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ErrolA (Texas)
Posts: 19
Posted:
Individual water meters were recently installed in our community. The BOD has discovered that the contractor did not obtain the proper permits to perform this work. The community is considered private property. What are possible ramifications and/or consequences to the community from the city of Houston for the contractor actions?
RickW (Illinois)
Posts: 169
Posted:
Quote:
Posted By ErrolA on 09/20/2009 6:36 PM
Individual water meters were recently installed in our community. The BOD has discovered that the contractor did not obtain the proper permits to perform this work. The community is considered private property. What are possible ramifications and/or consequences to the community from the city of Houston for the contractor actions?

First I would suggest checking the contract betweent the association and this contractor. We've had porposals that have stated it is the association's responsibility to obtain any necessary permits.

If it was the contractor's responsibility to obtain permits and he didn't, I think ther could be several different ramnifications, depending on your local codes. I would think that the local building department would need some way to verify that the work was done in a manner that would pass local codes. The contractor could be penalized or fined for not having permits. Worst case scenario, they could shut the water off until proper work could be verified. I doubt this would happen, but I would check the contract and then check local codes.
ErrolA (Texas)
Posts: 19
Posted:
Thanks Rick.
RobertR1 (South Carolina)
Posts: 5,164
Posted:
Who wrote and entered into the contract?
ErrolA (Texas)
Posts: 19
Posted:
Previous BOD allowed the contractor to start the work without a signed contract. Therefore responsibility for obtaining permits is not defined.
MaryA1 (Arizona)
Posts: 7,043
Posted:
Errol,

Well, if there is no contract then the board cannot prove it was the contractor's resp. to obtain all the necessary permits. IMO, the BOD will be liable for any penalties issued by the city. Hopefully they've learned their lesson to never again allow any work to be done w/o a signed contract and to make certain the contract contains all the necessary clauses.
SusanW1 (Michigan)
Posts: 5,202
Posted:
You don't say WHAT permits were't applied for. The work is done, so apply for an after the fact permits. Most likely, you will be granted the permit - but there may be a fine or two.

JohnM34 (Pennsylvania)
Posts: 1
Posted:
I did a quick Internet search and found an unoffical copy of the City of Houston City Codes/Ordinances on-line. Here is the excerpt from that unofficial copy, dealing with water meters. Just remember, this is not the official copy of the City's Codes, so you really need to contact them directly to make sure you have accurate information.

Sec. 47-8. Application for installation of water meter.
Any person desiring the installation of a water meter must complete an application for installation of the meter. The application shall include the name and address of applicant, the billing address, the type of service requested, and any other information required by the utility official.
(Code 1968, ยง 49-8; Ord. No. 07-599, ยง 3, 5-16-07)

An aspect of the original poster's information that I am not sure how it comes into play is the statement that water meters were just installed in his community. I am presuming it is an existing community. How was drinking water supplied previously, was it metered, and who paid for it?

I think the advice already given to contact the water company, explain the situation, and find out if an application was filed or permit issued is appropriate. If an application was not filed or permit, then ask what needs to be done to get the water meters appropriately "approved".

By the way, are you sure it is the City of Houston that is your water company? The only reason I ask is, being famaliar with public utilties, sometimes residents do not know which utility company in the area actually provides them service.

Good luck.
JohnB26 (South Carolina)
Posts: 1,569
Posted:
Quote:
Posted By ErrolA on 09/20/2009 6:36 PM
Individual water meters were recently installed in our community. The BOD has discovered that the contractor did not obtain the proper permits to perform this work. The community is considered private property. What are possible ramifications and/or consequences to the community from the city of Houston for the contractor actions?

It is NOT, repeat NOT, the contractor's responsibility to obtain a building permit !

It is the BUILDER's responsibility (in this case the HOA).

Generally the contractor obtains the permit ON BEHALF OF THE BUILDER/OWNER for a nominal fee.

Private property MUST MEET ALL local, county, state, and/or national codes.
If your local code required a permit and the work was performed w/o same you could be required to 'dig it up' for future inspection under a 'yet to be obtained' permit.

Why would you pay the contractor in full prior to the local code office's 'sign-off' ?
ErrolA (Texas)
Posts: 19
Posted:
Thanks for the reply John. The contractor has not and will not be paid in full until the permit issue has been resolved.
ErrolA (Texas)
Posts: 19
Posted:
Thanks for the reply John. The City of Houston is our water company. Prior to the installation of the individual meters, the city billed the HOA for usage based on the city's meter reading. We are a self managed HOA and will be responsible for reading each individual meter and billing each homeowner for their usage. The city will continue to read their meter and bill the HOA.
RobertR1 (South Carolina)
Posts: 5,164
Posted:
Errol,
I am sure this arrangement must have been done for some reason. I wish you luck.
So, you pay a Master Total bill, then you all in effect sell from this individual usage to the units, based on their individual water meters? Is that right?

Now you have to bill and collect water bills?

Who does all laboratory testing and inspection of your end of the water system? Does the city just check up to the main meter? In the event of a break in the system beyond the main eater meter, who treat and checks system after repair?

I suspect this may be a unusual arrangement, is it common around your area?
GlenL (Ohio)
Posts: 5,491
Posted:
First off, do your CC&R's allow the HOA to change from a master meter to individual ones? Have you checked with Houston Water to see if this is allowed and if it will change your rate from residential to business since you are in effect reselling the water they provide?

My best advice is to turn this mess over to the HOA attorney and let them sort it out. I have spent many years in and around city government and I can't begin to tell you how many times I've seen people try to navigate the bureaucracy on their own or say just the wrong thing in their effort to be helpful to the nice bureaucrat to get something approved and found themselves behind the eight ball.

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