The Mid-Delta Community Development Corp. wants money from an escrow fund connected to Leflore County’s business incubator.
But the Board of Supervisors said Monday it’s holding off until it gets an opinion from the Mississippi Development Authority.
The story dates back to when the Mid-Delta Empowerment Zone Alliance awarded $157,800 in grants to the county to complete its business incubator project on U.S. 82 in Itta Bena.
Then in 2005, the county and MDEZA reached a mediated settlement in chancery court that called for the county to fund an escrow account on MDEZA’s behalf.
In 2009, MDEZA changed its name to the Mid-Delta Community Development Corp. It also decreased the number of slots on its board and changed some members. According to CEO John Greer, it has the same tax ID number and is not a different organization.
But County Administrator Sam Abraham, who served on MDEZA’s board, said the board never took a vote to make the changes. He has maintained that MDEZA no longer exists.
On Dec. 16, Greer sent the board a letter asking for $39,450 plus interest that has accrued in the account since 2005.
The county first asked the U.S. Department of Agriculture’s Rural Development office its opinion, but the USDA said it wasn’t involved in the settlement.
Greer and attorney Betty Mallett-McLemore appeared before the Board of Supervisors Monday requesting the money.
Board Attorney Joyce Chiles said the county wants to make sure it is paying the correct entity. She said she wrote MDA about two weeks ago asking for guidance.
Supervisor Robert Moore said if the organization has not changed, then it’s obligated to fulfill the terms of the settlement, which include using the escrow money for more economic development projects in Leflore County.
Abraham asked Greer how Leflore County can apply for money for such projects, but Greer said the corporation hasn’t had a funding cycle in some time. He said it will be under consideration in the future.
Greer said two Leflore Countians serve on the corporation’s 15-member board: Roy Hudson and Alfio Rausa. He declined to provide a full list of members when Abraham asked, saying it’s a private nonprofit.
“We have an agreement with Leflore County that you all have not honored. ... All we’re asking is for you all to honor it. If you’re not going to honor it, don’t honor it,” he said.
Also Monday:
• The board approved buying a van for Youth Court from Harvey Crosby for $4,950 using funds from a Juvenile Accountability Block Grant.
• The board accepted a $109,230 bid to lease purchase a new knuckle boom truck.
• Contact Charlie Smith at 581-7235 or csmith@gwcommonwealth.com.
