Several NH towns want stay on any LGC action
LGC has appealed a state Bureau of Securities Regulation order requiring LGC, which provides health, property and workers' compensation insurance coverage to member governments and organizations, to return the money to members of its HealthTrust and Property and Liability Trust programs.
The towns of Salem, Durham, Peterborough and Northfield filed a motion to intervene, contesting the part of the BSR order that says LGC shall repay members as of August 2010. The towns left LGC prior to that date, but argue that their contributions prior to that date helped LGC build up a surplus that the BSR order ruled was in excess of what HealthTrust and Property and Liability Trust needed for cash reserves.
LGC interim Executive Director George Bald has said LGC intends to repay the HealthTrust portion, which amounts to $33.2 million, regardless of whether LGC wins its appeal.
The towns' most recent request for a stay, which was filed Friday, asks the court to stay the Sept. 1 deadlines LGC has to repay the money to each risk pool.
"If the money is refunded in the manner and on the timetable the BSR has ordered, however, the relief the Towns have requested in this appeal will become moot, and the opportunity to ensure Towns will be reimbursed in the proportion to which they actually contributed to the pools will be lost," the town's stay request said.