Module III: Creating a Strategic Financing Plan Cheri Hayes Consultant to Nebraska Lifespan Respite Statewide Sustainability Workshop June 23-24, 2015 © 2011 The Finance Project. Used under license.

Module III: Creating a Strategic Financing Plan  Goals To identify the range of fiscal resources needed to achieve your sustainability goals for your afterschool program, and To develop strategies to access those sources  Tools: Fiscal Worksheets © 2011 The Finance Project. Used under license.

Developing a Strategic Financing Plan 1. Clarify “Financing for What?” 2. Estimate Fiscal Needs 3. Map Current Funding 4. Assess Gaps 5. Identify Funding Sources and Financing Strategies © 2011 The Finance Project. Used under license.

Strategic Financing Steps and Tools © 2011 The Finance Project. Used under license. StepTool or Activity 1Clarify “Financing for What?” Module II, Step 4 – Scale and Scope 2Estimate Fiscal NeedsCost estimation exercise 3Map Current Funding Module III, Worksheet 2 - Identify Current Resources 4Assess Gaps Module III, Worksheet 3 - Assess Your Funding Gaps 5 Identify Funding Sources and Financing Strategies Revenue planning exercise

1. Clarifying “Financing for What?” Information needed:  Scope of supports and services (e.g. population, geographic area, types of Lifespan Respite information resources and services, quality standard)  Scale of supports and services (number of family caregivers served, number of local organizations and agencies participating as partners)  Ramp-up Assumptions (if you are expanding, over what period of time? With what benchmarks?) © 2011 The Finance Project. Used under license.

1. Clarifying “Financing for What? - Example © 2011 The Finance Project. Used under license. (1) Strategies and activities that you want to sustain (2) What scale are we aiming to sustain? (for example: number of local agencies/organizations gathering data on respite needs and available information resources and services) (3) Over what time do we want to sustain? Year 1Year 2Year 3 Improve/strengthen local data collection 10% increase over FY 2015 baseline 10% increase over FY 2016 level 10 % increase over FY2017 level Continue expansion for five years, then stabilize Program Administration/Coordinatio n (Site Coordinator).25 staff.5 staff.75 staffGrow based on need Technology1 computer 2 computersGrow based on need Data and Evaluation Build on state level pilot and AoA evaluation requirements Continue development of data collection and analysis tools ContinueOngoing

2. Estimating Fiscal Needs Information needed:  Program costs: both start-up and ongoing operating costs  Infrastructure costs  Ramp-up assumptions: how are costs distributed  By strategy/activity; by local Network; by partner organizations and agencies © 2011 The Finance Project. Used under license.

2. Cost Estimates - Example Year 1Year 2Year 3Assumptions Example: Local Lifespan Respite Network Functions $150,000$200,000$250,000 Partnership development Data collection/analysis Outreach to culturally diverse families Program/service coordination Recruitment of volunteer respite providers Training and technical assistance Materials development and distribution Administration and management

3. Map Current Funding Information needed:  What are current sources of funding (both cash and in-kind)?  How are these funds used?  Are they restricted?  Over what timeframe are they available?  How stable and reliable are these sources?  By strategy/activity; by partner organization/agency; by fiscal year; by functional line item, if applicable © 2011 The Finance Project. Used under license.

3. Identify Current Resources – Example Strategies/Activities Source of Funding/ In-Kind Contributions Amount Restrictions on Uses of Funds Expected Timeframe Funding is Available Improve/develop Local Lifespan Respite Network infrastructure AoA grant to Nebraska State appropriation Available for all core planning, coordination, partnership development, information/outreach, data collection/analysis and management activities of local networks Years 1-3 Early Childhood Family Caregiver Support NE Maternal, Infant and Early Childhood Home Visiting Program Private foundation $50,000 Earmarked for home visitors Through year two.

4. Assess the Spending Gaps Information needed:  What’s the gap between current spending and projected fiscal needs? By strategy/activity By partner organization By line item By fiscal year © 2011 The Finance Project. Used under license.

5. Identify Funding Sources Suggested process:  Clarify what you need and when  Review current funding mix  Get more information about funding sources  Determine what funding sources are most appropriate © 2011 The Finance Project. Used under license.

Clarify What You Need; When  Based on gap analysis, review short- term and long-term needs  Differentiate between one-time fiscal needs (start-up, capital investments) and on-going operating needs  Match short-term needs to short- term strategies; long-term needs to longer-term strategies © 2011 The Finance Project. Used under license.

Review Current Funding Mix  How many funding sources?  Public vs. Private: What percentage, if any, is from private sector (over and above per pupil revenue)? What percentage of support comes from other public sources?  Stability: Percentage of support that is time-limited (1 to 3 years)  Reliability: Do you have any funding sources at risk of being cut or reduced? © 2011 The Finance Project. Used under license.

Get More Information about Potential Funding Sources  Core support sources – ongoing support or support specifically for your Local Lifespan Respite Network  Targeted sources – ongoing support for family members with specific disabilities or chronic conditions  Program component and time-limited funding (e.g. specific, targeted investments) © 2011 The Finance Project. Used under license.

Review Funding Sources and Determine Most Appropriate  Health and Human Services  Americorps  Disability  Aging  Early Childhood  Other Public/Tribal  Private © 2011 The Finance Project. Used under license.

Potential Funding Sources  Federal funding through the Administration on Aging, Maternal and Child Health, Part C Early Intervention Funds, Medicaid administrative claiming, Americorps volunteers  State-level program funding  Private foundations  Universities, civic groups, disability advocacy groups  Individual contributions/community fundraising  Business income © 2011 The Finance Project. Used under license.

Brainstorm  Are there other disability and health funding sources that you know of that might provide support for your school?  Who are the decision makers who administer child and adult disability and funding in your community?  How can you engage them in supporting your local respite information and program services? © 2011 The Finance Project. Used under license.

Brainstorm  Consider the private resource options discussed and identify those that you think hold the most potential for supporting your Lifespan Respite program?  Who would you need to engage to access these sources?  How can you engage them in supporting your outreach, information and direct services programs? © 2011 The Finance Project. Used under license.

Exercise 5: Revenue Planning © 2011 The Finance Project. Used under license. Program Name 3. Type of Program 4. Source of Funding 5. Average Grant Size 6. Eligibility Require- ments 8. Funding History 11. Does it help diversify funding mix? 12. Ability to leverage other funds? 13. Barriers to use? 15. Stability? 16. Aligned with school’s core mission? 17. Priority to access?

Tips for the Revenue Planning Process  Identify both short and long-term funding needs  Gather information from multiple sources  Don’t have to collect all program information to make a decision  Iterative process  Monitor and update the plan  Track grant applications  Stay updated on new funding opportunities © 2011 The Finance Project. Used under license.

Next Steps  Determine what information you need to collect  Determine what you can prepare ahead of time  Begin initial research  Identify other resources and support for this work © 2011 The Finance Project. Used under license.