1633 Utility Service Partners Service Line Program 113
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91\70)9� •Rio Thursday, January 16, 2014
—1877-1
PURCHASING DEPARTMENT
TRANSMITTAL MEMORANDUM
To: City Clerk- Mayor
RE: Utility Service Partners Private Label (Agreement)- Utility Service Line
Warranty Program RFP 12/13-13-
The item(s) noted below is/are attached and forwarded to your office for the following action(s):
Development Order ® Mayor's signature
Final Plat (original mylars) a • se
❑ Letter of Credit Rendering //aprL910/y
❑ Maintenance Bond 1 Safe keepin• - .
Ordinance N -i u y ity Manager
Performance Bond Payment Bond
Resolution P City Manager Signature
I X City Clerk Attest/Signature
Once completed, please:
❑ Return originals to Purchasing
Return copies
II
Special Instructions:
Ma-,ritio-, 0rolo-v-ve z, , I
From m ate
T:\Dept_forms\City Clerk Transmittal Memo-2009.doc
77019
-187 779
DOCUMENT APPROVAL 1 / 16/201 4 3:46 PM
Contract Agreement Name: UTILITY SERVICE PARTNERS PRIVATE
LABEL (AGREEMENT)- UTILITY SERVICE LINE WARRANTY
PROGRAM RFP 12/ 13-13
i
asin t,:"!nager Date
L.s. sc,
Finance Director Date
Wo• P4-A- -2
_ p ar# /—
L Attorney Date
Utility Service Partners Private Label, Inc./City Of Sanford Marketing
Agreement And Logo Use Terms And Conditions
RFP 12/13-13 Utility Service Line Program
This Marketing Agreement And Logo Use Terms And Conditions made this
day ]of January, 2014, by and between Utility Service Partners Private Label, Inc., a
Delaware corporation, hereinafter referred to as the "Vendor", whose address is 11
Grandview Circle, Suite 100, Canonsburg, Pennsylvania 15317; and the City of
Sanford, Florida, a Florida municipal corporation, hereinafter referred to as the "City",
whose address is City Hall, 300 North Park Avenue, Sanford, Florida 32771.
In consideration of the mutual covenants herein contained and other good and
valuable consideration, the sufficiency of which is hereby acknowledged,
Witnesseth:
(1). The City hereby grants the Vendor a limited, nonexclusive,
nontransferable, license to use and display the City's Logo (exemplar attached hereto
and hereinafter referred to as the "Logo") in accordance with the terms set forth herein
solely for the use and for a term as set forth herein unless earlier terminated by the City.
You agree not to permit any other party to use or display the Logo. Nothing herein by
implication or otherwise, will grant the Vendor any rights other than as explicitly set forth
herein. The Vendor understands and agrees that any other use of the Logo whatsoever
beyond the allowed use is strictly prohibited which use constitutes a breach of this
Agreement and grounds for termination of the Vendor's rights as set forth herein.
(2). The license to use the Logo subject to the following terms and conditions:
1I
(a). The Vendor agrees that to use the Logo separately by itself, without any
prefix, suffix or modifying words, terms, designs or symbols and agree not to alter the
Logo in any manner.
(b). The Vendor agrees that the Logo shall not be used for political or
commercial purposes not specifically set forth herein.
(c). The Vendor agrees tot to use any other trade mark, any trade name,
product name or any other means of designation, commercial or business identification
in association with the Logo so as to create a trademark merged with the Logo.
(d). The Vendor agrees not to use the Logo in any manner that may disparage
the City, its Mayor, City Commission members, employees, agents and others acting on
its behalf (collectively, the "Related Parties"); that may be in violation of any of the
proprietary rights of the City or the Related parties; or that violates any applicable law,
Ordinance, Land Development Code, or regulation.
(e). The Vendor agrees not to use the Logo in any manner that might imply
sponsorship, endorsement or any association between you and the City or the Related
Parties except as specifically set forth herein. This prohibition specifically includes, but
is not limited to, political campaign material.
(f). The Vendor agrees not to assist or allow any other person or legal entity
to copy the Logo licensed to the Vendor or to use the Logo for any purpose whatsoever
that is not specifically set forth herein.
(g). The Vendor agrees at all times to defend, indemnify and hold harmless
The City of Sanford, the Related Parties, and the successors and assigns of each of the
foregoing (collectively, the "Indemnified Parties") from and against, and pay and
21
reimburse the Indemnified Parties for, any liabilities, obligations, losses, damages, costs
or expenses (including, but not limited to, interest penalties and reasonable legal fees)
incurred in connection with any third party claims, arising out of, resulting from or
relating to the Vendor's use of the Logo, or any representation by you contained herein
being untrue or any alleged act or omission by the Vendor, others who obtain the Logo
licensed to the Vendor or copied from that Logo, or the Vendor agents in the
performance of, or failure to perform, the Vendor's obligations set forth in this
Agreement.
(h). The Vendor agrees that it will ensure that the Vendor's use of the Logo will
not be in association with any libelous, defamatory, obscene or unlawful material, any
material that might in any manner embarrass the City or the Related Parties, or
otherwise violate or infringe any right of any third party;
(i). The City shall have the right to terminate this Agreement at any time on
ten (10) days' notice to the Vendor whereupon the Vendor shall immediately cease all
use of the Logo and destroy all the Vendor's copies of the Logo.
(j). The Vendor agree that the Logo is provided to The Vendor on an "as is"
basis without representation or warranty whatsoever whether express, implied or by
operation of law. The Vendor agree to assume all of the risks associated with the Logo
and the Vendor's use thereof, and the Vendor further agrees that neither the City nor
the Related Parties will be liable for any direct, indirect, incidental, consequential or
special loss or damage suffered or incurred by the Vendor, even if the City or any of
the Related Parties have been apprised of the likelihood of such loss or damage
occurring.
31
(3). The Vendor shall provide affordable utility service line warranties to
consumers who are customers of the City consistent with sound and generally accepted
technical practices and principles and in accordance with the provisions of this
Agreement.
(4). In consideration of the License Fee (as defined below) to be paid by the
Vendor to the City, the City agrees to cooperate with the Vendor in marketing the
Vendor's services to the City's utility customers as described below:
(a). The City has granted to the Vendor a non-exclusive license to use City's
Logo on letterhead and marketing materials, as set forth above, to be transmitted to the
City's utility customers from time-to-time, and to be used in advertising, all at the
Vendor's sole cost and expense and subject to City's prior review and approval, which
will not be unreasonably conditioned, delayed, or withheld.
(b). As consideration for the granting of such license, the Vendor shall pay to
the City, within thirty (30) days of the end of the each calendar quarter, a royalty of Fifty
Cents ($.50) for every month an individual warranty subscription remains in force and
for which payment is received by the Vendor from a City utility customer during such
calendar year (the "License Fee"). The Vendor shall provide an accompanying
statement certifying the calculation of the License Fee. The Vendor shall continue to
pay the License Fee so long as this Agreement remains in effect. The City will have the
right, at its expense, to conduct an annual audit, upon reasonable notice and during
normal business hours, of the Vendor's books and records pertaining to sales to the
City's utility customers while this Agreement is in effect and for one (1) year after any
termination of this Agreement.
41
(c). The term of this Agreement will be through December 30, 2014 and this
Agreement will then renew on an annual basis unless either of the parties gives the
other advance written notice of at least ninety (90) days prior to the end of a term that it
does not intend to renew this Agreement. Notwithstanding the foregoing, however, the
City may terminate this marketing agreement thirty (30) days after giving notice to the
Vendor that the Vendor is in material breach of this Agreement if such breach is not
cured during such thirty- (30)-day period. The Vendor will be permitted to complete any
marketing initiative initiated or planned prior to the effective date of any termination of
this Agreement and shall pay the License Fee to the City for the calendar year in which
this Agreement is terminated after which time, except for the Vendor's obligation to
permit the City to conduct an audit and the indemnification provision as set forth above,
neither party will have any further obligations to the other and the license described
herein will terminate. The City may terminate this Agreement immediately in the event
of wrongdoing by the Vendor and the City's finding that the public interest demands
such termination action.
(5). In accordance with the provisions of Section 119.0701, Florida Statutes,
public records laws, the Vendor agrees that it will accomplish the following; provided,
however, that, should a public records request be made relative to a document not in
the possession of the City and in the possession of the Vendor and the Vendor asserts
that the document is exempt from public disclosure, then the document shall not be
made available to the public and the Vendor shall bear any and all costs and obligations
relative to the defense of any claim or lawsuit arising under the Public Records Laws of
51
the State of Florida and the Vendor shall indemnify the City from and against any and all
such claims:
(a). Keep and maintain public records that ordinarily and necessarily would be
required by the City in order to perform the service.
(b). Provide the public with access to public records on the same terms and
conditions that the City would provide the records and at a cost that does not exceed
the cost provided in Chapter 119, Florida Statutes, or as otherwise provided by law.
(c). Ensure that public records that are exempt or confidential and exempt
from public records disclosure requirements are not disclosed except as authorized by
law.
(d). Meet all requirements for retaining public records and transfer, at no cost,
to the City all public records in possession of the Vendor upon termination of the
contract and destroy any duplicate public records that are exempt or confidential and
exempt from public records disclosure requirements. All records stored electronically
must be provided to the City in a format that is compatible with the information
technology systems of the City.
If the Vendor does not comply with a public records request, the City shall enforce the
contract provisions in accordance with the contract. Failure by the Vendor to grant such
public access and comply with public records request(s) shall be grounds for immediate
unilateral cancellation of this Agreement by the City. The Vendor shall promptly provide
the City with a copy of any request to inspect or copy public records in possession of
the Vendor and shall promptly provide the City a copy of the Vendor's response to each
such request.
61
(6). This Agreement shall be governed by and construed according to the laws
of the State of Florida and the United States of America and venue for any dispute shall
be in the Eighteenth Judicial Circuit in and for Seminole County, Florida.
(7). The parties agree to engage in reasonable alternative dispute resolution
processes that are non-binding, such as negotiations and mediation, prior to the filing
on any lawsuit relating to this Agreement.
(8). The above represents the entire agreement between the parties.
SIGNATURE PAGE FOLLOWS
71
Attest: Utility Service Partners Private Label, Inc.
hi,...........„.....„....,..t
. -- ! _ - ••-- •, Philip E. RI ey,J+1..
Vice-Pr siden President/Director
f312.Ab / , A,2I- .d-lAIL_ Date: • , L ,o,
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2 Attest: City Of Sanford
CAN-4-4L2-, P By: Alif i,! °F
Cynthia I orter, City Clerk Jeff Triplett B
Mayor
Date: ; i
A pprov> as to form and le•A; .
Aa.�l�.�,!OO
9lirr L. obert City -tt. n'y
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CITY COMMISSION MEMORANDUM 1 3.160
AUGUST 12,20 13 AGENDA
To: ,Honorable.IVlayor and Members of the City Commission
PREPARED Bf Paul Moore, tility Director
SUBMITTED B :— Tort onaparte,Jr.,City Manager _
SUBJECT: Utility Service Line Warranty Program /
SYNOPSIS:
City Commission discussion and award of the utility service line warranty program to one of the
two previous presenters is requested.
FISCAL/STAFFING STATEMENT:
There is no cost to the City for this program. Depending on what proposal and option the City
Commission chooses,revenue could be generated to the City.
BACKGROUND:
On July 22, 2013 the City Commission heard presentations by two companies that submitted
proposals for a utility service line warranty program. The two firms are Utility Service Partners
and Homeserve USA.
The service line warranty program is a program offered by a private company that would cover
repairs to private potable water and/or sanitary sewer lines from the home to the City owned line.
This is basically an insurance policy purchased by the customer to cover the water or sewer lines
on their property (not inside the house). This is a voluntary program that a customer could
participate in. It would not be mandated by the City to require customers to purchase this
insurance.
Highlights of the two proposals are shown below:
Utility Service Homeserve USA Corp.
Partners Inc
1 Brand licensing fee paid to the City $10,000 $20,000
2 Better Business Bureau Rating A+ A-
' $4000 per incident.
additional$4000 if
public street cutting
3 Amount of Coverage necessary $10,000 annual limit
4 Site restoration Basic site restoration Basic site restoration
. which includes which includes
backfill,raking and reinstated shrubs and
reseeding. flowerbeds
5 Florida Office of Insurance Regulations No issues No issues in Florida.
Entered into four
assurances of
voluntary compliance
agreements in four
other states over
language in direct mail
• marketing piece's
6 Local Contractors Licensed and qualified Licensed and qualified
to work in the City to work in the City
7 Monthly cost to customer options- $6.00 w/no $4.49 w/5%($02245)
water service line commission commission to City
$6.50 w/$.50 $4.99 w/ 10%($0.499)
commission to City commission to City w/$.75
•
commission to City
8 Monthly cost to customer options- $8.25 w/no $7.49 w/5%($0.3745)
Sewer Service Line commission to City commission to City
$835 w/$.50 $7.99 w/10%($0399)
commission to City commission to City
$9.00 w/$ .75
commission to the
City
9 Endorsed by the National League of Cities Yes No
LEGAL REVIEW:
The City Attorney will review the agreement once the City Commission selects the firm.
.R•
RECOMMENDATION:
It is staff's recommendation, should the City Commission approve a program, to enter into an
agreement with the City Commission's highest ranked company, with the agreement subject to
review and approval of the City Attorney and the Risk Manager.
SUGGESTED MOTION:
"I move to enter into an agreement with for the utility service
line warranty program with commission fee option with
the agreement subject to review and approval of the City Attorney and Risk Manager,"
Attachments: Information from Utility Service Partner
Information from Homeserve
Ude Madison, WI Sanitary Sewer Service Warranty Program
Partners.irx
r5� 1 V * W :4 .. L a x. " ' ? _:k- r { 19' '`
Attachment J: BBB Profile
What Is a BBB Business Review?
BBB ACCREDITED BUSINESS SINCE 12/14/2008
About Enhanced Services
Service Line Warranties of File a Complaint against Service line
America Warranties of America
Request a Quote from Service Line
Fax:(724)749.4520 Warranties of America
View Additional Phone Numbers
11 Grandview Cir Ste 100,Canonsburg,PA 15317 Accredited Business Directory
partnershlpsa utllltysp.net
http://www.shvoia.com
thee/Additional Web Addresses ASSOCIATED SEARCHES
on a state of A+to F Find BBB Accredited Businesses offering
ACCREDITED .i, Reason for Rating similar services.
BBB. BUSINESS AT Find more businesses offering similar
B
BBB Ratings System services,
-°= Overview
Reason for Rating
BBB rating Is based on 16 factors.Get the details about the factors considered.
Factors that raised the rating for Service Line Warranties of America include:
s Length of time business has been operating.
Complaint volume filed with BBB for business of this size.
s Response to 4 complaInt(s)filed against business.
s Resolution of complaint(s)filed against business.
S BBB has sufficient background information on this business.
Customer Complaints Summary
4 complaints closed with BBB in last;years 14 closed in last t 2 months
Complaint Type Closed Complaints
Advertising/Sales issues 0
Billing/Collection Issues . 1
Delivery Issues 0
Guarantee/Warranty Issues 2
Problems with Product/Service 1
Total Closed Complaints 4
Read Complaints I Definitions I BBB Complaint Process I File a Complaint against Service Line
Warranties of America
See Trends in Complaints on Service Line Warranties of America
Government Actions
BBB knows of no significant government actions involving Service line Warranties of America.
What government actions does BBB report on?
Advertising Review
BBB has nothing to report concerning Service Line Warranties of America's advertising at this time.
- What is BBB Advertising Review?
48 Attachment J: BBB Profile
i See Madison, WI Sanitary Sewer Service Warranty Program
i
Attachment H: Sample Partner
Reports
Partner Summary
Product Claims
Partner Name Description Begin Date End Date Enrollments Filed
External Sewer January 01,2012 December 31,2012 26 12
Line Warrant
Partner City External Water January 01,2012 December 31,2012 22 4
Line Warranty
Total for 1/1/2012—12/31/2012 48 16
Total (To Current Day) 956 70
Royalty Report
Partner Name End Month/Year Payments Received Royalty Amount
Partner City January/2012 $2,637.00 $263.70
Total $2,637.00 $263.70
46 Attachment H:Sample Partner Reports
•
Utility City of Sanford Utility Service Line Insurance /Warranty
Service
Ruiner,Inc.
[ T y I
Attachment G: Contractor Work Order /
Contract
WORK ORDER
Utility Service Partners Private Label,Inc.
To: Contractor Name From: Claim Representative Name
Fax: Contractor Fax Number Pages:
Phone: Contractor Phone Number Print Date: 3/4/2013
Re: Work Order,Line Repair WO#: 1234567890
Our Customer Service Department is open between 8:00 a.m. and 6:00 p.m. Monday through
Friday.After hours dispatch will handle all calls and dispatching between 6:00 p.m. and 8:00
a.m. and holidays. Call 1-866-469-1088 and press "1"for repairs.
If any job will exceed the warranty coverage amount,Contractor must notify Utility Service
Partners Private Label, Inc. (USP) before performing the work. No payment in excess of the
warranty coverage amount will be made unless pre-approved by USP. Please call 1-866-469-
1088 and press "4"for authorization to proceed for any job over the following limits:
External Sewer Line Warranty-$1,000 HVAC—AC or Furnace-$500
External Water Line Warranty-$750 In-Home Electric Line Warranty-$1,500
External Gas Line Warranty$1,200 In-Home Water Line Warranty-$300
New Gas Line Warranty-$1,200 In-Home Sewer Line Warranty-$400
In-Home Gas Line Warranty-$300 In-Home Plumbing Warranty-$400
Terms&Conditions
Performance of any work described in this Work Order constitutes acceptance of the following Terms and
Conditions and no terms and conditions other than those in this Work Order will apply to any work
performed or payment to be made pursuant to this Work Order unless previously accepted in writing by
USP.
By performing work described in this Work Order,Contractor agrees that it shall:
1. Contact the Customer within one hour and begin work within 24 hours of acceptance of this Work
Order(emergency situations as identified in this Work Order may require a shorter response time).
2. Indemnify and hold harmless USP,and pay all of USP's damages and costs(including attorneys'fees
and the cost of engaging other contractors to perform or re-perform the services)incurred by USP
in connection with any claim against USP,its affiliates,or their officers,directors and employees(a)
by a customer that the work was not performed timely,diligently, in accordance with these Terms
&Conditions,or as warranted by contractor;(b)by any party for bodily injury,death,or property
damage arising from Contractor's negligence or misconduct;and(c)by any government agency for
failure to comply with any law, regulation or permit requirement.
44 Attachment G:Contractor Work Order/Contract
try City of Sanford Utility Service Line Insurance/Warranty
1,
Eligible Dwelling Types
Is the program just for residents,or can businesses participate?
This program is only available for residential dwellings.
I live in a condominium.Am I responsible for my water or sewer line?
Please contact your homeowners association to determine if you are personally responsible for your water or
sewer service line.If you are responsible and you have a single service line serving your dwelling,you are
eligible to enroll.If you are served by a shared line,please contact SLWA at 1-866-922-9006 to determine
eligibility.
Can my condominium association enroll in this program?
Yes.Because coverage issues can vary widely between associations,please call 1-866-922-9006 to speak with
an employee who specializes in this custom coverage program.
Repairs
What do I do if I need a repair?
Simply call SLWA's 24-hour hotline number at 1-866-922-9006 to speak with one of their claim
representatives.There are no forms or paperwork for you to complete.Once you report a claim,their
contractor must call you within an hour to schedule an onsite visit,which typically occurs within 24 hours,but
on a rare occasion could take as much as 48 hours-Including holidays and weekends.
The vast majority of repairs are completed within 1-2 days of receiving the claim.Claims taking longer than a
day are those which usually require utility line marking to prevent accidental damage to other lines on the
property.At the completion of your repair,you will be sent a satisfaction survey. Results of these surveys are
used to continually improve SLWA service levels and processes.SLWA has consistently enjoyed a 96%
customer satisfaction rating(excellent and good categories).
What codes will SLWA adhere to?The current code?The original code at the time of installation?
If the line is broken and leaking,SLWA will repair or replace the leaking portion of the line according to the
current code.
Who will do the repair work?
SLWA only employs qualified contractors from the local area who have the desire and ability to meet the high
standards established by SLWA.
Contractors
How selective is SLWA when choosing contractors to conduct repairs?
SLWA is very particular when it comes to selecting contractors into their network.SLWA's objective is to
provide the highest levels of customer service,and all SLWA contractors understand the importance of their
role.SLWA works with local contractors that have both the desire and ability to meet their high customer
service standards.
42 Attachment F:Welcome Kit FAQs
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Utility
i Service
Y_- Partners,Inc.
• I Utility Service Partners, Inc.
Sanford, FL Utility Service
I Line Insurance / Warranty
RFP 12/13-13
March 26, 2013
•
Utility
Service
Partner s,
March 22,2013
F.William Smith
Purchasing Agent:City of Sanford
P.O. Box 1788
300 N. Park Avenue,Room 236
Sanford,FL 32772
Dear Mr.Smith:
Enclosed please find one(1)original and one(1)complete copy of the Request for Proposal from Utility
Service Partners Private Label, Inc.(USP)to the City of Sanford, FL
As an officer of the company,I am authorized to execute this agreement with the City of Sanford for a
Partnership Program Service Line Warranty Program.I am confident that the National League of Cities
(NLC)Service Line Warranty Program,administered by USP's consumer brand,Service Line Warranties
of America, is the right partner for the City of Sanford because:
• Our program has been adopted by many large cities,including Atlanta, Phoenix,Milwaukee,and
Kansas City.These partnerships have helped numerous residents avoid unforeseeable budget
nightmares associated with utility line failures.
• USP offers clear and consumer friendly marketing tactics that are employed through a
partnership with the city for easy implementation and a positive response rate.Nothing—
including additional warranty products—is mailed to your residents without your seal of
approval.
• USP has solutions for market-ready utility line warranty products as well as products to address
inflow and infiltration issues.
• Our program offers generous royalty payments and a commitment to quality service using
licensed local contractors which keeps money in your community.
For nearly 10 years,USP has led the way in developing partnerships with utilities and municipalities
across the country to offer a value added warranty program to residents.Our unique public-private
partnership is the only warranty company endorsed by the NLC and was awarded a Master Contract by
the North Central Texas Council of Governments.
While we know there are other warranty providers on the market offering similar products,we
encourage the City of Sanford to consider the following factors when evaluating proposals and a future
partnership:
Citizen Respect-Your citizens are the most important part of your community and as a leader you want
to protect their interests.Out of respect to your citizens,we only work with communities who welcome
the program.While there are other service line warranty products on the market,the NLC Service Line
Warranty Program,administered by USP,is the only one that markets solely through a partnership and
will not market directly to consumers in communities which have not approved the program.
11 Grandview Circle,Suite 100 Canonsburg,PA 15317 1-888-442-7349 Fax:724-229-4520 www.utilitysp.net
Cost—In the case of service line warranty products,a lower price doesn't always equate to a better
value.Unfortunately some warranty providers promise a low price,but offset that low price with a high
claims denial rate or raise the rates after your residents have enrolled.
Claim Denial—A warranty company's claim denial rate is a critical consideration,as the true value of the
warranty provider is proven in the resident's time of need.The NLC Service Line Warranty Program
approves more than 95%of all claims filed.In fact,our 2012 claim denial rate was just 2.11%.
Company Reputation—A solid reputation is critical.The company you select should be accredited with
the Better Business Bureau(BBB)and have an impecable rating with both the BBB and the state
Attorney General.USP maintains a BBB accreditation with an A rating and our consumer brand
maintains a solid A+accredited rating.
We look forward to hearing from you regarding the next steps in the evaluation process.If you have any
questions regarding this proposal,please contact me at bcarmichaei @utilitvsp.net or directly at 724-
749-1003.You may also reach out to Michael P.Madden,Regional Account Manager for Florida,who
will serve as the point of contact for the city at mmadden @utilitvso.net or 407-616-2239.
Best Rea ds
/allte-A,110
Brad Carm
Vice Presiden , : siness Development
PROPOSAL SUBMISSION FORM
PART 1 GENERAL
1.01 Description
The following Submission in response to the solicitation: (1) Utility Service Line
Warranty/insurance Program RFP 12/13-13, is hereby made to The City of Sanford, Florida.
This Proposal is submitted by gl
Utility Service Partners Private Label, Inc.
11 Grandview Circle. Suite 100
Canonsburg, PA 15317
724-749-1003
(1) Title and Solicitation number of Bid/Proposal Name of Project as shown in the Invitation
(2) Name,address, and telephone number of Bidder
1.02 The Undersigned:
A. Acknowledges receipt of:
Addenda: Number 1 Dated March 12, 2013
Number Dated
B. Has examined the specifications, requirements and all Solicitation Documents
and understands that in submitting his Response , he/she waives all right to
plead any misunderstanding regarding the same.
C. Agrees:
1. To hold this Proposal open for 90 calendar days after the opening date.
2. By signing this document the BIDDER/OFFEROR hereby agrees to be
bound by the specifications, terms, conditions, scheduling, pricing and
representations as stated and submitted with this bid form and any
subsequent negotiations. However, it is understood that the City reserves
the right to declare any response or part(s)thereof nonresponsive if
exceptions to specifications,terms, conditions, etc. of the solicitation are
not acceptable in the opinion of the City to meet the requirements of said
solicitation.
3. To enter into and execute a contract with the City if awarded on the basis
of this response.
3. To accomplish the performance required in accordance with the Contract
Documents and/or purchase order.
1.03 Please attach sheets which contain your response to this form. The
response is to reflect the coverage, inclusions, limitations and exclusions
and pricing of the program and other relevant information. Also,
c '
please attach cut sheets and descriptive literature, relevant technical
• information and warranty Information to reflect exactly what Is being
proposed.
1.04 SUBMITTED,signed and sealed this 22 day of March
Utility Servi -a Private Label, Inc.
Bidde .47 � -_
•:f.r
By(Signature Date
Brad Carmichae Vic- - -•sent, Business Development
Printed Name and Title
11 Grandview Circle. Suite 100
Business Address
Canonsburg. PA 15317 (CORPORATE SEAL)
City State Zip Code
724-749-1003 724-229-4520
Telephone No. Facsimile No.
Comments:
MARK THE EXTERIOR OF ENVELOPE CONTAINING YOUR BID RESPONSE:
YOUR COMPANY NAME &ADDRESS AS THE RETURN ADDRESS
ADDRESS OR DELIVER TO:
William Smith, Purchasing Agent; City of Sanford
P.O. Box 1788 (300 N. Park Avenue, Room 236); Sanford, FL 32772
IN LOWER LEFT CORNER OF ENVELOPE, PROVIDE THE FOLLOWING:
RFP 12/13-13 Utility Service Line Insurance/Warranty
Open Date: March 26,2013 Open Time: 2:00 p.m.
Vjh City of Sanford Utility Service Line Insurance/Warranty
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Table of Contents
Table of Contents 1
Introduction 3
•
Program Description 4
Property Eligibility 4
Coverage 4
Sewer Service Line Coverage 4
Water Line Coverage 5
Coverage Caps 5
Florida Registration 5
Marketing 6
Customized Marketing Process 6
Estimated Enrollment 7
City Involvement 7
Sample Marketing Materials 8
Enrollment Process 8
Enrollment Process 8
Renewal 8
Cancellation 8
Fees and Payments 9
Fee Schedule and Royalty Options 9
Billing and Payment 10
Claims Process 10
Claims Process and Contractor Response 10
Customer Service Department 11
Claim Denials 12
Contractors 12
Contractor Quality Control 13
Quality Control 14
Claims 14
Customer Service 14
Appeals Process 15
Customer Service Evaluation Process 15
Warranted Repairs 15
Partner City Benefits 15
•
Generate Revenue 15
Environmental Benefits 16
Improved City Image 16
Partner Reports 16
Table of Contents 1
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Section 3:Firm Qualifications 17
Firm Experience 17
Background and Experience 17
Physical Office Location 17
Point of Contact 17
Key Staff Resumes 18
References 22
Firm Rating and Complaint History 23
Value Added Features 23
Addressing inflow and Infiltration(MI)Issues 23
Easy Implementation 24
Open Communication 24
Additional Products 24
Attachment A:Terms&Conditions-Sewer 25
Attachment B:Terms&Conditions—Water 29
Attachment C:Sample Letter 33
Attachment D:Press Release 34
Attachment E:Web Banner S6
Attachment F:.Welcome Kit FAQs 37
Attachment G:Contractor Work Order/Contract 44
Attachment H:Sample Partner Reports 46
Attachment I:Current Client List 47
Attachment J:BBB Profile 48
2 Table of Contents
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Introduction
Utility Service Partners Private Label,Inc.(USPPL)is part of the Utility Service Partners,Inc.(USP)family of
companies,which provide residential utility service line warranties in over thirty states.USP is the only
organization endorsed by the National League of Cities1(NLC)as a utility service line warranty provider and
offers a unique public-private partnership model to cities,municipalities and utilities across the nation.
Since 2003,USP has been partnering with utilities and municipalities to offer affordable utility service line
protection to consumers.
In 2010,USP was endorsed by the NLC as a business partner and also awarded a Master Contract by the
North Central Texas Council of Governments.For nearly 10 years,USP has helped cities, utilities and
municipalities save residents in more than 160 cities across the nation more than$15 million In repair costs.
USP's management team has a deep rooted understanding of customer service and relationship
management having developed the utility service line warranty program at Consolidated Natural Gas(CNG)
In the mid-1990s. Delighting customers is the cornerstone of USP's marketing approach and a relentless
dedication to delivering superior service with integrity has served the organization well as evidenced by
USP's 95%customer satisfaction rating and ever growing number of municipal and utility partnerships.
Today,USP is the only organization to exclusively use the public-private partnership model with cities,
municipalities and utilities to market utility service line warranty products. Unlike others,USP does not
engage in mass mailing directly to consumers.As a result, USP is proud to stand behind a solid reputation
built upon positive feedback from cities,contractors and customers across the nation. USP holds an A
accredited rating with the Better Business Bureau.Additionally,USP's consumer brand used for all
customer-related marketing,Service Line Warranties of America,holds an A+accredited rating.
As the premier provider of service line warranties, USP places a strong emphasis on the importance of
customer satisfaction,which plays an important role in the growth of USP—building peace of mind,one
community and one warranty at a time.
1 The National League of Cities(NLC)is a national organization dedicated to helping city leaders build better communities,and
serves as a resource and advocate for 19,000 cities,towns and villages,representing more than 218 million Americans.For more
information about the NLC,visit www.nic.org.
Introduction 3
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Program Description
USP helps residents save thousands of dollars on the high costs of repairing a broken or leaking water or
sewer line.The program offers affordable protection for residents who have not set aside money to pay for
an unexpected,expensive utility line repair.There is no cost for the city to participate and resident
participation is 100%voluntary.
Property Eligibility
USP offers affordable coverage to single-family homeowners within a partner city. Rental properties are
also eligible for coverage,provided the landlord purchases the warranty.Condominiums and residential
properties located in homeowners'association areas are eligible to enroll in services;however,USP
requests homeowners contact their association prior to enrollment to determine their service line
responsibilities since some associations cover these particular lines.Additionally,a homeowners'
association may be eligible to enroll all properties.These representatives are asked to contact USP directly
for availability and coverage options.
Excluded properties Include apartment buildings,high-rises,mobile homes and multi-family units with
shared lines.
Coverage
Sewer Service Line Coverage
USP will cover the repair or replacement of the external sanitary sewer lines from the point of entry into
the residence(which includes lines buried or embedded in a concrete slab)to the point of connection to
the public sanitary sewer main where the flow of the line is impeded.Coverage includes up to$4,000 per
incident,with an additional$4,000 for public street cutting, if necessary.There are no deductibles,service
II fees,lifetime or annual limits to coverage.
Coverage includes service,repair or replacement for leaks,breaks and clogs(including clearing tree roots
from the sewer line)in order to restore service on the covered portion of the line that has been impeded
due to normal wear and tear.As part of the process,USP will cover the removal of the blockage,Closed
Circuit Television(CCTV)inspection,permits,repair, restoration to public sidewalk or public pavement and
basic site restoration which includes backfill,raking and reseeding.For repairs involving street restoration,
USP will work with a prequalified contractor.
The sewer line warranty does not cover pre-existing conditions,updating or moving lines where the flow of
sewage is not impeded in order to meet code,law or ordinances,mandated separation of storm and
sanitary drain lines,shared sewer line or branch lines,septic systems,damage caused by the homeowner
(such as a homeowner digging and accidently breaking a pipe),a third party, natural disasters,act of God or
other insurable causes.There is no pre-inspection required and coverage begins after a 30 day waiting
period.
4 Program Description
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Water Line Coverage
USP will cover the repair or replacement of the external water line from the point of utility connection to
the internal point of entry to the home(including a primary water line which may be buried or embedded
in a concrete slab under your home).This warranty also covers the adjustment, repair or replacement of
damaged or inoperable stop boxes,stop valves and rods.Coverage includes up to$4,000 per incident with
an additional allowance of$500 for public sidewalk cutting,if needed.There are no deductibles,service
fees,lifetime or annual limits to coverage.
Coverage includes service,repair or replacement for leaks or breaks in order to restore service on the
covered portion of line that has been impeded due to normal wear and tear.The external water line
warranty does not cover the costs of repairs to the meter or meter vault. It does not cover pre-existing
conditions,branch lines to sprinklers,pools,hot tubs or venting for gas hot water heaters.The warranty is
designed to ensure that the homeowner has water service to the primary residents for purposes of
drinking,cooking and cleaning.Repairs for damages caused by the homeowner,a third party,natural
disaster,act of God or by other insurable causes are not covered.There is no pre-inspection required and
coverage begins after a 30 day waiting period.
As part of the process,USP will cover CCTV inspection,permits, repair,restoration to public sidewalk or
public pavement and basic site restoration which includes backfill, raking and reseeding. For repairs
involving sidewalk restoration,USP will work with a prequalified contractor.
Coverage Caps
USP provides generous coverage caps for water and sewer service line warranties with no lifetime or annual
limits or deductibles.However,should a repair or replacement initially exceed the allotted coverage cap,
USP will work directly with the contractor to minimize out-of-pocket expenses to the resident.On these
rare occasions,our Executive Director of Contractor Services,Perry McAtee,a licensed engineer and Master
Plumber,will work directly with the contractor to determine if there is another method to solve the
problem for the customer that will restore service while negating any additional expense.If there is no
alternative other than exceeding the coverage cap,USP will work with the customer and the contractor to
come to a mutual agreement.
Florida Registration
USP registers and complies with all of the various state requirements for net worth,reserves,regulatory
oversight and surety requirements associated with the sale of warranty products,where required.USP has
registered with the Commissioner of insurance and filed the necessary service contracts in order to do
business in the State of Florida.USP was licensed by the Florida Office of Insurance Regulation on August
16,2011,as a Home Warranty Association.
Please see Attachment A for complete Terms and Conditions for the sewer line warranty and Attachment B
for complete Terms and Conditions for the water line warranty,which are also on file at the Florida Office
of Insurance Regulation in the State of Florida.
Program Description 5
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Marketing
USP is very deliberate in its marketing approach for chosen channels,frequency of solicitations and the
message communicated.Every step ensures that residents understand the program is endorsed by the city
but is administered by Service Line Warranties of America(USP's consumer brand).
Customized Marketing Process
Once an agreement with the city is executed,USP will use the city name and logo to create a customized
set of direct mail materials for city officials to approve as part of a Welcome Kit.The Welcome Kit will
include:
• Sample letter for homeowners
• Press release
• Web banner
• City Stakeholder FAQs designed to educate city officials about the program
Once marketing materials are approved,USP will handle the mailing of letters while the city may distribute
the press release to media contacts and post the press release and web banner on the city's website and
social media channels.
USP conducts two marketing campaigns,one in the spring and one in the fall,which have generally yielded
strong results.Research shows that many homeowners are unaware of their responsibilities to the service
lines between the utility/municipal connection and their homes. Utilizing a soft-sell and educational
approach,residents will receive a letter providing information about their responsibilities for the service
line between the utility or municipal connection and their home with an offer to purchase the warranty
service.The letter offers the warranty service for a low monthly or annual fee and clearly outlines
important facts about the program,such as the claim coverage cap amounts and other pertinent details. It
bears the city logo to show their local government has thoroughly reviewed our program, but clearly
indicates that USP's consumer brand,Service Line Warranties of America, is the administrator.One
reminder letter will follow to the resident approximately two weeks later but no additional communication,
telemarketing or pressure of sale is employed.
Every marketing piece is thoroughly vetted through a rigorous quality assurance process which includes
USP and city representative(s)to ensure the message is clear for residents and all parties are satisfied with
the content. Internally,this proactive approach to marketing enables USP to maintain the highest standards
for quality assurance,ethical practices and honest communication.
Prior to the launch of the first campaign, USP is happy to organize and administer a public education
outreach program which is reviewed and approved by the city.This program can include a press conference
or other methods as determined by the city and USP.The purpose of the outreach is to create awareness
about the homeowners' responsibilities for the lines and the program.
6 Program Description
V �ty City of Sanford Utility Service Line Insurance / Warranty
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Estimated Enrollment
History has shown the average response rates from residents during the initial campaign ranges from 8-
12%.Typically in the first three years,USP will see a 20-25%penetration into the marketed households
when both water and sewer products are introduced,taking into consideration consumer attrition.Based
on our experience,USP estimates the following enrollments for the City of Sanford over the first three
years:
Sewer Water
Mail Response Net Enrollments after
Season Year Product Products Running Running
Quantity Rate Buyer's Remorse Total Total
Spring 2013 Sewer 11,119 9 5% 1,056 898 ' 898 0 ."
Fall 2013 Water 11,119 8.0% 890 756 860 756
Spring 2014 Sewer 10,063 6:0% 604 513 1,337 724
Fall 2014 Water 10,230 5.0% 511 435 1,281 1,129
Spring ;; 2015 '° Sewer 9,459 `'
3':0% 284 241 1,469 1,081
Fall 2015 Water 9,718 2.5% 243 207 1,407 1,242
* initial mail quantity based on 55%of occupied households.
City Involvement
USP understands city officials are very busy which is why our process requires minimal city involvement.
During the initial implementation phase,the city will need to provide USP with a city logo and signature.
These items will be used to produce the marketing letter,press release and web banner for the city to
approve.To ensure a successful campaign,once all marketing materials have been approved,USP's only
request is for the city to issue a press release via their defined media channels to ensure maximum program
awareness and media pick-up.Additionally,USP will provide a web banner to post on the city website to
direct residents to contact USP's Customer Service Team with questions rather than call the city.
Communication is the key to launching a successful partnership program.In the past,USP has found some
of the most successful cities are those that are proactive about communicating with residents to ensure
they are expecting the letters before they are mailed. USP is happy to provide any additional materials,
suggested community newsletter content or to facilitate a press conference with a USP representative on
site at the city's request. Current partner cities such as Atlanta and Milwaukee have found great success
utilizing a press conference as well as additional communication channels such as social media,web and
print to announce the program.
While USP is happy with the response rates across all partners,cities that are more proactive in marketing
their products from their offices—such as the City of Atlanta—have seen tremendous response rates of
over 22%combined for water and sewer products.Additionally,residents are very receptive to the
program,even writing to their city leaders,such as Atlanta City Council Member Felicia Moore,to rave
about the program like Cindy D.did when her sewer line warranty came through on Christmas Day in 2012:
Program Description 7
Utlllty City of Sanford Utility Service Line Insurance/Warranty
Service
Dear Felicia Moore,
I am writing to you about the sewer line warranty that you recommended for your constituents last year. On
Christmas Day my sewer line backed up into my house...into my tub.I could not flush toilets or take a
shower or wash the dishes or even my hands. I could not use any drains at all.It turned out to be due to a
clogged sewer line in my front yard. Thanks to you,I had the warranty and so I did not have to pay for the
$2,000 plus repair. Thank you!The warranty company had good customer service and the local plumbing
company that they sent to do the work,Atlanta Plumbing Plus,was amazingi The guys who did my repairs
were Sandy and Keith. They did a wonderful job and were very respectful of my property and my anxiety
about the situation. Thank you so much Felicia for always looking out for us!
Cindy D.
Sample Marketing Materials
Please see Attachment C for a sample letter,Attachment D for a sample press release,Attachment E for a
sample web banner and Attachment F for sample FAQ's.
Enrollment Process
USP complies with all pertinent and required telephone sales laws and we are currently registered under
the Florida Telemarketing Act.Any individual speaking with a consumer in Florida is also licensed as a
telephone salesperson.
Enrollment Process
Once notified via direct mail,web banner or media release,residents have two options for enrollment:
• Return the Business Reply Card in the postage paid envelope from the marketing campaign letter.
• Visit USP's consumer site at www.SLWofA.com to enroll,chat with a representative or view terms
and conditions.
Residents can elect to enroll and pay one of two ways—annually or monthly.While USP offers a discounted
monthly price during campaign season,residents can receive a deeper discount by electing to pay annually.
The warranty purchase price is locked-in for a term of 12 months and will be reviewed by USP annually.
Upon enrollment,customers will receive a set of Terms and Conditions.If a customer has set up a web
account,the Terms and Conditions will be viewable immediately.If a customer has not set up a web
account or enrolls via business reply card,a set of Terms and Conditions will be sent to them via United
iI States Mail within seven days.
Renewal
Retention Is a top priority for USP which is why we are proud of our 83%average renewal across the entire
customer base.Based on historical data,USP anticipates the annual renewal rate for the City of Sanford will
be approximately 86%.
Cancellation
Customers may cancel at any time without penalty via phone,web or written correspondence.Customers
paying annually will receive a pro-rated refund for any coverage period remaining.
8 Program Description
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Fees and Payments
Fee Schedule and Royalty Options
Monthly and annual fees are fixed and designed to provide generous coverage so the customer has no
further out-of-pocket expenses. During a campaign,pricing(both monthly and annual options)will be
discounted from the standard price to incentivize enrollments.USP offers four royalty options to the city
ranging from$0.50 to$1.00 per product. Payments will be made annually.The city may decline a royalty
payment,which will result in a lower price for residents.
Standard pricing Standard pricing Standard Pricing Standard pricing
without royalty with$0.50 Royalty with$0.75 Royalty with$1.00 Royalty
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Water Sewer Water Sewer Water Sewer Water Sewer
Monthly Standard $6.00 $8.25 $6.50 $8.75 $6.75 $9.00 $7.00 $9.25
yin al Prite • $7200 $99 00 $18.00 $105.00 $8100 $108.00 _ $84.00 $11100
(payin '
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Monthly Campaign $5.25 $7.25 $5.75 $7.75 $6.00 $8.00 $6.25 $8.25
Annual Campaign $63.00 $87.00 $6900 $93.06 $72.00 $96.0u `' $7500 $99.00
(Paying Monthly)..... -
Annual Standard $67.00 $94.00 $73.00 $100.00 $76.00 $103.00 $79.00 $106.00
Annual Savings over: 6.94% 5.05% 6.41% 4.76%.. 6 17% 4.63% ; 5 95% 4.50%
Monthly Standard
Annual Campaign $58.00 $82.00 $64.00 $88.00 $67.00 $91.00 $70.00 $94.00
Annual Savings dyer Annual 7,94% 5.75% 7.25% 5.38% 6.94% 5.21% `.: C67% 5.05%
;Standard
Campaign Savings •
Monthly Campaign vs
12.55% 12.07% 11.52% 11.44% 11.07% 11.10% 10.77% 10.78%`.
Monthly Standard Savings
Annual Campaign Vs.Annual
Standard Savings 19.49% 17.13% 17.93% 16.20% 17.24% 15.73% 16.72% 15.28%
Royalty Outlook
Products* 2013 2014 2015
• Sewer 860 1,281 1,407
Water 756 1,129 1,242
Total 1,616 • 2,410 • 2,649•
•Campaign Response Rate includes net of attrition.
Royalty** 2013 2014 2015 3 Year Total
$0.50 $9,696.00 $14,460.00 $15,894.00 $40,050.00
$0,75 . $14,544002 $21,690.00 $23,841.00` ;$60,075.00•
$1.00 $19,392.00 $28,920.00 $31,788.00 $80,100.00
T: *Based on Annualized Revenues for 3:Campaigns.Per Product
Additionally,USP is prepared to offer the City of Sanford a brand licensing fee of$10,000 subject to the
following conditions.The fee is contingent upon the successful execution of a three year agreement that
guarantees USP the exclusive opportunity for six campaigns during the contract period with the use of the
city logo on the marketing materials.The letter to residents will be signed by a city official or
representative.An initial payment of$5,000 will be made at the time of approval of the marketing
materials for the first campaign and the second payment of$5,000 will be made at the time of approval of
the marketing materials for the second campaign.
Program Description 9
Service City of Sanford Utility Service Line Insurance/Warranty
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USP understands that a lower price for consumers does not always equate to a better value.While some
warranty providers promise a low price,they offset that price with a high claim denial rate and raise the
rates after residents enroll.USP's prices are locked for a term of 12 months.At the end of a 12-month
period, USP will conduct a pricing analysis to review average repair costs and frequency. If the analysis
shows the costs have exceeded the established parameters,a price increase may occur.If a price increase is
necessary,the new price will be provided to the city along with corresponding marketing materials for
approval.Once the marketing materials and price increases are approved,the new price will be locked for a
period of 12 months and the same analysis will be repeated yearly upon contract renewal.
Billing and Payment
USP offers several billing and payment options for customers including monthly or annual invoices.USP
accepts all major credit cards,ACH payments,check,money orders and electronic invoices through our
consumer website.One-time and recurring payments are accepted.Customers are also able to manage all
aspects of their account online which includes links to their specific Terms and Conditions,submitting a
payment,reviewing past invoices,checking the status of renewal and expiration dates and other applicable
services.
Claims Process
USP has an ingrained customer advocacy philosophy that permeates the entire organization resulting in
superior customer service.Internal processes focus on the following cornerstones:
• Always err on the side of the resident
• Seek solutions not loopholes
• Educate contractors and customers
• Monitor the quality of work performed by all customer-facing personnel, including subcontractors
• Obtain customer feedback through customer satisfaction surveys to continue improving services
Results of this customer advocacy philosophy are reflected in USP's BBB Accreditation A rating,Service Line
Warranties of America's A+accredited rating and a 95%customer satisfaction rating.
Claims Process and Contractor Response
When a customer is faced with a potential repair,they need immediate assistance.USP provides
reassurance and support by a simple,customer friendly approach.One phone call to USP's 24/7 toll-free
repair hotline will start the process to dispatch a contractor based on the proximity to the service address.
There are no forms or paperwork and no further effort on the part of the customer is required.
The contractor is required to contact the customer within 60 minutes to schedule the repair and arrive on
site within 24 hours to begin the job. Most repairs are completed within 24 hours.Claims taking longer than
24 hours are usually those which require utility line marking to prevent accidental damage to other lines on
the property or specific local or government regulations(i.e.,DOT).
Every claim is monitored for quality assurance,which also includes a survey to the customer about the
process and the contractor,after the claim is completed.
10 Program Description
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Customer Service Department
There is only one chance to make a first impression,which is why USP strives to create a positive Customer
Experience in the Customer Service Group with every call.USP has an extensive training process to ensure
each employee delights the customer with first-class customer service because the Customer Service
Representatives are the first interaction customers have when they call with questions and claims.
Employees respond to all calls quickly,asking the necessary questions to obtain information about the
situation to respond to questions before disconnecting the call.The process is not a series of machine fed
questions and reading verbatim from a script,but an approach that treats the customer with respect and
connects them with individuals committed to resolving their problem correctly the first time.Additionally,
the Warranty Analysts maintain communication with the customer throughout the repair process to ensure
the work is completed to the customer's satisfaction and answer additional questions if needed.
USP utilizes a 24/7/365 Warranty Department for claims and 8 a.m.to 6 p.m.EST for customer service.
Additionally, USP uses an outsourced call center for specific campaign enrollment calls.Based on
experience,this ensures the best mix of professional,highly trained call center agents handling specific
types of calls while managing low wait times and abandoned rates for our customers and prospective
customers.
The primary,internal Warranty Department and Customer Service Department is located at:
11 Grandview Circle,Suite 100
Canonsburg,PA 15317
866-922-9006
The Customer Service Department is designed to service all of our customer needs.All calls are routed
through the same toll-free number and are always answered by a live agent.During standard business
hours(8 a.m.to 6 p.m.EST),the service center fields all types of calls,from non-campaign sign-ups and
questions about warranty coverage to repairs.For repairs,or to check up on an open claim request,a live
customer service agent is available 24/7/365,even on holidays.USP's primary customer service center
services the entire contiguous United States and provides adequate coverage for all needs.
USP's Customer Service Department is staffed according to demand.Typically,there is one supervisor and
six full time agents handling Customer Service calls and one supervisor and 12 Warranty Analysts handling
all claim calls.Shifts are staggered to adjust for campaign activity,weather related events and other needs
as determined by the Customer Service Department Manager.
Hold times vary daily based on campaigns and seasonal impacts.On average,USP maintains a 2 minutes or
less hold time average;however,all customers have the option to leave a call back number for an agent to
return their call without losing their priority place in line.
During campaign season(spring and fall),direct mail marketing campaigns drive a concentrated response
over just a few calendar days.To ensure low wait times for interested customers,USP outsources campaign
activity to third party vendors who specialize in utility and energy marketer accounts.Currently,third party
vendors include DialAmerica and Customerlink.USP is extensively involved in the training of external call
center agents to maintain consistency for all customers contacting USP.
Program Description 11
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Historically,this has been proven to be a better talent retention model than increasing staffing in-house
since agents comfortable In the utility and energy markets can flux between assignments at the outsourced
vendors and return to successive USP campaigns(as opposed to losing qualified talent to permanent job
placements between campaign periods).
USP averages approximately 18,000 calls monthly through the Customer Service Department with an
additional 5,000 forwarded to CustomerLink and DialAmerica during non-campaign season.Additionally,
USP has frequent Quality Assurance monitoring for all types of calls handled through the internal and
external call centers.
LISP's Customer Service Manager,Annette Myford,and other management staff continuously monitor hold
times and call volumes to adapt to the growing organization and partnership base.Based on recent
analysis, USP's Customer Service Department has undergone several staffing changes to adjust to new call
volume,additional partners,campaign preparation and continued improvement.
Customers can also find answers to frequently asked questions and inquiries by accessing information
about their account or products offered on our website,www.SLWofA.com.
Claim Denials
USP designed the Terms and Conditions to provide a broad array of coverage conditions to meet a wide
variety of needs.The organization was built to provide customers'peace of mind.
As a result,in 2012 (January 1—December 31),USP denied just 2.11%of all claims.The three primary
reasons for denial are nonpayment(0.03%),preexisting condition(0.31%)and excluded in the Terms and
Conditions(1.77%). For denials based on exclusions indicated in the Terms and Conditions,customers
receive a letter with the specific reference in the document as to why the claim was denied.
Should a customer wish to appeal a claim,they can contact Customer Service and speak to a member of the
management staff.
Contractors
While the Customer Service Representatives create the first impression,USP contractors are the face of the
company and must adhere to strict ethical standards and customer service guidelines.USP utilizes local
contractors within the community to keep dollars in the local economy.This will ensure a quick response
time and familiarity with local requirements.Repairs can be completed effectively and efficiently,resulting
in exceptional customer service.
USP has a dedicated Contractor Team responsible for recruiting,managing and providing guidance to local
plumbers interested in joining the Contractor Network. USP's management team will hold community
outreach seminars and workshops In an effort to engage businesses and raise awareness about the
program.Contractors are encouraged to contact USP anytime with questions or to enroll in the network.In
addition, USP can provide online and print resources that can be placed on the city's website and mailed to
area businesses as an additional outreach strategy.This will build awareness of the program within the
Small Business Community.
12 Program Description
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If the city wishes to provide a list of approved contractors, USP will begin the vetting process with the pre-
approved list.If the city does not wish to provide a list,the Contractor Team will research available
plumbers in the territory and begin the process for network approval.
Each contractor is vetted through an extensive process,which includes a review of their BBB profile,prior
complaints, reference checks and interviews to ensure they will meet the high standards and commitment
to customer service.Our contractors are the reflection of USP in the field and with customers.USP strives
to make sure every customer Is met by an honest,trustworthy and qualified professional committed to the
same vision as LISP.
USP ensures that every participating contractor has both the desire and ability to quickly respond in their
territory with the appropriate equipment and skilled labor.As a requirement,USP guarantees that all
contractors hired meet the minimum requirements,including:
• A current state or local license.
• All on-site plumbers must have a valid driver's license and active state plumbing license.
• All employees have been thoroughly screened through a background check to ensure employees do
not have a previous criminal record rendering him/her unfit to perform work on private property.
• Contractor meets minimum insurance requirements including:
o Worker's Compensation insurance as required by law;
o Automotive liability insurance as required by law;
o General commercial liability insurance of at least$1,000,000.
• Afterhours,weekend and holiday availability in case of emergency.
In addition to the minimum insurance requirements,all contractors are subject to a phone interview and a
site visit,if necessary.Prior to acceptance into the network,all contractors are screened through a third-
party vendor,PlusOne Solutions,for background checks and license verification.
USP expects contractors to schedule directly with customers to ensure the best fit for convenient times for
site visits and completion of work.It Is expected that contractors maintain afterhours,weekend and holiday
availability in case of emergency conditions.If a contractor fails to meet a customer at a mutually agreed-
upon appointment time,that feedback is recorded,the contractor will be advised and the job will be
reassigned to another contractor in the area.
In return for the contractor maintaining these customer service standards,USP commits to pay reasonable
rates as agreed upon and to pay within 30 days from the time their invoice is submitted.
Contractor Quality Control
Because of USP's high standards and requirements,contractors are assessed via customer-generated
results provided on the Customer Satisfaction Survey.Contractors who cannot maintain competitive scores
either through their survey scores or random site inspections are placed on probation or,depending on the
severity of the issue,removed from the network completely.
Please see Attachment G for a sample Contractor Work Order/Contract.
Program Description 13
U1®Ity City of Sanford Utility Service Line Insurance /Warranty
5
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Quality Control
USP empowers all Customer Service Representatives and Warranty Analysts to use a"customer-centered"
approach every day.All Customer Service Representatives and Warranty Analysts are trained and
empowered to make judgment calls,look at each situation carefully and maintain a professional attitude
with all customers.
USP takes customer service very seriously.If a customer is unhappy with their service,a claim denial,
contractor experience or any other aspect of USP's business,they are welcome to contact Customer Service
and ask to speak with a supervisor to rectify the situation.USP routinely follows up on every complaint in
an attempt to satisfy the customer.
If and when an issue arises,there is first an attempt to resolve the situation during the initial call with a
Customer Service Representative or a Warranty Analyst who is empowered to address all customer
concerns.Historically,the majority of all customer complaints are resolved during this call.For those
instances where the issue is not resolved during the initial call,the customer will be connected with a
supervisor in either claims or customer service,depending on the nature of the issue. Further details
regarding customer complaints and quality control for customer service and claims are detailed below.
Claims
Warranty Analysts are empowered to make judgment calls within specific guidelines pertaining to
approvals and denials.Outside of those specific guidelines(i.e.,sending out a contractor for a service call
when a leak on a line is suspected but not confirmed)the Analyst can recommend a suggested path of
action to the Claims Supervisor and/or Claims Manager.
If additional assistance is needed,such as approval for work outside the scope of the Terms and Conditions,
the customer is transferred to a Claims Supervisor who has additional approval authority.At this stage,
every attempt is made to satisfy the customer as long as it is not in direct violation of the marketing letter
and in the spirit of the Terms and Conditions. If the issue cannot be resolved at this stage,the customer Is
transferred to the Claims Manager for resolution.Customer service—especially within the world of claims—
is the bedrock of the business.
Customer Service
Customer Service Representatives are also empowered to make judgment calls within specific guidelines,
especially as they pertain to billing issues or customer satisfaction.If the Customer Service Representative
cannot resolve the issue in one call,the customer is transferred to the Customer Service Supervisor,who
can examine the situation in more detail and attempt to satisfy the customer.
If the customer's concern still needs to be escalated,the customer will be transferred to the Customer
Service Manager who will make the final determination on the account.Just as in claims,the goal is to
delight the customer with world-class service that goes above and beyond their expectations.Every
reasonable effort is made to satisfy the customer in line with the spirit of the relationship.
14 Program Description
Vgity City of Sanford Utility Service Line Insurance /Warranty
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Appeals Process
Given USP's customer advocacy culture coupled with a close working relationship with small contractors,
USP is able to approve more than 95%of all claims and more than 95%fall within the coverage cap.When
left with no alternative but to deny a claim,USP will work closely with the homeowner and local contractor
to come to an arrangement that suits both parties.Any customer wishing to appeal a claim may contact
Customer Service and ask to speak with a member of Senior Management.
Customer Service Evaluation Process
At the completion of every claim(even denials),a Customer Satisfaction Survey is mailed to the customer
requesting feedback on the entire experience—from the initial call through the completion of the repair.
Surveys are mailed,versus handed to the customer at the completion of the job or surveyed by phone,to
ensure honest participation from the customer. USP averages approximately 45%survey participation,
which Is higher than most industry standards of 25-30%.Additionally,any survey with a written comment,
positive or negative,is forwarded to USP's Director of Quality Control for appropriate action.External
feedback is incorporated into Quality Assurance for both Customer Service Department agents and the
contractor network.
Warranted Repairs
Should the original repair fail,USP's contractors warrant all work for one year. However,as long as the
customer remains with USP,any additional repairs on the line would be covered since there is no lifetime
or annual limit in our Terms and Conditions. If a customer notices a problem with a repaired line,they
would follow the same process as making a claim.One call to USP's Customer Service Group will dispatch a
local contractor to the home for the repair.Whether it is the initial claim or a warranted repair,the
customer is the top priority.
Partner City Benefits
USP offers a unique public-private partnership to the city.As one of the leading national warranty providers
for service line warranties, USP is the only warranty provider endorsed by the National League of Cities and
was awarded a Master Contract from the North Central Texas Council of Governments.Because of these
strategically aligned partnerships,the city can feel confident in partnering with USP as a solid program.
Both organizations and every partner city thoroughly vetted USP's warranty program before endorsing the
organization as a partner.The alignment with these organizations,as well as city partners across the nation,
ensures that residents will have peace of mind enrolling with Service Line Warranties of America.
{ As a partner,the City of Sanford will reap significant benefits,which are detailed on the following pages.
Generate Revenue
As a partner,the city can elect to receive revenue per the options in the Fees and Royalties section which
will generate revenue for your city to use in general funds or for specific programs such as police,fire,
emergency care or other services. However,a city may decline a royalty payment,which will result in a
lower monthly/annual price for residents.
Program Description 15
uSery ice City of Sanford Utility Service Line Insurance /Warranty
Ati., Parin r.(re,.
Environmental Benefits
Through the program, residents are more apt to report leaks or breaks in service lines which translates to
prevention of waste and pollution,as well as water conservation.These economic and environmental
concerns greatly help the city continue to thrive and protect the environment,while also saving the city
money.
Improved City Image
USP has seen a tremendous response from residents who have indicated their view of the city has
improved as a result of the partnership.When cities provide services that not only help residents save
money, but protect their homes and property,they feel confident in their city leaders.
Residents like David H.of Atlanta,Georgia,wrote,"This is overall the best thing my city has offered me. It
has helped me believe in my government." But David isn't alone; Norma Y.of Northglenn,Colorado,
experienced similar joy,writing,"I am so pleased the city supports this warranty.This warranty provides
peace of mind for longtime homeowners."
More testimonials from customers can be found on our partner website here,
htt,://www.utilitvso.net/testimonials.html and our consumer website here,http://www.SlWofA.com/slw-
testimonials.html.
Partner Reports
As a city partner,you have access 24/7/365 to USP Partner Reports via the partner portal. In the partner
portal,city leaders can create any number of necessary logins for officials,administrative staff members
and other key stakeholders to access partner information--including number of enrollments,claims and
royalty revenue generated.This information can be downloaded for inclusion in your council meetings or
meetings with other key stakeholders.
Reports can be downloaded into PDF and Microsoft Excel files for further analysis.
For a sample report,please see Attachment H.
16 Program Description
1
1211%0 City of Sanford Utility Service Line Insurance / Warranty
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Section 3 : Firm Qualifications
Firm Experience
Background and Experience
Headquartered in Canonsburg,PA,USP is one of the largest Independent providers of service line
warranties in North America with over 400,000 warranty contracts to date through municipalities and
utility partners.Since its formation in 2003,USP is committed to maintaining accreditation and an A rating
with the Better Business Bureau,gaining the trust of thousands of public officials,organizations and
residents across the nation.
USP is a portfolio company of Macquarie Capital,part of Macquarie Group Limited,one of the world's
largest owners and managers of utility and infrastructure assets with over$300 billion in assets under
management worldwide.Currently,USP and its affiliates employ 50 people between the Canonsburg office
and satellite locations around the nation, including several people in our Davie,FL,office.USP has
partnered with more than 200 contractors in more than 160 communities around the country.
LISP's success was not by chance;the senior management team has a deep-rooted understanding of brand
management,customer service and relationship management having developed the utility service line
warranty program at Consolidated Natural Gas(CNG)in the mid-1990s.This unique history provides diverse
experience in developing and managing successful programs that delight customers and reflect favorably
on the sponsor.This blend of utility and municipal experience has given USP the insight to genuinely
understand the needs of homeowners within each and every community.
The success of USP is also attributed to the unique partnerships with municipalities and governing
organizations.One of the most prestigious partnerships for USP is with the National League of Cities(NLC),
a national organization dedicated to helping city leaders build better communities.Together,the NLC and
USP have brought the NLC Service Line Warranty program to residents nationwide.
Utility Service Partners, Inc.was formed as the holding company of Columbia Service Partners,Inc.,which
was acquired from the Columbia Energy Group by the current senior management team with private equity
backing. USP has a record of strong earnings and a strong capital structure.In addition, USP's business Is
debt-free.With years of claims experience and a revenue stream that is more than adequate to cover
claims costs,USP is more than capable of underwriting Its own claims.USP markets to consumers under the
brand name Service Line Warranties of America,which also has an A+accredited rating with the Better
Business Bureau.
Physical Office Location Point of Contact
Utility Service Partners Michael P.Madden
11 Grandview Circle,Suite 100 Regional Account Manager
Canonsburg,PA 15317 407-616-2239
866-922-9006 mmaddenPutiiitvsp.net
Section 3:Firm Qualifications 17
l..
Utility City of Sanford Utility Service Line Insurance /Warranty
Service
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Key Staff Resumes
USP is committed to provide the City of Sanford with a designated,professional team to guarantee a
smooth program.transition.The account management team will comprise of the following professionals:
Michael P. Madden,Regional Account Manager and Primary Point of Contact
Mike Madden joined Utility Service Partners in May,2011,as the Regional Account Manager for the
southeastern region of the U.S.Prior to joining USP, Mike played an important leadership role within the
Florida League of Cities(FLC)spearheading one of the largest and most successful specialty Insurance
programs in the U.S. During his tenure with the FLC,Mike orchestrated the turnaround of the Florida
Municipal Insurance Trust and grew fund equity by six-hundred percent in just under 9 years.
Having spent many years in the insurance industry,Mike heard many complaints from people with utility
line breaks, leaks,etc.;unfortunately,at the time,no service such as that offered by USP existed. Because
Mike saw the necessity for service line warranties,and liked USP's management style and approach to
warranties, he decided to embark on a new career with USP. Most of Mike's professional experience is in
the insurance field,and he holds several insurance licenses and designations,including the Charted
Property and Casualty Underwriter(CPCU)designation.
Brad Carmichael,Vice President,Business Development
As Vice President of Business Development, Brad Carmichael is a resourceful business leader who knows
how to deliver innovative ideas,improve business processes,and manage organizational change to serve
municipal clients. Brad enjoys reaching out to cities large and small alike to understand their unique
challenges and provide solutions to meet their specific needs.
Brad is responsible for identifying new prospects among municipalities,developing customer relationships
for private label partnerships as well as for developing strategic marketing plans and implementation
strategies.Brad has been an integral part of negotiating contracts with major cities across the country,such
as Atlanta,Milwaukee,Phoenix,and Kansas City as well as developing and maintaining the organization's
strong relationship with the National League of Cities.
Throughout Brad's career,collaboration and networking have been a constant theme as he focuses on
bringing people and ideas together to create value for the organization.As a leader, Brad is skilled at seeing
the value in people he meets every day and cultivating relationships to help the organization grow.
With his employees,Brad focuses on communication and teamwork to ensure every employee understands
the tasks at hand before they begin.He works hard to help everyone understand the reason, rationale and
benefit behind the ideas so the end product will reach maximum potential.This focus Is an opportunity to
teach,with all levels of staff,to see how the team works together to grow the business and how their role
is important to the overall success.
18 Section 3: Firm Qualifications
_ 5e'f City of Sanford Utility Service Line Insurance /Warranty
_ Natnerc Irk
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Tisha Hulburd,Assistant Vice President, Marketing
Tisha has over 20 years experience in marketing data analysis, including 10 years in marketing and data risk
management while at HSBC Bank building neural net strategies for credit card portfolios.While at Dominion
and USP,Tisha translated those skills to three major data mining efforts:marketing,customer profiling and
claims analysis.
Tisha is the key employee for analyzing,designing and implementing direct mail programs.To further the
process,she tracks,measures,analyzes and models customer behavior and response patterns.This
actionable data is utilized for future campaigns,attrition management and profitability forecasting.
In addition to providing marketing data analysis,data management and reporting,she collaborates with
external vendors to obtain target customer profiling and list sourcing, building custom response models,as
well as print and mailing services.
J.Alan Crittenden,General Counsel
Alan Crittenden joined USP in 2012 as General Counsel, providing legal support to the Company's rapidly
growing business and ensuring compliance with state and Federal regulations.With over 25 years of
experience as a corporate attorney,Alan is a business-focused legal executive,with a deep background in a
wide variety of legal disciplines.
Alan is responsible for providing legal advice and support to the management team for all aspects of the
business,including the drafting of contracts with our municipal partners,customer Terms and Conditions,
leases,software agreements,employment law matters and corporate governance. USP is committed to
providing fair and easily understood terms and conditions to our customers.These contract documents
describe our warranty program clearly,explaining all inclusions and exclusions so that customers can
understand the program and the organization can stand behind our promises to the customer.
Alan leads the regulatory compliance efforts,working closely with regulatory staff to ensure that all
necessary licenses are In place and current.When an issue calls for specialized legal expertise,he
coordinates with outside counsel to ensure that the company receives proper legal advice.Alan also stays
abreast of news regarding changes to laws and regulations in order to be alert to potential implications for
the business.As part of his role,Alan and his team maintain working relationships with state regulatory
bodies that have oversight of USP's business.
Prior to joining USP,Alan was Vice President, Legal,for NOVA Chemicals.There,in a variety of leadership
roles spanning nearly a decade,he supported every significant corporate function,including:commercial
contracts;employment and pensions;corporate governance;litigation;intellectual property;and health,
safety and environmental.Before his time at NOVA,Alan spent 13 years at Consolidated Natural Gas(CNG),
providing legal leadership for CNG's cogeneration,energy marketing and non-regulated retail
businesses.As Deputy General Counsel for Corporate and Commercial Transactions,Alan served as CNG's
lead counsel on the merger with Dominion Resources.Alan has worked throughout his career to provide
practical and effective legal solutions for the needs of businesses.
Section 3: Firm Qualifications 19
Utility City of Sanford Utility Service Line Insurance/Warranty
%....a.
Perry McAtee,Executive Director,Contractor Services and Licensed Engineer
As the Executive Director of Contractor Services,Perry is skilled at understanding the needs of contractors
in our network and facilitating assistance when needed.As a Master Plumber registered In six states,Perry
is able to provide help and guidance to plumbers across the nation with his innovative and creative
thinking.Through his efforts,Perry ensures that claim costs fall within the coverage caps and mitigates the
need for any additional cost to the customer.
Perry's extensive and diverse background spanning across engineering and heavy contracting to accounting
make him a valuable asset to USP's management team.His combined education allows him the knowledge
to understand the inner workings of plumbing and contracting,while also understanding the need to meet
customer demands.
Perry focuses on a hands-on approach to ensure he conveys the city message to all plumbers in the
network to keep customers and city officials happy with the progress of the program.He also ensures that
all repairs are performed within the guidelines of the Terms and Conditions and,importantly,to code.
I
Prior to joining USP,Perry spent nearly 10 years building his own residential plumbing operation,McAtee
Plumbing,in six states with dual headquarters in Clarksburg,WV,and Columbus,OH. He has also operated
his own heavy/highway contracting company that engineered multi-million dollar projects in multiple
states and served in an accounting and heavy contractor role for Ground Breakers,Inc.
An education-lover at heart, Perry holds a Bachelors Degree in Accounting,Finance and Engineering. He is
currently a licensed engineer in the state of West Virginia and continues to hold certifications as a Master
Plumber.
Davie Andrew, Director,Quality Control
Davie is USP's Staff Master Plumber,HVAC Specialist and General Contractor.Davie joined USP in 2003 and
was instrumental in establishing the first core group of contractors for the service line warranties program.
With an extensive field background,Davie is able to work with contractors in establishing pricing,work
conditions,and setting expectations that work for both the contractor and USP.
As the organization grows, Davie develops new networks in support of company requirements, but keeps
the small-company realization and work ethic.He never loses sight that the contractor is the front line to
the customer In establishing trust and quality work.
Annette Myford,Manager,Customer Service
As the Customer Service Department Manager,Annette is an innovative and passionate professional with a
track record of achievement.With over 18 years of customer service related experience,she is solely
responsible for the oversight and direction of the primary USP Customer Service Department which handles
the majority of all claims,campaign related inquiries and general customer questions.
Annette's primary responsibility is ensuring that each and every customer is treated fairly and their claims
are in accordance with the Terms and Conditions set forth by their partner city.Additionally,since joining
USP,Annette has focused on improving processes and structure currently in place in the Customer Service
Department to Improve overall efficiency and adapt to organizational and customer-base growth. Her goals
20 Section 3: Firm Qualifications
tie City of Sanford Utility Service Line /assurance /Warranty
Pannrn.in .73_ _
4.L
include ensuring the Customer Service Department is managed according to industry standards,improving
communication within the department and creating new leadership roles as the company continues to
grow.
For over 18 years,Annette worked primarily in the health care industry working with highly sensitive
patient information and confidential documents.In addition,Annette has worked extensively during her
career directly with Medicare and Medicaid operations as a call center liaison between the patient,doctor
and Medicare/Medicaid approvers.In this role,Annette gained invaluable skills to handle difficult situations
with professionalism and tact. In addition to her time at UPM Raflatac,Annette served as the Customer
Service/Inside Sales Manager for Phenix Research Products where she elevated retention by 50%through
the implementation of inside sales performance metrics and a new commission structure.
Other key staff who may be involved in this contract include:
Name Title Responsibility
Philip E Riley,Jr President and Chief Responsible for the strategic direction of the company
Executive Officer and overall business oversight.
Edwin F.Westfield, Chief Financial Officer Responsible for directing and overseeing all aspects of
III the finance,administrative,IT and operational functions
of the organization.
Jim Johnson Assistant Vice President, Responsible for developing,maintaining and deploying
Information Technology systems to support the businesses,
Renee Reese Director,Marketing Responsible for day-to-day campaign oversight and
customer retention.
Joe Tarby Manager,Business Responsible for developing the network of local
Development contractors within each city.
Section 3:Firm Qualifications 21
Uhl
ty City of Sanford Utility Service Line Insurance /Warranty
LAW tg-4)t,-.1 eril r
References
Lee Feldman,City Manager Celestine Dumore,Economic Development
Fort Lauderdale, FL Manager
100 N.Andrews Ave Lauderdale Lakes,FL
Ft.Lauderdale,FL 33301-1016 4300 NW 36th Street
Phone:(954)828-5959 Lauderdale Lakes, FL 33319
Email:Ifeldman@fortlauderdale.gov Phone:(954)535-2491
The City of Fort Lauderdale partnered with USP in Email:celestined @Iauderdalelakes.org
late 2012 and is currently offering their second The City of Lauderdale Lakes, FL,partnered with USP
campaign.The first campaign yielded a 3.97% in early 2012 and is currently offering their third
penetration rate which is more than 1,100 campaign.To date,the city has seen as outstanding
enrollments. 7.14%penetration rate.
Jill Woods,Emergency Management Coordinator Lee Smith,Utilities Director
Greenacres,FL Hendersonville,NC
5800 Melateuca Lane 145 Fifth Avenue E.
Greenacres, FL 33463-3515 Hendersonville,NC 28792
Phone:(561)642-2060 Phone:(828)233-3211
Email:jwoods @ct.greenacres.fl.us Email:(smith @citvofhendersonvilie.org
The City of Greenacres partnered with USP in the The City of Hendersonville partnered with USP in
summer of 2012 and is currently offering their early 2011 and is currently offering their fifth
second campaign. campaign.To date,they have seen a penetration
rate of 11.66%equating to over 2,400 households.
To date,USP has saved their residents more than
$79,000 in water and sewer line repairs. Here's what
their residents had to say:
"Our experience with SL WA was a blessing. Recently
we decided to protect our home with the policy
offered. Thank God my wife made that move.All of
our problems were professionally handled. l would
highly recommend this protection policy for anyone
that has recently purchased a home,not knowing
the previous owners prior water line repairs/work.
Very prompt and courteous representatives. We
thank you so much."—William C.
"I'm so glad I bought this warranty!Everything was
a positive experience."—Ellwood S.
Please see Attachment I for a full listing of all current partners.
22 Section 3:Firm Qualifications
fi
tgity City of Sanford Utility Service Line Insurance / Warranty
Firm Rating and Complaint History
The combination of USP's customer friendly marketing approach with a customer advocacy approach to
service and claims management is demonstrated in USP's solid A Better Business Bureau Accredited rating.
Additionally,USP is proud to report zero complaints with the Attorney General for deceptive advertising.
r a also has an accredited A+rating with the Better
brand,Service Line Warranties ofAme is g
USP's consumer b ,
Business Bureau and zero complaints with the Attorney General for deceptive advertising.
Please refer to Attachment J for Better Business Bureau Statistics.A live look at our BBB profile for our
brand name,Service Line Warranties of America,can be viewed here:
http://www.bbb.ore/pittsbu rgh/business-reviews/extended-warra nty-contra ct-service-companies/service-
li ne-wa rranties-of-a me rica-in-ca nonsbure-pa-16002086
Value Added Features
USP believes in delivering quality products and services that meet the needs of our customers.Our program
is designed with the customer in mind to offer generous coverage and peace of mind. While the NLC
Service Line Warranty Program was not designed to be a solution for Inflow&Infiltration(I&I)issues that
many cities are facing today, USP can provide assistance by leveraging Its contacts within the Industry.
Addressing Inflow and Infiltration (I&I) Issues
Inflow and Infiltration(I&I)is becoming a growing problem for most municipalities. I&I costs are a large
expense for most water treatment facilities in operating costs,which are generally reflected in the rising
costs of wastewater treatment and passed along to consumers via increased prices.
One of the growing sources for I&I is cracked pipes on private property allowing groundwater and
rainwater to seep into the pipes. Because the pipes are located on private property,municipalities have
little control over the replacement and repair of the pipes.Additionally,unless the resident reports the
problem,cracks and leaks can go unnoticed for months or even years,resulting in thousands of gallons of
potential extra wastewater treatment.
The Environmental Protection Agency(EPA)has a set of regulations to stop all wastewater overflows from
reaching United States Waters. Unfortunately,the task is nearly impossible since I&I can't be completely
stopped and will likely continue to increase as the current infrastructure ages.
USP is aware of an industry leader which will provide analysis of current infrastructure and recommend cost
effective solutions. USP would be happy to share more information about the vendor and its program
during the contracting phase.
!
Section 3: Firm Qualifications 23
%UitY City of Sanford Utility Service Line Insurance /Warranty
Easy Implementation
USP has developed a formal implementation process based on the company's rich experience with existing
partnerships on various platforms.As a result, USP has identified the critical steps for successful new
partner implementations to form the following process:
Implementation Meeting—USP will host an on-site meeting at the city offices to review a predetermined
list of requirements.
Statement of Work Document—USP will prepare a statement of work document within 10 days after the
meeting which will include a detailed file design,task development(data mapping)and a unit and system
testing.
Launch—Upon launch,USP will develop a media relations plan with the city,schedule a press conference(if
applicable)and provide a drop date schedule.
Reporting—USP will provide a secure,online web-portal accessible through USP's main site to allow the
city to access real time reports and monitor the progress of the program.Reports Include the number of
enrollments,claims and royalty revenue generated and can be downloaded for further analysis.
Open Communication
While the initial work is done during program implementation,USP believes open and frequent
communication with the city results in successful partnerships.During each campaign season,USP will
reach out to key staff members for updated approvals, provide answers to questions and continue the
implementation process for additional marketing seasons.By working together, USP can continue to
operate successfully within your community and increase response rates by increasing program awareness
within the community.
Additional Products
In addition to our primary products,USP offers a full product suite of coverage for inside the home
including water,sewer,gas,electric,central cooling repair(HVAC)and furnace heating repair(HVAC).These
products can be made available to residents upon request of the city.
While USP offers additional products,residents will only be able to enroll in products approved by the city.
24 Section 3: Firm qualifications
U � City of Sanford Utility Service Line Insurance/Warranty
P,atrEr Irr,
Attachment A: Terms & Conditions - Sewer
PROVIDER:
Utility Service Partners Private Label,inc.d.b.a.:
Service Line Warranties Of America("SLWA")
11 Grandview Circle,Suite 100
Canonsburg,PA 15317-9840
Website:www.slwofa.com
Phone: 866-922-9006
CONTRACT HOLDER:
[Name]
[Address Line 1]
[Address Line 2]
Account No.: To be assigned
Confirmation No.:To be assigned
Dear[Name],
Thank you for enrolling in the Service Line Warranties of America Outside Sanitary Sewer Line Service
Program.This Home Service Contract is for your Outside Sanitary Sewer Line only and is subject to the
enclosed"TERMS&CONDITIONS".
In addition to our enclosed standard Terms&Conditions,the following additions are required by State Law
or negotiated on your behalf by your city.These additions supersede any provisions to the contrary in the
Terms and Conditions;
Obligations of SLWA under this Home Service Contract are backed by the full faith and credit of
SLWA and are not guaranteed by a service contract reimbursement insurance policy.THIS IS NOT A
CONTRACT OF INSURANCE.
You may not assign or transfer this Home Service Contract to another home or property, however,
should you decide to move or sell the home for which this Home Service Contract Is employed,
you have the right to assign this Home Service Contract to the subsequent retail purchaser at least
fifteen(15)days from the date the home is sold or transferred, provided,however that SLWA may
charge an assignment fee not to exceed$40.Please note,SLWA may not provide coverage free of
charge during your home's listing period.
Certain Items and events are not covered by this contract. Please refer to the exclusions listed
on the following page of this document.
If this Home Service Contract was issued on or after July 1, 2011,the established monthly contract
fee(s)is not subject to regulation by the Florida Department of Insurance.
Attachment A:Terms&Conditions-Sewer 25
. ut�nt
e City of Sanford Utility Service Line Insurance/Warranty
Pat-Incr.km
SLWA may modify the Service Program by giving you thirty (30) days' written notice and may
terminate the Service Program for nonpayment within thirty (30) days of the payment due date
and with ninety(90)days'written notice for any other reason. If the contract is canceled by SLWA
for any reason other than for fraud or misrepresentation,a return of premium shall be based upon
100 percent of unearned pro rata premium, less any claims paid on your account.
This contract begins at noon local time,thirty(30)calendar days after the enrollment date, unless
otherwise noted or disclosed,and continues thereafter so long as you make timely payments.There is no
deductible or service fee per occurrence.
Should you need to file a claim,please contact our emergency hot line at 1-866-922-9006. Representatives
are available to take your call 24 hours a day,seven days a week,including holidays.
We hope that you never experience an emergency, but if you do,we are here to service your needs.
Thank you again for your business.
Sincerely,
Service Line Warranties of America
Please retain these documents for your reference.
Enclosed:FL Outside SANITARY SEWER Line Terms&Conditions
26 Attachment A:Terms&Conditions-Sewer
lity City of Sanford Utility Service Line Insurance /Warranty
ennce
Mainers Inc.
q `7177 'ii;'i '(
TERMS AND CONDITIONS OF THE
SERVICE LINE WARRANTIES OF AMERICA("SLWA")
OUTSIDE SANITARY SEWER LINE PROGRAM("SERVICE PROGRAM")
This Home Service Contract covers the primary sanitary sewer line from the point of entry at your home
(including a primary sanitary sewer line which may be buried or embedded in a concrete slab under your
single-family home)to the point of public or municipal sewer responsibility(typically the main service line)
and provides service or repair to restore flow to the primary sanitary sewer line serving your residential
home where the flow of the line Is impeded due to normal wear and tear or tree roots.This Home Service
Contract is limited to $4,000 per line repair occurrence. If public street or public sidewalk cutting is
required to repair the line,an additional allowance is provided;up to$4,000 for public street repair and up
to $500 for public sidewalk repair. Determination of how a covered sanitary sewer line claim is to be
serviced, repaired or replaced is entirely within the discretion of SLWA based on its professional Judgment.
Please note that this Home Service Contract does not cover repairs that might be needed to meet local
regulatory requirements or utility directives for matters unrelated to the ability of the line to maintain
an unimpeded flow,such as failed smoke or dye tests,or ground or storm water infiltration.
By enrolling,you represent that your outside sanitary sewer line is in good working order.
This Home Service Contract covers only the home listed on the cover page.You may not assign or transfer
this Home Service Contract to another person or to another home or property.
To initiate a service call under this Service Program.you must call SLWA,toil free at 866-922-9006
(assistance is available 24 hours per day.7 days a week)before any work is performed.All work must be
performed by an authorized SLWA contractor.Any exceptions to this are at the sole discretion of SLWA and
in no event will SLWA's liability for reimbursement on work performed by a non-SLWA contractor exceed
$500. if a permit or line location is required,proper permitting will be secured before work will
commence;any repair will conform to applicable plumbing/excavating codes.Please note that our
approved contractors must have safe and clear access to,and safe working conditions at and around the
work area.
This Home Service Contract starts thirty (30) days after the enrollment date noted on the cover page,
unless otherwise noted or disclosed, and continues thereafter so long as you make timely payments.This
Home Service Contract may be canceled for nonpayment.Your account must be in good,current standing
to receive any service or repair under this program.
THIS HOME SERVICE CONTRACT EXCLUDES THE FOLLOWING:
a) updating and/or moving lines where the flow of sewage is not impeded, in order to
meet code, law, or ordinances or to satisfy directives of the sewer utility company or
others, including inflow and infiltration Issues (failed smoke or dye tests,ground water
infiltration into the line);
b) mandated separation of storm and sanitary drain lines;
c) any shared sewer line that provides service to multiple properties, detached houses,
secondary buildings or branch lines, whether known or unknown; commercial
Attachment A:Terms&Conditions-Sewer 27
V �rvrl City of Sanford Utility Service Line Insurance/Warranty
properties, mobile homes, primary sanitary lines that are over 6 inches in diameter, lift
stations or lift pumps,sump,trash or grinder pumps or storm sewer lines;
d) damage to a sewer line that is caused directly or indirectly by you, a third party, natural
disasters,acts of God,or by any insurable causes;
e) Any damage/cleanup to the inside of the home, including personal property, or
replacement or "matching" of any floor covering or affected area (e.g. carpet, hard
wood, marble,ceramic tile,dry wall, paint, plaster or wallpaper,etc.). Restoration does
not Include landscaping services, such as replacing trees, sod or shrubs or repairing
private paved and/or concrete surfaces,walkways leading to the home, or structures on
your property.
After a sewer line is repaired,SLWA will provide basic site restoration service to the affected area limited
to filling trenches,mounding(to allow for settling), raking and seeding(weather permitting)excluding sod.
if slab cutting within the foundation walls is necessary to repair a broken sewer line, the resulting trench
will be filled with gravel and covered with concrete.Debris will be removed from the work area.
You have thirty (30) days from the date you enroll in the Service Program to cancel and receive a full
refund of any payment you have made. After 30 days, you may cancel the Service Program at any time,
•
and you will be reimbursed the pro rata share of any amount you paid, less 1) any costs paid towards a
claim filed on your account, and 2)a$6.00 processing fee.SLWA will not pay any refund which is less than
$6.00,unless requested by you.
SLWA may modify the Service Program by giving you thirty (30) days' written notice and may terminate
the Service Program for nonpayment within thirty(30) days of the payment due date and with ninety(90)
days' written notice for any other reason. If SLWA cancels the program for reasons other than
nonpayment, you will be reimbursed the pro rata share of any amount you paid for any portion of the
Service Program period subject to cancellation.
IMPORTANT:Please retain this document for your records.The cover letter and these Terms and
Conditions are the official copy of your Home Service Contract.
Service Line Warranties of America
is a private brand name owned and operated by
UTILITY SERVICE PARTNERS PRIVATE LABEL,INC.
11 Grandview Circle,Suite 100
Canonsburg, PA 15317-9840
Phone:866-922-9006 Web Site:www.slwofa.com
28 Attachment A:Terms&Conditions-Sewer
V1�1
ti8e City of Sanford Utility Service Line Insurance/Warranty
r` pliv
Attachment B: Terms & Conditions- Water
PROVIDER:
Utility Service Partners Private Label, Inc.d.b.a.:
Service Line Warranties Of America("SLWA")
11 Grandview Circle,Suite 100
Canonsburg,PA 15317-9840
Website:www.slwofa.com
Phone: 866-922-9006
CONTRACT HOLDER:
[Name)
[Address Line 1]
[Address Line 2]
Account No.: To be assigned
Confirmation No.:To be assigned
Dear[Name],
Thank you for enrolling in the Service Line Warranties of America Outside Water Line Service Program.This
Home Service Contract is for your Outside Water Line only and is subject to the enclosed"TERMS&
CONDITIONS".
In addition to our enclosed standard Terms&Conditions,the following additions are required by State Law
or negotiated on your behalf by your city.These additions supersede any provision to the contrary in the
Terms and Conditions;
Obligations of SLWA under this Home Service Contract are backed by the full faith and credit of
SLWA and are not guaranteed by a service contract reimbursement insurance policy.THIS IS NOT A
CONTRACT OF INSURANCE.
You may not assign or transfer this Home Service Contract to another home or property,however,
should you decide to move or sell the home for which this Home Service Contract is employed,
you have the right to assign this Home Service Contract to the subsequent retail purchaser at least
fifteen (15)days from the date the home is sold or transferred, provided,however that SLWA may
charge an assignment fee not to exceed$40. Please note,SLWA may not provide coverage free of
charge during your home's listing g g y g period.
Certain items and events are not covered by this contract. Please refer to the exclusions listed
on the following page of this document.
If this Home Service Contract was issued on or after July 1, 2011,the established monthly contract
fee(s)is not subject to regulation by the Florida Department of Insurance.
Attachment B:Terms&Conditions—Water 29
Unlit City Utility Warranty
berme
Cit of Sanford Uti/it Service Line Insurance/Warrant
atrincrs.Inc.
SLWA may modify the Service Program by giving you thirty (30) days' written notice and may
terminate the Service Program for nonpayment within thirty (30) days of the payment due date
and with ninety(90)days'written notice for any other reason. If the contract is canceled by SLWA
for any reason other than for fraud or misrepresentation,a return of premium shall be based upon
100 percent of unearned pro rata premium,less any claims paid on your account.
This contract begins at noon local time,thirty(30)calendar days after the enrollment date,unless
otherwise noted or disclosed,and continues thereafter so long as you make timely payments.There is no
deductible or service fee per occurrence.
Should you need to file a claim,please contact our emergency hot line at 1-866-922-9006.Representatives
are available to take your call 24 hours a day,seven days a week,including holidays.
We hope that you never experience an emergency,but if you do,we are here to service your needs.
Thank you again for your business.
Sincerely,
Service Line Warranties of America
Please retain these documents for your reference.
Enclosed: FL Outside WATER Line Terms&Conditions
30 Attachment B:Terms&Conditions—Water
City of Sanford Utility Service Line Insurance /Warranty
. ,, - }r T,t ( '
'l_ LS.��S.� �,. .�.! 11,�_1 � .„':
TERMS AND CONDITIONS OF THE
SERVICE LINE WARRANTIES OF AMERICA("SLWA")
OUTSIDE WATER SERVICE LINE PROGRAM("SERVICE PROGRAM")
This Home Service Contract covers the consumer-owned portion of the primary water service line from a
public or municipal water system up to the internal point of entry to your single-family home, (including a
primary water line which may be buried or embedded in a concrete slab under your home) and provides
service or repair for the broken or leaking primary water line serving your residential home where the
flow of the line is Interrupted due to normal wear and tear. This Home Service Contract is limited to
$4,000 per line repair occurrence. If public street or public sidewalk cutting is required to repair the line,
an additional allowance is provided; up to $4,000 for public street repair and up to $500 for public
sidewalk repair. Determination of how a covered water line is to be serviced, repaired or replaced is
entirely within the discretion of SLWA based on its professional judgment.
By enrolling,you represent that your water line Is in good working order.
This Home Service Contract covers only the home listed on the cover page.You may not assign or transfer
this Home Service Contract to another person or to another home or property.
To initiate a service call under this Service Program,you must call SLWA,toll free at 866-922-9006
(assistance is available 24 hours per day,7 days a week)before any work is performed.All work must be
performed by an authorized SLWA contractor.Any exceptions to this are at the sole discretion of SLWA and
in no event will SLWA's liability for reimbursement on work performed by a non-SLWA contractor exceed
$500.If a permit or line location is required,we will secure proper permitting before work will
commence;any repair will conform to applicable plumbing/excavating codes.
Please note that our approved contractors must have safe and clear access to, and safe working conditions
at and around the work area.
This Home Service Contract starts thirty (30) days after the enrollment date noted on the cover page,
unless otherwise noted or disclosed, and continues thereafter so lon g as you make timely payments. This
Y Yp Y
Home Service Contract may be canceled for nonpayment.Your account must be in good,current standing
to receive any service or repair under this program.
THIS HOME SERVICE CONTRACT EXCLUDES THE FOLLOWING:
a) any shared water line that provides service to multiple properties, detached houses,
secondary buildings or branch lines including water systems for sprinklers, pools, hot
tubs, and/or other outdoor systems, whether known or unknown; repair of meters,
meter vaults, repair or replacement of curb valves or curb boxes;
b) service lines owned by any utility or connected to a commercial facility or a mobile home,
or the cost of repairing or replacing a meter(s)that is not being relocated as a means of
repairing or replacing your water supply line;
c) updating and/or moving lines where the flow of water is not disrupted,in order to meet
code,law,or ordinances or to satisfy directives of the water utility company or others;
Attachment B:Terms&Conditions—Water 31
°:.v J!tice City of Sanford Utility Service Line Insurance/Warranty
Inc
d) damage to a water line that is caused directly or indirectly by you, a third party, natural
disasters,acts of God,or by any insurable causes;
e) Any damage/cleanup to the inside of the home, including personal property, or
replacement or "matching" of any floor covering or affected area (e.g. carpet, hard
wood, marble, ceramic tile,dry wall, paint, plaster or wallpaper, etc.). Restoration does
not include landscaping services, such as replacing trees, sod or shrubs or repairing
private paved and/or concrete surfaces,walkways leading to the home,or structures on
your property.
After a water line is repaired,SLWA will provide basic site restoration service to the affected area limited
to filling trenches, mounding(to allow for settling),raking and seeding(weather permitting)excluding sod.
If slab cutting within the foundation walls is necessary to repair a broken water line, the resulting trench
will be filled with gravel and covered with asphalt or cement as appropriate. Debris will be removed from
the work area.
You have thirty (30) days from the date you enroll in the Service Program to cancel and receive a full
refund of any payment you have made.After 30 days,you may cancel the Service Program at any time,
and you will be reimbursed the pro rata share of any amount you paid, less 1) any costs paid towards a
claim filed on your account, and 2) a$6.00 processing fee.SLWA will not pay any refund which is less than
$6.00,unless requested by you.
SLWA may modify the Service Program by giving you thirty (30) days' written notice and may terminate
the Service Program for nonpayment within thirty(30)days of the payment due date and with ninety(90)
days' written notice for any other reason. If SLWA cancels the program for reasons other than
nonpayment, you will be reimbursed the pro rata share of any amount you paid for any portion of the
Service Program period subject to cancellation.
IMPORTANT: Please retain this document for your records.The cover letter and these Terms and
Conditions are the official copy of your Home Service Contract.
Service Line Warranties of America
is a private brand name owned and operated by
UTILITY SERVICE PARTNERS PRIVATE LABEL,INC.
11 Grandview Circle,Suite 100
Canonsburg, PA 15317-9840
Phone:866-922-9006
Web Site:www.slwofa.com
32 Attachment B:Terms&Conditions—Water
Derma) City of Sanford Utility Service Line Insurance/Warranty
ParintnIn �€.-. 7'71'21. xi• R s.. a`
,. . .. ..t=.. —
v1. s. ."- _x. _ t ts. eL. ... ..S �
Attachment C: Sample Letter
CITY' City of Anywhere
LO{O State
•
/ 1
TI%•""••'-'lWG'•eGGTB+}A
40111
Lee 987 Main Street
Anyloan,ST 12345
11.111111111+$11^,11111°'lle'1"11+11'fltl'1111191i1h1
Contact ID.1234567 Re:Coverage ter Residents
Dear(Customer Name]:
Were you ewers that se a homeowner N you are responsible for Nov meldenance and repair of your
anted,outside sewer sank*tine that Rata from your home to the utday Conneedon?In todays dtniark*Commy,many
homeowners are unprepared for an unexpected end coaty outside sewn ins repair.With repair wets reaping from
$1,200 to as much as$4.000 or more,Ills Idnd of expense can wreak havoc on a famiy's budget That's why the Cdy
of Is pawed to Introduce a new optional Sewer Line Warranty Program,made wettable to our residents
through en kuUative between the Referral League of Cities(NLC)end Service Line Warranties of America(SLWA).
The SLWA Sewer Line Warranty Program arras the cost of repaks needed on your outside,buried sewer litre for a
anal monthly fee,ensuring your line Is Tres Wog and functioning.If you should need a repair,simply at SLWRe
24-hour hotline,and a local,qualified plop ofessional will be dispatched within 24 hours to perform the repair.
There are no son e=fees or dew. costs are covered up to$4,000 per Incident,with an additional$4,000
allowance for patio street cutting,If needed.Please note that certain Some and events are not covered by this contract
Please refer to the exclusions listed In the enclosed document
SLWA Is one of the nation's largest and most gusted sources of uglily line warranties.After a decade in business.SLWA
has an A+rating nth the Better Business Bureau.The NI.C.a national organization doccated to helping city leaders
build better communities,serves as a resource and advocate for 18,000 caiw,towns and Visages,representing more
than 218 aka Americans.
SLWA Is offering•special rate on the saver line warranty for residents who enroll by[date'.SLWA wit offer
discounted price of 3,_.per month which represents a savings of over%on their standard monthly price.If
you elect to pay emually,they will discount N*cost further to 3_,which is over a_%savings.Please note
that coverage baiting 30 days Mar ntisreceived.
•
Since 2003,SLWA end its fanhly of companies have repaired smite Ones for more than 60,000 homeowners across the
U.S.If you have not akeedy set aside money for these types of expenses.please consider melting M the outside se of
the wananb program today.
To ism mss stout this program,please call 1.600.0004000,Monday through Friday,1100 am.to 6010 p.m.,b
speak with SLWA directly.Or I you utaddreesed,pos age-pskf envelope you enroll easily cation atat wimeSLWef*.cam. SLWA in the enclosed,
Sandra*
Marx Name
5epata�ern I,ern Mal aper5esnsra eaipn Mm1Oa's*oet. s aiwNaph*a war
ebd.ft mm You semay sai
reimbursed m rile Mem smYananerdrp terra Pafon eVAwrrrer Paled r.Eyd mmaraTon AIWaDdM.YarA 6e
•_X trtMre R>:TnTROOI
P3S1'Yioe Una 11 orendsiew Mae,Bra 100
1e317
rnaebup1$3174640 ate litter C Resyteaon*TGCe1
_ I
Join Smith enroll or toviewr the fanny and conditions
h phase a shvrww.SLWoVA.tom.
087 Main Street
Anytohm.ST 12346
Contact ID:1234587 Please mark your selwtlon:
❑Vest Please enrol mein the outside swat ❑ i went ho say,even morel I vmS payjuet
Ene warranty forkus*$_permonth 3_per year for me sewer Me warranty
I arby le ttebsst of mykrowiedg eat my an Is Signed wotatg atkr.
Signature: D��atte.
1111111111111 1Sl11111111
Attachment C:Sample Letter 33
U i service City of Sanford Utility Service Line Insurance/ Warranty
.•mss-i-..-,. 4S_.- .-u "�:ti?k.-i.`'�a.`'�a;,�C-.-CY.-e .w a1`+ .-v_...�33^ _
Attachment D: Press Release
NEWS RELEASE
Utility Line Protection Program
Now Available To Residents PLACE
SEAL HERE
Contact:
Hayley Martin
Service Line Warranties of America
724-749-1042
hmartin @utilitysp.net
(DATE)-The City of Sanford is introducing a new,optional program available to homeowners that provides
low cost,worry-free warranty protection for sewer lines.The program is provided through the National
League of Cities(NLC)and administered by Service Line Warranties of America (SLWA).
The NLC Service Line Warranty program offers citizens an affordable way to avoid the unexpected and
often large expense involved with a sewer line break.When a line breaks,the cost to repair it can often
cause hardship on a family's budget.This new program will offer warranty protection to help cover the
costs of a break.
"Many citizens are unaware that they are responsible for the sewer lines that go from their houses to the
point of utility maintenance.If these lines break or leak, repairs can be very expensive,"said(CONTACT
NAME, CONTACT TITLE).
"We chose to participate in this program for several reasons including that it is offered at no cost to the city
and it serves to educate our homeowners on their service line responsibilities while saving them money on
repairs,"stated(CONTACT NAME,CONTACT TITLE).(S)He continued,"SLWA has a perfect Better Business
Bureau Rating and only uses local contractors who are familiar with our permitting and codes.This program
could improve both water conservation and ground pollution,too,because we believe that residents will
be more apt to quickly report any issues with their utility service lines."
In addition to the benefits for residents,the local economy and the environment,the City of Sanford will
receive a royalty from SLWA which provides a new source of revenue in these difficult economic times.
City of Sanford residents will see offers in their mail boxes soon.The warranty will cover sewer line repairs
up to$4,000 plus an additional allowance of$4,000 for public street cutting,if needed.The program is
offered at no cost to the City of Sanford,and no public funds are used to promote the program.
34 Attachment D:Press Release
rvi City of Sanford Utility Service Line Insurance / Warranty
AL Sece
MRCP,inc.
� ..3r k-L /l.yi,,,4' 44b i 35
"We are pleased to work with the City of Sanford to offer homeowners an affordable Service Line Warranty
program,"said Brad Carmichael,Vice President of Business Development for Service Line Warranties of
America."We think Sanford residents will be pleased with our features and benefits,including a 24-hour
repair hotline and the use of local,certified technicians.This keeps dollars In the local economy,an
important benefit in these tough financial times."
Service Line Warranties of America is the brand used by the Utility Service Partners, Inc.family of
companies. Headquartered in Canonsburg,Pennsylvania,they are one of the nation's largest and most
trusted sources of utility line warranties,serving residential customers since 1996.After a decade in
business,SLWA has an A+rating with the Better Business Bureau.SLWA is proud to partner with NLC to
deliver this program.The National League of Cities is dedicated to helping city leaders build better
communities,and serves as a resource and advocate for 19,000 cities,towns and villages,representing
more than 218 million Americans.
For questions about this service,or to enroll,please contact Service Line Warranties of America at 866-922-
9006 or visit www.siwofa.com.
###
i --
Attachment D: Press Release 35
U Me City of Sanford Utility Service Line Insurance/ Warranty
PuimY+Inv. y
_ s - aa 'tS3 L 3.41. . e t3E- e
Attachment E: Web Banner
.:::..,:::.....:::::, :. :...........:: . .: : .. .: ::. ::.:..... ...,...:.:: ...,....:. : ...: ._.::::::::.:::.:.:.„,,,..:.....::„::::,..,..„,„,,,,...„ , „:___
7
Line llarranty Programs -;- ..,.r- ._ E
: --se mi rte, ,.�' ' _-------.,. w ^
The:City of is notifying residers s'of a ro ra =ter .
y :•.,-...-::,: � y g t p g rn � _ � T �� '� -.
provided through the National League of Cities(NLC)Service ;
Line Warranty Program administered by Service Line Warranties M1 �:F.
of America(SLWA).This program offers a warranty to homeowners = 1
• that covers repairs or replacements on the outside sewer line that
runs from the home to the point of utility responsibility. Property
owners are accountable for these repairs,not the utility '' �
F• Mc.•
For more information on this program or •
to ernroll, Pieta—, i
please visit SLWArs web sitar at intww SLWoiA,com .kt
36 Attachment E:Web Banner
tity City of Sanford Utility Service Line Insurance /Warranty
d
Attachment F: Welcome Kit FAQs
Service Line Warranties of America (SLWA)and National League of Cities (NLC)
Background
Who is Service Line Warranties of America?
SLWA Is a private company that provides optional water and/or sewer service line warranties to homeowners.
SLWA is proud to have been selected by NLC as a warranty service provider.The National League of Cities,
representing over 218 million Americans,is the nation's oldest and largest organization devoted to
strengthening and promoting cities as centers of opportunity,leadership and governance.After almost a
decade in business,SLWA has an A+rating with the Better Business Bureau.
The program is offered at no cost to the City and no public funds are used to promote or operate the program.
Importantly,SLWA is solely responsible for the administration and service of the warranty programs.
Who is the National League of Cities?
The National League of Cities is an organization dedicated to helping city leaders build better communities.
Working in partnership with the 49 state municipal leagues,The National League of Cities serves as a resource
to and an advocate for the more than 19,000 cities,villages and towns it represents.
Why did the National League of Cities select a single company to introduce these warranties?
The National League of Cities recognized the need for these warranties and realized that there were economies
of scale that could be achieved through the aggregation of potential homeowners that would result in a lower
cost to the homeowner.They also realized that warranties are only as good as the company offering them and
after a careful review of providers,it was determined that SLWA had the history and proven track record of
providing the superior customer service required for this program.
Is SLWA a member of the Better Business Bureau?
Yes.SLWA has been a member of the Better Business Bureau since 2003 and they are very proud of their
exemplary record.SLWA is also approved by the appropriate state regulatory body to operate in the states
where it provides coverage.
What happens if Service Line Warranties of America goes out of business?What happens to money paid
In premiums?
All of SLWA's contracts are month to month and SLWA must legally maintain adequate reserves to satisfy all
claims filed. Furthermore,SLWA has filed an application and received state approval in all states in which it
operates.Each state has different requirements to ensure consumer protection and SLWA is compliant In
maintaining the legally required financial reserves in the form of bonds,funded cash reserves or other
financial security depending on the jurisdiction's requirements.Should some unforeseeable event cause
undue financial hardship on the company,the rules established by the various state agencies ensures that
SLWA's customers are provided with adequate protection that their claims would be paid.
Where can I go to find out more about this program?
Please visit SLWA's website at www.SLWofA.com or call them directly at 1-866-922-9006.
Attachment F:Welcome Kit FAQs 37
%UItY.e City of Sanford Utility Service Line Insurance/Warranty
City Participation
Is this really a letter from the City?
Yes,the City worked with Service Line Warranties of America to make you aware of a program that could
potentially save you a lot of money.
Why is my City sending this letter to me?
The National League of Cities recognized homeowner water/sewer line warranty services as something many
homeowners have expressed an interest.it came to their attention that several state leagues had already
endorsed and were already working with SLWA.For this reason,they carefully reviewed SLWA and
determined Service Line Warranties of America to be the best option of those companies providing these
types of warranties.
Your City Council simply wanted to share the results of NLC research with its homeowners.So, letters were
mailed out by SLWA for the sole purpose of providing program information.Homeowners who wish to learn
more about this program or want to enroll are encouraged to contact SLWA directly at the number provided
in your letter.Homeowners who are not interested in these services may disregard the letter entirely.
if you choose to enroll in this program,please do so with the understanding that your City in no way warrants
or is liable for the work or performance of Service Line Warranties of America.We are only making you aware
of the availability of this product since water and sewer line repairs can be very expensive.
Why is the City endorsing this program?
In these difficult economic times,the City felt it was important to educate residents that they are responsible
for the service lines on their property and to also inform you that there was a program offered through a
reputable company that could potentially save you a lot of money.
Why Is the City working with Service Line Warranties of America for this program?
This program was brought to the City through the National League of Cities which is administered by Service
Line Warranties of America.SLWA was selected by NLC because of their high customer service and quality
ratings.SLWA has been in business for nearly 10 years and has an A+rating from the Better Business Bureau.
in addition,SLWA was also unanimously selected by the North Central Texas Council of Governments as a
shared service provider after a careful review and full vetting by a panel of member cities.
Did the City pay for this mailing?
No.SLWA pays for all aspects of the program including marketing,customer service and repairs.
Does anyone in my City have an ownership position in SLWA or benefit personally from this program?
No.SLWA is independently owned and operated and no City official,employee or relative receives any
personal compensation whatsoever.In other words,no one in your City is participating for personal gain.
What is in this Program for the City?
This program provides several benefits for the City.First,it educates residents of their service line
responsibility.Secondly,SLWA only uses qualified local contractors so repair dollars stay within the
community,which helps us all.Lastly,the City can be assured that all repairs are performed to code and that
all appropriate permitting is pulled.This saves the City money because it encourages residents to report
38 Attachment F:Welcome Kit FAQs
ji
1 _. mil City of Sanford Utility Service Line Insurance /Warranty
AL Ponxr,Ii _
water and sewer leaks in a timely manner.Timely water line repairs conserve water and reduce water loss for
the City.Timely sewer line repairs minimize wastewater pollution.
is the City receiving any compensation from SLWA?
SLWA does offer the City itself compensation for allowing the use of the City seal on the letter.Why?The
support of the City alerts residents of the legitimacy of the program resulting in more enrollments,which in
turn allows SLWA to offer a lower price to the City's residents because of the increased participation.
Is there a minimum participation necessary for a City to stay in the program?
No,there is no minimum participation required.
Marketing Letters
A resident is upset because they did not receive the letter.Why didn't they?
SLWA purchases a list of city homeowners based on the city boundary map from an independent list vendor,
Infogroup.Infogroup is an active member of the Direct Marketing Association("DMA")and adheres to all
industry guidelines and government laws regarding responsible use and distribution of personal information.
Therefore,the resident may have at one time requested they be placed on a"Do Not Solicit"list which both
Infogroup and SLWA would have to honor.Conversely,the US post office enforces that each address be
registered as deliverable the resident may have fallen off the list during the USPS"cleansing"which occurs
before the letter can be put in the mail.
A resident is upset that the letter arrived in the name of their deceased spouse.Why did this happen?
SLWA purchases a list of city homeowners based on the city boundary map from an independent list vendor,
Infogroup.Chances are that the source files used by this vendor have not been updated yet to reflect this
change. If the resident elects to enroll,all future correspondence from SLWA to the resident will be corrected.
SLWA cannot legally submit the requested name change to the DMA,which is a national,nonprofit
organization,due to privacy laws.
A resident does not want to receive any solicitations.How can this be accomplished?
Contacting SLWA at 1-866-922-9006 will ensure that SLWA will not contact this resident again(keep in mind
however that if the request comes in before the 2nd letter is sent,the customer will in fact receive the
second letter because there is not an opportunity to pull it from the post office).If the customer does not
want to receive any solicitations from anyone ever again,they will need to go directly to the Direct Mail
Association,which is a national,non-profit organization which keeps a national repository of"DNS"requests.
Neither SLWA nor Infogroup is legally allowed to submit the residents name to the DMA due to privacy laws.
What should a resident do if they want more information and did not get the letter?
The resident can call SLWA directly at 1-866-922-9006 to request information or get a copy of the letter sent
to them.They can also visit SLWA's website at www.SLWofA.com to view the details and enroll.
Attachment F:Welcome Kit FAQs 39
V' Illty City of Sanford Utility Service Line Insurance /Warranty
Service
Warranty Products
Utility Line Responsibility
Isn't my City or utility company responsible for my lines?If not,doesn't my Homeowner's
Insurance cover this type of Repair?
Typically no.Most homeowners are surprised to learn that they are responsible for the repair and
replacement of their broken or leaking utility lines,and most homeowners policies will pay to repair the
damage created by failed utility lines but not for the repair itself.We encourage you to call your insurance
company to determine your actual coverage.If you live in a condominium or duplex dwelling,we encourage
you to contact your homeowners association to determine if you need this coverage prior to enrollment.
What part of my water or sewer line am I responsible for maintaining?
Homeowner responsibility varies greatly across the U.S.In some areas,the utility is responsible for the sewer
lateral that runs from the main line to the right-of-way,property line or sewer clean-out near the curb.In
other areas,the utility is not responsible for any portion of the lateral line that runs beyond the main line. For
water service lines,the utility generally only covers the portion of the line from the main to the curb stop
valve or water meter at the edge of the property.Regardless of these local differences,SLWA will provide
coverage for the portion of the service line for which you are responsible.
Coverage
What causes cracks,holes or leaks in utility lines?
Time:Wear and tear over time.It can be that simple.Over time,fittings can fail,pipes can corrode and your
house can shift and settle.A small crack or pinhole develops and leads to a leak.Next thing you know,your
utility line has failed.
Weather:Freezing,thawing;rain,snow;each change of seasons brings with it a different challenge to your
utility lines,and the potential for cracks and leaks.
Landscaping:We all admire the beauty of a landscape graced with trees and shrubbery,but tree roots are
not friends of your utility lines.Wrapping themselves around your lines,they will eventually cause cracks,
leaks and clogs.
What items are included as part of the warranty?
The external water and/or sewer line warranty covers the underground service line from the foundation of
your home to the point where the line becomes the utility's responsibility.If any part of the line is broken
and/or leaking,SLWA will repair or replace the line in order to restore the service(including clearing tree
roots from the water or sewer line).
What items are excluded as part of the warranty?
The water line warranty does not cover the costs of repairs to the meter or meter vault nor does it cover
branch lines to sprinklers,pools,hot tubs,etc.The sewer line warranty does not cover septic systems.The
warranties are designed to ensure that the homeowner has utility service to the primary residence for
purposes of drinking,cooking and cleaning.Repairs for damages caused by the homeowner,a third party,
natural disaster,act of God or by other insurable causes are also not covered.Complete Terms and
Conditions for your residence can be viewed by visiting www.SLWofA.com.You will be asked to enter your zip
code to ensure the correct version is displayed.
40 Attachment F:Welcome Kit FAQs