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GRANT COUNTY COMMISSIONERS AGENDA MEETING REQUEST FORM (Must be submitted to the Clerk of the Board by 12:00pm on Thursday) REQUESTING DEPARTMENT: BOCC REQUEST SUBMITTED BY: CEMANELL CONTACT PERSON ATTENDING ROUNDTABLE: CEMANELL CONFIDENTIAL INFORMATION: ❑YES 8 NO DATE: 9/3/2025 PHONE: 2g31 jVj;j; zlei: 179 LU 14 a I ; W.Al g;j WAJ ©Agreement / Contract ❑AP Vouchers ❑Appointment / Reappointment ❑ARPA Related ❑ Bids / RFPs / Quotes Award ❑ Bid Opening Scheduled ❑ Boards / Committees ❑ Budget El Computer Related ❑County Code El Emergency Purchase El Employee Rel. ❑ Facilities Related ❑ Financial ❑ Funds ❑ Hearing ❑ Invoices / Purchase Orders ❑ Grants — Fed/State/County Ell -eases ❑ MOA / MOU ❑ Minutes ❑ Ordinances ❑ Out of State Travel ❑ Petty Cash ❑ Policies ❑ Proclamations EIRequest for Purchase ❑ Resolution ❑ Recommendation ❑ Professional Serv/Consultant ❑ Support Letter ❑ Surplus Req. ❑Tax Levies ❑Thank You's ❑Tax Title Property ❑WSLCB [S --- -------- GGMEb6ftRIDIN' FOR N 4 �T Letter of Intent to the Washington State Department of Natural Resources (DNR) for the Moses Lake Dunes Trust Land Transfer Project. If necessary, was this document reviewed by accounting? ❑ YES ❑ NO 0 N/A If necessary, was this document reviewed by legal? YES C NO ❑ N/A DATE OF ACTION: !'` DEFERRED OR CONTINUED TO: APPROVE: DENIED ABSTAIN D1: K k f> D2: D3: 4/2 3/24 WITHDRAWN: WASHINGTON STATE DEPARTMENT OF NATURAL RESOURCES LETTER OF INTENT MOSES LAKE DUNES TRUST LAND TRANSFER PROJECT 1. Introduction. GRANT COUNTY (Receiving Agency) has been designated to receive state trust land identified as MOSES LAKE DUNES TLT, 02-108265 in the Trust Land Transfer (TLT) legislative appropriation for the 2023-25 biennium. The purpose of this Letter of Intent (LOI) is to identify the process and terms of the transfer as provided by legislative direction and the Department of Natural Resources (DNR) trust management obligations. This LOI is an expression of the good -faith intent of both parties to move this transaction to completion, and it is not a legally binding document. DNR has requested a legislative re -appropriation of these TLT finds to carry forward into the 2025-2027 biennium and with the legislative session ending soon DNR will pass on the results of this request as it may effect project timing somewhat. 2. Trust Land Transfer Program. The Trust Land Transfer program was created by legislation to protect special trust lands, provide funds for school construction and reposition state trust lands to increase revenues and reduce management costs. Trust lands included in the program are recognized as having special characteristics desirable for uses other than timber harvest and trust revenue production. The Legislature appropriates funds to acquire the property at market value and directs DNR to use those funds to acquire other trust lands better suited for producing revenues. The selected property is transferred to the designated receiving agency to be managed for the intended special public use. Additional program information may be found on the DNR website at https://www.dnr.wa.gov/managed-lands/land-transactions/trust-land-transfer. 3. Authority. Authority and funding for the transfer is provided by Section 3027, Chapter 375, Laws of 2024 (Capital Budget Bill), RCW 79.17.200, RCW 79.17.300, RCW 79.17.310, and other statutes that may apply. The Legislature has appropriated $10,804,000 to transfer 9 properties. A copy of the legislation is attached as Exhibit A. 4. Receiving Agency. The receiving agency, as identified through the Trust Land Transfer pilot project process, is Grant County. The conveyance deed will identify Grant County as the Grantee. 5. Property. The Moses Lake Dunes Trust Land Transfer property (herein referred to as `The Property') proposed for transfer comprises approximately 647.48 acres within portions of Section 16, Township 18 North, Range 28 East, W.M. in Grant County, and described on Exhibit B. The property is currently managed for the Common School Trust. 6. Title. Title will be conveyed by quitclaim deed substantially in form as set forth in Exhibit C. The property will be conveyed AS IS, WHERE IS. The deed shall contain a release of liability relating to the condition of the property. The applicable deed will be submitted to the Receiving Agency for approval prior to conveyance. Letter of Intent Page 1 of 10 Moses Lake Dunes TLT File No. 02-108408 7. Title Insurance. DNR will not provide title insurance. The Receiving Agency may acquire title insurance at its own expense. 8. Reservations. DNR will reserve minerals as required by RCW 79.11.210 and reserve the ability to purchase access as stated in RCW 79.3 6.3 70. Specific reservation language is shown in Exhibit B. 9. Property Value. The legislative appropriation will be used to compensate the Common School Trust for the value of the Property. The Receiving Agency will receive the Property without charge, but it will be responsible for all future costs after ownership has been transferred. 10. Appraisal. DNR will complete an appraisal of the Property to determine market value. The appraisal will include a value for land and timber that will provide the basis for distributions to the land replacement account(s) as required by legislation. The appraisal will be initiated after the LOI has been signed to indicate agreement with the property transfer. The appraisal will remain confidential to DNR until the transfer is complete. 11. Board of Natural Resources. The transfer is conditioned upon approval by the Board of Natural Resources. The transfer will be presented to the Board after the appraisal is complete and the property transfer is desirable to both parties. The Board has the legal obligation to establish value for all lands leaving trust ownership under RCW 79.11.090. 12. Administrative Costs. DNR costs to complete the transfers are paid for by the appropriation. Such costs include staff time, equipment, travel, appraisals, closing costs, etc. Costs incurred by the Receiving Agency to receive, hold and manage the Property are the responsibility of the Receiving Agency. 13. Use Restriction. A use restriction will be included in the deed that dedicates The Property for the appropriate public use. The public use restriction language is being developed in the near future and will be shared with you later in 2025 before any drafting of the proposed conveyance deed. 14. Prorations. All lease/rental income, if any, and assessments and other expenses relating to the Property shall be prorated as of Date of Closing (deed recording date). The Receiving Agency will assume responsibility for any assessments remaining unpaid as of the closing date. 15. Leases and Encumbrances. Leases and encumbrances will be transferred with the property unless other arrangements are made. A DNR title records report with copies of lease and encumbrance documents will be provided for review. 16. Access. Legal access appurtenant to the Property will be conveyed when available. However, DNR does not guarantee legal access to all properties. Access to some properties may be unavailable or restricted by easement language. Currently, the property has no legal road access of record, but it does have waterfront legal access by boat. Letter of Intent Page 2 of 10 Moses Lake Dunes TLT File No. 02-108408 17. Removal from List. DNR and the Receiving Agency will attempt to complete the transfers as provided by legislation. However, either party may remove a property from the list if determined the transfer is not in the statewide interest of the trust(s) or Receiving Agency. 18. Closing. Closing shall be carried out at the Olympia office of the Department of Natural Resources. The Receiving Agency acknowledges that DNR staff is acting as interested parties and not as escrow agents in preparing documentation and closing this transfer. Date of Closing (Closing Date) will usually occur within 45 days following approval by the Board of Natural Resources. Each party will execute sufficiently in advance of the Closing Date all documents necessary to carry out this transfer including but not limited to real estate excise tax affidavits, assignment of any leasehold rights, etc. The cost of recording will be paid by DNR. 19. Schedule. DNR's intent is to take this proposal to the Board of Natural Resources in June, 2025, with an anticipated closing of no later than July 30, 2025. 20. Notices. Notices affecting this LOI or the subject transfers should be addressed to the following: DNR Receiving Agency State of Washington Grant County Department of Natural Resources Attn: Grant County Commissioner's Office Asset Management Division PO Box 37 Attn.: Tanner Williams 35 C Street NW, Ephrata, WA 98823 P.O. Box 47014 Phone: (509) 754-2011 ext. 2901 1111 Washington St. SE Email: commissioners@grantcountywa.gov Olympia, WA 98504-7014 Phone: (360) 584-6133 Email: tanner.williams(a�dnr.wa.gov 21. Acknowledgments. The acknowledgments below indicate that both parties are committed to proceed with the Trust Land Transfer as provided by legislation and conditions as set forth in this document. It is understood that the decision to proceed is based on current knowledge and that new information could change the desirability of the transfer for either party. This LOI is not intended to have a legally binding effect but is an expression of good faith intentions of both parties. Letter of Intent Page 3 of 10 Moses Lake Dunes TLT File No. 02-108408 Please return the signed original to the above address and an executed copy will be returned when signed by DNR. Signature is requested by August 11, 2025 to maintain the indicated schedule. Department of Natural Resources Signed: Printed: Title: Date: Grant County Signed: Printed: �.. Title: Date: ` ♦ ffie""W 0 u N _ TIMA// Grant County �� O,..VIC, v� Si ned.6G = � � s �•,. g mom ? CP .. Cn SEA Printed: = zN,t = a Title: �.,� �y'••••...•CO3...••••� �Vlozill, ;91A GTOIA §0�� Date: y �-- Grant County Signed: ; j Printed: ��� v �'� � ` Title: Comm L,5-510 !11 -e., V),-�ti Date:, Letter of Intent Page 4 of 10 Moses Lake Dunes TLT File No. 02-108408 EXHIBIT A LETTER OF INTENT MOSES LAKE DUNES TRUST LAND TRANSFER LEGISLATIVE APPROPRIATION AND LEAP DOCUMENT Sec. 3027. 2023 c 474 s 312unc fied) 'is amended to read as f ollows: FOR THE DEPARC` 14ENT OF NATURAL RESOURCES RevitaliZ4na Trust Land Transfers (40000152) The appropIr iat ions 'in this section are subject to the following conditions and limitations: bu ( , "e% (The)) 1_11'91,3251000 of th;,:-- ildin construn oun ctioacct J 11111-4o. - —state _appropriation and, $8 of) 000 of the natural climate splutionr:. account—tate aropriat 'ion i sppn th is sect ion are provided solely for pro approved by the legislature, as *Identified Iin LEAP capital document No. DNS- 1-20,23, developed April 10, 2023. �10,804 00 c-)f t*"= n-.:o.-.ural climate solutions account —state . ..... .. ...... . .. al2prop,r,lat -ion in this is _p,rovided sole. for nroiects app,rv-e_d tv ntified in LEAP capital document N N _7 4 develoDed Ma_,,z.,h 024. .............. T (a section takes ,:.-ffect January (b,) If the natural climate solutions account is re ealed a.- of December 3020,2,4, hen this section is null and void on December 20'?4. Appropriation: 44 44 r, 4:� Natural- Climate Solutions Account—State. . •0 0 V State Building Construction Account —State. $9f 3251 000 Subtotal Appropriation. :Z -A. I 1 %.0 1_2117-12, Prior Biennia (Expenditures). $0 Future Biennia (Projected Costs). �11*_& 516,1 000 TOTAL. NW 14 Or 450 0 Letter of Intent Page 5 of 10 Moses Lake Dunes TLT File No. 02-108408 2023-25 Capital Budget -- 2024 Supplemental Revitalizing Trust Land Transfers LEAP Capital Document No. DNR-1-2024 Developed March 2, 2024 (Dollars in Thousands) Project Blakely Island Ha ma Hamma Baids Lake Spokane Campground Middle Fork Snoqualmie Morning Star Moses Lake Dunes Rustlers Gulch Stavis Creek Trout Lake Total Amount Lep, District Funded 40 11450 35 466 7 2.1300 12 835 12 3,500 13 600 7 150 35 303 14 1,200 Letter of Intent Page 6 of 10 Moses Lake Dunes TLT File No. 02-108408 EXHIBIT B LETTER OF INTENT MOSES LADE DUNES TRUST LAND TRANSFER LEGAL DESCRIPTION All of Section 16, Township 18 North, Range 28 East, Willamette Meridan, Grant County, Washington Letter of Intent Page 7 of 10 Moses Lake Dunes TLT File No. 02-108408 EXHIBIT C LETTER OF INTENT MOSES LAKE DUNES TRUST LAND TRANSFER AFTER RECORDING RETURN TO: Department of Natural Resources Asset Management Division ATTN: Tanner Williams P.O. Box 47014 Olympia, WA 9 8 504-7014 QUITCLAIM DEED QUITCLAIM DEED Grant County Grantor: State of Washington, by and through the Department of Natural Resources Grantee: Grant County Abbrev. Legal Desc.: All of Section 16, Township 18 North, Range 28 East, W.M., Grant County, WA Tax Parcel #: 170100000 THE GRANTOR, STATE OF WASHINGTON, acting by and through the Department of Natural Resources, for and in consideration of the sum of Dollars ($ , which amount has been paid by state legislative appropriation pursuant to Section 3027, Chapter 375, Laws of 2024 hereby conveys and quitclaims to GRANT COUNTY GRANTEE, all interest in the real property situated in Grant County, Washington, and described in EXHIBIT A, attached hereto, which by this reference is made a part hereof. [DNR is working on the restrictive use language that will be applicable for this deed. While the final language is not known at this time, it may end up stating something similar to the following: This property shall be used exclusively for one or more of the following public purposes: fish and wildlife habitat, open space, or recreation.] The above -described lands are subject to that certain statutory reserved right as set forth in RCW 79.3 6.3 70 and to the following reservation: The Grantor hereby expressly saves, excepts, and reserves out of the grant hereby made, unto itself and its successors and assigns forever, all oils, gases, coal, ores, minerals, and fossils of every name, kind, or description, and which may be in or upon said lands above described, or any part thereof, and the right to explore the same for such oils, gases, coal, ores, minerals, and fossils; and it also hereby expressly saves and reserves out of the grant hereby made, unto itself and its successors and assigns forever, the right to enter by itself or its agents, attorneys, and servants upon said lands, or any part or parts thereof, at any and all times, for the purpose of Letter of Intent Page 8 of 10 Moses Lake Dunes TLT File No. 02-108408 opening, developing, and working mines thereon, and taking out and removing therefrom all such oils, gases, coal, ores, minerals, and fossils, and to that end it further expressly reserves out of the grant hereby made, unto itself, its successors and assigns, forever, the right by its or their agents, servants, and attorneys at any and all times to erect, construct, maintain, and use all such buildings, machinery, roads, and railroads, sink such shafts, remove such soil, and to remain on said lands or any part thereof for the business of mining and to occupy as much of said lands as may be necessary or convenient for the successful prosecution of such mining business, hereby expressly reserving to itself and its successors and assigns, as aforesaid, generally, all rights and powers in, to, and over said land, whether herein expressed or not, reasonably necessary or convenient to render beneficial and efficient the complete enjoyment of the property and the rights hereby expressly reserved. No rights shall be exercised under the foregoing reservation, by the state or its successors or assigns, until provision has been made by the state or its successors or assigns, to pay to the owner of the land upon which the rights reserved herein to the state or its successors or assigns, are sought to be exercised, full payment for all damages sustained by said owner, by reason of entering upon said land: PROVIDED, That if said owner from any cause whatever refuses or neglects to settle said damages, then the state or its successors or assigns, or any applicant for a lease or contract from the state for the purpose of prospecting for or mining valuable minerals, or option contract, or lease, for mining coal, or lease for extracting petroleum or natural gas, shall have the right to institute such legal proceedings in the superior court of the county wherein the land is situate, as may be necessary to determine the damages which said owner of said land may suffer. Grantee accepts the Property "AS IS, WHERE IS" with all faults. The Grantor disclaims any warranties, express or implied, including any warranty of merchantability or fitness. for a particular purpose about the Property, including but not limited to improvements located thereon, and no employee or agent of the Grantor is authorized otherwise. The foregoing specifically includes warranties with respect to the existence or nonexistence of any pollutants, contaminants, or hazardous waste or claims based thereon arising out of the actual or threatened discharge, disposal, seepage, migration, or escape of such substances at, from, or into the Property. Grantee hereby fully releases the Grantor from any and all liability to Grantee arising out of or related to the condition of the Property prior to, at, or after Grantee accepts title to the Property, including but not limited to the deposit or release of hazardous or toxic wastes or material and pollutants. This Deed is executed and delivered pursuant to RCW 79.02.270 at the request of the Commissioner of Public Lands with the approval of the Board of Natural Resources, State of Washington. WITNESS the Seal of the State of Washington, affixed this day of , 20 . GOVERNOR Letter of Intent Page 9 of 10 Moses Lake Dunes TLT File No. 02-108408 ATTEST: SECRETARY OF STATE Approved as to form this of Assistant Attorney General day , 20 . Deed No. State Record of Deeds, Volume , Page Transaction File No. 02-108408 *To include Acknowledgements and Exhibits Letter of Intent Page 10 of 10 Moses Lake Dunes TLT File No. 02-108408