You know what... I completely misread your original problem. I thought you were saying that you were unable to reindex the DB until you recompiled this SP, which was just impossible.

OK, I'm on track now... the SP fails after you reindex and won't run again until you recompile, right... ok, I get it now.

It's not a big SP, why don't you just save it with the recompile option and recompile it every time.