18 - Sewer Service to 2457-2459 Santa Ana Avenue Costa Mesa Sanitary District
…an Independent Special District
Protecting our community’s health and the environment by providing solid waste and sewer collection services.
www.cmsdca.gov
Memorandum
To: Board of Directors
Via : Scott Carroll, General Manager
From: Rob Hamers, District Engineer
Date: August 29, 2013
Subject: Sewer Service to 2457 -2459 Santa Ana Avenue
Summary
The District and the property owner have unfortunately discovered the sewer lateral
serving the residence at 2457 Santa Ana Avenue was inadvertently capped and covered
in concrete by the District in 1977 causing the effluent from the property to essentiall y
drain into the ground at its terminus in Santa Ana Avenue. The District and contractors
have successfully cleaned out the contaminated soil from the broken lateral while
realigning the lateral to another point of connection to the District’s system.
T he property owner has been paying sewer fees to both CMSD and OCSD since 1977
without the benefit of being tied to the system. There are also expenses related to the
week -long construction project of digging through concrete in the street as well as
const ruction on the property. The property is now properly tied to the system.
Staff Recommendation
The Board of Directors approves the following:
1. Reimburse the property owner $23,625.37 for sewer service s not received
from FY 2001/02 to 2012/13 along with rel ated expenses incurred by the
property owner for rehabilitating his sewer lateral .
2. Direct staff to prepare a settlement agreement with the property owner and
authorize the General Manager to sign agreement on behalf of the District .
ITEM NO. 18
Board of Directors
August 29 , 2013
Page 2 of 4
3. Direct staff to file a claim with the Special District Risk Management
Authority (SDRMA) to seek reimbursement for the settlement cost and
repair costs to reconnect the sewer lateral to the District mainline.
Analysis
It has been jointly concluded by Schuler Engineering, Coast Plumbing, District Engineer,
District Inspector, and the property owner Mr. Richard Stoneman, that the sewer lateral for
2457 Santa Ana Avenue has been operating since 1977 by draining into the ground under
and around the CMSD force main outlet manho le. There are two other laterals serving the
property, and the northerly lateral only serves 2459 Santa Ana Avenue, which is on the
same property as 2457, and the southerly lateral was found to be capped at the property
line.
In 1977 (District Engineer s tarted in 1981), the District upsized the force main for the
Santa Ana Pumping Station from 8" to 12" by constructing a new force main. As shown on
the record plans, a new force main discharge manhole was constructed 10 feet north of
the old force main di scharge manhole. The manhole base for the new manhole was
constructed directly on top of the existing sewer lateral and concrete was poured around
the end of the lateral. The lateral has been serving the single -family residence at 2457
since then, with w ater draining out the end of the lateral where the concrete exists. Black
soil was found in this area by Schuler Engineering.
The above conclusion was based on CCTV by CMSD of the District mains, CCTV by
Coast Plumbing of the sewer laterals, CCTV by ProP ipe from inside the District main up
the lateral to its capped end, and excavations by Schuler Engineering.
It appears Mr. Stoneman has a valid claim against the District for the damage to his lateral
in 1977. Besides paying sewer fees to CMSD and OCSD w hile not being connected,
costs incurred for the construction work starting on Monday, August 12, 2013, which
include three days of work by Schuler Engineering, five days of work by Coast Plumbing,
prior work by Coast Plumbing, work by ProPipe, and inciden tal work for tying the
residence at 2457 into the southerly lateral. This includes a new sewer trench across the
owner’s property and relining the lateral.
The property owner has submitted receipts of his sewer assessment fees from FY 2011 -
02 to 2012 -13, the length of time he has owned the property. In addition, the property
owner submitted maintenance and repair receipts performed on his lateral and is
requesting the District reimburse him for these expenses. District Operations Code
Section 9.02.040(c ) states:
“Persons who have paid sewer service fees but who have received no service and
have not been connected to the District’s system shall be eligible for a refund depending
on when the fees were collected as follows:
Board of Directors
August 29 , 2013
Page 3 of 4
Section 9.02.040(c)(1) and Sect ion 9.02.040(c)(2) states:
“(1) If the fees were collected before January 1, 1992, there is no statute of
limitations and the claimant may submit a claim for such amount that he can prove that he
paid and for which he received no service .
(2) If the fees were paid after January 1, 1992, a claim must have been filed
within 180 days of the date of the payment.
Section 9.02.040(c)(2) applies to the property owner. Staff has contacted SDRMA
regarding this issue in which they have advised staff to settle with the property owner and
have District Counsel prepare an appropriate settlement agreement. After the Distri ct
settles with Mr. Stoneman, staff can submit a claim to SDRMA, which will include the cost
of the settlement and the repair costs to reconnect the lateral to the District’s mainline.
Strategic Plan Element & Goal
This item complies with Strategic Plan Element 1.0, Sewer Infrastructure and Goal No. 1.4
System Wide Sewer Replacement and Repair Program.
Legal Review
District Counsel has been in discussion with staff regarding this issue and has reviewed
this report . District Counsel will also prepare the settlement agreement.
Financial Review
The following is a breakdown of the settlement cost: Receipts are attached.
• Sewer assessment fees from FY 2011 -02 to 2012 -13: $ 1,801.28
• CCTV lateral, Propipe: 1,20 6.25
• Remove driveway and landscape, Torres Landscape: 930.00
• Snaked lateral to clear stoppage, California Rooter: 850.00
• Relined lateral, SOS Services, Inc.: 2,900.00
• Pumped wastewater from street, A -1 Septic Pumping: 950.00
• Excavation, Coast Plumbing, Heating & Air: 840.00
• Re -routing sewer lateral, Coast Plumbing, Heating & Air: 11,522.84
• CCTV sewer lateral, Coast Plumbing, Heating & Air: 500.00
• CCTV and hydrojet lateral, Coast Plumbing, Heating & Air: 975.00
• Rent credit to tenant: 1,000.00
• Gift card to tenant for inconvenience and disruption: 150.00
GRAND TOTAL: $23,625.37
Board of Directors
August 29 , 2013
Page 4 of 4
The cost to excavate the original l ateral in the street, including through the concrete that
was covering the lateral, remove the contaminated soil, and cap the lateral so a new point
of connection could be used, including backfilling and repaving the street is in the $20,000
range. This cost is in addition to the $23,625.37 shown above.
Public Notice Process
Copies of this report are on file and will be included with the entire agenda packet for the
August 29 , 2013 Board of Directors regular meeting at District headquarters and on
District’s website.
Alternative Actions
1. Direct staff to report back with more information
Attachment A: Settlement cost receipts