Opinion ID: 2583639
Heading Depth: 1
Heading Rank: 6

Heading: Installing a Sewer Pipeline is an Improvement to Real Property

Text: ¶ 12 The ad valorem tax code's definition is to be used when determining whether the work in suit constitutes an improvement to real property. [27] Kirby claims that the ad valorem tax code's definition of improvement does not include the replacement of a sewer line. Kirby also attempts to classify the installation of a new sewer line as the normal repairs, replacement, maintenance or upkeep [28] associated with sewer lines. Although sewer lines require periodic maintenance, the replacement of an entire sewer line does not fall into the category of normal repair. [29] Other courts have similarly agreed that replacing an existing infrastructure qualifies as an improvement to real property. [30] One court has stated that whether there was a previously existing service is unimportant, so long as the additions improved the realty. [31] ¶ 13 The excavation, labor and expense necessary to replace a sewer pipeline differ from mere normal repair. Because the change is so extensive, it constitutes an improvement upon real property. Moreover, the installation or replacement of a sewer pipeline adds value to real property. [A] permanent addition to real property, involving expenditure of labor and money, and making the property more useful and valuable is an improvement to real property. [32] Sewer lines are permanent fixtures upon real property. They increase its value and require expenditure of both money and labor to install. A sewer line replacement constitutes an improvement of real property within both the definitions provided by the tax code and those supplied by other courts' jurisprudence. ¶ 14 Kirby's argument also disregards the tax code's definition of real property. Within the meaning of the ad valorem tax code real property includes the land itself and all buildings, structures and improvements or other fixtures that are not defined and taxed as personal property. [33] Personal property is defined by the same code as goods, chattels, and effects. [34] Chattel is defined as movable property. [35] A sewer line in situ is a permanent installation or fixture upon real property. Because a sewer line cannot be moved, it is considered by the ad valorem tax code an improvement upon real property (and not personal property). ¶ 15 We conclude that the installation of a sewer pipeline constitutes an improvement to real property within the meaning of the statute of repose. Because the sewer pipeline is an improvement, § 109 defeats appellant's negligence claim for failure to bring it within ten years from appellee's completion of the installation. COCA correctly so held. The trial court's order dismissing appellant's negligence claim as extinguished by § 109 was hence correctly affirmed. C.