Co-authored by NLC Senior Fellow Dennis Campa
Financial empowerment is more than just budgeting tips and credit scores — it’s about equipping communities and their residents with the tools to build lasting economic stability, security and wealth. Nationally, cities of all sizes are embracing holistic strategies that go beyond one-time financial assistance, by integrating coaching, workforce development and housing support to create real, sustainable change.
In the NLC report, A Decade of Municipal Financial Empowerment Strategies, researchers captured the emerging trends, successful strategies and impact of different programs across the country. One of the key findings from the report suggests municipalities are moving away from individual programs into a broader systems change approach. Each of the cities represented below utilized a tailored yet interconnected approach to meet the needs of their residents, proving that financial empowerment programs, policies and procedures are not a one-size-fits-all approach.
San Antonio, Texas: Eliminating Medical Debt
In San Antonio, TX (pop. 1,434,625), District 9 Councilmember John Courage eliminated approximately $60 million in medical debt for 45,000 residents using $115,000 in council discretionary funds. Councilman Courage was able to forgive millions in medical debt for quite literally pennies on the dollar by partnering with a medical debt nonprofit to purchase outstanding debt.
According to the National Institutes of Health, medical debt is one of the largest sources of individual bankruptcy. By eliminating this debt burden, residents can now see their doctor, get the care they need and use their savings to reach other financial goals. San Antonio joins a host of other cities focused on eliminating medical debt as a strategy to advance financial stability and economic mobility.
Partnering with a medical debt nonprofit, Undue Medical Debt, the City of San Antonio identified residents who met at least one of two key criteria: those earning four times below the federal poverty level or those with medical debt that is 5 percent or more of their annual income. Once potential debts are identified, residents receive notice in the mail that informs them that their debt is eliminated without the need for a formal application, or potential tax consequences or penalties. Through this streamlined and simplified process, residents can receive the relief they need without jumping through hoops or drastically shifting their finances.
Monroe, LA: Building Housing Stability through Financial Coaching
Monroe, LA (pop. 47,702) is taking a comprehensive approach by weaving together two key financial empowerment programs identified in NLC’s municipal financial empowerment scan report: financial coaching and rental assistance programs.
Launched in March 2024, the rental assistance program focuses on emergency rental assistance for residents in danger of becoming unhoused. Recognizing the need to stabilize renters on the verge of homelessness, the program offers a full year of financial coaching, ensuring individuals have the support to maintain financial stability even after they exit the rental assistance program. In addition, program participants engage in the “Dollars & $ense” event with United Way of Northeast Louisiana to strengthen financial literacy, followed by group sessions and one-on-one coaching with financial advisors. While participants complete the training programs, the City of Monroe team works with two local housing agencies to secure more stable housing through Housing Choice Vouchers. So far, three participants have transitioned into securing their own stable housing while continuing financial coaching and around 25 individuals remain active in the program.
The initiative is made possible by a vast network of partnerships with local housing authorities, nonprofits and the Louisiana Housing Corporation — illustrating Monroe’s commitment to sustainable financial growth for the city and its residents. By committing to financial security, and stability, the City of Monroe creates an environment for its residents to live and thrive in “Funroe.”
Linden, Alabama: Engaging Youth and Their Families in Programming
Linden, AL (pop. 1,930) continues to push the envelope on how financial empowerment can be defined by targeting youth and their families. As a recipient of the 2024 Advancing Economic Mobility Rapid Grant, Linden launched a series of three key financial empowerment events focused on local high school students and their families.
The first event focused on financial literacy topics such as budgeting, savings and understanding credit. In addition, students could open bank accounts onsite with a local bank, with 25 students opening their first accounts by the end of the training. The city also held a career interest day event with 15 local employer partners and businesses. This event served as an opportunity for students and their families to meet with potential employers to learn more about each industry, ask questions directly and help define potential career paths. The third and final event was a community fall carnival, which served as the capstone event for the program participants. For this culmination, the City of Linden worked with local employers to provide mock interviews, complete practice job applications and hosted a financial literacy check-in for the program participants.
By creating a family-inclusive program structure, the City of Linden created a more holistic learning environment for both students and parents. The engagement opportunities for students and parents allowed two generations of Linden families to reap the benefits of this programming. Participant families could discuss finances, career opportunities and shared goals for the future.
By incorporating financial empowerment into programs and strategies, local leaders from municipalities of all sizes can help their residents become financially stable and long-term advance their economic mobility.
Learn More About Financial Empowerment
A Decade of Municipal Financial Empowerment Strategies features findings from a multi-city field scan that followed the 10-year trajectory of financial empowerment initiatives at the local level.
About the Author
5 Lessons from NLC’s Cities Addressing Fines and Fees Equitably Initiative
- Diana Goldsmith
- Chanell Hasty
Advancing Economic Resilience and Equity: Progress, Successes and Lessons from the Southern Cities Economic Inclusion Initiative
How Children’s Savings Accounts Can Help Narrow the Racial Wealth Divide
- Diana Goldsmith
Building a New Model: Cincinnati’s Financial Freedom Blueprint in Action
- CitiesSpeak Guest
Building a Stronger Workforce to Support Economic Mobility
Creating Connections in the AAPI Community: South San Francisco’s Outreach Strategy
- Justin Chu