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Resolution No. 87-23 F— _ 0 CITY OF TIGARD, OREGON RESOLUTION NO. 87_23 A RESOLUTION OF THE TIGARD CITY COUNCIL. FORWARDING THE PROPERTY OWNERS' REQUEST FOR INCLUSION IN SOUTH METZGER ANNEXATION PROPOSAL 82344 TO THE BOUNDARY COMMISSION. WHEREAS, property owners have approached the City of Tigard and indicated their desire for inclusion in the South Metzger Annexation Proposal (#2344); and WHEREAS, the Portland Metropolitan Area Local Government Boundary Commission has scheduled this proposal for a public hearing on February 12, 1987; and WHEREAS, the Tigard City Council has accepted the Preannexation Agreement as an alternative to litigation and defers the request of the property owners to the Boundary Commission for consideration, and have reached agreement stating that fact. NOW, THEREFORE, BE IT RESOLVED by the Tigard City Council what: Section 1: The Tigard City Council accepts the request of property owners to have the Boundary Commission amend the boundary of the South Metzger Annexation Proposal consistent with the terms of the attached agreement (Exhibit "A"). Section 2: The Tigard City Council hereby authorizes the Mayor to carryout any actions to support the intent of the resolution. Section 3: The Tigard City Council further directs the City Recorder to file a certified copy of this resolution with the Boundary Commission immediately. PASSED: This 11th day of February 1987. Mayor — City of Tigard ATTEST: 6ityity Recorder City of Tigard 1.c. RESOLUTION NO. 87-23 1w/4511A exhibit 'A' PREANNEXATION AGREEMENT THIS AGREEMENT is made and entered into by and between the City of Tigard, Oregon, a political subdivision of the State of Oregon (herein the "City of Tigard"), the May Department Stores Company, a corporation (herein the "May Company"), Sears, Roebuck & Co., a corporation (herein "Sears"), tie Dayton Hudson Corporation, a corporation, and Washington `"quare Plaza, an Ohio general partnership ;herein collectively "Target"), Lilly Palmblad (herein 'Palmblad"), Nesbitt Partners Portland Venture, a limited partnership (herein "Nesbitt Partners"), Square Land Co., Ltd. , an Oregon limited partnership (herein "Square Land"), Fringe Land Ore. Ltd., an Oregon limited partnership (herein "Fringe Land"), Washington Square, Inc., a Washington corporation (herein "Washington Square") ane Winmar Pacific, Inc. , an Oregon corporation (herein "Winmar") . May Company, Sears, Target, Palmblad, Nesbitt Partners, Square Land, Fringe Land, Washington Square and Winmar are herein sometimes collectively referred to as "Owners". R E C I T A L S; A. Owners, either directly or indirectly, own an interest in certain real property located in Washington County, Oregon, which real property is outlined in red on the map attached Or hereto as Exhibit "A" (herein the "Real Property") . As soon c as possible hereafter, the legal description of the Real Property shall be attached hereto and made a part hereof. The Real Property is within the area commonly referred to as the "Washington Square Area," a map of which is attached hereto as Exhibit "B." B. The City of Tigard desires to annex the Real Property. Owners are willing to cooperate with the City of Tigard with respect to the annexation of the Real Property to the City of Tigard, upon certain terms and conditions. NOW, THEREFORE, for good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, the parties hereto agree as follows: 1. Agreement to Participate in Annexation Proceedings. Owners hereby agree, subject to the terms and conditions set forth herein, to cooperate with the City of Tigard to cause the Real Property to be annexed to the City of Tigard. The City of Tigard and Owners hereby agree to take whatever steps and actions are necessary to cause the Real Property to be annexed to the City of Tigard. The City of Tigard and owners acknowledge and agree that despite their respective desires to cause the Real Property to become annexed to the City of Tigard that the Portland Metropolitan Area Local Government Boundary Commission (herein "Boundary Commission") must approve the annexation. In the event that the Boundary Commission fails to approve the annexation of the Reay Property to the City of Tigard, before July 31, 1987, on the terms 2 - PREANNEXATION AGREEMIENT and conditions set forth herein, this Agreement shall be null and void and of no further force and effect and none of the parties shall have any `urther obligation with respect to this Agreement. 2. Cooperation. Owners and the City of Tigard agree to cooperate with each other with respect to the annexation of the Real Property to the City of Tigard. Each party shall appear before, and present evidence to, the Boundary Commission supporting this proposed annexation, including, without limitation, presenting financial information and other facts which justify the phase-in of the property taxes set forth in paragraph 3 below. The proposed annexation of the Real Property shall be continued pursuant to the present annexation proceedings, unless otherwise directed by the Boundary Commission. In the event that the Boundary Commission or its staff specifies another procedure relating to the annexation of the Real Property, the City of Tigard and Owners agree to follow such procedure with respect to the annexation of the Real Property. 3. Phase-In of Property Taxes. 3.1 ORS 222.111(3) provides, inter alfa, for the phase-in of property taxes over a period of ten (10) years for property which is the subject of annexation into a city. For purposes of this Agreement, the term "Specified Ratio" shall mean the percentage referenced below of the highest applicable rate of taxation in the City of Tigard applicable IE to other property within the City of Tigard for each of the 3 - PREANNEXATION AGREEMENT I rPr E i I fiscal years set forth below. The Washington Square Area includes the Real Property which shall be taxed at the Specified Ratio set forth opposite the applicable fiscal year set as set forth below: Tax Year Ratio 3.1.1 1987-1988 15% 3.1.2 1988-1989 25€ 3.1.3 1989-1990 50% 3.1.4 1990-1991 60% 3.1.5 1991-1992 70% 3.1.6 1992-1993 80% 3.1.7 1993-1994 90% 3.1.8 1994-1995 100% 3.2 in the event that the Real Property is not included by the County Assessor of Washington County on the tax rolls as being in the City of Tigard for tax year 1987-88, the Specified Ratio for tax year 1988-89 shall be forty percent (40%) rather than twenty-five percent (25$) as provided for in Section 3.1.1 above. 3.3 The City of Tigard agrees to the Specified Ratios set forth in Section 3.1 for the phase in of property taxes for the reasons, among others, set forth below: 3.3.1 Certain owners of the Rea' Property now, and in the immediately foreseeable future, provide full time security services at their own cost and expense. Such services substantially reduce the extent and cost of police services the City of Tigard would otherwise be required to provide to the Real Property. 4 - PREANNEXATION AGREEMENT � 4 iI I ` 3.3.2 Certain Owners of the Real Property are voluntarily participating in a local improvement district to accomplish certain major offsite road and traffic improvement facilities, including full signalization of Hall Boulevard and Scholls Ferry Road, which will reduce the impact the Real Property may have on the City of Tigard. 3,3.3 Certain Owners of the Real Property own and maintain, at their sole cost and expense, a private storm sewer system for surface waters orginating from the Real Property. This system further reduces potential impact in the City of Tigard. 3.3.4 The Owners of the Real Property are provided other municipal type services from various service districts other than the City of Tigard, including, among others, fire protection and sanitary sewer services. 3.3.5 The City of Tigard will receive additional revenue, other than from property taxes, on account of the Real Property being annexed to the City of Tigard. 3.3.6 Certain Owners of the Real Property maintain, at their cost and expense, the internal roads and streets located in the Washinc,-on Square Area, which roads are utilized by members of the general public. 3.3.7 The Owners of the Real Property now participate and will continue to participate in the Metzger Park Local Improvement District. 5 - PREANNEXATION AGREEMENT i 4. Specific Performance. In consideration of the mutual promises set forth herein each party shall. use its best efforts to effectuate all provisions of this Agreement and agree that the remedy of specific performance is available to enforce any provision. 5. Contest of Agreement. In the event that this Agreement, in whole or in part, is the subject of legal proceedings, the parties hereto shall cooperate with each other with respect to the defense i of such challenge. All attorney fees incurred by the parties hereto with respect to any such legal proceedings shall be shared 50$ by the City of Tigard and 508 by Owners. 6. Counterparts. This Agreement may be executed in one or more i counterparts, all of which shall be considered one and the same agreement, and shall be effective when one or more counterparts have been duly executed and delivered by each of the parties hereto. IN WITNESS WHEREOF, each of the parties have executed this Agreement on the date below their signature. i THE CITY OF TIGARD, OREGON, a political subdivision of the State of Oregon By: Thomas M. Brian, Mayor Dated: WINMAR PACIFIC, INC., an Oregon corporation By: 49 Its: Dated: 6 - PREANNEXATION AGREEMENT i FRINGE LAND ORE., LTD., an Oregon limited partnership By: Winmar Pacific, Inc., an Oregon corporation By: Its: General Partner Dated: SQUARE LAND CO., LTD., an Oregon limited partnership By: Winmar Pacific, Inc., an Oregon corporation By: Its: General Partner Dated: INA.SHINGTON SQUARE, INC., a Washington corporation By: Its: Dated: Lilly Palmblad Dated: THE MAY DEPARTMENT STORES COMPANY, a corporation Its: Date THE DAYTON HUDSON CORPORATION; a corporation By Its: bated: i I 7 - PREAt-INEXA•TION AGREEMENT I I WASHINGTON SQUARE. PLAZA, an Ohio general partnership By: Its• Dated• NE,SBITT PARTNERS PORTLAND VENTURE, a limited partnership By: Patrick Nesbitt Its: General Partner Dated: SEARS, ROEBUCK & CO., a corporation By: Its: Dated: - 8 - PREANNEXATION AGREEMENT ■ r h �t JIIO■■ I� .— ♦. � y..�- �11�11 - .■ ��, �� `�m.!:1 1111 �. �� ��i� 1/tom H///■ ..—■ ■.■. ■ �� RUN u111�1�1.' ' .. .. 1.i11i u/1■■ �eh `.��\/iN►p ■\: ����1�1 ��IC:CF�'�� 1�=N � ua '•� �..111�11�=iia—■:r J �MILE � " D•111■MIi9 cam Ga--��— ��•�'� �i/loll., r ■� .. ' i- .. :Unn nt'h 1!P■..—i .' ::.f�iH r . ■.111 It ■ 1/�1 ■ �,. i, ;►wrr���nM� . ■q "'■ 1111 P :I ' �1.■. ti.� . .n■■n■. 'ir :� - _—rte.,_C�1 t1�`I, ■h �- M■ == ..h� c ■• • /nese � Mira, e•� ►� �i m.- ■_�,_.,- :111: —1o.,..s� — - Z ail WA _ 1 a ■a H. .u. �_._._'...... 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