TO: Mayor and City Council
THROUGH: Keith Stahley, City Manager
FROM: Krishna Namburi, Deputy City Manager
SUBJECT:
title
Claim Settlement Authorization
Ward(s): All Wards
Councilor(s): All Councilors
Neighborhood(s): All Neighborhoods
Result Area(s): Good Governance
end
SUMMARY:
summary
This matter involves flooding to a home due to work being performed by the City of Salem. The home is owned by Lori Festa and Bill Doty. A settlement in the amount of $142,637.73 has been agreed upon to resolve this claim and a release agreement.
end
ISSUE:
Shall the City Council authorize the City Manager to resolve this matter with a payment not to exceed $142,637.73 and execution of a release agreement?
RECOMMENDATION:
recommendation
Authorize the City Manager to resolve this matter with a payment not to exceed $142,637.73 and execution of a release agreement.
body
FACTS AND FINDINGS:
The payment resolves all claims related to the incident and releases the City for any future liability for any related claims or costs.
BACKGROUND:
Due to recent work completed at Pringle Elementary school, an old water main that crossed the school property needed to be abandoned. The Public Works Department proceeded with the abandonment by disconnecting the pipe from a water main located in Reed Lane SE. A plug was placed near a valve in the live section of the abandoned pipe and that section of pipe broke apart prior to the remaining work being completed. The leak caused flooding to the properties North of Reed Lane SE due to the existing topography in the area.
Gail Freeman
Enterprise Risk Manager
Attachments:
None