Examples of CAA Job Creation Projects

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Here are some examples of CAA job creation projects including business incubators and business resource centers, post start-up assistance for business expansion, marketing support through e-commerce, microenterprise development, community development corporations including a joint effort involving two rural CAAs, on-the-job training, and Youthbuild.

Help us add to this listing to support CAAs working to develop job creation with CSBG economic stimulus funding.  We would appreciate hearing from you concerning additional related activities and ideas.

1. Business Development Services under CAP Services includes a Business Incubator, which provides affordable commercial, manufacturing and warehouse space at six facilities ranging from 4,800 – 20,000 square feet owned by the agency.  Deep discounts in rent are available to businesses based on the number of living-wage jobs they create.  Space can also be customized to meet the needs of a particular business with the cost amortized over the term of the lease.

CAP’s TechSource Center operates as a full-service technology and resource center for entrepreneurs with computer stations that have a full range of business software and to access on-line business and technical support sites.  There is also a library of printed material on starting a business with a resource and training person on-site to provide assistance.

Two case studies reflect the benefits of the CAP Services Business Development Program:

• Golden County Foods Expansion Project - Job Creation: Golden County Foods has created 76 new living-wage jobs with health care benefits and advancement opportunities and 38 were filled by low-income individuals.  Empowerment Programs: In partnership with Golden County Foods, CAP is also offering several innovative services to enhance the opportunities for success of the low-income individuals hired at the new facility.

• Colligan’s Bakery - CAP Services staff helped develop a plan for Colligan’s to expand from primarily a retail and “convenience store” bakery into a commercial bakery with national account. To accomplish this Colligan’s leased one of CAP’s business incubators as a production facility and space from the developer for a retail outlet. The financing package included loans from CAP’s lending arm Community Assets for People for leasehold improvements, the City of Stevens Point’s revolving loan fund for moving existing equipment and buying new equipment; and from the First National Bank of Iola for working capital. CAP is also leasing the 7,344 square foot building to Colligan’s at $2.50/sq. ft. The equipment and moving expenses are proposed to be financed with the city, $100,000 at seven years at 5%.  Without CAP’s assistance, Colligan’s would have closed when their lease expired, eliminating 30 jobs in the community. In exchange for CAP’s financial and technical support, Colligan’s Bakery will create a minimum of 5 new living-wage jobs with advancement opportunities, with two of them being filled low-income individuals.

2. Montgomery County Community Action Development Commission – Incubator Program – Businesses are provided furnished office space for nominal rent in the MERC facility.  Computers are included with the space and access is given to a copy machine, a fax, a post office box, and a conference room.  Four spaces are available and the goal is to have businesses relocated into their own space within one - two years.  Guidance and technical assistance is provided related to human resources and other aspects of management.  Legal and business planning consultants are also available as needed.

3. Other CAAs with Business Incubators (Note: See this listing for additional examples of business incubators)

• Fayette County CAA (PA) – The Southwestern PA Community Development Corporation was created as a cooperative venture by FCCAA and Community Action Southwest.  Republic Enterprise Center is a 70,000 sq. ft. manufacturing and warehouse facility located in Republic, PA. It provides low rent and operational support services to entrepreneurs from Fayette, Washington, and Greene Counties who wish to start or expand their own micro or small business.
• ADVOCAP (WI) – Business Incubator
• York County Community Action (ME) – 'Kitchen incubator' seen as job creator (proposed idea)

4. Western Dairyland Business Center and Wisconsin Common Market – Western Dairyland Community Action Agency developed Wisconsin Common Market to provide an opportunity for businesses to market and sell their products on their own template on WCM via PayPal at cost of under $10 per month.  Currently over 50,000 unique visitors are coming to the site each month.  This concept was developed to ensure that micro-enterprise is represented in the electronic marketplace where consumer purchases have been increasing exponentially in recent years.

5. Many CAAs are involved with microenterprise development, such as those featured under the Virtual CAP listing for Business Development/Job Creation.

6. Community Action Development Corporations – The Community Action Committee of the Lehigh Valley established:

• Community Action Development Corporation of Allentown with the mission to assist and promote neighborhood revitalization and community spirit by providing access to economic opportunity, creating and sustaining businesses owned and operated by neighbors, and empowering people to have a voice in the decisions that affect their lives.
• Community Action Development Corporation of Bethlehem that is a community-based organization comprised of a diverse group of people committed to promoting pride and positive social and economic change by creating opportunities through resident control of the problem-solving process to benefit all residents and businesses in South Bethlehem.

7. Workforce Development, Direct Client Services Department – Community Services Consortium (OR)

• On-the-Job Training – Provides the opportunity to learn the necessary skills and gain valuable on-the-job experience while working in a particular occupation with a public or private sector employer. On-the-job training can be considered a "hire first, train later" program. Wage assistance is provided by CSC and is intended to reimburse the work site for the training they provide to help bring the employee up to production speed. This service is intended to lead to a regular job upon successful completion of the training.
• Youthbuild is a six-month to two-year youth development program. Participants gain construction skills and work experience by building houses for low-income families. In the classroom, participants prepare for the GED or work toward a high school diploma, receive basic literacy education, and/or prepare for a college education.

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