2002 Annual Report Card on Poverty in Maine

Transcription

1 Maine State Library Maine State Documents State Planning Office State Documents Annual Report Card on Poverty in Maine Maine State Planning Office Follow this and additional works at: Recommended Citation Maine State Planning Office, "22 Annual Report Card on Poverty in Maine" (23). State Planning Office. Paper This Text is brought to you for free and open access by the State Documents at Maine State Documents. It has been accepted for inclusion in State Planning Office by an authorized administrator of Maine State Documents. For more information, please contact

2 22 Annual Report Card on Poverty in Maine Food Stamp Program Monthly Caseload, since Cases (thousand) April 23 Maine State Planning Office

3 Resolves CHAPTER 36 H.P L.D. 334 Resolve, to Implement the Recommendations of the Commission to Study Poverty Among Working Parents with Regard to an Annual Report Card on Poverty Sec. 1. Report on poverty. Resolved: That the State Planning Office shall report annually to the Legislature, beginning on January 1,, on the subject of poverty in this State. The report must include information on poverty among children and adults, regional differences in poverty rates and indicators, conditions responsible for changes from the prior year, expectations for the coming year and the economic condition of the State's communities. Effective September 19,, unless otherwise indicated. Contents page 1. Summary 1 2. Measures of the Extent of Poverty 3 3. Conditions Contributing to Poverty Adequacy of Transfer Payments Regional Disparities End Notes 34 Federal Poverty Guideline Family Size ,21 5,25 6,28 7,47 7,74 7,89 8,5 8,24 8,35 8,59 8,86 8,98 2 5,59 7,5 8,42 1,3 1,36 1,61 1,85 11,6 11,25 11,61 11,94 12,12 3 6,97 8,85 1,56 12,59 12,98 13,33 13,65 13,88 14,15 14,63 15,2 15,26 4 8,35 1,65 12,7 15,15 15,6 16,5 16,45 16,7 17,5 17,65 18,1 18,4 5 9,73 12,45 14,84 17,71 18,22 18,77 19,25 19,52 19,95 2,67 21,18 21, ,11 14,25 16,98 2,27 2,84 21,49 22,5 22,34 22,85 23,69 24,26 24, ,28 16,5 19,12 22,83 23,46 24,21 24,85 25,16 25,75 26,71 27,34 27, ,98 28,65 29,73 3,42 3,96 For each additional member: Add: 1,17 1,8 2,14 2,56 2,62 2,72 2,8 2,82 2,9 3,2 3,8 3,14 SOURCE: published annually in the Federal Register

4 1. Summary & Highlights A. Poverty Measures Poverty Level: The poverty rate in Maine is slightly below the national average. However, the census shows that Maine s poverty rate rose slightly (from 1.8% to 1.9%). Maine has 7 more people living below the poverty line now than 1 years ago. Regionally, within Maine, the poverty rate varies from as high as 19% in Washington County to a low of 7.9% in Cumberland County. Regional Shift: Maine s most rural counties still have the highest rates of poverty overall. However, a new pattern is emerging. Between and, there was an identifiable shift in the distribution of persons below the poverty level, largely toward more urban counties. Food Stamp Program Enrollment: The average annual enrollment increased by nearly 8, individuals (4, households) in 22. After a slight dip in mid summer, enrollment began to rise sharply in the fall. Transfer Payments: The portion of household income derived from transfer payments rose again in. Though a greater portion of income in Maine is typically from transfer payments due to the larger portion of elderly in the population (hence a higher portion receiving social security, railroad retirement, and other benefits), Maine s dependence on transfer payments accelerated in the mid s and has remained much higher than the national average since. Insured: The number of people without health insurance is rising. In spite of progressive programs in Maine that have enabled many to obtain health insurance and led to a higher rate of insured in Maine than the national average, the proportion of Maine residents without insurance is increasing and now is almost at the national level. Other indicators remain relatively unchanged. Measures of homelessness and food insecurity show little change. B. Contributing Factors Income: Income in Maine has lagged behind the nation for decades. In, the income gap narrowed to 91% of the national average, but has declined since. In 21, Maine ranked 4 th in per capita and median household income, at 87% of the national level. Income Disparity: Income data from the Census data showed that more Maine households have low incomes and fewer are in high-income categories than the national average. A third of Maine households had incomes below $25, in, 22 Report Card on Poverty 1 Maine State Planning Office

5 compared to only 28% nationally. At the other extreme, only 12% of Maine households (compared to 22.5% nationally) had income in excess of $75,. Earnings: Earnings have been flat. Average annual pay measured by the Dept. of Labor shows slight improvement in 21. The average wage in Maine stands at 8% of the national level, up from a record low 79% the previous year. Employment: Stagnant job growth has been is the key factor slowing income growth. The average annual employment in 22 dropped for the second year in a row. Labor force growth has been flat since. Fewer people are entering the labor force. Labor supply is key to job growth. The unemployment rate in Maine has increased for the past 2 years, though still below the national average. The overall lack of growth in the labor force and people unable to find a job leaving the labor force have kept the unemployment rate lower Mass layoffs also contributed to slowing growth in earnings. For some workers, sidelined by cyclical events the income loss is temporary. Those displaced by downsizing or the demise of firm or industry frequently find new jobs with lower pay. Economic Structure: In 21, half of Maine workers were employed in jobs where the average annual pay is less than $3,. Even in a time of flat job growth, jobs in retail trade and other lower paying industries continued to grow between and 22 while jobs in manufacturing declined and jobs in other relatively higher paying industries remained unchanged. Transfer Payments: Federal data sources show the number of Maine residents receiving government benefits from nearly all federal programs (TANF the only major exception) has increased since. The average monthly benefit in income-based programs (social security, retirement programs, unemployment, disability benefits, etc.) continues to lag behind the average benefit nationally, and can be expected to do so as long as earnings in Maine lag behind the national average. Though cost of living increases keep recipients from slipping further into poverty, most are not as well off as their counterparts in other parts of the country. Benefits from need-based programs, such as Food Stamps and Supplemental Security Income (SSI) lag behind the national average but the gap narrowed in 21, suggesting a growing need pushing benefits upward. 22 Report Card on Poverty 2 Maine State Planning Office

6 2. Measures of the Extent of Poverty A. Poverty Estimates The latest estimates of poverty released by the Census Bureau for 21 shows the overall poverty rate in Maine to be holding consistently below the national average (1.3% compared to 11.5% nationally). However, the method used by the Census Bureau to estimate the poverty rate in years between the decennial census yields estimates of poverty that are conservatively low. For instance, the census showed that Maine s poverty rate stood at 1.9% while the bureau s estimates indicated 9.8%. Percent Below Poverty Line Poverty Rate, Maine Estimates from U.S. Census Bureau Census Years Annual Census Estimated Poverty Rate for Maine 3-Year Moving Average 15 Poverty rate - 3 yr. avg Source: U.S. Census Bureau, Current Population Surveys, annual estimates 22 Report Card on Poverty 3 Maine State Planning Office

7 The federal poverty level itself is a bare bones income figure below which individuals will have difficulty achieving even the most basic lower level standard of living. The decennial censuses provide additional detail about the conditions of poverty. One of the most useful data items is the ratio of income to the poverty level. The ratio shows not only how poor the poor are, but also the portion of the population whose income lies within a short distance of the poverty level, i.e., the near poor. In general, most persons with income that is below 185 2% of the poverty level have inadequate resources to meet basic needs. Nearly 3% of Maine s population had income below 2% of the federal poverty guideline according to the Census. This amounts to 367, individuals. Number of Persons by Ratio of Income to the Poverty Line Below Poverty 11.% 1-199% 18.6% 2% or over 7.4% 7 Number of Persons by Ratio of Income to the Poverty Line Persons (thous) ,98 39,24 45,389 54,738 59,359 57,869 25,166 34,48 1 Under.5 5 to to to to to to to 1.99 Poverty Ratio 22 Report Card on Poverty 4 Maine State Planning Office

8 B. Food Stamp Program Enrollment Food Stamp Program Participation continued to increase in 22. An annual average of 8 more people were enrolled in 22 compared to Monthly Food Stamp Program Participation Number of Cases, 21-22, Maine 65 Cases (thous) Jan 21 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan 22 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec AFDC & Food Stamp Programs Monthly Caseload, since Cases Thousands Note: Historic data in this graph for the AFDC program was replaced by TANF in more recent years. 22 Report Card on Poverty 5 Maine State Planning Office

9 C. Portion of Income derived from Transfer Payments 2 Transfer Payments as a Percent of Total Personal Income Percent of TPI MAINE Transfer Payments as % of Income, Maine, Percent Report Card on Poverty 6 Maine State Planning Office

10 D. Other indicators of Need Maine Homeless Shelters Clients and Occupancy, Clients Clients Bed Nights Occupancy (bed nights) p Percent of Population Food Insecure Percent ME Source: Census, Current Population Surveys NOTE: New data does not correspond with data for previous years. The system of measuring food security has changed. See note at back of this report 22 Report Card on Poverty 7 Maine State Planning Office

11 Percent of Population with Health Insurance Number of Uninsured in Maine % % % % % % % % % % % % % % Percent of Population 21 MAINE Number of Persons (thous) Number of Children (thous) Children in Families With incomes less than 2% of the Poverty Level 19% 25% 25% 22% 17% 16% 1% Three-Year Average Insured Uninsured 22 Report Card on Poverty 8 Maine State Planning Office

12 E. Special Populations and Poverty Elderly Poverty Rate among Maine Residents 55 and over Percent to 64 yrs 65 to 74 yrs 75 and over Non-elderly adults with a disability Poverty Rate among Persons with Disabilities age Percent Male Female Total 22 Report Card on Poverty 9 Maine State Planning Office

13 Children 38, children in Maine live in households with income below the poverty line. The vast majority live in single parent homes, most in homes with a single female parent. Maine Children living below the Poverty Line By age and type of household, Census Children (thous) parent male parent female parent under 5 age under 5 age under 5 age Percent of Maine Children living below the Poverty Line By age and type of household, Census Percent parent male parent female parent under 5 age under 5 age under 5 age Report Card on Poverty 1 Maine State Planning Office

14 3. Conditions Contributing to Poverty Economic Indicators A. Income Distribution and Disparity 1 Per Capita Income, Maine as % of, Income ($Thous) Per Capita Income, Maine and the, Income ($Thous) Maine Report Card on Poverty 11 Maine State Planning Office

15 Income Distribution of Maine Households, and 25 Households (percent) Less than $1, $1, to $14,999 $15, to $24,999 $25, to $34,999 $35, to $49,999 $5, to $74,999 $75, to $99,999 $1/ovr Income Distribution of Maine vs. Households Census 25 Households (percent) Less than $1, $1, to $14,99 $15, to $24,99 $25, to $34,99 $35, to $49,99 $5, to $74,99 $75, to $99,99 $1/ovr Maine 22 Report Card on Poverty 12 Maine State Planning Office

16 B. Employment and Unemployment Labor Force Maine, Labor Force (thousands) Total Labor Force Employed Maine Labor Force, annual avg. 7 24,2 27,1 3,1 Employed (thous) ,7 622,3 32,8 61,8 664,6 656,8 656, Unemployed Employed 22 Report Card on Poverty 13 Maine State Planning Office

17 22 Report Card on Poverty 14 Maine State Planning Office Thousands Number Unemployed Maine, Percent Unemployment Rate Maine,

18 C. Earnings Average Annual Pay Maine and the United States $4 $35 Annual Pay,. avg. Thousands $3 $25 $2 $15 Maine $ % Average Annual Pay Maine as a Percent of the 85% Percent 81% 8% 81% 8% 81% 81% 8% 82% 84% 84% 85% 85% 82% 84% 84% 83% 83% 82% 82% 81% 81% 78% 8% 75% Average Annual Pay, Maine 35 3 Annual Wage, Avg. Thousands Source: Dept of Labor 22 Report Card on Poverty 15 Maine State Planning Office

19 D. Relationship of Economic Structure and Earnings The Department of Labor recently adopted a new system of classifying industries, commonly referred to as NAICS, or North American Industry Classification System. Previously the old system, which divided industries into ten categories had been used in this report. The Bureau of Labor Statistics began to use the new 2-sector system is used for the annual pay survey this year. The new NAICS categories are substantially different from the previous ten and are not comparable. $6 Wages (avg. annual) by Industry, 21 $5 $51,21 $49,888 Average Pay ($thous) $4 $3 $2 $28,937 $41,63 $39,981 $39,96 $36,448 $36,46 $32,488 $3,96 $29,97 $29,93 $28,818 $27,2 $24,894 $24,353 $22,962 $2,41 $19,837 $16,472 $1 $12,334 $ Total (avg, all emp.) Mgmt of Businesses Utilities Finance & Insurance Wholesale Trade Prof & Tech Svcs Manufacturing Information Construction Government Educational Svcs Health Care & Soc Svc Transp & Warehousing Mining Ag/For/Fis/Hunt Real Est & Rental/leasing Admin & Waste Svcs Oth Svc, exc. PA Retail Trade Arts, Ent. & Rec Accommodation & Food Svc Employment (avg. annual) by Industry, Employees (thous) Mgmt of Businesses Utilities Finance & Insurance Wholesale Trade Prof & Tech Svcs Manufacturing Information Construction Government Educational Svcs Health Care & Soc Svc Transp & Warehousing Mining Ag/For/Fis/Hunt Real Est & Rental/leasing Admin & Waste Svcs Oth Svc, exc. PA Retail Trade Arts, Ent. & Rec Accommodation & Food Sv 22 Report Card on Poverty 16 Maine State Planning Office

20 Mass Layoffs Total Job Separations Due to Mass Layoffs Maine, 12 mo moving total 15 Total Job Separations to -1-3 to -2-4 to -3-1 to -4-2 to -1-3 to -2-4 to -3-1 to -4-2 to -1-3 to -2-4 to -3-1 to -4-2 to -1-3 to -2-4 to -3-1 to -4-2 to -1-3 to -2-4 to -3-1 to -4-2 to to to to to to to to 22-4 NOTE: 22 data (last bar) is for 3 quarters only. Data for the third quarter of 22 is suppressed. Multiple Job Holdings Civilian Labor Force, -21, Maine and Percent holding multiple jobs Percent Source: Bur. of Labor Statistics & Maine Dept. of Labor Maine 22 Report Card on Poverty 17 Maine State Planning Office

21 Seasonality Resident Employed, Maine, -22 by Month Thousands Report Card on Poverty 18 Maine State Planning Office

22 4. Adequacy of Transfer Payments Government Transfer Payments to Individuals, Retirement/Disability 41.5 Medical Payments 41.4 Income Maintenance 1.1 Unemployment Insur. 1.7 Veterans Benefits 4.3 All Other.9 5 1, 1,5 2, 2,5 Payments (in $thous) Transfer Payment Benefits in Maine as percent of Avg. Income Based: Social Security: Retired Disabled Survivors Unemployment Ins Medicare Need-Based: AFDC Food Stamps Medicaid SSI Total Transfers Pct of Tot Pers Inc. Per Capita Percent of 22 Report Card on Poverty 19 Maine State Planning Office

23 Income Transfer Programs - Avg. Monthly Benefit Income Based Benefits: Maine Me: Ratio Social Security Programs (21) Retired $85 $ Disabled $743 $ Survivors $797 $ Unemployment Ins.(21) $216 $ Medicare,avg. annual ()* $3,723 $5, Need-Based Benefits: AFDC/TANF ()* $467 $ Food Stamps () $67 $ Medicaid ()* $4,394 $3, SSI () $322 $ Total Transfer Payments: Pct of Tot Pers Inc. () Per Capita () 4,233 3, * Data not available to update from last year. NOTE: The national data for a number of the programs tracked in this section of the Report Card have not been updated at this time. 22 Report Card on Poverty 2 Maine State Planning Office

24 Comparison of Benefits, Maine and the 9 8 Average Monthly Social Security Benefit to Retirees, Maine and U.S. Av. Mo. Benefit Me 21 Average Monthly Social Security Benefit to Disabled Workers, Maine and U.S. Av. Mo. Benefit Me 3 21 Average Monthly Social Security Benefit to Survivors, Maine and U.S. Av. Mo. Benefit Me Report Card on Poverty 21 Maine State Planning Office

25 Average Monthly SSI Payment Maine and the Av. Mo. Benefit $45 $4 $35 $3 $25 $2 $15 $1 $5 - Maine 198 $8. Food Stamps - Average Monthly Benefit Per Person, Maine and Avg Monthly Benefit $7. $6. $5. $4. $3. - Me Average Monthly Payment Benefit TANF Recipient Households Avg. Mo. Payment $45 $4 $35 $3 $25 $2 $15 $1 Maine Report Card on Poverty 22 Maine State Planning Office

26 Medicare, Cost per Recipient Maine & Cost per recipient ($thous.) Me Average Weekly Unemployment Benefit Maine and Weekly Benefit Amt., Avg Me. 198 Workers' Compensation Benefits Total benefits (millions) Me Total benefits (billions) Report Card on Poverty 23 Maine State Planning Office

27 Participation Trends Retirees Receiving Social Security Benefits Maine and U.S. Persons, Maine (thous) Me Persons, (million) Persons Receiving Social Security Disability Benefits Maine and U.S. Persons, Maine (thous) Me Persons, (thous) Persons Receiving Social Security Survivors' Benefits Maine and U.S. Persons, Maine (thous) Me Persons, (thous) 22 Report Card on Poverty 24 Maine State Planning Office

28 SSI Recipients, Maine and U.S. Me. (thousand) Me (million) Persons - Maine (thous) Me. - Persons Receiving Food Stamps Maine and the U.S Persons - (million) Persons Receiving TANF(AFDC) Maine and the U.S. Persons - Maine (thous) Me Persons - (million) 22 Report Card on Poverty 25 Maine State Planning Office

29 5. Regional Disparities A. Poverty Level Poverty Rate U.S. Census Bureau Maine Washington Somerset Piscataquis Franklin Aroostook Waldo Penobscot Oxford Kennebec Androscoggin Hancock Lincoln Knox Sagadahoc York Cumberland 1.9% 14.9% 14.8% 14.6% 14.3% 13.9% 13.7% 11.8% 11.1% 11.1% 1.2% 1.1% 1.1% 8.6% 8.2% 7.9% 19.%.% 5.% 1.% 15.% 2.% Percent Change Change in The Poverty Rate Census Compared to Census Maine Franklin Sagadahoc York Kennebec Penobscot Lincoln Somerset Hancock Cumberland Aroostook Washington Androscoggin Piscataquis Oxford Knox Waldo -1.8% -2.1% -.1% -.2% -.3% -.3% -.4% -.7%.1% 1.4% 1.4%.9%.7%.5%.4%.2% 2.1% -3.% -2.% -1.%.% 1.% 2.% 3.% Change (thousdands of persons) 22 Report Card on Poverty 26 Maine State Planning Office

30 B. Food Stamp Program Enrollment Individuals Enrolled in the Food Stamp Program Average Monthly Enrollment, Persons (thous) Andro Aroos Cumb Frank Hanc Kenne Knox Linc Oxfor Penob Piscat Sagad Somer Waldo Wash York Percent of County Population Enrolled in the Food Stamp Program, 22 2 Y-Axis Andro Aroos Cumb Frank Hanc Kenne Knox Linc Oxford Penob Piscat Sagad Somer Waldo Wash York Me. Avg 22 Report Card on Poverty 27 Maine State Planning Office

31 22 Report Card on Poverty 28 Maine State Planning Office

32 C. Population Shifts and Trends Net population Change since April 1, York Cumberland Waldo Lincoln Kennebec Oxford Sagadahoc Hancock Knox Penbscot Androscoggin Somerset Franklin Piscataquis Washington Aroostook Persons (thousand) Number of Residents by Age and Sex Reported f, 198, and Decennial Censuses (Data for Taken from the Modfied Age, Race and Sex File w hich Revised the Published Numbers) 198 Net Change: Pct chg COUNTY Total Pop Since Androscoggin Aroostook Cumberland Franklin Hancock Kennebec Knox Lincoln Oxford Penobscot Piscataquis Sagadahoc Somerset Waldo Washington York Statew ide Report Card on Poverty 29 Maine State Planning Office

33 D. Economic Factors Income and Earnings Maine Andro Aroos Cumb Frank Hanc Kenn Knox Linc Oxfor Penob Piscat Saga Somer Waldo Wash York Earnings of Male and Female Workers Employed full time Earnings in $thous) Men Women Earnings of Women compared to Men Employed Full Time Census (data for ) Maine Andro Aroos Cumb Frank Hanc Kenn Knox Linc Oxfor Penob Piscat Saga Somer W a ld o W a sh York Ratio Average Annual Pay, 21 Maine Cumberland Sagadahoc Kennebec York Penobscot Androscoggin Franklin Somerset Hancock Knox Oxford Waldo Aroostook Lincoln Washington Piscataquis Income (thous) 22 Report Card on Poverty 3 Maine State Planning Office

34 Transfer Payments Transfer Payments as a % of Total Personal Income Maine Washington Piscataquis Aroostook Somerset Oxford Franklin Androscoggin Waldo Penobscot Kennebec Lincoln Knox Hancock York Sagadahoc Cumberland Percent Social Security Benefits as a Percent of Transfer Payments to Individuals, 21 Percent Maine Andro Aroos Cumb Fran Hanc Kenn Knox Linc Oxfor Penob Pisca Saga Somer Waldo Wash York 22 Report Card on Poverty 31 Maine State Planning Office

35 Labor Force Participation, Employment and Unemployment Labor Force Participation Rate, 22 by County Growth in Employment, -22 by County Maine Waldo Androscoggin Hancock Cumberland Penobscot York Lincoln Knox Kennebec Aroostook Somerset Franklin Washington Oxford Piscataquis Sagadahoc Cumberland York Waldo Penobscot Androscoggin Hancock Knox Lincoln Oxford Washington Franklin Somerset Kennebec Sagadahoc Piscataquis Aroostook Percent Number of added jobs (thous) 22 Unemployment Rate by County Maine Washingto Somerset Piscataquis Oxford Franklin Aroostook York Penobscot Hancock Waldo Androscog Kennebec Sagadahoc Knox Lincoln Cumberland Unemployment Rate (%) 22 Report Card on Poverty 32 Maine State Planning Office

36 End Notes Community Food Security: The statistics on food insecurity and hunger in the U.S. are based on a survey measure developed by the U.S. Food Security Measurement Project, an ongoing collaboration among Federal agencies, academic researchers, and private commercial and nonprofit organizations. The measure was developed over the course of several years in response to the National Nutrition Monitoring and Related Research Act of (NNMRR). After data for states was not published annually in the survey. State level data was once again provided in 21, but as a 3-year average, combining the survey results for the past 3 years (-21). ERS believes that the 3-year average is more reliable due to the small sample size in the annual surveys and the high margins of error they create. Due to the changes in measurement, 21 state level food security statistics cannot be compared directly with those of previous years. Income Distribution: Income data by quintile for Maine has not been available from the Census Bureau since though the disparity among quintiles is estimated nationally each year. The Center for Budget and Policy Priorities computed income by quintile for states that are based on moving 3-year averages. The data from this source was included 2 years ago. No new figures are available until the detailed information from the Census becomes available. Adequacy of Transfer Payments: In, participation rates were included along with benefit level data. This has been continued. However, consistent annual data for some of the programs (TANF and Medicaid) has become unavailable. Non-Governmental Services: The search continues for a reliable and consistent measure of services provided by private agencies. Anecdotal information indicates that such nonprofit entities fill a major gap for people who do not qualify for or choose not to accept public forms of assistance. Food pantries and soup kitchens represent one group of such services for which a method of collecting consistent data is under consideration. Risk Populations: Data for at risk populations has been lacking for intercensal years. The three risk populations identified include elderly and disabled, children, and working low-income adults. Data from the census has been included in this report. Printed under account # 17B Report Card on Poverty 33 Maine State Planning Office