Tim Allen releases “Cradle to Career” Economic Development Plan Tim Allen’s “Cradle to Career” Economic Development Plan SUMMARY Prioritize funding for Universal Pre-K. Though the Legislature has established Universal Pre-K and the Department of Early Education and Care, Massachusetts has yet to fully fund Universal Pre-K as other states have done. Research indicates these investments pay dividends and provide a return on those investments. Support the K to 12 public education system; start with early literacy, support initiatives aimed at increasing 3rd grade reading scores; pivotal year for early learners; [encourage all communities in the district to sign on to the national Campaign for Grade-Level Reading]. Support vocational schools—not everyone will go to college; support career and vocational training—targets: healthcare workforce training and precision manufacturing in the Pioneer Valley. Support and expand adult literacy (too many on waiting lists). Support on-the-job training for incumbent workers—improving their skills for a new economy— support Regional Employment Board initiatives and leadership in this arena. Identify incentives for businesses; support tax policies tied to job creation. Engage Western Mass legislative delegation to adopt innovative Neighborhood Improvement Zone incentives for business investment. Host Economic Development Summit engaging local colleges and universities, school systems including vocational schools, Regional Employment Board of Hampden County, local Chambers of Commerce, leadership at the One-Stop Career Centers (FutureWorks and Career Point), Economic Development Council of Western Massachusetts, private industry including healthcare, insurance and finance, and precision manufacturing.

The Plan

Early Education & Universal Pre-K

Universal Pre-K (The Centerpiece) Research clearly demonstrates that children who participate in high quality Pre- Kindergarten are better prepared for school, better able to learn, more likely to graduate from high school and go on to college, to start a career and become productive members of the economy. We know that quality early education and care has a dramatic impact upon a child’s future success and economic prospects. Research by Nobel Laureate James Heckman and others confirms that investment in early education pays dividends down the road. Many children who struggle when entering the public school system did not have the benefit of a Pre-K experience. They come to school less prepared to learn and thrive. Studies also show that the gap that exists upon entering school generally does not close. We can do something about it. From the National Conference of State Legislatures:

“Art Rolnick and Rob Grunewald of the Minneapolis Federal Reserve Bank published a paper examining the returns on investment of early education in Minnesota. The findings have had such broad appeal that the authors have been invited around the country to discuss their findings. In Early Childhood Development with a High Public Return, early education investments are compared to other kinds of state investments, with the conclusion that early education investments yield a return that far exceeds the return on most public projects that are considered economic development.”

What this tells us is that investments in early education are economic development investments. In the Senate, I will vigorously pursue more state investment in early education, and I fully support universal Pre-K for all of our Commonwealth’s children as both a moral and economic imperative. If states such as Oklahoma and Georgia can implement universal Pre-K to their children, we can make this a priority in Massachusetts. Perry Preschool Study in Michigan found:

Adults at age 40 who attended a preschool program had higher earnings, were more likely to hold a job, had committed fewer crimes, and were more likely to have graduated from high school than adults who did not attend preschool. Overall the study showed a return of more than $17 for every dollar invested in high quality early childhood education.

Other studies have found lower teen pregnancy rates among those who participate in quality early education, and even less tobacco use. We hear a great deal about the high school graduation and high school dropout rates, but we won’t make any impact on them until we invest in children’s early childhood education – during the critical years from birth through age 5 when 85% of their brain development is taking place. It’s during that critical period when they are developing the skills that will allow ALL children to enter kindergarten prepared to succeed. It’s during that critical period that we have the opportunity to close the achievement gap and ensure that ALL children are entering kindergarten on a level playing field. “In Massachusetts, there are more than 40,000 kids on the waiting list for vouchers to help pay for child care and preschool. The Massachusetts Budget and Policy Center says that about 12,000 of those are 3- and 4-year-olds whose families live at or below 200 percent of the poverty level; that’s about $900 or less a week for a family of four.” Investing in those children who come from families of low socio-economic background will have the effect of preparing them for academic and life success, and their success will lead to improved economic prospects for our communities, this District and our region. From Strategies for Children: “Estimated cost to taxpayers of a Massachusetts high school dropout is $349,000 compared to a high school graduate.” Action Item I will support increased funding to a level that will provide Universal Pre-K for Massachusetts families unable to afford it. Through the Legislature, Massachusetts has established Universal Pre-K and the Department of Early Education and Care, but Massachusetts has yet to fully fund Universal Pre-K as other states have done. This is an economic investment that research indicates will provide a high rate of return in both human and economic capital.

Support literacy initiatives

Early Literacy

A study from the National Institute for Literacy found that, “Conventional reading and writing skills that are developed in the years from birth to age 5 have a clear and consistently strong relationship with later conventional literacy skills.”

We also know that Springfield has been in the forefront of the national movement to improve early literacy comprehension with its designation in 2012 as an All-American City for Grade-Level Reading by the National Civic League. I was honored to help represent Springfield at the All-America City Award presentation in Denver in 2012 and learn about the National Grade-Level Campaign that is raising the bar on literacy, and by extension supporting the future brainpower that will fuel our economy.

According to Harvard Graduate School of Education professor and early literacy expert Nonie Lesaux, Ph.D., about 39% of 3rd graders do not read at grade level.

As a public official, I will support the work that communities are doing to ensure that ALL children read proficiently by the end of third grade by keeping the message of the importance of this milestone for children’s academic and life success top of mind. I will urge communities and school systems to work together on this critical focus area of child development. I will support the recommendation of the state’s early literacy panel that will keep this issue on the front burner throughout the Commonwealth -- those recommendations that will most especially affect the children in our Gateway Cities where children and families face inordinate daily challenges. Adult Literacy Literacy supports for parents and other adults are in critical shortage. We must provide adequate programs in Adult Basic Education and English as a Second Language for all those in our communities who need them, in order to provide the skilled workforce that will lead to families’ economic self-sufficiency and vital communities. Action Item Support expansion and funding of literacy programming, with particular emphasis on reducing waiting lists for adult learners.

Target Native and Growing Area Industries Precision Manufacturing & Healthcare

Technical and vocational schools and community colleges can play a crucial role in training and providing the skills needed for young workers and incumbent workers to increase their skills. These new workers are needed to replace a generation of workers in precision manufacturing that are retiring. At the same time jobs are growing in the health and allied health field in response to emerging needs. The United States is the world’s leader in precision manufacturing—12,000 companies in the U.S. are in the precision manufacturing business, an industry that employs 240,000 nationwide. These are manufacturing jobs that aren’t outsourced overseas and require the skill and training that our nation has to offer. In Western Massachusetts, our roots in manufacturing go as far back as the establishment of the Springfield Armory. That manufacturing knowledge has been passed from generation to generation. This knowledge is in our workforce DNA and requires that we have sufficient training and expertise to assure that we continue to have these jobs in our region. In Western Massachusetts alone there are over 400 precision machine shops employing 10,000 people from all over this district and throughout the region. Industry where there is very little unemployment—average wage is $20 per hour; accomplished machinists easily can earn over $50,000 a year. Vocational schools and community colleges can serve as part of a feeder system to match skills with the available jobs in precision manufacturing. I will support training initiatives that keep these industries strong and help supply the training necessary to provide the needed workers.

Support Healthcare Sector

Healthcare Workforce Partnership of Western Massachusetts

According to the Regional Employment Board of Hampden County, the healthcare sector is critical to the Western Massachusetts economy, responsible for 16 percent of all jobs and 19 percent of annual payroll. The patient population is aging and the current healthcare workforce is nearing retirement. These factors contribute to project sector growth that will lead the region with job creation in the future.

There is a mismatch between employer hiring needs and the region’s capacity to produce a qualified workforce. Unattended, these workforce shortages will have negative consequences on the region, leading to a problem in healthcare, making us less competitive as a business destination and adversely affecting the quality of life in the region.

Action Item

Target precision manufacturing and health care workforce in the State’s workforce development and economic development strategy; support legislative initiatives provide resources in these areas.

On-the-Job Training To compete in an increasingly technological economy, we need to support programs and initiatives that train the incumbent workforce to learn new skills and remain relevant in the new economy. Initiatives I will support that are developed by the Regional Employment Board: Support and expand “Individual Training Accounts” or ITAs that help pay for approved training programs. We must support “On-the-Job Training” (OJT) opportunities for adults. OJT initiatives are job specific, for a limited duration and wages earned during this period split between the employer and the Workforce Investment Board. One of the best “on-the-job training” programs is offering internships for high school students so that our youth are supported and gain the skills they need on their journey to a career. Minnechaug’s School-to-Career program is just one of many in the region that should be supported. As a public official, I will highlight these programs by engaging businesses, encouraging them to participate actively in these programs. Action Item

Support and expand incumbent worker training to support local industry; retaining local companies, attracting new businesses that need a ready-made and trained workforce. Work with Hampden County Regional Employment Board to identify priorities.

Incentives for New Private Sector Investments in the Region

Adopt Proven Models of Success – Neighborhood Improvement Zones

Sponsor legislation to create a “Neighborhood Investment Zone” modeled after Pennsylvania and Michigan.

Allentown, Pennsylvania has developed something called the Neighborhood Improvement Zone (NIZ) to attract core city investment. The NIZ was established through state legislation authored by State Senator Pat Browne, who represents the Lehigh Valley. The NIZ captures all state tax revenue generated in the NIZ to be used as a financial tool and reinvested in the site to encourage development in the NIZ.

From Allentown:

Created by a state law in 2011, the Neighborhood Improvement Zone (NIZ) is a special taxing district that encourages development and revitalization in Allentown. The NIZ consists of approximately 128 acres in center city Allentown and along the western side of the Lehigh River.

Under the law, certain state and local tax revenues generated by new and existing businesses within the NIZ can be used to pay debt on bonds and loans that are issued for qualifying capital improvements in the zone, including private and commercial projects of approved applicants.

Incentives must be a part of an economic development plan. My work in securing incentives to Titeflex and to Smith & Wesson played a role in those businesses staying and thriving in the region. We can support and attract business by supporting innovative proposals such as the NIZ.

Action Item

I will propose legislation to create a NIZ instrument for the Commonwealth. We must encourage businesses to locate or stay in Western Massachusetts. Many states such as Pennsylvania and Michigan have developed this concept that encourages business development due to these incentives.

Public-Private Collaboration

Any economic and career development strategy requires a collaborative approach between the private and public sectors. I will use the convening power as a Senator to bring private and public sectors together to develop a coordinated economic development strategy that includes the Commonwealth of Massachusetts as a partner.

Action Item Working with our legislative delegation and the Executive Office of Housing and Economic Development, I will convene an Economic Development Summit. The summit will engage local colleges and universities, school systems including vocational schools, the Regional Employment Board of Hampden County, local Chambers of Commerce, leadership at the One-Stop Career Centers (FutureWorks and Career Point), the Economic Development Council of Western Massachusetts, private industry representatives from a wide range of industries including healthcare, insurance and finance and precision manufacturing.