From the perspective of the BSA to fulfill the CITO requirement for the Merit Badge the Scout must:
Explain what Cache In Trash Out (CITO) means, and describe how you have practiced CITO at public geocaches or at a CITO event. Then, either create CITO containers to leave at public caches, or host a CITO event for your unit or for the public.
So even in this optional requirement there is an option, either create containers to leave at public caches or host an event.
Since clean-up is involved if it were published as a CITO event I expect that the person hosting it could count it as hosting a CITO event for the public. My only concern is that since the clean-up appears to be within a retirement community it may be hard to get it approved as a CITO event. But, I am speaking from my preconceptions that a CITO event would be held in a area where caches are likely to be hidden, since I have never been to one let alone tried to host one.
What area of town is this community in? Have they attempted to contact a Scout troop in their area?
+-+ Jay - BingOGT
|+| Georgetown, TX USA
+-+ “What you see depends mainly on what you are looking for.”