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Commission approves $5 million supplemental appropriation request for wastewater claims
Summary
The commission adopted a resolution authorizing the general manager to request mayoral and Board of Supervisors approval for a $5 million supplemental appropriation to the wastewater enterprise to cover claims, settlements and related legal expenses arising from December 2014 storms.
The commission voted Oct. 13 to adopt a resolution authorizing the general manager to request that the mayor and Board of Supervisors approve a $5,000,000 supplemental appropriation for the wastewater enterprise to pay claims, settlements, legal fees and related litigation costs stemming from the December 2014 storms.
Noreen Ambrose of the City Attorney’s Office explained the supplemental appropriation was introduced by the mayor and will be heard by the Board of Supervisors’ Budget and Finance Committee. Ambrose and staff said the wastewater enterprise has exhausted appropriated funds for claims and litigation related to the storms and that the additional appropriation is necessary to continue settling claims and avoid protracted litigation.
The commission moved and approved the resolution by voice vote; staff noted similar supplemental appropriations had been sought earlier in the year but were insufficient for the current need.
Next steps: staff will transmit the approved resolution to the mayor and Board of Supervisors and will appear at the Board’s committee hearing to seek the appropriation.
