The Boys & Girls Club is leaving Rancho Santa Margarita after failed contract talks
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By summer, the Boys & Girls Club will no longer have a home in Rancho Santa Margarita, after contract talks between the nonprofit and the city failed to reach a new agreement.
The Boys & Girls Club of Capistrano Valley, which offers various after-school programs, has operated out of the Rancho Santa Margarita Bell Tower Regional Community Center since 2012.
But they will be vacating the venue, which has been provided for free, on Aug. 13.
“The only reason why this contract is not going to continue into the future is because the leadership of the Boys & Girls Club terminated the negotiations with the city,” Rancho Santa Margarita Mayor Tony Beall told TimesOC. “They notified the city, their staff and the community that they will be leaving Rancho Santa Margarita.”
Public records obtained by TimesOC show that Mike Munzing targeted the nonprofit over its Diversity, Equity, Inclusion and Belonging position statement and references.
Last year, the club faced political blowback when conservatives in Aliso Viejo and Rancho Santa Margarita, including Beall, took issue with the club’s diversity, equity, inclusion and belonging statement and an accompanying reading list that included titles such as “White Fragility” and “Race Matters.”
Conservatives pointed to the reading list as evidence of political indoctrination. The club clarified that the books were intended as a reference for adults.
Both the statement and reading list were deleted from the club’s website amid the controversy.
Despite Beall’s lone vote against it in May, Rancho Santa Margarita City Council granted the club a $120,000 extension for one year on the condition that it submit a six-month report addressing concerns over average daily attendance and cost comparisons with other club youth facilities in San Juan Capistrano and Aliso Viejo.
Beall claimed that the past DEI controversy was not a factor in negotiations, which council members directed city staff to enter into in January. He described the city’s offers as “generous.”
When asked about talks with the city, Nicole Watson, chief executive of the Boys & Girls Club of Capistrano Valley, offered a general statement on behalf of the organization.
“Unfortunately, contract negotiations were not successful and, as a result, the city manager’s report indicated that no further council action was required,” Watson said.
During the Rancho Santa Margarita City Council meeting on Wednesday, City Manager Jennifer Cervantez gave an update on the broken-down negotiations, starting with the report that preceded them.
“The six-month report did not include all of the requested information, particularly the cost and service comparisons with its other locations,” Cervantez said. “Staff was unable to provide a recommendation and the council was unable to evaluate the status of the issues previously identified.”
Despite city staff’s reservations about the report, Cervantez said talks afterward were mostly “positive.”
On Feb. 27, Rancho Santa Margarita offered the club a two-year agreement at a reduced rate of $100,000 per year. The city also offered relocation assistance for an alternative site outside of the Bell Tower.
Cervantez claimed that the club rejected the offer.
The city countered with a two-to-three year lease at the current $120,000 contractual rate. The club, according to Cervantez, asked for an extra month to vacate the Bell Tower at the end of the current contract, which the city agreed to.
Without an agreement in place, the city’s community services department is developing plans for alternative programming at the Bell Tower, including activities for youth. Council members will consider such a plan during the budget development process.
In the meantime, parents attended the council meeting to voice their displeasure over the club leaving Rancho Santa Margarita.
“My son just started at the Boys & Girls Club,” said Jill Shea. “I’m working three jobs and I still can’t pay for other childcare. The Boys & Girls Club was a blessing to me. Now what am I going to do? I just don’t understand why we would be trying to get rid of such an awesome service that is so inexpensive for someone like me who’s a full-time mom and a full-time working person.”
According to 2024 statistics, the club serves more than 1,100 youth, 59% of whom are Latino, across all three locations every year.
Beall, the mayor, told TimesOC the club was only serving 62 children on average daily attendance in Rancho Santa Margarita, which led the city to pay nine times higher per child than San Juan Capistrano does.
The organization’s chief executive countered that the closure of the club will have a “significant impact” on local families.
“[The club] has long served as a vital resource providing after-school and summer programs that promote academic success, character development, healthy lifestyles, and life and workforce readiness within a safe and supportive environment,” Watson said. “We believe that the absence of these services may affect the overall well-being and development of local youth by limiting access to mentorship, educational support and recreational activities that foster personal growth.”
During Wednesday’s meeting, Councilwoman Keri Lynn Baert spoke in favor of the club before Beall closed discussion.
“This program was well-worth the investment,” she said. “This decision isn’t about cost. We don’t need to cut or reduce programs to balance our budget.”
