SMETHPORT – The McKean County Solid Waste Authority and McKean
County Commissioners Monday afternoon apparently reached an
agreement that will lead to the Authority’s ceasing to exist early
next year.
In a meeting that lasted more than two hours and included
several closed executive sessions, the two sides hammered out an
agreement that will lead to a “cessation” of the SWA’s activities
on Jan. 12, 2007.
The terminology apparently has to do with a clause in state
code.
While the actual agreement, and a resolution from commissioners
that will lead to it, has not yet been written, all parties seemed
Monday afternoon to be relieved the more-than-a-year of haggling
was over.
In the final dickering, SWA solicitor Tony Alfieri was added to
the list of attorneys SWA members might choose from should they be
sued over environmental or any other matters.
While specifics were not released, there was also agreement over
who should pay what are apparently substantial attorney fees from
the long negotiations.
It was agreed that Commissioner John Egbert and the county
should “take the laboring oar” in negotiations with Rustick LLC
that will lead to the county taking over the talks “for an
appropriate assignment “of rights, payments and other company
obligations spelled out in the sales agreement.
“It’s your baby,” Rhoads & Sinon attorney Ken Joel told
Egbert.
Another issue agreed upon was how to handle the operating
expenses of the Authority until it ceases to exist – commissioners
agreed that the SWA can spend up to $10,000 per month, but must
notify the county if bills will go beyond that.
In the regular business portion of the meeting, SWA boardmember
Bob Cummins had objected to a $10,000 bill submitted by Rhoads
& Sinon, saying that the firm had agreed to handle the matter,
apparently having to do with an attempt by a number of municipal
landfills to make the state return the $4 ton surcharge imposed two
years ago, for a set fee, and that the fee had been paid.
While Joel told Cummins that the fee had to do with additional
work on an appeal, Cummins was not impressed.
“You got your money, coming back here for more is wrong,” he
told the attorney. He and Bill Kilmer voted against paying the bill
list of which the Rhoads & Sinon invoices was a part.
In another matter that will affect the settlement, Alfieri noted
that creditors of the bankrupt Carbon-Graphite Co. are suing the
SWA, alleging that it received favorable treatment when the company
paid a $48,000 bill before declaring bankruptcy – creditors
apparently are willing to settle for a $38,000 repayment, but an
attorney for Knox, McLaughlin, Gornall & Sennett, the Erie law
firm representing the county, advised that the matter should be
investigated by attorneys familiar with bankruptcy law before any
decisions are made.
No indication was made about when an agreement might actually be
signed, but attorneys from both parties agreed to exchange e-mails
of their versions.
