ITEM: 10.4 CONSENT AGENDA- Michael Ulrich, Public Works Director
Title
APPROVE APRIL 2012 SEWER BACKUP CLAIM
Background
The sewer backup that resulted from the Lift Station failure on April 9, 2012 has been finalized by the League of MN Cities Insurance Trust (LMCIT). Nine residents in the Amen Corner neighborhood were affected by the backup. The total damages were $360,613.77, of which the City of Blaine is responsible for the deductible of $100,000.00. The deductible will be paid by the City's self-insurance fund.
The backup was a result of equipment failure at the lift station. Additional software programming has been installed in all lift stations to reduce the possibility of any reoccurrence of similar failures.
Staff is seeking Council approval to pay LMCIT pursuant to the City Charter, which requires Council approval of all payments that exceed $10,000. Adequate funds exist in the Self-Insurance Fund
Schedule of Actions
Approve payment of $100,000.00 to the League of MN Cities Insurance Trust.
Recommendation
By Motion, Approve payment of $100,000.00 to the League of MN Cities Insurance Trust to be funded by the City's Self-Insurance Fund