Rise Economy

Programs

1. Resilience FundThe Resilience Loan Fund bolsters the lending capacity of emerging and aspiring nonprofit Community Development Financial Institutions (CDFIs). Born out of a community response to the lack of government and inadequate financial institution pandemic support and the financial hardships experienced by communities of color during the COVID pandemic, we launched the Resilience Fund in 2021. To date, the Resilience Fund has provided a cohort of 11 BIPOC-led emerging CDFIs with grant funding, capacity building, technical assistance, and peer learning to help them progress along their journey toward CDFI certification. Our Resilience Fund Cohort Members serve thousands of low-income small business owners and micro-entrepreneurs across a diverse geographical span of 22 counties in the San Francisco Bay Area, Southern California, Inland Empire, and Central Valley. In 2024, Rise Economy started an LLC the Rise Economy Resilience Loan Fund - as the future direction of this initiative and our strategic solution to the capital deficit faced by our Cohort Members. To qualify for CDFI certification, applicants must demonstrate their capacity to manage a loan portfolio of $100,000…

   $966,287 spent
   35% of program spending

2. Advancing CitiesFrom 2020-2024, Rise Economy leveraged the knowledge and expertise of our Economic Wellness Promotores to spearhead our participation in the Open Air Economy Collaborative, an LA-based partnership between Inclusive Action for the City, East LA Community Corporation, Public Counsel and Rise Economy. Supported by a three-year Advancing Cities grant from JP Morgan Chase, this innovative program provided holistic business support in the form of capital, business coaching, legal assistance and financial education to Black and Latinx street vendors and other micro-entrepreneurs.

   $445,600 spent
   16% of program spending

3. Housing JusticeRise Economy advances campaigns that will increase BIPOC communities access to low-cost capital for affordable housing, hold corporate landlords accountable for tenant protections, and address the growing insurability crisis that threatens to derail progress on affordable housing throughout the state. Rise Economys current work boldly shifts the narrative - centering corporate accountability in tackling Californias housing and climate crises, and advancing policy strategies to increase banking sector investment in affordable housing and BIPOC homeownership. These strategies, described below, can generate significant resources and data to address the state's affordable housing crisis, stabilize neighborhoods, and build climate resilience. Rise Economys current affordable housing-related campaigns and projects include:- State Community Reinvestment Act (CA CRA): Rise Economy and its members are leading a statewide organizing effort to establish a California Community Reinvestment Act. We estimate that the financial institutions not currently subject to federal CRA obligations have the potential to reinvest upwards of $15.3 billion per year for affordable housing and…

   $418,309 spent
   15% of program spending

4. Small Business & JobsRise Economy leverages the Community Reinvestment Act (CRA), bank merger processes, and relationships with banks to harness more capital for communities historically excluded from wealth building through Community Benefit Agreements (CBAs). For example, in some CBAs banks have committed resources to Special Purpose Credit Programs that create loan opportunities for BIPOC small business owners. We also work with banks to encourage them to make smaller loans - under $250K in order to serve more people in low-income communities of color seeking loans for businesses; and encourage banks to invest in Community Development Finance Institutions (CDFIs) that can make even smaller loans in low-income communities.

   $320,327 spent
   12% of program spending

5. Family Economic Security (Economic Wellness Promoters)Recognizing that financial education programs are often inaccessible to low-income groups, Rise Economy developed an innovative trauma-informed approach to financial wellness that is based on the Promotores peer-to-peer community health education model. Rise Economys Promotores are frontline workers who have received specialized training on increasing peoples' financial capability and share the lived experience of people in the communities they serve. Through creating a trusted relationship, Promotores help low-income families and individuals improve their understanding of and access to safe, affordable financial products while sharing strategies that build and sustain household economic security. Instead of presenting cookie-cutter informational events, Promotores function more as small team leaders who can pace workshops to focus on individuals, answer specific questions, and provide information tailored to the participants needs. They are also bilingual, facilitating effective communication with Spanish-speaking participants. This highly empathetic approach to financial counseling is often lacking in "one-size-fits-all"…

   $258,763 spent
   9% of program spending

6. Program GeneralProgram General captures Rise Economys ongoing mission-focused policy advocacy activities, including annual meetings in Sacramento with lawmakers and their staff. Each year we organize a large group of member organizations to participate in these meetings, educate policy makers about the economic needs of communities around the state, and advocate for solutions to the racial wealth gap. Program General also includes expenses for emerging programmatic work of Rise Economy that may or may not grow into a new program with project-restricted funding.

   $164,289 spent
   6% of program spending

7. Alternative FinanceA vibrant public banking movement has been sweeping across the U.S. Public banks aim to democratize financial systems, ensuring that a community's money serves the public good. Unlike their Wall Street counterparts, public banks enable local governments to divest from institutions that do not align with their values and instead invest in initiatives promoting equity, health, prosperity, and well-being for individuals, families, and communities. These investments will include affordable housing, infrastructure, green energy, and small businesses - all contributing to sustainable local economies. Rise has been a key partner in the development of the Public Bank East Bay (PBEB), a community-governed public bank that will lend, invest, and leverage public funds to meet and address underserved public needs. It will serve Alameda County, the city of Richmond, and other cities in both Alameda and Contra Costa Counties. Rise Economy is also in the early stages of research and organizing for a State Public Bank, with the vision of supporting municipalities by lowering borrowing costs, increasing credit, and helping fund key projects in infrastructure, affordable housing,…

   $90,336 spent$26,550 earned by the program
   3% of program spending

8. Corporate Accountability/Climate ActionIn 2024, Rise Economys Corporate Accountability program became more focused on the climate crisis and the insurance industry. California has been increasingly plagued by extreme weather events, including wildfires, extreme heat, flooding, and drought. Bluelining is an emerging practice in which financial institutions increase prices of or withdraw services (such as insurance, credit, and banking) from regions they perceive to be at high environmental risk. Bluelining is often discussed as the new redlining because neighborhoods with a legacy of redlining face growing exposure to climate-related damage that leaves them vulnerable to other financial risks. Currently, major insurers like State Farm and Allstate have stopped offering new homeowners insurance policies in California, citing the growing risks and financial untenability of providing coverage in the state.Many of Rise Economys members are affordable housing developers facing unprecedented challenges due to the skyrocketing cost of insurance. The staggering rate increases add to the mounting costs faced by affordable housing developers in California, many of whom are Rise Economy…

   $62,687 spent
   2% of program spending

9. Access to Capital A new program established in late 2024 called Access to Capital will strengthen our statewide network and increase local community engagement with future CBA processes, especially in underinvested areas in Californias Central Valley and tribal areas. By increasing the negotiating skills and power of local groups, there is potential to leverage more sizable community reinvestment commitments in underserved parts of the state for years to come. Working with trusted local partners, Rise Economy will organize and deliver CRA trainings to local member organizations in the Central Valley and other rural and tribal areas of the state. Through this work, Rise Economy will also expand its membership of community-based organizations throughout the state.

   $7,696 spent
   0% of program spending

The 9 programs described on its FY2024 Form 990, listed largest first by expense. Program spending in total: $2,734,294.