HomeMy WebLinkAboutOrdinance 6684113 West Mountain Street
Fayetteville, AR 72701
(479) 575-8323
Ordinance: 6684
File Number: 2023-1024
ORDINANCE TO AMEND §39.10 WATER AND WASTEWATER DAMAGE CLAIMS (AMENDMENT):
AN ORDINANCE TO AMEND §39.10 WATER AND WASTEWATER DAMAGE CLAIMS OF THE
FAYETTEVILLE CODE TO ENABLE THE CITY COUNCIL TO EXCEED THE $50,000.00 LIMITATION ON
COMPENSATION WHEN LARGE, PRESSURIZED WATER TRANSMISSION LINES FAIL AND CAUSE
CATASTROPHIC DAMAGE AND TO DECLARE AN EMERGENCY
WHEREAS, the limitations for compensation with § 39.10 Water and Wastewater Damage Claims are sufficient for
almost all claims and ensure that our rate payers' revenue will be conserved; and
WHEREAS, thirty-six inch (36") diameter and larger pressurized water transmission lines carry so much greater
amount of water under pressure that failure or rupture of such a large water transmission line can cause catastrophically
greater damage to houses and businesses such that those owners might need to be voluntarily compensated by City
Council at a higher maximum level than currently allowed by § 39.10 (C)(4); and
WHEREAS, the City may wish to contractually retain an experienced and competent insurance adjuster for most
claims that may likely exceed $25,000.00 and then rely upon such adjuster's professional analysis to establish possible
compensation rather than requiring each claimant to obtain bids or quotes for all items damaged or destroyed by water
or wastewater system issues.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE,
ARKANSAS:
Section 1: That the City Council of the City of Fayetteville, Arkansas hereby amends § 39.10 Water and Wastewater
Damage Claims by enacting a new (C)(5) and moving the current (C)(5) to the (C)(6) position. The newly enacted
(C)(5) shall be as follows:
"(C)(5) If damage to a residential or commercial property is caused by the failure or rupture of a thirty-six inch (36")
or greater pressurized water transmission line and water from such failure or rupture causes such catastrophic damage
to residential or commercial property that exceeds the Fifty Thousand Dollar ($50,000.00) limit of § 39.10 (C)(4), such
claim should be investigated and reviewed by an experienced and competent insurance adjuster hired by the City who
shall report and certify to the City Council the estimated total amount of loss actually suffered by such claimant. The
City Council may rely on such certified estimate and by two-thirds vote may then decide to authorize payment to the
claimant up to One Hundred Thousand Dollars ($100,000.00) as a further exemption from the normal Twenty -Five
Thousand Dollar ($25,000.00) damage cap."
Section 2: Emergency Clause. The City Council of the City of Fayetteville hereby determines that, in order to protect
Page 1
Ordinance: 6684
File Number: 2023-1024
the peace, health, and safety of its citizens, this ordinance needs to go into effect immediately upon its passage and
approval and be applicable to all pending and future claims pursuant to § 39.10 of the Fayetteville Code.
PASSED and APPROVED on September 19, 2023
Approved:
Page 2
Attest:
`,Itgt t I I I III,,
�\,�RK
FAYETTEVIL
C iiiil►i0�`�``•
CITY OF
FAYETTEVILLE
ARKANSAS
MEETING OF SEPTEMBER 19, 2023
TO: Mayor Jordan and City Council
THRU:
CITY COUNCIL MEMO
2023-1024
FROM: Kit Williams, City Attorney
DATE:
SUBJECT: AN ORDINANCE TO AMEND § 39.10 WATER AND WASTEWATER DAMAGE CLAIMS
RECOMMENDATION:
Council Member Berna is sponsoring an ordinance to amend § 39.10 WATER AND WASTEWATER
DAMAGE CLAIMS
BACKGROUND:
DISCUSSION:
BUDGET/STAFF IMPACT:
ATTACHMENTS: Agenda Request Form - Ordinance to amend water and wastewater claims, ORD AMEND
36.10 WATER AND WASTEWATER DAMAGE CLAIMS, DC - Ordinance to raise possible award for
catastrophic damages to $100,000, 36 INCH AND LARGER MAP
Mailing address:
113 W. Mountain Street www.fayetteville-ar.gov
Fayetteville, AR 72701
City of Fayetteville, Arkansas 113 West Mountain Street
Fayetteville, AR 72701
(479) 575-8323
Legislation Text
File #: 2023-1024
AN ORDINANCE TO AMEND § 39.10 WATER AND WASTEWATER DAMAGE CLAIMS
AN ORDINANCE TO AMEND §39.10 WATER AND WASTEWATER DAMAGE CLAIMS OF THE
FAYETTEVILLE CODE TO ENABLE THE CITY COUNCIL TO EXCEED THE $50,000.00
LIMITATION ON COMPENSATION WHEN LARGE, PRESSURIZED WATER TRANSMISSION
LINES FAIL AND CAUSE CATASTROPHIC DAMAGE AND TO DECLARE AN EMERGENCY
WHEREAS, the limitations for compensation with § 39.10 Water and Wastewater Damage Claims
are sufficient for almost all claims and ensure that our rate payers' revenue will be conserved; and
WHEREAS, thirty-six inch (36") diameter and larger pressurized water transmission lines carry so
much greater amount of water under pressure that failure or rupture of such a large water transmission
line can cause catastrophically greater damage to houses and businesses such that those owners might
need to be voluntarily compensated by City Council at a higher maximum level than currently allowed
by § 39.10 (C)(4); and
WHEREAS, the City may wish to contractually retain an experienced and competent insurance adjuster
for most claims that may likely exceed $25,000.00 and then rely upon such adjuster's professional
analysis to establish possible compensation rather than requiring each claimant to obtain bids or quotes
for all items damaged or destroyed by water or wastewater system issues.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1: That the City Council of the City of Fayetteville, Arkansas hereby amends § 39.10 Water
and Wastewater Damage Claims by enacting a new (C)(5) and moving the current (C)(5) to the (C)(6)
position. The newly enacted (C)(5) shall be as follows:
"(C)(5) If damage to a residential or commercial property is caused by the failure or rupture of a thirty-
six inch (36") or greater pressurized water transmission line and water from such failure or rupture
causes such catastrophic damage to residential or commercial property that exceeds the Fifty Thousand
Dollar ($50,000.00) limit of § 39.10 (C)(4), such claim should be investigated and reviewed by an
experienced and competent insurance adjuster hired by the City who shall report and certify to the City
Council the estimated total amount of loss actually suffered by such claimant. The City Council may
rely on such certified estimate and by two-thirds vote may then decide to authorize payment to the
claimant up to One Hundred Thousand Dollars ($100,000.00) as a further exemption from the normal
Twenty -Five Thousand Dollar ($25,000.00) damage cap."
Page 1
Ordinance: 6684
File Number: 2023-1024
Section 2: Emergency Clause. The City Council of the City of Fayetteville hereby determines that, in
order to protect the peace, health, and safety of its citizens, this ordinance needs to go into effect
immediately upon its passage and approval and be applicable to all pending and future claims pursuant
to § 3 9. 10 of the Fayetteville Code.
Page 2
Civic Clerk Item No.: 2023-1024
AGENDA REQUEST FORM
FOR: City Council Meeting of September 19, 2023
FROM: City Council Member Scott Berna
ORDINANCE OR RESOLUTION TITLE AND SUBJECT:
AN ORDINANCE TO AMEND §39.10 WATER AND WASTEWATER
DAMAGE CLAIMS; OF THE FAYETTEVILLE CODE TO ENABLE THE CITY
COUNCIL TO EXCEED THE $50,000.00 LIMITATION ON COMPENSATION WHEN
LARGE, PRESSURIZED WATER TRANSMISSION LINES FAIL AND CAUSE
CATASTROPHIC DAMAGE AND TO DECLARE AN EMERGENCY
APPROVED FOR AGENDA:
A�k, O✓ k �,, ,fwll-tk
Scott Berna
City Council M
AL
Kit Williams
Fayetteville City Attorney
Approved as to form
G - 2-�
Williams, I(it
From: Berna, Scott
Sent: Thursday, August 24, 2023 8:58 PM
To: Williams, Kit
Subject: Re: raising cap for catastrophic damages from largest water transmission line
I approve
Scott Berna
Ward 3 Position 1
Fayetteville City Council
On Aug 24, 2023, at 3:59 PM, Williams, Kit <kwilliams@fayetteville-ar.gov> wrote:
Scott,
Attached is the proposed ordinance, Agenda Request form for you to sign and return (or simply
confirm your approval by email) and the current Code sections you are proposing to amend.
Kit
<scan.pdf>
ORDINANCE NO.
AN ORDINANCE TO AMEND § 39.10 WATER AND WASTEWATER DAMAGE CLAIMS
OF THE FAYETTEVILLE CODE TO ENABLE THE CITY COUNCIL TO EXCEED THE
$50,000.00 LIMITATION ON COMPENSATION WHEN LARGE, PRESSURIZED WATER
TRANSMISSION LINES FAIL AND CAUSE CATASTROPHIC DAMAGE AND TO
DECLARE AN EMERGENCY
WHEREAS, the limitations for compensation with § 39.10 Water and Wastewater Damage
Claims are sufficient for almost all claims and ensure that our rate payers' revenue will be
conserved; and
WHEREAS, thirty-six inch (36") diameter and larger pressurized water transmission lines carry
so much greater amount of water under pressure that failure or rupture of such a large water
transmission line can cause catastrophically greater damage to houses and businesses such that
those owners might need to be voluntarily compensated by City Council at a higher maximum
level than currently allowed by § 3 9. 10 (C)(4); and
WHEREAS, the City may wish to contractually retain an experienced and competent insurance
adjuster for most claims that may likely exceed $25,000.00 and then rely upon such adjuster's
professional analysis to establish possible compensation rather than requiring each claimant to
obtain bids or quotes for all items damaged or destroyed by water or wastewater system issues.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1: That the City Council of the City of Fayetteville, Arkansas hereby amends § 39.10
Water and Wastewater Damage Claims by enacting a new (C)(5) and moving the current (C)(5)
to the (C)(6) position. The newly enacted (C)(5) shall be as follows:
"(C)(5) If damage to a residential or commercial property is caused by the failure or rupture of a
thirty-six inch (36") or greater pressurized water transmission line and water from such failure or
rupture causes such catastrophic damage to residential or commercial property that exceeds the
Fifty Thousand Dollar ($50,000.00) limit of § 36.10 (C)(4), such claim should be investigated and
reviewed by an experienced and competent insurance adjuster hired by the City who shall report
and certify to the City Council the estimated total amount of loss actually suffered by such
claimant. The City Council may rely on such certified estimate and by two-thirds vote may then
decide to authorize payment to the claimant up to One Hundred Thousand Dollars ($100,000.00)
as a further exemption from the normal Twenty -Five Thousand Dollar ($25,000.00) damage cap."
Section 2: Emergency Clause. The City Council of the City of Fayetteville hereby determines
that, in order to protect the peace, health, and safety of its citizens, this ordinance needs to go into
effect immediately upon its passage and approval and be applicable to all pending and future
claims pursuant to § 3 9. 10 of the Fayetteville Code.
PASSED and APPROVED this 191h day of September, 2023.
APPROVED:
ATTEST:
LIONELD JORDAN, Mayor KARA PAXTON, City Clerk/Treasurer
DEPARTMENTAL CORRESPONDENCE
OFFICE OF THE
CITY ATTORNEY
TO: Mayor Jordan
City Council
CC: Susan Norton, Chief of Staff
Tim Nyander, Utilities Director
FROM: Kit Williams, City Attorney ./
DATE: August 25, 2023
Kit Williams
City Attorney
Blake Pennington
Assistant City Attorney
Jodi Batker
Paralegal
RE: Ordinance to raise possible award for catastrophic damages caused by
very large (36" or larger) pressurized water transmission lines to
$100,000.00
City Council Member Scott Berna requested that I draft a potential code
change to raise the final cap for possible compensation for catastrophic damages
caused by a rupture or other problem with the City's largest pressurized water
transmission lines (36 inch or larger). These larger lines carry massively more water
under pressure than our smaller water lines so that a break in such large lines can
cause significantly greater property damage.
Our Utilities Department is already testing whether in more complex and
expensive water/sewer claims, the use of an experienced insurance adjuster could
speed the possible compensation procedure and ensure an even fairer
recommendation of reasonable compensation could be made to the City Council.
This code revision expressly recommends the use of a contracted insurance adjuster
for any losses from the larger pipes that could exceed $50,000.00. However, such
adjuster could also be used in smaller claims to obtain a certified estimate for City
Council consideration. This would relieve the homeowner from having to obtain
three quotes or bids from contractors willing to do various parts of (often relatively
minor) repair work. The City could rely on the expertise of such adjuster concerning
depreciated value and reasonable repair costs. Such adjuster could save substantial
staff time needed in complex repair cases. The City Council would still retain its
absolute discretion whether to grant any compensation, and is so, how much
compensation is proper.
ORDINANCE NO.
AN ORDINANCE TO AMEND § 39.10 WATER AND WASTEWATER DAMAGE CLAIMS
OF THE FAYETTEVILLE CODE TO ENABLE THE CITY COUNCIL TO EXCEED THE
$50,000.00 LIMITATION ON COMPENSATION WHEN LARGE, PRESSURIZED WATER
TRANSMISSION LINES FAIL AND CAUSE CATASTROPHIC DAMAGE AND TO
DECLARE AN EMERGENCY
WHEREAS, the limitations for compensation with § 39.10 Water and Wastewater Damage
Claims are sufficient for almost all claims and ensure that our rate payers' revenue will be
conserved; and
WHEREAS, thirty-six inch (36") diameter and larger pressurized water transmission lines carry
so much greater amount of water under pressure that failure or rupture of such a large water
transmission line can cause catastrophically greater damage to houses and businesses such that
those owners might need to be voluntarily compensated by City Council at a higher maximum
level than currently allowed by § 3 9. 10 (C)(4); and
WHEREAS, the City may wish to contractually retain an experienced and competent insurance
adjuster for most claims that may likely exceed $25,000.00 and then rely upon such adjuster's
professional analysis to establish possible compensation rather than requiring each claimant to
obtain bids or quotes for all items damaged or destroyed by water or wastewater system issues.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1: That the City Council of the City of Fayetteville, Arkansas hereby amends § 39.10
Water and Wastewater Damage Claims by enacting a new (C)(5) and moving the current (C)(5)
to the (C)(6) position. The newly enacted (C)(5) shall be as follows:
"(C)(5) If damage to a residential or commercial property is caused by the failure or rupture of a
thirty-six inch (36") or greater pressurized water transmission line and water from such failure or
rupture causes such catastrophic damage to residential or commercial property that exceeds the
Fifty Thousand Dollar ($50,000.00) limit of § 36.10 (C)(4), such claim should be investigated and
reviewed by an experienced and competent insurance adjuster hired by the City who shall report
and certify to the City Council the estimated total amount of loss actually suffered by such
claimant. The City Council may rely on such certified estimate and by two-thirds vote may then
decide to authorize payment to the claimant up to One Hundred Thousand Dollars ($100,000.00)
as a further exemption from the normal Twenty -Five Thousand Dollar ($25,000.00) damage cap."
Section 2: Emergency Clause. The City Council of the City of Fayetteville hereby determines
that, in order to protect the peace, health, and safety of its citizens, this ordinance needs to go into
effect immediately upon its passage and approval and be applicable to all pending and future
claims pursuant to § 3 9. 10 of the Fayetteville Code.
ef- U rrcx + I A-W
39.02 FAYETTEVILLE CODE OF ORDINANCES
TITLE III ADMINISTRATION
39.02-39.09 Reserved
ARTICLE II DAMAGE CLAIMS
39.10 Water And Wastewater Damage Claims
(A) Establishment of Property Damage Claim Compensation Policy.
(1) Without waiving its statutory sovereign immunity, the city establishes the following
voluntary policy governing the permissible payment of reasonable compensation for
property damage claims proximately caused by a failure of the municipally owned water
or wastewater infrastructure system that results in a trespass into and damage to private
property.
(B) Requirements for Property Damage Claims To Be Eligible for Compensation.
(1) The cause of the damage must be directly attributed to a failure of municipal infrastructure
owned and operated by the Fayetteville Water and Wastewater utility, and cannot be
associated with or caused by a private sewer or water connection or service line.
(2) The failure must not be caused by factors beyond the city's control such as loss of
electrical service; flooding of its infrastructure; acts of third parties; failure of claimants to
properly maintain protective devices (back flow valves, check valves, clean out caps,
etc.); acts of God; and other circumstances beyond the city's control.
(3) A claim form must be completed in writing and submitted to the Mayor's Office within thirty
(30) days of property damage occurrence. Claim forms may be supplemented later with
additional information, bills, etc. as allowed by the Utilities Director of the City of
Fayetteville. Failure to submit the initial claim.form within thirty (30) days of the incident
terminates the claimant's opportunity to request compensation.
(4) When a possible water leak claim has been promptly called to the attention of water and
sewer staff who initially could not detect or determine the cause of such leak which then
caused the property owner to invest in sump pumps and/or other reasonable measures
to protect its property, compensation for such property damage prevention efforts may be
paid pursuant to this article if a compensable water leak is later discovered or confirmed
by city staff.
(C) Limitation of Any Compensation That Might Be Paid.
(1) Because the City of Fayetteville is protected by sovereign immunity, the city shall.pay no
compensation for any alleged damage associated with or related to any alleged personal
injury (except a medical insurance deductible or co -payment) or any other damage
except for property damage.
(2) Compensation which may be paid for damage to property shall be limited to the cost of
cleaning or repair of the damage or, in the event that the cost of cleaning or repair
exceeds the fair market value of the subject property, less salvage value, compensation
shall be limited to the fair market value of the damaged property less any salvage value.
Supp. No. 4 CD39:2
GJv'/c44 I *w
FAYETTEVILLE CODE OF ORDINANCES 39.11
TITLE III ADMINISTRATION
No compensation shall be paid for inconvenience, loss of use, loss of profits or rents,
consequential damages, or anything other than cleaning, repair or replacement of
property, and, in extreme cases, dislocation expenses not to exceed three (3) days.
(3) No payment by the city may accrue to the benefit, directly or indirectly, of an insurance
carrier, nor for any damage if such is covered by any insurance policy. If the insurance
company waives any subrogation right, the city may pay an amount equal to the
deductible already paid by the claimant for a property damage claim. Claimants shall be
required to provide documents satisfactory to the city establishing their insurance
coverage or lack thereof for any claim.
(4) The Utilities Department Director may not authorize any payment greater than $10,000.00
for any claim pursuant to this section. The Mayor may request the City Council to
authorize an amount greater than $10,000.00 by resolution, but in no case shall the city
pay more than $25,000.00 pursuant to this claims procedure for a damage claim related
to a water or wastewater utility infrastructure occurrence unless in an extraordinary case
the Mayor recommends and the City Council by two-thirds (2/) majority approves an
exemption from the $25,000.00 damage cap and approves a payment up to $50,000.00.
(5) This subsection does not pertain to nor affect in any manner the motor vehicle liability
insurance requirements of A.C.A. §21-9-303 nor the claims procedure and limitations to
comply with that state law.
(D) Discretion of the City.
(1) The city acting through its Utilities Department Director has complete and sole discretion
whether or not to pay any compensation pursuant to this section if the claimant has
properly and timely submitted the claim form and all necessary documentation. This
section provides no right to compensation for any claimant, nor any right to appeal to the
Mayor or City Council.
(E) Release Required if Compensation Paid.
(1) If the city offers to pay any compensation pursuant to this section, the claimant must sign
a full release to receive the compensation offered by the city.
(Ord. No. 5504, 6-5-12; Ord. No. 5938, §1, 12-20-16; Ord. No. 6576, § 1, 6-21-22)
39.11 Damage Claims Other Than Water And Wastewater Damage Claims
(A) Establishment of Property Damage Claim Compensation Policy.
(1) Without waiving its statutory sovereign immunity, the city establishes the following
voluntary policy governing the permissible payment of reasonable compensation for
property damage claims (other than water and wastewater) proximately caused by
uninsured city vehicles, equipment, infrastructure, or personnel activities. Claims relating
to city vehicles which are insured shall be handled by the city's insurance adjustor
(currently the Municipal League) except that very small property damage claims may be
voluntarily paid by the city if a full release is obtained.
Supp. No. 26 CD39:3
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Form v1 33
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me is
A WEHCO MEDIA COMPANY
Account#: NWCL5004205 RECEIVED
Company: CITY OF FAYETTEVILLE-CLERKS OFFI SEP 2 5 2023
Ad number#: 328876
PO#: CITY OF FAYETTEVILLE
CITY CLERK'S OFFICF
Matter of: ORD 6684 •
1
AFFIDAVIT•STATE OF ARKANSAS
I.Carla Gardner,do solemnly swear that I am the Finance Director of the Democrat Gazette,a daily newspaper printed
and published in WASHINGTON county,State of ARKANSAS;that I was so related to this publication at and during
the publication of the annexed legal advertisement in the matter of:
ORD 6684
Pending in the court,in said County,and at the dates of the several publications of said advertisement stated below,and
that during said periods and at said dates,said newspaper was printed and had a bona fide circulation in said County,
that said newspaper had been regularly printed and published in said county,and had a bona fide circulation therein for
the period of one month before the date of the first publication of said advertisement;and that said advertisement was
published in the regular daily issues of said newspaper as stated below.
And that there is due or has been paid the Democrat Gazette for publication the sum of$198.90.(Includes
$0.00 Affidavit Charge).
NWA Democrat Gazette 09/23/23;NWA nwaonline.com 09/23/23
Finance Director
State of ARKANSAS,County of WASHINGTON,Subscribed
and sworn to before me on this 25th day of September,2023
.�o`t^��?s'. CATHERINE STAGGS
=. '�TAA*N.F MY COMMISSION N 12402772
• EXPIRES:February 28, 2025
:-'*Ati ' . Washington County
NOTARY PUBLIC J -
•
•
Ordinance:6684 Approved:
File Number: 2023-1024 Lioneld Jordan,Mayor
ORDINANCE TO AMEND Attest:
§39.10 WATER AND WASTE- Kara Paxton,
WATER DAMAGE CLAIMS City Clerk Treasurer
(AMENDMENT): This publication was paid for
AN ORDINANCE TO AMEND by the City Clerk-Treasurer of
§39.10 WATER AND WASTE- the City of Fayetteville,OFWATER DAMAGE CLAIMS Arkansas.
THE FAYETTEVILLE CODETO EN- Amount paid:$198.90 RECEIVED
ABLE THE CITY COUNCIL TO EX- Sept.23,2023 328876
CEED THE $50,000.00
LIMITATIONON COMPENSATION ED SEP 2 5 2023 •
WHENLARGE, PRESSURIZED
WATER TRANSMISSION LINES
FAIL AND CAUSE CATASTROPHIC •
DAMAGE AND TO DECLARE AN CITY OF FAYETTEVILLE
EMERGENCY CITY CLERK'S OFFICE
WHEREAS,the limitations for
compensation with § 39.10
Water and Wastewater Damage
Claims are sufficient for almost
all claims and ensure that our
rate payers' revenue will be
conserved;and
WHEREAS, thirty-six inch
(36")diameter and larger pres-
surized water transmission lines
carry so much greater amount
of water under pressure that
failure or rupture of such a large
water transmission line can
cause catastrophically greater •
damage to houses and busi-
nesses such that those owners
might need to be voluntarily
compensated by City Council at
a higher maximum level than
currently allowed by§39.10
(C)(4);and
WHEREAS,the City may wish
to contractually retain an expe-
rienced and competent insur-
ance adjuster for most claims
that may likely exceed
$25,000.00 and then rely upon
such adjuster's professional
•
• analysis to establish possible
compensation rather than re-
quiring each claimant to obtain
bids or quotes for all items
damaged or destroyed by water
or wastewater system issues.
NOW THEREFORE,BE IT OR-
DAINED BY THE CITY COUNCIL
OF THE CITY OF FAYETTEVILLE,
ARKANSAS:
Section 1: That the City
Council of the City of Fayet-
teville,Arkansas hereby amends
§39.10 Water and Wastewater
Damage Claims by enacting a
new(C)(5)and moving the cur-
rent(C)(5)to the(C)(6)position.
The newly enacted(C)(5)shall
be as follows:
"(C)(5)If damage to a resi-
dential or commercial property
is caused by the failure or rup-
•
ture of a thirty-six inch(36")or
greater pressurized water trans-
mission line and water from
such failure or rupture causes
such catastrophic damage to
residential or commercial prop-
erty that exceeds the Fifty Thou-
sand Dollar($50,000.00)limit of
§ 39.10 (C)(4), such claim
should be investigated and re-
viewed by an experienced and
competent insurance adjuster
hired by the City who shall re-
port and certify to the City
Council the estimated total
amount of loss actually suffered
by such claimant. The City
Council may rely on such certi-
fied estimate and by two-thirds
vote may then decide to author-
ize payment to the claimant up
to One Hundred Thousand Dol-
lars(S100,000.00)as a further
exemption from the normal
Twenty-Five Thousand Dollar
($25,000.00)damage cap."
Section 2: Emergency
Clause. The City Council of the
City of Fayetteville hereby deter-
. mines that,in order to protect
the peace,health,and safety of
its citizens, this ordinance
needs to go into effect immedi-
ately upon its passage and ap-
proval and be applicable to all
pending and future claims pur-
suant to§39.10 of the Fayet-
teville Code.
PASSED and APPROVED on
September 19,2023