The organisation had an accumulated debt of just under $179,000 and ceased trading in October.
Liquidation appeared imminent but the community rallied around.
An agreement to pay 30c in the dollar was reached in May with the creditors and, as of Wednesday, the association was solvent.
BBO is still working towards resuming the reins, though. Basketball New Zealand and Sport Otago had to step in to ensure the game continued at the grassroots level and there will be a transition period.
There are still a few bills to process, too, but chairman Grant Roydhouse said he had been humbled by ''the goodwill expressed by the basketball community''.
''The board want to take this opportunity to thank the many volunteers, supporters, fans and funders who have supported basketball in Otago during this time of financial challenge,'' he said in a statement.
He also told the Otago Daily Times ''more than likely 90% [of creditors] would have been paid'' by the close of play yesterday.
''Then there are just one or two to tidy up. We are in the process of taking over from BBNZ and it is a bit of a transitional hand over because there are a few things we have not ironed out yet. But effectively we are 70-80% back in control.''
BBO had a second piece of good news. It will run a children's holiday programme - the Diggers development camp - during the next two weeks.
''There has been a lot of work gone in to planning that during the last few weeks. Thanks to the generous support of the Bendigo Valley Foundation, who have agreed to sponsor the camp, the kids won't have to pay to attend.''
Roydhouse expects about 90 young basketballers will be involved during the opening week and 70-80 in the second week.
