The City Council passed a indemnification agreement guaranteeing a new company will not be held responsible for cleanup on their property because it was once used by the city as a sewer lagoon.
The old sewer lagoons have been purchased by Ned and Linda Fausett, who are relocating Sunset Rail at the location. The plant manufactures steel hand rail, ladders, platforms and light miscellaneous steel construction."Since the site sold by Nephi City to Sunset Rail was once used as a sewer lagoon, the Fausetts have asked that Nephi City indemnify Sunset against any future cleanup costs that might be ordered on that site that have to do with the sewer lagoon location," said Randy McKnight, city administrator.
The Sunset Rail construction project will cost approximately $1.2 million.
"We have worked with the state and have tested the soil in the area," said Mayor Robert Steele.
McKnight said any such clean-up is extremely unlikely and no problems with the site are known.
"There is no problem at the present time," said Steele. However, should a problem occur in the future that was attributed to the sewer lagoons having been located where the Sunset Rail plant is being built, the city would accept all responsibility.