Twentynine Palms' Nonprofit Partners
Should there be a standardized proposal and vetting process for the City's nonprofit relationships?
When the City of Twentynine Palms contracts with an engineering firm to repair a parking lot, for example, residents assume that the City does its due diligence to ensure that the company’s appropriate state licenses are current. Common sense would dictate that charitable nonprofit organizations are also checked to ensure their paperwork is in order. However, the City lacks a policy or process to select and vet the nonprofits it considers to assist with necessary services for residents such as food or housing aid.
Not utilizing a Request for Proposal (RFP) process for selecting nonprofits compromises the City’s selection process. How does the City know they are choosing the most qualified nonprofit for executing a policy or partnering on a grant? In February 2023, Desert Trumpet asked then City Manager Frank Luckino how nonprofits were notified about Community Development Block Grant (CDBG) funding, for instance. He replied “all the past applicants and recipients were notified via email” — a closed process preventing nonprofits unknown or not favored by the City from applying. As we discuss below, how a small religiously affiliated organization like the Community Learning & Equipping Project (CLEP) came to be the City partner on a major Environmental Protection Agency (EPA) grant remains a mystery. A public and open selection process is key to the City avoiding the accusations of cronyism bred by a lack of transparency.
Additionally the lack of vetting has led to issues with a few of the City’s nonprofit partners. Morongo Basin ARCH, the City’s go-to for unhoused support, withdrew from supporting a navigation center for the unhoused due to a lack of capacity in April 2024. While a navigation center (now referred to as a resource center) remains in limbo, Molding Hearts was contracted to assist the unhoused in November 2024. That nonprofit is currently delinquent on a required state filing.
Women of Color Global 29 approached the City about partnering on an (EPA) grant for a climate resilience center in April 2024 and withdrew as the lead partner just a month later, in part due to issues with its required state filings. It was replaced with CLEP, which is the nonprofit arm of the Sanctuary Church, a sometime beneficiary of City largesse, without any public selection process. CLEP is missing a required state filing.
At the February 25, 2025, City Council meeting, Councilmember Octavious Scott requested that a vetting process for nonprofit partners be placed on the future agenda items list, which was seconded by Mayor Steven Bilderain1. While many of the nonprofits on our list work hard to benefit the community, Desert Trumpet endorses the need for a consistent selection and vetting process for nonprofit organizations contracting with the City, especially for ongoing projects.
Once Desert Trumpet became aware of the lack of City vetting in mid-2024, we started reviewing nonprofit partners mentioned on agendas to ensure their paperwork was in order. Looking toward Council discussion of formalizing a process, we thought it might be useful to provide an overview of nonprofits who’ve approached the City in the last two years. For purposes of this article, listed are nonprofits that have interacted with the City in an ongoing relationship or who’ve presented to Council about their services, likely in the hopes of developing a relationship. We are not including nonprofits that have sought one-time event funding through City Council Events Grants.
What is a nonprofit organization?
Nonprofit organizations are also known as 501c3 nonprofits—a reference to the Internal Revenue Service code that defines these entities. Also sometimes referred to public charities, 501c3 nonprofits are entitled to receive tax-deductible donations, and their revenue is exempt from income taxes. As corporations, they are required to file federal2 and state tax returns, but they also undergo additional scrutiny. For instance, unlike commercial corporations, tax records for nonprofit charities are public — anyone can download and view their federal 990 income tax returns. In California, all active nonprofit organizations are required to register with the Department of Justice Registry of Charities and Fundraisers and file yearly reports. They are also required to submit biennial statements of information with the Secretary of State.
Our process
The information we collected is publicly available. Gross receipts and assets are provided by Guidestar, which pulls information from the IRS Business Master File, a system that collects cumulative information from exempt organizations. The IRS filing deadline for tax exempt organizations is May 15, so most information is based on 2022 and 2023 tax data. We researched interactions with the City from 2023 to the present. Potential red flags are noted with asterisks.
The tools we used were:
California’s Bizfile search (Responsible agent)
Guidestar (IRS Ruling year, Gross receipts, Assets, Mission Statements from tax returns)
The List
Coachella Valley Housing Coalition (CVHC)
IRS ruling year: 1983
Responsible agent: Pedro S.G. Rodriguez
Gross receipts: $24,496,027
Assets: $162,445,173
Bizfile: Good
DOJ: Current — Awaiting reporting
Mission (990): The purpose of the Coachella Valley Housing Coalition, a nonprofit community development corporation, is to improve the living conditions of low-income individuals and families by constructing and operating affordable housing infused with community service programs and other opportunities that enrich, build and grow their lives.
Notes: The primary advocate for self-build housing has been Councilmember Octavious Scott, who mentioned the Coachella Valley Housing Coalition in his 2022 Candidate Interview with the Desert Trumpet.
City interactions:
June 27, 2023: City Council, Presentation of self-help construction program
January 23, 2024: City Council, Community Development Director Keith Gardner presents options for the CVHC initiative
March 12, 2024: City Council, Interim City Manager Larry Bowden reports on designating city-owned lots for CVHC's self-help housing program.
September 10, 2024: City Council, City Manager Stone James update on proposed self-help construction project
Community Learning & Equipping Project (CLEP)
Ruling year: 2017
Responsible agent: Perry Lee Ford
Gross receipts: Assumed to be less than $50,000 due to 990-N postcard filing
Assets: Unknown due to 990-N postcard filing
Bizfile: Good
**DOJ: Not currently registered, notice to register sent by DOJ on February 18, 2025; also showing as not registered as a charitable fundraising platform with the Hope Center as a DBA (doing business as) with a registration submission dated February 27, 2025.
Mission: No mission available from the organization; however, the EPA grant states, “CLEP currently provides education, counseling and food distribution services to the community. Their vision is to educate and equip people to be the best they can be with the resources they can provide or via their partnerships.”
Notes: We have been unable to ascertain who first suggested CLEP for City partnerships or funding. Correspondence requested by Public Information Request (PIR) has been withheld. The City’s response did include an email from City Manager Stone James dated August 29, 2024, thanking “Elder Sylvester and Pastor Terrance” for meeting with him. He added, “Your help in getting those who are suffering and struggling back on track (and providing a moral lighthouse to help others stay on the right path) is vital, in my humble opinion, to creating and maintaining a strong, supportive, and equitable community.” CLEP is associated with the Sanctuary Church, a member of the Ministerial Association—the president of the association is Councilmember McArthur Wright.
City interactions:
November 12, 2024: City Council, MOU to partner on EPA Environmental and Climate Justice Community grant is approved
February 11, 2025: City Council, Approval of an emergency payment of $10,000 to CLEP / Hope Center to fund its Feed the Need food distribution program
Habitat for Humanity of the Coachella Valley
Ruling year: 1987
Responsible agent: Tracy Tremblay
Gross receipts: $5,301,371
Assets: $5,224,909
Bizfile: Good
DOJ: Current—in process
Mission (per 990): Habitat for Humanity of the Coachella Valley's purpose is to construct, with donated labor and materials, low-income housing for families who live in substandard dwellings and cannot afford to improve their living situations by conventional means. The organization builds and renovates housing to be sold at no profit and provides low-interest financing to eligible families. The organization is an affiliate of Habitat for Humanity International.
Notes: The primary advocate for self-build housing has been Councilmember Octavious Scott, who mentioned Habitat for Humanity in his 2022 Candidate Interview with the Desert Trumpet.
City interactions:
February 25, 2025: City Council, Presentation of mission and services
Institute of Inquiry
Ruling year: filed in 2023, not active until 2024, ruling in process
Responsible agent: Kimberly Zzyzx
Gross receipts: 0
Assets: 0
Bizfile: Good
DOJ: not yet registered
Mission (website) : Our work as educators is to cultivate spaces that center around questions, and to help raise children who are accustomed to being valued, listened to & supported
Notes: Institute of Inquiry operated as an LLC until 2023 when it filed to become a 501c3. The 501c3 paperwork is filed and in process. Ms. Zzyzx authored an article on The High Desert Childcare and Education Crisis for Desert Trumpet in 2022.
City Interactions:
Per Kimberly Zzyzx, The Institute of Inquiry has a $1 per year agreement with the City for the building at 6897 El Sol Ave., formally operated by the Friends of Knott’s Sky Park Preschool. We’ve not located when the agreement was approved by City Council.
Joshua Tree National Park Association
Ruling year: 1967
Responsible agent: Jacqueline Guevara
Gross receipts: $7,096,114
Assets: $3,816,569
DOJ: Current—awaiting reporting
Bizfile: Good
Mission (990): Joshua Tree National Park Association is a private, nonprofit cooperating association working in partnership with Joshua Tree National Park to help in its achievement of programming goals in education, interpretation, scientific and historic research activities.
City interactions:
February 25, 2025: City Council, Lease for Joshua Tree National Park Visitor and Cultural Center at Freedom Plaza is transferred from the Park to the Association at the request of Park Superintendent Jane Rodgers
Mojaveland / AHA Projects (Fiscal Receiver3 for Mojaveland)
Ruling year: 2021
Responsible agent: Cheyanne Sauter
Gross receipts: $16,578
**Assets: $14
Bizfile: Good
DOJ: Current, under prior name, Affordable Housing for Artists
Mission (990, AHA Projects) : To support artistic creators through innovative partnerships to solve communities greatest challenges while providing access to the necessary resources and support.
Notes: The above information is based on AHA Projects. Mojaveland is an artist-designed miniature golf course and is the project of Anna Stump.
City interactions:
August 8, 2023: City Council, Request to lease City owned land adjacent to Theatre 29 for $1 per year is approved
October 1, 2024: Planning Commission, Conditional use permit for Mojaveland is approved
March 26, 2024: City Council, Lease approved (again)
Molding Hearts Org
IRS ruling year: 2009
Responsible agent: Lakita Johnson
Gross receipts: $2,304,509
**Assets: 05
Bizfile: Good
**DOJ: Delinquent since 12/31/2019 per Delinquency notice dated January 10, 2025.6
Mission (990): Molding Hearts is a residential community designed to enrich and empower adults with life disabilities by providing quality residential care, community services, recreation, life skills, and occupational skills training.
Notes: Molding Hearts was introduced to the City via then-City Council Candidate April Ramirez.7 Desert Trumpet wrote about the appearance of financial irregularities with Molding Hearts and shared that information with Council prior to their approval of the contract on November 12. City Manager Stone James disputed that registration with the DOJ was required. Per a March 3 email to the Desert Trumpet from the California Attorney General’s Press Office, “Generally, a charitable organization’s registration must be in good standing to operate; delinquent organizations are not in good standing and may not solicit or disburse charitable funds. (Code Cal. Regs., tit. 11, section 312.).”
We reached out to the Treasurer of Molding Hearts, who refused to talk with us. Ms. Johnson did not inform Council of the DOJ delinquency during her report at January 28 meeting. We contacted Councilmember Ramirez about Molding Hearts via text message and email on February 7. The email referred to Molding Hearts CEO Lakita Johnson's comments to Council on January 25 (See footnote for a copy of the email.) When no response was received on the information sent, we followed up via text on February 12. Councilmember Ramirez deferred on Molding Hearts and instead said she intended to review documents on all housing providers and would comment then. As far as we know there are only 2-3 housing providers working with the City, including ARCH and Molding Hearts. No further comment on Molding Hearts has been received from Councilmember Ramirez, or from City Manager James and Mayor Bilderain, the other recipients of the February 7 email.8
City interactions:
November 4, 2024, Planning Commission, Presentation of proposal for the unhoused, Planning Commission
November 12, 2024, City Council, Presentation of revised proposal for the unhoused, contract approved for $24,500
January 28, 2025, City Council, Update on progress of contracted services
Morongo Basin ARCH (Aligning Resources Challenging Homelessness)
Ruling year: 2017
Responsible agent: Astrid N. Johnson
Gross receipts: $291,470
Assets: $171,201
Bizfile: Good
DOJ: Current
Mission (990): Provide living quarters to those [who are] recovering from substance abuse or are homeless
City interactions:
February 15, 2023: City Council, Ms. Johnson speaks in public comment on the need for stop-gap funding to cover expenses until a County grant is received.
February 28, 2023: City Council, ARCH receives $25,000 to support their work with the unhoused
August 1, 2023: Planning Commission, Ms. Johnson speaks in public comment on the need for a navigation center to service the homeless
September 11, 2023: City Council, ARCH presents a potential navigation center location and approximately $32,000 is earmarked to cover one year of expenses.
November 14, 2023: Planning Commission / Homelessness Committee, ARCH reveals loss of navigation center location
March 19, 2024: Planning Commission / Homelessness Committee, Councilmember Scott conveys to the Committee that ARCH has decided it lacks the organizational capacity to run a navigation center for the unhoused.
Morongo Basin Unity Home, Inc.
IRS Ruling year: 1992
Responsible agent: Susanna Barnett
Gross receipts: $1,216,761
Assets: $1,274,351
Bizfile: Good, but Statement of Information was due 10/31/2024
DOJ: Current — awaiting reporting
Mission: To assist, educate, counsel and provide a safe haven for victims of domestic violence and their children.
City interactions:
February 13, 2024: City Council, Unity Home makes a presentation for $12,000 in CDBG funding
May 29, 2024: City Council, Allotted $5,000 in Community Development Block Grant funding, City Council
Reach Out Morongo Basin
Ruling year: 2000
Responsible agent: Robin Schlosser
Gross receipts: $990,869
Assets: $2,821,304
Bizfile: Good
DOJ: Current
Mission (990): Provides services to the elderly and disabled in the Morongo Basin, especially in remote areas.
Notes: Reach Out Morongo Basin has a $1 per year agreement to manage the City-owned Senior Center. The organization was founded by the Ministerial Association in 1998.
City interactions:
February 13, 2024: City Council, Ms. Schlosser makes a presentation for $20,000 in CDBG funding
May 29, 2024, City Council, Allotted $20,000 in Community Development Block Grant funding
Reach Out Yucca Valley (branch of Reach Out West End Inc)
Ruling year: 1970
Responsible agent: Diana Fox
Gross receipts: $8,990.169
Assets: $2,803.791
Bizfile: Good
DOJ: Current
Mission (990): Reach Out's mission is to strengthen communities by bringing people together to solve our region's toughest issues: breaking barriers to educational achievement, expanding economic opportunities, and creating safe, healthy and innovative communities.
Note: All information is on parent organization
City interactions:
November 12, 2024: City Council, Presentation of services offered
Sky’s the Limit
Ruling year: 2017
Responsible agent: Jerry Felix Mattos
Gross receipts: $58,451
Assets: $396,131
Bizfile: Good
DOJ: Not registered, in five-year grace period per Mr. Mattos
Mission (990): Education of the public, youngest to oldest, from the smallest on earth to the largest in the cosmos. Education of the cosmos via telescope observation and lectures. Education of the Mojave desert via the nature trails and the surrounding geology.
Note: Interactions do not reflect funding received for events from City Council or other City agencies, however Sky’s the Limit received $5,000 for programming at the February 27, 2024, City Council meeting, one month after their strategic planning appeal.
City interactions:
January 25, 2023: City Council Strategic Planning Workshop, Mr Mattos appealed to the City for better support
29 Palms Community Food Pantry and Outreach Ministries
Ruling year: 2005
Responsible agent: Lori Jo Cosgriff
Gross receipts: $73,909
Assets: $61,441
Bizfile: Good, but Statement of Information was due 3/31/2024
DOJ: Delinquent, however in looking at the history, a 9/16/2024 DOJ letter indicates that “All the required documentation and late fees have been received” and that the organization is current. Likely the cleared suspension is still processing in the DOJ system.
Mission (990): Emergency food and shelter program servicing approx 5,500 people in the 29 Palms area. Hours of operation are Mon-Fri, 9:30 to 11:30 am; 2nd and 4th Weds of each month, 5 to 6:30 pm; and 1st Sat each month, 9:30 am to 6:30 pm.
City interactions:
February 13, 2024: City Council, Ms. Cosgriff makes a presentation for $30,000 in CDBG funding
May 29, 2024, City Council, Allotted $30,000 in Community Development Block Grant funding
Theatre 29
IRS Ruling year: 2016
Responsible agent: Charles Thomas Harvey
Gross receipts: $66,496
Assets: $18,750
Bizfile: Good, but Statement of Information was due 8/31/2024
DOJ: Current
Mission (990): To provide live, community, family oriented theatre
Notes: Interactions do not reflect funding received for events from City Council or other City agencies. Theatre 29 has near exclusive use of the City owned theater via a $1 per year lease.
City interactions:
January 25, 2023: City Council Strategic Planning Workshop, then Board President Gary Daigneault argued that expansion of the theater should be a priority, and was placed at #4 on the Strategic Planning “top ten”, the only nonprofit requesting support to make the list
March 28, 2023: City Council, In public comment, then Board President Gary Daigneault spoke on behalf of the Theatre 29 Board, fearing interference from the Public Arts Advisory Committee in theater operations
November 12, 2024: City Council approves amending the lease in order to assume responsibility for maintenance and minor repairs of the HVAC system
Twentynine Palms Artists’ Guild AKA 29 Palms Art Gallery
IRS Ruling year: 1989
Responsible agent:
Gross receipts: $61,727
Assets: $92,763
Bizfile: Good
DOJ: Current
Mission (990): Encourage creative growth through innovative educational programs. to offer an inclusive environment for artists and community members to meet, exchange ideas and create art.
Notes: Interactions do not reflect funding received for events from City Council or other City agencies, however the Gallery received $10,000 for programming at the February 27, 2024, City Council meeting, one month after their strategic planning appeal.
City interactions:
January 25, 2023: City Council Strategic Planning Workshop, Ted Wright appealed to the City for better support
Twentynine Palms Downtown Business Association (DBA) aka Rediscover 29
IRS Ruling year: 2022, 501c6
Responsible agent: Anita Marie Petke
Gross receipts: Assumed to be less than $50,000 due to 990-N postcard filing
Assets: unknown due to 501c6 status
Bizfile: Good, but Statement of Information was due 2/29/2024
DOJ: Mutual Benefit
Mission (website): Rediscover 29 is a membership organization that represents locally owned businesses and the community. We foster a thriving economy based on cooperation, between local businesses, governmental agencies, and the residential community. We are committed to achieving pragmatic growth and lasting opportunity.
Notes: We included the DBA / Rediscover 29 because of their importance to the community. However, they are a 501c6 and not a 501c3. While a 501c3 is considered a charitable organization, a 501c6 is a business or membership nonprofit and its disclosure requirements are different. A useful detailed explanation of the differences is here. Interactions do not reflect funding received for events from City Council or other City agencies.
City interactions:
June 11, 2024: Presentation by Board President Mike Usher and Secretary Sara Lyons, seeking a more formal partnership
Board President Mike Usher has provided public comment on the Tourism Business Improvement District (TBID) on numerous occasions, including at City Council, September 19, 2023
Women of Color Global 29
IRS Ruling year: 2024
Responsible agent: Carrie Williams
Gross receipts: 0
**Assets: 09
Bizfile: Good
DOJ: Current — reporting incomplete
Mission (website): We are Women of Color Global 29, a nonprofit organization dedicated to celebrating Juneteenth and promoting the cultural significance, civic pride, and economic stimulus in the city of 29 Palms.
Note: Interactions do not reflect funding received for events from City Council or other City agencies
City interactions:
April 9, 2024, City Council, Presentation of EPA Environmental and Climate Justice Community Change grant proposal at City Council
May 28, 2024, Requests to be removed as lead nonprofit on EPA grant, City Council
Did we miss a nonprofit that’s interacted with the City in the last two years?? Let us know in the comments! (Remember, we didn’t include event grantees in our list.)
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Correction 3/16/25 - the second was mistakenly attributed to Mintz when the article was published.
Organizations with less than $50,000 in revenue over three years file a 990-N postcard in lieu of a full 990 tax return. No figures are provided.
A fiscal receiver acts as an umbrella for not-for-profit endeavors that are not stand-alone 501c3 organizations, allowing them to apply for grants and receive donations. AHA Projects is also the fiscal receiver for the Desert Trumpet.
This figure is via Guidestar’s use of the IRS Business Master File and may not be current. Any active nonprofit has a bank account, which is an asset.
As with AHA Projects, this figure is via Guidestar’s use of the IRS Business Master File and may not be current. Any active nonprofit has a bank account, which is an asset. However, Lakita Johnson stated on the Molding Hearts DOJ Charitable Trust application filed on November 8 that “Molding Hearts.Org has no assets to report” and has filed 990 returns with zero assets. Desert Trumpet filed a PIR request with the City of Twentynine Palms and with the County of San Bernardino to verify payments made to Molding Hearts — and both have issued payments to a bank account. It’s unclear if the account belongs to Molding Hearts, the organization, or to Lakita Johnson personally.
When Molding Hearts first approached the City, they were unregistered with the DOJ—at the Planning Commission meeting it was noted that their attorney advised that they were not required to register. City Manager James underlined in the November 12 agenda packet that registration was not required but a registration form was filed on November 8, 2024. On January 10, 2025, Molding Hearts was sent a Delinquency Notice from the DOJ indicating that reports were due for 2019 through 2023. DOJ also advised that failure to respond within 60 days would result in a notice to the Franchise Tax Board and potential revocation of tax-exempt status.
Thirteen Unasked City Council Candidate Questions, Part One: Biggies, October 3, 2024: “I helped initiate the conversation between the City and the non-profit organization called Molding Hearts and got the conversation going with the City…..One more thing I would like to make very clear. I am NOT directly involved with Molding Hearts (not an employee, not a board member). Molding Hearts is simply a resource I identified during my homeless solutions "research phase" that has a proven success rate having rehabbed over 3,000 people and has approximately 12 homes in the Morongo Basin to provide services to our unhoused population.” — then City Council Candidate April Ramirez
On March 16, 2025, Councilmember Ramirez reached out to us on FB indicating that our original sentence — “We have contacted Councilmember Ramirez regarding Molding Hearts, but she has not spoken with us." — was inaccurate because she had responded. True, but not on Molding Hearts, so we expanded on our initial statement. The following was emailed to City Manger Stone James and Mayor Steven Bilderain, then forwarded to City Councilmember April Ramirez on February 7.
This figure is via Guidestar’s use of the IRS Business Master File and may not be current. Any active nonprofit has a bank account, which is an asset.
Lot of work went into this insight to where one's dollars may be going. I appreciate your work.
Thank you.
Roger Smith