A significant dispute has arisen between the Rockwood Community Development Corporation (CDC) and Multnomah County over allegations of financial mismanagement involving the county’s homeless services.
Brad Ketch, the 63-year-old head of Rockwood CDC, is facing accusations from the county that include charging unapproved expenses, double-counting costs, and billing for unoccupied rooms undergoing repairs at the family shelter he operates in Gresham, Oregon’s Rockwood neighborhood.
Despite these allegations, Ketch maintains his innocence, arguing that the county has altered the terms of their agreement and left him perplexed by the accusations. During an interview in the shelter’s cafeteria, he noted that Rockwood CDC had severed ties due to an outstanding debt of $1.1 million owed by the county for providing emergency shelter.
Ketch declared, “We know what it takes to run a safe and sustainable program,” and criticized the county for not being willing to pay for the necessary resources to maintain such a program.
This confrontation comes amid the county’s efforts to enhance oversight of various contractors it employs to provide services for the homeless, substance abuse treatment, and job training, among other human services.
Over the past years, county leaders have faced criticism for poor monitoring of contractor performance. A report from county auditor Jennifer McGuirk in 2024 pointed out significant flaws in contracting practices, revealing that many policies hadn’t been updated in over a decade and that some county employees were unaware of existing regulations. Alarmingly, there had been no inspections conducted by county workers at several nonprofit organizations receiving county funds over the preceding five years.
In the wake of these findings, the county’s Homeless Services Department halted payments for 50 rooms in the Rockwood Tower, a facility converted from a former Best Western hotel and purchased with a $7 million grant from the Oregon Community Foundation in 2021.
Ketch asserts that the decision to terminate the contract and the subsequent financial accusations stem from the county’s inability to fulfill its financial commitments to Rockwood CDC, emphasizing that the organization is among the largest service providers for the county’s homeless population.
Rockwood Tower has provided shelter for 449 families, housing a total of 1,194 individuals since its opening in 2021, according to Ketch. In that time, Rockwood CDC has also served over 634,000 meals and assisted 178 families in finding permanent housing.
Ketch’s academic background is notably distinct for someone in his position. He graduated from Wheaton College, an evangelical institution in Illinois, earning a bachelor’s degree in economics and business in 1984, followed by a master’s from the Kellogg School of Management at Northwestern University a decade later.
Before dedicating himself to public service, Ketch worked in various companies before becoming the CEO of Rim Semiconductor in 2002, a small firm developing technology to improve internet speeds through copper wiring. During his tenure, Rim produced a surf documentary, “Step Into Liquid,” to fund its research efforts, which generated modest revenue before succumbing to financial difficulties during the 2008 financial crisis.
After a challenging few years, Ketch shifted gears in his career, answering a call from a Morgan Stanley executive who encouraged him to lead International Care Ministries, a nonprofit in the Philippines dedicated to assisting the “ultra-poor” using business-driven methods. This role, however, was short-lived, lasting only 11 months, before Ketch returned to the U.S. and established the Community Development Corporation of Oregon in 2013.
This nonprofit serves as the parent organization of Rockwood CDC, reflecting Ketch’s ambition to tackle poverty through a holistic approach encompassing various support services.
The family-oriented nature of Rockwood CDC is evident, with Ketch’s wife Lynn serving as the executive director and their son Stephen taking on the role of development manager.
Rockwood Tower, a shining example of Ketch’s mission, features ample space for families and unique accommodations such as bunk beds to maximize occupancy. Initially, in 2022, Multnomah County rented 35 of the tower’s 65 rooms intended for homeless families, expanding to 50 rooms by December.
However, tensions escalated following a review of Rockwood CDC’s financial accountability by the Homeless Services Department in late 2024. Rockwood’s attorney highlighted new operational requirements imposed by the county and expressed concerns that they could lead to a breakdown in the partnership.
In a series of letters to the county, Rockwood warned of its intent to withdraw from the collaboration unless satisfactory progress was made regarding the financial grievances and outstanding payments. Rockwood pointed out that the county owed them over $1.1 million in overdue payments, which the county disputes.
In response to communications from Rockwood’s attorneys, the county reported that it owed no funds, asserting that Rockwood had been significantly noncompliant with their contractual requirements, thus negating any financial obligation.
The county is currently allocating funds for shelter and related services, including emergency financial assistance for families to aid in their transition from shelter to permanent housing. Yet Ketch argues that the county is restructuring their approach in reaction to the actual costs associated with providing shelter.
As a result of the county’s decision to terminate the contract and the culmination of tensions, 40 families living in Rockwood Tower were informed they must vacate their rooms by July 1, leading to significant upheaval for those affected.
Ketch remains optimistic that even if the current conflict poses immediate challenges, it might ultimately lead to beneficial changes in how the county interacts with service providers like Rockwood CDC. He contemplated, “What if standing here with Oregon’s most dysfunctional government and having a train wreck is a necessary step to this community being transformed?”
Ketch seems committed to utilizing this turmoil as an opportunity for growth, asserting the hope that the ensuing discussions could result in improved responsiveness to the pressing needs of the community.
image source from：wweek
