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From Swamps to Springboards:
Breaking the Intergenerational Cycle of Poverty
Daniel J. Shoy, Jr.
East Lake Foundation
October 11, 2018
Poverty continues to undermine the American Dream…
That is more than 1 in 10 Americans
40.6 million Americans live in poverty
40.6 million > the entire population of California
U.S. poverty rate 12.7 % (2016)
U.S. Census Bureau, American Community Survey 2016
Children experience poverty at even higher rates…
16.1 million children
live in poverty
That is 1 in 5 American children
50%
Of poor children live
in concentrated
poverty
Concentrated poverty: >30% lives below
the poverty line
Childstats.gov Forum on Child and Family Statistics http://www.childstats.gov/americaschildren13/eco1a.asp
Living in concentrated poverty often has dire
implications for children
86%of 3rd graders living
in concentrated
poverty read below
grade level
That is more than 6 out of 7 children
Annie E Casey Foundation :”How Third Grade Reading Skills and Poverty Influence High School
Graduation” http://gradelevelreading.net/wp-content/uploads/2012/01/Double-Jeopardy-Report-030812-
for-web1.pdf
Life Expectancy by Neighborhood
3 miles = 25 years
Non-medical factors are the main barriers to health
Source: Adapted from the Greenlining Institute
93%
of healthcare dollars
spent on medical care
Physical
Environment
Medical
Care
Health
Behavior
Social and
Economic
Factors
10%
20%
30%
40%
Contributions to Premature Death
Behavioral
Patterns
40%
Genetic
Predisposition
30%
Environmental Exposure 5%
Social
Circumstances
15%
Health Care 10%
Environment and
behavior account for
60% of premature death
Health ≠ Health Care
East Lake Meadows - 1995
Safety
• 18x national crime rate
• 90% of families victims of a
felony each year
• $35 million a year drug trade
Housing
• 100% public housing
• 1400 residents in 650 apartments
• 40% of units unlivable
Employment
• 13% employment
• 59% of adults on welfare
• Median income of ~$4,500
Education
• One of lowest performing
schools in Georgia
• 5% of 5th graders meet state
math standards
• 30% graduation rate
East Lake Meadows - 1995
East Lake Meadows - 1995
The East Lake Initiative
Target area of investment (less than 1 square mile)
Residents actively engaged in the planning and implementation
• Engaged in decision-making
• Held leadership roles throughout
planning
• Given first choice for relocation
• Given priority for new apartments in
housing development
• Set standards and expectations
Replaced concentrated low-income housing with
mixed-income housing
• Partnered with the Atlanta Housing
Authority to turn East Lake Meadows
into The Villages of East Lake, a
mixed-income housing development
• High standards in design,
development, and operation
• Attracted over $400M in additional
investment to the neighborhood
Implemented a cradle-to-college education pipeline
Launched Charles R. Drew
Charter School
Expanded high quality early
learning (0-4)
Educational support
services
Promoted community wellness with
quality amenities and support services
Full service YMCA The First Tee® of East
Lake Program
Publix Grocery Store and
bank branches – SunTrust
and Wells Fargo
Resident and Community Support
Program, Healthy Connections
Created a “Community Quarterback” Organization
• Nonprofit with a single focus
• Ensures that all programs are connected,
coordinated and seamless
• Ensures high quality programming
• Ensures people in the target
neighborhood are the ones served
• Braids a sustainable funding stream
• Serves as a single point of accountability
Daniel J. Shoy, Jr., President of the East Lake Foundation
18
The Villages of East Lake - Present
Housing
• High-quality, privately managed
housing
• Mixed-income (50% public
housing, 50% market rate)
• 1,300 residents in 542 apartments
Safety
• 86% reduction in crime
• 97% lower violent crime
Employment
• 100% work eligible residents in
public housing are employed
• Median income of ~ $23k in
public housing households
Education – Drew Charter School
• ~1,800 in K through 12th
• A top performing school in
Atlanta and the state
• 98% of students in the Class of
2018 graduated and received
$9M in scholarship offers
Drew currently performs on par with top achievers in the
district (even with a much higher FRL population)
0
20
40
60
80
100
2017 CCRPI Scores
CCRPI Atlanta Public Schools Georgia
FRL% 42% 5% 7% 9% 10% 10% 24%
Median 2017
List Price 399K 1.2M 549K 1.2M 725K 725K 704K
The entire neighborhood has benefitted
Surrounding community
has attracted ~ $400M in
new private investment
Increase in home value 4x
higher than in typical
Atlanta neighborhood
New and more varied
retail options
Public housing residents’
incomes 5x higher
$400 million 4x gain More options
The East Lake transformation gave rise to a
replicable model
Strong Lead Organization
22
Purpose Built Communities
mission is to replicate our model
• 14 million Americans live in
neighborhoods of concentrated
poverty
• We estimate there are
approximately 825 highly-
distressed neighborhoods in
metro regions across the country
(at least 40% of population lives
below poverty line)
Neighborhoods with high concentrations of poverty
(Dallas-Fort Worth area pictured here)
29
Network MembersNetwork Members
New Orleans, LA
Birmingham, AL
Rome, GA
Atlanta, GA
Indianapolis, IN
Omaha, NE
Charlotte, NC
Houston, TX
Columbus, OH
Spartanburg, SC
Fort Worth, TX
Orlando, FL
Tulsa, OK
Kansas City, MO
Raleigh, NC
Grand Rapids, MI
Purpose Built is helping transform
neighborhoods across the country
Winston Salem, NC
Purpose Built is helping transform
neighborhoods across the country
Network Members
Prospect Cities
New Orleans, LA
Birmingham, AL
Rome, GA
Atlanta, GA
Indianapolis, IN
Omaha, NE
Charlotte, NC
Houston, TX
Columbus, OH
Spartanburg, SC
Fort Worth, TX
Orlando, FL
Tulsa, OK
Kansas City, MO
Raleigh, NC
24
Grand Rapids, MI
Winston Salem, NC
Thank you & Questions?
www.eastlakefoundation.org

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Edge of Amazing: Breakout Session B - From Swamps to Springboards: Breaking the Intergenerational Cycle of Poverty

  • 1. From Swamps to Springboards: Breaking the Intergenerational Cycle of Poverty Daniel J. Shoy, Jr. East Lake Foundation October 11, 2018
  • 2. Poverty continues to undermine the American Dream… That is more than 1 in 10 Americans 40.6 million Americans live in poverty 40.6 million > the entire population of California U.S. poverty rate 12.7 % (2016) U.S. Census Bureau, American Community Survey 2016
  • 3. Children experience poverty at even higher rates… 16.1 million children live in poverty That is 1 in 5 American children 50% Of poor children live in concentrated poverty Concentrated poverty: >30% lives below the poverty line Childstats.gov Forum on Child and Family Statistics http://www.childstats.gov/americaschildren13/eco1a.asp
  • 4. Living in concentrated poverty often has dire implications for children 86%of 3rd graders living in concentrated poverty read below grade level That is more than 6 out of 7 children Annie E Casey Foundation :”How Third Grade Reading Skills and Poverty Influence High School Graduation” http://gradelevelreading.net/wp-content/uploads/2012/01/Double-Jeopardy-Report-030812- for-web1.pdf
  • 5. Life Expectancy by Neighborhood 3 miles = 25 years
  • 6. Non-medical factors are the main barriers to health Source: Adapted from the Greenlining Institute 93% of healthcare dollars spent on medical care Physical Environment Medical Care Health Behavior Social and Economic Factors 10% 20% 30% 40%
  • 7. Contributions to Premature Death Behavioral Patterns 40% Genetic Predisposition 30% Environmental Exposure 5% Social Circumstances 15% Health Care 10% Environment and behavior account for 60% of premature death
  • 9. East Lake Meadows - 1995 Safety • 18x national crime rate • 90% of families victims of a felony each year • $35 million a year drug trade Housing • 100% public housing • 1400 residents in 650 apartments • 40% of units unlivable Employment • 13% employment • 59% of adults on welfare • Median income of ~$4,500 Education • One of lowest performing schools in Georgia • 5% of 5th graders meet state math standards • 30% graduation rate
  • 12. The East Lake Initiative Target area of investment (less than 1 square mile)
  • 13. Residents actively engaged in the planning and implementation • Engaged in decision-making • Held leadership roles throughout planning • Given first choice for relocation • Given priority for new apartments in housing development • Set standards and expectations
  • 14. Replaced concentrated low-income housing with mixed-income housing • Partnered with the Atlanta Housing Authority to turn East Lake Meadows into The Villages of East Lake, a mixed-income housing development • High standards in design, development, and operation • Attracted over $400M in additional investment to the neighborhood
  • 15. Implemented a cradle-to-college education pipeline Launched Charles R. Drew Charter School Expanded high quality early learning (0-4) Educational support services
  • 16. Promoted community wellness with quality amenities and support services Full service YMCA The First Tee® of East Lake Program Publix Grocery Store and bank branches – SunTrust and Wells Fargo Resident and Community Support Program, Healthy Connections
  • 17. Created a “Community Quarterback” Organization • Nonprofit with a single focus • Ensures that all programs are connected, coordinated and seamless • Ensures high quality programming • Ensures people in the target neighborhood are the ones served • Braids a sustainable funding stream • Serves as a single point of accountability Daniel J. Shoy, Jr., President of the East Lake Foundation
  • 18. 18 The Villages of East Lake - Present Housing • High-quality, privately managed housing • Mixed-income (50% public housing, 50% market rate) • 1,300 residents in 542 apartments Safety • 86% reduction in crime • 97% lower violent crime Employment • 100% work eligible residents in public housing are employed • Median income of ~ $23k in public housing households Education – Drew Charter School • ~1,800 in K through 12th • A top performing school in Atlanta and the state • 98% of students in the Class of 2018 graduated and received $9M in scholarship offers
  • 19. Drew currently performs on par with top achievers in the district (even with a much higher FRL population) 0 20 40 60 80 100 2017 CCRPI Scores CCRPI Atlanta Public Schools Georgia FRL% 42% 5% 7% 9% 10% 10% 24% Median 2017 List Price 399K 1.2M 549K 1.2M 725K 725K 704K
  • 20. The entire neighborhood has benefitted Surrounding community has attracted ~ $400M in new private investment Increase in home value 4x higher than in typical Atlanta neighborhood New and more varied retail options Public housing residents’ incomes 5x higher $400 million 4x gain More options
  • 21. The East Lake transformation gave rise to a replicable model Strong Lead Organization
  • 22. 22 Purpose Built Communities mission is to replicate our model • 14 million Americans live in neighborhoods of concentrated poverty • We estimate there are approximately 825 highly- distressed neighborhoods in metro regions across the country (at least 40% of population lives below poverty line) Neighborhoods with high concentrations of poverty (Dallas-Fort Worth area pictured here)
  • 23. 29 Network MembersNetwork Members New Orleans, LA Birmingham, AL Rome, GA Atlanta, GA Indianapolis, IN Omaha, NE Charlotte, NC Houston, TX Columbus, OH Spartanburg, SC Fort Worth, TX Orlando, FL Tulsa, OK Kansas City, MO Raleigh, NC Grand Rapids, MI Purpose Built is helping transform neighborhoods across the country Winston Salem, NC
  • 24. Purpose Built is helping transform neighborhoods across the country Network Members Prospect Cities New Orleans, LA Birmingham, AL Rome, GA Atlanta, GA Indianapolis, IN Omaha, NE Charlotte, NC Houston, TX Columbus, OH Spartanburg, SC Fort Worth, TX Orlando, FL Tulsa, OK Kansas City, MO Raleigh, NC 24 Grand Rapids, MI Winston Salem, NC
  • 25. Thank you & Questions? www.eastlakefoundation.org

Editor's Notes

  1. Despite the scale of poverty in America, there has been some good news. This year, the Census Bureau reported that the official poverty rate fell again to 12.7% in 2016. The total number of Americans living in poverty fell to 40.6 million, down from the 2014 peak of 46.7 million. The median household income rose by 3.2 percent, to $59,000. And the proportion of uninsured Americans fell to 8.8 percent, an historic low.
  2. Between 2015 and 2016, the poverty rate for children under age 18 declined from 19.7 to 18.0 percent.
  3. 12x as many adults living in areas of concentrated poverty lack a high school diploma Residents of areas of concentrated poverty can experience 12 times higher homicide rates.
  4. The average life expectancy for babies born to mothers in New Orleans can vary by as much as 25 years across neighborhoods just a few miles apart.
  5. There is established research showing that non-medical factors - often called the “social determinants” - are the main barriers to good health. Though 93% of U.S. healthcare dollars are spent on medical care, issues with access or quality of care account for only a fraction of what leads to poor health. Instead, fully 80% percent of what leads to poor health are social and economic factors, physical environments, and health behaviors. Source: L Valdez and C Saporta. (2014). “Community Benefit and Missed Opportunities: A Case Study of Three San Francisco Hospitals. The Greenlining Institute. http://greenlining.org/issues/2014/community-benefit-missed-opportunities-case-study-three-san-francisco-hospitals/
  6. Network Members and Prospects (with state color change) as of September 2017