Consideration of Approval: City of Flagstaff Workforce Analysis and Strategic Plan
 

City Council requested an analysis of the community workforce and the Workforce Development systems in the area. Staff procured Keen Independent Research, LLC through a Request for Statement of Qualifications procurement process. Keen performed its analysis and has provided recommendations in their Workforce Analysis and Strategic Plan. After a discussion with Council in the work session meeting of May 28th, the document was provided to interested parties and the general public. It now returns to City Council for consideration of approval with feedback incorporated. 

The strategies in the plan may have an impact on expenditures of local transaction privilege tax revenues from the hotel and restaurant industries (BBB tax) - Economic Development funding. Many of the strategies and recommendations are focused on staff time and not formal resource expenditures. There are strategies, such as potentially supporting new partner training programs, that would use City BBB resources to support the identified programs. These expenditures would be budgeted and brought to Council as part of implementation of the plan if appropriate. There would likely be no impact on the General Fund.

The City has generally been a support for our partners' workforce development activities. Keen's recommendation is that we generally remain as a support, but take some leadership in formalizing relationships, convening partners, encouraging and soliciting business feedback, and other areas. This is not a significant policy shift, but may guide staff to be more proactive in specific areas. Additionally, the use of BBB funds to support otherwise ineligible internship programs would be consistent with City use of ARPA Workforce Development Funding, but an increase in scope of use of BBB - Economic Develpoment funds. 

The document does not focus on housing or childcare, but it recognizes affordable housing and childcare as pressing issues. The City's Housing Section is responsible for affordable housing at the staff level. Economic Development Staff will look into whether childcare is an area for further policy development or participation. 

Council requested this analysis in a previous budget year and approved the contract in Fall of 2023.

Council heard a presentation on the findings and recommendations of the plan on May 28, 2024.

Approve the plan as presented and provide feedback on implementation as desired. 

Request amendments to the plan and approve it after those are incorporated (likely after Council break).

Do not approve the plan and provide guidance on desired alternatives.

Workforce Development is a critical concern in any community's economic development, and that is true for Flagstaff as well. The need to support people in growing their skills benefits both the people who find better jobs and the employers who need skilled labor. Helping ensure the appropriate training for the workforce is available and ties to the needs of employers in the area is an ever-shifting process. Flagstaff faces numerous challenges in this area and Council requested an analysis of the workforce development needs and potential strategies for the City to consider. After a procurement process, staff began working with Keen Independent Research.

Keen did community outreach and interviewed many business and economic leaders in the community. They also worked with Stiletto to ensure the Economic Devlopment Strategic Plan and the strategies in the Workforce Development plan were generally aligned.

Addresses the PBB priority: Robust and Resilient Economy

Not applicable

This will create a division specific plan.