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Michigan Non Profit Corporations: 2018 Annual Statement Filing Deadline is October 1. Stay in Good Standing and Maintain your Corporate Formalities.

Good morning, all. I hope you are enjoying the summer. It is most definitely my favorite time to be in Michigan.

Today I received an e-mail from The Michigan Department of Licensing and Regulatory Affairs(“LARA”) reminding that all annual statements and reports for Non Profit Corporations are due October 1, 2018.

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At the end of last year LARA transitioned to an

electronic filing system – and disposed of the fax filing. This caused a significant delay in business filings – many of my clients experienced this headache first hand. See my post on this delay.

 

Per LARA’s announcement:

“There are a total of 62,202 Michigan nonprofit corporations and 1,582 foreign corporations that are receiving 2018 reports.”

 

 

“Annual reports must be filed no later than October 1 of each year and can be filed online at www.michigan.gov/corpfileonline. ”

For more information about LARA, please visit www.michigan.gov/lara

 

Consequences for Failing to File:

LARA also reminds that:

“Section 922 of the NPA provides that if a domestic nonprofit corporation neglects or refuses to file a report or pay a fee required by this act for two years, the nonprofit corporation will be automatically dissolved.

It also provides that if a foreign nonprofit corporation neglects or refuses to file a report or pay a fee required by this act for one year, the nonprofit corporation’s certificate of authority is subject to revocation under section 1042.

“A nonprofit corporation that has been automatically dissolved or certificate of authority revoked is not entitled to a certificate of good standing; its corporate name will be available for use by another entity, and no document will be filed on behalf of the corporation.”

Is your Corporation in Good Standing?

Occasionally I will have a business client come in and I will ask – just to make sure – “is your business still in good standing?”

The common answer is “I think so.”

And of course, after I perform a quick internet check

with the State of Michigan it is all too common that I discover that either the Company is “not in good standing” or worse, the company has been dissolved automatically for failure to file annual statements.

In Conclusion:

Business owners, if you get these annual statements from the State of Michigan, or from your attorney – do not disregard them! Ma

intain your Corporate Formalities.

Questions? Comments?

E-mail: Jeshua@dwlawpc.com

http://www.dwlawpc.com

Twitter: @JeshuaTLauka

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My Thoughts on Social Enterprise: Am I Living Each Day with Conviction and Purpose?

Last week I mowed the lawn for the first time this year.

I didn’t have any gas to fill up the mower, so I just relied on the unknown amount of gas that had been in the mower over the winter.

As I was mowing the back yard, the largest portion of my lawn, I kept wondering – is this gas going to last the entire lawn? I really had no idea.

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I like mowing the lawn because it gets me thinking outside of myself.

My thoughts shifted to a friend who had unexpectedly passed away in February. My friend was the same age as me, 37, he was in excellent health, married with young children. He died suddenly of a heart attack while vacationing with his family.

 

 

 

 

I am sure my friend had no idea that morning he woke up on vacation, that it would be his last on earth.

 

Mowing the lawn without knowing how much gas was in the tank reminded me of how none of us are promised tomorrow.

I had no idea when my mower was out of gas.

None of us knows when we will breathe our last breath.

It gave me pause to ask myself:

am I living each day with conviction and purpose?

am I living each day for what really matters?

 

I think we all could benefit from this “eternal” or “purposeful” mindset.

 

This “purposeful mindset”  is one reason why I love social entrepreneurs:

Those in business who are purposeful in using their business as a force for good.

 

And it is why I am excited about the proposed Benefit Corporation laws that have once again been introduced in the State Legislature.

 

My call to you:
Be purposeful.

Be eternally minded.

 

Questions? Comments?

Jeshua@dwlawpc.com

http://www.dwlawpc.com

Connect with me on Twitter: @JeshuaTLauka

 

Real Estate Law Update: Evictions, Affordable Housing, Harassment provide an Opportunity for Investors to Shine Brightly.

April 18, 2018 Leave a comment

I wrote my last post right before leaving for a week on the beautiful, warm beaches of Destin, Florida. We came back to snow. In Spring.

Michigan has experienced some awful weather in the last week. I hope today is the turning point. Most of the snow is melting, as you can see from today’s photo.

The headline of my post says it all:

4.18Owning and Managing Real Estate is uniquely challenging.

 

I hear it from my Property Owner/Manager clients. I experience it when I am involved in negotiating in landlord/tenant disputes.

 

I see the affects of a lack of affordable housing on the most vulnerable in our population.

I see it when mentoring at a local school, or serving at Mel Trotter Ministries.

 

 

 

If you own or manage investment real estate, you are involved in messy business.

 

And there are many investors who are simply part of the problem.

 

DOJ Sues Landlord for Sexual Harassment Allegations

Just one week ago in a recent press release  the Department of Justice, announced that it filed suit against Owners and Managers related to allegations of sexual harassment in New York..

According to the press release, the owner and manager:

 since at least 1990, Douglas Waterbury has sexually harassed numerous women who have lived in or inquired about the defendants’ residential rental properties.  The suit alleges that Waterbury’s conduct has included demanding or pressuring female tenants and potential tenants to engage in sex acts with him in order to obtain or keep rental housing; subjecting female tenants and potential tenants to unwelcome sexual contact and groping; offering to grant tangible housing benefits, such as reduced rent or deposit payments, in exchange for sex acts; refusing needed maintenance services or otherwise taking adverse housing actions against female tenants who refused his harassment; and making unwelcome sexual comments and advances.  The conduct alleged in this complaint is egregious, ranging from demands to exchange sex for rent, to unwanted sexual encounters.

 

I believe that is why, at least in West Michigan, there is an opportunity for real estate investors to stand out.  To shine.

 

“Evicted” – Lack of Affordable Housing

I have written many times about West Michigan’s Affordable Housing Crisis.

Last week the ABAJournal posted an article on extensive research performed by Matthew Desmond, author of “Evicted”

According to the research, evictions are much more prevalent than first believed. This is not surprising to me, given the lack of housing for the most vulnerable population in West Michigan.

As the ABAJournal article notes, the consequences of evictions are many:

“…Schools reroute buses to homeless shelters, job applicants have no answer when a form requires an address, and families who don’t have an address to receive renewal notices lose public lose food stamps and Medicaid benefits. Some people take years to recover, and the eviction remains on their records, causing problems when they look for future housing.”

 

Shining Brightly as part of the Solution.

West Michigan is attempting to address the Affordable Housing Crisis. This is a community wide problem that will require an entire community to come around it.

At the beginning of this year, Kent County implemented an “Eviction Prevention Program” – to keep vulnerable people in housing. You can learn more about that here.

Local non-profits and churches in partnership with Luis Palau Association are implementing One West Michigan intended to mobilize the community, churches and non-profits to come together to address those issues most pressing – this includes Affordable Housing.

 

Finally, as I’ve written before – I believe the Affordable Housing Crisis that we find ourselves in provides a unique opportunity for Real Estate Investors to be different.

To shine brightly.

 

 

 

e-mail: Jeshua@dwlawpc.com

Twitter: @JeshuaTLauka

www.dwlawpc.com

 

 

Because We Aren’t Meant to Do Life Alone. Grand Rapids Business Mentoring Connection

January 19, 2018 Leave a comment

On occasion, I post about how I mentor elementary school-aged boys with difficult family backgrounds.

The truth is that kids with hard family backgrounds are not the only ones who need mentors.

The quote in the photo from New City Initiative in Portland, Oregon is revealing in a lot of ways. Homelessness may, by and large, be a product of a lack of relationships.

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Applying this statement to the regular working class person who isn’t in jeopardy of going homeless, a lot of our problems could be stymied by the presence of authentic relationships.

 

The truth is, we aren’t meant to do this life alone.

Yet we so often do just that.

As for me, although I am interacting with many people on any given work day, I find myself too often dealing with concerns, problems and frustrations in a vacuum.

I recall having a conversation with a friend of mine a while back, another business professional. He commented on how, although he knows a lot of people, he doesn’t have anyone that he regularly confides in. He doesn’t have “close friends”.

I think my friend is in good company with many others.

So then why so often do we find ourselves living in a vacuum?

My thoughts:

It is hard to be vulnerable with others.  Our tendency is to hide our imperfections.  We can brush aside the reality that we lack relationships by telling ourselves, or others “I just don’t have time“. I believe that is just a smokescreen for the real issues:

It is hard to admit our weaknesses, failures or shortcomings.

The bottom line: we need to be in authentic relationships.

We need mentors, confidants, people willing to walk along side us.

On the flip side, we need to be pouring into other people as well.

There are excellent resources in our community, I think of an excellent one like the Jandernoa Mentorship Program (JEM).  Unfortunately, I am sure JEM and other groups would readily admit, those resources are limited.

 

I hear this theme in my work life, in the business community, non-profit service, I hear this when I go to church: call it mentoring, discipleship, or “sharpening iron” – we need to be in authentic relationships to build each other up.

So, I decided to do something about it.

Yesterday I created a Group on LinkedIn: Grand Rapids Business Mentoring Connection

I created this Group simply to provide a forum to make it easy for people to connect in meaningful ways.

1. Professionals who recognize their need for a mentor;

2. Professionals who are established in their career and are willing to share their experiences and failures with others, at any level; and

3. Professionals seeking authentic community and peer relationships.

My goal isn’t that Members of this group have any formal obligation. My hope is that those who join this group are willing to add value to others and connect on a personal level.

 

So my question and charge to you reading this post:

Who are you pouring into?

 

Established Professionals: You have something to offer. Consider joining this group and being available to connect with peers, younger professionals on whatever time you have available in your life.

Younger Professionals: Join this Group. Get others to join. Reach out and ask for help. You are the future leaders, but you cannot succeed in life on your own.

 

e-mail: Jeshua@dwlawpc.com

Twitter: @JeshuaTLauka

www.dwlawpc.com

Michigan Law Update: The Neighborhood and Commercial Corridor Food Initiative. Community Revitalization Now Includes Downtown Grocery Stores.

January 17, 2018 Leave a comment

 

Several years ago ago I took my family to New York City. (and took the below photo).

Even amidst the chaos of protecting my 4 young children from darting out in2015-11-26-13-04-02to oncoming traffic – we absolutely loved the City.

 

We loved the walk-ability of City life –

that you could walk down a block to a grocery store and get all of your household needs.

 

I love downtown Grand Rapids.

 

(Below, photo I took this morning from my office)

If Grand Rapids wants to encourage urban living, it needs to continue to support growth in downtown grocery stores.

 

This is not a novel concept.

There has been recent exciting development in Grand Rapids on this front – see Meijer opening a grocery store on Bridge Street.

Also, Russo’s International Market opened last year as well.

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“Neighborhood and Commercial Corridor Food Initiative” – Public Act 229

Last March, House Bill 4207 was introduced in the Michigan house. Known as the “Urban Food Initiative.” (re-named “Neighborhood and commercial corridor food initiative”)

This Bill intended to provide incentives for community revitalization that would include a downtown Grocery Store.

Specifically, HB 4027 would make “Urban Food Initiatives” allowable to receive funds under the Michigan Community Revitalization Program

 

Passed into Law

On December 28th this House Bill was given immediate effect and assigned as Public Act 229 . 

 

The law provides incentives to “new neighborhood” food initiatives. That is why, per the new law:

a new neighborhood and commercial corridor food initiative…is not eligible for a community revitalization incentive if it is located within 1 mile of an existing retail supermarket, grocery store, or produce market…that offers unprocessed USDA-inspected meat and poultry products or meat products that carry the USDA organic seal, fresh fruits and vegetables, and dairy products for sale to the public.”

 

Hopefully this law will spur development of urban grocery stores in Grand Rapids, and beyond to places like Detroit. There is wonderful community development work going on right now in Detroit, as the article below highlights.

 

Healthy Food Options – Essential for Urban Living

Clearly having available and healthy food options in a downtown are necessary to City living. Check out this recent article from Non-Profit Quarterly about Communities of Color Developing Residents-Owned Groceries.

According to the Article:

“Grocery stores…often anchor “neighborhood economies, recirculating local revenues through wages and nearby businesses. They can also be neighborhood hubs, where people go to buy good food as well as employment centers and sources of community pride.”

“Alas, the lack of these hubs can be damaging, notes Malik Yakini, who directs the Detroit Black Community Food Security Network. Yakini is one of a host of activists across the country who are working to foster community ownership of food businesses in communities of color.”

 

We should be encouraging Malik Yakini and others and supporting community ownership of food businesses in communities of color. Hopefully the new law will attract such local ownership.

 

Parting Thoughts

A downtown grocery store is necessary if a City wants to attract urban living – it is also necessary to provide healthy food options for those living downtown without readily available transportation.

I think particularly of the under-employed and the homeless who receive services from organizations like Mel Trotter Ministries. In Grand Rapids, we are confronted everywhere with the need for Affordable Housing. It would be great to see grocery options as well.

I am also encouraged by the many businesses in West Michigan honestly asking the question: “How am I building a better community?

e-mail: Jeshua@dwlawpc.com

http://www.dwlawpc.com

Twitter: @JeshuaTLauka

 

Legal Update: Legislation that Real Estate Investors, Landlords and Veterans Should Keep Tabs on in the New Year.

January 4, 2018 Leave a comment

It is a beautiful and cold afternoon in downtown Grand Rapids today.

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We head into 2018 with some Michigan Bills that affect Real Estate Investors, Landlords and Veterans.

Veterans.

The Michigan Legislature is pushing hard to protect those who have served our country.

Yesterday MLive posted that the Michigan Legislature is taking up some 50 bills that will affect Veterans

One such bill I highlighted in a post last summer. On August 16, 2017 HB 4872 was introduced into the Michigan House.

The Bill would amend the “Elliott-Larsen civil rights act,” and would provide that veterans are included in the list of those protected by Michigan law against housing discrimination.

The Bill would define Military Service as:

“STATUS OF BEING AN ACTIVE DUTY MEMBER OF THE ARMED FORCES OF THE UNITED STATES OR A VETERAN WHO RECEIVED AN HONORABLE OR GENERAL
ADMINISTRATIVE DISCHARGE FROM ACTIVE DUTY WITH THE ARMED FORCES F THE UNITED STATES.”

The Bill brings two thoughts to mind:

  1. Our Veterans and those who served our country deserve to be treated fairly in housing and all other areas of life.
  2. This Bill brings up a fundamental question: are Veterans being discriminated against in housing? Does it happen?

 

According to statistics recently published in the Bridge with insight from Dennis Van Kampen of Mel Trotter Ministries, there are fewer homeless veterans than ever in Michigan today, but more homeless youth.

The Bill was sent to the committee on Military and Veteran Affairs. No action has been taken on this bill since I posted in August, but I will continue to track this bill.

I look forward to hear comments from the public on this issue: are we in Michigan protecting our Veterans access to fair housing?

 

“Nuisance Property”: Bill Would Protect Those in Affordable Housing from being penalized for calling 911.

On November 28, 2017 Senate Bill 667 was introduced.

The bill is intended to prohibit local units of government from penalizing tenants, occupants, or landlords of rental dwellings for contacts made for police or emergency assistance in certain situations.

Presumably, the Bill is intended to restrict those municipalities that have ordinances that punish landlords and tenants by labeling a rental property a “nuisance” when a certain number of calls to police or emergency assistance.

The Bill in its current form, generally, holds a “reasonableness” standard – meaning the emergency call must be reasonable under the circumstances – the person making the call must reasonably believe they, or a person they are calling on behalf of, is a victim of a crime; and the intervention is needed to prevent a crime, or respond to an emergency.

 

This appears to be one of several Bills that would potentially address the affordable housing crisis.

As a reference, I would highly recommend reading Matthew Desmond’s book “Evicted” It is no secret that Michigan, particularly Kent County, is experiencing an Affordable Housing Crisis.

One potential way to address this crisis is providing Landlords and Tenants security that their local government unit will not unreasonably label properties as nuisances if the police are called for real emergencies. It appears this Bill is attempting to address such a scenario.

 

Questions? Comments?

email: Jeshua@dwlawpc.com

http://www.dwlawpc.com

Twitter: @JeshuaTLauka

Thursday Thoughts: A Call to Living a More Fearless Life.

October 12, 2017 Leave a comment

This morning, as I do most every morning, I was reading a devotional by author and Pastor Tim Keller – I would recommend this devotional to anyone.

This topic hit me today.

Fear.

If we are honest with ourselves, we all have moments where we are fearful.

I can safely say that during the last week I have experienced some of the following fears:

  • fear of failure (do I have what it takes?);
  • fear of disappointing others;
  • fear of ruining my kids’ lives – am I parenting well?;
  • fear of what other people think of me;
  • fear of the failing health of loved ones.

I am sure I am missing several that could be added to this list.

This morning’s devotional ended with the prayer below.

 

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“The Songs of Jesus” Devotional by Timothy Keller

 

 

Roller coasters.

 

I love roller coasters (this ties in, I promise).

It has been too long since I visited Cedar point, Michigan’s Adventure, Six Flags Theme Park, etc…

What I love about roller coasters –  I know that I am fastened in tight –  I am not worried about falling out.

Because I believe I am secure, I am left simply to enjoy the ride (and feel like I’m a superhero).

 

If I thought that I was really going to fall out – I am sure the ride would not be fun at all – but from start to finish – terrifying.

Life is hard.

There are many hardships that could cause me to panic.

The real question though is:

What am I fixing my eyes on?

Where is my security?

 

My Answer:

I am not my own. 1 Corinthians 6:20.

 

 

Because of that, I will pray Tim Keller’s prayer and strive to live more fearlessly today.

 

Questions? Comments?

E-mail: Jeshua@dwlawpc.com

http://www.dwlawpc.com

Twitter: @JeshuaTLauka