Re: Annual Report and Audited Financials

Re: Annual Report and Audited Financials

Organizational Background

Child FIRST was incorporated as a non-profit organization in Connecticut on September 27, 2012 and is currently seeking 501(c)(3) status.

From Child FIRST’s founding in 2001until September 2009, Child FIRST operated only in Bridgeport, Connecticut under the auspices of Bridgeport Hospital Foundation. The Child FIRST program was supported through a combination of national, state, and local philanthropy; federal, state, and local grants and contracts; and Medicaid reimbursement.

In September 2009, Child FIRST received a $3.2 million grant from the Robert Wood Johnson Foundation (RWJF) to replicate Child FIRST in four additional communities. A fifth site that had funding from the Substance Abuse and Services Administration (SAMHSA) joined the initial replication cohort (Cohort 1).

The Child Health and Development Institute of Connecticut, Inc. (CHDI) served as the fiscal agent and sponsoring organization for the replication of Child FIRST in Connecticut. In addition to RWJF funding, support for the affiliated sites came from matching Connecticut and local philanthropy, state grants and contracts, and Medicaid reimbursement. In January 2011, Child FIRST received an additional RWJF grant of $2.3 million and a grant from the Grossman Family Foundation of $1 million to replicate in three additional communities. Again, a fourth community joined with funding from SAMHSA. Matching local philanthropy has provided additional support.

After engaging in a rigorous business planning process with Bridgespan to plan for growth, including expansion to new states, Child FIRST determined it was time to become established as an independent non-profit organization.

Annual Report and Audited Financials

Due to the fact thatChild FIRST did not become an independent organization until September 2012, Child FIRST does not have an annual report or audited financials at this time. Since 2009, however, all Child FIRST finances have been responsibly managed by CHDI, which does have audited statements for each year.

Child FIRST has maintained annual budgets and internal reports of actual expenditures as a program within CHDI. These reports have been used to provide the FY2012 (7/1/11 – 6/30/12) financials for the Social Impact Exchange.

Please note that the budgets and expenditures for FY2012 included pass through monies of $1.4 million from philanthropic sources for Child FIRST community site operations. Beginning in April 2012, the Connecticut Department of Children and Families has provided funding to sustain Cohort 1 sites (6). This is through direct contracts with the Child FIRST affiliate sites. The same is expected for Cohort 2 sites (4) beginning 7/1/13.

The third and final cohort (Cohort 3)in Connecticut will include 6 new sites and will be funded for two and half years through a federal Maternal, Infant, and Early Childhood Home Visiting(MIECHV) grant. These funds are expected to pass through Child FIRST Central Program Office but are not reflected in the business plan budgets.

October 2012