Labor Force & Economic Analysis I-70 Corridor

Transcription

1 Labor Force & Economic Analysis I-70 Corridor Prepared by Patrick J. Holwell Arapahoe/Douglas Works! For Don Klemme, Director Arapahoe County Department of Community Resources August 5, 2014 Arapahoe County Arapahoe County Douglas County Centennial Workforce Center Aurora Workforce Center Castle Rock Workforce Center 6964 S. Lima Street E. 14 th Place 100 Wilcox St, Suite 198 Centennial, Colorado Aurora, Colorado Castle Rock, Colorado Phone: Phone: Phone: Fax: Fax: Fax:

2 Background This report provides a workforce and economic analysis of populated areas along the I-70 Corridor, including the towns of Watkins, Bennett, Strasburg, Byers, Deer Trail and surrounding areas. Basic Economy Labor Force Watkins Bennett Strasburg Deer Trail EMPLOYMENT STATUS Total Byers CDP CDP Town CDP Town Population 16 years and over 5, ,455 1,833 1, In labor force 3, ,094 1, Civilian labor force 3, ,073 1, Employed 3, , Unemployed Armed Forces Not in labor force 1, Source: US Census American Community Survey Year Estimates The REAP region makes up around 1% of Arapahoe County s total labor force Labor force participation in the REAP Region at the time of the American Community Survey was 72.8% The unemployment rate at the time of the Survey was 9.2%; it is likely that the current unemployment rate more closely mirrors the unemployment rate in Arapahoe County which was 5.4% in June 2014 Occupational Mix of REAP Region Labor Force Watkins Bennett Strasburg Deer Trail OCCUPATION Total Byers CDP CDP Town CDP Town Civilian employed population 16 years and over 3, , Sales and office occupations Management, business, science, and arts occupations Natural resources, construction, and maintenance occupations Service occupations Production, transportation, and material moving occupations Source: US Census American Community Survey Year Estimates Industry Mix of REAP Region Labor Force Watkins Bennett Strasburg Deer Trail INDUSTRY Total Byers CDP CDP Town CDP Town Civilian employed population 16 years and over 3, , Construction Retail trade Educational services, and health care and social assistance Transportation and warehousing, and utilities Other services, except public administration Finance and insurance, and real estate and rental and leasing Manufacturing Professional, scientific, and management, and administrative and waste Arts, entertainment, and recreation, and accommodation and food services Public administration Wholesale trade Information Agriculture, forestry, fishing and hunting, and mining Source: US Census American Community Survey Year Estimates 80% of the employed labor force works in private sector jobs 7% of the employed labor force is self-employed Average commute time is 33.5 minutes 48% of the labor force is female 2

3 Median Household Income There are 2,507 households in the REAP Region. Of these: 84% of income is from worker earnings 24% is from Social Security 60% of Social Security recipients in the REAP region supplement this income with private retirement income 3% of income comes from Supplemental Security (Disability) 3% of income comes from public cash assistance 8% of income comes from SNAP (food stamps) Households in the REAP Region are generally affluent. Twenty-four percent of the total households in the region are retirees. Of the 2,507 total households, 963 (38.4%) have annual income in excess of $75,000, while only 320 (16.9%) have incomes below $25,000. Towns of Watkins, Bennett, Strasburg, Byers and Deer Trail The following section drills down to explore the labor force an economy in each of the four towns located along the I-70 Corridor east of metropolitan Denver. Watkins Of the four towns in the REAP Region, Watkins is closest to metro Denver. It is located only six miles east of E- 470, and is in close proximity to both Buckley Air Force Base and Front Range Airport, which is still struggling to gain FAA designation as a spaceport, and to find financing and put a leadership structure in place. In 2012 the Colorado Legislature passed a law limiting liability of spaceflight companies, which encouraged the Spaceport Colorado project at the state level. While not an Arapahoe County issue, Front Range Airport has struggled financially. Over the past several years, Adams County has contributed $3.6 million to bolster it up, but it averaged only 259 aircraft operations per day in This compares to 775 air operations per day for Centennial Airport in Arapahoe County. On the positive side, Front Range hosts a Colorado Army National Guard Armory, and HHC 5 th Battalion 19 th Special Forces Group is based there. In addition, the Spaceport proposal is gaining traction with industry leaders, and Adams County is reportedly in the final stages of gaining the FAA Spaceport designation and will know by the end of

4 Other Facts The town of Watkins has a labor force of 378 people; of these, 58.4% are women Of the total employed population, 304 (84%) work in the private sector Of the total labor force, 36 (9.5%) work from home The labor force participation rate is over 83% The average commute time is 31.9 minutes Watkins Economy 57% of Jobs in Watkins require at least some college; nearly 42% require at least a 4-year degree. The main employer in Watkins is Orica USA, Inc. Orica provides ground support, blasting systems and commercial explosives in support of the mining industry. It also supplies chemicals for a variety of industries. Only 7 Watkins residents work in Watkins. Watkins Workforce Nearly 29% of the people who live in Watkins have at least a 4-year degree and 55% have at least some college. Of a labor force of 481 in 2011, 18.9% (91) were under age 29; 56.8% (273) were aged 30 to 54, and 24.3% (117) were 55 or older. This age demographic may be of mild concern to economic developers and taxing authorities over the long run because for every worker over 55, there are only.77 workers under 29. 4

5 Commuting to and from Watkins Since Orica USA, Inc. is the main employer in Watkins, a staffing pattern analysis was done to ascertain top employment in corporate headquarters offices. It includes a mix of manager, business & financial, computer & mathematical, science, engineering, office & administrative jobs. The average earnings in this industry group in 2014 is $117,415 annually. Of the labor force of 378 people, 88.6% commute outside Watkins to work. Most work in nearby Denver, Aurora, Centennial, Greenwood Village and Littleton, (45%) but a significant number (13.5%) commute northwest to Boulder or Ft. Collins, or south to Colorado Springs. It is also worth mentioning that the number of workers living in Watkins exceeds the number of jobs there by 57%. Since 88.6% of its labor force commutes out of Watkins to work, it is accurate to say that persons residing in Watkins make up a small portion of metro Denver s labor force. Generally the educational attainment in Watkins is well above the national average, and Watkins and nearby metro Denver offer prospective employers a well-educated and highly skilled group from which to recruit. In addition, the presence of Front Range Airport, as well as the close proximity to Denver International Airport offer businesses coming in to Watkins the economies of agglomeration and sophistication of a large urban area in a small town setting. 5

6 Bennett Quick Facts About Bennett Labor force participation rate is 73.7% Average commute time to work is 33.5 minutes 137 people live on Social Security with 116 of these supplementing that with income from private retirement funds Poverty is lower than average at only 8.5% which is significantly lower than Arapahoe County s 11.8% 74 people receive SNAP (food stamps), 39 receive SSI for disability and 15 receive cash public assistance Bennett Economy Though Bennett s civilian labor force, made up of 1,073 people, is over two times larger than that of nearby Watkins, Bennett is primarily a residential community whose main industries include retail, accommodation and food services, and arts, entertainment and recreation. It is about 8 miles east along I-70 from Watkins. Like Watkins, it offers residents and businesses the amenities and sophistication of a large nearby metropolitan area in a small town setting. Bennett Workforce Bennett offers a workforce that is educated and skilled. Thirty-eight percent of the workforce is employed in occupations requiring skills in science, technology, engineering and mathematics, or skills that support primary industries. Of the employed population, 82% work in the private sector, with another 12.5% working in government. Self-employed workers make up 5% of Bennett s workforce. Median income in Bennett closely mirrors Arapahoe County s. 6

7 Commuting to and from Bennett Since the largest industry in Bennett is retail, it is expected that the largest single portion of persons working in Bennett would live in Bennett (11.4%). The next largest commute is to Aurora (7.7%) which boasts a number of healthcare providers, and Strasburg (6.8%), which is the home of the Plains Medical Center. Most of Bennett s workforce commutes to Denver, Aurora, Brighton and Commerce city (over 50% total). These areas have the closest proximity to the town. Likely a significant number of the 7.7% employed in transportation & warehousing work at Denver International Airport with the rest employed in trucking & manufacturing in Brighton and Commerce City. 7

8 Strasburg Quick Facts About Strasburg Labor force participation rate is 68.6% Average commute time to work is 35.7 minutes 211 people live on Social Security with 151 of these supplementing that with income from private retirement funds Poverty is lower than average at only 6.9% which is significantly lower than Arapahoe County s 11.8% 43 people receive SNAP (food stamps), none receive SSI for disability and 19 receive cash public assistance Strasburg Economy Strasburg s main industry is educational services. Just over half of the jobs in Strasburg require at least a 4-year degree. Because educational services tend to be dominated by women, 66.3% (274) of people working in Strasburg are women, while only 33.7% (139) are men. Accommodation & food services, and retail make up another 24.2% of the local economy. Another 7.5% (31) work in health care, possibly at the Plains Medical Center. A significant number of Strasburg residents are in educational services and healthcare, which together make up 18.3% of the town s 1,212 employed residents and 39% of jobs in the town. Of the local employed workforce: 22.4% are 29 or younger 58.6% are 30 to 54 years old 19% are 55 and older The age demographic is advantageous for a growing community, as there are more workers under 29 than there are over 55 years old. 8

9 Commuting to and from Strasburg Since such a large portion of both Strasburg s workforce and economy is made up of education and health care, it is not surprising that 15% of all the jobs in Strasburg are filled by people who live there. Deer Trail, Bennett, Byers, Comanche Creek and Watkins fill another 13.5% of the jobs with the remaining 71.5% filled by people from Aurora, Denver, Centennial and other locations. Most Strasburg residents commute to municipalities within metro Denver (39.5%) Another 7.4% commute to Byers or stay in Strasburg to work. A significant contingent also commute south to Colorado Springs, or north to Ft. Collins (9% total). 9

10 Byers & Deer Trail Local Economy The local economies of both Byers and Deer Trail are similar in that education services is the main industry. As such, employment in both towns is female-dominated; 67% of jobs in Byers and 72% of jobs in Deer Trail are held by females. 10

11 Byers & Deer Trail Workforce The workforce in both towns is strikingly similar as well, with retail and education workers making up significant portions. A large portion are also employed in professional, scientific & technical services, which includes law offices, accounting & tax preparation, engineering, surveying and consultancies, and in government. 11

12 Commuting to and from Byers 12

13 Commuting to and from Deer Trail 13