Community Overview

August, 2005

Updates on economic, demographic, and social changes in Austin-Travis County

ECONOMY:

LOCAL

• Austin ranked number one in 2005 for the best city to jump-start a business or career. Austin ranked number three in 2004 and number one in 2003 according to Forbes Magazine’s analysis, which compared business costs, living costs, engineers, crime rates, job growth, education levels, income growth, and employment rates. ( http://www.austin-chamber.org Weekly Bulletin 5/23/05 ).
• Austin, Dallas and Houston have some of the lowest home appreciation rates in the nation for the first quarter of 2005 , according to the ranking of 265 metropolitan areas compiled by a federal agency tracking these trends. Central Texas ’ median housing cost was $45,500 below the national figure this April, allowing 60% of the population to afford a median-priced home. ( Austin American-Statesman 6/5/05 ).

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STATE

Texas (along with Virginia) was named the best place in the nation to jump-start a business or career, due to its highly educated workforce and low business costs , according to Forbes Magazine’s rankings of the 150 largest metros (populations over 345,000). (Forbes 05/23/05 ) State sales tax totaled $1,291 million in June 2005, an increase of 8.9% since June 2004. ( http://www.window.state.tx.us/taxinfo/salestax/)

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NATIONAL

• The number of Americans involved in starting or running a new business fell by 20% in 2004 , according to a national survey on entrepreneurial activity. ( Austin Business Journal 7/17/05 )
• Hourly wage gains have failed to exceed inflation in every month for the past year , and average weekly earnings have fallen by 0.3 % after inflation in the same amount of time. ( New York Times 05/23/05 )
• In 2004, a new national record for philanthropic giving was reached at $248 billion, according to a July report by the Giving USA Foundation, released by the Center on Philanthropy at Indiana University . Major increases lay in individual contributions by living donors, bequests by deceased individuals, foundations, and corporations. These sources are estimated to have increased their contributions by 4 to 9%. ( www.texasnonprofits.com July 2005).

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EMPLOYMENT:

LOCAL

• Work Source Career Centers received 56,991 customer visits in June 2005 or an average of 2,590 visits per day . In May, WorkSource installed electronic counters on the entrances to all three Career Center locations to get a more accurate count of customer visits. Prior to the installation of the counters, WorkSource used a voluntary sign-in sheet to calculate the number of customer visits. The North location had the highest number of customer visits with 30,727. In fact, the visits to the North location were more than the combined total of customer visits to the South (14,903) and East (11,361) locations. (WorkSource)
• There were 489,607 people employed in Travis County in June. Travis County had a 4.5% unemployment rate. (Texas Labor Market Information: http://www.tracer2.com/cgi/dataanalysis/labForceReport.asp?menuchoice=LABFORCE)
  
  

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STATE

• The statewide unemployment rate decreased to 5.1% in June, the lowest rate in over 3 years. Texas employers have added 115,000 new jobs since the beginning of 2005. Education and health services had the highest annual growth rate of any sector at 2.6% adding over 29,000 new jobs. (http://www.twc.state.tx.us/news/press/2005/072205epress.pdf )

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NATIONAL

• Employers’ hiring expectations in the third-quarter have not changed since last year. Of 16,000 employers polled in the Manpower Employment Outlook Survey, 31% expect to boost hiring in the upcoming quarter, compared to 30% last year, and 6% of these employers forecast a drop in hiring, also unchanged. The highest hiring expectation increase is in the South, where 32% of employers expect to boost hiring. Construction and Education are at the top of the expected-hiring list. (CNN.com 6/14/05 )
• National Labor Statistics (seasonally adjusted, numbers in thousands)

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DEMOGRAPHIC CHANGES

• In August 2005, Texas became the 4 th state to have a majority non-white population with 50.2% of Texans minorities. (US Census Bureau)
• Texas has the most workplace deaths for Hispanics than any other state , according to a recent study released by AFL-CIO.
• • In Texas , Hispanic worker fatalities increased from 136 in 1992 to 163 in 2003, about a third of total worker deaths.
  • Texas numbers exceeded that of California , which reported a decline in Hispanic worker deaths.
  • In 2003, Hispanic worker fatalities nationwide made up one seventh of all fatalities resulting from work-related injuries, a 48% increase from 1992. ( Houston Chronicle 5-1-05 )
• Elementary and high school students in the United States today are more diverse than the baby-boom generation of students . In 1970, the student population was 79 percent non-Hispanic white, 14 percent black, 1 percent Asian and Pacific islander and other races and 6 percent Hispanic. In 2003, 60 percent were non-Hispanic white, 16 percent black,
  4 percent Asian and 18 percent Hispanic. (Data by race for 2003 refer to the single-race population, and Hispanics may be of any race.) http://www.census.gov/Press-Release/www/releases/archives/education/005157.html

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DEMAND INDICATORS:

Basic Needs:

• In its first six months, the Basic Needs Coalition’s Best Single Source program is growing rapidly and, through June 2005, has served 251 households, compared to a goal of 200. Ninety seven percent of the clients completing the program, which includes three months of case management, have maintained equal or better housing compared to a goal of 85%. (Basic Needs Coalition of Central Texas)

• In 2004, 35% of the calls to 2-1-1 Texas were requests for assistance with Basic Needs . Between 2003 and 2004, there was a 23% increase in calls for utility bill assistance and a 9% increase for rent assistance. Calls for food assistance fell by 11%. Requests for homeless shelters rose by 18% and requests for affordable housing rose by 17%. Requests for mortgage assistance fell by 9%.(United Way Capital Area – 2-1-1 Texas )

• In 2004, the top 10 needs identified by 2-1-1were:1) Electric Bill Assistance, 2) Rental Assistance, 3) Food Pantry, 4) Childhood Immunizations, 5) Homeless Shelter, 6) Indigent Healthcare Coverage, 7) Prescription Assistance, 8) Dental Care, 9) Adult Mental Health Counseling, and 10) Health Care Referrals (United Way Capital Area – 2-1-1 Texas)
• From April – July 2005, Austin Energy turned off the utilities for an average of 6,200 households per month due to an inability to pay.

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Housing:

• Foreclosure postings for Travis and Williamson Counties in the first half of 2005 experienced a 1% decrease compared to those in the first half of 2004. In Travis County , the 326 postings for the June 7 auction make the 6 month total 2,077. In Williamson County , 243 postings make that county's total 1,376. ( Austin Business Journal 7/7/05 )
• Texans are losing their homes to foreclosure at a higher rate than any other state. In June, Texas had one foreclosure for about every 650 households, more than two and a half times the national average (KUT 7/29/05 )
• In June, the occupancy rate of Austin-area apartments reached a rate of 92.7%. Occupancy rates in the area have reached a 3-year high. In June, the average rent for a two-bedroom, two-bathroom apartment was $811, 2.5% more than in December. (Austin Business Journal 7/7/05 )

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Physical and Mental Health:

• Children Enrolled in CHIP in Central Texas as of June 2005:

• In the past 10 years, Central Texas donations of blood have increased annually by only 2% to 3%. The Blood and Tissue Center of Central Texas provides blood to 31 hospitals in 10 counties, with about 11,000 first-time donors per year. In the past 3 years, the Center has required public help 16 times to replace critically low supplies. ( Austin American-Statesman 5/4/05 )
• The number of children who need vaccinations before returning to Austin schools decreased by half compared to last year. In June 2004, 18,000 children were delinquent on their immunization shots, whereas in June 2005, only 9,000 children have yet to be vaccinated. However, these children will not be allowed back to Austin-area schools in August without them. ( Austin American-Statesman 6/11/05 ).
• Despite making up only 13% of the population, African Americans account for 40% of the national population diagnosed with HIV/AIDS, including half of the cases diagnosed in 2003 . ( Austin American-Statesman 6/12/05 )
• In Travis-County, African Americans account for 9% of the population, and yet are 4 times more likely to be diagnosed with HIV or 5-times more likely to have AIDS.
• Black women in Travis County account for only 4% of the population but 60% of the new AIDS cases and 58% of new HIV infections.
• In Travis County , the official number of HIV/AIDS cases by the end of 2003 was 2,761. (last data available)
• Of the $17 billion federal budget assigned to HIV and AIDS programs, only 5% goes toward prevention, according to the Kaiser Family Foundation. In Travis County , of the $1 million given by the CDC, 18% went toward HIV/AIDS prevention. ( Austin American-Statesman 7/12/05 )
• Children in foster care are two-times as likely as war veterans to suffer from post-traumatic stress disorder , according to the Northwest Foster Care Alumni Study drawing data from a Harvard Medical School study and Casey Family Programs . The study reports once released from foster care, 54% children cope with at least one mental disorder, 33% have no health insurance, 33% live in households with incomes at or below poverty level, and 22% have experienced homelessness http://www.casey.org/Resources/Publications/NorthwestAlmniStudy.htm
• Half of all lifetime cases of mental illness begin by age 14 and three quarters by age 24 , claims the June 6 issue of the Archives of General Psychiatry by Ronald Kessler that based its results on a study called the National Comorbidity Survey Replication. The median delay for seeking treatment is 10 years, and while approximately 80 percent of all people in the U.S. with a mental disorder eventually seek treatment, the study warns of the public health implications from such long delays in treatment. ( http://www.nimh.nih.gov/healthinformation/ncs-r.cfm)
• One quarter of all Americans met the criteria for having a mental illness in the past year, and fully a quarter of those had a serious disorder that significantly affected their ability to function “day-to-day”. http://www.nimh.gov/healthinformation/ncs-r.cfm
• From 2000-2004, Austin Travis County had the highest overall suicide rate of major Texas metropolitan areas. More than 460 lives were lost to suicide in this area in the past five years. http://soupfin.tdh.state.tx.us/deathdoc.htm

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Early Education and Care, Education, and Workforce Development

• In June 2005, WorkSource provided child care support for 2,794 children. An additional 3,110 children were on the waiting list.
• Austin students performed better in 2005 on 92% of all TAKS test categories ( Texas Assessment of Knowledge and Skills) than in 2004 across all grade levels. (AISD 5/20/05 )
• • The greatest percentage point improvement was found in fifth-grade Hispanic and Economically Disadvantaged students (14% improvement).
  • Large gains for minority and economically disadvantaged students were seen across all grade levels.
  • Improvement among African American, Hispanic, and Economically Disadvantaged students in English and Language Arts were roughly two times greater than those of White students, excluding 9 th and 11 th grade.
• 88% of Texas fifth graders passed the math portion of the Texas Assessment of Knowledge and Skills (TAKS) Test after two tries, reports the Texas Education Agency in June. In Texas , the number of passing students who took the Spanish version of the TAKS test a second time increased from 44% to 66%. (Austin American-Statesman 6/10/05).
• Roughly 33% of teenage mothers in the United States obtain a high school diploma, and only 1.5% earn a college degree by age 30 , according to the National Campaign to Prevent Teen Pregnancy. About 50% of Hispanic girls in the United States become pregnant at least once by age 20. ( Cynthia L. Garza Knight Ridder Newspapers 5/10/05 )

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Public Safety:

• In June, there were 726 cases involving 1,328 children in the Travis County courts. CASA of Travis County supervised 289 community volunteer advocates for 385 cases involving 773 of these abused, neglected and/or abandoned children, spending an average of 20 hours a month on each case .  To provide the in-depth services to the 555 additional children on those 341 cases not yet served by CASA, our community would need CASA of Travis County to recruit, screen, and train 341 additional volunteers. (CASA of Travis County, Inc. www.casatravis.org) 
• While the number of violent crimes in Austin rose by 13.8% in 2004, the total number of major crimes (violent & property crimes) in the area fell 1%. The decline in the total number of major crimes can be attributed to the 2.1% drop in property crimes, which far exceed the number of violent crimes committed in Austin .Statewide, property and violent crimes both fell by about 2.1%. (Austin American-Statesman 5/28/05 )

• In Travis County, 123 children 17 and younger died in 2004, which is down 12% from the 140 children who died in 2003 , according to an Austin annual child fatality report released in April. (Austin American-Statesman 4/28/05 )
• African American children accounted for 22% of the 2004 deaths, even though they comprise only 12% of Travis County 's total child population.
• White children account for 41% of the deaths and make up 43% of the Travis County child population.
• Hispanic children account for 35% of the deaths and make up 41% of the County's child population.
• The first eight months of 2005 have seen an increase of 87,000 illegal immigrant border crossings of immigrants. (Austin American-Statesman 6/8/05).

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RESOURCES:

• Family Eldercare’s “Keep Austin Cool” campaign raised $50,000 to go toward the delivery of fans and air-conditioning units to people with low incomes, the elderly, people with disabilities, and low-income families with small children in 11 Central Texas counties. The initiative lasts until August 31 st. (Austin American-Statesman 6/7/05).
• Beginning in July 2005, volunteer optometrists will perform free comprehensive eye exams to Healthcare for the Homeless patients at Trinity Center two mornings a week. Ten optometrists from the Central Texas Optometric Society have volunteered to conduct eye exams and write prescriptions for those who need them. Anyone requiring eyeglasses will be able to receive them at no charge. ( http://groups.msn.com/AustinCTOSHCommunity/welcometoctosh.msnw)
• The Lakeview property, which had an agreement with Family Eldercare to provide affordable housing programs, was foreclosed upon and the new owners will no longer provide this service thus reducing the amount of affordable housing in the community. (Family Eldercare)
• Dell donated 937,827 meals to the Capital Area Food Bank after its annual food drive that ended June 10 th.
• Dell donated $50,000 to the Extend-A-Care for Kids after-school program, which will be used toward new science and math activities for children enrolled in fall 2004. (Extend-A-Care for Kids Spring 2005)
• The IRS will close the Austin Center , along with 67 other taxpayer assistance centers nationwide. The Austin closing affects the 16 staff people, as well as the 40,000 people who visit the Austin Center each year.
• Foundation Communities bought the Hearthside Suites Hotel 5 years ago and is currently involved in a project to turn the building into low-income housing. The building will support 140 single-occupancy efficiencies that could be rented for $300 a month each if they are not subsidized. (Austin Business Journal 07/17/05)
• ATCMHMR Center was a recipient of a $100,500 grant from Impact Austin to provide 1,000 voice message boxes for consumers who are homeless or otherwise do not have access to a telephone. This system has been used in Houston , Fort Worth and other Texas cities with great success. (ATCMHMR Center)
• In June 2005, Austin Travis County MHMR Center opened a Resiliency Clinic in order to meet the increasing demand for mental health services. This additional service was made possible through a $100,000 Hogg Foundation grant for expansion of existing mental health services. The clinic serves adults who do not meet the State’s eligibility requirements for other mental health services.
• In 2004, US residents donated $248 billion to charitable causes. Following is the pattern of giving:

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LEGISLATIVE ISSUES

• The State passed a $139 billion spending plan, about a 10% increase in state funds over the budget approved in 2003 . The Comptroller has certified this budget as balanced. However, the Legislature failed to pass HB3, the school tax bill and HB2 the school policy bill so, without changes from a special session, Texas Public schools will operate under current school finance laws. According to a note on the Greater Austin Chamber website, AISD will have approximately $29 million in additional revenue, most of which is one-time revenue for the 2005-2006 school year.
• Dental, Vision and Mental Health benefits were restored to the CHIP Program. Podiatry, eye glasses, hearing aids and mental health counseling were also restored to Medicaid. Attempts to increase coverage from 6 months to a year failed.
• The Texas Department of Criminal Justice made an internal shift of $80 million from incarceration to probation and treatment services. An additional law mandates that the Department of Public Safety must accept the TDCJ identification and use it to issue a driver's license or ID card (which was identified as a major barrier). No new prisons will be built.
• 2-1-1 funding is included in the budget in an amount that should allow for some expansion (not sure yet how this will affect the local 2-1-1 system as that will depend on the allocation process)
• ChildProtective Services will receive additional funding and the opportunity to hire more case workers. Some of CPS’s previous functions will now be privatized though a statewide roll-out that will be done in one region and evaluated for effectiveness.
• ACC funding was restored to 2002-2003 levels.
• Many of the efforts to diversify and enhance the tax base were included in the school finance proposals that failed.
• A Special Session is currently underway to address school finance and school reform issues.

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WHAT CAN YOU DO TO HELP?

• Choose a local social service agency to support financially.
• Copy and distribute this document to help increase public awareness.
• Support the local economy by shopping at local businesses.
• Give to the United Way Capital Area’s Community Fund or the Austin Community Foundation’s Urgent Issues Fund.
• Contact the United Way Capital Area’s Volunteer Center at 211 or search for volunteer opportunities on United Way Capital Area’s website at http://www.unitedwaycapitalarea.org.
• Also see the 2001 CAN Urgent Issues Action Plan and other documents at caction.org for additional information about community-wide approaches to addressing these issues in our community.

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ACKNOWLEDGEMENTS

The Community Overview was researched and written by the Community Action Network, with assistance from numerous individuals in the community. We attempted to include all those who had a part in this undertaking, but if we have inadvertently omitted anyone, we apologize and ask that you inform us so that we may recognize you appropriately as the process continues.

LEAD WRITER:

Wendy Bradley, Community Action Network

CONTRIBUTORS:

Karen Cox – CASA of Travis County
Sharon Bauer – Austin Police Department
Leanne James – WorkSource
Cristela Perez – Work Source
Insure-A-Kid
Joy Stollings – Meals on Wheels and More
Mildred Vuris – ATC MHMR Center
Andy Welch – AISD
David Wilkinson – Skillpoint Alliance
Fred Butler, Sam Woollard, Brenda Ahrns – Community Action Network

COMMUNITY ACTION NETWORK PARTNERS:

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