FOR IMMEDIATE RELEASE
On September 7th, Ann Gergen, President of
the Arizona Municipal Risk Retention Pool (AMRRP) sent a letter to the
the Town of Quartzsite stating that Quartzsite politics and resulting
lawsuits have exceeded the "appropriate distribution of risk financing". They are threatening terminating the town's insurance coverage.
town can operate without insurance if they have a balanced budget that
includes monies allocated to cover the damages that they incur.
Quartzsite doesn't, it owes millions to it's state Highway User Revenue
Fund and just borrowed millions from the Water Infrastructure Finance
Authority and the USDA to expand the town's waste water treatment plant.
If no insurance carrier wants to provide coverage to Quartzsite, the
town could find itself having to hire a specialty attorney to file
bankruptcy under chapter 12.