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The Business and Industry Training Program of the Arkansas
Department of Economic Development (ADED) provides pre-employment
training for Arkansas workers to meet the skills needed in the
state’s new and expanding businesses. ADED’s Customized Training
Incentives Unit works with the department’s Business Development
Unit during the negotiation process. After a commitment to the
state is made, a Customized Training Incentives Coordinator is
assigned to develop the training plan with the business.
The Existing
Workforce Training Program (EWTP) provides financial assistance
to Arkansas’ businesses and eligible consortia of businesses for
upgrading the skills of the existing workforce. Skills upgrade
training is defined as instruction conducted in a classroom
environment at a worksite, an educational institution or a neutral
location that provides an existing, full-time employee with the new
skills necessary to enhance productivity, improve performance,
and/or retain employment.
Eligible
businesses include:
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Manufacturers
in the North American Industry Classification System (NAICS)
codes 31-33.
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Computer firms
that derive at least 75 percent of their revenue from sales
outside of Arkansas and have no retail sales to the general
public.
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Firms
primarily engaged in commercial, physical and biological
research as defined by NAICS code 541710.
EWTP
reimbursements are calculated according to a set of scoring
criteria. For companies that use a state-supported educational
institution, the program pays the lesser of the following: 50
percent of the cost of training paid to the school OR
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$60 per
instructional hour, times the number of instructional hours
delivered by a full time instructor or trainer; 50 percent or
more eligible participants must complete each course.
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$50 per
instructional hour, times the number of instructional hours
delivered by adjunct or part-time instructors or trainers; 50
percent or more eligible participants must complete each course.
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$35 per
instructional hour, times the number of instructional hours for
all courses if fewer than 50 percent of eligible participants
complete each course.
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For companies
that use their own employees or company-paid consultants to
deliver classroom training to their employees, EWTP offers an
Arkansas income tax credit that cannot exceed $15 per
instructional hour.
The maximum
funding for any one company site cannot exceed $50,000 per year.
To be considered
for financial assistance under EWTP, a company must submit an
application prior to the beginning of training, provide assurance
that the participants involved in the proposed training program
possess the requisite literacy skills, and clearly tie the proposed
training to specific business goals and performance objectives.
Tuition
Reimbursement Tax Credit
Arkansas
provides a 30 percent state income tax credit to eligible companies
for reimbursements they make to employees for approved educational
expenses. The employees must attend an accredited Arkansas
post-secondary educational institution.
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