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Annual Report — New Economy Workforce Credential Grant, FY 2020 (June 2021)

Summary

This June 2021 annual report from the State Council of Higher Education for Virginia reviews FY 2020 activities of the New Economy Workforce Credential Grant, a pay-for-performance model for funding noncredit workforce training that leads to a credential in a high-demand field. It reports 7,484 enrollments, of which 6,879 (92%) completed training and 4,906 (71%) went on to earn the credential. The average student cost of the program was $677, and the average state cost per credential attained was $1,627. It also says median annual wages increased approximately $7,000 or 31% for most students who earned their credential.

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“Annual Report — New Economy Workforce Credential Grant, FY 2020 (June 2021).” Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2021-rd234-eb7cc59cdf/, SHA-256 092e64b1080f4a5e8d135e91defb2b893db7846e00005fa0cb1937db43f2ff89.

Full text

State Council of Higher Education for Virginia




New Economy Workforce
   Credential Grant
  Annual Report 2020

            June 2021
                          New Economy Workforce Credential Grant Annual Report FY 2020


                                                     Table of Contents
Purpose of This Report ................................................................................................................. 1
  Summary of Findings for FY 2020 ......................................................................................... 1
   Program Purpose ...................................................................................................................... 2
   Program Requirements and Pay-for-Performance Model ................................................. 2
High-demand Field and Training Alignment Process ............................................................... 5
  Identification of High-Demand Fields .................................................................................. 5
   Training Programs Offered by Eligible Institutions ............................................................ 5
Enrollment, Training and Credential Completions and Costs ................................................. 7
  Training Offered in Nine High-Demand Occupational Fields .......................................... 7
   The Average Student Cost of the Program was $677. The Average State Cost per
   Credential Attained was $1,627.............................................................................................. 8
   Top Training Programs and Alignment to Annual Job Openings .................................... 8
   Training Completion Rates Averaged 92% and Credential Completion Rates
   Averaged 71% ........................................................................................................................... 9
   Participation and Completion Rates by Institution ........................................................... 10
Student Demographics .............................................................................................................. 12
  Enrollment ............................................................................................................................... 12
   Success ..................................................................................................................................... 12
Earnings Outcomes .................................................................................................................... 14
  Methodology ........................................................................................................................... 14
   Earnings Analysis ................................................................................................................... 14
   Median Wages Increased in all Occupational Fields ........................................................ 15
   Wages by Race & Ethnicity ................................................................................................... 17
   Wage Increase by Income Range.......................................................................................... 17
Additional Observations and Next Steps ................................................................................. 19
Appendix: FY 2020 Training Credential Enrollment, Completions and Costs..................... 20
                  New Economy Workforce Credential Grant Annual Report FY 2020

PURPOSE OF THIS REPORT
During the 2016 session, the General Assembly passed HB 66 and SB 576, which established
the New Economy Workforce Grant Program. This grant program, the first of its kind in the
nation, provides a pay-for-performance model for funding noncredit workforce training that
leads to a credential in a high-demand field. The program also includes requirements for
students to complete the program in order to avoid paying additional costs. A summary of
the major components of the program is included below. Additional information is available
through the Code of Virginia.

The purpose of this report is to provide an annual review of FY 2020 activities of the New
Economy Workforce Credential Grant to the General Assembly and the Virginia Board for
Workforce Development as outlined in § 23.1-627.7 of the Code of Virginia. This year’s report
was delayed due to data reporting issues related to the COVID-19 pandemic.

Summary of Findings for FY 2020
In FY 2020, the Virginia Community College System and the Southern Virginia Higher
Education Center offered training aligned to high-demand occupations and fields as
identified by the Virginia Board for Workforce Development. Observations from FY 2020
show that:

   Institutions offered training in nine high-demand occupational fields.

   Collectively, these institutions reported 7,484 enrollments, the most since the inception of
    the program and an 8% increase from 2019. Some students enrolled in multiple
    programs.

          o An additional 1,903 students started their program but were unable to complete
            their training or credential due to the COVID-19 pandemic. These students
            were removed from the analysis.

   Of the 7,484 enrollments included in this report, 6,879 (92%) completed training. Among
    program completers, 4,906 (71%) went on to earn the credential. Some students will go
    on to earn a credential beyond the FY 2020 period and thus result in a higher credential
    rate.

          o Black or African American students are eight points less likely to earn their
            program’s credential compared to white students. Hispanic students are seven
            points less likely.

   The average student cost of the program was $677. The average state cost per credential
    attained was $1,627.


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                    New Economy Workforce Credential Grant Annual Report FY 2020

   More than one-in-five enrollments were in Highway Construction Programs.
    Commercial Drivers’ license had the second highest enrollments accounting for nearly
    16% of the program.

   Most students who earned their credential saw an increase in earnings. Median annual
    wages increased approximately $7,000 or 31%.

          o Students in the bottom quartile (with wages less than $8,200 before completing
            their credential) saw the highest median wage increase.

Program Purpose
The Governor and the General Assembly outlined three primary purposes of the program
based on the requirements outlined in § 23.1-627.2. of the Code of Virginia:

       The New Economy Workforce Credential Grant is established for the purpose of (i) creating
       and sustaining a demand-driven supply of credentialed workers for high-demand occupations
       in the Commonwealth by addressing and closing the gap between the skills needed by workers
       in the Commonwealth and the skills of the available workforce in the Commonwealth; (ii)
       expanding the affordability of workforce training and credentialing; and (iii) increasing the
       interest of current and future Virginia workers in technician, technologist, and trade-level
       positions to fill the available and emerging jobs in the Commonwealth that require less than a
       bachelor's degree but more than a high school diploma.

The program also defines two key elements:

   High-demand field: a “discipline or field in which there is a shortage of skilled workers
    to fill current job vacancies or anticipated additional job openings.”

   Noncredit workforce credential: a “competency-based, industry-recognized,
    portable, and third-party-validated certification or occupational license in a
    high-demand field.”

Program Requirements and Pay-for-Performance Model
The program focuses on a pay-for-performance model that provides payments for costs to
institutions only when an individual completes training and when an individual attains
a credential.

The following is a brief overview of the program requirements.

   Eligible institutions and type of training: Eligible institutions are community colleges,
    higher education centers and Richard Bland College. The type of training these
    institutions are required to offer is noncredit training.



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                  New Economy Workforce Credential Grant Annual Report FY 2020

   State Funding:

            Fiscal Year            Amount
            2017                $5 million
            2018               $7.5 million
            2019               $9.5 million
            2020              $13.5 million
            2021              $13.5 million

   Alignment to high-demand fields: Training programs should align with the high-
    demand fields set by the Virginia Board for Workforce Development. Boards of eligible
    institutions are required to approve the aligned training programs.

   Payments and cost of the program: The student, the institution and the state, as described
    below, share the program’s cost. In addition, the table below illustrates the pay-for-
    performance model.

          o Student responsibility: Students are required to pay one-third of the total cost
            of the program upon enrollment. Students may use third-party funds, such as
            noncredit financial aid, training vouchers or employer payment to cover this
            cost. If the student does not complete the program, then the student is required
            to pay an additional one-third of the cost of the program.

          o State: If the student completes the training, then the state provides one-third of
            the cost of the program, up to $1,500, to the institution. If the student earns and
            reports a credential, then the state pays an additional one-third of the cost of
            the program, up to an additional $1,500.

          o Institution: If a student does not report a credential earned, then the institution
            does not receive state funding for one-third of the cost of the program.

   Reporting and payments: Eligible institutions must provide student-level data to SCHEV
    to receive funding.

   Administration: SCHEV is responsible for administering the program, conducting
    periodic assessments of the program, collecting student data and making final decisions
    on disputes between eligible institutions and grant recipients.




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                  New Economy Workforce Credential Grant Annual Report FY 2020

Figure 1: Program Pay-for-Performance Model




   *Maximum contribution is $3,000 from the state.




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                   New Economy Workforce Credential Grant Annual Report FY 2020

HIGH-DEMAND FIELD AND TRAINING ALIGNMENT PROCESS
Identification of High-Demand Fields
The Code requires that the Virginia Board for Workforce Development identify high-demand
occupational fields. In 2017, the Virginia Board for Workforce Development developed a
methodology to identify high-demand programs, using the following criteria:

   The relevance of the occupational group to the state’s economic development strategy as
    outlined in Governor McAuliffe’s New Virginia Economy strategy document.

   Annual statewide job openings based on Virginia Employment Commission/Bureau of
    Labor Statistics’ 10-year employment projections. Jobs were considered if they had more
    than 50 annual openings.

   The degree to which the occupations require advanced skills as measured by entry-level
    education.

The board also allows a petition process for regions to request adding an occupational field to
the list if the region can demonstrate sufficient demand. A complete list of training programs
offered is available on the Virginia Career Works website.

Based on a review of the occupations meeting the criteria above, the Virginia Board for
Workforce Development identified high-demand occupations in 11 fields.

Training Programs Offered by Eligible Institutions
Once the Virginia Board for Workforce Development identifies the high-demand fields, the
eligible institutions develop or align existing noncredit training programs to meet the new
credential criteria, and their boards approve the programs. To date, the Virginia Community
College System and the Southern Virginia Higher Education Center are the only eligible
training institutions offering programs in the high-demand fields.

The boards of the institutions submit their approved lists to the Virginia Board for Workforce
Development. A full list of high-demand occupations and aligned training programs offered
by eligible training institutions is maintained and updated on the Career Works website.

The following table is a sample list by occupational field of the types of training and
credentials students could attain upon completion. A full list of credentials by type is in the
Appendix.




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                   New Economy Workforce Credential Grant Annual Report FY 2020

Table 1: Sample Workforce Training and Certifications Offered by Occupational Field




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                              New Economy Workforce Credential Grant Annual Report FY 2020

ENROLLMENT, TRAINING AND CREDENTIAL COMPLETIONS AND COSTS
The following section provides data for FY 2020 by occupational field, credential type and
institution. FY 2020 data are based on all students completing a training course between July
1, 2019, and June 30, 2020. Eligible institutions are allowed up to 180 days after the
completion of training to obtain verification that a student earned a credential. Training
institutions may verify this information either through receiving information from a student
or through a record match with the entity issuing the credential.

Training Offered in Nine High-Demand Occupational Fields
Construction, production, healthcare support and transportation had the highest number of
enrollments, accounting for three-quarters of the program enrollments. In FY 2020, 7,484
individuals were enrolled in training and 4,906 attained a credential. The following table
summarizes enrollments, completions, reported credentials, average costs to students, total
payments by the state and average costs to the state per credential attained, by occupational
field.
Table 2: FY 2020 Data on Enrollment, Training Completion and Reported Credentials by Occupational
Field

                                                                  Reported a                    Total State Payments for     Average State
                                                  Completed                  Average Cost to
   Occupational Field                 Enrolled                    Credential                     Training and Credential     Payments per
                                                    Training                       Student*
                                                                    Attained                                Completion* Credential Attained

    Computer and                         542            498             243            $723                  $564,940              $2,325
    Mathematical

    Construction and Extraction        2,206          2,101           1,582            $211                  $813,851                  $514

    Education, Training and                30             21             23          $1,330                   $58,520              $2,544
    Library

    Healthcare Practitioners             256            216              85            $467                  $132,416              $1,558
    and Technical

    Healthcare Support                 1,061            947             701            $830                $1,403,863              $2,003
    Installation, Maintenance and        714            666             556            $825                $1,037,644              $1,866
    Repair
    Office and Administrative            261            217             102            $784                  $256,986              $2,519
    Support
    Production                           973            913             656            $583                  $907,078              $1,383
    Transportation and Material        1,441          1,300             958          $1,256                $2,804,980              $2,928
    Moving
    All                                 7,484          6,879          4,906             $677                $7,980,278                 $1,627


*Average costs per student are based on the charges of 1/3 of the cost of the program if the student completes training.
Total state payments do not equal the allocation for FY 2020 of $13.5 million due to how funds are obligated when a student enrolls.
Payments are made at the time the training or credential completion and submitted to SCHEV.




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                   New Economy Workforce Credential Grant Annual Report FY 2020

The Average Student Cost of the Program was $677. The Average State Cost
per Credential Attained was $1,627.
As shown in the table above, the average cost of the program to a student (reflecting 1/3 of
the cost) was $677. SCHEV provided reimbursements to institutions through state general
fund in the amount of $7.98 million for training completions and credentials. This figure is
lower than the general fund appropriation for FY 2020 due to the pay-for-performance model
where funds are obligated when a student enrolls, but are paid when an institution submits
reimbursement upon completion of training and earning of a credential.

Based on the attainment data and the total payments through state general fund, the average
state payment per credential attained in FY 2020 was $1,627 (total payments/credentials
attained).

Top Training Programs and Alignment to Annual Job Openings
While many certifications are offered, nearly three-quarters of students enrolled in the top 10
programs. Of the more than 50 programs offered, four programs accounted for nearly half of
enrollments: Highway Construction, Commercial Drivers’ License, Medical Assistant and
Certified Nurse Aid.

In comparing enrollments in these programs to the annual job openings provided by the
Virginia Employment Commission (VEC), the certifications appear to address but not exceed
an annual need. For example, VEC projects annual openings for truck drivers to be about
5,819. In FY 2020, about 1,051 individuals enrolled in the credential program to attain a
commercial driver’s license. The difference between the annual openings and enrollments
does not necessarily indicate a shortage, as training programs offered by private providers
are not included in this analysis. At the same time, not all students go on to earn their
credential and may not pursue the exact occupation aligned with their program.

This analysis also de-duplicates individual records, so that one student pursuing multiple
road construction certifications, for example, is not counted twice, as that individual would
theoretically take up a single job opening.




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                            New Economy Workforce Credential Grant Annual Report FY 2020

 Table 3: Top 10 Credentials and Annual Openings by Related Occupational Field FY 2020

                                                                                                        Individuals**
                                                      Annual Job                                              Enrolled
    Occupation                                 Openings by Field*                          Program            FY 2020
    Heavy and Tractor-Trailer Truck Drivers                5,819    Commercial Driver's License A              1,051

    Highway Maintenance Workers + Paving,
    Surfacing, and Tamping Equipment                         751             Highway Construction                621
    Operators

    Medical Assistants                                     2,122                  Medical Assistant              431

    Nursing Assistants                                     5,484        Certified Nurse Aide (CNA)               307

    Welders, Cutters, Solderers, and Brazers               1,080                            Welding              306

    Carpenters                                             2,941     Core - Introductory Craft Skills            250

    Phlebotomists                                            566            Phlebotomy Technician                193

    Pharmacy Technicians                                     907              Pharmacy Technician                159

    Information Security Analysts                          1,931                        CompTIA A+               141

    Logisticians                                             871                Logistics Associate              113


*Review based on Virginia Employment Commission’s long-term 2018-2028 projections.
https://virginiaworks.com/occupational-projections?page80257=1&size80257=12&page79862=1&size79862=
12&page81630=1&size81630=12
Differences may not represent a shortage as other individuals may complete certification through non-WCG programs.




Training Completion Rates Averaged 92% and Credential Completion Rates
Averaged 71%
While completion rates for training vary by field and credential type, the average completion
rate for the last four years remains relatively stable. About 92% of enrolled individuals complete
their training. Of those who complete their training, about 71% earn a credential. Some credential
rates, such as IT certification, are much lower. A full list of completion rates by credential type is
in the Appendix.




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                           New Economy Workforce Credential Grant Annual Report FY 2020
Figure 2




*30 students have enrolled in the teaching license programs. 21 completed the coursework, but 23 successfully earned a teaching license,
thus producing a credential completion rate over 100%.




Participation and Completion Rates by Institution
The number of students enrolling across training institutions varies. The table below
provides enrollments and completions by institution. More than half (53%) of enrollments in
FY 2020 were at institutions in rural areas of the state. The remaining enrollments occurred at
urban institutions, including Germanna, Northern Virginia, Tidewater and Reynolds/Tyler
community colleges.


Table 4: FY 2020 Enrollment, Training Completion and Reported Credentials by Eligible Training
Institution
                                                                                                          Reported a
   Training Institution                              Enrolled         Completed Training          Credential Attained

    Blue Ridge                                            339                           310                          236

    Central Virginia CC                                   156                           131                           90

    Dabney Lancaster CC                                   113                            91                           72

    Danville CC                                            49                            46                           30




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                        New Economy Workforce Credential Grant Annual Report FY 2020

 Eastern Shore CC                              71                    60                  26

 Germanna CC                                1,739                 1,641                1,133

 John Tyler/Reynolds CC (CCWA)                987                  888                  602

 Lord Fairfax CC                              599                  546                  474

 Mountain Empire CC                           121                  111                   98

 New River CC                                  91                    87                  68

 Northern Virginia CC                         461                  442                  329

 Patrick Henry CC                              79                    71                  56

 Paul D. Camp CC                              206                  174                  132

 Piedmont CC                                  339                  308                  174

 Rappahannock CC                              203                  198                  102

 Southern Virginia Higher Ed Center            92                    75                  54

 Southside Virginia CC                        336                  321                  236

 Southwest Virginia CC                        133                  125                   96

 Thomas Nelson CC                             450                  411                  229

 Tidewater CC                                 326                  304                  262

 Virginia Highlands CC                        151                  123                   80

 Virginia Western CC                          221                  200                  166

 Wytheville CC                                222                  216                  161

Total                                       7,484                6,879                 4,906




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                   New Economy Workforce Credential Grant Annual Report FY 2020

STUDENT DEMOGRAPHICS
Enrollment
The Workforce Credential Grant program tends to serve a nontraditional, older adult student
whose average age is 35. Only 25% of students are 24 years old or younger. Roughly two-
thirds of students are male, most likely because some of the largest enrollments occur in
fields that are frequently majority male. For example, some of the largest enrollments are in
commercial truck driving, welding, highway construction and machining.


Figure 3: Student Demographics by Sex and Race/Ethnicity, FY 2020




Success
More than 1,000 enrollments, or 15% of enrollments overall, were designated as either race
unknown or unreported. Other groups, such as American Indian or Alaska Native and
Native Hawaiian or Other Pacific Islander have relatively small cell sizes. This complicates
efforts to effectively compare success rates by race and ethnicity. But using the data as
reported, credential completion varies by race and ethnicity. (Training completion rates do
not vary significantly.) Black or African American students are eight points less likely to earn
their program’s credential compared to white students. Hispanic students are seven points
less likely.




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           New Economy Workforce Credential Grant Annual Report FY 2020
Figure 4




                                     13
                   New Economy Workforce Credential Grant Annual Report FY 2020

EARNINGS OUTCOMES
Methodology
When the General Assembly established the program in 2016, an important component was
to align training to high-demand fields where there was an unmet need for workers. Code
also requires SCHEV to report “information on the wages, including average wage and other
relevant information, of students who have completed noncredit workforce training
programs by credential name and relevant industry sectors.” To better evaluate the impact of
the program on an individual’s job prospects, it is also important to measure wages before
completing the program, as well as after.

Wages were matched through the Virginia Longitudinal Data System with Virginia
Employment Commission (VEC) wage records. While a valuable and unique source of post-
program wages, these records still suffer from a few flaws. Some people are exempt from
reporting, such as individuals who are self-employed, work for the federal government or
those who meet other exemption qualifications. Wages also are collected at a quarterly basis,
without any indication of the hours worked. This makes it difficult to know whether an
individuals’ quarterly wage was based on full-time or part-time work. VEC data also does
not collect information on a worker’s specific occupation, so we do not know if these
individuals are working in the jobs for which they are trained. Matching individual records
from their training to their incomes also takes time, resulting in wage outcomes that are not
as up to date as information about the program itself.

To accurately assess programs’ impact on wages, SCHEV staff only compared students who
had at least four quarters of wages before and four quarters of wage records after completing
the program. SCHEV staff summed those four quarters to serve as a proxy for annual
income, despite the fact that those individuals might be earning additional income not
counted in that quarterly wage, or that they could be choosing to work part-time.

To expand the number of students in the analysis, SCHEV staff included students who
completed their programs in 2017 and 2018. The most recent wage data currently available is
FY 2019. SCHEV staff then analyzed earnings of the remaining 7,273 students with wage
records before and after enrolling in the program.

Earnings Analysis
Students who completed a WCG program experienced a median wage increase of $6,000.
This represents a 31% increase compared to the median pre-wage. However, just over half of
these students, 55% had their individual wages increase. Of the 7,273 students successfully



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                        New Economy Workforce Credential Grant Annual Report FY 2020

matched to a year of pre- and post-program wages, 4,981 earned a credential. These students
saw a greater increase to their wages, over $7,000, with 57% earning higher wages after
earning their credential. Notably, students who would go on to earn their credential started
at similar starting wages as students who did not go on to earn a credential, suggesting that
post-wages have more to do with credential attainment than the students’ socio-economic
background.

Credential earners earned a median wage of $31,607. Using the federal poverty level for a
household of one, that wage represents just slightly above the 250% of the poverty line, but
barely over 100% for a family of four. Wage data does not measure the size of a household.
For reporting purposes, SCHEV designates families falling between 0% and 200% of the
federal poverty level as low-income and 200% and 400% as middle-income. Therefore, on the
median, single-household Virginians with a credential earn middle-income wages.
Furthermore, the median wage of Virginians who earned a for-credit certificate of less than
one year in 2017 earned $27,190, suggesting a slight edge in the immediate value of WCG
programs over for-credit certificates.1


Table 5: Wages Pre- and Post-Program by Credential Status FY 2017-18

                     # of Students w/
                                                                                         Students receiving
                        pre- and post-   Median Pre-        Median Post-   Median Wage
                                                                                             positive wage
                   wages successfully          wage                wage         Change
                                                                                                  premium
                             matched
    Did Not Earn
                               2,292       $19,767             $24,183         $3,870                 52%
    Credential
    Earned
                               4,981       $22,895             $31,607         $7,050                 57%
    Credential
    Total                      7,273       $21,832             $29,341         $6,001                 55%




Median Wages Increased in all Occupational Fields
To more effectively measure specific credentials’ impact on wages, the chart below only
examines the 4,981 students who earned their credential and successfully had their pre- and
post-program wages matched. In all occupational fields, median wages increased after
attaining the credential. However, despite earning the highest post-median wages of any


1SCHEV Research EOM18: Exploration of Wages over time by Degree.
https://research.schev.edu//EOM/EOM18_Report.asp


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                           New Economy Workforce Credential Grant Annual Report FY 2020

other industry, a minority of Computer & Mathematical students, 45%, earned a higher wage
then before entering the program.


Chart 1




Measures wages for credential earners who completed their programs in FY 2017-18.

Construction and Extraction programs produced the most credentialed individuals that saw
a wage increase (70%). Students who earned credentials in Installation, Maintenance saw the
highest dollar increase in median wages ($11,601). Students with Healthcare Practitioner and
technical credentials saw the highest percentage increase in wages (57%). Notably these
students started with the lowest median wage of just over $14,000.


Table 6: Wages Pre- and Post-Program for Credentialed Students by Industry FY 2017-18
                                      # of Students w/
                                                                                                             Students
                                         pre- and post-   Median Pre-   Median Post-   Median Wage
                                                                                                     receiving positive
                                    wages successfully          wage           wage         Change
                                                                                                        wage premium
                                              matched
 Computer and Mathematical (15)                   185       $46,564       $51,201          $7,313                45%
 Construction and Extraction (47)                 475       $33,261       $43,725          $9,101                70%
 Education, Training, and Library
                                                  156       $25,306       $42,124          $8,692                52%
 (25)
 Healthcare Practitioners and
                                                  103       $14,294       $22,627          $8,148                61%
 Technical (29)
 Healthcare Support (31)                          850       $14,136       $20,824          $4,664                57%
 Installation, Maintenance, and
                                                  187       $22,737       $33,372        $11,601                 61%
 Repair (49)




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                            New Economy Workforce Credential Grant Annual Report FY 2020

 Office and Administrative Support
                                                   282         $25,205        $26,886           $3,508               54%
 (43)
 Production (51)                                   776         $25,066        $37,411           $9,362               61%
 Transportation and Material
                                                  1,967        $24,841        $34,928           $7,190               53%
 Moving (53)
 Grand Total                                      4,981         $22,895        $31,607          $7,050               57%




Wages by Race & Ethnicity
All credentialed racial and ethnic groups saw increases in their median wages. The wage
analysis by race and ethnicity is complicated by the high numbers of unknown and
unreported and with some groups having relatively small cell sizes. (See the enrollments and
success rates by race and ethnicity above.) A higher percentage of Black and African
American students saw wage gains compared to white students and compared to the
average. However, Hispanic students saw below average median wage gains, and only 48%
of credential earners actually earned more after the program than before.


Table 7: Wages Pre- and Post-Program for Credentialed Students by Race & Ethnicity FY 2017-18

                              # of Students w/
                                                                                                            Students receiving
                                 pre- and post-
                                                  Median Pre-wage   Median Post-wage   Median Wage Change       positive wage
                            wages successfully
                                                                                                                     premium
                                      matched

 American Indian or
                                           15             $19,972          $30,560                $8,754                 47%
 Alaska Native
 Asian                                     96             $25,649          $28,630                $7,533                 45%
 Black or African
                                        1,232             $20,331          $27,944                $6,760                 59%
 American
 Hispanic                                 212             $20,175          $27,113                $4,358                 48%
 Multi-Race                                85             $17,965          $26,583                $6,668                 61%
 Native Hawaiian or
                                           10             $18,872          $38,451              $23,254                  60%
 Other Pacific Islander
 Unknown                                  361             $24,876          $39,784                $8,382                 52%
 Unreported                               480             $29,896          $36,909                $5,998                 50%
 White                                  2,490             $23,449          $32,974                $7,372                 58%
 Grand Total                            4,981             $22,895           $31,607               $7,050                 57%




Wage Increase by Income Range
To better understand WCG’s impact on social mobility, the table below measures students’
wages by pre-wage quartile. Usually in this type of analysis an equal number of records exist
in each group. However, students still needed to have their post-program wages matched, so
the number of students in each quartile varies.


                                                               17
                       New Economy Workforce Credential Grant Annual Report FY 2020

All income groups’ median wages increased after completing their credential. Students in the
bottom quartile (with wages less than $8,200 before completing their credential) saw the
highest median wage increase. These lowest income students saw median wage increases of
over $15,000, or over 400%. As a group however, only 39% actually saw an increase in their
wages.

Students in the 2nd quartile (with wages between $8,200 and $21,000) were most likely to see
an increase in wages (70%). Their change in median wage was roughly $9,200.


Table 8: Wages Pre- and Post-Program for Credentialed Students by Income Quartile FY 2017-18

                           # of Students
                             w/ pre- and                                                      Students receiving
                                                                                Median Wage
 Pre-Wage Quartile          post- wages    Median Pre-wage   Median Post-wage                     positive wage
                                                                                     Change
                            successfully                                                               premium
                                matched
 1st
                                  1,550            $3,765            $20,025        $15,157                 39%
 ($0 - $8,216)
 2nd
                                  1,202           $15,003            $24,464         $9,231                 70%
 ($8,217 - $21,490)
 3rd
                                  1,220           $29,154            $35,460         $5,363                 65%
 ($21,481 - $37,891)
 4th
                                  1,009           $51,975            $55,815         $2,960                 57%
 ($37,892 and Up)
 Total                            4,981           $22,895            $31,607         $7,050                57%




                                                    18
                   New Economy Workforce Credential Grant Annual Report FY 2020

ADDITIONAL OBSERVATIONS AND NEXT STEPS
Since the inception of the Workforce Credential Grant in 2016, the program has continued to
grow based on student demand. The largest areas of enrollment occur in occupational fields
with annual job openings that exceed training completions. In addition, students’ median
earnings consistently increase post-training completion and even more so if the student earns
the credential.

As noted in the summary, this report does not include the enrollment or success of 1,903
students who enrolled in a WCG program but were unable to complete their training or
credential due to the COVID-19 pandemic. In alignment with Governor Northam’s Executive
Order Number 51, Secretary of Education Atif Qarni and SCHEV Director Peter Blake issued
guidance to WCG institutions in April 2020. The guidance laid out three scenarios for how to
adjust the pay-for-performance model, including when to refund student charges and to
request pro-rated performance payments based on the training and credential completion
rates of the specific workforce program for the prior year.

The Virginia Board for Workforce Development is expected to update the list of high-
demand occupations this year. The Virginia Community College System and other WCG
providers will then match program offerings to this updated list of high-demand
occupations. SCHEV staff are participating in a data-focused workgroup to assist the Board
in those efforts. SCHEV is also working toward incorporating WCG’s data into the data
collection and publication system that SCHEV operates for students pursuing for-credit
programs. This should add transparency and accountability for the program.




                                             19
                                                     New Economy Workforce Credential Grant Annual Report FY 2019

APPENDIX: FY 2020 TRAINING CREDENTIAL ENROLLMENT, COMPLETIONS AND COSTS
                                                                                                                                                    Avg Reimbursed
                                                                    Training     Credential   % Complete    % Complete    Average    Sum of total
                                                   Enrollments                                                                                        Per Credential
                                                                 Completions   Completions       Training    Credential    Tuition    reimbursed
                                                                                                                                                             Earned
Computer and Mathematical (15)                            542           498            243           92%           49%       $723       $564,940             $2,325
AWS Certified Cloud Practitioner                           22            22             16          100%           73%       $322        $12,236               $765
AWS Certified Solutions Architect                          34            34             29          100%           85%       $943        $59,461             $2,050
CompTIA A+                                                175           155             51           89%           33%       $816       $175,620             $3,444
CompTIA Linux+ Certification                               45            44             43           98%           98%     $1,158       $100,740             $2,343
CompTIA Network+                                           95            87             35           92%           40%       $643        $88,770             $2,536
CompTIA Server+                                            22            17              7           77%           41%       $233         $5,600               $800
Computer Entry Level (CISCO Networking
Technician and Associate, CompTIA IT                       68            65             30           96%           46%       $350        $32,535             $1,085
Fundamentals)
Information Systems Security (CompTIA Security,
                                                           77            70             31           91%           44%       $841        $85,977             $2,773
Certified professional and ethical hacker)
Project Management Professional (PMP)                       4             4              1          100%           25%       $800         $4,000             $4,000
Construction and Extraction (47)                         2,206         2,101          1,582          95%           75%       $211       $813,851               $514
Construction (Project Management, Carpentry,
                                                           18            12               -          67%            0%       $134           $960                N/A
Contractor's License)
Core - Introductory Craft Skills                          286           266            217           93%           82%       $300       $144,961               $668
Heavy Equipment Operations                                 73            71             65           97%           92%       $883       $119,586             $1,840
Highway Construction                                     1,563         1,490          1,068          95%           72%       $127       $330,448               $309
HVAC (includes license renewal)                            18            18             17          100%           94%       $425        $14,875               $875
Marine Trade Training                                     114           112            106           98%           95%       $524       $115,400             $1,089
Plumbing &Electrical (including license renewal)          134           132            109           99%           83%       $366        $87,621               $804
Education, Training, and Library (25)                      30            21             23           70%          110%     $1,330        $58,520             $2,544
Teaching License                                           30            21             23           70%          110%     $1,330        $58,520             $2,544
Healthcare Practitioners and Technical (29)               256           216             85           84%           39%       $467       $132,416             $1,558
Advanced Cardiovascular Life Support                       12            12             12          100%          100%        $50         $1,200               $100
EKG Technician                                             15            12              9           80%           75%       $509        $10,586             $1,176
Emergency Medical Technician                               54            42             18           78%           43%       $396        $23,625             $1,313
Pharmacy Technician                                       175           150             46           86%           31%       $513        $97,005             $2,109
                                              New Economy Workforce Credential Grant Annual Report FY 2019

Healthcare Support (31)                          1,061           947          701         89%          74%    $830    $1,403,863   $2,003
Certified Nurse Aide (CNA)                        321            272          146         85%          54%    $651     $267,581    $1,833
Medical Assistant                                 466            424          388         91%          92%   $1,063    $863,331    $2,225
Medication Aide                                    45             41           14         91%          34%    $325      $18,713    $1,337
Phlebotomy Technician                             229            210          153         92%          73%    $704     $254,238    $1,662
Installation, Maintenance, and Repair (49)        714            666          556         93%          83%    $825    $1,037,644   $1,866
Apartment Maintenance Technician                    1              -            -          0%          N/A    $486           $0      N/A
Driveline/Hydraulics Certification                 13             13            3        100%          23%    $490       $9,170    $3,057
Electrical and electrical systems                 230            212          185         92%          87%    $529     $210,170    $1,136
Engine Repair                                      30             29            8         97%          28%    $165       $6,075     $759
Facilities Maintenance                                             -            -         N/A          N/A   $1,115          $0      N/A
HVAC (includes license renewal)                   191            170          146         89%          86%    $622     $197,860    $1,355
Industrial Maintenance Mechanic - Level 1           2             2             2        100%         100%    $932       $3,728    $1,864
Other (Driveline/Hydraulics, Diesel Engine,
                                                    5             3             2         60%          67%    $275       $1,375     $688
Workready Foundations CORE)
Power Industry Fundamentals                        92             91           67         99%          74%   $1,200    $189,600    $2,830
Power Line Worker                                 150            146          143         97%          98%   $1,453    $419,666    $2,935
Office and Administrative Support (43)            261            217          102         83%          47%    $784     $256,986    $2,519
Billing and Coding Specialist                     120             96           59         80%          61%    $958     $157,006    $2,661
Customer Services and Sales                        31             26           10         84%          38%    $277      $10,080    $1,008
Medical Administrative Assistant                   41             39            9         95%          23%    $659      $30,576    $3,397
Professional Coder                                 47             40           20         85%          50%    $778      $45,524    $2,276
SHRM Certified Professional                        22             16            4         73%          25%    $690      $13,800    $3,450
Production (51)                                   973            913          656         94%          72%    $583     $907,078    $1,383
Backflow Prevention                                27             25           18         93%          72%    $173       $6,550     $364
Machining                                         181            177          144         98%          81%    $548     $168,908    $1,173
Manufacturing entry level (specialist and
                                                   61             53           28         87%          53%    $575      $45,065    $1,609
production technician)
Manufacturing Technician 1 (MT1)                   79             72           36         91%          50%    $445      $47,320    $1,314
Mechatronics (Siemens Certifications)               3             1             -         33%          0%    $1,015      $1,015      N/A
Photovoltaic                                       56             56           43        100%          77%    $413      $39,743     $924
Six Sigma                                          34             34           20        100%          59%    $647      $34,000    $1,700
Welding                                           532            495          367         93%          74%    $648     $564,477    $1,538
                                          New Economy Workforce Credential Grant Annual Report FY 2019

Transportation and Material Moving (53)      1,441         1,300          958         90%          74%   $1,256   $2,804,980   $2,928
Commercial Driver's License A                1,178         1,045          756         89%          72%   $1,436   $2,602,793   $3,443
Logistics Associate                           117            111          103         95%          93%    $404      $87,300     $848
Logistics Technician                          106            104           78         98%          75%    $557     $104,000    $1,333
Remote Pilot Airman Certification              40             40           21        100%          53%    $177      $10,887     $518
Grand Total                                  7,484         6,879         4,906        92%          71%    $677    $7,980,278   $1,627


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