1. 1 Step Up Savannah Poverty is a business issue as much as it is a human issue…” –Eric R. Winger, President of Savannah Economic Development Authority and Step Up Leadership Board Member Step Up Savannah’s Poverty Reduction Initiative www.stepupsavannah.org

2. 2 Poverty Statistics In U.S. 15-17% live < Federal Poverty Level 2008 HHS Poverty Guidelines: Family of 4 earns $21,200/year or below Savannah 2000 Census: 22% in Poverty Savannah has 5 Census Tracts >50% Poverty 2002 Self-Sufficiency for Family of 4 in Chatham County, Georgia = $36,400 22% of adults in Georgia are uninsured 24% of Savannah adults do not have H.S. Federal Food Assistance: Family of 4 earns $26,856/year or less to qualify

3. 3 Step Up with Work Supports Savannah’s Economy Work Supports Support… Employees Business Local Economy BusinessEmployees

4. 4 Evolution of Work Phase I – Horizontal Work with Pilot Employers linking multiple benefits to business objectives Phase II – Vertical Choose largest areas of impact, ie childcare facility, advance tax loan, and develop fix Phase III - Sustainability

5. 5 Federally Funded Work Supports Tier 1:Food Stamps, EITC, Peach Care Health Insurance for Children Tier 2:Financial Education, Banking the Unbanked, Transportation Incentives, Dependent Care, Alternative Loan Products

6. 6 Pilot Businesses Hospitals:St. Joseph’s/Candler Memorial Health Hospitality:Westin Hyatt Government:City County Warehousing:IKEA Dollar Tree

7. 7 Estimated Cash Return to Employee Per MonthPer Year Food Stamps $125$1,500 EITC $125$1,500 Peach Care $100$1,200 Pay Access/Direct Deposit $ 67$ 800 Transportation Passes $100$1,200 TOTAL $517/month$6,200/year ●Assume $25K yearly salary ● $6,200 = +25% in disposable income

8. 8 Demographics of Pre-Intervention Participants # % Gender Male36549% Female36950% No Response 41% Total738- Marital Status Single32945% Married29240% Divorced578% Separated284% Widowed152% No Response172% Education Some High School10314% High School36249% Community College10114% College16422% Not Available 8 1% Household Characteristics – Pre-Intervention Participants All Surveyed ParticipantsAverage Number in Household2.9 Age of Youngest Child8.9 Yearly Household Income$34,465 Years with Employer7.2 Average HH Income Total Surveyed738$34,465 Screened for Eligibility 653 Total Ineligible309 Total Eligible344 Eligible - FS Only 82$17,057 Eligible –PC Only128$33,476 Eligible for Both126$21,406 Not Coded 8 Surveyed/Eligible/Household Income: July 2008

9. 9 End of Month Family Finances NumberPercent Some money left over.17827% Just enough money to make ends meet.27241% Not enough money to make ends meet.21833% Number of Responses668- Absences From Work in Past 3 Months Absences because of Transportation Problems NumberPercent Total Absences426 Car Unavailable4511% Car Not Working12429% Bus Did Not Come184% Ride Did Not Come328% Other379% Reason Not Specified17040% Absences because of Childcare Issues NumberPercent Total Absences335 Child sick and could not go to childcare19558% Childcare provider not available299% Other227% Reason Not Specified8927% SURVEY RESULTS July 2008

10. 10 BUSINESS INTERVIEWS Transportation and Child Care = Top Barriers to retaining Lower Wage Workers Using Existing Banking Relationships with Payroll Bankers and/or Credit Unions facilitates financial offerings more quickly. This extends to EAP.

11. 11 Highlights of Learnings Employers had no idea employees were going without food or choosing between food and utilities Reading skills are limiting Even when Dependent Health Insurance is offered, 58% surveyed do not have health insurance for their children Even after benefits’ eligibility has been determined, ½ the eligible pool do not apply, 1/3 are unreachable.

12. 12 Direct Deposit at Employers Piloted Bank Account Opening at 2008 Tax Prep Sites (35% of returns in 5 wks) Bundled Direct Deposit with Emergency Preparedness at Public Sector Employers Used Payroll Banker relationship to re- emphasize Direct Deposit at New Hire Orientation/Benefits Sign Up

13. 13 REFUND ANTICIPATION TAX LOAN Savings Account is Vehicle for Refund Deposit. Opened at tax sites. Tax Loan floats refund $ for approx. 7-10 an average of $25 of interest on a $2500. Refund available in 24-48 hrs. Pilot: 9 Days, 71 Loans, $230K of Loans $535/savings per person 70% of accounts remain open

14. 14 Financial Education Linked Energy Assistance Dollars with Basic Budgeting Offered Home Buying Workshop at Higher Paying Employer Modeling Financial Education series with Westin for hospitality employees: Budgeting, Credit Report/Repair, One on One Coaching, Predatory Lending

15. 15 DOWNTOWN CHILDCARE FACILITY Focus on supporting Shift workers Hyatt championing effort Budget and Start Up Costs determined Platform = Retention and Early Education and Quality Childcare Possible link with Savannah Rotaries’ Interest in Early Childhood Education

16. 16 Public Benefits Easy access to public benefits – Partnered with Dept Family & Children’s Services for On-Line App Ten employers offer screening for food stamps and children’s health insurance at new hire benefits sign up Ford Consultant working w/Step Up & DFCS on increasing # applications filed, reducing barriers

17. 17 NEXT Steps (1) Open Downtown Childcare Center for Shift Workers Increase access to Food Stamps & Children’s Health Insurance through Policy Change Conduct financial education classes including class/coaching combinations

18. 18 NEXT Steps( 2) Link employers with Bank On Savannah campaign Present inaugural Step Up Workplace Innovator Awards:Oct 2009 Annual Mtg Hold best practices forum with employers focused on lower wage workers

19. 19 Contact Info Daniel Dodd Step Up Savannah danieldodd@stepupsavannah.org 912-232-6747 www.stepupsavannah.org