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5.5. ERMUSR 07-15-2008Ok River l Municipal Uaimes 13069 Orono Parkway • P.O. Box 430 Elk River, MN 55330.0430 July 3, 2008 To: Elk River Municipal Utilities Commission Jerry Takle John Dietz Jerry Gumphrey From: Bryan Adams Subject: Water Shut -Off Policy Phone: 763.441.2020 Fax: 763.441.8099 At the June 2008 Elk River Municipal Utilities Commission meeting, a water shut-off policy was discussed. Attached is my June 3, 2008 memo outlining this issue. Staff was directed to draft a proposed policy for your review with the Elk River Municipal Utilities personnel doing the shut- offs. Attached is a proposed water shut-off request which was reviewed by Ron Black. As stated in my June 3, 2008 memo, it is difficult to set a reasonable fee to cover all conditions. My approach with my best guess is as follows. 50% of time — 1 person — 2 hours ($100) ................... $ 50 30% of time — 2 people — 4 hours ($352) .................. $106 20% of time — Contractor with back hoe ($2000)....... $400 $556 - Use $600 4rr.; Elk Rive Municipal Utilities 13069 Orono Parkway • P.O. Box 430 Elk River, MN 55330-0430 June 3, 2008 To: Elk River Municipal Utilities Commission Jerry Takle John Dietz Jerry Gumphrey From: Bryan Adams Subject: Water Shut -Off Policy (A Can of Worms and a Bag of Snakes) Phone! 763.441.2020 Fax: 763.441.8099 The mortgage crisis and the number of foreclosed and vacant homes continue to be very troublesome. The issue your staff wrestles with is, should we or should we not be turning the water off at the curb stop if we know the house is vacant or if we are asked by the mortgage holder to turn off the water. When the electric is disconnected, the water pipes will freeze in the winter and water damage will occur. The prds and cons of turning off the water at the curb stop is as follows: Prds Cons 1) Provides good customer service by offering this service. 2) Possibly provides a revenue source by charging for this service. Ability to collect fee may be difficult. 3) Prevents further water damage to house. 4) Minimizes water loss and lost water revenue from broken and running water lines in the home or business. 1) It often takes 3 to 4 hours to find the curb stop. It would be difficult to set a reasonable fee to cover all conditions—collecting fee from out-of-state owners will be difficult. 2) Many curb stops are damaged (20%-30%) where they are not operable and water cannot be shut off. 3) If we agree to turn off the water at the curb stop but cannot do it due to a damaged curb stop, we have assumed some liability for damages if we do not notify the owner of our inability to shut off the water. (We currently have this issue going on with one customer.) /j Eik River Municipal Utilities 13069 Orono Parkway • P.O. Box 430 Phone: 763.441.2020 Elk River, MN 55330-0430 WATER SHUT-OFF Fax: 763.441.8099 REQUEST I, whose address is request that Elk River Municipal Utilities ("ERMU") shut-off the water service at , Elk River, Minnesota (the "Property") at the curb stop. I understand and agree: 1. I declare that I am the owner of the Property and have full and complete authority to request the shut-off of the water service to the Property. 2. I agree that ERMU, its agents or employees shall not be liable to me or those claiming through or under me for any injury or property damage occurring in, on or about the Property as the result of the shut-off of water service. I understand that the $600.00 payment is the fee for the water service shut-off during times when the ground is not frozen and is non-refundable. 4. I agree to indemnify and hold harmless ERMU from and against all costs, expenses and liabilities, including reasonable attorneys' fees, incurred in connection with any claims or proceedings brought in connection with the water service shut-off and defense thereof. 5. I understand that turning off the water simply limits the source of water to the Property, it does not prevent damage to the Property from water due to mold or frozen plumbing fixtures or internal piping. I understand and agree that the scope of work is limited to shutting off the water service at the curb stop and replacement of the curb stop, if necessary, including limited restoration of the Property. (seeding or sod) and sidewalk repair. Restoration does not include replacement of trees, shrubs, or driveways, which are my responsibility. 7. I acknowledge that shutting off the water service does not eliminate the possibility of damage to the Property either before or after shut-off of the water service. Date: Owner: Name Telephone Number: Fax Number: