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TO: <br />FROM: <br />Ron Moorse, City Administrator I <br />John R. Gerhardson, Public Works Director <br />DATE:January 21, 1993 <br />SUBJECT: Claim for Reimbursement 1580 Bohn's Point Road <br />Prior to the reconstruction of Lift Station Number 9 on Bohn's <br />Point Road, the resident at 1580 Bohn's Point Road experienced <br />sewage backup into their home. Also durinc the rehabilitation of <br />Lift Station Number 9 in 1992, the same resident experienced backup <br />of sewage due to temporary pump failure. <br />In each case, the insurance company has paid the claims presented <br />by the resident or their contractors. <br />During the last incident, the resident submitted claims in the <br />amount of $7,440.39. The insurance company reimbursed the resident <br />$6,104.89 leaving a balance unpaid of $1,335.52. The insurance <br />company stated that they cannot reimburse tne balance requested <br />because they do not feel the claims are for damages but <br />improvements that the property owner has h^i built in to minimize <br />the impact of any future backup problem. <br />The property owner is requesting full reimbursement due to the <br />inconvenience, the loss of the use of those lower le^'^els during the <br />time of reconstruction of the lift station as they did not wish to <br />complete the repairs until the reconstruction of the lift station <br />was complete. <br />lYpically this matter would be resolved at this level. However, <br />Mr. Kovacevich feels very strongly that he has had to endure undue <br />hardship in putting up with a great deal of inconvenience and a <br />very undesirable mess during this whole time. <br />Staff also feels that the amount requested of $1,335.52 is a <br />reasonable amount and recommend approval with the understanding <br />that payment would be made conditional upon receiving a signed <br />release. <br />\