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State Audit of CCA Shows "No Significant Issues" with Finances

The Esplanade House Children's Fund contacted the state and requested they look closer at Community Action Agency, which runs the Esplanade House, because they were concerned about a number of issues.

Posted: Apr 30, 2018 7:32 PM
Updated: May 1, 2018 10:20 AM

Chico, Calif. -- Accusations of mismanagement by the organization that runs Chico's Esplanade House seem to be unfair, according to a newly released audit of the non-profit facility.

The founders of the Esplanade House are sticking by their accusations that families are not getting the help they need.

The Esplanade House Children's Fund contacted the state and requested they look closer at Community Action Agency, which runs the Esplanade House, because they were concerned about a number of issues.

After receiving allegations of mismanagement of money by Community Action Agency of Butte County, the State Department of Community Services and Development started looking into the claims.

The state recently completed the audit and found "no significant issues" with the way funds were being managed.

Tenorio says, "There are some folks here in the community who disagree with how we're managing the Esplanade House program and the families that we're serving here. They took that disagreement to the state and said we don't think that CAA is doing things right."

The audit states that CAA has little to no debt, but did say that CAA could "improve financial practices."

Lynne Bussey, one of the founders of the Esplanade House, says when they've had dozens of past employees come forward all telling the same story there is a legitimate reason to be concerned with what's going on.

Bussey says, "Abuse and waste in the Community Action Agency, high turnover on their board, high turnover in the employees at the Esplanade House and just a lot of being coming forward at the same time, talking about the same issues."

Bussey says Community action agency receives private donations as well as state and federal tax dollars, and she says CAA has an ethical and legal duty to be open about where all their money goes.

Bussey says, "Millions and millions of our tax dollars. We have a right to know how they're being spent."

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