Two departments within the City of Springfield are planning to merge into one.
Pending approval, Springfield’s Department of Economic Vitality and Workforce Development will consolidate. Combining the two departments will help “reduce duplicative efforts” and “allows for a more comprehensive strategy that aligns labor market needs with economic development goals,” according to a news release from the city government.
The Springfield City Council will consider the proposed consolidation at its June 10 meeting, alongside a funding package to finance the relocation of Workforce Development and, with it, the Missouri Job Center.
The newly combined department, titled the Economic Vitality and Workforce Development Department, will be made up of three divisions: Community and Economic Development, Workforce Development and Grant Management.
The consolidation is not expected to impact the city’s general fund, and all current staff members will be retained in the merger, according to a news release. Amanda Ohlensehlen, who currently serves as the director of Economic Vitality, will be the director of the new department, according to city spokesperson Cora Scott.
“The combination of Economic Vitality and Workforce Development initiatives will ensure that the City is meeting goals outlined in the city’s comprehensive plan, Forward SGF, as well as interdependent council priorities to improve the quality of life for all citizens by creating a vibrant business community with well-paying jobs and a growing tax base to support government functions and access to critical supportive services,” Ohlensehlen said in the release.
Benefits of merging city government departments
The proposed budget for the 2024-25 fiscal year, which is also up for a city council vote on Monday night, includes $13,171,908 for the Department of Workforce Development and $843,104 for the Department of Economic Vitality. The budget proposes funding for about 46 positions in the Department of Workforce Development and five jobs with Economic Vitality.
The merger is expected to result in general fund savings over time and could allow the city to “better leverage state and federal funding opportunities” and provide “greater internal controls over grant funding,” according to the press release from the city government.
The consolidation could also help Springfield attract new businesses, retain and grow existing industry sectors, increase staff capacity and improve the value of the city’s support to businesses, according to the release.
“Our primary goal in merging the Workforce Development and Economic Vitality departments is to enhance collaboration, coordination, and efficiency in addressing the challenges and opportunities arising at the intersection of workforce and economic development,” Ericka Schmeekle, interim director of Workforce Development, said in the release.
Schmeeckle took on the leadership role after Sally Payne, former director of Workforce Development, abruptly resigned in October 2022. Her role in the new department has not yet been determined.
Relocation announced with short notice
The relocation of the Missouri Job Center, which is currently located in leased space at 2900 E. Sunshine St., will bring Workforce Development and its services to an area near the City Governmental Plaza.
The location and cost of the building has not been provided, though $6.3 million — comprised of $1.9 million from a $26 million bond package and $4.4 million in carryover funds — could be earmarked for the project on Monday night. Additional details will be released once the purchase is finalized, which is expected to take place before the fiscal year ends on June 30, according to previous reporting.
Partners who share in lease expenses at the Missouri Job Center’s current location would be given the option to move to the new facility, according to Scott.
One of those partners, the Workforce Development Board, was provided notice of a relocation less than a week before council members first considered funding for the new building, according to board member Andrea Sitzes.
At the May 20 City Council meeting, Sitzes expressed concern with the “short window of notice” provided to the board and its Council of Elected Officials (CLEO). While a city department, Workforce Development operates under the guidance of the board and CLEO, which is made of seven county commissioners, and serves the seven-county region.
The City Council is slated to vote on the bond package and an accompanying council bill on June 10.
