HomeMy WebLinkAbout(P 1) Sootchy Presentation to Port Arthur City Council_June 18 2024t
Port Arthur City Council Presentation
June 18, 2024
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1.Why I started Sootchy - Our Mission
(Video)
2.The Sootchy Education Program (SEP)
Summary - (Embedded video)
3.SEP Plan Details
4.Port Arthur Launch - Employers
5.Sootchy Team
6.Critical Success Factors & Next Steps
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Table of Contents
Sootchy Education Program (SEP)
Transforming Higher Education Funding
…..To Unlock Dreams Beyond Zip Codes
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Problem – Wide Disparity of Wealth
Top 10% of earners own 67% of the total wealth, while the bottom 50% own just 2.6%
The value of a higher
education....
60%
earn more by
A Bachelor’s degree is worth $1
million on average over a lifetime.
$1
million
Bachelor's degree holders earn 60%
more than high school graduates.
Reduced Economic Mobility
The income gap underscores education's crucial role in
economic mobility, perpetuating poverty for non-degree
holders with lower lifetime earnings
....But a higher education
has become unaffordable
Median household Income
is the median household
income in the US 1$75K
1200% Increase in college tuition & fees since 1980,
while the average income in the lowest quintile has
grown by only 38%
Average Cost of 4-Year College Degree
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The Sootchy Solution
The Sootchy Education Program (SEP): Breaking The Cycle
Existing College Funding Programs
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SEP Plan Details
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What is SEP?
SEP is a collaboration between The City of Port Arthur Texas and Sootchy Inc & Sootchy Charitable Foundation.
It is designed to provide a higher education savings account for children within the city.
Who is eligible for SEP?
All students enrolled in a K-12 program within the City of Port Arthur or who live in Port Arthur.
How do you enroll?
Only enrolled students in good standing are eligible. Enrollment occurs by parents / guardians at the same time
you enroll your child for school. Enrollment also occurs via Activation Events within the city
What is the money for?
The money is intended to be used for a higher education. A higher education is described as one of the following
four goals:
1.Enrolling in a 2 or 4-year college or community college degree
2.Enrolling in a qualified apprenticeship, trade or other work training program
3.Starting a small business within the city
4.Purchasing a residential or investment property within the city.
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SEP Plan Details
Where are the savings coming from?
The 5 primary sources of funds are:
1.Employer matching contributions
2.Foundations & non-profit organization donations
3.Government funding through federal, state and/or city sources
4.Parent contributions
5.Family & friends gifting
Where will the money be held?
1.Texas College Savings Program - For college, apprenticeship & trade school
2.A non-qualified investment account - For Investment Real Estate & a Small Business
In addition to funding, what else does SEP offer?
Through a series of fun, happy, engaging Activation Events within the city, SEP offers children access to a
college fund as well as an engaging financial literacy program to help children learn the fundamentals of how
to manage money better.
Cost
1% per year of assets under management - For operations, software development, customer service etc
How can I get more information?
For questions or to receive more information please call (310) 807-0144 or email info@sootchy.com. 9
SEP Plan Details
Port Arthur Launch
4Q2024
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The Sootchy Education Program RoadMap
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SEP Roadmap
MVP - Foundations & Non-Profits.
Earle, Arkansas
Population – 1,730
Number of Kids – 300
August 2024 1
MVP 1 - Foundations & Non-Profits
Earle, Arkansas
Population – 1,730
Number of Children – 300
August 2024 1
MVP 2 - Employers
Port Arthur, Texas
Population: 55,579
Number of Children – 3000+
November 2024 2
Pilot Launch
Beverly Hills, MO +
24:1 Community
Population: 36,000+
Number of Children – 6000+
February 2025 3
Scale-up
Nationwide Rollout
Scale-up. Cities all
across America.
2025 & 2026
Team
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Cedric
Ceballos
Partnerships
David
Adefeso
Founder/CEO Product
Engineering
Deepesh
Ojha
Craig
Smith
Partnerships
Anna
Friolo
Accounting
Jeremy
Sherman
Customer
Success
Nick
Waggoner
Operations
Leonard
Kanyesigye
Engineering
Ankur
Shah
Engineering
Lead
Raj
Gopinath
Engineering
Joel
Bernstein
Legal
Engineering
Design
Vytautas
Šileika
Our Team
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Partners & Collaborators
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Partners &
Collaborators
Critical Success Factors
&
Next Steps
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Factor 1
Buy-In of key stakeholders:
-Mayor
-City Council
-Employers / Economic Development Organizations
-School Districts
-Faith-Based Organizations
-Legislators
-Local Partners (could include banks, fraternities/sororities etc)
Factor 2
Employer willingness to match employee contributions
Factor 3
Active communication and engagement with city residents to enable maximum participation
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Critical Success Factors
Step 1
MOU with the City & Letter of Support from the City Council
Step 2
Engage key stakeholders
Step 3
Plan Activation Events to engage children & city residents and sign up parents
Step 4
Secure physical space for signing up residents & Financial Intelligence classes
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Next Steps