HomeMy WebLinkAboutResolution No. 2014-140 Ltd Sewer & Water Property Damage Protection for Main Breaks w1��, I
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RESOLUTION NO. 2014-140
ESTABLISHING LIMITED CLEAN UP AND
PROPERTY DAMAGE PROTECTION FOR SEWER BACK-UPS AND
WATER MAIN BREAKS FOR WATER AND SEWER CUSTOMERS
WHEREAS, the City of Edina provides water and sanitary sewer services to property within its jurisdiction; and
WHEREAS, water main breaks may cause water to enter into property causing damage; and
WHEREAS, blockages or other conditions in the City of Edina's sanitary sewer lines may cause the back-up of
sewage into properties that are connected to the City of Edina's sanitary lines; and
WHEREAS, water main breaks and sewer back-ups pose a public health and safety concern; and
WHEREAS, it is often difficult to determine the exact cause and responsibility for water main breaks and
sanitary sewer back-ups, and
WHEREAS, the governing body of the City of Edina desires to encourage the expeditious clean-up of properties
• that have encountered damage from water main breaks and sewer back-ups; and
WHERAS, the governing body of the City of Edina desires to minimize the potential of expensive lawsuits arising
out of water main breaks and sanitary sewer back-up claims; and
WHEREAS, the City of Edina is a member of the League of Minnesota Cities Insurance Trust(LMCIT); and
WHEREAS, LMCIT has offered the City of Edina limited "no fault" sewer coverage and water main break
coverage that will reimburse users of the water and sewer system for certain clean-up costs and property
damage regardless of whether the City of Edina is at fault.
NOW, THEREFORE, BE IT RESOLVED, as follows:
The City of Edina, as part of the contract for providing water and sewer- services to the customers of the City of
Edina, and in consideration of the payment of water and sewer bills, agrees to reimburse water and sanitary
sewer customers for up to $40,000.00 of clean-up costs and property damages caused by a water main break or
sanitary sewer back-up, regardless of whether the City of Edina is negligent or otherwise legally liable for
damages, subject to the following conditions:
I. Sanitary Sewer Back-Ups. For sanitary sewer back-ups:
A. The back-up must have resulted from a condition in the City of Edina's sanitary sewer system or lines,
and not from a condition in a private line.
B. The back-up must not have been caused by catastrophic weather or other events for which Federal
• Emergency Management Assistance is available.
CITY OF EDINA
4801 West 50th Street•Edina,Minnesota 55424
www.EdinaMN.gov•952-927-8861 . Fax 952-826-0390
C. The back-up must not have been caused by an interruption in electric power to the City of Edina's
• sewer system or to any City of Edina lift station, which continues for more than 72 hours.
D. The back-up must not have been caused by rainfall or precipitation that would constitute a 100-year
storm as determined by the National Weather Service.
E. Neither the City of Edina nor LMCIT will reimburse any costs which have been or are eligible to be
covered under a property owner's own homeowners' or other property insurance, or which would be
eligible to be reimbursed under a National Flood Insurance Protection (NFIP) policy,whether or not the
property owner actually has NFIP Coverage.
F. The maximum amount that the City of Edina or LMCIT will reimburse is $40,000.00 per building, per
year. In this regard, a structure or group of structures served by a single connection to the City of
Edina's sewer system is considered a single building.
ll. Water Main Breaks. For water main breaks:
A. LMCIT will pay for claims presented by the City of Edina for water main break damage to property of
others which was not caused by the City of Edina's negligence.
B. Neither the City of Edina nor LMCIT will pay for damages or expenses for which the property owner
has been or is eligible to be reimbursed by any homeowners' or other property insurance.
C. The maximum amount that the City of Edina or LMCIT will reimburse is $40,000.00 to any claimant,
regardless of the number of occurrences or the number of properties affected.
D. Neither the City of Edina nor LMCIT will pay more than $250,000 for water main break damages
resulting from any single occurrence. All water main break damage which occurs during any period of
72 consecutive hours is deemed to result from a single occurrence. If the total water main break
damage for all claimants in a single occurrence exceeds $250,000,the reimbursement to each claimant
• will be calculated as follows:
1. A preliminary reimbursement figure is established for each claimant, equal to the lesser of the
claimant's actual damages or $40,000.00.
2. The sum of the preliminary reimbursement figures for all claimants ill be calculated.
3. Each claimant will be paid a percentage of his or her preliminary r i bursement figure, equal to the
percentage calculated by dividing $250,000 by the sum of all cl 'm n ' preliminary reimbursement
figures.
Dated: November 18, 2011-4
Attest:
Debra A. Mangen, City CleC James B. Hovland, Mayor
STATE OF MINNESOTA)
COUNTY OF HENNEPIN) SS
CITY OF EDINA )
CERTIFICATE OF CITY CLERK
I, the undersigned duly appointed and acting City Clerk for the City of Edina do hereby certify that the attached
and foregoing Resolution was duly adopted by the Edina City Council at its Regular Meeting of November 18,
2014, and as recorded in the Minutes of said Regular Meeting.
WITNESS my hand and seal of said City this day of
• City Clerk