Commission to talk center’s bankruptcy
by staff reports
October 31, 2012 12:50 AM | 1328 views | 0 0 comments | 3 3 recommendations | email to a friend | print
CANTON — A special joint called meeting of the Cherokee County Board of Commissioners and Cherokee County Resource Recovery Development Authority is set for Thursday to discuss the bankruptcy involving Ball Ground Recycling LLC and possible new appointees for the authority.

The meeting is at 4 p.m. in Cherokee Hall at the County Administrative Building located at 1130 Bluffs Parkway in Canton.

The five county commissioners now serve as the members of the RRDA. The commission on Oct. 4 voted to place three new members on the county-created authority that was responsible for financing the failed recycling operation.

Thursday’s meeting was called to also discuss the status of proposals from accounting firms for a forensic audit, according to Commission Chairman Buzz Ahrens.

The commission is planning to go into a closed executive session to discuss potential litigation and the bankruptcy with its attorney.

Bids for the forensic audit were received by the commission on Monday, Ahrens said.

“I want to see where we are with regard to possible citizen appointees to RRDA, which have to be appointed by the BOC,” Ahrens said Tuesday.

Ahrens said he also hoped to have a general update on the status of Ball Ground Recycling bankruptcy and a general sense of the forensic audit RFP.

Commissioners voted 5-0 in October to reconfigure the Resource Recovery Development Authority board with a total of five members appointed by the commission by July 1. Three of the members are to be non-elected officials.

In the meantime, the board will appoint the new members initially as advisory members in January or when the county has a new lease agreement for a new operator on the site occupied by Ball Ground Recycling, whichever happens first, they said at the meeting where the decision was reached.

Commissioners went back and forth in discussion at that time about how many new members should be appointed, and whether or not they should become members of the RRDA prior to a decision on the lease agreement.

In November 2006, the county created the RRDA and issued $18.2 million in revenue bonds to relocate Jimmy Bobo’s Ball Ground Recycling from its former location on Blalock Road near Holly Springs to its site on Highway 5 just south of Ball Ground.

Bobo was under a lease agreement with the authority to pay $100,000 a month over 30 years in bond payments up to the amount borrowed to purchase land and equipment for the operation, which the authority owns under the agreement.

Last year, commissioners learned from the Bank of New York that Bobo had quit making regular payments into an escrow account.

In May, Ball Ground Recycling filed for Chapter 11 bankruptcy and Bobo was forced to vacate the property.

The Blalock Road site is now the site of the Badger Creek Soccer Park, which is county-owned and operated by the Cherokee Soccer Association under an agreement with the county.

The county is now in the process of recouping the millions of dollars it has lost in the deal, while a grand jury is continuing to investigate the matter.
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