A study of the interstellar medium (ISM) and cosmic rays (CRs) using Fermi Large Area Telescope (LAT) data, in a region encompassing the nearby molecular clouds MBM 53, 54, and 55 and a farinfrared loop-like structure in Pegasus, is reported. By comparing Planck dust thermal emission model with Fermi-LAT γ-ray data, it was found that neither the dust radiance (R) nor the dust opacity at 353 GHz (τ 353 ) were proportional to the total gas column density N (H tot ) primarily because N (H tot )/R and N (H tot )/τ 353 depend on the dust temperature (T d ). The N (H tot ) distribution was evaluated using γ-ray data by assuming the regions of high T d to be dominated by optically thin atomic hydrogen (H I) and by employing an empirical linear relation of N (H tot )/R to T d . It was determined that the mass of the gas not traced by the 21-cm or 2.6-mm surveys is ∼25% of the mass of H I in the optically thin case and is larger than the mass of the molecular gas traced by carbon monoxide by a factor of up to 5. The measured γ-ray emissivity spectrum is consistent with a model based on CR spectra measured at the Earth and the nuclear enhancement factor of ≤1.5. It is, however, lower than local H I emissivities reported by previous Fermi-LAT studies employing different analysis methods and assumptions on ISM properties by 15%-20% in energies below a few GeV, even if we take account of the statistical and systematic uncertainties. The origin of the discrepancy is also discussed.