Former Residents Dismiss Accusations Against Jesus House Mismanaging Funds

By Rusty Surette, NEWS 9

OKLAHOMA CITY -- Accusations against the Jesus House for possibly mismanaging its finances have sparked outrage from all sides.

There are those who say the shelter's director, Jan Mercer, is taking home too much of the money that should be going to the homeless. However, others are stepping up to say Mercer is worth every penny she's paid.

NEWS 9 began looking into the Jesus House and its finances after the attorney general's office confirmed it was looking into allegations of money mismanagement. Since the first report, NEWS 9 has received a lot of feedback about the non-profit shelter near downtown Oklahoma City and learned more about where all that donated money goes.

On Thursday afternoon, nearly a dozen former residents gathered on the lawn in front of the Jesus House to show support for the center and the executive director.

"This place saved my life," said Audrey Lester, who's been sober for four years now.

She said without the help of the people at the Jesus House, she and the rest of the group would likely still be out on the streets.

"This was the only place to take me in when no one else would," said former resident Chris Storms.

Each one of them shared personal stories of success and recovery, and they said they all give credit to Mercer, who is often seen on local TV pleading for monetary donations to keep the shelter up and running. In fact, she was doing it earlier this week.

"Well, we're overdrawn around $1,500 in the bank, and we owe everybody in town," said Mercer on Wednesday in her office. "Of course, I know there's a lot of people out of money. I know we're not the only one having hard times."

But Mercer is now under the microscope, and the state of Oklahoma is looking into allegations that she's pocketing some of the donations. There's also the issue of her salary, one that allows her to drive a luxury vehicle, pay mortgage on a house in Oklahoma City and rent a luxury high rise condo.

Mercer said her salary is based on how much money is taken in annually at Jesus House.

"I get a percentage of what we make. It's like 12 percent," Mercer said.

According to Form 990 documents, in 2008, Jesus House took in $1,210,903. Expenses totaled $1,427,109.

- $488,698 of the money that came into the Jesus House in 2008 went to salaries and wages, including Mercer's salary of $154,295.

- $72,216 went to "other employee benefits."

- $25,440 went to advertising and promotion.

- $73,238 to "occupancy."

- $26,159 to insurance.

- $199,185 was given to pay security for the facility.

- $26,882 was used for auto expenses.

- $18,987 was earmarked for counseling services.

- $8,242 to office supplies.

- $260,373 went to "assistance and other."

The former residents who gathered at Jesus House said a good chunk of the money Mercer makes goes right back to the residents when the donations aren't there.

"I've seen her give money out of her own pocket to give somebody medicine who was here," said Autumn Gokey.

"She does a lot out of her own pocket, so how do you put a price tag on somebody's life?" Lester said.

It's the board of directors that determines how much the Mercer receives each year. The attorneys that represent the board said they are also looking into the allegations of money mismanagement, and they're working on a statement to release sometime next week.

More: Attorney General Looking Into Jesus House for Possible Mismanagement of Funds