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HomeMy WebLinkAbout02-02-12 Economic Development Council minutes with attachment.docx 1 of 8 City of Bozeman Economic Development Council (EDC) Meeting Minutes February 2, 2012 10:30 am – 12:00 pm Madison room, City Hall, 121 N. Rouse Members Attending: Daryl Schliem (Bozeman Chamber of Commerce), Cheryl Ridgely (Bozeman Deaconess Hospital), Anders Lewendal (Contractor), Stuart Leidner (Prospera Business Network), Teresa McKnight (Montana State University Innovation Campus) Members Absent: Tracy Menuez (Human Resource Development Council), John Hoagland (Vice-President of Simms) Staff Present: Chris Mehl (City Commission), Chris Kukulski (City Manager), Brit Fontenot (Director of Economic Development and Community Relations), Aimee Kissel (Deputy City Clerk – taking minutes) Guests / Public Present: Bob Hietala (Dean of Gallatin College Programs) Ryan Haskins (Gallatin College Programs) Warren Vaughan (Gallatin County) Jason Bacaj (Bozeman Daily Chronicle) NOTE: These minutes are not word for word and should be considered in addition to the audio recording of the meeting. A. Call to Order – Vice Chairperson Daryl Schliem Mr. Schliem called the meeting to order at 10:33 a.m. B. Minutes – January 5, 2012 Teresa McKnight corrected her title to Executive Director on the January 5, 2012 minutes. On the next paragraph, ‘is to fill’ should be changed to ‘is to expand the current research park into…’ Motion and Vote to approve the minutes of January 5, 2012 as amended. The motion passed unanimously. C. Public Comment Minutes of the Economic Development Council for February 2, 2012 2 of 8 Daryl Schliem opened public comment. No person commented. D. Non-Action Items 1. Introduction of EDC appointees (Schliem) a. Teresa McKnight, MSU Innovation Campus; and Ms. McKnight introduced herself last month and appreciates the opportunity to serve on the Council. b. John Hoagland, Simms Fishing Products Mr. Hoagland is out of town so his introduction will happen during the next meeting. E. Action Items 1. Election of the 2012 Economic Development Council Chair, Vice-chair and recording secretary Nomination for Chairperson It was moved by Anders Lewendal, seconded by Teresa McKnight to nominate Daryl Schliem as the Chairperson to the EDC. The motion passed unanimously. Nomination for Vice-Chairperson It was moved by Cheryl Ridgely, seconded by Teresa McKnight to nominate Stuart Leidner as vice-chairperson to the EDC. Secretary The motion passed unanimously. It was moved by by Stuart Leidner, seconded by Teresa McKnight to nominate Cheryl Ridgely as the recording secretary to the EDC . The motion passed unanimously. F. Presentation 1. Presentation of Gallatin College Program’s Opportunities Ahead: 2011 Analysis of Workforce Needs: Gallatin Valley (Bob Hietala, Dean of Gallatin College Programs) Minutes of the Economic Development Council for February 2, 2012 3 of 8 Mr. Fontenot introduced guest speaker Bob Hietala, the Dean of Gallatin College Programs. Mr. Hietala provided background on two year programs in Montana and then spoke regarding Gallatin College Programs in particular (see PowerPoint). The CollegeNow grant has been established to develop more two year options. Mr. Hietala spoke regarding the City Commission allocating 1 and ½ mills (122,000) in January, 2011 to Gallatin College to help fund program development for two years. That was a terrific amount of support and was a message to the State. Mr. Hietala spoke regarding the population within 50 miles of Bozeman and economic growth. Mr. Hietala spoke regarding Gallatin College Programs comprehensive two year education mission. And an initiative funded through the Lumina Now grant. These include education degrees, general education that can be transferred to a 4 year college, workforce development, basic education, lifelong learning and community development. Mr. Hietala said a lot of factors go into credit transfer, but generally the first 30 credits (1 year) transfer easily while the next 30 depend on what major the student is transferring into. Ryan Haskins explained the state has made a lot of improvements in the last few years with the common course numbering initiative, which helps transferability. That will work to help a student at Gallatin College if they do decide to go on to a four year program. Mr. Hietala explained the dual enrollment system across the state has agreed to charge ½ of the two year rate – 49.50 a credit, $150 for a three credit class, plus an application fee. This is not an AP course- these students are receiving a transcript from Gallatin College. This targets the students that are on the fence or heading into workforce and want to move on. Ryan Haskins explained Gallatin College Programs has been working hard with High School counselors in the area to make sure they are aware of these programs. Mr. Hietala explained many of their students are parents and the average student age is 28. The program is student centered, has smaller classes, is adult focused, offers many classes in the evenings, with flexibility in scheduling, and focuses on responsiveness of local needs. Cultivating partnerships is also important. They have nine faculty and 25 adjunct teachers. Mr. Hietala said the numbers listed on the enrollment slide have gone up across the state since the data was created last year. Mr. Hietala spoke to the differences between the funding models between the College of Technology and Flathead Community College and explained that Gallatin College Programs is a unique model. EDC members spoke regarding funding sources. Mr. Hietala said the County and other local municipalities are showing an interest and recognition about opportunities, but so far the funding support is not there. They are having ongoing Minutes of the Economic Development Council for February 2, 2012 4 of 8 conversations. There is also a potential legislative piece to this. There is no legislation that allows Gallatin College to run a mill. Mr. Hietala spoke regarding the challenge of the expense of program start up funding. Many involve a lot of equipment. Ex: dental hygienist. Other programs such as in the trades and medical require a large equipment investment. Another challenge is facility needs to support growth. The current lease with Bozeman High School ends in May 2016. The High School will need some of that space back. The state through the long range building process is not something you can count on. They need to come up with a creative solution for facility space. Another challenge is enabling legislation for a potential local mill levy. Mr. Hietala spoke of factors determining development of new programs that includes local job prospects, pay scales, what students are paying for education, long term employment prospects; start up costs, and space requirements. Mr. Hietala spoke regarding the workforce needs assessment explaining the first one was completed in 2006. Out of the ’06 report, we were in a different economy, there was a high level of business participation and they were saying they were hurting for skilled people. Business owners were optimistic about growth. A number of needs were identified. In the 2011 needs assessment they focused on six industries: health care, hospitality, technology, manufacturing and construction. Businesses were much less optimistic this time around and could not forecast future hiring needs. They did mention specialized programs and general work force preparation is needed. Health care and hospitality and culinary arts came to the forefront. Economic Development Council members provided their feedback. Ms. Ridgely said health care is not recession proof. Healthcare providers have seen a big decline in elective health care and people postponing care. There have been extreme increases in charity care. The healthcare industry is faced with Medicare needing tremendous revision. Ms. Ridgely does not think that will negatively impact what Gallatin College Programs is trying to do. They need workers producing at the top of their degree. The needs are clearly there for certified medical coders, etc. Ms. Ridgely explained health care employers are using LPN’s as medical assistants. If you are measuring job growth, they have added very few new positions over the last few years. There will be a transition of type of job within the health care industry. Mr. Hietala reported they have 18 students in the medical assistance program in the first round of the program. Cr. Mehl questioned how to break out a sector. Demographically boomers are retiring. How specific do you get? One area could grow while another does not. How general are the programs within the sector? Mr. Hietala said one of the challenges demographically is they tend to fall to the generalist side. At the same time there is a need of geriatrics and that raises the question, is there a specialization needed. Mr. Heitala said graduates are tracked to determine how they are employed after graduation. Minutes of the Economic Development Council for February 2, 2012 5 of 8 Ms. Ridgely said there are plenty of long term care beds in the community, but questioned at what level they are staffed. Assisted living is different. The community is very over bedded in that market, with more capacity than population. She also mentioned there are many other jobs in other fields that can be employed within the health care industry such as food service, information technology, etc. IT training could work across industries, and provide more options and growth opportunity. Mr. Lewendal asked about residential building and said that builders and workers are not prepared for the International conservation code. They don’t understand the basic terminology. If the industry is not ready for more efficient homes in HUD building they will have problems. Cheryl Ridgely suggested talking with Tracy Menuez at HRDC regarding weatherization going on, and opportunity grants. Mr. Schliem asked Mr. Hietala what he sees as the role of EDC members regarding Gallatin College programs. Mr. Hietala explained their biggest challenge is space. For example, a large number of jobs exist in culinary arts and food service. They need space they can build a culinary teaching lab for 18 students which is very expensive. They will need a creative solution to have a space we can invest in and have for a long time. Another example is CNC – Computer Numeric Controls for Manufacturing which takes space and machinery. Mr. Leidner spoke about speaking with people in the industry about issues around working towards certifications and the possibility for a self certification process. Mr. Hietala spoke about information technology as a high priority saying they should clearly target the generalist IT approach. Mr. Fontenot asked about opportunities and crossover for Gallatin College Programs to work with the Innovation campus. Mr. Hietala said they are looking into how to work together and are particularly interested in space. The Innovation Campus is in a part of campus that would work well for Gallatin Programs. They continue to have discussions. As some of the technology gets going they will also start looking at programs for fit. Cr. Mehl asked about the importance to be under one roof. Mr. Hietala said ideally they need the workforce programs under one roof, but they do not have to be if the right opportunity comes along. Developmental programs should ideally be on campus. Mr. Kukulski said he is concerned about strategies for the future for funding. He asked whether we are closer to the community college model or the technology model. We have to force this discussion to take place. This is a tremendous opportunity to help our community. Mr. Fontenot asked who the team will be to forward the legislative agenda regarding Gallatin College. Is that an Internal or community team? He spoke about the importance of strategizing on those points early on. Minutes of the Economic Development Council for February 2, 2012 6 of 8 Cr. Mehl asked about future plans for funding, what changes the Board of Regents and legislature can make and the role of local funding. Mr. Hietala said this is undefined. They need to put forward their solution on facility and funding issues and try to drive that. They cannot wait on the system. They need to have discussions with the County and push our new Commissioner of Higher Education to forward this conversation. Mr. Kukulski asked if there was debate on which model to follow. Mr. Kukulski said it will likely need to be heavily locally reliant. Mr. Hietala said the Community College legislation is set up so no one can do it. The Bitterroot went through that. That is not to say there is not another model to work towards. Mr. Schliem asked Mr. Hietala to keep working with us as to what that model would look like and how the Council can help. Mr. Schliem suggested that Mr. Hietala provide a presentation to the Tourism Business Improvement District to get feedback directly from hoteliers on the needs assessment. Members were asked to please email Bob Hietala with any comments, questions, suggestions, etc. Mr. Hietala confirmed it is okay to email the needs assessment out to people. He also expressed appreciation for support in getting this launched. Mr. Kukulski said Senator Baucus’ office is working directly with the city to setup a teleconference with Oracle, city staff and MSU President Cruzado about Oracle’s needs. They suspect there are real needs and opportunities. G. FYI/Discussion 1. Commissioners will be appointing liaisons soon. Cr. Mehl announced that the Commission will be appointing liaisons to the boards and councils on February 23rd so he may not be continuing as the EDC liaison. Note: Mr. Schliem and Mr. Leidner left the meeting. 2. NRMEDD update (Warren Vaughan, Gallatin County) Mr. Vaughan with Gallatin County provided an update regarding the Northern Rocky Mountain Economic Development District. They have officially formed and are working on restructuring and hiring an executive director and determining an economic strategy. They just sent out an advertisement for a part-time executive director position. The economic strategy will have to be done internally. Earl Mather is the main lead and Mr. Vaughan is doing a lot of the leg work. They do not have money for an outside consultant. A resource team from the Montana Economic Development Association is coming down for free to complete an assessment in Belgrade and Livingston. For the District process they need to have community events and are working with Mr. Fontenot with the economic development council to partner on an economic development summit on March 22nd Minutes of the Economic Development Council for February 2, 2012 7 of 8 from 10:30 to 1 p.m. They will do the same thing in West Yellowstone, Big Sky, and Three Forks. They will need an extension to push the deadline back to October. The next few months will consist of many community events and data gathering to put the report out. They have spoken about possibly following up the summits with focus groups and clusters identified by EDC. Mr. Fontenot said they are working with Dan Clark and Paul Lachapelle at the Local Government Center to help structure the content of the summit. The Bozeman effort is accomplishing multiple goals. 3. Site Selector Update (Fontenot) Mr. Fontenot announced the site selector has been put together. All the Memorandums Of Understanding, payments and partnerships are in place and they are training realtors how to use it now. The site selector will roll out to the public in the next few weeks. 4. Mr. Fontenot recently went to the Salt Lake City Outdoor Products Industry Show. Mr. Fontenot reported that he attended the show to try to generate interest in bringing an outdoor show here. 5. Mr. Fontenot met with the Chronicle editorial board recently about economic development. 6. Mr. Fontenot recently met with Jamie Wise, Senator Tester’s legislative director regarding the concept and understanding of broadband. 7. Mr. Fontenot meeting with Baucus’ chief of staff on Friday with a similar message. 8. Economic Outlook update released yesterday 9. Agenda for the March 1, 2012 EDC Meeting F. Adjournment Cheryl Ridgely adjourned the meeting at 11:53 a.m. * NOTE – Full audio of this EDC meeting is available at: http://weblink.bozeman.net/WebLink8/0/fol/46967/Row1.aspx Minutes of the Economic Development Council for February 2, 2012 8 of 8 ____________________________________ Daryl Schliem, Chair PREPARED BY: ____________________________________ Aimee Kissel, Deputy City Clerk Approved on: April 5, 2012 Economic Development Council meetings are open to all members of the public. If you have a disability that requires assistance, please contact our ADA Coordinator James Goehrung, at 582- 3232 (TDD 582-2301). Gallatin College Programs Your Regional Provider for Two-Year Education Bozeman/Gallatin County Economic Summit March 22, 2012 Workforce Development & Economic Development They are interrelated They are critical They separate thriving communities from dying communities What I Will Cover: 1.Montana’s Need to Expand Two-Year Education 2.Gallatin College Programs as your Local Two-Year College 3.Local Workforce Needs 4.Your Opinion Two-Year Education In Montana •An underdeveloped & underutilized system •Geographic and demographic challenges •Unique structure with two-year and four- year systems tied together MT Compared to US •27% of MT College Students are at Two -Year College, US 53% •Less than 2.5% of MT HS Students are engaged in Dual Enrollment Courses (other states close to 5%) •Enrollment of 25-49 Year Olds in 2-year Colleges, US 21 per 1,000 population, MT 9 per 1,000 Montana under-utilizes low cost 2-year education 53% 27% 0% 10% 20% 30% 40% 50% 60% 70% 80% CA IL WY AZ IA NM NV TX NC MS OR NJ HI VA SC MN MD MA AV G MI NE WA KS KY CT NY MO RI TN GA AR CO OH DE AL WI OK LA PA ME NH IN UT WV MT VT ID FL SD ND AK Percentage of Undergraduate Enrollment at 2 -year Colleges Public Institutions, Fall 2010 REACHING AN UNDERSERVED POPULATION 38.3 21.1 9.1 0.0 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 NM WY AZ WA OR NV Avg CO HI UT ND MT ID SD AK Enrollment of 25 to 49 Year Olds in 2-year Colleges per 1,000 25 to 49 Year Olds in the State, 2009 (includes Public Colleges only) source: IPEDS, US Census Population 65 and Older 9.7%8.5% 11.3% 13.4% 11.7%11.0%12.4% 16.5% 13.2% 18.3% 25.8%26.5% 18.6%19.7% 0% 5% 10% 15% 20% 25% 30% Colorado Utah Idaho Montana Wyoming Nevada U.S. Source: U.S. Census Bureau '00 '10 '30 MONTANA’S AGING POPULATION 28% 56%59%63% 0% 10% 20% 30% 40% 50% 60% 70% 1973 1992 2007 2018 Percentage of Jobs Requiring At Least “Some College” Demand for an educated workforce continues to grow Source: The Georgetown University Center on Education and the Workforce RISING DEMAND FOR AN EDUCATED WORKFORCE History of Two-Year Education in Gallatin County Started 11-years ago as MSU GF COT Extension May 2010, BOR approves MSU to provide two-year education July 2010, MSU-GF COT Extension transitioned to Gallatin College Programs at MSU January 2011, City Commission allocates 1.5 mills to GCP Comprehensive Two-Year Education Mission Key Purposes Adopted by BOR 5/2011 •Transfer Education through Associates Degree •Workforce Development, certificates and AAS •Developmental & Basic Education •Lifelong Learning •Community Development Part of the Montana’s Lumina Foundation College! Now Initiative Comprehensive Two-Year Education Mission Key Attributes •Open Access Admissions •Affordable •Student-Centered •Adult Focused & Accessible Learning •Responsiveness to Local Needs •Cultivation of Partnerships Profile of Our Students •Adults changing careers •Older •First time college students •Working full-time or part-time •Greater need for financial aid •Focused on Employment GCP Academic Programs 1.Workforce Programs (One and Two-Year Certificates and Degrees) 2.Developmental Education (Coursework in Math, English & College Studies) 3.Transfer Education (General Education Coursework for AA and AS) 4.Dual Enrollment GCP Enrollment - Fall Semester 2011 •Developmental coursework: 684 students •Workforce degree programs: 207 students •Total: 891 students (22% + over 2010) - 200 400 600 800 1,000 1,200 1,400 1,600 1,800 Miss. COT FVCC GF COT Hel. COT Bill. COT MCCC MT Tech COT DCC GCP Enrollment (Fall 2011 FTE) Workforce Programs Interior Design-AAS Design Drafting-AAS Workforce Programs Aviation-AAS Welding-CAS New Workforce Programs Fall 2011 Bookkeeping - CAS with 14 students Medical Assistant - CAS with 17 students Residential Building Performance Program One-Year Certificate Starting August 2012 Transfer Degrees Associate of Science, Associate of Arts and Certificate of General Studies starting August 2012 Gallatin College Challenges 1.Sources of Program Start-up Funding 2.Facility Needs to Support Growth (BHS lease up May 2016) 3.Long Term Funding Support from Community 2011 Workforce Needs Assessment •Focused on: healthcare, hospitality, business, technology, manufacturing and construction •Few business owners optimistic about growth or hiring •Specialized programs are needed •Teaching workforce preparation is needed 2011 Assessment Sectors with High Need for 1-year or 2-year Programs: 1.Healthcare 2.Hospitality 26 specific degree/ certificate programs indentified, including: Culinary Arts, CNC, IT Support, Medical Records… Factors Determining Our Development of New Programs 1.Local job prospects, employment and pay scales 2.Student Interest 3.Start-up costs 4.Space requirements MUS Graduates Entering Workforce •Certificate 77% •Associate’s 81% •Bachelor’s 72% •Master’s 76% •Professional 64% •Doctoral 58% Within 1-year of graduation MUS Degree & Average Salary •Certificate $ 24,138 •Associate’s $ 28,303 •Bachelor’s $ 26,281 •Master’s $ 40,427 •Professional $ 57,981 •Doctoral $ 55,502 Your Opinion on our name! 1.MSU Gallatin College 2.Gallatin College-MSU 3.Gallatin College of MSU Your Opinion on a Tagline! 1.Your Regional Two-Year Education Provider 2.A Comprehensive Two-Year College 3.One and Two-Year Degrees Questions Robert.hietala@montana.edu