R&D Presentations

Asset Building

3 Working Group Challenge Key Impasse: SCALE There’s been a lot of creativity in the asset- building field. But even “successful” products and services are reaching too few consumers to make a material difference in the market. A new approach is required to mainstream asset- building

4 Working Group Approach Goal: Define and explore pathways to mainstream asset-building strategies Goal: Define and explore pathways to mainstream asset-building strategies Strategies: Drive field dialogue on scale (Beginning with July convening and white paper) Explore how public sector mandates and funds can be used to mainstream asset building (CFED research grant) Test use of distribution platforms as drivers of scale: – Technology as platform (Grant to – Mainstream human service public agencies as platform (Competitive funding pool to support 3 to 5 municipalities (or counties) in their efforts to integrate asset building strategies in their core human service agency)

5 Result LevelTargeted Result(s)Metrics/Evidence base On-the- ground impact Expand the delivery of asset building strategies into core human services systems  #s served  Economic security gains made Leadership and Influence Advance philanthropic conversation on scale in asset building Incentivize adaption of asset building w/in core human services systems  New investments by members in scaling strategies  $ redirected  Policies and procedures enacted mandating application of asset building framework LeverageIncentivize redirection of public dollars to funding of asset building strategies  $ redirected Solving for Scale: Budget Details $200,000Support CFED research efforts to define how public mandate and/or funds can be (re)deployed to drive asset building scale $600,000Grant pool to support cities working to deploy asset building strategies through mainline human services agencies $200,000 Support further development of assetplatform.org to test use of technology as distribution platform for scale $1,000,000Total

6 Transit-Oriented Development

7 Working Group Challenge: Key Impasse: Equity Developers, practitioners and policy makers are increasingly embracing TOD. BUT, absent concerted interventions around finance, regional practice, and policy, TOD will not produce the equitable outcomes we seek.

8 Working Group Approach Goal: Advance Innovation to Integrate Equity into TOD Strategies: Promote integration of equity into practice and policy ( Sustainable Communities Boot Camp and follow-up) Deepen understanding of what tools can advance financing of equitable TOD at scale (TOD Finance Research) Advance regional innovation that integrates equity, regional practice, and finance ( Grants to 3 regions to advance this leading-edge work)

9 Result LevelTargeted Result(s)Metrics/Evidence base On-the-ground impact Improved planning and development approaches bring benefits to low-income people  TBD Leadership and Influence Policy and practice integrate equity in regional land use planning and economic strategy development Practitioners adopt financing strategies and mechanisms that better deploy capital for equitable TOD  Changes in practice and policy indicate targeted results  Practitioners and policy makers cite R&D efforts as influencing their decisions  Development, refinement and extended application of mechanisms capable of deploying capital for equitable TOD Leverage Philanthropic and financial TOD investments are increasingly aligned to equitable outcomes, leveraging additional private $$  $$ redirected toward more effective, integrative approaches to equitable TOD Budget Details $480,000Sustainable Communities Boot Camp and follow-up research (externally raised) $100,000Equitable TOD Finance Research $580,000Grant pool to advance regional innovation in equitable TOD that integrates the key elements of finance, regional land use planning, economic strategy and equity $20,000Reconnecting America Regional Scan (complete) $50,000Reserve TBDConvening/research to inform policy by strengthening empirical linkage between equitable land use and economic prosperity (funds to be raised externally) 1,230,000($480,000 externally raised; $750,000 internal funds)

10 Green Economy Work Plan for Program Committee Review and Approval

11 Working Group Challenge Key Impasse: Scaling Green Markets Growing, dynamic sector of US economy Pressure to keep pace spurring new public & private programs, investments, emergence of new players Offers more opportunities, co- benefits, & better pay than the national economy BUT, even with growth, markets are slow to develop, with numerous barriers where issues of equity are not at forefront of debates

12 Working Group Approach: Overall Goal: Scale Green Economy to build pathways that integrate benefits for low-income people Strategies: Identify & explore high-priority opportunities to accelerate market segments with highest potential to benefit low-income people (market research, convening) Expedite segment growth through research, grants to innovative pilots, and coordination of efforts Multifamily/commercial energy efficiency (grant pool to support innovative pilots) Emerging regional green markets with job potential for low-skill workers (investment opportunities TBD following completion of market research) Enhance the enabling environment by Elevating equity and scale in federal policies and programs, and Building robust intermediaries Attract additional participants to leverage additional resources

13 Scale Green Economy Identify and explore high-priority opportunities Expedite Segment Growth Enhance the enabling environment Leverage additional resources

14 Expediting Segment Growth: Multifamily and Commercial Energy Efficiency Markets Goal: Address impasses to market scale Strategies: Build Awareness among market players of the benefits of and available tools for energy efficiency Grow Demand by building data systems to prove the business case for energy efficiency Mainstream Financing by developing new/influencing existing financing tools to facilitate retrofits Promote Alignment by convening players across sectors to develop model transactions, leveraging LC and member capital tools, for scaling Address Policy Gaps by focusing on innovative local approaches to correcting market failures, with an eye toward influencing federal policy

15 Result LevelTargeted Result(s)Metrics/Evidence base On-the- ground impact Prelim scaling of market segments in geographic areas EE savings & reduced energy costs Increased capacity of intermediary institutions  Size/# of pilots increased  Financing models increased  Data tracking of EE savings  Increase in size and # of intermediaries Leadership and Influence Increased capacity of gov’t to building markets Local and federal policy barriers lifted Meaningful partnerships with private and public sectors Equity issues debated within various sectors  Better aligned public programs/incentives & more $ directed at green markets  Innovative partnerships advancing  Better integration of equitable solutions Leverage Help redirect philanthropic and public dollars to fund solutions for market barriers and advancing innovative models  $ redirected Solving for Green Economy Market Barriers: Budget Details $250,000Research and convenings to define and solve for market barriers $590,000Grant pool to support pilots & cities working to solve for EE Retrofit market barriers or expand market sectors $400,000 Support other segments of Green Economy as identified thru scans $60,000Evaluation of GEWG efforts $1,300,000Total

Large-Scale Investments For Committee Approval

17 1. Income & Assets Innovation Pool Goal: Mainstream asset-building strategies, incentivizing the integration of proven strategies within key municipal or county agencies or continuums of service Rationale: – Public systems can serve as platform for mainstreaming asset-building strategies – Flexible, competitive dollars can catalyze innovation and bring discipline around scale

18 Income & Assets Innovation Pool: The Details $500 to 800,000 in 3-4 grants Grantees can be cities, counties, coalitions or intermediaries Funds to be used for dedicated staffing, consulting, analysis, data infrastructure, etc. Applicants must put resources on table Examples of funded work – Y City integrates holistic approach to savings and credit repair for participants in transitional employment program – Z City seeks to pilot asset building work within case management for TANF clients receiving individualized training grants RFP issued August; LOI due September; RFP responses due October, Working Group Decision December

19 2. TOD Regional Grants: The Strategy Goal: Use grants (and potentially loans) to catalyze innovation at the intersection of finance, regional practice, and equity Rationale: – Achieving equitable TOD at scale requires robust financing systems that operate in the context of regional economic strategy and land use planning – Flexible dollars tied to an integrative framework can spark practitioners to take disciplined action toward this outcome

20 TOD Regional Grants: The Details $580,000 in grants to 2 to 3 cities by Reverse RFP; minimum 1:1 match requirement Examples of Eligible Uses: – Integrate regional land use and economic plans with a focus on equity – Expand array of tools available to finance equitable TOD, e.g., by extending applicability of structured fund model, within context of integrated work Likely Targeted Applicant: Integration Initiative sites and Sustainable Communities Category II Grantees Timeline: – LOI request issued July – Finalists selected September and invited to submit full application – Awardees Selected November; funds issued early CY 2012

3. Energy Efficiency Market Expansion Grants: The Strategy Goal: Remove barriers to expansion of market sectors with greatest potential benefit to low-income people Rationale: – Achieving market scale in retrofit requires: Robust data systems to identify and demonstrate cost- effectiveness of energy efficiency retrofits Scalable financing systems that allow for retrofitting as course-of- business – Flexible grant dollars can test innovative approaches to advance these goals

Energy Efficiency Market Expansion Grants: The Details 3-4 grants totaling $580,000, awarded by RFP Potential uses (likely grantees): – Develop innovative financing models for embedded or standalone retrofits (high-capacity financial intermediaries) – Develop energy efficiency data platform to establish industry standards for ROI (data experts working with property owners) – Test local/regional pilots for scaling multifamily or commercial retrofitting (innovative city programs)