Comstock's magazine 0619 - June 2019 | Page 16

n OPINION ST. HOPE ’S DUAL APPROACH IN OAK PARK CAN BE A MODEL FOR OTHER NONPROFITS by Jake Mossawir C ities across the country struggle with how to revitalize his- torically disenfranchised neighborhoods. An interesting and successful model — using public education, economic development and self-empowerment to drive change — has had a profound impact on a local underserved community. Oak Park, just southeast of downtown, is Sacramento’s oldest neighborhood. In the early 1900s, it was a thriving com- munity. The elimination of working class jobs from employers like the Libby Cannery, which closed in 1982, left residents with limited opportunities. The construction of Highway 99, the re- moval of the 5th Avenue off-ramp and the elimination of the streetcar that once connected Oak Park to downtown also meant the neighborhood was distanced from the city’s core. As a result, during the last cen- tury Oak Park was one of the city’s most crime-ridden, impoverished communities and residents suf- fered immensely from the infusion of drugs, prostitution and violence. Today, Oak Park is much differ- ent. While the community wrestles with new challenges in finding a balance between old and new, it’s a neighborhood on the rise. The transformation has been fueled by the efforts of several nonprofits and elected officials’ calls for new strategies, such as making Oak Park the first neighborhood to receive services from WayUp Sacramento, Councilman Jay Schenirer’s community building initiative. One of those organizations is St. HOPE, founded 30 years ago by Oak Park native, NBA player and future Sacramento Mayor Kevin Johnson to help reduce long-time disparities in the neigh- borhood. What started as an after-school program in 1989 has grown into St. HOPE’s three-school public charter network that serves predominantly African American and Latino students from the neighborhood. The premise is that high-quality schools with dynamic teachers and enriching programs can help boost economic mobility for local children. For example, Sac High is the highest performing high school in the state where African American students make up at least 50 percent of the tested student population. We realized over time that to help bring real change, schools can’t be islands of excellence within a larger community they aren’t touching. Building upon the initial goal of using public char- ter schools to close the achievement gap, St. HOPE is now a family of nonprofits that functions as a community development corpora- tion focused on both education and economic efforts to revitalize the neighborhood. Our business model generates revenue through real estate development, investments and operating companies that over the years has allowed us to scale our programs and increase our impact. This strategy didn't happen overnight; it came from taking a broader view of the community and ensuring that our mission aligned with the neighborhood’s needs. We brought in business in- vestments and tenants that are reflective and relevant to the neighborhood and provide jobs, housing options and enjoyable amenities. Oak Park is home to the 40 Acres Art & Cultural Center that includes the Guild Theater and Underground Books, one of just 57 African American-operat- ed bookstores in the nation. We also have become partners with College Track, Valley Vision and the Sacramento Employment and Training Agency, all similarly focused on community improve- ment initiatives. According to a 2019 report prepared by the Tootelian Com- pany for St. HOPE, the economic impact of St. HOPE is nearly $5.7 million annually in Oak Park and more than $28.1 mil- lion annually across the region when jobs, labor income and indirect business tax revenue are factored in. Annually, nearly 390 jobs are created, which means more than $14.5 million in additional labor income that can be spent by households each year, and more than $1.5 million in indirect business taxes are generated. St. HOPE’s dual education and economic development model also has allowed us to become a financially self-sustain- ing nonprofit, eliminating our dependence on donations for operational revenue for our economic development initiatives. This is significant in Sacramento because our region has the largest per capita number of nonprofits outside of Washington, D.C., but there are no Fortune 500 companies headquartered here. As many nonprofits know, fundraising is difficult when there are limited philanthropic dollars. Our business model generates revenue through real estate development, investments and operating companies. ... This strategy didn't happen overnight; it came from taking a broader view of the community and ensuring that our mission aligned with the neighborhood’s needs. 16 comstocksmag.com | June 2019