Loading...
Childcare Business Champion PledgeCopyrighted December 4, 2023 City of Dubuque Action Items # 03. City Council Meeting ITEM TITLE: Childcare Business Champion Pledge SUMMARY: City Manager recommending City Council approval to pledge $25,000 toward a childcare wage enhancement effort. SUGGESTED Suggested Disposition: Receive and File; Approve DISPOSITION: ATTACHMENTS: Description MVM Memo Staff Memo Type City Manager Memo Staff Memo City Employee Childcare Survey Supporting Documentation Contribution Request Letter Supporting Documentation Pledge Card Supporting Documentation Participating Employer Handout Supporting Documentation THE CITY DUOF B TEE Masterpiece on the Mississippi TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Childcare Business Champion Pledge DATE: November 29, 2023 Dubuque All -America City IN 2007.2012.2013 2017*2019 Economic Development Director Jill Connors is recommending City Council approval to pledge $25,000 toward a childcare wage enhancement effort. The City Council has supported and prioritized childcare initiatives since FY2019 as the lack of access to sufficient quality, affordable childcare has been identified as a barrier to employment and economic prosperity in Dubuque. An internal survey of City staff was conducted in 2022 in order to understand how this issue affects City employees. Many staff reported financial, logistical, and job -related challenges attributed to childcare arrangements. Economic Development staff provided a quarterly update to City Council at its regular meeting on November 6, 2023. That memo provided a brief recap of City staff's and community partners' work since on the issue since FY 2019, as well as mentioned that Dubuque Initiatives and the Greater Dubuque Development Corporation have recently been working to secure one-time Iowa Department of Health and Human Services funding for childcare worker wage enhancement (50% private employer/50% state). Wage enhancement is key to attracting and retaining childcare providers, the lack of which is driving the area's childcare shortage. Greater Dubuque Development Corporation, City of Dubuque, DRA, and Dubuque County have offered tuition supports for relevant childcare professional certifications, support for childcare during classes, and even up to a year of childcare upon employment after receiving a certificate. Despite these programs to increase childcare workforce in the last 5 years, we've seen approximately a 23% decrease in the number of early childcare professionals in Dubuque. Jill Connors and the Greater Dubuque Development Corporation advises the state's aforementioned funding is now being offered at a 2:1 rate to the match raised in the community, as opposed to the initial 1:1 match. Greater Dubuque Development and Dubuque Initiatives are currently requesting those local match dollars from local employers. The goal is to secure a total of at least $280,000 in local match for this effort to increase childcare workforce capacity through training, wage enhancement, retention programs, and other supports. This would leverage $560,000 of state funding. These benefits will be made available to all Dubuque County licensed childcare centers that have a childcare assistance agreement with the State of Iowa. Employers who pledge to contribute to the effort before December 31, 2023, will be guaranteed childcare "slots" (one slot per every $5,000 contributed) for its employees at the soon -to -be -operational childcare facility at 7900 Chavenelle Road. In addition, employees of contributing employers would also have preference for additional vacant slots at the facility. Greater Dubuque Development and Dubuque Initiatives have submitted a request to the City for a contribution of $25,000 toward this local match. There is a sufficient balance in the City's Fiscal Year 2023 General Fund savings to cover this cost. I concur with the recommendation and respectfully request Mayor and City Council approval. Mic ael C. Van Milligen f•[yT/f•i�i Attachment cc: Crenna Brumwell, City Attorney Cori Burbach, Assistant City Manager Jill Connors, Economic Development Director Jenny Larson, Chief Financial Officer Dubuque THE CITY OF All -America My nni K xvni , nz: a:u�ir, DUB E 2007-2012.2013 Masterpiece on the Mississippi 2017*2019 TO: Michael C. Van Milligen, City Manager FROM: Jill M. Connors, Economic Development Director SUBJECT: Childcare Business Champion Pledge DATE: November 29, 2023 INTRODUCTION Economic Development Department 1300 Main Street Dubuque, Iowa 52001-4763 Office (563) 589-4393 TTY (563) 690-6678 http://www.cityofdubuque.org This memorandum recommends a pledge of $25,000 toward a childcare wage enhancement effort. BACKGROUND The City Council has supported and prioritized childcare initiatives since FY2019 as the lack of access to sufficient quality, affordable childcare has been identified as a barrier to employment and economic prosperity in Dubuque. An internal survey of City staff was conducted in 2022 in order to understand how this issue affects City employees. Many staff reported financial, logistical, and job -related challenges attributed to childcare arrangements. A summary of the results of that survey is attached to this memo. Economic Development staff provided a quarterly update to City Council at its regular meeting on November 6, 2023. That memo provided a brief recap of City staff's and community partners' work since on the issue since FY 2019, as well as mentioned that Dubuque Initiatives and the Greater Dubuque Development Corporation have recently been working to secure one-time Iowa Department of Health and Human Services funding for childcare worker wage enhancement (50% private employer/50% state). Wage enhancement is key to attracting and retaining childcare providers, the lack of which is driving the area's childcare shortage. More details on this issue (and other barriers) can be found in a study commissioned by the Iowa Association for the Education of Young Children and conducted by Iowa's Integrated Data System for Decision -Making: https://i2d2.iastate.edu/2023-iowa-child-care-workforce-study/. It's a pretty easy read/scroll through with numerous charts and images to easily digest the material. Additionally, here is a link to the Recommendations Brief: https://iowaaeyc.b- cdn.net/app/uploads/2023/10/12D2 Brief1 NoTrim v5a.pdf. It's a two -page highlight of the recommendations and includes some data and quotes. Greater Dubuque Development Corporation, City of Dubuque, DRA, and Dubuque County have offered tuition supports for relevant childcare professional certifications, support for childcare during classes, and even up to a year of childcare upon employment after receiving a certificate. Despite these programs to increase childcare workforce in the last 5 years, we've seen approximately a 23% decrease in the number of early childcare professionals in Dubuque. DISCUSSION I am pleased to share that the state's aforementioned funding is now being offered at a 2:1 rate to the match raised in the community, as opposed to the initial 1:1 match. Greater Dubuque Development and Dubuque Initiatives are currently requesting those local match dollars from local employers. The goal is to secure a total of at least $280,000 in local match for this effort to increase childcare workforce capacity through training, wage enhancement, retention programs, and other supports. This would leverage $560,000 of state funding. These benefits will be made available to all Dubuque County licensed childcare centers that have a childcare assistance agreement with the State of Iowa. Dubuque County licensed childcare centers will be invited to an informational meeting on the new program on Monday, December 11, 2023. Employers who pledge to contribute to the effort before December 31, 2023, will be guaranteed childcare "slots" (one slot per every $5,000 contributed) for its employees at the soon -to -be -operational childcare facility at 7900 Chavenelle Road. In addition, employees of contributing employers would also have preference for additional vacant slots at the facility. Greater Dubuque Development and Dubuque Initiatives have submitted a request to the City for a contribution of $25,000 toward this local match. There is a sufficient balance in the City's Fiscal Year 2023 General Fund savings to cover this cost. RECOMMENDATION/ ACTION STEP 2 To continue the City's commitment to and support for the addition of quality, affordable childcare in our community, I respectfully request the City Council approve a $25,000 contribution to this wage enhancement program. Cc: Jenny Larson, Director of Finance and Budget 3 THE CITY OF Du B E Masterpiece on the Mississippi TO: Mike Van Milligen, City Manager Shelley Stickfort, Human Resources Director FROM: Cori Burbach, Assistant City Manager DATE: August 11, 2022 RE: Summary of Employee Childcare Needs Dubuque MI-Ameft City 2007-2012.2013 2017*2019 In a voluntary survey, 91 City staff indicated that they had at least one child 12 years old or younger that lived with them and for whom they were responsible. This memo summarizes their responses. DEMOGRAPHICS OF RESPONSES Fifty men and 41 women completed the survey. The age demographics of respondents was as follows: 3 ■ 26-35 yrs - 36-45 yrs - 46-55 yrs Respondents indicated they had children in these categories (they selected all that applied): 0-11-nonths =: 1-3 yc-a •s - 6-9 }years -- 1C-12}mars - CURRENT CHILDCARE ARRANGEMENTS Most staff indicated stable and confirmed current childcare arrangements. However, some noted that: Current arrangements were too expensive Summer and non -school days are challenging After -school care for school -aged children is a challenge A variety of childcare arrangements are used, with the most common being children in elementary school, children in a childcare center, and children staying home with a parent, guardian or other family member. Cost per month varies greatly depending on arrangements and summer vs school year. IMPACTS OF CURRENT ARRANGEMENTS ON JOB • A majority of staff indicated they had missed at least one day of work in the last six months to care for sick children. Those whose job allowed indicated they were able to work from home during these situations. • A majority of staff indicated they had arrived late to work or left early "often" due to childcare issues. Most indicated they could flex their schedule to do so. 30% of respondents indicated they or someone in their family had to quit a job, not take a job, greatly change their job or not take a raise because of problems with childcare. Over half said that they had been unable to work early mornings, evening, or weekend assignments due to lack of childcare. FILLING CHILDCARE GAPS • Sick children. Most parents indicated that they or their spouse use paid sick or vacation time to stay home with their children when they are sick. If available, staff rely on family or friends to assist. Those who are able to do so work from home or flex their schedules to care for sick children. Part-time employees take unpaid time off, as they do not receive paid time off benefits. Non -school & summer days: Non -school and summer days appear to be one of the biggest pain points for staff. Current strategies to address this need include: o Many school -aged children stay home on these days. Several parents indicate that this is not ideal, but the only accessible, affordable option. o Parents juggle to work from home and rely on family and friends to fill gaps. A handful of staff indicate a family member has taken a job that allows them to be home during the summer. o Parents utilize daycare for children unable to stay home alone, often at higher rates. o Many parents "juggle" summer camp schedules to fill this childcare need. o Staff flex schedules or take vacation days to cover school holidays. WHAT CHALLENGES EXIST? Participants regularly identified the following challenges when asked in an open -answer format: • Quality childcare is too expensive. • Finding quality childcare that meets parents' schedules • Childcare providers were not reasonably located/transportation barriers o Several noted a transportation barrier in connecting elementary school children to before/after school care locations. • Reliable summer childcare options HOW CAN THE CITY ASSIST EMPLOYEES IN ADDRESSING THEIR CHILDCARE NEEDS Participants regularly identified that they would take advantage of the following benefits if provided by their employer (in order of recommendation): 1. Flexible work schedules to accommodate childcare needs 2. Summer childcare options for school -aged children 3. Assistance identifying temporary childcare providers for sick or non -school days 4. Financial assistance for childcare 5. Before/after school care and transportation assistance (linked issues) 6. Identifying quality childcare providers with openings 7. Offering paid time off benefits for part-time employees This information is provided for your information only. I'm happy to follow up as needed. Thank you. Cc: Jill Connors, Economic Development Director Dave Lyons, Sustainable Innovation Consultant 3 November 21, 2023 Mike Van Milligen City of Dubuque 50 W. 131h Street Dubuque, Iowa 52001 Dear Mike: Greater Dubuque DEVELOPMENT CORP. Schmid Innovation Center 900 Jackson St., Suite 109 Dubuque, IA 52001 www.greaterdubuque.org We very much appreciate the time, consideration and input you and the City of Dubuque team have provided as we continue to advance the concept of a multi -employer supported child care facility in Dubuque. As you know, Dubuque Initiatives is a 501(c)3 non-profit development corporation and one of its priorities is removing child care as a barrier to employment and opportunity in Dubuque. That means working to increase capacity of both child care facilities and the child care workforce. Dubuque Initiatives, collaborating with multiple partners, is providing the capital support necessary to increase child care capacity which will come online in January 2024. We are working with employers interested in making this new capacity available to their employees. We are asking those employers to contribute to that second effort -increasing child care workforce capacity. The City of Dubuque and other area employers' contributions will be matched 2:1 by the State of Iowa to create a fund to enhance the recruitment and retention of child care workforce through training, wage enhancement, retention programs and other supports. This fund will be available to all Dubuque County licensed child care centers that have a child care assistance agreement with the State of Iowa. The 7900 Chavenelle Road facility will begin serving employers in January 2024. We would ask for a letter of commitment by the City of Dubuque to be a participating employer for $25,000 as soon as possible, with funds to be provided when feasible within your municipal process. These contributions should be sent to Dubuque Initiatives at the following address: Dubuque Initiatives, Inc. ATTN: Ian Hatch 1300 Main Street Dubuque, IA 52001 The Dubuque Community Y will be providing additional information on timeline and process. If you have any additional questions, please feel free to reach out to either Nic Hockenberry, Director of Workforce Programming (563-557-9049/nicolash@greaterdubugue.org) or David Lyons, Strategic Initiatives Consultant (515-480-8362 /davel@greaterdubuque.org) at Greater Dubuque Development Corporation. Sincerely, Rick Dickinson, President & CEO Kevin Lynch, President Greater Dubuque Development Corporation Dubuque Initiatives, Inc. . can be great here. YOU Q V W W IL I commit Name of Donating Entity to being a Business Champion of Child Care. I authorize an investment of $ to Dubuque Initatives to support efforts to expand the capacity and quality of the child care workforce in Dubuque County. ❑ Entire amount enclosed with form. Initial amount now $ and balance in full on or before Signature PLEASE RETURN THE COMPLETED FORM AND MAKE CHECKS PAYABLE TO: &L��` DU U L Dubuque Initiatives, Attn: Ian Hatch INITIATIVES 1300 Main Street, City Annex, Dubuque, IA 52001 Date Date IGreater 1 Dubuque YOU Greater Dubuque Development is dedicated to assuring that our region has all services which are required to maintain our region's economic health, including accessible, quality, affordable child care. That is why over $5 million in local and state investment is at work, transforming the former Medline building, located at 7900 Chavenelle Drive, into what will soon be a world -class child care center. Operationally, this new center will be managed by the Dubuque Community Y with drop-off and pickup from at least 6:00 a.m. to 6:00 p.m. with access and options in response to gaps in infant care, flex -care, and drop -in care. The new child care facility is strategically connected to the Dubuque Community Schools' new preschool education program, creating a one -stop foundational learning campus designed to meet our workforce child care needs. BECOMEA BUSINESS CHAMPION OF CHILD CARE With renovation and buildout underway at 7900 Chavenelle Drive, Greater Dubuque Development invites you to pledge to be a Business Champion of Child Care. Enrollment is open through December 29, 2023 or until slots are full. • Employer investments will be matched 2:1 to increase capacity. This fund to recruit and retain child care professionals will be available to all Dubuque County licensed child care centers that have child care assistance agreements with the State of Iowa. • Create equitable access to quality child care for low/ moderate income families throughout Dubuque County. • Receive tax benefits with your contribution to a 501(c)3 entity according to your accounting and legal advisors. • Reserve spots to be utilized and paid for by employees. • Gain enrollment preference status for employees of participating employers. Only of 120 child care slots available as of ! 1 Nic Hockenberry Director of Workforce Programming 563-557-9049 nicolas@greaterdubuque.org YOU can be great here IGreater 1 Dubuque DEV NT CORP. 1� DUBUQ J INITIATIVES