Danvers Retirement Board schedules March 5 vote after cybersecurity and indemnification briefing

Attorneys Veronica Turovsky Genin and Linda Champion briefed the Danvers Retirement Board on Feb. 25 about cybersecurity exposures and contract indemnification language and advised the board on seeking indemnification for non‑employee trustees.

Linda Champion explained the role of indemnification clauses in contracts and said she routinely includes language to set expectations for managers under contract. She recommended the board request town action to add indemnification coverage to protect non‑employee trustees and staff under the statutes discussed. Counsel suggested requesting inclusion of both Chapter 32 §20A (covering retirement boards) and Chapter 258 §§9 and 13 to ensure coverage for both non‑employee board members and employee members and staff.

Vincent Malgeri, the board’s fifth member, said the board would not indemnify an external vendor if Essex Regional were negotiating such a clause; he urged quick action to secure coverage for trustees. Board members noted the town’s insurance carrier (MIIA) should be consulted to verify whether Chapter 258 coverage already exists and that a town‑warrant vote would be required. The board voted to hold a special meeting Thursday, March 5 at 10 a.m. for a formal vote; Champion and Administrator Cory Grace will draft the warrant language in the interim. The board also discussed bringing the North Shore IT director, Colby Cousens, and vendor Jeff Lydon in for additional cybersecurity detail and cost estimates.

The board adjourned following the discussion and scheduling.