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Agenda Item - 2023-07-18 - Number 08.1 - Resolution 23-28, Public Necessity to Acquire Property for the Wastewater Treatment Facility Project 8.1 COUNCIL REPORT von. o OREGO� Subject: Resolution 23-28, Wastewater Treatment Facility Project to Update and Replace the Previously Adopted Resolution of Public Necessity (Resolution 22-45) Meeting Date: July 18, 2023 Staff Member: Anthony Hooper, Deputy City Manager Report Date: July 7, 2023 Department: City Manager's Office Action Required Advisory Board/Commission Recommendation ❑ Motion ❑ Approval ❑ Public Hearing ❑ Denial ❑ Ordinance ❑ None Forwarded ❑ Resolution ❑X Not Applicable ❑ Information Only Comments: ❑ Council Direction ❑X Consent Agenda Staff Recommendation: Adopt Resolution 23-28. Recommended Language for Motion: Move to adopt Resolution 23-28. Project/ Issue Relates To: Council initiative of collaborating with the City of Portland to make a financially and environmentally responsible long-term investment in a wastewater treatment plant. Issue before Council (Highlight Policy Question): ❑X Council Goals/Priorities ❑Adopted Master Plan(s) ❑Not Applicable ISSUE BEFORE COUNCIL Shall the City Council adopt a new Resolution of Public Necessity, previously passed last December, to move forward with real estate acquisition and relocation of existing businesses by commencing the eminent domain process for specific properties needed for the wastewater treatment facility project? BACKGROUND On December 20, 2022, the City Council unanimously passed Resolution 22-45, which declared a public necessity to acquire real property at the address commonly known as 99, 101, and 113 Foothills Rd. The three properties will either be the site of the new Wastewater Treatment Facility or will be leveraged and utilized in upgrading the existing Tryon Creek Plant. Respect. Excel'ence. Trust. Service, 503-635-0215 380 A AVENUE PO BOX 369 LAKE OSWEGO,OR 97034 WWW.LAKEOSWEGO.CITY Page 2 Resolution 23-28 affirms the City's continued public need to acquire the properties and updates/replaces the previously passed Resolution of Public Necessity (Resolution 22-45). The City intends to vigorously pursue a voluntary settlement agreement with each property owner to avoid unnecessary litigation; however, if settlements cannot be reached, the updated Resolution will allow the City to efficiently condemnation proceeds and seek immediate position by March 1, 2024, which is when all properties need be vacated and the businesses relocated. ATTACHMENTS 1. Resolution 23-28, Resolution of Public Necessity with Exhibits A, B and C Respect. Excel'ence. Trust. Service. 503-635-0215 380 A AVENUE PO BOX 369 LAKE OSWEGO,OR 97034 WWW.LAKEOSWEGO.CITY ATTACHMENT 1 RESOLUTION 23-28 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE OSWEGO AFFIRMING PUBLIC NECESSITY TO ACQUIRE REAL PROPERTY FOR THE WASTEWATER TREATMENT PROJECT. WHEREAS, the City of Lake Oswego may exercise the power of eminent domain pursuant to the Lake Oswego Charter of 1964 and the laws of the State of Oregon, as amended, including but not limited to ORS 223.005, ORS 454.215, and ORS chapter 35; and WHEREAS, the existing Tryon Creek Wastewater Treatment Plant ("TCWTP") is owned and operated by the City of Portland and serves the majority of the City of Lake Oswego and a portion of the City of Portland; and WHEREAS, the TCWTP was built in the mid-1960s and is in need of major upgrades and expansion to continue to reliably meet Oregon Department of Environmental Quality water quality requirements; and WHEREAS, the City of Lake Oswego and the City of Portland intend to either construct a new, more environmentally-friendly and sustainable wastewater facility, using modern technology ("Lake Oswego Wastewater Treatment Facility Project" or "LOWTFP"), or upgrade, modernize and expand the TCWTP ("Portland TCWTP Alternative Project") (collectively, the LOWTFP and Portland TCWTP Alternative Project are referred to as the "WWTP Project"); and WHEREAS, on December 20, 2022, the City of Lake Oswego adopted Resolution 22-24, declaring it necessary and in the public interest to acquire real property for the WWTP Project; and WHEREAS, the City of Lake Oswego continues to affirm that the WWTP Project, which includes the collection, treatment, and disposal of public sewage, is an important public use and will be planned and located in a manner which will be most compatible with the greatest public good and the least private injury; and WHEREAS, the City of Lake Oswego further affirms that it is necessary for public health, safety, and the general benefit and welfare of the City and the general public to acquire fee simple title to the real properties located at and generally known as Clackamas County Tax Lots 21E02CB01800, 21E02CB02101, 21E02CB01500, as legally described in Exhibits A-C attached hereto, including the land, improvements, and fixtures (collectively, the "Properties"), to design, locate, construct, and implement the WWTP Project; and WHEREAS, the City Council finds that declaration by resolution to acquire the Properties remains necessary, and being fully advised, NOW,THEREFORE, BE IT RESOLVED by the City Council of the City of Lake Oswego that: Section 1. The above recitals are incorporated into this resolution. Resolution 23-28 Page 1 of 2 Section 2. It is necessary and in the public interest for the City to acquire fee simple title to the Properties for the WWTP Project. Section 3. The City's staff and the City's legal counsel are authorized and requested to attempt to agree with the owners and, if applicable, other persons in interest, as to the just compensation to be paid for the acquisition of the Properties and any applicable compensable damages, in accordance with applicable law. In the event that no satisfactory agreement can be reached, the City's staff and City's legal counsel are authorized to commence and prosecute condemnation proceedings and to take other steps as they determine are necessary to acquire the Properties. The City Manager and the City's legal counsel may make stipulations, admissions, or agreements as they determine may be in the best interests of the City, and to take possession of the Properties at such time as appropriate in their judgment, without necessity of further City Council approval. This authorization is not intended to expand the jurisdiction of any court to decide matters determined above or determinable by the City Council. Section 4. The City expressly reserves its jurisdiction to determine the necessity or propriety of any acquisition, its quantity, quality, or locality, and to change or abandon any acquisition. Section 5. This Resolution shall take effect upon passage. Considered and enacted at the regular meeting of the City Council of the City of Lake Oswego on the 18th day of July, 2023. AYES: NOES: EXCUSED: ABSTAIN: Joseph M. Buck, Mayor ATTEST: Kari Linder, City Recorder APPROVED AS TO FORM: Ellen Osoinach, City Attorney Resolution 23-28 Page 2 of 2 EXHIBIT A LEGAL DESCRIPTION A Part of the Southwest one-quarter of section 2,Township 2 South,Range 1 East of the Willamette meridian in Clackamas County,Oregon,described as follows: Beginning at an iron pipe at the moat Northerly corner of that tract conveyed to David C.Meyer,et ux,by deed recorded August 31, 1955,in Book 500,Page 482,Clackamas County Deed Records,which iron pipe bears South 52°46'East 16.16 feet from the angle point in the Southerly line of the Socrates Tryon D.L.C.No.42;thence South 52°45'East along the Northeasterly line of said Meyer tract 82.73 feet to an angle corner of that tract conveyed to United States National flank of Oregon,as testamentary trustee,by deed recorded November 7,1975,as Recorder's Fee No.75-32847,Clackamas County Records;thence South 10°22'West along the West line of said United States National Bank tract 422.01 feet to an iron rod and the true point of beginnings thence continuing South 10°22'West along the West line of said United States National Bank tract 283.58 feet to an iron rod In the North line of that tract conveyed to Arthur Rossman,et ux,by deed recorded March 12,1974,as Recorder's Fee No.74-5961,Clackamas County Records;thence North 89°44'30"West along the North line of said Rossman tract and its Westerly extension 166.55 feet,more or lees,to a point on the Easterly right of way line of a 40.00 foot railroad spur tract;said point also being at the Northwest corner of that tract conveyed to the City of Lake Oswego by deed recorded July 3,1961,in Book 589,Page 1,Clackamas County Deed Records;thence Northerly along said Easterly right of way line 316 feet,more or lees,to the intersection of a line which bears North 80°47'West from said true place of beginning;thence South 80°47'East 213.2 feet,more or less,to the true place of beginning. EXHIBIT A Page 1 of 1 EXHIBIT B EXHIBIT A Legal Description A tract of land in Section 2, Township 2 South, Range 1 East of the Willamette Meridian, in the City of Lake Oswego, Clackamas County, Oregon, described as follows: Beginning at an iron pipe in the section line between said Sections 2 and 3 which iron pipe bears North 0°15'30" East, 767.0 feet from the Southwest corner of said Section 2; Thence South 89°44'30" East, 13.0 feet to the true point of beginning; Thence continuing South 89°44'30" East, 167.0 feet to an iron pipe; Thence North 0°15'20" East, 180.00 feet to an iron pipe; Thence North 9°13' East, 19.6 feet to the Southeast corner of that tract described in deed to Pine Street Company, recorded April 29, 1964 in Book 639, Page 77, Clackamas County Deed Records; Thence North 80°47'00" West along the South line of said Pine Street Company Tract, 74.10 feet to the Southwest corner thereof; Thence North 9°13'00" East along the West line of said Pine Street Company Tract, 81.56 feet to the Northwest corner thereof being a point in the South line of that tract described in deed to Mary A. Goodell, recorded August 12, 1963 in Book 626, Page 416, said deed records; Thence North 89°44'30" West, along said South line, 117.55 feet to the Northeast corner of that tract described in deed to City of Lake Oswego, recorded July 3, 1961 in Book 589,Page 1, said deed records; Thence South 1°04'30" East along the East line of said City of Lake Oswego Tract, 111.51 feet to the Northeast corner of that tract described in deed to David C. Meyer, et ux, recorded November 26, 1957 in Book 533,Page 507, said deed records; Thence South 1°04'30" East along the East line of said Meyer Tract, 180.05 feet to the true point of beginning. EXCEPTING THEREFROM that portion thereof lying within the boundaries of roads and highways. 3—STATUTORY WARRANTY DEED— 101 Foothills Road,Lake Oswego Lan & Bill Investments LLC to LanJet LLC and Hunsinger Springs LLC) EXHIBIT B Page 1 of 1 EXHIBIT C Legal Description Real property in the City of Lake Oswego,County of Clackamas,State of Oregon,described as follows: PART OF THE SOUTHWEST ONE-QUARTER OF SECTION 2,TOWNSHIP 2 SOUTH,RANGE 1 EAST,OF THE WILLAMETTE MERIDIAN,IN THE COUNTY OF CLACKAMAS AND STATE OF OREGON, DESCRIBED AS FOLLOWS: BEGINNING AT A FIVE-EIGHTHS INCH IRON ROD IN THE NORTHERLY RIGHT OF WAY LINE OF FOOTHILLS ROAD,A 40.00 FOOT ROADWAY,WHICH IRON ROD BEARS SOUTH 71°46'WEST,(DEED SOUTH 71°43'WEST)ALONG SAID NORTHERLY RIGHT OF WAY LINE,20.00 FEET FROM THE SOUTHWEST CORNER OF THAT CERTAIN TRACT OF LAND CONVEYED TO WARD C. SMITH, RECORDED MARCH 15, 1927,IN BOOK 189,PAGE 249, CLACKAMAS COUNTY DEED RECORDS,FROM SAID PLACE OF BEGINNING;THENCE LEAVING SAID NORTHERLY RIGHT OF WAY LINE NORTH 54°38'WEST,61.60 FEET TO A FIVE-EIGHTHS INCH IRON ROD;THENCE NORTH 25°46'WEST(DEED NORTH 25°49'WEST),357.66 FEET TO A FIVE-EIGHTHS INCH IRON ROD;THENCE NORTH 1°50' EAST,330.02 FEET TO A FIVE-EIGHTHS INCH IRON ROD;THENCE NORTH 21° 10'40"WEST,47.30 FEET TO A FIVE EIGHTHS INCH IRON ROD;THENCE CONTINUING NORTH 21° 10'40"WEST, 155.50 FEET TO A FIVEEIGHTHS INCH IRON ROD;THENCE NORTH 65°58'WEST, 105.48 FEET TO A FIVE- EIGHTHS INCH IRON ROD IN THE EASTERLY RIGHT OF WAY LINE OF THE SOUTHERN PACIFIC RAILROAD;THENCE SOUTH 30°24'WEST ALONG SAID RIGHT OF WAY LINE, 57.72 FEET TO THE MOST NORTHERLY CORNER OF THAT CERTAIN TRACT OF LAND CONVEYED TO DAVID C.MEYER, ET UX,AS RECORDED IN BOOK 500,PAGE 482,CLACKAMAS COUNTY DEED RECORDS;THENCE SOUTH 52°45'EAST(BASIS FOR BEARINGS)ALONG THE NORTHEASTERLY BOUNDARY OF SAID MEYER TRACT, 82.73 FEET TO A FIVE-EIGHTHS INCH IRON ROD;THENCE LEAVING SAID NORTHEASTERLY BOUNDARY SOUTH 10°06'EAST(DEED SOUTH 10°22'EAST)422.01 FEET TO A FIVE-EIGHTHS INCH IRON ROD;THENCE SOUTH 10° 11'30"WEST(DEED SOUTH 10°22'WEST)283.58 FEET TO A FIVE-EIGHTHS INCH IRON ROD IN THE SOUTHERLY LINE OF THAT CERTAIN TRACT OF LAND CONVEYED TO MARY A. GOODELL,AS RECORDED IN BOOK 626,PAGE 416,CLACKAMAS COUNTY DEED RECORDS;THENCE SOUTH 8°39'WEST,82.44 FEET(DEED SOUTH 9° 13'WEST, 81.56 FEET)TO A HOLE IN THE CONCRETE ON A RETAINING WALL;THENCE SOUTH 80°38'EAST,74.16 FEET(DEED SOUTH 80°47'EAST 74.10 FEET)TO A FIVE-EIGHTHS INCH IRON ROD;THENCE SOUTH 8°56'30"WEST(DEED SOUTH 9° 13'WEST), 19.60 FEET TO A FIVE-EIGHTHS INCH IRON ROD AT THE MOST NORTHEASTERLY CORNER OF THAT CERTAIN TRACT OF LAND CONVEYED TO THE CITY OF LAKE OSWEGO,AS RECORDED IN BOOK 384, PAGE 527, CLACKAMAS COUNTY DEED RECORDS; THENCE SOUTH 0° 18'30"WEST(DEED SOUTH 0° 15'30"WEST)ALONG THE EASTERLY LINE OF SAID CITY OF OSWEGO PROPERTY, 154.15 FEET TO A FIVE-EIGHTHS INCH IRON ROD IN SAID NORTHERLY RIGHT OF WAY LINE OF FOOTHILLS ROAD, THENCE NORTH 78° 03'EAST ALONG SAID NORTHERLY RIGHT OF WAY LINE(DEED NORTH 78°00'EAST),38.73 FEET TO A FIVE-EIGHTHS INCH IRON ROD;THENCE NORTH 66°36'EAST(DEED NORTH 66°33'EAST)ALONG SAID NORTHERLY RIGHT OF WAY LINE, 167.83 FEET TO A FIVE-EIGHTHS INCH IRON ROD;THENCE NORTH 71°46'EAST(DEED NORTH 71°43'EAST)ALONG SAID NORTHERLY RIGHT OF WAY LINE, 214.22 FEET TO THE TRUE PLACE OF BEGINNING.EXCEPTING THEREFROM ALL THE PREVIOUSLY DESCRIBED PROPERTY LYING NORTHERLY OF THE FOLLOWING DESCRIBED LINE: BEGINNING AT AN IRON PIPE THAT MARKS THE MOST NORTHERLY CORNER OF A TRACT OF LAND CONVEYED TO PINE STREET COMPANY,AN OREGON CORPORATION,BY DEED RECORDED ON MAY 22, 1962,IN BOOK 604,PAGE 105,CLACKAMAS COUNTY DEED RECORDS;THENCE SOUTH 10°22'WEST ALONG THE WESTERLY BOUNDARY OF SAID TRACT A DISTANCE OF 342.28 FEET TO THE TRUE POINT OF BEGINNING OF THE HEREIN DESCRIBED LINE, SAID POINT BEING 5.00 FEET NORTHERLY,WHEN MEASURED AT RIGHT ANGLES,FROM THE CENTER LINE OF A 10 FEET STRIP OF LAND AS DESCRIBED IN BOOK 655,PAGE 596,CLACKAMAS COUNTY DEED RECORDS; THENCE FROM SAID TRUE POINT OF BEGINNING SOUTH 72°55'EAST, PARALLEL TO AND 5.00 FEET NORTHERLY OF THE PREVIOUSLY MENTIONED CENTER LINE, 193.23 FEET,MORE OR LESS,TO A POINT ON THE WESTERLY BOUNDARY OF PARCEL"B"CONVEYED TO THE CITY OF PORTLAND BY DEED RECORDED JULY 11,1961,IN BOOK 589,AT PAGE 257,CLACKAMAS COUNTY DEED RECORDS, SAID POINT LYING SOUTH 1° 50'WEST,A DISTANCE OF 292.42 FEET FROM THE MOST NORTHERLY CORNER OF SAID CITY OF PORTLAND TRACT,AND THE TERMINUS OF SAID LINE. EXHIBIT C Page 1 of 2 ALSO EXCEPTING THEREFROM THE SOUTHERLY 10 FEET THEREOF DEDICATED BY INSTRUMENT RECORDED SEPTEMBER 21, 1994,AS RECORDER'S FEE NO.94-74295. NOTE:This legal description was created prior to January 1,2008. EXHIBIT C Page 2 of 2