HomeMy WebLinkAboutA002 - Council Action Form dated October 26, 2004 COUNCIL ACTION FORM
ITEM # gt�
DATE: October 26, 2004
SUBJECT:
REPEAL OF LIABILITY INSURANCE REQUIREMENT FOR HOME CONSTRUCTION
BACKGROUND:
Homeowner's performing construction work on their personal residence are not required by
ordinance to be a registered contractor, however, they are currently required to provide the
city with proof of $500,000.00 in general liability insurance before they can receive a
permit. Staff believes this is an unnecessary burden placed on the homeowner wishing to
perform the work themselves. Staff also discussed the proposed revision with the City's
Risk Manager and received a positive endorsement for the repeal.
The liability insurance requirement will remain in effect for contractors doing work on a
residence and for landlord's performing work on their own rental property.
ALTERNATIVES:
1. The City Council can approve the attached ordinance repealing the requirement for
homeowner's to provide proof of general liability insurance amounts of$500,000.00
when engaged in construction activities on their personal residence.
2. The City Council can maintain the current requirement for $500,000.00 in general
liability insurance for homeowners that engage in construction activities on their
personal residence.
MANAGER'S RECOMMENDED ACTION:
It is the recommendation of the City Manager that the City Council adopt Alternative #1.
The liability insurance requirement will remain in effect for contractors doing work on a
residence and for landlord's performing work on their own rental property.
COUNCIL ACTION:
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