Targeted Hiring Programs An Economic Development Tool Blake Konczal, Executive Director Fresno Regional Workforce Investment Board Patricia Padilla, President Padilla & Associates, Inc. CALED Conference22 April 2015

What is Targeted Hiring? Targeted hire initiatives create systems to increase the participation of socially and economically disadvantaged workers in public construction projects.

History of Targeted Hiring Theodore Roosevelt Herbert Hoover Frances Perkins Lyndon B. Johnson

Government Amnesia? What has gotten people back to work in the past?

Exploring Targeted Hiring Pathways to Targeted Hiring: Contractual Tools Community Benefits Agreement Project Labor Agreement Contract Provisions Institutional Structures Executive Orders Resolutions Ordinance Responsible Contractor Standards Law of Supply & Demand

Targeted Hire vs. Local Hire Targeted Hire Hiring requirements for TARGET groups. Broader, encompassing different segments of the population across geographic regions. Disadvantaged zip codes. Encourages new participants to enter the workforce. Local Hire Tied solely to a specific geographic region, e.g. workers who live within five miles of a project. Usually consists of workers already in the industry.

Case Study Riverside Community College District Project Labor Agreement Local Hire Attainment Local Business Commitment Summary

Lessons Learned Common components found in multiple jurisdictions: Source of funding can drive what targeted hiring initiatives are permissible.  Federal  State  County  Municipal

Local & Long Term Economic Stimulus Benefits Direct Benefits Workers Hired Actual Wages Paid Local Contractors Hired Local purchasing Indirect Benefits New spenders Auxiliary job creation Prolonged Benefits Development of Skilled Workforce Growth of Middle Class Greater Spending

Best Practices Willing partners and staff Third party agreements Union partnerships Realistic & measurable goals Adoption of sound and effective policies and initiatives to contractually bind all parties.

Looking Ahead Targeted Hiring within U.S. Department of Transportation Administrations Federal Railroad Administration Federal Transit Administration Federal Aviation Administration x Federal Highway Administration

Allowable Funding of Training U.S. Department of Transportation Departments allowing funding of training: Federal Highway Administration x Federal Railroad Administration x Federal Transit Administration x Federal Aviation Administration

Training Our Workers FRWIB + other Regional WIBs + Building Trades Multi-Craft Pre-Apprenticeships JOBS + CAREERS High Speed Rail National Target Hiring Initiative $30 Billion in public infrastructure between Stockton and Bakersfield

Funding Pre-Apprenticeships Regular WIA Funds Governor’s Discretionary Grant to Serve Veterans (VEAP) CWIB Proposition 39 Grant WIA Discretionary Grant (CVIEP) U.S. Dept. of Health and Human Services

Case Study California High Speed Rail National Targeted Hiring Initiative Developed & championed by FRWIB Approved by CA HSR Authority in December 2013 Minimum 30% Project Work Hours shall be performed by National Targeted Workers Minimum 10% project work hours shall be performed by Disadvantaged Workers

Multi-Craft Pre-Apprenticeships Using multi-craft pre-apprentice training to turn policy into action Curriculum – 6 weeks MC3 (“Common Core” among trades), soft skills, physical training Transition unemployed clients into jobs with High Speed Rail & other public infrastructure projects Pathway out of poverty & into the middle class

Questions?

Resources Padilla & Associates, Inc. Fresno Regional Workforce Investment Board United States Department of Transportation California High Speed Rail

Contact Information Blake Konczal, Executive Director Fresno Regional Workforce Investment Board (559) Patricia Padilla, President Padilla & Associates, Inc. (714)