AFI Program Overview

1
Welcome!

• AFI Program Overview Grant Application Process

2
AFI Orientation and Overview

• First of series of four webinars
• Overview and Application Process
• Non-federal Cost Share
• Project Design and Implementation Part 1
• Project Design and Implementation Part 2
• All topics are repeated and downloadable
• Schedule, registration and download application
  kit and other links at
• http//www.acf.hhs.gov/programs/ocs/afi/afi_calend
  ar.html

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AFI Orientation and Overview

• If you have technical difficulties with hearing
  or viewing this presentation, please press 0 or
  contact
• Stephanie Dodge
• 703.279.6256
• SDodge_at_icfi.com
• If you have not received materials, contact the
  AFI Resource Center
• afiprogram_at_acf.hhs.gov
• 202-401-4626
• The call will be recorded and posted at
• http//www.acf.hhs.gov/programs/ocs/afi/outreach_
  presentations/grant_application_presentation.html

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AFI Orientation and Overview

• Materials for this call downloadable from
• http//www.acf.hhs.gov/programs/ocs/afi/outreach_
  presentations/grant_application_presentation.html
• This presentation
• Project Builder
• Application Kit
• Program Announcement
• Contact AFI Resource Center for materials or for
  follow up questions
• afiprogram_at_acf.hhs.gov 202-401-4626

5
Preview

• Asset Building
• Individual Development Accounts
• Assets for Independence Program
• AFI Projects
• Applying for Funding

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• Few people have ever spent their way out of
  poverty. Those who escape do so through saving
  and investing for the long-term.
• Income may feed their stomachs, but assets
  change their heads.
• Michael Sherraden
• Center for Social Development

7
Economic Assets Matter

• Stronger, Healthier Families
• Enhanced Self-Esteem
• Long-term Thinking and Planning
• More Community Involvement
• Hope for the Future

8
Support for Asset Building

• Federal government supports asset-building across
  income levels
• Homeownership Support
• Small Business Development
• Education / Careers
• Individual Development Accounts

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Individual Development Accounts

• Specialized savings account designed to help
  low-wealth Americans acquire an appreciating
  asset. Accountholders deposit savings in their
  account and that saving is matched by host
  agency.
• Designed to enable and encourage accountholders
  to save on a regular basis and acquire their
  asset.
• While accountholders build savings and match,
  they also receive financial education and
  asset-specific training to help prepare them to
  take best advantage of the opportunity at hand.

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IDAs A Hand-Up To Self-Sufficiency
Self- Sufficiency
Transform to Assets
Save
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Assets for Independence

• Special federally funded 5-Year projects that
  enable accountholders to ...
• Learn about financial and consumer issues
• Save in Individual Development Accounts
• In order to
• acquire a first home
• access higher education or training and/or
• start or support a small business
• save to transfer to an eligible dependent

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AFI Participants

• 368 active AFI Projects 258 organizations
• Nearly 44,000 IDA accounts and growing
• 36.8 Million saved in AFI IDAs
• 13,000 asset purchases
• 76 of participants are women
• 75 households with children
• 44 African American 27 White 18 Hispanic

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AFI Projects

• Multi-purpose non-profits that provide a menu of
  services for low-income families (single agency)
• Public/Private Partnerships including state,
  local or tribal governments
• Multi-site networks
• Find a project near you by going to
• http//www.acf.hhs.gov/assetbuilding/states.html

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Single Agency Project
15
AFI Network Project
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Participants Perspective
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Example Kim

• Kim needs a home
• Housing program requires 6,000 for down payment
  and closing costs
• Financial Education, debt counseling and
  information about home ownership
• Match rate of 2 for every 1 saved in her IDA
• Kim saves 2,000 55/month over 3 years

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Kims IDA
2000 Savings
2,000 Kim Saves
4000 Matching
2,000 Federal
2,000 Non-Fed
6000 for Home
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Example Bill

• Bill is looking to start a new business
• He needs 5,000 in capital
• Financial Education, debt counseling and training
  in starting and operating a business
• Match rate of 4 for every 1 saved in his IDA
• Bill saves 1,000 -- 42/month over 2 years

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Bills IDA
1000 Savings
1,000 Bill Saves
4000 Matching
2,000 Federal
2,000 Non-Fed
5000 for Small Business
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Accountholder Responsibilities and Benefits

• Responsibilities
• Deposit savings consistently
• Complete financial asset-specific education
• Repair credit?
• Lead search for their own long-term asset
• Meet other project requirements, such as credit
  repair, asset training

• Benefits
• Develops long-term savings habit
• Gains financial ed and asset-specific knowledge
• Develops esteem and makes long-term goals seem
  achievable
• Gains long-term asset

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Host Agencys Perspective
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Host Agency Benefits

• Helps agency carry out its mission
• Introduces/enhances community partnerships
• Brings new business to agency
• Often develops new agency competencies

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Host Agencys Responsibilities Pre-award

• Examine agencys desire and capacity to run an
  IDA program
• Identify non-federal funding
• Identify partners to help deliver services
• Develop a successful proposal

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Key Topics for Planning an AFI Project

• Funding Federal and Non-Federal
• Project Reserve Fund Guidelines
• IDA Matching Structure
• Savings Plan Agreement
• Accountholder Eligibility
• Other topics addressed in later calls, e.g.,
• Financial education
• Recruitment/enrollment
• Asset purchase process
• Reporting

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Funding

• Five-Year Project Grants
• Must have firm commitments of cash support from
  Non-Federal sources.
• The commitments must be equal to or greater than
  the Federal grant amount requested.
• Work on this ASAP!

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Project Reserve Fund

• PROJECT RESERVE FUND
• insured financial institution
• 200,000

Federal Grant 100,000
Non-Federal 100,000 (Cash only)
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Allowed Uses of Project Reserve Funds

• At least 85 to match IDA savings
• Up to 13 for financial education and other
  project costs
• At least 2 for data collection

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Non-Federal Funding -- Examples

• Financial institutions
• Foundations especially local, regional
• United Way organizations
• Corporations / Employers
• Faith-based organizations
• State and local governments
• Individuals
• Project Builder 3.D Appendix D

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IDA Matching Structure

• IDA Savings Match Rates can range from
• 1 match for 1 earned income saved to
• 8 match for 1 earned income saved
• Maximum amount participant can save and be
  matched may vary
• Maximum Federal Contribution
• 2000 per individual
• 4000 per household
• Project Builder 3.A, 3.D Appendix D Appendix G

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Elements in Savings Plan Agreement

• Total Amount to be saved and financial
  institution options
• Schedule of deposits frequency, amount
• Asset to be purchased
• Match rate per 1 of earned income saved
• Maximum savings to be matched
• Financial education requirements
• Asset-specific training
• Other key policies or procedures related to the
  participant becoming eligible for a matched
  withdrawal
• Project Builder 3.D, Appendix D, Appendix E

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Participant Eligibility

• TANF eligible OR
• EITC eligible or annual household income less
  than twice poverty (about 40,000 for family of
  four)
• AND
• Net worth less than 10,000 excluding value of a
  residence and one motor vehicle per household.
• Administering agencies may have additional
  requirements.
• Project Builder 3.A, Appendix B

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Preparing a Successful AFI Application
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Request for ProposalsAFI Grants Overview

• Multiple application cycles annually, through
  2010
• FY 2008 application cycles
• January 15, 2008 (2009, 2010)
• March 25, 2008 (2009, 2010)
• Up to 1,000,000 (average 350,000)
• 19,000,000 available
• 55-65 funded projects annually

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Application procedures

• Proposals will be reviewed by a panel of experts
  in IDA and AFI IDA implementation
• Please follow application instructions as listed
  in the Application Packet closely
• Five general sections
• Project Summary or Abstract
• Organizational Profiles
• Approach
• Results or Benefits
• Budget and Budget Justification
• Some have subsections
• Standard forms and assurances

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Criterion Approach (Total 50 pts)

• Half of the review points
• How your program will operate
• How your program will staff the project, develop
  partnerships, develop operations plan, recruit
  and select participants, deliver classes, provide
  assistance to accountholders, assist in
  purchasing an asset - all will be described here

37
Approach Work Plan (20 pts)

• Outline what you will do when
• Include targets or benchmarks at regular
  intervals
• Link to key project activities recruitment,
  enrollment, IDAs open, asset purchases, etc.
• Link to AFI Project Management Indicators and AFI
  Program Outcomes
• Increase in amount of IDA savings used for asset
  purchase
• Increase in number of participants who make asset
  purchase
• Increase in ratio of earned income participants
  save relative to Federal AFI funds invested
• AFI Performance Management Initiative
• http//www.acf.hhs.gov/assetbuilding/afihome.html
• Project Builder 3.I

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Approach Tax Services (3 pts)

• Tax filing module in financial literacy classes
• Tax filing assistance program
• EITC claims
• Child Tax Credits
• Policy for depositing tax refunds in IDA

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Approach IDA Design Features (5 pts)

• What will your match rate be?
• How did you determine the match rate?
• What it takes to purchase assets in your
  community
• Discuss capability to save of typical
  accountholder in your community
• Project Builder 3.D, 3.A Appendix C, Appendix E

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Approach Partnerships and Collaborations (12 pts)

• Who will be your partners?
• What will they do for you?
• Financial Institution Partner
• Service or referral partners
• Training partners
• Other services
• Do you have letters of commitment for the
  partnership or clear roles defined in MOUs?
• Project Builder 3.G, 3.H Appendix J, Appendix K

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Approach Evaluation (5 pts)

• Three commitments
• Will use an electronic MIS system like AFI2
• Commit to full participation in national
  demonstration
• Provide timely data to OCS via regular reports
  and annual data collection
• Project Builder 3.J

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AFI2 Summary

• Free, web-based tool
• Track and mange funding, participants, services,
  asset purchases, reporting and key documents
• AFI Resource Center provides training and
  on-going support for users
• Capture data for most reporting requirements
• Will automatically populate the annual on-line
  data report

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Approach Participant Description (5 pts)

• Identify types of individuals or families that
  you will target for recruitment and enrollment
• Identify and describe the characteristics of the
  community(ies) where you will focus your IDA
  program
• Strengths and challenges
• Needs and potential
• Demographics or economic characteristics
• Basis for your program design
• Project Builder 3.A, 3.E Appendix C, Appendix F

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Organizational Profiles (30 pts)

• Discuss your organization and your partners
• Do you have the capacity to do what you say you
  will do (10 pts)
• Not necessary to already be engaged in IDAs
• If you can identify key staff, do so here or
  provide job descriptions (10 pts)
• Nonfederal cash contribution (10 pts)
• How much
• From whom
• Documentation of commitment
• Project Builder 3.F

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Results and Benefits Expected (13 pts)

• Link your outcomes to overall AFI program-wide
  outcomes
• Increase in amount of IDA savings used for asset
  purchase
• Increase in number of participants who make asset
  purchase
• Increase in ratio of earned income participant
  savings relative to Federal AFI funds invested
• Demonstrate understanding of framework of AFI
  grantee-level performance indicators for project
  management
• AFI Performance Management Initiative
• http//www.acf.hhs.gov/assetbuilding/afihome.html

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Results and Benefits Expected (13 pts)

• AFI program-wide outcomes
• Based on a set of Performance Management
  Indicators for grantees and for OCS
• Use indicators to set local benchmarks
• Use indicators to manage project
• Results in achieving AFI program-wide outcomes
• Review the performance management indicators at
• http//www.acf.hhs.gov/assetbuilding/afihome.html

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Budget and Justification (5 pts)

• 424 Request for Federal Assistance
• Total project figures Federal, nonfederal
  sources, including applicant
• 424-A Budget Non-Construction Programs
• Reflect AFI spending guidelines (e.g., 85/15)
• Detailed Budget
• Explain line items in detailed budget with a
  narrative
• Consistent budget figures in all three places
• Provide letters or other documentation to prove
  non-federal match is committed
• Make sure budget jibes with your work plan!
• Project Builder 3.K, Appendix N

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Project Summary (2 pts)

• One page
• Summarizes the key features of the application
• Goals
• Target communities
• Match rate(s), maximum savings
• Number of IDAs and asset purchases planned
• Key partner organizations
• Financial institution partner
• Sources/amounts of nonfederal funding

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Bonus (up to 5 pts total for this component)

• Collaboration or coordination with other
  community development or revitalization
  initiatives
• Integration of asset building with other vital
  initiatives
• Collaboration with designated types of
  organizations
• Collaboration with TANF or workforce agencies
• Other interests per program announcement
• Detail the interaction

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Application Submissions

• Can include up to 40 pages of narrative
  attachments
• Attachments include commitment letters, MOUs, and
  required federal forms
• Please clearly number all pages and attachments

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Application Submissions (continued)

• If your agency is nonprofit, provide proof of
  501c(3) status or
• Treasury certified CDFI or
• NCUA certified low-income designated Credit Union
  
• Public agencies may apply with non-profit partner
• Lead organization signs/submits proposal
• Networks or collaboratives may apply with lead
  organization

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Application Instructions

• Please include
• Project summary
• Project narrative
• Standard form 424
• Standard form 424A
• Budget and justification
• Other required forms and assurances per program
  announcement

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Application Instructions (continued)

• Please include
• Standard Form 424B
• Certification regarding lobbying
• Standard Form LLL
• Proof of non-profit status
• Proof of Low-Income Credit union status (if
  applicable)
• Proof of CDFI status (if applicable)
• Project Builder Appendix O

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Application Submission Information

• Due date March 25th, 2008
• Received by 430 p.m. Eastern time -
• see appendix M in Project Builder
• Address
• Office of Community Services Operations Center
• Assets for Independence Program
• 1515 Wilson Blvd, Suite 100
• Arlington, VA 22209
• Telephone [phone]

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Application Submission Information

• May submit using www.grants.gov
• Must be submitted by 430 p.m. on March 25th,
  2008
• Prepare www.grants.gov submission well before due
  date
• Registration
• DUNS number
• Authorized signature

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AFI Orientation Call Series
All calls at 2 p.m. Eastern Registration and
document download http//www.acf.hhs.gov/programs
/ocs/afi/afi_calendar.html
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AFI Resource Center

• www.acf.hhs.gov/assetbuilding
• Application kits
• Project Builder
• Application forms
• Program announcement
• Technical information on AFI IDA implementation
• afiprogram_at_acf.hhs.gov
• 202-401-4626

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Other IDA Resources

• Center for Social Development
• http//gwbweb.wustl.edu/csd
• IDA Network
• http//www.idanetwork.org
• New America Foundation
• www.assetbuilding.org
• Project Builder Appendix A

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Contact Information

• AFI Resource Center
• afiprogram_at_acf.hhs.gov
• [phone]
• www.acf.hhs.gov/assetbuilding