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RES NO. 2017-12 MANITOU BEACH DRIVE SURPLUSRESOLUTION NO. 2017-12 A RESOLUTION of the City of Bainbridge Island, Washington, declaring certain real property located on Manitou Beach Drive to be surplus to the needs of the City, authorizing the transfer of said surplus property to the Bainbridge Island Metropolitan Park and Recreation District for public park purposes, and proposing a related boundary line adjustment and sale of property. WHEREAS, in March 2003, the City acquired from Peter and Elyse Kane a 0.88 -acre parcel, identified by Kitsap County Auditor's Parcel No. 142502-3-109-2003, located on Manitou Beach Drive NE, with funds from the Open Space Bond ("Manitou Upland Parcel"), as described in the Legal Description in Attachment A and depicted in the drawing in Attachment B, attached hereto; and WHEREAS, at the same time, the City acquired from the same owners a parcel ("Manitou Tideland Parcel") located on the waterfront across the street from the Manitou Upland Parcel; and WHEREAS, in 2011, the City Council approved Resolution No. 2011-16 and thereby declared several properties, including the Manitou Tideland Parcel, to be surplus to the needs of the City and authorized the transfer of ownership of those properties to the Bainbridge Island Metropolitan Park and Recreation District (`BIMPRD"). The City did not include the Manitou Upland Parcel in that surplus and transfer resolution because, at that time, the BIMPRD did not indicate a willingness to accept ownership of the upland property; and WHEREAS, in 2014, the City Council reviewed options for the Manitou Upland Parcel and, at that time, the BIMPRD indicated that they would be willing to accept transfer of that parcel if the City were to install parking and other amenities that would expand the usefulness of the parcel as a public access site and, as a result, the City Council directed staff to develop plans and solicit community feedback on a project to install parking at the Manitou Upland Parcel in order to expand public access to and use of both the upland and the tideland parcels; and WHEREAS, in June 2015, the City Council approved plans to install parking spaces and a bike rack at the Manitou Upland Parcel, and install an Americans with Disabilities Act compliant boardwalk on the tideland parcel, and construction on that project was completed in January 2017; and WHEREAS, this resolution authorizes City staff to move forward with the disposition of the Manitou Upland Parcel, and to complete the transfer of ownership of this property from the City to the BIMPRD; and WHEREAS, this resolution also proposes that City staff pursue a boundary line adjustment (BLA) to adjust the northern edge of the property, as depicted in Attachment C; and Page 1 WHEREAS, the purpose of the BLA would be to provide a more appropriate buffer between the public use on the City's site and the existing single-family home on the adjacent property because the current boundary line between the parcels runs to the edge of the existing home's deck and through the home's parking and turnaround area, and the owners of the adjacent property (Tim and Jean Swanson) ("Swansons") have approached the City several times since 2011 to discuss options to improve the buffer between the two properties; and WHEREAS, the Swansons also hold an access easement running across the City's property, which provides access to the Swansons' home from Manitou Beach Drive, and that access easement will remain in place; and WHEREAS, City staff believe that a more appropriate buffer between the Swansons' home and the City property would be beneficial to both the Swansons and to public users of the open space and, as shown in Attachment C, the adjusted boundary would provide a more appropriate buffer for the Swansons' home, would place their existing parking area entirely within their property, and would place an existing rock wall entirely on their property with space for a person to walk around the wall (which is necessary for access to the Swansons' propane tank); and WHEREAS, the proposed BLA would result in a reduction of the size of the City's parcel that is less than approximately 15% of the area of that parcel, and thus will have minimal impact on the community's use of the remaining site and open space, and will result in mutual benefits to the City and the Swansons; and WHEREAS, in exchange for this BLA, the Swansons have agreed to pay the City an amount equal to the appraised value of the property being sold, and to also pay all costs to complete the appraisal and the required survey work; and WHEREAS, the proposed BLA has been reviewed with and by staff from the BIMPRD, which supports this action in order to provide clear delineation of the public access area and private property; and WHEREAS, the funds received by the City from the proposed sale of this portion of the property would be used by the City according to the terms of the Open Space Bond covenants, and one eligible use of the proceeds would be to support eligible project expenses for public access improvements, such as those installed at Manitou Beach Drive, or at another recent project at Fletcher Landing. Another option would be to reserve these funds for use in acquisition of future open space property; and WHEREAS, the Manitou Upland Parcel is surplus to the needs of the City; and WHEREAS, upon transfer of ownership, it is understood that the BIMPRD will continue to maintain and utilize the Manitou Upland Parcel for public park purposes in perpetuity and will assume the costs of maintenance, operations, and improvement of the Manitou Upland Parcel, thereby saving the City these expenses; and Page 2 WHEREAS, the BIMPRD has expressed a desire to accept the Manitou Upland Parcel subject to the terms and conditions set forth herein; and WHEREAS, City policy and state law authorize the City to transfer such property to the BIMPRD, including, more specifically, RCW 39.33.010, which provides general authorization for the City to transfer real property to any municipality, RCW 39.33.060, which authorizes the City to transfer real property or any interest therein to a park and recreation district on such terms and with such consideration as might be mutually agreed upon, and RCW 35.61.290, which authorizes the City to transfer to a metropolitan park district, with or without consideration, any interest in real property; and WHEREAS, on April 11, 2017, the City Council conducted a public hearing regarding the proposed declaration of surplus of the Manitou Upland Parcel and the proposed authorization to transfer the property to the BIMPRD; WHEREAS, the City Council finds that it is in the best interest of the City to declare the Manitou Upland Parcel surplus and authorize its transfer to the BIMPRD; and WHEREAS, in conjunction with the declaration of surplus of the Manitou Upland Parcel and the transfer of that parcel to the BIMPRD, the City Council finds that it is in the best interest of the City to pursue the BLA described above related to that upland parcel; and WHEREAS, the City Council finds that it is in the best interest of the City to also complete the transfer of ownership of the Manitou Tideland Parcel to the BIMPRD. Pursuant to Resolution No. 2011-16, the Manitou Tideland Parcel was declared as surplus and the City Council authorized City staff to transfer the property to the BIMPRD; and WHEREAS, upon transfer of ownership, it is understood that the BIMPRD will maintain and utilize the Manitou Tideland Parcel and the Manitou Upland Parcel for public park purposes in perpetuity and will assume the costs of maintenance, operations, and improvement of these parcels, thereby saving the City these expenses; and WHEREAS, transfer from the City to the BIMPRD of the Manitou Upland Parcel and the Manitou Tideland Parcel for public park purposes is in alignment with the BIMPRD's mission and other property acquisition requirements and restrictions; and WHEREAS, this resolution authorizes City staff to move forward with the disposition of the City -owned property above described, and to complete the transfer of ownership of the property from the City to the BIMPRD, and to pursue the related BLA and sale of a portion of the subject property to adjacent property owners; now, therefore THE CITY COUNCIL OF THE CITY OF BAINBRIDGE ISLAND, WASHINGTON, DOES RESOLVE AS FOLLOWS: 1. The Manitou Upland Parcel, as legally described in Attachment A and as depicted in Attachment B attached hereto, is hereby declared surplus to the needs of the City. Page 3 2. It is in the best interest of the citizens of Bainbridge Island to transfer the Manitou Upland Parcel to the Bainbridge Island Metropolitan Park and Recreation District (`BIMPRD") to be used and maintained for public park purposes in perpetuity. 3. It is in the best interest of the citizens of Bainbridge Island to also effectuate the transfer the Manitou Tideland Parcel to the BIMPRD to be used and maintained for public park purposes in perpetuity. 4. The City is authorized by City policy and state law to proceed with such a declaration of surplus and to authorize transfer of these properties to the BIMPRD. Authorization for this action is set forth in multiple provisions of state law. For example, RCW 39.33.010 provides general authorization for the City to transfer real property to any municipality, and RCW 39.33.060 authorizes the City to transfer real property or any interest therein to a park and recreation district on such terms and with such consideration as might be mutually agreed upon. Further, RCW 35.61.290 authorizes the City to transfer any interest in real property to a metropolitan park district, such as the BIMPRD, with or without consideration. 5. The transfer of the City's interest in the Manitou Upland Parcel and the Manitou Tideland Parcel shall include a further condition that the parcels, or any portions thereof, shall not be sold, transferred, or conveyed without the prior consent of the City. 6. The transfer of the Manitou Upland Parcel and the Manitou Tideland Parcel to the BIMPRD shall include a right of reverter to the City, whereby if the BIMPRD fails to satisfy any of the conditions of the transfer with respect to the Manitou Upland Parcel or the Manitou Tideland Parcel, the title to said property shall revert to the City. 7. The transfer of the Manitou Upland Parcel and the Manitou Tideland Parcel to the BIMPRD shall be conditioned upon the BIMPRD's agreement to comply with and satisfy all conditions, restrictions, and terms established and agreed to by the City at the time of the City's acquisition of the Manitou Upland Parcel and the Manitou Tideland Parcel, and such other restrictions and covenants which are otherwise of record. 8. The City will retain any necessary access and utility easements on the Manitou Upland Parcel and the Manitou Tideland Parcel, as applicable, at the time of their transfer to the BIMPRD. 9. The City Manager is hereby authorized to take all necessary and appropriate steps to transfer the Manitou Upland Parcel and the Manitou Tideland Parcel in accordance with applicable federal, state, and local law, including executing all documents required to effectuate the transfers. 10. In conjunction with the property surplus action and transfers above described, it is in the best interest of the citizens of Bainbridge Island to also pursue a boundary line adjustment (BLA) related to the Manitou Upland Parcel. The proposed BLA has been reviewed with and by staff from the BIMPRD, which supports this action in order to provide clear delineation of the Page 4 public access area and private property. If such a BLA occurs, and if the portion of the property at issue is sold, the funds received by the City from the sale of this portion of the property will be used by the City according to the terms of the Open Space Bond covenants. An eligible use of the proceeds from such a BLA and property sale would be to support eligible project expenses for public access improvements, such as those installed at Manitou Beach Drive, or to reserve these funds to acquire future open space property. 11. The City Manager is also hereby authorized to take all necessary and appropriate steps to pursue the above described BLA related to the Manitou Upland Parcel, which would adjust the northern edge of the property approximately 25 -feet to the south, as depicted in Attachment C, in accordance with applicable federal, state, and local law. If such a BLA occurs, the City Manager is authorized to enter into an agreement with the owners of the subject property, Tim and Jean Swanson ("Swansons"), whereby the Swansons, in exchange for the BLA, shall pay the City an amount equal to the appraised value of the property being sold to the Swansons through the BLA, and also pay all costs to complete the appraisal and the required survey work. PASSED by the City Council this 11 t' day of April, 2017. APPROVED by the Mayor this I lth day of April, 2017. ATTEST/AUTHENTICATE: z�' .. r 2 ristine Brown, . Ierk FILED WITH THE CITY CLERK: March 3, 2017 PASSED BY THE CITY COUNCIL: April 11, 2017 RESOLUTION NO. 2017-12 Page 5 ATTACHMENT A Legal Description Parcel #: 142502-3-109-2003 0.88 Acres (approx. 38,333 sq. ft.) Resultant Parcel C per Boundary Line Adjustment recorded under Auditors File Number 200305220140 being a re-recording of Auditors File Number 200304210200 described as follows: That portion of Government Lot 4, Section 14, Township 25 North, Range 2 East, W.M., City of Bainbridge Island, Kitsap County, Washington, described as follows: Beginning at a point which is 761 feet South and 48.4 feet East of the Northwest corner of said Government Lot 4, Section 14; Thence South 140.00 feet; Thence East 96.80 feet to the True Point of Beginning; Thence West 96.80 feet; Thence North 140.00 feet; Thence East 193.60 feet; Thence South to a point of the Northerly right of way of Manitou Beach Road NE; Thence Westerly along said right of way to a point which bears South from the True Point of Beginning; Thence North to the True Point of Beginning; SUBJECT TO and together with easements, restrictions, and reservations of record. Page 6 � UPLAND PARCEL 142502-3-109-2003 CDBI T TIDELAND PARCEL 140502-3-107-2005 CBI 03-03-2017 ATTACH M ENT 8 CITY OF DATE BAINSIUDGE ISLAND PUBLIC WORKS ENGINEERING NUMBER Sec. 15, T.25N., R.2E., W.M. DEPARTMENT Page 7 4W + A= wqLL R f 1A 502---3-lW-2003 • , { I I r `�I I,-4 ' I � , � K J i � Y I 1 i ' 01) r' I 4A DOL WE — PA'F_Ak?lr --{�1 ATTACHMENT C, :. ' ` �If CITY of DATE UPL-ANf� PARCEL, BAINBRIDGE ISLAND 142502-3-109-2003 PUBLIC WORKS ENGINEERING NUMBER Sec. 15, T.25N,, R -2L., W -M, �:i}t:oDEPARTMENT Page 8