Skills Enhancement Fund

Description

The Skills Enhancement Fund (SEF) provides financial assistance to businesses committed to training their workforce. Trainees must be Indiana residents. SEF reimburses eligible training expenses over a two-year term. Companies may reapply for additional SEF funds after their initial two-year term. IEDC typically does not provide reimbursement for training that is required by law.

The SEF Fund is established under I.C. 22-4-10.5.

Calculation of Training Award

Companies can receive reimbursement—up to $200,000 —for retraining existing workers. Supplemental grant awards may be available for training new employees.

Businesses receiving SEF training assistance must commit to continuing their operations at the location where the SEF training assistance is provided for at least five years after the training grant is completed and closed. If a business fails to meet the five-year commitment, it must repay the full amount of the SEF assistance received. Indiana companies receiving SEF funds must be in good standing with state regulatory agencies.

Evaluation Criteria:

• Quality of jobs, including skill and wage levels
• Quality of the training program and the company’s past commitment to training
• Number of workers to be trained
• Capital dollar investment being made by the company
• Importance of the project to Indiana’s strategic future
• Financial strength of the company
• Economic need of the affected community

Eligible Training Activities

• Basic Skills: Traditional basic skills (reading, writing and math).
• Transferable Skills: Skills that enhance an employee’s general knowledge, employability and flexibility in the workplace (welding, computer skills, blueprint reading, problem solving, team participation, etc.).
• Company-Specific Skills: Skills that are unique to an individual company’s workplace, equipment and/or capita investment.
• Quality-Assurance Skills: Skills that are intended to increase the quality of the company’s product (Statistical Process Control [SPC], Total Quality Management [TQM], ISO and QS).

Eligible Companies

• Manufacturing Companies
• Distribution Centers
• Regional headquarters if the company demonstrates that a significant portion of its business involves transactions with out-of-state entities.

Financial Assistance

• Indiana’s SEF program offers financial assistance in the form of a grant reimbursing eligible training costs.
• Training expenses eligible for reimbursement include instruction, travel and material and supply costs.
• Travel costs are limited to 30 percent of the total grant.
• The maximum amount awarded through the SEF program typically does not exceed 50% of a company's training budget.