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Council discusses optional utility-insurance program for customer leaks; staff to gather comparisons
Summary
City staff briefed the council on third-party utility-insurance programs (HomeServe-style) that can cover leak repairs or sewer adjustments; council asked staff to collect comparative data and return with a recommendation before any ordinance change.
Becky (S9) summarized two third-party programs that allow customers to opt into coverage for water and sewer leak repairs and discussed the operational impacts if the city were to participate. She said the city has made 23 sewer adjustments year-to-date totaling $5,006.79 and that some programs include a municipal royalty that can be waived to lower customer fees.
Council members discussed whether participation should be voluntary with an opt-out, or mandatory with an ability to decline in person, and whether the city billing system could implement a line item for participants. Staff noted the billing workload implications and proposed side-by-side comparisons with Salem, which has a similar program, to examine claim experience and administrative burden.
Council asked staff to return with a comparison of program terms, expected administrative workload, and a recommendation on whether to pursue a pilot or an ordinance change.
Key factual notes from the meeting: the city adjusted $5,006.79 via 23 sewer adjustments so far this year; optional municipal royalties can lower customer costs if waived.
