In August 2013, Bragdon accepted a position as Executive Director of the Local Government Center, an insurance company for New Hampshire municipalities and school districts. The firm broke state law numerous times between 2003 and 2010, including transferring funds improperly and not distributing excess funds to LGC members. Prior to Bragdon's hiring, a legislative study committee was brought together to look into changing the law that regulates the LGC. Bragdon, who claimed to have discussed the hiring with the Senate's legal counsel, said that he did not see any outstanding conflicts of interest outside of "the typical conflicts you have with volunteer senators who are employed elsewhere." He also said that the New Hampshire Municipal Association, an LGC subsidiary, would soon split, removing any lobbying component. New Hampshire Democrats disagreed vehemently, filing a right-to-know request regarding the LGC's hiring process. On August 16, 2013, Bragdon said that he would step down from his leadership position in a special session to be held after Labor Day. In a press release, he said, "Though I initially presumed that any potential conflicts I might face due to my employment would be similar to those of any other senator or representative, given New Hampshire’s volunteer Legislature, I have come to see the merit in arguments that the position of Senate president presents many greater challenges. ... Though I have promised to recuse myself from even the most seemingly mundane administrative tasks if a conflict arose, I do realize the perception of impropriety could still exist and could tarnish the reputation of the Senate." On September 3, 2013, the Senate met in special session; Bragdon resigned from the presidency and Chuck Morse (R) was chosen as his replacement.