Littleton – The personal financial troubles of Arapahoe County’s treasurer-elect spilled into the public arena Tuesday as county commissioners raised the county’s insurance coverage on him by almost 5,000 percent.
Treasurer-elect Doug Milliken filed bankruptcy in 1993, and shortly before he was elected last month, his home fell into foreclosure. Milliken, a Democrat, takes office in January after narrowly defeating Aurora City Councilwoman Sue Sandstrom.
While commissioners said the move to increase the insurance had been discussed over the past few years, some acknowledged the timing was ideal, given Milliken’s financial situation.
At a meeting Tuesday, current Treasurer Adrian “Bernie” Ciazza told the commission it should take steps to protect the county from what he considered Milliken’s incompetence.
After the meeting, Ciazza said of Milliken: “He’s incompetent and a liar.”
Ultimately, the commission voted to raise the county’s insurance against errors and omissions from $10,000 to $500,000, after Commissioner Lynn Myers suggested raising it to $1 million.
As the new treasurer, Milliken will oversee at least $2 billion in county money annually.
County Commissioner Bernie Zimmer, a Republican, said the steep rise in insurance coverage should not be looked at as being “punitive or partisan” against Milliken.
It’s important, Zimmer said, that the county backstop itself from any mistakes that might cost it more money. He also noted that the insurance bond on the sheriff was doubled on Tuesday as well, and that the commission examined other government positions.
But the insurance doesn’t cover the county for theft or misappropriations, Zimmer said.
“People get elected who should never have been elected, had the public been informed,” Zimmer said. “I think at this point the public should be wondering what it just did to itself.”
Milliken was working with his transition team Tuesday and did not return phone calls. His spokesman, Michael Devers, characterized the bankruptcy and foreclosure as “much ado about nothing,” adding that Milliken’s personal problems had nothing to do with his ability to serve the public.
In an e-mail sent to The Denver Post, Milliken reiterated that position.
“These types of smear attacks are customary during a campaign but at this time amount to only scare tactics by the outgoing treasurer and serve to illustrate why people have lost respect for the political process,” he said. “I stand by my record as treasurer for the city of Centennial, and I will work to be worthy of the responsibility the voters entrusted to me.”
Milliken was elected treasurer in Centennial in 2001 and still serves in that position.
On Tuesday, former Centennial City Councilwoman Betty Ann Habig told county officials that the city voted unanimously to strip Milliken of many of his money-handling duties when city leaders became concerned after a series of mistakes and questionable decisions in 2002.
“It was the consensus of the council that he was unable to do the job,” said Habig, who would not elaborate.
Before the decision to strip him of his duties, the council “engaged in detailed discussions and sought clarifications” on financial statements, according to the minutes of a Feb. 28, 2002, meeting. The minutes were not clear as to what was in question.
During his campaign, Milliken took credit for the city’s $5.1 million surplus in his campaign literature. But Habig and Ciazza said Milliken had virtually nothing to do with that surplus, since his role over investments and savings was stripped barely a year into his tenure.
According to Arapahoe County, a mortgage company foreclosed on Milliken’s $246,797 home at 5315 S. Nepal Way in Centennial on Nov. 6, the day before he was elected treasurer. He bought the home in July 2005.
County Commissioner Frank Weddig said it’s time for the county to put this issue to rest.
“The voters have spoken,” said Weddig, a Democrat. “We need to move on.”
Staff writer Carlos Illescas can be reached at 303-954-1175 or cillescas@denverpost.com.
This story has been corrected in this online archive. Originally, due to a reporting error, it listed an incorrect date that Milliken bought his home. It was purchased in July 2005.
