22-165.00 BST DEV LLC: Sterling Hills Subdivision Traffic Mitigation 2- 11/4
VOLUNTARY MITIGATION AGREEMENT FOR STERLING HILLS SUBDIVISION
TRAFFIC MITIGATION
BST DEV,LLC,do William Duffey
This Voluntary Mitigation Agreement("Agreement")is entered into between BST DEV,LLC,do William
Duffey, its successors and assigns ("Developer"), a Washington corporation, having offices at 13370 N.
Telluride Loop, Hayden, ID 83835, and the City of Spokane Valley ("City"), a municipal corporation of
the State of Washington,hereinafter jointly referred to as"Parties":
RECITALS
1. This Agreement is entered into by the Parties pursuant to RCW 82.02.020, to provide a financial
contribution toward future transportation improvements that mitigate increased traffic volumes generated
by the development as proposed in the Developer's preliminary plat, PE-2088-20, impacting the
intersections along Barker Road at 8th Avenue,4th Avenue,Sprague Avenue,Appleway Avenue,Broadway
Avenue,and the I-90 Ramps.
2.Developer is the owner/developer of certain real property generally located within an area located north
and south of Chapman Road,approximately 1,500 feet southwest of the intersection of Chapman Road and
Barker Road,in unincorporated Spokane County(herein collectively referred to as"Property").
3.The Property covers a total of 37.32 acres of land.
4. The Developer has requested approval of the preliminary plat identified as Sterling Hills, a residential
development(herein collectively referred to as the"Development"),which will increase traffic congestion
and directly impact existing transportation infrastructure at the intersections identified located within the
City. Voluntary mitigation of these impacts has been requested by the Developer as part of the approval
process for the preliminary plat pursuant to the traffic analysis review. As part of this request,the following
condition of approval was included in the Hearing Examiner Findings, Conclusions and Decision for
approval of the preliminary plat:
CITY OF SPOKANE VALLEY—TRANSPORTATION SERVICES:
1. Spokane Valley has determined that the project will contribute 88 peak PM hour trips to the
South Barker Road Corridor,as provided in the Revised Traffic Impact Analysis(TIA)for the
Development, dated February 11, 2021. The City and applicant agree that the impacts from
the Development contribute to and are a cause of necessary improvements at the intersections
along the South Barker Road Corridor. The need for improvements is in part due to traffic
generated by the project.As such,the City and applicant have agreed to a voluntary mitigation
fee of$111,936 ($1,272 per PM peak hour trip x 88 PM peak hour trips) which shall be paid
by the applicant as its proportionate contribution to the mitigation project in lieu of dedication
or other improvements.
As provided in the TIA,there are six phases identified with 11, 14, 18, 19,20,and 22 lots. The
applicant may prorate the voluntary mitigation fee based on the project phasing. The initial
phase shall be a minimum of 20 lots for an initial fee of at least$21,540.The total phasing may
not exceed 6 phases. When the total lots developed reach 80, the remainder of the voluntary
mitigation fee shall be paid in full regardless of phasing.
This mitigation fee shall be used for design, right-of-way acquisition, and/or construction of
improvements at the intersections.
2. Prior to any final plat,the applicant shall enter into a voluntary mitigation agreement with the
City of Spokane Valley to make the proportionate share contribution towards improvements
along the South Barker Road Corridor and shall pay the City the voluntary mitigation fee of up
to$111,936($1,272 per PM peak hour trip x 88 PM peak hour trips).
5. The Parties are desirous of entering into an Agreement which provides for the voluntary payment of a
proportionate share of improvements deemed necessary at the intersections along Barker Road at 8th
Avenue,4th Avenue,Sprague Avenue,Appleway Avenue,and Broadway Avenue,which are a direct result
of traffic impacts associated with the Development.
6. The Parties have agreed that the proportionate share of improvements for Sterling Hills shall be paid
prior to approval of the final plat.
7. The Parties have agreed that the voluntary mitigation fee is appropriately established for improvements
deemed necessary based on the Transportation Impact Fee Rate Study adopted by City Council on
December 15, 2020 pursuant to chapter 22.100 SVMC and Ordinance No. 20-026. The cost for the
improvements has been identified to be$1,272.00 per PM peak hour trip.
8. The Developer has identified 104 lots for single family dwellings in the low density residential zone as
proposed in the preliminary plat.Page 8 of the Revised Traffic Impact Analysis(TIA)for the Development,
dated February 11,2021,states that 85 percent of the trips generated by the Development are anticipated to
travel to/from the north of the Property via Barker Road towards Spokane Valley. Table 3 of the TIA
identifies 65 PM peak hour trips entering the property and 38 PM peak hour trips exiting the Property
thereby traveling through the South Barker Corridor totaling 88 PM peak hour trips entering/exiting the
South Barker Corridor. Accordingly, the parties agree that Developer is responsible for a maximum of
$111,936 for mitigation($1,272 per PM peak hour trip x 88 PM peak hour trips).
9. Pursuant to RCW 82.02.020, the City has the authority to allow a payment to mitigate a direct impact
that has been identified as a consequence of a proposed development. The Parties(1)have identified future
transportation improvements necessitated by the planned development of the Property; and (2) have
identified a reasonable relationship between impacts generated by the development of the Property to the
transportation system and the Developer's financial contribution toward those impacts.
10. To mitigate the direct impacts of the development of the Property upon transportation facilities as
identified in the Study,the Parties are voluntarily entering into this Agreement pursuant to RCW 82.02.020.
AGREEMENT
NOW,THEREFORE,in consideration of the mutual covenants and conditions contained herein,
the Developer and the City hereto agree as follows:
1. Voluntary Agreement. This Agreement, including all attached documents, is a voluntary agreement
pursuant to RCW 82.02.020.The Developer's contribution is proportional to the traffic impacts created by
the Developer's new development.This contribution identified in this agreement includes 37 lots out of the
initial 104 lots based on a separation of the development into two entities. Payment pursuant to this
Agreement for 37 lots does not fulfill the requirement for mitigation of the anticipated remaining lots up to
104 lots as contemplated by the Hearing Examiner Findings,Conclusions and Decision for approval of the
preliminary plat PE-2088-20. In the event this Agreement is breached by the Developer, all of the City's
obligations under this Agreement shall terminate. In the event this Agreement is determined by a court to
be invalid,the City shall refund the Developer the unexpended portion of the voluntary mitigation fees,and
the City's obligations under this Agreement shall terminate.
2.Projects.The project shall consist of improvements at intersections along Barker Road at 8th Avenue,4th
Avenue,Sprague Avenue,Appleway Avenue,and Broadway Avenue as deemed appropriate by the City of
Spokane Valley.The voluntary mitigation fee shall be based upon the costs identified in the Transportation
Impact Fee Rate Study.
3.Mitigation Contribution. The Developer agrees to pay$1,272 per PM peak hour trip or$1,077 per lot
to mitigate future traffic impacts resulting directly from development by the Developer on the South Barker
Corridor. Said fee is based on an estimate of 88 trips generated by 104 lots anticipated to travel to/from the
Property via the South Barker Corridor at a rate of $1,272 per PM peak hour trip or $1,077 per lot.
Accordingly,the parties agree that Developer is responsible for a maximum$39,849 for mitigation($1,077
per lot for 37 lots).
4. Payment. The Developer agrees to pay all of the above identified voluntary mitigation fees as follows:
a. In the event a final plat is submitted for approval for all of the Sterling Hills development, the
mitigation fee shall be calculated by multiplying the number of lots in the final plat,times the$1,077
per lot traffic mitigation fee. Payment of this calculated traffic mitigation fee shall be a condition
precedent to the approval and/or recording of a final plat encompassing all of the Sterling Hills
development;
b.In the event a final plat is submitted for approval for only a portion or phase of the Sterling Hills
development,the mitigation fee for that discreet portion or phase shall be calculated by multiplying
the number of lots submitted for final plat approval, times the $1,077 per lot traffic mitigation
fee. Payment of this pro-rated traffic mitigation fee shall be a condition precedent to the approval
and/or recording of a final plat for portion or phase of the Sterling Hills development;
c.When the total lots developed with this agreement reach 30,the remainder of the voluntary mitigation
fee shall be paid in full regardless of phasing;and
d. It is understood that even if the Sterling Hills development has a preliminary plat approval for 104
lots, it is possible that that actual number of lots submitted for final plat may be less than 104 lots
and, in that event, the total peak hour trips generated by the Sterling Hills development will be
reduced and the total traffic mitigation fee paid by the Developer will be reduced accordingly
Payments for Sterling Hills impacts shall be paid within 30 days after receiving notice from the City, and
prior to final plat approval.
5. Compliance with RCW 82.02.020. Payment collected by the City shall be held in a mitigation fee
reserve account and may only be expended towards the design,right-of-way acquisition, and construction
of the projects identified in this Agreement.The City shall be entitled to reimbursement from the mitigation
fee reserve account for any funds it may expend for the design and construction prior to the collection of
the fees. The mitigation fee payment shall be expended by the City within five years from the date of
payment by the Developer. The City shall be entitled to reimbursement from the mitigation fee reserve
account for any funds it may expend for the design or construction prior to the collection of the fee. Any
funds in the mitigation fee reserve account not expended within the five year period identified above shall
be refunded by the City with interest as provided in RCW 82.02.020.
6. Notice. All communications, notices or demands of any kind which a party under this Agreement is
required or desires to give to any other party shall be in writing and be either:
(a)Delivered personally;
(b) Sent by facsimile transmission with an additional copy mailed first class; or
(c)Deposited in the U.S.mail,certified mail postage prepaid,return receipt requested and
addressed as follows:
If to the City: City of Spokane Valley
10210 East Sprague Avenue
Spokane Valley,WA 99206
Fax: (509)720-5075
Attn: City Manager
If to the Developer: BST DEV LLC
do William Duffey
13370 N.Telluride Loop
Hayden,ID 83835
7.Successors.This Agreement shall be binding on and inure to the benefit of the successors and the assigns
of the Parties.
8. Governing Law. This Agreement shall be construed in accordance with the laws of the State of
Washington.Venue shall be in Spokane County,State of Washington.All disputes arising under or related
to this Agreement that cannot be resolved through informal discussion and negotiations shall be resolved
by litigation filed in the Superior Court for Spokane County,unless otherwise required by applicable federal
or state law.
9.Modifications.No modification or amendment of this Agreement shall be valid until the same is reduced
to writing and executed with the same formalities as the present Agreement.
10.Waiver.No officer,employee,agent or otherwise of the City has the power,right or authority to waive
any of the conditions or provisions to this Agreement.No waiver or any breach of this Agreement shall be
held to be a waiver of any other or subsequent breach.
11. Representation. This Agreement forms a fully integrated agreement between the Parties. No other
understandings,oral or otherwise,regarding the subject matter of this Agreement shall be deemed to exist
or to bind any of the Parties hereto. All Parties have read and understand all of the Agreement, and now
state that no representation,promise or agreement not expressed in the Agreement has been made to induce
any Party to execute the same.
12.Authority. Both Parties to this Agreement represent and certify that they have full authority and power
to enter into and carry out this Agreement. The persons signing this Agreement represent that they have
authority to act for and bind their respective principals.
56
Executed thi day of 5G Pi , 2022.
DEVEL E :
By: cl DLI C I / pl_Z /e-
Name:
STATE OF WASHINGTON )
) ss.
County of Spokane )
On this_day of S 2022 before me, the undersigned, a Not Public in and
for the State of Washington,duly commissioned and sworn,personall appeared
to me known to be the is-k b'"1 of _s•-) LL
,the corporation that executed the foregoing instrument,and acknowledged the instrument to
be the free and voluntary act and deed of the corporation,for the uses and purposes therein mentioned,and on
oath stated that he is authorized to execute the instrument.
WITNESS my iwakod official seal hereto ffix. eed the day and year in this certificate above written.
... 46 LAT►0/'tit/
0_,•,,.SOT0NR+.144S,�� i/ NOTARY PUBLIC,in and for the State of Washington,
Sauce �s—
:o residing at ioat� -
191236 My commission expires: y S
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CITY OF SPO AINIBI i CEY:
Jon Hohman, City Manager
ATTEST: APPROVED AS TO FORM:
'<AAdLL-Q41-<-- 6757
Christine Bainbridge, City Clerk ice of the City Attorney