Presentation on theme: "SHARING OUR SUCCESS WITH CONGRESS ADVOCACY ON CAPITOL HILL AND THE RETURN ON INVESTMENT (ROI) FOR THE NFJP JANUARY 25 TH, 2011 A special thanks goes to."— Presentation transcript:
SHARING OUR SUCCESS WITH CONGRESS ADVOCACY ON CAPITOL HILL AND THE RETURN ON INVESTMENT (ROI) FOR THE NFJP JANUARY 25 TH, 2011 A special thanks goes to Aditya (Adi) Ranganath who developed multiple ROI models for CHD Programs during his tenure with CHD as a VISTA Volunteer
YOUR HOSTS FOR THIS WEBINAR David Strauss – Executive Director, AFOP Ayrianne Parks – Communications Director, AFOP Chris Paige – Deputy CEO, California Human Development
WEBINAR OBJECTIVES ADVOCACY ON CAPITOL HILL: THE ESSENTIAL ELEMENTS REVIEW THE CONCEPT OF ROI OR RETURN ON INVESTMENT EXAMINE AND UNDERSTAND THE ROI CALCULATIONS FOR THE NFJP TOUR THE NATIONAL ROI TEMPLATE LOOK AT KEY ASSUMPTIONS AND DATA BEHIND THE TEMPLATE TOUR THE PRESENTATION OF SUMMARY ROI DATA LOOK AT NEXT STEPS FOR COMPLETING BOTH THE NATIONAL AND YOUR LOCAL ROI TEMPLATE
ADVOCACY ON CAPITOL HILL Advocacy work on the hill is more important than ever with major cuts in funding looming. You are helping farmworkers make their voices heard by members of Congress.
THE ESSENTIAL ELEMENTS OVERVIEW Setting up the appointment Conducting the visit Follow-up after the meeting
SETTING UP THE APPOINTMENT Set up your appointments well ahead of your visit to DC—two weeks is preferable Be sure to dress in business attire Allow at least 30 minutes between appointments. Allow extra time before the appointment to go through security Understand the strange office numbering on the House side. http://www.cartoonstock.com/directory/w/what _not_to_wear.asp
CONDUCTING THE VISIT If possible, go as a team of two, or at most, three Prepare yourself for a meeting of 10-15 minutes, but be flexible Look for cues on time Be sure to exchange business cards Be sure to give the staffer the written information they will need to understand your visit—no more than one page Be very courteous at all times Always tell the truth: If they ask a question you don’t know the answer to, admit that you don’t
ALWAYS MAKE “THE ASK” Even if you are having a great conversation, and there’s a lot of empathetic nodding and smiling, you can’t be sure you have the office on board with our issue unless you ask. ◦ Toward the end of the meeting, you can ask, “So, do you think we can count on Rep. ____ to let Chairman Rehberg know that he/she supports the funding increase for the National Farmworker Jobs Program?”
AFTER THE MEETING Complete the evaluation form Email or fax a thank you to the staffer and/or elected official Think about something you can invite them to that showcases the success that you described to them in your visit Keep them updated on your success If you have engaged growers positively, ask them to communicate to the elected official
REMINDER: YOU ARE THE EXPERTS ON FARM LABOR IN THE DISTRICT/AREA/STATE REPRESENTED BY THE CONGRESSPERSON OR SENATOR. EMBRACE THAT BY KEEPING THE ELECTED OFFICIAL INFORMED ON A REGULAR BASIS.
THE CONCEPT OF RETURN ON INVESTMENT OR ROI THINK OF THE GOVERNMENT AS AN INVESTOR IN FARMWORKER WORKFORCE DEVELOPMENT OUR ROI ANALYSIS VIEWS THE NFJP FUNDING AS AN INVESTMENT IN FARMWORKERS AND RURAL COMMUNITIES WE THEN CALCULATE THE RETURN TO THE INVESTOR FOR EACH $1.00 INVESTED IN THE NFJP AS WELL AS THE LARGER SOCIAL RETURN TO FARMWORKERS AND RURAL COMMUNITIES.
OVERVIEW OF THE ROI CALCULATIONS OUR ROI MODEL CONTAINS 5 BASIC CALCULATIONS: 1. The Government’s Investment in the NFJP 2. The wages earned by the farmworkers placed in jobs who retained those jobs. 3. The taxes paid by these farmworkers 4. The local economic impact of the wages earned and the associated taxes paid 5. As estimate of Cost Savings to the Government from reductions in UI, SSI, TANF and Food Stamps.
OUR ROI FORMULA Farmworker wages earned + Farmworker Taxes Paid + Local Economic Impact of said wages + additional taxes generated + Cost Savings to the Government ÷ The Government’s Investment
The NFJP ROI TEMPLATE OUR ROI CALCULATIONS ARE MADE WITH AN EXCEL SPREDSHEET WHICH WE WILL CALL THE TEMPLATE WE’RE GOING TO JUMP BACK AND FORTH BETWEEN THIS POWERPOINT AND THE TEMPLATE THE TEMPLATES HAS A SHEET FOR THE CALCULATIONS LINKED TO A SUMMARY SHEET HERE COMES THE TEMPLATE
KEY FIGURES IN THE TEMPLATE 1 THE INVESTMENT In this national template the investment is $76,710,000 THE RETURN ON INVESTMENT Earnings: We see that the NFJP Placements x the retention rate x earnings (6 months) x 2 (to annualize earnings) = $85,081,500 Note: Discount Factor is 8% -- sometimes good things happen without us!
KEY FIGURES IN THE TEMPLATE 2 Economic Multiplier: We next use an economic multiplier of 2 to calculate that these earnings result in an additional $54,749,945 in local economic activity. SIGH... Some people think accountants are just boring number crunchers…but actually 47% of 235 people covering 34% of the demographic profile thought that 39% of accountants were….
KEY FIGURES IN THE TEMPLATE 3 Taxes: We then estimate the tax gains from placements at $17,827,731, and the induced taxes from the additional local economic activity at $30,331,555.
KEY FIGURES IN THE TEMPLATE 4 Cost Savings: NFJP enrollees do not rely heavily on TANF, Food Stamps, SSI, but a significant number are unemployed and collect UI. Using assumptions you can review in the template, and demographic data from the June 30, 2010 WIASPR reports we estimate cost savings to the government of $34,129,232.
ROI SUMMARY The ROI summary is on the 1 st tab of the Template. For each $1.00 invested in the NFJP: ◦ The Return to the government from taxes and cost savings is $1.05 ◦ Farmworkers Placed in jobs earn $1.11 ◦ The net Additional income to rural communities is $.71 ◦ For a Total ROI of $2.90 ◦ for the $1.00 investment.
The Summary Sheet Template Tab 1 Goal – To Tell the NFJP ROI Story ◦ NFJP SUMMARY ◦ WHAT NFJP FUNDS DO ◦ NFJP PROGRAMS RESULTS FOR PY 2009/2010 ◦ WHAT IS ROI ◦ WHY NFJP IS A GOOD INVESTMENT ◦ ROI SUMMARY: EACH $1.00 INVESTED RETURNS $2.90 FOR A ROI OF 290%.
Next Steps From AFOP We will review all figures in our national template to ensure accuracy of data. Dave’s staff will customize Tab 1 of the Template to tell the National Story. Dave Strauss will send you the National Template. By inserting the data from your agency/state/region you will have a ROI report specific to your agency. You can customize Tab 1 to tell your story.