HomeMy WebLinkAboutWPO201500024 Agreements 2016-10-31COUNTY OF ALBEMARLE
Facilities & Environmental Services
Project Management Division
401 McIntire Road, Room 420
Charlottesville, Virginia 22902-4596
Phone: (434) 872-4501 Fax (434) 293-0294
TRANSMITTAL
TO: Greyfields Nutrient Bank Date: November 21, 2016
c/o J. Kenneth Timmons, Jr., Trustee
3800 Patterson Avenue
Richmond, VA 23221
RE: Hydraulic Road Sidewalk - Purchase and Sale of Nonpoint Nutrient Offset Credits
The following items are being sent ® Attached ❑ Via Fax
❑Copy of Letter ❑ Specifications ❑ Shop Drawings
❑ Plans ❑ Contract ® Other Agreement & Check
❑ Plat ❑ Change Order
COPIES
DESCRIPTION
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Fully Executed Agreement for Purchase and Sale of Nonpoint Nutrient Offset Credits dated 10/31/16
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Albemarle County Check No. 200108126 dated 11/18/16 in the amount of $6,000
❑ For Approval ❑ Approved as Submitted ❑ Resubmit Original for Approval
❑ For Your Use ❑ Approved as Noted ❑ Submit Copies for Distribution
❑ As Requested ❑ Returned for Corrections ❑ Return Corrected Prints
❑ For Review and Comment ❑ For Bids Due
❑ Prints Returned after Loan to Us ® Payment for Purchase & Sale of Nutrient Credits
Remarks:
The attached check represents payment for the purchase and sale of nonpoinutrient offset credits as
detailed in the Agreement. (I n
Signed:
JghnlAndersdr��nior Project Manager
If enclosures are not as noted, kindly notify us at once
AGREEMENT FOR PURCHASE AND SALE OF
NONPOINT NUTRIENT OFFSET CREDITS
This .Agreement for the Purchase and Sale of Nonpoint. Nutrient Offset Credits (this .
"Agreement") is made this 31st day of October, 2016 (the "Effective *Date"), between J. Kenneth
Timmons, Jr., Trustee ("Seller") and Albemarle County, Virginia ("Purchaser'').
RECITALS
A. Seller is the owner and sponsor of an approved nonpoint nutrient offset generation bank.
entitled the Greyfields Nutrient Bank c/o J.K. Timmons, :Jr., Trustee, 3800 Patterson Avenue,
Richmond, VA 23221 (the `Bank.") consisting of 10.96 acres, more or less, located near the James
River in Powhatan County, Virginia. The Bank has been authorized by the Virginia Department
of Environmental Quality ("VDEQ") to generate and transfer nonpoint source offsets in
accordance with i) the Chesapeake Bay Watershed Nutrient Credit Exchange Program (VA Code
62.1-44,.19:14 et seq), ii) the Virginia stormwater offset program. (VA Code 10.1-601.:8:1), and iii.)
the Virginia Soil and Water Conservation Board's Guidance Document on Stormwater Nonpoint
Nutrient Offsets approved on July 23, 2009 to those regulated entities qualifying for nutrient
offsets. The Bank is approved to generate 60.06 pounds of nitrogen reduction and 13.37 pounds
of phosphorous reduction within the James River Watershed.. Operation, Management and
maintenance of the Bank .are subject :to the requirements of the Nonpoint Nutrient Offset
Generation Certification approved by the VDEQ on July 16, 2015 and to the statutes, .regulations
and policies cited therein.
B. Purchaser has applied for a permit from the VDEQ for approval of a site plan requirement
to control .44 pounds of phosphorous each year as part of the Hydraulic Road Sidewalk
Improvement project located at Albemarle County, Virginia within the JamesRiver Watershed.
Purchaser :proposes to offset :the annual nutrient: control requirement by purchasing Nutrient
Credits (the "Nutrient Credits") from Seller. The Annual .Nutrient Credits consist of .44 pounds
of phosphorus and 1,97 pounds of nitrogen credits.
AGREEMENT
NOW, THEREFORE, for and in consideration of the mutual premises and agreements
contained herein and for other good and valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, Seller and Purchaser agree as follows:
1. Recitals. The -foregoing Recitals are hereby incorporated into this Purchase Agreement as
a.matter of contract and not mere recital.
2. Sale and Purchase. Seller agrees to sell, and Purchaser agrees to purchase .44 Nutrient
Credits.from the Bank for the purchase price of Six Thousand and 00/100 Dollars ($6,000.00) (the
"Purchase Price") and in accordance with the terms and conditions set forth in this Agreement.
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3. Payment of Purchase Price. Purchaser shall pay the Purchase Price to Seller on or before
the date of Closing (as hereinafter defined) 'by either delivering a cashier's check made out to
Greyfields Nutrient Bank c/o J. Kenneth Timmons, Jr., Trustee or by making a wire transfer of
immediately available federal funds to an account at a financial institution designated in writing
by Seller. In the event of wired funds, Seller shall add $15.00 to the.Purchase Price to compensate
.Seller for Seller's bank wire charge.
4. Seller's Representation and Warranties. Seller hereby makes the following representations
and warranties:
a. Authorization. Execution and Delivery. This Agreement has been duly authorized,
executed and delivered by all necessary action on the part of Seller, constitutes the binding
agreement of Seller and is enforceable in accordance with its terms.
b. Compliance with Laws. Seller will comply .with all applicable laws and regulations
relating to. the sale of the Nutrient Credits; the. Bank., and the Nonpoint Nutrient Offset Generation
Certification.
C. Credit Availability. As of the date of Closing, Seller shall have.the Nutrient Credits
available for Purchaser.
5. Purchaser's Representations and Warranties. Purchaser hereby makes the following
representations and warranties..
a. Authorization Execution and Delivery. This Agreement has-been duly authorized,
executed and delivered by all necessary action on the part of Purchaser., constitutes the binding
agreement of Purchaser and is enforceable in accordance with its terms.
b. As Is Where Is. `Sale. Purchaser acknowledges and agrees that Purchaser is
purchasing the Nutrient Credit."AS IS, WHEREIS," at Closing. The Seller has. not made and does
not .make any representations or warranties, either expressed or implied, with respect to the
Nutrient Credits, other than as expressly set forth in Paragraph 4, and in entering into this
Agreement, Purchaser has not been induced by; and has not relied upon, any representations;,
warranties or statements, whether express or implied, made by the Seller or any agent, employee
or other representative of the Seller, which. are°not expressly set forth herein. This Paragraph shall
survive Closing and delivery of the Nutrient Credits.
6. Closing. Closing on the purchase and sale of the Nutrient Credits 'pursuant to this
Agreement ("Closing") shall be held at a location mutually agreeable to Purchaser and Seller, at a
time and date to be agreed upon by the Parties, but not later than 5:00 p.m. on October 31, 2016
unless Seller consents in writing to a later date, TIME BEING OF THE ESSENCE TO THIS
AGREEMENT.
T Seller's Deliveries.
a. At Closing; Seller shall deliver to Purchaser a signed Bill of Sale, Affidavit, and
DEQ Water Quality Enhancement Fee Form substantially in the form of Exhibits A, B, and C
attached hereto and incorporated herein by this reference, evidencing the sale to Purchaser of the
Nutrient Credits from the Bank.
b. Within thirty (30) days of the Closing, Seller shall deliver, or cause to be delivered,
to Purchaser a copy of Seller's Ledger entry, or other documentation, recording the sale of the
Nutrient Credits to Purchaser as provided herein and debiting the Nutrient Credits sold to
Purchaser against the outstanding Nutrient Credits in the Bank in accordance with the Nonpoint
Nutrient Offset Generation Certification.
8. Closing Costs. Seller shall pay thel cost of preparing the Bill of Sale, Affidavit, and DEQ.
Water Quality Enhancement Fee Form, any taxes and costs customarily paid by Sellers including
the DEQ.Enhancement Fee, and Seller's attomey's.fees. Purchaser shall pay any taxes customarily
paid by Purchaser, Purchaser's attorney's fees and all other, costs of Closing, if any.
9. Default.
a. By Purchaser.. If Purchaser defaults in performing any of Purchaser's obligations
under this Agreement, and if such default continues fora period of ten (10) days after Seller has
provided written notice to: Purchaser of such default, :Seller may terminate this Agreement by
providing written notice to Purchaser whereupon this Agreement shall terminate and Purchaser
and Seller shall have no further obligations hereunder. Seller agrees that it waives any and all
other rights and remedies against. Purchaser and all other .claims for damages against Purchaser
arising from Purchaser's default. under the terms of this. Agreement. Notwithstanding the above,
Seller retains Purchase Price in the event of default by Purchaser.
b. By Seller. If Seller defaults in performing any of Seller's obligations under this
Agreement, and if such default continues for a period of ten (10) days after Purchaser has provided.
written notice to Seller of such.default, Purchaser's sole remedy shall be either -to (i) terminate this
Agreement by providing written notice thereof to Seller and receive a refund of any amounts paid
to Seller., in which event neither party shall. -have any further rights or obligations. hereunder, except
as expressly provided herein, or (ii) seek specific performance of Seller's obligation to sell the
Nutrient Credits to Purchaser. Purchaser.hereby expressly waives any rightit may have to damages
(compensa.tory, consequential or otherwise), as well as any other remedies the Purchaser may have,
as aresult of -such default.
10. Effect orf Condemnation Regulatory Action or Force Maieure.
a. Condemnation. if the Bank property or any part thereof is taken prior to Closing
pursuant to eminent domain proceedings, or if such proceedings are commenced prior to Closing,
and as a result Seller determines that it will be unable to transfer the Nutrients Credits to Purchaser
at Closing as specified in this Agreement, then Seller may terminate this Agreement by providing
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written notice to Purchaser at any time prior to Closing, and neither party shall have any further
rights or obligations hereunder, except as expressly provided herein.
b. Regulatory Action.
i. If Seller is unable to: transfer the Nutrients Credits to.Purchaser as provided
in this Agreement because of the action or order of any municipality or regulatory agency,
regardless of whether or not Seller has contested or challenged such .action or order, Seller may
terminate this Agreement by providing written notice to Purchaser at any time prior to Closing,
and neither party shall have any further rights or obligations hereunder, except as expressly
provided herein,
ii.. If Purchaser is prevented by any municipality or regulatory agency from
acquiring the Nutrients Credits ;from Seller as provided in this Agreement, or if Purchaser's
nonpoint nutrient offset plan is not approved by any municipality or regulatory agency, Purchaser
may terminate this Agreement by providing written notice to Seller at any time prior to Closing,
and neither party shall have any further, rights or obligations hereunder, except as, expressly
provided herein.
C. Force Majeure. If Seller is unable to transfer the Nutrient Credits to Purchaser as
provided in this Agreement because of damage to or loss of the Bank property resulting from fire,
flood, storm, drought or other natural disaster, or from any other cause that is not the fault of ,Seller
and is beyond Seller's reasonable ability to prevent or control. Seller may terminate this
Agreement by providing written notice to Purchaser at anytime prior to Closing, and neither party
shall have any further rights or obligations hereunder, except as expressly provided herein.
11. Indemnification.
a. Seller's Indemnification. Seller shall be solely responsible for.compliance with the
Nonpoint Nutrient Offset Generation Certification and with all statutes, regulations and
requirements applicable to the operation, management and maintenance of the Bank, and for
ensuring.the payment of all taxes owned by the Bank or assessed against the Bank property ("Bank
Regulatory Requirements"). Seller shall indemnify, defend and hold harmless Purchaser and
Purchaser's authorized successors and assigns from and against any action, order, investigation or
proceeding initiated by any government :agency and arising from or based upon Seller's :failure to
comply with any Bank Regulatory Requirement. Seller's duty to indemnify Purchaser under this
.Paragraph 11 shall survive Closing.
b. Purchaser's Indemnification. To the extent permitted by law, purchaser shall
indemnify, defend and hold harmless Seller from and against any action, order, :investigation or
proceeding initiated by any government agency and arising from or based upon Purchaser's failure
to comply with any permit, authorization or condition thereof relating to Purchaser's mitigation
plan or the Credits. Purchaser's duty to indemnify Seller under this Paragraph 1.1. shall survive
Closing. In the event that this Agreement is terminated, Purchaser's duty to indemnify Seller under
this Paragraph 11 shall survive for twelve (12) months following the date of termination.
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12. Credit Not Real Estate. The sale and conveyance of the Nutrient Credits to Purchaser in
accordance with this .Agreement shall not constitute the conveyance or transfer of .any right,
interest or ownership in real property or in The Bank, nor shall such sale and conveyance impose
upon Purchaser any obligation, duty or liability arising from or incident to ownership of or interest
in real property. Purchaser shall have no right of access to Bank property.
1.3. Miscellaneous.
a. No Joint Venture. This Agreement is made.solely for the purposes set forth herein
and no joint venture,' partnership or other relationship between Purchaser and Seller is created
hereby.
b. No Third -Party Beneficiary. This Agreement: shall bind and inure to the benefit of
the Parties hereto and their respective successors and authorized assigns. This Agreement does
not create or convey any rights, benefits or interest on behalf of any other person.
C. Assignment. This Agreement :may be assigned prior to Closing only by written
agreement of both parties, and any assignee shall :assume the rights and obligations of its assignor..
d. Entire Agreement. 'This Agreement sets forth the entire agreement between the
parties with respect to the :subject matter hereof and supersedes all prior negotiations and
agreements, written or oral. Each provision .contained -in .this Agreement shall be severable from
all other provisions hereof and . the invalidity of any such provision shall not affect the
enforceability of the other provisions of this Agreement. This Agreement may be modified only
by a written instrument duly executed by both Seller and.Purchaser..
e. Choice of Laws. This Agreement shall be construed, performed and enforced under
the laws of the Commonwealth. of Virginia. Venue shall be the Circuit Court of Albermarle
County. Both parties waive their:right to trial by jury.
f. Counterparts. This Agreement may be:executed in one or more counterparts by the
.Parties. All counterparts shall collectively constitute a single agreement.
9. Notices. All notices shall be.in writing and sent by hand, facsimile transmission,
overnight delivery service or certified mail, return -receipt requested, to the following addresses:
If to Seller: J. Kenneth Timmons, Jr.
Wells Coleman & Co., LLP
380.0 Patterson Avenue
Richmond, VA 23221
Telephone:.(804) 358-1150
Facsimile:. (804) 3:58-7116
With Copy to: Hamill D. Jones, Jr., Esq.
FloranceGordonBrown, PC
1900 One James Center
901 E. Cary Street
Richmond, VA 23219
Telephone: (804) 697-5128
Facsimile: (804) 697x5159
If to Purchaser:
Notices shall be deemed received (i) if hand delivered, when received.; (ii) if given by facsimile,
when transmitted to the facsimile number specified above during normal business hours and
confirmation of complete receipt is received during normal business hours (provided,a copy of the
same is sent by overnight delivery service on the same day), (iii) if . given by overnight delivery
service, the first business day after being sent prepaid by such overnight delivery service, or (iv)
if given by certified mail, return.receipt requested, postage prepaid, two (2) days after posting with
the United States Postal Service. 'Either party may change its address by notifying the other party
in a manner described above.
14. Automatic Termination. This Agreement shall automatically terminate and become null
and void in the event is has not been executed on behalf of Purchaser and returned to the Seller,
no later than 5:00 p.m. local Richmond, Virginia time on November 30, 2016.
IN WITNESS whereof.,. Seller and Purchaser have caused this Agreement to be execute on their
behalf by their duly authorized representatives of the dates indicated. below.
SELLER:
J. KENNETH TIMMONS, JR., TRUSTEE
(SEAL)
PJ.Kenneth. Timmons, Jr., Trustee
PURCHASER:
ALBEMARLE COUNTY, VTRGINIA
By:--/,,�1 i�- (SEAL)
Name: -rk cn"'_.s C. r'.f Q
Title: e E er-,3*Yz
Approved asfo form:
t ,
i
o n tta ne
GREYFIELDS NUTRIENT BANK
3800 Patterson Avenue
Richmond, VA 23221
EXHIBIT A
BILL OF SALE
Nonpoint Nutrient Offset Credits
BILL OF SALE, made as of October 31, 2016 by Greyfields Nutrient Bank c/o James K.
Timmons, Jr. Trustee ("Seller"), to Albemarle County ("Purchaser").
WHEREAS, Seller and Purchaser have entered into that certain Agreement for Purchase
and Sale of Nonpoint Nutrient Credits, dated as of October 31, 2016 (the "Purchase Agreement",
the terms of which are incorporated herein by reference and made a part hereof), with respect to
the sale by Seller and purchase by Purchaser of Nonpoint Nutrient Credits held in Seller's
Nonpoint Nutrient Offset Bank in Powhatan County, Virginia (DEQ Certificate No James -013;
HUC # 02080205).
NOW THEREFORE, for and in consideration of the payment of the Purchase Price (as
defined in the Purchase Agreement) and other good and valuable consideration, the receipt and
sufficiency of which.are hereby acknowledged, Seller hereby sells, transfers,. assigns, conveys,
delivers. and sets over to Purchaser, its successors and assigns, 0.44 Nutrient Credits ("Credits")
as such are described in the Purchase Agreement.
TO HAVE AND TO HOLD all such Nutrient Credits hereby sold and transferred to
Purchaser and its successors and assigns forever.
IN WITNESS WHEREOF, Seller has caused this Bill of Sale to be executed by its duly
authorized representative as of the date first above written.
Greyfields Nutrient Bank
By:
James K. Timmons, Jr., Trustee
Authorized Nutrient Offset Broker
Project Name: Hydraulic Road Sidewalk Improvements
Applicant: Albemarle County
Phosphorous Offsets: 0.44 lb.
Associated Nitrogen Offsets: 1.97 lb
GREYFIELDS NUTRIENT BANK
3800 Patterson Avenue
Richmond, VA 23221
EXHIBIT B
AFFIDAVIT OF NUTRIENT OFFSET SALE
Greyfield Nutrient Bank, (the "Company"), hereby certifies the following:
1. Pursuant to that certain Acquisition and Sale Agreement dated October 31, 2016 (the
"Agreement"), between the Company (as Seller) and Albemarle County ("Acquirer"),
the Company, for the benefit of the Acquirer, agreed to sell 0.44 pounds of phosphorus
offsets and retire 1.97 pounds of nitrogen offsets to Acquirer;
2. The Company and the Acquirer, as of the date hereof, have closed the transaction
contemplated by the Agreement and the Company has sold to Acquirer phosphorus
offsets and retired 1.97 pounds of nitrogen (representing the ratio of nitrogen offsets to
the phosphorous offsets at the offset generating facility) offsets.
WITNESS the following signature:
Greyfields trient Ba k
B
James K. Timmons, Jr., Trustee
Date: October 31, 2016
Sworn to and subscribed before me this 31 day of October, 2016, by James K:
Timmons, Jr, Trustee, on behalf of Greyfields Nutrients Bank.
My commission expires:
) i—
Notary Pu lic
IV
` PMY K M
Acquirer: Albemarle County, VA
Name of Project: Hydraulic Road Sidewalk Improvements RFc ?0, -,?g
': Z
Phosphorus Offsets: 0.44 pounds ; MYooMMj�2j91 ; =
so
Nitrogen Offsets: 1.97 pounds :moo '•. 1�i��o 6ssl N: \� `
HUC: 02080205 ';�'••.,,,, ,.••'G���;
�' %�� rH of ��� ►►'�
EXHIBIT C
DEPARTMENT OF ENVIRONMENTAL QUALITY
WATER QUALITY ENHANCEMENT FEE FORM
Instructions:
Nonpoint nutrient offset brokers are required to pay a water quality enhancement fee equal to six percent
of the amount paid by the permittee for the nonpoint nutrient offsets.
With submittal of this payment, brokers should complete this form and submit it with their payment.
Payment should be in the form of check or money order payable to "Treasurer of Virginia" and should be
mailed to:
Department of Environmental Quality
Receipts Control
P.O. Box 1104
Richmond, Virginia 23218
You should retain a copy for your records. Please direct any questions regarding this form or fee
payment to andrew.hammond@dea.virginia.pov.
Offset Broker:
Name: James K. Timmons, Jr., Trustee for Greyfields Nutrient Bank FIN: 81-3287848
Mailing Address: 3800 Patterson Avenue
City: Richmond State: Virginia Zip:23221
Daytime Phone Number: 804-358-1150
Name and Location of Construction Activity:
Name: Hydraulic Road Sidewalk Improvements
Town, City, or County: Albemarle County, VA
VSMP Permit Number: applied for ?
Nutrient Bank:
Bank Name: Greyfields
Nutrient Bank
Total Phosphorus Purchased:
0.44 pounds
Amount of Fee Submitted
(6% of the amount paid for the nonpoint nutrient offsets): $360.00
FOR DEQ USE ONLY
Date: DC #:
(DEQ 199-210) (06/13)