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HomeMy WebLinkAboutCAG2020-135 - Other - Ronald L. & Elaine V. Wagers - Closing Documents - Signature Pointe Levee Improvements Project - 06/26/2020 Agreement Routing Form KEN T For Approvals,Signatures and Records Management WASHINGTON This form combines&replaces the Request for Mayor's Signature and Contract Cover Sheet forms. (Print on pink or cherry colored paper) Originator: Cheryl Rolcik-Wilcox Department. Public Works Date Sent. 6/25/20 Date Required: 6/26/20 R > Authorized Director or Designee Date of 0 6/4/19 to Sign: Council aMayor Approval: Budget 13-3003 Grant? Yes No Account Number. Type: N/A Vendor Name: Ronald L. and Elaine V. Wagers Category. Purchase/Sale c Vendor Sub-Category o Number. EProject Name: Signature Pointe Levee Project � 0 c Project Closing Documents - Acquisition of property for levee project to Details: c £ Agreement Basis for $1,219,940.96 ($1,214,000 Selection of y Amount: + closing costs) L Contractor: 171 a Start Date: Termination Date: Notice required prior to Yes No Contract Number: disclosure? Date Received by City Attorney: Comments: OK to sign,6/25/2020,TW. c o Inc N RE)CEIwED 41 t0 Date Routed to the Mayor's Office: in air Date Routed to the City Clerk's Office: City of Kent .� Office of the Mayor ac Date Sent to Originator. Visit Documents.KentWA.gov to obtain copies of all agreements adccW22373_6_19 PUBLIC WORKS ADMINISTRATION Chad Bieren, PE Deputy Public Works Director/ City Engineer 400 West Gowe Kent, WA 98032 Fax: 253-856 6500 KENT WAS M I NGTON PHONE: 253-8S6-5500 Memo To: Mayor Ralph From: Cheryl Rolcik-Wilcox, Property &Acquisition Analyst Date: June 25, 2020 Re: Wagers Property Acquisition - Closing Document Signatures Attached please find the closing documents for the Wagers property acquisition for the Signature Pointe Levee Project. There are several places in the documents that require your signature, so I have noted them below: • The Alta Settlement Statement requires your signature. • The document titled "DISCLOSURES TO THE PARTIES UNDER APR-12" requires your signature and date. • The page with 'SECTION 3: U.C.C. FORMS" at the top requires your initials where noted. • Page 5 of the document entitled "CLOSING AGREEMENT AND ESCROW INSTRUCTIONS" requires your signature. • Page 3 of the document entitled "Supplement to AGREEMENT AND ESCROW INSTRUCTIONS" requires your signature. • The document entitled "UTILITY DISBURSEMENT AGREEMENT" requires your signature on the first and second page . Please feel free to call me at 425-444-0190 or email me if you have any questions. Thank you! American Land Title Association ALTA Settlement Statement-Borrower Adopted 05-01-2015 File No./Escrow No.: 735727RT Jennie Graddon Officer/Escrow Officer 20435 72nd Ave.S.Jennie Graddon Bldg.3 Ste.155 - Kent,WA 98032 RAIN1ERTITI_E { (253)216-1024 { Property Address: 6804 S.251ST STREET KENT,WA 98032(KING) (543620-0844-09) Borrower CITY OF KENT,A WASHINGTON MUNICIPAL CORPORATION 220 Fourth Avenue South Kent,WA 98032 Seiler RONALD L.WAGERS AND ELAINE V.WAGERS PO Box 1994 Auburn,WA 98071 Settlement Date: 6/29/2020 Disbursement Date: 6/29/2020 Borrower P.O.C. D" Credit D tts,Credib,Debits ---— Sale Price of Pr $1,214,000.00 Deposit $500,000,00 Prorations County Taxes 6129/2020 to 7/1/2020 @$3,244.70/Six Months $35.66 Title Charges Title-Lender's Title Insurance to Rainier Title,LLC Title-Owners Title Insurance to Rainier Title,LLC $2,183.00 Title-Settlement or closing fee to Rainier Title,LLC-Kent $3,300,00 Title-Owner's Premium Tax to Rainier Title,LLC $218.30 Reconveyance Tracking Service Fee to Rainier Title,LLC-Kent $44.00 Go"ninwit Rwording and Charges Recording fees.Deed$150,00 $150.00 Slate Deed Taxt3lamps to Rainier Title,LLC Excise Technology Fee to Rainier Title,LLC $10.00 $10,00 P.O.C. Debit credk Subtotals $0.00 $1,219,940.96 $500,0W00 Due From Borrower $719,940.96 Totals $0.00 $1,219,940.96 $1,219,940.96 Acknowledgement We/I have carefully reviewed the ALTA Settlement Statement and find it to be a true and accurate statement of all receipts and disbursements made on my account or by me in this transaction and further certify that I have received a copy of the ALTA Settlement Statement.We/I authorize Jennie Graddon to cause the funds to be disbursed in accordance with this statement. BORROWER(S) Ci Washington municipal By� Dana RVph,Mayor SETTLEMENT COORDINATOR Jennie Graddon File#735727RT Page 1 of 1 Printed on 6/24/2020 at 1 30 PM Rainier Title, LLC-Kent 20435 72nd Ave. S., Bldg. 3 Ste 155 Kent,WA 98032 RAIN I E RTITL E ALTA ID#1083645(253)216-0240 (P) (425)329-2194(F) kentescrow@rainiertitle.com Date: 6/24/2020 KEYBANK WIRE TRANSFER INSTRUCTIONS If you are authorizing funds to be wired to escrow for closing, please direct the transfer as foll ws: Bank: KeyBank 1301 511 Avenue 241h Floor �� a Seattle, WA 98101 Account Name: Rainier Title, LLC Account Number: 479681268427 ABA/Bank Routing Number: 125000574 SWIFT code for international wires KEYBU533 f WIRE DETAILS MUST INCLUDE THE FOLLOWING REFERENCE INFORMATION OR BE SUBJECT TO REJECTION Our Escrow Number: 735727RT Transactee Name: City of Kent, a Washington municipal corporation Property Address: 6804 S. 251st Street, Kent, WA 98032 FUNDS MUST BE WIRED: ACH/Electronic Deposits are NOT accepted and will be rejected by our bank. These instructions are for the purpose of sending wire transfers only. Other forms of payment may cause a closing delay. **BE AWARE! Online banking.fraud is on the rise. If'you receive an email at7tending our wire transfer instruetions, please call our office inzmediatell to verif,the information prior to sending.funds. Our wire instructions rarell-chaitge so airy deviation should be considered suspicious.*" Rainier Title, LLC -Kent 20435 72nd Ave. S., Bldg 3 t 155 Kent.WA.� RAI N I E RTIT�E 032 ALTA ID#108364 5 (253)216-0240 (P)P) (425)329-2194(F) kentescrow@rainiertitle.com DISCLOSURES TO THE PARTIES UNDER APR-12 June 24, 2020 Re: Escrow Number: 735727RT Seller: Ronald L.Wagers and Elaine V.Wagers Purchaser: City of Kent,a Washington municipal corporation Property Address: 6804 S.251 st Street,Kent,WA 98032 THIS NOTICE IS GIVEN IN COMPLIANCE WITH LIMITED PRACTICE RULE FOR LIMITED PRACTICE OFFICERS,KNOWN AS ADMISSION TO PRACTICE RULE 12 OR APR 12 PROMULGATED BY ORDER OF THE SUPREME COURT OF THE STATE OF WASHINGTON In connection with the above transaction 1, Jennie Graddon, an employee of Rainier Title, LLC, a lay person and not an attorney or lawyer, am a Limited Practice Officer under APR 12 and licensed thereby to select, prepare and complete certain types of legal documents incident to the closing of certain real estate and personal property transactions. Pursuant to said APR 12, you are advised as follows: 1. Agreement of the Parties. I understand the written agreement delivered to Rainier Title, LLC for closing contains the basic terms and conditions of the transaction and all the parties to the transaction have agreed thereto in writing. 2. Disclosure of the Parties. The scope of the service I am authorized to render to the parties pursuant to APR 12 is limited to the selection, preparation and completion of documents in a form previously approved by the Limited Practice Board created by said APR 12 for use in closing a loan, extension of credit, sale or other transfer of real or personal property. The parties are further advised: a) I am not acting as the advocate or representative of either or any of the parties; b) The following documents will be selected, prepared or completed by me and will affect the legal rights of the parties: LPO approved forms as identified in the Purchase and Sale Agreement and/or Lender instructions. c) The parties'interest in the documents may differ; d) The parties have a right to be represented by lawyers of their own selection; and e) I cannot give any legal advice as to the manner in which the documents may affect the parties. 3. Advice to Consult Counsel. If any of the parties has any question whatsoever regarding such documents or instruments or what affect they may have upon his, her, their or its rights and interest such party should consult an attorney or lawyer of such party's choice, because neither I nor Rainier Title, LLC may lawfully advise any of the parties. r'1 Jennie Graddon, LPO#2514 1 have received and read a copy of the Disclosure, and understand its contents. Purchaser: City of Kent,a Washington icip rporation Date By: Dana Ralph, Mayor Seller: Ronald L. Wagers Date Elaine V.Wagers Date EXHIBIT "A" Escrow File No.: 735727RT Buyer(s): City of Kent, a Washington municipal corporation Seller(s): Ronald L. Wagers and Elaine V. Wagers LIMITED PRACTICE BOARD FORMS SECTION 1: MORTGAGE LENDING DOCUMENTS All documents approved and designed for use by the Secondary Mortgage Market, including Notes,. deeds of trust and riders. The Secondary Mortgage Market is defined as federally related institutions such as FNMA, FHLM, and GNMA except Regulation '2". SECTION 2: ESCROW DOCUMENTS LPB No. 10 Statutory Warranty Deed LPB No. 11 Statutory Warranty Deed (Fulfillment of REC) LPB No. 12 Quit Claim Deed LPB No. 13 Deed and Seller's Assignment of Contract LPB No. 14 Deed and Purchaser's Assignment of Contract LPB No. 15 Bargain and Sale Deed LPB No. 16 Special Warranty Deed LPB No. 20 Deed of Trust (Short Form) LPB No. 21 Assignment of Deed of Trust LPB No. 22 Deed of Trust LPB No. 22A Deed of Trust (with due on sale) LPB No. 23 Request for Full Reconveyance LPB No. 24 Request for Partial Reconveyance LPB No. 28A Promissory Note - LPB No. 29 Request for Notice LPB No. 30 Bill of Sale LPB No. 35 Subordination Agreement LPB No. 44 Real Estate Contract (Residential Short Form) LPB No. 45 Real Estate Contract (Long Form) LPB No, 50 Mortgage LPB No. 51 Satisfaction of Mortgage LPB No. 52 Partial Release of Mortgage LPB No. 60 Satisfaction of Lien LPB No. 61 Partial Release of Lien LPB No. 62 Satisfaction of Judgment LPB No. 63 Partial Release of Judgment LPB No. 64 Waiver of Lien LPB No. 65 Partial Waiver of Lien LPB No. 70 Special Power of Attorney (Sale) LPB No. 71 Special Power of Attorney (Purchase/Encumber) LPB No. 72 Use Tax Form LPB No. 73 Personal Property Security Agreement LPB No. 74-16Personal Representative Deed SECTION 3: U.C.C. FORMS All U.C.C. filing forms accepted by Washington State Department of Licensing SECTION 4: Excise Tax Affidavit Forms; Department of Licensing Forms; Auditor's Cover Sheet; Internally approved Security Agreement Forms SECTION 5: FARMERS HOME ADMINISTRATION FORMS All documents approved and designated for use by the United States Department of Agriculture Farmers Home Administration in connection with closing an FMHA loan on residential property. INITIALS; Rainier Title, LLC-Kent 20435 72nd Ave. S., Bldg. 3 Ste 155 Kent,WA 98032 RAI N I E RTITLE ALTA ID#1083645 (253)216-0240 (P) (425)329-2194(F) kentescrow@rainiertitle.com Escrow File No.: 735727RT Purchasers(s): City of Kent, a Washington municipal corporation Seller(s): Ronald L. Wagers and Elaine V. Wagers CLOSING AGREEMENT AND ESCROW INSTRUCTIONS For Purchase and Sale Transaction The undersigned buyer and seller (referred to herein as "the parties") hereby designate and appoint Rainier Title, LLC. (referred to herein as "the closing agent") to act as their closing and escrow agent according to the following agreements and instructions. IT IS AGREED, AND THE CLOSING AGENT IS INSTRUCTED, AS FOLLOWS: Terms of Sale. The terms and conditions of the transaction which is the subject of these instructions (referred to herein as "the transaction") are set forth in the parties' Purchase and Sale Agreement, Earnest Money Agreement, or other written agreement, and any attachments, amendments or addenda to that agreement(referred to herein as "the parties' agreement"), which is made a part of these instructions by this reference. If the Purchase and Sale Agreement provides that a commission is due at closing, the Company will require payment of the commission according to the broker's demand, which will be furnished at the closing agent's request. Any changes to the parties' agreement will be made a part of these instructions, without further reference; when signed by the parties and delivered to the closing agent. These instructions are not intended to amend, modify or supersede the terms and conditions of the parties' agreement and if there is any conflict or inconsistency between these instructions and the parties' agreement, the terms and conditions of the parties' agreement shall control. Description of Real Property. The real property which is the subject of the transaction (referred to herein as "the property") is identified in the parties' agreement. The documents required to close the transaction must contain the "legal description" of the property. If the parties' agreement does not yet contain the correct legal description, the parties or the real estate agent should obtain an addendum setting forth the legal description as soon as possible and deliver it to the closing agent. Closing Date. Unless otherwise described in the parties' agreement, the closing date shall be considered to be the date on which the legal documents are recorded and the funds are available for disbursement. Documents. The closing agent is instructed to select, prepare, complete, correct, receive, hold, record and deliver documents as necessary to close the transaction. The closing agent may request that certain documents be prepared or obtained by the parties or their attorneys, in which case the parties shall deliver the requested documents to the closing agent before the closing date. Execution of any document will be considered approval of its form and content by each parry signing such document. Deposits and Disbursements of Funds. Before the closing date, each party shall deposit with the closing agent all funds required to be paid by such party to close the transaction, less any earnest money previously deposited with the real estate agent. The closing agent is authorized, but not required, to consider a lending institution's written commitment to deposit funds as the equivalent of a deposit of such funds, if all conditions of the commitment will be met on or before the closing date. All funds deposited with the closing agent shall be deposited in an escrow trust account with a bank doing business in the State of Washington. The parties hereby acknowledge that except as provided by Supreme Court Admission to Practice Rule 12.1 and 12.1 (h) adopted in 1995, the money deposited with closing agent by them in connection with this escrow will be further deposited into a non-interest bearing account with a financial institution ("the funds depository") whose deposits are covered by FDIC insurance. The parties further acknowledge that in calculating the amount of available insurance, the FDIC will consolidate moneys deposited under Page 1 of 6 this escrow with all other funds of the undersigned which are on deposit with the funds depository. The parties do therefore release closing agent from any liability and assume all responsibility for any loss to themselves which may result from a lack of FDIC insurance in excess of $250,000.00. The parties acknowledge that the Closing Agent may receive incidental benefits from the financial institution based on the existence of its escrow trust account deposits. The closing agent shall not be required to disburse any funds deposited by check or draft until it has been advised by its bank that such check or draft has been honored. RCW 18.44.070 provides that an escrow agent shall not make disbursements until the next business day after the business day on which the funds are deposited unless the deposit is made in cash, by interbank electronic wire transfer, or in a form that permits conversion of the deposit to cash on the same day the deposit is made. All disbursements shall be made by the closing agent's check or, if the payee so instructs in writing, by electronic wire transfer. Funds will be disbursed as quickly as possible following closing. In many instances disbursement will occur on the next business day. International wire transfers may not be disbursed until the second business day following closing. Escrow will determine the most expedient and secure method to remit loan payoff funds. Due to growing concerns of wire fraud, payoff funds may be remitted by overnighting a check rather than via wire transfer. Accounts may not show paid in full until a few days after closing. Rainier Title will not be responsible for accrual of interest, late fees, or other charges for which you are responsible in the interim. Settlement Statement. The closing agent is instructed to prepare a preliminary, estimated settlement statement showing all funds deposited for the account of each of the parties and the proposed disbursements from such funds. No funds shall be disbursed until the parties have examined and approved the settlement statement. Some items may be estimated, and the final amount of each estimated item will be adjusted to the exact amount required to be paid at the time of disbursement. The settlement statement will be subject to audit and any errors or omissions may be corrected at any time. If any monetary error is found, the amount will be immediately paid by the party liable for such payment to the party entitled to receive it. Pro-rations. Adjustments or pro-rations of real estate taxes, and other charges if any, which appear on the Title Report, shall be made on the basis of a 365 day year, unless the closing agent is otherwise instructed in writing. Title Insurance. The closing agent shall order or obtain copies and forward to the parties as applicable, a Preliminary Commitment for the Title Insurance on the property (referred to herein as "the title report"), together with copies of the exceptions noted thereon. The parties shall be responsible to review these items for accuracy, a verification of the legal description, and to determine their acceptability for purposes of closing. Verification of Existing Encumbrances. The closing agent is permitted to request a written statement from the holder of each existing encumbrance on the property, verifying its status, terms, balance owing and, if it will not be removed at closing, the requirements that must be met to obtain a waiver of any due-on-sale provision. The closing agent is authorized to rely upon such written statements in the performance of its duties, without liability or responsibility for their accuracy or completeness. The Closing Agent may further rely upon any verbal update to a written payoff statement provided by an existing lender and the borrower agrees to indemnify Closing Agent for payoff amounts which may be regarded as incomplete or inaccurate by the lender upon receipt. Disclosure of Information to Third Parties. The closing agent is authorized to furnish, upon request, copies of any closing documents, agreements or instructions concerning the transaction to the parties' designated attorneys, and to their real estate agent, the designated lender, loan broker and title insurance company involved in the transaction. Records Retention. Unless otherwise prescribed by law, the closing agent may destroy after six (6) years from the closing date hereof, these and records, agreements and instruments relating to the closing of this transaction, including all documentation and accounting information, excluding however, any and all loan documents. Closing Agent's Fees and Expenses. The closing agent's fee is intended as compensation for the usual closing services as set forth in these instructions. If additional services are requested or required to comply with any change or addition to the parties' agreement or these instructions, or as a Page 2 of 6 result of any party's assignment of interest or delay in performance, the parties agree to pay a reasonable additional fee for such services. The parties shall also reimburse the closing agent for any out-of-pocket costs and expenses incurred by it under these instructions, including but not limited to excessive fax costs, electronic wire transfer costs and courier fees. Cancellation. These instructions may be canceled by a written agreement, signed by all of the parties, and payment of the closing agent's fees, costs and expenses. Upon receipt of such agreement and payment, the closing agent shall return any money or documents then held by it to the parties that deposited the same, and shall have no further duties or responsibilities under these instructions. Inability to Comply With Instructions. If the closing agent receives conflicting instructions or determines, for any reason, that it cannot comply with these instructions by the date for closing specified in the parties' agreement or in any written extension of that date, it shall notify the parties, request further instructions, and in its discretion: (1) continue to perform its duties and close the transaction as soon as possible after receiving further instructions, or (2) if no conflicting instructions have been received, return any money or documents then held by it to the parties that deposited the same, less any fees and expenses chargeable to such party, or (3) commence a court action, deposit the money and documents held by it into the registry of the court, and ask the court to determine the rights of the parties. When the money and documents have been returned to the parties or deposited into the registry of the court, the closing agent shall have no further duties or responsibilities under these instructions. Disputes. Should any dispute arise between the parties, or any of them, and/or any other party, concerning the property or funds involved in the transaction, the closing agent may, at its sole discretion, hold all documents and funds in their existing status pending resolution of the dispute, or join or commence a court action, deposit the money and documents held by it with the court, and ask the court to determine the rights of the parties. Upon depositing said funds and documents with the court, the closing agent shall have no further duties or responsibilities under these instructions. The parties jointly and severally agree to pay the closing agent's costs, expenses and reasonable attorney's fees incurred in any lawsuit arising out of or in connection with the transaction or these instructions, whether such lawsuit is instituted by the closing agent, the parties, or any other person. Notices. Any notice, declaration or request made under these instructions shall be in writing, signed by the party giving such notice or making such declaration or request, and personally delivered or mailed to the closing agent and other parties. Amendments. Any amendment, addition or supplement to these instructions must be in writing, signed by the appropriate parties and delivered to the closing agent. Counterparts. These instructions may be executed in one or more counterparts with like effect as if all signatures appeared on one copy. MATTERS TO BE COMPLETED BY THE BUYER AND SELLER IMPORTANT-READ CAREFULLY The following items must be completed by the parties, outside of escrow, and are not part of the closing agents'duties under these instructions. Inspection and Approval of the Property. Any required inspections or approvals of the property or of improvements, additions or repairs to the property will be arranged and completed by the parties, outside of escrow. The closing agent shall have no liability with respect to the physical condition of the property, or any buildings, improvements, plumbing, heating, cooling, electrical, septic or other systems on the property, and no responsibility to inspect the property, or to otherwise determine its physical condition, or to determine whether any required improvements, additions or repairs have been satisfactorily completed. Undisclosed Sewer Charges. Buyer and seller acknowledge that the subject property may be located within one of those participating cities or sewer districts which have entered into a special contractual relationship with the Metro Council which may allow Metro to levy a fee or charge an additional service fee. Buyer and Seller agree that any adjustment shall be handled outside of closing and Escrow Closer shall be held harmless with respect to any such "capacity charge". Real Estate Disclosure. A Residential Real Estate Sales Disclosure may be required to be furnished by the seller to the buyer before the closing of the sale of subject property in accordance with Title 64 RCW, enacted 1994 and as amended. Escrow Closer has not advised either party as to the scope of such disclosure or the parties' rights or duties thereunder, but has advised both parties to review Page 3 of 6 these matters with their real estate agent or an attorney of their choice. Escrow Closer is hereby assured by the buyer that any disclosure required, including any disclosure relative to Farm and Timber, Asbestos or Lead Base Paint, has been received and the appropriate time has expired and Escrow Closer has no duty to independently confirm such receipt and time expiration by buyer. Personal Property. Any required inspections, approvals or transfers of possession of any owned or leased fixtures, equipment or other items of personal property included in the transaction, and payment of any personal property, sales or use taxes, will be completed by the parties outside of escrow. Unless otherwise instructed in writing, the closing agent shall have no responsibility with respect to such personal property and shall not be required to determine the status or condition of the title to, encumbrances upon, ownership, or physical condition of such personal property, nor to calculate, pro-rate, collect, prepare returns for or pay any personal property tax, sales tax or use tax arising from the transaction. Utilities. If the Purchase and Sale Agreement lists the names and addresses of public utilities which could claim a lien, the Closing Agent shall request statements for payment of final or estimated billings and is instructed to pay the amounts demanded by such designated public utilities. In the event such designated public utilities do not provide the payment information within the time allowances prescribed by law, Closing Agent shall have no further responsibility to the parties for the payment of said utilities, and shall not be required to pay them, and seller agrees to discharge said utilities outside of escrow. All other orders, cancellations, transfers, payments and adjustment of accounts for installation or service of water, sewer, garbage collection, electricity, gas, fuel oil, telephone, television cable and any other utilities for public services, including installation fees, will be completed by the parties outside of escrow. Unless specifically instructed in writing by one or more parties in accordance with State of Washington RCW 60.80, all orders, cancellations, transfers, payments and adjustments of accounts for water, sewer, garbage collection, electricity, gas, FUEL OIL, telephone, television cable and any other utilities or public services will be completed by the parties outside of escrow. Unless otherwise instructed, the closing agent shall have no responsibility to determine, collect, pay, pro-rate or adjust charges for installation or service for any utilities or public services, except to pro- rate existing recurrent assessments for public improvements if any, which may appear on the title report. Fire or Casualty Insurance. If a new policy of fire, hazard or casualty insurance on the property is necessary to close the transaction, the buyer will arrange for the policy to be issued, and will provide evidence of the required insurance coverage to the closing agent before the closing date, together with a paid premium receipt or an authorization to pay the premium through escrow. Possession of the Property. The transfer of possession of the property shall be arranged between the parties, or through their respective real estate agents, outside of escrow, and shall not be the responsibility of the closing agent. Collection Account. If any financing for the transaction will be provided by a private party, the parties are advised to open a collection account at a financial institution to receive and disburse payments to be made under the private promissory note or contract. The collection account shall be established by the parties outside of escrow and shall not be the responsibility of the closing agent. 1099-S Reporting of Sellers Proceeds. In compliance with the Tax Reform Act of 1986, Internal Revenue Code Sections 6045(e), 6676, 6722, 6723, and 7203 and as further amended, seller shall provide all information necessary, including Seller's Taxpayer Identification Number (TIN), for the preparation of a Form 1099-S as required by the Internal Revenue Service in connection with the closing and completion of the transaction. Closing agent reserves the right not to close the escrow if adequate information to complete Form 1099-S is not provided by the seller. Foreign Investment in Real Property Tax Act. If any seller is, or may be, a non-resident alien or a foreign corporation, partnership, trust or estate for the purposes of United States income taxation, the parties are advised to consult with their attorneys before the closing date to determine their responsibilities and liabilities, if any, under the Foreign Investment in Real Property Tax Act (Section 1445 et seq. of the Internal Revenue Code). The closing agent is not required to verify the nationality or foreign status of any of the sellers, or to withhold, report or pay any amounts due under such act, unless directed by the parties in writing. However, the closing agent may request additional information or documentation concerning sellers' foreign status, and the parties agree to cooperate by providing such information and documentation. Approvals and Permits. The parties are advised to consult with their attorneys to determine whether any building, zoning, subdivision, septic system, or other construction or land use permits or approvals will be required, either before or after the closing date. The closing agent shall have no Page 4 of 6 responsibility with respect to any such permit or approval, and shall have no liability arising from the failure of any party to obtain, or from the refusal of any governmental authority to grant, any such permit or approval. Condominiums and Common Interest Communities: A seller may be required to deliver a resale certificate or public offering statement to the buyer of a condominium unit prior to closing in accordance with RCW Chapter 64.34, known as the Condominium Act. A seller may be required to deliver a public offering statement or resale certificate to the buyer of property within certain common interest communities prior to closing in accordance with Senate Bill 6175. known as the Washington Uniform Common Interest Ownership Act. Closing Agent cannot advise either party as to the scope of such requirements or the parties' rights or duties thereunder, but hereby advises both parties to review these matters with an attorney of their choice. Closing Agent has no duty to independently confirm such requirements, if applicable, will be or has been met prior to closing. Compliance with Certain Laws. The parties are advised to consult with their attorneys to determine their rights and responsibilities, if any, under the Consumer Protection Act, Truth-in-Lending Act or other similar laws. The Closing Agent shall have no responsibility for the parties' compliance, nor any liability arising from the failure of any party to comply, with any such law. Additional Agreements, Instructions and Disclosures: Any additional instructions noted below or attached by addenda are hereby incorporated into these instructions and made a part hereof. Purchaser City of Kent, a Washington munici al corp ration By: Dana Ralph, Mayor Seller Ronald L. Wagers Elaine V. Wagers Accepted By: Jennie Graddon Rainier Title, LLC Page 5 of 6 PRIVACY POLICY We Are Committed to Safeguarding Customer Information In order to better serve your needs now and in the future, we may ask you to provide us with certain information. We understand that you may be concerned about what we will do with such information- particularly any personal or financial information. We agree that you have a right to know how we will utilize the personal information you provide to us. Therefore, we have adopted this Privacy Policy to govern the use and handling of your personal information. Applicability Depending upon which of our services you are utilizing, the types of nonpublic personal information that we may collect include: • Information we receive from you on applications, forms and in other communications to us, whether in writing, in person, by telephone or any other means; • Information about your transactions with us, our affiliated companies, or others, and • Information we receive from a consumer reporting agency. Use of Information We request information from you for your own legitimate business purposes and not for the benefit of any nonaffiliated party. Therefore, we will not release your information to nonaffiliated parties except: (1) as necessary for us to provide the product or services you have requested of us; or (2) as permitted by law. We may, however, store such information indefinitely, including the period after which any customer relationship has ceased. Such information may be used for any internal purpose, such as quality control efforts or customer analysis. We may also provide all of the types of nonpublic personal information listed above to one or more of our affiliated companies. Such affiliated companies include financial service providers, such as title insurers, property and casualty insurers, and trust and investment advisory companies, or companies involved in real estate services, such as appraisal companies, home warranty companies and escrow companies. Former Customers Even if you are no longer our customer, our Privacy Policy will continue to apply to you. Confidentiality and Security We will use our best efforts to ensure that no unauthorized parties have access to any of your information. We restrict access to nonpublic personal information about you to those individuals and entities who need to know that information to provide products or services to you. We will use our best efforts to train and oversee our employees and agents to ensure that your information will be handled responsibly and in accordance with this Privacy Policy. We currently maintain physical, electronic, and procedural safeguards that comply with federal regulations to guard your nonpublic personal information. Page 6 of 6 Rainier Title, LLC-Kent 20435 72nd Ave. S., Bldg. 3 Ste 155 Kent,WA 98032 RAI N i ERTITLE ALTA ID#1083645 (253)216-0240 (P) (425)329-2194(F) kentescrow@rainiertitle corn Escrow File No.: 735727RT Purchasers(s): City of Kent, a Washington municipal corporation Seller(s): Ronald L. Wagers and Elaine V. Wagers Supplement To AGREEMENT AND ESCROW INSTRUCTIONS For Purchase and Sale Transaction Including Instructions to Record Documents and Disburse Funds This supplement is part of the Closing Agreement and Escrow Instructions signed by the parties under the closing agent's escrow file number set forth above. Except as expressly modified. changed or amended by this supplement, all terms and conditions of the Closing Agreement and Escrow Instructions, and any previous supplements, additions or amendments thereto, shall remain in effect. THE SELLER HAS OR WILL DEPOSIT THE FOLLOWING DOCUMENTS WITH THE CLOSING AGENT UNDER THESE INSTRUCTIONS: X Warranty Deed X Real Estate Excise Affidavit THE BUYER HAS OR WILL DEPOSIT THE FOLLOWING DOCUMENTS WITH THE CLOSING AGENT UNDER THESE INSTRUCTIONS: X Real Estate Excise Tax Affidavit X Sufficient Funds to Close i J BY SIGNING THIS DOCUMENT, EACH PARTY ACKNOWLEDGES: Conditions of Parties' Agreement Satisfied. All terms and conditions of the parties' Purchase and Sale Agreement have been met to my satisfaction, or will be met, satisfied or complied with outside of escrow, and closing agent shall not be further concerned. Title Report Approved. The Preliminary Commitment for Title Insurance, including the legal description of the property and all attachments and supplements to that report, issued by Rainier Title, LLC under order number 735727RT are approved by me and made a part of these instructions by this reference. Settlement Statement Approved. The preliminary, estimated settlement statement prepared by the closing agent is approved by me, made a part of these instructions by this reference, and I agree to pay my costs, expenses and other obligations itemized on that statement. I understand that any estimated amounts will be adjusted to reflect the exact amounts required when the funds are disbursed, that the settlement statement continues to be subject to audit at any time, and if any monetary error is found. the amount will be paid by the party liable for such payment to the party entitled to receive it. BY SIGNING THIS DOCUMENT, THE BUYER FURTHER ACKNOWLEDGES: Page 1 of 3 Property Approved. I have had adequate opportunity to review the seller's written disclosure statement, if any, and to inspect the property and to determine the exact location of its boundaries. The location and physical condition of the property and any buildings, improvements, plumbing, heating, cooling, electrical or septic systems on the property are approved. I understand that all inspections and approvals of the location and physical condition of the property are my sole responsibility, and are not part of the closing agent's duties and responsibilities. I hereby release and agree to hold the closing agent harmless from any and all claims of liability for loss or damage arising or resulting from any physical condition or defect on the property, or from the location of its boundaries. Assumed Encumbrances Approved. I have had adequate opportunity to review the terms of payment, interest rates and conditions of any existing notes, deeds of trust, mortgages, contracts, assessments, or other debts or obligations that I will assume and agree to pay in this transaction, and hereby approve the same. THE CLOSING AGENT IS INSTRUCTED TO PROCEED AS FOLLOWS: Instructions to Close. The closing agent is instructed to perform its customary closing duties under these instructions, to deliver and record documents according to these instructions, and to disburse the funds according to the settlement statement, adjusting estimated amounts, when the closing agent has the documents required to close the transaction in its possession and has, or will obtain when the documents have been delivered and recorded: 1. Sale proceeds for the seller's account in the sum of $1,214,000.00, to be disbursed according to the settlement statement. 2. Loan proceeds for the buyer's account in the sum of, to be disbursed according to the settlement statement. 3. A policy of title insurance issued pursuant to the Preliminary Commitment for Title Insurance referred to above, insuring the buyer with ALTA Standard Coverage Owner's Policy(06/2006)coverage with liability of not less than $1,214,000,00, having the usual clauses, provisions and stipulations customarily contained in the printed provisions and schedules of such policy forms, insuring the buyer's title to the property against all defects or encumbrances except those set forth in the printed exceptions and exclusions customarily contained in the printed provisions and schedules of such policy forms, matters attaching by, through or under the buyer, taxes not yet due, and the matters set forth in the following numbered paragraphs of Schedule B of the Preliminary Commitment for Title Insurance: 2nd 1/2 2020 Taxes, 8-15 4. Such other policies of title insurance as may be required by any lenders that are providing financing for the transaction, in accordance with instructions from them. Completion or Correction of Documents. The closing agent is permitted to correct any obvious or typographical errors found in any document deposited under these instructions, and to insert as necessary the closing date, the date on which interest begins to accrue, and the dates on which payments must be made, if such items are incomplete. If necessary, the closing agent is authorized to substitute the vesting page of the executed conveyance deed to amend grantee's (buyer's) names and/or vesting in the event the buyer or their lender uses a different variation for final closing. Adjustments and Pro-rations. The closing agent is instructed to adjust and pro-rate as of the closing date, real estate taxes for the current year, recurrent assessments if any. E-mail Transmission. Escrow Agent will communicate to the parties using e-mail if that address is provided by the parties on these instructions or on the P&SA given to the Escrow Agent, or if the parties communicate directly with the Escrow Agent using e-mail. Email transmission of any signed original document and retransmission of any signed email transmission, shall be the same as delivery of an original. Disbursement of Funds. Funds will be disbursed as quickly as possible following closing. In many instances disbursement will occur on the next business day. International wire transfers may not be disbursed until the second business day following closing. Escrow will determine the most expedient and secure method to remit loan payoff funds. Due to growing concerns of wire fraud, payoff funds may be remitted by overnighting a check rather than via wire transfer. Accounts may not show paid in full until a few days after closing. Rainier Title will not be responsible for accrual of interest, late fees, or other charges for which you are responsible in the interim. Page 2 of 3 BY SIGNING THIS DOCUMENT, EACH PARTY ACKNOWLEDGES: Standard of Care. It is agreed that closing agent, as escrow holder, shall be responsible only for the exercise of ordinary care in following the instructions contained herein and is hereby released from any further or additional liability. Seller agrees jointly and severally with buyer to indemnify and hold closing agent harmless from and against any loss or damage that may result from closing agent completing this transaction in accordance with these instructions, and to pay on demand all costs, damages, judgments, attorneys' fees, expenses, obligations and liabilities of every kind and nature suffered or incurred in connection with or arising out of this escrow except any liability founded upon failure to exercise ordinary care in following the instructions contained herein. Advice to Consult Counsel. It is understood by the parties signing these escrow instructions or those instructions, which are attached or subsequent, hereto that such instructions constitute the whole agreement between closing agent and you as principal to the escrow transaction. These instructions may not include all the terms of the agreement, which is the subject of this escrow. Read these instructions carefully and do not sign unless they are acceptable to you. Review all questions of a legal nature with your own attorney. Condominiums and Common Interest Communities: A seller may be required to deliver a resale certificate or public offering statement to the buyer of a condominium unit prior to closing in accordance with RCW Chapter 64.34, known as the Condominium Act. A seller may be required to deliver a public offering statement or resale certificate to the buyer of property within certain common interest communities prior to closing in accordance with Senate Bill 6175, known as the Washington Uniform Common Interest Ownership Act. Closing Agent has not advised either party as to the scope of such requirements or the parties' rights or duties thereunder, but has advised both parties to review these matters with an attorney of their choice. Closing Agent is hereby assured by the buyer that any public offering statement or resale certificate required has been received and the appropriate time has expired and Closing Agent has no duty to independently confirm such receipt and time expiration. By our signature below we hereby designate Rainier Title to be the closing agent Purchaser/Borrower: City of Kent, a Washington municip I corpor ion By: Dana Fralph, Mayor Seller Ronald L. Wagers Elaine V. Wagers Page 3 of 3 Rainier Title,LLC-Kent 20435 72nd Ave.S.,Bldg.3 Ste 155 �--w— Kent.WA 98032 RAI N I ERTITLE ALTA ID#1083645 (253)216-0240 (P) (425)329-2194(F) kentescrow@rainiertrtle.corn UTILITY DISBURSEMENT AGREEMENT THIS AGREEMENT is made between Ronald L.Wagers and Elaine V Wagers,(Seller),City of Kent,a Washington municipal corporation,(Buyer)and Rainier Title(Closing Agent)concerning Escrow File Number 735727RT.related to the following street address:6804 S.251 st Street,Kent,WA 98032. WHEREAS,Washington law requires Escrow Agent to pay certain utilities that can become a lien through the date of closing if the Buyer requests. If Buyer does not waive this requirement, the closing may not occur until Seller provides the required information and the designated utilities provide statements to Escrow Agent. NOW THEREFORE,for good and valuable consideration,receipt of which is hereby acknowledged,the parties hereto agree and instruct Closing Agent as follows: ® 1. If checked,the parties direct Closing Agent to disburse the closing funds necessary to pay utilities that have lien rights and that are designated by Seller a. Pursuant to statute, the Seller must provide the names,addresses and account numbers of all utilities that can become a lien upon the land if not paid. Closing Agent is not responsible to determine the appropriate utilities to be paid. Seller acknowledges that prior to closing.Seller has provided a list of utilities to be paid. b. The Closing Agent may pay either the final statement of the utility company or the estimate of the utility company that is binding to the utility with respect to its lien rights against the Buyer. Seller understands that payment of the utility company's estimated statement allows the utility company to require further funds from Seller if the final billing is higher,and the utility company is responsible to provide refund to the Seller directly if the final billing is lower. c. The Closing Agent may be required to withhold an estimated amount from funds due to the Seller in order to pay the designated utilities. That withhold,if needed.will be disclosed on the Seller's settlement statement. The funds shall be held in a non interest-bearing trust account until such time as the Closing Agent may determine and pay the amount claimed due and refund the balance to the Seller. If the withheld funds are insufficient,Seller agrees to deposit the additional amount within 7 days after notice. d. If Seller did not designate one or more utilities that have a lien right against the owner of the property, Seller remains liable to the Buyer to pay all utility charges due by the owner of the property through the date of closing of the sale and will hold Closing Agent harmless from responsibility for the payment or for administering any reimbursement due to Buyer. ❑ 2. If checked,the parties do not request Closing Agent to pay utilities. Buyer hereby waives the statutory duty of Closing Agent to pay Seller's utilities. a. Seller acknowledges the Seller's obligation at the time of sale to pay all utility charges that are due by the owner of the land through the date of the closing. Seller agrees to satisfy any such liens or charges outside of closing. b. Seller remains liable to the Buyer to pay all utility charges due by the owner of the property through the date of closing of the sale,and to promptly reimburse Buyer for any amount Buyer pays that became due before the closing. Both parties hold Closing Agent harmless from responsibility for reimbursement to the parties claimed to be due after the closing date. Buyer and Seller understand and agree that Escrow does not handle the transferring of utilities.It is the sole responsibility of the Buyer and Seller to ensure all utilities have been transferred at closing. t,a Washington muni i orati ate / Wald L.Wagers Date By: Dana Ralph, ayor Elaine V Wagers Date Buyer authorizes Closing Agent to provide the following forwarding information to utilities providers as requested 4253-856-5500 PublicWorks@KentWA.gov Phone Number Email Address Ifdifferentfrom ro rt add ss 220 4th Avenue S, Kent, WA 98032 ei Address City State Zip 1/ dk--, l� h �✓ uyer signature i Buyer signature Date Rainier Title, LLC-Kent 20435 72nd Ave. S., Bldg. 3 Ste 155 Kent.WA 98032 RAIN 1 E RTITLE ALTA ID#1083645 (253)216-0240 (P) (425)329-2194(F) kentescrow@rainiertitle.com QUALIFIED SUBSTITUTE STATEMENT(FIRPTA) June 1, 2016 City of Kent, a Washington municipal corporation 220 Fourth Avenue South Kent, WA 98032 Escrow Number: 735727RT RE_ 6804 S. 251st Street Purchase and Sale Agreement dated: 05.12.2020 Seller(s): Ronald L. Wagers and Elaine V. Wagers Buyer(s): City of Kent, a Washington municipal corporation To the above referenced Buyer(s): Rainier Title, LLC, a Washington limited liability company (RT), is Closing Agent for above referenced transaction. By this writing RT affirms under penalty of perjury that it has received and holds a fully completed FIRPTA Certificate from the Seller confirming that no individual making up the Seller is a foreign person and providing all the individual Sellers' names, addresses, and tax identification or social security numbers. Rainier Title, LLC By Its Authorized Representative