Despite a Financial Scandal, the Urban League of Portland Won't Have Its County Funding Cut Off

Multnomah County Officials Demand More Accountability and Put the Nonprofit on Notice

Multnomah County officials have backed away from threats to cut off funding to the Urban League despite years of financial mismanagement at the troubled nonprofit.

According to records released to WW on Friday, county officials have told the Urban League that they will put the organization under closer scrutiny and demand more accountability in seniors programs the nonprofit provides under a county contract.

But the county has already had the Urban League on careful watch for more than two years, after auditors in 2009 discovered the organization has been unable to account for credit card spending by then-Urban League President Marcus C. Mundy.

WW broke the story about Mundy's unchecked spending Dec. 7, citing internal county records that show Mundy could not account for more than $44,000 in charges on the organization's credit cards—some of it going to Mundy's personal expenses.

A week later, WW reported county officials had found serious problems with seniors programs the Urban League has been providing under contract with the county.

The county has paid the Urban League $729,000 over the past three years under a contract to provide services. County money accounts for more than 20 percent of the League's $1 million annual budget.

Mundy resigned on Dec. 9, and the Oregon Department of Justice, which regulates nonprofits, opened an inquiry into the Urban League's finances.

Here's the county's letter to the Urban League:

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