Title
Phoenix Promise Program with The Maricopa County Community College District Foundation (Ordinance S-48953)
Description
Request to authorize the City Manager, or his designee, to contract with The Maricopa County Community College District Foundation (Foundation) to implement the Phoenix Promise Program, a tuition assistance program for eligible Phoenix residents attending Maricopa County Community College District schools. Further requests authorization for the City Controller to disburse all funds related to this item. Funding for this program will not exceed $5 million. There is no impact to the General Fund; funding is available through the City's allocation of the American Rescue Plan Act (ARPA) funding received from the federal government and is under the City's Tuition Assistance category.
Report
Summary
On June 7, 2022 City Council approved a budget of $5 million from the City's second allocation of ARPA funds to launch a tuition assistance program for two- and four-year degrees. The Foundation will administer the Phoenix Promise Program to offer scholarships to eligible residents for two-year and four-year degree programs at Maricopa Community Colleges. Eligible individuals include those qualified for Federal Pell Grants or another acceptable income verified program. The Foundation will use a subcontractor to implement digital and in-person outreach campaigns to enroll students from underrepresented communities into the Phoenix Promise Program. The Foundation's administrative costs for this program is 5.6 percent of the funding, or $280,000.
The goal of the program is to support approximately 400 Phoenix residents who qualify for Arizona resident tuition and are enrolled, or plan to enroll, in a Maricopa Community College for a two- or four-year degree. The program will also provide student support stipends and wraparound academic support to boost enrollment and degree completion. This funding is anticipated to provide scholarships and stipends to eligible students starting in the Fall 2022 semester and concluding with the Spring 2025 semester. The long-term sustainability plan for the Phoenix Promise Program (post-ARPA funding) is to be collaborative and will be determined by partners. The partners include the City, the Foundation, education institutions, the business community, nonprofits, local governments, and philanthropic organizations.
Procurement Information
This contract, which will award grant funds through the City, is excluded from the Procurement Code per Administrative Regulation 3.10 Section I (2) (B) (3).
Contract Term
If approved, the contract term will expire Sept. 30, 2025.
Financial Impact
No impact to the General Fund. The $5 million for this program is available through ARPA funds.
Concurrence/Previous Council Action
City Council approved the use of $5 million in ARPA funds for a tuition assistance program at its June 7, 2022 City Council Policy meeting.
Department
Responsible Department
This item is submitted by Deputy City Manager Ginger Spencer and the Community and Economic Development Department.