State sues defunct nonprofit group
WAYNESBURG – The state Department of Community and Economic Development filed a lawsuit Wednesday seeking judgment against Sustaining Greene County for failing to file an audit and close out reports for two grants the organization received totaling $200,000.
Sustaining Greene County, a nonprofit organization, was formed in 2001 to promote economic development through agriculture. It operated the Tally Hollow Farm near Spraggs on property leased from Consol Energy, where it demonstrated environmentally-friendly farming practices.
Kimberlee Moninger, listed as the executive director of the organization, said Friday the business has been defunct since about 2010. Moninger said she was unaware of the complaint, but would look into the matter and make sure any problems are resolved.
Sustaining Greene County entered an agreement in April 2008 to participate in the department’s Regional Economic Development District Initiative Program and received a grant for $150,000, according to the complaint.
The grant application said the company would use the money to enhance existing programs and create new ones. Half the money would be spent on training, travel, insurance, livestock and equipment, including the purchase of a tractor, harvesting equipment, quilting machine, weaving loom and computers. The remainder would be spent on salaries.
The grant would allow the organization to continue pastured poultry production and expand into selling eggs and provide training for people seeking to learn quilting, weaving and how to process value-added products, the application said. Equipment also would help the organization plant crops to use for heating fuel and assist in the organization’s maple syrup project.
The DCED contract ended June 30, 2011. It required the organization to complete a final project audit no later than 120 days after that date. Despite repeated requests, Sustaining Greene County failed to submit the final audit, the complaint said.
The organization entered another agreement with DCED under the program in January 2009, for which it received a $50,000 grant, the complaint said.
Half the money will be used to implement a marketing study, advertising, insurance and audit expenses, and the remainder will be used for salaries, the grant application said.
The organization’s marketing support project was aimed at helping local farmers expand into more urban markets, it said. The organization had identified both farmers and retail and wholesale customers interest in participating in the project.
That contract also ended June 30, 2011, and required the organization to submit a grant closeout report. Despite repeated requests, the organization failed to submit the report, the lawsuit said.
DCED claims the organization has breached its contracts. It is seeking judgment against Sustaining Greene County for $200,000 plus interest and court costs.