McHenry Co. Board votes to disclose conflicts of interest to HUD

The McHenry County Board voted to disclose to the U.S. Department of Housing and Urban Development four potential conflicts of interest regarding Community Development Block Grant program funding applications.

The potential conflicts of interest involve McHenry County Board members Virginia Peschke and Sandra Fay Salgado, and Community Development Block Grant commission member Phillip Bartmann and ex officio, nonvoting member Cathryn Perfetti.

Pioneer Center for Human Services in McHenry applied for just under $80,000 in grant funds, including $37,000 in renovations for Tower View Apartments in McHenry. Board member Salgado works as vice president of human resources for the agency, while Bartmann’s wife has been a program manager there for 35 years.

The McHenry County Housing Authority applied for $125,000 in funding for an emergency housing rehabilitation program; Perfetti is a Housing Authority commissioner.

Family Alliance Inc. in Woodstock applied for $16,500 in funding for things like software and carpeting; Peschke is a member of the organization’s advisory council.

The resolution to forward the disclosures to HUD was approved 17-4, with board members Salgado and Peschke abstaining themselves from voting. Board members Ersel Schuster, Randall Donley, Diane Evertsen and John Hammerand voted against the measure. Board member Peter Merkel was absent.

Board member Evertsen cautioned her colleagues about the consequences of taking federal money. “I think its really unfortunate that we have people who are targeted, almost, in this way,” she said, later adding,”This is just more proof of how tightly the fist is going to be wrapped around our throat. I’d certainly expect everybody to pay real close attention.”

All four individuals submitted statements saying they would not participate in the decision-making process regarding applications for funding, and would not benefit financially if funding is approved. Also, the McHenry County State’s Attorneys office issued opinions stating the potential conflicts of interest do not violate state or local law.

HUD ultimately will decide whether conflicts of interest exist or not.