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Drummond board declines ownership, liability for Mill Pond (Rust Flowage) dam

Town of Drummond Town Board · December 9, 2025
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Summary

The Town of Drummond Board on Dec. 9 adopted a resolution declining ownership and liability for the Mill Pond (Rust Flowage) dam after insurers either refused coverage or quoted premiums the board said were prohibitively high; the board cited maintenance and long-term expense concerns.

The Town of Drummond Board voted on Dec. 9 to adopt Resolution #20251209, officially declining ownership and liability for the Mill Pond (Rust Flowage) dam.

Supervisor Scott McKinney told the board he contacted four insurance companies about dam liability coverage: two declined to offer coverage, one quoted a premium between $11,500 and $13,400, and a fourth said premiums would exceed $25,000 and that underwriting options were limited. The board cited the difficulty of obtaining insurance, significant responsibilities for operation and maintenance, and long-term expenses as reasons the Town should not assume ownership or liability.

McKinney introduced the resolution and Supervisor Jeff Hurula seconded it. In a roll-call vote, Bloom abstained; McKinney and Hurula voted yes and the resolution carried.

Board members framed the vote as a decision to avoid committing the town to potentially large, recurring costs and operational responsibilities tied to dam ownership. The minutes record no immediate alternative owner identified; a separate item notes an upcoming intergovernmental meeting with Bayfield County to discuss an outlet flow plan for the Drummond Lake Dam and that the state Department of Natural Resources declined to participate directly, asking the Town and County to submit a proposal for the agency to review.

Next steps recorded by the board include coordination with Bayfield County and sharing the Zoom meeting link with interested parties. The minutes do not specify a timetable for transferring responsibility or for any county or state action.