Building on 2010 for a prosperous 2011

To all of our California Asset Building colleagues and friends,

The past twelve months have seen many advances on the economic empowerment front: local alternatives to predatory payday loans, the first city-based college saving accounts for Kindergartners, the planned nationwide expansion of the Bank on model, and legislation in California which boosts communities’ ability to build assets through energy efficiency and new green technologies; promotes savings opportunities for education and skills training through the formation of Life-Long Learning Accounts (LiLAs); and, encourages Californians to Step Up for struggling families.

And then there was our report Left on the Table, which called new attention to the $1.2 billion in Earned Income Tax Credits left unclaimed every year by an estimated 800,000 Californians. It found that EITC refunds lead to job creation, boost small businesses, create new tax revenue, and spur state and local economic growth. In addition to drawing national attention to the issue, the report led to local efforts that drew down more funding for VITA sites, a statewide IRS pilot encouraging 46,000 Californians to claim their hard earned federal tax credit, and the first statewide EITC conference and Asset Building/EITC Coalition.  

Last week, we co-hosted a forum in Los Angeles about “Meeting the Needs of Older Unbanked Consumers” with the AARP Foundation. See complete video of all the panel sections here. That same day in San Jose, we joined the Silicon Valley Community Foundation for the event Alternatives to the Payday Loan Trap– where we spoke with speaker Gary Rivlin, author of “Broke USA: From Pawnshops to Poverty, Inc.—How the Working Poor Became Big Business.” See that mini-interview and more here.

To kickoff the new legislative session, we joined Assemblyman Bradford when he reintroduced California’s first Banking Development District legislation, which seeks to increase investment in our state’s economically at-risk communities. Stay tuned upcoming legislative announcements and events in the new year to boost small businesses, empower workers, and provide long term economic security for more Californians. 

Along with the California Center for Research on Women and Families, we are once again co-hosting the Working Families Policy Summit, the largest annual convening for California working family, and health advocates on Wednesday January 12 in Sacramento. Reserve your space today!

For those looking for more local models, the Los Angeles City Council will be holding a special hearing on poverty of the Jobs and Business Development Committee. Those interested can attend on Tuesday January 25 at 1 pm for an update on the City’s Banking Development District program, the creation of a revised city poverty line, and many other poverty-reduction efforts TBA.

As we enter 2011, we are reminded of the importance of creating structures that provide low-income people with incentives and tools to help them get ahead: income poverty is growing, and those who are not getting ahead are not just staying in one place. They are falling behind.

We want to thank you all for your continued partnership in the effort to increase every Californian’s ability to access sound financial services and build savings and wealth. Happy holidays and a prosperous New Year, from the California Asset Building Program (@AssetBuildingCA!).