Title
Workforce Development Services
Action
Action:
A. Authorize the City Manager to negotiate and execute contracts with the following organizations for the provision of workforce development initiatives for a term of two years:
- Road To Hire ($1,438,420),
- Charlotte Works ($1,305,250),
- City Startup Labs, Inc. ($527,850),
- Gener8tor Management, LLC ($350,000), and
B. Authorize the City Manager to amend the contracts consistent with the purpose for which the contracts were approved.
Body
Staff Resource(s):
Danielle Frazier, City Manager’s Office
Explanation
§ An important focus of Council’s Workforce and Business Development priority is to increase Charlotte residents’ access to quality jobs by supporting and connecting residents with quality training programs that result of obtainment in high-demand, sustainable employment.
§ As a continuation of the city’s workforce development efforts, the proposed contracts will provide services necessary to implement workforce development programs, including intake, assessment, and career path navigation; educational guidance and enrollment; career guidance; job placement; and wraparound services to ensure success.
§ On December 15, 2023, the city issued a Request for Proposals (RFP); ten responses were received.
§ The agencies selected best meet the city’s needs in terms of qualifications, experience, cost, and responsiveness to RFP requirements.
§ Outcome measures for the contracts include:
- Industry-recognized credential attainment (85%)
- Job placement in high-demand occupations (80%)
- Employment retention up to one year (85%)
- Increased wages upon training completion and job placement (90%)
§ These contracts will allocate $3.6 million of the $4.9 million in funding designated by Council for Workforce Development Initiatives that are in response to the negative economic impacts of the COVID-19 public health emergency.
§ Council will receive information at a later date as to the proposed uses of the remaining balance of $1.3 million that is within the Workforce Development allocation.
Background
§ On March 11, 2021, in response to the COVID-19 public health emergency, President Biden signed the American Rescue Plan Act of 2021 (ARPA), which included the Coronavirus State and Local Fiscal Recovery Funds (SLFRF). Charlotte was one of almost 1,000 cities across the nation that received these funds.
§ SLFRF funds must be obligated by December 31, 2024, and spent by December 31, 2026.
§ In April 2023, Council authorized the use of up to $9.1 million in SLFRF funds for the implementation of HIRE Charlotte recommendations. The proposed contracts would be paid for using these funds.
§ The $9.1 million is allocated to the following projects which are in development and progress:
- $4,900,000 - Workforce Development
- $1,500,000 - Target Industry Training
- $1,000,000 - Talent Connector
- $1,000,000 - Essential Skills Curriculum Development & Training
- $500,000 - RENEW HVAC & Clean Tech Training
- $160,000 - BankWork$ Financial Services Training
Charlotte Business INClusion
Contract goals were not established on this Contract as there were no viable subcontracting opportunities.
Fiscal Note
Funding: American Rescue Plan Act (ARPA) Funds