May 28th, 2014Metropolitan Council Chambers390 N. Robert St, Saint Paul, MN

Hennepin County Workforce Development

Education to Employment Program

May 28, 2014

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Workforce Challenges

TotalEstimated

Retirements % of Workforce

Senior Managers 28 20 71%

Managers 329 138 43%

Supervisors 777 319 42%

Employees 5,930 1,761 30%

Total 7,064 2,238 32%

Aging Workforce - Estimated Retirements through 2020

Source: Hennepin County Human Resources, March 2013.

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Workforce Challenges

Lines of Business Total Employees

Estimated Retirements

% of Line of Business

Operations 1,367 557 41%

Human Services 2,737 949 35%

Health 367 85 23%

Public Works 614 186 30%

Public Safety Partners* 1,979 461 23%

Total 7,064 2,238 32%

Aging Workforce - Estimated Retirements through 2020

Source: Hennepin County Human Resources, March 2013.

* Includes Sheriff’s Office, County Attorney’s Office, Department of Community Corrections and Rehabilitation, and Emergency Management; does not include District Court and Public Defender.

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Sector- Based Job Opportunities*Job Classification Vacancies

Public Service Assistant

Information Technology Specialist

Librarian

Financial Case Aide

Human Services Representative

Case Management Assistant

Child Support Services Officer

Social Worker

Community Health Worker

Registered Nurse

Office SpecialistEngineering Technician

Planning Analyst

Probation Officer

Corrections Officer

Employment Vacancies

Attrition Rate: 8-10% each year

Estimated Retirement: 32% through 2020**

Minnesota labor force growth is projected to slow from 0.5% in 2013 to 0.1% in 2020, resulting in a workforce shortage. ***

* Specialized Training Opportunities** Source: Estimated Retirements. Hennepin County Department of Human Resources, March 2013.*** Source: Minnesota Demographic Center, December 2013.

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Workforce ChallengesUnemployment

United States Minnesota Hennepin County0%

1%

2%

3%

4%

5%

6%

7%

8%7.00%

4.7% 4.6%

Unemployment Rate: National, State and County Level

Source: Minnesota Department of Employment and Economic Development, January 2014.

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Workforce ChallengesUnemployment Disparities

African-American White non-Hispanic American Indian Asian Hispanic0%

5%

10%

15%

20%

25%

17.00%

5%

21.00%

8.00% 7.00%

Hennepin County Unemployment Rate by Race and Ethnicity

Source: U.S. Bureau of Labor Statistics, 2010.

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Workforce ChallengesDemographic Projections

Source: What Lies Ahead: Population, Household and Employment Forecasts to 2040, Metropolitan Council, April 2012.

2010 2020 2030 20400

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

4,000,000

HispanicAsian and OtherAfrican-AmericanWhite non-Hispanic

Minneapolis-St. Paul Population by Race and Ethnicity, 2010-2040.

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Hennepin County Workforce Challenges

Alignment and Coordination of Workforce Programs

65+ programs and initiatives

40+ external partners

Workforce coordinator position

Hennepin County BoardCounty Administration

Operations Human Services Health Public Works Public Safety Partners

Library

- Hennepin County Adult Learning

- Franklin Learning Center

- Job and Small Business Programming

- ACF Partnership- Online Job Resources- Skills Training and

Assessment

Eligibility and Child Support

- Employment Services- MFIP Services- Diversionary Work

Program- Workforce Investment

Network (WIN)- SNAP E and T- FATHER Project

Public Health

Hennepin Health

- New Provider Types- Life Style Overview

Surveys- Employment Pays

Program

Housing, Community Works

and Transit- Hennepin County

Workforce Centers- STS Homes/Summit

Training Program

Community Works

- Community Works Contracting

Community Partners

- PPL- Summit Academy- HIRED- Twin Cities RISE- Emerge Workforce- YouthLink- Employment Action Center- American Indian OIC- Northside Achievement Zone- Greater MSP- Better Futures- Habitat- GMHC- Downtown Council- United Way- Urban League- “100 Hard Hats” Consortium- African Community Services- CAPI USA- Jewish Family and Children’s

Services- Eastside Neighborhood

Services- Goodwill Easter Seals- Hmong American Partnerships- Lifetrack Resources- Lutheran Social Services- Perspectives Inc. - Resource Inc. - St. Stephen’s- RISE Inc.

Government Partners

- MN Dept. of Employment and Economic Development

- MN Dept. of Human Services- Minnesota Workforce Centers- Workforce Investment Boards

(Hennepin-Carver and Minneapolis)

- City of Minneapolis (CPED, METP)

- Other city partners

Adult- Work/Study

Release Program- Sentencing to Serve- Productive Day

Enterprises- Industries ProgramJuvenile- Juvenile Detention

Alternatives Initiative

- Sentencing to Serve- County Home

School Programs

Service Providers

Educational and Research Partners

- University of Minnesota- MCTC- Summit Academy- Itasca Project- PPL- Better Futures- NCRT- Foundation Collaboration

- METP- Goodwill Easter

Seals- HIRED- United Way- Tree Trust- PPL- Resource Inc. - MNPAVE- Eastside

Neighborhood Services

- Takoda Institute of Higher Learning

- Refugee Employment Services

- Twin Cities RISE- African Community

Services- American Indian OIC- CAPI USA- Emerge- Hmong American

Partnerships- Jewish Family and

Children’s Services- Lifetrack Resources- Lutheran Social

Services- Perspectives Inc. - MN DEED- St. Stephen’s- RISE Inc.

Community-Based Services

- Work and Economic Resource Center

- Workforce Planning- Workforce

Resources

Purchasing and Contract Services Human Resources

- Affirmative Action Program

- SBE Program- Workforce Entry

Program- Prevailing Wage

Program

- Internships (Step-Up, SCOPE)- Recruitment- Workforce Planning- Leadership Development- Knowledge Transfer- Training- Onboarding

Hennepin County Workforce and Employment Development Activities (Internal and External)

Internal Services

- HealthWorks- Public Health Nurse

Training

Assessment and Case Management- Day Training and

Habilitation- Vocational Services

Program

Veterans’ Services

- Vocational Rehab- GI Bill for the 21st

Century- Minnesota GI Bill

Center for Innovation and

Excellence- A-GRAD- Hennepin –University

Partnership

NorthPoint Health and Wellness

- NorthPoint Achievement Zone

- Gateway Project- Community Health

Worker⁻ Northside Workforce

Investment Network (WIN)

⁻ Northside Fresh Economic Work Team

⁻ Computer Lab/Job Club⁻ Employment Counselors- Health – Workforce

Training Models- Employee Training and

Certifications

Resident and Real Estate Services

- Tax forfeited Properties

- Deconstruction Activities

County Attorney

- Prevailing Wage Program

- Internships

Environmental Services

- Recycling Contracts (PPL/Better Futures)

- Deconstruction Activities

DRAFT4/3/14

Sheriff’s Office

- Internships- Citizen Academy- Diversity Recruitment

: Hennepin County Government

Information Technology

- Genesys Works Program

Public Affairs

- Leadership Academy- Communications Support : External Entities

Medical Examiner- Medical Student Rotation- Fellowship Program

Hennepin County

State/RegionLocal Cities

Federal

Community Partners

Private Sector

Educational Institutions

Hennepin County and External Workforce Entities

Service Providers(i.e., Twin

Cities RISE)

Community Organizations

(i.e., NAZ)

Service Providers

(i.e., United Way)

City of Minneapolis

Research Partners

(i.e., Itasca Project)

Training Partners(i.e., Summit

Academy)

Minnesota Workforce

Centers

MN DEED

Workforce Investment

Boards

County Contracts

Other Municipalities

2

: Government Entities : External Organizations

10

12

How can we position the county to have the

right workforce at

the right time?

Minnesota labor force growth is projected to slow from 0.5% in 2013 to 0.1% in 2020, resulting in a workforce shortage.

Source: Minnesota Demographic Center, December 2013.

By 2018, 70% of job openings will require a credential. (i.e., certifcation, licensure, associate’s degree, bachelor’s degree).

Source: Georgetown University Center on Education and the Workforce, June 2010.

• Work with private and non-profit sectors to train and match employees.

• Partner with colleges, universities and training programs to develop a strong future workforce.

Workforce Development FindingsFinding Possible Action

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Current Workforce Development Efforts

Programs Description Hennepin County and MCTC Pathways Partnership

Training and pathways into employment

Workforce Activities Alignment Creation of workforce coordinator position

Workforce Entry Program (WEP) Meeting the demand for skilled trade persons while developing the county’s economic resources by providing unemployed individuals the means to earn a better living.

A-GRAD Initiative Improving high school graduation rates

Workforce Investment Network Partnerships to create workforce opportunities for targeted communities and reducing economic disparities

Step-Up Program High school internships at the county

Employment Pays Program Employment supports for individuals with high behavioral health needs

NorthPoint/Urban League Training and employment partnership

Pilot program to attract professionals (i.e., engineers and scientists)

Recruitment and targeted hiring

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Recommended Workforce Development Strategies

Strategy Description

Hennepin County Workforce Leadership Council

• Vision, strategy and goals• Recruit employers and educational partners• Support training partnerships• Commissioner representation

Workforce Master Cooperative Agreement

• Create Hennepin County Workforce Leadership Council• Creates the formal vehicle to establish training framework

MCTCWorks Pathways Tool • Web-based career map• Academic program information• Live job postings

Evaluation of Job Classifications • Flexibility and best practices• Certificates, associate’s or bachelor’s degree

Recognizing Education Equivalencies • Associate’s degree candidates• Bachelor’s degree candidates

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Hennepin County Workforce Leadership Council

Leadership Governance Policy

Fundraising Networking Innovation

Hennepin County

Educational InstitutionsEmployers

Develop sector-based workforce

Provide internships and employment opportunities

Membership:

Function:

Purpose:

Partnerships

Education and Training

Workforce Investment Boards

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Workforce Master Cooperative Agreement

Workforce Leadership Councilo Initial Members: Hennepin County, MCTC, MNSCU, Downtown Council,

other private and public sector partners

Formal framework to establish trainingo Statements of work for specific job curriculum (i.e., IT, health)

o Scholarships

o Curriculum development costs

o Internships

o Employment opportunities

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Master Cooperative Agreement Structure

Hennepin County

Public Sector

Educational Institutions

Private Sector

Sector-Based Education and Training

Internships

Employment Opportunities

Hennepin CountyWorkforce Leadership Council

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Human Services Representative FastTRAC

Program: 41 participants 8 ½ month program

Education and Training: Project for Pride in Living (PPL) Minneapolis Community and Technical College (MCTC)

Internships: Hennepin County Human Services Department Graduation: June 2014

Employment Opportunities: Hennepin County Certification Other counties

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Evaluation of Job Classifications

Job Classification Previous Requirement Revised Requirement

Human Services Representative

Bachelor’s degree Associate’s degree or FastTRAC program

IT Specialist Bachelor’s degree Associate’s degree

• Salary by Education Level in Hennepin County

Source: Wanted Analytics, March 2014.

• Recognizing Educational Equivalencies

Median MedianHigh School Diploma Associate’s Degree

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Next StepsApprove Workforce Master Cooperative Agreement

Workforce Leadership Council Creation Statements of work Approve $200,000 contingency transfer (Resolution 13-0316R1) for

curriculum development

Evaluation of: Job classifications Internship best practices User-friendly job postings

May 28th, 2014Metropolitan Council Chambers390 N. Robert St, Saint Paul, MN

TC3: FUTURES

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23

ECONOMIC EQUITY EQUALS (EQ)

Mobility/Proximity Central Business District and Access Mass transit accessibility

Marketable Skills/Education Short-term (< 2 years) credentialed certification

focused on applicable, market-ready skills

Relationships/Social Networks Social Capital = critical linkage to skilled

employment and economic opportunity

MFSA: THE TEST MARKET

Developments and Progress Began workforce procurement efforts January 2014

Partnered with Mortenson/Thor and subs to develop workforce

projections.

Procuring workforce for 10 major trades over life of project,

including specialty trades.

EAF Update 90 skilled candidates currently available

for employment on the project.

54 candidates complete training and

ready for project demand June 30th .

38 Specialty Trade training candidates

complete training and ready for project

demand September 8th.

Job Fair yielded 600 candidates 24

THE TC3 SYSTEM

DEMAND FORECAST SUPPLY REPORTING

Jurisdictions

Project I.D.

Workforce Need

EAFOwnersGeneral and Subcontractors

Outreach #Enrollment #Graduation #Placement #Retention #Financial Reporting

Forecast Labor NeedsTraining Cycles

Functions

EAF Community Outreach Partners Training PartnersUnion Partners

MarketingIntakeAssessmentTrainingPlacement

Functions

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KEY ACCOMPLISHMENTS

Establishment of Administrative and Forecasting Protocols and Procedures across agencies (owners, general and subcontractors):

TC3 Operations Management

Contract Management

Data Management and Forecasting

EAF Process Management

Measurement and Evaluation

Establishment of outreach, training, and placement targets to manage and deliver a skilled workforce:

Developed recruiting & training targets

Developed training schedules

Subcontractor agreements with training & outreach partners

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MOBILIZING THE (UN)SKILLED WORKFORCE

Identification & Recruitment of a skilled labor pool 435 Candidates skilled/unskilled in the EAF database

90 skilled workers placement ready. Recruited from job fair.

120 skilled and/or unskilled completing assessments

225 in training and/or training ready

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COORDINATED ADULT WORKFORCE SYSTEM

Outreach Partners

Training Partners

Latino Economic Development Council

Community Standards Initiative

Somali Education & Social Advocacy Center

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SAOIC: BUILDING A CONSTRUCTION WORKFORCE

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KEY STAKEHOLDERS: TC3 MOMENTUM

City of Minneapolis Public Works

300 retirements over the next 5 years

Hennepin County Public Works

Capital Improvement Plan 2014-2018

$676,694,222

MET Council

2014-2018: $1,082,000,000

Projected SWRT budget between $1.673-$1.683 billion

The outlined jurisdictions below have been engaged in discussions on TC3 and expressed interest to adopt:

30

POTENTIAL OPPORTUNITIES…

DOWNTOWN EAST

Creates 1,000 construction jobs over 24 months

Expands full-time employment opportunities in downtown Minneapolis

Critical linkage to adjoining neighborhoods and community access

Vertical and horizontal construction development

$50 million direct spending

1,000 additional full-time jobs in Downtown Minneapolis post-construction (retail, hospitality,

customer service, business administration)

NICOLLET CORRIDOR

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IN DOWNTOWN MINNEAPOLIS

Kraus Anderson HQ

80,000 square foot headquarters in the heart of downtown Minneapolis.

$15 million projected costs HQ scheduled to open in 2015

HCMC

$191 million, 322,000 square foot medical clinic and specialty center

Opening in 2016

32

MARKET NEED

Client Project Value Articulated Need

Expected Start

MSFA/Mortenson

Viking Stadium

$1,000,000,000

100 InProgress

Ryan Construction

Downtown East

650,000,000 x May 2014 – 2016

Hennepin County

HCMC $192,000,000 x Dec 2014 – June 2016

City of Minneapolis

Target Center $98,000,000 x June 2014

MET Council SWLRT $1,200,000,000

x 2016-2018

City of Minneapolis

Nicollet Mall Corridor

$50,000,000 x Fall 2015

City of St. Paul Saint Paul Saints Stadium

$80,000,000 x April 2014- March 2015

Kraus Anderson Construction

Kraus Anderson Headquarters

$15,000,000 x October 2014-Oct 2015

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Extra-Curricular Development at Middle School Platform (Harvest Prep Middle School)

Ongoing discussion with Minneapolis Public Schools & continue to navigate the political system

Identified critical adult education GAP in the community: GED Adult Basic Education

Challenge: Expand GED population to mobilize workforce

Over 40% of the MFIP population in North Minneapolis does not have a GED or High School Diploma.

Opportunity: GED Fast Track to Construction

Need for fast track Workforce GED Training to address adult education gap to prepare adults for vocational education and training. Opportunity to tailor GED track to meet pre-apprentice training requirements.

BRIDGE STRATEGY: (RE)CONSTRUCT THE GED

MIDDLE SCHOOL & HIGH SCHOOL PLATFORM

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INFRASTRUCTURE DEVELOPMENT POLICY

Market leaders to adopt: Hennepin County City of Minneapolis MET Council

Penetrate bureaucracy operating procedures

Legislative support

State and Local Financing

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CHALLENGES & OPPORTUNITIES

CHALLENGES:

OPPORTUNITIES:

Snail pace of bureaucracy Partnership Management

CBO patience Outreach capacity Union politics Unity of interests

$2 billion in construction in Downtown Minneapolis Carlson Consulting Enterprise key findings:

Future worker shortages Impact of racism

Vertical expansion of EAF

36

Secure market leaders: City of Minneapolis Public Works Hennepin County Public Works MET Council

TC3 serves as the basis for a workforce development system (S3) expanding beyond the construction sector. S3

Operationalize TC3 Framework Business Plan Customer Expansion

NEXT STEPS

High growth industries as identified by the U.S. Department of Labor High Growth Job Training Initiative include:

Manufacturing, Hospitality, Retail, and Healthcare.

Platform for workforce development

37

May 28th, 2014Metropolitan Council Chambers390 N. Robert St, Saint Paul, MN

East Metro Job Creation Fundsupported by the St. Paul Foundation

through a Program Related Investment

New NDC Logo Here

This means we have to pay it back with

interest

Who we are?

Jan JordetSenior DirectorConsulting & Financing Services

612-259-6566jjordet@meda.net

Mike LaFaveVice President & Chief Operating Officer

651-379-8424mlafave@ndc-mn.org

• 43 years old – founded by corporate executives• Vision – thriving communities through equal

economic opportunity• Mission - helping entrepreneurs of color succeed!• Core services provide:

Access to information/consultingAccess to financingAccess to government

and corporate markets• One-on-one consulting model aimed at bringing

minority-owned businesses to scale

www.meda.net

NDC PAGE

• Formed in 1993• Mission: Empower low income entrepreneurs in specific

low income communities as revitalization strategy• Building neighborhood economies from within• People and Place based approach• Core services:

– Entrepreneur Training– Small Business Lending– Technical Assistance/Business coaching– Equitable Real Estate Development

www.ndc-mn.org

Why financing?

• Studies from local, regional and national entities have shown:– People of color are more often declined financing with

all things being equal– When receiving financing, people of color often receive

higher interest rates than white counterparts– Greatest obstacle to business success for MBEs is

identified as access to financing

Entrepreneurs are job creators!

Job Creation

Financing (Technical

Assistance)

Each organization received $1 million in capital

East Metro Job Creation Fund

PRI Terms• Meda and NDC have ten years to deploy the $1

million – different markets/approaches

• Goal is to make loans to mid-market businesses in the East Metro with

a goal of creating new jobs benefitting low-income residents and giving specific attention to residents of color.

Entrepreneurs of color employ more people of color!

• Meda’s survey of about 200 companies annually shows that minority-owned business enterprises (MBEs) are more likely to hire other people of color.

• Newest survey from 2013 shows that 42% of all MBE employees were people of color.

• and 86% were paid a living wage or more!

Examples:• Small remodeling construction company - $50,000

for working capital – created 2 jobs ($15/hr)• Small insulation company - $17,500 to secure a

bond for union workers – retained 4 jobs ($23/hr)• Newly acquired excavation and sewer company -

$50,000 equity-like capital - retained 15 jobs ($26/hour)

• Expansion of small manufacturer - $175,000 creating 4 jobs ($22/hr)

Examples:

• Food manufacturing company - $150,000 Equipment Loan - created 15 new jobs retained 20 jobs ($16/hr)

• Sheet rock installation company - $100,000 working capital loan; added 3 new permanent jobs/15 temporary jobs ($23/hr)

• Small construction company - $50,000 working capital line of credit – created 3 new jobs (15/hr)

Access to capital necessary but not sufficient

• Technical Assistance is critical!• In each example, NDC and Meda spent

numerous hour working 1 on 1 with entrepreneurs to:– Build their capacity– Enhance skills– Connect them to networks– Prepare them to utilize capital effectively– Build sustainable businesses

Economic Equitycreates thriving communities

• Thanks to the St. Paul Foundation for entering this type of philanthropy

• McKnight Foundation is also funding a collaborative effort for economic equity in transit oriented development projects

• Other private and community foundations are recognizing the power of business ownership

• Successful entrepreneurs not only create jobs but build wealth in communities left behind by a history of institutional inequities

Questions?

Jan JordetSenior DirectorConsulting & Financing Services

612-259-6566jjordet@meda.net

Mike LaFaveVice President & Chief Operating Officer

651-379-8424mlafave@ndc-mn.org

May 28th, 2014Metropolitan Council Chambers390 N. Robert St, Saint Paul, MN