Confusion Over Phoenix Business Partnership Leads To Changes

Published: Monday, October 9, 2017 - 7:38am
Updated: Monday, October 9, 2017 - 9:10am

Confusion over a marketing partnership between the city of Phoenix and a private company is leading to changes. 

The partnership between Phoenix and Service Line Warranties of America allows the company to use the city’s name and logo in letters it sends to households across the city, including Councilman Jim Waring’s home.

“My initial reaction is always 'This is an official city of Phoenix letter and then I open it and realize what it is,'” he said.

It’s an offer to buy sewer and water line warranties to cover lines on private property. Phoenix gets 12 percent of revenue from warranty subscriptions.

Last year, City Manager Ed Zuercher said it collected about a quarter million dollars.

Going forward, Zuercher said the letter will clarify the offer is not from the city of Phoenix. It will also include a city phone number for people to call with questions.

On Wednesday, the city council approved a contract extension until Dec. 31, so that staff can evaluate the program and procure a new contract.

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