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File #: WS 19-38    Version: 1 Name: Service Line Warranty Program
Type: Workshop Item Status: Filed
File created: 6/17/2019 In control: City Council Workshop
On agenda: 6/17/2019 Final action: 6/17/2019
Title: POTENTIAL CITY ENDORSEMENT OF UTILITY SERVICE PARTNERS, INC. SERVICE LINE WARRANTY PROGRAM
Sponsors: Jon Haukaas
Attachments: 1. Program Highlights, 2. State League Overview Prez - Minnesota - March 2018 updated, 3. Utility Service Co NLC Insurance Policy, 4. City of Blaine, MN 3 Product Royalty Agreement, 5. USP Warranty Program - Workshop Item

WORKSHOP ITEM Jon Haukaas, Director of Public Works 

                     

Title

POTENTIAL CITY ENDORSEMENT OF UTILITY SERVICE PARTNERS, INC. SERVICE LINE WARRANTY PROGRAM

 

Background

Staff has been contacted by Utility Service Partners, Inc. to request endorsement by the City of Blaine to market their Service Line Warranty program to our residents.  The Service Line Warranty program is a third party insurance program which provides homeowners with repair protection for leaking, clogged, or broken private water and sewer lines between the city main to the home. 

 

This item was briefly discussed on May 20, 2019 and requested to be brought back to another workshop and given more time to discuss.  Councilmembers also asked staff to gather information from some of the cities who have endorsed the program.

 

Staff reached out to the cities of Edina, New Brighton, Richfield, Columbia Heights, and St. Louis Park.  The feedback was consistent with all of the cities.

                     The cities allow either the use of their letterhead or just their logo when soliciting the residents of the city.

                     A strong FAQ document is necessity as the mailings generate a lot of calls questioning the program and its validity.

                     Most use the fee to offset clean up from leaks.

                     USP has a very good Customer Service Line and all cities felt the feedback was 95% positive.

                     Any complaints have generally been due to miscommunications, misunderstanding of what is covered by the programs, or misunderstanding of who manages the program.

 

The attached materials and draft agreement provide additional information for the Council to review and help determine if this is something the City of Blaine is interested in approving.