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'- .n .n ~ E z Q) E E ..f-J .n m ~ ..c U) Q) 0 0 Q) Q) ~ '- 0 ia' Q) :J 0- :! ........., > 0 c: ..0 L... .~ C >. ~ 0 0 Q) co Q) co :J :J ()) 0 Z 0 J LL 2 <t ~ ...., ...., ~ en MERIDIAN CITY COUNCIL MEETING: . 6/~6?L 6/ ICZqg APPLICANT: /JdtS AGENDA ITEM NUMBER: #/[, REQUEST: _ _ 4dLs I P~J'{ir--& ~~~ l?lrG AGENCY CITY CLERK: CITY ENGINEER: CITY PLANNING DIRECTOR: CITY ATTORNEY: CITY POLICE OEPT: CITY FIRE OEPT: CITY BUILDING OEPT: MERIDIAN SCHOOL DISTRICT: MERIDIAN POST OFFICE: ADA COUNTY HIGHWAY DISTRICT: ADA COUNTY STREET NAME COMMITTEE: CENTRAL DISTRICT HEALTH: NAMPA MERIDIAN IRRIGATION: SETTLERS IRRIGATION: IDAHO POWER: US WEST: INTERMOUNTAIN GAS: BUREAU OF RECLAMATION: OTHER: COMMENTS {v tJ1f1o MERIDIAN CITY COUNCil MEETING: OCTOBER 6.1998 APPLICANT: DEPARTMENT REPORTS - CHIEF GORDON REQUEST: EMT BLOOD DRAW CONTRACT ITEM NUMBER: 15 COMMENTS AGENCY CITY CLERK: CITY ENGINEER: CITY PLANNING DIRECTOR: CITY ATTORNEY: CITY POLICE DEPT: CITY FIRE DEPT: CITY BUILDING DEPT: CITY WATER DEPT: MERIDIAN SCHOOL DISTRICT: MERIDIAN POST OFFICE: ADA COUNTY HIGHWAY DISTRICT: ADA COUNTY STREET NAME COMMITTEE: CENTRAL DISTRICT HEALTH: NAMPA MERIDIAN IRRIGATION: ~~ ~ SETTLERS IRRIGATION: IDAHO POWER: US WEST: INTERMOUNTAIN GAS: BUREAU OF RECLAMATION: OTHER: All Materials presented at public meetings shall become property of the City of Meridian. AGREEMENT NO. RENEWAL OF BLOOD DRAW AGREEMENT BETWEEN ADA COUNTY AND THE CITY OF MERIDIAN This Renewal of Blood Draw Agreement between Ada County and the City of Meridian (hereinafter "Renewal Agreement") is entered into this _ day of 1998, by and between Ada County, a political subdivision of the state of Idaho (hereinafter "EMS") and the City of Meridian, (hereinafter "City"). WITNESSETH WHEREAS, a certain agreement for blood d.rawing services was entered into between EMS and City, dated January 6, 1998, Agreement No. 03319, which agreement \-viIi terminate on September 30, 1998; and WHEREAS, said agreement provides that the parties thereto, may renew the agreement for an additional one (1) year term at the existing rate upon mutual written agreement; and WHEREAS, it is now the desire of EMS and City to renew Agreement No. 03319 from October 1, 1998 through and including September 30, 1999, under the same terms and conditions as set forth in Agreement No. 03319; NOW, THEREFORE, it is mutually agreed by and between the parties that this Renewal Agreement.is intended to renew Agreement No. 03319 from October 1, 1998 through and including September 30, 1999. It is further agreed that each and every term and condition contained within Agreement No. 03319 is incorporated herein as if fully set forth. RENEWAL OF BLOOD DRAW AGREE1vIENT BETWEEN ADA COUNTY AND IDAHO STATE POLICE - PAGE 1 d:\kbb\workload\blood drw meridian 98-99 mwl.doc Ref. E25.3.14 ( ( Board of Ada County Commissioners By: Vemon L. Bisterfeldt, Chairman By: Frank Walker, Commissioner By: Roger Simmons, Commissioner ATTEST: J. David Navarro, Ada County Clerk By: o rt D. Corrie ayor of Meridian Approved by City Council 10-6-98 \\ ".u "Ir""I/ \\' ,..,c. ~/'''l./. ~~ ~ V' ,."'~ ,'\"'~ '~ $" \Fr"'~ ~ ~ ~ - ~ E i ~ SEAL ~ ~ ~ ~ S - ~ ~ - , ~ ~ ~ ~ "'0 r 191 ' f> ~ ~... "1 (> tt- ...$' ~;"111!r C'oUNl'''l. ..."", ~II \\1J 111/IlH' "Ul'\-\ RENEWAL OF BLOOD DRAW AGREE1vIENT BETWEEN ADA COUNTY AND IDAHO STATE POLICE - PAGE 2 d:\kbb\workload\bJood drw meridian 98-99 mwl.doc Ref. E25.3.14 BEFORE THE MERIDIAN CITY COUNCIL IN THE MA TIER OF THE APPLICATION ) FINDINGS AND OF STEINER DEVELOPMENT, ) ORDER OF APPLICATION FOR PRELIMINARY PLAT ) APPROVAL OF PRELIMINARY PERMIT FOR THE VILLAS AT THE LAKES ) PLAT SUBDIVISION, NORTHWEST OF CHERRY ) LANE VILLAGE NO.1, MERIDIAN, IDAHO ) The above entitled matter coming on regularly for public hearing before the City Council on the 6th day of October, 1998, and appearing at the hearing on behalf of the applicant Mr. Stephen Bradbury, appearing in protest of the application, and the City Council having received a report from Shari Stiles, the Planning and Zoning Administrator, and receiving no comments from the Public Works Director, and testimony from Malcolm MacCoy, Planning and Zoning Commission Chairman, and the Council having received and reviewed the transcript of the public hearing held before the Planning and Zoning Commission on September 8, 1998, as Item #7 and, the City Council having received as part of the record of this matter the record of the proceedings before the Planning and Zoning Commission including all applications and preliminary plats, and the preliminary plat drafted by Pacific Land Surveyors, DWG No. 971118.6 dated 11/08/97 and revised 08/25/98, submitted for preliminary plat approval and which preliminary plat for approval application is herein received and adjudged by the City Council pursuant to Section 11-9- FINDINGS AND ORDER OF CONDITIONAL APPROVAL OF PRELIMINARY PLAT- STEINER DEVELOPMENT FOR THE VILLAS AT THE LAKE SUB. 604, Municipal Code of the City of Meridian. Therefore the City Council makes the following findings: FINDINGS OF FACT 1 . ,That the proposed development is in conformance with the Comprehensive Plan by reason of the fact that it lies within the existing Urban Area as defined in the Meridian Comprehensive Plan Generalized Land Use Map, Infrastructure Planning Analysis Comprehensive Plan and Map, adopted December 21, 1993 and, the property is presently zoned R-4, Low Density Residential District, which provides for single-family dwellings and for Planned Residential Developments with conditional use permits and which zone provides for allowance of a maximum of four (4) dwelling units per acre and requires connection to the Municipal Water and Sewer System. [see Section 11-2-408, Municipal Code of the City of Meridian.] 2. This proposal meets the definition of a Planned Residential Development (PD-R) as it is planned to be exclusively residential, Municipal Code, Section 11-2-403(8) Definitions, and the plat designates at note 7: "All lots within this subdivision are single- family residential lots unless otherwise noted", and there is denoted on the preliminary plat the location of duplexes on the following lots 20 through 27 inclusive and lots 36 and 37. There is also denoted on the preliminary plat the location of a clubhouse on lot 4. The preliminary plat omitted showing five (5) parking spaces on the southern half of the most western portion of Daly Lane and it is proposed that lot 46 be dedicated to the City of Meridian for recreational purposes. FINDINGS AND ORDER OF CONDITIONAL APPROVAL OF PRELIMINARY PLAT- STEINER DEVELOPMENT FOR THE VILLAS AT THE LAKE SUB. 2 ( 3. The preliminary plat is in conformance with the Comprehensive Plan City of Meridian adopted December 21, 1993, Ordinance No. 629, January 4, 1994, as set forth in Residential Policies, therein at Sections 2.1 U and 2.5U on page 23 and at the Housing Policies at page 68, Sections 1.17 and 1.18, and the Neighborhood Identity Goal Statement at page 74, Sections 6.4U and 6.5U and is in conformance with existing Zoning and Development Ordinance and Zoning Map as is referenced at page 75 under Implementation of the Comprehensive Plan. 4. It is determined that Urban Services can be made available to accommodate the proposed development if the plat complies with the following responses of government entities providing those services within this planning jurisdiction were received the Ada County Highway District (ACHD) in an action dated June 3, 1998, includes the following: "1. Locate any proposed gates a minimum of 50-feet from the public right-of- way of Interlachen Way. 2. Provide an ACHD approved turnaround at the terminus of Interlachen Way. Coordinate the design of the turnaround with District staff. 3. Construct a private road into the site at the terminus of Interlachen Way. Pave the roadway its full width (24-feet minimum) to at least 30-feet beyond the edge of pavement of Interlachen Way and install pavement tapers with 15-foot radii abutting the existing roadway edge. The applicant should provide a plan showing how the private road grade meets the public road. District Policy requires a design approach speed of 20 MPH and a maximum intersection approach of 20/0 for at least 40-feet. Street name and stop signs are required for the private road. The signs may be ordered through the District at the cost of $115. Verification of the correct approved name of the road is required. FINDINGS AND ORDER OF CONDITIONAL 3 APPROVAL OF PRELIMINARY PLAT - STEINER DEVELOPMENT FOR THE VILLAS AT THE LAKE SUB. 4. ACHD does not make any assurances that the private road which is a part of this application will be accepted as a public road if such a request is made in the future. Substantial redesign and reconstruction costs may be necessary in order to qualify this road for public ownership and maintenance. 5. Utility street cuts in new pavement less than five years old are not allowed unless approved in writing by the District." 5. The proposed development is a continuity of the proposed development within the City's Capital Improvement Program and if the conditions which are requested by the ACHD and as proposed by the developer as stated on the preliminary plat there will be public financial capability of supporting services for the proposed development. 6. The development if built in accordance with the conditions and as proposed, will not create health, safety or environmental problems and there have been no specifics of any such concerns brought to the Council's attention. 7. The Planning and Zoning Commission recommended to the City Council a change to include a parking area in an area depicted on the preliminary plat at the southern half of the most western portion of Daly Lane to include five (5) parking spaces and that 29 lots which shall include lots 31 - 34 and lots 2 - 9 be developed with single- family detached residential units with a minimum interior square footage of 1 ,600 square feet and that all lots developed with duplex residential units shall each have a minimum interior square footage of 1 ,250, and all remaining lots shall be developed with residential units of a minimum interior square footage of 1 ,304 per unit. FINDINGS AND ORDER OF CONDITIONAL APPROVAL OF PRELIMINARY PLAT- STEINER DEVELOPMENT FOR THE VILLAS AT THE LAKE SUB. 4 8. The pathways and streets shall not be gated for the reason to provide ease of access and to ensure interaction with proposed development with neighboring properties and neighborhoods, and to ensure that there is no maintenance issue or potential safety problems it might present with ill-functioning gates. ORDER Pursuant to the City Council's authority as provided in Section 11-9-604E of the Municipal Code of the City of Meridian and based upon the above and foregoing Findings of Fact IT IS HEREBY ORDERED AND THIS DOES ORDER the Preliminary Plat of the applicant as evidenced by Pacific Land Surveyors, DWG No. 971118.6, dated 11-08-97 and revised 08-25-98 and hereby conditionally approved with the conditions of approval as follows to-wit: 1. Provide an ACHD approved turnaround at the terminus of Interlachen Way. Coordinate the design of the turnaround with District staff. 2. Construct a private road into the site at the terminus of Interlachen Way. Pave the roadway its full width (24-feet minimum) to at least 30-feet beyond the edge of pavement of Interlachen Way and install pavement tapers with 15-foot radii abutting the existing roadway edge. The applicant should provide a plan showing how the private road grade meets the public road. District Policy requires a design approach speed of 20 MPH and a maximum intersection approach of 20/0 for at least 40-feet. Street name and stop signs are required for the private road. The signs may be ordered through the District at the cost of $115. Verification of the correct approved name of the road is required. 3. ACHD does not make any assurances that the private road which is a part of this application will be accepted as a public road if such a request is FINDINGS AND ORDER OF CONDITIONAL 5 APPROVAL OF PRELIMINARY PLAT - STEINER DEVELOPMENT FOR THE VILLAS AT THE LAKE SUB. .. I made in the future. Substantial redesign and reconstruction costs may be necessary in order to qualify this road for public ownership and maintenance. 4. Utility street cuts in new pavement less than five years old are not allowed unless approved in writing by the District." 5. That a parking area to include five (5) parking spaces be denoted on the final plat at the southern half of the most western portion of Daly Lane; that the final plat denote 29 lots which shall include lots 31 - 34 and lots 2 - 9 be developed with single- family detached residential units with a minimum interior square footage of 1 ,600 square feet and that alllot8 developed with duplex residential units shall each have a minimum interior square footage of 1 ,250, and all remaining lots shall be developed with residential units of a minimum interior square footage of 1 ,304 per unit. 6. That the pathway and streets shall not be gated. 7. The above referenced preliminary development plan is hereby approved, but said approval shall become null and void if the applicant fails to submit a final development plan within one (1) year of the date of this Council's approval of the preliminary development plan as provided in Municipal Code, Section 11-9-604F(1), upon written request to the Council and filed by the applicant prior to the termination of the one (1) year period, the Council may authorize a single extension of the approval of the preliminary development plan for a period not to exceed one (1) year from the date of the said one (1) year period. FINDINGS AND ORDER OF CONDITIONAL APPROVAL OF PRELIMINARY PLAT- STEINER DEVELOPMENT FOR THE VILLAS AT THE LAKE SUB. 6 APPROVAL OF THE FINDINGS AND ORDER OF CONDITIONAL APPROVAL OF PRELIMINARY PLAT The Meridian City Council adopts and approves the Findings and Order of Conditional Approval of Preliminary Plat. ROLL CALL COUNCILMAN BIRD VOTED COUNCILMAN ANDERSON VOTED COUNCILMAN ROUNTREE VOTED COUNCILMAN BENTLEY VOTED MAYOR CORRIE (TIE BREAKER) VOTED MOTION: APPROVEQru--- 101998-Final DISAPPROVED: RECEIVED OCT - 6 1998 CITY OF MERIDIAN FINDINGS AND ORDER OF CONDITIONAL APPROVAL OF PRELIMINARY PLAT - STEINER DEVELOPMENT FOR THE VILLAS AT THE LAKE SUB. 7 MERIDIAN CITY COUNCIL SPECIAL MEETING SEPTEMBER 28. 1998 The special meeting of the Meridian City Council was called to order by Mayor Robert D. Corrie at 6:00 p.m. MEMBERS PRESENT: Keith Bird, Charlie Rountree, Glenn Bentley. OTHERS PRESENT: Robert Corrie, Will Berg, Kenny Bowers, Bill Gigray, Mike Ingram, Steve Bravo. Corrie: Note that all Councilman are here except Ron Anderson. We'll be (inaudible) a little later. I guess why don't we start Bill, kind of give us run down of what you had on there and what we need to do and then Kenny you had (inaudible). Gigray: Thank you Mr. Mayor, members of the Council, the fire chief and those appearing here. I have provided to me a proposed agreement dated September 19, 1998 entitled real property purchase and sale agreement which would be entered into by and between Meridian Industrial Park as Idaho general partnership and the City of Meridian which by its terms would purchase lot 17 of block 3 of the Meridian Business Park for the sum of $275,000 providing that $150,000 would be paid in cash or on closing date which is proposed to be October 31, 1998 and the balance of the purchase price to be paid in cash by November 30, 1998. I've further been advised that this matter has been appropriately budgeted for purchase and that there are funds available to do this and that it's also important to the city as it would pursue this purchase be able to do it in two fiscal years. Understanding that the end of this fiscal year is September 30th with the commencing of fiscal year 98-99 October 1. With that in mind there is a certain amount of haste in which this matter needs to come before you for consideration and there are some limitations in what we can review in the time period in question. Also notice that there was a offer expiring date of September 24th and I think I received this the night of the last council meeting which would have been the 2200. I believe the Mayor secured from the authorized representative an extension of that until the 30th, which Mr. Winston Moore has provided that extension. I had recommended and had spoken with Ron Anderson I believe is one of the point people on this particular project that because this is not the transaction as I would understand is in the normal course of business of the city, that it would be a matter which would come before the council for its consideration and the authorization of entering into this agreement which would provide a liability of course for the expenditure of these funds at these times. I then also ask to have provided whether or not there were any covenants or conqitions or declarations covering the property. I noticed that there was a provision in the agreement governing the use and architectural plans by the seller and also by the owner of the property adjoining to the west of the subject property. I felt it would be prudent for the city to review these declarations if any there are to determine what documents might govern the use of this property. It's my understanding that it's the intention of the city that this property would be used for a fire station and for a fire station use and equipment and of course one of the concerns of course from the city's standpoint is that this property would functional for that use and could be used that way ( Meridian City Council Special Meeting September 28, 1998 Page 2 and the other concern of course will be the city's concern that the title to the property can in fact be transferred by the seller. With that in mind and looking at the agreement it is my recommendation and it hopefully will be coming in a couple of minutes that we enter into this agreement upon the condition that the seller as well as the city will enter into an addendum to the agreement because you're meeting now and I don't know that you are going to have time to meet again to try to get this on auto pilot. The idea of the addendum of the agreement is to make it an integral part of this purchase and sale agreement so that this doesn't have to be changed. But it would provide specifically and I'll go over it when it comes in here, but the main point is one that the cash since we'd be looking at making a cash payment before October 31, 1998 which would be before the closing date, that that money be placed in collection with the escrow holder pending closing and also pending the receipt by the city of a preliminary title report showing that good and sufficient title of this property can in fact be transferred because if there were a impediment to that which would defeat the sale, we want a provision that that purchase price could be returned to the city. If those conditions were met then that payment would be met as provided in this agreement in closing and then we would proceed to make the remaining payment on November 30th, 1998. Secondly an amendment to the use provision which would provide specific provisions of the intent and nature of the use of the property by the city as a fire station and that that was disclosed and that it would be a condition of the agreement that it would be a frustration of the purpose of the agreement if the city could not use it as a fire station and specifically tying it to architectural control issues. We understand that this agreement says that they're not warranting zoning and those things and those are not under their jurisdiction and control and wouldn't propose they were and I don't propose in the addendum that they would be making such warranties. What we would propose by the addendum to the use provision of this agreement is that the city's use of this property is a fire station and I'm advised by the chief that there would the need to place an antenna. There's a provision in the declarations it has a restrictions on antennas. There is also some other restrictions in the agreement with regards to potentially what I would call a (inaudible) to the building. There may be the need to provide a generator so that there's an alternate power source in the event of loss of power and there also are provisions in the declarations that seem to reference some kind of rules and regulations governing the use of motor vehicles and we would want to make sure and this is section 3.15 vehicles says a use of all vehicles and equipment including but not limited to trucks, trains, automobiles so on subject to architectural control committee rules and regulations, which may limit the use thereof and of course we wouldn't want to have limitations on the use of vehicles on that property that would prohibit our ability to provide fire fighting and life saving services as you're contractually required to do and as you're mandated to do for the city. So we would provide provisions in there to dea~ with that as disclosure and that there would be an agreement with the seller here that that could be treated as a hardship if we could demonstrate to the architectural committee that it was necessary for the ordinary conduct of the business of what we have to do is a general philosophy of how 1 would propose that that provision would be Meridian City Council Special Meeting September 28, 1998 Page 3 changed and there's a small change in section 8 just to deal with the return of the $150,000 if the title issue cannot be cleared by closing. Other than that it would be pretty much as they proposed. And I can give you the specific language of that I proposed as soon as it runs in here. I've also got a memo to you that deals with some of these central questions. And also refers to the specific sections of the declarations that I have some concerns about. It's not abnormal to enter into an agreement like this so if you can have a conditional sales agreement without a title report ,but you don't want to be spending the dough and turning it over until you've had that. You know all that stuff is cleared and it's going to not be a problem, and I'm not saying that the seller is in any way intending to not have it any other way. I'm just trying to since we've got a situation where we would have to spend that money before the proposed date of closing, I think we need to provide a safety valve in that agreement. So it's just held in escrow. As it would be if you were making an offer in a real estate purchase. A lot of times it's just held until closing and is cleared out at that point. So anyway that is kind of my overview on this and I had asked the chief to review these documents because he certainly is more familiar with the needs of the department are building usage and so on and if we have the people here in attendance who are representing the seller I think it would be good to see what specific issues might arise from the architectural control or use of the property knowing what we intend to do with it or the city does. Bowers: Had heard today that there is a ditch running through that piece of property and I don't know if we can reroute it or we're going to have to cover it up, pipe it. Corrie: It's not piped all the way anyway. Bird: Ron wanted to leave it open so that we could use it for (inaudible). Bowers: That's fine if we can leave it open. Bird: I don't whether we can or not. Bowers: I don't know. Corrie: It's open. Bird: And I don't know - Ron thought it would be nice to leave it open so that you could test your pumps and stuff. Rountree: Is the 40 feet maximum height (inaudible) Bowers: Did we decide to go to 50 foot Bill on that antenna? (Inaudible) { Meridian City Council Special Meeting September 28, 1998 Page 4 Rountree: Building height doesn't give you (Inaudible) (Inaudible) Bentley: I just had a question on whether we needed the hose tower and what the height would be on that if we needed one. Bowers: Most of the time you don't build hose towers any more. (Inaudible). Rountree: I don't have a bit of problem proceeding with (inaudible) escrow conditions so we can get going on it. But (Inaudible). I guess the other question I would have Bill is there (inaudible). Gigray: Well you've already budgeted for it so as long as it's in the budget and it's in the expenditures in the next fiscal year I don't see a problem. Where we usually get into these problems is where there aren't (inaudible) to do it. And your budgets are set. They're already certified and submitted, so I don't see a problem. Bird: As I understand the 150 of it we have to have the purchase order in immediately. Gigray: Otherwise it will go as - Bird: All next year, yeah. It won't carry over. It will all come out of next year's won't it? Rountree: It isn't a budgeted carry over. Bird: That's right so we got to get that 150 before the 30th. We got to get purchase order out of this year's budget and the other 125. Right. I have nothing further. I agree with Charlie. As long as we get the purchase order through to Janice so that it is in last year's I guess we can cut the check anytime. Rountree: Are we on line to get this down - (Inaudible) Gigray: If you've got a couple of minutes, I'll go down there and see where we are because I'd like to read it. And if the seller is here then we can see whether or not they've got a problem with any of it. Bird: The seller is not here. Gigray: They're not? / l, Meridian City Council Special Meeting September 28, 1998 Page 5 Bowers: To my knowledge we have taken our 95 runs 96 and 97 runs and put them on a map, dotted them out. We gave those to Ron and he sat down and drew his circles out of where he perceives that the building should go. And everything pretty well pointed towards Franklin Road somewhere around that area in the cemetery. It didn't show which side of the Franklin to go on to but in that area. Bentley: Kenny, what's your thoughts on an area for having this? I know you and I discussed this about two years ago and what's your opinion on that? Bowers: Councilman it's going to be widened as you know to five lanes one of these days possibly. But that will still gives us easy access east and west. North and south might be a little bit more difficult coming back to E. 1st because it's so busy, but we should be able to make the turn okay and head out to the freeway or head down E. 1 st to the area down at Albertson's. Bird: Kenny when the - actually this location would be a lot better to get out to the southern part. Presidential by going to Eagle and coming down that way and you're on Eagle Road so Eagle Road is a good access. We're going to be close to it. Bowers: It will be easier to get to Eagle Road. The thing that's going to be a little harder for that piece of property is all of our volunteers live out this way. So it's going to take them a little longer to get to that area to cover the station for backup calls because of traffic, because of construction and because it is a little farther away, but we hope as we take on new volunteers possibly bring some volunteers into this area out this way. Anderson: Also with Franklin being finished before this is built you know I think your access from the west will be great as far as time wise of being able to (inaudible) since it will five lanes coming in. (Inaudible) Corrie: This is not a public hearing, but I guess we can - Rountree: Mr. Mayor I'd like to ask Commission Steve over there if he has any questions. Bravo: Let me kind of lay this out like Mike mentioned, (inaudible) kind of blind on it. We've heard some ifs and maybes and this and that. So I guess not to sound hard ass or anything but this situation is not lending itself to starting out as a very good sign of (inaudible) work between the two entities with our new contract coming into play. We have heard bits and pieces from Ron but like I said this is all unofficial. I realize the situation that Eagle can have with this property. He mentioned to me about the time ( Meridian City Council Special Meeting September 28, 1998 Page 6 limits and all that. I think we have heard was I got a little upset with him at our last meeting because through him we were lead to believe that you know if we go out and get the money, (inaudible) this is going to happen. This will happen this year. This will happen next year and then all of a sudden well maybe it can't happen. We don't have enough funds because of the (inaudible) in property values. So I got a little irritated with that and of course he answered me back and we got that squared away. With that he did mention the fact that weill talked to the City Council and if you guys don't want to foot the bill, we'll pay the whole thing. This is what I have been told and this is as far as we know at this point. We've had no communication on actually where the station should go in, seen any maps. We haven't done anything at this point. That's just where I'm at. I'm just letting you guys know, I don't know if this is going to cause problems down the road or what. That's where we're at. We don't know anything different as far as - he had mentioned to me about the properties, asked if we could go out and look at some properties. In the short notice I only had time to go out and look at one piece which fell through. It wasn't worth even looking at once I got out there and the others were outrageously high priced. So with Ron's knowledge he decided on this parcel here and mentioned to me for what's available and what's affordable if that's the best place to put it. So I went along with what I've been being told that this is probably the best place we're going to get (inaudible) but that's about as far as we taken anything. Nothing else has been discussed as far as if we (inaudible) or if you guys are going to foot the full bill for some reason. I don't know why that came up other than we didn't have enough to put in this year with the (inaudible). With the 800 we decided it would take. It looks like it's going to cost more than that. And that's where the (inaudible) or to me not officially on the side, well the city mentioned that they'll foot"the bill for I don't know if he meant the excess or the whole kit and caboodle. And we're kind of out in space on that issue too. Corrie: I'm a little disturb two things. One is being a liaison he should be liaisoning with you guys from the Council which he hasn't done. The second is he's making the statement to the rural, you don't want to, we'll do it. He doesn't have that authority. It's the council that makes that decision. Bravo: I'm not sure if that was his intent, which way he meant it as far as making up the shortfall or doing the whole project. Bird: He had talked to us Bob. Corrie: I know he had, but he still can't make that decision. Bird: No, that's true. ;' '\ Meridian City Council Special Meeting September 28, 1998 Page 7 Bravo: Well he didn't make it official. I'm telling you what we (inaudible). None of this has been - I mean the one where we got into the argument at the meeting was one of (inaudible). It's not official. I'm just trying to mention to you. Bentley: (Inaudible). Ingram: Well a couple of things. (Inaudible) This piece was mentioned. To my knowledge that was as far as it had gone. Nobody has contacted any of us other than today as far as purchasing a piece of property. Ron's instruction was to get a hold of me and we would evaluate where that station location - a probably location. That has never been done. I have never been contacted. Number two is it the city's intent at this time to be the sole owner of this piece of property because according to the agreement that now is in question whether or not we were even enter into it. It is mandated in there that any capital purchase would be usually agreed upon by the city and the rural. So I'm questioning here we are about to enter into to an agreement and we're already breaching the contract so I'm kind of questioning if that's the way this business is going to continue, then I'm not sure that's the road we want to go down. I don't know. Is it the City's intent to purchase this piece of property solely? Corrie: I don't think it was before. Bird: It wasn't mine, but if it - when it was talked your agreement hadn't been you know it had been firmed on your agreement. We didn't know if you guys wanted to (inaudible). Ingram: That's us. We don't know yet. We haven't gotten that far. Bird: Ron checked around on prices of ground. Downtown here if you buy existing 7 % square foot out on Fairview is that much or more. This we're getting for a little over $3 a square foot. Rountree: Question for Bob and I guess for your benefit. Some of this has to do with it's the end of the fiscal year and the fire department has some carry over money. It could be a part towards this and that's the sense of urgency apparently where we're at. Could we not as a council take action on that (inaudible) a carry over account that could be applied towards the amount that's budgeted this year and be a budget adjustment at the end of the year. It would give us a little more time. I've got the same problem he's got is we're sitting here and putting together an agreement and asking him to agree with this thing all of a sudden (inaudible) pay 300/0 percent of it. Or we're going to buy it all and we're going to lease it to you. (Inaudible) and at least at this point by agreement there are partners and we missed a step and there and I think a significant step. ( Meridian City Council Special Meeting September 28, 1998 Page 8 Corrie: Bill just for clarification there we have until the 30th of this month to give them the $150,000. You mentioned October the 31st. Gigray: I haven't looked at your budget. So I don't know ,but my question was is this budgeted? And that mean if it's budgeted then that means you can take it out of this year's fiscal budget and then you have a line item in next year's fiscal budget that allows you to make the remaining payment. Now it's my understanding that this isn't necessarily in the budget and the expenditure would not come out of any budget that was submitted to the rural as part of the 98-98 fiscal year. Because if it were then it would have to follow the process that we had crafted in that agreement by which capital outlay expenditures would be done and they are stating here which is true. I guess it was kind of my understanding that yes it was the intent of the city to use it as a development for a fire station. That was the most specific need. But in the short term in order to meet these fiscal year budget that it was considered as I understood it a piece of property that the city would purchase and then would decide on the appropriate use of that property of which the fire station was probably first in line and if that didn't work out you might use it for some other purpose, but of course I'm having to deal with the most known here in order to craft an agreement in short order here and so that's why I dealt with this in the addendum specifically. Now that was how I understood it but you know I think if you choose not to enter into the agreement and you want to - I mean the thing we got to check with the treasurer on is whether or not you've got the appropriate line item designations in order to carry it over and to make it specific to avoid going into the general fund and I think as we sit here now without any further action, that's exactly what will happen and then we'll lose it. Corrie: I think to answer your question Charlie, yeah, we could take the $150,000 and put it in escrow, give them time to act because we don't have make the final payment until November the 30th, is that what you have? Gigray: Well I would say if you're going to do that we need to change the agreement because we need to add another contingency in there that this whole is subject to gratification by the rural fire district. Corrie: Give them a chance to study this. Then we can do that and even with that understanding of escrow and get the money back. Gigray: We're getting into some complicated negotiations here because the way that agreement works we're suppose to propose the methodology by which capital expenditures are going to be made and what you've got to do is be in a position where you're going to be prepared to deal with the proposal and the commissioners I assume from their own budgeting standpoint are already committed on the 98-99 fiscal year budget. They've already certified that budget as already adopted and their expenditures are going to be limited to what they have already approved for that fiscal year so any ( Meridian City Council Special Meeting September 28, 1998 Page 9 participation by the rural fire district would have to be in beginning probably fiscal 2000- 2001. It gets a little bit protracted and as I understand it it's not on the table yet. It could be and whether or not the city bought the property and then made a proposal with the rural about construction costs of the building and some joint ownership based on some participation and construction costs. That could be done in future years. The big issue here is going to be one whether the rural buys the idea of another station and number two the location. Bentley: Wasn't it part of the joint budge to build the new building in this coming fiscal year? Bravo: Yeah we had $240,000 out of the $800,000 total (inaudible). Bentley: I think the issue here is nobody has gone over site location. (Inaudible) Bravo: We know we're going to go over cost already. Bentley: I can sit here and tell you what he did when he explained it out to us, but I think you need the same explanation that we received and the reasons for it. What he said made sense to me and it may make sense to you if you have the maps and the circles and what they were as the one mile and the three mile. Bravo: And it already does. I talked to Ron on the side but we haven't got anything on record saying that's what I'm getting at. Theress nothing on record saying that we talked about this and made these decisions. Bentley: I would have to agree with Charlie that we take whatever action we need to preserve the budget the $150,000 and whether we can do a tentative deal to affect the purchase and depending on the rural getting their review because if they're going to playas a partner in this they've got to know what their part is too. Bird: Mr. Mayor I got a question to ask Steve. Did you guys approve the agreement? Has that been approved then? Bravo: We approved it with the changes you guys did a final that you guys signed off. That's what we approved. Bird: You have approved it? Bravo: Yeah, we approved it. No we're having our meeting Thursday. We approved what you have here at our last meeting to make those changes and present them to you (/-- Meridian City Council Special Meeting September 28, 1998 Page 10 guys. Okay. We have a meeting scheduled this Wednesday to propose it and accept it and it's fine. All I was going to ask on the scenario I guess for your attorney with all these stipulations that you mentioned you know not knowing for sure a way to get out of the purchase if certain things didn't come to past with the scenario. If something I can't even imagine but if something did happen on this and we couldn't come to an agreement, what does that do to you guys investing in the property? Do you have other uses planned for it already or are you stuck with it? Rountree: Well it's the kind of property- Bird: I was going to say I wouldn't mind being stuck with it. Bravo: So it's not something that's going to be a hardship on the city. Corrie: So Sill let me ask you this, do you think we can with the length of time we have get all this together and present with the escrow the $150,000 take it out of the budget within the next two days? Gigray: I think the answer to your question is yes we can, but I think the thing that you ought to consider this evening is what direction you really want to go on this because it would make a difference in what contingencies I put in this addendum agreement. I anticipate that and I have represented and represent rural fire districts that for them to come to a definitive decision about whether or not they're going to agree with this particular purchase or not by the proposed date of closing which is October 31 - (inaudible) Gigray: You know I don't know. That depends on what their read on this thing is. I don't know what the city's plan is at this point about construction. You can buy land and sit on it quite a while before you ever start construction and I don't know what the city's plans are there. And that might have a whole lot to do with how the commission's response would be. The procedure would be if you did buy the ground, it's yours and you can hold it for city purposes, but if you do sell it, you have to follow statutory procedures. You get an appraisal and then you declare it as surplus property and go through the whole rigmarole and auction it off. Bravo: What you just mentioned would they have to do that if they purchased the property as a single entity and they came to us and say everything came all right okay we're - give us your 30. If they purchased it that way, do we have to go through that? Gigray: No, it would go through your normal budget. At some point the chief would make a proposal to the commission about a capital expenditure budget that would deal with the construction of the station or some joint ownership of the real property. It would Meridian City Council Special Meeting September 28, 1998 Page 11 have to come through your normal budget process. This action by the city as I understand it 'and I asked this question is this in the existing budget for the city? The city has budgeted to be able to do this but as I understand it through the agreement with the commission you would have to deal with this separately with the commission in terms of how this would (inaudible). I think that's the intention. Now this as I prepared this and I think it might go faster if I just read the excerpts of this just to get an idea. Does not include a contingency of the city being able to get out of this if the commission doesn't affirm it. I didn't have that in the mix when I discussed this and if that's something you really want in there or you want to reserve the right to do then I need to know that - (Inaudible) Bird: I'm with you Bob. I don't think it's necessary. Bentley: I don't want to hang any strings on this - (Inaudible) Rountree: I guess (inaudible). Gigray: Well you'd be committed this fiscal year to do it. And that will be an expenditure coming out of next fiscal year budget. And then you'll own a piece of ground free and clear and since it's never been included specifically in the discussions with the commission it's your ground. I mean that would be my advice to you, your ground totally and then we'd have to get in communication with the rural fire district about its potential use and development. If that's what you're looking at doing and we want to make sure we don't get in an architectural problem here on the other end. Corrie: Right. Why don't you go ahead Bill and give us that. Gigray: We said at the beginning that this is to be an integrated part and considered part of the real property purchase and sale agreement so that these two agreements work together. They not having them saying they are independent. We're saying that the buyer's signature to this agreement is contingent and conditioned upon the seller's authorized representative entering into the addendum and the agreement and signing too. I want to change section three, the real property agreement that says $150,000 in cash tendered and placed in collection escrow with Stewart Title Company and that was the company they named and which shall be held in accordance with the provision of section 4. So we're providing for immediate payment of this. Section 3 that section 4 of the agreement amended to provide that collection escrow the parties agree to immediately establish a collection escrow with Stewart Title Company, Inc. pursuant to the agreement the collection escrow agent shall hold the original cash deposit made by ( ( Meridian City Council Special Meeting September 28, 1998 Page 12 the buyer pursuant to section 3.1 of the agreement and shall hold an original of this real property purchase agreement and the addendum to the agreement and the original executed deed to the property as security for payment of the purchase price where the buyer shall be instructed to collect, supply and disperse payments made pursuant and in accordance with the terms of this agreement and to the release and deliver the deed to the buyer when the buyer becomes entitled and so on. Then under section 6 under use the buyer shall not commence construction on the property without first obtaining written approval of the site development architectural plans for the seller and the owner of the property adjoining the west boundary of the property. Now that's in there already. Neither of which approval shall be unreasonably withheld and in accordance with the declaration, covenants, conditions, and restrictions of Meridian Business Industrial Park recorded and then I referenced the instrument number. Such approval is with the understanding that it is the intent and purpose of the buyer in the purchase of the real to eventually construct a fire station upon said premises. It is agreed by said parties that it shall be considered a frustration of the purpose of this agreement in the even the buyer cannot construct a fire station upon the premises by reason of imposition of any architectural requirements contained in this declaration of covenants and so on. It is agreed that it shall be considered a hardship under section 2.9 of the declaration and covenants if the city can establish that there is an improvement, structure or appurtenance that is required to operate the fire station in compliance with normal operating performance needs. In particular is herein represented by the buyer that one of those requirements will be an exterior radio antenna which would not exceed 75 feet we allowed. We thought it was 50, but we thought that in case it was 56 we better- and there maybe an exterior generator device to provide auxiliary power in the event of a power outage and the city will require the right and ability to use ~II trucks, vehicles and fire fighting equipment associated with it providence of fire fighting and fire preservation services within the city and the Meridian Rural Fire District together with any other district and/or city for which the city contracts for mutual aid or those services. Then under section 8, title and title insurance it'd be amended to provide that the buyer shall request the title company to issue a preliminary title report in conjunction with issuance of title policy. The buyer shall then have 14 days after the delivery and they had seven and I thought that was awful tight of the preliminary title report within in which to disapprove in writing all easements or restrictions of record. That the buyer cannot remove any disapprove exceptions by closing then this agreement shall be terminated and either party thereafter shall be liable to the other. The escrow agent shall then be so instructed to return the purchase and sales agreement to the seller marked cancelled with a copy to the buyer and delivered to the seller executed deed to the property delivered to the buyer $150,000 cash payment and any interest earned thereon. Buyer and seller shall the title company to issue at closing a standard owners policy and then the rest of that is pretty much as it was before. Given the constraints of time that's what I came up with. Bird: Sounds good to me. Meridian City Council Special Meeting September 28, 1998 Page 13 Corrie: Any further discussion? Gigray: This is the memo as (inaudible). Rountree: On the outside chance that we buy this piece of property and then for some reason the rural falls apart and says this isn't the right place (inaudible). In my mind that's a possibility. (Inaudible) Bentley: You read pretty well. Rountree: I don't think that's going to change. Bentley: I wish that Ron - I don't know what happened, but I wish he'd given the same presentation to them that he gave to us and I don't think we'd have heartburn right now, and I don't know what happened. Bird: Well they haven't signed the agreement yet. Corrie: It sounds like they're going to though. (Inaudible) Gigray: That was one of the questions and Kenny will confirm and I asked Kenny when this whole thing began. I talked to Ron about it was you know we have this budgeting process under this new agreement was this under this and it was my understanding it was not and I think you are absolutely right in that is you can buy this property and hold on to it and use it for whatever city purposes you want. If it works out that it works with the rural and the fire station, fine. But you could end up holding it if this run afoul. Bird: Let me explain something I think, excuse me Mr. Mayor. There's an $800,000 budget in there for building that they know about. Right? Okay, 10,000 square foot building in Garden City was built for $650,000. That's basically what we're wanting is 10,000. That leaves us $150,000. That's where the 125 comes with another. So they are basically in there. The only thing we're doing is taking the 150 out of this year's budget which we don't know if we're going to get paid back from that anyway from them. They knew the $800,000 was in there. Right? We're not going to go over that $800,000. Rountree: (Inaudible) Corrie: I think perhaps the feeling is that probably still the best place for one, but we're (inaudible) here. Like Charlie says and if it doesn't go we get the money back and we'll do it again or we can buy it and (inaudible). But that price, it's a pretty good price. I ( Meridian City Council Special Meeting September 28, 1998 Page 14 Bird: Will you pay me ten percent of any extra I can sell it for? I'll make one phone call. Bentley: So what do we need to do tonight? Do we just need to move on freezing up that - Rountree: We need to either approve the resolution - Gigray: The resolution authorizing the Mayor and the Clerk to enter into the addendum agreement and the original property agreement. That's really the only action that I would think you need to take and - Bentley: Don't we need to do action on preservation that 150 that's this year's budget? Gigray: Well if you sign that agreement (Inaudible) (Inaudible) Corrie: I'll sign that in the morning. Bird: Mr. Mayor do we have a resolution number? Corrie: 174. Bird: I move that we adopt resolution number 174 setting forth certain findings and purposes authorizing the Mayor and the City Clerk to enter into on behalf of this municipality and agreement entitled real property purchase and sale agreement and addendum to real property purchase and sale agreement city of Meridian, grantor. Bentley: Second. Corrie: Motion is made and second. (End of Tape) Gigray: Well I just say for purposes of the record that motion would authorize expenditures. Corrie: Any further discussion? Hearing none, all those in favor of the motion say aye. MOTION CARRIED: 2 ayes. 1 nay. Corrie: Okay. Any further - Gigray: I would just by way of comment Mr. Mayor I would recommend that we consider at some point maybe crafting some kind of protocols on land purchases kind of /' { Meridian City Council Special Meeting September 28, 1998 Page 15 like due diligence routing and so on and I think it will avoid the rush. I think you probably made a very good move here. You got a good piece of property probably for a very good price. It will be functional for your intended needs, but as you well know they're always big expenditures and there can be issues about a lot of things that can come up. When you're up against the gun to make decisions, sometimes there are risks associated with that. Corrie: If there's nothing else to come before the Council I will entertain a motion to adjourn. Rountree: So moved. Bentley: Second. Corrie: Motion made and second that we adjourn. All those in favor of the motion say aye. MEETING ADJOURNED AT 6:55 P.M. (TAPE ON FILE OF THESE PROCEEDINGS.) APPROVED: ATTEST: RESOLUTION NO /1 f BY: Ke/fh [J/f-ct 6/el1.f/t $e/l-tley A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MERIDIAN, SETTING FORTH CERTAIN FINDINGS AND PURPOSES; AUTHORIZING THE MAYOR AND CITY CLERK TO ENTER INTO, ON BEHALF OF SAID MUNICIPALITY, AN AGREEMENT ENTITLED "REAL PROPERTY PURCHASE AND SALE AGREEMENT, AND ADDENDUM TO REAL PROPERTY PURCHASE AND SALE AGREEMENT", CITY OF MERIDIAN, GRANTOR. BE IT RESOL YED BY THE MAYOR AND COUNCIL OF THE CITY OF MERIDIAN, IDAHO: WHEREAS, it is in the best interests of the City of Meridian to enter into an agreement with MERIDIAN INDUSTRIAL PARK, an Idaho general partnership, denoted as "REAL PROPERTY PURCHASE AND SALE AGREEMENT and ADDEDUM TO REAL PROPERTY PURCHASE AND SALE AGREEMENT" a copy of which is attached hereto marked as Exhibit "A" to this Resolution, the reasons and authority for which are as set forth in said Agreement. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL as follows: 1. The Mayor and Clerk are hereby authorized to enter into on behalf of the City of Meridian that certain agreement with MERIDIAN INDUSTRIAL P ARK, an Idaho general partnership, entitled "REAL RESOLUTION OF THE CITY OF MERIDIAN, AUTHORIZING 1 CERTAIN FINDINGS AND PURPOSES, AUTHORIZING THE MA YOR AND CITY CLERK TO ENTER INTO A REAL PROPERTY PURCHASE AND SALE AGREEMENT AND ADDENDUM TO REAL PROPERTY PURCHASE AND SALE AGREEMENT WITH MERIDIAN INDUSTRIAL PARK (- PROPERTY PURCHASE AND SALE AGREEMENT and ADDENDUM TO REAL PROPERTY PURCHASE AND SALE AGREEMENT" a copy of which is attached hereto marked as Exhibit "A" to this Resolution and to bind this City to its terms and conditions. PASSED BY THE COUNCIL OF THE CITY OF MERIDIAN, IDAHO, this ZS1i. day of Sepre/fftIJer , 1998. APPROVED BY THE MAYOR OF THE CITY OF MERIDIAN, IDAHO, this 28~ day of ypfe/"Y1-6er , 1998. IJ. ~ · ATTEST: ~~/Jec{ CITY CLERK 092898- FINAL \\\ut\Ultftllll 't).' ".,&,. ur: 0:...111 \...,~,,\-{ VI -.:::.:: IoTQ, 1.1'.1'''-10: .f"Qr~~~' f ~_. \ ~ = ~ - - - f RESOLUTION OF THE CITY OF MERIDIAN, AUTHORIZING 2 CERTAIN FINDINGS AND PURPOSES, AUTHORIZING THE MAYOR AND CITY CLERK. TO ENTER INTO A REAL PROPERTY PURCHASE AND SALE AGREEMENT AND ADDENDUM TO REAL PROPERTY PURCHASE AND SALE AGREEMENT WITH MERIDIAN INDUSTRIAL PARK [' ADDENDUM TO REAL PROPERTY PURCHASE AND SALE AGREEMENT This document shall be considered an Addendum to and part and parcel of that certain Real Property Purchase and Sale Agreement by and between Meridian Industrial Park, an Idaho general partnership as ("Seller"), therein and the City of Meridian, an Idaho municipal corporation as ("Buyer") therein, dated the 19th day of September, 1998, and which Addendum provides additional terms and conditions which are to be integrated and considered a part and parcel of that certain Real Property Purchase and Sale Agreement. SECTION 1. The Buyers signature to the Real Property Purchase and Sale Agreement is contingent and conditioned upon the Seller, authorized representative, entering into this Addendum Agreement on its behalf and signing. SECTION 2. The Real Property Purchase and Sale Agreement shall be amended as follows to-wit: 3.1 $150,000.00 in cash tendered, and placed in collection escrow with Stewart Title Company of Idaho, Inc. ("Title Company") and which shall be held in accordance with the provisions of Section 4. SECTION 3. That Section 4 of the Real Property Purchase and Sale Agreement be amended to provide "Collection Escrow". The parties hereto agree to immediately establish a collection escrow with Stewart Title Company of Idaho, Inc. ("Title Company") pursuant to this Agreement. The collection escrow agent shall hold the original cash deposit made by the Buyer ADDENDUM TO REAL PROPERTY PURCHASE AND SALE AGREEMENT ( ( pursuant to Section 3.1 of this Agreement, and shall hold an original of this Real Property Purchase and Sale Agreement and Addendum to Real Property Purchase and Sale Agreement and an original executed Deed to the property as security for payment of the purchase price by the Buyer and shall be instructed to collect, apply and disperse payments made pursuant and in accordance with the terms of this Agreement and to release and deliver the Deed to the Buyer as and when the Buyer becomes entitled to it as set forth herein, and to release all other escrow documents to Buyer upon the payment in full of the purchase price. SECTION 4. Section 6 of the Real Property Purchase and Sale Agreement shall be amended to provide "6. USE. Buyer shall not commence construction on the Property without first obtaining written approval of its site development and architectural plans by Seller and the owner of the property adjoining the west boundary of the Property, neither of which approvals shall be unreasonably withheld in and accordance with the Declaration, Covenants, Conditions and Restrictions for Meridian Business and Industrial Park recorded in the Ada County records, as Instrument No. 8149625. Such approval is with the understanding that it is the intent and purpose of the Buyer in the purchase of the real property to eventually construct a fire station upon said premises. It is agreed by said parties that it shall be considered a frustration of the purposes of this Agreement in the event the Buyer could not construct a fire station upon premises by reason of imposition of any architectural requirements contained in the Declaration of Covenants, Conditions, and Restrictions for Meridian Business and Industrial Park. It is agreed that it shall be considered a hardship under Section 2.9 of the Declaration, Covenants, Conditions and Restrictions thereof if the City of Meridian can establish there is an improvement, structure or appurtenance that is required to operate the fire station in compliance with normal operating performance needs. In particular, it is herein represented by the Buyer 2 ADDENDUM TO REAL PROPERTY PURCHASE AND SALE AGREEMENT (~ that one of those requirements will be an exterior radio antenna, which would not exceed 75', and there may be an exterior generator device to provide auxiliary power in the event of a power outage, and the City will require the right and ability to use of all trucks, vehicles and firefighting equipment associated with its providence of firefighting and fire preservation services within the City and the Meridian Rural Fire District; together with any other district and/or city for which the City contracts for mutual aid for those services. SECTION 5. That Section 8., TITLE AND TITLE INSURANCE:, should be amended to provide "TITLE AND TITLE INSURANCE". Buyer and Seller shall request the Title Company to issue its Preliminary Title Report in conjunction with the issuance of the Title Policy. The Buyer shall then have 14 days after delivery of the preliminary title report within which to disapprove in writing all easements and restrictions of record. If the Buyer cannot remove any disapproved exceptions by closing, then this Agreement shall be deemed terminated and neither party thereafter shall be liable to the other herein. The escrow agent shall be then so instructed to return the Purchase and Sale Agreement to the Seller marked CANCELLED, with a copy to the Buyer and delivered to the Seller the executed Deed to the Property and to deliver to the Buyer a One Hundred Fifty Thousand Dollars ($150,000.00) cash payment, and any interest earned thereon. Buyer and Seller shall cause the Title Company to issue at closing a standard owner's policy for title insurance in the amount of the purchase price insuring title to the Property in Buyer's name subject to the following exceptions, Buyer and Seller each paying one half of the cost thereof. Title to the Property shall be conveyed free of liens, but subject to the Title Company's usual and customary exceptions, the lien of taxes and regular assessments for the year of closing, all easements and restrictions of record not disapproved of in writing by Buyer 3 ADDENDUM TO REAL PROPERTY PURCHASE AND SALE AGREEMENT r. within 14 calendar days after delivery to it of the preliminary title report, and other matters apparent or of record. DATED this day of September, 1998. MERIDIAN INDUSTRIAL PARK BY Authorized Representative PO Box 8204 Boise, ill 83707 CITY OF MERIDIAN 83642 ATTEST: 4 ADDENDUM TO REAL PROPERTY PURCHASE AND SALE AGREEMENT