United States of America v. Riley et al

Filing 61

CONSENT DECREE; Granting 40 Stipulated Motion for Settlement Agreement and Consent Decree. The parties' Settlement Agreement and Consent Decree, attached to this Order as Exhibit 1, as well as the incorporated Exhibits 1A through 6, are ACCEPTED into the record as part of this Consent Decree. This file is CLOSED. Signed by Chief Judge Stanley A Bastian. (CLP, Case Administrator Team Lead)

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Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.230 Page 1 of 41 1 2 FILED IN THE U.S. DISTRICT COURT EASTERN DISTRICT OF WASHINGTON 3 Dec 21, 2022 4 SEAN F. MCAVOY, CLERK 5 UNITED STATES DISTRICT COURT EASTERN DISTRICT OF WASHINGTON 6 7 8 9 10 UNITED STATES OF AMERICA, Plaintiff, v. 11 WALTER RILEY & JANE DOE RILEY, 12 individually and as the marital community composed thereof, d/b/a RILEY’S RIVER 13 RANCH, 14 Defendants. 15 16 No. 2:18-CV-00024-SAB CONSENT DECREE Before the Court is the parties’ Stipulated Motion for Settlement Agreement 17 and Consent Decree, ECF No. 60. The parties indicate they have entered into a 18 settlement agreement. They ask the Court to accept the agreement into the record 19 and issue a Consent Decree accordingly. 20 Approval of a proposed consent decree is within the discretion of the 21 Court. United States v. State of Or., 913 F.2d 576, 580 (9th Cir. 1990). Before 22 approving a consent decree, a district court must be satisfied that it is at least 23 fundamentally fair, adequate and reasonable. Id. “The court need only be satisfied 24 that the decree represents a ‘reasonable factual and legal determination.’” Id. at 25 581 (citation omitted). 26 The Court has reviewed the Settlement Agreement and Consent Decree and 27 the filings in this case. The Court concludes the plan is fair, reasonable, and legal, 28 and good cause exists to accept it into the record as a binding judgment. CONSENT DECREE *1 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 1 Accordingly, IT IS HEREBY ORDERED: 2 1. PageID.231 Page 2 of 41 The parties’ Stipulated Motion for Settlement Agreement and Consent 3 Decree, ECF No. 60, is GRANTED. 4 2. The parties’ Settlement Agreement and Consent Decree, attached to 5 this Order as Exhibit 1, as well as the incorporated Exhibits 1A through 6, are 6 ACCEPTED into the record as part of this Consent Decree, 7 3. The parties may seek enforcement of the requirements of the 8 Settlement Agreement and Consent Decree by motion to the Court under its 9 ongoing, continuing supervision. This Court shall retain continuing jurisdiction 10 over this action to enforce or modify the Consent Decree, consistent with 11 applicable law or to resolve all disputes arising hereunder, as may be necessary or 12 appropriate for construction or performance of the Settlement Agreement and 13 Consent Decree. During the pendency of the Consent Decree, any party may apply 14 to the Court for any relief necessary to construe and effectuate the intended 15 purpose of the Consent Decree. 16 4. Upon its entry by the Court, the Consent Decree shall have the force 17 and effect of a final judgment. Any modification of this Consent Decree shall be in 18 writing and shall not take effect unless signed by both the Plaintiff and the 19 Defendants, and approved and entered by the Court. 20 IT IS SO ORDERED. The District Court Clerk is hereby directed to enter 21 this Order, provide copies to counsel, and close the file. 22 DATED this 21st day of December 2022. 23 24 25 26 27 Stanley A. Bastian 28 Chief United States District Judge CONSENT DECREE *2 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 EXHIBIT 1 PageID.232 Page 3 of 41 Case 2:18-cv-00024-SAB 1 2 3 4 5 6 ECF No. 61 filed 12/21/22 PageID.233 Page 4 of 41 Vanessa R. Waldref United States Attorney (EDWA) Timothy M. Durkin Derek T. Taylor Assistant United States Attorneys Post Office Box 1494 Spokane, WA 99210-1494 Telephone: (509) 353-2767 7 8 UNITED STATES DISTRICT COURT EASTERN DISTRICT OF WASHINGTON 9 10 11 12 13 14 15 16 17 18 UNITED STATES OF AMERICA, Plaintiff, vs. WALTER RILEY & JANE DOE RILEY, individually and as the marital community comprised thereof, d/b/a RILEY’S RIVER RANCH, Defendants. ) ) Case No. 2:18-cv-00024-SAB ) ) SETTLEMENT AGREEMENT ) & CONSENT DECREE ) ) ) ) ) ) ) ) 19 20 COMES NOW the Plaintiff, the United States of America, through its executive 21 agency, the United States Army Corps of Engineers ("Corps" or “Plaintiff” or 22 “USACE”), by its counsel with the United States Attorney's Office for the Eastern 23 District of Washington ("USAO"), and the Corps’ Office of District Counsel (ODC), 24 Walla Walla District, and the Defendants Walter Riley and Mrs. Jane Doe (Jeannie) 25 Riley, husband and wife, and d/b/a/ Riley’s River Ranch, Mr. Riley as Trustee of the 26 Lester Riley Trust, and Chad Lindgren as remainderman beneficiary of said Trust and 27 any business or entity doing business as (d/b/a) Riley’s River Ranch (including 28 United States v. Walter Riley – Settlement Agreement & Consent Decree - 1 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.234 Page 5 of 41 1 officers / agents / manager(s)), individually and jointly (“Rileys” or “Defendants”),1 2 through their counsel, Toni Meacham, Attorney at Law, PLLC, and stipulate and agree 3 that they have reached a Settlement Agreement and Consent Decree (SACD) that 4 provides for the mutual resolution of this case. 5 6 I. RECITALS WHEREAS the Plaintiff holds legal title to certain public lands encompassing 7 8 segment tracts 302, 303, 304-1, 309, and 312 in sections 4, 5, 8, and 9 of township 9 13N and Range 40E, Willamette Meridian, located within what is now Central Ferry 10 Habitat Management Unit (“HMU”) of the Little Goose Lock and Dam Project in 11 Central Washington state, said land having been purchased by the United States for 12 that Civil Works water resources project; WHEREAS, Plaintiff has authority to hold title and to manage its federal lands 13 14 pursuant to powers under the Constitution, primarily the Property Clause, which gives 15 Congress the power to dispose of and make all needful Rules and Regulations 16 respecting the Territory or other Property belonging to the United States. U.S Const., 17 Art IV. The Supreme Court has consistently interpreted this power to be extremely 18 expansive, repeatedly observing that the power over the public land thus entrusted to 19 the United States is without limitations. Kleppe v. New Mexico, 426 U.S 529, 539 20 (1976); United States v. San Francisco, 310 U.S 16, 29 (1940). The United States has 21 the right and authority to manage all of its lands. Kleppe, id.; State of Nevada v. 22 Watkins, 914 F.2d 1545, 1552 (9th Cir. 1990), cert. denied 111 S.Ct. 1165; 23 24 25 26 27 28 1 Plaintiff relies upon the accuracy of information provided by Defendants in identifying those persons – entities having an ownership or operator or managerial interest in Riley’s River Ranch’s business, and those having an interest in the real estate upon which Riley’s River Ranch conducts its livestock business in Whitman County, WA (EDWA). United States v. Walter Riley – Settlement Agreement & Consent Decree - 2 Case 2:18-cv-00024-SAB 1 ECF No. 61 filed 12/21/22 PageID.235 Page 6 of 41 WHEREAS, the Corps’ multi-purpose Civil Works projects are generally 2 authorized under the Commerce Clause (Article 1, Section 8, Clause 3) of the U.S. 3 Constitution, with specific project authorization most commonly found in a series of 4 River and Harbor and Flood Control acts passed by Congress. Acquisition of real 5 property for civil works projects, provided for by law, is authorized in 33 U.S.C. 558b, 6 591-595a and 701. See also, Chapter 5, Engineer Regulation 405-1-11; 7 WHEREAS, the construction and future operation and maintenance of the Little 8 Goose Lock and Dam Project was authorized by Congress in the River and Harbor Act 9 of 1945 (Public Law 790-14). The Corps is charged by federal statute to manage, 10 administer and protect the public lands encompassing the Little Goose Lock and Dam 11 project. 16 U.S.C. § 460d. Public use (and unauthorized use) of water resources 12 development projects administered by the Corps is governed by 36 C.F.R. Part 327; 13 WHEREAS, Defendants own or have an interest in land (in fee) adjacent to the 14 Plaintiff’s federal land in tracts 302, 303, 304-1, 309, and 312 in sections 4, 5, 8 and 9 15 of township 13N and Range 40E, Willamette Meridian, which is used primarily as a 16 livestock (e.g., cattle) ranch. Tract 303 was purchased from the Defendants’ 17 predecessor in interest for use in the Little Goose Lock and Dam Project, while the 18 other tracts were acquired from other parties. Defendants maintain such lands were 19 historically used for livestock production before the land was purchased by the United 20 States; 21 WHEREAS, the Plaintiff alleges that Defendants have, from at least 2011 to 22 approximately 2021, failed to prevent livestock from entering USACE managed 23 federal lands (i.e., primarily during winter calving and feeding operations); since at 24 least 2011 to the present, have deposited other ranch equipment, materials and 25 associated personal property (i.e., fence posts, feeders, etc.) on the USACE’s managed 26 land; and, have made other disturbances - modifications to the public lands within 27 28 United States v. Walter Riley – Settlement Agreement & Consent Decree - 3 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.236 Page 7 of 41 1 Central Ferry HMU. These encroachments are shown in the attached maps of Exhibits 2 1A, 1B2, and 2, which are incorporated herein. 3 WHEREAS, Defendants deny the nature and extent of Plaintiff’s allegations, 4 but acknowledge that their cattle have, from time-to-time, entered and remained upon 5 the USACE managed federal lands. Defendants further admit that they, their 6 employees/agents, predecessor in interest and/or third parties, have deposited, left 7 and/or stored ranch equipment and other personal property (fence posts, feeders, etc.) 8 on Plaintiff’s federal lands, or made certain modifications thereto. However, 9 Defendants do dispute and deny certain aspects of the alleged trespasses / 10 encroachments (e.g., nature, length/frequency, etc.) and further maintain they acted in 11 good faith due to confusion from the original government brass cap boundary 12 monuments; 13 WHEREAS, Plaintiff also alleges Defendants, their predecessor in interest, or 14 persons at their direction, constructed (and have for decades maintained) a portion of a 15 building that encroaches on Corps managed federal land, within the area that is now 16 the Central Ferry HMU. See Exhibits 1A, 1B and 3; 17 WHEREAS, the Plaintiff had the lands in question surveyed in 2014 and 18 provided a copy of the survey to Defendants. Exhibit 6 (Survey Map). The survey 19 generally confirmed the Corps’ understanding of the land boundary, though a small 20 section of the Corps’ fence-line near Highway 127 was determined to have 21 22 23 24 25 26 27 28 2 Exhibit 1A is the original January 12, 2018, image/map of encroaching equipment, materials and other items Plaintiff alleges were put/placed on federal land by Defendants since at least 2011, which are primarily associated with livestock ranching operations. Exhibit 1B is an updated image/map showing encroaching items remaining on federal land, which Defendants has agreed to remove in accordance with the terms of this SACD, excluding the items identified in the approximate 1/3 acre of federal land proposed for transfer to Defendants, unless such transfer does not occur pursuant to the terms of this SACD. United States v. Walter Riley – Settlement Agreement & Consent Decree - 4 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.237 Page 8 of 41 1 inadvertently veered off public land and was constructed on Defendants’ adjacent 2 land, which Plaintiff has conveyed several offers to remove and realign. Id.; 3 WHEREAS, after lengthy discussions and multiple efforts to resolve the 4 parties’ dispute pre-suit failed, a Complaint was approved by the U.S. Attorney and 5 the United States’ Department of Justice, and was filed against Defendants on January 6 19, 2018; 7 WHEREAS, the Plaintiff and Defendants now wish to reach a lasting resolution 8 of the alleged trespasses by Defendant's livestock and ranch business, including 9 personal property encroachments, the disturbances – modifications to the federal 10 lands, and Defendants’ building partially constructed on federal lands; 11 WHEREAS, Plaintiff and Defendants further agree that settlement of this case 12 serves their interests as well as the public’s interest, and that entry of this Settlement 13 Agreement and Consent Decree (SACD) is an appropriate method and means for 14 resolving the Plaintiff’s claims against Defendants, and vice versa; and, 15 WHEREAS, the Court finds that this SACD is a reasonable and fair resolution 16 of the Plaintiff’s claims against Defendants and should serve to adequately protect the 17 public’s interests as well. 18 II. 19 20 21 22 23 24 25 26 27 28 A. SETTLEMENT AGREEMENT Preamble. The Settlement Agreement and Consent Decree (SACD) herein is made by and among the United States, through its agency, the United States Army Corps of Engineers (“United States,” “Plaintiff” or “USACE”), and Walter “Sonny” Riley and Mrs. Jane Doe (Jeannie) Riley, husband and wife, any person or entity d/b/a/ Riley’s River Ranch, Mr. Riley as Trustee of the Lester Riley Trust, and Chad Lindgren as remainderman beneficiary of said Trust, and any business or entity doing business as (d/b/a) Riley’s River Ranch (including officers / agents / manager(s)), individually and jointly (“Rileys” or “Defendants”). The parties understand and agree the terms “United States” or “Plaintiff” used herein shall refer United States v. Walter Riley – Settlement Agreement & Consent Decree - 5 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.238 Page 9 of 41 1 only to the United States Army Corps of Engineers (“USACE”). No other agency, 2 instrumentality or agent of the United States shall be deemed to be a party to this 3 SACD, nor shall any claims that any other agency, instrumentality or agent is, has or 4 may be impaired or compromised in any way by this SACD. 5 In the shared interest of avoiding the cost, expense and uncertainty of further 6 litigation, the parties specify below the desired terms and condition of their SACD, 7 which will settle, compromise and resolve the claims described in the United States’ 8 Complaint filed in this action. ECF 1. It is the intent of the parties, except as otherwise 9 provided herein, that this SACD shall constitute the full settlement and satisfaction of 10 the Plaintiff’s claims for trespass and damages against Defendants. Id. Pursuant to the 11 terms – conditions of this SACD, the Plaintiff and Defendants mutually covenant and 12 agree: 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 1. The Plaintiff will: (a) Administratively dispose to Defendants an approximate 1/3 acre of land underlying the encroaching building and immediate appurtenances thereto (tentatively identified in the red outline on the attached map (Exhibit 3)), and which will be more precisely defined by a future disposal survey; See also Exhibit 4, Current estimate of projected Phases and Costs of Administrative Disposition process; (b) Transfer the property subject to any reservation or limitation necessary for the operation of the Little Goose Dam and Reservoir Project (e.g., flowage easement, etc.); (c) Remove or realign the small section of the federal fence to parallel the surveyed boundary; (d) Perform the administrative disposal in a timely manner in accordance with all applicable USACE policies and procedures; (e) Bill Defendants the usual and customary administrative costs incurred in a timely manner. These costs – expenses are those reasonably associated with United States v. Walter Riley – Settlement Agreement & Consent Decree - 6 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.239 Page 10 of 41 1 USACE’s administrative disposition of the subject 1/3rd acre. The present estimated 2 cost of the administrative disposition - transfer is approximately $50,000 - $100,000, 3 with the actual cost dependent upon several review and disposition contingencies, 4 which contingencies the USACE has no control over and which have been discussed 5 and reviewed by the parties in advance of this SACD. 6 (f) Plaintiff shall return any unused funds to Defendants at the close of the 7 process and as soon as reasonably possible after the land disposition is complete. 8 Plaintiff has provided notice and Defendants acknowledge receipt of certain identified 9 tasks/cost items that must be performed for the disposal action to be completed, along 10 with a rough cost estimate (i.e., $50,000-$100,000). Plaintiff will endeavor to keep 11 administrative costs to the reasonable minimum amount necessary for the Corps to 12 complete required steps for the subject land disposition. Defendants may request an 13 accounting at any point during the process, but such an accounting will itself require 14 use of administrative funds, and will result in an administrative fee – cost; and, 15 (g) Once the SACD has been executed by the parties and approved, and 16 entered by the U.S. District Court, and Plaintiff has timely received all required 17 deposits from Defendants for the performance of the administrative disposal of the 18 subject 1/3 acre property, and transfer of the 1/3 acre has occurred, and Defendants 19 have performed all of their other obligations specified herein, Plaintiff will file and 20 submit to the U.S. District Court a stipulation providing for the dismissal of the 21 liability – damages aspect of Plaintiff’s current Complaint, leaving only the District 22 Court’s jurisdiction for supervision – enforcement authority over the parties’ SACD. 23 24 25 26 27 2. Defendants will: (a) Pay all the Plaintiff’s reasonably incurred administrative costs associated with the disposal of the 1/3-acre of land underlying the encroaching building and immediate appurtenances thereto, and agree to voluntarily make the necessary 28 United States v. Walter Riley – Settlement Agreement & Consent Decree - 7 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.240 Page 11 of 41 1 deposits to cover the reasonable administrative costs, as determined by the Corps (see 2 Section (c) below); 3 (b) Pay the fair market value associated with disposal of the 1/3-acre of 4 federal land identified in Section II.2.(a) above, absent any improvements (e.g., 5 building) constructed by Defendants; 6 (c) Periodically make deposits to the USACE in advance of the incurred 7 administrative costs – expenses – i.e., two deposits of $20,000 in 60-day intervals; 8 with the last deposit of approximately $10,000 (or less and if necessary) within 45 9 days after the second $20,000 deposit. These fees shall be used for the payment of the 10 estimated costs of the administrative disposal of the 1/3-acre of land underlying the 11 encroaching building and immediate appurtenances thereto; 12 (d) Remove all personal property – debris Plaintiff has alleged Defendants 13 placed on federal lands – i.e., materials, equipment, fencing, junk, refuse, rubbish, etc. 14 -- which are identified in Exhibit 1B, except for that portion of the concrete pad 15 identified in Exhibit 1B. When marking the boundary, pursuant to Exhibit 5, 16 Defendants surveyor shall mark with weather resistant paint any portion of the pad 17 which falls upon federal land and Defendant take no action to maintain that portion of 18 the pad. The removal of all other Exhibit 1B items will occur within 60 days of the 19 date this SACD is signed and will be performed to Plaintiff’s satisfaction, which 20 approval cannot be unreasonably withheld. Items identified in Exhibit 1B within the 21 approximate 1/3-acre area of federal land proposed for transfer to Defendants do not 22 require removal unless the transfer does not occur pursuant to the terms of this SACD. 23 (e) All parties shall have the right to document, at their own expense, the 24 removal of the encroaching personal property and may have any experts they wish 25 document such removal for the purpose of addressing any future dispute/disagreement 26 over encroachment removal, subject to the access coordination requirements in 27 Section III.C.4. 28 United States v. Walter Riley – Settlement Agreement & Consent Decree - 8 Case 2:18-cv-00024-SAB 1 (f) ECF No. 61 filed 12/21/22 PageID.241 Page 12 of 41 Prevent future livestock trespasses and associated encroachments on 2 federal lands at the Central Ferry HMU, as shown on Exhibits 1A, 1B and Exhibit 2, 3 by whatever means Defendants determine to be effective, including (as mentioned by 4 Defendants) any experimental practices, such as cattle collars, etc. 5 (g) Complete certain limited restoration activities on the subject federal lands 6 within the Central Ferry HMU, as outlined in Exhibit 5, but excluding the 7 approximate 1/3-acre to be conveyed to Defendants. Restoration shall address injury - 8 damages resulting from land modifications and other encroachments on USACE lands 9 (e.g., two dirt/gravel roads), unless the Plaintiff determines (in writing to Defendants) 10 to reduce or eliminate an identified restoration item as unnecessary. 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 B. Additional Terms – Conditions 1. This Settlement Agreement may not be changed altered or modified except in writing signed by all parties hereto. This Settlement Agreement may not be discharged except by performance in accordance with its terms or by writing signed by all parties. 2. The parties agree to cooperate fully and act in good faith to execute any and all supplementary documents (e.g., transfer deed) and to take all additional actions that may be necessary or appropriate to give full force and effect to the terms and intent of this Settlement Agreement and Consent Decree (SACD). 3. Nothing in this SACD constitutes an agreement by the United States concerning the allowable characterization of the amounts paid hereunder for purposes of any proceeding under Title 26. 4. This SACD is a civil agreement and is not intended to limit any criminal enforcement authority or actions for future livestock trespasses, associated encroachments, damage to federal property or other violations of law/regulation. 27 28 United States v. Walter Riley – Settlement Agreement & Consent Decree - 9 Case 2:18-cv-00024-SAB 1 5. ECF No. 61 filed 12/21/22 PageID.242 Page 13 of 41 This SACD may not be discharged except by performance in accordance 2 with its terms or as otherwise agreed to and altered or modified in writing signed by 3 all parties hereto. 4 III. 5 ORDER OF THE COURT 6 THEREFORE, based on the foregoing recitals and stipulation, and before the 7 taking of any testimony upon the pleadings, and without further adjudication of any 8 issue of fact or law, and upon stipulation and consent of the parties hereto, by and 9 through their authorized representatives, and in accordance with Federal Rules of 10 11 Civil Procedure, Rule 54(b), it is hereby, ORDERED, ADJUDGED and DECREED as follows: 12 13 14 15 16 17 18 19 20 21 22 A. Jurisdiction and Venue 1. This Court has jurisdiction over the subject matter of this action pursuant to 28 U.S.C. §§ 1331 and 1345. 2. Venue is proper in this district court because Plaintiff’s federal land and its mandated management activities are within the exterior boundaries of the U.S. District Court for the Eastern District of Washington (WAE). Further, Defendants’ land and ranching business is in Whitman County, Washington, and the actions – conduct giving rise to Plaintiff’s claims occurred and/or are occurring in Whitman County, Washington, which is also located within the WAE District. Further, the Court has jurisdiction over the enforcement of the parties SACD. 23 24 25 26 27 28 B. Applicability 1. The obligations of this Consent Decree shall apply to and be binding upon Plaintiff and Defendants, including Defendants’ officers, directors, agents, employees, successors and assigns and any person, firm, trust, association or corporation who is or will be acting in concert or in participation with any of the United States v. Walter Riley – Settlement Agreement & Consent Decree - 10 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.243 Page 14 of 41 1 Defendants, regardless of whether such person has notice of this Consent Decree. In 2 any action to enforce this Consent Decree against Defendant(s), the Defendant(s) shall 3 not raise as a defense the failure of any of its officers, directors, agents, employees, 4 successors or assigns or any person, firm or corporation acting in concert or 5 participation with the Defendant, to take any actions necessary to comply with the 6 provisions herein. 7 2. Defendants shall provide written notice and a true copy of this Consent 8 Decree to any successor(s) in interest and/or assigns as part of any transfer of 9 ownership or other interest in Defendants’ land. 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 C. Scope of Consent Decree 1. This Consent Decree shall constitute a complete and final settlement of all of Plaintiff’s civil claims for relief against Defendants for their alleged past encroachments / trespasses on the subject Central Ferry HMU public land, and for any potential civil claim Defendants may have for the minor portion of the Plaintiff’s fence that was inadvertently constructed outside the now surveyed boundary. Plaintiff and Defendants will mutually cooperate to ensure performance of their respective obligations by December 31, 2023, and at the earliest possible opportunity. 2. Defendants’ obligations under this Consent Decree are joint and several. 3. Except for the access permitted to all members of the public for recreational purposes, or as required by this consent decree, Defendants are enjoined from any further use of Central Ferry HMU and are specifically enjoined from using the subject federal lands for any ranching or other business or commercial uses, or any related activities (i.e., inter alia, livestock business, ranching, etc.). 4. Defendants shall coordinate with USACE on the time and manner of the access required to complete their responsibilities and the USACE shall cooperate and coordinate with Defendants on the time and manner of the access required for Defendants to complete responsibilities under this agreement. United States v. Walter Riley – Settlement Agreement & Consent Decree - 11 Case 2:18-cv-00024-SAB 1 5. ECF No. 61 filed 12/21/22 PageID.244 Page 15 of 41 This Consent Decree in no way affects or relieves either Party of their 2 responsibility to comply with any other applicable federal, state, or local laws, 3 regulations and/or permit(s) 4 5 6 7 8 9 6. This Consent Decree in no way affects the relative rights of the Parties as against any other person – entity that is not a party to this Consent Decree. 7. Both Parties reserve all legal and equitable remedies available to enforce the provisions of this SACD. 8. Nothing in this Consent Decree shall constitute an admission of fact or law by any party. 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 D. Plaintiff’s Obligations 1. At the earliest opportunity after this Consent Decree becomes final, but not later than December 31, 2023, the Corps shall remove or realign the section of federal fence which was found not to adhere to the surveyed boundary. Corps staff will coordinate with Defendants to schedule a reasonable time to accomplish the fence removal or re-alignment work. Corps staff will remove any and all debris after completion of the alignment work and will not cause damage to Defendants’ property during the removal or re-alignment process; 2. The Corps shall, upon receipt of funds by Defendants as outlined in Section II.2 (above), timely begin work on the administrative disposal of the subject 1/3-acre land to Defendants, including timely review and coordination with Defendants’ contractors/consultants. 3. The Corps will make good faith efforts to complete the disposal in a timely manner (i.e., within one year of receipt of the third deposit made in accordance with Section II.2.C, which is contingent upon Defendants complying with all other terms and conditions). 4. The Parties understand that certain aspects of the land disposal will require consultation with outside entities, which may result in delays over which United States v. Walter Riley – Settlement Agreement & Consent Decree - 12 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.245 Page 16 of 41 1 neither party may have control. The parties mutually agree to exercise good faith in 2 pursuing the timely processing – completion of the administrative land disposal. 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 E. Defendants’ Obligations 1. Defendants shall ensure that their livestock do not trespass on Central Ferry HMU public lands in the future, as shown in Exhibits 1A, 1B and 2. The manner of such prevention or dissuasion is left to Defendants’ discretion as capable livestock owners. However, future cattle trespass operations may constitute violations of the parties’ Consent Decree and may be the subject to a motion to show cause and a request for remedial action deemed just and reasonable by the Court under its continuing jurisdiction, as more specifically described in Section III.I.1 below; 2. Defendants shall remove all remaining encroaching equipment, materials and items on federal lands identified in Exhibit 1B, except for that portion of the concrete pad identified in Exhibit 1B. When marking the boundary, pursuant to Exhibit 5, Defendants’ surveyor shall mark with weather resistant paint any portion of the pad which falls upon federal land and Defendant shall take no action to maintain that portion of the pad. Defendants shall complete removal of Exhibit 1B items within 60 days of this SACD being signed. Items identified in Exhibit 1B within the approximate 1/3-acre area of federal land proposed for transfer to Defendants do not require removal unless the transfer does not occur pursuant to the terms of this SACD. Defendants will not cause damage to federal property during the removal. Such removal will be to the satisfaction of Plaintiff, which will not be unreasonably withheld. 3. All parties shall have the right to document, at their own expense, the removal of such personal property and have any experts they wish document such removal for the purpose of assisting that party with addressing any future dispute/disagreement, subject to the access coordination requirements in Section III.C.4 above. United States v. Walter Riley – Settlement Agreement & Consent Decree - 13 Case 2:18-cv-00024-SAB 1 4. ECF No. 61 filed 12/21/22 PageID.246 Page 17 of 41 All parties shall perform in good faith the land disposal process for the 2 transfer of the approximate 1/3-acre identified in Section II.A.1(a). The disposal land 3 transfer will be directed by the Corps and performed in accordance with federal law 4 and Corps regulations and policies. This includes receipt of required periodic deposit 5 payments by Defendants to the Corp for applicable administrative fees, as well as the 6 determined fair market value of the approximate 1/3-acre described in Exhibit 3. Said 7 fair market value will be absent from any improvements (e.g., building) made by 8 Defendants; 9 5. Defendants will timely provide contractor/consultant information/reports 10 to the Corps for its review and administrative processing. Defendants shall also 11 maintain communications with the Corps during the land disposal – transfer process. 12 6. Plaintiff will timely review said information/reports and will timely 13 communicate to Defendants whether said information/reports satisfies various 14 elements of administrative land disposal process. Plaintiff also agrees, barring changes 15 in law/policy/circumstance, they shall follow the administrative process outlined on 16 Exhibit 4 and will not add additional requirements to this process. 17 7. Defendants shall provide an initial administrative fee deposit of not less 18 than $20,000 to the Corps in 60-day intervals beginning 60 days after the SACD is 19 executed by the parties. See e.g., Exhibit 4, Current Projected Phases – Costs for 20 administrative disposition process. A second deposit of $20,000 (if necessary) shall be 21 made 60 days after the first deposit; and another deposit in the amount of $10,000 (if 22 necessary and required by Defendant’s documented administrative review process) 23 shall be paid 45 days after the second $20,000.00 deposit. 24 8. Plaintiff shall return any unused funds to Defendants as soon as 25 reasonably practical after the disposal, and the other personal property removal and 26 restoration settlement terms – conditions have been performed and are completed. 27 Plaintiff has identified the tasks/cost items that must be performed to complete the 28 United States v. Walter Riley – Settlement Agreement & Consent Decree - 14 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.247 Page 18 of 41 1 administrative disposal process and have provided Defendants with a rough cost 2 estimate of the administrative process. See Exhibit 4. Plaintiff will endeavor to keep 3 administrative costs to the necessary minimum. Defendants may request an 4 accounting at any point during the process, but such an accounting may itself require 5 use of deposited administrative funds; 6 9. Defendant shall also promptly make any additional payments of 7 administrative fees that are administratively incurred by the Corps, as needed to 8 complete the land disposition – transfer process (i.e., Defendants’ payment will be 9 provided to the Corps within 30 days of notice of amount due and an accounting or 10 written explanation of the need for more funds). The Corps will use first those funds 11 that were first deposited and Plaintiff shall provide timely payment of the deposits 12 required in Section III.E.7, which will need to be paid before the Corps can work on 13 steps necessary to effectuate the administrative property disposition process; 14 10. Defendants shall complete the restorations described in Section II.A.2(g) 15 above, as outlined in Exhibit 5, in accordance with the timelines stated herein and will 16 complete those obligations by no later than December 31, 2023. Plaintiff has alleged 17 that these restoration activities are necessary due to actions by Defendants, 18 Defendants’ employees, agents or predecessor in interest, or third parties, as 19 previously discussed in Exhibit 5. 20 11. All parties shall have the right to document, at their own expense, the 21 completion of such restoration activities and have any experts they wish document 22 such restoration for the purpose of assisting that party with addressing any future 23 dispute/disagreement, subject to the access coordination requirements in Section 24 III.C.4. 25 26 27 28 F. Dispute Resolution 1. Should any dispute arise with respect to the meaning or requirements of this Consent Decree, the dispute(s) shall, in the first instance, be the subject of good United States v. Walter Riley – Settlement Agreement & Consent Decree - 15 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.248 Page 19 of 41 1 faith negotiations in and among the parties to this SACD. The period for negotiations 2 shall not extend beyond thirty (30) days, starting first with written notice by one party 3 to the other affected party/parties that a dispute exists as to a term or condition of 4 performance, which the party reasonably believes needs to be addressed – negotiated 5 (unless the parties subsequently agree in writing to waiver this notice provision). 6 2. Following expiration of the 30-day negotiation period (or after waiver of 7 the 30-day notice – negotiation requirement), if the affected parties are still unable to 8 agree on the meaning or terms of performance in this SACD, any affected party may 9 petition the Court (via motion on the parties’ Consent Decree) for resolution of any 10 dispute; 11 3. Any petition or motion for resolution (or enforcement) shall briefly set 12 forth the nature of the dispute and a proposal for its resolution. Any other affected 13 party to this SACD shall have thirty (30) days in which to respond to the petition and 14 shall respond with that party’s proposed resolution. In resolving the dispute between 15 the parties, the controlling standard shall be which of the parties' proposals most 16 appropriately fulfills the terms, conditions, requirements, and objectives of the parties’ 17 Consent Decree. 18 4. The filing of a Petition asking the Court to resolve a dispute between the 19 Parties concerning this SACD shall not extend or postpone any other obligation the 20 Parties may have under this Consent Decree. 21 5. Nothing in this Settlement Agreement and Consent Decree waives the 22 right to seek other available civil and/or criminal remedies for future livestock 23 trespasses, associated encroachments and/or damage to the Government’s property, or 24 civil and/or criminal remedies that may be available to Defendant(s) relative to future 25 actions taken by Plaintiff. 26 /// 27 28 United States v. Walter Riley – Settlement Agreement & Consent Decree - 16 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.249 Page 20 of 41 1 G. 2 All notices and communications required under this Consent Decree shall be 3 4 made to the parties through each of the following persons and addresses: 1. 5 TO THE CORPS: Evan Carden, Esq. Assistant District Counsel United States Army Corps of Engineers Walla Walla District 201 North 3rd Avenue, Walla Walla, WA 99362 (509) 527-7717 Evan.J.Carden@usace.army.mil 6 7 8 9 10 ADDRESSEES 2. 11 TO THE UNITED STATES DEPARTMENT OF JUSTICE Tim M. Durkin, Asst. U.S. Attorney or Derek T. Taylor, Asst. U.S. Attorney P.O. Box 1494, Ste. 340 Thomas S. Foley, Jr., Federal Courthouse Spokane, WA 99210-1494 509 835-6319 Derek.Taylor@usdoj.gov 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 3. TO DEFENDANTS: Walter Riley c/o Toni Meacham 1420 Scooteney RD Connell, WA 99326 509-488-3289 ToniPierson@Rocketmail.com Walter Riley 10505 SR 127 Pomeroy, WA 99347 Chad Lindgren 12802 SR 127 Pomeroy. WA 99347 27 28 United States v. Walter Riley – Settlement Agreement & Consent Decree - 17 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.250 Page 21 of 41 1 H. Costs of Suit 2 Except as otherwise stated above, each party to this Consent Decree shall bear 3 its own costs and attorney's fees in this matter. However, should Plaintiff and/or 4 Defendants subsequently be determined by the U.S. District Court to have materially 5 breached or violated the terms - conditions of this SACD, or engaged in bad faith 6 litigation, the offending party may be held, at the U.S. District Court’s discretion and 7 in accordance with applicable law, to be liable for costs and/or attorney's fees 8 resulting from that party’s noncompliance with obligations required by the SACD, 9 and enforcement of the same. 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 I. Continuing Jurisdiction of the Court 1. The Parties may seek enforcement of the requirements of the SACD by motion to the District Court under its ongoing, continuing supervision created herewith and/or any other legal action or remedy available by law. This Court shall retain continuing jurisdiction over this action to enforce or modify the Consent Decree, consistent with applicable law or to resolve all disputes arising hereunder, as may be necessary or appropriate for construction or performance of the SACD. 2. The Parties may seek enforcement of the requirements of the SACD by motion to the District Court under its ongoing, continuing supervision created hereunder and/or any other legal action or remedy available by law. 3. During the pendency of the Consent Decree, any party may apply to the Court for any relief necessary to construe and effectuate the intended purpose of this Consent Decree. J. Modifications Upon its entry by the Court, this Consent Decree shall have the force and effect of a final judgment. Any modification of this Consent Decree shall be in writing and 27 28 United States v. Walter Riley – Settlement Agreement & Consent Decree - 18 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.251 Page 22 of 41 1 shall not take effect unless signed by both the Plaintiff and the Defendants, and 2 approved and entered by the Court. 3 4 K. Force Majeure 5 All parties shall perform the actions required under this SACD within the time 6 limits set forth or approved herein, unless the performance is prevented or delayed 7 solely by events which constitute a Force Majeure event. A Force Majeure event is 8 defined as any event arising from causes beyond the control of parties, including their 9 employees, agents, consultants and contractors, which could not be overcome by due 10 diligence, and which delays or prevents the performance of an action required by this 11 SACD within the specified time period. A Force Majeure event does not include, for 12 example, increased costs of performance, changed economic circumstances, changed 13 labor relations, normal precipitation or climate events, or changed circumstances 14 arising out of the sale, lease or other transfer or conveyance of title or ownership or 15 possession of a site, or actions by either party, their employees, agents, consultants or 16 contractors. A Force Majeure event would include fire, flood, acts of third parties, 17 wildlife, or other Act of God which prevented completion of tasks on schedule. In the 18 event either party believes a Force Majeure event will prevent timely completion of a 19 task, they shall contact the other parties to determine if there is a dispute over the 20 event, or to create a replacement schedule, as appropriate. Even if delay is the result of 21 a Force Majeure event, performance will still be completed at the earliest opportunity. 22 23 24 25 IT IS SO ORDERED. The District Court Clerk is hereby directed to enter this Order and to provide copies to counsel. DATED this _____ day of October 2022. 26 27 STANLEY A. BASTIAN Chief United States District Judge 28 United States v. Walter Riley – Settlement Agreement & Consent Decree - 19 Case 2:18-cv-00024-SAB 1 2 3 4 5 are incorporated by reference into the parties’ Settlement Agreement and Consent Decree (SACD): Exhibit 1A: 2016 Aerial Photograph of Corps’ and Defendants’ properties, with identified trespass – encroachment items; Exhibit 1b: 2022 Aerial Photograph of Corps’ and Defendants’ properties, with identified trespass – encroachment items (post Central Ferry fire – 2022); Exhibit 2: 2015 Aerial Photograph of Corps’ and Defendants’ properties with environmental effects identified; Exhibit 3: Tentatively identified disposal area aerial map; Exhibit 4: Current estimate of projected Phases and related Costs of the USACE’s Administrative Disposition process for transferring title of the proposed 1/3-acre of property to Defendant(s); Exhibit 5: Description and schedule of restoration actions Defendants are to perform on the subject USACE’s federal lands within the Central Ferry HMU. Exhibit 6: 2014 Survey Boundary Map 9 11 12 13 14 15 16 17 18 PageID.252 Page 23 of 41 The following attached Exhibits have been identified and stipulated upon, and 8 10 filed 12/21/22 INDEX OF INCORPORATED EXHIBITS 6 7 ECF No. 61 19 20 21 22 23 24 25 26 27 28 United States v. Walter Riley – Settlement Agreement & Consent Decree - 20 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.253 Page 24 of 41 21 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.254 Page 25 of 41 22 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.255 Page 26 of 41 EXHIBIT 1A Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.256 Page 27 of 41 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.257 Page 28 of 41 EXHIBIT 1B Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.258 Page 29 of 41 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.259 Page 30 of 41 EXHIBIT 2 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.260 Page 31 of 41 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.261 Page 32 of 41 EXHIBIT 3 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.262 Page 33 of 41 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.263 Page 34 of 41 EXHIBIT 4 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.264 Page 35 of 41 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.265 Page 36 of 41 EXHIBIT 5 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.266 Page 37 of 41 Exhibit 5 Restoration Conditions: Defendant shall complete the following restoration actions on the affected federal lands where livestock operations have occurred. Prior to engaging in restoration activities on Corps-managed federal land, Defendants shall coordinate with the Corps representative identified in II.C.4 of the Settlement Agreement/Consent Decree for access: 1) Remove/obliterate the primitive gravel/dirt road leading from Riley private land to the carcass pit(s); 2) Arrange and pay for the repair the boundary markers (any damaged or removed carsonite and witness post), by a state licensed surveyor, in order to prevent disagreement or confusion regarding the boundary. Defendants also agree not to damage boundary markers in the future or allow his livestock to do so. 3) Remediate any known or discovered toxic, hazardous or contaminated waste resulting from prior cattle ranching operations, livestock trespasses and associated / identified encroachments. The parties further acknowledge and agree that the settlement agreement and consent decree does not relieve either party from responsibility for hazardous, toxic or contaminated waste under other applicable state - federal laws. Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.267 Page 38 of 41 EXHIBIT 6 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.268 Page 39 of 41 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.269 Page 40 of 41 Case 2:18-cv-00024-SAB ECF No. 61 filed 12/21/22 PageID.270 Page 41 of 41

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