2014/08/13 Council Agenda Packet

J STAFF MEMORANDUM Proposed Sewer and Claims Ordinance Introduction On August 29,2013,and September 6,2013,significant storm events occurred in the City,causing many sewer back-ups and overflows in the City's combined sewer system,which resulted in many claims against the City. These claims total more than$4,000,000 for damage caused by sewer backups and overflows,many of which could have been prevented by sewage backwater prevention devices(BWD), - including backwater valves. Storms of the magnitude of the 2013 events are becoming more common. Accordingly,the purpose of the proposed ordinance is to prepare for these future storm events by(1) requiring BWD installation and(2)providing how the City will handle sewer claims in the future. Backwater Prevention Device Requirement A. BWD Requirement. The ordinance requires that all"Designated Structures"have a properly installed and maintained BWD. A Designated Structure is structure for which a BWD is a prudent sewage backflow prevention measure,such as where there is a plumbing fixture lower than the nearest upstream manhole cover and sewer modeling shows that the adjacent sewer system is susceptible to surcharge. The Public Works Department will notify owners of Designated Structures of the designation by mail. The Public Works Department anticipates designation of about 1800 structures. B. Installation of BWDs at Designated Structures. The Public Works Department is authorized by the proposed ordinance to cause installation of BWDs at Designated Structures in two ways: 1. Private Installation Program. The Public Works Depai t,uent is authorized by the proposed ordinance to establish a program to allow property owners to install BWDs themselves with private contractors,with the City providing a rebate or reimbursement. The amount of this rebate or reimbursement will be generally determined by the cost of installation of a single BWD at a single family residence,which is roughly$2500. This amount may not be enough to install necessary BWDs at larger, more complex structures,such as coimnercial buildings or multi-family buildings. In that case,the property owner will be responsible to pay the difference.The program is being designed now and is anticipated to launch in the fall of this year. This launch may occur in phases. City Council will be kept up-to-date when the program launches. A key feature of the program would be a deadline date included in the letter notifying each property owner of the program. The deadline date would be at least six months after the date of the notification letter. This at least six-month period is intended to give the homeowner time to participate in the program and get their BWD installed. Although a property owner may still participate in the program after the deadline date,the City,as further explained below, will not pay sewer backup claims that arise after the deadline date if a BWD has not been installed. 2. Department Installation. If a Designated Structure owner does not participate in the private installation program,then the proposed ordinance authorizes the Public Works Department to install a BWD in the public right of way. The Public Works Department anticipates that this installation work will occur in large phases,intended for high-risk locations first,and probably City-blocks at a time by City contractors,likely beginning in 2015. Since the installation will take place within the right-of- way,property owner permission is not required and will not be sought. Property owners will be given prior notice of the installation. Under the proposed ordinance,the Public Works Director has discretion to not install BWDs at Designated Structures with complex plumbing(typically commercial facilities)and 1 4