News Release: National philanthropic collaborative announces up to $16 million for Twin Cities
Saint Paul, MN - October 27, 2010 - With new support from Living Cities, McKnight among local public-private partnerships pursuing “game changing” innovations.
"Living Cities support in the Twin Cities will advance a system that has already proven effective in working past the barriers that often prevent leaders from working across sectors and issues," said Living Cities CEO Ben Hecht. "This support to the Twin Cities continues our long-term interest in this community. We look forward to working with this community in the efforts to create more opportunities for low-income residents through the Integration Initiative."
The Living Cities Integration Initiative will take advantage of substantial public investments in three regional transit lines to create a model of how high-quality transit development can expand opportunities for low-income people. The initiative will unite leaders from local, regional, and state government with the private, philanthropic and not-for-profit sectors, to develop frameworks to create and preserve transit-accessible affordable housing and mixed-use, mixed-income projects; to help small, often minority- or immigrant-owned businesses weather transit corridor construction; and to forge planning and investment strategies that catalyze neighborhood-led development, link residents with job opportunities, and establish a more appealing private investment environment in transit corridors.
The Twin Cities "Corridors of Opportunity" initiative will use these funds to ensure that public investment in transit creates positive impacts "beyond the rail" for lower income residents and communities. The initiative will help preserve or create 400 – 600 units of transit-accessible affordable housing and provide nearly 100 businesses with a combination of marketing and planning assistance, façade improvement grants and new loan resources to prepare for construction and help the businesses succeed once construction is completed. "The Living Cities collaborative gives us a historical opportunity to build new transit lines that benefit households on their way up the economic ladder," said Minneapolis Mayor R.T. Rybak.
Through the Living Cities Initiative, the Twin Cities region is eligible for up to $16 million in grants, loans and Program-Related Investments (PRIs) to support its efforts. PRIs are flexible, low-cost loans provided at below-market rates to support charitable activity.
"The unique combination of funding that Living Cities has assembled is game changing," says Saint Paul Mayor Chris Coleman. "It is exciting for us and our partners to be figuring out how we can blend private capital with other funds to expand the resources available for building more affordable and livable communities."
The Saint Paul Foundation and McKnight Foundation collaborated on the competitive application process with local nonprofit organizations, including: Family Housing Fund, the Twin Cities Community Land Bank, Twin Cities LISC, Neighborhood Development Center, Metropolitan Consortium of Community Developers, the Urban Land Institute-Minnesota, and the Itasca Project; and key public sector partners including Minnesota Housing, the Metropolitan Council, Hennepin and Ramsey Counties, and the cities of Minneapolis and Saint Paul.
The group believes cross-sector collaborations are essential. "To improve lives and develop new strategies, we need the best thinking and aligned resources on all fronts," said Kate Wolford, McKnight Foundation president. "This initiative presents an exciting opportunity to connect highly effective partnerships, policies, and programs around a shared goal of equitable development along our transit corridors."
The "Corridors of Opportunity" initiative builds upon successful collaborations already at work in the Twin Cities. One example of such a partnership is the Central Corridor Funders Collaborative, which engages the community to leverage transit projects that benefit commercial, public and private interests.
"The Central Corridor Funders Collaborative demonstrates the positive impact that cross-sector and community partnerships can have upon creating greater livability and commercial viability for residents of areas in which transit projects are launched," said John Couchman, vice president of grants and programs at The Saint Paul Foundation. "True success with our transit system will depend on how well we create opportunities for the region as a whole, while unlocking opportunities for those with the greatest need."
The Saint Paul Foundation will distribute grant funds and several national banking institutions will make loan funds available for transit-related regional projects. The four other cities that will receive Living Cities Integration Initiative funding are Detroit, Cleveland, Newark and Baltimore.
About The Saint Paul Foundation
The Saint Paul Foundation is the community foundation for Saint Paul and surrounding areas. It connects and supports donors, nonprofits and partners to enrich lives and communities through philanthropy. Since 1940, The Saint Paul Foundation has granted more than $600 million to nonprofit organizations contributing to the health and vitality of the community. Through community initiatives and programs such as the Community Sharing Fund, SpectrumTrust, Management Improvement Fund, Words Work! and Facing Race, the Foundation works with the community to identify and address key issues. For more information, visit www.saintpaulfoundation.org.
About The McKnight Foundation
The McKnight Foundation was founded in 1953 and independently endowed by William L. McKnight and Maude L. McKnight, and today seeks to improve the quality of life for present and future generations. Through grantmaking, coalition-building, and encouragement of strategic policy reform, McKnight uses its resources to attend, unite, and empower those it serves. Priorities include support for child and youth development, the region and communities, the arts, the environment, and scientific research in select fields. Minnesota is the foundation's primary geographic focus. In 2009, the Minnesota-based family foundation had assets of approximately $1.8 billion and granted about $98 million.
About Living Cities
Founded in 1991, Living Cities is a unique philanthropic collaborative of 22 of the world's largest foundations and financial institutions. Over the past 19 years, Living Cities has invested more than $1 billion in American cities-leveraged into $16 billion and making a demonstrable difference in neighborhoods throughout the nation. Our members are not simply funders. They participate at the senior management level on the Living Cities Board of Directors and contribute the time of 80+ expert staff toward crafting and implementing an agenda that is squarely focused on improving the lives of low-income people and the urban areas in which they live. For more information, visit www.livingcities.org.
Living Cities Members: AARP Foundation, AXA Equitable, Bank of America, The Annie E. Casey Foundation, Citi Foundation, J.P. Morgan Chase & Company, Deutsche Bank, Ford Foundation, Bill & Melinda Gates Foundation, Robert Wood Johnson Foundation, W.K. Kellogg Foundation, John S. and James L. Knight Foundation, The Kresge Foundation, John D. and Catherine T. MacArthur Foundation, The McKnight Foundation, MetLife, Inc., Morgan Stanley, Prudential Financial, The Rockefeller Foundation, Surdna Foundation Affiliate Members: The Cleveland Foundation, The Skillman Foundation
Contact information
Naomi Pesky, The Saint Paul Foundation, 651-325-4239
Tim Hanrahan, The McKnight Foundation, 612-333-4220