CRA PROGRAM COORDINATORSENIOR GRANT WRITER

TAWAILA SIMMONS, CLC/CEF

Business Assistance Center, Inc.2016 Community Development

Travis County Cluster Grant Strategic Plan

Key objectives & critical success factors for improving CRA scores.

What are the needs of the community?

What are the statistics of Travis County?

Addressing top issues facing each community need.

Education core skillset implementation plan.

Program overview for CRA improvement.

First year measured milestones for resulted outcomes.

Non-profit organization guidelines.

Community cluster grant service area totals with requested amount.

Cost Per Analysis, Banking Immediate Benefits, Community Connections.

Meeting Agenda

The Community Reinvestment Act of 1977 (CRA) is implemented by regulations of the Office of the Comptroller of the Currency (OCC), the Board of Governors of the Federal Reserve System (Board), and the Federal Deposit Insurance Corporation (FDIC).

CRA directs agencies to encourage insured depository institutions to help meet the credit needs of the communities in which they are chartered. CRA requires that each (IDI) records helping meet the credit needs of its entire community, including LMI neighborhoods providing community development.

Community Development is defined as affordable housing, community services, activities promoting economic development including community development loans, activities that revitalize/ stabilize LMI geographies including disaster stricken, distressed, or underserved areas with emphasis on rates of poverty, unemployment, and population loss to meet community needs.

Community Development Service is defined as a service that has as its primary purpose community development, is related to the provision of financial services, and has not been considered in the evaluation of the institution’s retail banking services. Services for LMI census tracts can include motor vehicle loans, credit card loans, home equity loans, other secured/ unsecured consumer loans coupled with financial literacy education to implement services.

Review of Key Objectives For Critical Success FactorsSource: “The 2015 Guide to CRA Data Collection and Reporting”

by: Federal Financial Institutions Examination Council

Through The Business Assistance Center, Inc. Financial Institutions increase the scope of serving the community by specifying the needs to pinpoint CRA service areas.

What makes The Business Assistance Center, Inc. successful is being immersed in the midst of the community, being supported by the city, as well as being in service with years of measured outcomes in the LMI communities.

The Business Assistance Center, Inc. and Financial Institutions can increase the service in the community by merging efforts. BACI will provide the technical assistance, program development, program/ grant management, fiscal agent, and reporting outcomes. Financial Institution will provide lending for affordable housing as well as grants for education, training, rehabs, and down payment assistance in LMI and VLMI communities in Anderson, Collin, Dallas, Denton, Shelby, and Travis Counties.

The Business Assistance Center, Inc. and our non-profit organizations will increase the scope of community development and community development services in LMI areas.

Review of Key Objectives For Critical Success FactorsContinued

The Business Assistance Center, Inc.

Affordable Housing, Technical Assistance, Entrepreneurship,

Youth Education, Enterprise

VLI/ LMI/ HUB/ DBE/ WBE/ MBE Certified Vendors

Minority Owned, Managed, Served LMI Urban Areas

Job Training Certifications w/ Colleges

Since 1995. Created 474 jobs.

4,200 Served.

A nonprofit 501 (c) (3) community development entity providing low-to-moderate income communities with youth enterprise development, incubation, technical assistance, financial literacy/ home education, and neighborhood revitalization.

Group A: Alliance of Elite Youth Leadership ~ Serving Travis County (Austin, TX): (VLI/ LMI 150 at risk youth) one-on-one mentoring/ training, resume writing skills, financial literacy education, and youth entrepreneurship.

Group B: Boys and Girls Club of Travis County ~ Serving Travis County (Austin, TX): (VLI/LMI 200 youth) mentoring, college readiness, financial literacy, youth entrepreneurship, and community service scholarship programs.

Group C: Inspiring You To Greatness, Inc. ~ Serving Travis (Austin, Texas): (VLI/ LMI 165 adults) certified home buyers, effective renters, & college/ career readiness education sessions.

Group D: Employ America Foundation ~ Serving Travis County (Austin, Texas): (LMI 60 adults) job readiness training for minorities to enter construction management fields with industry specific certifications from colleges.

Group E: Builders of Hope CDC ~ Serving Travis County (Austin, Texas): Building (70) affordable housing (Avg. Sales Price $150k-$270k ) LMI communities partnered w/ We Are Survivors to build (10) transition homes for 100 displaced victims of domestic violence & foster children.

What Are The Needs Of The Community?

What Are The Statistics of Travis County?

64%

45%

64%

Travis County Measured Outcomesbased on:

64.09% Gross $60,724-$72,819 (MMI) 44.62% Occupied Renters

64.09% Buying/ Rehab Need Age 25-64 Avg. Home Price: $375,000+/-

Qualified Purchase Amount: *$218,457 (Need Financing for Affordable Homes)

Lack of education tools, teachers, and technical training. ~ BACI will be providing.

Lack of clients to serve due to high unemployment rates as a result of industry closings. ~ EAF will be providing.

Lack of community support. ~ Cluster grant brings all five non-profit organizations, eight preferred vendors, the BACI, and the financial institution together to create community.

Lack of training facilities. ~ BACI will serve as the technical assistance training facility for Travis County.

Lack of service providers. ~ BACI will certify each non-profit organization through the “Train The Trainer” sessions prior to funding their projects to ensure service support.

Lack of funding. ~ BACI will partner with financial institutions to distribute funds.

Addressing Top Issues Facing Community Needs

Education Core Skill Set Implementation Plan

• Technical Training Support

• Certified Life Coaching Sessions

•Certified Skills Training

• Mental Health Assessments

Basic Core

CycleValue

A recent Gallup poll found thatout of 25 million employeesworldwide, only 13% feel engagedby their jobs. In the U.S. needingcommunity developmentservices.

70% of workers areemotionally disconnectedfrom their work places,indicated by this ratio ofengaged versus disengagedemployees is roughly 2-1.

Licensed Professional Counselors

756 Certified Soft Skills Modules

Technical AssistanceGrant Mgmt.

Staff Certified Life CoachesSensitivity

Training

Program Overview For CRA Improvement

BANKBank Funds Projects

NPOJob Training

NPOFinancial Literacy

NPOHome Education

NPOAffordable Housing

BACIBACI Manages NPOs

CRA guidelines are met per census tract because each area has a designated NPO

serving a specific CRA area aiding improvement with internal risk reducers.

Expected Measured Milestones For Resulted OutcomesFirst NPO Cluster

Group A:

Educate/ Employ 150 LMI Youth

in Memphis. TN

Group C:

Educate A/H for 120 LMI Renters & House 45 in

Houston, Texas

Group E:

70 AH & 10 Transition Homes in Houston, Texas

Group D:

Job Training for 60>$42k

In Houston, Texas

Group B:

Educate 200 LMI

At-Risk Youth in Memphis, TN

Serving 699 Residents of Travis Counties

while meeting all CRA goals.

Educating 165 ClientsCertifying 54 Staff /Volunteers

Housing 170 * Employing 60Serving 449 Adults 250 Youth

Educating 165 ClientsCertifying 54 Staff /VolunteersHousing 170 * Employing 60

Serving 449 Adults 250 Youth

Benefits Of The Business Assistance Center, Inc.

CRA BENEFITS

• Added Client Base

• Specific Census Tract

Targeted Funding

• Pinpoint NPOs

• Exclusive Rights

Creating Community

• Monthly Outcomes

• Watch Lives Change

Giving Financial Institutions the ability to watch their investment at work throughout the community on a quarterly basis while immediately improving

community reinvestment act scores through serving the underserved very low and low to moderate income minorities of Travis Counties.

The Business Assistance Center, Inc. Non-Profit Organization Funding Guidelines

NPO Grant Invoice

Submitted to BACI.

President reviews,

validates, approves.

Funds transferred/

payments disbursed.

• Complete Client Intake Form • Submit certification of

formation, articles of incorporation, bylaws, board of directors, operating budget, areas served.

• Review programs to include: soft skills, life skills, life coaching, mental health assessments, financial, home education, job, college, career readiness training.

• Each NPO must adapt budget item detail & invoicing system. provided by BACI.

Each NPO serving 699 Adults,

Fosters & Youth

CRA Grants will Create 60 Jobs in

Travis County

Educating 32 Staff, 22

Volunteers

BACI Fiscal Agent, Grant Mgmt.,

Program Mgmt.

Building 70-AH 10-Transition

Homes

Serving 250 Youth in Travis County

The Business Assistance Center, Inc. Funding Disbursements: 699 Total Served Per Year

CRA NPO Grant Funding Will Assistance Five Non-Profit Organizations to Provide Adult / Youth Education, Job

Training, and Affordable Housing with your help!

165 Renters* Educated in Travis

County

45 New AH Travis County Loans* from $200,000-

$400,000

Avg. Home Sale $300k x 45 Homes $13,500,000.00 in New Home Loans*

25 Down Payment Assistance Grants

resulting in 25 New Purchases

Avg. Home Sale $150k x 25 Homes $3,750,000.00 in

New Home Loans*

Community DevelopmentOverall Measured Outcomes

Grant Request $2,400,000.00 with a rate of return of $17,250,000.00.

*Per class graduation based on one class.

Statistics are recorded for each education session conducted.

Educating 160 ClientsCertifying 32 Staffers

& 22 VolunteersHousing 170

Employing 60Serving 449Adults &

250 Youth

Cost Per Analysis, Banking Immediate Benefits, Community Connections

Cost Per CRA Client Served

• $3,014 (PP) Training Ct.

• $5,750 (PP) Housing Ct.

• $757.57 (PP) Education Ct.

Banking Benefits

• 50-200 New Accounts

• Vendor/ NPO Accounts

• Consumer Accounts

Community Connections

• PR/ Media Coverage

• Immediate Impact

• Instant Relationships

Training opportunity cost is average based on the Texas Workforce Commission retraining/ rehabilitationcosts. The housing costs are higher due to the 10 transition homes serving 100 displaced domestic violencevictims. The home, college, and financial literacy education costs are the lowest costs with the highest impact.

Scenarios for Increasing Community Development Lending

New Loan Scenario 1:

Low Cost Education Loans

Section 228.21 (e)*

New Loan Scenario 3:

Consumer Secured Loans

Section 228.12 (j)(4)*

New Account Scenario 5:

Lending by a Consortium

Section 228.22 (d)*

New Account Scenario 4:

Consumer Credit Cards

Section 228.12 (j)(2)*

New Loan Scenario 2:

Minority Business Loans

Section 228.21 (f)*

Serving 699 Residents of while

increasing CDL LMI

outcomes.

New Accounts that community

development lending bring would

increase LMI area lending by 95% by

lowering the minimum credit score to 580 and requiring taking financial literacy, effective renters,

and/ or home education classes to ALL that are turned down or apply with

scores below the threshold of 680.

This will aid in raising education,

awareness, and credit scores while staying consistent

with safe and sound operations.

“Banks are permitted and encouraged to develop and apply

flexible underwriting standards for loans

that benefit LMI geographies or

individuals, only if consistent with safe

and sound operations.”Section 228.21 (d)

p.29**Guide to CRA Data Collection &

Reporting

1. $500 Secured CD Loans2. $200 Secured Loans3. $300 Secured Credit Cards4. $1,000 Bus. Line of Credit5. $5,000 Secured Auto Loans6. 3rd Party Lending Relations7. 3rd Party Mortgage

Relations