SDC works to reorganize and resume operations following financial struggles

 

MILWAUKEE (CBS 58) -- Milwaukee's Social Development Commision (SDC) is working to reposition itself in order to resume operations, according to an attorney representing the organization.

Back in April, SDC abruptly closed all locations and laid off its employees. "Thousands of people were immediately impacted; employees, community members, contractors and vendors, government stakeholders, and community stakeholders," said William Sultan, an attorney representing SDC.

SDC was established in the 1960's as an intergovernmental commission under Wisconsin state statute. Over the years, the agency developed dozens of human services resources in the community that became crucial in addressing poverty across Milwaukee County.

Sultan says he doesn't want people to think the organization is closed or that it's simply going away. "I don't like the word shutdown or closed. What they did was they suspended their operations and SDC did that because they learned from the former CEO that they were unable to make payroll, so the board just wanted to get its bearings," said Sultan.

SDC has had issues in the past, including complaints and financial concerns. Sultan acknowledged the financial mismanagement that halted operations thispast Spring. He says there were clear leadership failures that led to the current situation. "Managing a $77 million organization is difficult," he said.

There are multiple challenges ahead as SDC looks to restructure, including disputes with former vendors, financial hurdles, and a lack of support, Sultan says.

He wants to see people stand behind SDC as it works to transition to a new era of leadership and maintain longevity.

SDC's main office on North Avenue, along with its warehouse and parking lots are listed for sale right now.

A board meeting will be held Wednesday at 5:30 p.m. to discuss plans for moving forward. "The message is 'hey, mistakes happened, problems happened but there are solutions, but those solutions require us to actually come together and do the work,'" said Sultan.