Liability insurance representatives for the city of Poplar Bluff strongly advise against allowing volunteers to use city equipment to demolish derelict properties.
Steve Rhodes of Sterling Insurance Agency, the city's liability insurance broker, spoke Thursday to the Poplar Bluff Residential Housing Advisory Board. The proposal came from members of the board, who have been tasked with generating ideas to resolve city issues.
Retired former heavy equipment operators and other volunteers would have used city-owned machinery to remove homes slated for demolition, under the proposal. Materials would either be left at the property until the city could afford to dispose of the debris, or stored at the city's leaf disposal site on the southeast side of Poplar Bluff.
"I'll be short and to the point, the insurance industry is not in favor of that," said Rhodes. "The liability exposure for volunteers to use city equipment is just extremely high."
Board member Greg West suggested volunteers could sign a liability waiver to protect the city.
"A waiver in this situation would be useless," Rhodes said.
Insurance follows a vehicle, not the entity, he explained, and any damage done to property, such as a broken water main, would have to be repaired by the city.
"We think the city is better off not doing this with our (city) equipment," Rhodes said, adding later, "The insurance risks are great."
City officials estimate there are approximately 200 vacant and derelict properties in the city that could be demolished, but say they lack the funds to do more than a few a year. The city is preparing to spend about $17,000 on the demolition of just two properties, one on Park Street and one on Garfield Street. The annual budget for this effort is less than $35,000.
There is also a concern that the Department of Natural Resources would cite the city for storing the demolished homes at an area not approved as a trash transfer site, city officials said. Such an area would need to be improved to prevent ground water contamination and other harm from the materials.
Leaving the demolished homes in place also presents problems, said Matt Winters, board chairperson and city planner. There were seven separate attempts, on consecutive nights, to set fire to another recently demolished property on West Lexington, according to the discussion.
"This is an issue, it really is," said Winters. "I don't want to discourage your creative thinking ... unfortunately you haven't found one I'm comfortable with from a liability standpoint, and an insurance standpoint."
The city is considering other options, including the creation of a Land Clearance For Redevelopment Authority. Through existing city and state regulations, this authority could have the power to own and rehabilitate blighted areas, Winters said. The city of Sikeston also utilizes this type of board.
The city is currently advertising for board members and the council is expected to act on the matter in December, he said.
West has also asked the city to consider starting a leaf and limb disposal program to coincide with the new bulk trash collection program. Through bulk trash collection, residents can purchase a tag to have up to four items removed on a scheduled pick up day. Tags are sold the first week of the month and items are picked up the second week of the month. This can include furniture and appliances.
The leaf and limb disposal program would also utilize the sale of tags for a specified collection time. The planning department is expected to present a proposal to the city council after it is completed.