According to Galloway Township Manager Arch Liston, the township will be responsible for paying $75,000 of the $250,000 settlement the township recently reached as it pertains to a lawsuit filed by former Township Clerk Lisa Tilton.
“Our contributions due to the structure of the policy coverage was $75,000,” Liston said, adding that this will have no impact on the 2013 budget.
Multiple sources previously speculated the township would be responsible for about half the cost of the settlement, but Liston provided the $75,000 number Tuesday morning, Jan. 8.
The Indian Harbor Insurance Company is responsible for issuing the payment to Tilton within 30 days of the execution of the settlement agreement.
The Atlantic County Joint Insurance Fund (JIF) will handle the rest of the cost.
In the event that there are any taxes or penalties assessed in relation to the agreement, she will be responsible for paying those taxes.
Tilton’s lawsuit against the township and numerous individuals was settled and approved by resolution at the council meeting on Dec. 11. The agreement was fully executed on Friday, Jan. 4, and details were released to the media on Monday, Jan. 7.
The township had its own attorney in the matter, but former councilman Dennis Kleiner and former manager Steve Bonanni used separate attorneys. Former solicitor Michael Blee also had a separate attorney, but he wasn’t involved in the settlement.