proposal to build financial stability metrics for the united way

The Markets and Information Nexus (MAIN)an applied study center at PERC

Unleashing the Power of Information

Financial Stability Metrics: When Making a Difference Counts

The United Way Financial Stability Program

Presentation for the Annie E. Casey Foundation

January 7, 2008

Why are we here?

Shared Objectives: Facilitating Asset Building and Wealth Creation Equitable and Sustainable Economic Development

Shared Approaches: Outcomes Driven Programs Commitment to Measurable Results Creative Solutions

Shared Constituents: Thin- and No-File, Unbanked, and Credit Underserved Disadvantaged and Low Income Entrepreneurs and Small

Business Owners

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Problem: how to quantify the real effect of financial stability and development projects on people and places

What are appropriate measures? What is the appropriate time-frame? What are the relevant benchmarks and control groups?

(how many variables can be taken account of?)

The Need

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Evaluate the impact of United Way financial stability programs in 3 Locals (Forsythe County, Central Ohio, and Central Indiana):

Track the changes in the credit and financial profiles of participants

Benchmark performance against randomly selected individuals who are geographically and socio-demographically “close”—and to the extent that some who apply don’t join the program, serve as randomized trials (akin to procedures suggested by Poverty Action Lab)

Proposed Solution

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Developing metrics for evaluation financial stability projects (with United Way):

Enable the specification of outcomes through data comparisons with control groups;

Allow for a more accurate identification of individuals in need;

Permit faster and more accurate monitoring of progress in financial stability projects;

Helps allocate resources better; Provide mid-project assessments of any need for additional

interventions; and, Identify differential program impacts on varying socio-

demographic segments, better target clients.

How this Helps United Way Locals

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In short, a successful dashboard will result in better quality service for more people in United Way communities.

How this helps UW Locals?

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Project Approach

Proposal Modifications

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April 08 January 09

Timing Unified two-year project

Two-phased, two-year project with pilot phase (8 months) & implementation (16 months)

PERC Partners

TransUnion TransUnion & Social Compact

Participating United Ways

Forsyth County, Miami Dade, Palm Beach,Chicago, Brownsville, and Central Ohio.

Addition of Central Indiana

Request for Support

Project Cost: $320,000

United Way Contributions $ 75,000 Other Funding Potential $ 95,000 AECF Request: $150,000 Also in discussions with Mott Foundation,

Progress Energy Foundation, and Z. Smith Reynolds Foundation.

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