Fresno County, EDC Expand NEO Program With $5.06M Through 2028

Fresno County and the Fresno County Economic Development Corporation agreed to expand the New Employment Opportunities (NEO) subsidized employment program with up to $5.06 million in funding to run through June 2028, with options to extend through 2030. County leaders and workforce partners say the redesign will focus the program on direct employer engagement and EDC’s Ready2Hire platform to connect welfare-to-work recipients with full-time positions and on-the-job training.

The new contract replaces a prior $15 million master agreement with a smaller, more flexible arrangement intended to stretch public dollars by targeting placements and employer relationships. The county-provided funds are structured to reimburse wages for employers that hire CalWORKs participants, lowering the cost of taking on and training new employees while participants gain workplace experience.

NEO’s wage reimbursement schedule is explicit: employers receive 100% wage reimbursement for the first 13 weeks, 75% reimbursement for weeks 14 to 26, and two potential extensions if additional training is provided at 50% for weeks 27 to 39 and 25% for weeks 40 to 52. Program administrators estimate the expanded NEO effort will connect more than 750 Fresno County residents with training or jobs over the next five years.

Local employers are already engaged. Pleasant Mattress, a longtime NEO partner, has hired more than 32 participants. Other participating employers include Avakian Insurance Services, Neighborhood Industries, Tyson Energy Solutions, HandsOn Central California and Trinity Construction Enterprises. By centering the Ready2Hire platform, EDC intends to streamline employer sign-ups and participant matches so that hiring decisions can proceed faster and with clearer training plans.

For Fresno County, the program aims to deliver practical workforce benefits: employers face reduced upfront hiring costs and a lower risk profile when training entry-level workers, while CalWORKs participants can build employment histories and job skills that may increase long-term earnings and self-sufficiency. From a fiscal perspective, the shift to a leaner, targeted contract signals a preference for outcomes-driven spending rather than broad upfront allocations.

Policy trade-offs remain. A smaller contract reduces total guaranteed dollars compared with the previous $15 million agreement, but officials say greater flexibility and direct employer engagement could yield higher placement efficiency. The option to extend funding through 2030 offers a runway for evaluating results and adjusting priorities.

For local jobseekers and employers, the expanded NEO program means more structured pathways into work through Ready2Hire and employer partners across the Valley. The county will monitor placement and retention outcomes as the program rolls out through 2028 and considers potential extensions to 2030.