HomeMy WebLinkAbout2003-10-20 Board of Selectmen Executive Minutes BOARD OF SELECTMEN EXECUTIVE MINUTES OCTOBER 20, 2003
EXECUTIVE SESSION: The Executive Session convened at 7 :05 p.m.
ATTENDANCE: The following were present: Wendy D.Wakeman, Chairman; Rosemary Smedile;
James Xenakis; Donald Stewart; Mark J.T. Caggiano; Mark Rees, Town Manager; Ray Santilli,Assistant
Town Manager; Thomas Urbelis, Town Counsel.
The Board of Selectmen was individually polled and each voted unanimously to move into Executive
Session. Donald Stewart yes, James Xenakis yes, Wendy Wakeman yes, Rosemary Smedile yes, Mark
Caggiano yes.Vote approved 5-0.
Litigation—Great American Insurance Company:
Assistant Town Manager Ray Santilli summarized issues surrounding the Town-owned property at 170-
172 Sutton Street and the North Andover Thrift Shop remain outstanding from a fire destroying the
building at 33 Johnson Street.
The insurance company proposed a settlement of$160,047 to be paid immediately. Two supplemental
payments would be made if the building was repaired or replace. One payment was not to exceed
$30,002 and a second supplemental payment not to exceed$46, 297 for code upgrades. An initial
amount was received in May of 2000 for a total of$160,047.
In 2001, the Town Manager requested a one-year extension to expend the insurance proceeds. Approval
for the extension was received from Great American Insurance.
In October of 2002, a formal letter was sent to the Town's insurance agent requesting approval for the
^ building approval for the building addition and the installation of a fire alarm system, in accordance with
fire codes for$4,999. No response was received.
In January of 2003,the Town received a letter from Great American Insurance indicating that time frame
for claims had expired stating that as of this dale they have not received any further documentation from
the Town in support of their claim. In June of 2003, a check reimbursing the Town $4,999 for the fire
alarm installation was received.
Town Counsel was directed to formally pursue the matter with both the insurance agent and the
insurance company seeking approval to expend $64,510 for the building addition and to receive
reimbursement for such an amount.
Town Counsel Thomas Urbelis suggested writing a lawyer nasty letter to both the Insurance Company
and the Agent to get some of the money back and if that fails to file suit.
ADJOURNMENT:
Donald Stewart made a MOTION, seconded by Mark Caggiano, to move out of Executive Session. Vote
approved 5-0.
Respectfully submitted,
Adele J. Johnson, Administrative Secretary