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2. Discussion Regarding Private Sewer Lateral Replacement Policy <br /> Steve Hollister gave a brief introduction. Uche Udemezue gave a PowerPoint <br /> presentation regarding the Private Sewer Lateral Replacement Policy. There are <br /> currently a lot of issues with the sewer lines. Materials used are from early 1900's. <br /> Maintenance and failure of the lines are issues of concern. There are 23 miles of sewer <br /> lines built in back yards and the issue is citywide. Uche explained the options that the <br /> City has in dealing with these issues. Council adopted a policy in December 2010 <br /> regarding responsibility for the sewer laterals. Extensive damage was identified in the <br /> sewer serving nine properties on Dowling Boulevard and Beverly Avenue. Property <br /> owners were notified that their back yard sewer main will be abandoned and that they are <br /> responsible for reconnecting to the new sewer main recently installed in their respective <br /> streets. The City is offering assistance by installing the lower lateral portion at no cost to <br /> the owners, and financial assistance toward the cost of installing the upper lateral. <br /> Property owner feedback indicates that a majority feel that the policy is unfair. There <br /> are three options available in dealing with this issue. The first option is to stay with the <br /> current policy and financing. The second option is to stay with the current policy but <br /> extend the payback period to lower monthly payments or offer lien options. The third <br /> option is to amend the current policy and place all responsibility for the sewer lateral <br /> replacement costs on all rate payers; however, that option has legal implications and <br /> challenges. <br /> Discussion ensued and staff responded to questions from the Committee. <br /> Councilmember Starosciak asked if staff needs more time to research the issue. Steve <br /> 1- lollister stated that staff is asking for general guidance on what path to take with the <br /> issue. Councilmember Starosciak asked for a list of properties where this issue exists and <br /> asked if the 900 affected properties have been identified and listed. She asked if the <br /> properties are all in the same area. Uche explained that the properties are not exclusive to <br /> one area; there are properties all over the city. <br /> Councilmember Cutter asked what the worst case scenario would be if the City takes <br /> financial responsibility for all repairs that need to be done. Uche explained that there is <br /> really no way of knowing until all lines are researched. Councilmember Souza pointed <br /> out that the City is fixing mains but not laterals. She stated that the reality of the situation <br /> is that this is a difficult task to undertake with challenges to face and work through. <br /> City Attorney Jayne Williams explained the legal issues related to the private sewer <br /> lateral replacement policy. Dedication of the sewer lines to the City must be done <br /> pursuant to state law. Private lines are private; City lines are public, and there is that <br /> distinction. Financing options were discussed at a City Council m eeting proposing <br /> lengthening the payback terms and lowering payments. Jayne explained that the loan <br /> recommendation is attractive as the City cannot make a gift of public funds by assuming <br /> responsibility for the work on the private lines per the current policy. <br /> Councilmember Souza stated that if lines were to fail, it would be the property owner's <br /> responsibility and homes would be uninhabitable. Uche explained that the main line is in <br /> place in the Dowling Triangle, but property owners have one year to connect the lower <br /> lateral to it. The City has a warranty on the work, but long -term responsibility is the <br /> property owner's. Councilmember Cutter asked if there are plans for more in -depth <br />