April 23, Newland Communities Attn: Scott Jones th Avenue South, Suite 206 Federal Way, WA 98003

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April 23, 2014 Newland Communities Attn: Scott Jones 33490-9th Avenue South, Suite 206 Federal Way, WA 98003 RE: Major Amendment to the Cascadia (A.K.A. Tehaleh) Employment-Based Planned Community (EBPC) Planned Unit Development (PUD): Phase 1 Revision/Expansion Application Numbers: 760298, 760302, 763634, 763635 Dear Applicant: Transmitted herewith is the Decision on Reconsideration of the Pierce County Hearing Examiner regarding the clarification filed in above-entitled matter along with a revised set of conditions. Very truly yours, SKC/jjp cc: Parties of Record STEPHEN K. CAUSSEAUX, JR. Hearing Examiner -1-

OFFICE OF THE HEARING EXAMINER PIERCE COUNTY DECISION ON RECONSIDERATION CASE NO.: PROPERTY OWNERS: Major Amendment to the Cascadia (A.K.A. Tehaleh) Employment-Based Planned Community (EBPC) Planned Unit Development (PUD): Phase 1 Revision/Expansion Application Numbers: 760298, 760302, 763634, 763635 NASH Cascadia Verde, LLC 16701 S.E. McGillivray Blvd., Suite 150 Vancouver, WA 98683-3462 Cascadia Resort Communities LLC 11747 N.E. 1st Street, Suite 320 Bellevue, WA 98005 APPLICANT: ATTORNEY: PLANNER: Newland Communities Attn: Scott Jones 33490-9th Avenue South, Suite 206 Federal Way, WA 98003 William T. Lynn Gordon, Thomas, Honeywell, et al P.O. Box 1157 Tacoma, WA 98401 Robert Jenkins, Senior Planner By Report and Decision dated April 7, 2014, the Examiner approved a Major Amendment to the Tehaleh Employment-Based Planned Community subject to numerous conditions of approval. On April 14, 2014, William T. Lynn, attorney at law, timely filed a Request for Reconsideration that requested clarification of several conditions of approval. The Examiner did not circulate the Reconsideration Request for comment because in Finding of Fact 12 on Page 14 of the Decision the Examiner advised that he had adopted Mr. Lynn s proposed changes of conditions for East Pierce Fire and Rescue and proposed conditions -2-

substituting language for staff s conditions. Mr. Lynn also noted errors in the numbering of conditions. Since the Reconsideration is consistent with Finding 12 and the Examiner s intent, the Examiner elected not to circulate the request for comment. Based upon Mr. Lynn s Reconsideration Request a new set of conditions is attached hereto and provided to all Parties of Record. Changes are made to Conditions 11, 18, 19C, 30, 32, and 37. Portions of Condition 38 that address Parcel O are renumbered 39, 40, and 41. Condition 40 is renumbered 42. In new Condition 41 the term Condition 24 is changed to Condition 23. Mr. Lynn also requests the Examiner s express authorization to simplify and shorten the Development Agreement. He asserts that every time the approved land use plan is modified, it becomes necessary to modify the Development Agreement as well. Furthermore, the Development Agreement restates information set forth in other documents pertaining to the project, for example, details of the Waste Water Treatment Plant. Mr. Lynn suggests referencing the Agreement between Pierce County and the applicant concerning the plant rather than setting forth the Agreement in the Development Agreement. While Development Agreement issues are beyond the scope of the Reconsideration procedure, the Examiner believes it appropriate to simplify procedural matters so that the project can proceed without having to obtain changes to multiple documents. The Examiner would therefore encourage simplification as much as possible, bearing in mind the impact on interested Parties of Record to include the fire district, school district, cities, and the owner of Parcel O. Since the Examiner will review the Development Agreement, Parties of Record may want to stay involved in the process. However, prior to submitting the Development Agreement to the Examiner for approval, staff and the applicant should ensure that interested parties have the opportunity to provide comment at appropriate times. Should disputes arise, the Examiner does have authority to request that the matter be brought to public hearing for resolution. DECISION: The Request for Reconsideration is hereby granted. ORDERED this 23rd day of April, 2014. STEPHEN K. CAUSSEAUX, JR. Hearing Examiner -3-

TRANSMITTED this 23rd day of April, 2014, to the following: PROPERTY OWNERS: NASH Cascadia Verde, LLC 16701 S.E. McGillivray Blvd., Suite 150 Vancouver, WA 98683-3462 Cascadia Resort Communities LLC 11747 N.E. 1 st Street, Suite 320 Bellevue, WA 98005 APPLICANT: ATTORNEY: Newland Communities Attn: Scott Jones 33490-9 th Avenue South, Suite 206 Federal Way, WA 98003 William T. Lynn Gordon, Thomas, Honeywell, et al P.O. Box 1157 Tacoma, WA 98401 OTHERS: East Pierce Fire & Rescue Attn: John McDonald, Deputy Chief 18421 Veterans Memorial Drive, Suite F Bonney Lake, WA 98391 Joseph F. Quinn 20 Forest Glen Lane S.W. Lakewood, WA 98498 Jason Sullivan 9002 Main Street East, Suite 30 Bonney Lake, WA 98391 Jill Guernsey Deputy Prosecuting Attorney 955 Tacoma Avenue South, #301 Tacoma, WA 98402 Cairncross & Hempelmann Attn: Nancy Bainbridge Rogers 524 Second Avenue, Suite 500 Seattle, WA 98104 Hugh Smith P.O. Box 7217 Bonney Lake, WA 98391 Bruce Mitchell 3220 Magnolia Blvd. Seattle, WA 98199 Mary J. Urback 12417-12 th Street East Edgewood, WA 98372-4-

PIERCE COUNTY PLANNING AND LAND SERVICES PIERCE COUNTY BUILDING DIVISION PIERCE COUNTY DEVELOPMENT ENGINEERING DEPARTMENT PIERCE COUNTY PUBLIC WORKS AND UTILITIES DEPARTMENT TACOMA-PIERCE COUNTY HEALTH DEPARTMENT FIRE PREVENTION BUREAU PIERCE COUNTY PARKS AND RECREATION PIERCE COUNTY COUNCIL PIERCE COUNTY RESOURCE MANAGEMENT PIERCE COUNTY CODE ENFORCEMENT DEPARTMENT OF ECOLOGY ATTORNEY GENERAL S OFFICE -5-

CASE NO.: Major Amendment to the Cascadia (A.K.A. Tehaleh) Employment-Based Planned Community (EBPC) Planned Unit Development (PUD): Phase 1 Revision/Expansion Application Numbers: 760298, 760302, 763634, 763635 APPEAL OF EXAMINER'S DECISION: The final decision by the Examiner may be appealed in accordance with Ch. 36.70C RCW. -6-