With the cost of college tuition rising faster than the rate of inflation, these days it almost seems like you’d better start saving while your child is still in the womb. Tuition and fees for the 2014–2015 school year averaged $31,231 at private colleges, $9,139 at public colleges for in-state residents, and $22,958 at public colleges for out-of-state residents.
Last week I joined Neighborly as Chief Technology Officer.
I’ve spent a lot of my career helping government agencies become more transparent, and Neighborly is at the heart of one of the most opaque parts of the public sector – finance. When I met the awesome team here I realized that this was exactly the challenge and group of people I was looking for.
Today we're thrilled to announce that Neighborly raised a $5.5 million seed round. The investment was led by Joe Lonsdale at Formation 8, matched by Ashton Kutcher at Sound Ventures, with participation from an all-star cast¹.
Neighborly is rewiring the way communities fund the public projects that citizens want and need. By allowing citizens to invest in the schools, parks and infrastructure that matter most to them, Neighborly strengthens the social and financial fabric of our nation’s places and rebuilds our nation as the land of opportunity. Replacing extractive finance with regenerative finance also unlocks a new era of civic innovation, one characterized by the rapid delivery of public projects that communities want, rather than the projects banks profit from the most.
Big thanks to Will Kim for his help analyzing the data and writing this post.
In the past few months we’ve been listening to our users a lot. It’s especially critical for us at Neighborly right now, because we’re bringing a new product to the market – the ability to invest in your community – and a lot of people don’t yet understand how it works.Why not? Because most of our users have not had the opportunity to invest in their community in this way before. We’re taking a two hundred year-old, $1 billion-a-day market for financing public projects, municipal bonds, and bringing it to a new generation of people who are excited to make change in the places they live work and play.
On August 4, Moody’s downgraded Richmond, CA by three ratings notches to Ba1 The move followed a one notch downgrade on May 13 The cumulative effect of these downgrades is quite substantial Moody’s entire rating system has 21 levels and the vast majority of municipalities are rated in one of the ten highest categories (ranging from Baa3 to Aaa) These top ten notches are collectively known as investment grade By dropping Richmond from A1 - the seventh level - to Ba1 - its eleventh notch - Moody’s has reclassified Richmond from being an investment grade bond issuer to a speculative grade issuer.