GTC Dissolves Oneida Seven Generations Corporation

 OSGC Logo 

By Nate Wisneski - Kalihwisaks (nwisnes@oneidanation.org) 

@NWisneski_Kali 

After 814 votes the Oneida Seven Generations Corporation (OSG) is no more as the Oneida General Tribal Council (GTC) voted to dissolve the company during a special GTC meeting on Sunday, December 15.

The embattled tribally owned corporation had faced recent tumultuous times as it focused on a proposed waste-to-energy facility. The plant temporarily found homes in Hobart, Ashwaubenon, Green Bay, and Oneida before ultimately being shelved after the GTC voted it out of reservation boundaries.

OSGC fully owned and operated seven limited liability companies (LLC) and had partial ownership of five others.  Between those 12 LLCs there were 15 properties under OSGC management.

It is unclear on the exact timeline and resources needed to complete the dissolution but the auditing firm McGladrey & Pullen, who performed an audit on the company, advised the task would take about 10 to 12 months.

According to Chief Financial Officer Larry Barton a minimal impact of $7.8 million will be felt by the tribe immediately to pay down eight loan agreements. The agreements allow the lenders to immediately call for the debts to be paid. OSGC’s five other loan agreements total $17.6 million.

Along with the loan agreements an unknown amount will be needed to dissolve OSGC. Barton projects consultation fees exceeding $100,000 along with a loss of over $10 million in fair market value of assets owned by the company. Litigation with joined LLCs, and an impact to the tribe’s business and credit reputation may be felt.

The tribe’s next steps also remain unclear. They are meeting Monday, December 16 with petitioner Frank Cornelius to identify what the necessary course of action will be to carry out the GTC directive.

The final vote count was 814 supporting the dissolution while 689 opposed. 69 abstained from voting.