of the City to enter into the WIF IGA and to become a member of the WIF Commission;and WHEREAS,ORS 190.085 requires the City and the other parties to enact an ordinance approving the WIF IGA and creation of the WIF Commission. ORDINANCE No. 18- Page 1 NOW THEREFORE,THE CITY OF TIGARD ORDAINS AS FOLLOWS: SECTION 1: Pursuant to ORS 190.085,the Tigard City Council approves the Willamette Intake Facilities Intergovernmental Agreement and joins the Willamette Intake Facilities Commission with the following parties: the cities of Hillsboro,Beaverton,Sherwood,and Wilsonville and the Tualatin Valley Water District. The Willamette Intake Facilities Agreement is attached hereto as Exhibit A and incorporated by reference. SECTION 2: The effective date of the agreement is on or about April 1,2018. SECTION 3: The public purpose for which the WIF Commission is created is to use any authority vested in the WIF IGA to further the economy and efficiency of each party for the operation, maintenance, construction, repair and replacement and resource management of the Willamette Intake Facility as set forth in the WIF IGA among the parties or with others. SECTION 4: To carry out its public purposes, the WIF Commission shall have the following powers, duties and functions in addition to those specified in ORS 190.003 through 190.265: A. To provide operation,maintenance,construction,repair and replacement and water resource management of the Willamette Intake Facility as described in the WIF IGA for water intake and transmission to the WRWTP or the WWSS WTP; B. To issue debt pursuant to ORS 190.080(1)(a)and the terms of the WIF IGA; C. To otherwise manage the business affairs of the Willamette Intake Facilities as set forth in the WIF IGA; D. To retain such offers and employees as it deems necessary and to contract for the purchase of property and services; E. To perform the administration and accounting of all payments and receipts related to operation of the Willamette Intake Facility for the account of a party,parties or the WIF Commission; F. To adopt such bylaws,rules,regulations and policies as the parties deem necessary to further the purposes of the WIF IGA; G. To exercise all powers pursuant to the applicable acts,charters,or laws of the individual parties,which are necessary or desirable to economically and efficiently develop and operate the WIF Commission. SECTION 5: Not later than 30 days after the effective date of the agreement,the parties to the WIF IGA will file with the Secretary of State copies of their respective ordinances and all other required information. SECTION 6: This ordinance shall be effective 30 days after its passage by the council, signature by the mayor,and posting by the city recorder. PASSED: By vote of all council members present after being read by number and title only,this day of ,2018. ORDINANCE No. 18- Page 2 Carol A. Krager, City Recorder APPROVED: By Tigard City Council this day of ,2018. John L. Cook,Mayor Approved as to form: City Attorney Date ORDINANCE No. 18- Page 3 Exhibit 1-Intake Facilities Easement After recording, return to: City of Wilsonville Attn: Legal Department 29799 SW Town Center Loop East Wilsonville OR 97070 INTAKE FACILITIES EASEMENT KNOW ALL BY THESE PRESENTS, that the City of Wilsonville, a duly chartered home rule municipal government of the State of Oregon ("Grantor Wilsonville"), and Tualatin Valley Water District, a duly organized water supply district under Oregon Revised Statutes (ORS) Chapter 264 ("Grantor TVWD") (hereinafter collectively referred to as "Grantor"), as the legal owners of that certain real property described below ("Property"), for the consideration hereinafter stated, do hereby grant and convey unto the Willamette River Intake Facilities Commission, an ORS Chapter 190 entity of the State of Oregon (hereinafter referred to as "Grantee"), a permanent Intake Facilities Easement ("Easement"), effective the day of 2018 ("Effective Date"), in, under, across, and along the full width and length of that certain land owned by Grantor ("Easement Area") and legally described and depicted as follows: See Exhibit A, Easement legal description, and Exhibit B, drawing of Easement Area showing Intake Facilities, attached hereto and incorporated by reference as if fully set forth herein. The true and actual consideration paid for this Easement, stated in terms of dollars, is Zero Dollars, but consists of value given or promised, which is agreed by Grantor and Grantee to be whole and adequate consideration. TO HAVE AND TO HOLD the above-described Easement unto said Grantee for the benefit of the Grantee, in accordance with the conditions and covenants as follows: 1. Scope of Easement. Pursuant to the terms of the Willamette Intake Facilities Intergovernmental Agreement, dated , 2018 (the "IGA"), this Easement grants to Grantee the right, privilege, and authority to access, construct, inspect, operate, maintain, repair, replace, and remove the Intake Facilities. Grantor, upon request of Grantee, will authorize reasonable temporary work areas outside of the permanent easement area for a reasonable time period required for Grantee to perform construction, maintenance, repair, or replacement of the Intake Facilities. As used herein, Intake Facilities means the existing or upgraded Intake Facilities used to withdraw and transmit water from the authorized diversion point in the Willamette River to the agreed System Separation Point between the Willamette River Water Treatment Plant and the Willamette Water Supply System Water Treatment Plant. The System Separation Point means that point shown where the Intake Facilities terminate and water from the caisson of the Intake Facilities is separated by pumps into untreated water pipes conveying water to the two above-referenced Plants. There will be items beyond the System Separation Point that are separately owned and are Intake Facilities Easement Page 1 Exhibit 1 -Intake Facilities Easement not assets of Grantee but rather are some assets owned by Grantor and some assets owned by only certain of the Grantees, as depicted on Exhibit B. The Intake Facilities and the System Separation Point, as noted on Exhibit B are all Permanent Assets and can remain with the Easement Area. All of those assets are permitted and will remain within the Easement Area. Except those buildings or structures depicted on Exhibit B, and for existing structures or improvements already located within the Easement Area, including but not limited to the pedestrian bridge, no buildings or structures shall be constructed within the Easement Area that would materially impede access to Grantee's Intake Facilities. Grantor shall, however, continue to have full access to the Easement Area and use of the same as long as the use does not unreasonably interfere with the uses granted to Grantee herein. Any expansion of the Intake Facilities beyond those shown on Exhibit B will require written approval of Grantor and an amendment to this Easement. Attached hereto as Exhibit C is a copy of Pipeline Easement No. 22670-EA from the Division of State Lands (DSL) to Grantor City of Wilsonville for that area at or below the ordinary low water mark which allows for the current in-water facilities. As part of this Easement, Grantor Wilsonville allows Grantee to exercise Wilsonville's rights under this DSL Easement, provided Grantee complies with all provisions. Grantor and Grantee understand the DSL Easement may need to be amended,with such amendment subject to DSL approval, in order to accommodate the new Intake Facilities. Grantor Wilsonville will use good faith efforts to work with DSL to obtain any such amendment, if needed. 2. Definitions. Capitalized terms not defined herein are as defined in the IGA. 3. Security. Grantee acknowledges and agrees that the Easement Area is currently and must remain a secure area and that access to the Easement Area must be closely monitored by Grantor Wilsonville. Therefore, except in the case of an emergency, Grantee shall give Grantor Wilsonville at least a 24-hour notice (may be by email or telephone) that Grantee will be coming to the Easement Area. In all cases, Grantee must sign in at the Willamette River Water Treatment Plant administration building before entering the Easement Area. While on site, Grantee must follow the Willamette River Water Treatment Plant security protocol. The administration building is staffed 24 hours a day, seven days a week. If this staffing protocol should ever change, Grantee will be given another means of immediate access (after required notice) before any change is made. Grantee shall give as much notice as reasonably possible in the case of an emergency. If Grantee wishes to come on to the Easement Area for routine operations, maintenance, or inspection and has not given at least 24 hours' advance notice, Grantee may contact Grantor Wilsonville and ask permission to come onto the Easement Area with shorter notice. Grantor Wilsonville may deny any shorter request that would interfere or conflict with already planned operations of the Willamette River Water Treatment Plant. 4. AS IS CONDITION. Except for warranty of title, Grantor makes no other representations or warranties with regard to the condition or suitability of the Easement Area for Grantee's intended use. This disclaimer of any and all warranties, excepting warranty of title, includes, but is not limited to, the environmental condition of the Easement Area and adjacent lands. It is Grantee's sole responsibility to conduct environmental due diligence and remediation for the Easement Area and any required archeological studies, if applicable, prior to construction. If any environmental hazards are discovered within the Easement Area, Grantee will be solely responsible for clean-up and remediation unless Grantee can prove that a Hazardous Substance release was caused by Grantor after the Effective Date of this Easement. Grantor will not be responsible to Grantee for the clean-up or remediation of any pre-existing environmental hazards, releases, or contamination. Grantee shall also be responsible for any exacerbation by Grantee of Intake Facilities Easement Page 2 Exhibit 1 -Intake Facilities Easement any Hazardous Substance release that was caused by either Grantor after the Effective Date, but only to the extent of the exacerbation as long as Grantee had not been made aware of the condition caused by Grantor after the Effective Date and prior to the action that caused the exacerbation. Grantor's limited post-Effective Date responsibility for any Hazardous Substance condition within the Easement Area will apply only to the Grantor who actually caused the Hazardous Substance release after the Effective Date, and not to the other member of the collective Grantor(s). As used herein, "Hazardous Substances" include, but are not necessarily limited to, any substance, material, or product defined or designated as hazardous, toxic, radioactive, or dangerous, regulated wastes or substances, or any other similar term in or under any Environmental Laws as now apply or may apply in the future. 5. Damage and Restoration. Grantee, upon the initial expansion and construction of the Intake Facilities, and upon each and every occasion that the same be occupied for inspection, repair, replacement, addition to, or removal, shall restore the Easement Area and any improvements disturbed by Grantee, including but not limited to the pedestrian ramp, if any, to the same or better condition and repair, unless Grantor mutually agrees to some other proposed condition. Grantee shall be responsible to follow all City of Wilsonville public works and permitting standards during construction and shall be liable for all repair and restoration of any damage caused by Grantee's use of or operations within the Easement Area. Grantee shall also be liable to reimburse Grantor for any damage to Grantor's adjoining property caused by Grantee's construction or operations. Grantee shall have no obligation, however, to restore any building or structure placed within the Easement Area in violation of Paragraph 1. 6. Relocation. Grantor, or any one of them, may request relocation of the Easement Area and Intake Facilities impacted thereby, provided that such request for relocation is subject to written approval by Grantee, which approval shall not be unreasonably withheld or delayed. If requested by one Grantor, the other Grantor must also approve the requested relocation, in writing. If approved,the cost of relocation shall be at the requesting Grantor's sole expense. 7. Duration of Easement. This Easement begins on the Effective Date and will remain in place for as long as the Intake Facilities are used to transmit water to Grantee's water treatment plants for public consumption. Nothing contained herein, however, including duration, shall be construed in any way to alter or extend the term of the Ground Lease (wherein Grantor Wilsonville is the lessor) for the water pipeline currently used to convey water from the Intake Facilities to the Willamette Water Supply System Water Treatment Plant. If the Ground Lease is terminated, it will be incumbent upon Grantee to find another route to move the water from the Intake Facilities to its destination. 8. Abandonment. If the Intake Facilities are not used for a period of two years by Grantee, this Easement shall be deemed abandoned unless such lack of use is due to damage, destruction, reconstruction, or another event that temporarily prevents use by Grantee, and Grantee has made Grantor aware of the interruption in use and is exercising good faith to restore use. Notwithstanding the foregoing, if the Easement is not used for a period of seven years or longer, it will be deemed abandoned and this Easement will terminate. A delay in completion of construction of the Willamette Water Supply System Water Treatment Plant will not be considered an abandonment if longer than two years, as long as the construction is ongoing. Intake Facilities Easement Page 3 Exhibit 1 -Intake Facilities Easement 9. Insurance. Grantee will maintain and abide by the insurance requirements set forth in the IGA and will name Grantor as additional insureds with respect to this Easement. In addition, during construction activities and any time Hazardous Substances are being used within the Easement Area, other than in small quantities as generally needed for landscaping or as cleaning supplies, Grantee or Grantee's contractor shall carry full environmental coverage, including sudden and accidental and gradual release pollution liability coverage that will cover, among other things, environmental damage, any spillage of chemicals, fuels, oils, lubricants, de-icing, anti-freeze, or other hazardous materials, or disturbance of any Hazardous Substances during the performance of any work on the pipeline and/or other activities in the Easement Area or as a result of any pipe rupture, leakage, or other failure, written on an "occurrence" form policy. Grantee will be fully responsible for the cost of any clean-up of any released materials or disturbance, in accordance with Oregon Department of Environmental Quality ("DEQ") and Federal Environmental Protection Agency ("EPA") clean-up requirements. The amount of coverage will be agreed by Grantor and Grantee to be reasonable given the type of construction activity. Whatever the coverage might be, however, will not limit Grantee's liability or responsibility for any environmental damage claim or Hazardous Substances release. If said insurance is carried by Grantee's contractor, in lieu of Grantee, then Grantee must ensure that Grantor is named as an additional insured on the pollution policy in accordance with all requirements for naming Grantor as an additional insured. Nothing contained herein, however, shall be construed as a limitation on liability. Grantor shall maintain a direct right of action against Grantee and shall not be required to first seek relief through the insurance carrier or general contractor. 10. Grantee's General Indemnity. Grantee agrees to defend (using legal counsel reasonably acceptable to Grantor, taking into account insurance defense requirements), indemnify, reimburse, and hold harmless Grantor from and against any and all claims, demands, damages to person or property, including Grantor's own property, causes of action for injury or death, fines, penalties, expenses, costs, fees (including, but not limited to, attorney, accountant,paralegal, expert, and escrow fees), liabilities, losses, proceedings, and/or suits that may be imposed on or claimed against Grantor, in whole or in part, directly or indirectly, arising from or in any way connected with: (a)any act, omission, or negligence by Grantee or its partners, officers, directors, members, managers, agents, employees, invitees, contractors, subcontractors, and suppliers; (b)any use, occupation, management, or control of the Easement Area by Grantee, including, but not limited to, the sudden or accidental release of raw water that causes damage to person or property; (c)any condition created in or about the Easement Area by Grantee, including any accident, injury, or damage occurring on or about the Easement Area during the term of this Easement, unless caused by Grantor or a third party unrelated to Grantee; (d) any breach, violation, or nonperformance of any of Grantee's obligations under this Easement; or (e) any damage caused on or to the Easement Area during Grantee's use or occupancy thereof, unless caused by Grantor or a third party unrelated to Grantee. As used throughout this Easement, "Grantee" includes all of Grantee's partners, officers, directors, members, managers, agents, employees, invitees, contractors, consultants, and suppliers. This indemnity shall apply to any claim, however caused, or regardless of the legal grounds and basis, in which Grantor is named. 11. Grantee's Environmental Indemnity. Grantee will be solely responsible for and agrees to defend (using legal counsel reasonably acceptable to Grantor, taking into account insurance defense requirements), indemnify, and hold harmless Grantor from and against all environmental costs claimed against or assessed against Grantor arising, in whole or in part, from acts or omissions of Grantee (including Grantee's own employees, agents, contractors, or suppliers) Intake Facilities Easement Page 4 Exhibit 1 -Intake Facilities Easement on or about the Easement Area. Grantee will be responsible to promptly and fully address and remediate any claims for natural resources damages, as directed by the agency assessing such damage claim. Notwithstanding the foregoing, Grantee will not be responsible for, and does not indemnify Grantor for, any actions of Grantor, including Grantor's own employees, agents, contractors, suppliers, or any other tenant of Grantor, that cause environmental damage or a violation of any environmental law within the Easement Area occurring after the Effective Date of this Easement. 12. Condemnation. If the Easement Area or any interest therein is taken as a result of the exercise of the right of eminent domain or under threat thereof(a "Taking"), this Easement will terminate with regard to the portion that is taken by condemnation authority. If Grantee determines that the portion of the Easement Area taken does not feasibly permit the continuation of the operation of the Intake Facilities,this Easement will terminate. The termination will be effective as of the date of the Taking. Any condemnation award relating to the land will be the property of Grantor. Grantee will not be entitled to any proceeds of any such real property award, except Grantee will be entitled to any compensation attributed by the condemning authority to Grantee's ownership interest in the Intake Facilities and relocation expense and loss or interruption of business. 13. Legal Effect and Assignment. This Easement runs with the land and shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns. 14. Defaults and Disputes. Any legal action based on an alleged violation of this Easement will be brought in Clackamas County Circuit Court in the State of Oregon, and all remedies available at law or in equity will be available to the aggrieved Grantor(s) or Grantee. Except in those cases where either Grantor(s) or Grantee determines that equitable relief, including injunctive relief or specific performance, is needed, Grantor and Grantee agree to follow the mediation provision set forth in the IGA. In the case of equitable relief, either Grantor or Grantee may apply for immediate relief from the Court. 15. Legal Action/Attorney Fees. If a suit, action, or other proceeding of any nature whatsoever (including any proceeding under the U.S. Bankruptcy Code) is instituted in connection with any controversy arising out of this Easement or to interpret or enforce any rights or obligations hereunder,the prevailing party shall be entitled to recover attorney,paralegal, accountant, and other expert fees and all other fees, costs, and expenses actually incurred and reasonably necessary in connection therewith, as determined by the court or body at trial or on any appeal or review, in addition to all other amounts provided by law. Payment of all such fees shall also apply to any administrative proceeding, trial, and/or any appeal or petition for review. This attorney fee provision will not apply to mediation proceedings conducted pursuant to the IGA. 16. Governing Law. This Easement will be governed in accordance with the laws of the State of Oregon. 17. Nonwaiver. Any failure to enforce any provision of this Easement will not be deemed a waiver of the right to enforce that provision or any other provision of this Easement. Intake Facilities Easement Page 5 Exhibit 1 -Intake Facilities Easement 18. Severability. If any provision of this Easement is found to be void or unenforceable, it is the intent of the parties that the rest of the Easement shall remain in full force and effect, to the greatest extent allowed by law. 19. Modification. This Easement may not be modified unless signed by Grantor and Grantee and the modification is recorded. 20. Time of the Essence. Time is of the essence in performance of this Easement. 21. Recording. The fully executed original of this Easement shall be duly recorded in the Deed Records of Clackamas County, Oregon. 22. Notices. Any notice required or permitted under this Easement shall be in writing and shall be given when actually delivered in person or 48 hours after having been deposited in the United States mail as certified or registered mail, addressed to the addresses set forth below, or to such other address as one party may indicate by written notice to the other party. To Grantor Wilsonville: City of Wilsonville Attn: Finance Director 29799 SW Town Center Loop East Wilsonville, OR 97070 with copy to: Wilsonville City Attorney 29799 SW Town Center Loop East Wilsonville, OR 97070 To Grantor TVWD: Tualatin Valley Water District Attn: Chief Executive Officer 1850 SW 170th Avenue Beaverton, OR 97003 with copy to: District Counsel 1850 SW 170th Avenue Beaverton, OR 97003 To Grantee: Willamette River Intake Facilities Commission Attn: Managing Agency 1850 SW 170th Avenue Beaverton, OR 97003 [Signatures on following pages] Intake Facilities Easement Page 6 Exhibit 1 -Intake Facilities Easement 23. Authority. The individuals executing this Easement on behalf of Grantor and Grantee each represent and warrant that he/she has the full power and authority to do so on behalf of the respective party and to bind said party to the terms of this Easement. IN WITNESS WHEREOF, the undersigned have executed this Easement effective as of the date first above written. GRANTOR WILSONVILLE: CITY OF WILSONVILLE APPROVED AS TO LEGAL FORM: By: Bryan Cosgrove . Barbara A. Jacobson, City Attorney As Its: City Manager STATE OF OREGON ) ) ss. County of Clackamas ) This instrument was acknowledged before me on , 2018, by Bryan Cosgrove, who personally appeared before me,was identified by satisfactory evidence, and acknowledged that he executed the instrument in his authorized capacity as the City Manager of the City of Wilsonville, a municipal corporation of the State of Oregon,to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Notary Public—State of Oregon [Signatures continued on following pages] Intake Facilities Easement Page 7 Exhibit 1 -Intake Facilities Easement GRANTOR TVWD: TUALATIN VALLEY WATER DISTRICT APPROVED AS TO LEGAL FORM: By: Mark Knudson,P.E. Clark Balfour, Counsel As Its: Chief Executive Officer STATE OF OREGON ) ) ss. County of Washington ) This instrument was acknowledged before me on , 2018, by Mark Knudson, P.E., who personally appeared before me, was identified by satisfactory evidence, and acknowledged that he executed the instrument in his authorized capacity as the Chief Executive Officer of Tualatin Valley Water District, a water supply district organized under ORS Chapter 264, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Notary Public—State of Oregon [Signatures continued on following pages] Intake Facilities Easement Page 8 Exhibit 1 -Intake Facilities Easement ACCEPTED BY: GRANTEE: TUALATIN VALLEY WATER DISTRICT By: Richard Schmidt As Its: Board President STATE OF OREGON ) ) ss. County of Washington ) This instrument was acknowledged before me on , 2018, by Richard Schmidt, who personally appeared before me, was identified by satisfactory evidence, and acknowledged that he executed the instrument in his authorized capacity as the Board President of the Tualatin Valley Water District, a water supply district organized under ORS Chapter 264, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Notary Public—State of Oregon APPROVED AS TO FORM: Clark Balfour, Counsel [Signatures continued on following pages] Intake Facilities Easement Page 9 Exhibit 1 -Intake Facilities Easement ACCEPTED BY: GRANTEE: CITY OF BEAVERTON By: Dennis Doyle As Its: Mayor STATE OF OREGON ) ) ss. County of Washington ) This instrument was acknowledged before me on , 2018, by Dennis Doyle, who personally appeared before me, was identified by satisfactory evidence, and acknowledged that he executed the instrument in his authorized capacity as the Mayor of the City of Beaverton,to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Notary Public—State of Oregon APPROVED AS TO FORM: Peter Livingston, City Attorney [Signatures continued on following pages] Intake Facilities Easement Page 10 Exhibit 1 -Intake Facilities Easement ACCEPTED BY: GRANTEE: CITY OF HILLSBORO By: Michael Brown As Its: City Manager STATE OF OREGON ) ) ss. County of Washington ) This instrument was acknowledged before me on , 2018, by Michael Bropwn, who personally appeared before me, was identified by satisfactory evidence, and acknowledged that he executed the instrument in his authorized capacity as the City Manager of the City of Hillsboro, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Notary Public—State of Oregon APPROVED AS TO FORM: Christopher Crean, City Attorney [Signatures continued on following pages] Intake Facilities Easement Page 11 Exhibit 1 -Willamette Intake Facilities Easement ACCEPTED BY: GRANTEE: CITY OF SHERWOOD By: Lee Weislogel As Its: Mayor STATE OF OREGON ) ) ss. County of Washington ) This instrument was acknowledged before me on , 2018, by Krisanna Clark, who personally appeared before me, was identified by satisfactory evidence, and acknowledged that she executed the instrument in her authorized capacity as the Mayor of the City of Sherwood, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Notary Public— State of Oregon APPROVED AS TO FORM: Josh Soper, City Attorney [Signatures continued on following pages] Intake Facilities Easement Page 12 Exhibit 1 -Intake Facilities Easement ACCEPTED BY: GRANTEE: CITY OF TIGARD By: John Cook As Its: Mayor STATE OF OREGON ) ) ss. County of Washington ) This instrument was acknowledged before me on , 2018, by John Cook, who personally appeared before me, was identified by satisfactory evidence, and acknowledged that he executed the instrument in his authorized capacity as the Mayor of the City of Tigard, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Notary Public—State of Oregon APPROVED AS TO FORM: Shelby Rihala, City Attorney [Signatures continued on following page] Intake Facilities Easement Page 13 Exhibit 1 -Intake Facilities Easement ACCEPTED BY: GRANTEE: CITY OF WILSONVILLE By: Tim Knapp As Its: Mayor STATE OF OREGON ) ) ss. County of Clackamas ) This instrument was acknowledged before me on , 2018, by Tim Knapp, who personally appeared before me, was identified by satisfactory evidence, and acknowledged that he executed the instrument in his authorized capacity as the Mayor of the City of Wilsonville, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Notary Public—State of Oregon APPROVED AS TO FORM: Barbara A. Jacobson, City Attorney APPROVED AS TO LEGAL DESCRIPTION: Nancy J.T. Kraushaar, P.E., City Engineer City of Wilsonville, Oregon 1:\dir\wr wtp\wgg wwsp\doc\esmt water pipeline—wlsv-tvwd(bj^)11.0.dor Intake Facilities Easement Page 14 Exhibit 1 -Intake Facilities Easement EXHIBIT A PLACEH OLDER FOR LEGAL DESCRIPTION To be completed at a later date EXHIBIT A EXHIBIT B , _------- N ,:.... AIR RECEIVER TANK _ - r--CONCEPTUAL SEISMIC 10' I DIAMETER DRILLED SHAFT CONCEPTUAL (Typ) SEISMIC 4'DIAMETER ! TANGENT PILE WALL ( I - i----1`0 I P 1 ( 5"0 0 ---'-1 I - _ 1 J 1 .rrry 7.-pQQ� - 40 1 s•-o. .\ 1 1 5-0 INTAKE FISH SCREEN m I kW IMPROVEMENTS I 4101/1— g EXISTING RAW WATER m L—- INTAKE PIPE CONCEPTUAL 5'-0" DSL ORDINARY SEISMIC JET ✓ HIGH WATER LINE i GROUT BLOCK EL 74'(VERTICAL EXISTING CAISSON , DATUM NAVD 88) --- SECTION 10 ORDINARY HIGH WATER LINE EL 78.7 EXISTING RAW WATER ,-de •,,, .. (VERTICAL DATUM:NAVD 88) PUMP STATION(TO BE MODIFIED) EXHIBIT B -- EASEMENT WILLAMETTE INTAKE EXISTING INFRASTRUCTURE NOTES: FACILITIES EASEMENT 1)EXHIBIT B IS A GENERAL LAYOUT DESCRIPTION BASED ON PRELIMINARY DESIGN CONCEPTS,BUT IS SUBJECT TO FINAL JANUARY 2018 r NEW WLLAMETTE INTAKE APPROVAL AT THE TIME EXHIBIT A IS GENERATED AND APPROVED. WI i FACILITIES INFRASTRUCTURE 2)THE SYSTEM SEPARATION POINT IS LOCATED AT THE POINT THIN SYSTEM SEPARATION AREA THAT THE RAW WATER ENTERS THE RAW WATER PUMPS. 3)THERE ARE ITEMS SUCH AS PUMPS AND ASSOCIATED MECHANICAL AND ELECTRICAL EQUIPMENT THAT ARE LOCATED scale: ... SYSTEM SEPARATION AREA WITHIN THE SYSTEM SEPARATION AREA THAT ARE NOT PART OF THE WILLAMETTE INTAKE FACILITIES EASEMENT. I 50' Exhibit 1 -intake Facilities Easement STATE OF OREGON Division of State Lands PIPELINE EASEMENT NO. 22670-EA The STATE OF OREGON, by and through its Division of State Lands, GRANTOR, for and in consideration of Two Hundred and Fifty Dollars and no cent ($250.00), hereby grants to City of Wilsonville, GRANTEE, an easement and right to construct, maintain, operate and replace a water intake structure and pipeline in, over, upon, and across the State-owned submerged and submersible land of the Willamette River, in Clackamas County, Oregon, described as follows: That portion of the following described land being below the Ordinary Low Water line as defined by elevation 55.0 feet above mean sea level, NGVD 1929, and being described as follows: A strip of land, variable in width located within the Southwest one-quarter of Section 23, Township 3 South, Range 1 West, Willamette Meridian, City of Wilsonviille, Clackamas County, Oregon. The centerline of said strip being described as commencing at the Northwest corner of said Section 23, Township 3 South, Range 1 West, Willamette Meridian, from which the North one-quarter corner of said Section 23 bears South 88°24'47" East, a distance of 2631.38 feet; thence South 07°32'58" East, a distance of 3081.79 feet to the TRUE POINT OF BEGINNING; thence South 03°04'44" East, a distance of 230 feet more or less to the said Ordinary Low Water line; thence continuing South 03°04'44" East, a distance of 104.20 feet to the terminus of said centerline. The width of said strip East of said centerline being 12 feet measured at right angles to said centerline from the point of beginning to its terminus. The width of said strip West of said centerline being 12 feet measured at right angles to said centerline from the point of beginning to a point 28 feet from its terminus; varying in width by straight line from 12 feet at 28 feet from the terminus to 17 feet at 14 feet from its terminus; varying in width by straight line from 17 feet at 14 feet from its terminus to 12 feet at the terminus. Said strip of land encompassing 2,571 square feet or 0.06 acres, more or less, and as shown on the attached Exhibit "A". STATE TO CITY OF WILSONVILLE Willamette River Page 1 of 3 Exhibit 1 -Intake Facilities Easement TO HAVE AND TO HOLD the same unto GRANTEE for 40 years, subject to the following conditions: 1. Construction in navigable waters shall conform to standards and specifications set by the U.S. Army Corps of Engineers or the U.S. Coast Guard for this Project. 2. The bed and banks of the waterway shall be restored to a condition acceptable to the GRANTOR as soon as construction or maintenance is completed. 3. Any blasting which may be necessary in the construction of the pipeline shall be performed according to the laws of the State. 4. GRANTOR reserves the right to lease or otherwise utilize the State-owned lands within the granted area hereinabove described in a manner and for uses that will not be incompatible with the primary use for which this easement is granted. 5. GRANTOR shall have the right to stop operation of the pipeline for noncompliance with the conditions of this easement or any lawful requirement by a regulatory agency of this State. 6. GRANTEE agrees to defend and hold GRANTOR harmless from any and all claims suffered or alleged to be suffered on the promises. Further, GRANTEE shall be responsible for the payment of any fines or penalties charged against the premises as a result of GRANTEE's action in not complying with laws or regulations affecting the premises. 7. If the facility for which this easement is granted is not used for a period of five (5) consecutive years, this easement may be terminated by written notice from GRANTOR to GRANTEE at its last known address. Upon termination, GRANTEE will have 90 days to remove the pipeline and appurtenances from the State-owned lands. 8. Nothing in this document may be construed as permission, except during construction or maintenance periods, to GRANTEE to interfere with navigation or reduce the public's rights to the free and unimpeded use of the navigable waters of the State of Oregon within the boundaries of this easement; provided, however, that to the extent necessary to facilitate construction and maintenance of these facilities, GRANTEE mat so interfere, but shall keep such interference to an absolute minimum. 9. GRANTEE shall pay all assessments that may be legally charged on public lands which are levied against the property subject to this easement, whether or not such assessments have been levied against the leasehold or STATE by the assessing agency. 10. GRANTEE shall use the property subject to this easement only in a manner, or for such purposes, that assure fair and nondiscriminatory treatment or all persons STATE TO CITY OF WILSONVILLE Willamette River Page 2 of 3 Exhibit 1 -Intake Facilities Easement without respect to race, creed, color, religion, handicap, disability, age, gender or national origin. This easement does not convey an estate in fee simple of the lands used for a right- of-way. This grant is for an easement only, and title remains in the State of Oregon. W TNESS the seal of the Division of State Lands affixed this L3 day of , 20 Od , 1 , ;ttr} r,)j%° f +Y'\ f ,. 'y 1 t ., STATE OF OREGON, r g// J. Pur• p � by and through its Division of State Lands. ,' \- 6/ 41/ ) 4, 51.---- Ste he ' STATE OF Oregon ) ) ss County of Marion ) The foregoing instrument was acknowledged before me this � day of , 2000, by Stephen J. Purchase, the Assistant Director (title) of the Division of S e Lands. A 1 16; SI.nature My Commission Expires 9/j . , 200 3 J:WtachmanlAwasl AStEA Easamantst22670-EAdoc OFFICIAL SEAL BETH SIAM • l NOTARY Pt RUC-OAEQON COMMISS ON NO.827026 MY COMMISSIQh CXPIRES SEPTA . '.!2,.. STATE TO CITY OF WILSONVILLE Willamette River Page 3 of 3 EXHIBIT l Exhibi 1 1� s ,. DESCRIPTION ION Water Intake Easement SW Pi,Section 23, Township 3 South,Range 1 West, Willamette liferidiaa, City of Wilsonville, Clackamas County, Oregon SECTION 0 CORNER 7 988^2441"E 14 c-,—;,\x... 761695019 15_44_. Jr 761429942 263158' 2? Y= 60477783 22 Y. 604660.52 OM-QUARTER `" CORNER a it h EA . za 6 70 _ Prepared for. POINT hi The CITY' of WILSONV.ZLLE TRUEOF BEGINNW 0 a= 7614704.71 Y= 601796 46 - * j Scale:1"-SO' 1. I'' BEARINGS ARE BASED ON OREGON ARRA ABOVE 0 - COORDINATE SYSTE NORTB ZONE FIRVATION 55 FEET !„- PRIVATE SURVEY NUMBER 25005 3 'i' CLACSAMAS COUNTY SURVEY RECORDS I11 - 1,, • I. ORDINARY LOW WATER LINE AT ELEVATION 55 FEET ABOVE C MEAN SEA LEVEL,NGVD 1929 1 111 i" 11r= 7614717.06I;1 Ys 601566:78 Qf• ;1 t Prepared byDEIL AS & ASSOCIATES, INC.R VER SUITE 300 -A.G.C.CENTER i,1, AREA COVERED 9450 S.W.COMMERCE CIRCLE I o BY EASEMENT WILSONVILLE, OREGON 97070 PHONE:(503) 682-2450 I;1 FAD(503)682-0018 CENTERLINE r TERMINUS 't eilry•1f I= 7614722.66 12' 0 ' Y= 60148L73 Exhibit 2 Willamette Intake Facilities Preliminary Design Drawings and Layouts Willamette Intake Facilities IGA 01-08-2018 Exhibit 2 Page 1 New, Existing, and Modified WIF Project Components WWSS Electrical Improvements WRWTP Pumps Electrical, SCADA, and l&C Equipment LEGEND Burst System I I Willamette Intake Facilities (WIF) i i Willamette Water Supply System (WWSS) �—Existing Grade [ 1 Willamette River Water Treatment Plant (WRWTP) iilwAir New Hi .__' Existing Modified Existing Pump Seismic _ Station Improvements Intak- --....zotile Screens Building ..._. .. ___, 76"Intake Pipe Intake Screen Protection Caisson- WWSS Pumps and Revised Mechanical Equipment Intake Bollards The System Separation Point is located where the raw water enters the raw water pumps. 2 i4 1 il't ii I N k k ,r1.= lrtUtL>.•DI. 0t�w1i10ll • wAC i1373'......"."."..--41....k...q!,4A: , ( F �� tai i ��,a\�, ,a��1 -.il*...rarailaii ..,as•, ..� 11111 111(!itti!rilil:t''"— ": !!,r:4-11!t12. ,‘„, " it1..........)ii _►�frG�ij ,,.>,., 0 >M INTAKE '_- Ll, `P `� \ 7 �� 01111F. 1._leur 4 WC,fad 0 IIg •.LB" ,(�j ._�11 / \ •_ �� Y.'`. — ce..`� INTAKE PIPE PLAN — r•tr 1111. $1111ill 1111111111 MIMI .Io f • t*'p.y a nx Qc n L - `ftp - _ ao mar..-.._.... r L_ SECTION f B go vigrr' iCTIO .W � bTP.4 JONI: — 4iso§ DETAIL ` 1 f cm - . 40 % to .. i '''.7- I ----a-or."... x OON to } __ Re n - —r — RECORD DRAWING I 1 1 1 I I I 1 -i r 4 1 i 1 1 ten now..eat,004 Iner PINY. pawed,s in .A•on; n N..•n•. 4.N FM VA, .+mmiliaaf etc h n I.oredinor ono d oat apo NMen. 1011,bee,Or 1.10a1.0x. sTatnl ION A .. J n a. u e. .r.w Mcs.....aa .rt as o Vera* 31•.Pb _ s..e ...a.. ra..cE`" a.rnaF CGit►y��of�/� ���1 _ a,.or.n.wn.c s.m „y NOM ,� a nnma Zlmerc'RS- ® TIiL�7V LI.Y{/ PIPELINE PLAN D SECTION INTAKE=KEENE NW C�8 �MN n... ram uam.a wn Ts aceia -rtmc --mr Part land. Orogen in OREGON 3 Exhibit 3 Willamette Intake Facilities Capacity Ownership Allocations Description: Willamette Intake Facilities Capacity Ownership Entity Capacity(mgd) (1) Percent Wilsonville 25.0 16.67% Tualatin Valley Water District 59.1 39.40% Sherwood (2) 9.7 6.47% Tigard(3) 15.0 10.00% Hillsboro (3) 36.2 24.13% Beaverton(3) 5.0 3.33% Total 150.00 100.00% (1) Estimated capacity which will be evaluated through additional physical hydraulic modeling. (2) Includes existing ownership interest with allocation of increased intake capacity to 150 mgd and estimated capacity to be purchased from TVWD. (3) Estimated capacity to be purchased by each entity from TVWD. Willamette Intake Facilities—Asset Values at Original (2002) Cost of Construction* Project Element Wilsonville TVWD Sherwood Total Screening $ 207,147 $ 466,082 $ 51,787 $ 725,016 Intake Pipe $ 228,029 $ 1,083,139 $ 57,007 $ 1,368,175 Wetwell $ 364,847 $ 1,733,021 $ 91,212 $ 2,189,079 Pump Station Building $ 233,834 $ 1,110,709 $ 58,458 $ 1,403,001 Total $ 1,033,857 $ 4,392,950 $ 258,464 $ 5,685,271 *Notes: (1) Original cost shares based on 2002 original construction costs and do not include allocation of program management costs. (2) Pumps, Electrical Wire &Conduit, Electrical Equipment and the Raw Water Pipeline from the caisson to the Willamette River Water Treatment Plant were included as part of the original cost of construction in 2002, but are not included here since those assets are not included in the Willamette Intake Facilities. Methodology used to establish buy-in costs for each Party: Willamette Intake Facilities IGA 01-08-2018 Exhibit 3 Page 1 1. TVWD& Wilsonville identified TVWD's share of Original Direct Cost(2002) for each asset included in the purchase and sale 2. For each asset, added TVWD's share of Program Costs from original Wilsonville-TVWD construction(2002)to Original Direct Cost to establish TVWD Original Cost 3. Subtracted depreciation from TVWD Original Cost to establish TVWD Book Value 4. Added TVWD Cost of Capital(from 2002 to 2016 at 4%per year)to TVWD Book Value to establish TVWD Asset Offer Price 5. Added one-time Administrative Cost(3%of Asset Offer Price)to TVWD Asset Offer Price to establish Buy-in Offer Price 6. Calculated cost per MGD of Buy-in Offer Price based on TVWD available capacity of 59.7 MGD to establish Buy-in Offer Unit Price 7. For each asset being purchased by each Party,multiplied the Buy-in Unit Price times the capacity being purchased by the party to establish Buy-in Offer Price by Party by asset 8. For each party,totaled the Party's Buy-in Offer Price for all assets being purchased Resulting Capacity and Cost of Purchase for WIF Assets Acquired from TVWD* Acquired Capacity(MGD)from TVWD by Party by Asset Project Element Wilsonville TVWD Sherwood I Tigard Tualatin I Hillsboro I Beaverton I Total Screening 0 0 0 0 0 0 0 0 Intake Pipe 0 0 3.45 15 0 36.2 5 59.65 Wetwell 0 0 3.45 15 0 36.2 5 59.65 Pump Station Building 0 0 3.45 15 0 36.2 5 59.65 Cost of Purchase($)from TVWD by Party by Asset Project Element Wilsonville I TVWD Sherwood Tigard I Tualatin Hillsboro I Beaverton I Total 'Screening $ - $ - $ - $ - $ - $ - $ - $ - Intake Pipe $ - $ - $ 50,462 $ 219,399 $ - $ 529,482 $ 73,133 $ 872,476 Wetwell $ - $ - $ 80,739 $ 351,038 $ - $ 847,171 $ 117,013 $ 1,395,961 Pump Station Building $ - $ - $ 41,355 $ 179,802 $ - $ 433,923 $ 59,934 $ 715,014 Total $ - $ - $ 172,555 $ 750,239 $ - $ 1,810,577 $ 250,080 $ 2,983,451 *Notes: 1. Raw water Pumps, Electrical Wire & Conduit, Electrical Equipment, and Raw Water Pipeline are not WIF assets and transfers of Raw Water Pipeline capacity are covered under separate agreements. 2. Wilsonville acquired 5 MGD of capacity in existing Raw Water Pipeline to the WRWTP from TVWD under separate agreement. 3. Sherwood acquired 4.7 MGD of capacity in existing Raw Water Pipeline to the WRWTP from TVWD under a separate agreement. 4. Tigard will not acquire capacity in the existing Raw Water Pipeline to the WRWTP or the future WWSS at this time. Tigard will conduct planning in the future to determine if Tigard will use capacity from the WWSS system or from the WRWTP Willamette Intake Facilities IGA 01-08-2018 Exhibit 3 Page 2 system,in which case Tigard will need to obtain Raw Water Pipeline capacity from TVWD and/or capacity in the WWSS. Willamette Intake Facilities Seismic and Facilities Improvements (1) Location Year Cost Wilsonville Tualatin Valley Water District Sherwood Tigard Hillsboro Beaverton Total: (1)To be updated after project completion with actual design and construction costs. Willamette Intake Facilities IGA 01-08-2018 Exhibit 3 Page 3 Exhibit 4 Real Property Description: The Real Property currently owned by Wilsonville and TVWD upon which the Willamette Intake Facilities and appurtenances are located are described in Attachment 1, Real Property Legal Description and Map, and Attachment 2, Special Warranty Deed. • Willamette Intake Facilities IGA 01-08-2018 Exhibit 4 Page 1 • Exhibt 4 Attachment 1 • Exhibit A Order No: 216629 • LEGAL DESCRIPTION PARCEL I: Being a part of the R. V. Short Donation Land Claim in Township 3 South, Range 1 West, Willamette Meridian, in the County of Clackamas and State of Oregon, bounded and described as follows, to-wit: Beginning at a point on the line between Sections 22 and 23, said township and range, 792.23 feet South 0°03' East of the Northwest corner of said Section 23; running thence South 0°03' East on said section line 604.99 feet to the Southwest corner of M.A. Holbrook Tract as recorded in Book 159, Page 546, Records of Deed for Clackamas County, Oregon; thence North 89°50' East 1239.0 feet along the South boundary of the ' said Holbrook Tract to the East line of the above mentioned Short DLC; thence North • 0°17' West along the East boundary of the said Short DLC 545.7 feet to a point; thence North 87°25' West 1237.9 feet to the place of beginning. EXCEPT the West 20 feet thereof conveyed for private roadway. AND .FURTHER EXCEPTING THEREFROM that portion included in Quit Claim Deed to Joe Bernert Towing Co., Inc. recorded December 29, 1987 as Recorder's Fee No. 87057703. PARCEL II: A tract of land in a portion of the Robert V. Short DLC No.46 located in the Northwest and Southwest one-quarters of Section 23, Township 3 South, Range 1 West of the Willamette Meridian, in the County of Clackamas and State of Oregon, described as follows: Beginning at a point on the North line of said Section 23, that bears East a distance of 20.00 feet from the Northwest corner of said Section 23; thence South 0°03'00" East, parallel with and 20 feet Easterly of the West line of said Section 23, a distance of 1397.22 feet to an interior angle corner in the Northerly line of that tract of land conveyed to Hardy S. Young by Deed, described in and recorded under Fee Number 74-10618 Clackamas County Deed Records; thence North 89°51' East, along said Young's North line, a distance of 580.00 feet to a 5/8 inch iron rod at the Northwest corner of that tract of land conveyed as a Tract I to Joe Bernert Towing Company, Inc., in a contract recorded under Fee Number 75-9882, Deed Records; thence South 0°03' East, along the Westerly line of said Towing Company Tract, a distance of 220.00 feet to a 5/8 inch iron rod at the Northeast corner of that tract of land conveyed to Joe Bernert Towing Company, Inc., by a contract described in and recorded under Fee Number 90-2243, Deed Records; thence South 89°51' West, along the Northerly line of last said tract, a distance of 60.00 feet to a 5/8 inch iron rod; thence South 77°08'26" West, along last said Towing Company Tract, a distance of 492.25 feet to a 5/8 inch iron rod; thence South 0°03' East, along the Westerly line of last said tract, a distance of 141.69 feet to a 5/8 inch iron rod; thence South 49°54'37" East, along a Westerly line of last said tract, a distance of 659.97 feet to a 5/8 inch iron rod at an angle corner in said Westerly line; thence South 9°47'13" East, along said Westerly line, a distance of 747.37 feet to a 5/8 inch iron rod, being the South corner of said Fee Number 90-2243, said South corner being on the West line of said Tract I of Fee Number 75-9882; thence South 0°03' East, along the West line of said Tract I, a distance of 225.18 feet, more or less, to the South line of said Fee Number 74-10618; thence South 83°31'40" West, along the South line of said Fee Number 74-10618, a distance of 517.54 feet, more or less, to the mouth of a ravine; thence Willamette Intake Facilities IGA 01-08-18 Exhibit 4 Attachment 1 • Exhibt 4 Attachment 1 Order No: 216629 • LEGAL DESCRIPTION South 77°46'41" West, continuing along the South line of Fee Number 74-10618, a distance of 79.72 feet to the Southwest corner thereof; thence North, along the Westerly line of said Fee Number 74-10618, a distance of 966.90 feet to a point; thence North 58°00' West, a distance of 117.48 feet to a point on the West line of said Section 23; thence North 0°03" West, along said West section line, a distance of 2299.44 feet to the Northwest corner of said Section 23; thence East a distance of 20.00 feet returning to the point of beginning. PARCEL III: TOGETHER WITH an easement for road and utility purposes over the following described parcel: A tract of land situated in Section 23, Township 3 South, Range 1 West, of the Willamette Meridian, in the County of Clackamas and State of Oregon, being more particularly described as follows, to wit: A strip of land 60.00 feet in width and heretofore known as the Industrial Way Road easement, the centerline intersection of said 60.00 foot strip of land with the centerline of Market Road No. 6 (also known as Wilsonville Road) , which intersection is North 89°56' East along the centerline of Market Road No. 6, 1278.43 feet from the Northwest corner of said Section 23, Township 3 South, Range 1 West, of the Willamette Meridian, in the County of Clackamas and State of Oregon, from said place of beginning; thence leaving said centerline of Market Road No. 6, South 31°36' East along the centerline of said 60.00 foot strip of land 263.90 feet; thence South 17°48' East 64.49 feet; thence South 10°22' West, 145.34 feet to the intersection of the North line of the Bailey D.L.C. No. 45; the same point of intersection being South. 89°55' East 163.15 feet from the Northwest corner of the Thomas Bailey D.L.C. No. 45; thence South 10°22' West 906.74 feet along the centerline of said 60.00 foot strip of land South to the point of intersection of said centerline with the West line of said Thomas Bailey D.L.C. Willamette Intake Facilities IGA 01-08-18 Exhibit 4 Attachment 1 i. N. • r ` ►k -- Ii -r-z- 7� -.N.`114 ,;"-Pj • •• J AREA 4 AREA 2 � (PIPELINE 1,, EASEMENT) U AREA 1 �Q'. !///I '� ��i�l�O�r111 cci 07 ..4114::. s�� ,.�—'i�� at eo®4,,; / 11 Nt I :. No . 1. '-.5,—,-,--b. '4—/ 4,,A,Al . Lir . - , ., .„• 4,.,-..1-WW-4—Nrie—w17—....04,,t,, - • s— A .....A.. AlO CD V) #i AREA 3 . I: C LL E Y t OS U :i C (O S: \ \U fii 1 X S NOTE I LL ,► t AREA 4 -OFF-SITE LOCATION FOR ACCESS AND PIPELINE IS OWNED —i BY THE CITY WITHN THE INDUSTRIAL WAY EASEMENT.BUT IS CITY OF WILSONVILLE EXHIBIT B SHOWN NEARBY IN CONTEWRATION OF A PROBABLE LOCATION ADJUSTMENT By DEVELOPNENT REVIEW BOARD AND AcouosmoN WILLAMETTE RIVER WATER TREATMENT PLANT , 1 FROM PROPERTY OWNERS- GENERAL AREA MAP 4-- Exhibit 4 Attachment 2 We certify this instr r en` to be a true y recorded , �AaOce .:,::cords 7 Ci-I:CAG Ti LE ti,iSURA'r,;E COt;i'A:i SPECIAL WARRANTY DEED le 17 City of Wilsonville, an Oregon Municipal corporation, Grantor, grants, conveys and specially warrants to Tualatin Valley Water District, a water supply district, Grantee, an undivided forty-nine percent (49%) interest as tenant in common, and the City of Wilsonville reserves to itself the remaining fifty-one percent (51%) interest as tenant in common, in and to the following described real property free of encumbrances created or suffered by the Grantor except as specifically set forth herein, situated in Clackamas County, Oregon,to-wit: Parcels I and II, together with Parcel III, an easement, as described in the attached Exhibit A and incorporated by reference herein. The true consideration for this conveyance is $1,291.350.00. The said property is free of all encumbrances created or suffered by Grantor, except easements, access agreements, roadway agreements, and maintenance agreements of record, and changes (if any) in the location of the Willamette River and shall be subject to the following covenants to run with the land: 1. The above described real property is dedicated, conveyed and granted for domestic and municipal water supply purposes and such accessory uses as may be necessary and convenient thereto,together with the following purposes: 1.1 Area 1, which is the northern portion of the property as set forth in Exhibit B, attached hereto and incorporated herein, shall include an access road and bicycle and pedestrian access to Areas 2 and 3. The Grantor reserves Area I for park and recreational purposes at the sole risk and cost of Grantor; provided, however, upon one-year notice by either Grantor or Grantee to the other, park and recreation usage shall terminate to accommodate use for future domestic and municipal water supply facility capacity in excess of the 70 mgd facilities in Area 2, subject to required land use approval and such other governmental approvals as may be required. Nothing in the foregoing sentence is intended to limit or restrict the parties from agreeing to use the property in any manner in support of the Supply Facilities and/or such governmental regulations as may be imposed on the parties for the operation of up to a 70 mgd capacity plant. After recording,return to: Until requested otherwise, send tax statements to: City Recorder, City of Wilsonville No Change 30000 SW Town Center Loop E. Wilsonville, OR 97070 Special Warranty Deed -Page 1 of 3 C:\WINNT\Profilcs\king\Desktop\TVWD Decd.doc Willamette Intake Facilities IGA 01-08-2018 Exhibit 4 Attachment 2 Exhibit 4 Attachment 2 . 1.2 Area 2 is that portion on the site which includes the multi-barrier treatment plant with expansion up to 70 mgd (the wall and area behind the wall) as set forth in Exhibit B. 1.3 Area 3 is the "Meadow Area" and Water Feature as set forth on Exhibit B and is to be developed for passive recreational use and will have bicycle and pedestrian use and access. This public bicycle and pedestrian access will also extend to the Plant. 1.4 Area 4 is the 70' access easement, together with such other property and/or easements necessary for the alignment of the access roadway from the property to Wilsonville Road and the water transmission line from the Treatment Plant to Wilsonville Road as set forth in Exhibit B. Thereafter, the transmission line will be in the Grantor's Wilsonville Road right-of-way until it joins the City's transmission system at or about Station 67'00+i. of the Grantor's Kinsman Road right-of-way. The Grantor's Wilsonville Road and Kinsman Road right-of-ways are not intended to be conveyed to Grantee as part of this deed or otherwise. 2. Grantee's 49% ownership interest may be conveyed in whole or in part by Grantee, with prior approval by Grantor to the Willamette Water Supply Agency (WWSA) for a period of one year (365 days) from June 30, 2000, and thereafter without prior approval by Grantor; provided, however, WWSA's membership remains one of local governments and water districts. Neither Grantor nor Grantee shall convey to any person or entity which is not a local government or water district without the prior consent of the other. Each party's consent shall be based in its sole discretion on whether an allocation or conveyance to an entity other than a local government or water district is in the best interest of, in the case of Grantor, its citizens and, in the case of Grantee, its customers. Nothing in this paragraph is intended to prevent Grantee from conveying to Grantor or Grantor from conveying to Grantee its respective interest as the parties may agree in the future. 3. Neither Grantor nor Grantee shall seek or obtain through any legal proceedings an administrative or judicial partition of the Property or sale of the Property in lieu of partition, without the prior written consent of the other. Paragraph 2 above is not intended or meant to create a partition of the Property and this paragraph on partition is not intended or meant to prevent an allocation and conveyance of Grantee's interest as set forth in paragraph 2 above. 4. Nothing in the above covenants is intended to prevent a deletion, amendment, or modification of the above covenants if expressly agreed to by Grantor and Grantee, their respective successors in interest, if any, in writing and duly recorded. Grantee has inspected the said property and accepts the condition of the said property as is. Special Warranty Deed -Page 2 of 3 C:1WINNT\ProfileslkinglDesktop\TVWD Deed.doc Willamette Intake Facilities IGA 01-08-2018 Exhibit 4 Attachment 2 • . Exhibit 4 Attachment 2 This Deed fully satisfies paragraphs 2.1 and 2.2 of that certain Agreement Regarding Water Treatment Plant Design, Construction, Operation, and Property Ownership, which document is a matter of record and on file with both the Grantor and Grantee. THIS INSTRUMENT WILL NOT ALLOW USE OF THE PROPERTY DESCRIBED IN THIS INSTRUMENT IN VIOLATION OF APPLICABLE LAND USE LAWS AND REGULATIONS. BEFORE SIGNING OR ACCEPTING THIS INSTRUMENT, THE PERSON ACQUIRING FEE TITLE TO THE PROPERTY SHOULD CHECK WITH THE APPROPRIATE CITY OR COUNTY PLANNING DEPARTMENT TO VERIFY APPROVED USES AND TO DETERMINE ANY LIMITS ON LAWSUITS AGAINST FARMING OR FOREST PRACTICES AS DEFINED IN ORS 30.930. IN WITNESS WHEREOF,the Grantor has executed this instrument this day of 7-u kl , 2000. GRANTOR: CITY OF �i S• -r� E J By . Charlotte Lehan Title: Mayor ATTESTED TO: • `° �Iarft. fh. 0. n3 0.cr't nS C't 1`y Reccr&. -r• Date: y 7 a o 0 0 STATE OF OREGON ) )ss County of Clackamas ) On this'7" day of , 2000,before me,a notary public in and for said County and State,personally a peared Charlotte Lehan, known to me to be the Mayor of the City of Wilsonville and whose name she subscribed to the within instrument and acknowledged that she executed the same for the purposes therein contained. IN WITNESS WHEREOF, I have hereunto set my hand and official seal on the day and year above written. S `JA. Notary Public for Oregon My Commission Expires C,. I a , ,an V 3 ��...., OFFICIALSEAL .l4 r,-- SUSAN MARIE FARNSWORTH •' `'°"'' NOTARY PUBLIC - OREGON o MYCOMMi EXPIRES MaRCR It91tiO3 Special Warranty Deed -Page 3 of 3 C:1WINNT\Profiles\lcing\Desktop1TVWD Deed.doc Willamette Intake Facilities IGA 01-08-2018 Exhibit 4 Attachment 2 Wan%MOMS AT WILMETTE M/JD:f/dWIES PONT Of ONIMSNIN EXHIBIT 5-Water Rights Authorized for Use at Willamette Intake Facilities Water Right Permits and Certificates Authorized by the Oregon Water Resources Department EMNy Nares on Water or Type of Authorized Authorized Right Application Permit Certificate Permit Priority Date Beneficial Rate Data for Conditions Amendment Use (cfs) Completion • Measuring device required • Fieh screen required • A 60-day wailing period is required between WMCP approval and diversion of water for the first diversion and each increment of-green light water for each water supplier. •Willamette River Water Munidpl a undero WMCP provisions apply to additional future municipal Coalition 040983 0-49240 N/A 1-10477 June I9,1873 lnduehial 202.0 October 1,2047 water suppliers using water permit tinder certain condi...WRWC neanber Sherwood has cross to up to 23 cfs based on last WMCP approval. TVWD has access to up to 80.1 cfs following approval of IN most recent updated WMCP. • Fish persistence conditions.Proportional reduction based on target flows and the portion of permit to which permitles has legal access.Reduction N upped at 20%during April,May and June. • Measuring device required Cly of Wilsonville S-51780 S-46319 N/A 14444 March 27,1974 Municipal 30.0 October 1,2042 • Fish screen required • Measuring device and water use reporong are required CNy of Beaverton 047884 S-54040 WA - March 11,2014 Municipal 33.7 May 4,2035 • Fish screen required • Divsreon of water Is prohibited at tins when the OOFW recommended flow targets at the Salem gage are not met. • Wilamette Intake Facilities added as a pint of diversion through a pared amendment • Conditions horn permit emeMmentgaga. measurement device and fish queen. City of Hillsboro 545010 5.55045 N/A 1-12512 December 6' Municipal 56 October 1,2096 • Fish persistence conditions.Proportional reductial t9 based on target flows end penult.maximum authorized rate;capped et 20%year-round. • Approval of a WMCP is required to obtain access to water under the pennii. WILLAMETTE INTAKE FACILITIES IGA 01-08-2018 EXHIBIT 5 PAGE 1 Exhibit 6 Organizational Structure Description: This Exhibit sets forth the Organizational Structure for the Willamette Intake Facilities Commission. Board of Commissioners1 Managing Agency2,3 WIF Operator Management Committees,s I Operations Finance Other Committee6 Committee6 Committees6 Notes: 1. Appointed by governing bodies of each Party 2. Provides its and Management Committee's recommendations to Board 3. Provides support to and consults with all committees 4. Provides recommendations to Managing Agency to be forwarded to the Board 5. Serve as liaisons to Parties' governing bodies 6. Provides recommendations to Management Committee Willamette Intake Facilities IGA 01-08-2018 Exhibit 6 Page 1 Exhibit 7 Willamette Intake Facilities Managing Agency Initial Management Plan Description: This Exhibit sets forth the Managing Agency Interim Term Plan under Section 5 of the Willamette Intake Facilities Intergovernmental Agreement(Agreement). 1. Designation of Interim Managing Agency 1.1. TVWD is designated as the Interim Managing Agency under Section 5 until June 30,2032. In 2029,the Commission will complete a performance review of the Managing Agency and will decide whether to initiate the selection process under Section 6.1, Subsequent Appointment of Managing Agency,or continue with TVWD without engaging in the described process. TVWD will designate General Manager that will have primary responsibility for reporting to the Commission. 2. Duties of Interim Managing Agency 2.1. TVWD shall have all duties and powers of the Managing Agency under Section 6,except as provided in Paragraphs 3.0 and 4.0 of this Exhibit. 3. Interim Operations Management Until 2022 3.1. Wilsonville and TVWD have approved an operations contract extension with Veolia through June 30,2022 for the Willamette River Water Treatment Plant. The scope of work for this contract includes operation of the Willamette Intake Facilities. Upon execution of this Agreement by the parties,the Commission delegates authority to Wilsonville,through its own forces or through the operations contract,to manage daily operations and operational coordination of the Intake Facilities to: 3.1.1.Assure delivery of water to the WRWTP for the benefit of Wilsonville and Sherwood;and 3.1.2.Assure effective coordination with the design and construction of improvements, modifications,and expansion of the Intake Facilities and connection to a new WWSS transmission pipeline. 3.2. Prior to expiration of this contract extension,the Parties will cooperate in conducting an evaluation of performance under the contract and will coordinate to identify planned activities of all Parties relating to the Intake Facilities during the period July 1,2022 to June 30,2026. Based on that coordination,the Management Committee will recommend to Wilsonville terms and activities that should be addressed in a contract extension or operations protocols for the period July 1,2022 through June 30,2026. 4. Interim Operations Management from 2022 to 2026 4.1. For the period of July 1,2022 to June 30,2026,the Commission delegates authority to Wilsonville,through its own forces or through an operations contract,to manage daily operations and operational coordination of the Intake Facilities. Thereafter,the Commission shall determine who will manage the operations of the Intake Facilities and may either delegate this responsibility to the Managing Agency or to a Party or contractor. Willamette Intake Facilities IGA 01-08-2018 Exhibit 7 Page 1 5. Wilsonville covenants that it will do the following during the Interim Operations Management periods: 5.1. Daily operations and operational coordination to supply water to the existing WRWTP; 5.2. Timely and cooperative coordination with TVWD(or its designee,Willamette Water Supply Program staff)in the construction of the expansion of the Intake Facilities and the WWSS transmission pipeline; 5.3. Timely and cooperative coordination with TVWD(or its designee,Willamette Water Supply Program staff)of Wilsonville/Sherwood operations and the startup and commissioning of the expansion of the Intake Facilities during calendar year 2025; 5.4. Best efforts to effect transition of all intake operations to the Commission and facilitate assumption of operational duties to the Party designated by the Board on or before June 30, 2026. 6. Repairs to Existing Intake Facility Assets Prior to June 30,2026 6.1. Wilsonville has identified that there may be potential repairs required to the intake pipe,caisson, sparge system,and grout pipe joints in order to repair maintain and preserve the Intake Facilities. Any such repair costs(less any cost for sediment removal which shall only be paid by those actually drawing water through the Intake Facilities,currently Wilsonville and Sherwood),shall be shared by Wilsonville,TVWD, Sherwood,Hillsboro,Tigard and Beaverton in proportion to Intake Facilities Capacity ownership. Wilsonville will evaluate the condition of the Intake Facility when the sediment clean-out occurs,scheduled for Fiscal Year 2017-18. If the need for any repairs is identified,Wilsonville will work with the Willamette Water Supply Program to incorporate those repairs into the expansion of the Intake Facilities,managed by TVWD,to achieve construction coordination and cost savings. If Wilsonville discovers any repairs that it deems must be made before the expansion of the Intake Facilities is ready for construction, including any emergency repairs,Wilsonville will notify the Managing Agency about the repairs and may proceed independent of the expansion of the Intake Facilities.Wilsonville will follow all public contracting rules in making any such repairs and will invoice the Managing Agency the actual costs of any such required repairs. Wilsonville and TVWD will coordinate the Intake Facility expansion and any other Intake Facility repairs so that the making of the repairs and expansion of the Intake Facility will not interfere with or adversely impact the expansion of the Intake Facilities or the WRWTP. 7. Interim Fee 7.1. TVWD,as the initial Managing Agency,will prepare a work plan and associated cost estimate for the Fiscal Year 2017-18 budget for Commission administration responsibilities. Budgets for subsequent years will be proposed by TVWD and will be subject to review by the Parties and will require approval by the Board,as provided in this Agreement. 7.2. Wilsonville elects not to charge an Interim Operations Fee to the Commission. Willamette Intake Facilities IGA 01-08-2018 Exhibit 7 Page 2 Exhibit 8 Willamette Intake Facilities Budget Calendar Description: Annual Proposed Budget Submission and Calendar The Board shall adopt a budget for its operations and capital improvements for each Fiscal Year. The Managing Agency shall annually prepare a budget for administration,operations,and capital improvements in coordination with the appropriate committees representing the Parties as described in Section 7 of this Agreement. The budget review process shall follow the following schedule listed below. Budget Annual Submission Party Receiving Deliverable Date Budget Preliminary capital December 15 Operations improvement Committee project list Preliminary budget January 5 Operations and Finance Committees Draft budget February 15 Management Committee Proposed budget March 31 Board The proposed budget for review shall be submitted with the proposed annual work plan, associated budget narratives,project descriptions, and budget summary spreadsheets for each level of Committee and Board review. Willamette Intake Facilities IGA 01-08-2018 Exhibit 8 Page 1 Exhibit 9 Willamette Intake Facilities Interim Financial Procedures Description: The Willamette Intake Facilities Commission(Commission) is a joint venture of the cities of Beaverton,Hillsboro,Tigard, Sherwood, and Wilsonville and the Tualatin Valley Water District. The Commission owns and operates water intake facilities for the benefit of the Parties to the Willamette Intake Facilities (WIF) Agreement. This Exhibit establishes the interim financial procedures to be followed by the Commission as it undertakes its activities as described in Exhibit 7 to the WIF Agreement. The City of Wilsonville operates the current WIF facilities and those operations are not included within the interim financial procedures. These interim financial procedures consist of three sections. Each is described below. 1. Elements of Financial Procedures: a) Establishing Rates and Charges This section outlines the methodology the Commission will use to set rates and charges to recover the cost of operating the Commission. b) Accounting and Financial Reporting This section outlines the accounting and financial procedures that the Commission and its managing agency will follow. 2. Establishing Rates and Charges: a) Rate Setting Process Each Party's proportionate share of the expenditures of the Commission, shall be estimated by the Commission, and set forth in the Commission's annual budget. b) Quarterly Payments Each Party shall make quarterly payments to the Commission for operations in accordance with the IGA. i. Commission Expenditures Each Party shall pay for its share of the Commission's expenditure quarterly based on the formulas described below. ii. Allocation of Expenditures for Administration Expenditures related to administration of the Commission will be allocated among the Parties using the following formula: Twenty-five percent of the expenditures of the Commission will be divided evenly among the Parties; and Willamette Intake Facilities IGA 01-08-18 Exhibit 9 Page 1 the remaining 75 percent will be divided among the Parties according to each Party's percentage share of the Capacity Ownership in the WIF facilities. iii. Allocation of Expenditures for Operations,Maintenance, and Repair Expenditures by the WIF for Operations, Maintenance, and Repair of the facilities shall be identified by the Operations and Finance Committees along with an allocation methodology. Operations, Maintenance, and Repair expenditures that are the result of use of the facilities will be allocated based on each Party's proportionate use of the WIF facilities. Operations, Maintenance, and Repair expenditures that are unrelated to use will be allocated based on each Party's proportionate ownership of the WIF facilities. If an expenditure serves multiple purposes,jointly,the Operations and Finance Committees shall divide expenditures into both use-based allocations and ownership-based allocations in a fair and equitable manner. If the matter cannot be resolved by the joint Operations and Finance Committees,the matter shall be referred to the Management Committee for resolution. iv. Invoicing The Commission shall invoice the Parties for the prior quarter's expenditures within thirty days of the end of the preceding quarter. Payment is due to the Commission thirty days after receipt of the invoice. 3. Accounting and Financial Reporting: a) Periodic Financial Reports The Commission shall maintain an independent budget control procedure and provide budget reports at least quarterly to each of the Parties not later than 30 days after the end of each quarter. This report shall show expenditures and receipts by budget item for each transaction through the last working day of the preceding quarter. b) Accounting Policies i. Fiscal Year The Commission shall operate on a fiscal year basis from July 1 through June 30 of the subsequent year. ii. Accounting Standards The Managing Agency shall use generally accepted accounting principles to account for the transactions of the Commission. The Commission shall be treated as an enterprise fund for accounting purposes and report its finances on an accrual basis. Willamette Intake Facilities IGA 01-08-18 Exhibit 9 Page 2 iii. Indirect Cost Allocations The Managing Agency shall maintain an indirect cost allocation plan that conforms to industry standards for allocating the indirect overhead costs of the entity. The Managing Agency shall submit the indirect cost allocation plan annually with the budget. iv. Working Capital The Managing Agency will provide working capital for the Commission by paying the Commission's bills when due and receiving payments from the Partners within 30 days after invoicing. The Managing Agency shall adopt accounting procedures to determine the cost of providing the Commission working capital and shall be entitled to charge the Parties a proportionate share of the cost of providing the working capital. The cost of providing the Commission's working capital shall be based on the forgone interest earnings the Managing Agency could have earned at its then-current rate of earnings on its portfolio of investments. Working capital, and the rate, will be listed separately on the invoices. Willamette Intake Facilities IGA 01-08-18 Exhibit 9 Page 3 Exhibit 10 Willamette Intake Facilities Lease Payment Formulas Firm Lease Formula: The lease payment for Willamette Intake Facilities capacity shall be determined by utilizing the depreciated replacement cost value of the asset amorized over the remaining book depreciation life of the asset at an interest rate equal to the Municipal Bond Index rate at the year of the lease payment, Engineering News Record(ENR) index rate, or a comparible index. The Commission may modify the method used to calculate lease payments by resolution of the Board. A firm lease rate example is shown in the Attachment 1 to this Exhibit. Interruptible Lease Formula: The interruptible lease payment for the Willamette Intake Facilities shall be 80 percent of the firm lease rate formula minus the daily rate amount that the capacity was withdrawn from the Lessee back to the Lessor. The interruptible lease shall have a minimum term of 12 months. The lease payment shall be calculated at the start of the lease term using 80 percent of the firm lease as determined by the firm lease formula. The interruptible lease cost shall be recalculated at the end of the lease term. If the Lessor notified the Commission that its interruptible capacity was not available for any portion of that lease year, the interruptible lease cost would be reduced by 1/365 of the cost for each day that it withdrew the interruptible capacity. If the Lessor agency did not exercise the right to withdraw capacity during the lease year, then full interruptible lease cost would apply. Interruptible Lease Rate= 80% * (Firm Lease Rate for 1 year)— [(Number of Days Withdrawn/365 * (80% * Firm Lease Rate for 1 Year)] Surplus Capacity Pool Formula: The protocols for Surplus Capacity Pool payment for the Willamette Intake Facilities shall be determined using the firm lease rate formula calculated with a daily rate and multiplied by a factor of two. For each day that the Surplus Capacity Pool capacity was used, the Lessee of the pool will be required to pay that daily rate. The Surplus Capacity Pool capacity requests and payment procedures will be developed and determined by the Managing Agency. Surplus Pool Daily Rate=(1/365) * Firm Lease Rate for 1 year * 2 Willamette Intake Facilities IGA 01-08-2018 Exhibit 10 Page 1 Exhibit 10 - Attachment 1 Willamette Intake Facilities Commission Firm Lease Payment Example Assumptions: Year of Construction 2000 Cost of Constuction $ 19,683,536 Capacity 150 MGD Useful Life 50 Years First Year of Lease 2026 Municipal Bond Index(Year of Lease) 4.93% ENR Cost Construction Index-Seattle(Month/Year Construction was Complete) 7,368.25 ENR Cost Construction Index-Seattle-December Prior to Mo/Year of Lease-Update for all assets 7,368.25 Lease Calculation: Replacement Cost(Capacity*ENR CCI-Seattle Construction Complete/ENR CCI-Seattle-Dec prior to lease) $ 19,683,536 Accumulated Depreciation(Replacement cost/Useful Life*(First Year of Lease-Year of Construction) 10,235,439 Depreciated Replacement Cost $ 9,448,097 Lease Payment $ 680,057 Annual Cost S 4,534 Per MGD Willamette Intake Facilities IGA 01-08-2018 Exhibit 10 Attachment 1 Page 1 EXHIBIT 10 ATTACHMENT 2 SAMPLE LEASE This Willamette Intake Facilities Lease(Agreement)is entered into this day of , 200 between ,located in Washington County, Oregon(hereinafter "), and , a located in Washington County, Oregon. Recital: WHEREAS,the parties to this Agreement are members of the Willamette Intake Facilities Commission(Commission), an intergovernmental entity formed pursuant to ORS Chapter 190 by agreement dated , and amended at various and sundry times since, including the addition of new members; WHEREAS, the parties of the Commission have into a Willamette Intake Facilities Agreement dated ,20 ; WHEREAS,the Willamette Intake Facilities Agreement, among other things,provides for a party to lease all or a portion of its interest in a component(s)of the Intake Facilities as defined therein, including water rights and supplemental water rights, to another party, upon such terms and conditions as approved by the Commission; WHEREAS,the parties hereto have agreed that will lease to upon the terms and conditions set forth herein and that the Commission has approved the terms and conditions as evidenced by signature below and being fully advised NOW,THEREFORE, THE PARTIES AGREE AS FOLLOWS: 1. Intake Facilities Capacity. agrees to provide , and agrees to purchase, million gallons per day in Willamette Intake Facilities capacity each fiscal year during the life of this Agreement, unless modified by other provisions of this Agreement, for an initial=year period beginning through , subject to renewal, extension or termination on the terms and conditions as set forth in this Agreement. If a change in lease is anticipated because (Lessor's) demands have increased, the parties will negotiate the terms of such change. 2. Connections, Measurement and Meters. The Commission or the leasing Party as appropriate and necessary will provide and maintain meters, valves and controls, and measurement devices, in proper order for measurement of Intake Facilities capacity used and connections at the following locations: Willamette Intake Facilities IGA 01-08-2018 Exhibit 10 Attachment 2 Page 1 Meters or measurement devices shall be tested and calibrated biennially by the Commission or an independent tester qualified to do such work. A copy of the test report shall be forwarded to the parties hereto. 3. Rates. shall be billed monthly for the total leased Intake Facilities capacity under this Agreement, and payment shall be made within 30 days of billing. A late fee of 1.5 percent per month shall be assessed for any unpaid balance. will pay monthly to for all leased asset capacity , at rates as described in Exhibit X of the Willamette Intake Facilities Agreement. Inasmuch as has contracted to lease an amount of capacity each year, _ agrees to pay the greater of: the amount calculated based on the actual volume of water passing through the meter(s) described above; or the amount calculated based on the minimum lease amount. This calculation will be done annually after the end of the year. 4. Term. This Agreement shall be for -years, commencing with execution of this Agreement and ending years thereafter. [ALTERNATIVE A] agrees to notify in writing as soon as practicable if wishes to extend the term of this Agreement, but not later than one year prior to the termination of this Agreement. The parties shall meet to determine if extension or renewal and the terms thereof is mutually agreeable. [ALTERNATIVE B] shall have the right to renew this Agreement for successive periods of years, each by giving written notice thereof not less than one year prior to the expiration of this Agreement,whichever shall first occur. The terms and conditions of this Lease shall continue in any renewal term. 5. Notices. Notices shall be deemed sufficient if deposited in the United States mail, postage prepaid, to the following addresses: 6. Severability. In the event any provisions of this Agreement shall be held to be impossible,invalid or unenforceable,the remaining provisions shall be valid and binding upon the parties hereto. One or more waivers by either party of any provision,term, condition or covenant, shall not be construed by the other party as a waiver of subsequent breach of the same by the other party. Both parties have fully participated in negotiating and writing this Agreement; therefore, it Willamette Intake Facilities IGA 01-08-2018 Exhibit 10 Attachment 2 Page 2 shall not be construed against the party preparing it, but shall be construed as if both parties have prepared it. 7. Acts of God, Emergency, Etc. Performance or delay in performance of the obligations stated in this Agreement shall be reasonably excused when performance or timely performance is impossible or impracticable because of the occurrence of unforeseeable events such as emergency,catastrophe, disaster, labor disputes, or acts of God. 8. Disputes:Attorney's Fees. If a dispute arises between the parties regarding breach of this Lease,the dispute resolution process in Section of the Agreement shall be utilized. 9. Full Agreement. This document is the entire, fmal and complete agreement of the parties pertaining to lease of Intake Facilities to , and supersedes and replaces all prior or existing written and oral agreements between the parties or their representatives. 10. Service Reduction in Case of Emergency. If a general emergency or water shortage requires restrictions on the delivery of raw water, general restrictions placed upon deliveries to shall be determined by the Curtailment Plan. By: By: APPROVED AS TO FORM AND CONTENT WILLAMETTE INTAKE FACILITIES COMMISSION By: Willamette Intake Facilities IGA 01-08-2018 Exhibit 10 Attachment 2 Page 3 Exhibit 11 Willamette Intake Facilities Intake Improvements Cost Allocation Summary Preliminary Estimate - June 2017 Description: The following is a summary of the cost estimate for the Intake Facilities improvements required to achieve a Capacity of 150 MGD. The cost estimates are based on preliminary design and will be refined as design progresses. Attachment 1 includes the preliminary design drawings and layout of the Intake Facilities. Assumptions 1. Costs based on WWSP cost estimates presented to WGG on 5/25/17 2. Assumes total expanded capacity of intake is 150 MGD,including: Feature Capacity(MGD) Existing Screen Capacity 70 Additional Screen Capacity resulting from expansion 80 Existing Hydraulic Capacity of intake pipe&caisson 120 Additional Hydraulic Capacity of intake pipe&caisson from 30 expansion 3. Assumes permitting and mitigation costs= $1.257 million(WWSP, 6/9/17) 4. Assumes screen cost for 150 MGD= $4.65 million—includes intake screen replacement to 150 MGD,intake screen protection,and upgrades to air burst system(WWSP, 5/24/17) 5. Assumes seismic upgrade for the Intake Facilities= $9.36 million—includes piles and jet grout for seismic stability of existing caisson structure(only); does not include seismic improvements for WWSS improvements (WWSP,5/24/17) 6. Value of remaining useful life of existing screen= $7,876 per MGD (Wilsonville,March 2017) Anticipated Cost Allocations Note: Costs and cost allocations are based on capacity shares and preliminary cost estimates as of current date and are subject to change.Final cost shares will be updated based on final capacity shares and actual costs for proposed improvements using cost allocation methodology as detailed below. Capacity Capacity Cost Allocations($) Share Partner (MGD) Permitting Screen& Air WIF Seismic (%) (1) Burst Upgrades(9) Total Wilsonville 25.0 16.7% $ 75,000 $ 50,000 (2) $ - $ 125,000 (3) TVWD(4,8) 59.1 39.4% $ 393,786 $ 955,000(5) $ 4,487,458 $ 5,836,244 Sherwood(6) 9.7 6.5% $ 77,567 $ 160,000 (7) $ 605,280 $ 842,847 Tigard(8) 15.0 10.0% $ 189,674 $ 930,160 $ 1,138,949 $ 2,258,783 Willamette Intake Facilities IGA 01-08-2018 Exhibit 11 Page 1 Hillsboro(8) 36.2 24.1% $ 457,748 $ 2,244,786 $ 2,748,663 $ 5,451,197 Beaverton(8) 5.0 3,3% $ 63,225 $ 310,053 $ 379,650 $ 752,928 Total 150.0 100.0% $ 1,257,000 $ 4,650,000 $ 9,360,000 $ 15,267,000 Footnotes for Cost Allocation Methodology Cost allocations are generally based on proportionate ownership shares subject to additional terms and conditions as noted below. 1. Permitting cost allocation assumes 50%of costs applied to new capacity(80 MGD)and 50%of costs applied to total capacity(150 MGD). 2. Wilsonville receives full credit equal to remaining undepreciated asset value of 20 MGD share of existing screen. 3. Wilsonville total cost cap for permitting,screen,air burst&seismic=$125,000. 4. TVWD capacity share includes 56.5 MGD for demand and 2.6 MGD of capacity not allocated to other partners. 5. TVWD receives partial credit for remaining undepreciated asset value of 45 MGD share of existing screen. 6. Sherwood does not contribute toward Wilsonville's cost shares in excess of Wilsonville cost caps for permitting,screen, and seismic improvements. 7. Sherwood receives partial credit for remaining undepreciated asset value of 5 MGD share of existing screen. 8. TVWD,Tigard,Hillsboro and Beaverton costs include allocation,proportionate to capacity share, for Wilsonville's cost shares for permitting,screen,and seismic improvements in excess of Wilsonville cost caps. - 9. Improvements for seismic stability of existing caisson structure and intake pipe only;does not include seismic improvements for WWSS improvements.Wilsonville cost share for seismic improvements=$0.TVWD,Tigard,Hillsboro and Beaverton-but not Sherwood-pay Wilsonville's cost share for seismic improvements. Willamette Intake Facilities IGA 01-08-2018 Exhibit 11 Page 2 Exhibit 12 Willamette Intake Facilities Insurance Requirements and Limits Description: The following insurance requirements and limits are necessary for the operations of the Willamette Intake Facilities(Intake Facilities)and shall be purchased and maintained at all times. The requirements will be reviewed and approved by the Board annually, and modified when necessary. 1. Insurance Requirements (a) The Managing Agency shall obtain and maintain at all times appropriate insurance coverage for the Intake Facilities on behalf of the Commission based on exposure. Where applicable,the insurance limit shall meet or exceed the corresponding monetary limit of the Oregon Tort Claims Act. For all other insurance,the insurance limits shall meet or exceed the corresponding limit or obligation established for a special government body under Oregon law. (b) The Managing Agency shall recommend the purchase of all necessary insurance to protect the interests of the Intake Facilities and the Commission. (c) The Board shall review and approve insurance coverage,limits and deductibles proposed by the Managing Agency. (d) The Commission,its members,officers,boards, agents and employees will be listed as additional insureds on all policies purchased by the Managing Agency for the Intake Facilities, and be listed on insurance policies required of the Commission of their contractors and consultants. 2. Summary Insurance Requirements and Limits: a) Property To include loss or damage to all types of property owned by the Commission due to perils such as fire, wind,theft, vandalism, malicious mischief, earthquake and flood, for the full insurable replacement-cost basis. (For earthquake and flood, a sublimit typical of the industry standard). Property coverage shall also include machinery breakdown coverage. Willamette Intake Facilities IGA 01-17-2018 Exhibit 12 Page 1 b) Commercial General Liability To include all major coverage including bodily injury,personal injury,property damage and wrongful acts. Coverage shall be provided for all XCU(explosion, collapse and all underground)hazards and shall be in the amount not less than $2,000,000 per occurrence and$4,000,000 general aggregate. c) Automobile Liability To include all owned, hired and non-owned vehicles of a combined single limit per occurrence shall not be less than$2,000,000. d) Workers' Compensation and Employers' Liability Workers' compensation coverage sufficient to meet statutory liability limits and Employers' Liability of$1,000,000 for each accident, $1,000,000 for each bodily injury/disease and$1,000,000 for aggregate bodily injury/disease. e) Fidelity bond or Crime A fidelity bond or equivalent crime coverage in the amount not less than $500,000. 1) Directors and Officers For the protection of all directors and officers of the Commission in the amount of not less than$1,000,000. g) Pollution Liability The Board may require the purchase of pollution liability coverage for any significant construction projects on the Intake Facilities or may require contractors to obtain pollution liability coverage for the Intake Facilities construction projects. Contractors' policy shall name the Commission as an additional insured. Willamette Intake Facilities IGA 01-17-2018 Exhibit 12 Page 2 Exhibit 13 Existing Agreements Description: The following is a list of existing agreements between some or all of the Parties that affect or are affected by the Intake Facilities that are the subject of this Agreement. These related agreements are not superseded by this Agreement unless agreed to by the parties to those agreements. 1) Agreement Regarding Water Treatment Plant Design, Construction, Operation and Property Ownership ("2000 Master Agreement"), dated July 6, 2000 and entered into by Wilsonville and TVWD 2) The Accord Agreement ("Accord"), dated June 19, 2001 and entered into by Wilsonville and TVWD 3) First Amendment to Agreement Regarding Water Treatment Plant Design, Construction, Operation, and Property Ownership,dated ,2018,entered into by TVWD and Wilsonville; 4) Operation and Maintenance Contract with Veolia Water North America-West LLC, dated July 1, 2017, as amended, entered into by TVWD and Wilsonville; 5) First Restated Intergovernmental Cooperative Agreement Continuing the Willamette River Water Coalition" ("WRWC Agreement"), dated October 15, 2008 and entered into by TVWD, Sherwood, Tigard, and Tualatin 6) Sherwood and Tualatin Valley Water District Willamette River Water Treatment Plant Agreement ("Sherwood TVWD WRWTP Agreement"),dated December 27, 2006 and entered into by TVWD and Sherwood 7) Agreement for Design and Construction of the Willamette Water Supply Program ("WWSP Agreement"), dated June 16, 2015 and entered into by TVWD and Hillsboro 8) Agreement(s) for Transfer, Purchase and Sale of Intake Facilities, dated , 2018 and separate agreements entered into by TVWD and Beaverton, TVWD and Hillsboro, TVWD and Sherwood, TVWD and Tigard 9) City of Wilsonville and Tualatin Valley Water District Willamette Water Supply System Intake Facility Agreement, dated , 2018 and entered into by Wilsonville and TVWD Willamette Intake Facilities IGA 01-08-2018 Exhibit 13 Page 1 10)Ground Lease for the Raw Water Pipeline, dated , 2018, entered into by TVWD, Wilsonville, and Hillsboro. 11)Easement for Raw Water Pipe, dated , 2018, entered into by TVWD, Wilsonville, and Hillsboro. 12)Intake and Pipeline Easement No. 22670-EA, dated July 13, 2000 and granted by the State of Oregon Division of State Lands to the City of Wilsonville. Willamette Intake Facilities IGA 01-08-2018 Exhibit 13 Page 2 AIS-3395 5. Business Meeting Meeting Date: 02/13/2018 Length (in minutes): 15 Minutes Agenda Title: Consider Authorizing the City Manager to Approve an Overbilling Settlement Claim Prepared For: John Goodrich Submitted By: John Goodrich, Public Works Item Type: Meeting Type: Council Business Meeting- Main Public Hearing Newspaper Legal Ad Required?: Public Hearing Publication Date in Newspaper: Information ISSUE Shall council approve a settlement claim regarding an overbilling of a customer account? STAFF RECOMMENDATION / ACTION REQUEST Authorize the city manager to approve the settlement claim upon acceptance by the account customer. KEY FACTS AND INFORMATION SUMMARY The proposed settlement claim provides relief to a customer that has been residing at their property since April 2006. In December 2017,it was discovered that the water meter located at the property address was inadvertently repaired or had the water meter register head replaced with the wrong size register prior to 2006.This resulted in an over-read of water consumption. Based on this information,staff has reconstructed the actual water consumption dating back to April 2006.The proposed settlement claim makes the customer whole. Public Works staff briefed council on this issue at their January 23,2018 workshop. Council directed staff to review the proposed claim settlement with the account customer to determine and include interest on monies collected as overcharges,notifications,late fees or shut-off charges associated with the metered account beginning in April 2006. Based on council direction, the amount of the settlement has been increased from $16,960 to $18,451. The dollar amount of the settlement claim exceeds the authority of the City Manager as described in TMC 12.03 utility billing rules.The city attorney has reviewed the claim,and is recommending that this item come before council for consideration. Staff is requesting council to authorize the city manager to provide a total settlement adjustment for the amount of$18,451. OTHER ALTERNATIVES Council could withhold authorization to settle this claim for overbilling. COUNCIL OR TCDA GOALS, POLICIES, MASTER PLANS Not applicable. DATES OF PREVIOUS CONSIDERATION Council was briefed regarding this claim settlement on January 23,2018. Fiscal Impact Cost: 18,451 Budgeted (yes or no): Yes Where Budgeted (department/program): Water Additional Fiscal Notes: Attachments No file(s)attached. AIS-3403 6. Business Meeting Meeting Date: 02/13/2018 Length (in minutes): 15 Minutes Agenda Title: Public Hearing- Consider Amendment to TMC Chapter 7.60 Abandoned Vehicles Prepared For: Mike Eskew,Police Submitted By: Lisa Shaw,Police Item Type: Ordinance Meeting Type: Council Business Meeting -Main Public Hearing: Yes Publication Date: Information ISSUE Ordinance 18-01,approved by Council on January 2,2018,updated TMC Chapters 10.28 -Parking and 7.60 Abandoned Vehicles,but inadvertently omitted a change to 7.60.030 Abandoned Or Stored Vehicles / Removal-Procedure. Council's prior intent was to decrease the waiting period from five (5) days to twenty-four(24) hours before towing an abandoned or stored vehicle.While Ordinance 18-01 changed the remainder of the Code,it did not update 7.60.030.This amendment removes the current inconsistencies in the Code and corrects the omission. STAFF RECOMMENDATION / ACTION REQUEST Staff recommends adoption of the ordinance amendment which corrects the omission in TMC 7.60.030 Abandoned or Stored Vehicles / Removal-Procedure. KEY FACTS AND INFORMATION SUMMARY Approving this ordinance will fully implement Council's earlier intent to reduce the waiting period for police removal of abandoned or stored vehicles from five (5) days to twenty-four (24) hours. OTHER ALTERNATIVES Council may chose not to approve the update to TMC 7.60.030 Abandoned or Stored Vehicles / Removal- Procedure.As a result, the time period would remain five (5) days rather than twenty four (24) hours. COUNCIL GOALS, POLICIES,APPROVED MASTER PLANS DATES OF PREVIOUS COUNCIL CONSIDERATION 01/02/2017 Legislative Public Hearing: Consider Amendment to TMC Chapters 10.28 - Parking and 7.60 Abandoned Vehicles,James McDonald0 12/05/2017 Downtown Parking Ordinance Introduction,Buff Brown 07/18/2017 Downtown Parking Plan,Buff Brown 05/09/2017 Downtown Parking Plan,Buff Brown 04/05/2016 Amend Parking Ordinance,Sean Farrelly 12/01/2015 Update on Downtown Parking, Sean Farrelly 06/02/2015 Downtown Parking Plan Update, Sean Farrelly 12/2/2014 Downtown Parking Management Update,Sean Farrelly Attachments Exhibit A-TMC Ordinance CITY OF TIGARD, OREGON TIGARD CITY COUNCIL ORDINANCE NO. 18- AN ORDINANCE AMENDING A SECTION OF 7.60 OF THE TIGARD MUNICIPAL CODE RELATING TO ABANDONED OR STORED VEHICT.FS. WHEREAS, the January 2, 2018 update to the Tigard Municipal Code for Abandoned Vehicles, TMC 7.60, inadvertently omitted a planned code update;and WHEREAS,the intent of the January 2,2018 update to TMC 7.60 was to decrease the waiting period for police removal of an abandoned or stored vehicle from five(5) days to twenty-four(24) hours;and WHEREAS,this proposed amendment fully implements Council's earlier intent;and WHEREAS, the Tigard City Council has determined that the proposed code amendments are in the best interest of the City of Tigard. NOW,THEREFORE,THE CITY OF TIGARD ORDAINS AS FOLLOWS: SECTION 1: Tigard Municipal Code Chapter 7.60.030 is amended as shown in "Exhibit A" (additional language underlined and deleted language ettic-keti). SECTION 2: This ordinance shall be effective 30 days after its passage by the council, signature by the mayor,and posting by the city recorder. PASSED: By vote of all council members present after being read by number and title only,this day of ,2018. Carol A. Krager,City Recorder APPROVED: By Tigard City Council this day of ,2018. John L. Cook,Mayor Approved as to form: City Attorney Date ORDINANCE No. 18- Page 1 Exhibit A TIGARD MUNICIPAL CODE Excerpt of Chapter 7.60 ABANDONED OR STORED VEHICLES. 7.60.030 Removal--Procedure. A. An abandoned or stored vehicle which remains in the same position, or has not been moved a minimum of five hundred feet from its earlier position for a period of five)days twenty four (24) hours (holidays, Saturdays and Sundays not included)after an owner has been requested to remove it or after notice has been served as required by Section 7.60.020, may be removed by the police department using their own personnel, equipment or facilities or those of others.(Ord. 97- 04;Ord.92-31 §2, 1992;Ord.90-04 §4, 1990:Ord. 73-24 §3, 1973). 7-60-1 Update: 01/18 SUPPLEMENTAL PACKET FOR Ve6J?J a °I° Carol Krager (DATF OF MEETING)1 From: Joanne Bengtson - I7 ern Sent: Monday, February 12, 2018 12:20 PM To: Carol Krager; Kelly Burgoyne Subject: FW: My public testimony: reviewed:TMC 7.60.030 Yes, per staff recommendation, on oversight correction Importance: High Did you guys get this from Mike Brewin? Joanne From: MB [mailto:mbrewin72@wesleyan.edu] Sent:Thursday, February 08, 2018 11:59 AM To:John Cook<MayorCook@tigard-or.gov> Cc:#Councilmail <#councilmail@tigard-or.gov> Subject: My public testimony: reviewed:TMC 7.60.030 Yes, per staff recommendation, on oversight correction Importance: High Hi Mayor Cook and Councilors: Note: The agenda for February 12, 2018 was only just posted 11:30 a.m. Thursday. City website should post detailed agendas sooner (Tuesday or Wednesday), for better public access and time to respond. As to the particulars: this matter appears to be a simple correction of oversight. I agree with the correction (i.e. 24 hours), as I also thought this was already included in the hearings we went through the last 2-3 months. I recall the Council discussing this subject and concurring on January 2, but somehow it was omitted in all the code changes. Best Wishes, Michael Brewin 1 Exhibit A TIGARD MUNICIPAL CODE Excerpt of Chapter 7.60 ABANDONED OR STORED VEHICLES. 7.60.030 Removal—Procedure. A. An abandoned or stored vehicle which remains in the same position, or has not been moved a minimum of five hundred feet from its earlier position for a period of€wed-days twenty four(24)hours(holidays,Saturdays and Sundays not included)after an owner has been requested CO remove it or after notice has been served as required by Section 7.60 020,may be removed by the police department using their own personnel, equipment or facilities or those of others.(Ord.97- 04:Ord.92-31§2.1992:Ord.90-04§4,1990:Ond. 73-24§3.1973). ISSUE Ordinance 18-01, approved by Council on January 2, 2018,updated TMC Chapters 10.28 -Parking and 7.60 Abandoned Vehicles,but inadvertently omitted a change to 7.60.030 Abandoned Or Stored Vehicles / Removal- Procedure. Council's prior intent was to decrease the waiting period from five (5) days to twenty-four (24) hours before towing an abandoned or stored vehicle. While Ordinance 18-01 changed the remainder of the Code,it did not update 7.60.030. This amendment removes the current inconsistencies in the Code and corrects the omission. STAFF RECOMMENDATION / ACTION REQUEST Staff recommends adoption of the ordinance amendment which corrects the omission in TMC 7.60.030 Abandoned or Stored Vehicles / Removal-Procedure. KEY FACTS AND INFORMATION SUMMARY Approving this ordinance will fully implement Council's earlier intent to reduce the waiting period for police removal of abandoned or stored vehicles from five (5) days to twenty-four (24) hours. DISCLAIMER: E-mails sent or received by City of Tigard employees are subject to public record laws. If requested, e-mail may be disclosed to another party unless exempt from disclosure under Oregon Public Records Law. E-mails are retained by the City of Tigard in compliance with the Oregon Administrative Rules"City General Records Retention Schedule." 2 SUPPLEMENTAL PACKET FOR lt` - is, vo I a Carol Krager (11ATP (1F MFF.TTNC:) From: MB <mbrewin72@wesleyan.edu> " / jenS4 Hem 4 Sent: Monday, February 12, 2018 4:54 PM To: John Cook Cc: #Councilmail Subject: ! Public Testimony:YES on TMC 7.60.030 correction [24 hours] + minor Jan 2 minutes correction Importance: High Hi Mayor Cook, Councilors, and recorder(Carol): I am writing in support of staff recommendation per the amendment to TMC 7.60.030 [removal of stored or abandoned vehicle after notice given]: 24 hours J. This subject was initially discussed at the December hearing and then again at the January 2nd hearing, where staff had prepared revisions for it, and Commander McDonald also mentioned it in response to several questions from the council. This makes enforcement easier, more timely, and it also balances the extended new street parking limit(which was changed from 24 hours to a generous 72 hour limit). Recent changes to Chapter 7 regarding notice and removal have been clearly designed to make the Tigard PD enforcement and admin process less cumbersome or further delayed. The Jan. 2 draft minutes include: "Councilor Goodhouse asked about the abandoned vehicle change. Commander McDonald said they changed the language to 24-hours for removal of abandoned vehicles,unless staff determines the vehicle creates a hazard, and staff could remove the vehicle immediately. In addition, they are no longer required to send out a certified letter to the vehicle owner." "Mayor Cook asked if the code was simplified and certain sections more defined. Commander McDonald said they combined storage of vehicles and abandoned vehicles together under Tigard Municipal Code (TMC) 7.60. He said storing a vehicle is defined as parking a vehicle on the street for a period-of-time. In the proposed language, staff recommends changing the time limit to 72 hours;meaning that if someone parked their car on city streets on a Friday and did not move it until Monday morning when they left for work, they would not be in violation. He explained that abandoned vehicles would fall under the 24-hour timeframe and after that,it could be towed. Commander McDonald said they tried to find a good middle ground. " Following the presentations and questions at the Jan. 2 hearing, like others present I also thought council had included such change with the rest of the Chapter 7 amendments. This impression is confirmed by city staff, in the form of the current 7.60.030 amendment proposal: "WHEREAS, the January 2, 2018 update to the Tigard Municipal Code for Abandoned Vehicles,TMC 7.60, inadvertently omitted a planned code update; and WHEREAS, the intent of the January 2, 2018 update to TMC 7.60 was to decrease the waiting period for police removal of an abandoned or stored vehicle from five (5) days to twenty-four (24) hours; and WHEREAS, this proposed amendment fully implements Council's earlier intent; and 1 WHEREAS, the Tigard City Council has determined that the proposed code amendments are in the best interest of the City of Tigard. NOW,THEREFORE,THE CITY OF TIGARD ORDAINS AS FOLLOWS: Tigard Municipal Code Chapter 7.60.030 is amended as shown in"Exhibit A" (additional language underlined and deleted language stricken)." Also, I would like to correct 2 things in a paragraph of the draft minutes r.e. my testimony of Jan 2: Michael Brewin... said that unlike Tigard,Portland and Oregon City have a 24-hour parking limit on street storage of motor vehicles, and in addition,Portland, Oregon City and Milwaukie have strict standards regarding recreation vehicles. Mr. Brewin recommended Tigard adopt the same 24-hour maximum time. He said that over the years, city neighborhoods with curves have been negatively impacted by vehicle storage, as well as other neighborhoods such as Summerfield with policies in place that already restrict such activity. 1. Please edit/change the word "unlike" to "like", because at the time when I said it: "like Tigard, Portland and Oregon City have a 24-hour parking limit on street storage..." 2. Please amend/add: "neighborhoods with curves (or curbs)" Thank you. Submitted with Best Wishes, Michael Brewin SW Morgen Ct, Tigard 2 Exhibit A TIGARD MUNICIPAL Excerpt of Chapter 7.60 ABANDONED OR STORED VEHICLES. 7.60.030 Removal--Procedure. A. An abandoned or stored vehicle which remains in the same position, or has not been moved a minimum of five hundred feet from its earlier position for a period offer 0) days twenty four (24) hours (holidays, Saturdays and Sundays not included) after an owner has been requested to remove it or after notice has been served as required by Section 7.60.020, may be removed by the police department using their own personnel, equipment or facilities or those of others. (Ord. 97- 04; Ord. 92-31 §2, 1992; Ord. 90-04 §4, 1990: Ord. 73-24 §3, 1973). 3 AGENDA ITEM No. 6 Date: February 13, 2018 TESTIMONY SIGN-UP SHEETS Please sign on the following page(s) if you wish to testify before City Council on: CONSIDER AMENDMENT TO TMC CHAPTER 7.60 ABANDONED VEHICLES This is a City of Tigard public meeting,subject to the State of Oregon's public meeting and records laws. All written and oral testimony become part of the public record and is openly available to all members of the public. ,The names and addresses of persons who attend or participate in City of Tigard public meetings will be included in the meeting minutes, which is a public record. Due to Time Constraints City Council May Impose A Time Limit on Testimony AGENDA ITEM No. 6 Date: February 13, 2018 PLEASE PRINT This is a City of Tigard public meeting, subject to the State of Oregon's public meeting and records laws. All written and oral testimony become part of the public record and is openly available to all members of the public. The names and addresses of persons who attend or participate in City of Tigard public meetings will be included in the meeting minutes, which is a public record. Proponent—(Speaking In Favor) Opponent—(Speaking Against) Neutral Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. \(\ Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. AIS-3378 7• Business Meeting Meeting Date: 02/13/2018 Length (in minutes): 30 Minutes Agenda Title: CONSIDERATION OF LOCAL OPTION LEVY REFERRAL Prepared For: Marty Wine Submitted By: Carol Krager, Central Services Item Type: Motion Requested Meeting Type: Council Resolution Business Meeting- Main Public Hearing No Newspaper Legal Ad Required?: Public Hearing Publication Date in Newspaper: Information ISSUE Shall Council adopt a resolution referring a local option levy to Tigard voters for the May 15,2018 election? STAFF RECOMMENDATION /ACTION REQUEST Adopt a resolution referring the question of issuing a five-year operating levy to Tigard voters (prepared for adoption at the meeting of February 20). Consider draft ballot title for local option levy referral,and advise the City Attorney of desired changes. KEY FACTS AND INFORMATION SUMMARY For several years the City Council and Budget Committee have considered the challenges of providing day-to-day city services that continue to slowly erode. The city's general fund has a structural imbalance in which city revenues grow on average 3% each year,while cost growth averages about 4% each year.Tigard is unable to maintain current levels of service (police response times,library hours and programs,and maintaining parks) due to legal limits on revenue growth,while the Tigard community is growing,which increases the demand for the same services.The city has taken measures to curb cost growth and also expand general fund revenue sources over the last several years. Tigard has also considered requesting a local option levy of voters,to maintain and enhance the city programs that residents value. The City Council created the Levy and Bond Task Force with a unanimous vote in 2017 to advise the Council about how to address this situation.The Task Force convened in July,2017,and,after reviewing Tigard's financial situation,considered options to correct the concerns about revenue and expenses,and also the impact that budget reductions could have on the community. The Task Force presented a unanimous recommendation to the Council on December 12 2017 to pursue a local option levy above$1.00/$1000 AV to maintain and enhance city services. Council directed staff to develop alternative levy packages for consideration at the Council meeting of February 6 that would maintain and upgrade general fund services,including police,park maintenance,and library services. Upon consideration of alternatives, a majority of the Council supported the referral of an operating levy to Tigard voters of$1.18/$1000 AV and directed the City Attorney to draft a ballot title reflecting that recommendation. The Council further indicated preferred levels of investment to maintain and enhance selected general fund services.The Council will review the draft levy alternative with a presentation at the February 13 meeting. The Council resolution includes a draft ballot title (Exhibit 1).Adoption of the ordinance files notice of the call for election with the City Elections Officer,who will file the measure with Washington County by by March 15,2018. The ballot title is intended to simply describe the measure that will be placed before voters. It is composed of a caption (10 words),question (20 words),and summary (175 words). Statutory requirements include the caption identifying the type of tax to be levied;the question must include the name of the taxing district,the purpose of the tax,the first fiscal year and number of years that the tax will be imposed;and has required language to indicate if property taxes may increase more than three percent.The purpose of the measure must also be explained in plain language and not advocate for a yes or no answer. Finally,the estimated revenues for each year of the levy must be stated in the summary. OTHER ALTERNATIVES The City Council could choose not to refer an operating levy to voters,or may choose a later election to refer a levy to voters. COUNCIL OR TCDA GOALS, POLICIES,MASTER PLANS Consideration of a local option levy is part of Council's 2017-2019 goal to"Advance a Local Option Levy and Facilities Bond to Voters to Increase Resources and Space for Day-to-Day City Services." DATES OF PREVIOUS CONSIDERATION Council met with the Levy and Bond Advisory Task Force at the December 12,2017 council meeting to hear their recommendation and directed staff to develop alternative levy packages for consideration. On February 6,City Council considered alternative levy packages to determine whether,when and what should be included in a proposed operating levy. Attachments RESOLUTION BALLOT TITLE DRAFT AgendaQuick©2005-2018 Destiny Software Inc.,All Rights Reserved CITY OF TIGARD, OREGON DRAFT TIGARD CITY COUNCIL RESOLUTION NO. 18- A RESOLUTION APPROVING REFERRAL TO THE ELECTORS OF THE CITY OF TIGARD AT THE MAY 15, 2018 PRIMARY ELECTION, THE QUESTION OF WHETHER TO ISSUE A FIVE- YEAR OPERATING LEVY WHEREAS, a majority of the Tigard City Council has determined that the voters of the City of Tigard should be asked to vote on a five-year local option levy at a rate of $1.18 per $1,000 of assessed value, beginning July 1,2018,which will help the City maintain and expand its current level of services;and WHEREAS, Council has identified police services, sidewalks, parks and recreation, affordable housing programs,and library programs as the operating levy's funding priorities. NOW,THEREFORE,BE IT RESOLVED by the Tigard City Council that: SECTION 1: Election. An election is called in the City of Tigard for the purpose of submitting to the legal voters of the City a five-year local option levy at a rate of$1.18 per$1,000 of assessed value, beginning July 1,2018. The ballot title to appear on the ballot is attached and incorporated as Exhibit 1. SECTION 2: Election Conducted by Mail. The measure election will be held on Tuesday,May 15, 2018. The precinct for the election will be all of the territory within the corporate limits of the City of Tigard. As required by ORS 254.465 and ORS 254.470, the election will be conducted by mail by the Washington County Elections Department,according to the procedures adopted by the Oregon Secretary of State. SECTION 3: Notice of Ballot Title. The City Elections Officer is directed to publish notice of receipt of the ballot title in the Tigard Times or The Oregonian in compliance with ORS 250.275(5). SECTION 4: Ballot Title. Pursuant to ORS 250.285 and ORS 254.095,the Tigard City Council directs the City Elections Officer to file a notice of City Measure Election,with the Washington County Elections Office, unless, pursuant to a valid ballot title challenge, the Tigard City Council certifies a different Notice of City Measure Election be filed, such filing will occur no earlier than the eighth business day after the date on which the notice filed with the City Elections Officer and not later than March 15,2018. SECTION 5: Explanatory Statement. Pursuant to ORS 251.345 and TMC 1.12.050, the Tigard City Council directs the City Manager to prepare a Measure Explanatory Statement for publication in the county voters' pamphlet; said statement will be filed with the Washington County Elections Office at the same time the Notice of City Measure Election is filed by the City Elections Officer. SECTION 6: Delegation. The Tigard City Council authorizes the City Manager or a designee of the City Manager to act on behalf of the City of Tigard and to take such further action as is necessary RESOLUTION NO. 18- Page 1 DRAFT to carry out the intent and purposes herein in compliance with the applicable provisions of law. SECTION 7: This resolution is effective immediately upon passage. PASSED: This day of 2018. Mayor-City of Tigard A 1TEST: City Recorder-City of Tigard RESOLUTION NO. 18- Page 2 EXHIBIT 2 DRAFT CAPTION Operating levy to maintain and increase city services. QUESTION Shall Tigard issue five-year operating levy of$1.18 per$1,000,maintaining police,parks,libraries and sidewalks, beginning 2018-2019?This measure may cause property taxes to increase more than three percent. SUMMARY This measure would help pay for and increase city services,including police,park maintenance, library hours and programs, safe walking routes and sidewalks,and available housing options. Funding priorities would include: Police: • Reducing police response times • Increasing neighborhood patrols • Maintaining community policing and crime prevention • Investigating elder abuse,drug trafficking, theft and property crimes; • Retaining school resource officer program,peer court, and youth programs • Preserving traffic enforcement Parks and Recreation: • Maintaining parks,trails,playgrounds, sports fields,and natural areas • Watering and repairing sports fields;addressing graffiti and vandalism • Expanding recreation programs and activities Library: • Sustaining library programs and open hours • Increasing children's reading programs,multicultural resources,and programs for seniors • Expanding library collection Safety: • Delivering sidewalk improvements with a focus on safe walking and biking routes to schools • Preserving the Community Emergency Response Team(CERT) Housing: Creating affordable housing development program to increase housing options Accountability of funds will be provided through annual audits and oversight committee. Without this additional revenue,all general fund services,including police,park maintenance,library,and recreation,would be decreased. EXHIBIT 2 DRAFT Estimated revenues for each year of levy: $7,790,000 in 2019-20 $8,030,000 in 2020-21 $8,270,000 in 2021-22 $8,510,000 in 2022-23 $8,770,000 in 2023-24 EXHIBIT 1 CAPTION 4044) 44A)* Operating and capital levy to maintain and increase city services. QUESTION Shall Tigard issue operating and capital levy of$1.18 per$1,000,maintaining city services for five years,beginning 2018-2019? This measure may cause property taxes to increase more than three percent. SUMMARY This measure would help pay for and increase city services,including police,park maintenance, library hours and programs, safe walking routes and sidewalks,and affordable housing options. Funding priorities would include: Police: • Reducing police response times • Increasing neighborhood patrols • Maintaining community policing and crime prevention • Investigating elder abuse,drug trafficking,theft and property crimes • Retaining school resource officer program,peer court, and youth programs • Preserving traffic enforcement Parks and Recreation: • Maintaining parks, trails,playgrounds, sports fields, and natural areas • Watering and repairing sports fields; addressing graffiti and vandalism • Expanding recreation programs,activities,and events Library: • Sustaining library programs and open hours • Increasing programs and events for children and seniors • Expanding library collection Safety: • Delivering sidewalk improvements with a focus on safe walking and biking routes to schools • Preserving the Community Emergency Response Team (CERT) Housing: Creating affordable housing development program to increase housing options Accountability of funds will be provided through annual audits and oversight committee. Without this additional revenue, all general fund services,including police,park maintenance,library, and recreation,would be decreased. EXHIBIT 1 Estimated revenues for each year of levy: $7,790,000 in 2019-20 $8,030,000 in 2020-21 $8,270,000 in 2021-22 $8,510,000 in 2022-23 $8,770,000 in 2023-24 CITY OF TIGARD, OREGON TIGARD CITY COUNCIL RESOLUTION NO. 18- A RESOLUTION APPROVING REFERRAL TO THE F.TECTORS OF THE CITY OF TIGARD AT THE MAY 15, 2018 PRIMARY ELECTION, THE QUESTION OF WHETHER TO ISSUE A FIVE- YEAR OPERATING AND CAPITAL I.FVY WHEREAS, a majority of the Tigard City Council has determined that the voters of the City of Tigard should be asked to vote on a five-year operating and capital local option levy at a rate of$1.18 per$1,000 of assessed value, beginning July 1, 2018, which will help the City maintain and expand its current level of services;and WHEREAS, Council has identified police services, sidewalks, parks and recreation, affordable housing programs,and library programs as the operating levy's funding priorities. NOW,THEREFORE,BE IT RESOLVED by the Tigard City Council that: SECTION 1: Election. An election is called in the City of Tigard for the purpose of submitting to the legal voters of the City a five-year operating and capital local option levy at a rate of $1.18 per $1,000 of assessed value, beginning July 1, 2018. The ballot title to appear on the ballot is attached and incorporated as Exhibit 1. SECTION 2: Election Conducted by MaiL The measure election will be held on Tuesday, May 15, 2018. The precinct for the election will be all of the territory within the corporate limits of the City of Tigard. As required by ORS 254.465 and ORS 254.470,the election will be conducted by mail by the Washington County Elections Department, according to the procedures adopted by the Oregon Secretary of State. SECTION 3: Notice of Ballot Title. The City Elections Officer is directed to publish notice of receipt of the ballot title in the Tigard Times or The Oregonian in compliance with ORS 250.275(5). SECTION 4: Ballot Title. Pursuant to ORS 250.285 and ORS 254.095, the Tigard City Council directs the City Elections Officer to file a notice of City Measure Election,with the Washington County Elections Office, unless, pursuant to a valid ballot tide challenge, the Tigard City Council certifies a different Notice of City Measure Election be filed, such filing will occur no earlier than the eighth business day after the date on which the notice filed with the City Elections Officer and not later than March 15,2018. SECTION 5: Explanatory Statement. Pursuant to ORS 251.345 and TMC 1.12.050, the Tigard City Council directs the City Manager to prepare a Measure Explanatory Statement for publication in the county voters' pamphlet; said statement will be filed with the Washington County Elections Office at the same time the Notice of City Measure Election is filed by the City Elections Officer. SECTION 6: Delegation. The Tigard City Council authorizes the City Manager or a designee of the City Manager to act on behalf of the City of Tigard and to take such further action as is necessary RESOLUTION NO. 18- Page 1 to carry out the intent and purposes herein in compliance with the applicable provisions of law. SECTION 7: This resolution is effective immediately upon passage. PASSED: This day of 2018. Mayor-City of Tigard A I'I'EST: City Recorder- City of Tigard RESOLUTION NO. 18- Page 2 EXHIBIT 1 /4EN Oe p CAPTION Operating and capital levy to maintain and increase city services. QUESTION Shall Tigard issue operating and capital levy of$1.18 per$1,000,maintaining city services for five years,beginning 2018-2019? This measure may cause property taxes to increase more than three percent. SUMMARY This measure would help pay for and increase city services,including police,park maintenance, library hours and programs, and safe walking routes and sidewalks. Funding priorities would include: Police: • Reducing police response times • Increasing neighborhood patrols • Increasing traffic enforcement • Maintaining community policing and crime prevention • Investigating elder abuse, drug trafficking, theft and property crimes • Retaining school resource officer program,peer court, and youth programs Parks and Recreation: • Maintaining parks, trails,playgrounds, sports fields, and natural areas • Watering and repairing sports fields;addressing graffiti and vandalism • Expanding recreation programs,activities,and events Library: • Sustaining library programs and open hours • Increasing programs and events for children and seniors • Expanding library collection Safety: • Delivering sidewalk improvements with a focus on safe walking and biking routes to schools • Preserving the Community Emergency Response Team (CERT) Accountability of funds will be provided through annual performance and efficiency audits and oversight committee. Without this additional revenue,all general fund services,including police,park maintenance, library, and recreation,would be decreased. EXHIBIT 1 Estimated revenues for each year of levy: $7,790,000 in 2019-20 $8,030,000 in 2020-21 $8,270,000 in 2021-22 $8,510,000 in 2022-23 $8,770,000 in 2023-24 AGENDA ITEM No. 7 Date: February 13, 2018 TESTIMONY SIGN-UP SHEETS Please sign on the following page(s) if you wish to testify before City Council on: CONSIDERATION OF LOCAL OPTION LEVY This is a City of Tigard public meeting,subject to the State of Oregon's public meeting and records laws. All written and oral testimony become part of the public record and is openly available to all members of the public. The names and addresses of persons who attend or participate in City of Tigard public meetings will be included in the meeting minutes, which is a public record. Due to Time Constraints City Council May Impose A Time Limit on Testimony AGENDA ITEM No. 7 Date: February 13, 2018 PLEASE PRINT This is a City of Tigard public meeting, subject to the State of Oregon's public meeting and records laws. All written and oral testimony become part of the public record and is openly ; r / available to all members of the public. The names and addresses of persons who attend or j t participate in City of Tigard public meetings will be included in the meeting minutes, which is a public record. Proponent—(Speaking In Favor) Opponent—(Speaking Against) Neutral Name,Address&Phone No. Name, -address&Phone No. Name,Address&Phone No. Gs- lirhiNJod(,(A. 1\ I"ta 41" Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. t) tt— Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. Name,Address&Phone No. SUPPLEMENTAL PACT FOR a -r 3 -ao (DATE OF MEETING) Tuesday, February 13, 2018 Chris Middaugh 11475 SW 94th Ave Tigard,OR 97223 Statement of Support for Tigard's Local Option Levy I am in full support of the levy. The levy will: • Add stability to the city's finances • Preserve quality of services • Preserve continuity of services • Save money • Be fiscally responsible • Be specifically accountable Comparison of Police and Library Costs in the Area (Spending efficiency) 2017 Police Library Adopted Cost Per Cost Per 2017 Adopted library Person Per Person Per City Population Police Budget budget Per Year Month Per Year Month Tigard 50,787 16,942,518.00 5,971,146.00 333.60 27.80 117.57 9.80 Beaverton 94,215 30,248,321.00 9,774,361.00 321.06 26.75 103.75 8.65 Portland 639,863 211,271,126.00 *a 330.18 27.52 Tualatin 26,840 7,739,710.00 2,241,875.00 288.36 24.03 83.53 6.96 King City 3,817 1,311,635.00 *b 343.63 28.64 Lake Oswego 37,490 14,435,417.00 5,548,422.00 385.05 32.09 148.00 12.33 Sherwood 19,145 3,788,527.00 *c 197.89 16.49 *a—I couldn't find a library budget for Portland. Maybe it is fully funded by Multnomah county. *b—I couldn't find a library budget for King City. Police budget includes$268,200 received from a local option levy. *c-Sherwood's budget doesn't have an item specific to the library. It falls under Community Services. / & k eif Councilor Woodard Local Option Levy Opposition Statement," 13 February 2018 Cc On 6 Feb 2018, at our Council Business Meeting-in consideration of a Local Option Levy referral to voters this May... I adamantly opposed the Local Option Levy at this time and still do today. My reason not to refer a local option levy to voters is for lack of an annual City Performance Audit. Once a City Performance audit is complete, I believe the audit findings will result in immediate near and future cost savings for tax payers while expanding general fund resource opportunities. If a City performance audit is not done before voter approval of a local option levy— City government will not change its"status quo operations or leadership course and culture." If the local option levy is approved by the voter this May—the revenues collected will not be enough to sustain the City operations growth appetite... and future councils will come back looking for another local option levy at increased values. I need to make a statement regarding the fine men and women that work very hard at providing city government services and programs. "In no way do I suggest or intend to state the rank-and-file don't work hard to provide quality city services; and I thank them for their hard work and dedication to public service." Instead - I hold City leadership accountable for city performance inefficiencies including myself-because as city and community leaders we should fight hard to ensure employees receive the oversight and management tools they need to manage and run operations as efficient as possible. To view my Full Statement on 6 Feb 2018 Council Business Meeting in Opposition to Local Option Levy- Request a full copy of my statement from the city recorder or watch the full video coverage on TVCTV [http://www.tigard- or.gov/city_hall/mayor_and_city_council.php],found at the City website. I've attended the National League of Cities Conference (NLC) on multiple occasions and have taken many Economic Development and City Business and Revenues Seminars in Wash DC,from 2011 to present. To include revenues generation and cost of efficient operation seminars within the NRPA(National Recreation and Parks Assoc.) and ORPA (Oregon Recreation and Parks Assoc.) annual conferences. You the tax payer have paid my expenses to represent you as a city delegate and bring back State and City grant information,economic,recreation and business operations knowledge and other information. I've also attended Oglebay Resort in West Virginia where the NRPA, holds a 3 day training seminars for beginning and advanced Revenues Courses-Years 1 &2. What I've learned from all of my training relative to City operations, economic development, city recreation,public process,policy and project prioritization and public outreach... there is one common denominator and message that never waivers; "City government must operate and compete more like private business— `Especially if it hopes to attract young families and hang onto its most senior and active adult SUPPLEMENTAL PACKET FOR _ -1 3 - ao t (DATE OF MEETING) Councilor Woodard Local Option Levy Opposition Statement," 13 February 2018 demographic tax base...by providing competitive City services in the place they live, work,play and spend leisurely time." There is one department within city governments that run with businesslike efficiency and precision. It is a mature City Recreation department with a seasoned recreation manager. The NRPA leadership follows similar principled business practices that demand cost recovery of operations,while using less tax subsidies and hopefully generate a small profit and further free up the general fund. It is their principled business practices that can be shared and integrated into other City government operations. This is called "cross-training and sharing of best-in-class business practices." Another clarification again needs reiteration. As I've stated within my 6 February 2018 statement-The City is required to perform an annual financial audit with citizen oversight committee. However this audit is not to be confused with a City Performance Audit. The annual City Financial audit function is more in line with complying with finance auditing standards generally accepted in the United States. With"reasonable assurance about whether the City's financial statements are free of material misstatement and which sets the context of the budget message for annual budget review and process."Although the Cities financial audit passes annually with flying colors... The financial audit doesn't measure how efficiently a city operates and spends tax payer's money. At this point I feel confident in saying"the public is being asked to subsidize bigger government and growth and development without city leadership making an annual commitment to City performance audits— that can help curb growth,recalibrate and redirect leadership decisions; and make more cost effective operational adjustments in real time. "If leaderships doesn't value tax payer cost savings and operational efficiency planning strategies and department tactical oversight tools; then financial casualties will occur on the backs of hard working families and those on fixed incomes." There is time to change this ship's course to operate more businesslike. And that's why I recommend the Local Option Referral to voters be held off until May or November of 2019... and until a commitment to City performance audit is complete and oversight improvements made. Absent a commitment to Annual City Performance audit... In my opinion, "city leaders, boards, committees and Task Force members will continue to make budget and city priority decisions based on a prior and current City budget messages that leave out half the spends efficiency equation —needed to make prudent,balanced and equitable decisions during budget appropriations process. City government must be held to a high oversight operational efficiency and transparency standard before a local option levy request of the tax payer occurs. City council's outreach message to the public must be inclusive and messaged using up-to- Councilor Woodard Local Option Levy Opposition Statement," 13 February 2018 date operational oversight efficiency data information. In this way the message to the tax payer is clear. "We've operated as efficiently as possible and will only ask for tax increases when we're able to show Best-In-Class Business Operations efficiency reports that detail the need. Thank you for the time to make the statement. Councilor Woodard . .._....... ............ CITY OF TIGARD Respect and Care I Do the Right Thing I Get it Done 111111 I TIGARD Consideration of Local Option Levy Referral A bith. ; .. 7..:241,44:.,..,i0.4,.....40.,, I _...„.„,..„0.,\,,,,tk.,.. 1, .., .,i, ""‘-, - - A ,. ' ritkillibi, 0,,,, , 1I IT i_ 1jjiL 'ii.. OM! T 1 ` ;- February 13, 2018 ( ) I 1 ' 1 ( ; \ K D Consideration of Local Option Levy Referral Background Past several proposed budgets suggest slowly eroding day-to-day service levels. Revenues only increase by an average of 3.5% and expenses grow at about 4% annually. City is unable to simply maintain current levels of service. Why? State law limits revenue growth. Tigard is growing, increasing the demand for those same services. Continuing on this path makes service erosion more evident. / 2016-17 Budget Committee recommended exploring local option levy. ( : I `I' Y 0 I : TIGARD Consideration of Local Option Levy Referral Background Levy and Bond Task Force Reviewed Tigard's financial situation, including forecasts, expenses, revenues, and tax structures. Considered options to correct the concerns about revenue and expenses, as well as the impact cuts or improvements could have upon the community. ► In December 2017, the task force unanimously recommended Tigard seek a levy option. 1 If voters approve a levy, the task force stressed the need for accountability & transparency. 44, • et_ s ( : 1 1 " O I1 1 ( ; .A R 1 ) Consideration of Local Option Levy Referral Purpose of Tonight's Discussion Advise City Attorney of changes to draft resolution and ballot title Ofr Review Council guidance from February 6, 2018 and make final decision on levy amount and services Direct staff to bring final documents for Council action on February 20, 2018 ( ; I 1, Y ( ) I , I I ( , \ R 1 ) Consideration of Local Option Levy Referral Levy Elements: Police Operations FUNDING: $800K PRIORITIES Reducing police response times 1 " _ ,n,,ryc�".`a";" r � Ctlahr�ting� ,11 Increasing neighborhood patrolsa "� a. ;-,1t;''�� ` cess �- �,� � i. 1 Maintaining community policing and crime , 1 ;, , �evrla 'p ') T c . r preventionc.._ ,,,.. - i 1 Investigating elder abuse, drug trafficking, r theft and property crimes; _ . ) 111111 1 Retaining school resource officer program, peer court, and youth programs `� - ,4 0, 1 Preserving traffic enforcement CITY OF 'l 1 C A R D Consideration of a Local Option Levy Referral Levy Elements: Parks Maintenance FUNDING: $200k PRIORITIES ` • •C.: xX ..:'44:' F { %. Maintaining parks, trails, ,}., j �. .) ' "` ,' , . playgrounds, sports fields, and • ,k:. T ,4. ::::j '4'1"‘t.'...s;:1 : • '''''T'',:,46.'.7,1"er:natural areas { µ t � E � � .4. 74 4., AL 4 max. I I • Watering and repairing sports fields; , , - r = .._: • addressing graffiti and vandalism - • CITY n F TIGARD Consideration of a Local Option Levy Referral Levy Elements: Recreation Program FUNDING: $250K PRIORITIES 1 Increased recreation opportunities. ., . ,.:.iw„„,,,„, ...„, %a 4.1.0 ),; tz.4- , .71:, --,,,, -.4 w,,, :. ,, ,, i ... s Continue to expand community4.,... 41/ $ 4.;;,,,,... , - lar programs and events. — VAS 4 tvio r � . ,► .- I Continues progress of Recreation ,rill ,, Program towards the original recreation study vision. ( ; 1 1 ' ( l ' I I ( , \ 1Z 1 ) Consideration of a Local Option Levy Referral Levy Elements: Library FUNDING: $435K PRIORITIES / Sustaining library programs and open hours - fh Increasing children's reading programs, 1� ; _ 411 multicultural resources, and programs for i seniors 3 ' a 1 Expanding library collection , , -•� CITY OF TIGARD Consideration of a Local Option Levy Referral Levy Elements: Sidewalks & Safe Routes FUNDING: $750K r ,sir r� 3) c:'".. .gid tit �, 1' v �' PRIORITIES ` k ,� ? � ri' Build priority sidewalks identified I I 1' 1I 1 li '1 z II in the sidewalk improvement = ,00, _ ' , plan. i 1 � � sir 1 Construct projects directly related to Safe Routes to School priorities. .x.. CITY O F TIGARD Consideration of a Local Option Levy Referral Levy Elements: Community Emergency Response Team (CERT) FUNDING: Up to $40K PRIORITIES 4 / Preserves the CERT (Community Emergency Response Team) 11-41, 1 Assists with responses to emergencies -- .v in Tigard ,e fit 1 Continues to improve community resiliency ( : I T Y 0 F T I G A R D Consideration of a Local Option Levy Referral Levy Elements - Affordable Housing Development Program FUNDING: $200K PRIORITIES Creating affordable housing development program -- --- M to increase housing options, 11 tlI TH'EKNOLL 1 Opportunities to incentivize affordable housing AT development by private and nonprofit developers TIGARD Leverage the City's assistance with county, state, and federal programs focused on increasing available housing ( I T Y OF TIG ARD Consideration of a Local Option Levy Referral Levy Elements: Community Services FUNDING: $700K PRIORITIES ► Continues economic development, community development, internships and fellowships, facilities maintenance, public records support, and code compliance. Provides funding for general government needs. / Continues the Social Service and Community Event Grant program. ( TTYO F TIGARD Consideration of a Local Option Levy Referral Levy Elements: 10-year Levy Rate Stability Fund FUNDING: $4.425M PRIORITIES 1 Ensure that the levy tax rate is unchanged for the next decade. Ensures city can fund service growth to match community growth for the next decade. / As service costs and the community grow, annual amount contributed to the fund will decrease in the first five years. 1 Provides transparency for use of levy funds. ITY OF TIGARD Local Option Levy Referral — Council Direction February 6, 2018 Progra $1.18 per thousand Police $800,000 Park Maintenance $200,000 Recreation $250,000 Library $435,000 Sidewalks & Safe Routes to School $750,000 Community Emergency Response Team $40,000 Affordable Housing Development Program $200,000 Community Services $700,000 Levy Rate Stability Fund* $4,425,000 Total $7,800,000 *Note: Levy packages are sustainable for 10 years, ensuring that taxes would not be raised by at least ten years and that the level of service supported by the levy will be maintained for ten years. To achieve this requires setting aside funds in the early years to be used in later years. ( ; 1 1 O 1 'I ' 1 G .A RD Consideration of Local Option Levy Referral Council Options 1 When Budget Committee recommended exploring a local option levy during FY 2016-17 meetings, Tigard's Assessed Value (AV) was $6 billion. This has been our AV for planning purposes. 1 With implementation two years later in FY 2018-19, Tigard's Assessed Value will be $6.6 billion. / The higher AV provides Council with options: Implement the services at a lower levy rate Further enhance services Increase sustainability Combination ( : ] T Y OF T I G A RD Local Option Levy Referral — Council Options Program $1.18 per thousand $1.05 per thousand Police $800,000 $800,000 Park Maintenance $200,000 $200,000 Recreation $250,000 $250,000 Library $435,000 $435,000 Sidewalks & Safe Routes to School $750,000 $750,000 Community Emergency Response Team $40,000 $40,000 Affordable Housing Development Program $200,000 $200,000 Community Services $700,000 $700,000 Further Service Enhancement (discussion item) $800,000 $0 Levy Rate Stability Fund $3,625,000 $3,525,000 Total $7,800,000 $6,900,000 *Note: Levy packages are sustainable for 10 years, ensuring that taxes would not be raised by at least ten years and that the level of service supported by the levy will be maintained for ten years. To achieve this requires setting aside funds in the early years to be used in later years. I T Y OF TIGARD Consideration of a Local Option Levy Referral Optional Element: Annual Audits and Oversight FUNDING: $140K PRIORITIES Regular performance audits to determine operational efficiencies. ► Levy oversight provided by citizen committee. Provides transparency and accountability for use of levy funds as recommended by Levy and Bond Task Force. CIT O I T I GAR 1 ) Range of Council Options ► Both options are Impact of LevyTigard Home sustainable for 10 years p on g ► At $1. 18/$1,000, Council Market Value $390,000 could enhance services Assessed Value $250,000 ► At $1.05/$1,000, the levy Current Total Property Tax $4,300 will maintain and enhance services Cost of $1.18/$1,000 AV $295 ► Each penny of levy is about Cost of $1.05/$1,000 AV $263 $60-$70K in services and $2.50 per year for a Tigard home. CITY OF TIGARD Consideration of Local Option Levy Referral / Council Deliberation & Discussion Advise City Attorney of any changes to ballot title language Which services and levy rate does Council want to refer to voters? Direct staff to return February 20, 2018 with final resolution and ballot title for Council consideration