Prince William Area Financial Education Program Joe Botta January 18, 2007 The Agent as CEO

2 “Know Thyself” CEO Continuum Weak Strong

3 Earn Credentials u HUD Certified Housing Counseling Agency u Virginia Housing Development Authority Certified Training Agency u Association for Financial Counseling and Planning Education (AFCPE) –Accredited Financial Counselors –Certified Housing Counselors u Virginia Assn of Housing Counselors Certified Counselor

4 Cooperative Extension Prince William Office Know How You Fit Board of County Supervisors/ County Executive Extension Leadership Council CSREES – U.S. Dept of Agriculture VA Tech & VA State “Cooperative State Research, Education, & Extension Service”

Write Your Mission Statement To educate clients on personal financial management skills so that they will: – avoid financial problems, –live within their means, – maintain stable housing –and provide for themselves through retirement; and to support and counsel clients in financial trouble so that they will take the necessary actions to achieve financial stability. “Prevention & Intervention”

6 Financial Management From Cradle to Grave… Start

7 What Are You Selling? u We Deliver –Counseling & education on most any housing or personal finance topic –Quality services with a proven track record –University level knowledge based on research –A program that can be replicated elsewhere u We Seek –To provide financial literacy and housing education & counseling –To obtain multi-year funding support from continuing partnerships We sell wealth building.

8 Why Are Why Are You Selling It? u Situation Analysis u County Comprehensive Plan u Driven by funding source

9 Three Full Time Staff ­ (one bilingual) Two Part Time Staff Federal, State & Local Funding …and over 50 volunteers (some bilingual) What Do You Have to Work With?

10 Have “Friends” u PWC Office of Housing u U.S. Department of HUD u Manassas Housing Trust Fund u Prince William Police & Fire Departments u Freddie Mac u Prince William County Public Schools u U.S. Internal Revenue Service u Department of Social Services u Non Profits & For Profits

11 Sources of Funds MHTF 3% 11% PWC 35% (Fees.4%) Housing 65% Personal Finance 35% Total $268,329 PWC Housing 42% Freddie Mac 9% HUD

12 Results u 420 Families u 145 Workshops – 1,767 Participants u “79” Volunteers & 1,401 Volunteer Hours Outputs Outcomes u 30% Buy Home Within One Year (48 of 161) u 100% of Mortgage Default Don’t go to Foreclosure (67 of 67) u 84% Report Adopting Sound Spending Plan u 91% Report Maintaining Economic Stability

13 Use Charts & Graphs Completing Financial Assessment Note – Assessments reflect # of families Don’t Lose Home to Foreclosure

14 Look Ahead for New Opportunities u Predatory Lending –PWC interest »9 Pay Day lenders with 22 offices in the Prince William/Manassas area –Potential for HUD funding u Reverse Mortgages –Increase in aging population u Mortgage Defaults –Housing market changes u Free Tax Prep

15 An Approach to “CEO-ness”