The grantees’ Annual Report data reveals that a total of 2,153 accounts were opened during the project reporting period, representing around 29 percent of the projected total number of accounts to be opened during the 5-year life of the project (see Appendix F.1). Of the 2,153 accounts opened, 244 were no longer open at the end of the reporting period (Detailed in Appendix F.1). Forty-three of the closed accounts were closed when the individual purchased a qualified asset. An additional 29 were closed when the participant used the savings for unqualified purposes and 172 were closed for unknown reasons, most likely a personal or family difficulty (unemployment, health emergency, family problems, etc.). The attrition rate during the first year (9.3%) was quite low.

Initial Efforts/Problems
In their applications for funding, the FY1999 projects projected opening a total of 7,584 IDAs during the course of their 5-year project periods (see Appendix F.1). Projects expected to begin the process of recruitment and opening accounts within the first project year. In spite of facing a number of complex start-up barriers, the projects were able to open 28.4 percent of the expected total.

Staffing Issues
IDAs require extra effort on the part of project staff to fully explain the IDA concept, to market the program and recruit account holders, and to adapt program requirements as they face challenges during the implementation phase. Agencies administering IDA projects typically must revise outreach and intake strategies several times in order to find the right “marketing message” for their particular target population. This often involves staff conducting numerous focus groups and surveys with potential clients to assess the best way of articulating the IDA account structure, program requirements, and expectations to the target audience to improve recruitment efforts.

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