Hamlet Council Makes Funding Arrangements for Water Main Repair, Insurance Questions Remain

Whether or not Hamlet’s insurance will cover the cost of fixing a recent water main break was discussed during Wednesday’s town council meeting. The town has ended up with nearly $28,000 in repair bills from January’s water main break. It happened when bolts and a valve failed, according to Water and Street Superintendent Fred Rowe.

During Wednesday’s meeting, Clerk-Treasurer Kristina Pitts presented a letter from the town’s insurance provider. It said the water main break was not covered, since it was considered normal wear and tear.

There was also some discussion about what exactly is included in the town’s policy. “I mean, I know the water lines and all that’s covered in the insurance because I just met with her the other day,” Pitts said. Council members asked Town Attorney Martin Bedrock to review the town’s insurance policy, to figure out how to proceed.

In the meantime, council members decided to make funding available to pay the bills, in case the insurance doesn’t cover them. They passed a resolution to move a total of $22,795 into the Water Operating Fund out of the Water Bond and Interest and Water Bond and Interest Reserve funds. The remainder of the cost would likely have to come out of the Rainy Day or Economic Development Income Tax funds.