HealthTrust, Property-Liability Trust, and NH Municipal Association office
Amanda Loder / NHPR

Former Local Government Center insurance pool Property-Liability Trust will return $17 million in illegal subsidies.  This despite earlier protests that it didn’t have the money on hand.  The money will go to another former LGC insurance pool--HealthTrust—and then be refunded to member communities. 

For years, Property-Liability Trust struggled, and was supported by the Health Trust program, which raised funds by over-charging member communities. 

Amanda Loder / NHPR

Communities that carry HealthTrust insurance for public workers could split $13.9 million following a vote by the program’s board of directors.  In an announcement late Tuesday afternoon, HealthTrust noted that the refund was bigger than expected.  The money comes from another risk pool, Property-Liability Trust.  

Altered LGC Office
Amanda Loder / NHPR

Despite a long-awaited state Supreme Court ruling, the legal wrangling between the state and the former Local Government Center continues.  This time, the focus is on the HealthTrust risk pool, which insures roughly 50,000 municipal and school district employees in New Hampshire. 

Motion, Counter-Motion

NHPR Staff

The complaints, all stemming from former Senate President Peter Bragdon's hire by the former Local Government Center (LGC), were brought by Concord Democrat Rick Watrous.

The committee made short work of most of them -- dismissing charges that Senator Bragdon knew he was being hired to help the LGC because of  his position in the Senate, that he used his status to get his job, and that appointed fellow Senator Jeannie Forrester to a committee studying the LGC to curry favor with his future employer.

Local Government Center
Amanda Loder / NHPR

The state’s highest court has upheld a regulators’ order forcing the Local Government Center to pay cities and towns $33 million in overpayments and to refund  $17 million it transferred from a health insurance pool to a workers comp pool.

NHPR Staff

The ruling hinges on the authority of a State Securities Bureau hearing officer, and if he had the power to impose precise operating standards for the former Local Government Center that aren’t specified in law.

The Local Government Center -- or LGC --  which provides insurance to cities and towns,  has argued that hearing officer Don Mitchell violated its rights in a 2012 order compelling it to return money to its members, and for its Property-Liability Trust to repay its HealthTrust $17.1 million.

The Supreme Court has decided that Property Liability Trust does not yet have to pay $17.1 million dollars to members of the former Local Government Center.

The PLT is liability, workers’ compensation and unemployment coverage group, was split from the LGC.

That happened after a hearings officer determined it was using money from health insurance premiums to subsidize worker’s compensation for about a decade.

Communities Take Fight For LGC Payout To Court

Aug 6, 2013

Ten communities have filed a lawsuit to stop the LGC from issuing refunds.  Under a hearing officer’s order, by September 1st, the Local Government Center has to return tens of millions of dollars to communities that for years paid inflated insurance premiums.  

From the LGC issuing itself a refund to protesting communities being denied a voice in the Supreme Court case, there have been some major developments in the Local Government Center saga.  

Coalition Of Towns Challenges LGC Refund Plans

Jul 2, 2013
Amanda Loder / NHPR

Recently, a coalition of 12 towns has banded together to demand what it calls its "fair share" of health insurance surplus payments from the Local Government Center.

The sticking point is that the LGC recently announced it plans to pay back more than $52 million to communities that paid into their health insurance and property-liability risk pools by offering a premium holiday.  That's basically the equivalent of store credit for buying more insurance.

LGC To Pay Out Surplus To Communities

Jun 27, 2013

A number of communities will get payouts this summer from the Local Government Center.  Nearly a year ago, a hearing officer ordered the LGC to return more than $33 million in health insurance premium surplus to member communities.  

Amanda Loder / NHPR

After Maura Carroll's sudden departure from the Local Government Center last month, former Department of Resources and Economic Development Commissioner George Bald took over.  By shifting the LGC toward greater transparency, refocusing on customer service, and repairing the bitter relationship with its regulator, Bald hopes to overhaul the culture of the embattled organization.  And put its years-long legal troubles to rest.

LGC Supporters, Critics React To Carroll's Ouster

Feb 13, 2013
Amanda Loder / NHPR

It's been just a few days since Maura Carroll announced she would step down as head of the Local Government Center.  Today, there are still questions about her severance package and what the change in leadership could mean for the embattled organization.  StateImpact New Hampshire's Amanda Loder has been covering the twists and turns in the