Here is text taken from the HOUSABLE website for Oakland:Utility ConnectionsCategory One: No new or separate utility connection shall be required.Category Two: A new or separate utility connection may be required, but the connection fee or capacity charge shall be proportionate to the burden of ADU on the water or sewer system.Here are definitions of the ADU categories from the City of Oakland website:CATEGORY ONE ADU: Involves either conversion of space within an existing Single-Family Dwelling, or conversion or rebuild of an existing accessory structure; includes no expansion of the existing building envelope other than up to 150 sq. ft. for purposes of accommodating ADU access and egress only.CATEGORY TWO ADU: Involves construction of a new detached or attached structure, including an exterior addition to an existing structure to accommodate the ADU, in conjunction with a proposed or existing Single-Family dwelling.It seems that Oakland is making things confusing with the language they are using, but I still believe that my original interpretation is correct based on the State Assembly Bill. 

But since that is the choice you have made: I don't know what it is like in Pueblo; but in Mesa County where I live there is a person on staff that walks you through the process and the necessary paperwork that needs to be filed (they don't fill it out for you - just provide the steps).

I live 2 hours away from the property.

Heres my situation,My mom bought and "gave" me a house to live in summer 2019.

We've replaced 5 water heaters in a single year, had plumbing stoppages that resulted in 3-5k worth of work, and even had to replace 1/3 of the pier and beam foundation in the house we're currently living in.

Personally, I rent out properties that I personally would live in- and I carefully screen my tenants.

You have the book knowledge started and a general idea, but you have to remember that the books are all a broad overview and not exactly how it will all work in real life because your finances, properties, living situation will all be different than other.What's your goal of leveraging your current property to get another one?

Since they live in another state, you will have to file in that state to force payment.

By previous conversations, the Seller is unlikely to extend/decrease payment past this point.

I noticed that already just having 1 conversation with her.