On the agenda: Arlington, TX Arlington Tomorrow Foundation Board Meeting - Mar 26, 2020 — Data Center (Apr 2)

Arlington City Hall
Arlington Conference Room A
3rd Floor
101 W. Abram Street
Arlington, TX 76004
MINUTES OF THE BOARD OF DIRECTORS OF THE ARLINGTON
TOMORROW FOUNDATION
FEBRUARY 25, 2020
The Board of Directors of the Arlington Tomorrow Foundation convened in Regular
Session on February 25, 2020, at 11:30 a.m., in Arlington City Hall, Arlington
Conference Room A, 3rd Floor, 101 W. Abram Street, Arlington, Texas, with the
meeting being open to the public and notice of said meeting, giving the date, place
and subject thereof, having been posted as prescribed by V.T.C.A., Government
Code, Chapter 551, with the following members present, to-wit:
Board members:
W. Jeff Williams
Marvin Sutton
Sheri Capehart
Victoria Farrar-Myers
Helen Moise
Ignacio Nuñez
Barbara Odom-Wesley

§
§
§
§
§
§
§

President
Treasurer
Secretary
Board member
Board Member
Board member
Board member

Absent:
Robert Shepard
Andrew Piel

§
§

Vice President
Board Member

And
Carolyn Mentesana
Trey Yelverton
Jennifer Wichmann
Mike Finley
Amy Trevino

Executive Director
City Manager
Assistant City Manager
Chief Financial Officer
Controller

Alex Busken
Beth Atkinson
Karen Roberts

I.

City Secretary
Assistant City Attorney
Grants Coordinator

Call to Order
President J. Williams called the meeting to order at 11:39 a.m.

II.

Approval of January 7, 2020 Board meeting minutes
Board member V. Farrar-Myers made a motion to approve the January 7,
2020 Board meeting minutes. Seconded by Board member B. OdomWesley, the motion carried with 6 ayes and 0 nays. (APPROVED)

III.

Approval of December 2019 and January 2020 financial reports
Board Secretary S. Capehart arrived at 11:41 a.m.
Treasurer M. Sutton, and Amy Trevino, Controller, presented the December
2019 and January 2020 financial reports.
Board member I. Nuñez made a motion to approve the December 2019 and
January 2020 financial reports. Seconded by Board member V. FarrarMyers, the motion carried with 7 ayes and 0 nays. (APPROVED)

IV.

Discussion on final applications and approval of grant
Carolyn Mentesana, Executive Director, provided information relative to
final applications.
1. COA Public Works and Transportation Department – LED Streetlight
Conversion: $616,000 requested
Board member B. Odom-Wesley made a motion to approve final grant
application on the condition that it be funded through the City grants
account. Seconded by Board Treasurer M. Sutton, the motion carried
with 7 ayes and 0 nays. (APPROVED)

V.

Approval of Advisory Committee recommendations on Letters of Inquiry
Carolyn Mentesana, Executive Director, provided information relative to
Advisory Committee recommendations on Letters of Inquiry.
1. Altruistic - The Community Co-Working Space: $40,000 requested

President J. Williams made a motion to decline invitation for a final grant
application. Seconded by Board Secretary S. Capehart, the motion
carried with 7 ayes and 0 nays. (DECLINED)
2. Arlington Animal Services Center – Center Generator: $450,000
requested
Committee Secretary S. Capehart made a motion to approve invitation
for a final grant application, Seconded by Board member H. Moise, the
motion carried with 7 ayes and 0 nays. (APPROVED)
3. Arlington Charities – Land Acquisition – Parking Expansion: $250,000
requested
President J. Williams made a motion to decline invitation for a final grant
application. Seconded by Board member V. Farrar-Myers, the motion
carried with 7 ayes and 0 nays. (DECLINED)
4. Arlington Heritage Memorial Grounds Corporation – Arlington Heritage
Memorial Grounds: $75,000 requested
Board member I. Nuñez made a motion to approve invitation for a final
grant application. Seconded by Board Treasurer M. Sutton, the motion
carried with 5 ayes, 1 nay, and 1 abstention. (APPROVED)
5. Arlington Kiwanis Foundation – Bringing Up Grades – Bikes for Tykes:
$10,000 requested
Board member V. Farrar-Myers made a motion to decline invitation for
a final grant application. Seconded by Board member I. Nuñez, the
motion carried with 7 ayes and 0 nays. (DECLINED)
6. Arlington-Mansfield Area YMCA – Capital Campaign – Adaptive Activity
Areas for People with Special Needs: $100,000 requested
Board member I. Nuñez made a motion to decline invitation for a final
grant application. Seconded by Board member B. Odom-Wesley, the
motion carried with 7 ayes and 0 nays. (DECLINED)
7. Downtown Arlington Management Corporation – Americana Tax
Festival – Underwriting Community Programming: $20,000 requested
Board member I. Nuñez made a motion to approve invitation for a final
grant application. Seconded by Board Treasurer M. Sutton, the motion
carried with 7 ayes and 0 nays. (APPROVED)

8. Girls Inc. Tarrant County – Whole Girl – At Risk Arlington: $20,000
requested
Board member I. Nuñez made a motion to decline invitation for a final
grant application. Seconded by Board member V. Farrar-Myers, the
motion carried with 7 ayes and 0 nays. (DECLINED)
9. James Martin High School Band Booster Club – Marching Band
Invitation: $3,240 requested
Board member V. Farrar-Myers made a motion to decline invitation for
a final grant application. Seconded by Board member B. Odom-Wesley,
the motion carried with 7 ayes and 0 nays. (DECLINED)
10. Joy of New Life – Helping Hands: $25,000 requested
Board member V. Farrar-Myers made a motion to decline invitation for
a final grant application. Seconded by Board member B. Odom-Wesley,
the motion carried with 7 ayes and 0 nays. (DECLINED)
11. Metro Sports Foundation – Metro Sports Fieldhouse Family Health and
Wellness: $10,00 requested
Board member I. Nuñez made a motion to approve invitation for a final
grant application. Seconded by Board member V. Farrar-Myers, the
motion carried with 7 ayes and 0 nays. (DECLINED)
12. National Medal of Honor Museum Foundation – Capital Campaign
Support: Partial Underwriting of the Architectural Design and Plans:
$5,000,000 requested
Board member V. Farrar-Myers made a motion to approve invitation for
a final grant application. Seconded by Board member I. Nuñez, the
motion carried with 7 ayes and 0 nays. (APPROVED)
13. Safehaven of Tarrant County – Arlington Expansion Project: $250,000
requested
Board member B. Odom-Wesley made a motion to transfer this request
to the Community Development Block Grant funds. Seconded by Board
Treasurer M. Sutton, the motion carried with 7 ayes and 0 nays.
(Transferred to CDBG)
14. Sam Houston High School Alumni – Expansion of Support Program:
$15,000 requested

Board member B. Odom-Wesley made a motion to decline invitation for
a final grant application. Seconded by Board Treasurer M. Sutton, the
motion carried with 7 ayes and 0 nays. (DECLINED)
15. Tarrant County Association for the Blind – Rehab on the Road: $10,000
requested
Board Treasurer M. Sutton made a motion to decline invitation for a final
grant application. Seconded by Board member I. Nuñez, the motion
carried with 7 ayes and 0 nays. (DECLINED)
16. Zenith Rock – Remodel of Existing Zenith Rock Child Care Center and
Adult Center: $500,000 requested
Board member V. Farrar-Myers made a motion to decline invitation for
a final grant application, with the recommendation that the applicant
reapply for funding related to a feasibility study related to childcare
services. Seconded by Board member H. Moise, the motion carried with
7 ayes and 0 nays. (DECLINED)
VI.

Future Agenda Items
President J. Williams requested a future agenda item related to review of
the Foundation’s mission statement.

VII.

Adjourn
There being no further business, the meeting was adjourned at 12:58 p.m.

__________________________
W. Jeff Williams, President
______________________________
Sheri Capehart, Secretary
ATTEST:
__________________________
Alex Busken, City Secretary

ATF FINANCIAL DASHBOARD
as of February 29, 2020
KEY DATA
Corpus
Reserve

$67,485,259
$3,254,059

BALANCE
General Grants
Large Grants
Community Enrichment
COA Dept
Sub-Total General Grant Capacity

Feb
$2,049,462
$123,200
-$416,950
$1,755,712

Jan
$4,100,183
$486,542
$466,062
$5,052,787

COMMITMENTS
General Grants
Large Grants
Community Enrichment
COA Dept
Sub-Total General Grant Commitments

Other Grants
Parks
Cemetery
Airport
Human Resources
Sub-Total Other Grant Capacity

$1,125,156
$80,446
$1,700,438
$420,554
$3,326,594

$1,986,172
$88,226
$2,072,053
$491,768
$4,638,219

$9,691,006

Granting Capacity

$5,082,306

Feb
$2,603,000
$12,750
$1,266,000
$3,881,750

$2,603,000
$12,750
$650,000
$3,265,750

Other Grants
Parks
Cemetery
Airport
Human Resources
Sub-Total Other Grant Commitments

$0
$0
$0
$0
$0

$0
$0
$0
$0
$0

Total Prior Yr Grant Commitments
Total Current Yr Grant Commitments
Total Commitments

$1,862,750
$2,019,000
$3,881,750

$1,862,750
$1,403,000
$3,265,750

Jan

BALANCE
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$$(500,000)
$(1,000,000)

Totals

Large Grants

Community
Enrichment

COA Dept

Parks

Cemetery

Airport

Human Resources

$2,049,462

$123,200

$(416,950)

$1,125,156

$80,446

$1,700,438

$420,554

Annualized last 12 months

CPI
2.50

CPI less F&E
2.10

CPI Annual Target
$
2,346,177

Inflation data is presented for purposes of adjusting Corpus to include changes in CPI. At current rates, Corpus would need to be increased by $2,346,177.
The interest payback from the City is reflected above in the granting capacity number.

Arlington Tomorrow Foundation
Corpus / Net Position Reconciliation
FY 2020
February 2020 Corpus
Reserve Balance
Beginning granting capacity from activity statement
YTD interest income
Realized (loss) / gain
Net increase/(decrease) in FMV
Operating expense / transfer
Interest payback from City (Q1)
Grant commitments FY20
Rounding variance
Airport land purchase expenditures
Unused grant money (prior FY)
Communities Foundation of TX
Prior yr admin exp
Total reconciling items

$

67,485,258.95

$

3,254,059.00
7,121,282.42
244,092.96
(893,210.67)
(115,885.41)
312,813.74
(2,492,434.78)
(0.01)
(6,553.92)
342.00
500.00
354.87
7,425,360.20

February 2020 Net Position

in net position - not in corpus
in net position - not in corpus
in net position - not in corpus
in net position - not in corpus
in net position - not in corpus
in net position - not in corpus
in net position - not in corpus
in net position - not in corpus
in net position - not in corpus
in net position - not in corpus
in net position - not in corpus
in net position - not in corpus
in net position - not in corpus

74,910,619.15
$

74,910,619.15
-

Net Position as stated on Bal Sheet
variance

Arlington Tomorrow Foundation
Reserve Schedule of Activity
February 2020
FY 2020
Beginning
Reserve Fund
Balance
+
General - Large Grants
General - Community Enrichment Grants
General - COA Department Grants

$

Park Gas
Cemetery & Airport Gas
Ending Reserve Totals

1,677,342.34
296,001.50
219,261.19

Current Year
Reserve Fund
Disbursements
$

687,406.54
301,944.43
$

3,181,956.00

Current Year
Reserve Fund
Commitments
-

$

$

-

-

Current Year
CPI Adjustment
+
$

$

-

38,008.45
6,707.40
4,968.46

$

15,576.64
6,842.06
$

The Board approved a $1.9M CPI adjustment to the corpus on Nov 17, 2015 and $57K to the reserve account (3% of the $1.9M).

Total amount $1,957,000.
The Board approved a $1M grant commitment for the River Legacy Project on April 26, 2016.
The Board approved a CPI adjustment of $2,445,600 to the corpus and $73,368 to the reserve account (3% of the $2,445,600).

(Based on Sept 30, 2016's CPI information.) Total amount $2,518,968.
The Board approved a CPI adjustment of $1,719,615 to the corpus and $51,588 to the reserve account (3% of the $1,719,615).

(Based on Sept 30, 2017's CPI information.) Total amount $1,771,203.
The Board approved a CPI adjustment of $2,403,438 to the corpus and $72,103 to the reserve account (3% of the $2,403,438).

(Based on Sept 30, 2018's CPI information.) Total amount $2,475,541. (January 8, 2019 Board meeting.)

Ending
Reserve Fund
Balance
=

72,103.00

1,715,350.79
302,708.90
224,229.65
702,983.18
308,786.49

$

3,254,059.00

Outstanding Grant Commitments through February 29, 2020
Board Approval
Date

FY

Grant Recipient

Balance

Large Grants - 9912607
9/26/2017
6/12/2018
4/23/2019
6/6/2019
10/29/2019
10/29/2019
10/29/2019
1/7/2020

2017
2018
2019
2019
2020
2020
2020
2020

Friends of the Levitt Pavillion
Green Oaks Education
Boys & Girls Club of Greater Tarrant County
Texas Health Resources
MHMR Visions
Miracle Fields of DFW
Mission Arlington Mission Metroplex
Alliance for Children

250,000
750,000
150,000
50,000
200,000
100,000
103,000
1,000,000

Community Enrichment - 1912608
8/20/2019

2019

Travel & Sports Legacy Foundation

12,750

COA Grants 9912609
4/23/2019
2/25/2020

2019
2020

Parks & Recreation Dept
Public Works & Tranportation

650,000
616,000

2017
2018
2019
2020

Total Outstanding Commitments (Prior Yr Awarded Grants: 9912607-9912609 (2017)
Total Outstanding Commitments (Prior Yr Awarded Grants: 9912607-9912609 (2018)
Total Outstanding Commitments (Prior Yr Awarded Grants: 9912607-9912609 (2019)
Total Outstanding Commitments (Current Yr Awarded Grants: 9912607-9912609 (2020)

250,000
750,000
862,750
2,019,000
3,881,750

4

Arlington Tomorrow Foundation
Schedule of Activity
February 2020
(October 1, 2019 thru September 30, 2020)
FY19
Beginning
Balance
+

General Gas Lease Funds
Corpus =
Human Resources =

$

General - Large Grants
General - Community Enrichment Grants
General - COA Department Grants
Human Resources

$

100.0%

Corpus =

$

Park Grants

100.0%

$
$

97.94%
2.06%

Total Single Purpose Funds

100.0%

Total Gas Lease Funds

3,614,346.95
151,321.41
167,223.82
432,182.45

$

Current Year
Grants
Paid Out
-

Current Year
Grant / Budget
Commitments
-

Current Year
Interest due from
City to Foundation
+

Remaining
Balance

$

642,129.38
113,316.95
84,073.87

2,049,462.46
123,199.65
(416,949.96)
420,554.16

839,520.20

2,176,266.31

=

57,743.73
10,231.11
7,518.31
2,015.21

$

67,550.43
11,968.66
8,795.15
2,357.46

$

(458,488.99) $
(81,235.63)
(59,695.88)
(16,000.96)

67,819.04
11,968.07
8,865.23
-

$

403,000.00
70,434.78
-

$

473,434.78

1,403,000.00
616,000.00
-

4,365,074.63

77,508.36

90,671.70

(615,421.46)

88,652.34

1,017,821.33

24,298.70

28,425.38

(192,933.29)

15,644.53

-

-

263,187.76

1,125,155.35

1,017,821.33

24,298.70

28,425.38

(192,933.29)

15,644.53

-

-

263,187.76

1,125,155.35

1,659,059.75
79,326.71

10,466.77
220.15

12,244.36
257.54

(83,107.88)
(1,748.04)

11,588.54
-

-

-

113,363.94
2,389.93

1,700,438.40
80,446.29

1,738,386.46
$

$

Current Year
Operating
Expense
-

2,019,000.00

10,438,747.93
220,069.01
10,658,816.94

Airport Projects
Cemetery Maintenance

Total Corpus

Current Year
Changes in FMV
(Loss) / Gain
+/-

24,265,267.70

Total Park Gas Lease Funds

Single Purpose Gas Lease Funds
Airport Corpus =
Cemetery Corpus =

Current Year
Diversified
Interest
+

31,790,583.49
770,590.78

76.5%
13.5%
10.0%

Total General Gas Lease Funds

Current Year
Interest
Income
+

67,485,258.91

7,121,282.42

10,686.92
$

112,493.98

12,501.90
$

131,598.98

$

(84,855.92)

11,588.54

(893,210.67) $

115,885.41

$

473,434.78

$

2,019,000.00

115,753.87
$

1,218,461.83

1,780,884.69
$

5,082,306.35

Arlington Tomorrow Foundation
Change in Corpus by Fiscal Quarter
Inception through December 2019
FY 2020
FY Quarter

Fiscal Month

1st Qtr 2008
2nd Qtr 2008
3rd Qtr 2008
4th Qtr 2008
1st Qtr 2009
2nd Qtr 2009
3rd Qtr 2009
4th Qtr 2009
1st Qtr 2010
2nd Qtr 2010
3rd Qtr 2010
4th Qtr 2010
1st Qtr 2011
2nd Qtr 2011
3rd Qtr 2011
4th Qtr 2011
1st Qtr 2012
2nd Qtr 2012
3rd Qtr 2012
4th Qtr 2012
1st Qtr 2013
2nd Qtr 2013
3rd Qtr 2013
4th Qtr 2013
1st Qtr 2014
2nd Qtr 2014
3rd Qtr 2014
4th Qtr 2014
1st Qtr 2015
2nd Qtr 2015
3rd Qtr 2015
4th Qtr 2015
1st Qtr 2016
2nd Qtr 2016
3rd Qtr 2016
4th Qtr 2016

December 2007
March 2008
June 2008
September 2008
December 2008
March 2009
June 2009
September 2009
December 2009
March 2010
June 2010
September 2010
December 2010
March 2011
June 2011
September 2011
December 2011
March 2012
June 2012
September 2012
December 2012
March 2013
June 2013
September 2013
December 2013
March 2014
June 2014
September 2014
December 2014
March 2015
June 2015
September 2015
December 2015
March 2016
June 2016
September 2016

General Gas
16,169,587
16,201,871
16,213,617
19,299,485
19,188,170
19,591,490
19,570,517
21,934,241
22,258,586
22,666,276
23,910,718
27,607,762
28,331,118
29,078,791
29,598,384
32,829,953
34,053,169
34,672,580
35,175,949
38,369,027
38,788,737
39,239,180
39,636,290
42,800,851
43,139,395
43,569,483
44,032,267
46,804,253
68,407,512
68,401,679
68,401,679
68,401,679
19,707,255
19,707,255
19,707,255
19,707,255

Park Gas
12,798,158
12,852,282
14,003,364
20,058,233
25,312,878
25,430,962
25,543,032
25,782,315
26,139,533
26,292,734
28,542,583
29,402,914
29,707,625
31,317,653
32,288,854
34,197,864
35,437,403
36,659,148
37,024,500
37,960,752
38,441,135
39,155,990
39,772,889
40,584,643
41,077,622
41,677,284
42,359,901
43,206,518
21,603,259
21,609,092
21,609,092
21,609,092
22,013,721
22,013,721
22,013,721
22,013,721

Airport Gas
5,919,559
5,919,559
5,919,559
5,919,559
5,928,753
5,928,753
5,930,875
5,927,198
5,981,297
5,981,297
5,985,374
5,985,374
5,985,374
6,316,570
6,836,528
7,216,558
7,350,563
7,541,262
7,597,514
7,691,500
7,777,018
7,930,461
7,994,674
8,224,494
8,363,091
8,570,005
8,815,628
9,293,308
9,293,308
9,293,308
9,293,308
9,293,308
9,469,881
9,469,881
9,469,881
9,469,881

Cemetery
135,859
135,859
135,859
135,859
135,859
135,859
135,859
135,859
135,859
147,283
152,631
161,733
166,564
168,903
170,500
174,298
176,894
178,862
180,095
182,369
184,414
187,265
187,832
189,115
190,677
195,921
195,921
195,921
195,921
195,921
199,644
199,644
199,644
199,644

Human Resources
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
500,000
509,500
509,500
509,500
509,500

Total Corpus
35,387,304
35,473,712
36,772,399
45,913,135
51,065,659
51,587,065
51,680,284
54,279,613
55,015,275
55,576,165
59,074,533
63,643,332
64,676,748
67,374,748
69,390,330
74,913,277
77,511,635
79,547,288
80,474,857
84,700,140
85,686,985
87,008,000
88,088,268
92,297,254
93,267,940
94,505,887
95,898,473
100,000,000
100,000,000
100,000,000
100,000,000
100,000,000
51,900,000
51,900,000
51,900,000
51,900,000

Change in Corpus
35,387,304
86,408
1,298,687
9,140,736
5,152,524
521,406
93,219
2,599,329
735,662
560,890
3,498,368
4,568,799
1,033,416
2,698,000
2,015,582
5,522,947
2,598,358
2,035,652
927,570
4,225,283
986,844
1,321,015
1,080,268
4,208,986
970,686
1,237,947
1,392,586
4,101,527
0
0
0
0
(48,100,000)
0
0
0

Arlington Tomorrow Foundation
Change in Corpus by Fiscal Quarter
Inception through December 2019
FY 2020
FY Quarter

Fiscal Month

1st Qtr 2017
2nd Qtr 2017
3rd Qtr 2017
4th Qtr 2017
1st Qtr 2018
2nd Qtr 2018
3rd Qtr 2018
4th Qtr 2018
1st Qtr 2019
2nd Qtr 2019
3rd Qtr 2019
4th Qtr 2019
1st Qtr 2020
2nd Qtr 2020
3rd Qtr 2020
4th Qtr 2020

December 2016
March 2017
June 2017
September 2017
December 2017
March 2018
June 2018
September 2018
December 2018
March 2019
June 2019
September 2019
December 2019
March 2020
June 2020
September 2020

General Gas
22,043,147
21,935,926
22,591,950
23,252,394
24,619,440
25,290,320
25,966,232
26,647,213
28,990,272
29,682,523
30,379,966
31,082,640
31,790,583

Park Gas
22,542,050
23,051,038
23,051,038
23,051,038
23,746,125
23,746,125
23,746,125
23,746,125
24,265,268
24,265,268
24,265,268
24,265,268
24,265,268

Airport Gas
9,697,158
9,916,115
9,916,115
9,916,115
10,215,128
10,215,128
10,215,128
10,215,128
10,438,748
10,438,748
10,438,748
10,438,748
10,438,748

Cemetery
204,435
209,051
209,051
209,051
215,355
215,355
215,355
215,355
220,069
220,069
220,069
220,069
220,069

Human Resources
521,728
564,278
581,154
598,655
633,850
651,123
668,525
686,057
702,712
719,492
736,398
753,431
770,591

Total Corpus
55,008,518
55,676,408
56,349,307
57,027,253
59,429,898
60,118,051
60,811,365
61,509,878
64,617,069
65,326,100
66,040,449
66,760,155
67,485,259

Change in Corpus
3,108,518
667,890
672,899
677,946
2,402,645
688,153
693,314
698,514
3,107,191
709,031
714,349
719,706
725,104

Arlington Tomorrow Foundation
Balance Sheet
February 2020
Administration

Assets
Cash
Investments
Accounts Receivable - Royalty
Net increase in investment
fair market value
Accrued interest receivable
Total Assets

$

Park Gas
Lease Funds

$

14,325,049.32 $
28,278,755.15
(1,152,335.36)
41,451,469.11 $

791,324.42 $
24,540,527.58
(265,474.07)
25,066,377.93 $

$

3,881,750.00
3,881,750.00

$

16,218.93
16,218.93

$

33,583.41
33,583.41

$

(17,364.48)
(17,364.48) $

Liabilities
Accounts payable & accrued liabilities
Accrued payroll
Accrued comp absenses
Deferred revenue

Net Position
Current year earnings
Assigned for future initiatives
Prior year net position
Restricted net position

General Gas
Lease Funds

$

$

(2,074,412.01)
2,242,289.34
37,401,841.78
37,569,719.11 $

-

Single Purpose
Gas Lease Funds

$

(85,941.77)
702,983.17
24,449,336.53
25,066,377.93 $

Combined Gas
Lease Funds

1,644,081.57 $
10,780,717.27
(132,912.25)
12,291,886.59 $

-

16,776,674.24
63,600,000.00
(1,550,721.68)
78,825,952.56

$

3,881,750.00
33,583.41
3,915,333.41

(41,801.88)
308,786.49
12,024,901.98
12,291,886.59 $

(2,219,520.14)
3,254,059.00
73,876,080.29
74,910,619.15

Arlington Tomorrow Foundation
Income Statement
For Five Months Ended
February 29, 2020
Administration

Revenues
Contribution from lease bonus
Gas lease royalties
Other revenue (int & corpus payback)
Net increase (decrease) in FMV
Interest income
Diversified interest income
Realized gain / (loss) on investments
Total income

$

$

Expenses
Grant disbursements
Arlington workforce disbursements
Reserve disbursements
Salaries & benefits
Operating expense
Transfers in / out
Expense allocation

-

General Gas
Lease Funds

$

$

84,880.31
31,005.10
(98,520.93)

Park Gas
Lease Funds

$
940,632.68
(615,421.46)
77,508.36
90,671.70
493,391.28 $

2,492,434.78
75,368.51

Total expense

$

17,364.48

$

Excess of revenue
over expense

$

(17,364.48) $

2,567,803.29

$

(2,074,412.01) $

Single Purpose
Gas Lease Funds

Combined Gas
Lease Funds

$
67,567.77
(192,933.29)
24,298.70
28,425.38
(72,641.44) $

$
29,717.31
(84,855.92)
10,686.92
12,501.90
(31,949.79) $

1,037,917.76
(893,210.67)
112,493.98
131,598.98
388,800.05

13,300.33

9,852.09

2,492,434.78
84,880.31
31,005.10
-

13,300.33

$

(85,941.77) $

9,852.09

$

2,608,320.19

(41,801.88) $

(2,219,520.14)

Arlington Tomorrow Foundation | Fiscal First Quarter 2020

Quarterly Investment Review
Visit the Retirement and Investments Thought Leadership Site (https://retirement-investment-insights.aon.com); sharing our best thinking.

Table of Contents
1
2
3
4
5

Total Fund
Manager Profiles
Market Environment
Appendix
Investment Policy Statement

5
9
13
27
39

Aon Happenings
Aon launches 2020 Webinar Series with Global Market Outlook and
SECURE Act Webinars
In January, Aon’s Investment Solutions team shared our market outlook for
2020 and the corresponding impact for client portfolios.
View: https://retirement-investment-insights.aon.com/retirementinvestment-insights/aon-2020-market-outlook-webinar
Aon also provided insights into the new SECURE legislation and what the
rules could mean for plan sponsors. View: https://retirement-investmentinsights.aon.com/retirement-investment-insights/aon-retirementtransformed-new-legislation-including-the-secure-act-webinar
We continue our webinar series on March 3, by asking "How do you create
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See the announcement at: https://dciia.org/news/486046/DCIIA-Elects-20202021-Executive-Committee.htm
This site contains information that has been created, published, maintained or otherwise posted by institutions or
organizations independent of AHIC. AHIC does not endorse, approve, certify or control these websites and does not
assume responsibility for the accuracy, completeness or timeliness of the information located there

1

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Opinions, estimates, forecasts, and statements on financial market trends that are based on current market conditions constitute our judgment and are subject to change without notice.
The views and strategies described may not be suitable for all investors. References to specific securities, asset classes, and financial markets are for illustrative purposes only and are not
intended to be, and should not be interpreted as, recommendations.

2

AHIC’s Key Themes for Endowments and Foundations

Market Environment

Current Investment Themes

Long-Term Strategy

 Return outlook materially worse across
equities and bonds
 Risks appear higher than normal
medium-term given confluence of
valuation and economic/interest rate
environment challenges
 Lower return for higher risk is a major
challenge for portfolios in the mediumterm

 Accepting lower returns – greater use of
alternatives can partly protect return
profile
 Looking for lower correlations: Asset
class approaches less correlated to rising
equity and credit markets (e.g. alternative
risk premia, bank capital relief, insurancelinked securities)
 Adopting conservative and higher quality
approaches and strategies, portfolio wide
 Less reliance on credit more reliance on
government bonds
 Considering more asset class exposure
that benefits from a low interest rate
environment owing to higher reliance on
income – e.g. real estate, infrastructure

 Investment Related
− Consider opportunities to capture
illiquidity premium such as private
debt
− Consider the role of an Opportunity
Allocation in your portfolio as a way
to source new ideas which don’t
have a designated allocation yet
− Consider reviewing the results of
Aon’s Global Responsible
Investments Survey as a way to
educate stakeholders on industry
trends
− Review existing long/short equity
strategies to ensure the fee structure
is fair and risk exposures fit the
portfolio needs
 Governance Related
− Consider doing an Investment
Program Analyzer to survey
stakeholders about opportunities to
improve decision-making processes

The opinions referenced are as of December 31, 2019 and are subject to change due to changes in the market or economic conditions and may not
necessarily come to pass. Information contained herein is for informational purposes only and should not be considered investment advice. Diversification
does not ensure a profit nor does it protect against loss of principal. Diversification among investment options and asset classes may help to reduce overall
volatility.

3

4

Total Fund

5

As of December 31, 2019

Asset Allocation & Performance

Total Fund
Total Fund Benchmark
Global Equity
FTSE Global All Cap Index

Allocation
Market
Value
%
($)
67,315,861
100.0

56,292,019

Performance(%)
1
Quarter

1
Year

3
Years

5
Years

Since
Inception

Inception
Date

7.7
7.8

25.5
25.6

12.4
12.1

8.7
8.8

7.5
7.2

06/01/2012

9.1
9.1

26.8
26.9

12.6
12.5

6.9
8.7

9.5
10.8

08/01/2012

8.5

25.6

11.1

7.5

10.4

9.0
9.1

26.8
26.9

12.5
12.5

8.7
8.7

10.7
10.8

8.5

25.6

11.1

7.5

10.4

1.2
1.3

4.4

6.1

8.0

2.5
2.4

0.2

27.3

8.1

6.9

7.4

1.2
1.3

4.4

6.1

8.0

2.5
2.4

0.2

27.3

8.1

6.9

7.4

83.6

IM Global Equity (MF) Median

Vanguard Total World Stock Index
FTSE Global All Cap Index

56,292,019

83.6

IM Global Equity (MF) Median

Real Estate
NCREIF ODCE Index (Net)

10,598,603

15.7

IM Real Estate Sector (MF) Median

MetLife Commercial Mortgage Income Fund
NCREIF ODCE Index (Net)

10,598,603

15.7

IM Real Estate Sector (MF) Median

Cash

425,240

0.6

In late 2015, the Foundation liquidated all of its fixed income investments to fund community development.
The remaining balance was allocated to Vanguard Total World Stock Index.

6

08/01/2012

07/01/2019

07/01/2019

Arlington Tomorrow Foundation

As of December 31, 2019

Risk Analysis

Risk and Return - Since Inception

Growth of a Dollar - Since Inception
$2.20

10.0

$2.00
8.0
Total Fund

$1.80
Total Fund Benchmark

$1.73
$1.70

Return (%)

6.0

$1.60

$1.40
4.0

$1.20
2.0

$1.00
FTSE 3 Month T-Bill

$0.80

0.0

$0.60
5/12

-2.0
0.0

2.0

4.0

6.0

8.0

10.0

12.0

14.0

Risk (Standard Deviation %)

7

2/13 11/13
Total Fund

8/14

5/15

2/16

11/16

8/17

5/18

Total Fund Benchmark

2/19

12/19

8

Manager Profiles

9

Vanguard Total World Stock Index

As of December 31, 2019

Vanguard Total World Stock Index Performance Summary
Account Information
Vanguard T WldStk;ETF (VT)
Vanguard Group Inc
VT
IM Global Equity (MF)
FTSE Global All Cap Index
06/24/2008
Franquin/Geiger
$13,549.60 Million
12/31/2019
0.09%
0.09%
9%

30.0

Return

Product Name :
Fund Family :
Ticker :
Peer Group :
Benchmark :
Fund Inception :
Portfolio Manager :
Total Assets :
Total Assets Date :
Gross Expense :
Net Expense :
Turnover :

Return Summary
40.0

26.8

26.9

20.0
12.5

10.0

9.0

9.1

9.0

12.5

9.1

10.7
8.7

10.8

8.7

0.0
FYTD

1
Quarter

1
Year

3
Years

5
Years

Inception
8/1/12

Vanguard Total World Stock Index
FTSE Global All Cap Index

Quarterly Excess Performance

Ratio of Cumulative Wealth - 3 Years

0.8%
1.01

0.4%

0.0%
1.00

1.00

-0.4 %

-0.8 %
0.99
12/16

6/17

12/17

6/18

-1.2 %
1/17

7/17

1/18

Monthly Out Performance

7/18

1/19

7/19

12/19

Vanguard Total World Stock Index
Benchmark

Monthly Under Performance

The fee shown is sourced from Lipper and is lagged. See page 24 for current fee.

10

12/18

6/19

12/19

As of December 31, 2019

Peer Group Analysis
IM Global Equity (MF)
65.0

50.0

35.0

Return

20.0

5.0

-10.0

-25.0

-40.0

-55.0

1
Quarter
9.0 (42)
9.1 (41)

5th Percentile
1st Quartile
Median
3rd Quartile
95th Percentile
Population

¢ Vanguard Total World Stock Index Fund
˜ FTSE Global All Cap Index

3
Years
12.5 (37)
12.5 (37)

5
Years
8.7 (31)
8.7 (31)

2018

2017

2016

9.0 (42)
9.1 (41)

1
Year
26.8 (42)
26.9 (41)

-9.7 (50)
-9.7 (51)

24.2 (38)
24.2 (38)

8.8 (38)
8.8 (38)

14.4
10.4
8.5
6.1
3.5

14.4
10.4
8.5
6.1
3.5

36.5
29.4
25.6
20.4
10.1

19.4
14.1
11.1
8.5
0.7

12.8
9.3
7.5
5.7
-0.3

-0.8
-6.6
-9.7
-13.7
-23.4

40.8
26.9
22.1
17.1
5.4

28.1
10.9
7.4
3.4
-7.2

324

324

324

324

324

349

358

358

FYTD

Parentheses contain percentile rankings.

11

Vanguard T WldStk;ETF (VT)

As of December 31, 2019

Mutual Fund Attributes
Vanguard T WldStk;ETF (VT)
Asset Allocation As of 11/30/2019

Equities

Fund Characteristics As of 11/30/2019
Total Securities
8,184
Avg. Market Cap
$153,292.40 Million
P/E
26.20
P/B
5.48
Div. Yield
2.69%
Annual EPS
18.76
5Yr EPS
12.64
3Yr EPS Growth
15.99

98.8%

Cash

0.8%

Other

0.4%

Fixed Income

0.0%

Convertibles

0.0%

0.0%

50.0%

Top Ten Securities As of 11/30/2019
Apple Inc ORD
Microsoft Corp ORD
Amazon.com Inc ORD
Facebook Inc ORD
JPMorgan Chase & Co ORD
Alphabet Inc ORD 1
Alphabet Inc ORD 2
Johnson & Johnson ORD
Berkshire Hathaway Inc ORD
Visa Inc ORD

100.0%

150.0%

Regional Allocation As of 11/30/2019
2.17 %
2.05 %
1.33 %
0.86 %
0.75 %
0.73 %
0.68 %
0.65 %
0.57 %
0.57 %

North America

56.6%

Europe

20.2%

Pacific Basin

11.5%

Emerging Asia

8.1%

Emg. MidEast, Africa, Europe

1.6%

Emerging Latin America

1.3%

Other

0.6%

0.0%

12

25.0%

50.0%

75.0%

100.0%

Market Environment

13

Global Equity Markets

GLOBAL MSCI IMI INDEX RETURNS (USD)
AS OF 12/31/2019
35%

Fourth Quarter 2019

30.4%

30%

27.9%

26.4%

25%

25.0%

23.2%

21.6%

15%
9.0%

9.2%

ACWI IMI

Source: MSCI

45.1%
ACWI ex-U.S.
IMI

18.3%

11.4%
8.9%

54.9%
USA IMI

5.0%
UK IMI

17.6%
11.6%

7.7%

5.6%

5%
0%

21.5%

19.6%

20%

10%

One-Year

7.6%
Japan IMI

3.0%
Canada IMI

7.3%

0.2%
Israel IMI

9.0%
5.7%

13.6%
3.6%
Europe ex-UK Pacific ex-Japan
IMI
IMI

12.0%
Emerging
Markets IMI

 The announcement of a “phase one” U.S.-China trade deal, progress on the U.S.-Mexico-Canada agreement
(USMCA) and easing Brexit fears led to a resurgence in risk appetite and boosted equity markets. Accommodative
monetary policies from major central banks meanwhile continue to provide further support for risk assets. In local
currency terms, the MSCI AC World Investable Market Index returned 7.8% in Q4 2019 and the depreciation of the
U.S. dollar provided an additional boost to 9.0% in USD terms.
 Previous laggards in terms of 2019 performance, Emerging Markets (EM) equities, were the strongest performers
(11.6%) over the quarter benefiting from the “risk-on” environment and the thawing of trade tensions. With the
exception of Indian equities, all other major EM regions delivered double-digit returns. This did, however, come
against a backdrop where China recorded the slowest economic growth rate in nearly 30 years as their economy
expanded by 6.0% year-on-year in the third quarter.
 Canadian equities markets returned the least with a still respectable quarterly return of 5.6% in USD-terms.
Canadian Prime Minister Justin Trudeau’s Liberal party retained power after winning general election but fell short of
a majority.
Aon
Proprietary & Confidential
Investment advice and consulting services provided by Aon Hewitt Investment Consulting, Inc., an Aon Company.

14

Global Equity Markets

MSCI ALL COUNTRY WORLD IMI INDEX
GEOGRAPHIC ALLOCATION AS OF 12/31/2019

Pacific ex-Japan
3.6%
Canada
3.0%
UK
5.0%

Japan
7.6%
Europe ex-UK
13.6%

Israel
0.2%

Emerging
Markets
12.0%
USA
54.9%

Source: MSCI



MSCI ALL COUNTRY WORLD EX-U.S. IMI INDEX
GEOGRAPHIC ALLOCATION AS OF 12/31/2019
Israel
0.5%

Latin
America
1.4%
Asia
8.8%

Emerging
Markets
26.6%

Japan
16.9%

Eastern
Europe,
Middle
East &
Africa
1.8%

Latin America
3.1%

Europe ex-UK
30.2%

Pacific ex-Japan
7.9%
Source: MSCI

Canada
6.7%

UK
11.2%

Asia
19.5%
Eastern
Europe,
Middle
East &
Africa
4.0%

The two exhibits on this slide illustrate the percentage that each country/region represents of the global and
international equity markets as measured by the MSCI All Country World IMI Index and the MSCI All Country World
ex-U.S. IMI Index, respectively.

Aon
Proprietary & Confidential
Investment advice and consulting services provided by Aon Hewitt Investment Consulting, Inc., an Aon Company.

15

U.S. Equity Markets

Fourth Quarter 2019
One-Year

RUSSELL STYLE RETURNS
AS OF 12/31/2019
40.0%
35.0%
30.0%

36.5%

50.0%

35.5%

31.0%

46.7%

28.5% 40.0%

27.1%

26.4%

25.0%

22.4%

31.0%

30.0%

10.0%

9.1%

11.3%
8.0%

6.4%

8.2%

11.4%
8.5%

20.0%
10.0%

14.3%

0.0%

Russell
3000

30.1%
Large
Value

38.1%
Large
Growth

15.2%
Medium
Value

10.0%
Medium
Growth

3.2%
Small
Value

3.3%
Small
Growth

Source: Russell Indexes

Russell
3000

32.9%

27.1%

25.5%

23.8%

14.9%
9.6%

9.1%

6.3%

5.0%
0.0%

30.7%

28.7%
22.1%

20.0%
15.0%

Fourth Quarter 2019
One-Year

RUSSELL GICS SECTOR RETURNS
AS OF 12/31/2019

21.4%
13.9%
14.4%
Te chnology Healthcare Cons. Disc

4.7%

5.7%
Cons.
Staples

5.7%

7.0%

6.4%

7.6%
1.5%

5.1%
Energ y

3.4%
10.5%
Materials & Produ cer
Processing Durables

20.4%
Financial
Services

5.1%
Utilities

Source: Russell Indexes



Three major U.S. equity indices (S&P 500, Dow Jones Industrial Average and Nasdaq Composite) touched record
highs over the quarter; the truce in the U.S.-China trade war providing a significant tailwind. The Russell 3000 Index
rose 9.1% during the fourth quarter and 31.0% over the one-year period.



Healthcare (14.9%) and Technology (14.3%) were the best performers over the quarter. The former benefited from the
falling popularity of Democratic Presidential candidate Elizabeth Warren whom advocated significant healthcare reform
which has previously been a headwind for pharmaceuticals. As economic data stabilized over the quarter, more
defensive sectors underperformed with Utilities (1.5%) and Consumer Staples (4.7%) the worst performing sectors.



Performance was positive across the market capitalization spectrum over the quarter. Small cap stocks outperformed
both large and medium cap stocks over the quarter. Growth stocks outperformed their Value counterparts in Q4 2019
and over the last year.

Aon
Proprietary & Confidential
Investment advice and consulting services provided by Aon Hewitt Investment Consulting, Inc., an Aon Company.

16

U.S. Fixed Income Markets

BLOOMBERG BARCLAYS AGGREGATE RETURNS BY
MATURITY AS OF 12/31/2019

BLOOMBERG BARCLAYS AGGREGATE RETURNS BY SECTOR
AS OF 12/31/2019

25.0%

16.0%
14.0%
12.0%
10.0%
8.0%
6.0%
4.0%
2.0%
0.0%
-2.0%

14.5%

8.7%





8.3%

6.8%

6.4%

15.0%
9.8%

10.0%

4.5%
5.0%

1.2%

0.2%
Bar clays A gg.
Bon d

Source: FactSet



19.6%

20.0%

-0.8%

42.8%
Govt

0.7%

0.4%

Fourth Quarter 2019

28.3%
MBS

0.5%
ABS

0.5%

0.5%

0.0%
0.0%

-0.3%
26.3%
Corp.

4.0%
0.6%

7.3%

6.3%

2.2%
CMBS

One-Year

-5.0%
1-3 Yr.

3-5 Yr.

5-7 Yr.

Fourth Quarter 2019

Source: FactSet

7-10 Yr.

-1.1%
>10 Yr.

One-Year

BLOOMBERG BARCLAYS AGGREGATE RETURNS BY QUALITY
Against a backdrop of rising yields, the Bloomberg
AND HIGH YIELD RETURNS AS OF 12/31/2019
Barclays U.S. Aggregate Bond Index rose by 0.2% over 18.0%
16.4%
the quarter. Corporate bonds were the best performers, 16.0%
13.0%
returning 1.2% while Government bonds underperformed 14.0%
12.0%
with a return of -0.8%.
9.5%

14.3%

10.0%

Within credit, greater risk appetite led to outperformance 8.0%
of lower quality corporate bonds. High yield bonds
6.0%
returned 2.6% with spread narrowing offsetting the impact 4.0%
of higher underlying government bond yields while AAA- 2.0%
0.0%
rated bonds underperformed with a return of -0.2%.
-2.0%
Short-maturity bonds outperformed intermediate and
long-maturity bonds over the quarter. Short-maturity
bonds returned 0.6% while long-maturity bonds fell by
1.1% in Q4 2019.

6.7%

-0.2%
Aaa

Source: FactSet

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17

1.7%

0.7%
0.0%
Aa

A

Baa

Fourth Quarter 2019

One-Year

2.6%

High Yield

U.S. Fixed Income Markets

U.S. TREASURY YIELD CURVE

U.S. 10-YEAR TREASURY AND TIPS YIELDS

3.5%

5.0%

10Y TIPS Yield

4.0%

10Y Treasury Yield

3.0%
3.0%

2.5%

2.0%

2.0%

1.0%

12/31/2018
9/30/2019
12/31/2019

1.5%

0.0%
-1.0%

1.0%
0

5

10

15
20
Maturity (Years)
Source: U.S. Department of Treasury

25

30

-2.0%
Dec 09
Dec 11
Dec 13
Source: U.S. Department of Treasury

Dec 15

Dec 17

Dec 19



The U.S. nominal yield curve steepened over the quarter with yields falling at the short end of the curve and rising at
longer maturities. As a result, the yield curve is no longer inverted.



The 10-year U.S. Treasury yield retraced most of the prior quarter’s fall with a 24bps increase over the quarter to
1.92%. The 10-year TIPS yield remained unchanged over the quarter at 0.15%.



With real yields broadly unchanged over the quarter, it became evident that yield movements were triggered not by
growth expectations (which remain low) but instead by increasing inflation expectations. This follows sustained central
bank easing, prospects of debt-financed fiscal stimulus and potential changes to inflation-targeting policies; all of which
are supportive for higher inflation.



The US Federal Reserve (Fed) cut the interest rate by 25bps to 1.50% from 1.75%. Meanwhile, in the latest "dot plot",
the majority of the Federal Open Market Committee believed that interest rates will stay at current levels for at least the
next year, with the next 25bps hike not anticipated until 2021.

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18

European Fixed Income Markets

EUROZONE PERIPHERAL BOND SPREADS
(10-YEAR SPREADS OVER GERMAN BUNDS)
15%
13%

Spain

Italy

11%

Greece

Ireland

Portugal

9%
7%
5%
3%
1%
-1%
2013

2014

2015

2016

2017

2018

2019

Source: FactSet



German government bund yields rose in line with over developed market government bond yields, rising by 40bps to
-0.19% over the quarter. Germany unexpectedly avoided a recession after growing by 0.1% in Q3, buoyed by
increased consumer and public sector spending, which mitigated the impact of a weakening manufacturing sector.
Italian government bond yields rose by 60bps to 1.42% over the quarter.



Greek government bond yields rose by comparatively less than other European government bond yields. An increase
in the country’s sovereign credit rating to BB- from B+ lessened the risk of default and led to a relatively modest 9bps
increase in government bond yields to 1.43%.



Spanish government bond yields rose by 33bps to 0.46% over a quarter in which Pedro Sanchez’s Socialist party won
the most seats in general election, but fell short of a majority.



European government bond spreads over 10-year German bunds generally fell across the Euro Area with the
exception of Italian government bonds. The European Central Bank (ECB) kept its monetary policy unchanged over
the quarter. In what was Christine Lagarde’s first rate-setting meeting as President, she sought to calm fears that the
Euro Area could have ultra low rates, growth and inflation for an extended period.

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19

Credit Spreads

Spread (bps)

12/31/2019 09/30/2019 12/31/2018

Quarterly Change (bps)

One-Year Change
(bps)

U.S. Aggregate

39

46

54

-7

-15

Long Gov't

0

1

2

-1

-2

Long Credit

139

167

200

-28

-61

Long Gov't/Credit

79

95

113

-16

-34

MBS

39

46

35

-7

4

CMBS

72

70

86

2

-14

ABS

44

37

53

7

-9

Corporate

93

115

153

-22

-60

High Yield

336

373

526

-37

-190

Global Emerging Markets

287

312

330

-25

-43

So urce: FactSet, B lo o mberg B arclays



Credit spreads over U.S. Treasuries generally narrowed over the quarter. Greater risk appetite saw spreads fall across
the board but mostly in non-investment grade areas such as high yield and emerging market debt where greater yields
are on offer.



High yield bond spreads narrowed significantly by 37bps over the quarter. This was followed by long-duration
corporate bond spreads, which narrowed by 28bps.



Areas within securitized credit in the U.S. underperformed in comparison. While credit spreads in general narrowed
over the quarter, spreads on CMBS and ABS securities widened by 2bps and 7bps respectively.

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20

Currency

TRADE WEIGHTED U.S. DOLLAR INDEX
(1973 = 100)

U.S. DOLLAR RELATIVE TO EUR, GBP AND JPY
REBASED TO 100 AT 12/31/2013

125

140

Stronger Dollar

130

Weaker Dollar

120
115

120

110
105

110

100

100

95
90

GBP/USD

90

85
80
Dec 13
Dec 14
Dec 15
Source: Federal Reserve

EUR/USD
JPY/USD

Dec 16

Dec 17

Dec 18

Dec 19

80
Dec 13
Dec 14
Source: FactSet

Dec 15

Dec 16

Dec 17

Dec 18

Dec 19



The upward trend in the US dollar was halted with cyclical supports of higher interest rates and relative economic
strength fading to some extent. Returning risk appetite also upended the 'greenback' which had benefited from safehaven activity. The U.S. dollar slipped by 2.8% on a trade-weighted basis over the quarter with notable
underperformance against sterling.



The removal of Hard Brexit risks following a sizeable majority gained by the incumbent Conservative Party in the UK
general election led sterling significantly higher over the quarter. Sterling appreciated by 7.5% against the U.S. dollar.



Economic data releases stabilized in the Euro Area over the quarter but the outlook for the manufacturing sector still
appears murky with activity shrinking for the eleventh successive month. Despite these economic headwinds, the euro
found support against the U.S. dollar from tighter interest rate differentials, appreciating by 2.9% against the U.S.
dollar.



The U.S. dollar moderately appreciated against the Japanese yen, which had appreciated during risk-off episodes
earlier in the year. The yen weakened by 0.6% against the U.S. dollar over the quarter.

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21

Commodities

COMMODITY RETURNS
AS OF 12/31/2019
-10.0%

Fourth Quarter 2019
One-Year
-5.0%

0.0%

5.0%
4.4%

Bloomberg Commodity Index

3.8%

Ex-Energy
Energy
Industrial Metals

-0.2%
3.7%

Prec. Metals
1.7%

Softs
Grains

15.0%

-1.1%

4.3%
3.6%

20.0%

7.7%
6.0%
5.8%

11.8%

7.0%
17.0%

7.1%

Agric.

Livestock
-6.0%
Source: Bloomberg
Note: Softs and Grains are part of the wider Agriculture sector

10.0%

13.9%

0.1%



Additional supply cuts proposed by OPEC+ as well as a less pessimistic economic outlook helped crude oil prices
rebound while the latter also provided firmer footing for commodity prices which saw Bloomberg Commodity Index
return 4.4%.



The price of Brent crude oil rose by 8.6% to $66/bbl and WTI crude oil spot prices rose by 12.9% to $61/bbl. Higher
crude oil prices helped the Energy sector return 5.8%.



Industrial Metals was the worst performing sector to post a negative return over the quarter. Remaining headwinds of
declines in manufacturing output depressed prices and ultimately led to a return of -0.2%.



Agriculture (7.1%) was the best performing sector in Q4 2019. Within the Agriculture sector, Softs rose by 13.9% while
Grains rose by 3.6%.

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22

Hedge Fund Markets Overview

Fourth Quarter 2019
One-Year

HEDGE FUND PERFORMANCE
AS OF 12/31/2019
-2.0%

0.0%

4.0%

6.0%

2.9%

Fund of Funds Composite Index

-0.5%

14.0%

16.0%

13.7%

5.0%

Event-Driven
Relative Value

12.0%

6.2%
5.7%

Equity Hedge

Fund-Weighted Composite Index

10.0%
10.4%

-0.5%

Emerging Markets
Distressed-Restructuring

8.0%

2.4%

Fixed Income/Convertible Arb.
Global Macro

2.0%

11.6%
7.5%

2.5%
2.0%
3.5%
3.0%

7.6%
10.4%
8.3%

Note: Latest 5 months of HFR data are estimated by HFR and may change in the future.
Source: HFR



Hedge fund performance was generally positive across all strategies in the fourth quarter. HFRI Fund-Weighted
Composite Index and the HFRI Fund of Funds Composite Index produced returns of 3.5% and 3.0% respectively.



Over the quarter, Equity Hedge and Emerging Markets strategies were the best performers with returns of 5.7% and
5.0% respectively, with these strategies benefiting from long equity positions amidst an equity market rally.



Conversely, Global Macro and Distressed-Restructuring were the only strategies to generate negative returns of -0.5%
each. Trend-following Global Macro strategies experienced a difficult quarter, while their discretionary counterparts
performed better.

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23

Private Equity Market Overview – Q3 2019 Slide 1 of 2
LTM Global Private Equity-Backed Buyout Deal Volume
$600

7,000

Deal Value ($ Bil lions)
Number of Deals

6,000
5,000

$400

4,000
$300
3,000
$200

# of Deals

Value ($ Billions)

$500

2,000

$100

1,000

$0

0
1Q11 4Q11 3Q12 2Q13 1Q14 4Q14 3Q15 2Q16 1Q17 4Q17 3Q18 2Q19

Source: Preqin









Fundraising: In Q3 2019, $174.3 billion was raised by 323 funds, which was an increase of 25.0% on a capital basis but a decrease
of 12.9% by number of funds over the prior quarter. Dry powder stood at nearly $2.1 trillion at the end of the quarter, a modest
increase compared to the previous quarter.1
Buyout: Global private equity-backed buyout deals totaled $92.0 billion in Q3 2019, which was down 12.6% on a number of deals
basis and up 2.5% on a capital basis from 2Q 2019.1 Through the end of Q3 2019, the average purchase price multiple for all U.S.
LBOs was 11.5x EBITDA, an increase of 0.9x over year-end 2018 and up from the five-year average (10.2x).2 Large cap purchase
price multiples stood at 11.3x, up compared to the full-year 2018 level of 10.6x.2 The weighted average purchase price multiple
across all European transaction sizes averaged 11.1x EBITDA for Q3 2019, flat with the 11.1x multiple seen at the end of 2Q 2019.
Purchase prices for transactions of €1.0 billion remained at 11.3x at the end of Q3 2019, a drop from the 11.7x seen at year-end
2018. Transactions between €500.0 million and €1.0 billion were down 0.3x from the end of 2018, and stood at 11.0x at the end of the
quarter.2 Globally, exit value totaled $78.2 billion from 432 deals during the third quarter, down from the $104.7 billion in exits from
453 deals during 2Q 2019.1
Venture: During the third quarter, 1,304 venture-backed transactions totaling $26.0 billion were completed in the U.S., which was a
decrease on a capital and deal basis over the prior quarter’s total of $30.4 billion across 1,555 deals. This was 21.9% higher than the
five-year quarterly average of $21.3 billion.3 Total U.S. venture-backed exit activity totaled approximately $35.4 billion across 189
completed transactions in Q3 2019, down significantly on a capital basis from the $141.1 billion across 248 exits in Q2 2019.4
Mezzanine: Nine funds closed on $1.4 billion during the third quarter. This was flat with the prior quarter’s total of $1.4 billion raised
by five funds, but represented a decrease of 73.2% from the five-year quarterly average of $5.2 billion. Estimated dry powder was
$47.5 billion at the end of Q3 2019, down from the $51.5 billion seen at the end of 2Q 2019.1

Sources: 1 Preqin 2 Standard & Poor’s 3 PwC/CB Insights MoneyTree Report 4 PitchBook/NVCA Venture Monitor 5 Fitch Ratings 6 Thomson Reuters 7 UBS

Notes: FY=Fiscal year ended 12/31; YTD=Year to date; LTM=Last 12 months (aka trailing 12 months); PPM=Purchase Price Multiples: Total Purchase Price ÷ EBITDA.

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24

Private Equity Market Overview – Q3 2019 Slide 2 of 2

U.S. LBO Purchase Price Multiples – All Transactions Sizes
11.5x

12.0 x
10.0 x

10.3x

9.8x
8.5 x

8.8 x

8.7x

10.0x

10.6x

10.6x

8.8x

8.0 x
6.0 x
4.0 x
2.0 x
0.0 x

Senior Debt/EBITDA

Sub Debt/EBITDA

Equity/EBITDA

Others

Source: S&P



Distressed Debt: The LTM U.S. high-yield default rate was 2.6% as of November 2019, which was up from year-end 2018’s LTM rate of
2.4%.5 During the quarter, $3.8 billion was raised by seven funds, lower than both the $15.5 billion raised by 17 funds in 2Q 2019 and the
five-year quarterly average of $11.2 billion.1 Dry powder was estimated at $110.7 billion at the end of Q3 2019, which was down slightly
from the $119.4 billion seen at the end of 2Q 2019. This remained above the five-year annual average level of $104.1 billion.1



Secondaries: Seven funds raised $14.6 billion during the quarter, up significantly from the $1.7 billion raised by five funds in Q2 2019
and the $4.0 billion raised by eight funds in Q3 2018.1 At the end of Q3 2019, there were an estimated 63 secondary and direct
secondary funds in market targeting roughly $65.9 billion.1 The average discount rate for all private equity sectors finished the quarter at
9.4%, higher than the 9.2% discount at the end of Q2 2019.6



Infrastructure: $9.9 billion of capital was raised by 21 funds in Q3 2019 compared to $22.6 billion of capital raised by 29 partnerships in
2Q 2019. At the end of the quarter, dry powder stood at an estimated $203.1 billion, down from Q2 2019’s total of $217.0 billion.
Infrastructure managers completed 593 deals with an estimated aggregate deal value of $87.8 billion in Q3 2019 compared to 618 deals
totaling $175.8 billion a quarter ago.1



Natural Resources: During Q3 2019, four funds closed on $1.5 billion compared to five funds totaling $5.7 billion in 2Q 2019. Energy
and utilities industry managers completed approximately 119 deals totaling an estimated $17.1 billion through Q3 2019, which represents
49.9% of the full year capital deployment in 2018.1

Sources: 1 Preqin 2 Standard & Poor’s 3 PwC/CB Insights MoneyTree Report 4 PitchBook/NVCA Venture Monitor 5 Fitch Ratings 6 Thomson Reuters 7 UBS
Notes: FY=Fiscal year ended 12/31; YTD=Year to date; LTM=Last 12 months (aka trailing 12 months); PPM=Purchase Price Multiples: Total Purchase Price ÷ EBITDA.

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25

U.S. Commercial Real Estate Markets

PRIVATE VS. PUBLIC REAL ESTATE RETURNS
AS OF 12/31/2019
30.0%

26.0%

Private (NFI-ODCE
Gross)*
Public (NAREIT
Gross)

25.0%
15.0%
10.0%

5.4%

7.1% 8.1%

9.0%

11.4% 11.9%
7.2%









7.0%
6.0%

4.0%

-0.8%
Q4 2019

'08

1-Year

3-Years

5-Years

'09

'10
Office

10-Years

*Fourth quarter returns are preliminary
Sources: NCREIF, FactSet



9.0%

5.0%

1.5%

0.0%
-5.0%

10.0%

8.0%

20.0%

5.0%

CAPITALIZATION RATES BY SECTOR

'11

'12

'13

Industrial

'14

'15
Retail

'16

'17

'18

'19

Apartment

Sources: RCA, AON HEWITT 9/30/2019

U.S. Core Real Estate returned 1.5%* over the fourth quarter, equating to a 5.4% total gross return year-over-year, including a 4.2% income return. Debt
mark to market was a flat for the quarter. The industrial sector was once again the best performing sector, while retail continues perform poorly relative to
other major property types. E-commerce continues to be the primary force driving the bifurcation of performance between the industrial and retail sectors.
Going forward, income and income growth are expected to be the larger drivers of return, given the current point of the real estate cycle.
Global property markets, as measured by the FTSE EPRA/NAREIT Developed Real Estate Index, returned 2.0% (USD) in aggregate during the fourth
quarter. REIT market performance was driven by Asia Pacific (6.4% USD), North America (-0.9% USD) and Europe (13.8% USD). The U.S. REIT markets
(FTSE NAREIT Equity REITs Index) declined -0.8% in the fourth quarter. The U.S. 10-year treasury bond yield increased 25bps to 1.92%.
According to RCA through November 2019, the U.S. property market has experienced price growth of 8.7% year-over-year across major sectors. The
industrial sector pricing appreciated 13.6% year-over-year, leading all sectors. The apartment sector was the second strongest, appreciating 9.3% yearover-year. Transaction volume was down -3% over the same period.
Return expectations have normalized, with go forward expectations in line with historical norms. During 2019, the market benefited from three rate cuts by
the Federal Reserve, and declining interest rates led to a rally across asset classes. According to Preqin, there remains a record amount of dry powder
($338 billion) in closed-end vehicles seeking real estate exposure, which should continue to lend support to valuations and liquidity in the commercial real
estate market.
Aon prefers investments that offer relatively strong rental income growth, or value-add potential with near-term income generation prospects. It is critical to
identify secular driven investment themes in the current environment. Real estate is uniquely positioned in this economic environment, because high
quality real estate has the ability to leverage an improving economy, while at the same time high quality income generation offers downside protection.

*Indicates preliminary NFI-ODCE data gross of fees
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26

Appendix

27

Total Fund

As of December 31, 2019

Fee Schedule

Fee Schedule
Total Fund
Global Equity
Vanguard Total World Stock Index
Real Estate
MetLife Commercial Mortgage Income Fund

Market Value
As of
12/31/2019
$
67,315,861
56,292,019
56,292,019
10,598,603
10,598,603

0.09 % of Assets
0.85 % of Assets

28

% of Portfolio

Estimated
Annual Fee
$

Estimated
Annual Fee
(%)

100.00

140,751

0.21

83.62
83.62
15.74
15.74

50,663
50,663
90,088
90,088

0.09
0.09
0.85
0.85

As of December 31, 2019

Description of Benchmarks

Total Fund Benchmark
July 2019 - Present - Float adjusted benchmark of FTSE Global All Cap (USD) Index and NCREIF ODCE Index. From January 2016 through June 2019 the Total Fund Benchmark
comprised of 100% FTSE Global All Cap Index (USD). From December 2014 through December 2015 the Total Fund Benchmark was comprised of 50% Barclays Aggregate Bond
Index and 50% FTSE Global All Cap Index (USD). From December 2013 through November 2014 the Total Fund Benchmark was composed of 70% Barclays Aggregate Bond
Index and 30% FTSE Global All Cap Index (USD). From January 2013 through November 2013 the Total Fund Benchmark was composed of 80% Barclays Aggregate Bond Index
and 20% FTSE Global All Cap Index (USD). From August 2012 through December 2012 the Total Fund Benchmark was composed of 90% Barclays Aggregate Bond Index and
10% FTSE Global All Cap Index (USD). Prior to August 2012 the Total Fund Benchmark was composed of 100% Barclays Aggregate.
FTSE Global All-Cap Index
The FTSE Global All-Cap index is a market-capitalization weighted index representing the performance of the large and mid-cap stocks from the FTSE Global Equity Index Series
and covers 90-95% of the investable market capitalization. The index covers developed and emerging markets and is suitable as the basis for investment products, such as funds,
derivatives and exchange-traded funds.

29

Benchmark Descriptions
Bloomberg Barclays Corporate High Yield Bond Index - An index that covers the U.S.D-dominated, non- investment grade, fixed rate, taxable corporate bond market. Debt
issues from emerging market countries are excluded. Securities are classified as high-yield if the middle rating is Ba1/BB+ or below.
Bloomberg Barclays Emerging Markets Index - An unmanaged index that tracks total returns for external-currency-denominated debt instruments of the emerging markets.
Bloomberg Barclays Global Aggregate - Provides a broad-based measure of the global investment-grade fixed income markets. The three major components of this index are
the U.S. Aggregate, the Pan-European Aggregate, and the Asian-Pacific Aggregate Indices. The index also includes Eurodollar and Euro-Yen corporate bonds, Canadian
government, agency and corporate securities, and U.S.D investment grade 144A securities.
Bloomberg Barclays Global Treasury Ex-U.S. - The Barclays Global Treasury ex U.S. Index is a subset of the flagship Global Treasury Index that does not have any exposure
to U.S. debt. This multi-currency benchmark includes investment grade, fixed-rate bonds issued by governments in their native currencies.
Bloomberg Barclays Inflation Index - Measures the performance of the U.S. Treasury Inflation Protected Securities ("TIPS") market.
Bloomberg Barclays Universal Index - A market value-weighted index which is the union of the U.S. Aggregate Index, U.S. High Yield Corporate Index, Eurodollar Index, U.S.
Emerging Markets Index and the CMBS High Yield Index. The Index is appropriate for core plus fixed income mandates.
Bloomberg Barclays U.S. Aggregate Bond Index - A market value-weighted index consisting of government bonds, SEC-registered corporate bonds and mortgage-related and
asset-backed securities with at least one year to maturity and an outstanding par value of $250 M or greater. This index is a broad measure of the performance of the investment
grade U.S. fixed income market.
Bloomberg Barclays U.S. Government/Credit Index - A subcomponent of the Barclays Capital Aggregate Index, this benchmark includes treasury securities, government
related issues, and high quality corporate bonds with an outstanding par value of $250 M or greater and at least one year of maturity remaining.
Bloomberg Barclays U.S. Government Index - A market value weighted index of U.S. government and government agency securities (other than mortgage securities) with
maturities of one year or more.
Bloomberg Barclays U.S. High Yield Index - An index composed of non-investment grade corporate debt denominated in U.S. dollars. The issues have to have an outstanding
par value of $150 M or greater and at least one year of maturity remaining.
Bloomberg Barclays U.S. Intermediate Aggregate Bond Index - A market value-weighted index consisting of U.S. Treasury securities, corporate bonds and mortgage-related
and asset-backed securities with one to ten years to maturity and an outstanding par value of $250 M or greater.
Bloomberg Barclays U.S. Intermediate Government Bond Index - An unmanaged index considered representative of intermediate- term fixed-income obligations issued by
the U.S. Treasury, government agencies and quasi-federal corporations.
Bloomberg Barclays U.S. Intermediate Government/Credit Index - A market-value weighted index consisting of U.S. government bonds and SEC-registered corporate bonds
with one to ten years to maturity and an outstanding par value of $150 M or greater.
Bloomberg Barclays U.S. Intermediate Treasury - An unmanaged index considered representative of intermediate-term fixed- income obligations issued by the U.S. Treasury.
Bloomberg Barclays U.S. Long Credit Bond Index - An unmanaged index considered representative of long-term fixed-income obligations issued by U.S. corporate, specified
foreign debentures, and secured notes that meet the specified maturity, liquidity, and quality requirements. To qualify, bonds must be SEC-registered.

30

Benchmark Descriptions
Bloomberg Barclays U.S. Long Gov’t/Credit Index - The Barclays Capital U.S. Government/ Credit Bond Index measures performance of U.S. dollar denominated U.S.
treasuries, government-related, and investment grade U.S. corporate securities that have a remaining maturity of greater than or equal to 1 year. In addition, the securities have
$250 M or more of outstanding face value, and must be fixed rate and non-convertible.
Bloomberg Barclays U.S. Long Government Bond Index - An unmanaged index considered representative of long-term fixed- income obligations issued by the U.S. Treasury,
government agencies and quasi-federal corporations.
Bloomberg Barclays U.S. TIPS - A market value-weighted index consisting of U.S. Treasury Inflation Protected Securities with one or more years remaining until maturity with
total outstanding issue size of $500m or more.
Bloomberg Barclays U.S. Treasury 20-30 Year STRIPS Index - A subcomponent of the Barclays Aggregate Index, this benchmark includes long-term treasury STRIPS.
Bloomberg Commodity Index - Consists of 22 exchange-traded futures on physical commodities, which are weighted to account for economic significance and market liquidity.
Performance is calculated on an excess return basis and reflects commodity future price movements.
BofA Merrill Lynch 3 Month Treasury Bill - An index that measures the average return of the last three-month U.S. Treasury Bill issues.
BofA Merrill Lynch High Yield Master - A market-capitalization weighted index that tracks the performance of U.S. dollar- denominated, below investment grade corporate debt
publicly issued in the U.S. domestic market.
Citigroup 90-Day T-Bill Index - An index that measures the average return of the last three-month U.S. Treasury Bill issues.
Credit Suisse Leveraged Loan Index - Designed to mirror the investable universe of the U.S. dollar denominated leveraged loan market.
CRSP U.S. Large Cap Index - an index comprised of nearly 640 U.S. large cap companies and includes securities traded on NYSE, NYSE Market, NASDAQ, or ARCA,
representing nearly 85% of the U.S. investable equity market. The index is reconstituted quarterly after the market close on the third Fridays of March, June, September, and
December.
CRSP U.S. Total Market Index - an index comprised of nearly 4,000 constituents across mega, large, small, and micro capitalizations and includes securities traded on NYSE,
NYSE Market, NASDAQ, or ARCA, representing nearly 100% of the U.S. investable equity market. The index is reconstituted quarterly after the market close on the third Fridays
of March, June, September, and December.
DJ U.S. Completion Total Stock Market Index - A capitalization-weighted index that consists of the stocks in the Dow Jones U.S. Total Stock Market Index less the stocks in the
S&P 500 Stock Index.
DJ U.S. Total Stock Market Index - A capitalization-weighted stock index representing all domestic common stocks traded regularly on the organized exchanges. The index is
the broadest measure of the aggregate domestic stock market and includes approximately 5,000 stocks.
FTSE 4Good U.S. Select Index - a socially responsible investment (SRI) index of U.S. stocks that excludes companies with certain business activities such as weapons,
tobacco, gambling, alcohol, nuclear power, and adult entertainment.
FTSE All-World ex-U.S. Index - A capitalization-weighted stock index representing 46 developed market countries and emerging market countries excluding the U.S.

31

Benchmark Descriptions
FTSE EPRA NAREIT Global ex-U.S. Index - Designed to represent general trends in eligible real estate equities worldwide. Relevant real estate activities are defined as the
ownership, disposure and development of income-producing real estate.
FTSE Global All Cap ex U.S. Index - a market-capitalization weighted index representing the performance of roughly 5350 large, mid and small cap companies in 46 Developed
and Emerging markets worldwide, excluding the USA.
FTSE Global Core Infrastructure Index - Represents the performance of infrastructure and infrastructure-related securities companies in a set of industries that FTSE defines
as being involved in infrastructure. The series is based on the FTSE Global Equity Index Series and both developed and emerging markets are included.
FTSE NAREIT U.S. Equity REITS - Free float adjusted, market capitalization weighted index of U.S. based equity real estate investment trusts (REITs).
Goldman Sachs Commodity Index - A composite index of commodity sector returns which represents a broadly diversified, unleveraged, long-only position in commodity
futures.
HFRI Fund-of-Fund Index - This index is equity-weighted including 800 constituents. It includes both domestic and offshore accounts and is valued in U.S. dollars. Only fund-offund products are included in the index that have at least $50 M under managements and have been actively trading for at least one year. All funds report net monthly returns.
HFRI Fund Weighted Composite Index - The HFRI Fund Weighted Composite Index is a global, equal-weighted index of over 2,000 single-manager funds that report to HFR
Database. Constituent funds report monthly net of all fees performance in U.S. Dollar and have a minimum of $50 M under management or a twelve (12) month track record of
active performance. The HFRI Fund Weighted Composite Index does not include Funds of Hedge Funds.
Hueler Stable Value Index - The Hueler Analytics Stable Value Pooled Fund Comparative Universe represents investment strategies of $96 billion in stable value assets, across
24 pooled funds, invested in contracts universe across a universe of 16 general account issuers and 14 synthetic wrap providers. The allocation of pooled fund assets is
dominated by synthetic contracts issued by insurance companies and banks.
iMoneyNet All Taxable Money Funds Index - An index made up of the entire universe of money market mutual funds. The index currently represents over 1,300 funds, or
approximately 99 percent of all money fund assets.
iMoneyNet Money Fund Average - An index made up of the entire universe of money market mutual funds. The index currently represents over 1,300 funds, or approximately
99 percent of all money fund assets.
J.P. Morgan EMBI Global Diversified - Comprised of dollar-denominated Brady bonds, traded loans and Eurobonds issued by emerging market sovereign and quasi-sovereign
entities. The Diversified version limits the weights of the index countries by only including a specified portion of those countries' eligible current face amounts of debt outstanding,
providing for a more even distribution of weights within the countries in the index.
MSCI All Country World ex-U.S. Index - A capitalization-weighted index of stocks representing 44 stock markets in Europe, Australia, the Far East, the Middle East, Latin
America and North America. Index consists of 23 developed and 21 emerging countries, but excludes the U.S.
MSCI All Country World ex-U.S. Index IMI- A capitalization-weighted index of large, mid and small cap stocks representing 22 developed (excluding the United States) and 24
emerging market countries. The index is the broadest measure of the aggregate non-U.S. stock market, covering approximately 99% of the global equity investment opportunity
set outside of the United States.

32

Benchmark Descriptions
MSCI All Country World ex-U.S. Small Cap Index - Covers all investable small cap securities with a market capitalization below that of the companies in the MSCI Standard
Indices (excluding U.S.), and target approximately 14% of each market’s free-float adjusted market capitalization.
MSCI All Country World Index - A capitalization-weighted index of stocks representing 46 stock markets in Europe, Australia, the Far East, the Middle East, Latin America and
North America.
MSCI All Country World Index IMI - A capitalization-weighted index of large, mid and small cap stocks representing 23 developed and 24 emerging market countries. The index
is the broadest measure of the aggregate global stock market, covering approximately 99% of the global equity investment opportunity set.
MSCI EAFE Growth Index - A capitalization-weighted index of 21 stock markets in Europe, Australia, Asia and the Far East designed to capture the growth-oriented companies.
MSCI EAFE Index - A capitalization-weighted index of stocks representing 22 developed countries in Europe, Australia, Asia, and the Far East.
MSCI EAFE Small Cap Index - A capitalization-weighted index of small cap stocks representing 23 developed country markets in Europe, Australia, Asia, and the Far East.
MSCI EAFE Value Index - A capitalization-weighted index of 21 stock markets in Europe, Australia, Asia and the Far East designed to capture the value-oriented companies.
MSCI Emerging Markets Index - A capitalization-weighted index of stocks representing 22 emerging country markets.
MSCI Emerging Markets Value Index - A capitalization-weighted index considered representative of value stocks across 46 stock markets in Europe, Australia, the Far East, the
Middle East, Latin America and North America.
MSCI U.S. Broad Market Index - A capitalization-weighted stock index that aggregates the MSCI U.S. Large Cap 300, Mid Cap 450, Small Cap 1,750 and Micro Cap Indices.
This index represents approximately 99.5% of the capitalization of the U.S. Equity market and includes approximately 3,562 companies.
MSCI U.S. REIT Index - A broad index that fairly represents the equity REIT opportunity set with proper investability screens to ensure that the index is investable and replicable.
The index represents approximately 85% of the U.S. REIT universe.
MSCI World Index - A free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed markets, representing 24
developed market country indices.
NCREIF Property Index - A capitalization-weighted index of privately owned investment grade income-producing properties representing approximately $269 billion in assets.
NFI ODCE Index - A capitalization weighted index comprised of open-end, Core funds investing in commercial real estate properties. The funds that constitute the index are
subject to certain geographic and property type diversification requirements as well as leverage restrictions. The index reflects the impact of leverage on investment results. The
returns shown in this report are net of management fees of the respective funds included in the index.
Rolling 3-year Constant Maturity Treasury Index - An index published by the Federal Reserve Board based on the monthly average yield of a range of Treasury securities, all
adjusted to the equivalent of a three-year maturity.
Russell 1000 Growth Index - An index that measures the performance of those Russell 1000 companies with higher price-to- book ratios and higher I/B/E/S growth forecasts.
Russell 1000 Index - A capitalization-weighted index of the 1,000 largest publicly traded U.S. stocks by capitalization.

33

Benchmark Descriptions
Russell 1000 Value Index - An index that measures the performance of those stocks included in the Russell 1000 Index with lower price-to-book ratios and lower I/B/E/S
earnings growth forecasts.
Russell 2000 Growth Index - A capitalization-weighted index of those stocks in the Russell 2000 Index with higher price-to-book ratios and higher I/B/E/S earnings growth
forecasts.
Russell 2000 Index - A capitalization-weighted index of the smallest 2,000 stocks in the Russell 3000 Index. The index excludes the largest- and smallest-capitalization issues in
the domestic stock market.
Russell 2000 Value Index - An index that measures the performance of those stocks included in the Russell 2000 Index with lower price-to-book ratios and lower I/B/E/S
earnings growth forecasts.
Russell 2500 Growth Index - A capitalization-weighted index representing those companies within the Russell 2500 Index with higher price-to-book ratios and higher I/B/E/S
earnings growth forecasts.
Russell 2500 Index - The Index is constructed by first identifying the 3,000 largest-capitalization U.S. stocks and ranking them by market capitalizations, choosing the bottom
2,500 names on the list.
Russell 2500 Value Index - An index that measures the performance of those stocks included in the Russell 2500 Index with lower price-to-book ratios and lower I/B/E/S
earnings growth forecasts.
Russell 3000 Growth Index - A capitalization-weighted index consisting of those Russell 3000 Index stocks that have higher price-to-book ratios and higher I/B/E/S earnings
growth forecasts.
Russell 3000 Index - A capitalization-weighted index consisting of the 3,000 largest publicly traded U.S. stocks by capitalization. This index is a broad measure of the
performance of the aggregate domestic equity market.
Russell 3000 Value Index - A capitalization-weighted index consisting of those Russell 3000 Index stocks that have lower price-to-book ratios and lower I/B/E/S earnings growth
forecasts.
Russell Mid Cap Growth Index - A capitalization-weighted index representing those stocks in the Russell MidCap Index with higher price-to-book ratios and higher I/B/E/S
earnings growth forecasts.
Russell Mid Cap Index - A capitalization-weighted index of the 800 smallest stocks in the Russell 1000 Index. This index is a broad measure of mid-capitalization stocks.
Russell Mid Cap Value Index - A capitalization-weighted index consisting of those Russell MidCap Index stocks that have lower price-to-book ratios and lower I/B/E/S earnings
growth forecasts.
S&P 500 Index - A capitalization-weighted index representing stocks chosen by Standard & Poor's, Inc. for their size, liquidity, stability and industry group representation. The
companies in the S&P 500 Index are generally among the largest in their industries.

34

Benchmark Descriptions
S&P Completion Index -The S&P Completion Index is a sub-index of the S&P Total Market Index, including all stocks eligible for the S&P TMI and excluding all current
constituents of the S&P 500. The index covers approximately 4,000 constituents, offering investors broad exposure to mid, small, and micro cap companies.
S&P Leverage Loan Index - A daily total return index that uses LSTA/LPC Mark-to-Market Pricing to calculate market value change.
S&P MidCap 400 Index - A market-capitalization-weighted index of stocks in all major industries in the mid-range of the U.S. stock market.
Wilshire REIT - A measure of the types of U.S. real estate securities that represent the ownership and operation of commercial or residential real estate. To be included in the
index, a company must have a market capitalization of $200 M and have at least 75% of the total revenue derived from the ownership and operation of the real estate assets.


Indices cannot be invested in directly. Unmanaged index returns assume reinvestment of any and all distributions and do not reflect our fees or expenses.



Past performance is no guarantee of future results.



Please feel free to contact us at [email protected] for more index information.

35

<ReportMemberName>

As of December 31, 2019

Benchmark Descriptions

Bloomberg Barclays Aggregate Bond Index - This index is the broadest representation of the investment grade U.S. bond market. It includes allocations to U.S. Government
bonds, investment grade corporate bonds and mortgage- and asset-backed securities.
Bloomberg Barclays Global Aggregate - Provides a broad-based measure of the global investment-grade fixed income markets. The three major components of this index are
the U.S. Aggregate, the Pan-European Aggregate, and the Asian-Pacific Aggregate Indices. The index also includes Eurodollar and Euro-Yen corporate bonds, Canadian
government, agency and corporate securities, and USD investment grade 144A securities.
Bloomberg Barclays High Yield Index - An index composed of non-investment grade corporate debt denominated in U.S. dollars. The issues have to have an outstanding par
value of $150 million or greater and at least one year of maturity remaining.
Bloomberg Barclays Long Credit Bond Index - An unmanaged index considered representative of long-term fixed-income obligations issued by U.S. corporate, specified
foreign debentures, and secured notes.
Bloomberg Barclays Long Gov’t/Credit Index - The Bloomberg Barclays U.S. Government/ Credit Bond Index measures performance of U.S. dollar denominated U.S.
treasuries, government-related, and investment grade U.S. corporate securities that have a remaining maturity of greater than or equal to 1 year. In addition, the securities have
$250 million or more of outstanding face value, and must be fixed rate and non-convertible.
Bloomberg Barclays Long-Term Government Bond Index - An unmanaged index considered representative of long-term fixed- income obligations issued by the U.S.
treasury, government agencies and quasi-federal corporations.
Bloomberg Barclays U.S. TIPS - A market value-weighted index consisting of U.S. Treasury Inflation Protected Securities with one or more years remaining until maturity with
total outstanding issue size of $500m or more.
Bloomberg Commodity Index - Designed to be a highly liquid and diversified benchmark for commodity investments. The principal potential benefits of including commodities
in a diversified financial portfolio include positive returns over time and low correlation with equities and fixed income.
Citigroup WGBI ex-U.S. - A market capitalization weighted bond index consisting of the government bond markets of the multiple countries. It is comprised of approximately
600 high-quality bonds issued in several different securities and gives a broad indication at how foreign bonds have performed.
DJ U.S. Total Stock Market Index - A capitalization-weighted stock index representing all domestic common stocks traded regularly on the organized exchanges. The index is
the broadest measure of the aggregate domestic stock market, and includes approximately 5,000 stocks.
FTSE Global Core Infrastructure - A comprehensive set of nine cap-weighted indexes, diversified across six FTSE-defined infrastructure sub-sectors, to reflect the
performance of infrastructure and infrastructure-related listed securities worldwide.
GS Commodity Index - A composite index of commodity sector returns which represents a broadly diversified, unleveraged, long-only position in commodity futures.
HFR Fund-of-Fund Index - This index is equity-weighted including 800 constituents. It includes both domestic and offshore accounts and is valued in U.S. dollars. Only fund-offund products are included in the index that have at least $50 million under managements and have been actively trading for at least one year. All funds report net returns on a
monthly basis.
HFRI Fund Weighted Composite Index - The HFRI Fund Weighted Composite Index is a global, equal-weighted index of over 2,000 single-manager funds that report to HFR
Database. Constituent funds report monthly net of all fees performance in US Dollar and have a minimum of $50 Million under management or a twelve (12) month track record
of active performance. The HFRI Fund Weighted Composite Index does not include Funds of Hedge Funds.

36

<ReportMemberName>

As of December 31, 2019

Benchmark Descriptions

JPM GBI-EM Global Diversified - Designed to provide a comprehensive measure of local currency denominated, fixed-rate, government debt issued in emerging markets.
MSCI All Country World ex-U.S. Index - A capitalization-weighted index consisting of 23 developed and 21 emerging countries, but excluding the U.S.

MSCI ACWI ex-U.S. IMI - Captures large, mid and small cap representation across 22 of 23 Developed Markets (DM) countries (excluding the United States) and 24 Emerging
Markets (EM) countries*. With 6,195 constituents, the index covers approximately 99% of the global equity opportunity set outside the US.
MSCI All Country World Index - A capitalization-weighted index of stocks representing 45 stock markets in Europe, Australia, the Far East, the Middle East, Latin America and
North America.
MSCI ACWI IMI - Captures large, mid and small cap representation across 23 Developed Markets (DM) and 24 Emerging Markets (EM) countries*. With 8,668 constituents, the
index is comprehensive, covering approximately 99% of the global equity investment opportunity set.
MSCI EAFE Index - A capitalization-weighted index of stocks representing 22 developed countries in Europe, Australia, Asia, and the Far East.
MSCI EAFE (Local Currency) - represents a close estimation of the performance that can be achieved by hedging the currency exposures of its parent index, the MSCI EAFE
Index, to the USD, the "home" currency for the hedged index.
MSCI Emerging Markets Index - A market capitalization-weighted index that is designed to measure equity market performance of emerging markets, representing 21
emerging country markets.
MSCI Europe, Australasia, Far East (EAFE) Index - A capitalization-weighted index of stocks representing 21 developed country markets in Europe, Australia, Asia and the
Far East.
NAREIT U.S. Equity REITS - comprehensive family of REIT-focused indexes that span the commercial real estate industry, providing market participants with a range of tools
to benchmark and analyse exposure to real estate across the US economy at both a broad industry-wide level and on a sector-by-sector basis.
Russell 2000 Index - An index that measures the performance of approximately 2000 small capitalization stocks.
Russell 3000 Index - A capitalization-weighted index consisting of the 3,000 largest publicly traded U.S. stocks by capitalization. This index is a broad measure of the
performance of the aggregate domestic equity market.
S&P 500 - A capitalization-weighted stock index consisting of 500 of the largest publicly traded U.S. stocks by capitalization.
·

Indices cannot be invested in directly. Unmanaged index returns assume reinvestment of any and all distributions and do not reflect our fees or expenses.

·

Past performance is no guarantee of future results.

·

Please feel free to contact us at [email protected] for more index information.

37

As of December 31, 2019

Glossary of Terms

Duration
A measure of the potential price fluctuation of a bond. Like bond maturity, duration is measured in years. But, unlike maturity, duration is a weighted average of the time to each
coupon and principal payment of a bond. Generally speaking, as market interest rates change, a bond portfolio's price will change, with the magnitude of the change being equal to
the aggregate duration of the bond portfolio. As an example, if a bond portfolio has duration of 5 years; a 1% decline in interest rates will result in an approximate 5% increase in
the value of the portfolio.
Ratio of Cumulative Wealth Graph
An illustration of a portfolio's cumulative, unannualized performance relative to that of its benchmark. An upward sloping line indicates fund outperformance. Conversely, a
downward sloping line indicates underperformance by the fund. A flat line is indicative of benchmark-like performance.
Risk/Return Graph
The horizontal axis, annualized standard deviation, is a statistical measure of risk, or volatility of returns. The vertical axis is the annualized rate of return. As most investors
generally prefer less risk to more risk and always prefer greater returns, the upper left corner of the graph is the most attractive place to be. The line on this exhibit represents the
risk and return tradeoffs associated with market portfolios, or index funds.
Tracking Error
A measure that reports the difference between the return of a Fund and that of its benchmark.

38

Investment Policy Statement

39

ARLINGTON TOMORROW FOUNDATION
STATEMENT OF INVESTMENT POLICY
Revised February 15, 2012
Revised October 22, 2015
Revised December 15, 2015
Revised February 13, 2018

I.

GOVERNING AUTHORITY
Pursuant to the Grant Agreement between the City of Arlington, Texas (the “City”) and the
Arlington Tomorrow Foundation (the Foundation”), this Statement of Investment Policy
(“SOIP”) is and shall be consistent with Chapter 2256 of the Texas Government Code,
cited as the Public Funds Investment Act (the “Act”), and Chapter 163 of the Texas
Property Code, cited as the Uniform Prudent Management of Institutional Funds Act. The
Board of Directors on an annual basis shall consider a resolution stating the investment
policy and investment strategies have been reviewed, and the resolution shall record any
changes made to either the policy or strategies.

II.

PURPOSE AND SCOPE OF THE STATEMENT OF INVESTMENT POLICY
This Statement of Investment Policy (SOIP) governs the management of the financial
assets of the Foundation. Financial assets contributed by the City include the Park Land
Fund, the Airport Land Fund, and the Other Land Fund. Other funds that may be
contributed and created from time to time shall be administered in accordance with the
provisions of these policies.

III.

INVESTMENT OBJECTIVE
The Foundation is a non-profit corporation pursuant to Section 501(c)(3) of the Internal
Revenue Code of 1986, as amended (the “Code”) and established by the City to enhance
the City’s budget priorities through the distribution of interest earned on investment of gas
lease bonus revenues and funds contributed by the City. The primary emphasis of this
policy is safety and liquidity of the Foundation’s assets. In addition to seeking return and
preserving capital, the portfolio will be diversified so as to reduce the probability of large
losses. Assets of the Foundation will be invested prudently and at a reasonable cost. Asset
performance will be measured relative to an appropriate benchmark or benchmarks.
Interest earnings, earnings, and appreciation, as used in the Grant Agreement, shall mean
the amounts realized that exceed the principal amount used to purchase investments,
including all interest, income, capital gains, appreciation, and earnings realized by sale,
liquidation, dividend or otherwise from the Foundation’s investments.

1
40

IV.

ASSET ALLOCATION AND INVESTMENT GUIDELINES
The Board has carefully and thoroughly reviewed the specific risk parameters of the
Foundation. The Board also has reviewed various asset allocation options available to the
Foundation. The Board recognizes that the Foundation adheres to Texas Government
Code, Chapter 2256.
A list of permissible investments and items required under the Act are included in
Appendix C.
The asset allocation policy has been designed to provide adequate income to meet the
granting needs of the Foundation while also building a permanent corpus for the
Foundation to exist in perpetuity. The table below provides the current asset allocation
targets for the corpus and the allowable range around each target. The corpus portfolio will
be rebalanced if the actual allocation exceeds the allowable range. . A specific list of
allowable investments and of individual manager guidelines is included in the appendix of
this SOIP.
Current Corpus Asset Allocation
Asset Class
Target Allocation
Global Equity
50.0%
Fixed Income
40.0%

Allowable Range
0.0% - 100.0%
0.0% - 100.0%

Real Estate

0.0% - 30.0%

10.0%

The Foundation’s assets shall be managed with considerations to (i) the requirements of
any gift instrument applicable to a fund, (ii) the charitable purposes of the Foundation, and
(iii) these factors as applicable:









General economic conditions.
The possible effect of inflation or deflation.
Expected tax consequences of investment decisions or strategies.
The role that each investment or course of action plays within the overall
investment portfolio of the fund.
Expected total return from income and the appreciation of investments.
Other resources of the Foundation.
The needs of the Foundation and the fund to make distributions and to preserve
capital.
An asset’s special relationship or special value, if any, to the charitable purposes
of the Foundation.

The Board retains the right to modify asset allocation and investment guidelines in the
future. The Board recognizes that as the Foundation grows and matures, further

2
41

diversification into equity investments and other capital appreciation-oriented investments
may be warranted. The Board, in conjunction with its Investment Consultant, will review no
less than annually the Foundation’s risk tolerance and asset allocation to determine if any
change in policy is warranted. This SOIP will be modified as needed to reflect any future
change in asset allocation and investment guideline.
If additional asset classes or categories are selected, the Board will identify the target
range for each asset classes and the allowable ranges around those targets and articulate
a policy for rebalancing among the different asset classes.
V.

GRANTING POLICY
As stated in the governing authorities and agreements for the Foundation, the Foundation
is vested with the responsibility of distributing the interest earned in the form of grants to a
variety of program areas. Interest earnings, earnings, and appreciation, as used in the
Grant Agreement, shall mean the amounts realized that exceed the principal amount used
to purchase investments, including all interest, income, capital gains, appreciation, and
earnings realized by sale, liquidation, dividend or otherwise from the Foundation’s
investments. Granting policy decisions are made by the Board pursuant to the Grant
Agreement between the City and the Foundation, dated August 14, 2007, and after
deducting administrative costs.
The Board recognizes that the Granting Policy for the Foundation is relatively unique
compared to other Foundations. The Board further recognizes that at some point in the
future, as the Foundation matures, Granting Policy may be revised under the procedures
outlined by the applicable governing authorities and agreements.

VI.

DISTINCTION OF RESPONSIBILITIES
Board of Directors
The Board of the Foundation shall establish the investment policy (described below) that is
to guide the investment of the Foundation’s assets. The investment policy describes the
degree of overall investment risk that the Board deems appropriate, given prudent
investment principles and the objectives of the Foundation.
The Board may hire other service providers to assist in the discharge of its duties. The role
of Service Provider is detailed in this SOIP.
The Board retains the right to delegate some of its duties to an Investment Committee in
the future. If the Board establishes an Investment Committee in the future, this SOIP will
be modified to reflect the establishment of the Investment Committee and to clarify the
roles of the Board and the Investment Committee.
Investment Officers
3
42

Management responsibility for the investment program is hereby delegated to the Director
of Finance of the City of Arlington. The City’s Director of Finance, Treasurer, and Cash and
Debt Administrator are designated as Investment Officers. No persons may engage in an
investment transaction except as provided under the terms of this Policy and the
procedures established by the City’s Director of Finance. The City’s Director of Finance
shall be responsible for all transactions undertaken, and shall establish a system of
controls to regulate the activities of other designated Investment Officers. In conjunction
with the City’s annual financial audit, an annual compliance audit of management controls
on investments and adherence to the Board’s approved Investment Policy will be
undertaken.
Service Providers
The Board may hire service providers, including Investment Managers, Custodians and an
Investment Consultant, to assist in discharging its duties. The Board may contract with an
investment management firm to provide for the investment and management of funds
under its control. The investment management firm (the “Investment Manager”) must be
registered either under the Investment Advisers Act of 1940 or with the Texas State
Securities Board. The contract with the Investment Manager shall be limited to a
maximum term of two years with renewal or extension subject to approval of the Board of
Directors. The Board may designate an employee of its contracted investment
management firm as Investment Officer in addition to any member or members of the
Board and any City personnel assigned under the Administrative Services Agreement,
dated August 14, 2007, with the duties of investing and managing the assets of the
Foundation. All Investment Management firms must sign the certification in Exhibit A
acknowledging that the firm has received and reviewed the Foundation’s investment policy
and that reasonable procedures and controls have been implemented to preclude
investment transactions that are not authorized by the Foundation’s policy.
The Board’s approved investment policy shall govern the management of its funds. No
persons may engage in an investment transaction except as provided under the terms of
this policy and any written procedures established by the Board. An annual compliance
audit of management controls on investments and adherence to the Foundation’s
established investment polices will be undertaken in conjunction with the annual financial
audit.
The role if the Investment Manager, Custodian and Investment Consultant are described
below:
Investment Manager
The investment manager will manage assets under investment guidelines detailed in
Appendix B of this document, In addition, the investment manager has the following duties:

4
43



Making day-to-day selections of investments for the Foundation, in compliance
with the Investment Policy, the asset allocation policy, and any applicable
regulations.



Monitoring investment activity (and the market price of investments acquired with
public funds) for full compliance with the Investment Policy and the asset
allocation policy.



Preparing and providing reports in compliance with the Public Funds Investment
Act.



Maintaining adequate detailed records of all transactions. The Investment
Manager shall provide information and documentation on specific broker
transactions as requested.



Promptly informing the Board and its representatives regarding all significant
matters pertaining to the investment of the assets. The Board shall be kept
apprised of major changes in investment strategy, portfolio structure, market value
of the assets, and other matters affecting the investment of the assets. The Board
should also be informed promptly of any significant changes in the ownership,
affiliation, organizational structure, financial condition, or professional personnel
staffing of the Investment Manager.

Investment transactions shall be made with judgment and care, under prevailing
circumstances, that a person of prudence, discretion and intelligence would exercise in the
management of the person’s own affairs, not for speculation, but for investment,
considering the probable safety of principal as well as the probable income to be derived.
The Board may replace the Investment Manager with or without cause. In appointing an
Investment Manager, the Board shall have the following duties:


Determining whether the Investment Manager’s fee schedule for investment
services is reasonable, when compared to other such managers.



Investigating and determining whether the past performance of the Investment
Manager in managing investments has been reasonable.



Investigating and determining whether the Investment Manager has complied with
the Investment Management Agreement, including the asset allocation policy and
the Investment Policy.



Investigating any other factors which may bear on whether the Investment
Manager is suitable.

5
44



Providing information to the Investment Manager regarding funds available for
investment in order for the Investment Manager to maintain a sound investment
program.



Reviewing reports and other information provided to the Foundation.

Custodian
The duties of the custodian will include the following:


Serving as book of record for Foundation accounting purposes. The custodian will
work with the Foundation and City to ensure all reporting requirements are met.



Holding all Foundation assets, processing corporate actions, receiving dividend
payments, income, and other common custodial duties.

Investment Consultant
The duties of the investment consultant will include the following:

VII.



Establishing, reviewing and modifying types of investments and asset mix
permitted by the Investment Policy and the asset allocation policy.



Adopt and comply with an approved conflict of interest policy for all transactions.



Assisting the Board with ongoing education.



Proposing Investment Policy changes to the Board for approval at least annually.



Perform such other duties as may be agreed upon between the investment
consultant and the Foundation.

EDUCATIONAL RESPONSIBILITIES
Investment training in compliance with the Act for Investment Officers designated by the
Board shall be required in order to ensure the quality and capability of investment
management. Training will be provided through courses and seminars offered by
independent sources, including such professional organizations and associations such as
the Government Treasurers Organization of Texas, the Government Finance Officers
Association of Texas, the Association of Financial Professionals and its local chapters, the
University of North Texas Center for Public Management, and others as approved by the
Board. Investment Officers shall receive 10 hours of investment training from an approved
source within 6 months of appointment or assumption of duties and, thereafter, 8 hours
every two years as required by the Act. In addition, Board members will comply with any
6
45

educational requirements stated within the governing authority for the Foundation. The
investment officer shall prepare a report on this subchapter and deliver the report to the
governing body of the state agency not later than the 180th day after the last day of each
regular session of the legislature.
VIII.

REPORTING
The Investment Consultant will prepare a quarterly investment report containing all
information related to investment activity required by the Act. As part of the quarterly
report, all Board-designated Investment Officers shall sign a statement of compliance of
the investment portfolio with the Act and the investment strategy stated in the investment
policy. The Investment Consultant quarterly report will include an analysis of returns
versus appropriate benchmark indices and include an analysis of returns vs. a peer group
of other not-for-profit entities.
The investment manager will also provide monthly reports containing current market
values, transactions made, market commentary, and other information that may be
relevant to the Board. The investment manager and/or custodian will also work with
Foundation staff to ensure proper account of Foundation assets.

IX.

POTENTIAL CONFLICTS OF INTEREST
An Investment Officer who has a personal business relationship as defined by the Act with
a business organization offering to engage in an investment transaction with the
Foundation or with a business organization offering to contract with the Foundation for
investment management services shall file a statement disclosing that personal business
relationship. An Investment Officer who is related within the second degree by affinity or
consanguinity, as determined under Chapter 573 of the Texas Government Code, either to
an individual seeking to sell an investment to the Foundation or to an individual
representing an investment management firm offering to contract with the Foundation for
investment management services shall file a statement disclosing that relationship. The
required disclosure statements shall be filed with the Board and the Texas Ethics
Commission.

7
46

EXHIBIT A
Texas Public Funds Investment Act
Certification by Investment Manager
This certification is executed on behalf of the Arlington Tomorrow Foundation (the Investor) and
______________________________________ (the Investment Manager) pursuant to Chapter
2256, Government Code, cited as the Public Funds Investment Act, in connection with investment
transactions conducted between the Investor and the Investment Manager.
The undersigned Qualified Representative is an officer and/or principal of the Investment Manager
and hereby certifies on behalf of the Investment Manager that:
1. The Qualified Representative of the Investment Manager is duly authorized to execute this
Certification on behalf of the Investment Manager, and
2. The Qualified Representative of the Investment Manager has received and reviewed the
Investment Policy furnished by the Investor, and
3. The Investment Manager has implemented reasonable procedures and controls in an effort to
preclude investment transactions conducted between the Investment Manager and the
Investor that are not authorized by the Investor's investment policy, except to the extent that
this authorization is dependent on an analysis of the makeup of the Investor's entire portfolio or
requires an interpretation of subjective investment standards.

Investment Manager Qualified Representative
Business Organization (firm)
Signature
Name (Printed)
Title
Date

8
47

EXHIBIT B
Investment Manager Guidelines
All investment manager mandates will be subject to the Governing Authority language detailed in
Section I of the SOIP. In addition, individual manager guidelines applying to each manager are
specified below:








Registered with the SEC.
Track record of 7 years or more as fixed income manager; a shorter track record may
be used when the investment professionals of a new organization have a well
established and recognized track record at a previous organization.
Performance record that is compliant with the Global Investment Performance
Standards of the CFA Institute.
The strategy and firm should have a sufficient and appropriate asset base.
Experienced and stable investment team
Favorable risk-adjusted performance; the product’s performance should be evaluated
against the benchmark and peer group returns
Strong rating from Aon Hewitt Investment Consulting’s research team.

9
48

EXHIBIT C
List of Permissible Investments Under Public Fund Investment Act
Unless otherwise stated, the Foundation’s investment strategies and policies applicable to funds
covered by Section 2256.0202 of the Public Fund Investment Act (the “Act”) shall be guided by and
subject to the prudent investor standards set forth in the Act. The Grant Agreement with the City
requires that this SOIP be consistent with the Act. In order to comply with the Grant Agreement and
the Act, below is a list of additional items governing the Foundation’s investment of funds pursuant
to this SOIP:.


The investment of funds pursuant to this SOIP shall be made using only those investment
types which are authorized by and in accordance with authorizing federal and state laws,
including, but not by way of limitation, the Act and the Texas Government Code, Chapter
2256, Section 2256.0202. In addition, the approved investment types include all authorized
investments permissible under Section 2256.0202 as well as those listed in Sections
2256.009-2256.016 of the Act, which Sections and their respective lists of authorized
investments are incorporated herein by this reference as if set out in full for all purposes.



The Foundation is not required to liquidate investments that were authorized investments
at the time of purchase, if they subsequently become unauthorized. However, an
investment that requires a minimum rating under the Act does not qualify as an authorized
investment during the period the investment does not have the minimum rating.
Investment Officer(s) will take prudent measures that are consistent with this SOIP to
liquidate an investment that does not have the minimum rating.



All security transactions entered into with the Foundation shall be conducted on a “Delivery
Versus Payment” (DVP) basis through the Federal Reserve System, with the exception of
investment pools and mutual funds. By doing this, funds are not released until the
Foundation has received, through the Federal Reserve wire, the securities purchased.
The Foundation shall authorize the release of funds only after the purchased security has
been received in the safekeeping account of the Foundation.

10
49

<ReportMemberName>

As of December 31, 2019

Notes

·

The rates of return contained in this report are shown on an after-fees basis unless otherwise noted. They are geometric and time-weighted. Returns for
periods longer than one year are annualized.
· Since inception performance is calculated beginning with the first full month of performance.
· Universe percentiles are based upon an ordering system in which 1 is the best ranking and 100 is the worst ranking.
· Due to rounding throughout the report, percentage totals displayed may not sum to 100%. Additionally, individual fund totals in dollar terms may not sum to
the plan total.

50

Disclaimer
Past performance is not necessarily indicative of future results.
Unless otherwise noted, performance returns presented reflect the respective fund’s performance as indicated. Returns may be presented on a before-fees basis (gross) or afterfees basis (net). After-fee performance is net of each respective sub-advisors’ investment management fees and include the reinvestment of dividends and interest as indicated on
the notes page within this report or on the asset allocation and performance summary pages. Actual returns may be reduced by AHIC’s investment advisory fees or other trust
payable expenses you may incur as a client. AHIC’s advisory fees are described in Form ADV Part 2A. Portfolio performance, characteristics and volatility also may differ from the
benchmark(s) shown.
The information contained herein is confidential and proprietary and provided for informational purposes only. It is not complete and does not contain certain material information
about making investments in securities including important disclosures and risk factors. All securities transactions involve substantial risk of loss. Under no circumstances does the
information in this report represent a recommendation to buy or sell stocks, limited partnership interests, or other investment instruments.
The data contained in these reports is compiled from statements provided by custodian(s), record-keeper(s), and/or other third-party data provider(s). This document is not
intended to provide, and shall not be relied upon for, accounting and legal or tax advice. AHIC has not conducted additional audits and cannot warrant its accuracy or
completeness. We urge you to carefully review all custodial statements and notify AHIC with any issues or questions you may have with respect to investment performance or any
other matter set forth herein.
The mutual fund information found in this report is provided by Thomson Reuters Lipper and AHIC cannot warrant its accuracy or timeliness. Thomson Reuters Lipper Global Data
Feed provides comprehensive coverage of mutual fund information directly to Investment Metrics, AHIC’s performance reporting vendor, via the PARis performance reporting
platform. Thomson Reuters Lipper is the data provider chosen by Investment Metrics, and as such, AHIC has no direct relationship with Thomson Reuters Lipper.
Refer to Hedge Fund Research, Inc. www.hedgefundresearch.com for information on HFR indices.
FTSE International Limited (“FTSE”) © FTSE 2017. “FTSE®” and “FTSE4Good®” are trademarks of the London Stock Exchange Group companies and are used by FTSE
International Limited under license. The FTSE indices are calculated by FTSE International Limited in conjunction with Indonesia Stock Exchange, Bursa Malaysia Berhad, The
Philippine Stock Exchange, Inc., Singapore Exchange Securities Trading Limited and the Stock Exchange of Thailand (the "Exchanges"). All intellectual property rights in the
FTSE/ASEAN Index vest in FTSE and the Exchanges. Neither FTSE nor its licensors accept any liability for any errors or omissions in the FTSE indices and / or FTSE ratings or
underlying data. No further distribution of FTSE Data is permitted without FTSE’s express written consent.
Aon Hewitt Investment Consulting, Inc. (“AHIC”) is a federally registered investment advisor with the U.S. Securities and Exchange Commission (“SEC”). AHIC is also registered
with the Commodity Futures Trade Commission as a commodity pool operator and a commodity trading advisor, and is a member of the National Futures Association. The AHIC
ADV Form Part 2A disclosure statement is available upon written request to:

Aon Hewitt Investment Consulting, Inc.
200 East Randolph Street
Suite 700
Chicago, IL 60601
ATTN: AHIC Compliance Officer

51

Arlington Tomorrow Foundation
Board Meeting
March 26th, 2020

Investment advice and consulting services provided by Aon Hewitt Investment Consulting, Inc., an Aon Company.
Nothing in this document should be construed as legal or investment advice. Please consult with your independent professional for any such advice. To protect the
confidential and proprietary information included in this material, it may not be disclosed or provided to any third parties without the approval of Aon Hewitt.

Agenda
Section 1
Section 2
Section 3
Appendix

Market Update
Investment Performance and Asset Allocation
Investment Strategy

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2

(This page left blank intentionally)

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3

Section 1: Market Update – COVID-19
March 20, 2020 Close unless otherwise stated

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4

Our Views
▪

Markets have sold off, but it is too early to tell if they are cheap enough to buy. Estimates on the impacts to profits and
economic risks are changing daily. We are not wholesale buyers of risk yet.

▪

Bond yields are off their lows but we continue to see a lot of daily volatility. Some underweight to duration is
warranted given where yields currently are.

Actions for client portfolios
▪

Rebalancing equity positions that have drifted outside of policy is appropriate, we recommend not
moving all the way to target weight just yet.

▪

Do not sell return-seeking assets to gain diversification now. If you have it, it has worked. Chasing it
now is not a good course of action.

▪

Opportunities such as EIRP, ILS, Bank Capital Relief are worth looking at to fill opportunity allocations.

▪

Some duration underweight is warranted given the low level of yields. We recommend having a plan
in place to extend duration as rates rise, and examining current duration levels.

What we are watching:
▪
▪

When to move overweight equities and return-seeking assets. We are not there yet, but closer.
Relative value in the investment grade credit market versus government bonds, and value in high yield
markets.

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5

COVID-19 Update

Growth of cases
outside of China
is now the main
concern

Source: World Health Organization

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6

Evolution of COVID-19 Cases from 100th Case
The trajectory of COVID-19 cases will be key in determining how long containment
policies remain in place and how the economy fares.
Italy

Updated March 22,2020
50000

US

Spain
Germany

Confirmed Cases, Log10 Scale

20000

Iran

France

10000

Korea, South

Switzerland
United Kingdom
Netherlands

5000

2000

US Starts Social Distancing Measures, March 15 2020

1000

Japan

Singapore

500

200

100
0

5

10

15

20

25

30

35

Days Since 100th Case
Source: Aon, John Hopkins University

Past performance is no guarantee of future results.
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7

40

Market Reactions

Spike in volatility

Significant sell off in equities

Collapse in bond yields across the yield curve,
but yields are off their lows.

Past performance is no guarantee of future results.
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8

Market Reactions

Credit spreads are moving higher

High yield yields are moving higher,
investment grade yields are lower

The dollar has
been volatile,
moving stronger

Saudi price war has led to
a collapse in oil prices

Past performance is no guarantee of future results.
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9

Why so much volatility? The estimated economic cost has been rapidly
changing for the worse
The Economic Costs Rack Up
▪ Travel restrictions on citizens rack up globally. Air travel
has been curtailed.

Very Fast reassessment of
growth globally

▪ Conferences cancelled – Google I/O, SXSW, MWC
Barcelona…. and many more
▪ Bars and restaurants close in some US states.
▪ Self-quarantine and official quarantine regimes continue.
Italy has put mass restrictions on most of its population
with other EU countries following. USA has began
implementing aggressive social distancing. 1 in 5 citizens
are now under stay at home orders.
▪ And many more examples…

Very Fast reassessment of
growth in the US

Small V, Deep V, U Shaped…
Expectations for future growth
are changing day by day.

JPM Nowcast is a data driven forecast, JPM Forecast is
JPM’s economists estimate.
Past performance is no guarantee of future results.
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10

Market valuations have reacted to changing fundamentals
Markets have re-rated extremely fast, but there is some uncertainty around how much value there is. Forward looking
measures of value may be using stale estimates, as the economic impact is so uncertain.

12/31/2019

100%

Expensive
90%

20 Year Percentile Rank of Valuation

80%

70%

60%

50%

40%

30%

20%

3/20/2020
Risky assets have gotten cheaper,
US Treasuries more expensive.

10%

Cheap
0%

S&P 500 MSCI AC
World

US Credit Int. Credit
Spread
Spread

Lng.
High yield
Credit
Spread
Spread

US Credit Int. Credit
Yield
Yield

Lng.
Credit
Yield

High yield
Yield

US 10Y
Yield

US 30Y
Yield

Source: Aon, Factset
Notes: Valuations used: Equity markets = Next Twelve Month PE Ratio, Credit Spread = Option Adjusted Spread, Credit Yield = Yield To Worst, Treasury Yield = Yield To
Maturity

Past performance is no guarantee of future results.
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11

Central Banks to the rescue? Not in a public health crisis
Where possible central banks around the world have eased policy, but with rates being low there is a
limit. Central Banks are also increasing liquidity operations as funding markets come under pressure.
On March 23, the Fed launched unlimited QE and expanding QE into bond markets where it has not
been deployed before.
Central Bank Policy Rates Through 2020
2

1/1/20
1.5

Canada has cut rate by
50bps on 3/4/2020, and
another 50bps on
3/13/2020

A second emergency rate cut by the Fed on
3/15/2020 takes us back to 0 to 25bps range

1

0.5

12/31/20
0

-0.5

-1

3/20/20

UK cut rates by 50bps on 3/10/2020, and on
3/18/2020 cut rates to 0.1% the lowest ever
in the UK.
US

UK

Japan

ECB

Canada

Source: Aon, Bloomberg OIS Pricing
Past performance is no guarantee of future results.
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12

Announced fiscal packages
USA:
▪ State of Emergency Declared releasing $50bn to States to deal with virus
▪ Payment of federal taxes deferred by 90 days, freeing up an estimated $300bn for 90 days.
▪ Senate passes the Houses stimulus package which provides paid sick leave to workers effected by
COVID-19, but there are some limits.
▪ “Phase 3” plan being considered.
Japan:
▪

Variety of small fiscal measures passed. Two small business loan bills totaling $20bn. $4bn for mask
production and stopping viral spread.

Eurozone
▪
▪
▪

Germany - State run bank instructed to lend to soften virus blow.
France - $49bn package enacted includes social security cuts, enhanced unemployment benefits.
$327bn loan guarantees for business.
$28bn spending package to help guarantee loans and help for workers

United Kingdom:
▪

Budget included significant amounts in a $37bn fiscal boost to economy. About a third was virus
related. More is coming down the pipeline.

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13

Section 2: Investment Performance and Asset
Allocation

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14

Arlington Tomorrow Foundation Performance
As of December 2019

In late 2015, the Foundation liquidated all of its fixed income investments to fund community development. The remaining balance was allocated to
the Vanguard Total World Stock Index.
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15

Current Asset Allocation
▪ Year to date through March 20, 2020, global equity markets have lost 29.5% as measured by the
MSCI All Country World Index
▪ The MetLife Commercial Mortgage Income Fund is a private fund and does not yet have an updated
market value
Estimated Market Value

Allocation

Vanguard Total World Stock

$38,578,694

77.8%

MetLife Commercial Mortgage Income Fund

$10,598,603

21.4%

Cash

$426,306

0.8%

Total

$49,603,603

100.0%

Vanguard Total World Stock market value as of during the day of March 23, 2020. Cash as of March 20, 2020. MetLife Commercial Mortgage
Income Fund as of December 31, 2019.
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16

Section 3: Investment Strategy

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17

Asset Allocation and Spending Analysis
▪ Asset allocation and spending analysis (fall of 2017)
– Examine current asset allocation and spending and evaluate their impacts on asset growth in real
dollars over then next ten years
– Set future investment strategy
▪ Result:
– 4% spending rate is sustainable and will allow the Foundation to exist into perpetuity
– Proposed asset allocation strategy comprising 50% equity, 40% fixed income and 10% private
real estate
• AHIC recommended diversifying the equity exposure with equity insurance risk premium
strategies, and diversifying fixed income across risk reducing and risk seeking strategies
• The Foundation can use principal payments received from the City over time to diversify the
portfolio
▪ Asset allocation was approved by the Board and reflected in the Statement of Investment Policy
▪ Board will decide upon investment strategies and managers
▪ Board determines time horizon for implementation

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18

Diversification Strategy
▪

At the December 2017 Board Meeting, AHIC proposed discussing the merits of each of the following
asset classes and bringing forward investment candidates for each asset class in future meetings
– Private real estate
– Equity insurance risk premia strategies
– Core fixed income
– TIPs
– Multi-asset credit

▪

At the March 2018 Board meeting, the Board approved a commitment to a private real estate debt
strategy managed by MetLife (MetLife Commercial Mortgage Income Fund)
– Real estate debt was preferred over real estate equity due to real estate debt’s lower risk
position, focus on income, and inflation hedge potential
– The target allocation to real estate debt is 10% of the Foundation’s assets
– The Foundation’s capital commitment was accepted by MetLife on July 1, 2018

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19

Foundation Asset Allocation
▪ The table below shows the current allocation of the Foundation’s investable assets relative to long
term target allocations
▪ When considering the future payback from the City in the Foundation’s asset allocation, the current
allocation is much closer to long term target allocations
Asset
Allocation
(Investable Assets)

Comments

Target
Asset Allocation
(Policy)

Vanguard Total World Stock Index

77.8%

Potentially add active
manager for diversification

50%

Total Equity

77.8%

MetLife Commercial Mortgage Income Fund

21.4%

Total Real Estate

21.4%

Asset Classes

Total Fixed Income and Cash

0.8%

Total

100.0%

50%
Funded July 2019

0.0%-100.0%

10%

Owed by City future payback;
Consider including
core fixed income,
TIPS, multi asset credit.
To be determined.

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Target
Ranges

10%

0.0%-30.0%

40%

0.0%-100.0%

100.0%

20

Payback Over Time
▪ Over time the Foundation will receive payback from the City and CPI adjustments to the corpus which can be
reallocated within the Arlington Tomorrow Foundation portfolio to achieve a desired asset allocation

▪ The table below displays, at the end of each fiscal year, the outstanding payback principal amount, the ATF
corpus, total corpus, and the annual payback payment amounts plus CPI adjustment
Outstanding
Principal Corpus
(City Payback; Fixed Income)

ATF Corpus

Total Estimated Corpus

Amount Available to be
Reallocated in ATF Corpus each Year
(Payback + CPI Adjustment1)

FY 19

$41,708,499

$66,760,155

$108,468,6543

$5,250,2762

FY 20

$38,775,290

$71,537,332

$110,312,621

$4,777,176

FY 21

$35,753,089

$76,765,785

$112,518,874

$5,228,453

FY 22

$32,639,198

$82,130,054

$114,769,251

$5,364,269

FY 23

$29,430,833

$87,633,803

$117,064,636

$5,503,749

FY 24

$26,125,130

$93,280,799

$119,405,929

$5,646,996

FY 25

$22,719,134

$99,074,914

$121,794,048

$5,794,115

FY 26

$19,209,802

$105,020,126

$124,229,929

$5,945,212

FY 27

$15,594,001

$111,120,526

$126,714,527

$6,100,400

FY 28

$11,868,499

$117,380,319

$129,248,818

$6,259,792

FY 29

$8,029,968

$123,803,826

$131,833,794

$6,423,507

FY 30

$4,074,980

$130,395,490

$134,470,470

$6,591,664

FY 31

$0

$137,159,879

$137,159,879

$6,764,389

Fiscal Year

1 CPI adjustment assumed to be 2% of Total Corpus (ATF corpus plus outstanding principal payback) in future years.
2 $5,250,276 represents the payback amount during FY19 ($2,846,838) and the approved CPI adjustment ($2,403,438).
3 Total estimated corpus is the sum of outstanding principal payback of $41,708,499 and total ATF corpus of $66,760,155 as of September 2019.

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21

Appendix

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22

Rebalancing –
Ignore the Crowd, Follow Your Policy

The opinions referenced are sourced from Aon as of the date of publication and are subject to change due to changes in the market or economic conditions and may not
necessarily come to pass. Information contained herein is for informational purposes only and should not be considered investment advice. Past performance is not a
guarantee of future results.

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23

Executive Summary
▪ Aon advocates that most of our clients follow a disciplined, policy-oriented rebalancing
strategy

Why Rebalance?

▪ It helps investors to stay focused on long-term
policy
▪ Timing markets is costly and success is hard
fought; rebalancing strategies usually outperform
those drift from policy

How to
Rebalance?

▪ Apply tilts within the existing asset allocation range,
guided by Aon’s Medium-Term Views
▪ Consider adding an “Opportunity Allocation”

Considerations

▪ Multiple smaller transactions with a disciplined plan
▪ Anticipated cash flows and market conditions
▪ Transactions can help transition to an updated
target allocation (e.g. enter a new asset class)
▪ Manager line-up

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24

Why Rebalance: Focusing on Long-Term Policy Provides Opportunities
▪ Policy asset allocations do reflect long-term time horizons of our clients
▪ Taking the brunt of a market decline is hard, staying with long-term policy is essential to:
− Get the full benefit of a rebound
− Taking advantage of dislocated financial prices
▪ Any bear market ultimately recovers
Duration and Severity of Historical Bear Markets
Peak
May 1946
July 1957
December 1961
February 1966
November 1968
January 1973
November 1980
August 1987
March 2000
October 2007
October 2018
Average

Trough

Time to Trough

Recovery

Time to Recovery

May 1947
October 1957
June 1962
October 1966
May 1970
October 1974
September 1981
October 1987
October 2002
March 2009
December 2018

1 Year
3 Months
6 Months
8 Months
1 Year, 6 Months
1 Year, 9 Months
10 Months
2 Months
2 Years, 7 Months
1 Year, 5 Months
2 Months

June 1950
September 1958
September 1963
May 1967
March 1972
July 1980
November 1982
July 1989
May 2007
March 2013
April 2019

3 Years, 1 Month
11 Months
1 Year, 3 Months
7 Months
1 Year, 10 Months
5 Years, 9 Months
1 Year, 2 Months
1 Year, 9 Months
4 Years, 7 Months
4 Years
4 Months

11 Months

2 Years, 2 Months

* Performance is based on S&P Price Index Return (not the Total Return Index)
Source: S&P
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25

Why Rebalance: Timing Markets Can be Costly
▪ Market timing is difficult both ways
▪ The best weeks often counted for the big chunk of a recovery
Recovery in Just One Week*
16.0%
14.1%

14.0%
12.3%

12.3%
11.5%

12.0%

11.4%

10.7%
10.0%
8.0%
8.0%

7.2%

6.8%

6.0%

5.0%
4.4%

4.0%
2.0%

* One Week is defined as 5 consecutive trading days
Source: S&P
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26

January 2, 2019

March 16, 2009

October 16, 2002

November 2, 1987

August 23, 1982

October 11, 1974

June 2, 1970

October 18, 1966

July 5, 1962

October 29, 1957

May 21, 1948

0.0%

How to Rebalance: Consider Adding an “Opportunity Allocation”
▪ An “Opportunity Allocation”* is flexibility built into the investment policy statement to
enable investors to make investments that may not fit within a “primary” asset allocation
construct

▪ An Opportunity Allocation helps facilitate the execution of great ideas in the portfolio
▪ Aon clients have used Opportunity Allocations for more than a decade, and these
allocations have typically made a positive performance (and sometimes diversifying)
impact
▪ During periods of dislocation, some niche opportunistic strategies may become attractive

* Refer to Aon research: When Opportunity Knocks Again, March 2019
Proprietary & Confidential
Investment advice and consulting services provided by Aon Hewitt Investment Consulting, Inc., an Aon Company.

27

Rebalancing Considerations
▪ Move inside policy ranges and closer to target allocations, avoid being too far from the targets
▪ Consider multiple smaller transactions to mitigate market impact costs
▪ Develop a disciplined plan
– Move $X per week until the allocation is within Y% of the target allocations
– Get midway between the target allocation and policy bound
– Use larger, faster transactions when the allocation falls outside the policy range
▪ Consider anticipated cash flows to bring the portfolio in balance
▪ Consider whether transactions can help get closer to any desired asset allocation changes
– Non-US Equity to correct home country bias
– Unconstrained global equity managers
– New asset classes
– New mandates may take more time to consider manager selection and/or partial OCIO governance;
consider if an interim solution is needed
▪ Consider whether transactions can be used to improve the manager line-up
▪ Review market conditions before trading. Reach out to investment managers or transition prior to
initiating a large trade.

Proprietary & Confidential
Investment advice and consulting services provided by Aon Hewitt Investment Consulting, Inc., an Aon Company.

28

Appendix: Data Disclosures
The MSCI information may only be used for your internal use, may not be reproduced or redisseminated in any form and may not be used as a basis for or a
component of any financial instruments or products or indices. None of the MSCI information is intended to constitute investment advice or a
recommendation to make (or refrain from making) any kind of investment decision and may not be relied on as such. Historical data and analysis should not
be taken as an indication or guarantee of any future performance analysis, forecast or prediction. The MSCI information is provided on an “as is” basis and the
user of this information assumes the entire risk of any use made of this information. MSCI, each of its affiliates and each other person involved in or related to
compiling, computing or creating any MSCI information (collectively, the “MSCI Parties”) expressly disclaims all warranties (including, without limitation, any
warranties of originality, accuracy, completeness, timeliness, non-infringement, merchantability and fitness for a particular purpose) with respect to this
information. Without limiting any of the foregoing, in no event shall any MSCI Party have any liability for any direct, indirect, special, incidental, punitive,
consequential (including, without limitation, lost profits) or any other damages. (www.msci.com)

Proprietary & Confidential
Investment advice and consulting services provided by Aon Hewitt Investment Consulting, Inc., an Aon Company.

29

Legal Disclosures and Disclaimers
Aon’s Medium-Term Views (“MTV”) represent Aon’s current internal market and economic outlook as of the date presented. The opinions referenced are sourced from Aon are
subject to change due to changes in the market or economic conditions and may not necessarily come to pass. Information contained herein is for informational purposes only
and should not be considered investment advice.
This document has been produced by Aon’s Global Asset Allocation Team, a division of Aon plc and is appropriate solely for institutional investors. Nothing in this document should
be treated as an authoritative statement of the law on any particular aspect or in any specific case. It should not be taken as financial advice and action should not be taken as a
result of this document alone. Consultants will be pleased to answer questions on its contents but cannot give individual financial advice. Individuals are recommended to seek
independent financial advice in respect of their own personal circumstances. The information and opinions contained herein is given as of the date hereof and does not purport to
give information as of any other date and are subject to change due to changes in the market or economic conditions and may not necessarily come to pass. Information contained
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law; ii) to anyone to whom it is unlawful to make such an offer or solicitation; or iii) if the person making the offer or solicitation is not qualified to do so. If you are unsure as to whether
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30

Arlington Tomorrow Foundation
Board of Directors Meeting
March 26, 2020
Final Application Summary

Organization

Project

Amount
Requested
$450,000

Past Recipient

Arlington Animal
Services Center

Center Generator

Arlington Heritage
Memorial Grounds
Corporation

Arlington
Heritage
Memorial
Grounds

$75,000

Yes
1 grant =
$50,000

Child Care
Associates

Tucker Early
Childhood
Campus

$200,699

No

Downtown
Arlington
Management
Corporation

Americana Trax
Festival –
underwriting
community
programming

$20,000

Yes
1 grant =
$25,000

Yes
4 grants =
$627,385

Committee
Recommendations
Committee
recommends funding
50% of request.
(3-0)
Committee
recommends
offering a $50,000
grant directed
specifically to the
cost of benches,
sidewalks, lights and
landscaping
exclusively.
(3-0)
Committee
recommends a grant
of $100,000 with the
caveat that the grant
is matched 1:1 with
new granting
sources.
(3-0)
Committee members
recommend tabling
the request until the
project is deemed
viable.
(3-0)

Metro Sports
Foundation
National Medal of
Honor Museum
Foundation

Metro Sports
Fieldhouse Family
Health and
Wellness
Capital Campaign
support: partial
underwriting of
the architectural
design and plans

$10,000

Yes
1 grant =
$3,000

$5,000,000

No

Total requests: $5,755,699

Members
recommend passing
on the request.
(3-0)
Members
recommend funding
at the requested
amount and in
multiple
installments.
(3-0)

Organization:

Arlington Animal Service Center

Contact Name:

Chris Huff

Contact Title:

Manager

Address:

1000 SE Green Oaks Blvd.
Arlington, TX 76018

Email:

[email protected]

Phone:

817-459-6269

Projects may qualify for grants in more than one category. However, a separate Letter of Inquiry (LOI) must be submitted in each
category. Organizations may also apply for more than one grant per funding cycle. When applying for multiple grants, please be
prepared to tell us the ranking or priority preference of each of your projects.

Organization 501(c)(3):
Project Name:

Yes

Animal Services Center Generator

Amount Requested: $450,000.00
Organization Background
. Briefly describe your organization’s history and mission (one paragraph or less).

Arlington Animal Services is under the umbrella of Code Compliance Services in the City of Arlington
and moved into a state-of-the-art facility in January 2009. The mission of Code Compliance Services
is to engage, protect and encourage the citizens of the City of Arlington. To accomplish this mission
Code Compliance Services will: Engage communities and promote responsible home ownership;
Protect and invest in the vision of the neighborhoods; Encourage responsible pet ownership and
provide for the humane care of stray and unwanted animals. The Arlington Tomorrow Foundation has
been a major source of funding for assistance in providing shelter upgrades, community animal
support, and the purchase of our mobile adoption vehicle, as well as other shelter projects since the
new Animal Services Center opened.
Statement of Need
. Describe the project need and the group or community your project will serve.
. What is the problem or issue you are trying to address?
. What is your organization’s involvement in the issue?

What is the problem or issue you are trying to address?
Arlington Animal Services is requesting funding to purchase and install a much-needed
generator at the animal shelter. Due to the location of Arlington, severe weather is eminent. There
are, on average, seven severe thunderstorm watches and thirteen tornado watches annually. These
weather events often result in power outages that can last from hours, days or even weeks.

1 | Final Applications

Inclement weather can disrupt our power supply system and is essential for our entire business. A
generator for the Arlington Animal Services Center will ensure that the nearly 9,000 animals received
annually will be protected during power outages. Temperatures in Arlington average 85 and reach
as high as 106. During a power outage, these temperatures are unsafe to the animals at the shelter
and it is imperative that the air conditioning system continues to cool the facility during the summer
months and heat the facility during the winter months for the health of the animals. Additionally,
there is no security lighting that make it possible for employees to provide care to the animals in the
shelter. Power is essential to keep refrigerators that house vaccines operational. Finally, power is
vital to keep computers operational in order to continue finding forever homes for the homeless
animals that are housed at the shelter. Additionally, severe weather often results in an increase in
animals received at the shelter due to damaged homes and fences, as well as pet owners who are
unable to care for fearful animals. This increase in shelter animals can lead to higher euthanasia
rates when there is no longer space available to house the number of animals received. The
purchase of a generator is one step in insuring that there is no disruption in shelter operations that
could be detrimental to the animals at Arlington Animal Services.
Who will benefit from your efforts?
The nearly 9,000 animals received annually will be protected during power outages. The 30
full-time and part-time Arlington Animal Services’ employees will be able to continue operations in a
safe environment. The addition of a generator to the shelter facility will allow operations to continue
and assist with the needs of the community pet-owners during inclement weather.
What is your organization’s involvement in the issue?
The Arlington Animal Services Center is operated by the City of Arlington. Funding for the
operation of the animal shelter and wellness clinic is provided for in the Code Compliance Services’
general fund budget. The original plan for the shelter included a generator in the design; however,
due to costs and budget restraints, this feature was eliminated from the plan.
Project Description
. Describe your project. What are the strategies and activities of your project? How many people will be served?
. What date do you plan to start the project and what is the planned duration of the proposed activity?
. What results do you expect? What changes will result from your work?
. Describe any project partners on which project success is dependent.

Describe your project. What are the strategies and activities you will employ? How many people will
be served?
The installation of this equipment will be led by the City of Arlington Facility Services

Department, partnering with the Animal Services’ team utilizing a third-party contractor. The nearly
9,000 animals received annually will be protected during power outages. The 30 full-time and
part-time Arlington Animal Services’ employees will be able to continue operations in a safe
environment. The addition of a generator to the shelter facility will allow operations to continue and
assist with the needs of the community pet-owners during inclement weather.
What date do you plan to start the project and what is the planned duration of the proposed activity?
• The planned start will depend on the approval of the grant, and other internal approvals.
Estimated start is June 2020 based on Construction Services’ current projects. Project duration is
estimated at 40 to 50 weeks.

2 | Final Applications

What results do you expect? What changes will result from your work?
A permanent installation of a generator will provide back-up power and peace of mind for
Arlington Animal Services’ staff, as well as the pet-owning residents of Arlington. Arlington Animal
Services Center will remain operational during electricity outages.
Describe any project partners on which project success is dependent.
Project partners include City of Arlington Facility Services Department, a third-party contractor
for installation, and Arlington Animal Services.
Financial Information
. Tell us the amount you are requesting from the Arlington Tomorrow Foundation, the total project budget amount,
and state your organization’s total annual budget.

. Indicate and itemize costs for which you are seeking funding from the Arlington TomorrowFoundation.
. PLEASE NOTE: The Foundation will not consider funding to cover expenses related to salaries, scholarships,
research or endowments.

. The foundation does not fund 100% of a project’s total cost. Describe the overall funding plan for the project and
include any other funding sources currently committed to the project.

Tell us the total project budget amount and state your organization’s total annual budget.
Project Budget: $450,000
Animal Services FY2020 Annual Budget: $2,456,235
Indicate and itemize costs for which you are seeking funding from the Arlington Tomorrow
Foundation.
Generator, enclosure, ATS start-up, load bank test and building load test - $150,000
Engineered drawings, permits, wiring, (screening if required since the generator is in a fenced-in
area), construction - $280,000
Contingency - $20,000
The foundation does not fund 100% of a project’s total cost. Describe the overall funding plan for the
project and include any other funding sources currently committed to the project.
We have no other funding source currently; however, the operation and maintenance for Arlington
Animal Services is included in the City of Arlington general fund budget.
Describe how you will financially sustain the project in the long term.
The operation and maintenance of the generator will be financially sustained through Animal
Services’ general fund budget.
Please provide the following detailed information about your project and your organization:
The Arlington Tomorrow Foundation only funds projects or programs scheduled for completion within one year of the grant award.
What date (month/year) do you plan to start the project and what is the planned duration of the proposed activity? Please provide the
expected major milestones by date.

•

The planned start will depend on the approval of the grant, and other internal approvals.

Estimated start is June
2020 based on Construction Services’ current projects.
• August 12, 2020 - weeks engineering firm selection (4-6 weeks)
• September 23, 2020 - engineered drawings (4-6 weeks)
• November 4, 2020 - selection of general contractor (4-6 weeks)
• June 2, 2020 – construction (26-30 weeks)
• June 16, 2020 - punch-list, final inspection, generator start-up and testing (2 weeks)
3 | Final Applications

• It is estimated from project start to completion 40-50 weeks; however, this does not take in account any
weather or other possible delays
What plans do you have to evaluate the project/program? Please provide measurable, time-specific goals and include elements of your
evaluation guidelines.

Animal Services will work closely with the City of Arlington Facility Services’ Department and the third-party
contractor throughout this project to stay within the guidelines and measures required for installation of a new
generator.

Financial Information:
What is your organization’s total annual operating budget?

$2,456,233.00
Will the grant be used for capital or programming support:

capital
The Foundation does not fund 100% of a project’s cost. Additionally, the Foundation requires all grantees provide proof of matching
support for a grant request. What is your organization’s plan for such support (e.g., cash grants, in-kind donations, volunteer support,
operating budget, state or federal grants) to supplement a gift from the Arlington Tomorrow Foundation?

The operation and maintenance of the generator will be financially sustained through Animal Services’ general
fund budget. The Animal Services Administrative Coordinator currently assists with shelter upkeep and will
provide daily required maintenance at the facility. In addition, Facility Services will provide preventative and
regular corrective maintenance to be performed by a generator contractor to ensure that the generator is
maintained in a state of readiness in the event of a utility outage through their general fund budget.
Please list all entities asked to provide financial support for the proposed project and the respective requested amount. Are these funds
pledged, paid or merely requested at the time of this application?

Animal Services requested funding of $121,417 for the generator during the FY 2019 financial forecast process,
which would have only covered the kennel area. Additionally, in March 2018 a grant request was written for
PetSmart Charities, but it did not meet the requested guidelines for that grant cycle.
Describe your plans for sustaining the project/program long term.

City of Arlington Facility Services will provide preventative and regular corrective maintenance to be performed by
a generator contractor annually ensuring the generator is maintained in a state of readiness in the event of a
utility outage.

Additional Information requested:
Please list the name of the Executive Director or CEO of your organization.

Gilbert Perales, Deputy City Manager
Does this person have knowledge of and approve of this application to the Arlington Tomorrow Foundation?

Yes
Please provide the organization’s tax identification number here:

1-75-6000450-3

4 | Final Applications

Organization:

Arlington Heritage Memorial Grounds Corporation

Contact Name:

Sharon Croxton

Contact Title:

Executive Director

Address:

2131 N. Collins Street, Suite 433-542
Arlington, TX 76011

Email:

[email protected]

Phone:

817-915-6364

Projects may qualify for grants in more than one category. However, a separate Letter of Inquiry (LOI) must be submitted in each
category. Organizations may also apply for more than one grant per funding cycle. When applying for multiple grants, please be
prepared to tell us the ranking or priority preference of each of your projects.

Organization 501(c)(3):
Project Name:

Yes

Arlington Heritage Memorial Grounds

Amount Requested: $75,000.00
Organization Background
. Briefly describe your organization’s history and mission (one paragraph or less).

Arlington Heritage Memorial Grounds Corporation was formed in October 2018 and exists for the sole
purpose of fundraising, engineering and design, restoration and maintenance of the historic cemetery
located on the 600 block of West Arkansas Lane in Arlington, Texas. It is the mission of AHMGC to
restore, protect, maintain and share the cemetery for the preservation of Arlington's history and
cultural identity. The restored cemetery will provide educational opportunities for local ISD's as well
as historians locally and nationally. Most importantly, it will provide descendants a respectful site for
visiting their ancestors. Substantial donors will be recognized in a prominent and permanent way.
Statement of Need
. Describe the project need and the group or community your project will serve.
. What is the problem or issue you are trying to address?
. What is your organization’s involvement in the issue?

This historic cemetery which is the burial place for Middleton Tate Johnson, "Father of Tarrant
County", his family, his slaves and many other colored citizens of Arlington. Burials occurred in the
cemetery between the 1850's and 1950's. Since then, the cemetery has been largely ignored with
only brief periods of attention and attempts to maintain the grounds.
All of the citizens of Arlington will benefit from the preservation of its history. In addition, those buried
there and their descendants will be shown the respect that they deserve.

5 | Final Applications

Arlington Heritage Memorial Grounds Corporation is the entity charged with fundraising and
managing the restoration and preservation of the cemetery.
Project Description
. Describe your project. What are the strategies and activities of your project? How many people will be served?
. What date do you plan to start the project and what is the planned duration of the proposed activity?
. What results do you expect? What changes will result from your work?
. Describe any project partners on which project success is dependent.

These historical burial grounds are the location of the grave of Col. Middleton Tate Johnson, known
as the Father of Tarrant County and further distinguished as one of the most prominent Texans of
his time. He was originally interred in the State Cemetery in Austin, but later moved to this location
in Arlington on the grounds of his former homestead and among family members also buried here.
An official State of Texas commemorative headstone marks his final resting place.
Other pioneers who worked the land, harvested wheat, corn and cotton, and launched trade in
building the local economy were laid to their final rest here. In addition, these grounds were, at the
time, the only available location for burial of Arlington's black citizens. These cemeteries have been
loved from afar and neglected for decades. A significant portion of the history of Arlington originated
on this long forgotten corner of Arkansas Lane between Center Street and Matlock Road - the
birthplace of our city.
For far too long, this sacred ground has been neglected. When prompted by Arlington's leading
historian, Geraldine Mills, Director of the Arlington Historical Society, community leaders including
current and former local office holders and volunteers interested in finally upgrading the cemetery to
a condition deserved as a tribute to the final resting place of the pioneers who settled our
community, came together, designed the improvements now complete through the first phase of the
project, and raised funding to accomplish something that should have been done long, long ago.
A grant award would be used directly in the final phase of development for the planning, restoration,
protection and maintenance of the Arlington Heritage Memorial Grounds including the installation of
grave markers, walkways, flag poles, lighting, signage and parking, donor acknowledgements, and
on-going maintenance. Upon completion of the restoration, the site will be an on-going living history
destination for Arlington citizens, visitors, students and historians.
Completion of this project will bring this historical site out of the dark and into a place of prominence
in the community, providing a respectable resting place for those buried there and a welcoming site
for visitors. It will be a living history to educate and empower current and future generations of
Arlington’s origins and a lesson of perseverance in the hard task of survival and success in carving
out a future for risk takers who journeyed here to make a life for themselves and their families.
When the final phase of the project is complete, it will be a place for all citizens to embrace with a
sense of community pride and gratitude for the humble beginnings of a town that became one of the
most remarkable places in the country – Arlington, Texas, the American Dream City.
Phase I of the project including survey of the property, filing of a plat and installation of a perimeter
fence was begun soon after the beginning of 2019. Installation of columns, entrance gate and signs
will occur within the next three months and that will complete Phase I. It is anticipated that Phase II
of the project will be completed in June 2020.
Restoration will bring the neglected cemetery to a historic landmark in the City of Arlington.
Shrickel Rollins (now named SRA-PSC) has played a pivotal role in providing survey, engineering
and design work for the project.

6 | Final Applications

Financial Information
. Tell us the amount you are requesting from the Arlington Tomorrow Foundation, the total project budget amount,
and state your organization’s total annual budget.

. Indicate and itemize costs for which you are seeking funding from the Arlington TomorrowFoundation.
. PLEASE NOTE: The Foundation will not consider funding to cover expenses related to salaries, scholarships,
research or endowments.

. The foundation does not fund 100% of a project’s total cost. Describe the overall funding plan for the project and
include any other funding sources currently committed to the project.

The total budget amount for the project is $407,698. An amount of $169,047 has been spent as of
December 31, 2019.
Funding from the Arlington Tomorrow Foundation would support the completion of Phase II, budgeted
at $194,638. Phase II includes the sidewalks, flag poles, a monument wall, parking area and grave
markers. Specifically, Phase II budget items are:
. Administration - $2,000
. Marketing - $20,000
. Parking Lots - $52,514
. Sidewalks - $38,160
. Benches, Flagpoles, Light Poles, Landscaping, Entry Name
Walls - $49,270
. Construction Documents - $15,000
. Contingency (10%) - $17,694
Significant donors, thus far, have included Arlington Tomorrow Foundation, City of Arlington, Parkhill
Cooper & Smith, Allen & Brenda Avery, Tarrant County, Viridian Holdings and BNSF Railway. Letters
of inquiry have been submitted to Women Inspiring Philanthropy and the African American Heritage
Cultural Action Fund.
AHMGC has held fundraisers independently and will continue to do so to fund maintenance of the
cemetery once restoration is complete. In addition, it is anticipated that a number of donors will
continue to support the project during the long-term.
Please provide the following detailed information about your project and your organization:
The Arlington Tomorrow Foundation only funds projects or programs scheduled for completion within one year of the grant award.
What date (month/year) do you plan to start the project and what is the planned duration of the proposed activity? Please provide the
expected major milestones by date.

Phase II for the construction projects for the Arlington Heritage Memorial Grounds (AHMG) Cemetery have been
defined and prioritized. Each segment has been developed in the masterplan with the following priorities, project
name, estimated cost, and estimated completion. The first priority of Phase II is the construction of the sidewalks
within the fenced area which provides access to and also defines the three cemeteries, Middleton Tate-Johnson
Family Cemetery, Mills Branch Cemetery, & the Colored Cemetery. Projected cost for the sidewalks is $38,160
and the projected time for completion will be 2-3 months (will begin in May 2020 if funding is available).
The second priority will be to construct the driveway and parking lot located on the east side of the cemetery with
access off of Arkansas Lane. This lot will be placed near the new grand entrance of the cemetery and will provide
10 parking spaces. Estimated cost for the parking lot, driveway, and curbs will be $54,514. Projected time for
construction will be three months. The projected time of commencement for the parking lot and driveway will be
June 2020.
Priority number three will be the construction and installation of the benches, flag poles, light poles, donor walls,
and landscaping at an estimated cost of $49,270. This project will commence in July or August 2020 and the
duration would be around 3 months. One additional cost for these projects will be a landscape architectural fee for
the construction documents at a cost of $15,000.

7 | Final Applications

What plans do you have to evaluate the project/program? Please provide measurable, time-specific goals and include elements of your
evaluation guidelines.

This ongoing project is developing under the oversight of the AHMG Corporation Board and the AHMG
Committee, which includes a broader group of community leaders. The AHMG Committee is structured into
three sub-committees: Research Sub-committee, Design & Renovation Sub-committee, and Fund-Raising
Sub-Committee. The AHMG Corporation Board members are also a part of the AHMG Committee and are
included in one of the three sub-committees. The AHMG Corporation Board and the AHMG Committee has
provided on-going evaluations of the development and construction of this project. This oversight will continue as
we develop Phase II. Additionally, the City of Arlington Public Library and the Arlington Police Department have
representation on the AHMG Committee and have been invaluable in helping to monitor the progress of this
project. Long-term, it is the intention of this board and committee to involve local ISDs to provide this cemetery
as a historical educational tool to inform the students about the rich historical heritage of this cemetery.
The first measurable goal is to complete all of the capital projects as outlined in Phases I & II. Construction
efforts and fund-raising efforts are constantly evaluated to ensure that the projects are completed in a timely,
efficient, and economical manner. The second goal is to make these grounds available as an educational tool to
the general public and to the school-age children of this community. Local ISDs, UTA, and the City of Arlington
Public Library have been engaged to provide guidance to determine the best-practices of providing the
educational tools to inform the public of the rich history of this cemetery and those who have been buried in
these grounds. The historical information gleaned by the work of the Historical Research Sub-committee has
been invaluable. It is our goal to ensure that we are able to disseminate this information in an effective manner
that is readily available to the public.

Financial Information:
What is your organization’s total annual operating budget?

$194,638.00
Will the grant be used for capital or programming support:

capital
The Foundation does not fund 100% of a project’s cost. Additionally, the Foundation requires all grantees provide proof of matching
support for a grant request. What is your organization’s plan for such support (e.g., cash grants, in-kind donations, volunteer support,
operating budget, state or federal grants) to supplement a gift from the Arlington Tomorrow Foundation?

Fund-raising efforts have been an integral part of the AHMG Corporation Board and the AHMG Committee and
this continues to be a priority. The AHMG Corporation is currently waiting on one grant submittal which, if
awarded, would provide funding of $100,000 for our projects. This past fall, a local fund-raising effort netted gifts
totaling over $20,000 for our projects. The Fund-Raising Sub-committee is actively pursuing corporations to
encourage their financial support for our projects. The ultimate goal is to not only fund the capital projects but to
also provide funding for ongoing perpetual care and maintenance of the grounds and improvements.
Please list all entities asked to provide financial support for the proposed project and the respective requested amount. Are these funds
pledged, paid or merely requested at the time of this application?

As of the date of this submission, the following donations have been received by Arlington Heritage Memorial
Grounds Corporation:
• Arlington Tomorrow Foundation - $50,000
• City of Arlington - $30,000
• Parkhill, Smith & Cooper (in kind) - $30,000
• Allen and Brenda Avery - $10,500
• Tarrant County - $10,000
• Veridian Holdings, LP - $10,000
• BNSF Railway - $7,500
• Lucretia Council Cochran Chapter, DAR - $6,225
• Gary and Rosie Walker Gift Fund - $5,000
• Richmond and Reecia Stoglin - $5,000
• Integhearty Wheelchair Van Service, LLC - $5,000
8 | Final Applications

•
•
•
•
•
•
•
•
•
•
•
•

Mt. Olive Baptist Church - $4,501
Croxton & Croxton, Incorporated - $3,257
Delta Mu Boule, Sigma Pi Phi Fraternity - $2,000
Cecelia Gilbreath - $1,794
Arlington Historical Society - $1,666
Alan and Bonnie Petsche - $1,500
Michael and Janice Glaspie - $1,250
Andy Nguyen Campaign - $1,250
Jean and Tom Dodson - $1,225
Terry and Debbie Bertrand - $1,100
Louise Roberts - $1,100
Lana Wolff - $1,050

In addition, donations of less than $1,000 each were received from seventy-six individual donors totaling $16,516.
Describe your plans for sustaining the project/program long term.

As previously stated, the AHMG Corporation Board has set as a goal to ultimately raise funds to provide for the
ongoing/perpetual care of the grounds and improvements. After all capital needs have been funded all
fund-raising efforts will focus on this long-term goal. It is probable that the AHMG Corporation will, in time,
transition into an entity dedicated to the ongoing and perpetual care of the AHMG cemetery grounds and its
improvements.

Additional Information requested:
Please list the name of the Executive Director or CEO of your organization.

Michael Glaspie
Does this person have knowledge of and approve of this application to the Arlington Tomorrow Foundation?

Yes
Please provide the organization’s tax identification number here:

83-2216968

9 | Final Applications

Organization:

Child Care Associates

Contact Name:

Kara Waddell

Contact Title:

President-CEO

Address:

3000 E. Belknap
Fort Worth, TX 76111

Email:

[email protected]

Phone:

817-831-4071

Projects may qualify for grants in more than one category. However, a separate Letter of Inquiry (LOI) must be submitted in each
category. Organizations may also apply for more than one grant per funding cycle. When applying for multiple grants, please be
prepared to tell us the ranking or priority preference of each of your projects.

Organization 501(c)(3):

Yes

Project Name: Infant-Toddler Early Education Infrastructure Tucker Early Childhood Campus
Amount Requested: $200,699.00
Organization Background
. Briefly describe your organization’s history and mission (one paragraph or less).

For 51 years, Child Care Associates (CCA) has kept true to its core vision - of making a lifetime of
difference, one child care a time. CCA is a 501(c)3 with a service-area of Tarrant County focused on
early education and care services for disadvantaged children and families. With an estimated 30,950
children under living in poverty in Tarrant County, CCA provides Head Start and Early Head Start
services to families at 100% poverty serving 2,400 children 0-4 annually. For families with income
levels just over this amount, CCA partners with Tarrant County Workforce Solutions to provide child
care assistance funding to 14,000 Tarrant families and improve the quality of child care in another
170+ child care programs.
Statement of Need
. Describe the project need and the group or community your project will serve.
. What is the problem or issue you are trying to address?
. What is your organization’s involvement in the issue?

PROBLEM: Access to quality early education and care services for Arlington's lowest income
families with children 0-3. (See attached Funding Opportunity for additional information of need
including predictive analytics modeling of Arlington).
WHO WILL BENEFIT: Arlington families with children 0-3 living at 100% poverty (or who meet other
qualifying conditions such as homeless, foster care, or children with special needs). Children will
receive full day, full year center-based services in an 8:2 ratio classroom.
10 | Final Applications

ORGANIZATION'S INVOLVEMENT WITH ISSUE:
CCA is one of the largest child development agencies in North Texas with a single mission of
delivering high quality early education and care services for disadvantaged children in Tarrant
County. CCA will be the fiduciary and is the service provider.
Project Description
. Describe your project. What are the strategies and activities of your project? How many people will be served?
. What date do you plan to start the project and what is the planned duration of the proposed activity?
. What results do you expect? What changes will result from your work?
. Describe any project partners on which project success is dependent.

PROJECT DESCRIPTION: (see attached)
NEED: To provide needed infrastructure for infant and toddler care, CCA is proposing to convert an
existing CCA Head Start facility (for 3- and 4-year olds) to become an Early Head Start facility (for
infants and toddlers) in Arlington. This is responsive to AISD’s plan to expand Pre-K to full-day for 3and 4-year olds in the area and to the dramatic need for infant and toddler services. CCA Tucker
Early Childhood Campus (1521 W Tucker Blvd, 76013) is a small, homelike center currently with 3
classrooms for 3- and 4-year olds, including 2 Pre-K partnership classrooms with AISD. We’re
proposing converting the 3 classrooms and playground to an infant-toddler campus with 3
classrooms and an infant-toddler playground. We also propose to place a home visitor at the site to
provide home-based early education services to families on a waiting list. This site in 76013 is within
driving distance of very high concentrations of needs (76011 or 76010; see Buxton map).
STRATEGY: Engage disadvantaged children and families early while the brain is still developing.
Use degreed/qualified teachers with evidence-based curriculum and a proven whole child/whole
family model. Convert classroom space once designed for preschooler need in the community to
now be equipped for meeting the needs of infants/toddlers.
SUSTAINABILITY: CCA maintains an annual $24m grant for federal Head Start and Early Head Start
services - so we have a strong base for sustainability and ongoing costs of delivery a high quality
early education program. However, federal funds cannot be utilized for renovations without creating
federal interest in the building. CCA is proposing a public-private partnership with the Tomorrow
Foundation to ensure a local Tarrant organization can privately own and maintain a quality facility but
use federal funds for the cost of ongoing services and maintenance.
NAMING RIGHTS: CCA is open to a conversation about naming rights for the facility. Renovations
are typically offered as a 10-year naming rights.
CHILDREN SERVED: Low-income infants and toddlers in Arlington via center-based classrooms (24
children; 8:2 ratio) and a home visits (12 children; 1:12 ratio) for a total of 36 children annually. This
early education and child care support is full-day, full-year with wrap-around family support services
to connect families to other services in the community. CCA would sign an agreement to continue to
serve low-income children for at least ten years (360 children 0-3).
DATES: CCA proposes to begin design in Spring 2020 with construction beginning by June 1, 2020
with completion targets for Fall 2020 for construction, furnishing and child care licensing. CCA has
already converted federal funding from Head Start to EHS to meet this community need with a
targeted start date of Aug/Sept. 2020.
RESULTS: Additional 36 Arlington families of disadvantaged means will receive high quality early
education supports; families will be connected to appropriate family services; children will be
screened to identify any developmental delays or disability; children will increase their growth and
development towards expected age-based milestones. AISD will not have "competition" for 3's and
4's with Head Start and CCA can retask federal funding to the needs of infants and toddlers.

11 | Final Applications

PARTNERS: CCA actively maintains MOUs with nearly 25 community organizations and multiple
contracts for free medical services, dental service, vision screenings, food insecurity,
mental/counseling services, developmental supports, etc. CCA hires a Family Services Advocate for
every center to ensure families have a personal navigator to help connect them to community
partners.
Financial Information
. Tell us the amount you are requesting from the Arlington Tomorrow Foundation, the total project budget amount,
and state your organization’s total annual budget.

. Indicate and itemize costs for which you are seeking funding from the Arlington TomorrowFoundation.
. PLEASE NOTE: The Foundation will not consider funding to cover expenses related to salaries, scholarships,
research or endowments.

. The foundation does not fund 100% of a project’s total cost. Describe the overall funding plan for the project and
include any other funding sources currently committed to the project.

PROJECT BUDGET: $423,912.47
ORGANIZATIONAL BUDGET: $89,311,152 (2019)
ITEMIZED COSTS: (See emailed proposal)
Building Purchase an dclosing costs ($156,663.32)
Classroom Renovations ($99,521.00)
Outdoor play renovation ($50,000)
Parking lot/exterior cleaning ($1,550)
New furniture, manipulatives, teacher break room ($90,000)
Program management fee (15%) ($26,178.15)
TOTAL TOMORROW FOUNDATION: $204,030.81 (48%)
TOTAL CCA: $219,881.66 (52%)
OTHER FUNDING SOURCES:
CCA will use its small private reserve to cover 1/2 cost of $150k for building purchase and will use
federal funds for classroom furnishing and playspace (which do not add federal interest o the
building). Funding sources are private and federal Early Head Start funding.
SUSTAINABILITY: Ongoing maintenance and repair can be made with federal EHS funding. CCA
anticipates a minimum of a 10-year lifespan on furnishings and playground.
SIGNAGE: If the Tomorrow Foundation wants to pursue naming rights, we will request additional
funding for signage changes. Estimated cost of $2,000. This additional amount will not cause the
project budget to exceed 50% for the Tomorrow Foundation.
Please provide the following detailed information about your project and your organization:
The Arlington Tomorrow Foundation only funds projects or programs scheduled for completion within one year of the grant award.
What date (month/year) do you plan to start the project and what is the planned duration of the proposed activity? Please provide the
expected major milestones by date.

CCA intends to start and complete the renovation project in 2020.
MAY 2020: Finalize scope of work with selected contractor(s) and finalize design
JUNE 2020: Begin construction
JULY 2020: Finalize construction
AUGUST 2020: Cleaning, furnishing and educational materials
AUGUST 2020: Regulatory requirements including child care licensing
PROGRAMMATIC START: Depends on the federal government's finalizing of Early Head Start funds
(from preschool funding to 0-3 funding). We anticipate no later than Fall 2020.
What plans do you have to evaluate the project/program? Please provide measurable, time-specific goals and include elements of your
evaluation guidelines.

Because the nature of the project is renovation, CCA intends to measure our success by:
12 | Final Applications

a. Successful licensing of renovated facility
b. Fully enrolling new infant and toddler classrooms in 2020 (24 children)
c. Hire a home visitor for extending home visiting early education services to an additional 12 families (12+
children)
d. Utilize the validated Infant Toddler Environmental Rating Scale (ITERS) assessment in 2020-21 program year
to help identify the quality of the classroom environments for infants and toddlers.

Financial Information:
What is your organization’s total annual operating budget?

$89,311,150.00
Will the grant be used for capital or programming support:

capital
The Foundation does not fund 100% of a project’s cost. Additionally, the Foundation requires all grantees provide proof of matching
support for a grant request. What is your organization’s plan for such support (e.g., cash grants, in-kind donations, volunteer support,
operating budget, state or federal grants) to supplement a gift from the Arlington Tomorrow Foundation?

The Tucker Early Childhood Center is a facility to be owned by CCA privately and used for delivering infant and
toddler services free of charge to parents in Arlington.
CHILD CARE ASSOCIATES: 52%
CCA is responsible for $75,000 plus closing costs of $3,331.66 towards the building purchase. CCA is using its
reserve funding allocated by the Board and approved for purchase on November 2019. CCA is responsible for
exterior playspace renovation ($50,000) and classroom furnishings with educational supplies and manipulatives
($90,000) utilizing federal funds from CCA's awarded federal Early Head Start grant. Parking lot restriping and
powerwash are special maintenance ($1,550; covered by Early Head Start grant).
TOMORROW FOUNDATION: (48%)
The Tomorrow Foundation is considering covering $75,000 plus $3,331.66 of closing costs for the purchase of
the Tucker facility. Estimated renovation cost is $99,521.00. Program management (15% of grant) for CCA in
supervising and procuring all project materials, supplies, furnishings, and equipment is $26,178.15. Any overage
in renovation will be covered out of the program management fee of $26,178.15.
Please list all entities asked to provide financial support for the proposed project and the respective requested amount. Are these funds
pledged, paid or merely requested at the time of this application?

Child Care Associates (reserves)
Administration of Children and Families - Office of Head Start (grant funding)
Tomorrow Foundation (pending)
Facebook Data Center (requesting in-kind support from contractors to pave, paint and improve exterior - beyond
current project budget)
Describe your plans for sustaining the project/program long term.

CCA manages $24m in annual funding from the federal Administration of Children and Families for Head Start
and Early Head Start services in Tarrant County. This funding covers 100% of operational costs including simple
maintenance and repair. CCA raises an additional 20% match to the $24m through donated hours of volunteer
services from parents in the program, community volunteers and charitable contributions to the program. CCA
employs a Facilities and Maintenance team that upkeeps all facilities; these employees are funded from the HS
and EHS grant.

Additional Information requested:
Please list the name of the Executive Director or CEO of your organization.

Kara Waddell
Does this person have knowledge of and approve of this application to the Arlington Tomorrow Foundation?

Yes
Please provide the organization’s tax identification number here:

86-0587601

13 | Final Applications

Organization:

Downtown Arlington Management Corporation

Contact Name:

Katie Gosa

Contact Title:

BID Services and Communication Manager

Address:

500 E. Front St. Suite 140
Arlington, TX 76011

Email:

[email protected]

Phone:

817-303-2800

Projects may qualify for grants in more than one category. However, a separate Letter of Inquiry (LOI) must be submitted in each
category. Organizations may also apply for more than one grant per funding cycle. When applying for multiple grants, please be
prepared to tell us the ranking or priority preference of each of your projects.

Organization 501(c)(3):
Project Name:

Yes

Americana Trax Festival Community Programming

Amount Requested: $20,000.00
Organization Background
. Briefly describe your organization’s history and mission (one paragraph or less).

Founded in 2006, the Downtown Arlington Management Corporation (DAMC) is a private, non-profit
community development organization dedicated to revitalizing and developing Downtown Arlington.
Our organization manages a three-party Agreement between DAMC, the City of Arlington and UTA to
accomplish this. Governed by a 35-member Board of Directors, we represent a cross-section of
downtown stakeholders. We forge alliances between property and business owners, residents,
visitors, the City of Arlington, and the University of Texas at Arlington to enhance the economic and
cultural vitality of Downtown Arlington. In 2011, DAMC gained the property owners’ support to create a
financing method to provide their support for the Downtown Business Improvement District (BID),
funding marketing, events, economic development, security, and beautification services. In 2016,
DAMC was granted stewardship of the Cultural District Designation by the State of Texas.
Statement of Need
. Describe the project need and the group or community your project will serve.
. What is the problem or issue you are trying to address?
. What is your organization’s involvement in the issue?

The explosion of investment in Downtown Arlington is phenomenal. Supported by the initial Arlington
Tomorrow Foundation investment in the Levitt Pavilion catalyst project, our area has reached a
critical mass of business and arts activity. This momentum has given Downtown Arlington the
leverage to invigorate our reputation as a visitor destination. Especially supported by the combined
growth of our Cultural Arts District partners, Downtown Arlington is an emerging creative class
destination recognized by the State of Texas as a Cultural Arts District. It is time to reinvigorate our
annual "Centerstage Music Fest" to have larger impacts, collaborate activation opportunities, and
wider reach. Through rebranding to "Americana Trax Fest" and concept expansion to a multiday,
multi-venue festival scheduled for June 5,6, and 7th, this festival will provide more value to downtown
14 | Final Applications

Arlington stakeholders and locals. It will provide the Downtown Cultural Partners more active
opportunities for involvement in downtown, increase our regional arts reputation, and attract new
visitors to the area. Our organization's involvement is to convene, coordinate and market the efforts
of all parties involved in the "Americana Trax Festival", as well as produce and manage the two days
of free community arts and cultural programming.
Project Description
. Describe your project. What are the strategies and activities of your project? How many people will be served?
. What date do you plan to start the project and what is the planned duration of the proposed activity?
. What results do you expect? What changes will result from your work?
. Describe any project partners on which project success is dependent.

The Americana Trax Festival builds upon the foundation laid by the Centerstage Music Festival, and
will continue to build momentum yearly. With this festival, we celebrate America’s rich and diverse
identity, unifying values, and unique art, history, and culture. We attract regional attention to our area,
improve the reputation of our arts community, and bring a major event featuring accessible music,
arts and culture to Arlington residents.
The Americana Trax Fest community programming for which we are requesting funds will enrich the
Arlington community by providing two full days of free educational and cultural enrichment
programming at the City Center Plaza and W. Main St. Programming highlights include cultural
dance performances, musical educational programs, creative storytelling, poetry readings, an Art
and Collectible Fair and pairing with the University of Texas at Arlington and academic community
for Americana lectures over a variety of disciplines relating to the Americana theme. The total cost
for this programming is still under development, but with the $20,000 support requested, we are
confident in our ability to provide 2 full days of free, accessible community programming for the
Americana Trax Festival. We also believe that this year’s event can provide the foundation for a
sustainable festival over time that can be supported through a coordinated ticketing program and
additional corporate sponsorships.
Financial Information
. Tell us the amount you are requesting from the Arlington Tomorrow Foundation, the total project budget amount,
and state your organization’s total annual budget.

. Indicate and itemize costs for which you are seeking funding from the Arlington TomorrowFoundation.
. PLEASE NOTE: The Foundation will not consider funding to cover expenses related to salaries, scholarships,
research or endowments.

. The foundation does not fund 100% of a project’s total cost. Describe the overall funding plan for the project and
include any other funding sources currently committed to the project.

The Downtown Arlington Management Corporation's total annual budget is $570,881.50. This event,
budget, while still in the planning stages, is approximately $150,000. We have a sponsorship
commitment from the ACVB for $10,000, with an additional matching grant request to the Texas
Commission on the Arts to provide performance support for approximately $4,000 of cultural
community programming. Our organization has committed $26,000 directly to festival talent and
programming, and will be absorbing a number of costs including marketing, operations and staff
costs. We expect to raise approximately $50,000 in sponsorship, show entry fees, and VIP ticket
sales.
Funding requested from the Arlington Tomorrow Foundation will support cultural dance
performances, musical educational programs, creative storytelling, poetry readings, academic
lectures, and supplement the juried art and collectible show of the festival.

15 | Final Applications

Please provide the following detailed information about your project and your organization:
The Arlington Tomorrow Foundation only funds projects or programs scheduled for completion within one year of the grant award.
What date (month/year) do you plan to start the project and what is the planned duration of the proposed activity? Please provide the
expected major milestones by date.

Planning for the Americana Trax Fest began late Dec/early Jan. Programs are scheduled for June 4-7th, with
community programming available all four days. Saturday, June 6th will be the primary day for community
programming at the City Center, with programming from 10am-2pm featuring storytellers, folk artists, dance
programming, and more interactive experiences oriented around children ages 4-14
What plans do you have to evaluate the project/program? Please provide measurable, time-specific goals and include elements of your
evaluation guidelines.

The program will be evaluated through event attendance, variety of programming, and through the following:
Event attendance & demographics, with specifically 150 attendees to the city center programming, including 50
adults and 100 children, as well as 20 children attending the bilingual poetry workshop available for children ages
9-11. For event attendance for overall festival, attendance goal is 40,000 (double the Centerstage Music Festival
weekend attendance prior to Abram Construction)
Diverse community programming, measured by number of educational opportunities & cultural art styles
presented. Goal is to have at least 3 different cultures that make up our American identity highlighted through
song/dance/educational opportunity.
Community participation, with over 10 community partners collaborating with festival production efforts.
Broad marketing reach will be measured to evaluate level of area awareness the larger festival activities create.

Financial Information:
What is your organization’s total annual operating budget?

$570,000.00
Will the grant be used for capital or programming support:

programming support
The Foundation does not fund 100% of a project’s cost. Additionally, the Foundation requires all grantees provide proof of matching
support for a grant request. What is your organization’s plan for such support (e.g., cash grants, in-kind donations, volunteer support,
operating budget, state or federal grants) to supplement a gift from the Arlington Tomorrow Foundation?

Matching funds for this program come from event sponsors, art & collectible fair and car show entry fees,
performance support grant from the Texas Commission on the Arts, merchandise sales, and grant funds from
the Texas Commission on the Arts and the Arlington Tomorrow Foundation.
Please list all entities asked to provide financial support for the proposed project and the respective requested amount. Are these funds
pledged, paid or merely requested at the time of this application?

Arlington Chamber of Commerce $10,000 pledged
Arlington Convention and Visitors Bureau $10,000 pledged
Urban Union- $7,500 pledged
Petsche Group - $5,000 pledged
Texas Live - $3,000 pledged
Haverty’s $1500 pledge
The Kar Store $1,000 pledge
Requesting $20,000 from Arlington Tomorrow Foundation
Requesting $3,500 from Texas Commission on the Arts Performance Support Program
3Di Signs and Designs: $5,000 in-kind sponsorship pledged
Arlington Today: $4,550 in-kind sponsorship pledged + editorial
The Ranch: $5,000 in-kind sponsorship pledged
FW Weekly: $5,000 in-kind sponsorship pledged + editorial
Other potential sponsors currently under consideration include: Coca-Cola, Frost Bank, Edward Jones,
Hutcherson Construction, AARP, TX Natl Guard,
Describe your plans for sustaining the project/program long term.

The Americana Trax Fest is experiencing strong interest and engagement with community partners, media
16 | Final Applications

partners, and corporate sponsors that seek to be associated with this inaugural event. In the future, a common
ticketing platform could be created with more advance planning, which could lead to a stable funding future for
the event, depending on attendance growth. For the near term, the event can be sustained with a strong
sponsorship and grant approach, along with earned revenues created by the event activities (ie. Booth fees, car
show fees).

Additional Information requested:
Please list the name of the Executive Director or CEO of your organization.

Maggie Campbell
Does this person have knowledge of and approve of this application to the Arlington Tomorrow Foundation?

Yes
Please provide the organization’s tax identification number here:

120-5114340

17 | Final Applications

Organization:

Metro Sports Fieldhouse

Contact Name:

Larry Curry

Contact Title:

Founder/Executive Director

Address:

3203 Flintridge CT
Arlington, TX 76017

Email:

[email protected]

Phone:

469-682-2160

Projects may qualify for grants in more than one category. However, a separate Letter of Inquiry (LOI) must be submitted in each
category. Organizations may also apply for more than one grant per funding cycle. When applying for multiple grants, please be
prepared to tell us the ranking or priority preference of each of your projects.

Organization 501(c)(3):
Project Name:

Yes

Metro Sports Fieldhouse Family Health and Wellness Fair

Amount Requested: $10,000.00
Organization Background
. Briefly describe your organization’s history and mission (one paragraph or less).

Metro Sports Fieldhouse is a non-profit organization 501(c)(3) that provides youth with “Enrichment
opportunities of the brain and body through sports that empower, motivate, and create opportunities
for everyone”. Children are able to participate in hands on activities related to STEM, Computer
Science, Arts & Culture, Health Science, Information Technology, Financial Literacy, and more. We
believe that there is a need in our communities to level set the youth and provide them with a
knowledge base and foundation that will help them understand the importance of education and how
to use sports as a vehicle to achieve future success and stability.
Statement of Need
. Describe the project need and the group or community your project will serve.
. What is the problem or issue you are trying to address?
. What is your organization’s involvement in the issue?

We have identified a need to to educate the families in our community of the positive impact that
physical activity has on illness prevention. Additionally there are day to day resources that are not
accessible to certain low to middle income families. In addition to promoting physical activity and
educational enrichment it is our goal to provide these families with resources that will benefit them
on a day to day bases.
Project Description
. Describe your project. What are the strategies and activities of your project? How many people will be served?
. What date do you plan to start the project and what is the planned duration of the proposed activity?
. What results do you expect? What changes will result from your work?
18 | Final Applications

. Describe any project partners on which project success is dependent.

Through our second annual Family Health and Wellness Fair in July we will provide low to middle
income families with free shoes, jackets, haircuts, and nail paintings in addition to free physicals,
health tips and resources for the entire family. The Family Health and Wellness Fair is an extension
of our Metro Sports Career and Literacy program and is part of our mission to provide our youth and
their families with opportunities to develop holistically.
We are expecting to serve 250 plus children and a total of 400 plus individuals (including parents)
the day of the event. Hopefully our efforts will provide kids with a dependable pair of shoes, a jacket,
haircut or nail painting, and a wellness check for back to school. Also, we hope that our efforts
demonstrate to the families that we serve that they are people that society cares about. Hopefully the
resources provided will encourage them to preserver.
It takes a village to make a difference and we depend a lot on our partnership with local churches,
AISD school programs, and Arlington PD programs to identify the kids that will benefit from this
event.
Financial Information
. Tell us the amount you are requesting from the Arlington Tomorrow Foundation, the total project budget amount,
and state your organization’s total annual budget.

. Indicate and itemize costs for which you are seeking funding from the Arlington TomorrowFoundation.
. PLEASE NOTE: The Foundation will not consider funding to cover expenses related to salaries, scholarships,
research or endowments.

. The foundation does not fund 100% of a project’s total cost. Describe the overall funding plan for the project and
include any other funding sources currently committed to the project.

The budget for the 2nd annual Metro Sports Field house Family Health and Wellness Fair is
~$15,000.
Our organizations annual budget for 2020 ~$94,300.
Funding Plan:
Cash - ~$21k - Committed
In-Kind Contributions - ~$23k - Committed
Arlington Tomorrow - ~$10k - Pending
Individual Contributions - $5k - Pending
Walmart Grants - ~$5k - Pending
Bell Grant - ~$1k - Pending
Additional Grants - ~$10k - Pending
In-Kind Asset Donation - ~$20k - Pending
Increase in our total operating budget in 2020 from 2019 is driven by an increase in resources that we
would like to provide during our 2nd Family Health and Wellness Fair (Direct Program Cost),
fundraising expense due to pending execution of large capital project (will need additional fundraising
resources to help ensure project success, and unknown cost for land purchase for capital project.
Please provide the following detailed information about your project and your organization:
The Arlington Tomorrow Foundation only funds projects or programs scheduled for completion within one year of the grant award.
What date (month/year) do you plan to start the project and what is the planned duration of the proposed activity? Please provide the
expected major milestones by date.

The Metro Sports Family Health and Wellness Fair will be held 7/2020 10am-2p.
What plans do you have to evaluate the project/program? Please provide measurable, time-specific goals and include elements of your
evaluation guidelines.

To evaluate the Family Health and Wellness fair, we will collect data from all participants that show us location
of participants to ensure that more than half of he people we serve are Arlington residents, household income
information that will help us ensure we are providing resources for those in need of additional support, and we will
also capture age and grade level of participants to that will help identify the age and grade level of the youth that
19 | Final Applications

we are impacting.

Financial Information:
What is your organization’s total annual operating budget?

$94,300.00
Will the grant be used for capital or programming support:

programming support
The Foundation does not fund 100% of a project’s cost. Additionally, the Foundation requires all grantees provide proof of matching
support for a grant request. What is your organization’s plan for such support (e.g., cash grants, in-kind donations, volunteer support,
operating budget, state or federal grants) to supplement a gift from the Arlington Tomorrow Foundation?

Funding Plan Family Health and Wellness Fair:
Cash - ~$2.5k - Committed
Cash Grant - $2.5k - Committed
Volunteer Support - ~$1k - Committed
Please list all entities asked to provide financial support for the proposed project and the respective requested amount. Are these funds
pledged, paid or merely requested at the time of this application?

Family Health and Wellness Fair Financial Support Request:
Arlington Tomorrow - ~$10k - Requested
Bell Grant - ~$2.5k - Pledged
Wal-Mart Grant - ~$5k - Requested
Describe your plans for sustaining the project/program long term.

Our plan is to facilitate the Metro Sports Family Health and Wellness fair each year. We will do this by
continuing to build partnerships in the Arlington community, identifying the families that will benefit from this
event, and each year introducing new resources that are needed by the under served and under resourced
families in the community.
From a financial standpoint we will continue to fund-raise, seek grant opportunities, sponsorship, and individual
contributions that will enable us to account for the operating expenses specifically for the Family Health and
Wellness Fair and all Metro Sports Fieldhouse programming.

Additional Information requested:
Please list the name of the Executive Director or CEO of your organization.

Larry Curry
Does this person have knowledge of and approve of this application to the Arlington Tomorrow Foundation?

Yes
Please provide the organization’s tax identification number here:

810819186

20 | Final Applications

Organization:

National Medal of Honor Museum Foundation

Contact Name:

Kristin Vandergriff

Contact Title:

Director of Development - Texas Region

Address:

1905 E. Randol Mill Road
Arlington, TX 76011

Email:

[email protected]

Phone:

817-992-6000

Projects may qualify for grants in more than one category. However, a separate Letter of Inquiry (LOI) must be submitted in each
category. Organizations may also apply for more than one grant per funding cycle. When applying for multiple grants, please be
prepared to tell us the ranking or priority preference of each of your projects.

Organization 501(c)(3):
Project Name:

Yes

National Medal of Honor Museum – Architectural underwriting

Amount Requested: $5,000,000.00
Organization Background
. Briefly describe your organization’s history and mission (one paragraph or less).

Established in 2013, The National Medal of Honor Museum Foundation has endeavored to
conspicuously recognize brave recipients of The Medal of Honor, our Nation’s highest military honor.
The mission of the National Medal of Honor Museum Foundation and its attendant Education Center is
to preserve and present the extraordinary stories of individuals who reached the highest levels of
recognition, “above and beyond the call of duty” in service to the nation to inspire current and future
generations about the ideals of courage, integrity, patriotism, leadership, and sacrifice, to help them
understand the meaning and price of freedom, and to encourage them to embrace their
responsibilities as citizens in a democracy. In October 2019, Arlington became the Foundation’s new
home and future home to the first-of-its-kind National Medal of Honor Museum. The museum and its
education center will break ground in 2022 and will open on National Medal of Honor Day, March 25,
2024, giving Texans a critical role in honoring the values of service, courage and patriotism of the
3,500 fellow recipients of the nation’s highest honor for valor in combat.
Statement of Need
. Describe the project need and the group or community your project will serve.
. What is the problem or issue you are trying to address?
. What is your organization’s involvement in the issue?

The National Medal of Honor Museum Foundation is seeking community and financial support from
the Arlington Tomorrow Foundation to help build America’s next National Treasure. Through the
construction of a Museum and Education Center in Arlington, Texas, and the Monument in
21 | Final Applications

Washington, D.C. the National Medal of Honor Museum Foundation will address two key issues: (1)
increasing visibility of America’s greatest heroes and (2) opening access of their inspirational
stories to visitors and students for future generations.
No single museum or monument eternally remembers, honors and memorializes the sacrifices of
the more than 3,500 Medal of Honor recipients. There has never been a more important time in our
country’s 244+ year history to show our deep national pride and to honor these brave members of
the Armed Forces. In 1970, there were over 100 living Medal of Honor recipients. Currently, there
are only 71 living recipients. Our vision is to showcase acts of valor; share real-life examples of
patriotism, leadership and valor; and inspire current and future generations – before they are gone
forever. The time is now, to activate the stories of these courageous heroes. As the age
demographics of our nation shift and more of our Medal of Honor recipients are lost to time, there is
no better moment to preserve and share their stories. To make this vision a reality, the National
Medal of Honor Museum Foundation, a nonprofit educational institution, has been tasked to design
and build the National Medal of Honor Museum and Education Center deep in America’s Heartland:
Arlington, Texas. Scheduled to open in 2024, the National Medal of Honor Museum will present the
recipients’ heroic experiences through the lens of personal stories and life-changing experiences
from which all visitors will be inspired to learn more about our country’s history and actively engage
in their own communities as informed and conscious citizens.
The emotional stories of the Medal of Honor recipients highlight the best of us, letting every American
see their own potential. By leading a national call-to-action, we will use these stories to educate and
spread the core values of the Medal itself: courage and sacrifice, commitment and integrity,
citizenship and patriotism. Nearly 1.6 million veterans and active duty military currently call Texas
home - with 381,316+ veterans living in the Arlington Metro area. Putting our roots down and
establishing a permanent home for the Museum in Arlington Texas, a city with unmatched ties to the
military and military service, will allow us to not only create an experience that inspires a true
strength of character, but will also foster visibility of these virtues, while maximizing accessibility to
all Americans.
The National Medal of Honor Museum will not only be an anchor for education and promotion of civic
engagement within the community – it will have widespread, positive economic impact, generating
construction and developing jobs in the short-term, and making a substantial and incremental
contribution to Arlington’s education and tourism industries over the long-term. Over 850 million
museum visits are made each year and, nationally, museums contribute approximately $50 billion in
total GDP to the US economy. In its Arlington home, the National Medal of Honor Museum will
directly create jobs and generate tax income but also stimulate the wider consumer economy
through increased visitors to the area and longer stays by the existing visitor pool. This museum will
play an essential role in its future community for generations through calculable economic impact
and exponential educational experiences.
The National Medal of Honor Museum Foundation is an educational institution organized to design,
fund, build and maintain the National Medal of Honor Museum and Education Center. We are
committed to highlighting the stories of our Medal of Honor recipients to inspire young people and
motivate them to be their best selves. To do this, the NMOHM Foundation has assembled a
diversely experienced leadership team and board – including Medal of Honor recipients, all living
former Presidents, and North Texas community leaders - to advance our vitally important national
institution. The Foundation is dedicated to continually building a world-class team to undertake this
vital project and ensuring these nation-defining legacies have a proud home on the country’s
landscape. Our leadership reflects the truly national vision for this project and ensures our efforts
are sustainable and realistic.

22 | Final Applications

Project Description
. Describe your project. What are the strategies and activities of your project? How many people will be served?
. What date do you plan to start the project and what is the planned duration of the proposed activity?
. What results do you expect? What changes will result from your work?
. Describe any project partners on which project success is dependent.

The National Medal of Honor Museum Foundation is seeking community and financial support from
the Arlington Tomorrow Foundation to help build a Nationally-landmarked Museum in the heart of
Arlington’s Entertainment District. In order to build a distinguished museum and education center,
the Foundation has engaged world-renowned Rafael Viñoly Architects to create a comprehensive,
interpretive and conceptual vision. The Foundation humbly seeks $5 million in generous support
from the Arlington Tomorrow Foundation to underwrite and transform Viñoly’s vision into a physical
reality, through sponsorship of the architectural renderings and design fees. Without financing his
globally-renowned architectural design, the National Medal of Honor Museum and its Education
Center cease to become a reality. Without support from the Arlington Tomorrow Foundation, the
inspiring stories of Medal of Honor recipients will remain untold.
The National Medal of Honor Museum Foundation has initiated A Home for America’s Heroes, a
capital campaign to raise $495 million in gifts and pledges to build a state-of-the-art, immersive
Museum in Arlington, Texas and a world-renowned Monument in Washington, D.C. This historic
effort will take place from 2020 through 2024. While the quiet phase of the campaign began in
February 2020, we plan to officially announce A Home for America’s Heroes in April 2020. We
expect to raise more than $200 million by the end of 2021 - and hope to break ground on the
museum shortly after that benchmark. The National Medal of Honor Museum is scheduled to open
on March 25th, 2024.
A Home for America’s Heroes is a capital and endowment campaign to raise $495 million total over
the course of four years. The goals are to: Design/Build a museum building and landscape of
international architectural repute ($155 million); create museum content that will meaningfully
engage all current and future generations ($30 million); employ near-cutting edge technology and
other exhibition solutions that are quick and cost-efficient to modify; and establish an endowment
that can ensure a sustainable future for all/most Medal of Honor recognition and education programs
throughout the United States ($250 million). The campaign also seeks to establish the first-ever
national monument in our Nation’s capital to honor the more than 3,500 recipients of the Medal of
Honor ($60 million). In total, these projects will provide greater access to all visitors, bolster the
Museum and Monument operations, and enable the Foundation to preserve the legacy of Medal of
Honor recipients to proliferate American values.
In order to build a museum and inspire millions of Americans each year, we must build our team –
including onboarding an architect to lead our efforts. Inasmuch, The National Medal of Honor
Museum Foundation has engaged world-renowned Rafael Viñoly Architects to create a
comprehensive, interpretive and conceptual vision for America’s next national treasure in Arlington,
Texas. Thoughtfully presented in January 2020, Viñoly‘s museum design draws inspiration from the
valorous acts committed by the Medal of Honor recipients and the men and women with whom they
served. Viñoly, has created a design that links the form of the Museum with the gallant symbolism it
houses. The symbolism of his design honors our military servicemen and women and highlights five
pillars denoting the main branches of the military including the Army, Air Force, Navy, Marine Corp
and the Coast Guard. Using these foundational pillars to support the National Medal of Honor
Museum structure, it will be a new hallmark to Arlington and will be a distinctive gathering place, one
of reverence and honor. It is truly an emblematic structure that honors the core values of what
makes America stand above the rest. The Museum and its Education Center will fundamentally
change the perspective of the more than 14.5 million visitors who visit Arlington’s Entertainment
District each year.

23 | Final Applications

Not only is the architecture stunning and modern, but it is complementary to the Entertainment
District. The setting and the iconic design will be symbolic - similar to national treasures like the
Washington Monument, Smithsonian Institute and Lincoln Memorial. It has the promise to be unique
and a beautiful place of prominence. With a special educational experience and hallowed ground as
a memorial to America, the National Medal of Honor Museum will provide noble and global stature, a
place of reflection and dignity in the midst of the hustle and bustle of everyday life. At its core,
Viñoly‘s transcendental and transformative design, illustrates the historical thread of sacrifice,
patriotism and courage that runs through all US military services members, past and present.
Core to the Museum’s mission is its Education Center. Established by the Congressional Medal of
Honor Society - the society comprised solely of Medal of Honor recipients - the National Medal of
Honor Museum’s Education Center will include a robust educational component to promote positive
character building through the Character Development Program (CDP). The CDP will be the
educational cornerstone in the National Medal of Honor Museum’s Education Center. This program
was designed by teachers using the stories of the Medal of Honor recipients to provide teachers and
students the opportunities to explore the concepts of courage, patriotism, sacrifice and humility, and
how these values can be exemplified in daily life. There are “Heroes Among Us” and all Americans
can serve their country and community without wearing a uniform. The Medal of Honor Character
Development program emboldens students to recognize that we all have a role to play to sustain the
legacy of our Nation.
Currently, thousands of teachers nation-wide have implemented the Character Development
Program (CDP) in their curriculum to remind students that valor is not exclusively a military concept
— people of valor live among us all and devote themselves to the common good, working in
fellowship with others, just as our nation’s greatest heroes did. Since 2016, the national CDP
curriculum in classrooms use oral histories of Medal of Honor recipients that focus on how students
can use examples of those inherent values that our nation was founded to influence change in their
own communities. The CDP will continue to be adapted for all ages from primary grades through
higher education including the opportunity to develop a track for community citizenship and
corporate leadership. While the CDP at the Museum Education Center will engage teachers and
students, it will embolden Medal of Honor recipients and train them for classroom visits to inspire
students to overcome obstacles, teach them what it means to serve others and what it means to be
a patriot in their own lives.
The Museum’s Education Center endeavors to embolden the 62,000+ students and 4,000+
educators in the Arlington Independent School District and inspire them to be heroes in their own
lives. Combined with the museum’s world-class storytelling and the Education Center’s
transformative CDP, our unique and powerful educational content will continue to engage future
generations to understand and emulate the selfless acts that advanced our great nation.
While the Museum will not open until March 25th, 2024, the National Medal of Honor Museum
Foundation has committed to implementing community outreach and educational programming
throughout the planning and construction phase. The goal is to first engage educators, students and
families in the Greater Arlington Metro and then expand to North Texas, then beyond. These activities
will begin as early as Medal of Honor Day, March 25th, 2020 in concert with several local and
national partners.
Partnerships with the Dallas Cowboys, Arlington schools, and Everfi. The Medal of Honor Museum
Foundation team has compiled a number of plans that were met with great support from
Superintendent Marcelo Cavazos, Arlington Independent School District.
1) Annual “Mail Call” Campaign that aims to educate and build a national awareness of Medal of
Honor Day on March 25th. Our goal is to continue to raise national awareness of the Medal of Honor
Day on March 25th on an annual basis in partnership with Janine Stange and FoxNews. In fact, the
Mail Call campaign is an established national effort with national public speaker Janine Stange and
FoxNews in which Janine asks the public to join her writing letters to Medal of Honor recipients. Last
year, she collected more than 12,000 letters for recipients. This year, she has asked the National
Medal of Honor Museum Foundation to oversee the program and help take it to the next level. We
24 | Final Applications

plan to engage the North Texas community, particularly students, in this national and well-publicized
letter campaign. Our goal is to ask students to write letters during the two weeks leading up to
National Medal of Honor Day. We will then ask for student and community volunteers to help
organize and sort the letters in a community event on National Medal of Honor Day. Ideally, this will
take place in a highly recognizable location in Arlington near the new site such as AT&T stadium or
the new Rangers stadium. Media will be invited, and this program will receive national attention. We
will then work with transportation partners to have the letters delivered to the living recipients.
2) Establish MOHM Task Force - Develop ongoing plans for district engagement comprised of
teachers, parents, and students to develop ongoing plans for district engagement. In addition to
engaging students in the civic act of thanking those who have sacrificed for our country, we believe
that this is a great opportunity for students to learn about the 71 living Medal of Honor recipients. We
will provide a list and short bio for each of the living recipients or students can supplement with their
own research to pick a recipient to whom they will pen their letter. We see a way for this task force
to help guide and curate an almost limitless number of educational opportunities for North Texas
students to which we can pull in many other partners and become a model for the rest of the
country.
3) Coins for Coin – Donate your spare change to help your school earn a National Medal of Honor
Museum Foundation challenge coin plaque. We know anyone who helps contribute to building this
unprecedented national treasure will have an increased connection to it for their whole life and will
become excellent ambassadors. Challenge students to contribute their loose change to the NMOHM
by placing it in museum replicas that we will provide to participating schools. Schools that raise
more than a predetermined amount will receive a MOHM Challenge Coin plaque to proudly display in
their school as a reminder of their time and effort to help build a home for our country’s heroes. We
would love to develop an educational component for the schools that participate. Our vision is a
simulcast, interactive town hall with Medal of Honor recipients and students where they’d be able to
submit questions to the recipients in real time via email or social media, imitating a video townhall.
4) Student Art Competition – In partnership with Arlington Independent School District, student
works can be displayed in MOH offices or AISD performing arts center beginning August 2020.
Artistic representations are an important part of any museum experience and certainly will be at the
Medal of Honor Museum as well. Students can submit art related to the Medal of Honor recipients,
the design of the museum, any of the values the medal represents, or the mission of the museum
and monument, etc. Selected pieces can be displayed in the new Medal of Honor Museum
Foundation offices or possibly at the AISD performing arts center as part of a special exhibit
highlighting the museum and student work. We believe art can play a special part in bringing the
values of the medal and the stories of the recipients to life for students across the country.
5) Student Town Hall/Interviews - A series of student-centered town hall events or interviews with
the aim of capturing the stories of the 71 living recipients lives as young people. With the working title
From Home to Hero, this will serve to encourage and inspire young people throughout the country as
well as help create valuable content for the museum and history. This program element gets to the
heart of what the living Medal of Honor recipients want to accomplish through their activism: to
inspire future generations of Americans, especially young people, to live lives a little bit bigger than
themselves. It is important for students to know that every successful person isn’t a prodigy. They
have awkward periods of development, are bullied, but they make it through and become successful
regardless of their struggles.
6) Internships - As the National Medal of Honor Museum Foundation team continues to expand, we
have increased need for assistance in all of our various departments. Our hope is to begin an
internship program early in our development so students can have a sense of how this project
transforms from a start-up to being America’s next national treasure. This may be started quickly
and easily by partnering with the chamber’s already existing internship program. As we get closer to
opening, we also see the potential for an intern academy where students will learn to become
museum docents, curatorial volunteers, and have paid jobs in the museum after opening.
Students will work with museum and foundation professionals on this one-of-a-kind project. Our
25 | Final Applications

team has a place for students of varied interests beginning with, but not limited to, development,
external affairs, community relations, partnerships, architecture and design, human resources,
administrative management, museum procurement, exhibit design, and many more.
Financial Information
. Tell us the amount you are requesting from the Arlington Tomorrow Foundation, the total project budget amount,
and state your organization’s total annual budget.

. Indicate and itemize costs for which you are seeking funding from the Arlington TomorrowFoundation.
. PLEASE NOTE: The Foundation will not consider funding to cover expenses related to salaries, scholarships,
research or endowments.

. The foundation does not fund 100% of a project’s total cost. Describe the overall funding plan for the project and
include any other funding sources currently committed to the project.

A Home for America’s Heroes is the National Medal of Honor Museum Foundation’s capital campaign
to raise $495 million in gifts and pledges to build America’s next national treasures: a state-of-the-art,
immersive Museum in Arlington, Texas and a world-renowned Monument in Washington, D.C. Of the
$495 million goal, $8.5 million will be allocated to contract Rafael Viñoly Architects to design and
construct the Museum and Education Center. Of this $8.5 million, the NMOHM Foundation seeks $5
million in support from the Arlington Tomorrow Foundation.
Project Breakdown of the $495 million for the National Medal of Honor Museum and Monument:
• $185M for building the Museum and the Education Center.
• $250M for the Endowment.
• $60M for the Monument.
• $8.5 million will be allocated to contract with Rafael Viñoly Architects to design the Museum and
Education Center. Of this $8.5 million, the NMOHM Foundation seeks $5 million in support from the
Arlington Tomorrow Foundation.
National Medal of Honor Museum Overall Project Soft Costs for Architectural Services:
Architectural Services
(Rafael Viñoly Architects)
$ 8,500,000
Viñoly Office only
$ 5,679,000
MPFP - Landscape
$ 585,000
Structural-Schlaich Berg. $ 825,000
ME Engineers (mechanical, electrical
and plumbing)
$ 980,000
Curtainwall
$ 205,000
Vert. Transport
$ 70,000
Code
$ 76,000
Wayfinding
$ 80,000
Sub-total=
$8,500,000
Other Consultants & Costs:
Exhibit Design - Gallagher
Additional Consultants
Project Director - Irvine
PM On-site Supplement
Cost Consultant
Geotech
Waste/Water Fees
Material Testing
Commissioning
Roadway Impact Fee
Survey (supplement)
Food Service

$ 3,600,000
$ 1,500,000
$ 1,265,000
$ 400,000
$ 207,500
$
50,000
$ 85,000
$ 150,000
$ 150,000
$ 157,500
$
15,000
$
55,000
26 | Final Applications

Security / IT
$ 40,000
Consultant Reimb’s / Donor Materials $ 2,000,000
Contingency
$ 908,750
Total Soft Costs =
$ 19,083,750
Our efforts aim to create a sustainable endowment that will support initiatives inside and beyond the
museum. As the core resource of our confidence and flexibility, a sure and growing endowment will
enable us to expand our Character Development Program curriculum in order to serve our
ever-changing educational landscape. While there is a tremendous amount of enthusiasm across
many aspects of American society for this project, raising $495 million is a significant task. We
anticipate most of the funds to come from private contributions. Additionally, this financial
sustainability will allow us to increase accessibility to all visitors and provide reduced admission so
that all patriots are able to witness the emotional and transformative museum experience.
As the campaign has yet to be officially launched, more than 50% of the Board has pledged or already
contributed to the Foundation for a total of more than $10 million. As the Museum’s first major gift, the
Arlington Tomorrow Foundation plays a pivotal role in leading our fundraising efforts. Arlington
Tomorrow Foundation’s early commitment to our project establishes an ambitious benchmark that
will inspire community leaders and galvanize support across all philanthropic foundations and
corporations for the National Medal of Honor Museum Foundation’s vital campaign, at a moment when
urgency cannot be overstated. Without support of Viñoly’s globally-renowned architectural design, the
Museum and its Education Center cease to become a reality. Without support from the Arlington
Tomorrow Foundation, the inspiring stories of Medal of Honor recipients will remain untold.
Please provide the following detailed information about your project and your organization:
The Arlington Tomorrow Foundation only funds projects or programs scheduled for completion within one year of the grant award.
What date (month/year) do you plan to start the project and what is the planned duration of the proposed activity? Please provide the
expected major milestones by date.

As stated in our Letter of Intent, the National Medal of Honor Museum Foundation is seeking $5 million in
community and financial support from the Arlington Tomorrow Foundation. The funding will be used to help build
the National Medal of Honor Museum, which will become a national landmark, in the heart of Arlington’s
Entertainment District., The National Medal of Honor Museum Foundation selected world-renowned Rafael Viñoly
Architects to create a powerful Museum that will tell the heroic stories of America’s Medal of Honor recipients in
order to inspire all Americans to instill the values of the Medal of Honor in their daily lives.
Specifically, the Arlington Tomorrow Foundation funding will underwrite Mr. Vinoly’s design work and renderings.
The support from the Arlington Tomorrow Foundation, will ensure the National Medal of Honor Museum and its
Education Center will become a reality and assures the inspiring stories of Medal of Honor recipients will be told.
The National Medal of Honor Museum Foundation’s capital campaign, called ON A MISSION TO INSPIRE
AMERICA, aims to raise $495 million in gifts and pledges to build two national treasures: a state-of-the-art,
immersive Museum in Arlington, Texas and a world-renowned Monument in Washington, D.C. Coupled with our
world-class architect Rafael Vinoly we have also selected Gallagher & Associates to design the inspiring exhibit
experience which illustrate the historical thread of sacrifice, integrity and courage common amongst all U.S.
military services members, past and present. Patrick Gallagher’s award-winning design team has captivated
visitors through their inspirational exhibits in The National World War II Museum, Illinois Holocaust Museum, and
the Gettysburg National Military Park Museum and Visitor Center.
During Mr. Vinoly’s presentation to the National Medal of Honor Museum Foundation Board of Directors, he said:
“this museum will proudly celebrate the service and sacrifice of the most courageous members of a great
American institution – our Armed Forces. I am humbled to play a part in inspiring current and future generations of
Americans by recognizing these exceptional patriots and designing a building which will boldly demonstrate their
deep love of country, of devotion to others, and unity.”
The following timeline outlines our project goals and design process from 2020 to 2024:
• PHASE 1: 4 months - (completion June 2020): Development of a space program by Viñoly to confirm the
overall size and character of the new Museum, and refinement of the proposed design concept to incorporate any
adjustments needed due to the space program. During this phase, Gallagher will begin developing an overall
concept for the permanent exhibits.
27 | Final Applications

•

PHASE 2: 5-6 months - Schematic Design

oViñoly will develop accurate, detailed floor plans, sections through and elevations of the building that define
the locations of all walls and doors, specific scope and extent of finishes and major materials; develop preliminary
structural designs as well as designs for electrical, mechanical (heating/cooling/plumbing), fire protection and
other building systems.
o Gallagher will develop initial exhibit content plans, exhibit plans and initial images as well as preliminary
audio/visual concepts and plans.
• PHASE 3: 5-6 months - Design Development
o Viñoly will refine the design concepts, plans, elevations, sections and initial engineering to incorporate
complete, integrated layouts of all elements of the building and site.
o Gallagher will essentially do the same with the exhibits including more detailed concepts for audio/visual
requirements.
• PHASE 4: Construction Documents, Bid, Permit
o Viñoly will develop final construction documents inclusive of all engineering, suitable for bidding, obtaining
building permits and construction.
o Gallagher will develop final exhibit fabrication and installation documents suitable for bidding and exhibit
construction and installation. This will include all media and audio/visual elements of the exhibits.
• PHASE 5: Construction and exhibit fabrication/installation
o Viñoly will provide general oversight of the construction of the building and sitework.
o Gallagher will oversee fabrication of the exhibit elements and their installation on-site as well as integration
and commissioning of all media elements.
What plans do you have to evaluate the project/program? Please provide measurable, time-specific goals and include elements of your
evaluation guidelines.

Overall, construction of the building and site will take between 24 and 27 months. Installation and
commissioning of the exhibits will take another 1-2 months past the completion of construction.
• Building and site construction will generally occur as follows:
o Sitework, underground utilities and building foundations (approximately 8 months)
o Structure (approximately 4 months)
o Building enclosure (roof, exterior walls) (approximately 4 months)
o Interior buildout and all building systems (electrical, mechanical etc., approximately 8-11 months)

Financial Information:
What is your organization’s total annual operating budget?

$5,000,000
Will the grant be used for capital or programming support:

programming support
The Foundation does not fund 100% of a project’s cost. Additionally, the Foundation requires all grantees provide proof of matching
support for a grant request. What is your organization’s plan for such support (e.g., cash grants, in-kind donations, volunteer support,
operating budget, state or federal grants) to supplement a gift from the Arlington Tomorrow Foundation?

The National Medal of Honor Museum is supported by the financial leadership of its Board of Directors. While
the Museum is only just embarking on its historic capital campaign, it has received early support by board
members and internal contacts prior to the launch of ON A MISSION TO INSPIRE AMERICA. A gift from the
Arlington Tomorrow Foundation would represent the first gift received for the capital campaign launch.
For your information, the operating budget for 2020 is $5.1M. The breakdown for this budget is as follows:
• $3.5M – Staff Costs
• $1.1M – Contract and Consultant Services
• $0.32M – Operations and Facilities
• $0.19M - Travel

28 | Final Applications

Our annual operating budget will increase slowly over the next 2½ years and then increase substantially in the
year prior to opening. The Foundation’s operating expense forecast leading to opening is well within industry
norms for cultural projects. Pre-opening operating costs as a percentage of construction costs typically range
between 20% and 32%. Our forecast for operating costs for the 4 years leading to opening as a percentage of
construction costs is below 25%.
Please list all entities asked to provide financial support for the proposed project and the respective requested amount. Are these funds
pledged, paid or merely requested at the time of this application?

Current Project Support:
FUNDS PLEDGED OR PAID
Name
Amount Pledged
Amount Received
Gene and Jerry Jones Family Arlington Youth Foundation
$2,000,000$1,000,000
Alexandria Real Estate Equities-Joel Marcus $5,000,000 $0
Joel Marcus
$500,000
$250,000
Anonymous Board Member
$500,000
$523,000
Neil Leibman
$500,000
$0
Ray Davis
$1,000,000
$0
Michael Muldoon
$25,000
$0
Beth and Mark Metzger
$100,000
$100,00
Martin Marietta
$150,000
$60,000
Debra Burlingame
$2,500
$2,500
Joseph Rice
$25,000
$5,000
Charles Schwab-Brad Meltzer
$5,500
$5,000
Frank D’Souza
$15,000
$15,000
Arlington Tomorrow Foundation Request OutstandingRequest Outstanding
As a founding and lead donor to the National Medal of Honor Museum, the Arlington Tomorrow Foundation (ATF)
will be recognized for its generous support in meaningful and myriad ways, including:
• Permanent partnership with a national institution honoring Veterans.
• Recognition as an early founding donor with prominent placement on donor wall.
• Recognition on the architectural renderings that include the logo on the building model, presentation images,
the Museum’s website and social media activity.
• Commitment to acknowledging the Arlington Tomorrow Foundation’s leadership and “first-in” philanthropy:
• Partnership announcement at formal Campaign Kickoff on April 23rd, 2020
• Recognition of partnership in Campaign Kickoff Press Release on April 24th, 2020
• Invitation to Museum preview events and private viewings.
• VIP seating and special tribute at the Museum’s Grand Opening in 2024.
• VIP “first-look” tours for the Mayor of Arlington, City Council and Arlington Tomorrow Foundation.
• Recognition with signage on the construction perimeter during the construction phase scheduled in 20222024.
Describe your plans for sustaining the project/program long term.

Our goal is for the National Medal of Honor Museum to be self-supporting after opening through both earned and
gift revenue. Earned revenue sources will include admission fees, conference facility rentals and services,
program service income, event rentals and service, retail sales on site, off-site and on-line, retail food & beverage
sales and catering sales and third-party photo/video fees. Gift revenue will be from corporate and individual
gifts, as well as not-for-profit gifts and grants pledged to the Foundation’s general purpose, endowment and
restricted funds for the educational programs and the expansion of museum content (exhibits and artifacts).
FINAL THOUGHTS:
As a founding donor, we will seek your input as we determine an acknowledgement and recognition plan for the
Arlington Tomorrow Foundation. We want to ensure your legacy of and inspire generosity across North Texas.
This national treasure to be located in Arlington is due to the support and vision of the City of Arlington, the
Mayor and City Council as well as the collective will of the “American Dream” City!
In addition, the foresight to establish the Arlington Tomorrow Foundation demonstrates the value and importance
of philanthropy that enhances the lifestyle and culture in Arlington and the North Texas region.
29 | Final Applications

Thank you, for the incredible opportunity to inspire America together. We are honored to join Arlington’s “Can-Do
Community” buoyed by exceptional leadership, hard work and determination. The National Medal of Honor
Museum will be a legacy that will be the pride of the City of Arlington, the State of Texas, our great Nation and
the global community.

Additional Information requested:
Please list the name of the Executive Director or CEO of your organization.

Joe Daniels
Does this person have knowledge of and approve of this application to the Arlington Tomorrow Foundation?

Yes
Please provide the organization’s tax identification number here:

90-0900556

30 | Final Applications

Arlington Tomorrow Foundation
Board of Directors Meeting
March 26, 2020
Letter of Inquiry Summary
Organization

Project

Amount
Requested

Past Recipient

Arlington Life
Shelter

Committee
Recommendations

Arlington Life
$ 80,000
Yes
Members recommend
Shelter/Boys and
6 grants =
inviting a final
Girls Clubs
$871,000
application.
Collaboration
(3-0)
Downtown
Mineral Well Historic $1,000,000
Yes
Committee
Arlington
Fountain
1 grant = $25,000 recommends tabling
Management
the LOI or asking the
Corporation
applicant to
communicate fuller
details on the
feasibility of the
project.
(2-1)
Mission
Christmas Bicycle
$100,000
Yes
Given other priorities,
Arlington
Program
4 grants =
members recommend
$386,000
passing on this
request.
(3-0)
The Warm
Grief Support
$20,000
Yes
Committee
Place
Program
6 grants =
recommends a final
$115,000
application.
(3-0)
University of Enhancing Mariachi
$50,000
Yes
Due to the demands
Texas at
as a Cultural Art Form
2 grants =
on Foundation
Arlington
in Arlington
$139,374
resources, members
suggest declining to
invite a final
application.
(3-0)

Total requests: $1,250,000

Organization:

Arlington Life Shelter

Contact Name:

Jim Reeder

Contact Title:

Interim Executive Director

Address:

325 W. Division
Arlington, TX 76011

Email:

[email protected]

Phone:

817-548-1670

Projects may qualify for grants in more than one category. However, a separate Letter of Inquiry (LOI) must be submitted in each
category. Organizations may also apply for more than one grant per funding cycle. When applying for multiple grants, please be
prepared to tell us the ranking or priority preference of each of your projects.

Organization 501(c)(3):

Yes

Project Name:

Arlington Life Shelter/Boys and Girls Clubs Collaboration

Amount Requested:

$80,000.00

Organization Background
. Briefly describe your organization’s history and mission (one paragraph or less).

Arlington Life Shelter was founded in 1987 to assist individuals experiencing homelessness return to
self-sufficiency, by not only providing food and shelter but also assisting in helping develop skills
necessary for stability and self-advocacy. For the past twenty years, the Shelter has served over
1200 individuals each year with approximately 25,000 individual nights of service. Through
professional staff case managers and effective programming, the Shelter has delivered positive
results for those experiencing homelessness.
For the purpose of this project, Arlington Life Shelter will be partnering with Boys & Girls Clubs of
Greater Tarrant County to amplify impact on youth in the Arlington Community. For over 93 years,
thousands of families and youth have relied on the Club to provide them with quality programs and
services that meet their dynamic needs.

Statement of Need
. Describe the project need and the group or community your project will serve.
. What is the problem or issue you are trying to address?
. What is your organization’s involvement in the issue?

For the past several years, the demographics of those experiencing homelessness in Arlington has
changed to include a higher percentage of families and children. Recognizing this, Arlington Life
Shelter embarked on a capital campaign, strongly supported by the Arlington Tomorrow Foundation,
to construct a new building and extensively remodel and repurpose the existing Shelter space. This
project, which will begin operating approximately June 1, 2020, will provide family living space to
serve 40% more residents, including a substantial increase in children served.

1 | Letters of Inquiry

The nature of homelessness of a family can put tremendous stress and trauma on children, who
transition from a well-defined space called “home”, to possibly living in a car or on the street, leading
to the Shelter environment
occupied by a large number of people. It is important to provide professional curriculum, staffing,
and counseling to assist these youth during the weeks or months they live at the Shelter.
It is estimated that the average number of kids in Shelter on a given day to be approximately 30. The
proposed project will benefit both the children and the parents while they stay at the Shelter. Youth
will benefit from the well-developed curriculum, structure, and mentorship from a trained staff
member that cares about their growth and well-being. While the children and youth are involved in
enriching programming, parents can be freed to spend more time in the targeted programming
provided for them by the Shelter. This is all made possible by the additional space and facilities
provided by the Shelter expansion.
This proposed collaboration with Boys and Girls Clubs of Greater Tarrant County will allow Arlington
Life Shelter to provide its skills and experience in working with the homeless residents while
BGCGTC provides its skills and experience to positively working with the children and youth.
Project Description
. Describe your project. What are the strategies and activities of your project? How many people will be served?
. What date do you plan to start the project and what is the planned duration of the proposed activity?
. What results do you expect? What changes will result from your work?
. Describe any project partners on which project success is dependent.

The proposed project is to open and operate a Boys & Girls Clubs branch in Arlington Life Shelter’s
new and renovated building. Current plans are to operate the branch during the school year from
after school to 7:30 pm each weekday. During the summer months, youth living in the Shelter will
be transported to BGCGTC Main Branch to allow them to participate in BGC onsite programming so
they can engage with other peers. Approximately 30 children and youth living in the Shelter will be
served daily with the impactful and evidence-based program of Boys & Girls Clubs.
There are plans to start the program upon completion of the building project approximately June 1,
2020. For the summer months, kids will attend Main Branch daily. When school starts in August,
programming will begin in the Shelter weekdays after school to early evening. It is anticipated that
this will be the schedule for programming year to year.
BGCGTC provides world-class education, leadership, and healthy lifestyle programs to our
community's most vulnerable young people, helping low-income families afford enriching
after-school and summer activities. BGCGTC’s high quality and evidence-driven programming will
strategically target the population served by the Arlington Life Shelter. In 2019, Club members
reported having an “optimal club experience” at a rate 25% higher than that of Clubs across the
nation. Members with an “optimal club experience” are more likely to graduate high school on time,
make healthier choices and give back to their communities. BGCGTC’s programming has proven to
be significantly more impactful compared to other options.
Academic Success Initiative
Through the Academic Success Initiative, learning becomes a tangible and fun experience. Youth
quickly become disinterested and disengaged developing a negative mindset toward learning.
However, when they step foot in the Boys & Girls Club, youth see fun, they see opportunity, and they
see dreams. BGCGTC is able to implement programs that enable students to learn in a way that is
interactive and tangible. Children are able to correlate the skills they are learning to potential future
career paths, a connection they might not find in the school system.

2 | Letters of Inquiry

Healthy Lifestyles
Clubs provide hot meals and nutritious snacks, fun and engaging in fitness activities, and
competitive sports, to get Club members excited about leading a healthy lifestyle. Other Healthy
Lifestyle programs teach youth how to nurture their own wellbeing, helping them succeed in school
and grow into happy and healthy adults
Character and Leadership Development
Through evidenced-based programming, Boys & Girls Clubs instill values of positive citizenship and
strong leadership in youth. Regardless of their socioeconomic circumstances, every single Club Kid
completes community service hours and learns to give back to the community. SMART Leaders and
Peer Prevention Leaders teach youth to be positive role models and mentors to their peers. Kids
learn to say no to peer pressure, and to teach their peers about the dangers of gangs, violence,
alcohol and drugs. Torch Club and Keystone Club instill the values of giving back to the community,
as kids complete service projects and volunteer throughout their community, while learning the
values of positive citizenship and leadership.
Prevention Programming
The Club offers two prevention programs to school-aged youth in a variety of settings that arm them
with resilience skills to avoid problems later. These prevention programs are carefully organized to
reach communities that are plagued with alcohol and drug challenges, these services break
destructive cycles.
Too Good for Drugs is a program that explains the health risks concerning alcohol, tobacco, and
drug use to youth. The program also focuses on self-esteem, goal setting, positive decision making
and peer pressure refusal skills.
Positive Action provides youth participants with the skills to build protective factors. This program
teaches positive actions for the physical, intellectual, social and emotional areas of the self. Studies
have shown that this program improves behavioral outcomes by reducing alcohol, tobacco, and
other drug use.
This project is dependent on both Arlington Life Shelter and Boys and Girls Clubs of Greater Tarrant
County to each lend their expertise, curriculum, and professionalism in delivering the services in
which they specialize. Through BGCGTC afterschool, summer, prevention and intervention
programs that meet the highest standards of quality, kids learn the academic, lifestyle, and
citizenship skills they need now and that will result in positive outcomes for the rest of their lives.
Meaningful impact requires evidence-based, high-quality programming. When combined with regular
attendance, BGCGTC’s high-quality youth development practices have a significant impact on
positive youth outcomes.
Financial Information
. Tell us the amount you are requesting from the Arlington Tomorrow Foundation, the total project budget amount,
and state your organization’s total annual budget.

. If known, indicate which itemized costs you are seeking funding for from the Arlington Tomorrow Foundation.
. The foundation does not fund 100% of a project’s total cost. Describe the overall funding plan for the project and
include any other funding sources currently committed to the project.

. Describe how you will financially sustain the project in the long term.

The total project budget for the three year collaboration program between Arlington Life Shelter and
BGCGTC is $400,000 including infrastructure start-up costs. Arlington Life Shelter’s annual budget
for 2020 is $2,115,000.

3 | Letters of Inquiry

Arlington Life Shelter seeks funding for its initial infrastructure start-up costs as follows:
Building renovation to integrate the BGC Clubhouse into the Arlington Life Shelter facility: $20,000
Addition of fenced outdoor basketball court to the scope of the new facility: $15,000
Addition of a keycard security system to elevate the level of security and protection needed to ensure
youth and employees are kept safes: $6,000
Additional camera and security upgrades to ensure child safety monitoring and improve security
measures: $8,000
Furniture for Clubhouse spaces: $15,000
Technology (Computers/televisions): $8,000
Server hardware and networking: $6,000
Additional inside and outside signage to brand the collaboration: $2,000
Total Start-up infrastructure costs: $80,000

Funding Plan
Toolbox grant requests have been made to North Texas Community Foundation by both
organizations to assist in the initial costs of capacity-building and the creation of shared operational
systems for the collaboration. Arlington Life Shelter and BGCGTC are collaborating on funding
opportunities to secure support for the operations of Carol’s Clubhouse Branch. BGCGTC has
received positive feedback from the Ladies’ Auxiliary of Arlington, a valued partner that has continually
supported the work of the Clubs in Arlington. They have committed matching funds of $80,000. For
over 60 years, Ladies’ Auxiliary of Arlington has made a tremendous impact on the youth in Arlington,
and they are excited to see this innovative new project reach kids who need support. Arlington Life
Shelter and BGCGTC will be collaborating to expand the base of supporters for the project, including
local foundations and donors. An emphasis on Arlington will be made to develop support for the
collaboration.

4 | Letters of Inquiry

Organization:

Downtown Arlington

Contact Name:

Maggie Campbell

Contact Title:

President/CEO

Address:
Arlington, TX 76011

Email:

[email protected]

Phone:

817-303-2800

Projects may qualify for grants in more than one category. However, a separate Letter of Inquiry (LOI) must be submitted in each
category. Organizations may also apply for more than one grant per funding cycle. When applying for multiple grants, please be
prepared to tell us the ranking or priority preference of each of your projects.

Organization 501(c)(3):

Yes

Project Name:

Mineral Well Fountain Project

Amount Requested:

$1,000,000.00

Organization Background
. Briefly describe your organization’s history and mission (one paragraph or less).

Founded in 2006, the Downtown Arlington Management Corporation (DAMC) is a private, non-profit
community development organization dedicated to revitalizing and developing Downtown Arlington.
Our organization manages a three-party Agreement between DAMC, the City of Arlington and UTA to
accomplish this. Governed by a 35-member Board of Directors, we represent a cross-section of
downtown stakeholders. We forge alliances between property and business owners, residents,
visitors, the City of Arlington, and the University of Texas at Arlington to enhance the economic and
cultural vitality of Downtown Arlington. In 2011, DAMC gained the property owners’ support to create a
financing method to provide their support for the Downtown Business Improvement District (BID),
funding marketing, events, economic development, security, and beautification services. In 2016,
DAMC was granted stewardship of the Cultural District Designation by the State of Texas.
Statement of Need
. Describe the project need and the group or community your project will serve.
. What is the problem or issue you are trying to address?
. What is your organization’s involvement in the issue?

This project is seeking to restore the famous Mineral Well that was torn down in 1951. This well is
central to Arlington's development and collective memory. As a result of this well and other historic
buildings being torn down during the mid-1900's, the Arlington community suffers from a disconnect
with its historic past. Historic places and symbols are not well known to residents born outside of the
city, and this is in part due to the limited number of recognizable cultural landmarks & lack of
awareness of existing cultural landmarks. Recreating this historic well provides a platform to tell the
story of one of the city’s most foundational places now lost to time. This project will benefit both
Arlington residents & heritage tourism efforts. DAMC will serve to convene the appropriate parties
needed for project success, and champion the project and Downtown Arlington’s mutual success.
5 | Letters of Inquiry

Project Description
. Describe your project. What are the strategies and activities of your project? How many people will be served?
. What date do you plan to start the project and what is the planned duration of the proposed activity?
. What results do you expect? What changes will result from your work?
. Describe any project partners on which project success is dependent.

The Arlington Historical Society will serve as our partner for historical research & context. We will
conduct a competitive Request for Proposals to select a professional firm to provide project site
planning and engineering design services to recreate the historic well as a contemporary urban
fountain serving as a centerpiece for a new public space in Downtown Arlington. Funding from the
Arlington Tomorrow Foundation will be spent on design and engineering fees, as well as the
construction of the fountain. It is understood that the exact location for this new fountain is yet to be
determined, and that its future location would make it accessible to the general public, in an effort to
re-establish it as a community gathering place. We would begin the RFP process within six weeks
of securing the grant funds, and would be planning to complete the project within one year. This
project will depend on strong partnerships with the City of Arlington, The Arlington Historical Society,
the Arlington Parks Department, and the citizens of Arlington that remember the fountain.
Financial Information
. Tell us the amount you are requesting from the Arlington Tomorrow Foundation, the total project budget amount,
and state your organization’s total annual budget.

. If known, indicate which itemized costs you are seeking funding for from the Arlington Tomorrow Foundation.
. The foundation does not fund 100% of a project’s total cost. Describe the overall funding plan for the project and
include any other funding sources currently committed to the project.

. Describe how you will financially sustain the project in the long term.

The total project budget amount is $1,000,000. The total annual budget of our organization is
approximately $570,000 annually. The grant will provide funding for professional fees, project design
and construction. It will also provide funding for a series of public meetings/charettes, in order to get
public input on the fountain design itself. It is expected that additional funding will be needed to cover
construction costs for the final selected site for this new public space, and that private donors will be
sought to cover these additional costs. It is also expected at this early juncture that the City of
Arlington and its Parks Department will be responsible for maintenance and operations of this fountain
once the project is built.

6 | Letters of Inquiry

Organization:

Mission Metroplex Inc.

Contact Name:

Tillie Burgin

Contact Title:

Executive Director

Address:

210 W. South Street
Arlington, TX 76010

Email:

[email protected]

Phone:

817-929-5080

Projects may qualify for grants in more than one category. However, a separate Letter of Inquiry (LOI) must be submitted in each
category. Organizations may also apply for more than one grant per funding cycle. When applying for multiple grants, please be
prepared to tell us the ranking or priority preference of each of your projects.

Organization 501(c)(3):

Yes

Project Name:

Bikes for Mission Arlington

Amount Requested:

$100,000.00

Organization Background
. Briefly describe your organization’s history and mission (one paragraph or less).

Bikes for Mission Arlington started ten years ago with just two dads and their kids. They bought some
bikes and took them to Mission Arlington's Christmas Store. Once there, they realized the huge need
that Mission Arlington has for children's bikes. Over the years, more families have taken part in this
effort to help those in need in Arlington. Bikes for Mission Arlington wants to see every needy child in
Arlington, Texas receive a bicycle.
Statement of Need
. Describe the project need and the group or community your project will serve.
. What is the problem or issue you are trying to address?
. What is your organization’s involvement in the issue?

1) Problem being addressed: Children and Youth in Arlington, Texas in need of assistance for
Christmas.
2) Who will benefit from your efforts: Needy families in Arlington, Texas. Most of the children who
will be assisted have never had a new bicycle, and may not receive anything for Christmas unless
help is received through groups like Mission Arlington and Bikes for Mission Arlington/Mission
Metroplex.
3) Mission Arlington/Mission Metroplex has been helping families in this community for almost 34
years. Bikes for Mission Arlington has supported our efforts for the past 13 years to help families at
Christmas with bicycles for their children. Last year, 3,045 bicycles were provided and distributed to
children through Mission Arlington.
7 | Letters of Inquiry

Project Description
. Describe your project. What are the strategies and activities of your project? How many people will be served?
. What date do you plan to start the project and what is the planned duration of the proposed activity?
. What results do you expect? What changes will result from your work?
. Describe any project partners on which project success is dependent.

1) Project: Bikes for Mission Arlington receives donations from individuals and businesses in the
community. They will continue to network to raise funds for the project. The goal for Christmas
2020 is to assist 5,000 children/youth with a new bicycle. All funds received and distributed are
handled by Mission Arlington/Mission Metroplex. All bicycles are distributed through Mission
Arlington/Mission Metroplex.
2) Date to begin and duration of project: Funds are raised throughout the year to purchase
bicycles, which are distributed for Christmas of the same year.
3) For a needy child who has never had a new bicycle, it can change their life forever! It can also
change the life of the parents, who struggle and have not been able to provide Christmas for their
children.
4) This project has received strong community support, and is not dependent on any one partner.
Last year over 200 individuals, families and business were involved with providing resources, in
addition to hundreds more who volunteer in the collection and delivery of the bicycles.
Financial Information
. Tell us the amount you are requesting from the Arlington Tomorrow Foundation, the total project budget amount,
and state your organization’s total annual budget.

. If known, indicate which itemized costs you are seeking funding for from the Arlington Tomorrow Foundation.
. The foundation does not fund 100% of a project’s total cost. Describe the overall funding plan for the project and
include any other funding sources currently committed to the project.

. Describe how you will financially sustain the project in the long term.

1) Project Budget: The total project budget is the amount is received for the project -- 100% of the
funds received are used to purchase bicycles. Last year Bikes for Mission Arlington received almost
$150,000. The annual budget last year was $150,000. Any other costs such as renting trucks, etc. is
covered by individuals assisting Bikes for Mission Arlington.
2) Request and itemized costs: $100,000 is being requested, which will provide approximately
2,000 bicycles, at an average cost of $50.00 per bike.
3) Funding plan: Bikes for Mission Arlington anticipates being able to raise $150,000 again this year,
which will purchase 3,000 bicycles. With the $100,000 requested from Arlington Tomorrow
Foundation, which will provide 2,000 bicycles, we will meet our goal of 5,000 bicycles.
4) Sustainability: Community support for the project has grown every year. Plans are in place to
continue to recruit people to join the project in the planning and leadership, as well as recruiting
volunteers, requesting additional grants, and seeking other financial supporters.

8 | Letters of Inquiry

Organization:

The WARM Place

Contact Name:

Katie Lane

Contact Title:

Director of Development

Address:

809 Lipscomb Street
Fort Worth, TX 76104

Email:

[email protected]

Phone:

817-870-2272

Projects may qualify for grants in more than one category. However, a separate Letter of Inquiry (LOI) must be submitted in each
category. Organizations may also apply for more than one grant per funding cycle. When applying for multiple grants, please be
prepared to tell us the ranking or priority preference of each of your projects.

Organization 501(c)(3):

Yes

Project Name:

Grief Support Program

Amount Requested:

$20,000.00

Organization Background
. Briefly describe your organization’s history and mission (one paragraph or less).

The mission of The WARM Place is to provide year-round grief support services to children ages 3 ½
to 18 and their families, as well as young adults ages 19 to 25, who have experienced the death of a
mother, father, sister, brother, grandparent, or other loved one. The "warm" in WARM Place is an
acronym for "What About Remembering Me?" These were the words spoken by a young girl to her
mother after her brother's illness and tragic death at the age of fourteen. It was in response to this
child's cry for help that Peggy Bohme and Dr. John Richardson founded The WARM Place to support
grieving children and their surviving family members. In 1984, there were only five grief support
centers for children in this country. In 1989, The WARM Place was the first of these organizations to
open in Texas and we remain the only agency in Tarrant County solely dedicated to children’s grief
support. Since 1989 we have helped over 40,000 children and their families cope with the biggest loss
of their life--the death of a loved one. We have never charged a fee for our services nor have we
asked families to make a donation while they are in the program. We would be honored to continue
our partnership with the Arlington Tomorrow Foundation to help Arlington families struggling with the
aftermath of a death loss.
Statement of Need
. Describe the project need and the group or community your project will serve.
. What is the problem or issue you are trying to address?
. What is your organization’s involvement in the issue?

Childhood bereavement is a public health issue that has long been overlooked. The death of a parent
or other important person in a child’s life has been noted to be one of the most frequently reported
disruptive childhood experiences. According to the 2019 Childhood Bereavement Estimation Model
(CBEM), a statistical tool developed by Judi's House/JAG Institute that uses population metrics to
9 | Letters of Inquiry

approximate rates of U.S. children and youth who will experience the death of a parent and/or sibling
by the time they reach adulthood, an estimated 1 out of 14 children in the U.S. will experience the
death of a parent or sibling before they reach the age of 18. Over 4.9 million youth are bereaved, and
the number more than doubles by age 25, to 12.8 million. In Texas, 1 in 16 children will become
bereaved due to the death of a parent or sibling by age 18. That means at least one child in every
classroom in Texas will be grieving the death of a parent or sibling. Childhood bereavement is a
prevalent and critical public health issue that can have a profound impact on future well-being.
(Judi’s House. (2019). Childhood Bereavement Estimation Model: Understanding Childhood Grief in
the U.S. Retrieved from www.judishouse.org/CBEM.)
The WARM Place has always recognized, and experts agree, that untreated grief, especially in
children, can lead to future ongoing problems including emotional, psychological, and behavioral
difficulties. That is why for over 30 years, The WARM Place has stayed true to its mission of
providing unwavering support to grieving children and their families. We believe that no child should
ever have to grieve alone.
During times of loss, children need an outlet and form of support to provide guidance and care. An
important factor in children’s abilities to come to terms with their death loss is the availability of
support from individuals in their lives. The WARM Place helps the surviving children during this
period of adjustment by placing them in small peer support groups, so they get to meet other
children their same age who are experiencing a similar type of death loss. Furthermore, they are
surrounded by loving and supportive adults, our volunteer group facilitators, who are trained to
facilitate grief support groups. These groups not only give the children a safe place to share their
feelings and emotions, but they also help lessen the children’s sense of isolation as they learn how
to grieve and explore a new way of living.
Our grief support program offers immediate support, understanding, and hope to grieving children
and their families in the initial readjustment period after a death. In addition, The WARM Place
program is preventative in nature. Research shows that unresolved grief issues can negatively
impact children into adulthood. Early intervention with these children may prevent unnecessary
tragedies such as mental and physical illness, delinquency, and criminal behavior from occurring.
Project Description
. Describe your project. What are the strategies and activities of your project? How many people will be served?
. What date do you plan to start the project and what is the planned duration of the proposed activity?
. What results do you expect? What changes will result from your work?
. Describe any project partners on which project success is dependent.

After the death occurs, a parent or guardian schedules an intake appointment to visit with one of our
staff counselors who serves in the role of the “Group Director” for the group nights. During the
appointment, the family meets one on one with a Group Director to discuss the death of their loved
one and its impact on the children. The Group Director explains our program, gives the family a tour
of our agency, conducts a mock group session with the children, and then assigns them to a group
based on availability. Our program is conducted out of a unique facility that was specifically designed
to resemble a “home." This was done with the purpose of creating a warm and caring environment
that promotes open and relaxed conversation among families and children. Families often comment
that they feel comfortable at The WARM Place because it is not a “clinical” setting.
Our group nights begin at 6:15pm with a potluck dinner for our families and volunteer group
facilitators. This gives the children and families an opportunity to get to know others who share a
similar loss. This is a critical component of the evening as often it is challenging for a family to sit
down together for dinner because they have a hard time dealing with the empty chair at the table left
behind by the deceased family member. Other times after a death, finances are tight and even
putting food on the table is a struggle. The potluck dinner at The WARM Place provides a family
dinner experience without the burden of planning and implementing at home.
10 | Letters of Inquiry

At 7:00pm, following the potluck dinner, the children divide into smaller age-specific groups, which
are open-ended and meet throughout the year. Trained volunteer facilitators, under the supervision
of the Group Director, lead the discussions and direct activities designed to teach coping skills and
help participants express their emotions constructively. Drawing, painting, journaling, and
discussions may all be part of a group session. These activities help the children express feelings
they are often uncomfortable discussing in other settings. The nurturing environment provided at The
WARM Place allows children and their families to process their sorrow honestly and openly as they
begin to heal.
While the children meet in their age-specific groups, the parents and caregivers meet with the Group
Director and a volunteer group facilitator. They also participate in discussion and writing activities to
process through their grief and learn tools to better care for their grieving child(ren).
After each group session, the facilitators and their assigned Group Director debrief to allow the
facilitators the opportunity to process the events of the evening, to provide feedback to the Group
Director regarding the effectiveness of the activities, and to address any concerns. Group Directors
serve as a sounding board for facilitators so that they can maintain a healthy perspective in their
daily lives and avoid internalizing the difficult experiences of the children they facilitate.
In 2019, The WARM Place provided 1,858 clients with our grief support services. This was a 10%
increase over the number of clients served in 2018, and a 20% increase over the number of clients
served in 2017! An additional 3,733 individuals were reached via community speeches, outreach
events, and agency tours. Last year, we served 69 Arlington families, which reached 93 Arlington
children grieving the death of a loved one. Currently, there are 33 Arlington families (46 children)
enrolled in our grief support program and receiving services. The WARM Place is requesting
$20,000 which will provide our grief support services, at no cost, to 40 Arlington children and their
families for four months. The average length of enrollment in our program is nine months, but
families can participate for as long as they are receiving benefit from the program.
The primary goals of The WARM Place are to companion children and their surviving family
members along their grief journey and help them manage the overwhelming feelings of grief in order
to reduce the likelihood of long-term physical and mental health problems, and ultimately, restore
their joy of life.
The WARM Place has always been dedicated to continuous improvement of programming through
the collection of data from participants’ surveys which are administered annually. Through these
surveys, The WARM Place has identified six key outcomes for which the success of the grief
support program is measured. These outcomes include:
1. Increase the feeling of support in a family’s grief journey
2. Decrease the feeling of loneliness in a family’s grief journey
3. Teach families coping skills to deal with the death
4. Increase the child’s ability to appropriately express feelings about the death
5. Decrease the effect of the death on a child’s school performance
6. Increase the family’s ability to talk about the death
Our success is demonstrated by the consistently positive results of our formal surveys and the
constructive feedback given to our staff and volunteers. Formal survey information is collected by
program staff—once upon a family's admittance into the program, bi-annually while participating in
the program, and lastly at the time a family chooses to close and end their time in the program.
Additionally, we use free-response participant comments regarding overall experience. The
Executive Director and program staff analyze results to determine how The WARM Place is meeting
the needs of participating families and to gauge our effectiveness in providing a comprehensive and
compassionate grief support program.
In 2018, The WARM Place invested in becoming a “CNM-pact” partner. “CNM-pact” is a consulting
and outcomes technology service that gives The WARM Place the ability to efficiently and effectively
11 | Letters of Inquiry

track, analyze, evaluate and report outcomes. “CNM-pact” staff work alongside The WARM Place
staff to provide guidance in the development of strong evaluation plans and protocols. In 2019, The
WARM Place was approved for CNM Certification. With this certification, CNM confirms that The
WARM Place is using a valid methodology for collecting, analyzing and reporting program
outcomes; making data-driven decisions; improving program performance; and engaging
stakeholders in a meaningful way.
The WARM Place receives approximately 40% of its referrals from school counselors and individual
counselors. The remaining referrals come from hospitals, pediatricians, hospice workers, funeral
homes, churches, other non-profits, former clients, and friends and family. In turn, we work with
other agencies to ensure that grieving children and their families receive the appropriate level of care
needed to heal.
Throughout our 30 years, many partners have helped us fulfill our mission, ensuring that every child
receives the services they need. Current partners include:
•ACH Child and Family Services – Provides family support and services
•Alliance Child and Family Solutions; Family Matters Counseling Center; The Parenting Center –
Provide individual and family counseling and accept Medicaid
•Alliance for Children – Provides free individual and/or group counseling to children who have been
the victims of sexual abuse
•A Memory Grows – Provides weekend retreats for parents grieving the death of a child
•Area School Districts – Refer families to The WARM Place, and The WARM Place provides
outreach and education to local school counselors and teachers
•Cook Children’s – Refers families to The WARM Place, accepts referrals for mental health needs,
and incorporates our grief support program as part of their palliative care
•El Tesoro de la Vida – Provides one-week resident grief camp for children and refers families to
The WARM Place
•PSP Professional Services, Inc. – Provides individual and family counseling in English and Spanish
•Texas Health Harris Methodist Hospital Fort Worth – Refers families to The WARM Place and
incorporates our grief support program as part of their palliative care
•Texas Wesleyan University; University of North Texas; University of Texas at Arlington – Provide
social work and counseling services
•The Compassionate Friends – Provides support to parents who have lost a child
•The Women’s Center – Provides individual and family counseling for trauma survivors as well as
general counseling concerns
•Trauma Support Services – Helps families who’s loved one died from homicide or suicide and need
immediate intervention
Financial Information
. Tell us the amount you are requesting from the Arlington Tomorrow Foundation, the total project budget amount,
and state your organization’s total annual budget.

. If known, indicate which itemized costs you are seeking funding for from the Arlington Tomorrow Foundation.
. The foundation does not fund 100% of a project’s total cost. Describe the overall funding plan for the project and
include any other funding sources currently committed to the project.

. Describe how you will financially sustain the project in the long term.

The organization's 2020 annual budget is $1,228,702 and our program budget is $953,095. The cost
to provide our program for a year to the 46 Arlington children currently enrolled is $69,000. Support in
the amount of $20,000 from the Arlington Tomorrow Foundation will provide our grief support
program, at no cost, to 40 Arlington children and their families for four months. Our average program
expense is $125 per child and surviving family members for one month of grief support (totaling
$1,500 per year). Services to the family include the initial phone support, the intake and assessment
process, ongoing support groups, and follow-up throughout the year. Funding from the Arlington
Tomorrow Foundation will help ensure the program is fully stocked with supplies, staffed with
licensed counselors, and facilitated by trained volunteers.

12 | Letters of Inquiry

From day one, our founders agreed that families should not have to bear the financial burden of grief
support to participate in our program. We have never asked families to pay a fee, making the program
accessible to anyone. The WARM Place is supported solely through private donations and grants.
We do not receive state or federal funding, and we are not an affiliated United Way partner agency.
We generate approximately 44% of our income through special events, while just over one-third of our
funding comes from corporations, private trusts, and foundations. The remainder of our income is
provided by gifts from individual donors as well as the endowment fund. The WARM Place board of
directors, staff and community supporters are dedicated to pursuing the funds necessary to continue
offering our program at no charge to the families! We are very fortunate to have a strong base of
financial support in our community that helps us touch the lives of grieving children—especially the
generous support from the Arlington Tomorrow Foundation!
To maximize our impact while keeping expenses low, The WARM Place utilizes an extensive
volunteer network. In 2019 alone, 375 volunteers donated their time and expertise by serving as
trained group facilitators, houseparents, family night volunteers, board members, and event
committee members. Conservative estimates value these 12,666 donated hours at $322,096. The
WARM Place is operated by a lean staff of ten full-time employees and one part-time employee who
leverage the expertise and dedication of our volunteers. We also have 12 contract employees who
serve as our group night monitors and security officers to ensure the safety of all clients.
Nonetheless, it is our volunteers who are the ones that allow us to provide our program at no cost to
all participants, ultimately increasing the “bang for the buck” for our funders.

13 | Letters of Inquiry

Organization:

University of Texas at Arlington

Contact Name:

Kima Jude

Contact Title:

Director of Foundation Relations

Address:

P.O. Box 19198, 701 S. Nedderman Drive, Ste 421
Arlington, TX 76019

Email:

[email protected]

Phone:

817-272-2228

Projects may qualify for grants in more than one category. However, a separate Letter of Inquiry (LOI) must be submitted in each
category. Organizations may also apply for more than one grant per funding cycle. When applying for multiple grants, please be
prepared to tell us the ranking or priority preference of each of your projects.

Organization 501(c)(3):

Yes

Project Name:

Enhancing Mariachi as a Cultural Art Form in Arlington

Amount Requested:

$50,000.00

Organization Background
. Briefly describe your organization’s history and mission (one paragraph or less).

The University of Texas at Arlington (UTA) is a comprehensive research, teaching and public service
institution whose mission is the advance of knowledge and the pursuit of excellence. The UTA Music
Department mission is to create an environment where individuals are inspired to become innovative
and creative musical leaders by offering integrated curricular content, skill development, and
exceptional programming relevant to a culturally diverse urban community.
Statement of Need
. Describe the project need and the group or community your project will serve.
. What is the problem or issue you are trying to address?
. What is your organization’s involvement in the issue?

The UTA Music Department proposes to launch a mariachi program that will help capture, enhance,
and sustain the region’s rich Mexican music influence while enhancing our city’s capacity to offer
excellent and diverse cultural experiences.
Mariachi, like all art forms that aspire to excellence, demands a musical ability that must be
fine-tuned through education, practice, and performance. Our goal to enhance the mariachi footprint
in our community lives up to the respect the genre receives and recognizes its potential for growth.
For example, local high schools have competed with high honors in state and national mariachi
competitions, and their music teachers have expressed a desire for an accessible university
program that will encourage their talented graduates’ growth. In addition, school districts across the
14 | Letters of Inquiry

state now recognize mariachi as an official University Interscholastic League competition group; as
such, many more credentialed teachers will be needed moving forward.
Project Description
. Describe your project. What are the strategies and activities of your project? How many people will be served?
. What date do you plan to start the project and what is the planned duration of the proposed activity?
. What results do you expect? What changes will result from your work?
. Describe any project partners on which project success is dependent.

The UTA Music Department, chaired by Professor Dan Cavanagh, has a vision and plan to add a
certificate program to provide supplemental training for music education majors in mariachi
performance and direction. However, curricular design and approval will take several years to
complete. Meanwhile, we propose to demonstrate viability of a university-level program in Music by
adding mariachi to our suite of ensembles, along with jazz, orchestra, symphonic bands, marching
band, vocals, and more. This will help raise the profile of mariachi as an art form with local high
schools and on our campus, enhancing the quality of music performed and increasing the city’s
capacity for offering rich cultural experiences. This is an appropriate goal for a university designated
as Hispanic-serving. In fact, 28% of our music majors are Hispanic, creating a large pool of students
who may have strong interest in mariachi. However, the only program to engage them at this time is
a student-organized group offered through our Office of Multicultural Affairs.
Beginning with academic year 2020-21, we propose to form two mariachi ensembles,
encompassing an estimated 26 students, and work with collaborative arts partners, such as
Downtown Arlington Management Corporation and the Levitt Pavilion, to perform a series of six
off-campus concerts attended by an estimated 1,500 people to enhance Arlington’s cultural musical
scene. We also will host high school mariachi music students in a new mariachi festival and
anticipate that, once established, 200-300 high school students will attend annually, including
schools that must travel to Arlington and rent hotel rooms or otherwise contribute to the local tourism
economy.
Financial Information
. Tell us the amount you are requesting from the Arlington Tomorrow Foundation, the total project budget amount,
and state your organization’s total annual budget.

. If known, indicate which itemized costs you are seeking funding for from the Arlington Tomorrow Foundation.
. The foundation does not fund 100% of a project’s total cost. Describe the overall funding plan for the project and
include any other funding sources currently committed to the project.

. Describe how you will financially sustain the project in the long term.

Our total project budget is $125,000, including our request of $50,000 to the Arlington Tomorrow
Foundation.
Music is an expensive pursuit because of instrument costs, and we seek external funding sources to
help offset the financial burden on students. Each typical mariachi band includes about 13 musicians
playing violins, trumpets, and guitars, or the vihuela, a high-pitched, rounded-back rhythm guitar, and
guitarrón, a bass guitar. These instruments are costly and prohibitive for students to purchase, but an
initial investment by the Foundation will remove these financial barriers, attracting more diverse and
low-income students as the program launches. In subsequent years, as the program becomes
established, students may then rent these instruments from the department at reduced fees rather
than purchasing their own or renting from retailers at higher rates. This will allow us to keep
participation affordable and grow the program.
Other start-up costs include uniforms, which feature fine fabrics and intricate stitching and typically
cost about $400 each. Students will be loaned the uniforms without cost but contribute to an annual
cleaning fee. Also included in our project budget are associated performance costs, such as
transportation, food, promotional materials, etc.

15 | Letters of Inquiry

UTA pledges in-kind costs of instruction, facility, and infrastructure for the project, and additional
funding in the amount of $70,000, pending, has been requested internally through the annual
academic budgeting process. The UTA Music Department’s current departmental budget is
$3,500,000. Once initial capital and other startup expenses for the mariachi program have been
funded, ongoing costs for faculty and instrument repairs will be sustained through rental fees and
tuition dollars from students who enroll in the course.
Arlington Tomorrow Foundation support will give students an opportunity to explore the genre without
significant personal financial investment and provide the resources and time for the program to gain
traction. By investing in these significant upfront costs, you will help create a pipeline of qualified
mariachi musicians who will go on to infuse our city with culturally gifted excellence for years to
come.

16 | Letters of Inquiry