Presentation Transcript

1. Living Cities: Reinventing Philanthropy to Serve Poor Communities

   Prof. Avis C. Vidal Humanities Center Seminar October 1, 2013
2. Evolution of Living Cities 1991 – 2001 - National Community Development Initiative 2001-2007 - Living Cities: The National Community Development Initiative 2007 - present - Living Cities
3. Context: The Urban Crisis Inner-city housing abandonment rampant in 1970s Community development corporations (CDCs) form to respond High-profile issue in Presidential campaign of 1980 ~1980 – National Community Development Intermediaries founded: Local Initiatives Support Corporation (LISC) The Enterprise Foundation NeighborWorks
4. Context: the 1980s Intermediaries successful CDC Movement Grows Number of CDCs grows sharply Some CDCs very successful – ‘housing first’ Most CDCs too small for neighborhood-level impact  Field remains unrecognized Rockefeller Foundation: “Take CDC movement to scale”
5. NCDI – Round I 7 philanthropic & corporate funders $62.5 M for 1st three years (Goal: 10 years) Virtual organization Funder CEOs are the virtual Board Commitment to collaborative decision-making Oversight by one consultant (later with a Deputy) as ‘Secretary’ Administered by LISC and Enterprise in 20 cities (later 23)
6. Key Strategic Tasks Attract new capital by attracting new partners All sectors  grants and loans National and local Goal: $250 M over 10 years Refine program scope – participating cities have different needs, priorities, and capacities Build capacity of CDCs Build local systems of support
7. Attract Capital and Partners HUD becomes partner (Section 4 - 1993) National partnership grows: 11 foundations + 6 major financial institutions Total funds committed: $253.7M Leverages $2.23B in CDC real estate development projects Parallel growth at local level  Match for NCDI funds Key players at table to build support systems
8. Refine Program Scope Tailor program focus to meet local needs Neighborhood needs CDC capacity Funder tolerance for risk Gradually broaden support to include new CDC activities – locally driven Affordable home ownership Commercial and industrial real estate Community facilities
9. Build CDC Capacity Four strategies Core operating support programs Formal capacity building programs Improved training programs Greater role for local or state CDC associations Significant capacity gains Housing production increases sharply Number of consistent producers more than doubles Many CDCs broaden scope of neighborhood work National standards of practice widely adopted CDCs’ reputation improves locally
10. Build Local Systems of Support Key problem: financing of affordable housing complex; need many funding sources Basic strategy Local funders make decisions (programs & projects) Deepened understanding of the work Gradually developed relationships of mutual trust NCDI covered riskiest parts of projects Systems outcome (uneven across cities): Private capital more available for CDC housing; productions systems streamlined; new support systems for non-housing activities
11. Assessment of National Partners CDCs, supported by intermediaries, provide platform for comprehensive neighborhood improvement Local systems of support critical Collaboration among funders more capital, strategic deployment  greater impact  platform to try new approaches Surprise decision: extend program, formalize organization
12. Living Cities: The National Community Development Initiative Small staff led by formed Deputy Secretary Funder board, committee structure to give funders leadership roles (“member driven”) 3-year funding cycle continues Broader goals Improve lives of people in distressed neighborhoods Connect urban neighborhoods to regional economy Better use of information technology Shape public policy
13. The Cities Program Structure from NCDI continues Momentum continues to build Funding to intermediaries continues to rise – both grants and loans Loans an increasing share of total funds “NCDI” share of total development costs falls Volume of real estate development stimulated increases dramatically, becomes more diverse Agenda still driven by intermediaries
14. New Agenda Pilot Cities Initiative – 4 Cities Local funders design strategies to align resources (following national LC model) for comprehensive revitalization of neighborhoods No cross-cutting themes  no lessons Urban Markets Initiative - Close the urban information gap Better data on urban assets to simulate investment Neighborhood data available to CDCs, especially GIS Policy Advisor
15. Assessment of National Partners Platform created by collaboration not living up to its potential Cities Program Proven record of success No new opportunities to test approaches to systems change Not member driven Major restructuring to support more ambitious agenda needed
16. Living Cities Broader Mission Strengthen neighborhoods by Strengthening their cities Changing public and private systems that create and sustain concentrated poverty Build knowledge Program development and evaluation/research Broad, transparent dissemination of information Develop leadership New leadership, larger staff New board structure – include members’ staff on committees and working groups
17. Broad Programming Catalytic Capital (Private) Leadership & Influence (Public) Research & Development Green Economy Transit Oriented Development Asset Building Education The Integration Initiative
18. The Integration Initiative Ambitious 10-year, 5-city intervention Build new civic infrastructure: “One table” collaborative leadership Combines targeted neighborhood initiatives with broad systems change Move beyond delivering programs to changing systems Mainstream disruptive innovations  ‘new normal’ Drive private market to serve low-income people $83M for first 3 years - $13.75M grants
19. Woodward Corridor Initiative Anchor Strategy (Live, Buy, Hire Local) New Housing & Real Estate Development Land Use Policies & Practices Education Business development and regulation Access to capital Capacity & Leadership Data & Evaluation