Fiscal Note
The proposed resolution authorizes the Community Development Division to amend various purchase of services contracts for the purpose of expanding youth employment initiatives. The Community Development Division’s 2016 Adopted Operating Budget authorized $200,000 for a Private Sector Youth Employment Internship Program and $150,000 for a Technical Assistance Job Training Program for youth and low income individuals. This resolution will authorize the full $200,000 for youth employment expansion and $40,000 of the $150,000 for technical assistance job training. The remaining balance of $110,000 will be allocated later in 2016.
Budget authority is included in the following MUNIS accounts:
$150,000 62220-54820-00000
$200,000 62224-54820-00000
Title
Authorizing the City of Madison, through its Community Development Division, to amend various purchase of service contracts to include programs selected via a competitive RFP process, for the purpose of expanding youth employment initiatives.
Body
BACKGROUND
Federal statistics indicate that the Great Recession affected youth more severely than any other demographic. Recent U.S. Bureau of Labor Statistics figures put youth unemployment rates above 50%. Unemployment rates for minority youth and those from low income families are even higher, and are likely to persist as more adults seek part-time low-skill jobs traditionally occupied by teens.
While the overall four-year graduation rate for Madison Metropolitan School District in 2013-2014 stood at 79.2%, 44.2% of Black students, 30.1% of Hispanic students, and 22.8% of students of two or more races graduated within four years. Additionally, 29.8% of individuals with less than a high school education live below the poverty level in Madison, as opposed to 5.1% of individuals with a bachelor’s degree or higher (as of 2014).
High quality jobs and internships are one strategy to address the opportunity gap experienced by youth facing barriers to success in school and employment. Employment opportunities allow participants to gain meaningful and relevant experience that will support their educational goals and future earning potential. In addition, a significant body of research demonstrates that developing career aspirations and drawing connections between education and work can positively impact youths’ likelihood of earning college degrees.
The adopted 2016 Operating Budget for the City’s Community Development (CD) Division included up to $200,000 for expansion of youth employment and internship opportunities, and up to $150,000 for technical assistance job training aimed at youth and low-income individuals, and the analysis of equity policies surrounding the City’s procurement practices.
The CD Division recently conducted a competitive request for proposals (RFP) process seeking applications from qualified entities to recruit, train and support youth ages 14-18 years for summer, school year or year-round employment, or paid internships, with a priority on serving youth involved in the juvenile justice system. At a meeting on April 6, 2016, a review panel evaluated the four proposals submitted by the deadline of March 29th, and finalized recommendations totaling $240,000, as follows:
• Up to $100,000 to Briarpatch Youth Services, to cover staff and administrative costs associated with recruiting, training and supporting approximately 25 additional youth placed with and paid for by private employers during the summer or school year; and 25 additional youth in summer/fall work crews, with youth wages paid by Briarpatch.
• Up to $40,000 to Common Wealth Development, to cover staff and administrative costs associated with recruiting, training and supporting approximately 18 additional youth placed with and paid for by private employers during the school year, and 2 additional youth placed with a non-profit and paid by Common Wealth during the summer.
• Up to $40,000 to Goodman Community Center, to cover staff, administrative costs and youth wages associated with recruiting, training and supporting approximately 20 additional youth an in intensive summer work program with 1 yr follow-up/support.
• Up to $60,000 to Operation Fresh Start, to cover staff, administrative costs and youth wages associated with recruiting, training and supporting approximately 25 additional youth an in intensive 10-week work program with 1 year follow-up/support.
The Community Development Division recommends utilizing the $200,000 allocated for youth employment expansion, and $40,000 of the $150,000 designated for technical assistance job training for youth and low income individuals, to fund the above proposals. The remaining balance of $110,000 will be allocated later in 2016.
ACTION
WHEREAS, it serves the best interests of Madison’s youth and the City to help provide youth with positive work histories and experiences, develop employment skills, increase family incomes for a significant number of low-income youth, positively influence youth academic success and generally improve the quality of life for these youth and their families through employment opportunities; and,
WHEREAS, the Community Development Division’s adopted 2016 Operating Budget authorized up to $200,000 for youth employment expansion and up to $150,000 for technical assistance job training programs focused on youth and low-income individuals and the analysis of equity policies surrounding the City’s procurement practices; and,
WHEREAS, in March 2016, the Community Development Division conducted a competitive RFP process, seeking qualified entities to provide programs focused on expanding youth employment and internship opportunities; and,
WHEREAS, as a result of that process, the CD Division recommends funding of up to $240,000 for Briarpatch Youth Services, Common Wealth Development, Goodman Community Center, and Operation Fresh Start to provide the programs described herein at their recommended allocation levels; and,
WHEREAS, the City of Madison already has existing contracts with Briarpatch, CWD, Goodman and OFS for the purchase of various services during 2016;
NOW, THEREFORE, BE IT RESOLVED, that the Common Council hereby approves the recommended funding allocations as specified above; and,
BE IT FURTHER RESOLVED, that the Common Council hereby authorizes the Mayor and the City Clerk to amend existing agreements with the above listed agencies to include the designated additional programs, which are collectively expected to serve at least 115 additional youth in 2016; and,
BE IT FINALLY RESOLVED, that the Common Council hereby authorizes the extension of the four programs cited above for one additional year, conditioned upon their inclusion and approval in the City’s adopted 2017 Operating budget, and each agency’s demonstrated ability to meet its respective contract goals.