In a work‑session update Aug. 18, City staff presented an economic‑mobility strategy focused on families in the "muddy middle" — households that earn too much to qualify for many safety‑net programs but not enough to meet basic costs. Staff said that more than 52% of Charlottesville households are at or below the ALICE (Asset Limited, Income Constrained, Employed) threshold and that average advertised rent in Charlottesville is roughly $1,700 per month, which staff said translates to a household need of roughly $69,000 a year to meet standard affordability guidelines.

"Too many families in Charlottesville are caught in what we call the muddy middle, earning too much to qualify for many forms of assistance, but not nearly enough to keep up with the rising cost of living," the presenter said, describing why staff are focusing on workforce supports, childcare access and financial empowerment.

Why it matters: staff framed early childhood care shortages as both a family stability and workforce problem — classrooms may remain closed not for lack of demand but because programs cannot hire enough instructors. Staff proposed a pilot to create a childcare workforce pipeline in partnership with United Way Greater Charlottesville and named local projects as examples of the need for instructors.

Key elements:
- Service gap analysis: Staff said they surveyed financial institutions and nonprofits and found near‑universal agreement that financial insecurity has increased locally. Respondents cited inflation, housing prices and lack of savings; many nonprofits reported that clients lack access to medical and mental health care, child care and stable employment.
- Childcare workforce pipeline: The proposed project, designed with United Way Greater Charlottesville, would build career pathways for childcare staff, open additional classrooms and improve early outcomes for children. Staff said the plan responds directly to nonprofit feedback and to projects that cannot open without instructors.
- National partnerships and funding opportunities: The city was selected as part of national initiatives that staff said provide technical support and access to evidence‑based strategies. Staff announced acceptance into the ICMA Economic Mobility and Opportunity Special Assistant program (supported through Gates Foundation funding) and participation in other competitive programs intended to help design person‑centered interventions.
- Existing local programs: Staff stressed that the city already runs multiple workforce and entrepreneurship programs — examples cited include Go Cook/Growing Opportunity Cook, Go Solar, Ready to Work, Go Higher and business support that aims to recruit Charlottesville residents into living‑wage jobs.

Next steps and timeline: staff said they are in the business‑planning phase for the childcare workforce pipeline; if the plan is accepted they would test the model with targeted investments. The ICMA special assistant placement is a two‑year engagement intended to lead a community co‑design process and help craft programs or policies for council consideration.

Ending: Staff said the projects are intended to complement existing city programs rather than replace them and that further community engagement and data collection will inform implementation. They also said the Office of Economic Development and partners will return to council with more developed plans and metrics.