Just Food board delays answering questions or providing documents about agency

The fate of Just Food, the largest food pantry in Douglas County, remained largely unknown Thursday.

Jeremy Farmer, the executive director of Just Food, resigned on Monday after it was discovered that he had failed to pay about $50,000 in federal payroll taxes for the nonprofit.

On Wednesday, Farmer, 31, also resigned as mayor of Lawrence.

Board members of Just Food who were contacted Thursday said the board had decided that all questions about Just Food must go to Kristi Henderson, who is the president of the board and also the director of communications for Kansas University’s College of Liberal Arts and Sciences.

Kristi Henderson

Henderson said in an email late Thursday afternoon that the board was providing “all the information we can at this point.”

“Our financial review is still under way and we will not release any further details until we are assured they are accurate,” she wrote. “Our priority is to focus on the future and serving the 140-plus families who come through our doors every day. Our board is made up of volunteers who are devoting their time to the mission of Just Food. We appreciate the concern everyone has expressed for the well-being of this incredible organization. We are working through this as quickly as possible.”

Some of the questions the Lawrence Journal-World tried to get answered Thursday included:

  • When and how did the board of directors find out about the $50,000 tax bill?
  • Where is the $50,000? Has it been accounted for?
  • What is the future viability of the nonprofit?
  • Why won’t the agency turn over public records to the newspaper even though the federal government requires those records be released upon request?

As far as the records are concerned, Henderson said the board was meeting and would decide later Thursday night whether to release them. She then sent the Journal-World the following email:

“In reviewing the request for minutes,” Henderson wrote, “the board had to consider the privacy of all current and former staff in addition to that of our donors and volunteers. In order to uphold the expectations of privacy for those individuals, we cannot provide the minutes.”

However, Just Food’s income tax return specifies to the federal government that the nonprofit will release such records upon request.

The agency has engaged John Bullock, an attorney with the Stevens & Brand law firm, to handle the newspaper’s records request.

Bullock told the Journal-World Thursday that “any information or comment will come from Just Food directly.”

He acknowledged Wednesday that an accountant is now reviewing a 2014 tax return that was never filed with the IRS but that was submitted to the United Way with Jeremy Farmer’s signature. The United Way has provided about $40,000 to Just Food for the 2015 calendar year, a spokeswoman said.

Bullock said the IRS had given Just Food a filing extension for the income tax return also known as a Form 990, but neither he nor Henderson would say when the extension was requested. The deadline for filing is Saturday.

Farmer calculated the income tax returns in 2014 and 2013 rather than hiring an accountant, those documents show.

The 2012 income tax form was filled out by Kohart Accounting, accountants Brent Fry and Christopher Kohart acknowledged Thursday.

The accountants said they were not asked to prepare taxes for Just Food after 2012.

A nonprofit agency such as Just Food must file audits each year if it is to receive donations from the United Way. Erika Dvorske, president and CEO of United Way of Douglas County, said the last audit the agency received from Just Food was for the year 2013. Just Food has until Sept. 30 to file the 2014 audit.

The Journal-World contacted the Just Food board members on Thursday, including Maley Wilkins, the board treasurer and vice president of retail banking for Peoples Bank; Brandon Deines, a board member and Lawrence attorney; Will Katz, board vice president and director of the KU Small Business Development Center; and Emily Peterson, board secretary and owner of Merchants Pub & Plate. All said they would not comment.