Eviction 2007 Cuyahoga County

Sheriff's deputies approach a house to inform the tenant of a pending eviction in 2007. The Cleveland Tenants Organization, a nonprofit that maintained a renter-information hotline and offered an eviction-diversion program, suspended operations Monday.

(Gus Chan/Plain Dealer file)

CLEVELAND, Ohio - After more than 40 years of championing and educating renters, the Cleveland Tenants Organization suspended operations Monday, as the nonprofit's long-running cash crunch became too much to bear.

The advocacy organization's board of directors announced the suspension on its website and social media. As part of the wind-down, the nonprofit is laying off its last three employees.

"Throughout our history, we have made an incredible impact for tens of thousands of renters in Northeast Ohio, preventing homelessness, resolving disputes between tenants and landlords, advocating for the needs of low- to moderate-income tenants, informing citizens of their rights and responsibilities in rental housing and empowering tenants individuals and collectively to represent themselves and their interests," the board wrote in its announcement.

But dwindling funding made it impossible for the organization to continue its work. CTO relied heavily on local government contracts and grants, according to the group's most recent tax filing that's publicly available. The nonprofit also drew income from sponsorships, events, foundations, landlord-training contracts and, until recently, United Way of Greater Cleveland.

Financial records and annual reports show that CTO didn't have much of a cushion.

Board President Cheri Smith said the loss of stable funding sources combined with the lag time on getting money from government contracts to put the organization in an untenable position. CTO started exploring options, including partnering with or being absorbed by another agency, last year. But nothing panned out.

Though the organization, located in Slavic Village, is shutting its doors, two of CTO's most sought-after programs will live on. The Legal Aid Society of Cleveland, which provides free legal services to low-income clients in civil cases, quickly took over CTO's tenant information hotline. Renters can call that line at 216-861-5955 with questions about their rights and responsibilities.

Callers from Cleveland account for most of the inquiries, according to CTO's 2015 annual report, the most recent one published online. But renters from Berea, Fairview Park, Oakwood, Rocky River, Shaker Heights, Strongsville and other suburbs reached out. Their top reasons for calling included inquiries about repairs, evictions, housing options, security deposits, bed bugs, lease terms, utility shut-offs, rental assistance and landlords' legal rights to enter apartments.

"We didn't want to let the phone number go," said Melanie Shakarian, an attorney and director of development and communications for the Legal Aid Society.

Legal Aid also hired the CTO employee who had been running the hotline.

The nonprofit law firm also will shoulder more eviction-diversion work, to help tenants who face eviction understand the process and their legal rights. CTO educated both renters and landlords about eviction, though the organization didn't have money to help displaced tenants pay their rent or security deposits.

Eviction-diversion efforts are an important part of Legal Aid's strategic plan, Shakarian said. "That's a huge unmet need in our community," she said, adding that the organization aims to secure money from foundations or other sources to hire more people.

Legal Aid employs 78 people, including 43 full-time attorneys, and works with 2,900 additional lawyers on a volunteer basis. Even so, Shakarian said, the nonprofit can help only 50 percent of the qualified people who ask for help in a five-county area.

The Cleveland Tenants Organization's board is looking at ways to preserve other parts of its calling, including the nonprofit's longtime focus on helping tenants form associations to get more power and push for repairs, services or better treatment from their landlords.

"The way we're looking at it is we're just taking a step back so that we can see whether there's a step forward," Smith said, adding "I'm hoping that we come out the other side and are able to continue to provide the other services."