AG 23-016 - PLANT 2, LLCRETURN TO: PW ADMIN EXT: 2700 ID #: 4195
CITY OF FEDERAL WAY LAW DEPARTMENT ROUTING FORM
1. ORIGINATING DEPT/DIV: PUBLIC WORKS /
2. ORIGINATING STAFF PERSON: EJ Walsh EXT: 3. DATE REQ. BY:
.3. TYPE OF DOCUMENT (CHECK ONE):
p CONTRACTOR SELECTION DOCUMENT (E.G., RFB, RFP, RFQ)
❑ PUBLIC WORKS CONTRACT p SMALL OR LIMITED PUBLIC WORKS CONTRACT
❑ PROFESSIONAL SERVICE AGREEMENT ❑ MAINTENANCE AGREEMENT
p GOODS AND SERVICE AGREEMENT ❑ HUMAN SERVICES / CDBG
❑ REAL ESTATE DOCUMENT ❑ SECURITY DOCUMENT (E.G. BOND RELATED DOCUMENTS)
❑ ORDINANCE ❑ RESOLUTION
❑ CONTRACT AMENDMENT (AG#): p INTERLOCAL
a OTHER Settlement Agreement
4. PROJECTNAME: Settlement Agreement with Plant 2 LLC - Parcel No 2021049116
5. NAME OF CONTRACTOR: Plant 2 LLC'"
ADDRESS: TELEPHONE:
E-MAIL: FAX:
SIGNATURE NAME: TITLE:
6. EXHIBITS AND ATTACHMENTS: ❑ SCOPE, WORK OR SERVICES p COMPENSATION ❑ INSURANCE REQUIREMENTS/CERTIFICATE ❑ ALL OTHER
REFERENCED EXHIBITS ❑ PROOF OF AUTHORITY TO SIGN ❑ REQUIRED LICENSES ❑ PRIOR CONTRACT/AMENDMENTS
CFW LICENSE # BL, EXP. 12/31/ UBI # , EXP.�/ /
7. TERM: COMMENCEMENT DATE: 1 /1 0/23 COMPLETION DATE: n/a
8. TOTAL COMPENSATION: $ (INCLUDE EXPENSES AND SALES TAX, IF ANY
(IF CALCULATED ON HOURLY LABOR CHARGE - ATTACH SCHEDULES OF EMPLOYEES TITLES AND HOLIDAY RATES)
REIMBURSABLE EXPENSE: p YES 13 NO IF YES, MAXIMUM DOLLAR AMOUNT:
IS SALES TAX OWED: ❑ YES ❑ NO IF YES, $ PAID BY: ❑ CONTRACTOR ❑ CITY
RETAINAGE: RETAINAGE AMOUNT: ❑ RETAINAGE AGREEMENT (SEE CONTRACT) OR ❑ RETAINAGE BOND PROVIDED
O PURCHASING: PLEASE CHARGE TO:
9. DOCUMENT / CONTRACT REVIEW INITIAL / DATE REVIEWED INITIAL / DATE APPROVED
❑ PROJECT MANAGER
❑ DIVISION MANAGER
❑ DEPUTY DIRECTOR _
A DIRECTOR
❑ RISK MANAGEMENT (IF APPLICABLE)
8 LAW DEPT 1/11/2023
10. COUNCIL APPROVAL (IF APPLICABLE) SCHEDULED COMMITTEE DATE: COMMITTEE APPROVAL DATE:
SCHEDULED COUNCIL DATE: 10/18/22 COUNCIL APPROVAL DATE: 10/18/22
11. CONTRACT SIGNATURE ROUTING
❑ SENT TO VENDOR/CONTRACTOR DATE SENT: unknown DATE REC' D. unknown
❑ ATTACH: SIGNATURE AUTHORITY, INSURANCE CERTIFICATE, LICENSES, EXHIBITS
❑ CREATE ELECTRONIC REMINDER/NOTIFICATION FOR 1 MONTH PRIOR TO EXPIRATION DATE
(INCLUDE DEPT. SUPPORT STAFF IF NECESSARY AND FEEL FREE TO SET NOTIFICATION MORE THAN A MONTH IN ADVANCE IF COUNCIL APPROVAL IS NEEDED.)
INITIAL / DATE SIGNED
❑ FINANCE DEPARTMENT
❑ LAW DEPT
8 SIGNATORY (MAYOR OR DIRECTOR
A CITY CLERK Nwkfkry
❑ Assici ED AG 4 AG# -ca Cp
DATE SENT:
COMMENT[
EXECUTE" V ORIGINALS
I /2020
SETTLEMENT AGREEMENT
THIS SETTLEMENT AGREEMENT ("Agreement") is entered into on the date of the
final signature below, by the City of Federal Way, a Washington municipal corporation ("City"),
and Plant 2, LLC, ("Plant 2") (collectively, the "Parties").
I. RECITALS
A. Plant 2 is the owner of that certain real property in King County ("County"),
Washington, commonly known as 35053 16th Ave S 98003, County Parcel No. 2021049116
("Property").
B. On December 18, 2020, the City issued a Notice of Development Code and Water
Quality Violation ("NOV") to Plant 2 regarding unpermitted paving of the Property.
C. On December 29, 2020, Plant 2 appealed the NOV to the City Hearing Examiner.
D. On March 9, 2021, the Hearing Examiner granted the appeal in part ("HEX
Decision"), providing that Plant 2 could either (1) submit a corrective action plan to remove the
paving within 30 days of the HEX Decision, or (2) submit all required plans, applications, and
supporting documentation to undertake the corrective actions identified in the NOV within 30 days
of the HEX Decision.
E. On March 26, 2021, Plant 2 appealed the HEX Decision to Pierce County Superior
Court under the Land Use Petition Act, Chapter 36.70C RCW ("LUPA Appeal"). The LUPA
Appeal was subsequently stayed by stipulation, and is currently pending transfer to King County
Superior Court.
F. Because of the appeal and stay, Plant 2 did not timely comply with either of the
corrective actions provided in the HEX Decision. The City subsequently issued several notices of
accruing fines based on Plant 2's noncompliance with the terms of the HEX Decision.
G. On January 5, 2022, Plant 2 completed removal of the paving at issue in the NOV.
On January 12, 2022, City inspectors confirmed that Plant 2 had removed the paving, and that
there were no other known or pending enforcement actions relating to the Property.
H. As of January 4, 2022, the total amount of accrued fines based on Plant 2's
noncompliance with the terms of the HEX Decision was $134,600.00.
1. Without admission of fault, liability, or wrong -doing, and to avoid the time,
expense, and uncertainty of further litigation, the Parties wish to resolve the above -described issues
(the "Dispute") by this Agreement.
I1. AGREEMENT
In consideration of the promises and obligations set forth below, the sufficiency of which
is hereby acknowledged, the Parties agree as follows:
1. Incorporation. The Parties hereby incorporate by reference the above Recitals, as
though fully set forth herein.
2. Fine Payment. Plant 2 shall pay the City the amount of $67,300.00 within ninety
(90) days of execution of this Agreement.
3. Fine Reduction. Provided that Plant 2 fully complies with the fine payment
outlined in section II.2, the remaining accrued fine amount of $67,300.00 shall be forgiven and
reduced to $0.00.
4. Dismissal of LUPA Appeal. The Parties shall execute and file a stipulated motion
and order dismissing the LUPA Appeal with prejudice and without an award of costs or fees to
either party within twenty-one (21) days of execution of this Agreement.
5. Release. Except as to any assertion of breach of the terms of this Agreement, the
Parties mutually and completely release and forever discharge each other and their agents,
employees, owners, shareholders, principals, officers, directors, attorneys, insurers.. successors and
assigns, of and from any and all claims of any kind whatsoever which the Parties now have, or
may hereafter acquire, on account of, growing out of, or related to the Dispute, whether presently
known or unknown. The release in this Section shall be fully binding upon the Parties, their
assigns, and successors.
6. Entire Agreement and Successors in Interest. This Agreement contains the
entire agreement between the Parties with regard to the matters set forth herein and shall be binding
upon and inure to the benefit of the executors, administrators, personal representatives, heirs,
successors, and assigns of each. No promises of any kind have been made in connection with this
settlement, other than as stated in this Agreement.
7. Attorge s' Fees and Costs. Each Party shall each bear its own attorneys' fees and
costs related to the Dispute. In any legal action arising out of this Agreement, the prevailing party
Shall recover its reasonable attorney's fees and costs.
8. No Admission, It is understood and agreed by the Parties that this settlement is a
compromise of a dispute, and nothing set forth herein shall be construed as an admission of liability
on the part of either Party.
9. Warranty of Ownership of Claims. The Parties represent and warrant that no
other person or entity has, or has had, any interest in any claims, demands, obligations, or causes
of action referred to in this Agreement except as otherwise set forth in this Agreement. The Parties
represent and warrant that they have not sold, assigned, transferred, conveyed, or otherwise
disposed of any claims, demands, obligations, or causes of action referred to in this Agreement.
10. Understanding of Document. In entering into this Agreement, the Parties
represent that they have read the terms of this Agreement and have relied upon the legal advice of
their own attorneys. The Parties represent that the terms of this Agreement have been completely
explained to them by their attorneys and that the terms of this Agreement are fully understood and
voluntarily accepted. If the Parties entered into this Agreement without the aid of their own
attorney, they acknowledge that they were provided a full and fair opportunity to review the
Agreement with an attorney of their choice prior to executing the same.
11. Governing Law. This Agreement shall be construed and interpreted in accordance
with the laws of the State of Washington.
12. Execution of Agreement. This Agreement may be executed by facsimile or
e-mailed signature of the Parties on separate signature pages, each of which shall be deemed an
original for all purposes.
By: By::
Its: Its:
Date: I [ 7 Date
STATE OF WASHINGTON)
) ss.
COUNTY OFJ' I .r- r -L )
yor, . im Ferrell
On tl-ds day personally appcared before me ' L { I 1 to me knovai to be the
?c of Plant 2. LLC that executed the foregoing instrument; and
acknowledged the said instrument to be the free and voluntary act and deed of said limited liability
company, for the uses and purposes therein mentioned, and on oath stated that he/she was
authorized to execute said instrument. ,+,►+++++�+.,,,
• � *�� G�` FtOD Zr � r••'a
GIVEN my hand and official seal this day of s�4._r ton? ` , 2022.
Not
Not t " to of ❑Vashington.
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