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Economic Development Long Term Work Force Training = Capital Idea Skill QUEST Project QUEST

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Example 1: Travis County/Austin Funds long and short term job training now out of economic development funds, but really treated as non- dedicated general revenue. Both county and city funding began as dedicated from a 10-year tax abatement agreement. One long term work force development program, Capital IDEA, has received over $700,000.00 funding in a 2 year period.

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Example 2: Bexar/San Antonio Have funded long term training for over 20 years, usually between 2 and 3 million dollars. The original $2 million was a mix of CDBG and general fund. Over the years, the funding has predominantly come out of economic development funds. This year, 1.3 million dollars to Project QUEST from the city of San Antonio is under the Economic Development Department. $85,000 comes from Bexar County in 2013-2014 budget year.

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Why would they do that?

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Today, Economic Development Requires a Skilled Work Force.

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Relocating Companies show preference for locations offering a skilled local work force

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Health Care is one of the fastest expanding service industries

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Most health care and technical jobs require long term training

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Why would Austin and San Antonio continue to fund these programs? SO,

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What kind of return do these counties and municipalities get for the dollars invested?

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Evaluation Approach Considered % covered by Texas Unemployment Insurance Average quarterly earnings % eligible for unemployment insurance benefits % receiving unemployment benefits 2, 6, and 10 quarters after leaving program for all programs 14 and 18 quarters for those programs having data Using Texas UI wage records and claims files

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Impacts Analysis of Short Term Programs Overall mixed results 1 program had strong positive results on employment, earnings, and UI eligibility and claimsthe only short term program to have positive association with earnings 2 short term programs significantly associated with lower earnings

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Impact Analysis of Long Term Training Capital Idea was only Long Term Program supported Positive, statistically significant impact on earnings Strongly associated with increased employment Strongly associated with eligibility for UI benefits

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Study Conclusion: Longer term investments in skills-training yield large, lasting returns in the labor market even seven years after services have ended.

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Skill QUEST, Inc. is the Dallas-Collin program equivalent to Capital IDEA and Project QUEST..

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Capital Idea, Project QUEST, Skill QUEST Description Non-profit workforce intermediary offering: Occupational Skills Training Extensive Support Services Long Term High Demand, High Skill Jobs Starting Salary at $16+ per Hour-(now $18) Fully in Nursing and Allied Health Careers Training Provided Through Community Colleges

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Application Process for Programs Extensive Orientation and Enrollment Process Academic, Financial, Career Assessments To Identify Candidates Having Math and Language Skills for Success Ability to Withstand Financial Pressures during Training The Drive and Determination to Succeed

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Wrap-around Services To Ensure Success Weekly Counseling/Instruction/Peer Support Sessions (Vision, Initiative, Perseverance) VIP Sessions on Soft Skills and Life Skills Childcare Assistance (3 children = $1,200+ a month) Transportation Assistance Other Emergency Assistance Urged to Give Back to Community

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Hello. I am Miranda Bluitt. I am a graduate of the QUEST program and am working at Dallas Regional Medical Center in the Emergency Room as a Registered Nurse. A t 17, I graduated from South Oak Cliff High School in Dallas and entered the military as a response to 9-11. I served in both Iraq and Kuwait. When I returned to the United States, I met a civilian who became my husband. At his insistence, I left a promising career in the military and I moved back to Dallas where he lived. We had two children, a daughter Daizjia, who is now 6 and a son, Elijah, who is now one. I began to think about returning to school, and, at the same time, my husband began to think that he no longer wanted to be married. He left us because he felt he wasnt ready for marriage, so at that time I filed for divorce and legal separation which left me with two children and little or no money. How could I go back to school? I heard about QUEST, applied and was accepted. That meant that my school, books, and transportation would be paid for. Because my grandmother was able to care for my children, I didnt use childcare which is also offered. I was able to concentrate on becoming an RN. I did my last rotation at Dallas Regional Medical Center ER where my coworkers and supervisors recognized my potential. Because they thought that I would be an asset to their program, they hired me. Without the Quest program none of this would have happened.

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Ray Marshall Research Studies Show that Participation in Capital IDEA Associated with 10.9%age point increase in average earnings 10.8% age point increase in monetary eligibility for UI $1223 increase in average quarterly earnings-over comparison group

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17 graduates who have already entered the work force were earning on average less than $8,000 a year at entry into the Skill QUEST program and are all now earning on average $43,356.87. Most over $45,000, several $50,000- $60,000. Skill QUEST Dallas Example

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Factors Included in ROI Evaluation Opportunity Cost Incremental Impacts (estimated v Comparison Group) Fringe Benefits Employer Productivity and Reduced Vacancy Days Taxes Welfare and Food Stamps

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Skill QUEST, Inc. is the Dallas-Collin program equivalent to Capital Idea and is now preparing to expand from 130 to 300 participants.

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Participants Tax Payers Society The same Return on Investment for Economic Development? Can We Afford to Not Offer Dallas