Tuesday, 02 March 2021 16:08

An Important Milestone In The BSA’s Chapter 11 Case 

Rate this item
(0 votes)

Dear Scouting Family, 

This past year demonstrated that the Boy Scouts of America’s mission is more important than ever before, and I look to the future with hope. The entire Scouting community showed impressive perseverance, leadership, and commitment to the mission. I thank you all for showing up for Scouting each and every day.  

It has been just over a year since the BSA filed for Chapter 11 bankruptcy. As you know from our regular updates, we have made significant progressbut there is still more work to be done. With that said, I am pleased to share with you that the BSA has taken an important step toward emerging from this process by filing an amended Plan of Reorganization with the Bankruptcy Court.  

The amended Plan of Reorganization outlines the BSA’s proposed strategy to provide equitable compensation to victims of past abuse and address our other financial obligations so that we can continue to serve youth for years to come. There are still many aspects of the Plan that we are refining through ongoing mediation, but the amended Plan is an important step in demonstrating progress that we believe will ultimately lead to a final plan that the Bankruptcy Court will confirm. 

Some othe proposed aspects outlined in the filing include: 

  • A 5-year business plan that demonstrates a sustainable model for continuing Scouting’s vital mission into the future and provides for the BSA to continue to fund its pension and benefit plans for employees and retirees.  
  • The channeling of all claims of past abuse against national BSA and local councils into a compensation Trust, which will allow us to equitably compensate victims and continue to serve youth across the country into the future. 
  • A national BSA contribution to the Trust that includes a significant portion of national BSA’s unrestricted, non-core assets that are not subject to liens of its secured lender. 
  • A loan from the National Boy Scouts of America Foundation to the BSA to provide the BSA with sufficient working capital following emergence from bankruptcy. 
  • contribution of at least $300 million from local councils to the Trust. 

As I mentioned, this amended plan is not the final planWhile we have reached agreements with two key constituentsour secured lender and the Official Committee of Unsecured Creditorswe continue to negotiate with other parties as we move through the process of having our Plan confirmed by the Bankruptcy Court. Ultimately, claimants in the BSA’s Chapter 11 proceeding will have the opportunity to vote on the Plan. We are hopeful we can come to a global resolution that is in everyone’s best interest, including the victimsand can complete our restructuring process by this fall. 

I recognize that this is a complex processbut I want to remind you all of what we are trying to achieve through it: Our Scouting Movement—the national organization and local councils alikehas moral responsibility to compensate victims of past abuse and to continue Scouting’s missionWe understand the gravity of meeting these imperatives, and we are taking the necessary steps to get there.  

While there is still work ahead of us, I’m confident that our Scouting Movement will come out of this process even stronger, as long as we move forward together. I look forward to sharing updates with you as we continue to make progress 

Yours in Scouting,  

Roger Mosby  

President and CEO 

Boy Scouts of America 

 

Read 72 times

Leave a comment

Make sure you enter all the required information, indicated by an asterisk (*). HTML code is not allowed.

Search

Naugatuck Weather

Cannot get Naugatuck, CT location id in module mod_sp_weather. Please also make sure that you have inserted city name.

© 2017 BSA Troop 102, Naugatuck CT. All Rights Reserved. Designed By AlyssaAnne

Search