Hawai'i Community Stabilization Initiative FINAL REPORT ( )

Hawai'i Community Stabilization Initiative FINAL REPORT (2009-2012) Hawai'i Community Foundation Omidyar Ohana Fund Kosasa Family Fund Stupski Family Fund Cooke Foundation Atherton Family Foundation Seto Foundation H.K.L. Castle Foundation McInerny Foundation American Savings Bank First Hawaiian Bank

Table of Contents Three-year Review (2010-2012) Cover Letter 1 Executive Summary 2 Overall Strategy & Approach 4 Funder Contribution Details 5 Grant Distribution Details 6 Initiative Highlights 8 Credit Counseling & Foreclosure Prevention 9 Emergency Housing 11 SNAP Outreach 13 Volunteer Income Tax Assistance 15 Healthcare 17 Loan Programs 19 Asset Building 20 Public Awareness (2-1-1) 21 Office on Homelessness 21 HPHA Neighborhood Choice Initiative Grant 22 Other Infrastructure Grants 22 Looking Forward 23 Hawai'i Community Stabilization Initiative Final Report (2009-2012)

2009-2012: HCSI Final Report February 2013 Aloha HCSI funders, Mahalo for your participation in the Hawai'i Community Stabilization Initiative (HCSI) funder collaborative. When this initiative began in late 2009, Hawai'i was in the midst of the worst economic recession in recent history. Three years later, Hawai'i s economic climate is improving and HCSI has successfully leveraged millions of dollars in public resources for our local community. This final report provides a comprehensive summary of HCSI, including the following: Overview of HCSI strategy and overall approach Summary of funder contributions and grant distributions between 2010-2012 Highlights of HCSI Goals, strategies, outcomes and grantee progress for each focus area (i.e. Immediate Support, Building the Future, Infrastructure) Challenges & lessons learned HCSI not only provided direct support to thousands of local families, but also fostered the development of new collaborations and networks of nonprofit service providers. In addition, HCSI identified gaps in Hawai'i s current system of human services and shone a spotlight on opportunities for more long-term systemic change. The accomplishments of the past three years would not have been possible without the support and contribution of each member of the HCSI funder collaborative. Mahalo again for your contribution and participation. Kelvin Taketa Chris van Bergeijk Susan Jackson Hawai'i Community Stabilization Initiative Final Report (2009-2012) Page 1

Executive Summary Overview of the Hawai'i Community Stabilization Initiative The Hawai'i Community Stabilization Initiative (HCSI) was a three-year, collaborative effort of 12 diverse funders to stabilize communities in Hawai i following the onset of the recession. HCSI distributed $4.2 million to 30 nonprofit and government organizations throughout the state of Hawai'i between 2010-2012, with the majority of funds (86%) directed to provide immediate support for families impacted by the economy. While the primary focus of HCSI was on providing for immediate needs, grants were also provided to support the longer term stability of families through loans and asset building approaches, as well as to raise public awareness of the initiative and lay the groundwork for longer-term program and policy changes. HCSI completed its third and final year of grantmaking on December 31, 2012. A Collaborative Funding Approach By pooling multiple resources, the funder collaborative enabled funders to achieve far more than any one funder could achieve alone, and streamlined access to funding for nonprofit organizations seeking financial support. The HCSI funder collaborative included the Omidyar Ohana Fund, Hawai'i Community Foundation (HCF), Kosasa Family Fund, Stupski Family Fund, Cooke Foundation, Atherton Family Foundation, Seto Foundation, Harold K.L. Castle Foundation, McInerny Foundation, American Savings Bank, First Hawaiian Bank, and one anonymous funder. HCF was responsible for bringing together members of the funder collaborative, developing the initiative s overall strategic approach, and facilitating periodic meetings with funders. Three Guiding Principles Three principles guided the overall development and direction of the initiative: (1) Stabilize families impacted by the recession; (2) Support staff capacity to provide direct services at nonprofit organizations that have seen burgeoning demand; and (3) Leverage expanded capacity through the drawdown of underutilized public resources. A Direct Impact for Local Families HCSI grants resulted in direct support for over 35,000 families who received credit counseling, foreclosure prevention, emergency housing assistance and access to the Supplemental Nutrition Assistance Program (SNAP, i.e. food stamps ), Earned Income Tax Credit (EITC), Med-QUEST health insurance benefits, and low-interest loans for transportation. For many of these families, the support received from HCSI meant the difference between eviction and having a roof over their head or the difference between putting food on the table or going without. Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 2

Executive Summary continued Grants Leveraged Over $23 million for the Community Although HCSI dollars were limited, they were able to draw down a substantial amount of previously untapped public dollars, such as EITC, SNAP, and funding from the American Recovery & Reinvestment Act (ARRA). HCSI grants were used either as a match for Federal grants, or were used to increase the capacity of nonprofit organizations to increase access to benefits for families. The greatest dollar leverage was achieved for SNAP and EITC, with $10.75 million and $8.35 million being drawn down respectively between 2010-2012. Despite Successes, There Were Also Challenges Despite the successes of HCSI, the three years of the initiative were not without challenges. While HCSI strengthened many nonprofit providers, a handful continued to struggle despite the additional support. It was a challenge for HCSI to fund nonprofit organizations at the right level, where funding would be enough to meet the need, but not too much to grow an organization to an unsustainable level or to a point where HCSI funds would supplant other funding streams. In addition, while numbers served and dollars leveraged effectively demonstrated the reach of HCSI, the initiative lacked clear metrics to convey the actual impact of services for families. As HCSI comes to a close, these challenges are also key lessons that the funder collaborative can reflect upon for future initiatives. Looking Forward HCSI provided direct support and drew down millions of dollars in public support for Hawai'i families at a time when they needed it the most. The initiative also clearly demonstrated the power of partnership, that 12 funders together could achieve far more than any one funder could have achieved alone. Looking forward to the next three years, HCSI laid the groundwork for a new effort, Pathways to Resilient Communities, which will move beyond providing just immediate support and will pilot new, more effective models of human service delivery to improve long-term outcomes for Hawai'i families. Hawai'i Community Stabilization Initiative Final Report (2009-2012) Page 3

HCSI (2009-2012): Overall Strategy & Approach In 2009, Hawai'i was hit hard by a prolonged economic recession. Hawai'i ranked 15th in the nation in foreclosure rates and personal bankruptcies were at a four-year high. The demand for basic public benefits, such as SNAP and unemployment insurance claims were increasing at record rates. Federal monies from the ARRA were available, but many government and nonprofit agencies experienced difficulties in accessing these funds. It was in response to these factors that 12 local funders agreed to join together to pool resources to support services for struggling working families. Three Core Principles The strategy for HCSI was guided by three core principles: Stabilize working families impacted by the recession; Support nonprofit organizations to expand direct services to meet increasing demand, especially among individuals/families unfamiliar with processes and requirements of government programs; and Leverage underutilized public resources (e.g. SNAP, EITC and ARRA fund) Three Focus Areas Between 2009-2012, over $4.2 million in grants were awarded through HCSI in three focus areas: Immediate Support to help families access benefits and financial stability (e.g. SNAP, emergency housing, tax assistance, credit repair and foreclosure prevention) Building the Future to support longer-term stability of families through loan programs and asset building approaches; and Infrastructure to promote awareness of HCSI and lay the foundation for programs, policy changes, & activities to help families regain financial resilience. Misc 8% Healthcare 6% Taxes 14% Transportation 6% Child Care 17% Food 22% Housing 27% Specific Focus on Immediate Support The pie chart to the right represents the basic needs of a typical household of four in Hawaii. The majority (86%) of HCSI funds were directed to Immediate Support that met basic needs, such as Food (SNAP outreach), Housing (emergency housing assistance), Taxes (volunteer income tax assistance/eitc outreach), and healthcare (Med-Quest outreach). These areas were selected, in part, because there were opportunities to leverage additional federal and state resources for struggling families. Hawai'i Community Stabilization Initiative Final Report (2009-2012) Page 4

2009 2012: Funder Contributions HCSI s outcomes could not be achieved through one funder alone. The initiative was the collective effort of 12 funders, who came together around a common desire to give families in need a promising future. This pooling of resources not only enabled funders to achieve far more together than any could alone, but streamlined access to funds for nonprofit organizations that provided direct support. Funder Contributions 2009-10 2011 2012 Total Hawai'i Community Foundation Omidyar Ohana Fund 750,000 750,000 750,000 2,250,000 Kosasa Family Fund 100,000 100,000 100,000 300,000 Stupski Family Fund 66,667 66,666 66,667 200,000 Discretionary 100,000 100,000 100,000 300,000 Cooke Foundation 33,333 33,334 33,333 100,000 Atherton Family Foundation 100,000 100,000 100,000 300,000 Seto Foundation 10,000 10,000 10,000 30,000 H.K.L. Castle Foundation 100,000 200,000 200,000 500,000 McInerny Foundation 100,000 100,000 100,000 300,000 American Savings Bank 34,000 33,000 33,000 100,000 First Hawaiian Bank 50,000 50,000 50,000 150,000 Anonymous 100,000 - - 100,000 TOTAL 1,544,000 1,543,000 1,543,000 4,630,000 Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 5

2009-2012: Grant Distribution Details Over $4.2 million in grants were distributed between 2009-2012. The majority of grants (86%) were directed for immediate support efforts, primarily for credit counseling and foreclosure prevention (34%) and emergency housing (18%). As of January 2013, there was an unspent balance of $421,450 in contributions for HCSI. Grant Distributions 2009-10 2011 2012 Total Immediate Support 1,174,369 1,210,268 1,247,000 3,631,637 Building the Future 58,440 10,000 25,000 93,440 Infrastructure 152,873 216,750 113,850 483,473 TOTAL 1,385,682 1,437,018 1,385,850 4,208,550 Carryover 158,318 105,982 - UNSPENT BALANCE $421,450 Distribution by FOCUS AREA Immediate Support Credit/Foreclosure $ 1,428,750 SNAP $ 670,937 Emergency Housing $ 750,000 VITA $ 469,950 Healthcare $ 312,000 Building the Future Asset Building $ 43,440 Loan Programs $ 50,000 Infrastructure Network Building $ 108,250 Public Awareness $ 207,373 Policy $ 144,000 Other $ 23,850 TOTAL $ 4,208,550 8% 1% 1%3% 34% 5% 3% 1% 16% 18% 11% Distribution by GEOGRAPHY Statewide $ 2,325,113 Hawai'i County $ 746,812 City & County of Honolulu $ 643,426 Maui County $ 352,895 Kauai County $ 140,304 TOTAL $ 4,208,550 15% 18% 8% 3% 55% Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 6

Distribution by Organization Amount Distributed Aloha United Way $160,142 Bay Clinic $20,000 Catholic Charities Hawaii $200,000 Corporation for Enterprise Development $28,000 Child & Family Services $50,000 Community Clinic of Maui $20,000 Consumer Credit Counseling Services of Hawaii $725,000 Direct Spending on Media $47,231 Family Life Center $150,000 Hawai'i Alliance for Community-Based Economic Development $624,140 Hamakua Health Center $20,000 Hana Community Health Center $15,000 Hawai'i Homeownership Center $360,000 Hawai'i Primary Care Association $72,000 Helping Hands Hawai'i $348,426 Ho'ola Lāhui $20,000 Hope Services, Inc. $314,312 Institute for Human Services $150,000 Kalihi-Palama Health Center $20,000 Kauai Independent Food Bank $120,304 Kokua Kalihi Valley $30,000 Koolauloa Community Health & Wellness Center $10,000 Lanai Community Health Center $15,000 Legal Aid Society of Hawaii $343,750 Molokai Community Health Center $15,000 Salvation Army $137,895 State of Hawai'i (Department of Human Services) $116,500 State of Hawai'i (Hawai'i Public Housing Authority) $15,000 Waikiki Health Center $20,000 Waimanalo Health Center $15,000 Ward Research $5,850 West Hawai'i Community Health Center $20,000 $4,208,550 Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 7

Highlights of the Initiative Dollars Leveraged & Families Served HCSI increased access to a wide-range of services that provided for families basic needs, such as food, housing, and credit management. This increased access to services, as well as financial resources to support these services, assisted in restoring stability to Hawai'i following the onset of the recession. $23 million in public resources leveraged for local families. $8.35M $186K $4.1M Emergency Housing 35,000+ families received critical services, such as emergency housing, SNAP, tax assistance, credit counseling & foreclosure prevention, and low-interest loans. $10.74M SNAP EITC & Child Tax Credits Pathways to Work Loans Networks & Partnerships Beyond supporting the basic needs of local families, HCSI also fostered strong collaboration among nonprofit providers that helped to support and bolster organizational capacity for these organizations. Many of the collaborations that emerged from HCSI have continued even after HCSI grants have ended. The Ho owai wai Asset Building Network continues to bring dozens of organizations together from across the state to regularly share their work and collaborate on joint projects. The SNAP outreach grantees continue to participate in the statewide SNAP network. Grantees who provided foreclosure prevention services have also joined together to apply for new funding to ensure the sustainability of their programs following the end of HCSI. Overview of Specific Focus Areas The next few pages will provide highlights for each focus area of the initiative, including the rationale for support, specific goals and strategies, demonstration of leverage, and performance of grantee organizations. Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 8

FOCUS AREA: Immediate Support Credit Counseling & Foreclosure Prevention RATIONALE: Managing through a financial crisis can present daunting challenges for low-income families. Many families had never before needed assistance from government programs and struggled with navigating often confusing eligibility requirements. Unfortunately, the recession also spawned new credit and mortgage scams that targeted already vulnerable families and individuals. The need for reputable providers was more important than ever. GOAL: Help families avoid financial crises like bankruptcy and foreclosure and build good credit, financial habits, and a promising economic future. STRATEGY: Fund reputable, certified organizations who provide financial stabilizing services ranging from credit repair to foreclosure mitigation to bankruptcy prevention. LEVERAGE: $1.4 million in grants was provided for credit counseling and foreclosure prevention services. This equates to an average cost of approximately $165 in direct services per family. The total cost of services is actually greater for each family given each organization has other funding sources. AGGREGATE RESULTS: Grantees helped more than 8,600 families with direct services to avoid or climb out of financial crisis. An additional 8,900 have participated in workshops that provide education on healthy financial habits. SIGNIFICANT TRENDS: In mid-2011, there was a sharp decline in the number of families receiving direct services for credit counseling or foreclosure prevention. HCSI grantees attribute this decline to the passage of Act 48 in 2011, which made changes to Hawaii s foreclosure process. In response to Act 48, many lenders moved to exclusively utilize judicial foreclosures, which slowed the issue of notices to borrowers facing foreclosure. Because many homeowners do not seek assistance until such notification is received, families may not have felt the need to contact organizations for assistance. Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 9

Immediate Support Credit Counseling & Foreclosure Prevention Grantee Notes HCSI supported three organizations to provide credit counseling and foreclosure prevention. Approximately one-third of HCSI funds were deployed to support work in this area. HCSI grantees have continued to collaborate closely with each other, even after HCSI funding has ended. In fact, the following three organizations along with two other nonprofits (Hawai'i Community Assets and Hale Mahaolu) recently partnered and successfully applied for a $3 million, three-year grant from the Attorney General s office to continue their foreclosure prevention efforts statewide. Three year Results (2010 2012) Consumer Credit Counseling Hawai'i Homeownership Legal Aid Society of Hawaii Total Direct Services 6,869 1,243 552 8,655 Workshop Attendees 8,930 0 0 8,930 Consumer Credit Counseling Services of Hawai'i. CCCS is the only certified provider in Hawai'i of federally-mandated pre-bankruptcy counseling services. CCCS also provides foreclosure mitigation and debt management services. Of the three organizations funded in this area, CCCS served 79% of the families receiving grant -funded direct services. Hawai'i Homeownership Center. HHOC provides homebuyer education and counseling for first-time home buyers, as well as post-home buyer education to ensure that families can stay in their homes. HCSI funds supported foreclosure prevention efforts on Hawai'i Island due to the disproportionate rate of foreclosures in that community. The actual number of requests for foreclosure assistance were lower than projected by HHOC despite intensive outreach efforts. HHOC attributes the low rate of requests to recent changes in Hawai'i s foreclosure laws. Legal Aid Services of Hawai'i. Legal Aid is the largest nonprofit law firm in the state of Hawai'i. HCSI funds supported an additional attorney to handle bankruptcy and foreclosure cases, as well as a grants manager to oversee federal grants. Prior to the addition of the grants manager, Legal Aid attorneys were responsible for grant reporting, which impacted their ability to provide direct services to clients. Over the past three years, Legal Aid maximized its federal grants and reduced the time attorneys spent on administrative work and more than doubled the number of clients receiving bankruptcy/foreclosure assistance due to addition of the new attorney. Legal Aid has also restructured its staffing to increase efficiency and ensure the sustainability of new positions beyond HCSI funding. Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 10

FOCUS AREA: Immediate Support Emergency Housing RATIONALE: In Hawai'i, a family s largest expense is typically housing. For families who have experienced job loss or other hardships, it can be easy to fall behind on rent and difficult to recover. ARRA funds allocated $6.1M to the Homelessness Prevention and Rapid Re-housing Program (HPRP) to help families maintain stable housing. ARRA funds were time-sensitive and needed to be spent down by late 2011. GOAL: Expedite distribution of ARRA (as well as TANF and other sources) of rental assistance to families in need. STRATEGY: Fund organizations outreach, intake, and other staff responsible for providing funding to families. LEVERAGE: $750,000 in grants resulted in nearly $4.1M of housing assistance distributed. AGGREGATE RESULTS: Grantees have helped 3,400+ families draw down an average of $1,205 in back rent, security deposits, or first/last month rent payments. SIGNIFICANT TRENDS: Between 2010 and the first half of 2011, the number of approvals for emergency housing (EH) increased steadily as organizations worked to expend ARRA funds before the deadline. In the second half of 2011, approvals declined sharply as most organizations had then exhausted their ARRA funds. In 2012, HCSI funds were used to leverage other non-arra funding sources for EH support (i.e. county, state, and other federal funds). Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 11

Immediate Support Emergency Housing Grantee Notes HCSI supported five organizations to provide emergency housing assistance. Grants were provided to organizations that had been awarded ARRA funds for housing through either HPRP or TANF. Although ARRA funds were exhausted in 2011, each organization continues to provide emergency housing services through contracts with either the State of Hawai'i or the City & County of Honolulu. Three year Results Catholic Charities Family Life Center Helping Hands Hawaii HOPE Services Hawaii IHS Total Screening 26,832 999 17,280 1,240 1,233 47,584 Applications 18,888 1058 1,759 192 560 22,457 Assisted 1,335 364 494 672 556 3,421 $ approved $1,303,877 $380,916 $537,929 $437,758 $1,440,591 $4,101,071 Catholic Charities Hawai'i. CCH is the only statewide emergency housing provider. This organization alone is responsible for nearly half of the families approved for assistance. HCSI funds supported an intake coordinator, which increased overall efficiency and response time. In addition to staff, CCH also effectively utilized student interns and volunteers to increase capacity to conduct intake and outreach for emergency housing services. Family Life Center. FLC has taken the lead in homelessness prevention and advocacy on Maui. HCSI funds were used in part to increase outreach to landlords, and to provide education for new tenants who were moving into rental housing for the first time. Institute for Human Services. IHS provides a wide range of housing services on Oahu, from outreach and shelter to job training and housing placement. IHS has recently expanded its services, and added three new housing programs in 2012 including programs that focus specifically on employment and job training. IHS is responsible for distributing the largest amount of emergency housing payment with an average payment of $2,591 per approved household. Helping Hands Hawai'i. HHH provides housing services primarily on Oahu, and is also an HCSI grantee for SNAP Outreach. HHH integrated its SNAP Outreach and emergency housing programs, and often used SNAP as a way to strengthen the financial self-sufficiency of housing clients. HHH recently partnered with IHS to conduct targeted outreach for homeless families on Oahu s North Shore. HOPE Services, Inc. HOPE received HCSI funds in 2010 and 2011, but was not renewed for funding in 2012 due to challenges with meeting reporting requirements. Despite those challenges, HOPE continues to be the primary provider of housing services on Hawai'i Island. Like HHH, HOPE also received HCSI funds for SNAP outreach. Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 12

FOCUS AREA: Immediate Support SNAP Outreach RATIONALE: In 2009, the Star Advertiser estimated Hawai'i left approximately $17M in SNAP benefits unclaimed. SNAP enables families to free up income for other basic needs, while also providing choices, healthy alternatives, and support for local businesses. GOAL: Increase the number of families receiving SNAP assistance and capture unclaimed federal dollars for Hawai'i. STRATEGY: Provide up to one-to-one matching dollars to fund outreach at nonprofit organizations that have contracts with DHS to assist in completing SNAP applications. LEVERAGE: Total grants of $670,936 leveraged $10.74M in federal dollars between 2010-2012. The leverage for this program is almost fully attributed to HCSI funding. Our funds are the match for federal grants for each organization, and before HCSI none of the grantee organizations participated in the outreach program. AGGREGATE RESULTS: In HCSI s three years, the outreach organizations have collectively helped over 3,400 families draw down an average annual benefit of $3,166. SIGNIFICANT TRENDS: In October 2011, HCSI renewed funding for three of the four SNAP outreach grantees. As a result, productivity declined sharply from 2011 to 2012. In addition, providers on Maui and Hawai'i Island experienced heavy staff turnover during this same period. $2.66M $2.53M $2.28M $1.55M $1.04M $680,911* Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 13

Immediate Support SNAP Outreach Grantee Notes HCSI funded four organizations to conduct SNAP outreach. These four organizations also received Federal match funding through DHS. HCSI grantees in this area were required to participate in a statewide network together with DHS and to adopt common metrics for reporting. Although HCSI funds ended in September 2012, the statewide network has continued to meet and both HHH and HOPE Services were able to obtain continued funding through DHS. Three year Results Helping Hands Hawaii HOPE Services Hawaii Salvation Army Kauai Food Bank TOTAL Pre Screens 1876 1427 1938 1852 7,093 Applications 1204 1308 1586 731 4829 Approvals 649 1109 1102 540 3,400 $ approved $2,183,785 $3,427,766 $3,379,254 $1,773,975 $10,764,780 Helping Hands Hawai'i. HHH was responsible for facilitating meetings of the statewide network, and was the lead organization for SNAP outreach on O'ahu. HHH focused outreach efforts on three primary populations: (1) elderly; (2) unsheltered homeless; and (3) limited english proficient speakers. HHH also received HCSI funds for emergency housing. HOPE Services Hawai'i. HOPE, formerly known as Office of Social Ministry, provided outreach on Hawai'i Island and served the largest volume of clients. HOPE effectively used local media (i.e. newspaper, radio, and public access television) to outreach to families in isolated rural areas. HOPE also received HCSI funds for emergency housing. The Salvation Army. The Salvation Army provided outreach throughout Maui County. Staff would travel regularly to Lanai and Molokai to complete applications with residents. Salvation Army also established an innovative partnership with Bank of Hawaii, which utilized volunteers from the bank to assist families with completing applications after normal bank hours. Salvation Army chose not to continue SNAP outreach services after HCSI funding ended. Kaua'i Independent Food Bank. KIFB was the first of the four organizations to launch its SNAP Outreach program, and was responsible for training outreach providers in Maui County and Hawai'i Island. KIFB effectively used local radio and community volunteers to inform Kauai residents about the SNAP program. In late 2011, concerns were raised regarding KIFB s management of federal contracts for food distribution. As a result of these concerns, both DHS and HCSI did not renew funding for KIFB for 2012, and KIFB s outreach program ended in September 2011. Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 14

FOCUS AREA: Immediate Support Volunteer Income Tax Assistance (VITA) RATIONALE: Enacted in 1975, the Earned Income Tax Credit (EITC) is one of the largest antipoverty programs in the United States. It provided critical refundable subsidies to offset tax burdens for working families. ARRA expanded the credit to reach married couples and families with three or more children, increasing the need to ensure Hawai'i families capture this incentive. GOAL: Enable double-digit increases in returns prepared and EITC claims filed by free, reputable tax provision services. STRATEGY: Fund statewide coordination of Volunteer Income Tax Assistance (VITA) sites that offer free tax preparation services for low-income filers. LEVERAGE: $369,950 in HCSI grants over three years have resulted in $8.35 million in EITC and Child Tax Credits (CTC) captured for Hawai'i families. RESULTS: Over the past three years, VITA has filed a total of 10,526 returns, including 3,799 filing for EITC, and 2,252 filings for CTC. It is estimated that VITA has saved over $1.8 million in preparation fees for taxpayers because services are offered at no-cost. SIGNIFICANT TRENDS: While the number of total returns and filers for the EITC and CTC has steadily increased between 2010-2012, this has also corresponded with an increase in HCSI funding each year. HCSI has become the primary source of funding for VITA, and now exceeds the amount of Federal funds from the IRS to support this program. Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 15

Immediate Support Volunteer Income Tax Assistance Grantee Notes Summary 2010 2011 2012 No. of Sites 45 42 46 Fed Returns 2,830 3,310 4,386 Fed Refunds $4,068,859 $4,668,712 $5,992,281 State Returns Not Counted 3,357 4,151 State Refunds Not Counted $836,457 $1,075,425 EIC Filers 961 1242 1596 Total EIC $1,552,310 $1,740,796 $2,526,850 CTC Filers 576 684 992 Total CTC $703,435 $782,303 $1,103,222 Fees Saved $424,500 $610,130 $789,480 Volunteers 211 276 186 Hawai'i Alliance for Community-Based Economic Development. HACBED has coordinated the VITA program since 2006. Since that time, the program has expanded from only four sites and 32 volunteers to 46 sites statewide with 186 volunteers. While HACBED has been effective in expanding outreach about VITA and expanding the reach of the program, HCSI funds now account for more than half of the overall VITA budget. In late 2012, HCSI provided a grant of $100,000 to HACBED to oversee VITA for the upcoming tax season. HCSI provided only the initial $80,000 of this grant award to HACBED, and required a match from another funding source for the remaining $20,000. HACBED was able to successfully obtain matching funds of $20,000 from the Office of Hawaiian Affairs. Due to the fact that the current 2012 tax season has just begun, no results are yet available for the most recent HCSI grant. Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 16

FOCUS AREA: Immediate Support Healthcare (Electronic Health Records) RATIONALE: In 2009, ARRA established Health Information Technology (HIT) provisions that included dollar incentives for healthcare providers to use Electronic Health Records (EHRs). Healthcare providers who use EHRs are eligible for ARRA incentive dollars, but must meet meaningful use measures that are expensive and time-consuming to implement. Hawaii s fourteen Community Health Centers are eligible for an estimated $6.5 million in ARRA incentives over a sixyear period. GOAL: Increase the capacity of Community Health Centers to meet meaningful use measures to receive EHR incentives. STRATEGY: Provide grants to 13 Community Health Centers to increase their capacity through technology upgrades and staff training required to achieve meaningful use more quickly. LEVERAGE: Over a one-year period, $240,000 in HCSI funds were used to leverage match funds of $250,000 from a donor advised fund at HCF. SIGNIFICANT TRENDS: Grantees successfully completed key technology upgrades, which were necessary before ARRA incentives could be captured. However, the drawdown of incentives has been delayed because the State of Hawai'i has not yet received approval from the Federal government for the State Health Information Technology (HIT) plan. Despite this delay, the State anticipates obtaining approval for the HIT plan in April 2013, and expects that ARRA incentives can be drawn down beginning by mid-summer. GRANTEE NOTES: The following Community Health Centers received HCSI funding to support meaningful use incentives for Electronic Health Records: Bay Clinic Community Clinic of Maui Hamakua Health Center Hana Community Health Center Ho'ola Lahui Kalihi-Palama Health Center Kokua Kalihi Valley Ko'olauloa Community Health & Wellness Center Lanai Community Health Center Molokai Community Health Center Waikiki Health Center Waimanalo Health Center West Hawai'i Community Health Center As of February 5, 2013, a grant report was still outstanding from the following grantee in this area: Hamakua Health Center Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 17

FOCUS AREA: Immediate Support Healthcare (Med-QUEST Outreach) RATIONALE: Children living in households under 200% of federal poverty level are eligible for state-sponsored Children s Health Insurance Program (CHIP) through Hawai'i s QUEST program. Parents in this income bracket are often lower-wage workers, for whom health insurance premiums are a significant burden. The Hawai'i Primary Care Association (HPCA) estimates that there are 15,000 children in Hawai'i who are currently uninsured. GOAL: Increase the number of families in Hawai'i who receive medical coverage through the QUEST health insurance program. STRATEGY: Fund Medicaid outreach efforts by the HPCA s Hawai'i Covering Kids program. LEVERAGE: Leverage for Med-QUEST outreach cannot be measured in the same way as leverage for SNAP outreach because HPCA does not complete direct applications for families. Instead, HPCA refers families to Aloha United Way 2-1-1 or to Med-QUEST eligibility workers. Although increases in Med-QUEST enrollment cannot be full attributed to HCSI funding, DHS reported a net increase of 508 children enrolled in QUEST health plans for the first six months of 2012. GRANTEE NOTES: Hawai'i Primary Care Association. HPCA administers Hawai'i Covering Kids and other Medicaid outreach efforts in partnership with the state s federally qualified Community Health Centers. The outcomes reported for HPCA are for the first half of 2012 only. In mid-2012, the long-time coordinator of Hawai'i Covering Kids resigned and HPCA requested a no-cost extension to enable them to re-tool their outreach efforts. HPCA will provide a final report to HCSI in May 2012. Summary January June 2012 Flyers Distributed 40,236 Calls referred to 2 1 1 514 Community Trainings Provided 5 Visits to Website 172,791 Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 18

FOCUS AREA: Building the Future Loan Program RATIONALE: Adequate transportation is critical to the ability to hold down a job, and it is a challenge for families to access affordable vehicles at reasonable interest rates. GOAL: Enable low-income families to access credit and purchase affordable vehicles. STRATEGY: Fund the Pathways to Work program as it transitioned from one nonprofit organization (YWCA) to another (Child & Family Services). $37k Loans * HCSI grant ended in Sept. 2012, so data only reflects 3 mos. LEVERAGE: $50,000 in grants to date have leveraged $186,687 in loans. OUTCOMES: Over three years, the program assisted 232 families in obtaining loans, with an average of $806 being provided per family. The program also provided in-depth financial counseling to 81 families to assist them in resolving financial challenges that were barriers to loan approval. Summary 2010 2011 2012 Inquiries 128 729 475 Requests 91 412 272 Applications 28 136 92 Loans 4 15 19 Loan Amounts $24,000 $60,264 $102,423 Financial Counseling 7 53 45 Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 19

FOCUS AREA: Building the Future Asset Building Infrastructure Network Development Infrastructure Policy RATIONALE: Building a financially secure future means focusing on building assets from benefits uptake to savings, from homeownership to education. GOAL: Enable network-building and policy and advocacy around long-term family financial empowerment and security for Hawai'i families. STRATEGY: Support HACBED s work in cultivating and growing a network of community-based organizations, service providers, and individuals dedicated to advancing asset building in Hawaii. OUTCOMES: The Ho owaiwai Network has grown from 140 members in 2010 to 331 members in 2012. In June 2012, HACBED hosted a biannual asset building symposium, which was attended by 267 from all islands, as well as the mainland. A website (http://assetshawaii.org) was also developed to support the continued work and expansion of the asset building network. GRANTEE NOTES: In mid-2012, the longtime Executive Director of HACBED retired, and the organization scaled down to a staff of two full-time employees. HACBED is still the lead organization for the Ho'owaiwai Network. Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 20

FOCUS AREA: Infrastructure Public Awareness Aloha United Way 2 1 1 RATIONALE: The 2-1-1 information line is a well known, consistent resource for Hawai'i residents who need to access information about a wide range of community services. In late 2009, AUW was struggling to maintain extended hours when its referral services were needed more than ever. GOAL: Ensure families in need have information and referral sources for reputable services. STRATEGY: Support Aloha United Way s 2-1-1 community hotline. LEVERAGE: Although we can t measure direct leverage, $160,142 in grants have supported over 121,000 referrals to food pantries, rental assistance, and tax assistance services in two years. OUTCOMES: Over the last three years, 2-1-1 has fielded more than 59,278 calls from community members in need. The 2-1-1 call data continues to show high demand for HCSI-supported services. For the past three years food (primarily pantries) and rental assistance have been the top two call volume categories. Healthcare/health insurance is always in the top five request categories, and tax assistance is in the top five during the first four months of every year. GRANTEE NOTES: Cost-cutting at Aloha United Way has prompted the organization to reduce the operating hours of the 2-1-1 line to 7 am to 7 pm. (previously closed at 8 pm). Infrastructure Governor s Office on Homelessness RATIONALE: Homelessness is a longstanding problem that has grown in recent years. Hawai'i has twice as many homeless per capita as the national average. GOAL: Reduce the number of people living without shelter and move families to permanent homes. STRATEGY: Support the Office on Homelessness, a Governor s initiative a statewide coordination of agency and community resources to reduce homelessness. OUTCOMES: In 2012, the Hawai'i Legislature passed Act 105, which officially established in statute the Hawai'i Interagency Council on Homelessness. The Interagency Council is currently in the process of developing a strategic action plan to end homelessness in Hawai'i. In addition, the Office on Homelessness has taken the lead in spearheading the 100,000 Homes Campaign on Oahu, which seeks to house 100 of the island s most vulnerable and chronically homeless individuals by 2014. GRANTEE NOTES: Challenges in obtaining State approval for HCSI-funded staff positions have caused delays in expending the grant. In addition, the resignation of the previous Hawai'i State Coordinator on Homelessness in January 2012 also delayed spending. Although a new Coordinator was hired in July 2012, the State requested a no-cost extension through June 2013, which was approved. Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 21

FOCUS AREA: Infrastructure Policy Hawai'i Public Housing Authority RATIONALE: In February 2012, the U.S. Department of Housing & Urban Development (HUD) announced the availability of $5 million in Choice Neighborhood Initiative planning grants for housing authorities to engage in grassroots efforts to creatively link affordable housing with quality education, public transportation, good jobs, and safe streets. The Hawai'i Public Housing Authority (HPHA) requested assistance in obtaining a consultant to assist them in submitting a planning grant proposal. GOAL: Enable HPHA to hire a professional consulting firm to assist with the proposal to HUD for a Choice Neighborhood Initiative planning grant. STRATEGY: Provide a grant of $15,000 to HPHA to retain a consultant. LEVERAGE: The HCSI grant of $15,000 leveraged a planning grant award of $300,000 for HPHA. OUTCOMES: In October 2012, HUD announced that Hawai'i had been approved for a Choice Neighborhood Initiative planning grant for the Kuhio Homes and Kuhio Park Terrace housing projects. GRANTEE NOTES: The chief planner for HPHA, who was the lead staff person for the planning grant, resigned in December 2012. As of January 31, 2013, the position was still vacant. Other Infrastructure Scholarships to attend the 2012 Assets Learning Conference RATIONALE: In 2012, the Corporation for Enterprise Development (CFED) hosted its biannual Assets Learning Conference in Washington, D.C. The conference offers workshops for asset building policymakers, practitioners, organizations, and funders, however travel to the conference is costprohibitive for many nonprofit service providers and government agencies. GOAL: Enable Hawai'i practitioners in the asset building field to attend the 2012 Assets Learning Conference. STRATEGY: Provide a grant of $10,000 to CFED to sponsor seven Hawai'i practitioners to attend the conference. OUTCOMES: Seven individuals received scholarships to attend the 2012 conference. These individuals represented the following organizations: HACBED, Legal Aid Society of Hawaii, HOPE Services, 3Point Consulting, Hawaiian Community Assets, and the Office of Hawaiian Affairs. Recipients were exposed to national "best practices" relating to financial strengthening activities. Following the conference, recipients established a new collaborative partnership to support the expansion of Children's Savings Accounts on Oahu, as well as on Hawai'i island. Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 22

Looking Forward As HCSI comes to a close and funders look forward to the next three years, HCF would like to highlight the following reflections for consideration. A Collaborative Approach to Funding is Effective The collaborative funding approach adopted by HCSI was based upon a belief that by pooling resources, funders could achieve far more together than any one funder could achieve alone. Over the past three years, HCSI provided direct support to over 35,000 local families and leveraged over $23 million in public resources for Hawai'i. These results could not have been achieved without a collective, well-coordinated effort. Nonprofits Continue to Struggle In Spite of Gradual Economic Recovery While a key principle of HCSI was building nonprofit capacity to respond to the needs of the community, a handful of nonprofit organization continued to financially struggle despite additional support provided by HCSI grants. While we expected that demand for services would decline as the economy recovered we did not expect funding for these services to decline as rapidly as it has. As a result, several very reputable nonprofits have reduced or even eliminated services once the HCSI funds have been exhausted. HCSI Laid a Foundation for Future Efforts The past three years highlighted a number of areas in which Hawai'i families continue to struggle, even as Hawai'i s economy slowly begins to improve. HCSI demonstrated that a collaborative funding approach can achieve positive results. Looking forward, HCF and other key funders have the opportunity to leverage the power of collective funding areas where families continue to struggle, such as housing, and work to pilot new, more effective models of human service delivery to improve long-term outcomes in these areas. Hawai'i Community Stabilization Initiative - Final Report (2009-2012) Page 23