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06202017 Building 50 Report and Ex A
CITY AUDITOR 345 61" Street, Suite 600, Bremerton, WA 98337-1873 & Phone (360) 473-5369 June 20, 2017 To: Audit Committee Members: Pat Sullivan, Audit Committee Chair and Council Member Deborah McDaniel, Audit Committee Vice -Chair Eric Younger, CPA, Council President Dennis Treger, CPA, Audit Committee Member Tony Hillman, CPA, Audit Committee Member Re: Building 50 Review Dear Audit Committee Members: At your request and based on the information available to date, I am submitting a report summarizing my review of the Building 50 lease history. My work included the consideration and/or analysis of certain records including: 1. Puget Sound Navy Museum website history tab; 2. Typed notes and materials provided by Megan Churchwell, the Puget Sound Navy Museum curator: a. "Building 50: A Bremerton Legacy", b. "A Proud Museum for a Proud Navy: Puget Sound Navy Museum", narrative and PowerPoint slides; and c. Photos. 3. Expense detail reported in FinancePlus; 4. Kitsap Conference Center revenue report 2014 through 2016; 5. April 26, 2010 internal audit report titled, "Review of Harborside Fountain Park — Building 50 — Memorial Plaza Project', prepared by a former City Auditor; 6. Museums USA website research; 7. Synergy Construction Contract No. 4531; 8. Kitsap County Assessor records; 9. 2014 and 2015 Puget Sound Navy Museum Annual Reports; 10. Quitclaim Deed for the conveyance of the Building 50 parcel and improvements; and 11. Other miscellaneous research. Additionally, I communicated with the following individuals about the Building 50 background: Alyce Fierro, Project Assistant, Department of Community Development Lindy Dosher, Director, Naval Museums Northwest Cary Bozeman, Bremerton Port Commissioner and Former Bremerton Mayor Gary Sexton, Former Bremerton Special Projects Administrator George Bieda, Puget Sound Naval Museum Foundation President B Building 50 Review June 20, 2017 MUSEUM PURPOSE According to Wikipedia, "The purpose of modern museums is to collect, preserve, interpret, and display items of artistic, cultural, or scientific significance for the education of the public. The purpose can also depend on one's point of view. To a family looking for entertainment on a Sunday afternoon, a trip to a local history museum or large city art museum could be a fun, and enlightening way to spend the day. To city leaders, a healthy museum community can be seen as a gauge of the economic health of a city, and a way to increase the sophistication of its inhabitants. To a museum professional, a museum might be seen as a way to educate the public about the museum's mission, such as civil rights or environmentalism. Museums are, above all, storehouses of knowledge." BUILDING 50 BACKGROUND The U.S. Navy built Building 50 on the Puget Sound Naval Shipyard ("Shipyard") in 1896 for an initial cost of $7,900. Although the building may look like a house, it never served as a residence. It originally functioned as a shipyard commandant office space and has since served a number of other functions as summarized below: Function I Era Shipyard commandant offices Until 1920 Chemistry lab 1920 Apprentice school 1920-1933 Salute newsletter and Gas Rations Board During WWII Dispensary and ship offices Postwar years Puget Sound Navy Museum 2007 to present Building 50 resided in the Shipyard for over 100 years. In 2006, the Shipyard relocated Building 50 to its present location at 251 First Street in Bremerton, x+ Y� 41-'' which is on land donated by the Shipyard to the City :: , t'p,"" of Bremerton ("City"). Building 50 was donated by the ' US Navy to the City and underwent a $6 million renovation funded primarily by the US Navy, plus federal and state grants'. When renovations were " complete, the City leased the majority of the interior of the building to the Navy for use as a U.S. Navy Museum, which officially opened in Building 50 as the Puget Sound Navy Museum ("PSNM") on August 25, 2007. Building 50 also houses a 1,650 square foot event space, an addition that was part of the renovation, which is leased to Columbia Hospitality for additional Kitsap Conference Center event space. RESTRICTIVE COVENANT The deed conveying the land and Building 50 to the City from the US Navy includes a "Restrictive Covenant". This covenant provides, in part, that the City shall not "use the property for any uses other than recreational. Recreational use is defined as walking, viewing, nature ' About half of the renovation was funded by the Navy. Page 2 of 9 0 Building 50 Review June 20, 2017 watching, playing, entertainment, festivals, markets, concerts, museum and park food services, social activities, museum use and related activities, movies, picnicking, exercising, relaxing and all other activities reasonably associated with park, museum, and public open space usage." This restrictive covenant runs with the title of the property, binding all future owners of any portion of or interest in the subject property. This and other covenants, restrictions and conditions in the deed are binding in perpetuity; however, the Owner (i.e. City) can record an instrument that provides the restrictive covenant no longer limits the use of the property provided that the US Navy, Environmental Protection Agency ("EPA"), and Washington Department of Ecology ("WDOE") determine the restrictive covenant is no longer required to protect human health and the environment2 or to comply with an "Applicable, Relevant and Appropriate Requirement." HISTORIC PRESERVATION COVENANT The deed also includes a Historic Preservation Covenant that requires the City and all future owners to preserve and maintain Building 50 in accordance with specific historic building standards to preserve the building as a national landmark property. This covenant is binding in perpetuity. Please refer to the Quitclaim Deed, attached as Exhibit A, for complete details of all covenants, restrictions, conditions and other terms. PUGET SOUND NAVY MUSEUM BACKGROUND The PSNM collects, preserves, and interprets the naval heritage of the Pacific Northwest for the benefit of the U.S. Navy and general public. The PSNM is one of twelve museums funded and administered by the U.S. Navy. Although the PSNM moved into the newly renovated Building 50 in 2007, this museum began operation on December 3, 1954 in the Bremerton Craven Center, a Shipyard building then located at Burwell and Park. In 1964, the Navy declared the Craven Center building as surplus and the museum moved into a portion of the Washington State Ferry Terminal's lobby. The City accepted custody of the museum's collection, and the Kitsap County Historical Society agreed to staff the museum. The museum reopened in 1967 in the ferry terminal lobby and operated there until 1986 when the terminal was demolished. In 1986, the City of Bremerton agreed to lease a 6,000 -square foot building for the museum near the ferry terminal at 130 Washington Avenue. Volunteers staffed the museum and the City paid the rent and utilities. A November 12, 1997 Hotel/Motel Tax Committee letter outlines a number of requests for Hotel/Motel Tax Funds, including a request from the then Bremerton Naval Museum. The outline states the Bremerton Naval Museum was embarking on a program to achieve eventual self-sufficiency. It further states the Museum Board of directors "freely admit the museum as an attraction does not draw tourists to the Bremerton area. However, they do claim to have 2 The deed states hazardous materials in the form of asbestos or asbestos containing materials have been found or are otherwise presumed to exist on the property. Page 3 of 9 0 Building 50 Review June 20, 2017 30,000 visitors annually. It was acknowledged ... that if each visitor were charged an entry fee of $1.00, the museum would be self-sustaining." In 1998, the City decided to no longer pay the museum's rent, which led the museum's non- profit foundation to take over the full operation of the museum until 2002, when the City decided to raze the Washington Avenue location to make room for a hotel and convention center. Negotiations between former museum foundation Board President Lyle Nelson, U.S. Congressman Norm Dicks, and City officials resulted in a decision to create a permanent home for the museum in Building 50. The museum moved from 130 Washington in 2002 to a temporary rented space in the Amy Burnett Gallery at 4t" and Pacific. It operated there until the summer of 2007 when it moved to its current location at 251 First Street. BREMERTON WATERFRONT REVITALIZATION The Kitsap Mall opened in August 1985, which shifted the retail core of Kitsap County from Bremerton to Silverdale. As a result, retailers including Sears, J.C. Penney, Montgomery Ward, Nordstrom Place Two, Woolworth and Rite Aid all closed their downtown Bremerton stores in the '80s and '90s. Downtown Bremerton became a scene of many large empty storefronts and a waterfront cluttered with parking lots. In an effort to restore economic development in the downtown area, plans were undertaken to develop a revitalized, accessible waterfront that would draw people and businesses to the area. Beginning with the building of a waterfront boardwalk and marina in 1992, Bremerton began the process of revitalizing its downtown community. The Building 50 renovation for the PSNM was part of the revitalization — the effort to restore economic development. The following table summarizes some key projects in the Bremerton revitalization, which reportedly cost more than $400 million in total: 1992: The destroyer USS Turner Joy opens for public tours. 2000: A waterfront multimodal bus/ferry terminal is complete. 2004: Hampton Inn and Suites and Kitsap Conference Center are complete. 2004: Norm Dicks Government Center is complete. 2006: Anthony's restaurant opens. 2006 Kitsap Credit Union building is complete. 2007: The Harborside Fountain Park and PSNM open. 2007: Harborside Condominiums are built. 2008: A newly expanded marina with increased boat capacity is complete. 2009: A tunnel traversing from the ferry terminal to Highway 304/Burwell opens. 2010: Fairfield Inn and Suites by Marriott opens on the site of the old City Hall building. Page 4 of 9 B Building 50 Review June 20, 2017 BUILDING 50 PHYSICAL DESCRIPTION When initially built, the building featured a "widow's walk" balcony at the back of the roof, a majestic eagle ornament at the peak of the roofline, and four fireplaces were shown in the original building plans. The building was originally white but has been painted several times: during World War II it featured a camouflage paint scheme and during the Korean War it was "battleship gray". Building 50 currently is situated on a 1/4 acre waterfront lot zoned for military and has 15,321 square feet. The square footage includes a 2,777 square foot basement currently used for museum storage and a small events kitchen. 0 LEASE TERMS The City leases most of Building 50 to the United a.� States of America for $1 per year. The current lease term is from October 1, 2014 through September 30, 2024. The lessee may terminate the lease at any time by giving at least 60 days' notice. The lessee is responsible for staffing and operating the museum, plus janitorial services; and the City provides the following at City expense: a. Water and electrical service, b. Building systems and exterior maintenance, c. Grounds maintenance, d. Normal HVAC for public spaces, e. Keys for museum personnel for unlimited access to museum spaces, and f. Normal operational access to elevators, service areas, loading docks, and entry ways pertaining to the premises. The City's expenses for Building 50 from 2014 through 2016 averaged $41,270, as summarized below:3 3 The largest expense difference during this period is in Structures and Grounds (S&G). 2014 S&G includes an HVAC repair and conduit work, which totaled $7,600. 2015 S&G includes air conditioning services totaling $10,076, plus additional expenses to install a fire alarm, key switch for the elevator, and duct heat assembly. Page 5 of 9 0 Building 50 Review Expenditure Total Description 1 2014 1 2015 1 2016 June 20, 2017 Operating expenses paid by City: Wages and benefits $ 564 $ - $ - Office and operating supplies 4,285 618 3,707 Small tools, equipment and furnishings 89 Professional services 100 454 Telecommunications 2,295 2,148 Equipment rental 697 Electricity 10,821 10,552 8,048 Water/sewer/stormwater 3,010 3,484 3,511 Structures and grounds 21,263 11,761 24,497 Miscellaneous 3,669 4,238 4,000 Total operating expenses paid by City $ 44,409 $ 33,491 $ 45,911 Mr. Bozeman stated both the City and Navy believed it was important to have a Naval Museum located in downtown Bremerton, depicting the history of the shipyard and its relationship to the City. The shared desire for a Naval Museum and the fact that the Navy funded about half of Building 50's renovation appear to be key factors in the lease negotiations. Mr. Sexton added that the City agreed to pay the utilities since the building is used by two tenants (Columbia Hospitality and the Museum.) PSNM FINANCIAL SUMMARY The PSNM operating expenses are funded by the US Navy. The PSNM fiscal year 2017 budget totals $84,000 plus labor associated with six full time equivalent employees. Ms. Dosher estimated the total budget, including labor and benefits, may be approximately $500,000 per year. In addition to funding from the US Navy, PSNM receives funds from the Puget Sound Navy Museum Foundation ("Foundation"), a 501(c) (3) non-profit organization. The Foundation's mission is to "obtain financial support for the development of the Puget Sound Navy Museum and its educational, cultural, and historical programs." The Foundation raises funds to cover museum expenses not funded by the US Navy. Fund sources, which averaged approximately $40,000 per year from 2012 through 2016,4 are from gifts, donations, and museum store sales. The table below summarizes the Foundation's 2016 income and expense as reported on Form 990 -EZ: 4 2016 had an extraordinary $20,000 donation. Annual funding from 2012 through 2015 averaged approximately $35,000. Page 6 of 9 0 Building 50 Review June 20, 2017 Description 1 2016 Income: Contributions, gifts, grants, etc. (A) $ 28,518 Investment income 1,369 Gross profit from sales of inventory 12,775 Net from fundraising events (457) Total income 42,205 Less expenses: Credit card processing fees 956 Store and office supplies 2,007 Liability insurance 1,104 Memberships 380 Telephone and Internet 2,265 Volunteer recognition 3,097 Museum support 10,234 STEM bus transportation 600 Total expenses 20,643 Net income $ 21,562 (A) Includes a $20,000 donation from a philanthropic foundation formed in 2015. Foundation assets and liabilities as reported on Form 990 -EZ are summarized below: As of December 31, Description 2015 1 2016 Cash, savings, and investments $ 145,154 $ 164,560 Liabilities 2,156 - Assets less liabilities $ 142,998 $ 164,560 Page 7 of 9 0 Building 50 Review June 20, 2017 The Foundation President, George Bieda, provided the following comments concerning the Foundation's finances: "The PSNM Foundation works very hard to generate the funds to support PSNM for items that are not supported by the USN. This includes paying for bus transportation to schools that cannot afford to pay for the transportation to STEM (Science, Technology, Engineering and Mathematics) events that are highly encouraged by the USN --but not funded by them, advertising the PSNM, exhibit shipping insurance, personal comfort items (like bottled water), and many other items. Our Board is made up of just 10 members most of whom are well over 70 years old, we are losing them as they age and it is hard to find new board members. They have worked very hard to raise these funds and have very closely monitored expenditures to insure an adequate amount of funds are kept on hand to support the PSNM in good times and bad. We have a limited capability to raise new funds and depend upon the Museum Store and donations to provide the core of the Foundation's support. Please do not misinterpret our success in raising and preserving funds as proof that we are having an easy time executing this task." FOUNTAIN ROOM The Fountain Room is a 1,650 square foot event space in Building 50 that is managed by Columbia Hospitality and accommodates up to 200 guests. The City pays Columbia Hospitality $1,000 per month to market and manage this unique space. Columbia Hospitality has indicated this space is difficult to service because it is offsite (about 1/10th mile) from the Kitsap Conference Center, the main location of Columbia Hospitality's kitchen and service area. From March 2015 through July 2016, Columbia Hospitality did not actively market this event spaces due to the difficulties and inefficiencies of serving an offsite space. Fountain Room event revenue from January 1, 2014 through December 31, 2016 totaled $161,525. SUMMARY Situated in the Harborside Fountain Park, which is reported to be one of the Puget Sound region's most impressive public places, the renovated Building 50 is a beautiful home for the PSNM. Although the museum itself does not generate revenue for the City, the museum in recent years has drawn close to 100,000 visitors annually, as shown below: Year IVisitors 2014 77,927 2015 98,753 2016 93,660 5 Although they did not actively market the Fountain Room, Columbia Hospitality continued to book events at this space. Columbia Hospitality was not paid the additional $1,000 monthly payment during this 17 -month period. Page 8 of 9 0 Building 50 Review June 20, 2017 It is reasonable to assume that these visitors frequent local eateries and other businesses, contributing to the economic revival of downtown Bremerton. Please contact me if you have questions or need additional information. Sincerely, Jennifer L. Sims CPA/CFF, CFE City Auditor cc: Mayor Lent DeWayne Pitts, Finance Director Mike Riley, Assistant Finance Director Shannon Corin, City Clerk Page 9 of 9 Exhibit A When Recorded Return to: BREMERTON CITY OF 200710110379 ?uit Claim Deed Reo Fee: $ 55.00 1D/11/2 D07 03 29 PM Karen Flynn; Kitsap Co Auditor Page lllilll 111 111111 IIII 111111 VIII IIII 1111111 111111 IIII I!II VIII 1111111 III IIIA VIII II11111111111 City of Bremerton 345 6 Street, 6 Floor Bremerton, WA 98337 Attention: Gary Sexton, Director of Economic Development Document Title: QUITCLAIM DEED Reference Number of Document Assigned or Released: Not Applicable Grantor's Name: THE UNITED STATES OF AMERICA Grantee's Name: THE CITY OF BREMERTON Abbreviated Legal Description: Parcel C: A portion of Government Lot 3 of Section 24, Township 24 North, Range 1 East, W.M., City of Bremerton, Kitsap County, WA as recorded in Volume 2 of Plats, Page 30, containing 0.25 acres more or less. Assessor's Property Tax Parcel Account Numbers: Not Applicable 1 1 of 16 N4425506RPOOZ04 QUITCLAIM DEED ig This Deed is made this IL_ day of , 2007, by THE UNITED STATES OF AMERICA, acting by and throug the Department of the Navy (herein called "Grantor" or "USA"), in favor of THE CITY OF BREMERTON, a municipal corporation of the State of Washington (herein called "Grantee" or "City"). RECITAL This conveyance of property is made pursuant the authority granted in Section 2845 of Public Law 108-136; the National Defense Authorization Act of 2004, attached hereto as Exhibit "A". CONVEYANCE Grantor. does hereby release, convey and quitclaim to Grantee, its successors and assigns, all Grantor's right, title and interest, together with all after-acquired title of the Grantor and any and all rights in abutting streets, in and to the real property and all improvements thereon and appurtenances thereto (the "Property"), located in Kitsap County, Washington and described in Exhibit "B" attached hereto and incorporated herein by this reference ("City Property"), subject to the following: REPRESENTATIONS, COVENANTS AND RESTRICTIONS Subject to the following Covenants, Restrictions and Conditions that shall be binding j upon and enforceable against Grantee, its successors and assigns, in perpetuity, and to the following notices: 1. Grantee agrees to accept conveyance of the Property subject to all covenants, conditions, restrictions, easements, rights-of-way, reservations, rights, agreements, and encumbrances of record or not recorded. 2. A Finding of Suitability for Transfer ("FOST") has been completed and an Environmental Baseline Survey ("EBS") is referenced in the FOST. The FOST and EBS reference environmental conditions on the Property and on the other property not subject to this Deed. Grantee acknowledges that it has received copies of the EBS and the FOST; that it is aware of the notification contained therein; and that all documents referenced therein have been made available to Grantee. 3. Except as otherwise provided herein, or as otherwise provided by law, Grantee acknowledges that it has inspected, is aware of, and accepts the condition and state of repair of the Property, and that the Property is conveyed "as is" and "where is" without any representations, promise, agreement, or warranty on the part of Grantor regarding such condition and state of repair or regarding the making of any alterations, KITSAP COUNTY TREASURER EXCISE 10/11/2007 6 N v � a r o e m e LD LO r - m — N© � LL v O L, 0— a_— Or ❑ � fk 0) Ol h zoo P ©T- W W Co�.I� •"C3rY-_ 2007EX07606 Ll Total $10.00 Clerk's Initial _____________ improvements, repairs or additions. Except for the environmental remediation that may be required to be undertaken by Grantor pursuant to paragraph 5 below, Grantee further acknowledges that Grantor shall not be liable for any latent or patent defects in the Property except to the extent required by applicable law. The recording of this deed on behalf of the Grantee shall be conclusive evidence of Grantee's acceptance of both this deed, and the condition of all property conveyed hereby. 4. Asbestos Containing Materials: A. Grantee is hereby informed and does hereby acknowledge that hazardous materials in the form of asbestos or asbestos containing materials ("ACM") have been found or are otherwise presumed to exist on the Property as disclosed and detailed in the EBS. 5. CERCLA Notices and Covenants: A. Notices: Hazardous Substances Notification. Pursuant to 42 U.S.C. § 9620(h)(3)(A), and the provisions of 40 C.F.R. Part 373, the Grantor hereby gives notice that hazardous substances were stored for one year or more, released and:. disposed of on the Property. The information contained in this notice is required. by:,: regulations promulgated under Section 120(h) of the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA), 42 U.S.C. § 9620(h). Grantor has made a complete search of the files and records concerning the Property. To the extent such information is available on the basis of said search, Grantor has disclosed and detailed in Exhibit "C" the type and quantity of such hazardous substances, the time at which such storage, release or disposal took place, to the extent that such information was available, and the remedial action taken, if any. B. Pursuant to Section 120(h)(3)(A)(ii) of CERCLA (42 U.S.C. § 9620(h)(3)(A)(ii)) Grantor covenants and warrants that: (1) all remedial action necessary to protect human health and the environment with respect to any hazardous substance identified pursuant to section 120(h)(3)(A)(i) of CERCLA and remaining on the Property has been taken before the date of this deed, and (2) the Property is conveyed with the final remedy in place per the OU -D Remedial Design and Work Plan (RDWP) . The RDWP specified that neither topsoil nor vegetation be placed over the Property as it serves as an access road and would be destructive to the protective low -permeability soil. Final design requirements were coordinated with the Environmental Protection Agency. As the final remedy is in place, no further Remedial Actions are necessary by the Grantor, and (3) Any additional response or corrective action found to be necessary for the Property after the date of such transfer shall be conducted by the Navy. This covenant shall not apply to the extent that Grantee caused or contributed to any release BREMERTON CITY OF 200710110379 Quit Claim Deed Rec Fee: $ 55 10/11/2007 03:29 PM 0p Karen Flynn. KitsaP Co Ruditor Paga_, 3 of 16 1111111 I!I 111111 IIII 111111 VIII II!! 1111111 IIIIII IIII IIII 111111111111111111111111111I or threatened release of any hazardous substance, pollutant, or contaminant on or onto the Property. C. Access [CERCLA 42 U.S.C. § 9620 (h)(3)(A)(iii)]. In connection with Grantor's covenant above and in connection with ongoing remediation on Grantor's property adjacent to the Property, Grantee agrees on behalf of itself, its successors and assigns, as a covenant running with the land, that Grantor, or its officers, agents, employees, contractors, and subcontractors, shall have the right, upon reasonable notice to Grantee, to enter upon the Property in any case in which a response action, or corrective action is found to be necessary at such property after the date of this deed, or such access is necessary to carry out a response action, or corrective action on adjoining property. Grantee shall not have any claim on account of such entries against the Grantor or any of its agents except as may be provided by law. The Grantor shall be responsible, to the extent provided in the Federal Tort Claims Act, for any personal injury or property damage or claims, suits or penalties related to Grantor's environmental activities on the property. At the conclusion of any such entry by Grantor, Grantor shall restore the Property to the condition existing immediately prior to entry as required by applicable law. 6. Restrictive Covenant: A. This Declaration of Restrictive Covenant is made pursuant to RCW 70.105D.030(1)(f) and (g), RCW 64.040.010 and WAC 173-340-440 by the United States Department of the Navy (hereafter "Navy") and the City of Bremerton. This !Declaration of Restrictive Covenant is intended to be a covenant running with the title of subject property and shall be binding on all parties and all persons claiming under them, including all future owners of any portion of or interest in the Property under principles of Washington State law. B. The property that is the subject of this Restrictive Covenant is Operable Unit D, at Naval Base Kitsap-Bremerton (NBK Bremerton) and has been the subject of remedial actions under the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA), 42 U.S.C. 9601, et seq. and Executive Order 12580. The Navy, US Environmental Protection Agency and State of Washington Department of Ecology signed a Record of Decision for OU D in April of 2005 at NBK Bremerton. The applicable components of the selected remedies for the conveyed portion OU D are: Vegetated Cap, Groundwater Monitoring, Shoreline Protection, and Institutional Controls. The Remedial Actions conducted at the property are described fully in the Final Record of Decision for Operable Unit D that is on file at US EPA, 1200 Sixth Avenue, Seattle, WA. C. This Restrictive Covenant is required because soil contained under the vegetated cap in OU -D exceeds Model Toxics Control Act (MTCA) Method B for the protection of surface water. BREMERTON CITY OF 200710110379 Quit Claim Deed Rec Fee $ 55.0© Page 4 of 16 10/1112007 03:29 PM Karen Flynn, Kits.P Co Auditor D. Navy as holder of legal title does hereby declare that it has authority to enter into this Restrictive Covenant. Navy makes the following declarations as to limitations, restrictions, and uses to which the Property may be put. Furthermore, it is the intent of the Navy that such declarations shall constitute covenants and/or equitable servitude that run with the land, as provided by law, and be binding on all parties and all persons claiming under them, including future owners of any portion of or interest in the Property. (1) Except as otherwise provided for in this Restrictive Covenant the Owner shall not: (a) Use the Property for any uses other than recreational. Recreational use is defined as walking, viewing, nature watching, playing, entertainment, festivals, markets, concerts, museum and park food services, social activities, museum use and related activities, movies, picnicking, exercising, relaxing and all other activities reasonably associated with park, museum, and public open space usage.. (b) Take or use groundwater for any purpose except monitoring.. (c) Engage in any activity on the Property that may result in the release or exposure to the environment of the contaminated soil that was contained as part of the Remedial Action for OU -D, or create an new exposure pathway. Some examples of activities that are prohibited in the capped areas include: drilling, digging, place any objects or use of any equipment which deforms or stresses the surface beyond its load bearing capability, piercing the surface with a rod, spike or similar item, bulldozing or earthwork. (2) Notwithstanding any other provision of this Restrictive Covenant, Owner may engage in activities on the Property that may interfere with the Remedial Action, operation and maintenance, or monitoring provided that it obtains the prior written approval of the Environmental Protection Agency, Region X (EPA) and Washington Department of Ecology (WDOE) 60 days prior to execution of work. The Owner shall provide Navy with a copy of the written approvals within 30 days of receipt. (3) In conducting construction activities on the Property the Owner shall comply with the requirements set forth in Exhibit "D". (4) The Owner shall notify the US Navy, WDOE, and EPA, or its successor agency, before any use of the Property that is inconsistent with the terms of this Restrictive Covenant. (5) The Owner shall allow authorized representatives of the US Navy, BREMERTON CITY OF 200710110379 Dui, Claim Deed Rec Fee: $ 55.00 page 5 of 16 10111/2007 03:29 PM Karen Flynn, Kitsap Co Ruditor 1111111 III lif 1$11111111 UI 114 114 1IUII 1Ili 111111 it 1Iu It DI WDOE, and EPA, and/or its successor agency, the right to enter the Property at reasonable times for the purpose of evaluating compliance with the Restrictive Covenant, and other required plans, including the right to take samples. (6) The Owner shall restrict leases of the Property to uses and activities consistent with this Restrictive Covenant and shall notify all lessees of the restrictions on the use of the Property. (7) Conformed copies of the recorded Quitclaim Deed shall be forwarded to EPA, Region 10, Office of Regional Counsel, 1200 Sixth Avenue, ORC-158, Seattle, WA. The Owner shall include notice of this Restrictive Covenant in any instrument conveying any interest in any portion of the Property. (8) The Owner of the Property reserves the right under WAC 173-340-440 to record an instrument that provides that this Restrictive Covenant shall no longer limit the use of the Property or be of any further force or effect provided that the US Navy, EPA and WDOE have determined in writing that the restrictive covenant is no longer required to protect human health and the environment or otherwise to comply with an Applicable, Relevant and Appropriate Requirements (ARAR). (9) The Owner hereby confirms that this Restrictive Covenant is enforceable at law by the US Navy, EPA, and WDOE, all of whom shall be considered third party beneficiaries of this Restrictive Covenant. 7. Historic Preservation Covenant: A. This Declaration of Historic Preservation Covenant is made pursuant to the Memorandum of Agreement Between Puget Sound Naval Shipyard and Intermediate Maintenance Facility, The City of Bremerton, The Washington State Historic Preservation Office, and the National Park Service Regarding the Transfer of Ownership of Building 50 and Submitted to the Advisory Council on Historic Preservation Pursuant to 36 C.F.R. 800.10. This Declaration of Preservation Covenant is intended to be a covenant running with the title of subject Property and shall be binding on all parties and all persons claiming under them, including all future owners of any portion of or interest in the Property under principles of Washington State law. B. The Property that is the subject of this Preservation Covenant is former Building 50 located upon Parcel C. C. Grantee hereby covenants on behalf of itself, its heirs, successors, and assigns at all times to the Washington State Historic Preservation Office (SHPO) and the National Park Service (NPS) to preserve and maintain the former Building 50 in a manner that preserves the building in accordance with the recommended approaches in the Secretary of the Interior's Standards for Rehabilitation and Guidelines for Rehabilitating Historic Buildings (36 CFR 67) in order to preserve and enhance those qualities that make Building 50 a national landmark property. BREMERTON CITY OF 200710110379 Quit Claim Deed Rec Fee: $ 55 00 loll 1/2007 03 29PM Pager 6 of 16 Karen Flynn, Kit sap Go Auditor 1111111 III 111111 IIII 1111114111111 1111111111111 IIII 111111111!1111 III 1'111 VIII HILI IIII IIII (1) No construction, alteration, remodeling or any other work shall be undertaken or permitted to be undertaken or permitted to be undertaken at the former Building 50, other than minor repairs and routine maintenance, without the express prior written permission of the NPS and the Washington SHPO, signed by those individuals or a fully authorized representative thereof. (2) The Washington SHPO and the NPS, or a fully authorized representative thereof shall be permitted at all reasonable times to inspect the former Building 50 in order to ascertain if the above conditions are being observed. Prior to said inspection, proper written notification of intent to inspect will be issued to the Grantee. (3) This covenant is binding on the Grantee, its heirs, successors and assigns in perpetuity. Restriction, stipulations, and covenants contained herein shall be incorporated into any deed or other legal instrument by which she/he/they/it divests her/him/themselves/itself of either the fee simple title or any other lesser estate in the former Building 50 or any part thereof. (4) The failure of the Washington SHPO to exercise any right or remedy granted under this instrument shall not have the effect of waiving or limiting the exercise of any other right or remedy or the use of such right or remedy at any other time. (5) The Washington SHPO reserves the right to assign its responsibilities .,under this covenant to a third party. The third party may be, but is not limited to another Government entity or a non-profit organization. D. Should the Washington SHPO or the NPS object to any plans provided by its review pursuant t this agreement, the Grantee shall consult with the Washington SHPO and the NPS to resolve the objection. The responsibility of the Grantee to carry out all actions under this agreement that are not subjects of this dispute remain unchanged. 8. In the event that Grantee fails to complete, to the satisfaction of Grantor, the East End Military Construction Credits as stipulated in Paragraph 2.1 of Real Estate Purchase and Sale Agreement N4425506RPOOZ02, Parcel C, conveyed herein, shall revert to Grantor free of any cost or obligation whatsoever. 9. Grantee Covenants for itself, its heir, successors, and assigns and every successor in interest to the Property hereby conveyed, or any part thereof, that the said Grantee and such heirs, successors, and `assigns shall not discriminate upon the basis of race, color, religion, or national origin in the practices conducted thereon. This covenant shall not apply, however, to the lease or rental of a room or rooms within a family dwelling unit; nor shall it apply with respect to religion to premises used primarily for religious purposes. The United States of America shall be deemed a beneficiary of this covenant without regard to whether it remains the owner of any land or interest therein in the locality of the property hereby conveyed and shall have the sole right to enforce this covenant in any court of competent jurisdiction. BREMERTON CITY OF 200710110379 Quit Claim Deed Rec Fee: $ 55.00 Page: 7 of 16 10/11/2007 03:29 PM Karen Flynn, Kitsap Co Auditor 11111111 III 111111 IIII 1111111111$ 111111111111 IIII 1111 IUP 111111111111 11 VIII VIII. 111111 GRANTOR: UNITED STATES OF AMERICA By 44OUtt &f -.11 - MICHAEL D. BRADY Real Estate Contracting Officer Naval Facilities Engineering Command Northwest EXHIBITS Exhibit "A" - Public Law 108-136, Section 8143, Department of Defense Appropriation Act of 1999 Exhibit "B" - Legal Description of City Property Exhibit "C" - CERCLA 12(h) Notice Exhibit "D" - Construction Requirements BREMERTON CITY OF 200710110379 Quit Claim Deed Rec Fee: $ 55.00 10/11/2007 ©3:29 PM Page: 8 of 16 Karen Flynn, Kitsap Co Auditor 11111111IL111111111111111111111II1111111111111IIII111111.11111111111111111111111 IIIA 1111 IN STATE OF WASHINGTON) ) ss. COUNTY OF KITSAP ) On this day of M4,4 2007, before me personally appeared Michael D. Brady, known or identified to me to be the authorized agent of the United States of America, the governmental entity that executed the instrument or the person who executed the instrument on behalf of said governmental entity, and acknowledged to me that such governmental entity executed the same. WITNESS my hand and official seal hereto affixed the day and year in this certificate above written. 9 t-? 2007 aV"C--Vju'C"- NOTARY PUBLIC in and for the State of Washington residing atI��lSfao, pJA My commission expires: �Zooev , PRINT NAME: k7 tlAvj aerwe Use this space for''Notary Seal/Stamp BREMERTON CITY OF 200710110379 Quit Claim Deed Rec Fee. $ 55.00 10/11/2007 03:29 PM Karen Flynn, Kitsap Co Auditor Page: 9 of 16 �IIIIIII���IIIIIIJill IIIIIIIII IIJill IIIIIIIIIIII!IIIIJill IIIIIIIIIIIIIIIIIIII !Jill IIIIIJill IIII EXHIBIT "A" SEC. 2828. LAND CONVEYANCE, PUGET SOUND NAVAL SHIPYARD, BREMERTON, WASHINGTON. (a) CONVEYANCE AUTHORIZED- The Secretary of the Navy may convey to the City of Bremerton, Washington (in this section referred to as the City'), all right, title, and interest of the United States in and to a parcel of real property, including any improvements thereon, consisting of approximately 2.8 acres at the eastern end of the Puget Sound Naval Shipyard, Bremerton, Washington, immediately adjacent to the Bremerton Transportation Center. (b) CONSIDERATION- As consideration for the conveyance under subsection (a), the City, directly or through an agreement with another entity, shall replace administrative space on the parcel to be conveyed by renovating for new occupancy approximately 7,500 square feet of existing space in Building 433 at Naval Station, Bremerton, Washington, at no cost to the United States, in accordance with plans and specifications acceptable to the Secretary. In lieu of any portion of such renovation, the Secretary may accept other facility alteration or repair of not less than equal value. (c) PAYMENT OF COSTS OF CONVEYANCE- (1) The Secretary shall require the City to cover costs to be incurred by the Secretary, or to reimburse the Secretary for costs incurred by the Secretary, to carry out the conveyance under subsection (a), including survey costs, costs related to environmental documentation, and other administrative costs related to the conveyance. If amounts are collected from the City in advance of the Secretary incurring the actual costs, and the amount collected exceeds the costs actually incurred by the Secretary to carry out the conveyance, the Secretary shall refund the excess amount to the City. (2) Amounts received as reimbursement under paragraph (1) shall be credited to the fund or account that was used to cover the costs incurred by the Secretary in carrying out the conveyance. Amounts so credited shall be merged with amounts in such fund or account, and shall be available for the same purposes, and subject to the same conditions and limitations, as amounts in such fund or account. (d) ENVIRONMENTAL CONDITIONS- The Secretary may use funds available in the Environmental Restoration Account, Navy to carry out the environmental remediation of the real property to be conveyed under subsection (a). Such environmental remediation shall be conducted in a manner consistent with section 120 of the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (42 U.S.C. 9620), including the requirement to consider the anticipated future land use of the parcel. (e) EXEMPTION FROM FEDERAL SCREENING- The conveyance authorized by subsection (a) is exempt from the requirement to screen the property for other Federal use pursuant to sections 2693 and 2696 of title 10, United States Code. (f) DESCRIPTION OF PROPERTY- The exact acreage and legal description of the real property to be conveyed under subsection (a) shall be determined by a survey satisfactory to the Secretary. BREMERTON CITY OF 200710110379 QuitClaim Deed Rec Fee: $ 55.00 10/11/2007 03:29 PM Page: 10 of 16 Karen Flynn, Kitsap Co Auditor 1111111 III 111111 HILI IIII 11111111111 IIII 1111111111111 IIII IIII VIII 1111111 III VIII 11111111111! IIII EXHIBIT "A" (g) ADDITIONAL TERMS AND CONDITIONS- The Secretary may require such additional terms and conditions in connection with the conveyance under subsection (a) as the Secretary considers appropriate to protect the interests of the United States. BREMERTON CITY OF 200710110379 Quit Claim Deed Reo Fee $ 55.00 page 11 of 16 10/11/2007 03:29 PM Karen Flynn, Kitsap Co Auditor 11111111 III 111111 IIIA IIII 1111111/11 IIII 1111111111111 IIII IIII VIII 1111111 III 111111111111111 EXHIBIT B FO 3' BRASS DISC PARCEL C W X 1 DOWN IN MON CASE �W o IWz SECOND STREET ` P / a W SCALE IN FEET Q O I N 1'-50' I C', I I I BLOCK 12 11 0 0 LL Z d' I BLOCK 9 IN I U 35' 35' J a- I L LO rxINo DISC 'U M FIRST STREET N8874'32'W S88'24'32E 329.63'(M) 329.74(TIDE) 149.02'(M) 149'(PLAT) FD 3' SURFACE M n 14.00' I 'WSF PACE 23612' CURVE TABLE CURVE I DELTA I RADIUS I N32.22' C3 19'16'18' 150.00' C4 17'5533' 103.00' 11 V 8.103.00 96. 1994 LS15661' 0.3' DOWN IN MON CASE PARCEL C ` s 10,870 SQUARE FEET, 0.25 ACRES 7 ORE OR LESS BLOCK 1 4WIDAVID EVANS ANDASSOC1ATES INC - 3M Pac81c Hwy. Feel. Buds 38 Tecws WaeN aw 98424 Pi\E\EXe10000-0009\0300cnc1cl\330svdwg\Exe10000-0009 A—D—EXHIHIT.dwg 01-31-06 Mm 2599229780 BREMERTON CITY OF 200710110379 Quit Claim Deed Rec Fee $ 55.00 10/11/2007 03:29 PM Page; 12 of 16 Karen Flynn, Kltsap Co Auditor lilllll III 111111 VIII 1111111111 VIII Iiil 1111111111111 IN 1111111111111111 III VIII 1111111111 IIII 1111 LINE TABLE S0136 57 LINE BEARING LENGTH L1 S01'35'20'W 87.24' L2 S29'14'24'E 44.17' L5 S01'35'20'W 21.11' L6 S3818'20'E 26.28' L7 S60'33'1 B'W 3.60' LSS2923'31'E 38.79' L11 N29 .1402 1 45.85' CURVE TABLE CURVE I DELTA I RADIUS I N32.22' C3 19'16'18' 150.00' C4 17'5533' 103.00' 11 V 8.103.00 96. 1994 LS15661' 0.3' DOWN IN MON CASE PARCEL C ` s 10,870 SQUARE FEET, 0.25 ACRES 7 ORE OR LESS BLOCK 1 4WIDAVID EVANS ANDASSOC1ATES INC - 3M Pac81c Hwy. Feel. Buds 38 Tecws WaeN aw 98424 Pi\E\EXe10000-0009\0300cnc1cl\330svdwg\Exe10000-0009 A—D—EXHIHIT.dwg 01-31-06 Mm 2599229780 BREMERTON CITY OF 200710110379 Quit Claim Deed Rec Fee $ 55.00 10/11/2007 03:29 PM Page; 12 of 16 Karen Flynn, Kltsap Co Auditor lilllll III 111111 VIII 1111111111 VIII Iiil 1111111111111 IN 1111111111111111 III VIII 1111111111 IIII 1111 S0136 57 35.00' J �p BLOCK 10 3 �c f � OTS FD 3' BRASS DISC STAMPED 'PSNS2 CURVE TABLE CURVE I DELTA I RADIUS I N32.22' C3 19'16'18' 150.00' C4 17'5533' 103.00' 11 V 8.103.00 96. 1994 LS15661' 0.3' DOWN IN MON CASE PARCEL C ` s 10,870 SQUARE FEET, 0.25 ACRES 7 ORE OR LESS BLOCK 1 4WIDAVID EVANS ANDASSOC1ATES INC - 3M Pac81c Hwy. Feel. Buds 38 Tecws WaeN aw 98424 Pi\E\EXe10000-0009\0300cnc1cl\330svdwg\Exe10000-0009 A—D—EXHIHIT.dwg 01-31-06 Mm 2599229780 BREMERTON CITY OF 200710110379 Quit Claim Deed Rec Fee $ 55.00 10/11/2007 03:29 PM Page; 12 of 16 Karen Flynn, Kltsap Co Auditor lilllll III 111111 VIII 1111111111 VIII Iiil 1111111111111 IN 1111111111111111 III VIII 1111111111 IIII 1111 PARCEL C THAT PORTION OF THE PLAT OF "TOWN OF BREMERTON", RECORDED IN VOLUME 2 OF PLATS, PAGE 30, SITUATE WITHIN GOVERNMENT LOT 3 OF SECTION 24, TOWNSHIP 24 NORTH, RANGE 1 EAST, W.M., CITY OF BREMERTON, KITSAP COUNTY, WASHINGTON, DESCRIBED AS FOLLOWS; COMMENCING AT A CASED MONUMENT AT THE INTERSECTION OF FIRST STREET AND PACIFIC AVENUE; THENCE SOUTH 88024'32" EAST ALONG THE CENTERLINE OF SAID FIRST STREET 149.02 FEET TO A BRASS MONUMENT; THENCE SOUTH 01036'57" WEST 35.00 FEET TO THE SOUTHERLY RIGHT-OF-WAY MARGIN OF SAID FIRST STREET; THENCE NORTH 88024'32" WEST ALONG SAID SOUTHERLY MARGIN 14.00 FEET TO THE WESTERLY LINE OF THE ALLEY IN BLOCK 10 OF SAID PLAT; THENCE SOUTH 01035'20" WEST ALONG SAID WESTERLY LINE 87.24 FEET TO THE POINT OF BEGINNING; THENCE CONTINUING SOUTH 01°35'20" WEST ALONG SAID WESTERLY LINE 21.11 FEET TO A BRASS MONUMENT STAMPED PSNS2; THENCE SOUTH 38018'20" EAST 26.28 FEET THENCE SOUTH 60033'18" WEST 3.60 FEET; THENCE SOUTH 29°23'31" EAST 38.79 FEET; THENCE SOUTH 60045'58" WEST 82.77 FEET; THENCE NORTH 29014'02" WEST 45.85 FEET TO THE BEGINNING OF A NON -TANGENT CURVE CONCAVE TO THE SOUTHWEST FROM WHENCE ITS CENTER BEARS SOUTH 78041'30" WEST 103.00 FEET DISTANT; THENCE NORTHERLY ALONG THE ARC OF SAID CURVE 32.22 FEET THROUGH A CENTRAL ANGLE OF 17055'33" TO THE BEGINNING OF A COMPOUND CURVE CONCAVE TO THE SOUTHWEST FROM WHENCE ITS CENTER BEARS SOUTH 60045'58" WEST 150.00 FEET DISTANT; THENCE NORTHERLY ALONG THE ARC OF SAID CURVE 50.45 FEET THROUGH A CENTRAL ANGLE OF 19° 16'18"; THENCE NORTH 60046'07" EAST 96.34 FEET; THENCE SOUTH 29014'24" EAST 44.17 FEET TO THE POINT OF BEGINNING. CONTAINING 10,870 SQUARE FEET OR 0.25 ACRES, MORE OR LESS. 00 �QUT WA$y V• �V ,r tic E„ : ca IMAL ). z, SAF 3111600 . ClSTE ANAL LATIDS a//3//20t:%- / BREMERTON CITY OF 200710110379 Quit Claim Deed Rec Fee: $ 55.00 Page: 13 of 16 ,10/1112007 03 29 PM Karen Flynn, Kitsap Co Auditor IIIIIiI 111 lillll 11111 IN 11l111111111111111111111111111111111111 IN U 0114 BREMERTON CITY OF 200710110379 Quit Claim Deed Rec Fee: $ 55.0© page. 14 of 16 10111/2©07 03:29 PM Karen Flynn, Kitsap Co Puditor III m III 111111 IIIA It imil IIIA Ilii 1111111 litil 11 IIII Iilll Illilll �!� ����� VIII VIII IIII lit till! a¢ zzzzz a a aa¢ zzz a¢¢ z a zzzzzzzzzzz a a a a a a Q Q a¢¢¢ z zzzzzzzz a a a a a a¢¢¢ zz a zzzzzz a a a a¢ z . . . . . . . . . . o z g g Y> 25 o o g g }{ o o a ¢ z z o g 25 25 25 25 $ g z g 25 0 025 25 g SaS t ii,i;:,r;:,:t.... "l z o00 N N p �i N z z n 0 e N a a z v N a n a v a �^,� v N a v m v a s a il.,`::e,+;,; .�r ..... .~�",+� „11141i'9.e'.k::e-�.`ntt•�ittl v, _ f ti a � m e?%} wam <16 it} it tthitit$. o o E amo ^p:^-:': 2 —m gmW Xd EU ES w .—nl $ ht. 1 �� t:�tlill'1xul�t�}l -.=Rl:iiititt ll�le.. ilk , Y • ��.. -u� �'tiiliit llltil ;.„u"YI}itii}tlililil`i~ gr BREMERTON CITY OF 200710110379 Quit Claim Deed Rec Fee: $ 55.0© page. 14 of 16 10111/2©07 03:29 PM Karen Flynn, Kitsap Co Puditor III m III 111111 IIIA It imil IIIA Ilii 1111111 litil 11 IIII Iilll Illilll �!� ����� VIII VIII IIII lit EXHIBIT D CONSTRUCTION REQUIREMENTS 1.) Native soil (soil not imported and located under the protective remedy) shall be managed such that it does not destroy the integrity of and or contaminate the protective remedy. 2.) The construction site shall be managed such that water (natural or anthropogenic) in contact with the native soil does not migrate off site or cause additional groundwater flow. Dust should be suppressed, leachate collected and treated, and storm water runoff directed to prevent contact with the native soil. If during construction water must come in contact with the native soil it should be collected and stored for analysis and treatment. Specifically, water accumulating within an excavation should be collected and water should not be directed into a trench for containment and allowed to charge the surrounding soil (recharge the groundwater more than remedy naturally allows). 3.) Imported soil shall be sampled to insure it is clean. 4.) Soil shall not be exported offsite except for disposal. Soil to be disposed of shall be designated per the requirements set forth in Chapter 173-303, WAC, Dangerous Waste Regulations. Excavated soil to be reused onsite or designated for disposal should be stockpiled per the following requirements: a. Soil will be accumulated as near to the excavation as practicable b. An impervious sheet of plastic that has a minimum thickness of 10 mil will underlie the soil. c. A containment berm will be constructed around the stockpile using clean coarse aggregate or eco -blocks to the stockpile underlain impervious layer. The berm will be constructed to prevent water from running under and prevent leachate from the stockpiled soil from discharging. If the soil is moist enough that leachate has formed, a leachate collection system within the bottom layer of the soil must be placed between the stockpiled soil and the bottom impervious layer. d. The edges of the underlay plastic for the pile must be laid over the top of the berm and secured to prevent water from running under the soil stockpile. e. An impervious continuous sheet of plastic of minimum thickness of 10 mil will be placed over the stockpile and the outside of the berm to direct run-on away from the stockpile. f. The stockpile cover will be secured to ensure protection from wind. g. The stockpile will be covered and secured at all time except when adding or removing soil or taking samples. h . The stockpile covers will be inspected daily to ensure that the plastic is covering the stockpile and there is no run-on and run-off the stockpile. / BREMERTON CITY OF 200710110379 Quit Claim Deed P,ec Fee: $ 55.00 10/1112007 03 29 PM Page 15 of 16 Karen Flynn; Kitsap Co Auditor 11111111 III 111111 IIIA IIII 11 1111111IIII 111111111111111111111111 liiiiiI 1111111111111111 11111 IIII EXHIBIT D CONSTRUCTION REQUIREMENTS 1.) Native soil (soil not imported and located under the protective remedy) shall be managed such that it does not destroy the integrity of and or contaminate the protective remedy. 2.) The construction site shall be managed such that water (natural or anthropogenic) in contact with the native soil does not migrate off site or cause additional groundwater flow. Dust should be suppressed, leachate collected and treated, and storm water runoff directed to prevent contact with the native soil. If during construction water must come in contact with the native soil it should be collected and stored for analysis and treatment. Specifically, water accumulating within an excavation should be collected and water should not be directed into a trench for containment and allowed to charge the surrounding soil (recharge the groundwater more than remedy naturally allows). 3.) Imported soil shall be sampled to insure it is clean. Clean is defined as soil meeting WAC 173-340-740 Unrestricted landuse soil cleanup standards. 4.) Soil shall not be exported offsite except for disposal. Soil to be disposed of shall be designated per the requirements set forth in Chapter 173-303, WAC, Dangerous Waste Regulations. Excavated soil to be reused onsite or designated for disposal should be stockpiled per the following requirements: a. Soil will be accumulated as near to the excavation as practicable b. An impervious sheet of plastic that has a minimum thickness of 10 mil will underlie the soil. c. A containment berm will be constructed around the stockpile using clean coarse aggregate or eco -blocks to the stockpile underlain impervious layer. The berm will be constructed to prevent water from running under and prevent leachate from the stockpiled soil from discharging. If the soil is moist enough that leachate has formed, a leachate collection system within the bottom layer of the soil must be placed between the stockpiled soil and the bottom impervious layer. d. The edges of the underlay plastic for the pile must be laid over the top of the berm and secured to prevent water from running under the soil stockpile. e. An impervious continuous sheet of plastic of minimum thickness of 10 mil will be placed over the stockpile and the outside of the berm to direct run-on away from the stockpile. f. The stockpile cover will be secured to ensure protection from wind. g. The stockpile will be covered and secured at all times except when adding or removing soil or taking samples. h. The stockpile covers will be inspected daily to ensure that the plastic is covering the stockpile and there is no run-on and run-off the stockpile. BREMERTON CITY OF 200710110379 Quit Claim Deed Reo Fee- $ 55.00 10/11/2007 03:29 PM Page 16 of 16 Karen Flynn, Kitsap Co Auditor 1111111 III 111111 IIIII 1111111111 IIIII IIII 1111111 illlll IIII 1111 IIIA 1111111 III 1111111111 hill 1111 IIII Oepartrum of eve REAL ESTATE EXCISE TAX AFFIDAVIT This form is your receipt PLEASE TYPE ORPRINT CHAPTER 82.45 RCW- CHAPTER 458.61A WAC when stamped by cashier. TRIS AFFIDAVIT WILL NOT BE ACCEPTED UNLESS ALI, AREAS ON ALL PAGES ARE FULLY COMPLETED (See back of last page for instructions) n,•�-...r....:r_...:er�.r..r_.,..._... rrm,.,,:..r....._oM n...,o..�.,...o,.r,......o.��.:,.....,.,...,m. :N,_ The United States of America Department of the Navy "Personal Property (deduct) $ m t=. m me NaCity of Bremerton Financial Services Mailing Address 7101 Tautog Circle Cily/SlaielLip Silverdale, WA 983 7 5-11 0 7 0.00 Mailing Address 345 6th St. Suite 600 City/State/Zip Bremerton, WA 98337 Phone No. ( cloding arca code) (360) 396-0908 Seattle Local $ Ph -a Na. (i-Iod ug area code) (360) 47&5296 Send all property tax torr sWndmce to: ❑L Same as BuY�/Grantee Name List all real anipersonal property— parcel account numbers -check box if paraoral property Parcel C n Liu assessed vmuo(a) Mailing Address cay/satc/Zip Ph—N. (i --,.ding area code) Assessor to AAsssonn Amount Nos'1 . 1 _,._ I" TTY—10-C 0-❑ _....__ ?_3_0q0 EI — 06 1__2b&_7_ ❑ _ "Affidavit Processing Fee $ © Street address of property: This property is located m ❑ unincorporated County OR within O city of Bremerton ❑ Cherk box if any of the hated parcels aw being segregated from a larger parcel. Legal description of property (if more space is needed, you may attach a separate sheet to each page of the affidavit) Attached Legal Description for Parent C Enter Abstract Use (See back of last page for instructions) Is this property exempt from property tax per chapter 84.36 RCW (nonprofit organization)? List all personal property (tangible and intangible) included in selling price. YES NO ❑ O if claiming an exemption, list WAC number and reason for exemption: a YES NO Is this property designated as fined land per chapter 84.33 RCW? ❑ Q Is this property classified as arrant use(openspace, faint and ❑ agdcultuml, or timber) land pts chBrhz 84342 Is this property nkeiving special valuation as historical property ❑ 0 per chapter 84.26 RCW? If any answers are yes, complete as instructed below. (1) NOTICE OF CONTINUANCE (F OREsT LAND ORCURRENTUSE) NEW OWNER(S): To continue the current designation as forest land or classification as current use (open spsee, farm and agriculture, or timber) land, you must sign on (3) below. The county assessor most then determine if the lanai transfcned continues to qualify and will indicate by signing below. Ifthe land no longer qualifies or you do not wish to continue the designation or cLlssitication- it will be removed and the compensating or additional taxes will be due and payable by the seller atransfemr at the time of sale. (RCW 84.33.140 or RCW 84.34.108). Prior to signing (3) below, you may contact your local county assessor for more information. This land ❑ does ❑ does not qualify for con DEPUTY ASSESSOR DATE (2) NOTICE OFOOMPIIANCE(HISTORICPROPERTY) NEW O WNER(S): To continue special valuation as historic property, sign (3) below. If the new c wner(s) do not wish to continue, all additional tax calculated pursuant to chapter 84.26 RCW, shall be due and payable by the seller or bansferor at the time of sale. (3) OWNER(S) SIGNATURE PRINT NAME WAC No. (Sectiou/Subsection) 458-61A-206 Reason for exemption Government Transfer Type of Document Quit Claim Deed Date of Document Gross Selling Price $ "Personal Property (deduct) $ Exemppon Claimed (deduct) S Taxable Selling Price $ 0.00 Excise Tax: State S 0.00 Seattle Local $ 0.00 "Delinquent Interest; State S O.W50 Local $ "Delinquent Penalty $ _,._ Subtotal $ 0.00 -State Technology Fee $ 5.00 "Affidavit Processing Fee $ Total Due $ 10.00 A MINIMUM OF Si0.00 IS DUE IN FEE(S) AND/OR TAX •SEE INSTRUCTIONS a II CERTIFY UNDER PEN 4ZK OF PERJURY THAT THE FOREGOING IS TRUE AND CORRECT. Signature of 14A4( 4, I Signature of Grantor or Grantor's Agent The United States of AnwM. Greater or Grantee'ssAAgy Name (print) Michael D. Brady, Real Estate Contracting Officer Name (print) CJY� _ ! Date & city of signing: VI760* Silverdale WA Date & city of s ning -�/t/► IA •- f � ^ E sari Vv/ A, Perjury: Pedury is a class C felony which is punishable by imprisonment in the state correctional institution for i maxiia im term ofn of mora than five years, or by a fine in anamount fixed by the court ofnot mote than five thousand doll= ($5,000.00), or by both imprisomnart and fine (RCW 9A.20.020 (1C)). __ Rry 94 0001. pu (urn 1106) THIS SPACE - TREASURER'S USE ONLY COUNTY TREASURER M PARCEL C THAT PORTION OF THE PLAT OF "TOWN OF BREMERTON", RECORDED IN VOLUME 2 OF PLATS, PAGE 30, SITUATE WITHIN GOVERNMENT LOT 3 OF SECTION 24, TOWNSHIP 24 NORTH, RANGE 1 EAST, W.M., CITY OF BREMERTON, KITSAP COUNTY, WASHINGTON, DESCRIBED AS FOLLOWS; COMMENCING AT A CASED MONUMENT AT THE INTERSECTION OF FIRST STREET AND PACIFIC AVENUE; THENCE SOUTH 88024'32" EAST ALONG THE CENTERLINE OF SAID FIRST STREET 149.02 FEET TO A BRASS MONUMENT; THENCE SOUTH 01036'57" WEST 35.00 FEET TO THE SOUTHERLY RIGHT-OF-WAY MARGIN OF SAID FIRST STREET; THENCE NORTH 88°24'32" WEST ALONG SAID SOUTHERLY MARGIN 14.00 FEET TO THE WESTERLY LINE OF THE ALLEY IN BLOCK 10 OF SAID PLAT; THENCE SOUTH 01035'20" WEST ALONG SAID WESTERLY LINE 87.24 FEET TO THE POINT OF BEGINNING; THENCE CONTINUING SOUTH 01035'20" WEST ALONG SAID WESTERLY LINE 21.11 FEET TO A BRASS MONUMENT STAMPED PSNS2; THENCE SOUTH 38018'20" EAST 26.28 FEET THENCE SOUTH 60033'18" WEST 3.60 FEET; THENCE SOUTH 29°23'31" EAST 38.79 FEET; THENCE SOUTH 60045'58" WEST 82.77 FEET; THENCE NORTH 29014'02" WEST 45.85 FEET TO THE BEGINNING OF A NON -TANGENT CURVE CONCAVE TO THE SOUTHWEST FROM WHENCE ITS CENTER BEARS SOUTH 78041'30" WEST 103.00 FEET DISTANT; THENCE NORTHERLY ALONG THE ARC OF SAID CURVE 32.22 FEET THROUGH A CENTRAL ANGLE OF 17055'33" TO THE BEGINNING OF A COMPOUND CURVE CONCAVE TO THE SOUTHWEST FROM WHENCE ITS CENTER BEARS SOUTH 60045'58" WEST 150.00 FEET DISTANT; THENCE NORTHERLY ALONG THE ARC OF SAID CURVE 50.45 FEET THROUGH A CENTRAL ANGLE OF 19'16'18"; THENCE NORTH 60046'07" EAST 96.34 FEET; THENCE SOUTH 29014'24" EAST 44.17 FEET TO THE POINT OF BEGINNING. CONTAINING 10,870 SQUARE FEET OR 0.25 ACRES, MORE OR LESS. eo4o�1�'R'gD' ODS► '�. s 0� may!~ca'�� :o rP�, 3fi796 �O ; a� CIST V J4 L LAWS PIRES 01/13/07 D1/3I/2ock. MEMORANDUM OF AGREEMENT (MOA) Enclosure (1) 0 • MEMORANDUM OF AGREEMENT BETWEEN PUGET SOUND NAVAL SHIPYARD AND INTERMEDIATE MAINTENANCE FACILITY, THE CITY OF BREMERTON, THE WASHINGTON STATE HISTORIC PRESERVATION OFFICE, AND THE NATIONAL PARK SERVICE REGARDING THE TRANSFER OF OWNERSHIP OF BUILDING 50 AND SUBMITTED TO THE ADVISORY COUNCIL ON HISTORIC PRESERVATION PURSUANT TO 36 CFR PART 800.10 WHEREAS, Puget Sound Naval Shipyard and Intermediate Maintenance Facility (PSNS & IMF), an agency of the Department of the Navy, has determined to move and transfer ownership of Building 50 to the City of Bremerton. WHEREAS, Building 50 is a contributing property to the Puget Sound Naval Shipyard National Historic Landmark District (NHLD) National Register Number 88003053; WHEREAS, the movement and transfer of ownership of Building 50 will have an effect upon the NHLD; WHEREAS, PSNS & IMF has consulted with the Washington State Historic Preservation Officer (SHPO) PURSUANT to 36 CFR Part -800 regulations implementiiqg Section 106 .of .the. National Historic Preservation Act (16 USC Part 470f); WHEREAS, PSNS & IMF has notified the National Park Service (NPS), Department of Interior and invited the NPS to participate in consultation PURSUANT to 36 CFR Part 800.10(c); NOW, THEREFORE, PSNS & IMF, the Washington SHPO, and the NPS Columbia Cascade Office agree that the undertaking shall be implemented in accordance with the following stipulations in order to take into account the effect of the undertaking upon Building 50 and the NHLD. STIPULATIONS The Puget Sound Naval Shipyard and Intermediate Maintenance Facility will ensure the following measures are carried out: 1. Documentation of Current Condition of Building The PSNS & IMF will document the current condition and significant exterior and interior features of the building. This documentation will include 4" x 6", black and white, 35 mm photographs of exterior views, exterior details, interior views and interior details. A narrative that will describe the alterations to the original building will supplement the photographs. Copies of the documentation will be distributed to the State of Washington, Office of Archaeology and Historic Preservation (OAHP) and appropriate local archives. Unless otherwise agreed to by the NPS, PSNS & IMF shall ensure that all documentation will be completed before the building is moved and transferred. 2. Preservation Covenant The PSNS & IMF will ensure that the following preservation covenant will be included in the transfer document and recorded in the real estate records of Kitsap County, State of Washington, for the transfer of Building 50 to ensure its preservation. PSNS & IMF shall notify SHPO and NPS, in writing, no later than thirty (30) days following recording of the transfer instrument. (a) In consideration of the conveyance of certain real property, hereinafter referl-ed () as ' hi=- former nuiluing 50 the �CiLy of Bremerton Hereby coveriancs on behalf of itself, it's,heirs, successors, and assigns at all times to the Washington SHPO and the NPS to preserve and maintain the former Building 50 in a manner that preserves the building in accordance with the recommended approaches in the Secretary of the Interior's Standards for Rehabilitation and Guidelines for Rehabilitating Historic Buildings (National Park Service, 1992) in order to preserve and enhance those qualities that make Building 50 a national landmark property. (b) No construction, alteration, remodeling or any other work shall be undertaken or permitted to be undertaken at the former Building 50, other than minor repairs and routine maintenance, without the express prior written permission of the NPS and the Washington'SHPO, signed by those individuals or a fully authorized representative thereof. (c) The Washington SHPO and the NPS, or a fully authorized representative thereof shall be permitted at all reasonable times to inspect the former Building 50 in order to,ascertain if the above conditions are being observed. Prior to said inspection, proper written notification of intent to inspect will be issued to the Grantee. (d) This covenant is binding on the City of Bremerton, it's heirs, successors and assigns in perpetuity. Restriction, stipulations, and covenants contained herein shall be incorporated into any deed or other legal instrument by which she/he/they/it divests her/him/itself/themselves of either the fee simple title or any other lesser estate in the former Building 50 or any part thereof. (e) The failure of the Washington SHPO to exercise any right or remedy granted under this instrument shall not have the effect of waiving or limiting the exercise of any other right or remedy or the use of such right or remedy at any other time. (f) The Washington SHPO reserves the right to assign its responsibilities under this covenant to a third party. The third party may be, but is not limited to, another government entity or a non-profit organization. This covenant shal." be ninding servitude upon the real prcYerty �iia� ii]ciuueS ilc LULitT6L Buli�rliy 50" and 5hd11 b'e deemed to run with the land. Execution of this covenant shall constitute conclusive evidence that the City of Bremerton agrees to be bound by the foregoing conditions and restriction and to perform to obligations herein set forth. 3. Dispute Resolution Should the Washington SHPO or the NPS object to any plans provided for its review pursuant to this agreement, the City of Bremerton shall consult with the Washington SHPO and the NPS to resolve the objection. The responsibility of the City of Bremerton to carry out all actions under this agreement that are not subjects of this dispute remain unchanged. 4. Amendments and Noncompliance, If any signatory to this MOA determines that its terms will not or cannot be carried out or that an amendment to its terms must be made, that party shall immediately R' consult with the other party to develop an amendment to this MOA pursuant to 36 CFR 800.6. This amendment will be effective on the data a copy signed by all of the original signatories is filed with the Council. If the signatories cannot agree to appropriate terms to amend the MOA, any signatory may terminate the agreement in accordance with V Stipulation 5 below. 5. Termination If an MOA is not amended following the consultation set out in Stipulation 4, it may be terminated by any signatory. Within 30 days following termination, PSNS & IMF shall notify the Washington SHPO if it will initiate consultation to execute an MOA under 36 CFR 800.6 or request the comments of the Council under 36 CFR 800.7 and proceed accordingly. 6. Expiration of Agreement This agreement shall expire if its terms are not carried out within three years from the date of execution, unless the signatories agree in writing to an extension for fulfilling its terms. Execution of this Memorandum of Agreement by Puget Sound Naval Shipyard and Intermediate Maintenance Facility, the City of Bremerton, the Washington State Historic Preservation Officer, and the National Park Service, and implementation of its terms, evidences that PSNS & IMF has addressed the transfer out of federal ownership, the former Building 50 and its effects upon a national landmark property and the PSNS & IMF has taken into account the effects of the undertaking on historic properties. PUGET SOUND NAVAL SHIPYARD and INTERMEDIATE MAINTENANCE FACILITY, DEPA�ENT OF THE NAVY IN . C. Oria�-li, Commander Date: O WASHINGTON S HISTORIC PRESERVATION OFFICE By: Date: Ally n 6 rooks CITY" Ur B ��Ei�Tixly WE 1'UN By: Date: Cary Bozeman, ayor NATIONAL PARK SERVICE, DEPARMENT OF THE INTERIOR By: Qv1 Date: oZ"lo' ff B 18 2004