It would be nice to see this in North Minneapolis as well.

Faith in the City, a coalition of seven Twin Cities Lutheran 
organizations, has received two grants totaling $1.4 million 
for an innovative program that will help low-income workers in 
Minneapolis' Phillips neighborhood save for appreciable assets. 
The new funding includes $705,882 from Thrivent Financial for 
Lutherans and $705,882 from the U.S. Department of Health and 
Human Services, Office of Community Services

Through the grants, Faith in the City will establish 
"Phillips Saves," a program to help low-to-moderate income families 
develop and grow Individual Development Accounts (IDAs). IDAs are 
matched savings accounts that enable families to save for assets 
that appreciate, such as a first home, post-secondary education 
or a business. For every dollar saved by a qualifying Phillips 
Saves participant, two dollars will be matched ($1 from the 
federal government and $1 from Thrivent Financial) when the 
participant reaches his or her individual savings goal, subject 
to program limitations.

Phillips Saves will be administered by Lutheran Social Service 
(LSS) of Minnesota at its 2414 Park Ave. office in Minneapolis 
for Faith in the City - a partnership that includes Augsburg College, 
Augsburg Fortress Publishers, Central Lutheran Church, 
Fairview Health Services, Luther Seminary, LSS and 
Thrivent Financial. Phillips Saves will open in January 2005.

"The IDA program is an important tool to help low-income citizens 
build a financial base for a stronger future," said Wade F. Horn, Ph.D.,
 Assistant Secretary for Children and Families, 
U.S Department of Health and Human Services. "While government 
can help, it can't do it alone. I commend Lutheran Social Service 
of Minnesota and Faith in the City for their good work as well as 
Thrivent Financial for putting financial resources toward making 
sure this program in the Phillips neighborhood is a success."

Accompanying the matched savings element of IDA programs 
are mandatory financial education classes that help participants 
understand budgeting and money management, credit card debt and 
earned income tax credits. This training will be provided by a 
consortium of financial experts and professional educators, and 
reinforced through mentoring relationships.

"As faith-based Lutheran organizations, the members of 
Faith in the City are committed to serving as a catalyst to bring 
together people, resources and organizations to benefit our 
community," said Jeri Nelsen, executive director of Faith in 
the City. "Phillips Saves is the result of this strong collaboration."

For Thrivent Financial, Phillips Saves also represents the 
first of what could grow to become multiple Lutheran-based 
initiatives across the country connecting Lutheran congregations, 
Lutheran social service agencies and Thrivent''s member 
volunteers to help the working poor.

"Lutherans have a long tradition of reaching out those in need," 
said Bruce Nicholson, Thrivent Financial president and CEO. 
"This IDA effort marks a new way for Thrivent Financial to 
engage Lutherans nationwide in helping low-income families 
achieve financial stability through basic money management 
and savings skills."

IDAs were first funded by the federal government in 1999 
through the Assets for Independence Act, which enjoyed broad 
bipartisan support in Congress. The U.S. Department of Health 
and Human Service, Office of Community Service, was given the 
task of administering the five-year, $125 million program.

The funding followed evaluation of a project overseen by the 
Corporation for Enterprise Development called the American 
Dream Demonstration Project (1997-2001). This project proved 
that if given a savings incentive, low-income workers would 
save. The research further suggested that for each federal 
dollar invested in IDAs, five dollars were returned to the 
national economy in the form of new businesses, addition
al 
earnings, new and rehabilitated homes, reduced welfare 
expenditures, and human capital associated with greater 
educational attainment.

Program Eligibility & Requirements

Phillips Saves targets individuals and families who have 
earned income at or below 200 percent of federal poverty 
guidelines, who have a net worth below $10,000 (excluding 
residence or car), and who reside in Minneapolis' 
Phillips neighborhood.

To enroll in Phillips Saves, potential participants must 
meet one-on-one with program staff and volunteer mentors 
to discuss eligibility guidelines, program requirements, 
savings goals, ability to save, and use of savings. Final 
selection for program participation will be based on factors 
related to the participants' likelihood of success along 
with criteria such as savings potential, credit score, 
orientation toward goal achievement, and place of residency 
among others.

Upon acceptance into Phillips Saves, participants will be 
assigned a mentor to develop a budget, which will determine 
the participant's monthly savings goal. Phillips Saves 
participants who reach their maximum savings potential will 
save $2,000 and be matched $4,000 over the course of a 
40-month savings period. The savings program will be implemented 
in waves, beginning in Jan. 2005 and ending Dec. 31, 2009.

"Phillips Saves is based on both empowerment and accountability," 
said Nelson. "This program isn't about handouts; it's about 
offering low-income workers the opportunity to improve their 
lives through resources, encouragement and discipline. It's a 
sure formula for long-term success, and Faith in the City is 
delighted to be working with the U.S. Department of Health and 
Human Services, Mayor Rybak (of Minneapolis) and others to 
bring this wonderful program to Phillips neighborhood residents."

http://www.mcf.org/MCF/whatsnew/briefs/thrivent041207.htm

Posted by Shawn Lewis, Field Neighbhorhood



-- 
___________________________________________________________
Sign-up for Ads Free at Mail.com
http://promo.mail.com/adsfreejump.htm

REMINDERS:
1. Think a member has violated the rules? Email the list manager at [EMAIL 
PROTECTED] before continuing it on the list.
2. Don't feed the troll! Ignore obvious flame-bait.

For state and national discussions see: http://e-democracy.org/discuss.html
For external forums, see: http://e-democracy.org/mninteract
________________________________

Minneapolis Issues Forum - A City-focused Civic Discussion - Mn E-Democracy
Post messages to: mailto:[EMAIL PROTECTED]
Subscribe, Un-subscribe, etc. at: http://e-democracy.org/mpls

Reply via email to