NEMAH may be dissolving, employees ‘let go’

by Peter Jakey-Managing Editor

A non-profit organization, which has been serving the region since 2000, may be dissolving.

Presque Isle County Board of Commissioners chairman Carl Altman and vice chairman Bob Schell sat in on a conference call Monday with Ann Denis, an Iosco County board member, during the finance committee meeting and were told Northeast Michigan Affordable Housing Inc. (NEMAH) may be dissolving “and all the employees have been let go,” said Schell, during Wednesday’s county board meeting in Rogers City.

The organization, which had been serving Presque Isle and other counties in the region, was established to construct new houses and provide funding to rehabilitate other houses needing upgrades or emergency repairs.

Their Web site states that NEMAH had access to federal and state loans, “to assist in its endeavor to provide quality, affordable housing for area residents.”

Altman said that NEMCOG (Northeast Michigan Council of Governments) may take on the task of administering grants in the future. NEMCOG has a meeting Jan. 23.

The county had been renting space to NEMAH on the first floor of the courthouse annex. “We also have some (county-owned) equipment in there,” said Altman. “They are probably going to have to move out of there and store their own equipment.”

But, the county also may keep the office equipment, such as a conference table and office furniture, in lieu of back rent payments.

“They owe us a considerable amount of money,” said commissioner Stephen Lang. According to the county clerk’s office, their last rent payment of $418 was received for January 2013. They owe $4,598.

“They were going to sell everything,” said Schell. “Rather than sell it, why not consider leaving it there, for what they owe.”

Schell said more information would be available at the meeting next Thursday. “We have about $80,000 in deposits from grant money from NEMAH, for Presque Isle County. That’s one of the questions we could have answered. Are we going to have to refund it? Right now, they cannot administer any grants. They have been suspended by the state.”

Schell also said there is unpaid payroll. Apparently, the three local employees were notified Jan. 10 that they had been let go, Schell said. He believes NEMAH is behind on leases in other counties as well.

“There is a lot going on,” said Schell.

“There could be some criminal charges,” added Altman.

“They said, at first, it was gross incompetence, bu

t as we get into it, there may be some misappropriation of funds, too,” said Schell.  A former NEMAH employee, who was let go last year when discrepancies were found, is being investigated.

NEMAH also offered free counseling for residents facing foreclosure.

County treasurer Bridget LaLonde said NEMAH counselors assisted residents with the “Step Forward” program, which paid up to three years of back taxes for those who meet the criteria, in addition to financial help. LaLonde said the process to apply is “cumbersome. She commented that the loss of service is “unfortunate.”