National League of Cities

1
National League of CitiesAbby Hughes Holsclaw
2
National League of Cities Institute for Youth,
Education, and Families

• The National League of Cities (NLC) is the
  countrys oldest and largest national
  organization representing the interests of
  cities.
• In a September 1999, NLC announced the creation
  of the Institute for Youth, Education, and
  Families (YEF Institute).
• The Institute focuses on several issue areas
  related to strengthening families. One area is
  Family Economic Success.

3
Asset Building and Financial Education

• Asset building is a key anti-poverty strategy
  that not only can help low- and moderate-income
  families become more financially stable but can
  also provide an economic cushion for future
  generations.

• Financial Education is a key component of any
  asset-building strategy because it provides
  families with the tools they need to manage their
  money, avoid financial traps, and make informed
  financial decisions.

4
NLC Work on Asset Building

• Cities Helping Families Build Assets Phase I
  The goal of the Cities Helping Families Build
  Assets Project (Assets Project) is to build
  municipal leaders capacity to take action toward
  helping families increase their economic
  stability.

• Launch of Phase II Recently, the YEF Institute
  launched Phase II of the Assets Project, which
  will provide in-depth technical assistance to six
  cities. These cities are Burlington, VT Itta
  Bena, MS Louisville, KY Orlando, FL Savannah,
  GA and Seattle, WA.
• Upcoming Action Kit The YEF Institute is
  currently preparing an Asset Building Action Kit,
  which will be a nuts and bolts guide of ways
  municipal leaders can promote asset building in
  their communities.

5
Why Building Assets Matters

• Today, many low-income families struggle to make
  ends meet and have no financial reserves upon
  which to draw in the event of job loss, serious
  accident or illness, or other personal crises.
• The ability to build even modest financial assets
  can provide a critical buffer against such events
  and thereby enhance the economic security of
  low-income families.

• A broad range of positive benefits is associated
  with assets, including
• household economic and marital stability,
• decreased intergenerational poverty transmission,
  
• decreased homelessness, and
• increased local civic involvement.

6
Financial Education Campaigns

• Cities have sponsored local financial education
  campaigns to
• Spread the word about the importance of financial
  education
• Inform residents of financial education programs
• Provide resources and educational materials
• Offer incentives
• Cities are also partnering with national
  campaigns to take advantage of developed
  curriculums and existing resources.
• Many cities are also working to connect existing
  financial educators within the community.
• In 2005, 25 56 million adults were unbanked.
• As of 2004, consumer debt was equal to 110
  percent of disposable income.
• Only a minority of adults feel well informed
  about managing household finances.

7
National Education Campaigns

• More than 400 different financial education
  curricula have been produced, many high quality
  and available for free or at a low cost.
• Choose To Save
• Money Smart
• Credit Smart
• Jumptart
• Saving Matters
• MyMoney

8
Partners

• National campaigns
• Local government
• Financial institutions
• Local employers
• Community-based organizations
• Funders
• Insurance companies

• Community colleges or local universities
• Faith-based institutions
• Ethnic organizations
• Credit counseling Agencies
• Neighborhood associations

9
City Example Phoenix, AZ

• The Financial Education Program
• Created as way to encourage EITC clients to use
  refunds to begin saving.
• Developed in partnership with local financial
  institutions and CBOs.
• Program includes classes for children,
  refreshments, multiple locations and times, and
  financial incentives.
• Participant recruitment is one of the toughest
  challenges in implementing financial education
  programs.
• Phoenix uses comprehensive outreach strategies to
  help reach low-income populations. 

10
City Example Indianapolis, IN

• Championed by Mayor Bart Peterson through
  Peterson Plan II
• City partners with Indy Saves and Get Checking
• Financial Education Network stakeholders meet
  monthly to work on creating a comprehensive
  system to connect clients to financial services.

11
City Example Miami, FL

• The City of Miamis A.C.C.E.S.S. Miami initiative
  is a comprehensive and coordinated effort to
  affect low and moderate income working families
  and business entrepreneurs with an income
  building structure.
• ACCESS Miami offers Financial Literacy and
  Community Outreach Workshops in conjunction with
  programs such as free tax preparation that help
  residents access benefits and capital, while
  accumulating wealth and assets.
• The Parent Academy is a parent education
  initiative offered through the public school
  system.

12
Some Common Denominators

• Outreach through free tax preparation sites
• Mayor or elected official serves as a champion
• Strong partnerships with community-based
  organizations
• Involvement of financial institutions
• Links to existing resources (e.g., national
  campaigns)

13
Best Practices

• Offering programs for children and adults
• Holding classes/events at known locations and
  offering a varied schedule
• Providing incentives for enrollment and course
  completion
• Using a well-developed national financial
  education curriculum

14
Challenges

• Finding convenient times and locations to serve a
  targeted population
• Designing materials that address language and
  cultural barriers of residents
• Retaining participation
• Reaching target populations

15
Contact Information

• Abby Hughes Holsclaw
• Program Director,
• Early Childhood Family Economic Success
• National League of Cities
• Institute for Youth, Education Families
• 1301 Pennsylvania Avenue, NW
• Washington, DC 20004-1763
• Phone [phone]
• Fax [phone]
• Email holsclaw_at_nlc.org
• Web www.nlc.org