EMC's directors decline attending candidates forum
by Brandon Wilson
bwilson@mdjonline.com
April 01, 2010 01:00 AM | 7654 views | 9 9 comments | 16 16 recommendations | email to a friend | print
MARIETTA - Incumbent directors for Cobb Electric Membership Corporation have declined an invitation to attend a candidates forum scheduled by the local League of Women Voters, a spokeswoman for the electric cooperative said.

Therefore, in lieu of the forum, the League of Women Voters Marietta-Cobb will hold an informational meeting on the co-op April 12 at the Fire Station on Haynes Street, and candidates challenging incumbents have been invited to speak.

By the end of this year, all 10 directors on the Cobb EMC board will be up for re-election. That is because a lawsuit filed against the co-op -which was settled, but remains tied up in appeals court - has postponed the 2008 election of four members and the '09 election of three. Another three directors are up for re-election this year. Cobb EMC traditionally holds annual meetings with elections in September.

Elizabeth Melville, co-president League of Women Voters of Marietta-Cobb, said she sent invitations to all directors to attend the candidates forum. She said she later received an e-mail from a co-op spokesman, Sam Kelly, notifying her that the directors had decided to decline.

She then contacted each director personally and they all told her they would not attend.

"Some said they can't come because they're sick, others said other things," Melville said.

But she said director Larry Chadwick, who was up in the 2009 election, told her that the board had been advised by their legal counsel not to attend.

Attorney Lester Tate, who represents Chadwick and many other directors, however, said Wednesday that he knew nothing about the forum. Co-op spokeswoman Carol Cookerly also said she did not know of any legal advice given.

"The directors looked at the advice based on the request," Cookerly said. "They asked our advice."

Leo Reichert, an Atlanta lawyer, represents directors Frank Boone and David McGinnis, while attorney Dwight Davis, with Atlanta-based King & Spalding, represents the co-op.

In Melville's invitation to the candidates, dated Feb. 19, she explains how the forum would be conducted and acknowledges, "It is unusual for the League to sponsor such a forum, but not entirely without history."

The rarity of the League of Women Voters getting involved in such elections was one of the reasons board members decided not to attend, co-op spokeswoman Carol Cookerly said. Also, she said, co-op officials took issue with a member in the League, who they say has a "clear bias."

"In their letter inviting Cobb EMC's board members, the League of Women Voters acknowledged that their proposed forum was out of the norm," Cookerly said. "Cobb EMC's directors agreed with that assessment, as it is clearly out of the norm for directors with corporate responsibility to participate in a debate organized by a group that has always been focused on candidates for elected public office - and to the best of our knowledge never for corporate board elections.

"Subsequently, we learned that at least one member of the League of Women's Voters leadership team has ties to a small group of dissidents against a coal-fired power plant, of which Cobb EMC is a backer. Frankly, it is disingenuous for someone with a clear bias against a very important project, like the coal plant, to be party to a forum where the hosting organization is supposed to hold a neutral stance."

Melville said Eric Brodwell, a candidate who is challenging an incumbent, is suppose to speak at the April 12 meeting held at 112 Haynes Street in Marietta, in the conference room of the fire station from 7 p.m. to 9 p.m. Brodwell, however, was not on a list of vetted candidates sent by an EMC spokesman.

"No challengers have been vetted by the credentials committee for 2009 and 2010," spokesman Chip Stewart said. "And if there are any, none can be vetted until the court says those elections can move forward."

In October 2007, a handful of EMC customers, led by Butch Thompson and Bo Pounds, filed a lawsuit against the co-op alleging breach of fiduciary duty, gross mismanagement, waste of corporate assets and unjust enrichment in relation to the management and operations of the co-op and Cobb Energy. The case was settled in December 2008. But days later, the co-op board made bylaw amendments that changed the way members could vote on issues, which plaintiffs' attorney Pitts Carr believed were illegal under the settlement. Superior Court Judge J. Stephen Schuster disagreed and Carr appealed to the Georgia Court of Appeals. During all this litigation, the '08 and '09 elections were postponed, largely due to the settlement addressing voting procedures. Attorneys on both sides have agreed that the appeal needs to be resolved before holding any elections.

Court of Appeals clerk Bill Martin said the appeal is a January term case that will be determined between on or before July 16. Additionally, the Court of Appeals' decision could be appealed to the Supreme Court, which could create more delays.

Meantime, District Attorney Pat Head's investigation into Cobb EMC, President and CEO Dwight Brown, and co-op directors, is ongoing with no updates from the DA's office. In late April, search warrants were issued and dozens of Georgia Bureau of Investigation agents descended on Cobb EMC's headquarters and the homes of Brown, the co-op's board chairman and two other directors seeking documents, computers and video files that may show evidence of racketeering and theft.
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Dan Davis
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April 08, 2010
This is just the latest in a years-long series of affronts. The Cobb EMC Board seems to be able to misbehave with impunity, and I marvel at that. They have apparently found a nice calm eddy in the stream, and they just sit back and wait for the food to come to them.

And, unbelievably, it does come to them. I see that the EPD just issued permits today for the new coal-fired power plant the Board has been pushing via the ridiculously transparent Power4Georgians consortium (and in which several board members have a curiously strong interest). Power4Georgians indeed. It's perfectly true, of course, as long as one reads "power" to mean "revenue" and "Georgians" to mean "the cabal of wealthy Georgia investers each of whom just happens to stand to benefit financially from the construction and operation of such a power plant."

How can this be so obvious and continue unchecked? Why no word from the Cobb DA on his supposed "ongoing investigation" that is now over a year old? Where are the investigative journalists who could expose the soft underbelly of this ongoing collusion?

Shameful, all of it. Outside of Georgia there are regulatory agencies, media organizations, and judicial authorities who actually attempt to expose and pre-empt such behavior. But here, in the Land of the Wink and the Slap on the Back, I suppose all we can hope for is the occasional informational article to remind us that we have to settle for catching occasional glimpses of admirable behavior from a distance.
LaVonne Otwell
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April 01, 2010
Didn't know I had the ability to scare the EMC board members away from an informational forum. This type of forum is not unique to LWV nor out of their realm of responsibility to provide information. Also I am not a "party to the forum", just an attendee. I serve on the board of LWV as treasurer, but have no influence on it's content. I,too, am a customer of EMC and am entitled to have an opinion as to how my money is spent since it since it calls itself a co-op, not a "corporation" as labeled by the PR person, Ms. Cookley, and all members are entitled to a say in how business is conducted. The "small group of dissidents" she is referring to is probably the Sierra Club and I'm proud to be a member of this national group with a proud history of protecting our environment.
Mike Jones
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April 01, 2010
I Don't blame the board for not attending. They have a right to be silent, anything they say can and will be used against them in a court of law, would they like an attorney to attend for them? If they cannot afford and attorney one will be appointed by the EMC coop.
EMC Monopoly Member
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April 01, 2010
Not a big suprise - the Board works best behind closed and secret doors - I personally, having attended some annual meetings, have never heard My Board Member Mrs. Brown say a single word - ever ? Guess she has much to hide and little reveal and speak about her years of service to EMC monopoly members.
EMC Member
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April 01, 2010
When is the EMC board going to do the right thing and resign? They have no popular support and most of their recent actions have done nothing but impede the democratic process at Cobb EMC. 7 out of the 10 directors are serving longer than the term they were elected to. This means that 70% of the board is serving unelected. It is obvious to everyone that the board is acting only in their own benefit and profit. GOD IS WATCHING YOU!
Mike Jones
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April 01, 2010
I'm surprised that Dwight and his Minions have not already held their election at one of their closed to the public board meetings and re-elected themselves with generous salary increases and more stock options.
Charles Reichert
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April 01, 2010
The conduct of the Dwight Brown and the Cobb EMC board is unbelievable. They are either the most stubborn and headstrong "executives" ever, or they are complete denial. Anyone with a room temperature IQ can see what is going on here.
Mike Smith
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April 01, 2010
They can run but they cannot hide. Dwight you are first.
yeahman
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April 01, 2010
Just another way Cobb EMC Board of Directors want no accountability to their stakeholders. Shameless cowards, all of them. They can go back to suckling of the EMC teat at the expense of the members, rolling in the dollars and pension funds that Dwight and crew lavish upon them.
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