The State Assets Policy Project SAPP:

1
The State Assets Policy Project (SAPP) Studying
the Effectiveness of State-Level Asset-Building
Policies and State Asset-Building Policy
Coalitions APHSA Presentation May 1, 2007 Karen
Edwards Center for Social Development Washington
University, St. Louis, MO http//gwbweb.wustl.edu/
csd/policy/index1.htm karene_at_wustl.edu
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• The State Assets Policy Project (SAPP)
• Began in 1999 with a grant from the Ford
  Foundation
• Tracking state IDA policy activity and
  publishing information (web page)
• Expanded in 2001 - additional funding from the
  C. S. Mott, Annie E. Casey, Ewing Marion
  Kauffman, and Levi Strauss Foundations
• Researching state IDA policy trends and
  inclusive features
• Expanding focus beyond IDAs to include
  additional asset-building policies
• Hosting an annual State Assets Policy
  Conference in St. Louis
• Publishing research and policy briefs on related
  topics
• Provide state policymakers and advocates with
  expert advice

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Selected Asset-Building Policies Utilized by
Individuals and Families with Low Incomes
Inclusive?

• Earned Income Tax Credit - 1975

• Assets for Independence Act (AFIA) - IDAs -
  1998

• Social Security Act of 1996 PWRORA, Section
  404(h) TANF IDAs

• Federal Home Loan Bank Affordable Housing
  Program Initiative-1995

• HUDs FSS Escrow Accounts-1996, homeownership
  vouchers, and CDBG

• Workforce Investment Act Individual Training
  Accounts (ITAs) - 1996

• College Savings Plans (529s) with matching
  components (5 states)-1996

• SSI PASS Accounts - 1985

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• Inclusive Assets Policy Options for States
• IDAs and other matched savings programs
  (College Savings Medical Savings Retirement
  Savings)
• Eearned Income Tax Credit (EITC) and VITA Sites
• Financial Education
• Alternative Banking Institutions (CDFIs)
  Non-predatory (Banking the un-banked and
  underbanked credit repair)
• Homeownership Programs and Trusts
• Small and Micro-Business Development

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State IDA Policy 1991-2007

• 23 states support IDAs (plus D.C.) 35 states
  have some type of IDA policy

• Most bills were bipartisan and passed between
  1997 and 2000

• IDAs included in federal welfare reform law of
  1996

• 30 states include IDAs in welfare (TANF) plans

• 500 community-based IDA programs in all 50
  states (20,000 accounts) including 15 IDA
  programs in Native American communities

• 30 states have developed asset-building
  coalitions or task forces

• AFIA passed in 1998, used as funding for 20
  state-supported programs

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• Inclusive State Assets Policy What Might It
  Accomplish?
• Establish a higher level of state government
  support for asset building.
• Create a framework for asset building as a part
  of a U.S. welfare system.
• Encourage state funding for asset building for
  people at all income levels.
• State assets support and funding may leverage
  other funding and support.
• Flexible policy creates potential for asset
  building for all populations.
• Allow for potential portability of accounts.
• Set the stage for more inclusive federal
  asset-building strategies.
• Connect to existing federal assets policies.

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• What do existing state assets coalitions do?
• Bring diverse groups of people together
  (communities,
• non-profits, government, financial institutions,
  business, trade
• associations, non-profit intermediaries and
  advocacy groups)
• Develops an asset-building strategy (policy and
  programs)
• Provide technical assistance and networking
  opportunities
• May raise and/or provide some funding for the
  whole group
• Determine research agenda and provide research
• opportunities for the whole group
• Create power through numbers.

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• The assets policy and asset-building coalitions
  connection
• Examples of Particularly Active Coalitions
• Arizona
• California
• Illinois
• Louisiana-Mississippi-Arkansas-Texas
• New Mexico
• North Carolina
• Oregon
• Task Force Reports
• Delaware 5) Hawaii
• Pennsylvania 6) North Carolina (forthcoming)
• Michigan 7) Oregon (forthcoming)
• California

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Policy Goals for Coalitions Going to Scale

• Develop Long-term, progressive, inclusive,
  federal and state asset-building policies, with
  dedicated funding and a universal delivery
  systems, that include

• Sustainable and complementary funding sources

• Flexibility between state and federal
  asset-building policies

• Asset accounts that begin at birth and are more
  highly subsidized for low-income
  individuals and families

• Favorable tax policies for employers that
  accommodate matches for low-income individuals
  and families

• A universal savings system (complimentary
  policies that help people save and build assets)

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Selected State IDA Policy Resources

• Center for Social Developments web page
  http//gwbweb.wustl.edu/csd - go to State Assets
  Policy from the main menu (Publications one
  option)

• Edwards Mason, (2003). State Policy Trends
  for Individual Development Accounts in the United
  States, 1993-2003, CSD

• Grinstein-Weiss, Schreiner, Clancy, Sherraden,
  (2001). Family Assets for Independence in
  Minnesota Research Report, CSD.

• King, Edwards, Hicks, Larson (2003). American
  Indians Tribal Communities and Individual
  Development Account (IDA) Policy, Report, CSD.
• Warren Edwards (2005). Status of State
  Supported IDA Programs in 2005, CSD.

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Selected Publications and Resources

• Parrish, McCulloch, Edwards, and Gunn (2006).
  State Policy Options for Building Assets, New
  America Foundation and CSD. Can be found at
  http//gwbweb.wustl.edu/csd/Publications/2006/Stat
  e_Policy_Options.pdf

• Stein Friedman (2003). Childrens
  Development Accounts The Oregon Story, CSD.

• Greenberg Patel (2006). Coordinating
  Individual Development Accounts and the Workforce
  Investment Act to Increase Access to
  Postsecondary Education and Training, CSD.

• Edwards Bailey (2006). State-level Individual
  Development Account (IDA) Policy Opportunities
  and Challenges for Rural Areas, CSD.
• Shreiner, Clancy, Sherraden (2002). Savings
  Performance in the American Dream Demonstration,
  Final Report, CSD.

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Web-Based State and Other Asset-Building Resources
Special Report Promoting Economic Security for
Working Families State Asset-Building
Initiatives, Heather McCulloch, Fannie Mae
Foundation, July 2005 http//content.knowledgeplex
.org/kp2/cache/documents/106925.pdf
Task Force for Working Families Commonwealth of
Pennsylvania--Department of Banking http//www.ban
king.state.pa.us/banking/cwp/view.asp?a1344Q546
115bankingNav Governors Task Force for
Financial Independence State of
Delaware http//www.state.de.us/governor/publicati
ons/financial_independence_final_report.pdf
New America Foundation http//www.assetbuilding.or
g/AssetBuilding/ CFED http//www.cfed.org
WID http//www.wid.org/publications/?pageequity