Clackamas River Water secures new insurance days before old ...

The Clackamas River Water board secured property and liability insurance from high-ranked private companies just days before the new year.

The board unanimously voted Dec. 27 to purchase the bulk of the policy from Philadelphia Insurance, with a $241,999 premium. Liability insurance to cover the board, called director and officer?s liability insurance, comes from Darwin Select Insurance Company for $5,115.00

The board also considered a third option, but chose Philadelphia on Griffin?s advice, because it included earthquake and flood coverage.

The district?s previous insurer, the Special Districts Association of Oregon, notified the water district in September 2012 that it would cancel the agency's property and liability insurance in January, saying it has a "fiduciary responsibility" to protect other members from costs and liability generated by the district's contentious and dysfunctional board. The association insures almost all special districts in Oregon, and rarely cancels insurance.

The new policy is nearly as expansive as the Special District Association of Oregon coverage, but $65,000 more expensive. SDAO raised the district?s deductible in January 2012 to $50,000 and excluded ethics and labor complaints.

Jeff Griffin, of Wilson Heirgood Associates in Eugene, told the board at the end of November that some companies he approached thought he asked for a bid as a joke because of the water district?s large legal bills -- mostly caused by board infighting -- and frequent management turnover.

?This is not like having a corporation that had a rogue employee that had a drunk driving fatality where it was manageable,? Griffin said at the Nov. 27 meeting.

Griffin warned the board members that Philadelphia and Darwin Select will probably be less lenient with behavior like last year?s renegade board meetings, illegal appointments of new members and invalid firing of the general manager and attorney.

?They are very strict with anything that can be considered outside of your duties and scope as a board member or an employee,? Griffin said. ?So they are going to be much tougher on anything that can be considered libel or slander. They are going to be much harder on misconduct, deliberate acts, dishonest acts.?

Currently, Patricia Holloway and Grafton Sterling are the target of an Oregon Bureau of Labor and Industry complaint and tort claim notice, which accuse them of harassment and retaliation for whistleblowing.

A quiet year that shows some stability is restored in the district could help Griffin negotiate a lower rate next year, he said.

Source: http://www.oregonlive.com/milwaukie/index.ssf/2013/01/clackamas_river_water_secures.html

the five year engagement chris kreider correspondents dinner 2012 white house correspondents dinner 2012 whcd 2012 nfl draft kevin durant