4. Ordinance 1339 - Zone Change - Sneed - 2nd ReadingCity of Kalispell
Post Office Box 1997 • Kalispell, Montana 59903-1997 • Telephone (406) 758-7700 • FAX (406) 758-7758
REPORT TO: Honorable Mayor and City Council
FROM: Chris A. Kukulski, City Manager
SUBJECT: Ordinance 1339 - 2nd Reading
MEETING DATE: November 15, 1999
BACKGROUND: William and Rebecca Sneed have requested a zone change on approximately
1.64 acres on the southwest corner of 8th St. W. and 12th Ave. W. At the last meeting, Narda
Wilson indicated the property should have been zoned R-4 originally and Council passed
the ordinance on first reading. No changes have been made between first and second reading.
RECOMMENDATION: The City Council approve Ordinance 1339 on second reading
changing the property from RA-1 (Low Density Residential Apartment) to R-4 (Two -Family
Residential).
FISCAL EFFECTS: None.
ALTERNATIVES: As suggested by Council.
Respectively submitted,
Chris A. Kukulski
City Manager
Report compiled November 12, 1999
ORDINANCE NO. 1339
AN ORDINANCE TO AMEND SECTION 27.02.010, OFFICIAL ZONING MAP, CITY
OF KALISPELL ZONING ORDINANCE, (ORDINANCE NO. 1175), BY ZONING
CERTAIN REAL PROPERTY DESCRIBED ON EXHIBIT "A" (PREVIOUSLY ZONED
RA-1, LOW DENSITY RESIDENTIAL APARTMENT) TO R-4 (TWO FAMILY
RESIDENTIAL), IN ACCORDANCE WITH THE CITY -COUNTY MASTER PLAN, AND
TO PROVIDE AN EFFECTIVE DATE.
WHEREAS, William and Rebecca Sneed, the owners of property
described above, petitioned the City of Kalispell that the zoning
classification attached to the above described tract of land be
changed to R-4, Two Family Residential, and
WHEREAS, the property as described exists as property
surrounded to the North by Duplex dwellings, R-4 Zoning, to the
East by Senior apartment housing, RA-1 Zoning, to the South by
County R-1 Zoning (Single family homes), and to the West by County
R-1 Zoning (Single family homes), and
WHEREAS, the petition of William and Rebecca Sneed was the
subject of a report compiled by the Flathead Regional Development
Office, #KZC-99-5, dated October 4, 1999, in which the Flathead
Regional Development Office evaluated the petition and recommended
that the property as described on Exhibit "A" be zoned R-4, Two
Family Residential as requested by the petition, and
WHEREAS, the Kalispell City -County Planning Board and Zoning
Commission adopted the FRDO report and recommended the property as
described be zoned R-4, Two Family Residential, and
WHEREAS, after considering all the evidence submitted on the
proposal to zone the property as described R-4, Two Family
Residential, the City Council adopts, based upon the criterion set
forth in Section 76-3-608, M.C.A., and State, Etc. v. Board of
County Commissioners, Etc. 590 P2d 602, the findings of fact of
FRDO as set forth in Report No. KZC-99-5.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
KALISPELL AS FOLLOWS:
SECTION I. Section 27.02.010, of the Official Zoning Map
of the Kalispell Zoning Ordinance, (Ordinance #1175) is
hereby amended by designating the property described in
Exhibit "A" as R-4, Two Family Residential.
SECTION II. The balance of Section 27.02.010, Official
Zoning Map, City of Kalispell Zoning Ordinance not
amended hereby shall remain in full force and effect.
SECTION III. This Ordinance shall be effective thirty
(30) days from and after the date of its final passage
and approval by the Mayor.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF KALISPELL
AND SIGNED BY THE MAYOR THIS DAY OF NOVEMBER, 1999.
Wm. E. Boharski
Mayor
ATTEST:
Theresa White
City Clerk
Flathead Regional ]Development Office
723 5th Avenue East - Room 414
Kalispell, Montana 59901
Phone: (406) 758-5980
Fax: (406) 758-5781
REPORT TO: Kalispell Mayor and City Council
FROM: Narda Wilson, Senior Planner
Chris A. Kukulski, City Manager
SUBJECT Sneed Zone Change From RA-1 to R-4
MEETING DATE: November 1, 1999
BACKGROUND: This is a zone change request on approximately a 1.64 acre site
from an RA-1, Low Density Residential Apartment zoning district to R-4, a Two Family
Residential zoning district. The property proposed for rezoning is located on the
southwest corner of Eight Street West and 12th Avenue West in Kalispell. Currently
this property is zoned RA-1, a Low Density Residential Apartment zoning district
which allows duplexes and single family homes as permitted uses and low density
apartments as a conditional use. The minimum lot size requirement for this zoning
district is 6,000 square feet plus 3,000 square feet for each additional unit beyond a
duplex. The property owner is requesting that this property be rezoned from RA-1 to
R-4. The minimum lot size requirement for both zoning districts is 6,000 square feet.
However, the lot width is 60 feet in RA-1 and 50 feet in R-4. The property owner
would like to sell this property which would then be developed as a residential
subdivision intended primarily for single family dwellings. The reduced lot width
requirements allows more flexibility in subdivision design. There is good potential for
the subdivision of this property since there are existing City right-of-ways in the area
as well as access to water and sewer facilities. Currently this property is undeveloped
and lies on the western boundaries of the city limits.
RECOMMENDATION: A motion to adopt the ordinance on first reading granting
the zone change from RA-1 to R-4 would be in order.
FISCAL EFFECTS: None.
ALTERNATIVES: As suggested by the city council
Narda Wilson Chris A. Kukulski
Senior Planner City Manager
Report compiled: October 18, 1999
Attachments: Transmittal letter
FRDO Report KZC-99-5 w/application materials
Draft minutes of the 10/ 12/99 planning board meeting
Providing Community Planning Assistance To:
• Flathead County • City of Columbia Falls • City of Kalispell • City of Whitefish •
Flathead Regional Development Office
723 5th Avenue East - Room 414
Kalispell, Montana 59901
October 18, 1999
Chris Kukulski, City Manager
City of Kalispell
P.O. Box 1997
Kalispell, MT 59903
Phone: (406) 758-5980
Fax: (406) 758-5781
Re: Sneed Zone Change from RA-1 to R-4 in the Kalispell Zoning District
Dear Chris:
The Kalispell City -County Planning Board met on October 12, 1999, and held a public
hearing to consider a request by William and Rebecca Sneed for a zone change from RA-1,
Low Density Residential Apartment, to R-4, Two -Family Residential, on approximately
1.64 acres located on the southwest corner of Eighth Street West and 12th Avenue West in
Kalispell.
Narda Wilson, representing the Flathead Regional Development Office, presented a staff
report that evaluated the proposal in accordance with the required criteria. She noted
that this would allow subdivision of this property with 50 foot lots rather than 60 foot and
would not effect the overall density. Staff recommended approval of the requested zone
change.
At the public hearing Kris Jackola, representing the applicants, spoke in favor of the
petition stating that this zone change fits with the neighborhood and the owners' vision
for the property.
The planning board discussed the zoning in the area and zone change proposal. A motion
was made and seconded to adopt staff report KZC-99-5 as findings of fact and forward a
recommendation to approve the zone change from RA-1 to R-4. The motion passed by
unanimous vote.
Please place this matter on the agenda for the November 1, 1999 regular city council
meeting. Please contact this board or Narda Wilson at the Flathead Regional Development
Office if you have any questions regarding this matter.
Board
Providing Community Planning Assistance To:
• Flathead County • City of Columbia Falls • City of Kalispell • City of Whitefish •
Sneed Zone Change
October 18, 1999
Page 2
JJ/NW/tl
Attachments: FRDO Report #KZC-99-5 w/application materials
Draft minutes of 10/ 12/99 planning board meeting
c: w/Att: Theresa White, Kalispell City Clerk
c: William 8s Rebecca Sneed, 280 McMannamy Drive, Kalispell, MT 59901
Jackola Engineering, P O Box 1134, Kalispell, MT 59903
H: \FRDO\TRANSMIT\KALISPEL\ 1999\KZC9905.DOC
comprehensive_ plan of the remaining phase plans. The
applicant agrees with the conditions as amended by the staff.
No one else wished to speak and the public hearing was closed.
BOARD DISCUSSION Heinecke asked and was answered that the parking lot on the
north side of Sunnyview will eventually be lost to the hospital
but not until lot 6 or 7 is developed. The hospital will have to
make up the deficit parking at that time. Heinecke also
questioned whether there is a new road going in along lot 35,
and Wilson answered that right now as much as it may be
needed she does not foresee it happening either by donation or
condemnation. Greer added that the hospital at some point
would like to add a road but at this time there is not a 60-foot
width along lot 35 to allow for a road.
MOTION Heinecke moved and Hines seconded to adopt staff report KPP-
99-3 as findings of fact and, based on these findings,
recommend that the request for preliminary plat approval be
granted subject to the conditions as amended by staff. On a roll
call vote all members voted Aye. The motion to recommend
approval of the preliminary plat subject to amended conditions
passed unanimously.
SNEED ZONE CHANGE A request by William and Rebecca Sneed for a zone change from
RA-1 to R-4 on approximately 1.64 acres located on the
southwest corner of Eighth Street West and 12th Avenue West in
Kalispell.
STAFF REPORT Narda Wilson of the Flathead Regional Development Office gave
a presentation on staff report KZC-99-5 in which staff
recommends that the requested zone change be granted. She
stated that she believes this to be an ideal location for this
proposal. The minimum lot requirement is 1 dwelling per 3,000
square feet, so there is no density gain or loss with this zone
change. She stated that this proposal is consistent with the
neighborhood character.
PUBLIC HEARING The public hearing was opened to those in favor of the petition.
PROPONENTS Chris Jackola spoke in favor of the petition stating that this
proposal fits with the neighborhood and the owners' vision for
this property.
OPPONENTS No one else wished to speak and the public hearing was closed.
BOARD DISCUSSION Johnson stated that a real estate agent had the zone changed on
this property previously, but he agrees that an R-4 zoning
makes the best sense for this property.
MOTION Garberg moved and Sipe seconded to adopt staff report FZC-99-
Kalispell City -County Planning Board
October 12, 1999 Meeting Minutes
Page 2 of 5
5 as findings of fact and, based on these findings, recommend to
the Kalispell City Council that the requested zone change from
RA-1 to R-4 be granted. On a roll call vote all members voted
Aye. The motion to recommend that the zone change be granted
passed unanimously.
SALVATION ARMY A request by the Salvation Army for a conditional use permit to
CONDITIONAL USE allow a multi -family development in an H-1 to construct a 12-
PERMIT unit apartment complex for senior and disabled persons in the
north part of the Salvation Army parking lot.
STAFF REPORT Narda Wilson gave a presentation on staff report KCU-99-8 in
which staff recommends that the conditional use permit be
granted subject to five conditions. She stated that the Salvation
Army wishes to convert the north lot to modest apartments for
seniors and the disabled. She added that this parking
displacement does not impact the required parking under
zoning. The parking requirement for multi -family for seniors
and the disabled is one space per five dwellings, and this
proposal includes one space per dwelling, which is far more
adequate. This would have a relatively minimal impact on the
area and services. This fits in well with the mix in the area.
Johnson asked about fire department requirements and Wilson
stated that the condition, as written, leaves this to the Fire
Department and would be worked out at site review.
Stevens asked about condition four, deed restrictions, and
Wilson stated that this would be flexible enough to allow for
future use by other than seniors if allowable parking were met.
PUBLIC HEARING The public hearing was opened to those in favor of the petition.
PROPONENTS Lt. Monte Jones, 216 Glenwood Drive, spoke in favor of the
petition stating that the Salvation Army's goal is to meet human
needs without discrimination. They want to meet that need with
this low-income apartment complex. During this process they
have met with the neighbors and have addressed a lot of the
concerns, the Salvation Army's idea is to meet their demands
where possible. This unused parking lot is not good
stewardship and an apartment complex to meet human needs is
good stewardship.
OPPOSITION Michael Ober, 54 Buffalo Hill Drive, spoke against the proposal
based on the fact that this will reduce his property values, and
increase traffic, noise and congestion.
Bob Windauer, 75 Claremont Street, questioned the petition
asking about landscaping and plans for Bountiful Drive, and the
problems with vagrants etc. He asked how that end of the
property will be managed.
Kalispell City -County Planning Board
October 12, 1999 Meeting Minutes
Page 3 of 5
WILLIAM AND REBECCA SNEED
ZONE CHANGE REQUEST FROM RA-1 TO R-4
FLATHEAD REGIONAL DEVELOPMENT OFFICE
STAFF REPORT #KZC-99-5
OCTOBER 4, 1999
A report to the Kalispell City -County Planning Board and the Kalispell City Council
regarding a zone change request from RA-1 to R-4. A public hearing has been
scheduled before the Kalispell City -County Planning Board for October 12, 1999
beginning at 7:00 PM in Kalispell City Council Chambers. A recommendation from the
Planning Board will be forwarded to the Kalispell City Council for final action.
The applicants are proposing to amend the Kalispell Zoning Map by rezoning an
approximate 1.64 acre site from an RA-1, Low Density Residential Apartment zoning
district to R-4, a Two Family Residential zoning district.
A. Petitioner and Owners: William and Rebecca Sneed
280 McMannamy Draw
Kalispell, MT 59901
(406) 755-1148
B. Location and Legal Description of Property: The property proposed for
rezoning is located on the southwest corner of Eight Street West and 121h Avenue
West in Kalispell. The property can also be described as Assessor's Tract 3,
Government Lot 3 located in Section 18, Township 28 North, Range 21 West,
P.M.M., Flathead County, Montana.
C. Existing Zoning: Currently this property is zoned RA-1, a Low Density
Residential Apartment zoning district which allows duplexes and single family
homes as permitted uses and low density apartments as a conditional use. The
minimum lot size requirement for this zoning district is 6,000 square feet plus
3,000 square feet for each additional unit beyond a duplex.
D. Nature of Request and Proposed Zoning: The property owner is requesting
that this property be rezoned from RA-1, Low Density Residential Apartment, to
R-4, Two Family Residential on approximately 1.64 acres. The minimum lot size
requirement for both zoning districts is 6,000 square feet. However, the lot
width is 60 feet in RA-1 and 50 feet in R-4. The property owner would like to sell
this property which would then be developed as a residential subdivision
intended primarily for single family dwellings. The reduced lot width
requirements allows more flexibility in subdivision design.
E. Size: The area of the parcel proposed for rezoning contains approximately 1.64
of an acre. There is good potential for the subdivision of this property since
there are existing City right-of-ways in the area as well as access to water and
sewer facilities.
F. Existing Land Use: Currently this property is undeveloped.
G. Adjacent Land Uses and Zoning: This property is in an area which has a mix of
single family residences and duplexes in the immediate area. It is residential in
character and lies on the western boundaries of the city limits.
North: Duplex dwellings, R-4 zoning
East: Senior apartment housing, RA-1 zoning
South: Single family residential, County R-1 zoning
West: Single family residential, County R-1 zoning
H. General Land Use Character: The general land use character of this area is
residential. This is on the urban fringes of Kalispell in addition to it being very
near the 100 year floodplain associated with Ashley Creek which has limited
development potential. It can be described as a transition area between the
urban area of Kalispell and the more rural areas of the county.
I. Utilities and Public Services:
Sewer:
City of Kalispell
Water:
City of Kalispell
Refuse:
City of Kalispell
Electricity:
Flathead Electric Co -Op Inc
Telephone:
CenturyTel
Schools:
School District #5
Fire:
Kalispell Fire Department
Police:
City of Kalispell
J. Relation to Zoning Requirements: With regard to lot size, the area proposed
for rezoning meets the minimum lot size requirements of 6,000 square feet for
both zoning districts. Subdivision potential would be good because of the size of
the parcel and the availability of public services to the site.
A notice of public hearing was mailed to property owners within 150 feet of the subject
property approximately 15 days prior to the hearing. At the writing of the staff report,
no comments had been received from the public regarding this proposal.
The statutory basis for reviewing a change in zoning is set forth by 76-2-205, M.C.A.
Findings of fact for the zone change request are discussed relative to the itemized
criteria described by 76-2-203, M.C.A.
The Kalispell City -County Master Plan map designates this area as Urban
Residential. The proposed zoning would be in general compliance with this master
plan map designation.
2
Currently, the area proposed for rezoning has several potential residential
development sites. The rezoning would not generally change the number of
allowable lots and reducing them slightly, hence there would not be a net
difference in the congestion in the streets which might be created once these lots
are fully developed.
Water and sewer mains, fire hydrants and new paved roadways would be required
to be installed to serve new lots thereby securing safety from an emergency
situation. Building codes will insure that the fire codes are met during the
construction of the buildings. Rezoning will not effect the risk and safety factors
which might be associated with this property.
•' '• .' -• •.••- • •••• - •' •' • ..•• •-•Em
-
The change in zoning would further the general health and welfare of the
community by providing the potential development of property on affordable lots
served by municipal services in an area that would be compatible and conducive
to the type of development anticipated for the site.
Adequate light and air would be provided both by the density in the district and
the setback requirements for structures.
The minimum lot size for the R-4 zoning is similar to the RA-1 currently in place.
Generally there would be no increase to the overall density of the area that would
result with the proposed R-4 zoning on this property and may in fact reduce the
density allowed for the site.
Most public services and facilities are available in close proximity to this site such
as fire protection, police protection, schools, parks and recreation and a good
transportation system along with municipal water and sewer service. Adequate
services can be provided to accommodate the development of this property.
Currently this property is zoned for multi family residences. The change in zone
will not change the allowable uses on the property since the R-4 and RA-1 are
both residential, the difference being that the R-4 zoning district requires less lot
3
width and does not allow multi -family dwellings. Additionally, the setbacks in R-4
are reduced from the ten feet required under RA-1 to five feet. The requested zone
gives adequate consideration to the suitability of the property for single family
residential uses.
The character of the area is single family residential and duplexes with the
exception of the senior housing project immediate to the east. The requested zone
is consistent with the uses in the area since it is intended for residential uses.
•- . •�• -• ••- •• -r - •- - • . • ••
The value of buildings in the area would be generally unaffected by this change in
zoning. The uses planned for these lots are residential which would be consistent
and compatible with other buildings in the area which are primarily single family
homes and duplexes.
11. Will the requestei zo7ce -• • . TMFiiii
throughout the jurisdiction?
The master plan designates this area for urban residential development. The
zoning in the area and the requested zoning are consistent with that land use
designation. The zoning is used as a tool to implement the master plan thereby
encouraging the most appropriate use of land throughout the planning
jurisdiction.
The net effect of the request for a zone change would be minimal with regard to impacts
in the area since the overall density would be modestly reduced. In exchange the lot
width requirements and setback requirements are also reduced. Most of the lots in the
area have been developed in accordance with the R-4 zoning and the subject property is
one of the few zoned for apartments in the area. Allowing the property to be rezoned to
R-4 would allow more flexibility in designing and developing lots intended for this
property.
Staff recommends that the Kalispell City -County Planning Board adopt FRDO staff report
#KZC-99-5 as findings of fact and, based on these findings, recommend to the Kalispell
City Council that the requested zone change from RA-1 to R-4 be granted.
H\99\.. \KZC99-5.RPT
E
APPLICANT:
FRDO FILE #:
CERTIFICATION
WILLIAM & REBECCA SNEED (RA-1 TO R-4)
KZC-99-5
I, the undersigned certify that I did this date mail a copy of the attached notice to the
following list of landowners within 150 feet of the property lines of the property
that is the subject of the application.
Date.
Assessor's S-T-R Lot/Tract
No. No.
SEE ATTACHED LIST
Property Owner
& Mail Address
APPLICANT
WILLIAM & REBECCA SNEED
280 MCMANNAMY DRAW
KALISPELL MT 59901
TECHNICAL PARTICIPANT
JACKOLA ENGINEERING
PO BOX 1134
KALISPELL MT 59903
ADJACENT OWNERSHIP
TRACT 3, SECTION. 18, T.28N., R.21 W.
Flathead County, Montana
SECTION LOT &
ASSESSOR'S TOWNSHIP TRACT PROPERTY OWNER AND
NUMBER RANGE NO. MAILING ADDRESS
ASHLEY ADDITION AMD L7-12 $ LK 3
0968399 S18, T28N, R21W LOT 1A
0968400 S18, T28N, R21 W LOT 24
0968401 S18, T28N, R21 W LOT 3A
0968402 S18, T28N, R21 W LOT 4A
KEN -WAY ADDITION
0969117 S18, T28N, R21 W LOT 4
0969118 S18, T28N, R21 W LOT 5
0969119, S18, T28N, R21 W LOT 6
KEN -WAY NO.2 ADDITION
FRANCESI.BEKKEDAHL
1235 8TH ST. W.
KALISPELL, MT 59901
IVAN & CONNIE LORENTZEN
354 BLUE SPRUCE LN.
KALISPELL, MT 59901
CRAIG & CONNIE DE NMAN
KENT MEYER
SUSAN & WILLIAM R. SCHOTTE ELKORB
IVAN & CONNIE LORENTZEN
354 BLUE SPRUCE LANE
KALISPELL, MT 59901
SUSAN & WILLIAM R. SCHOTTELKORB
DONALD PRINCE & HELEN E. PRINCE
1235-3RD AVE EAST
KALISPELL, MT 59901
BROOK & JENNIFER FREUDENBURG
716 11TH AVE WEST
KALISPELL, MT 59901
TAMMEY J. STREMEL
P.O. BOX 8805
KALISPELL, MT 59901
KEN NARDINGER & WAYNE A. JENSEN
C/O KEN -WAY DEVELOPMENT
1128 KENWAY
KALISPELL, MT 59901
0971355
S18, T28N, R21W
JENSEN-NARDINGER
1128 KEN WAY
KALISPELL, MT 59901
0343380
S18, T28N, R21W TRACT 4A
JOE & BARBARA SWARTZENBERGER
904 WALLACE AVE
KALISPELL, MT 59901
0150040
S18, T28N, R21W TRACT 4AA
MARILYN CLEMENTS
854-12TH AVE WEST
KALISPELL, MT 59901
0054480
S18, T28N, R21 TRACT 4
KENNETH M. & BETTY A. SHARP
1300-8TH STREET WEST
KALISPELL, MT 59901
ASHLEY BLK 3
0034725 S18,T28N, R21W
LOT 1
TERRY L. & PATRICIA K. BAKER
LOT 2
1739 FOYS LAKE ROAD
LOT3
KALISPELL, MT 59901
0880244 S18, T28N, R21W
LOT 4
ERIK J. ANDERSON
1228 T7TH ST WEST
KALISPELL, MT 59901
0054450 S18, T28N, R21W
LOT 5
PHILIP E. BOYCE
LOT 6
270 BRUNNER RD.
C. FALLS, MT 59912
ASHLEY BLK 4
S18, T28N, R21 LOT 1
MARSH FAMILY TRUST
OSS8800 LOT 2
954 N. MERIDIAN ROAD
KALISPELL, MT 59901
0709050 S18, T28N, R21W TRACT 8A
HENRY M. & MARY M. WIERSMA
701 S. MERIDIAN ROAD
KALISPELL, MT 59901
0054481 S18, T28N, R21W TRACT 813
FRANCES I. BEKKEDAHL
1235 8TH STREET WEST
KALISPELL, MT 59901
4PPROVED 9
NOTICE OF PUBLIC HEARING
KALISPELL CITY -COUNTY PLANNING BOARD AND ZONING COMMISSION
Kalispell Zone Change from RA-1 to R-4 on the SW corner of 81h St West and 12th Ave. West
Salvation Army Conditional Use Permit for 12 Senior / Disabled Housing
Preliminary Plat Approval for Buffalo Commons Phases 3, 4 and 5 - 27 Lot Subdivision
The regular meeting of the Kalispell City -County Planning Board and Zoning Commission is
scheduled for Tuesday, October 12, 1999, beginning at 7:00 PM in the Kalispell City Council
Chambers, Kalispell City Hall, 312 First Avenue East, Kalispell. During the regularly scheduled
meeting of the planning board, the board will hold public hearings and take public comments on
the following agenda items. The board will make recommendations to the Kalispell City Council
who will take final action:
A request by William and Rebecca Sneed for a zone change from RA-1, Low Density
Residential Apartment, to R-4, Two Family Residential, on approximately 1.64 acres located
on the southwest corner of Eight Street West and 12th Avenue West in Kalispell. The property
can also be described as Assessor's Tract 3, Government Lot 3 located in Section 18,
Township 28 North, Range 21 West, P.M.M., Flathead County, Montana and as further
described in attached Exhibit A.
2. A request by the salvation Army for a conditional use permit to allow a multi -family
development in an H-1, Health Care, zoning district. The applicants propose to construct a 12
unit apartment complex for senior and disabled persons which would consist of four units;
two duplex units, one tri-plex unit and one five plex unit. These would be constructed in the
north part of the Salvation Army property, which is now part of their parking lot. This
property is located at 110 Bountiful Drive and can be further described as Lots 1 and 2,
Highland Park, lst Addition located in Section 6, Township 28 North, Range 21 West, P.M.M.,
Flathead County, Montana.
3. A request by Northwest Health Care for preliminary plat approval of a 27 lot subdivision on
approximately 36 acres which is known as Buffalo Commons, Phases 3, 4 and S. This is a
commercial subdivision that is zoned as part of the Buffalo Commons Planned Unit
Development located east of Highway 93 and north of Sunnyview Lane in Kalispell. Lots
range in size from approximately one half acre to approximately four acres. This property can
be described as Assessor's Tract SABM and portions of Assessor's Tracts 7ET+ and 7ETH+
located in Section 6, and Assessor's Tract 2DCE located in Section 13, Township 28 North,
Range 21 West, P.M.M., Flathead County, Montana.
Documents pertaining to these agenda items are on file for public inspection in the Flathead
Regional Development Office, 723 Fifth Avenue East, Room 414, Kalispell, MT 59901, and are
available for public review during regular office hours.
Interested persons are encouraged to attend the hearings and make their views and concerns
known to the Board. Comments in writing may be submitted to the Flathead Regional
Development Office at the above address prior to the date of the hearing or you may contact Narda
Wilson, Senior Planner, for additional information.
r
Thomas R. Jentz
Planning Director
Exhibit A
Sneed Zone Change from RA-1 to R-4
Legal Description
That portion of the Northwest 1/4 of the Southwest 1/4, Section 18, Township 28
North, Range 21 West, Flathead County, Montana, described as follows:
Beginning at the Southeast corner of the Town of Ashley; thence; South
0050'15" West, a distance of 261.40 feet; thence South 47° 10'23" West, a
distance of 28.70 feet; thence South 88°34'46" West, a distance of 233.55
feet; thence North 1128'20" East, a distance of 286.76 feet to the South line of
Eight Street West; thence along the South line of the Street, East, a distance
of 250.98 feet to the Point of Beginning.
-�a L�_1t
7ABA 7AC SDwA y
5
21 " z , = 15Dy
ABAA 50" 3
7A Hcu-
BBA g 1A 1 2
1A I —c-
If A +
A�! C ALD"Ll �101N
7 9
1 AF .6 3
3 2
9 9A 5 2 11 3 10
4 4 3 10
77FH ST 'W
5
765 41 1 2 1 6 5 4 3 2 1
AS 1H i Ev
I � m
�Z:z 7
12
8A
1A 2A jA 4A
8 TH
We
........ . ...................
1 AE
. . . . . . . . . . . . . . . . . . . . . . . . . ...
. . . . . . . . . . . . . .
4 . .... ...
No
vil
m 4AA8 � 1 2
Mr.
VICINITY MAP
WILLIAM & REBECCA SNEED
REQUEST FOR A ZONE CHANGE FROM
RA-1, LOW DENSITY RESIDENTIAL APARTMENT, To
R-4, TWO FAMILY RESIDENTIAL
KALISPELL ZONING DISTRICT
PL40T DATE:9/22/99
KZC-99-5 SCALE 1" = 250' H:\&\ztite\KZC99-5.dwg
Flathead Regional Development Office
723 51h Ave. East Room 414
Kalispell, MT 59901
Phone: (406)758-5980 Fax: (406)758-5781 _
PETITION FOR ZONING AMENDMENT
CITY OF KALISPELL can 1�y9
William and Rebecca Sneed
1. NAME OF APPLICANT:
2. MAIL ADDRESS:
280 McMannamy Draw, Kalispell, Mt 59+90i
3. CITY/STATE/ZIP: Kalispell, Mt. 59901 PHONE: 406-755-1148
4. INTEREST IN PROPERTY: Owner
5. ZONING MAP AMENDMENT: x ZONING TEXT AMENDMENT:
IF THE REQUEST PERTAINS TO AN AMENDMENT TO THE TEXT OF THE
ZONING REGULATIONS, PLEASE COMPLETE THE FOLLOWING:
A. What is the proposed zoning text amendment?
IF THE REQUEST PERTAINS TO AN AMENDMENT TO THE ZONING MAP,
PLEASE COMPLETE THE FOLLOWING:
A.
0
Address of the property: South West corner, 8th Street West 12th Ave West
Lot 3 Gov Lot 3
Leal Description:
(Lot and Block of Subdivision; Tract #)
S18-T28-R21 y 7
;Ue�.tJ �11i� TVVl�liSbli Range) (Slttach sheet.'Lor metes and bounds)
C. The present zoning of the above property is: RA-1
D. The proposed zoning of the above property is: R-4
E. State the changed or changing conditions that make the proposed
amendment necessary:
Proposed use of the property will be a 10 Lot residential
subdivision. With RA-1 zoning and a minimun 60 foot Lot width
the property will not accomodate this plan. With R-4 zoning and a
50 Foot Lot width subdivision wll fit.
1
HOW WILL THE PROPOSED CHANGE ACCOMPLISH THE INTENT AND PURPOSE OF
A. Promoting the Master Plan Consistant with Master Plan.
B. Lessening congestion in the streets and providing safe access
Adequate access from existing city streets
from proposed internal street and alleys.
C. Promoting safety from fire, panic and other dangers
Appropriate water supply and fire access.
D. Promoting the public interest, health, comfort, convenience, safety and general
welfare Consistant with surrounding R-4 Zoning and
allowing smaller lot size with more affordable housing.
E. Preventing the overcrowding of land
Consistant with R-4 zoning and master
plan.
F. Avoiding undue concentration of population
Consistant with R-4 zoning and
Master plan.
G. Facilitating the adequate provision of transportation, water, sewage, schools,
parks and other public facilities All available
H
Giving reasonable consideration to the character of the district
Consistant residential use.
2
T. Giving consideration to the peculiar suitability of the property for particular uses
As the site plan shows the property more than adequately provides a
location with good access to all necessary services, good trafic flow,
adequately parking and a facility whoes density is appropriate for the site.
J. Protecting and conserving the value of buildings
The proposed development will consist of single family developments.
Nice land scaping, paved parking, porches, side walks and yards.
K. Encouraging the most appropriate use of land by assuring orderly growth
The property is currently an unused vacant lot which tends to collect
undesirable elements. The proposed change will provide needed low
density affordable attractive high quality housing.
The signing of this application signifies approval for F.R.D.O. staff to be present on the
property for routine monitoring and inspection during approval process.
9 %V9
(Applicant) (Date)
3
Petition for Zone Change
As primary and majority land owner in the RA-1 zoning district, I
undersigned do petition to change the zoning of all the parcels indicated as
RA- I, including Lot 3 Gov Lot 3 on the Zoning map from RA-1 to R-4.
Signed,
Rebecca Sneed
J TICOR TITLE INSURANCE
27 5270 107 00001687
Policy of Title Insurance
American Land SUBJECT TO THE EXCLUSIONS FROM
Title Association COVERAGE, THE EXCEPTIONS FROM
Lo `n Policy COVERAGE CONTAINED IN SCHEDULE B
(10-17-92) AND THE CONDITIONS AND STIPULATIONS,
TICOR TITLE INSURANCE COMPANY, a
California corporation, herein called the
Company, insures, as of Date of Policy shown in
Schedule A, against loss or damage, not
exceeding the amount of insurance stated in
Schedule A, sustained or incurred by the insured
by reason of:
1. Title to the estate or interest described in
Schedule A being vested other than as stated 8.
therein;
2. Any defect in or lien or encumbrance on the
title;
3. Unmarketability of the title.
4. Lack of a right of access to and from the land;
(a) arising from an improvement or work
related to the land which is contracted for
or commenced prior to Date of Policy; or
(b) arising from an improvement or work
related to the land which is contracted for
or commenced subsequent to Date of
Policy and which is financed in whole or
in part by proceeds of the indebtedness
secured by the insured mortgage which at
Date of Policy the insured has advanced
or is obligated to advance;
The invalidity or unenforceability of any
assignment of the insured mortgage, provided
the assignment is shown in Schedule A, or the
failure of the assignment shown in Schedule
A to vest title to the insured mortgage in the
named insured assignee free and clear of all
liens.
The Company will also pay the costs, attorneys'
5. The invalidity or unenforceability of the lien of fees and expenses incurred in defense of the title
the insured mortgage upon the title; or the lien of the insured mortgage, as insured,
6. The priority of any lien or encumbrance over but only to the extent provided in the Conditions
the lien of the insured mortgage; and Stipulations.
7. Lack of priority of the lien of the insured This policy shall not be valid or binding until
mortgage over any statutory lien for services, countersigned below by an authorized signatory
labor or material; of the Company.
Issued by:
ALLIANCE TITLE AND ESCROW CORP.
45 2ND STREET EAST
P.O. BOX 879
KALISPELL, MT 59903-0879
(406) 752-7606
A ohzed Signatory
TICOR TITLE INSURANC OMPANY
ff,-- Z-Z'
0"« President
� Secretary
JJJJJJJJJJJJJJJJJJ JJ�J�JJJJJJJJJJJJJJJ JJJJJJ
ALTA LOAN POLICY (10-17-92)
Reorder Form No. 8936
r-musions rrom
Coverage
The following matters are expressly excluded from the coverage of this
policy and the Company will not pay loss or damage, costs, attorneys' fees
or expenses which arise by reason of:
1. (a) Any law, ordinance or governmental regulation (including but not
limited to building and zoning laws, ordinances or regulations)
restricting, regulating, prohibiting or relating to (i) the occupancy, use
or enjoyment of the land; (ii) the character, dimensions or location
of any improvement now or hereafter erected on the land; (iii) a
separation in ownership or a change in the dimensions or area of
the land or any parcel of which the land is or was a part; or (iv)
environmental protection, or the effect of any violation of these laws,
ordinances or governmental regulations, except to the extent that
a notice of the enforcement thereof or a notice of a defect, lien, or
encumbrance resulting from a violation or alleged violation affecting
the land has been recorded in the public records at Date of Policy.
(b) Any governmental police power not excluded by (a) above, except
to the extent that a notice of the exercise thereof or a notice of a
defect, lien or encumbrance resulting from a violation or alleged
violation affecting the land has been recorded in the public records
at Date of Policy.
2. Rights of eminent domain unless notice of the exercise thereof has been
recorded in the public records at Date of Policy, but not excluding from
coverage any taking which has occurred prior to Date of Policy which would
be binding on the rights of a purchaser for value without knowledge.
3. Defects, liens, encumbrances, adverse claims or other matters:
(a) ,created, suffered, assumed or agreed to by the insured claimant;
(b) not known to the Company, not recorded in the public records at Date
of Policy, but known to the insured claimant and not disclosed in
writing to the Company by the insured claimant prior to the date the
insured claimant became an insured under this policy;
(c) resulting in no loss or damage to the insured claimant;
(d) attaching or created subsequent to Date of Policy (except to the extent
Conditions and
Stipulations
1. DEFINITION OF TERMS
The following terms when used in this policy mean:
(a) "insured": the insured named in Schedule A. The term "insured" also
includes
(i) the owner of the indebtedness secured by the insured mortgage and
each successor in ownership of the indebtedness except a successor who is
an obligor under the provisions of Section 12(c) of these Conditions and
Stipulations (reserving, however, all rights and defenses as to any successor
that the Company would have had against any predecessor insured, unless
the successor acquired the indebtedness as a purchaser for value without
knowledge of the asserted defect, lien, encumbrance, adverse claim or other
matter insured against by this policy as affecting title to the estate or interest in
the land);
(ii) any governmental agency or governmental instrumentality which is an
insurer or guarantor under an insurance contract or guaranty insuring or
guaranteeing the indebtedness secured by the insured mortgage, or any part
therfof, whether named as an insured herein or not;
(ii t) the parties designated in Section 2(a) of these Conditions and Stipula-
tions.
(b) insured claimant": an insured claiming loss or damage.
(c) "knowledge" or "known": actual knowledge, not constructive knowl-
edge or notice which may be imputed to an insured by reason of the public
records as defined in this policy or any other records which impart construc-
tive notice of matters affecting the land.
(d) "land": the land described or referred to in Schedule A, or in Schedule
C if not provided for in Schedule A, and improvements affixed thereto which
by law constitute real property. The term "land" does not include any property
beyond the lines of the area described or referred to in the applicable
Schedule, nor any right, title, interest, estate or easement in abutting streets,
roads, avenues, alleys, lanes, ways or waterways, but nothing herein shall
modify or limit the extent to which a right of access to and from the land is
insured by this policy.
(e) "mortgage": mortgage, deed of trust, trust deed, or other security
instrument -
that this policy insurers the priority of the lien of the insured mortgage
over any statutory lien for services, labor or material); or
(e) resulting in loss or damage which would not have been sustained
if the insured claimant had paid value for the insured mortgage.
4. Unenforceability of the lien of the insured mortgage because of the inability
or failure of the insured at Date of Policy, or the inability or failure of any
subsequent owner of the indebtedness, to comply with applicable doing
business laws of the state in which the land is situated.
5. Invalidity or unenforceability of the lien of the insured mortgage, or claim
thereof, which arises out of the transaction evidenced by the insured
mortgage and is based upon usury or any consumer credit protection or
truth in lending law.
6. Any statutory lien for services, labor or materials (or the claim of priority
of any statutory lien for services, labor or materials over the lien of the
insured mortgage) arising from an improvement or work related to the
land which is contracted for and commenced subsequent to Date of Policy
and is not financed in whole or in part by proceeds of the indebtedness
secured by the insured mortgage which at Date of Policy the insured has
advanced or is obligated to advance.
7. Any claim, which arises out of the transaction creating the interest of the
mortgagee insured by this policy, by reason of the operation of federal
bankruptcy, state insolvency, or similar creditors' rights laws, that is based
on:
(i) the transaction creating the interest of the insured mortgagee being
deemed a fraudulent conveyance or fraudulent transfer; or
(i i) the subordination of the interest of the insured mortgagee as a result
of the application of the doctrine of equitable subordination; or
(i i i )the transaction creating the interest of the insured mortgagee being
deemed a preferential transfer except where the preferential transfer
results from the failure:
(a) to timely record the instrument of transfer; or
(b) of such recordation to impart notice to a purchaser for value or
a judgment or lien creditor.
(I) "public records": records established under state statutes at Date of
Policy for the purpose of imparting constructive notice of matters relating to
real property to purchasers for value and without knowledge. With respect to
Section 1(a)(iv) of the Exclusions From Coverage. "public records" shall also
include environmental protection liens filed in the records of the clerk of the
United States district court for the district in which the land is located.
(g) "unmarketability of the title": an alleged or apparent matter affecting
the title to the land, not excluded or excepted from coverage, which would
entitle a purchaser of the estate or interest described in Schedule A or the
insured mortgage to be released from the obligation to purchase by virtue of a
contractual condition requiring the delivery of marketable title.
2. CONTINUATION OF INSURANCE
(a) After Acquisition of Title. The coverage of this policy shall continue in
force as of Date of Policy in favor of (i) an insured who acquires all or any part of
the estate or interest in the land by foreclosure, trustee's sale, conveyance in
lieu of foreclosure, or other legal manner which discharges the lien of the
insured mortgage; (ii) a transferee of the estate or interest so acquired from an
insured corporation, provided the transferee is the parent or wholly -owned
subsidiary of the insured corporation, and their corporate successors by oper-
ation of law and not by purchase, subject to any rights or defenses the Com-
pany may have against any predecessor insureds; and (iii) any governmental
agency or governmental instrumentality which acquires all or any part of the
estate or interest pursuant to a contract of insurance or guaranty insuring or
guaranteeing the indebtedness secured by the insured mortgage.
(b) After Conveyance of Title. The coverage of this policy shall continue
in force as of Date of Policy in favor of an insured only so long as the insured
retains an estate or interest in the land, or holds an indebtedness secured by a
purchase money mortgage given by a purchaser from the insured, or only so
long as the insured shall have liability by reason of covenants of warranty
made by the insured in any transfer or conveyance of the estate or interest.
This policy shall not continue in force in favor of any purchaser from the
insured of either (i) an estate or interest in the land. or (ii) an indebtedness
secured by a purchase money mortgage given to the insured.
Fcrm - 1992 4W LOAN POLICY
File No.: 20600746
Policy Number: 275270107001687
Date of Policy: December 18, 1998
1. Name of Insured:
Valley Bank of Kalispell
Amount of Insurance: $63, 429.82
Premium Amount: $248.25
Time of Policy: 4:02 PM
2. The estate or interest in the land which is encumbered by the insured mortgage is:
Fee Simple Estate
3. Title to the estate or interest in the land is vested in:
William L. Sneed, III and Rebecca Sneed, as Joint Tenants
4. The insured mortgage and assignments thereof, if any, are described as follows:
A DEED OF TRUST to secure an indebtedness in the amount shown below:
Amount: $63,429.82 together with interest and any other
obligations secured thereby
Dated: December 17, 1998
Trustor/Grantor: William L. Sneed III and Rebecca Sneed, as Joint
Tenants
Trustee: Alliance Title & Escrow Corp.
Beneficiary: Valley Bank of Kalispell
Recorded: December 18, 1998
Recorder's Fee No.: 1998-352-1602-0, records of Flathead County, Montana
5. The land referred to in this Policy is described as follows:
(Continued)
This Policy valid only if Schedule B is attached.
File No.: 20600746
Legal Description (Continued)
Policy Number: 275270107001687
That portion of the Nortbwest 1/4 of the South.st 1/4,
Section 18, Township 28 North, Range 21 West, Flathead
County, Montana, described as follows:
Beginning at the Southeast carper of the Taal of Ashley;
thence
South 0050115" West, a distance of 261.40 feet; thence
South 47010'23" West, a distance of 28.70 feet; thence
South 88034146" West, a distance of 233.55 feet; thence
North 1028120" East, a distance of 286.76 feet to the
South line of Eight Street West; thence along the
South lime of the Street,
East, a distance of 250.98 feet to the Point of Beginning.
Parcel B, Certificate of Survey No.-10314.
File No.: 20600746 Policy No.: 275270107001687
EFPS COVERAGE
This policy does not insu e against loss or damage (and the Company will not pay
costs, attorneys' fees or expenses) which arise by reason of:
PART I
(1) Rights or claims of parties in possession not shown by the public records.
(2) Encroachments, overlaps, boundary line disputes, and any other matters which
would be disclosed by an accurate survey or inspection of the premises in-
cluding, but not limited to, insufficient or impaired access or matters con-
tradictory to any survey plat shown by the public records.
(3) Easements, or claims of easements, not shown by the public records.
(4) Any lien, or right to a lien, for services, labor, or material heretofore or
hereafter furnished, imposed by law and not shown by the public records.
(5) (a)Unpatented mining claims; (b)reservaticns or exceptions in patents or in
Acts authorizing the issuance thereof; (c)water rights, claims or title to
water, whether or not the matters excepted under (a), (b) or (c) are shown
by the public records.
(6) Taxes or special assessments which are not shown as existing liens by the
records of any taxing authority that levies taxes or assessments on real
property or by the public records. Proceedings by a public agency which may
result in taxes or assessments or notices of such proceedings, whether or not
shown by the records of such an agency or by the public records.
7.
General taxes for the second half of 1998, which are due and payable.
8.
Taxes, charges and assessments not yet certified to the County Treasures for
collection..
9.
EXCEPT all minerals in or under said land including, but not limited to, metals,
oil, gas, coal, stone and mineral rights, milling rights and easement rights or other
matters relating thereto, whether expressed or implied.
10.
The effect of terms and oorxhtiens of restrictions contained in Certificate of
Subdivision Plat Approval, State of Montana, recorded with Certificate of Survey No.
10314, records of Flathead County, Montana.
(Continued)
SCIWUL,E S
File No.: 20600746 Policy No. 275270107001687
Special motions (Cocitinued)
11
An Easement for the purpose shown belpw and rights incidental. thereto, as set forth in a
document:
Granted to: The Montana Power Company
Purpose: to construct, operate, maintain, replace and remove a pipeline
Recorded: April 11, 1995
Reception No: 95-101-1432-0, records of Flathead County, Montana.
12.
Right -of -Way for 8th Street West ( Crook Ave) .
13.
Effect of Resolution No. 4133 recorded Oc-1ober 29, 1993 under Recorder's Fee No.
93-302-10570, records of Flathead County, Montana.
(i) the Amount of Insurance stated in Schedule A;
(ii) the amount of the principal of the indebtedness secured by the insured
mortgage as of Date of Policy, interest thereon. expenses of foreclosure,
amounts advanced pursuant to the insured mortgage to assure compliance
with laws or to protect the lien of the insured mortgage prior to the time of
acquisition of the estate or interest in the land and secured thereby and
reasonable amounts expended to prevent deterioration of improvements, but
reduced by the amount of all payments made; or
(iii) the amount paid by any governmental agency or governmental instru-
mentality, if the agency or instrumentality is the insured claimant, in the acqui-
sition of the estate or interest in satisfaction of its insurance contract or guar-
anty.
3. NOTICE OF CLAIM TO BE GIVEN BY INSURED CLAIMANT
The insured shall notify the Company promptly in writing (i) in case of any
litigation as set forth in Section 4(a) below, (ii) in case knowledge shall come to
an insured hereunder of any claim of title or interest which is adverse to the
title to the estate or interest or the lien of the insured mortgage, as insured, and
which might cause loss or damage for which the Company may be liable by
virtue of this policy, or (iii) if title to the estate or interest or the lien of the
insured mortgage, as insured, is rejected as unmarketable. If prompt notice
shall not be given to the Company, then as to the insured all liability of the
Company shall terminate with regard to the matteror matters for which prompt
notice is required; provided, however, that failure to notify the Company shall
in no case prejudice the rights of any insured under this policy unless the
Company shall be prejudiced by the failure and then only to the extent of the
prejudice.
4. DEFENSE AND PROSECUTION OF ACTIONS; DUTY OF INSURED
CLAIMANT TO COOPERATE
(a) Upon written request by the insured and subject to the options con-
tained in Section 6 of these Conditions and Stipulations, the Company, at its
own cost and without unreasonable delay, shall provide for the defense of an
insured in litigation in which any third party asserts a claim adverse to the title
or interest as insured, but only as to those stated causes of action alleging a
defect, lien or encumbrance or other matter insured against by this policy. The
Company shall have the right to select counsel of its choice (subject to the
right of the insured to object for reasonable cause) to represent the insured as
to those stated causes of action and shall not be liable for and will not pay the
fees of any other counsel. The Company will not pay any fees, costs or
expenses incurred by the insured in the defense of those causes of action
which allege matters not insured against by this policy.
(b) The Company shall have the right, at its own cost, to institute and
prosecute any action or proceeding or to do any other act which in its opinion
may be necessary or desirable to establish the title to the estate or interest or
the lien of the insured mortgage, as insured, or to prevent or reduce loss or
damage to the insured. The Company may take any appropriate action under
the terms of this policy, whether or not it shall be liable hereunder, and shall not
thereby concede liability or waive any provision of this policy. If the Company
shall exercise its rights under this paragraph, it shall do so diligently.
(c) Whenever the Company shall have brought an action or interposed a
defense as required or permitted by the provisions of this policy, the Company
may pursue any litigation to final determination by a court of competent juris-
diction and expressly reserves the right, in its sole discretion, to appeal from
any adverse judgment or order.
(d) In all cases where this policy permits or requires the Company to prose-
cute or provide for the defense of any action or proceeding, the insured shall
secure to the Company the right to so prosecute or provide defense in the
action or proceeding, and all appeals therein, and permit the Company to use,
at its option, the name of the insured for this purpose. Whenever requested by
the Company, the insured, at the Company's expense, shall give the Com-
pany all reasonable aid (i) in any action or proceeding, securing evidence,
obtaining witnesses, prosecuting or defending the action or proceeding, or
effecting settlement, and (ii) in any other lawful act which in the opinion of the
Company may be necessary or desirable to establish the title to the estate or
interest or the lien of the insured mortgage, as insured. If the Company is
prejudiced by the failure of the insured to furnish the required cooperation, the
Company's obligations to the insured under the policy shall terminate, includ-
ing any liability or obligation to defend, prosecute, or continue any litigation,
with regard to the matter or matters requiring such cooperation.
5. PROOF OF LOSS OR DAMAGE
In addition to and after the notices required under Section 3 of these Condi-
tions and Stipulations have been provided the Company, a proof of loss or
damage signed and sworn to by the insured claimant shall be furnished to the
Company within 90 days after the insured claimant shall ascertain the facts
giving rise to the loss or damage. The proof of loss or damage shall describe
the defect in, or lien or encumbrance on the title. or other matter insured
against by this policy which constitutes the basis of loss or damage and shall
state. to the extent possible, the basis of calculating the amount of the loss or
damage. If the Company is prejudiced by the failure of the insured claimant to
tion to defend, prosecute, or continue any litigation, with regard to the matter
or matters requiring such proof of loss or damage.
In addition, the insured claimant may reasonably be required to submit to
examination under oath by any authorized representative of the Company
and shall produce for examination, inspection and copying, at such reason-
able times and places as may be designated by any authorized representative
of the Company, all records, books, ledgers, checks, correspondence and
memoranda, whether bearing a date before or after Date of Policy, which
reasonably pertain to the loss or damage. Further, if requested by any author-
ized representative of the Company, the insured claimant shall grant its per-
mission, in writing, for any authorized representative of the Company to exam-
ine, inspect and copy all records, books, ledgers, checks, correspondence
and memoranda in the custody or control of a third party, which reasonably
pertain to the loss or damage. All information designated as confidential by
the insured claimant provided to the Company pursuant to this Section shall
not be disclosed to others unless, in the reasonable judgment of the Com-
pany, it is necessary in the administration of the claim- Failure of the insured
claimant to submit for examination under oath, produce other reasonably
requested information or grant permission to secure reasonably necessary
information from third parties as required in this paragraph, unless prohibited
by lawor governmental regulation, shall terminate any liability of the Company
under this policy as to that claim.
6. OPTIONS TO PAY OR OTHERWISE SETTLE CLAIMS: TERMINATION
OF LIABILITY
In case of a claim under this policy, the Company shall have the following
additional options:
(a) To Pay or Tender Payment of the Amount of Insurance or to
Purchase the Indebtedness.
(i) to pay or tender payment of the amount of insurance under this policy
together with any costs, attorneys' fees and expenses incurred by the insured
claimant, which were authorized by the Company, up to the time of payment or
tender of payment and which the Company is obligated to pay; or
(ii) to purchase the indebtedness secured by the insured mortgage for the
amount owing thereon together with any costs, attorneys' fees and expenses
incurred by the insured claimant which were authorized by the Company up to
the time of purchase and which the Company is obligated to pay.
If the Company offers to purchase the indebtedness as herein provided, the
owner of the indebtedness shall transfer, assign, and convey the indebted-
ness and the insured mortgage, together with any collateral security, to the
Company upon payment therefor.
Upon the exercise by the Company of either of the options provided for in
paragraphs a(i) or (ii), all liability and obligations to the insured under this
policy, other than to make the payment required in those paragraphs, shall
terminate, including any liability or obligation to defend, prosecute, or con-
tinue any litigation, and the policy shall be surrendered to the Company for
cancellation.
(b) To Pay or Otherwise Settle With Parties Other than the Insured or
With the Insured Claimant.
(i) to pay or otherwise settle with other parties for or in the name of an
insured claimant any claim insured against under this policy, together with any
costs, attorneys' fees and expenses incurred by the insured claimant which
were authorized by the Company up to the time of payment and which the
Company is obligated to pay; or
(ii) to pay or otherwise settle with the insured claimant the loss or damage
provided for under this policy, together with any costs, attorneys' fees and
expenses incurred by the insured claimant which were authorized by the
Company up to the time of payment and which the Company is obligated to
pay.
Upon the exercise by the Company of either of the options provided for in
paragraphs (b)(i) or (ii), the Company's obligations to the insured under this
policy for the claimed loss or damage, other than the payments required to be
made, shall terminate, including any liability or obligation to defend, prose-
cute or continue any litigation.
7. DETERMINATION AND EXTENT OF LIABILITY
This policy is a contract of indemnity against actual monetary loss or dam-
age sustained or incurred by the insured claimant who has suffered loss or
damage by reason of matters insured against by this policy and only to the
extent herein described.
(a) The liability of the Company under this policy shall not exceed the least
of:
(i) the Amount of Insurance stated in Schedule A, or, if applicable, the
amount of insurance as defined in Section 2 (c) of these Conditions and
Stipulations;
(ii) the amount of the unpaid principal indebtedness secured by the
insured mortgage as limited or provided under Section 8 of these Conditions
and Stipulations or as reduced under Section 9 of these Conditions and
Stipulations, at the time the loss or damage insured against by this policy
occurs, together with interest thereon; or
b,' In the event the insured has acquired the estate or interest in the manner
described in Section 2(a) of these Conditions and Stipulations or has c:;n-
veyed the title, then the liability of the Company shall continue as set form in
Section 7(a) of these Conditions and Stipulations.
(c) The Company will pay only those costs, attorneys' fees and expenses
incurred in accordance with Section 4 of these Conditions and Stipulations.
8. LIMITATION OF LIABILITY
(a) If the Company establishes the title, or removes the alleged defect, lien
,or encumbrance, or cures the lack of a right of access to or from the land, or
cures the claim of unmarketability of title, or otherwise establishes the lien of
the insured mortgage, all as insured, in a reasonably diligent manner by any
method, including litigation and the completion of any appeals therefrom, it
shall have fully performed its obligations with respect to that matter land shall
not be liable for any loss or damage caused thereby.
(b) In the event of any litigation, including litigation by the Company or with
the Company's consent, the Company shall have no liability for loss or dam-
age until there has been a final determination by a court of competent jurisaic-
tion, and disposition of all appeals therefrom, adverse to the title or to the lien
of the insured mortgage, as insured.
(c) The Company shall not be liable for loss or damage to any insured for
liability voluntarily assumed by the insured in settling any claim or suit without
the prior written consent of the Company.
(d) The Company shall not be liable for: (i) any indebtedness created subse-
quent to Date of Policy except for advances made to protect the lien of the
insured mortgage and secured thereby and reasonable amounts expended to
prevent deterioration of improvements; or (ii) construction loan advances
made subsequent to Date of Policy, except construction loan advances made
subsequent to Date of Policy forthe purpose of financing in whole or in part the
construction of an improvement to the land which at Date of Policy were
secured by the insured mortgage and which the insured was and continued to
be obligated to advance at and after Date of Policy.
9. REDUCTION OF INSURANCE; REDUCTION OR TERMINATION OF
LIABILITY
(a) All payments under this policy, except payments made for costs, attor-
neys' fees and expenses, shall reduce the amount of the insurance pro tanto.
However, any payments made prior to the acquisition of title to the estate or
interest as provided in Section 2(a) of these Conditions and Stipulations shall
not reduce pro tanto the amount of the insurance afforded under this policy
except to the extent that the payments reduce the amount of the indebtedness
secured by the insured mortgage.
(b) Payment in part by any person of the principal of the indebtedness, or
any other obligation secured by the insured mortgage, or any voluntary partial
satisfaction or release of the insured mortgage, to the extent of the payment,
satisfaction or release, shall reduce the amount of insurance pro tanto. The
amount of insurance may thereafter be increased by accruing interest and
advances made to protect the lien of the insured mortgage and secured
thereby, with interest thereon, provided in no event shall the amount of insur-
ance be greater than the Amount of Insurance stated in Schedule A.
(c) Payment in full by any person or the voluntary satisfaction or release of
the insured mortgage shall terminate all liability of the Company except as
provided in Section 2(a) of these Conditions and Stipulations.
10. LIABILITY NONCUMULATIVE
It is expressly understood that the amount of insurance under this policy
shall be reduced by any amount the Company may pay under any policy in-
suring a mortgage to which exception is taken in Schedule B or to which
the insured has agreed, assumed, or taken subject, or which is hereafter
executed by an insured and which is a charge or lien on the estate or in-
terest described or referred to in Schedule A, and the amount so paid shall
be deemed a payment under this policy to the insured owner.
11. PAYMENT OF LOSS
(a) No payment shall be made without producing this policy for endorse-
ment of the payment unless the policy has been lost or destroyed, in which
case proof of loss or destruction shall be furnished to the satisfaction of the
Company.
(b) When liability and the extent of loss or damage has been definitely fixed
in accordance with these Conditions and Stipulations, the loss or damage
shall be payable within 30 days thereafter.
12. SUBROGATION UPON PAYMENT OR SETTLEMENT
(a) The Company's Right of Subrogation.
Whenever the Company shall have settled and paid a claim under this
policy, all right of subrogation shall vest in the Company unaffected by any act
of the insured claimant.
The Company shall be subrogated to and be entitled to all rights and
remedies which the insured claimant would have had against any person or
property in respect to the claim had this policy not been issued. If requested by
the Company, the insured claimant shall transfer to the Company all rights
sue, curnprumise or seine in ine name or the insured claimant and to u:,e the
name of the insured claimant in any transaction or litigation involving these
rights or remedies.
If a payment on account of a claim does not fully cover the lass of th>
insured claimant, the Company shall be subrogated to all rights and remedies
of the insured claimant after the insured claimant shall have recovered its
principal, interest, and costs of collection.
(b) The Insured's Rights and Limitations.
Notwithstanding the foregoing, the owner of the indebtedness secured by
the insured mortgage, provided the priority of the lien of the insured mortgage
or its enforceability is not affected, may release or substitute the personal
liability of any debtor or guarantor, or extend or otherwise modify the terms of
payment, or release a portion of the estate or interest from the lien of the
insured mortgage, or release any collateral security for the indebtedness.
When the permitted acts of the insured claimant occur and the insured has
knowledge of any claim of title or interest adverse to the title to the estate or
interest or the priority or enforceability of the lien of the insured mortgage; as
insured, the Company shall be required to pay only that part of any losses
insured against by this policy which shall exceed the amount, if any, lost to the
Company by reason of the impairment by the insured claimant of the Compa-
ny's right of subrogation.
(c) The Company's Rights Against Non-insured Obligors.
The Company's right of subrogation against non-insured obligors shall
exist and shall include, without limitation, the rights of the insured to indem-
nities, guaranties, other policies of insurance or bonds, notwithstanding any
terms or conditions contained in those instruments which provide for subroga-
tion rights by reason of this policy.
The Company's right of subrogation shall not be avoided by acquisition of
the insured mortgage by an obligor (except an obligor described in Section
1(a)(ii) of these Conditions and Stipulations) who acquires the insured mort-
gage as a result of an indemnity, guarantee, other policy of insurance, or bond
and the obligor will not be an insured under this policy, notwithstanding Sec-
tion 1(a)(i) of these Conditions and Stipulations.
13. ARBITRATION
Unless prohibited by applicable law, either the Company or the insured may
demand arbitration pursuant to the Title Insurance Arbitration Rules of the
American Arbitration Association. Arbitrable matters may include, but are not
limited to, any controversy or claim between the Company and the insured
arising out of or relating to this policy, any service of the Company in connec-
tion with its issuance or the breach of a policy provision or other obligation. All
arbitrable matters when the Amount of Insurance is $1,000,000 or less shall
be arbitrated at the option of either the Company or the insured. All arbitrable
matters when the Amount of Insurance is in excess of $1,000,000 shall be
arbitrated only when agreed to by both the Company and the insured. Arbitra-
tion pursuant to this policy and under the Rules in effect on the date the
demand for arbitration is made or, at the option of the insured, the Rules in
effect at Date of Policy shall be binding upon the parties. The award may
include attomeys' fees only if the laws of the state in which the land is located
permit a court to award attorneys' fees to a prevailing parry. Judgment upon
the award rendered by the Arbitrator(s) may be entered in any court having
jurisdiction thereof.
The law of the situs of the land shall apply to an arbitration under the Title
Insurance Arbitration Rules.
A copy of the Rules may be obtained from the Company upon request.
14. LIABILITY LIMITED TO THIS POLICY; POLICY ENTIRE CONTRACT
(a) This policy together with all endorsements, if any, attached hereto by the
Company is the entire policy and contract between the insured and the Com-
pany. In interpreting any provision of this policy, this policy shall be construed
as a whole.
(b) Any claim of loss or damage, whether or not based on negligence, and
which arises out of the status of the lien of the insured mortgage or of the title
to the estate or interest covered hereby or by any action asserting such claim,
shall be restricted to this policy.
(c) No amendment of or endorsement to this policy can be made except by
a writing endorsed hereon or attached hereto signed by either the President, a
Vice President, the Secretary, an Assistant Secretary, or validating officer or
authorized signatory of the Company.
15. SEVERABILITY
In the event any provision of this policy is held invalid or unenforceable
under applicable law, the policy shall be deemed not to include that provision
and all other provisions shall remain in full force and effect.
16. NOTICES, WHERE SENT
All notices required to be given the Company and any statement in
writing required to be furnished the Company shall include the number
of this policy and shall be addressed to the Company at Ticor Title
Insurance Company, Claims Department, P.O. Box 2233, Los Angeles,
California 90051.
ffjfs:j<�jffflf)tt�LIff.fLr.1(.! (T(l(.gn-! (gam (> = r %Ifllflf(fi crygr. r�4%(t;f