File image.
CHARLESTON, W.Va. — Boy Scouts of America councils are expected to contribute to a national settlement trust to resolve claims of child sex abuse with contributions from bodies with West Virginia members ranging from less than $190,000 to nearly $6 million.
The Boy Scouts filed for Chapter 11 bankruptcy in February 2020 as the Irving, Texas-based organization faced multiple lawsuits involving people who say they were sexually abused while in the program. Part of the proposed restructuring plan involves payments addressing more than 82,000 claims.
More than 1,000 unique abuse claims have been filed against eight councils with West Virginia units.
“One case of abuse is too many,” Jeffrey Purdy, scout executive of the Buckskin Council, said during an interview with MetroNews. “It’s unfortunate that over the years, people have used the Scouting program to hurt kids. It’s unfortunate and unforgivable.”
Under the proposal, the Boy Scouts and councils would contribute up to $820 million to a victims’ compensation fund; the 251 local councils would put forward $500 million in contributions. In return, the national organization and local chapters would receive legal protection from people who filed claims.
The Hartford, one of the Boy Scouts’ insurers, and the Church of Jesus Christ of Latter-day Saints have agreed to pay $787 million and $250 million respectively. They would also receive liability protection.
Local councils are legally independent and separate from the national organization and rely on fundraising to operate. Councils own camps, offices and other properties, and hire staff to maintain services, manage funds and recruit organizations to sponsor units. The BSA provides corporate resources and administrative help to councils in addition to guidelines related to program structure.
Councils previously had to purchase insurance policies covering issues including sexual abuse. The Boy Scouts in 1971 began adding councils to its liability insurance policies and agreed in 1978 to procure general liability insurance coverage for all chapters.
The local councils’ contributions will consist of cash and property. According to the Boy Scouts, the amounts were determined after reviewing claims with consideration to what councils could offer while continuing to provide Scouting.
“This is a critical component of the overall plan to emerge from the BSA’s financial restructuring,” the organization said in an email.
“Each Local Council was given discretion to allocate their contribution between cash and property,” the BSA added. “No Local Council is required to sell property and, indeed, many are not. Because Scouting is delivered on a local basis, we believe that it is critical to empower each Local Council to make their contribution in the form they chose.”
According to court documents, $408.4 million of council contributions will be cash.
A federal bankruptcy judge in Delaware has received information related to the expectations for each council: