Henderson water system woes unearthed when city fixed sinkhole at complex

Henderson uncovered what it called “dire” conditions of a water distribution system at a townhouse complex this month when it made an emergency repair to a sinkhole that had partially swallowed a car, city officials said Wednesday.

“His car had gotten trapped in a hole that was caused by a leak,” Ian Massy, the city’s public response manager, told the Las Vegas Review-Journal on Wednesday.

Upon an initial inspection, the underground water system at the 38-year-old Somerset Park community appeared to be beyond repair, officials said. The city informed residents on Monday that it may be forced to shut off water services, which would force them out of their homes, if the homeowner’s association doesn’t fix the system by Sept. 10.

The HOA’s management company told the city that it doesn’t have the funds to cover the repairs, according to a letter the city taped at each of the 85 townhomes, which placed residents in a state of uncertainty.

Previous HOA under investigation

In a statement, CAMCO Homeowners Association Management said it was brought on to assist the community’s board after the previous management company was fined and dissolved by the Nevada Real Estate Division.

“Our team has worked on behalf of the new board on solutions with multiple departments in the city including code enforcement and the ombudsman — all in an effort to resolve a number of issues,” the statement said. “Due to financial stressors based on the community’s budget shortfalls and past management, the board is facing some budget issues and CAMCO is efforting solutions.”

The company noted that expenditures for the communities go through “multiple approvals.”

Terry Wheaton, Nevada’s chief compliance officer, said that there is a pending investigation against the community’s previous HOA, adding that the company had failed to turn over financial documents preventing officials from conducting an audit.

‘Blame game’

The city informed residents that the broken water system poses an “imminent hazard to the health, safety, and welfare of the public.” Shutting down the water would mean that the fire hydrants also wouldn’t function.

“We’re working on all the options,” said Lisa Corrado, the city’s director of community development and services department. “We want to do everything we can to avoid shutting off water to the community.”

The city on Wednesday afternoon hosted an information and resource session at a nearby police substation, which was attended by residents, officials and housing and legal advocates.

“Everyone’s playing the blame game,” said homeowner Rick Martinez. “We’re still getting no answers.”

Martinez and his wife, Sarah, purchased their home earlier this summer. They said Tuesday that they pay $330 a month in HOA fees but don’t know how the funds are distributed.

Underground system

At issue is a privately-operated system of underground water pipes that distribute water to each unit. The pipes are leaking, sending water aboveground, Massy said.

“What we believe based on the repair that was made two weeks ago was that the service laterals to all of the units, that’s what’s deteriorated to a point beyond repair,” Massy said.

The water is damaging car ports, damaging the asphalt and the bedding for the soils underneath, said officials, adding that it was unknown if there was cross contamination to the water.

The city is responsible for the water infrastructure until it reaches vaults in the community, near Sunset and Pabco roads, which was designed like an apartment complex, officials said.

“Everything beyond that, the HOA is responsible for the distribution system, and there are no individual meters per townhome,” Massy said.

Massy said that the city’s been in contact with CAMCO representatives, but learned that residents didn’t know the extent of the damage, prompting the city to send the letters.

“We were made aware that tenants in that situation, as well as some of the owners, or residents, were not receiving communication from the HOA about the dire situation,” Massy said.

Henderson officials said they weren’t in a position to know the extent of damage to the water system, or how long residents would be kept away from their homes if water was shut off.

“The HOA, we would encourage them to get a contractor to dig it out and to inspect it,” Massy said. “They haven’t done that.”

Possible recourses

Nevada’s Ombudsman office is in touch with CAMCO, said Sonya Meriweather, Nevada’s Ombudsman. The office first heard about the issue after residents received the letter.

“We’re in the process of gathering information and understanding the scope of this issue,” Meriweather said.

The Legal Aid Center of Southern Nevada was there to assist tenants with breaking their lease.

“Tenants are our number one priority,” said Venicia Considine, the director of development and community relations.

“What we’re helping with is looking at leases and if they want to break their lease,” Considine said.

In situations with constructive eviction, where the property’s condition is so severe that the tenant has no choice but to vacate, the tenant’s landlord may have to pay for their tenant’s relocation fees, Considine added.

Despite efforts to connect residents with resources, residents left feeling confused and overwhelmed.

“I’m feeling overwhelmed,” said Sherry Robertson, 49, “We thought the HOA would be here.”

Contact Ricardo Torres-Cortez at rtorres@reviewjournal.com. Contact Annie Vong at avong@reviewjournal.com.