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Letting The Fox Guard The Monopoly


For years The Coalition of New Hampshire Taxpayers has suggested to taxpayer activists that they should consider getting their town or school out of the NH Municipal Association, now operating under the name, The Local Government Center. No one was very successful, it stayed a state-created monopoly.

We suggested taxpayers get out of NHMA for various reasons, such as bad “legal advice” from its lawyers and a liberal slant which became more so in the last ten years after some of the unbiased attorneys they had left the organization.

But when the Manchester Firemen caught this crowd skimming much more than was needed to buy insurance for them the lid finally came off. NHMA had been caught. They had skimmed about $100 million and squirreled it away for their own empire building program, as any liberal group would.

Now that the NHMA has been ordered by the State to reimburse the communities who not so long ago worshipped NHMA, they show their stripes once again.

NHMA/LGC will not pay anyone back in cash, as they took it, they will only CREDIT municipalities in the future to offset the cost of new or re-issued policies.

And one more catch I like to call extortion; you have to stay with the crooks or you get nothing back.

Oh and the entity in charge of keeping an eye on this monopoly since it began – Bill Gardner’s Secretary of State Office.

Seems both the SoS Office and NHMA/LGC have been run by the same people WAY too long.

Relevant, ignored, statute below:

5-B:5 Standards of Organization and Operation. –
I. Each pooled risk management program shall meet the following standards of organization and operation. Each program shall:
(a) Exist as a legal entity organized under New Hampshire law.
(b) Be governed by a board the majority of which is composed of elected or appointed public officials, officers, or employees. Board members shall not receive compensation but may be reimbursed for mileage and other reasonable expenses.
(c) Return all earnings and surplus in excess of any amounts required for administration, claims, reserves, and purchase of excess insurance to the participating political subdivisions.


Reader Comments (2)

Nice catch Ed. Once again, they get to make up their own rules as they go. Yet another reason to minimize one's "voluntary" contributions to the pig trough.
– C. dog`
December 13, 2012 | Unregistered CommenterC. dog

These folks were always considered the "good" guys. I never bought it from the first time I was introduced to their brand of "helping" municipalities.

They had a guy named Bernie Waugh who would actually answer questions and review a proposed statute or law in a logical manner. He is long gone.

I believe they helped one of our old selectmen, who worked for them, balance out crooked books here in Deering. She used to use our insurance payments to hide over-expenitures in one department.

And I have some great stories of how they would manipulate payments and let some people win suits against a town and others they would spend a fortune fighting. It depended on your politics.

I'll be glad when the are bankrupt. This is not a private entity or they would be charged with fraud.

If a municipality hired a private insurance company you could fight with them over the same things such as payouts, appraisals etc., minus the politics.
December 13, 2012 | Registered CommenterEd Naile

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