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NC Budget and Tax Center, Poverty and Income Data 2013

Social SecurityAccording to data released last week by the U.S. Census Bureau, in 2013 the percentage of older adults (65+) whose incomes fall below the federal poverty threshold is lower than it is for children and non-elderly adults. 1 in 10 (10% exactly) older adults in North Carolina lived in poverty in 2013, compared to 17.9% of the state’s population overall and 25.2% of children. The percentage of North Carolina’s older adults living in poverty in 2013 is one percentage point higher than it was in 2007 when the recession hit.

The reason for the comparatively low rate of poverty amongst older adults is plain and simple – Social Security. Established in 1935, this relatively simple and universal public program continues to accomplish its primary purpose of providing basic economic security for older Americans. Read More

NC Budget and Tax Center, Poverty and Income Data 2013, Poverty and Policy Matters

Children face the highest poverty rate in North Carolina compared to other age groups according to data released last week by the US Census Bureau. After more than five years into an economic recovery, one in four children (25.2%) in North Carolina remained in poverty in 2013 –unchanged from 2012 and higher than the national child poverty rate (22%). At a time when we are experiencing an economic recovery, it is troubling that our state’s child poverty rate is not declining and remains significantly higher than the national average.

The numbers become even more meaningful when considering the disadvantages children in poverty face: less access to early education programs and high quality schools, food insecurity, higher stress levels and higher dropout rates, among other risk factors. Recent findings in brain development research also warn of the impact of toxic stress associated with poverty on a young child’s developing brain. Toxic stress can weaken the architecture of a child’s brain, creating long-term challenges that make it hard for one to be economically secure as an adult. Other numbers are rising for children across the nation and in North Carolina that we certainly don’t want to see on the rise. Infant mortality and child mortality has increased in North Carolina. There has also been a rise in the number of homeless school children, according to recently released national data. Both are indicators of poverty’s tight grasp on America’s and North Carolina’s children.

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NC Budget and Tax Center, Poverty and Income Data 2013

North Carolina is enduring a painfully slow economic recovery. There are too few jobs open for all of the people looking for work, and the majority of the new jobs available pay wages so low that families can’t make ends meet. The ongoing economic hardship is evidenced in new data released last week by the Census Bureau. Statewide, the poverty rate held steady at 17.9 percent in 2013, with more than 1.7 million North Carolinians living on incomes below the federal poverty level. That’s about $24,000 annually for a family of four—certainly not enough to pay all the bills, much less get ahead.

However, just looking at statewide averages can mask the concentrations of hardship in particular geographic communities. A large and growing body of research shows that where one lives can determine if one has access to the educational and employment networks that can pave a pathway to the middle class. Because place is deeply connected to the opportunity structure, it important to analyze county-level (as well as neighborhood-level) variances in poverty.

Of the 40 counties in North Carolina for which 2013 data is available, 15 are urban and 25 are rural (based on population size).* Nine of the ten counties with the highest poverty rates were rural counties, which continue to face job loss and struggle with the consequences of the exodus of manufacturing jobs. The highest county-level poverty rate was in Robeson County, where nearly 1 in 3 residents lived in poverty. In fact, Robeson County consistently ranks as the poorest county in the state and as one of the poorest in the nation. Read More

NC Budget and Tax Center, Poverty and Income Data 2013

Yesterday, the US Census Bureau reported that in 2013 more than 1.7 million North Carolinians lived in poverty, meaning they found it difficult to afford the basics, such as decent housing, nutritious food, and reliable child care. That’s more people than the populations of Asheville, Charlotte, Greensboro, Raleigh, and Wilmington combined. While poverty remains high across all racial groups in North Carolina and throughout the nation compared to pre-recession levels, communities of color continue to face the highest levels of economic hardship.

The federal poverty level is less than $24,000 a year for a family of four. It is less than half of the income required to be economically secure.

The number of non-Hispanic whites living in poverty is greater than any other group in North Carolina. At the same time, some communities of color are much more likely to live on the brink, earning an income that puts them below the federal poverty line. In 2013, 32.5 percent of Latinos, 28.9 percent of American Indians, and 28 percent of African Americans lived in poverty compared to 14.4 percent for Asians and 12.3 percent of non-Hispanic whites (see chart below). Poverty has grown for all groups since the recession, with Hispanics and African Americans experiencing the biggest jumps in economic hardship. Read More

News

North Carolina’s food stamps program continues to face major problems in how it operates and monitors federal funds for low-income families struggling to get food on their tables, according to a recent report by federal officials.

NC FAST logoA strongly worded management evaluation by the U.S. Department of Agriculture of the state’s Supplemental Nutrition Assistance Program  listed more than 38 faults with North Carolina’s system, ranging from “critical findings” regarding a lack of oversight at the state level to regulatory violations about what is included on applications for food assistance.

“There are critical findings in the Claims/TOP area that are related to a lack of State oversight and monitoring,” read one finding in the 19-page report. (Scroll down to read the report itself.)

The major findings also included a “lack of State oversight in Recipient Integrity” that led to instances of potential fraud not being referred to for prosecution and “serious findings” in the state’s employment and training program.

The Sept. 10 management evaluation rested on visits that officials from the USDA’s Food and Nutrition Service office made in May and June where operations were observed at the state level, as well as in social services offices in Guilford, Pitt and Wake counties.

It requires DHHS to provide a corrective action plan within the next 60 days.

The report came on the heels of a major breakdwon in North Carolina’s food stamps delivery system last year that left thousands of low-income families without access to food assistance for weeks or months. The problems were attributed to glitches in a new technology system, N.C. FAST (Families Assessing Services through Technology) and issues that county-level workers had in accessing the new system while struggling under heavy caseloads.

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