Bay Area/ San Francisco
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Published on December 12, 2024
San Francisco Cuts Ties with Nonprofit Collective Impact Amid Conflict of Interest AllegationsSource: Google Street View

San Francisco has severed its financial connections with Collective Impact following alleged improper conduct involving former Human Rights Commission executive director Sheryl Davis. According to the San Francisco Chronicle, two city departments, the Human Rights Commission and the Office of Economic and Workforce Development, canceled five contracts with the nonprofit, which had been instrumental in handling initiatives for at-risk youth in the Western Addition.

The investigation that led to the contract terminations found significant conflicts of interest, specifically the enriching of Davis, who had previously headed both the commission and the nonprofit. Davis and James Spingola, the executive director of Collective Impact, reportedly shared a residence. Collective Impact was also found to have purchased related to Davis, including copies of her self-published children's book and sponsorship of a podcast she hosted. A report by The San Francisco Standard revealed that Davis had approved multiple six-figure contracts with Collective Impact during the timeframe in question.

Davis resigned from the Human Rights Commission in September after these allegations came to light. The Collective Impact had contracts totaling over $10 million with the city. Still, despite recent events, the organization has not been barred from future dealings with San Francisco. However, any decision on honoring outstanding invoices remains unclear, leaving over $4 million in payments in a state of suspension.

The cancellation of these contracts marks the latest development in a series of scandals that have challenged the integrity of San Francisco's nonprofit sector and the Dream Keeper Initiative. This program, lauded by Mayor London Breed, was established to support the city's Black communities through housing, business, and job training. In their separate statements, the Human Rights Commission and the Office of Economic and Workforce Development emphasized a commitment to equity and fair treatment for community-serving organizations.