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Texas Skills Development Fund

The Texas Workforce Commission (TWC) administers the Skills Development Fund program, which provides state funds to directly respond to the workforce needs of Texas employers.  For fiscal year 2009, TWC has $25 million in SDF funds to support high quality, customized job training projects across Texas.  Grants are made to public community and technical colleges, The Texas Engineering Extension Service (TEEX); or a 501(c)3 Community Based Organizations (CBOs), only in partnership with the eligible organizations noted above.  Grants are limited to $1,250 per employee on a 12 month contract basis. Single business grants are limited to a maximum grant amount of $500,000.  Funds can be used for job retention (60%) and job creation (40%) for projects that: (a) demonstrate wages at or above the prevailing wage, (b) have active collaboration between community organizations and the Company, (c) have a high degree of customization in a state or local industry cluster, (d) involve high growth/high demand occupations, (e) exhibit funding contributions from area partners, and (f) show a positive economic impact.  Costs covered include tuition, curriculum development, instructor fees, and training materials.   In some cases funds can be used for adult education and literacy.  SDF funds cannot be used to induce movement from one location in Texas to another.  Katy Area EDC assists with the preparation of the application and assists with marketing the job creation positions in local media outlets.