City program sparks debate on enrollment and awareness

Glen Cove homeowners may notice a new charge on their tax bills as the city introduces a sewer lateral repair program in partnership with Pipelogix LMS Inc., a private contractor based in Long Beach. The new initiative, which passed the City Council by a narrow 4-3 vote on Aug. 27, aims to provide homeowners with repair coverage for any problems with their sewer lateral lines. All city buildings, and Veterans of Foreign Wars Post 347, will get the protection for free.
Concerns have been raised, however, about the program’s automatic enrollment system, public awareness, and the speed at which it is being implemented.
Sewer lateral lines are vital to a home’s plumbing system, transporting wastewater to the public sewer main beneath the street curb. While the main sewer system is managed by the city, homeowners are responsible for maintaining their lateral pipes. When these pipes fail or collapse, repairs can be costly. To address this, the new program offers homeowners a subscription service covering inspections, maintenance and repairs for $15.75 per month, or $189 per year.
One aspect of the program that residents have questioned is its opt-out structure. All eligible homeowners will be enrolled in the service automatically unless they opt out within a 30-day window that will begin two business days after Pipelogix sends out informational packets. Homeowners who do not opt out by submitting a form will see a charge for the service on their tax bills.
Councilwoman Marsha Silverman, a critic of the opt-out model, suggested that the program instead operate on an opt-in basis, so homeowners can sign up voluntarily rather than being enrolled automatically.

“We have public hearings for much less impactful issues than this,” Silverman said at last week’s meeting. “This program will essentially result in an extra charge for every resident, and I doubt many people even know about it. It’s like an insurance program for pipes that I’ve never heard anyone complain about.”
Silverman argued that rushing the program forward without public education was unfair to homeowners. She noted that the council had only recently received a 30-page, 40-year contract from Pipelogix for the program, although discussions began months ago.
“I’m not saying it’s a bad program,” Silverman added. “But we’re forcing people into this without giving them the chance to fully understand what they’re signing up for.”
Mayor Pamela Panzenbeck responded by emphasizing both the financial and practical benefits for residents and the city. According to Panzenbeck, the city will receive $100,000 in annual revenue from the program, in addition to the protection it will provide homeowners.
“Sewer laterals do collapse, and when they do, the repairs can be extremely expensive,” Panzenbeck said. “This program offers peace of mind. It’s not mandatory — people can opt out — but it could save them a lot of money in the long run.”
The mayor also addressed concerns about transparency and education, explaining that an educational campaign would accompany the program’s rollout through mail, the mayor’s Facebook page and the city website.
“Homeowners will have all the information they need to make an informed decision,” she said. “They can opt out at any time, except if they’ve already used the service.”
Despite the assurances, Councilwoman Danielle Fugazy Scagliola expressed her concern that the short 30-day opt-out period might catch many residents off guard.
“I don’t think people are paying attention to something like this,” she said. “The next thing they know, they’ll see an extra $189 on their tax bill, and it won’t be something they knowingly agreed to.”
Fugazy Scagliola also pointed out that if homeowners use the service, they are committed to the contract for five years, regardless of the cost of any repairs they may need. This, she argued, could be problematic for residents who may not need them.
Former Councilman John Perrone weighed in on the potential overlap with homeowners’ existing insurance policies. He noted that some offer optional coverage for sewer lateral repairs, which could lead to confusion if homeowners discovered they had duplicate coverage.
“The notification process becomes incredibly important,” Perrone said. “What ends up happening is, if you have it on your policy, and you have it (with Pipelogix), and you have a claim, both will say, ‘You pay first,’ and that’s not what we want to see. You may want to make sure that the contract does allow the notification by the company, to make sure every resident is aware and to check if they have this coverage before they opt in or before they opt out.”