Slide 1 PCDC – a Healthcare CDFI Financial Innovation Roundtable Tom Manning, PCDC Washington, DC - March 2014

Slide 2 PCDC Background Nonprofit CDFI formed in 1993 Mission – Similar to that of FQHCs: – To expand and transform primary care in underserved communities to improve health outcomes, lower health costs and reduce disparities. Nearly $500 million invested in 100+ primary care projects in LICs serving over 700,000 individuals 4,600 jobs created/retained in low-income communities.

Slide 3 What’s Behind a Health Center Project Project: Replacement for Addabbo Health Center; Queens, NY Services closely linked to nearby public housing Success of project has helped Addabbo build from 1 site to 5; 12,000 patients to 50,000; become financially strong. PCDC Loans:  $1.4 million - Pre-Construction Loan  $3.6 million - Subord. Const. Loan  $3.9 million - 15-yr. Fixed Loan Other Sources:  $1.5 million - HOPE VI  $6.5 million - Other State, Fed, Local  $3.9 million – Bank Senior Const. Loan  $250,000 – Private Foundations

Slide 4 Building to Save At-Risk Services Created in response to hospital closing Provides medical, dental, mental health care to 30,000 patients Includes medical & dental residencies, training new doctors for HPSAs & MUAs Services & residencies linked to local schools, housing & social service agencies Financing included $30 million NMTC credits; bridge loans to grants; $8.7 million in NMTC equity

Slide 5 What’s Next? $130MM national fund – Collaborative for Healthy Communities Expansion Without Construction – Operational improvements to improve efficiency, expand services in existing footprint – Triggers capital need to finance growth Pay For Success Financing – PCDC selected by NYS to finance $10MM diabetes prevention initiative – Non-medical intervention to maintain health

Slide 6 Tom Manning Managing Director, Capital Investment