Sewer line warranties encouraged by City of North Las Vegas leave some confused

Service Line.PNG

Apparently, there's some confusion from homeowners over letters received by the City of North Las Vegas.

Some residents may even be wondering if it's a scam or something that deserves a closer look.

Jim Pirih is a North Las Vegas homeowner whose emotions have gone from flustered to furious. And it's because of a letter he received from the city telling him he should consider buying a warranty for his sewer lines.

According to city leaders, the letters are sent to every homeowner twice a year; one for water lines, and one for sewer lines. Those utility lines are not covered by the city should something go wrong.

The recommended warranty provider is a company called Service Line Warranties.

"Although we don't necessarily endorse them," said Randall Devaul, Director of Utilities for North las Vegas, "we do get a 10-percent commission for every monthly payment they make."

That's right, the city gets a commission off every warranty that's sold.

"But I don't think that the City of North Las Vegas should endorse a private company for profit, that bothers me," said Pirih."

But the city doesn't see it that way. They believe they're providing a service by educating the public. The warranty is only an "option" according to the letter.

News 3 also learned North Las Vegas also received 27,000 dollars for the right to use their logo.

"I don't think that this type of advertising is proper, I don't think it's correct," said Pirih.

He also poses the question, could he get a city endorsement for his business if he paid a fee?

The fact is the contract with Service Line Warranties was approved by city council in 2013, and city leaders believe if it can save a homeowner up to $8,000 in unexpected repairs, that is a good thing.

Follow Gerard on Facebook and Twitter @GerardNews3LV!

close video ad
Unmutetoggle ad audio on off