With challenge over financing, members step away from Etowah County Mega Sports Authority

With a Nov. 1 deadline looming for the an agreement to be reached between the Etowah County Mega Sports Complex Authority and parties seeking to intervene in a bond issue, the authority is losing members.

The most recent to resign, Heather New, president and CEO of The Chamber of Gadsden & Etowah County, cited a number of concerns she has had with the authority. While they did not provide details about reasons for resignation, John B. Moore and Keith Blackwell have stepped down as well.

In a letter of resignation provided Friday afternoon to The Times, New said she supports completion of the project and is committed to work in other capacities to see it to fruition, but says she can no longer serve on the authority.

"I have learned that the volunteer board members are not covered under the director's and officers' insurance," she said. "I have learned that the builder's risk policy lapsed in March of this year and does not appear to have been renewed.

"I have learned that the contractor is owed around $1 million and has considered legal action to recover their amounts due," New wrote in her letter of resignation. "I have learned the Greater Gadsden Tourism Department has made two separate offers to support the project in lieu of maintaining a legislative cap of $491,000," she wrote, and neither offer was brought to the board for a vote.

Furthermore, New said, she didn't learn any of those things during a board meeting or from the board chair.

"I have requested a full board meeting multiple times over the past two months either by text or voice, and those requests have been denied or postponed," she said.

ECMSCA Chairman Ralph Burke said via text message that he had no comment at this time about New's letter of resignation.

Some of the concerns New expressed have were citied by Sen. Andrew Jones, R-Centre, in a motion to intervene in the validation of a bond issue the authority sought to get money to complete the soccer fields at the facility in Rainbow City.

The tourism board filed a motion of support, and Circuit Judge William Ogletree gave the board a deadline of Nov. 1 to reach an agreement regarding their differences regarding the bond issue, and the makeup of the authority.

Rainbow City Mayor Joe Taylor has been a part of the negotiations, as the city owns the complex property and leases it to the authority for a nominal fee.

"The Chamber appreciates and respects our strong partnerships with Greater Gadsden Tourism, our state delegation, Mayor Joe Taylor and the Rainbow City Council, all of which have signed an agreement supporting the removal of the $491,000 cap and a restructure to the authority board," New wrote.

Jones had challenged the inclusion of revenue the authority receives from a legislatively imposed cap on lodging tax revenue going to the tourism board — allocating any revenue over $491,000 to the sports authority. He said he plans legislation to remove the cap, as well as legislation to restructure the authority. Listing the revenue in the bond issue would tie it up for 30 years, he said.

The legislation that created the board sets the sponsor of the legislation as a member, along with one appointment from each member of the legislative delegation, the president of the Chamber of Commerce and three people appointed by the chamber president. The authority can appoint members as well, by majority vote.

In her letter, New said she's unsure of the legality of her three appointments after her resignation, and suggested that board leadership identify what legal powers it retains to elect at-large and meet to formally reelect those who want to continue to serve.

New said she had spoken to Trina Willet and Blackwell; she understood Blackwell prefers to step away from the board — something that Blackwell confirmed. "Ms. Willet may elaborate her wishes directly to the board," New's letter said.

Authority member Moore submitted a letter of resignation to Burke Thursday. He expressed his thanks for the opportunity to serve on a board that he said will bring economic development and recreational opportunity to the area.

"I have enjoyed the work I’ve committed to this effort over the past seven years," New wrote. "I fully believe in the need for the complex and the significant economic impact it will have for our county, and I very much desire to see the project completed and all the existing contractors and architect made whole for their work.

"I am unable to continue service as a board member in the current conditions of exposure and the lack of full board meetings," she continued. "I thank each board member for your service and your commitment to the project and wish you the best."

Contact Gadsden Times reporter Donna Thornton at 256-393-3284 or donna.thornton@gadsdentimes.com.

This article originally appeared on The Gadsden Times: Three resign from Etowah County Mega Sports Complex Authority