HomeMy WebLinkAboutAgenda - 06-07-1993 - III-J 1
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ORANGE COUNTY
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BOARD OF COMMISSIONERS
Action Agenda
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ACTION AGENDA ITEM ABSTRACT
Meeting Date: June .7 , 1993 •
SUBJECT : TRANSFER OF SEWER EASEMENT FROM ORANGE COUNTY
TO MEBANE
DEPARTMENT :MET : ccountyy M na er PUBLIC HEARING YES : NO: X
county_Attorney ----
_AC=..E;�T (S) : INFORMATION CONTACT: Geoffrey Gledhill,
County of Orange v. Town of County Attorney
y g TELEPHONE NUMBER- 732-2196
Mebane Judgment Hillsborough - . 732-8181 Manager ' s
2/9/93 Letter - Gledhill to Chapel Hill - 968-4501 Office X2300
Devaud Mebane - 227-2031
2/10/93 Letter - Link to Wilson Durham - 688-7331
4/22/69 Deed of Easement from
--thG-BerneII-Company to Orange County
1993 Deed of Easement from Orange County .
to the City of Mebane
PURPOSE: To approve. the conveyance of a deed of easement from
Orange County to the City of Mebane.
BACKGROUND: As described in the attachments, Orange County
participated with the City of Mebane in a joint venture to
construct water and sewer lines in the western part of Orange
County. Orange County's part in the joint venture was limited
principally to acquiring title to necessary sewer easements and
using its general obligation bonds to, in - part, finance the
construction of the water and sewer system. The agreement between
Orange County and Mebane. and the, judgment of the court resolving.
the meaning of the agreement provides for the transfer of all
Orange County's interest in the water .and sewer system upon the
repayment by Mebane of 'the. bond obligation. As stated in the
February 10, 1993 letter -from John Link to Robert Wilson, Mebane
repaid the bond obligation on November 13, 1992 .
All that is left for Orange County to do is to document the
transfer of easements as requested from Mebane from time to time.
The easement which is enclosed relates to a particular tract of
land. As I understand it, the property owners whose property is
crossed by this easement have negotiated with. Mebane to move the
easement. Mebane has agreed. However, first the easement must be
conveyed from the .County to Mebane so that. Mebane can accomplish
the relocation. Everything is., in order for the transfer of this
easement from Orange County to the City of Mebane. •
RECOMMENDATION: The •' County Manager and the County Attorney
recommend that the Board authorize the County convey to cone the
easement in question to the City of Mebane and authorize the Chair
and the Clerk to the Board to execute the deed of easement which is
an attachment to this agenda abstract.
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NORTH CAROLINA HU
IN THE GENERAL COURT OF JUSTICE
ORANGE COUNTY I -'j '
SUPERIOR COURT DIVISION
;.7 cvs 8 08
County of Orange )
Petitioner ) I•. 4--C
v ) JUDGMENT
Town of Mebane )
Respondent )
This cause comes on to be heard by the undersigned
Judge of the Superior Court upon motion by both the petitioner
and the respondent for judgment on the pleadings.
This is an action brought pursuant to Section 1-253
et seq. of the General Statutes of North Carolina 'for the
interpretation of a contract between the parties, the same
being attached to the petition and marked Exhibit "A, " and
for an adjudication of the rights of the parties pursuant
thereto. The court finds that there is a genuine dispute
between the parties as to the matters set forth in the petition
and that this is a proper case for a declaratory judgment and
for consideration of the relief prayed for in the petition.
The court further finds that there are no material
facts in dispute between the petitioner and the respondent and
that all matters in contention between the parties as set
forth in the petition and the response are contentions as to
matters of law and not of fact, this being a proper case fpr
), ,/N final judgment by the court upon a consideration of the
ti pleadings and the arguments of counsel for the Farties based
thereon.
The court has considered the pleadings and has heard
arguments of counsel for the petitioner and the respondent,
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and finds and determines that the County of Orange has incurred a bond
indebtedness in excess of $400,000 in the construction of a water
and sewer facility in reliance upon the agreement attached to the
petition as Exhibit A.
The court further finds and determines that the Town has
benefited materially from the construction of said facility,
and is thereby indebted to the County in the amount of $400,000
plus interest at four per cent per annum based upon the County's
average bond interest rate, from and after June 1, 1967.
The court further finds and determines from the stipulations
of the parties through their counsel that the Town of Mebane does
not have sufficient funds to satisfy the said indebtedness
and that a bond issue would be necessary to raise funds sufficient
to satisfy said indebtedness in full, with a vote of the people
being required in order for the said bond issue to be consummated
and the funds made available.
The court further finds and concludes from the pleadings
and from the matters stipulated as to the bond interest rate
that the Town has made payment to the County on account of the
matters set forth in the complaint in the amount of $59,019.47,
and that there remains due on accrued interest as of the date
of this judgment the sum of $101,022.49 , with the principal
indebtedness of $400,000 remaining unpaid.
IT IS' iEREFORE ORDERED, ADJUDGED AND DECREED that the
petitioner, County of Orange have and recover of the respondent
Town of Mebane, the sum of Four Hundred Thousand Dollars ($400,000.00)
together with the sum of One Hundred One Thousand and Twenty-Two
and 49/100 Dollars ($101,022.49) interest having accrued thereon
and remaining unpaid, and that the same be payable as follows:
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One Hundred One Thousand and Twenty-two and 49/100
Dollars ($101,022.49) within 15 days of the date of this
judgment,as payment on unpaid accrued interest in full, with
the principal indebtedness of Four Hundred Thousand Dollars
$400,000 and interest at the rate of four per cent (4%) per
annum accruing from and after the 7th day of November 1977, to
be paid in sixty (60) equal quarterly installments to be
applied first to unpaid accrued interest and the balance to
reduction of principal, with each of said equal quarterly
installments to be in the sum of Eight Thousand Eight Hundred
Ninety-seven and 78/100 Dollars ($8,897.78) the first of
which quarterly installments shall be paid on the 7th day of
February, 1978, with subsequent installments to be paid on May
7, 1978, August 7, 1978, and November 7, 1978, and with
quarterly installments to continue to be made on the 7th day of
each succeeding February, May, August and November thereafter
to and including the 7th day of November, 1993, at which time
the entire principal indebtedness and all accrued interest
shall be due and payable in full, if not sooner paid.
IT IS FURTHER ORDERED, ADJUDGED AND DECREED that the
Town of Mebane shall be entitled to the possession of the
water and sewer improvements described and referred to in the
petition and shall be entitled to the rents and tap fees and
any other income therefrom so long as the Town of Mebane is in
compliance with the terms of this judgment, and that upon
final payment of all sums due hereunder title to the said
water and sewer lines and all improvements, both le al and
personal, and all rights of way acquired by Orange County
therefor shall become automatically vested by virtue of this
judgment in the Town of Mebane, provided however that the
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County of Orange shall at such time executed an appropriate
instrument of conveyance suitable for recording in the public
registry of Orange County for the purpose of further
evidencing and implementing this order as to the title to the
said water and sewer lines and as to any property rights
therein, whether real or personal, including all rights of way
and easements.
IT IS FURTHER ORDERED, ADJUDGED AND DECREED that
this judgment shall be a final adjudication of all rights of
the parties arising under the pleadings and any and all
legal issues pertaining thereto, including but not limited
to those issues and rights arising under and by virtue of the
agreement attached to the petition as Exhibit "A. "
The court finds that there was a genuine controversy
and dispute between the parties as to the matters set forth in
the pleading and that each party acted in good faith in causing
the same to be determined by litigation. Accordingly.,
it is ordered, adjudged and decreed that the costs of this
action be divided equally and be paid in equal portions
by the petitioner aid the respondent.
This the ) h day of November, 1977.
Henry ry A� 'Mckinnon, Jr.
Judge Presiding
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NORTH CAROLINA
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ORANGE COUNTY
THIS AGREEMENT, Made this the 29th day of September, 1966,
by and between The County of Orange, State of North Carolina, party of the
first part, hereinafter designated the County, and the City of Mebane, a
municipal corporation in Alamance County, North Carolina, party of the
second part, hereinafter designated the City,
WITNESSE TH:
That whereas, the County of Orange has engaged the firm of
Alley, Williams, Carmen & King, Inc. ,. Engineers and Architects, to make
a survey and prepare detailed plans in order to provide water and sanitary
sewer facilities to an industrial park area located in western Orange County
near the City, said survey and plans bear date of August 29, 1966; and
Whereas, representatives of the County and the City have had
several meetings to discuss the various problems connected with the furnis:_i,
of water and sanitary sewer treatment for the proposed industrial park area
as described in the detailed report above referred to; and
Whereas, both the County and the City are of the firm opinion
that the establishment of said industrial area will inure to the benefit of both
the County and the City:
NOW, THEREFORE, in order to carry out the above described
undertaking the County of Orange agrees as follows, to-wit:
1. To use its borrowing capabilities for the issuance of bonds
in an amount not exceeding $400, 000, the proceeds from said bonds to provide
for the laying of water pipes and sanitary sewer facilities to the area de-
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scribed as the industrial park area according to the report and plans as
prepared by the engineers, That the Board of Commissioners of Orange
County has already set in motion the necessary and required steps to have
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an election by the voters of Orange County on November 8, 1966, to express
their approval, or disapproval, of the issuance of the said. $400, 000 of bonds.
2. That the County obligates itself to make payments of the
principal and interest of said bonds until all of same are retired.
3. That as a part of the consideration of this agreement, the
City of Mebane, party of the second part, agrees to pay to Orange County
all of the income received from water and sewer users who may have tapped
on the line constructed by the party of the first part until such time as the
$400, 000 principal and the interest thereon has been paid in full. That upon
said payment in full to the party of the first part it is mutually understood
and agreed by the parties hereto that the water lines and sewage lines,
together with such equipment and additions as have been constructed, will
then be conveyed to the party of the second part, and the party of the first
part will thereafter have no interest or control in said water and sewer liras.
And to carry out said agreement, and as a part of the consideration
hereof, the party of the second part, to-wit, City of Mebane, agrees:
1. To furnish water and sanitary sewer treatment for the
industrial park area, and to maintain the water lines and the sewer lines in
perfect repair and condition.
2. To pay annually to the party of the first part, to-wit, Orange
County, all of the income received from water and sewer users who have
tapped and are served by the lines both water and sewer to be constructed
from the proceeds of the $400, 000 bond issue until the said amount of
$400,000 principal and the interest thereon which may accrue during the
lifetime of the bonds has been paid in full.
3. Further the Town of Mebane agrees to negotiate, if water
capacity is available, for extensions of present lines to additional interested
users of water and sanitary sewer services. It is understood and agreed that
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such extensions will be made of the same size pipe as the lines proposed
in the engineers' plans, and the cost thereof will be borne by the party of the
second part, with the full understanding and agreement that all revenue
received from such extensions will be and belong to the party of the second
part. It is clearly understood and agreed that this latter provision does not
apply to tap-ons on the lines as shown in the engineers' report referred to
in the first part of this agreement.
This agreement made and entered into as of the day and year
first above written is executed in duplicate with the clear understanding by
both parties hereto that if the proposed bond election on November 8, 1966,
should fail of passage, then this agreement will be null and void; and the
party of the first part has caused same to be executed by the Chairman of its
Board of County Commissioners, duly attested by its County Administrator
and its Clerk to the Board, with the seal of the County attached; and the
party of the second part has caused these presents to be signed in its
corporate name by its Mayor, duly attested by the City Clerk and the seal
duly attached.
ORANGE COUNTY
By, ' ,{1,
Attest: Chairman, Board of Com-
missioners of Orange County
V-•
ty A. - '•)sttrrato
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k to Board of C• 1 . .
missioners of Orange County
CITY OF MEBANE
Attes
Mayor
City Clerk �`
-3-
LAW OFFICES
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COLEMAN, GLFDHILL & HARGRAVE ALONZO BROWN COLEMAN.JR
GEOFFREY E.GLEDHILL
129 E.TRYON STREET
P.O.DRAWER 1529
DOUGLAS HARGRAVE
HILLSBOROUGH,NORTH CAROLINA 27278 KIM K.STEFFAN
(919)732-2196 JANET B.DUTTON
FAX(919)732.7997
February 9 , 1993
Mr. Oli Devaud
Orange County Economic Development
Post Office Box 8181
Hillsborough, North Carolina 27278
RE: Sanitary Sewer Facilities in Western Orange County
Dear Oli:
This letter confirms our various conversations about the
judgment in a declaratory judgment action titled County of Orange
v. Town of Mebane involving a sewer system located in the western
part of Orange County constructed and paid for by Orange County a
number of years ago . The judgment is , in my opinion, clear on
the question of ownership of the sewer system "upon final payment
[to Orange County] of all sums due" Orange County under the terms
of the judgment. The judgment states :
Title to the said water and sewer lines and all
improvements , both real and personal, and all rights of
acquired wa
g ired b Ora way
by Orange County therefore shall become
automatically vested by virtue of this judgment in the Town
of Mebane. . . .
The judgment goes on to say. that Orange County shall execute an
appropriate instrument of conveyance suitable for recording in
the Orange County Registry for the purpose of further evidencing
and implementing this order as to the title to the water and
sewer lines , including all rights of way and easements .
It seems to me that the proper way to resolve all of this is
for Orange County to certify to the Town of Mebane by letter from
the Finance Director or the County Manager that the debt dated by
the judgment has been paid and satisfied in full . I would like a
copy of that letter for my files when it is mailed or delivered
to the Town of Mebane. Thereafter, at Mebane 's request, Orange
County can execute for recordation purposes "an appropriate
pp priate !�
instrument of conveyance" of all property that is part of this
sewer system, including rights of way and easements, upon being
presented with the appropriate instrument or instruments of
conveyance by the Town of Mebane. Until such time as Mebane
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Mr. Oli Devaud
Page 2
February 9 , 1993
presents such instrument or instruments to Orange County, Mebane
will be the title owner of all of the property that is associated
with the sewer system upon its receipt of the letter from Orange
County certifying payment in full of the indebtedness .
Very t,ly yours ,
Ge• rey E . G edhill
GEG/lsg
Enclosure
xc : Bill Burgin
Kenneth T. Chavious
John M. Link, Jr.
Robert Wilson
ORANGE CUL'NTY 11
IIILLtiI;(11 Ort;1I
NORTII (':VWOI,INA
liawayer s ( •e m y c:rtaiamAzt/
/7S2
R tz c' u . , 3 1993
February 10 , 1993
Mr . Robert Wilson , City Manager
City of Mebane
106 E . Washington Street
Mebane , N .C . 27302
Dear Robert:
This letter serves as certification of the receipt of the
final payment from the City of Mebane on the judgement dated
November 8 , 1977 . The final principal and interest payment
of $8 , 809 . 62 was received by the County Finance Department on
November 13 , 1992 . The County hereby certifies that the
above mentioned judgement is now paid and satisfied in full .
Please call me if you have any questions .
Yours ly -
i
Joy/ Link
,' my Manager
xc :
Ken Chavious
Geoffrey E . Gledhill
Oli Devaud
AREA CODE (919) 732-8181 • 968-4501 • 688-7331 • 227-2031 • FAX (919) 644-3004 .
Ext. 2300
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• Propiped byt Grahsz is (Mesh:rep Attya.
NORTH CAROLINA
�+ ORANGE COUNTY
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i• '• THIS DECO, Made this the aZ.�.
.:i' r day of April, 1969, by and between
The Bernell Company, a corporation created and existing under and by
' ::T '. virtue of the laws of the State of North Carolina, with its principal office in
:
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by its Secretary, and sealed with its common corporate seal, on the day and • }. .
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year first above written.
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. TIE BERNELL COMPANY ii ..
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BY, ?KU.ty
/C. r4.44 c�.+ ,c
• '1'..f.. tte e ' President k
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• .SeerertarT
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NORTH CAROLINA
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GUILl'ORq COUNTY ; ';`.
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This� '+,44/day of April, 1969, personally came before me, • ;;;:',
.NI?N,N UAY,7`AL, , a Notary Public ,,S/ u , J� ";"
. who, being by no duly sworn, says that he knows the'cor11 non seal of •I a "ti;t.' -
Sesnell Company and is acquainted with AP1-yp", 1igJft-I'c , who r; =k
. is President of said corporation, and that ha, the said /1I/F•r,iYa4•., a;,/•PEli.d,�t+k7 R'.; •--
Secretary of the said corporation, w the said President in the foregoing , •fR ., t...
instrument, and that he, the said i/,,,: fl/ ��k ,. Secretary as ti; •':
• aforesaid, affixed said seal to said instrument, and that he, the said ;',t;. .- =r
•
5,E['4c',6'.14 C , signed his name In attestation 0 the execution
of said instrument irise presence of said President of said corporation.
Witness my hand and notarial seal, this ____ ' day of April, 1969. .`,:
'NOTARY PUBLIC . ,.m ' -
My Commission expires: <<.,.• /f/e' _.
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• the fcregoing certificate of
FINAL PLAT FOR a tary fttllic of the goverrrtental u
is (are) certified to tie oxrect file
THE BERNELL CO. INC. cn the day°f
at o'clock M and duly reco
CHEEKS TOWNSHIP , ORANGE COUNTY , NORTH CAROLINA office of the reccrctr of Qrarge Q7.I
DATE: G/26/92 SCALE: i”=100' BCCk , Page
0 SO BOSWELL SURVEYORS , INC. J. LEO BOSWELL L-3177 Reccz•
by malty
443 SOUTH SPRING STREET , BURLINGTON ,NORTH CAROLINA