Connecting Education to the Workforce

Transcription

1 Connecting Education to the Workforce Meghan Wills, Program Director, NGA Center for Best Practices Jared Billings, Program Director, NGA Center for Best Practices John Garcia III, Consultant, NGA Center for Best Practices Martha Snyder, Director, HCM Strategists

2 Education & Workforce: The Conceptual Connection Today s students are tomorrow s workers Prepare young people for success in the future as adults Position the state for economic success; help young people build skills to fill jobs in demand today and in the future

3 Talent Development Continuum Early Care & Education K-12 Education Postsecondary Education Workforce Children s development & growth Prepare for success in school Parents as strong first teachers Learn foundational knowledge & information Become college and career ready Continued learning Refine content knowledge and skills Ready to enter the workforce Gain skills needed to enter in-demand jobs Continue building skills to advance in careers Support selfsufficiency

4 Percent of U.S. Workforce by Occupation Skill Level Changing Skill Demands Shift towards more or less skills middle skills getting squeezed 26% High-Skill Occupations 37% 59% Traditional Middle-Skill Occupations 45% 15% Low-Skill Occupations 18% Source: Kansas City Federal Reserve Bank, Didem Tüzemen and Jonathan Willis, (2013). The Vanishing Middle: Job Polarization and Workers Response to the Decline in Middle-Skill Jobs,

5 Percent of U.S. Workforce by Educational Attainment Level The New Minimum Increasing Need for More Education Nationally Source: Current Population Survey, multiple years.

6 The Mismatch

7 The Role of Governors Align education, workforce training and economic development to achieve desired results for more individuals, employers and the state economy Establish a big-picture vision that aligns agencies and programs Set high-level goals and drive multiple state systems toward those common goals

8 Talent Pipeline Policy Academy Vision Articulate & implement strong vision connecting education and workforce to prepare individuals for good jobs Data Integrate and use education and workforce data to inform policy, track progress and measure success Partnerships Resources & Incentives Build industry and education partnerships to get results Modify use of resources and incentives to support attainment of the integrated vision

9 Establish Postsecondary Attainment Goal Iowa: 70% of workforce will have education or training beyond high school by 2025 North Carolina: 67% of working adults will have education or training beyond high school by 2025 Virginia: Increase attainment of STEM-H credentials by 50,000 per year, and of workforce credentials by 460,000 by 2030

10 Coordinate Strategic Priorities Colorado: Governor s Office established the Workforce and Education Cabinet, which includes leaders of all agencies engaged in Colorado s Talent Development Pipeline Iowa: Governor launched the Future Ready Iowa Alliance, a statewide group to coordinate strategic education and workforce priorities and achieve the postsecondary attainment goal

11 Governor s Leadership Builds Stakeholder Support Iowa: Governor and state leaders conducted roundtables and a Future Ready Iowa Summit to share vision, goals and objectives with stakeholders across the state North Carolina: NCWorks Leadership Summit Governor convened all statewide education, workforce, and economic development boards to discuss workforce issues and issued a call to action Oklahoma: Governor attended Key Economic Networks (KENs)meetings throughout the state; the Governor s commitment to the initiative led to greater overall support from business leaders

12 Reflection and Focus Activity Instructions Discuss with peers at your table: Identify common themes, challenges and opportunities (10 minutes) Full group report out on your discussion (5 minutes) What are the major challenges you face regarding the connection of education and workforce in your state? What are the major opportunities you foresee regarding the connection of education and workforce in your state? Are there areas of the education-workforce connection on which you still need clarity or additional information?

13 Contact Meghan Wills Program Director Economic Opportunity Division NGA Center for Best Practices

14 Aligning Postsecondary Finance Policy to Workforce Needs Jared Billings, Program Director, NGA Center for Best Practices John Garcia III, Consultant, NGA Center for Best Practices Martha Snyder, Director, HCM Strategists

15 Postsecondary Finance Landscape Context State funding for PS has increased over the last 3 years Tuition revenue has decreased over the last 2 years Total PS funding is still 15.3% below pre-recession amounts Ambitious State Goals Maintain/Increase Quality Increase Completion Support Low-Income Student Access/Success Challenges Increased Loan Amounts Shifting demography with differing needs Rising Retirement/healthcare costs New Normal Limited State Funding for Higher Education

16 State Postsecondary Funding Streams State Allocations State- Based Financial Aid Tuition Decision Points: Enrollment-Based Capital Funding Outcomes-Based Funding Decision Points: Need-based Aid Merit-based aid Economic/Social Priorities Decision Points: Fixed Tuition Flat-rate Tuition State Tuition Limits A L I G N M E N T Focus on Results & Performance Affordable Tuition Increased Cost- Efficiencies Expanded Access Improved Information for Budget making

17 Fundamental Questions to be Addressed by Strategic Alignment What are our specific goals that address different sectors of the postsecondary sector linked to economic and workforce needs? What are our current funding streams and how do they align with the states visions and goals? What policies exist that either support or do not support state goals? Where are the opportunities to streamline regulations and policies? What the data elements that can provide feedback mechanisms regarding desired goals? How can governance outreach advance and support state goals?

18 The Role of Governors Creating a Vision and Determining Goals Reflecting economic and social needs, educational context and changing demographics Specific goals that address different sectors of the postsecondary system, linked to economy and workforce needs Building Consensus and Momentum Behind the Vision Ensuring stakeholders understand goal and committed to doing their part Constant Reinforcement towards goals

19 The Role of Governors Cont. Proposing an Investment and Spending Plan that Aligns the State s Various Allocations of Postsecondary Funds Mutually reinforcing, provide incentives and signals that are consistent with state priorities Holding Postsecondary Institutions Accountable Funding tied to the attainment of goals

20 State Examples: Vision & Determining Goals 31 states with attainment goals Ambitious, data-driven Include a focus on closing equity-gaps across student groups (low-income, working-adult, minority) Tied to specific date/timeframe Indiana Reaching Higher, Delivering Value Oregon: 40/40/20 Tennessee Drive to 55 Future Ready Iowa

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22 State Examples: Building Consensus and Momentum Behind the Vision Growing number of states pulling cross-sector stakeholders together to advance the vision and support sustainability through transitions. Postsecondary Institutions Workforce and other state agencies Philanthropy Business Sector Community Organizations Arizona: Achieve60AZ New Hampshire Vermont Future Ready Iowa

23 State Examples: Proposing an Aligned Investment and Spending Plan No state has developed a strategic finance framework to guide investments and policies across postsecondary education. In many cases this leads to divergent finance policies with little understanding of the who, how and what the state s investment is supporting and how this aligns to goals and priorities. States are beginning to take an interest in better understanding the hole of their postsecondary finance policies and investments Phase I: Analysis Resources available and flowing into the system Who and what are resources supporting: providers, students, types of credentials Orientation of the investments: status quo, enrollment, outcomes Gap with what is needed Phase II: Framework Leverage expanded scope of available resources Policies and investment strategies that target resources to students, providers, credentials Increased capacity of system: lower-priced pathways and new providers

24 State Examples: Progression & Outcomes- Oriented Investment Policies Outcomes-Based Funding Policies Numerous states with outcomes-based funding policies but wide variation in orientation/alignment to key research-driven design and implementation principles Aligned to established attainment needs and priorities Stable and formula-driven funding structure (general operating support) Allocates a significant level of state appropriated support Includes all public institutions Prioritizes success of underserved student populations Sustained over multiple budget cycles

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26 How Can States Effectively Address Affordability? 1. Tuition, appropriations, and financial aid must all be used strategically to address affordability 2. Effective state investments are: a) Targeted b) Appropriately timed c) Clearly communicated d) Coordinated with other resources e) Designed to provide both incentive and support 26

27 Addressing Affordability: State Financial Aid in Perspective

28 State Examples: Addressing Affordability a) Increased Investment b) Targeted a) Programs that support low-income students will provide higher ROI c) Appropriately timed a) Early Commitment (IN, OK, WA) b) Rolling or multiple award timeframes ($ when most needed) (MN, WV) d) Clearly communicated a) Tennessee Promise: Free College after federal awards are factored in. Primarily a communications campaign. e) Coordinated with other resources: Address gaps left by other investments a) MN Shared Responsibility Model a) Washington Affordability Framework f) Designed to provide both incentive and support: Progression-based incentives a) Indiana: 30 credit hours in academic year to retain maximum state-aid support

29 State Examples: Addressing Affordability: Tuition Tuition cuts/low tuition does not necessarily address affordability or may not be the most effective way to address affordability. More effective for institutions serving large numbers of lower-income students. Washington: Affordability Framework Should be coordinated within context of state financial aid policies and structured to promote on-time completion Flat-Rate Policies w/financial aid that increases to address gaps for increased costs for higher course-loads MN: Shared-Responsibility HI: 15 to Finish CO: Tuition Plans

30 State Examples: Addressing Affordability, Innovative & Lower-Priced Pathways Innovative and Lower Priced Pathways Clear paths to postsecondary credentials that are branded, accelerated, and discernibly less expensive than traditional options; such as alternative degree programs; Indiana & CUNY ASAP MO Innovation Campus Programs focused that aggregate prior learning or educational experience to advance degree completion Wisconsin Flex Option: Competency Based Education NJ, CT, NY: Completion Colleges

31 Reflection and Focus Activity Instructions Complete all 3 questions (as an individual state) ( 5 minutes) Join with 3 or 4 other states and discuss your responses (Identify common themes, challenges, opportunities) (15 minutes) Share out: common themes, challenge, opportunities (5 minutes) Questions What are the major challenges that you face regarding strategic postsecondary finance in your state? What are the major opportunities that you can foresee concerning postsecondary finance in your state? Are there any areas of strategic postsecondary finance that you still need clarity about or additional information?

32 Request for Technical Assistance NGA Center will collaborate with governors staff and other state policy leaders in up to six states to enhance policy and practice toward improving postsecondary funding alignment (vision & goals, funding asset map, legislative audit, data inventory, accountability metrics, governance outreach) through strategic finance support. The particular area(s) within state funding on which the work will concentrate will be customized to meet the needs of each participating state. NGA Center staff and partners will work with selected states to identify key areas of focus and policy levers that will guide the work

33 Technical Assistance Components Technical Assistance/Key Deliverables Shared Vision & Goals: Differentiated, linked to economy & workforce needs Funding Asset Map: Identification of current funding streams Legislative Audit: Identify regulations & policies necessary for alignment Data Inventory: Identify data systems and feedback mechanisms Accountability Metrics: Connecting identified metrics to desired goals Governance Outreach: Higher education board performance Produce A basis for accountability. Undergird priorities and rationalization of choices. A basis for assessing policy barriers. A clear picture of funding streams that can be realigned An opportunity to streamline regulations and policies that do not support the state s vision Understanding of data systems, their capabilities, where they reside, and their feedback mechanisms A feedback loop that connects identified metrics to desired goals Coordination of governance policies to support shared vision

34 RTA Components Rolling Proposal Response Date: Jan 20 th, 2017 Project Support Dates: Through July 2017

35 SAMPLE SHORT-TERM ALLOCATION PLAN Vision/Goals Current Allocations Student/Institutional Data Efficiency Reallocation Plan Access Ex: HS to PS Enrollment Ex: 2-year, 4-year Enrollment (low-income) Ex: State-based grants & scholarship types/amounts HS to PS Enrollment (2-year, 4 year) Program of Study Enrollment Ex: Promise scholarship need/merit-based Completion Ex: Goals by institution type Ex: Performance-Based Funding Other: CBE model grant pathways grant Transfer Rate Completion Rate (2-year, 4 year) Expenditures per Student Ex: Outcomes-Based Funding Other: Innovation matching grant (adults w/ some degree non-completion) Affordability Ex: Develop state affordability target Ex: Debt to credential/degree targets Ex: Enrollment-based funding model & amounts Other: Dual Enrollment funding Develop state affordability target Net Price Unmet Need Cumulative Debt Student Share of Cost Expenditures per Completion Ex: Promise Scholarship Workforce Ex: # of STEM Degrees Ex: State-based grants & scholarship types/amounts Other: Pathways grant Employment Earnings Loan Repayment Status Earning Threshold Ex: Introduction of STEMbased scholarship Overall Attainment: Ex: 60% of adults ages will have a PS credential or degree Overall Attainment: Ex: 30% of adults ages currently have a PS credential or degree

36 Contacts Jared Billings John Garcia III Martha Snyder