Houghton County approves large TCPD payments, forms ad hoc committee amid audit request

The Houghton County Board of Commissioners on May 29 approved several payments to Tri County Public Defenders (TCPD), formed an ad hoc committee to review the TCPD county contract and authorized short-term accounting support as an MDIC audit was prepared.

Commissioner Glenn Anderson told the board that “MDIC froze the County grant money” and that the county had been requesting documents from TCPD for three months; he said the requested documents have now been received and MDIC wants records from 2018 to the present so an audit can begin. Anderson moved the motions that produced the board’s actions.

Why it matters: TCPD provides indigent defense services for Houghton County; the board’s payments and the committee formation aim to stabilize services while the county and state-level reviewers complete a financial audit and reconcile past expenditures.

What the board did: The board appointed an ad hoc committee to review and amend the FY2026 TCPD county contract and set interim financial steps. Motion #5, moved by Commissioner Glenn Anderson and seconded by Commissioner Roy Britz, appointed Commissioner Joel Keranen, Commissioner Glenn Anderson and Treasurer Mattila to the ad hoc committee; the motion carried by voice vote (Ayes 4, Nays 0, Keranen absent).

Motion #6, moved by Anderson and seconded by Commissioner Gretchen Janssen, approved payment of $103,717.79 to TCPD for January 2025 expenses; the motion passed on a recorded vote (Yes: Anderson, Janssen, Tikkanen, Britz; No: none; Absent: Keranen).

Motion #2, moved by Anderson and seconded by Britz, authorized retaining Joe Magnan to continue preparing and submitting financial status reports (FSRs) to MDIC covering 2018 through the present at $4,595 per month for a maximum of two months; motion carried by voice vote.

Motion #4, moved by Anderson and seconded by Janssen, authorized payment of $649,904.50 to TCPD for FY2024–2025, contingent upon any adjustments arising from the ongoing financial audit; the motion carried on a recorded vote (Yes: Anderson, Janssen, Tikkanen, Britz; No: none; Absent: Keranen).

Repayment discussion: The board discussed a proposed repayment from TCPD of $149,294.43 to the county, to be paid in two installments: $74,647.22 by Sept. 30, 2025, and $74,647.21 by Sept. 30, 2026. Commissioner Anderson noted that MDIC has stated its funds cannot be used to repay the county; the repayment plan was discussed but the transcript records that as discussion rather than a finalized, separately recorded motion.

Voices at the meeting: Local business owner David Gemignani told commissioners his business would close on Friday without county payments. Judges on the local bench urged a mediated approach to resolving contract discrepancies: 97th District Court Judge Nicholas Daavettila suggested the board, TCPD and judges sit down to identify where the dispute lies and, if needed, attempt mediation in district or circuit court. Chief Circuit Court Judge Timothy Brennan expressed concern for indigent defense and later asked that Houghton, Baraga and Keweenaw County courts be included in the ad hoc committee.

What’s next: The ad hoc committee is to review and propose amendments to the FY2026 TCPD county contract and staff will proceed with the financial audit materials and FSR submissions to MDIC. The board’s payments were approved to maintain TCPD operations while the audit and reconciliation proceed.

(Recorded motions and vote tallies appear in the meeting minutes.)