March 29, 2015

Medina
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Former Medina Schools superintendent Randy Stepp facing foreclosure

The home owned by former Medina Schools Superintendent Randy Stepp on Williamsburg Court, in Medina Township, is in foreclosure. The bank that holds a mortgage for Stepp and his wife, Tina, filed a foreclosure suit in Medina County Common Pleas Court last week. (LOREN GENSON / GAZETTE)

The home owned by former Medina Schools Superintendent Randy Stepp on Williamsburg Court, in Medina Township, is in foreclosure. The bank that holds a mortgage for Stepp and his wife, Tina, filed a foreclosure suit in Medina County Common Pleas Court last week. (LOREN GENSON / GAZETTE)

Former Medina Schools Superintendent Randy Stepp is facing another financial hurdle after the bank that holds the mortgage on his Medina Township home, filed a foreclosure suit against Stepp and his wife, Tina, in Medina County Common Pleas Court.

The suit, filed on Aug. 12, says Stepp owes FirstMerit Mortgage Corp. $260,769 plus interest on his Williamsburg Court home in the Whispering Woods subdivision. County auditor records show he and his wife paid $330,000 for the home in 2006. It’s now valued at $286,000.

A foreclosure notice was sent to Stepp on Aug. 12 by the court and he was given 28 days to respond to the claim. An attorney representing Stepp did not return a phone call Tuesday.

Last year, Stepp filed a lawsuit against Medina Schools, including past and current board members, after the board declared his latest contract invalid. A federal judge refused to rule on that case and said the county court had jurisdiction over the matter.

Randy Stepp

Randy Stepp

Stepp was fired in late October after a special state audit found more than $4,000 in illegal spending and more than $1.5 million in spending that wasn’t properly documented or had no clear pubic purpose. In November, the school district filed suit against Stepp in Medina County Common Pleas Court hoping to reclaim money from Stepp.

The October audit also found Stepp had paid off more than $172,000 in student loans using district money. An amendment to his contract in November 2011 required the district to cover current and previous education costs. In 2012, he directed a one-time payment to pay off three separate student loans.

The foreclosure filing isn’t the first time Stepp struggled financially. In 1995, when he lived in Geauga County, Stepp filed for bankruptcy. He listed 28 creditors in the filing, including the U.S. Department of Education, which held his student loans.

In spring 2012, Stepp filed for divorce from Tina in Medina County Domestic Relations Court. The couple reconciled in early 2013, but during the time the proceedings were ongoing, a number of documents regarding their finances were filed with the court. In August 2012, Stepp received permission from the judge to sell a Sea-Doo watercraft and had permission from Tina to list the sale of their vacation timeshare.

The judge had to approve the sale as both parties had a restraining order on the sale of property while the divorce was proceeding.

In October 2012, Stepp was granted permission to “trade in a Jeep for a car with lower monthly payments” and granted permission to sell firearms and a BMW vehicle to apply toward a debt. While the judge also granted permission, it’s not clear from court documents whether Stepp went ahead with the sales.

Contact reporter Loren Genson at (330) 721-4063 or lgenson@medina-gazette.com. Follow her on Twitter @lorengenson.