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About Just out. (Portland, OR) 1983-2013 | View Entire Issue (Feb. 5, 1999)
le tir uar y 5. 1999 1 J u s t 0 - ^ 7 m m new s A llanya Guenther sat quietly, appearing remarkably composed as critics passed judgment on her ability to execute her duties as Phoenix Rising Foundation gets a little public probing executive director of Phoenix Rising Foundation, a Portland-based sexual about its near death experience by Inga Sorensen minority nonprofit social services agency strain ing to extricate itself from a financial morass. “How should I, as a community member the situation? quizzed a man management,” blurted asked to give money, feel confidence in writing who described himself as a one man. checks to Phoenix Rising?” probed Rick longtime contributor. “I did Keene defended Schmidt, a self-described small-business man n’t even know there was a Guenther, saying who previously served on the agency’s board. crisis until now,” he added. there were no plans He and roughly 60 others turned out for a Guenther responded to fire her. “Allanya Feb. 1 public meeting at which Phoenix Rising that some confidantes has the board’s confi staff and board members fielded questions about initially advised her dence,” he added. the organizations immediate past and future. not to go public until “So how are things As reported in the Jan. 22 issue of Just Out, the financials could be going to be different.7” a some biting revelations about the 21-year-old sorted out. She also woman asked. groups financial stability— or lack thereof— feared fund raising Keene told the crowd were recently made public. They include the would be hampered— if Network is a larger, more executive directors discovery last July that the not destroyed— if word sophisticated agency agency had not paid federal or state payroll got out. with many checks and taxes, not to mention many routine bills, for Still, Mark Sannes, balances. For example, several months. who joined the board while Phoenix Rising Guenther has blamed “suspected financial in August, said he was has traditionally had malfeasance” by a former Phoenix Rising “fully briefed about what was one person handling employee for the imbroglio. She also suspects happening and never told to accounting, Network that person, who was responsible for handling be silent about anything.” has a dozen. the agency’s finances, may have embezzled As for how the alleged “The same per roughly $40,000. financial malfeasance could son who handles the cash doesn’t make the Meanwhile, the combined debt to the Inter have occurred for months nal Revenue Service, state and vendors was without detection, Guenther deposits,” offered Network chief executive offi approximately $125,000. In response, the reiterated her claim that “Ithe former employee] cer Leslie Ford, adding that her agency is “audit agency’s investment reserves were liquidated to presented very detailed and impressive monthly ed, reviewed and fiscally compliant.” pay off a large portion of the overdue bills, but a and quarterly financial statements that indicat Transsexual activist Margaret Deirdre balance of several thousand dollars is still owed ed everything was fine.” O ’Hartigan, meanwhile, questioned whether a to the IRS and other creditors. Board treasurer Don Strausbaugh echoed relationship should be forged at all with Net In short, the events threw Phoenix Rising that sentiment, saying the records had been work, which she says promotes homophobia. into a highly precarious position; so dire was the “doctored and manipulated.” (The Portland O ’Hartigan cited Network’s support of the situation the board voted Jan. 11 to close the Oregon Office of Consumer Technical Assis police are investigating the case.) agency by mid-February. “The bank statements had not been bal tance, which helped bring a speaker named Guenther, however, strived to forge an anced for a year. We didn’t know this,” he Janet Foner to Portland in August to teach re- agreement with Network Behavioral Health- admitted, prompting some to say the board evaluation counseling, a technique that, O ’Har tigan says, “claims to cure homosexuality.” Care Inc., a nonprofit agency that provides an ought to have been aware of it. "Is the survival of Phoenix Rising worth get Portland attorney Jerry Keene, who has been array of mental health services, to handle on the board a few months, said he understands ting into bed with people teaching garbage like administrative support for Phoenix Rising, that feeling. including billing and financial management. that.7” she queried. “ But you have to look at the fact that the Karla McFarland, who works for the Mult Sensing it was the only way to keep Phoenix nomah County Health Department’s HIV pro Rising afloat, the board voted to pursue a con board is made up of unpaid volunteers who meet tractual relationship with Network, which has once a month,” he said, adding that it’s not the gram, picked up on the bedfellow theme. “Despite all the concerns I have about bed served the Portland area since 1980. Network’s job of the board to go into the office and ruffle through receipts. “Boards don’t do that and they fellows, my primary concern is that (sexual programs include Roots and Branches, which minorities], through Phoenix Rising, still have provides counseling and outreach services to shouldn’t,” he asserted. Some suggested the executive director, who tomorrow and the next day,” she said, pointing sexual minority young people. out that when she was growing up, supportive is in the office each workday, should have been During the Feb. 1 gathering, Guenther stressed that her agency is still in business, pro attuned to the agency’s financial status. They establishments like Phoenix Rising simply did not exist. “I wound up in a state institution viding services as it has in the past. Her assur implied the managerial oversight was lax, and feared the problem would persist as long as because of who I was,” McFarland said. ance was followed by some scrutinizing from McFarland also said the county has no Guenther remained in the same position. participants. “I have lost confidence in the immediate qualms about contracting with Network for So why the apparent shroud of secrecy about C oming C lean W illamette M ortgage S ervices , I nc . • Speed 15-20 day closings • Personal service your home or office • Good or bad credt • Jumbo loans avaiable • Sen-employed • 0% down programs administrative services. “They’re top-notch,” she said. “That’s all we’re buying here.” Another person asked whether low-income folks, particularly queer youths and seniors, would still have access to affordable services under a Network-Phoenix Rising agreement. (Phoenix Rising has many low-income clients and a sliding-scale fee.! Keene assured the crowd he was writing down all of their concerns and “would be asking Network these questions” during contract nego tiations. He added that Phoenix Rising is under no obligation to contract with Network, which so far has put no preconditions on its assistance to Phoenix Rising. I Respite the alleged financial misdeeds, * Guenther believes her agency was on the road to closure because, as a “small, indepen dent, nonprofit agency primarily serving low- income clients. Pboenix Rising simply cannot generate the cost of doing business.” Small agencies, she says, are going under because of the increasingly complex standard of care, contract reporting requirements, insurance and client billing, and client record keeping and monitoring. Coming under the wing of another, she and the board say, is a way to survive. Incorporated as a nonprofit agency in 1978, Phoenix Rising Foundation promotes “the com mon interests and well-being of lesbian, gay, bisexual and transsexual people through mental health, education and other support services.” The agency provides an assortment of coun seling services and runs the Sexual Minority Youth Recreation Center, a Portland drop-in facility for queer kids. About a half-dozen youths were on hand at the Feb. 1 meeting, among them Ellie Wieland, 18, who “wants to see SM YRC stay for youth and by youth,” she said. “1 don’t want to see it get caught up in poli tics,” said Wieland. Guenther assured that all donations desig nated for SMYRC have been used for the cen ter, and that donations raised to date will carry SM YRC through March. However, she indicat ed SM YRC’s current contracts and revenues are falling short of monthly expenses— but the board is committed to keeping SM YRC open for as long as it can, she hastened to add. Susan Zeidel, a Phoenix Rising founding board member, said the agency has provided a “shelter in the storm”— a shelter that would he devastating to lose. And, while she wishes there had been better managerial oversight and com munication, she said she’s through being angry. “It’s more sad— from mad to sad,” said Zeidel, who astutely noted the role the community played— or failed to play: “We are all culpable.” Ov^zfn/' Cycle (V W orks The Beet L ittle Bicycle Shop in the Whole Wide World 503 - 722-3969 (COME SEE WHY!) Cory Graunitz Open Tuesday-Sunday 230-7723 2025 SE Hawthorne Senior Loan Officer