Controversial Calif. Housing Charity Merges With Another Group

The Northern California nonprofit formerly known as the Stanislaus Community Assistance Project, which shed its name and leadership two years ago amid investigations of its use of millions of taxpayer dollars, is merging with another veteran housing organization, reports The Modesto Bee.

Now called Community Impact Central Valley, the affordable-housing group announced plans Thursday to unite with homelessness charity Community Housing and Shelter Services as of July 1. Both Modesto-based organizations are primarily government-funded.

The Stanislaus Community Assistance Project was reorganized two years ago after inquiries by city, state, and U.S. agencies into allegations of financial mismanagement, including paying more than $600,000 in a year to its development director and placing employees and their relatives in homes the organization renovated with federal funds. The group’s leaders were ousted in December 2011, but no formal charges have been filed in the matter.