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HARTFORDBUSINESS.COM | JUNE 12, 2023 37 Editor's Take Banks, credit unions play key role in passage of financial literacy curriculum mandate C onnecticut is poised to join 20 other states that will require high school students to complete a financial literacy course in order to graduate. Such a mandate is long overdue, even if it adds to the costs of local school budgets. It's an issue that's been debated at the state legislature — and nationwide — for years. The House and Senate last month both passed legislation that will require Connecticut high school students, starting with the graduating class of 2027, to take a half-credit financial literacy course in order to earn their diplomas. It tasks the state Board of Educa- tion with developing the curriculum, which must include topics on banking, investing, savings, and credit and debit cards. Similar legislation has been proposed in the past but failed to gain enough support. This year, a bipar- tisan group of lawmakers coalesced around the issue, with help from key state officials including state Treasurer Erick Russell and Comp- troller Sean Scanlon. Also key to getting legislation over the finish line was private-sector support, particularly from banks and credit unions, which have long lobbied for financial literacy requirements. The Connecticut Bankers Asso- ciation, Credit Union League of Connecticut and Financial Planning Association of Connecticut all testified in favor of the legislation. Of course, they each have a vested interest in a more financially literate populace: It will increase their pool of future potential customers. But a financial literacy requirement is a win-win proposition for the state because it increases the likelihood that more residents will be financially independent in the future, and — hopefully — less reliant on govern- ment support programs. A more financially literate popula- tion can yield other economic bene- fits, including raising the prospects of individuals starting a business and creating jobs. According to Next Gen Personal Finance, only 13.4% of Connecticut students are currently guaranteed at least one semester of a standalone personal finance course. And of the schools that guarantee a standalone personal finance course, none are in any of the state's largest cities, putting minority and other underserved students at a further disadvantage. Credit Union League of Connecticut President and CEO Bruce Adams said the financial literacy mandate has been the flag- ship priority for his organization since he joined it in 2019. "A financial education gradua- tion requirement ensures that the state will prepare every student for economic success in adulthood," he said. "This is a matter of fundamental fairness and justice. In a capitalist economy, a free and fair public education must include principles of personal finance." Adams said his members want to be involved in the development of any financial literacy curriculum, noting Connecticut credit unions have trained and deployed over 100 certified financial counselors who are available to consumers at no cost. Connecticut Bankers Associa- tion CEO Tom Mongellow noted that his industry has been pushing for a statewide financial literacy curriculum mandate since at least the 1980s. That's when CBA was appointed to a task force that studied how to improve access to mortgage lending products. The task force concluded that the lack of personal financial knowledge and skills led to poor financial deci- sions that hurt many residents' credit scores and disqualified them from getting a mortgage. Mongellow also noted that many banks have provided educational programs to a small number of high schools over the years to try to help fill the financial-literacy void. However, banks don't have the capacity, or cooperation of each school district, to reach a mass student base. Of course, there is often a cost associated with any new state mandate. According to the Office of Fiscal Analysis, the average salary plus fringe costs to hire a new full-time teacher in Connecticut is about $100,000. However, those costs would be substantially lower, if school districts can offer a finan- cial literacy program by training a current employee. Potential costs to municipalities didn't deter many fiscally conserva- tive Republicans from voting in favor of the curriculum mandate, which passed by wide margins in both the House and Senate. Supporters included state Rep. Tom Delnicki, a Republican from South Windsor who is also the ranking member of the Banking Committee. Delnicki, who previously served as a voluntary director for a local credit union, said financial literacy is key to living a successful life, and he credited banks and credit unions for helping get the legislation passed. "They were great allies," Delnicki said. Greg Bordonaro OTHER VOICES Confused about AI? Create a business community AI collective By Joe Nigro A rtificial intelligence (AI) is rapidly transforming the busi- ness world, allowing compa- nies to automate their processes, enhance customer experiences and make better business decisions. However, not all businesses have the resources or knowl- edge to implement AI effectively. Many business leaders are nervous to even use it. They are concerned that AI will displace jobs. Other worries include ethical considerations, data privacy, and bias and discrimination. This is why a local business community AI collective, which can help business leaders implement artificial intelligence, is needed in Connecticut. A local business community AI collective can bring together busi- nesses in the area, providing a platform to share knowledge and resources on artificial intelligence implementation. This will help educate local business owners on AI best practices and how to introduce artificial intelligence effectively in their businesses. One main benefit to having a local business community AI collective is the ability to share knowledge and resources. This can be done through networking events, workshops, and webinars, where members can learn from experts, share their experiences and collaborate on AI projects. By bringing together businesses of different sizes and industries, the collective can help create a diverse ecosystem of ideas and solutions that can benefit all members. Another benefit of a collective is the ability to pool resources, allowing smaller businesses to access AI technologies that may have been out of reach otherwise. This can include access to training, hardware and soft- ware, as well as shared research and development. By working together, businesses can save costs and improve their overall competitiveness. The collective can also act as a bridge between the local business community and the wider tech industry. A platform for businesses to share AI experiences and showcase their successes will help to attract invest- ment and talent to the area. This, in turn, can help to create a thriving ecosystem of innovation and growth. Also, the community overall can benefit from the collective's activities by learning about the advantages of AI in their daily lives. This can be done through community outreach programs, public events and educa- tional workshops. By helping to dispel misconcep- tions and myths around AI, the collective can help foster a positive attitude toward artificial intelligence, encouraging people to embrace its potential benefits. AI is here to stay. Tech leaders in the U.S. called for a pause of AI development for six months, but I doubt this will happen. AI is already a force all over the world. If U.S. tech companies put a pause on AI, compa- nies in other countries will amass more knowledge than companies in the U.S., and that's not a position the U.S. wants to be in. This is why I believe the respon- sible thing for all business leaders is to learn as much as possible about artificial intelligence, and an AI collective can help business leaders do just that. A local business community artificial intelligence collective has numerous benefits, including knowledge sharing, resource pooling, fostering innovation and growth, and educating the wider community on the advantages of artificial intelligence. Joe Nigro is a Connecticut-based investor, advisor and entrepreneur who has used AI extensively in his career. He is the CEO and founder of Maslow Capital. Joe Nigro