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5510
MARIE K BOWMAN FAMILY TRUST
Purchase & Sale Agreement - 352401-3-007-1005
Public Works
GS55-05A-06 Rev. 1 Capital Assets (Real Property)
3/20/2015
4/17/2015
2016
Comments :
/ / i � / �
'�
AGENDA BlLL
CITY OF BREMERTON
CITY COUNCIL
�
SUBJECT: Property Purchase of 6.85 acres Study Session Date:
for Water Utility COUNCIL MEETING Date:
Department:
Presenter:
Phone:
March 11, 2015
March 18, 2015
PW8�U
Milenka Hawkins-Bates
(360) 473-5333
SUMMARY: Two parcels make up this property: Kitsap County Assessor's tax parcel #352401-
3=007-1005 consisting of 1 acre Undeveloped Land class, zoned Rural Residential (1du/5ac);
and tax parcel #352401-3-008-1004 consisting of 5.85 acres Undeveloped Land class, zoned
Rural Protection (1 du/10ac). The aggregate property is bounded by Bremerton Water Utility land
on the north and west which is used for watershed and forest management; a private residence is
to the east. This property is gently sloping; soils are a sandy graveUy loam; well stocked with
merchantable second growth timber. �
This purchase will secure Water Utility ownership at the main access to Union River surface
water supply drainage water intake facilities and wiil add as a buffer to the City's water supply
area. This purchase enhances protection of the City's unfiltered system, demonstrating
improvement to the Watershed Control Program per Department of Health, complementing the
City's forest and timberland management program.
ATTACHMENTS: 1) Council Memo; 2) Property Sale Agreements; 3) Exhibit A; 4) Exhibit B;
5) Exhibit C
FISCAL IMPACTS (Include Budgeted Amount): Budgeted in 2015 Water Utility CIP for $150,000.00
STUDY SESSION AGENDA: 0 No Presentation ❑ Full Presentation
STUDY SESSION ACTION: � Consent Agenda ❑ General Business ❑ Public Hearing
RECOMMENDED MOTION: Move to approve the purchase agreements with the Bowman Family
Trust for $125,000.00 and authorize the Mayor to finalize and execute with substantially the same
terms and conditions as presented.
COUNCIL ACTION: � Approve
❑ Deny ❑ Table ❑ Continue ❑ No Action
Form Updated 01/07l15
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PACIFIC NORTE-IWEST TITLE
BUYER/BORROWER STATEi�1ENT
Final
Escrow lYumber: 31070190
Escrow Officer: Jackie Slater
Buyer/Borrower: City of Bremerton, a Washington municipal corporation
Seller: Marie K. Bowman Family Trust
Property: X`CX Mcl�enna Falls Road, Bremerton, WA
DESCRIPTION
"I'OTAL CONSIDERATION
Initial Deposit
TITLE CFIARGES
Deed Recording Fee: Pacific Northwest Title
ESCROW CHARGES TO: Pacific Northwest Title
Escrow Fee
Escrow Fee - Tax
Property Tar to:
Excise Tax to: K
TOTA LS
TAXES:
y Treasurer Nox Weed Tax #352�01-3-007-1005
Treasurer
City of Bremerton, a Washington municipal corporation
2U21 NK' M1lyl�re Itnud tiufte 311U
l'oxt UlYfce Uoi 3GU7
SilvurJulc. W:\ 98383
Phonc: (3611) (.J2-�il�►t
t'ax: l3GUl GY2-SgGY
Title Order Number: 32149800
Date: 04/17/3015 - 4:08:06PM
Closing Date: 04/17/2015
DEBITS CREDITS
25,40G.OU
26,861.G2
73.0
850.0
73.9
1.
457.
26,861.
2G.8G I .G2
Patty Lent, Authorized Signer
REAL ESTATE PURCHASE AND St�i.E AGREEMENT
This agreement controls the terms of the sale of real property.
(Please read carefully before signing.)
This Agreement is entered between the CITY OF BRE1dIE1tTON, a Washington
municipal corporation ("Buyer"), and James D Bowman as Trustee of the Bowman Family Trust
�("Seller"), for the sale and purchase of real property as follows:
1. PROPEItTY. The property, including all improvements and appurtenances
situated thereoq which 8uyer agrees to buy and Seller agrees to sell, is commonly known to be
located on McKenna Falls Road, Bremerton, Washington and is legally described in Eghibit A,
attached hereto and incorporated herein by this reference, hereinafter the "Property". A map
indicating the location of the Property is also attached as Eg6ibit B, incorporated herein by this
reference.
2. EARNEST MONE�. Buyer shall pay no earnest money.
3. PURCHASE PRICE. The total purchase price for the Property is TWENTY
FIVE 'I'HOUSAND FOUR HUNDRED AND SIX DOLI,ARS AND NO/100 DOLY.ARS
($25,406.00).
4. CON'y'INGENCIES. Tlus Agreement is contingent upon:
(a) Acceptance of its terms by the Bremerton City Council.
(b) Buyer's review and approval of the title report on the property prior to
Closing.
(c) Buyer's review and approval of Seller's information contained in the Rea1
Property Transfer Disclosure Statement as set forth in Eahibit C, attached
hereto and incorporated herein by this reference.
(d) A Feasibility Study as follows:
(1) Buyer shall have the opportunity to conduct a feasibility study to
detennine if, in Buyer's sole and absolute discretion, the Property
is feasible for investment andlor development by Buyer.
(2) Buyer's feasibility study may include (but is not limited to) a Phase
I and/or Phase II environmental assessment, (if justified as
provided in Subsection (3) below) utilities availability and
capacity, access availability, zoning, preliminary architect�ual and
engineering studies, marketing feasibility.
(3) A Phase I environmental assessment generally will consist of a
review of title of ownership and land use, review of geologic and
hydrologic maps of the area, review of federal and state databases
for known hazardous water generators or contaminated sites and a
site visit. If the Phase I review reveals the potential of a
contaminated site, a Phase II environmental assessment may be
conducted which generally will consist of on-site sampling,
REAL ESTATE PURCHASE AND SALE AGREEMENT March 201 S
Pa�e 1 of 5
including the digging or boring of test holes for soil samples. By
executing this Agreemeni, Seller hereby authorizes Buyer a right of
entry on to the property for the purpose of conductirrg this
feasibility study including a Phase I, atu�! if necessary, a Phase II
environmental assessment. Seller will be notified if a Pha.se II
enviroitmental assessment is to be conducted.
(4) Buyer agrees to conduct its feasibility study at its sole cost and
expense; and if Buyer does not remove the feasibiliry contingency
on or before the expiration of the feasibility period, then Buyer
also agrees, if requested by Seller, to deliver to Seller copies of all
information and documentation obtained by Buyer in connection
with its feasibility study.
(5) For any on-site activity performed by Buyer during the feasibility
study, Buyer agrees to return the Property to its original state (i.e_,
fill all boring holes, etc.).
Should any of these contingencies not be met or waived by Buyer within thirty
(30) days from the date of mutual acceptance of this Agreement, then this Agreement shall
terminate and neither Buyer nor Seller shall have any further rights, duties or obligations
hereunder.
5. CONVEYANCE AND CONIDITION OF TITLE. The title to the real property
shall be conveyed by Seller to Buyer at closing by Statutory Wa.rranty Deed, free and clear of all
liens, encumbrances or defects except those described in Paragraph 6 below.
6. TITI.E INSURANCE. At Closing, Seller shall cause Land Tirle Company,
whose address and telephone number is 9657 Levin Road NW, Silverdale, WA 98383; 360-692-
2233, to issue a standard form owner's policy of tide insurance to Buyer in an amount equal to
the total purchase price of the Property. The cost of this policy shall be paid from Seller's funds
at Closing, For purposes of this Agreement, the following shall not be deemed encumbrances or
defects: rights reserved and federal patents or state deeds; building or use restrictions consistent
with cvrrent zoning, and utility and road easements of record. If title cannot be made so
insurable prior to the Closing date called for herein, this agreement shall terminate unless, Buyer
elects to waive such defects or encumbrances.
7. CL�SING COSTS A1VD PRO-RATIONS. The cost of escrow and closing
costs shall be paid for by Buyer, except those fees which are expressly limited by Federal
Regularion, and excise tax and revenue stamps which shall be paid by the Seller. Taxes for the
current year, rents, interest, Association, Condominium and/or Homeowner's fees, water and
other utility charges, if any, shall be pro-rated as of date of closing unless otherwise agreed.
8. CLOSING OF T�E SALE. With ihe understanding that time is of the essence
for this Agreement, this sale shall be closed by April 17, 2015 which shall also be the termination
date of this Ageement unless said closing date is extended in writing by mutual agreement of the
parties. When notified, the Buyer and Seller will deposit, without delay, in escrow with Land
REAL ESTATE PURCHASE AND SALE AGREEMENT March 2015
Page 2 of 5 �
Title Compcmy, all instruments and monies required to complete the transaction in accordance
with this Agreement. Closing, for the purpose of this agreement, is defined as the date that all
documents are executed and the sale proceeds are available for disbursement to the Seller.
9. CASUALTY LOSS. If prior to closing, improvements on said premises shall be
destroyed or materially damaged by fire or other casualry, this agreement, at option of the Buyer,
shall become null and void.
10. POSSESSION. Buyer shall be entitled to possession on closing.
11. SELLER'S R�PRESENTATIONS. Seller represents that:
(a) Seller will maintain the Property in present or better condition until time
of agreed possession,
(b) Seller has no knowledge or notice from any governmental agency of any
violation of laws relating to the subject Property except:
(c) The Property is not encumbered by any leases.
This provision shall survive the closing for a period of one year and be in addition to
Seller's obligation for breach of a representation or warranty as may be set forth herein.
12. ; SELLER'S ENVIItO1VMENTAL REPRESENaATIONS. Seller represents
that to the best of his/her knowledge that he/she is not aware of existence of, or has caused or
allowed to be caused, any environment condition (including, without limitation, a spill, discharge
or contamination) that existed as of and/or prior to the closing date or any act or omission
occurring prior to the closing date, the result of which may require remedial action pursuant to
any federal, state or local law or may be the basis for the assertion of any third party claims,
including claims of governmental entities except:
This provision shall survive the closing for a period of one year and be in addition to
Seller's obligation for breach of a representation or warranty as may be set forth herein.
13. SELLER'S INDEMNITIES: Seller agrees to indemnify and hold harmless the
Buyer, against and in respect of, any and all damages, claims, losses, liabilities, judgments,
demands, fees, obligations, assessments, and expenses and costs, including, without limitation,
reasonable legal, accounting, consulting, engineering and other expenses which may be imposed
upon or incurred by Buyer, or asserted against Buyer, by any other party or parties (including,
without limitation, a governmental entity), arising out of or in connection with any breach of an
express warranty or representation contained herein.
This indemnity shall survive the closing for a period of one year and be in addition to
Selle�'s obligation for brea.ch of a representation or warranty as may be set forth herein.
14. DEFAULT AND ATTORNEY'S FEES.
(a) Buyer's Default. If Buyer defaults hereunder, Seller's sole remedy shall
be limited to damages against Buyer, including casts and attorney's fees, in the liquidated
amount of Two Hundred and Fifty Dollars ($250), representing the estimated costs to Seller of
the fees and costs incurred related to this A�eement. Buyer and Seller intend that said amount
REAL ESTATE PURCHASE AND SALE AGREEMENT March 201 S
Page 3 of 5
constitutes liquidated damages so as to avoid other costs and expenses to either party in
connection with potential litigation on account of Buyers' default. Buyer and Seller believe said
amount to be a fair estimate of actual damages.
(b) Seller's Defaul� If Seller defaults hereunder, Buyer shall have all the
rights and remedies available at law or in eyuity.
(c) Attorney's Fees and Costs. In the event of litigation to enforce any of
the terms or provisions herein, each party shall pay all its own costs and attorney's fees.
15. NOTICE TO SELLER This form contains provisions for an agreement for the
purchase and sale of real estate. Buyer makes no warranty or representation of any kind that this
form, or any of its provisions, is intended to meet the factual and legal requirements of a
particular transaction, or that it accurately reflects that laws of the State of Washington at the
time you enter the Agreement. This Agreement has significant legal and financial consequences.
By signing this Agreement, Seller acknowledges that Seller has or has had the opportunity to
consult with an attorney regarding Setlers rights and obligations in this Agreement.
16. BROKERS FEES/CONIlVIISSIONS. Seller agrees to indemnify, defend and
hold harmless Buyer with respect to any claim by any person or entity claiming through Seller to
be entided to a commission with respect to the transaction contemplated by this Agreement.
17. NON-MERGER The terms, conditions, and provisions of this Agreement shall
not be deemed merged into the deed, a.nd shall survive the Closing and continue in full force and
effect for the periods set forth herein.
18. NOTICES. All notices required or permitted to be given hereunder shall be in
writing and shall be sent U.S. certified mail, return receipt requested, or by facsimile
transmission addressed as set forth below:
(a) All notices to be given to Buyer shall be addressed as follows:
Mayor
City of Bremerton
345 6th Street, Suite 600
Bremerton, Washington 98337-1873
(b) All notices to be given to Seller shall be addressed as follows:
James Bowman, Trustee
218 Main Street, Suite 208
Kirkland, WA 98033
Either party hereto may, by written notice to the other, designate such other
address for the giving of notices as being necessary. All notices shall be deemed given on the
day such notice is personally served, or on the date of the facsimile transmission, or on the third
day following the day such notice is mailed in accordance with this paragraph.
REAL ESTATE PURCHASE AND SALE AGREEMENT March 2015
Page 4 of 5
19. �NTIRE AGR�EMENT. This Agreement, including all incorporated exhibits,
constitutes the full understanding between seller and buyer. There have been no verbal or other
agreements that modify this agreement.
20. �INDING E�'F�CT AND SURVIVAI.. This Agreement shall be binding upon
parties hereto and their respective heirs, successors and assigns; and the terms, conditions and
provisions of this Agreement shall survive the closing of this transaction for a period of one year.
21. DATE OF MUTi1AL ACCEPTANCE. For the purposes of this Ageement, the
date of mutual acceptance of this Agreement shall be the last date on which the parties to this
Agreement have executed this Agreement as indicated below.
22. EXPIRATION OF O�'FER Seller shall have only until 5:00 p.m. on
. to accept the purchase and sale agreement as written, by
delivering a signed copy thereof to the Buyer or the Buyer's agent. If Seller does not so deliver a
signed copy within said period, this Agreement shall lapse and a11 rights of the parties hereunder
shall terminate.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date
set forth below.
BiJYER:
THE CITY OF BREMER ON
By:
Patty Lent ayor
Dated: � � ��.5
SELL�R:
Marie K.
gy. � v►���1 V/ �
Its: Tru �i� e, M K. Bowman
Dat�arch 18, 2015
By:
Its:
Dated:
APPROVED AS TO FORiVI:
B.:
Ro er A. Lubovic '
P:\CiviNFORMS'�REAL ES'I'ATEIREYSA-Form.doc
REAL ESTATE PURCHASE AND SALE AGREEMENT March 201 S
Page 5 of 5
Exhibit "A"
Oi�der No.: 32149000
P:�rccl 1 L•
'1'I�at �►oMion of the Nu�t6wcst quarter of the Southwest quarter, Section 35, Township Z4 North,
ftange 1 West, W.M., iu Kit�p County, Wnshington, described as follows:
I3e�inninK at the Nortl�west corner of said subdivision; thence East along t6e lYorth line of said
suhdivision b77.88 feet to the true point af beginning; thence Sonth 208 feei; thente West 208 feet;
thencc IYorth 208 feet, more or less, to a point on t6e North line of said subdivision lyiag 208 feet West
oC tl�e true point ot beginning; thence East along the North line of said subdivision 208 feet to the true
point uf beginning.
... End of Exhibit "A"...
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Legend
� Tax Paroels Re�ervation
Outlines Area
Building Urban Growth
Foatprints Area
1 � (S) Designated
r Shorelines
— (F) Fish HebiFat
_ (N) Non-fish
Hebitat
--- (U) Unla�awn
_ Mil�ary Ar+ea
City Area
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SELLER'S PROPERTY DISCLOSURE STATEMENT
Unimproved Residential Real Property
INSTRUCTIONS TO THE SELLER
Please complete the following form. Do not leave any spaces blank. If the question
clearly does not apply to the property write "NA." If the answer is "yes" to any * items,
please explain on attached sheets. Please refer to the line number(s) of the question(s)
when you provide your explanation(s). For your protection you must date and sign each
page of this discfosure statement and each attachment. Delivery of the disclosure
statement must occur not later than five business days, unless otherwise agreed, after
mutual acceptance of a written contract to purchase befin+een a buyer and a seller.
NOTICE TO THE BUYER
THE FOLLOWING DISCLOSURES ARE.MADE QY SELLEF�,�,4BQUT�HE,CONDILQN .
OF THE PROPERTY LOCATED AT �X �►►�• McKenna Falls Road Tax ID: 352401
('THE PROPERTY"), OR AS LEGALLY DESCRIBED ON ATTACHED EX BIT A.
SELLER MAKES THE FOLLOWING DISCLOSURES OF EXISTING MATERIAL FACTS
OR MATERIAL DEFECTS TO BUYER BASED ON SELLER'S ACTUAL KNOWLEDGE
OF THE PROPERTY AT THE TIME SELLER COMPLETES THIS DISCLOSURE
STATEMENT. UNLESS YOU AND SELLER OTHERWISE AGREE IN WRITING, YOU
HAVE THREE BUSINESS DAYS FROM THE DAY SELLER OR SELLER'S AGENT
DELIVERS THIS DISCLOSURE STATEMENT TO YOU TO RESCIND THE
AGREEMENT BY DELIVERING A SEPARATELY SIGNED WRITTEN STATEMENT OF
RESCISSION TO SELLER OR SELLER'S AGENT. IF THE SELLER DOES NOT GIVE
YOU A COMPLETED DISCLOSURE STATEMENT, THEPI YOU MAY WAIVE THE
RIGHT TO RESCIND PRIOR TO OR AFTER THE TIME YOU ENTER IIVTO A SALE
AGREEMENT.
THE FOLLOWIPIG ARE DISCLOSURES MADE BY SELLER AND ARE NOT THE
REPRESENTATIONS OF ANY REAL ESTATE LICENSEE OR OTHER PARTY. THIS
INFORMATION IS FOR DISCLOSURE ONLY AND IS NOT INTENDED TO BE A PART
OF ANY WRITTEN AGREEMENT BETWEEN BUYER AND SELLER.
FOR A MORE COMPREHENSIVE EXAMINATION OF THE SPECIFIC CONDITION OF
THIS PROPERTY YOU ARE ADVISED TO OBTAIN AND PAY FOR THE SERVICES
OF QUALIFIED EXPERTS TO INSPECT THE PROPERTY, WHICH MAY INCLUDE,
WITHOUT LIMITATION, ARCHITECTS, ENGINEERS, LAND SURVEYORS,
PLUMBERS, ELECTRICIANS, ROOFERS, BUILDING INSPECTORS, ON-SITE
WASTEWATER TREATMENT INSPECTORS, OR STRUCTURAL PEST
INSPECTORS. THE PROSPECTIVE BUYER AND SELLER MAY WISH TO OBTAIN
PROFESSIONAL ADVICE OR INSPECTIONS OF THE PROPERTY OR TO PROVIDE
APPROPRIATE PROVISIONS IN A CONTRACT BETWEEN THEM WITH RESPECT
TO ANY ADVICE, INSPECTION, DEFECTS OR WARRANTIES.
Selter is/ _ �� e� is not occupying the prope�ty.
Page 1 of 8
RCW 64.06.015
I. SELLER'S DISCLOSURES:
"If you answer "Yes" to a question with an asterisk ("), please explain your answer
and attach documents, if available and not otherwise publicly recorded. If
necessary, use an attached sheet.
1. TITLE
� Yes [ ] No [ ] Don't
know
[ ] Yes � No [ ] Don't
' know
[ ] Yes � No [ ] Don't
know
[ ] Yes [ ] No � Don't
know
[ ] Yes [ ] No � Don't
know
[]Yes [] No
[]Yes [] No
( ] Yes � No
�}� []Yes [] No
[ ] Yes (�' No
[]Yes []No
[ ] Yes �No
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know
�Don't
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[ ] Don't
know
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know
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A. Do you have legal authorit�r to sell the property?
If no, please explain.
"B. Is title to the property subject to any of the
following?
(1) First right of refusal
(2) Option
(3) Lease or rental agreement
(4) Life estate?
*C. Are there any encroachments, boundary
agreements, or boundary disputes?
*D. Is there a private road or easement agreement
for access to the property?
*E. Are there any rights-of-way, easements, or
access limitations that affect the Buyer's use of the
property?
"F. Are there any written agreements for joint
maintenance of an easement or right-of-way?
*G. Is there any study, survey project, or notice that
would adversely affect the property?
*H. Are there any pending or existing assessments
against the property?
*I. Are there any zoning violations, nonconforming
uses, or any unusual restrictions on the property
that affect future construction or remodeling?
*J. Is there a boundary survey for the property?
*K. Are there any covenants; conditions, or
restrictions recorded against title to the property?
2. WATER ��
A. Household Water
(1) Does the property have potable water supply?
Page 2 of 8
RCW 64.06.015
[]Yes [] No
[ ] Yes [ ] No
[]Yes [JNo
[]Yes []No
[ ] Yes [ ] No
[ ] Yes [ ] No
[ ] Yes [ ] No
[]Yes []No
(jYes [] No
[]Yes [] No
[]Yes []No
[ ] Yes [ ] No
_ [ ] Yes [ ] No
[ ] Don't
know
� Don't
know
[ ] Don't
�know
�[ ] Don't
know
[ ] Don't
know
[ ) Don't
know
[ ] Don't
know
( ] Don't
know
[ ] Don't
know
(2) If yes, the source of water for the property is:
[] Private or publicly owned water system
[] Private well serving only the property
*[ ] Other water system
'`If shared, are there any written agreements?
*(3) Is there an easement (recorded or unrecorded)
for access to and/or maintenance of the water
source?
'`(4) Are there any problems or repairs needed?
(5) Is there a connection or hook-up charge payable
before the property can be connected to the water
main?
(6) Have you obtained a certificate of water
availability from the water purveyor serving the
property? (If yes, please attach a copy.)
(7) Is there a water right permit, certificate, or claim
associated with household water supply for the
property? (If yes, please attach a copy.)
(a) If yes, has the water right permit, certificate, or
claim been assigned, transferred, or changed?
'(b) If yes, has all or any portion of the water right
not been used for five or more successive years?
(c) If no or don't know, is the water withdrawn from
the water source less than 5,000 gallons a day?
"(8) Are there any defects in the operation of the
water system (e.g., pipes, tank, pump, etc.)?
B. Irrigation Water
[] Don't (1) Are there any irrigation water rights for the
know property, such as a water right permit, cert�cate, or
claim? (If yes, please attach a copy.)
[] Don't (a) If yes, has all or any portion of the water right
know not been used for five or more successive years?
[] Don't (b) If yes, has the water right permit, certificate, or
know claim been assigned, transferred, or changed?
[] Don't *(2) Does the property receive irrigation water from
know a ditch company, irrigation district, or other entity? If
so, please identify the entity that supplies irrigation
water to the property:
Page 3 of 8
RC W 64.06.015
[]Yes []No
[]Yes [] No
[]Yes []No
[]Yes [] No
' [ ] Don't
; know
; [ ] Don't
know
! [ ] Don't
: know
C. Outdoor Sprinkler System
(1) Is there an outdoor sprinkler system for the
property?
*(2) If yes, are there any defects in the system?
*(3) If yes, is the sprinkler system connected to
irrigation water?
: [ ] Don't
lknow
[]Yes []No ;[]Don't
�know
[]Yes []No []Don't
;know
[]Yes []No. ;[]Don't
iknow
[ ] Yes [ ] No �[ ] Don't
;know
[ ] Yes [ ] No ;[ ] Don't
know
[ ] Yes [ J No [ � Don't
'know
3. SEWER/SEPTIC SYSTEM �j, �'`� ,
A. The property is served by:
[ ] Public sewer system
[] On-site sewage system (including pipes, tanks,
drainfields, and all other component parts)
[] Other disposal system, please describe:
B. Is the property subject to any sewage system
fees or charges in addition to those covered in your
regularly billed sewer or on-site sewage system
maintenance service?
C. If the property is connected to an on sewage
system:
*(1) Was a permit issued for its construction?
'`(2) Was it approved by the local health department
or district following its construction?
(3) Is the septic system a pressurized system?
(4) Is the septic system a gravity system?
*(5) Have there been any changes or repairs to the
on-site sewage system?
(6) Is the on-site sewage system, including the
drainfield, located entirely within the boundaries of
the property? If no, please explain:
[] Yes [] No [] Don't *(7) Does the on-site sewage system require
know monitoring and maintenance services more
frequently than once a year?
Page 4 of 8
RCW 64.06.015
[]Yes [� No
[]Yes [] No
[ ] Yes [ ] No
[ ] Yes [ ] No
( ] Yes [ j No
5. FLOODING
[] Yes [] No �on't A. Is the property located in a govemment
know designated flood zone or floodplain?
[ ] Don't
know
[ ] Don't
know
�[ ] Don't
know
[ ] Don't
'know
[ ] Don't
know
4. ELECTRICAUGAS �I �
A. Is the property served by natural gas?
B. Is there a connection charge for gas?
C. Is the property served by electricity?
D. Is there a connection charge for electricity?
*E. Are there any electrical problems on the
property?
6. SOIL STABILITY
[] Yes [] No (�pon't *A. Are there any settlement, earth movement,
k now slides, or similar soil problems on the property?
[]Yes []No
[]Yes []No
[]Yes []No
[]Yes []No
[]Yes []No
[ ] Yes �No
[]Yes []No
Q� Don't
know
� Don't
now
�Don't
now
� Don't
ow
� Don't
know
[ ] Don't
know
�Don't
now
7. ENVIRONMENTAL
"A. Have there been any flooding, standing water,
or drainage problems on the property that affect the
property or access to the property?
*B. Does any part of the property contain fill dirt,
waste, or other fill material?
*C. Is there any material damage to the property
from fire, wind, floods, beach movements,
earthquake, expansive soils, or landslides?
D. Are there any shorelines, wretlands, floodplains,
or critical areas on the property?
"E. Are there any substances, materials, or
products in or on the property that may be
environmental concems, such as asbestos,
formaldehyde, radon gas, lead-based paint, fuel or
chemical storage tanks, or contaminated soil or
water?
*F. Has the property been used for commercial or
industrial purposes?
*G. Is there any soil or groundwater contamination?
Page 5 of 8
RCW 64.06.015
[] Yes [] No �(( Don't *H. Are there transmission poles or other electrical
know utility equipment installed, maintained, or buried on
the property that do not provide utility service to the
structures on the property?
[]Yes [] No
[]Yes []No
[ ] Yes [ ] No
[ ] Yes � No
�Don't "I. Has the property been used as a legal or illegal
know dumping site?
� Don't ''J. Has the property been used as an illegal drug
now manufacturing site?
�Don't *K. Are there any radio towers that cause
know interference with cellular telephone reception?
8. HOMEOWNERS' ASSOCIATION/COMMON
INTERESTS (�}14
[] Don't A. Is there a homeowners' association? Name of
know association and contact information for an officer,
director, employee, or other authorized agent, if
any, who may provide the association's financial
statements, minutes, bylaws, fining policy, and
other information that is not publicly available:
[ ] Yes � No [ ] Don't
know
[ ] Yes [ ] No [ ] Don't
know
[]Yes []No []Don't
know
I]Yes []No
[]Yes []No
[]Yes []No
�
�
�Don't i
know
B. Are there regular periodic assessments:
$ N � per [ ] Month [ ] Year
[ ] Other � �
"'C. Are there any pending special assessments?
*D. Are there any shared "common areas" or any
joint maintenance agreements (facilities such as
watls, fences, landscaping, pools, tennis courts,
walkways, or other areas co-owned in undivided
interest with others)?
9. OTHER FACTS
*A. Are there any disagreements, disputes,
encroachments, or legal actions concerning the
property?
�Don't *B. Does the property have any plants or wildlife
know that are designated as species of concern, or listed
as threatened or endangered by the government?
� Don't *C. Is the property classified or designated as forest
now land or open space?
Page 6 of S
RCW 64.06.015
[] Yes � No [] Don't D. Do you have a forest management plan? If yes,
know attach.
[] Yes � No [] Don't "E. Have any development-related permit
know applications been submitted to any govemment
agencies?
If the answer to E is "yes," what is the status or
outcome of those applications?
[] Yes [] No Don't F. Is the property located within a city, county, or
now district or within a department of natural resources
fire protection zone that provides fire protection
services?
10. FULL DISCLOSURE BY SELLERS
A. Other c�nditions or defects:
[ J Yes [] No �Don't "Are there any other existing material defects
now affecting the property that a prospective buyer
should know about?
B. Verification:
The foregoing answers and attached explanations
(if any� are complete and correct to the best of
my/our knowrledge and I/we have received a copy
hereof. I/we authorize all of my/our real estate
licensees, if any, to li r copy of this disclosure
statement to ot�r r tat licensees and all
prospective bu rs o ro erty.
DATE SELLER
2/25/15
SELLER
Page 7 of 8
RCW 64.06.015
NOTICE TO BUYER
INFORMATION REGARDING REGISTERED SEX OFFENDERS MAY BE
OBTAINED FROM LOCAL LAW ENFORCEMENT AGENCIES. THIS NOTICE IS
INTENDED ONLY TO INFORM YOU OF WHERE TO OBTAIN THIS
INFORMATION AND IS NOT AN INDICATION OF THE PRESENCE OF
REGISTERED SEX OFFENDERS.
II. BUYER'S ACKNOWLEDGMENT
A. Buyer hereby acknowledges that: Buyer has a duty to pay
diligent attention to any material defects that are known to
Buyer or can be known to Buyer by utilizing diligent attention
and observation.
B. The disclosures set forth in this statement and in any
amendments to this statement are made only by the Seller and
not by any real estate licensee or other party.
C. Buyer acknowledges that, pursuant to RCW 64.06.050(2), real
estate licensees are not liable for inaccurate information
provided by Seller, except to the extent that real estate
licensees know of such inaccurate information.
D. This information is for disclosure only and is not intended to be
a part of the written agreement between the Buyer and Seller.
E. Buyer (which term includes all persons signing the "Buyer's
acceptance" portion of this disclosure statement below) has
received a copy of this Disclosure Statement (including
attachments, if any) bearing Seller's signature.
DISCLOSURES CONTAINED IN THIS DISCLOSURE STATEMENT ARE PROVIDED
BY SELLER BASED ON SELLER'S ACTUAL KNOWLEDGE OF THE PROPERTY AT
THE TIME SELLER COMPLETES THIS DISCLOSURE STATEMENT. UNLESS BUYER
AND SELLER OTHERWISE AGREE IN WRITING, BUYER SHALL HAVE THREE
BUSINESS DAYS FROM THE DAY SELLER OR SELLER'S AGENT DELIVERS THIS
DISCLOSURE STATEMENT TO RESCIND THE AGREEMENT BY DELIVERING A
SEPARATELY SIGNED WRITTEN STATEMENT OF RESCISSION TO SELLER OR
SELLER'S AGENT. YOU MAY WAIVE THE RIGHT TO RESCIND PRIOR TO OR
AFTER THE TIME YOU ENTER INTO A SALE AGREEMENT.
BUYER HEREBY ACKNOWLEDGES RECEIPT OF A COPY OF THIS DISCLOSURE
STATEMENT AND ACKNOWLEDGES THAT THE DISCLOSURES MADE HEREIN
ARE THOSE OF THE SELLER ONLY, AND NOT OF ANY REAL ESTATE LICENSEE
OR OTHER PARTY.
DATE BUYER
BUYER
Page 8 of 8
RCW 64.06.015
FIRST AMENDMENT TO REAL ESTATE PURCHASE AND SALE
AGREEMENT
This First Amendment to Real Estate Purchase and Sale Agreement is entered into
between the CITX OF BREMERTON (Buyer) and JAMED D. BOWMAN AS
TRUSTEE OF THE BOWMAN FAMILY TRUST (Seller) and amends the Real
Estate Purchase and Sale Agreement dated March 20, 2015 as follows:
A.
:
Paragraph 6 is amended to substitute Pacific Northwest Title as the agent
issuing the standard owners' policy of title insurance.
Paragraph 8 is amended to substitute Pacific Northwest Title as the
escrow agent closing the transaction.
All other terms of the Real Estate Purchase and Sale Agreement shall remain in full force
and effect.
IN WITNESS WHEREOF, the parties hereto have executed this Amendment on the date
set forth below.
BiJYER:
CITY OF BREMERTON
�
By: P nt
Its:
Dated: � �
APPROVED AS TO FORM:
�
B
; Roge . Lubovich, City Attorn _
: . ��
SELLE
JAME . B as Trustee
Of t OW � A ILY TRUST
���""�,
By,: James D. Bo an
Its.: Truste
'ated: � 5
� �
R:\LegalU..egal\F'iles\Current Active Files�Bowman Real Estate PurchaseUtEPSA Amd I- Parcel2.docx
1
S�COND AlVI�NDIVICNT TO REAL �STAT� PUItCIIAS� ANID SAL�
AGREEMENT
This Second Amendment to Real Estate Purchase and Sale Agreement is entered into
between the CIT�' OF BREMERTON (Buyer) and JAMES D. BOW1VpAN AS
TRUSTEE OF 1� BOWMAN �'AMILY TRUST (Seller) and amends the Real
Estate Purchase and Sale Agreement dated March 20, 2015 and amended on April 7,
2015 as follows:
A.
Parag�aph 7 is amended as follows:
7. CLOSING COSTS AND PRO-RATIONS. The cost of escrow
and closing costs, including excise tax and revenue stamps, shall be paid
for by Buyer, except those fees which are expressly limited by Federal
Regulation. Taxes for the current year, rents, interest, Association,
Condominium and/or Homeowner's fees, water and other utility charges,
if any, shall be pro-rated as of the date of closing unless otherwise agreed.
All other terms of the Real Estate Purchase and Sale Agreement sha11 remain in full force
and effect.
iN WITNESS WHEREOF, the parties hereto have executed this Amendment on the date
set forth below. �
BUYER:
CTTY OF BREMERTON
� 1�
By: Pa ent
Its: M
Dated: � � � `�
JAD�IES
James
APPROVED AS TO FORM:
B.
Roger . Lubovich, City Attorne
R:�Legal�[.egal�Files\Current Active Files�Bowman Real Estate Purchase`�REYSA Amd. 2- Yarcel2.docx
[AN as Trustee
FANIlLY TRUST
. 1
RECEIVED
PACIFIC NORTHWEST TITLE
Title Insurance Escrow Services Real Estate Resources
June 5, 2015
City of Bremerton
345 6"' Street, Suite 600
Bremerton, WA 98337-1873
Order No.:
Escrow Number:
Your Reference:
32149800
31070190
Bowman Trust/City of Bremerton
JUN 0�2015
Ciry of Bremerton
Risk Management
Enclosed is your Policy for Title Insurance and Original Statutory Warranty Deed on the above-referenced transaction.
Thank you for the opportunity of serving you. We look forward to working with you again.
2021 NW Myhre Road, Suite 300, Post Oftice Box 3607, Silvcrdalc, WA 98383 Phone: (360) 692-4141 / Fax: (360) 692-5569
Web Site: http://www.pnwtkitsap.com
�� _ ; ..
- ._._.
AFTER RECORDING MAIL TO:
City of Bremerton
345 6th Street, Suite 600
Bremerton, WA 98337-1873
Filed for Record at Request of:
Pacific Northwest Title
Escrow Number: 31070190
Title Order Number 32149800
PACIFIC NW TITLE 201504170196
Deed Rec Fee: $ 73 00
04/17/2�15 �2:22 PM
Dolores Gilmore, Kitsap Co quditor
I I��II�� III��I II� IIII �I�I�I� ���I�� I��I II�I �II�� ���I� I��I�I� I�� IIIII ����� �IIII I��I I��
Page: 7 of 2
Statutory Warranty Deed
Grantor: Marie K. Bowman Family Trust
Grantee: City of Bremerton, a Washington municipal corporation
Abbreviated Legal:
Ptn NW/SW, Section 35, Township 24 North, Range 1 West
Additional legal(s) on page: 2
Assessor's Tax Parcel Number(s): 352401-3-007-1005
THE Grantor James D. Bowman, as Trustee of the Marie K. Bowman Family Trust U/D/T July 29, 2005 for
and in consideration of TEN DOLLARS AND OTHER GOOD AND VALUABLE CONSIDERATION in hand
paid, conveys and warrants to City of Bremerton, a Washington municipal corporation the following described
real estate, situated in the County of Kitsap, State of Washington.
As Set Forth In Exhibit "A" Attached Which By This Reference Is Made A Part Hereof.
Subject To:
As Set Forth In Exhibit "A" Attached Which By This Reference Is Made A Part Hereof.
Dated April 14, 2015
Marie K.
I certify that I know or have satisfactory evidence that Ja � D. Bowman
i the person (s) who appeared 1
me, and said person(s) acknowledge that he signed this instrument, on oath stated he
is authorized to execute the instrument and acknowledge as the Trustee
of The Marie K. owman Famil Trust
to be the free and voluntary act of such party(ies) for the uses pd purposes mentioned in this instr�
Dated: lA{��/,,'
�
_ Cr�Y l ►�- °
� �B Not Public in and for the State of Washington
W �� Q ,'� ,. y� 0 N F�, .. F.� R iding at �
C a� ,' �� ':' �Viy appoin ment expires: /
_ ,� � r p�. -
__ ,
� � N Z =
' ''.� �°9b�1►a �� ' O '
g�9�� �i{� � ,� � � ..' ��,:
'' ., .. �. •• " ���,��.
��%�ir;�,����i� ������\,\\\.�
Page 1 of 2
' KITSAP COUNTY TREASURER EXCISE
2015EX02348
Total: 5457.23
04/17/2015
Clerk's Irntial_�
LPB-] 0-050
STATE OF Washington }
COLJNTY OF King } SS:
, y ..
�
EXHIBIT A
That portion of the Northwest quarter of the Southwest quarter, Section 35, Township 24 North,
Range 1 West, W.M., in Kitsap County, Washington, described as follows:
Beginning at the Northwest corner of said subdivision; thence East along the North line of said
subdivision 677.88 feet to the true point of beginning; thence South 208 feet; thence West 208 feet;
thence North 208 feet, more or less, to a point on the North line of said subdivision lying 208 feet West
of the true point of beginning; thence East along the North line of said subdivision 208 feet to the true
point of beginning.
SUBJECT TO:
Easement, and the terms and conditions thereof, affecting a portion of said premises and for the purposes
hereinafter stated, as disclosed by instrument recorded on August 30, 1937, under Kitsap County
Auditor's File No. 270460.
In favor of: State Division of Forestry ,
For: A road for forest protection purposes
Easement, and the terms and conditions thereof, affecting a portion of said premises and for the purposes
hereinafter stated, as disclosed by instrument recorded on July 20, 1940, under Kitsap County Auditor's
File No. 315515.
In favor of: City of Bremerton
For: Water pipeline
Easement, and terms and conditions thereof, affecting a portion of said premises and for the purposes
hereinafter stated, as disclosed by instrument recorded on September 5, 1941, under Kitsap County
Auditor's File No. 345218.
For:
Existing roads and logging roads
Exceptions and Reservations contained in deed from Pope & Talbot, Inc., whereby the gantor escepts and
reserves all oil, gases, coal, ores, minerals, fossils, etc., and the right of entry for opening, developing and
working the same and providing that such rights shall not be exercised until provision has been made for full
payment of all damages sustained by reason of such entry; recorded under Auditor's File No. 345218.
Initials:
� I �
�
LPB 10-OS O
Page 2 of 2
D�AR�I�IT
{lF L+�EVIFNUI,�' . R
�'d�sn
PLEAS '
E TwE oR PR►�T REAL ESTATE EXCISE TAX AFFIDAVIT This fortn is your receipt
CHAPTER 82.45 RCW — CHAPTER 458-61 WAC When stamped by cashier.
THIS AFFIDAVIT WILL NOT BE ACCEPTED UNLESS ALL AREAS ARE FULLY COMPLETED
(Sce back page for inswctions)
Name Marie K.1
James D.
_ ������u�c uwners usc percen�ege ot ownershio next to i
City of Bremerton, a Washington municipal
Name corporation.
•i -
m
� z Mailmg Address 218 Main Street, Suite 208 }� Mailmg Address 345 6th Street, Suite 600
m ¢.
v, ji City/State/Zip Kirkland, WA 98033 m� CitylState2�p Bremerton, WA 98337-1873
Phone No (includmg area code) Phone No. (mcludmg area code)
Send all property tax correspondence to: Same as BuyedGrantee List all real and personal tax parcel eccount Listed assessed value(s)
numbers - check box if personal property
Nmne 352401J-007-1005 � $Z�,950
Mailing Addres �
City/State/Zip �
Phone No.(with erea code) Levy Code: 8170 �
Street eddress of property• XXX McKenna Falls Road, Bremerton, WA
Th�s Property is located in � unmcorporated K��eP Coun OR withm
ry ❑ city of Bremerton
❑ Check box if any of the listed parcels are being segegated from e larger parcel
Legal descnption of property (if more space is needed, you may apach a separate sheet to each page of the afl9davit)
That portion of the Northwest quarter of the Southwest quarter, Section 35, Township 24 North, Range 1 West, W.M.,
in Kitsap County, Wayltington, described as follows:
Beginning at the Northwest comer of said subdivision; thence East along the North Gne of said subdivision 677.88 feet
to the true point of beginning; Wence South 208 feeh, thence West l08 feet; thence North 208 feet, more or less, to a
point on the North line of said subdivision lying 208 feet West of the true point of beginning; thence East along the
North line of said subdivision 208 feet to the true point of beginning,
tntcr Absvact Use Categories 9]
(Pleace see I�st on back page of th�s form)
If exempt from property tex per chapter 84.36 RC W(nonprofit
organization), include:
Seller's Exempt Reg. No.
Is th�s proprny designeted as forest Iand chapter 8433 RCW?
Is this properry classified as curzent use (open spece, farm and
a�ncultural, or t�mber) land per chapter 84.34?
Is this propeny receivmg spec�al valuation as h�storical
property per chapter 84.26 RCW�
If any answers are yes, complete as insWcted below.
❑ �
❑ �
❑ �
(1) NOTICE OF CONTINUANCE (FOREST LAND OR CURREN'1' USE)
NEW OWNER(S) To contmue the currcnt designaUOn as forest land or
Clessificetion as curtent use (open space, ferm and agriculture, or timer) land,
you must sign on (3) below The counry assessor must then detertmne if the
land transferred continues to qualify and will indicate by signmg below. If the
land no longer qual�fies or you do not wish to conhnue the des�gnation or
classification, �t will be removed and the compenseting ar addrtional taxes will
be due and payable by the seller or Vansferor at the time of sale. (RCW
84 33.140 or RCW 84.34.108). Prior to sigmng (3) below, you may contect
your local county assessor for more mformat�on.
This lend � does � dces not qualify for contmuance
DEPUTY ASSESSOR DATE
(2) NOTICE OF COMPLIANCE (HISTORIC PROPERTI�
NEW OWNER(S): To continue spec�al valuazion as historic property, sigu (3)
below. If the new owner(s) do not wish to contuiue, all addiuonal tsx calculated
pursuant to chapter 8426 RCW, shall be due and payable by the seller or
Vansferor at the time of sale.
(3) OWNER(S) SIGIVATURE
pnce.
all personel property (tangible and intangible) included m selling
If claimmg an exemption, list WAC number reason for exemption
WAC No. (SectioNSubsection)
Reason for exemption
Type of Document Statutory Warranty Deed
Date of Document April 14, 2015
Gross Selling Pnce
•Personel Property (deduct)
Exemption Cleimed (deduct)
Taxable Selling Pnce
Excise Tax: Steu
1.500 Locel
'Delinquent Interest: State
Local
•Delinquent Penelty
'County Technology Fee
•State Technology Fee
'Affidavrt Processing Fee
Total Due
E 25 406.00
$
S No
S 25,406.00
S 325.20
S I27.03
$
$
$
$
$
g 5.00
S 457Z3
A MINIMUM OF $10.00 !S DUE IN FEE(S) AND/OR TAX
'SEE INSTRUCTIONS
1 CE FY PE LTY OF PERJURY THAT THE FOREGOING IS TRUE AND CORREGT
Signamre of Signffiure of
Grantor or Granror's A en[ ' Crentee or Greohe's Ageof
Name (prmt) James D. Bow an, Trustee Name (print) ��t(..�� (�„ j� �
Date & city of signmg• A ril , 2015 �� Date 8e ary of signing April � ; 2015, 5� � J� �r��.
Pery'ury: Pequry is a class C f ny which is punishable by �mpnsonment in tMe stffie cortectianal mstilulion for e maximum term of not more than five years, or by
a fine m an amoun[ fixed by the court of not more ttian five thousend dollers ($5 000 00) or by both imprisonment end fine (RCW 9A 20 020 (IC)
REV 84 OOOIa (06/21/OS) 'I'HIS SPACE—TREASURER'S USE ONLY COUNTYTREASURER
LPB-12
� � Rev. 4/620I 5
V
►
� * �
* �
* � *
� '�
* * +�
�
OWNER'S POLICY OF TITLE INSURANCE
Policy Number OX 09599020
[ssued by Old Republic National Title Insurance Company
Any notice of claim and any other notice or statement in writing required to be given to the Company under this Policy must
be given to the Company at the address shown in Section 18 of the Conditions.
COVERED RISKS
SUBJECT TO THE EXCLUSIONS FROM COVERAGE, THE EXCEPTIONS FROM COVERAGE CONTAINED IN SCHEDULE
B, AND THE CONDITIONS, OLD REPUBLIC NATIONAL TITLE INSURANCE COMPANY, a Minnesota corporation (the
"Company") insures, as of Date of Policy and, to the extent stated in Covered Risks 9 and 10, after Date of Policy, against loss or
damage, not exceeding the Amount of Insurance, sustained or incurred by the Insured by reason of:
]. Title being vested other than as stated in Schedule A.
2. Any defect in or lien or encumbrance on the Title. This Covered Risk includes but is not limited to insurance against loss from:
(a) A defect in the Title caused by
(i) forgery, fraud, undue influence, duress, incompetency, incapacity, or impersonation;
(ii) failure of any person or Entity to have authorized a transfer or conveyance;
(iii) a document affecting Title not properly created, executed, wimessed, sealed, acknowledged, notarized, or delivered;
(iv) failure to perform those acts necessary to create a document by electronic means authorized by law;
(v) a document executed under a falsified, expired, or otherwise invalid power of attorney;
(vi) a document not properly filed, recorded, or indexed in the Public Records including failure to perform those acts by
electronic means authorized by law; or
(vii) a defective judicial or administrative proceeding.
(b) The lien of real estate taxes or assessments imposed on the Title by a governmental authority due or payable, but unpaid.
(c) Any encroachment, encumbrance, violation, variation, or adverse circumstance affecting the Title that would be disclosed by
an accurate and complete land survey of the Land. The term "encroachment" includes encroachments of existing
improvements located on the Land onto adjoining land, and encroachments onto the Land of existing improvements located
on adjoining land.
3. Unmarketable Title.
4. No right of access to and from the Land.
5. The violation or enforcement of any law, ordinance, permit, or governmental regulation (including those relating to building and
zoning) restricting, regulating, prohibiting, or relating to
(a) the occupancy, use, or enjoyment of the Land;
(b) the character, dimensions, or location of any improvement erected on the Land;
(c) the subdivision of land; or
(d) environmental protection
if a notice, describing any part of the Land, is recorded in the Public Records setting forth the violation or intention to enforce, but
only to the extent of the violation or enforcement referred to in that notice.
6. An enforcement action based on the exercise of a governmental police power not covered by Covered Risk 5 if a notice of the
enforcement action, describing any part of the Land, is recorded in the Public Records, but only to the extent of the enforcement
referred to in that notice.
7. The exercise of the rights of eminent domain if a notice of the exercise, describing any part of the Land, is recorded in the Public
Records.
8. Any taking by a governmental body that has occurred and is binding on the rights of a purchaser for value without Knowledge.
9. Title being vested other than as stated in Schedule A or being defective
(a) as a result of the avoidance in whole or in part, or from a court order providing an alternative remedy, of a transfer of all or
any part of the title to or any interest in the Land occurring prior to the transaction vesting Title as shown in Schedule A
because that prior transfer constituted a fraudulent or preferential transfer under federal bankruptcy, state insolvency, or
similar creditors' rights laws; or
(b) because the instrument of transfer vesting Title as shown in Schedule A constitutes a preferential transfer under federal
bankruptcy, state insolvency, or similar creditors' rights laws by reason of the failure of its recording in the Public Records
ORT Form 4309A Page 1
Schedulc A for ALTA Owners Policy of Title Insurance 6-17-06
i t
(i) to be timely, or
(ii) to impart notice of its existence to a purchaser for value or to a judgment or lien creditor.
10. Any defect in or lien or encumbrance on the Title or other matter included in Covered Risks 1 through 9 that has been created or
attached or has been filed or recorded in the Public Records subsequent to Date of Policy and prior to the recording of the deed or
other instrument of transfer in the Public Records that vests Title as shown in Schedule A.
The Company will also pay the costs, attorneys' fees, and expenses incurred in defense of any matter insured against by this Policy,
but only to the extent provided in the Conditions.
Issued through the Office of:
Pacific Northwest Title of Kitsap
2021 Myhre Road NW Suite 300
Post Office Box 3607
Silverdale, WA 98383
(360)692-4141
OLD REPUBUC NATIONAl.T1TLE INSURANCE COMPANY
A Stock Company
400 Second Avenue Suuth, Minneapolis, Minnesota 55401
(612)371-1111
\
�/� � .
B�-
�
Authorized Signature
BY
Aitest �
Piesident
Sscrerary
ORT Form 4309A Page 2
Schedulc A for ALTA Owners Policy of Title Insurance 6-17-06
EXCLUSIONS FROM COVERAGE
The following matters are expressly excluded from the coverage of this policy, and the Company will not pay loss or damage, costs,
attorneys' fees, or expenses that arise by reason of:
l. (a) Any law, ordinance, permit, or governmental regulation (including those relating to building and zoning) restricting,
regulating, prohibiting, or relating to
(i) the occupancy, use, or enjoyment of the Land;
(ii) the character, dimensions, or location of any improvement erected on the Land;
(iii) the subdivision of land; or
(iv) environmental protection;
or the effect of any violation of these laws, ordinances, or governmental regulations. This Exclusion 1(a) does not modify or
limit the coverage provided under Covered Risk 5.
(b) Any governmental police power. This Exclusion 1(b) does not modify or limit the coverage provided under Covered Risk 6.
2. Rights of eminent domain. This Exclusion does not modify or limit the coverage provided under Covered Risk 7 or 8.
3. Defects, liens, encumbrances, adverse claims, or other matters
(a) created, suffered, assumed, or agreed to by the Insured Claimant;
(b) not Known to the Company, not recorded in the Public Records at Date of Policy, but Known to the Insured Claimant and not
disclosed in writing to the Company by the Insured Claimant prior to the date the Insured Claimant became an Insured under
this policy;
(c) resulting in no loss or damage to the Insured Claimant;
(d) attaching or created subsequent to Date of Policy (however, this does not modify or limit the coverage provided under
Covered Risk 9 and 10); or
(e) resulting in loss or damage that would not have been sustained if the Insured Claimant had paid value for the Title.
4. Any claim, by reason of the operation of federal bankruptcy, state insolvency, or similar creditors' rights laws, that the transaction
vesting the Title as shown in Schedule A, is
(a) a fraudulent conveyance or fraudulent transfer; or
(b) a preferential transfer for any reason not stated in Covered Risk 9 of this policy.
5. Any lien on the Title for real estate taxes or assessments imposed by governmental authority and created or attaching between
Date of Policy and the date of recording of the deed or other instrwnent of transfer in the Public Records that vests Title as shown
in Schedule A.
ORT Form 4309A Page 3
Schedule A for ALTA Owners Policy of Title Insurance 6-17-06
CONDITIONS AND STIPULATIONS
1. DEFINITION OF TERMS
The following terms when used in this policy mean:
(a) "Amount of Insurance": The amount stated in Schedule A, as may be increased or decreased by endorsement to this policy,
increased by Section 8(b), or decreased by Sections 10 and 11 of these Conditions.
(b) "Date of Policy": The date designated as "Date of Policy" in Schedule A.
(c) "Entity": A corporation, partnership, trust, limited liability company, or other similar legal entity.
(d) "Insured": The Insured named in Schedule A.
(i) The term "Insured" also includes
(A) successors to the Title of the Insured by operation of law as distinguished from purchase, including heirs, devisees,
survivors, personal representatives, or next of kin;
(B) successors to an Insured by dissolution, merger, consolidation, distribution, or reorganization;
(C) successors to an Insured by its conversion to another kind of Entity;
(D) a grantee of an Insured under a deed delivered without payment of actual valuable consideration conveying the Title
(1) if the stock, shares, memberships, or other equity interests of the grantee are wholly-owned by the named
Insured,
(2) if the grantee wholly owns the named Insured,
(3) if the grantee is wholly-owned by an affiliated Entity of the named Insured, provided the affiliated Entity and
the named Insured are both wholly-owned by the same person or Entity, or
(4) if the grantee is a trustee or beneficiary of a trust created by a written instrument established by the Insured
named in Schedule A for estate planning purposes.
(ii) With regard to (A), (B), (C), and (D) reserving, however, all rights and defenses as to any successor that the Company
would have had against any predecessor Insured.
(e) "Insured Claimant": An Insured claiming loss or damage.
( fl "Knowledge" or "Known": Actual knowledge, not constructive knowledge or notice that may be imputed to an Insured by
reason of the Public Records or any other records that impart constructive notice of matters affecting the Title.
(g) "Land": The land described in Schedule A, and affixed improvements that by law constitute real property. The term "Land"
does not include any property beyond the lines of the area described in Schedule A, nor any right, title, interest, estate, or
easement in abutting streets, roads, avenues, alleys, lanes, ways, or waterways, but this does not modify or limit the extent
that a right of access to and from the Land is insured by this policy.
(h) "Mortgage": Mortgage, deed of trust, trust deed, or other security instrument, including one evidenced by electronic means
authorized by law.
(i) "Public Records": Records established under state statutes at Date of Policy for the purpose of imparting constructive notice
of matters relating to real property to purchasers for value and without Knowledge. With respect to Covered Risk 5(d),
"Public Records" shall also include environmental protection liens filed in the records of the clerk of the United States
District Court for the district where the Land is located.
(j) "Title": The estate or interest described in Schedule A.
(k) "Unmarketable Title": Title affected by an alleged or apparent matter that would permit a prospective purchaser or lessee of
the Title or lender on the Title to be released from the obligation to purchase, lease, or lend if there is a contractual condition
requiring the delivery of marketable title.
2. CONTINUATIOIY OF INSURANCE
The coverage of this policy shall continue in force as of Date of Policy in favor of an Insured, but only so long as the lnsured
retains an estate or interest in the Land, or holds an obligation secured by a purchase money Mortgage given by a purchaser from
the Insured, or only so long as the Insured shall have liability by reason of warranties in any transfer or conveyance of the Title.
This policy shall not continue in force in favor of any purchaser from the Insured of either (i) an estate or interest in the Land, or
(ii) an obligation secured by a purchase money Mortgage given to the Insured.
3. NOTICE OF CLAIM TO BE GIVEN BY INSURED CLAIMANT
The Insured shall notify the Company promptly in writing (i) in case of any litigation as set forth in Section 5(a) of these
Conditions, (ii) in case Knowledge shall come to an Insured hereunder of any claim of title or interest that is adverse to the Title,
as insured, and that might cause loss or damage for which the Company may be liable by virtue of this policy, or (iii) if the Title,
as insured, is rejected as Unmarketable Title. If the Company is prejudiced by the failure of the Insured Claimant to provide
prompt notice, the Company's liability to the Insured Claimant under the policy shall be reduced to the extent of the prejudice.
4. PROOF OF LOSS
In the event the Company is unable to determine the amount of loss or damage, the Company may, at its option, require as a
condition of payment that the Insured Claimant furnish a signed proof of loss. The proof of loss must describe the defect, lien,
OR'I' Form 4309A Page 4
Schedule A for AL7'A Owners Policy of Title Insurance 6-17-06
encumbrance, or other matter insured against by this policy that constitutes the basis of loss or damage and shall state, to the
extent possible, the basis of calculating the amount of the loss or damage.
5. DEFENSE AND PROSECUTION OF ACTIONS
(a) Upon written request by the Insured, and subject to the options contained in Section 7 of these Conditions, the Company, at
its own cost and without unreasonable delay, shall provide for the defense of an Insured in litigation in which any third party
asserts a claim covered by this policy adverse to the lnsured. This obligation is limited to only those stated causes of action
alleging matters insured against by this policy. The Company shall have the right to select counsel of its choice (subject to
the right of the Insured to object for reasonable cause) to represent the [nsured as to those stated causes of action. It shall not
be liable for and will not pay the fees of any other counsel. The Company will not pay any fees, costs, or expenses incurred
by the Insured in the defense of those causes of action that allege matters not insured against by this policy.
(b) The Company shall have the right, in addition to the options contained in Section 7 of these Conditions, at its own cost, to
institute and prosecute any action or proceeding or to do any other act that in its opinion may be necessary or desirable to
establish the Title, as insured, or to prevent or reduce loss or damage to the Insured. The Company may take any appropriate
action under the terms of this policy, whether or not it shall be liable to the Insured. The exercise of these rights shall not be
an admission of liability or waiver of any provision of this policy. If the Company exercises its rights under this subsection, it
must do so diligently.
(c) Whenever the Company brings an action or asserts a defense as required or permitted by this policy, the Company may
pursue the litigation to a final determination by a court of competent jurisdiction, and it expressly reserves the right, in its sole
discretion, to appeal any adverse judgment or order.
6. DUTY OF INSURED CLAIMANT TO COOPERATE
(a) In all cases where this policy permits or requires the Company to prosecute or provide for the defense of any action or
proceeding and any appeals, the Insured shall secure to the Company the right to so prosecute or provide defense in the action
or proceeding, including the right to use, at its option, the name of the Insured for this purpose. Whenever requested by the
Company, the Insured, at the Company's expense, shall give the Company all reasonable aid (i) in securing evidence,
obtaining wimesses, prosecuting or defending the action or proceeding, or effecting settlement, and (ii) in any other lawful
act that in the opinion of the Company may be necessary or desirable to establish the Title or any other matter as insured. If
the Company is prejudiced by the failure of the Insured to furnish the required cooperation, the Company's obligations to the
Insured under the policy shall terminate, including any liability or obligation to defend, prosecute, or continue any litigation,
with regard to the matter or matters requiring such cooperation.
(b) The Company may reasonably require the Insared Claimant to submit to examination under oath by any authorized
representative of the Company and to produce for examination, inspection, and copying, at such reasonable times and places
as may be designated by the authorized representative of the Company, all records, in whatever medium maintained,
including books, ledgers, checks, memoranda, correspondence, reports, e-mails, disks, tapes, and videos whether bearing a
date before or after Date of Policy, that reasonably pertain to the loss or damage. Further, if requested by any authorized
representative of the Company, the Insured Claimant shall grant its permission, in writing, for any authorized representative
of the Company to examine, inspect, and copy all of these records in the custody or control of a third party that reasonably
pertain to the loss or damage. All information designated as confidential by the Insured Claimant provided to the Company
pursuant to this Section shall not be disclosed to others unless, in the reasonable judgment of the Company, it is necessary in
the administration of the claim. Failure of the Insured Claimant to submit for examination under oath, produce any
reasonably requested information, or grant permission to secure reasonably necessary information from third parties as
required in this subsection, unless prohibited by law or governmental regulation, shall terminate any liability of the Company
under this policy as to that claim.
7. OPTIONS TO PAY OR OTHERWISE SETTLE CLAIMS; TERMINATION OF LIABILITY
In case of a claim under this policy, the Company shall have the following additional options:
(a) To Pay or Tender Payment of the Amount of Insurance.
To pay or tender payment of the Amount of Insurance under this policy together with any costs, attorneys' fees, and expenses
incurred by the Insured Claimant that were authorized by the Company up to the time of payment or tender of payment and
that the Company is obligated to pay.
Upon the exercise by the Company of this option, all liability and obligations of the Company to the Insured under this
policy, other than to make the payment required in this subsection, shall terminate, including any liability or obligation to
defend, prosecute, or continue any litigation.
(b) To Pay or Otherwise Settle With Parties Other Than the Insured or With the Insured Claimant.
(i) To pay or otherwise settle with other parties for or in the name of an Insured Claimant any claim insured against under
this policy. In addition, the Company will pay any costs, attorneys' fees, and expenses incurred by the insured Claimant
that were authorized by the Company up to the time of payment and that the Company is obligated to pay; or
ORT Form 4309A Page 5
Schedule A for ALTA Owners Policy of Title Insurance 6-17-06
(ii) To pay or otherwise settle with the Insured Claimant the loss or damage provided for under this policy, together with any
costs, attorneys' fees, and expenses incurred by the Insured Claimant that were authorized by the Company up to the time
of payment and that the Company is obligated to pay.
Upon the exercise by the Company of either of the options provided for in subsections (b)(i) or (ii), the Company's
obligations to the Insured under this policy for the claimed loss or damage, other than the payments required to be made, shall
terminate, including any liability or obligation to defend, prosecute, or continue any litigation.
8. DETERMINATION AND EXTENT OF LiABILITY
This policy is a contract of indemnity against actual monetary loss or damage sustained or incurred by the Insured Claimant who
has suffered loss or damage by reason of matters insured against by this policy.
(a) The extent of ]iability of the Company for loss or damage under this policy shall not exceed the lesser of
(i) the Amount of Insurance; or
(ii) the difference between the value of the Title as insured and the value of the Title subject to the risk insured against by
this policy.
(b) If the Company pursues its rights under Section 5 of these Conditions and is unsuccessful in establishing the Title, as insured,
(i) the Amount of Insurance shall be increased by 10%, and
(ii) the [nsured Claimant shall have the right to have the loss or damage determined either as of the date the claim was made
by the tnsured Claimant or as of the date it is settled and paid.
(c) In addition to the extent of liability under (a) and (b), the Company will also pay those costs, attorneys' fees, and expenses
incurred in accordance with Sections 5 and 7 of these Conditions.
9. LIMITATION OF LIABILITY
(a) If the Company establishes the Title, or removes the alleged defect, lien, or encumbrance, or cures the lack of a right of
access to or from the Land, or cures the claim of Unmarketable Title, all as insured, in a reasonably diligent manner by any
method, including litigation and the completion of any appeals, it shall have fully performed its obligations with respect to
that matter and shall not be liable for any loss or damage caused to the Insured.
(b) In the event of any litigation, including litigation by the Company or with the Company's consent, the Company shall have no
]iability for loss or damage until there has been a final determination by a court of competent jurisdiction, and disposition of
all appeals, adverse to the Title, as insured.
(c) The Company shall not be liable for loss or damage to the Insured for liability voluntarily assumed by the Insured in settling
any claim or suit without the prior written consent of the Company.
10. REDUCTION OF INSURANCE; REDUCTION OR TERMIIYATION OF LIABILITY
All payments under this policy, except payments made for costs, attomeys' fees, and expenses, shall reduce the Amount of
Insurance by the amount of the payment.
11. LIABILITY NONCUMULATIVE
The Amount of Insurance shall be reduced by any amount the Company pays under any policy insuring a Mortgage to which
exception is taken in Schedule B or to which the Insured has agreed, assumed, or taken subject, or which is executed by an
Insured after Date of Policy and which is a charge or lien on the Title, and the amount so paid shall be deemed a payment to the
Insured under this policy.
12. PAYMENT OF LOSS
When liabiliry and the extent of loss or damage have been definitely fixed in accordance with these Conditions, the payment shall
be made within 30 days.
13. RIGHTS OF RECOVERY UPON PAYMENT OR SETTLEMENT
(a) Whenever the Company shall have settled and paid a claim under this policy, it shall be subrogated and entitled to the rights
of the Insured Claimant in the Title and all other rights and remedies in respect to the claim that the Insured Claimant has
against any person or property, to the extent of the amount of any loss, costs, attorneys' fees, and expenses paid by the
Company. If requested by the Company, the Insured Claimant shall execute documents to evidence the transfer to the
Company of these rights and remedies. The Insured Claimant shall permit the Company to sue, compromise, or settle in the
name of the Insured Claimant and to use the name of the Insured Claimant in any transaction or litigation involving these
rights and remedies.
If a payment on account of a claim does not fully cover the loss of the Insured Claimant, the Company shall defer the
exercise of its right to recover until after the [nsured Claimant shall have recovered its loss.
(b) The Company's right of subrogation includes the rights of the Insured to indemnities, guaranties, other policies of insurance,
or bonds, notwithstanding any terms or conditions contained in those instruments that address subrogation rights.
ORT Form 4309A Page 6
Schedule A for ALTA Owners Policy of Title Insurance 6-17-06
14. ARBITRATIOIY
Either the Company or the Insured may demand that the claim or controversy shall be submitted to arbitration pursuant to the
Title lnsurance Arbitration Rules of the American Land Title Association ("Rules"). Except as provided in the Rules, there shall
be no joinder or consolidation with claims or controversies of other persons. Arbitrable matters may include, but are not limited
to, any controversy or claim between the Company and the Insured arising out of or relating to this policy, any service in
connection with its issuance or the breach of a policy provision, or to any other controversy or claim arising out of the transaction
giving rise to this policy. All arbitrable matters when the Amount of Insurance is $2,000,000 or less shall be arbitrated at the
option of either the Company or the Insured. All arbitrable matters when the Amount of Insurance is in excess of $2,000,000
shall be arbitrated only when agreed to by both the Company and the Insured. Arbitration pursuant to this policy and under the
Rules shall be binding upon the parties. Judgment upon the award rendered by the Arbitrator(s) may be entered in any court of
competent jurisdiction.
15. LIABILITY LIMITED TO THIS POLICY; POLICI' ENTiRE CONTRACT
(a) This policy together with all endorsements, if any, attached to it by the Company is the entire policy and contract between the
[nsured and the Company. In interpreting any provision of this policy, this policy shall be construed as a whole.
(b) Any claim of loss or damage that arises out of the status of the Title or by any action asserting such claim shall be restricted
to this policy.
(c) Any amendment of or endorsement to this policy must be in writing and authenticated by an authorized person, or expressly
incorporated by Schedule A of this policy.
(d) Each endorsement to this policy issued at any time is made a part of this policy and is subject to all of its terms and
provisions. Except as the endorsement expressly states, it does not (i) modify any of the terms and provisions of the policy,
(ii) modify any prior endorsement, (iii) extend the Date of Policy, or (iv) increase the Amount of Insurance.
l6. SEVERABILITY
ln the event any provision of this policy, in whole or in part, is held invalid or unenforceable under applicable law, the policy
shall be deemed not to include that provision or such part held to be invalid, but all other provisions shall remain in full force and
effect.
17. CHOICE OF LAW; FORUM ,
(a) Choice of Law: The Insured acknowledges the Company has underwritten the risks covered by this policy and determined
the premium charged therefore in reliance upon the law affecting interests in real property and applicable to the
interpretation, rights, remedies, or enforcement of policies of title insurance of the jurisdiction where the Land is located.
Therefore, the court or an arbitrator shall apply the law of the jurisdiction where the Land is located to determine the validity
of claims against the Title that are adverse to the Insured and to interpret and enforce the terms of this policy. In neither case
shall the court or arbitrator apply its conflicts of law principles to determine the applicable law.
(b) Choice of Forum: Any litigation or other proceeding brought by the Insured against the Company must be filed only in a
state or federal court within the United States of America or its territories having appropriate jurisdiction.
18. NOTICES, WHEItE SENT
Any notice of claim and any other notice or statement in writing required to be given to the Company under this policy must be
given to the Company at 400 Second Avenue South, Minneapolis, Minnesota 55401-2499.
ORT Form 4309A Page 7
Schedule A for ALTA Owners Policy of Title Insurance 6-17-06
Old Republic Natfonal Title Insurance Company
Schedule A
Order No.: 32149800
Date of Policy: Apri117, 2015
at 2:22PM
Name of Insured:
2.
4.
City of Bremerton, a Washington municipal corporation
The estate or interest in the Land that is insured by this policy is:
Fee Simple
Title is vested in:
City of Bremerton, a Washington municapal corporation
The Land referred to in this policy is described as follows:
See �xhebit "A" Attached Hereto
Policy No.: OX 09599020
Amount of
Insurance: $ 25,406.00
Premium: $ 400.00
ORT Form 4309A Page 8
Schedule A for AL'1'A Owners Policy of 1'itle Insurance 6-17-06
Exhibit ��A"
Order No.: 32149800
Policy No.: OX 09599020
That poMion of the Northwest quarter of the Southwest quarter, Section 35, Township 24 North, Range 1 West, W.M.,
in Kitsap County, Washington, described as follows:
Beginning at the Northwest corner of saad subdivisioa; thence East along the North Gne of said subdivision 677.88 feet
to the true point of beginning; thence South 208 feet; thence West 208 feet; thence North 208 fe�t, more or less, to a
point on the North line of said subdivision lying 208 feet West of the true point of beginning; thence East along the
North line of said subdivision 208 feet to the true point of beginning.
...End of Exhibit "A"...
ORT Form 4309A Page 9
Schedule A for ALTA Owners Policy of Title Insurance 6-17-06
Old Republic National Title Insurance Company
Schedule B
Exceptions from Coverage
Order No.: 32149800
Policy No.: OX 09599020
This policy does not insure against loss or damage, and the Company will not pay costs, attorneys' fees, or expenses that
arise by reason of:
Rights or claims of parties in possession not shown by the public records.
2. Public or private easements, or claims of easements, not shown by the public records.
Encroachments, overlaps, boundary line disputes, or other matters which would be disclosed by an accurate
survey or inspection of the premises.
4. Any lien, or right to a lien, for services, labor or material heretofore or hereafter furnished, Imposed by law and
not shown by the public records, or liens under the Workmen's Compensation Act not shown by the public
records.
5. Any title or rights asserted by anyone including but not limited to persons, corporations, governments or other
entities, to tide lands, or lands comprising the shores or bottoms of navigable rivers, lakes, bays, ocean or sound,
or lands beyond the line of the harbor lines as established or changed by the United States Government.
6. (a)Unpatented mining claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof;
(c) water rights, claims or title to water.
Indian tribal codes or regulations, Indian treaty or aboriginal rights, including, but not limited to, easements or
equitable servitudes.
8. Any service, installation, connection, maintenance, capacity, or construction charges for sewer, water, electricity
or garbage removal.
9. General taxes not now payable or matters relating to special assessments and special levies, if any, preceding the
same becoming a lien.
Special Exceptions:
As on Schedule "B", Page 2, attached.
Continued on next page
ORT Form 4309 B Page 10
Schedule B for ALTA Owners Policy of Title Insurance 6-17-06
, ,.
Schedule "B" — Continued
Old Republic National Title Insurance Company
Order No.: 32149800
Policy No.: OX 09599020
This policy does not insure against loss or damage, and the Company will not pay costs, attorneys' fees, or expenses that
arise by reason of:
1. Easement, and the terms and conditions thereof, affecting a portion of said premises and for the purposes
hereinafter stated, as disclosed by instrument recorded on August 30, 1937, under Kitsap County Auditor's File
No. 270460.
In favor of: State Division of Forestry
For: A road for forest protection purposes
Note: The description contained therein is insufficient to specifically locate said easement.
Easement, and the terms and conditions thereof, affecting a portion of said premises and for the purposes
hereinafter stated, as disclosed by instrument recorded on July 20, 1940, under Kitsap County Auditor's File No.
315515.
In favor of: City of Bremerton
For: Water pipeline
Note: The description contained therein is insufficient to specifically locate said easement.
Easement, and terms and conditions thereof, affecting a portion of said premises and for the purposes hereinafter
stated, as disclosed by instrument recorded on September 5, 1941, under Kitsap County Auditor's File No.
345218.
For: Existing roads and logging roads
Note: The description contained therein is insufficient to specifically locate said easement.
4. Exceptions and Reservations contained in deed from Pope & Talbot, Inc., whereby the grantor excepts and reserves
all oil, gases, coal, ores, minerals, fossils, etc., and the right of entry for opening, developing and working the same
and providing that such rights shall not be exercised until provision has been made for full payment of all damages
sustained by reason of such entry; recorded under Auditor's File No. 345218.
Note: No examination has been made to determine the present record owner of the above minerals, or mineral lands
and appurtenant rights thereto, or to determine matters which may affect the lands or rights so reserved.
5. General and Special Taxes and Charges: First half delinquent May 1; Second half delinquent November 1:
Year: 2015
Amount Billed: $324.50
Amount Paid: $162.25
Amount Due: $162.25
Tax Account Number: 352401-3-007-1005
Levy Code: 8170
Assessed Value: $27,950.00
ORT Form 4309 B Page 11
Schedule B for ALTA Owners Policy of Title Insurance 6-17-06
, , �
Schedule B — continued
Policy No.: OX 09599020
Order No.: 32149800
6. Question of right of access as to the property described herein. We find no easement for ingress and egress from
said premises as to a public road. Although access is currently attainable by common ownership, any subsequent
severance from common ownership will create a Land Locked/Lack of Access property. Notwithstanding the
insuring clauses of this policy, the company does not insure against any loss or damage by reason of lack of
access to and from the land should common ownership be severed.
.. . End of Schedule B...
ORT Form 4309 B Page 12
Schedule B for ALTA Owners Policy of Title Insurance 6-17-06