Otto Bremer Trust appoints third trustee to replace ousted leader

Frank Miley replaces Brian Lipschultz, who was removed last year by a Ramsey County judge.

February 16, 2023 at 9:40PM
Frank Miley is president of Cretin-Derham Hall High School in St. Paul. (Otto Bremer Trust/The Minnesota Star Tribune)

Otto Bremer Trust has selected Frank Miley, the president of Cretin-Derham Hall High School, to be its third trustee, replacing Brian Lipschultz, who was ousted from the position last year by a Ramsey County judge.

On Thursday, the two other trustees of one of the state's largest charities filed a petition with the court asking it to confirm Miley's appointment.

Miley has already started serving as a trustee, splitting his time with the St. Paul Catholic school, and plans to move into the role full time on June 1, a school spokeswoman said.

John Stiles, a spokesman for the Minnesota Attorney General's Office, said his office will be filing a letter with the court to offer its opinion on the selection, but added it's at the court's discretion to confirm or deny the choice.

Miley, a St. Paul native, is a lawyer and teacher who was previously vice president for strategic planning and administration for Mitchell Hamline School of Law. He was also an assistant Ramsey County attorney and oversaw its truancy intervention program.

"Mr. Miley's accomplished career shows he has the judgment, character, and experience that will make him an excellent steward of the perpetual legacy Otto Bremer created nearly 80 years ago," Charlotte Johnson, one of the current trustees, said in a statement.

In an unusual arrangement, the Otto Bremer Trust owns Bremer Financial, the state's fourth-largest bank. In 2019, the trustees sought to sell their shares of the bank, which triggered a flurry of lawsuits and an investigation by the attorney general's office.

The Attorney General's Office sought to remove the trust's three trustees, alleging various breaches of duty. After a lengthy evidentiary hearing, a Ramsey County judge decided that Johnson and Daniel Reardon could keep their positions but removed Lipschultz for various reasons, including using the trust's resources and employees to work on personal matters and for crude and vulgar behavior.

Lipschultz appealed his removal, but the Minnesota Court of Appeals upheld the decision last month.

In Thursday's court filing, the current trustees said Miley was selected after an "extensive and thorough search process." After seeking recommendations from local philanthropic and nonprofit leaders, they approached about 50 potential candidates and narrowed the pool to six finalists who were interviewed.

The process differed from how Johnson, Reardon and Lipschultz were selected, having been appointed by family members into their roles.

In a letter to the Attorney's General Office included in the court filing, the trust noted that none of the finalists, including Miley, had any family relations to current or former trustees, a point it emphasized because the Attorney General's Office had criticized the trustees for appointing family members as their successors.

In a statement, Miley said he looks forward to working with Johnson and Reardon and the trust's employees to continue its philanthropy in the community.

"It is a sacred duty and honor to steward the incredible legacy of Otto Bremer in the work we do to improve and enhance our region," he said.

about the writer

about the writer

Kavita Kumar

Community Engagement Director

Kavita Kumar is the community engagement director for the Opinion section of the Star Tribune. She was previously a reporter on the business desk.

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