GREENWOOD TWP- Greenwood Township is facing a series of challenges, in the upcoming weeks, as it seeks to fill two empty positions on the town board, as well as figure out how to respond to a possible cancellation of the township’s insurance policy by the Minnesota Association of Townships Insurance and Bond Trust (MATIT).

An attorney from MATIT had visited with the town board earlier this summer, and informed the board they were considering cancelling the township’s insurance coverage due to the significant risks they foresaw along with the township’s past claim history. The decision came, last week, in a letter dated Aug. 4.

MATIT said they would continue to insure the township’s workman’s compensation program as well as the public official’s bond program, but the letter stated it was cancelling the comprehensive liability coverage program, unless the township agreed to accept provisions to the policy, which would exclude “coverage for claims by current and former township officials and employees, claims under the Open Meeting Law, and other areas that relate to the town’s infighting.”

To accept these conditions, said Greenwood Chairman John Bassing, the township will need to purchase a second insurance policy to cover those areas.

While MATIT had told the township this was the first time it had considered expelling a member, Bassing said the League of Minnesota Cities had pursued a similar course with the Town of Greenfield, in Hennepin County, back in 2010. Bassing spoke with officials in Greenfield, and said they had to carry the additional coverage for about two years, and then were once again fully covered by the League insurance.

The Greenwood Town Board was set to meet on Wednesday, Aug. 10 (one day late due to the primary election), but Bassing said the insurance issue would not be on the agenda because township attorney Mike Couri was not able to attend that meeting. A special meeting will be held on Thursday Aug. 18 to discuss the insurance issue, along with a complaint from Planning Director Julia Maki (from a meeting originally scheduled for July but cancelled due to lack of a quorum).

Bassing told The Timberjay that the initial discussions with Couri indicated that the prudent course to follow was to pick up the supplemental insurance, and continue with the limited coverage from MATIT. The cancellation from MATIT will go into effect as of Oct. 3, so the board does have time to secure the additional covereage, Bassing said. He noted he had the names of a couple of companies that could provide the needed coverage.

Since 1990, Greenwood Township has totaled a little over $248,000 in claims from MATIT, with the first claim coming in 2004. But a large percentage of those, Bassing said, stemmed from claims from damaged township and fire department equipment, along with about $100,000 in claims resulting from Planning and Zoning disputes. The claims that concerned MATIT were those resulting from claims from township employees and officials against the township, he said. There are currently four open claims, 13 closed claims, and two incident claims on record since 2004. The four open claims include complaints made to the Department of Labor and Industry, a complaint to the Minnesota Department of Human Rights, and a lawsuit filed by a board member against the township.

Town board openings

The five-member board is currently down to three, with the resignation in July of Rick Worringer, and the just-announced resignation of John Milbridge, reportedly due to health issues. The last scheduled special meeting, on July 13 to discuss a complaint from Planning Director Julia Maki, was cancelled due to a lack of a quorum, with Milbridge not attending due to health issues, and Supervisor Gene Baland notifying Bassing he could not attend the evening prior, leaving only Bassing and Carmen DeLuca at the meeting with attorney Mike Couri, who had travelled up to Greenwood specifically for the meeting.

“We are planning on appointing two new board members at the Aug. 10 meeting,” said Bassing, noting that their attorney recommended they fill the empty seats as soon as possible, following the procedures set forth in Minnesota state statutes.

“The candidates will be suggested by the board members,” he said. “It’s the responsibility of the board’s appointment committee, which consists of the remaining supervisors and the clerk, to appoint to fill the vacancy.”

Bassing said he hopes they are able to have a quorum at the meeting.

The Timberjay will post an update at www.timberjay.com after the Aug. 10 board meeting.