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December 2, 2008    DOL Home > News Release Archives > ETA 1997   

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Archived News Release--Caution: information may be out of date.

U.S. DEPARTMENT OF LABOR

Employment and Training Administration

ETA Press Release: Labor Department Awards Three New Grants Totaling $6.7 Million to Serve Out-Of-School Youth in High-Poverty Areas [06/25/1997]

For more information call: (202) 219-8211

 
	 

1998 Funding Expected to Reach $250 Million

One rural and two urban communities will each receive over $2 million to serve youth in high-poverty areas, Secretary of Labor Alexis M. Herman announced today. The 1997 Opportunity Areas for Out-of-School Youth Pilot Project grants have been awarded to Boston, New York and the Lake Cumberland Area in Kentucky.

"I am pleased that my Administration can provide these funds to ensure that young people are able to receive needed education and job training assistance," said President Clinton. "This support will be a positive step in preparing them not only for successful careers but also for rewarding futures."

The bi-partisan budget agreement recently reached between the President and Congressional leaders provides for $250 million for an Out-of-School Youth initiative in 1998 and is critical to provide seed funds to high-poverty urban neighborhoods and rural areas--current and prospective Empowerment Zones and Enterprise Communities (EZ/ECs)--to help them increase employment among out-of-school young people as an alternative to welfare and crime.

"Through these grants, we have been able to provide much-needed hope for a few communities," said Herman. "Now we need to take everything we've learned and put it to good use across the nation."

These demonstration projects establish opportunity areas in specific neighborhoods (with populations of 15,000 or less) like those in empowerment zones and enterprise communities. The primary emphasis is to get out-of-school youth, aged 16-24, into private sector employment. To do this, a variety of successful job training and job development strategies are used. The goal is to increase employment in the target population from below 50 percent to 80 percent.

In addition, grantees work with public and private organizations in the broader community, such as schools, community colleges, community-based organizations, private sector employers and the judicial system, to reduce the high school dropout rate in the area and to provide mentoring support, leadership development and other services that young people need to start career paths with earnings sufficient to support a family.

Research suggests that unemployment is linked to crime, poverty, teen pregnancy, drug abuse and welfare dependency.

Recipients of the 1997 Opportunity Areas for Out-of-School Youth Grants were selected through a competitive process in which 21 needy communities applied. These communities were from urban and rural Service Delivery Areas located within designated empowerment zones and enterprise communities.

The Economic Development and Industrial Corporation in Boston will receive $2,208,099. These funds will be used in the neighborhoods of Orchard Park in Roxbury and West Broadway and the Old Colony in South Boston. Approximately 3,400 youth will be served with a goal of placing 684 youth in jobs. Two employment centers will be created to provide comprehensive service delivery and to create neighborhood-based learning environments.

The New York City Department of Employment will receive $2,214,179 to provide services in the Mott Haven/Port Morris sections of the Bronx. Approximately 3,074 out-of-school youth will have access to services as a result of this award. The goal is to place 580 youth in jobs. A Community Advisory Board will oversee program linkages.

The Lake Cumberland Area Development District in Russell Springs, Kentucky, will receive $2,246,838 to assist this rural community. Approximately 1,136 young people from Clinton County and portions of Wayne County will benefit from the program. The project will seek to place 454 youth in jobs. Participants will learn customized skills and will receive certification of these skills.

The grants announced today will operate for 18 months. It is anticipated that funding will be extended for two additional years. The 1996 Opportunity Areas for Out-of-School Youth Grants totaled $8.9 million and were awarded to communities in Chicago, Houston and Los Angeles.


Archived News Release--Caution: information may be out of date.




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