The Stanislaus County unemployment rate hovers near 20 percent the highest in 17 years.
Its educational attainment, both high school and college completion rates, is far below state and national averages.
That translates to less earning power. Non-high school graduates make about $10,000 less than graduates and $20,000 less than those with college degrees.
At the same time, school districts throughout the region are slashing budgets. Modesto City Schools is cutting at least $25 million and issued hundreds of layoff notices.
Almost 1,000 additional county educators may lose their jobs this July, amounting to some 17 percent of the teachers, administrators, counselors and librarians in the county's public schools.
It's a Catch-22 for the Northern San Joaquin Valley's economic future:
Nearly everyone agrees that public schools must be strong for the economy to thrive, yet they face deep cuts because of declining enrollment and reductions in state funding.
"This is a no-win situation for everyone in the community," said Keith Griffith, the education senior manager for the Stanislaus Economic Development and Workforce Alliance.
"Last year (the schools) cut out virtually 99 percent of the fat. At this point we're into red meat and bone," he said.
At the same time, an educated work force consistently ranks among the top factors businesses look for when deciding whether to move to an area.
No. 2 attractor
The Boyd Co., a New Jersey-based business consulting firm, published a survey earlier this year that showed companies regard an available, skilled work force as the second-most important feature they consider when deciding where to move just behind the cost of doing business.
Yet, some worry that the overall education level of the valley's work force could suffer if school districts' budget cutting forces larger class sizes and the elimination of key programs.
"What skills will they not be learning as a result of those cuts? Those cuts will last a lifetime," Griffith said. "They'll have to learn (some skills) on their own."
For others, the economic turmoil also presents opportunities even if they're the result of sheer necessity.
"We still need to find a way to serve the needs of students," said George Boodrookas, dean of community and economic development for Modesto Junior College. "We must reach out to external funding resources in new and different ways that we ever have before. That's where it's going long term."
Community colleges, like the primary and secondary public school system, face their own funding problems. MJC is preparing to shave $7 million in spending by the end of the next academic year. The school already has cut one summer session and 110 fall sessions, equating to 6 percent of semester courses.
Meanwhile, demand has shot up. Both summer and fall applications have spiked by 20 percent from last year. Registrations from Feb. 1 to April 9 have swelled for summer session from 3,402 in 2009 to 4,057 in 2010 and for fall from 1,928 in 2009 to 2,315 in 2010.
Those numbers compel the college to narrow its focus to classes that move students forward in their careers and education, Boodrookas said.
"There is increased frustration as we've seen with the recent registration periods, longer waiting lists, fewer people getting into critical career technical education paths. It is clear we are definitely doing more with less, because we have to," he said.
Boodrookas works to create partnerships for community education and work force training. Some of these collaborations are with other government agencies and others are with private businesses.