Global Recycling has been operating on Chamorro Land Trust property in Dededo without a formal agreement, and hasn't paid a lease for 13 years.
Commissioners voted to issue a 90-day cease and desist letter to the company during a meeting Thursday afternoon.
The oversight appears to have been facilitated by subsequent authorizations – the first issued in 2006 – without proper follow-through. Commissioners and Chamorro Land trust Commission staff in the meeting were not sure why Global Recycling was given continued authorizations.
"It looks like, based on the 2006 letter, Global Recycling came to the commission and asked for a commercial license and at the time, they said we'll just hand you this authority to operate until we get the commercial program up and running," CLTC attorney Nicolas Toft said during Thursday's meeting.
"And then nothing ever happened of it in the next 13 years. Just kind of slipped through the cracks and successive directors just kind of punted the issue down, saying we're not at the commercial level yet," Toft added.
The most recent letter to Global Recycling is from Jan. 6, 2015, from then-Director Michael Borja, according to CLTC Chairwoman Pika Fejeran.
"It says the authorization to occupy and proceed with operation of the facility and property shall be deemed temporary and will be superseded by a commercial lease agreement upon completion of the commercial lease rules and regulations," Ferjeran said. "It sounds like back then we knew (Global Recycling) didn't have a commercial lease but then when the rules were drafted, we were supposed to go forward and follow the rules and regs."
The issue is one more example of cases "that happened years ago when things weren't done appropriately" now causing larger concern for the commission, Fejeran said.
The CLTC may have to contend with cleanup of the site.
Toft said he did not believe Global Recycling could be held responsible for cleanup based on the fact that there is no formal lease agreement. Regardless, Fejeran asked to explore a way to put Global Recycling "on the hook" for cleanup.
After a cease and desist letter is issued, and if the company is subsequently evicted, then the commission must weigh its options for the property, speakers said at the meeting.
If not marketed for commercial purposes, the property might make a good candidate for residential leasing, as it has utilities and access – provided the property is cleaned.
Current CLTC Administrator Jack Hattig will provide an analysis of the CLTC's options. He also was tasked to determine the impact on recycling efforts on Guam might be affected if the company's recycling facility was closed.