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TVF&R ~ MEMORANDUM OF UNDERSTANDING between TUALATIN VALLEY FIRE AND RESCUE and THE CITY OF TIGARD December 5, 2006 JOINT DEVELOPMEN.T.OF THE WALNUT STREET FIRE STATION AND EXPANSION AND IMPROVEMENT OF JACK PARK This Memorandum of Understanding (MOU) is entered into ,between Tualatin Valley Fire and Rescue, hereinafter referred to as "TVF&R," and the City of Tigard, hereinafter referred to as "Tigard." A. PURPOSE The purpose of this MOU is to put in writing the parties' understanding as to the responsibilities related to the joint development of TVF&R's.Walnut Street Fire Station and the expansion and-: improvement of Tigard's-jack Park. The parties recognize that the transaction will require further documentation and approvals, including the preparation and approval of formal agreements; nevertheless, they execute this letter to evidence their intention to proceed in mutual good faith to complete work required to negotiate terms of an agreement that are'consistent with this MOU. B. RECITALS 1. In June of 2006, TVF&R purchased land, (tax lot 2S104AD04500), located at 12585 SW Walnut Street in Tigard: TVF&R intends to build a new fire station on the site. 2. With regard to the Walnut Street parcel, TVF&R currently estimates that approximately .75 acres of developable land and 1.2 acres of open space will not be needed for the new fire station project. 3. 7igard's Jack Park abuts the TVF&R property to the north and Tigard is interested in participating in TVF&R's project and ultimately purchasing the surplus real property, to expand_ Jack Park, provide public access to the park via Walnut Street, and to construct park improvements such as a parking area and park signage. TVF&R/Tigard MOU 12/5/06 Joint Development of the Walnut Street Fire Station and Expansion and Improvement of Jack Park Page 1 of 6 C. UNDERSTANDINGS 1. Joint Project The parties anticipate TVF&R will develop the fire station and be responsible for costs associated with the fire station and Tigard will develop the park and be responsible for costs associated with the park. The parties also contemplate there will be shared amenities'and improvements, possibly including shared,parking and driveways, and the parties will share the costs of shared improvements according to anticipated usage of those improvements.' As detailed below, the parties also contemplate an expanded community room in the fire station that will be available for use by Tigard. 2. Purchase of Surplus Land TVF&R agrees to sell any developable land and open space surplus property at the new Walnut Street property to Tigard. Tigard agrees to purchase both the surplus developable land and open space provided the property,facilitates access between Jack Park and Walnut Street and is sizeable enough to provide public benefit in the form of improved park facilities and/or access. 3. Purchase Price TVF8&R and Tigard agree the surplus land will be sold/purchased for $130,000 per acre for greenways and $250,000 per acre for developable land. These figures are based on Table 3.8, Residential and Non-Residential Growth-Required New Facility Costs, (Attachment 1), of the `Tigard.Parks and Recreation System Development Charges Methodology Update, dated November 10, 2004. 4. Planning TVF&R and Tigard will work cooperatively to partition the property and to file a joint land use application for 'the fire station and .park expansion/improvements. TVF&R will provide Tigard with a deed.to the surplus property following the partition approval and recording of the partition plat. Nothing in this MOU commits the City in its role as a land use decision-maker to approve any application for development approval or land division. TVF&R/Tigard MOU 12/5/06 Joint Development of the Walnut Street Fire Station and Expansion and Improvement of Jack Park Page 2 of 6 5. Cost Estimate Prior to construction, TVF&R will furnish Tigard with a. cost estimate, .detailing Tigard's proportionate share of the project costs attributable-to shared facilities or improvements. Tigard will have no responsibility to pay unless and until Tigard agrees to the project and costs proposed by TVF&R. 6. Other Costs TVF&R and Tigard agree to share costs for the land use consultant and landscape architect. Landscape architect costs and. land use consultant's costs shall be apportioned based on anticipated use by each party of the: facilities that are included within the joint application,or plans. Examples of possible cost apportionment are attached as Attachment 2. Tigard will pay for all public improvements conditioned solely on the park expansion/improvements and TVF&R will pay for` all public improvements conditioned solely on construction of the fire station::Public, Improvements related to both the park and the,. fire station, such the parking area, will be shared proportionately based on the`estimated use of the improvement. Public improvements based on frontage or.area will be based on the frontage or area owned by each.party. TVF&R and Tigard will share in funding an enhanced community room which will be owned and managed by TVF&R and can be used by Tigard, at'no cost and subject to availability, for city-sponsored meetings, community events and recreational activities. Enhancing the room means' the 'community room will, be larger and offer more amenities than a typical community room at other TVF&R'facilities. 7. Payments TVF&R will be the paying agency for both parties on any part of the project that is not solely related to park expansion and/or improvements. Prior to construction, TVF&R and Tigard will develop a mutually agreeable payment process and schedule. 8. Project Management TVF&R agrees to manage the project and will work cooperatively .with Tigard to provide access and updates to Tigard. TVF&R/Tigard MOV 12/5/06 Joint Development of the Walnut Street Fire Station and Expansion and Improvement!of Jack Park Page 3 of 6 D. MODIFICATION Modifications to this MOU will be made by the mutual written consent of both parties. E. TERMINATION Either party may terminate this MOU by providing notice of termination. F. COMMENCEMENT/EXPIRATION DATE This MOU is executed as of the date of the last signature and'is effective through December 31, 2008, at which time it will expire unless extended by the mutual written consent of both parties. G. PRINCIPAL CONTACTS The principal contacts for the MOU are: Gary Wells Dennis Koellermeier Director of Logistics k Public Works Director Tualatin Valley Fire & Rescue City of Tigard 20665 SW Blanton Street 13125 SW Hall-Blvd. Aloha OR 97007 Tigard OR .97223 gary.wells@tvfr.com dennis@tgard-or.gov 503.642.0331 -Phone 503.639.4171 x2596 -Phone 503.642.9655- Fax 503.684.8840- Fax H. PARTIES TO THIS AGREEMENT This MOU is executed by authorized representatives of the parties as evidenced by their representative's'signatures on the attached signature pages. The;parties understand that this MOU sets forth the intent of the parties only, and may not be relied on as the basis for a contract by estoppel or the basis for a claim based on detrimental reliance or any other theory to enter into such developmental agreements. TVF&R/Tigard MOU 12/5/06 Joint Development of the Walnut.Street Fire Station and Expansion and Improvement of Jack Park Page 4 of 6 Tualatin Valley Fire &Rescue: Signature: Title: 2>= .�.� Date: 1Z TVF&R/Tigard MOU 12/5/06 Joint Development of the Walnut Street Fire Station and Expansion and Improvement of Jack Park Page 5 of 6 City of Tigard: J Sig_nature: Title: I 1 1 LSV Date: �� TVF&R/Tigard MOU 12/5/2006 Joint Development of the Walnut Street Fire Station and Expansion and Improvement of Jack Park Page 6 of 6 Attachment 1 There are deficiencies in the number of acres of Neighborhood Parks, Community Parks, and Greenways; and in the miles of Trails available to serve; current residents and employees. Improvement fee SDC revenues must.be used only for growth needs, and may not be used to remedy deficiencies. Alternative non-SDC revenues must he used to repair deficiencies. E. New Facility Costs The SDC Parks Capacity Improvements Program (PCIP), included as Appendix A, identifies new facilities needed to serve parks and recreation needs of the City through the year 2008. Table 3.8, below, shows a breakout of residential and non-residential share of costs for these new facilities. Because employees need fewer facilities than those required for a resident, the ` residential share of growth costs is 88.1% of the total for. those facilities that benefit both residential and non-residential development(i.e., community parks, linear parks, etc.), and 100% for those facilities that benefit residential development only(e.g.,,neighborhood parks).. TABLE 3.8 RESIDENTIAL AND NON-RESIDENTIAL GROWTIH-REQUIRED NEW FACILITY COSTS Cost Per Total New New Facility Residential Non-Residential Facility Unit Facility Costs Growth Costs Growth Costs Growth Costs Neighborhood Parks(acres)* $410,000 $8,503,400 $1,472,310 $1,472,310 $ 0 Community Parks(acres)** 440,000 8,800,000 4,769,600 4,202,018 567,582 Greenways(acres)*** 130,000 6,175,000 2,527,200 2,226,463 300,737 Linear Parks(acres)# 230,000 639,400 639,400 563,311 76,089 Trails(miles)## 520,000 2,657,200 603;200 531,419 71,781 Totals $26,775,000 $10,011,710 $8,995,521 $1,016,189 Percentage of Growth Costs 89.8% 10.2% *Neighborhood Parks are considered to benefit residential population only;cost per unit is based on land at $250,000 per acre and development at$160,000 per acre. Land cost estimate,is based on a review of recent similar acquisitions by the cities of Sherwood,Tigard,Tualatin and Hillsboro,and by-the Tualatin Hills.Park&Recreation District. Development:cost assumes that approximately$10,000 per acre.in costs will be donated through tree mitigation. "Community Parks cost is based on$250,000 peracre for acquisition and$190,000 for development. Land cost. estimate is based on a review ofrecent acquisitions in the cities of Sherwood,Tigard,Tualatin and Hillsboro,and by the Tualatin HillsPark&Recreation District. Development cost assumes that approximately$10,000 per acre in costs will be donated through tree mitigation. ***Greenways cost of$130,000 per acre is based on a review of recent similar acquisitions in the cities of Sherwood,Tigard;Tualatin and Hillsboro,and by the Tualatin Hills Park&Recreation District. Greenways cost assumes that approximately$10,000 per acre in costs will be donated through tree mitigation. #Linear Parks cost is based on$140,000 per acres-for acquisition and$90,000 per acre for development. Development cost assumes that approximately$10,000per acre in costs will.be donated through tree mitigation. ##Trails costs include land acquisition at approximately$70,000 per mile(1/2,acre per mile),and development at $450,000 per mile. Land cost estimate is based on.a review of recent similar acquisitions in the cities of Sherwood, Tigard,Tualatin and Hillsboro,and by the Tualatin Hills Park&Recreation District. Don Ganer&Associates,Inc. 11 REVISED DRAFT as of 11/10/04 SAMPLE COST ALLOCATION.METHODS Project costs including landscape architect and land use c6nsultant costs are based on ownership and anticipated-use by each party. Possible examples: 1. The landscape architect provides a landscape plan and related services for one acre of property. TVF&R owns and will have exclusive use of% acre, Tigard owns and will have exclusive use of 1/4 acre..The remaining 1/4 acre is landscaping associated with the parking lot that would be owned by TVF&R but will be used equally by both parties. TVF&R-would be responsible for 5/8 of the cost(all of the costs for the area of its exclusive use, and ``/z the costs of the shared use area), and Tigard would be responsible for 3/8 of the cost. Note that shared use will not always be 50/50. 2. The land use consultant assists TVF&R with the fire station property but not the park property, with the fire station property including a parking area that will be used by the City for park parking and an expanded community room. The following sets out a possible scenario: Fire Station Buildings -75 percent of total effort Community Room-- .10 percent of Fire Station Buildings (7.5% of total) City Share — 2/3 of Community Room (5% of total) Parking Lot, Exterior—25 percent of total effort City share 40% of Parking Lot and other exterior use (10%of total) City's total share — 15 percent. Note that all these numbers and shares are hypothetical TVF&R/Tigard MOU 12/8/2006 Joint Development of the Walnut Street Fire Station and Expansion and Improvement of Jack Park Page 1 of 1