Palo Pinto County, TX

Palo Pinto County, TX Emsi Q3 2018 Data Set www.economicmodeling.com

Contents. Economy........ Overview......................................................................................... 1... Historic.......&.. Projected......... Trends............................................................................... 4... Popula on......... Characteris cs........................................................................................ 8... Industry....... Characteris cs......................................................................................... 10... Business......... Characteris cs........................................................................................ 16... Workforce........... Characteris cs...................................................................................... 18... Educa onal........... Pipeline...................................................................................... 25... Emsi Q3 2018 Data Set www.economicmodeling.com

Economy Overview 28,035 9,945 $42.8K Popula on (2017) Jobs (2017) Median Household Income (2016) Popula on grew by 190 over the last 5 years and is projected to grow by 136 over the next 5 years. Jobs grew by 289 over the last 5 years and are projected to grow by 777 over the next 5 years. Median household income is $12.5K below the na onal median household income of $55.3K. As of 2017 the region's popula on increased by 0.7% since 2012, growing by 190. Popula on is expected to increase by 0.5% between 2017 and 2022, adding 136. From 2012 to 2017, jobs increased by 3.0% in Palo Pinto County, TX from 9,656 to 9,945. This change fell short of the na onal growth rate of 8.2% by 5.2%. As the number of jobs increased, the labor force par cipa on rate decreased from 59.4% to 59.3% between 2012 and 2017. Concerning educa onal a ainment, 11.7% of Palo Pinto County, TX residents possess a Bachelor's Degree (6.7% below the na onal average), and 5.0% hold an Associate's Degree (2.9% below the na onal average). The top three industries in 2017 are Educa on and Hospitals (Local Government), Restaurants and Other Ea ng Places, and Support Ac vi es for Mining. Emsi Q3 2018 Data Set www.economicmodeling.com 1

Economy Overview - Cont. Popula on (2017) Labor Force (2017) Jobs (2017) Cost of Living GRP Imports Exports Region 28,035 13,360 9,945 94.3 $1.13B $1.65B $1.46B McKinney 208,096 N/A 77,720 105.9 $10.45B $14.61B $10.87B WSNCT + Dallas and Tarrant Workforce Solu ons- North Central Texas 7,475,041 3,883,623 3,880,874 97.8 $519.20B $291.73B $368.45B 2,820,371 1,496,811 1,074,400 96.6 $135.86B $148.92B $105.43B State 28,289,157 13,598,066 13,544,835 96.0 $1.69T $958.27B $1.31T Na on 325,401,909 160,185,502 160,946,219 100.0 $19.27T $0 $8.36T Emsi Q3 2018 Data Set www.economicmodeling.com 2

Economy Overview - Cont. 2017 Labor Force Breakdown Popula on A Total Working Age Popula on 22,547 A Not in Labor Force (15+) 9,187 28,035 Popula on A Labor Force 13,360 A Employed 12,924 A Unemployed 436 A Under 15 5,489 Educa onal A ainment Concerning educa onal a ainment, 11.7% of Palo Pinto County, TX residents possess a Bachelor's Degree (6.7% below the na onal average), and 5.0% hold an Associate's Degree (2.9% below the na onal average). % of Popula on Popula on A Less Than 9th Grade 9.4% 1,805 A 9th Grade to 12th Grade 11.5% 2,201 A High School Diploma 35.0% 6,696 A Some College 23.1% 4,416 A Associate's Degree 5.0% 956 A Bachelor's Degree 11.7% 2,236 A Graduate Degree and Higher 4.2% 805 Emsi Q3 2018 Data Set www.economicmodeling.com 3

Historic & Projected Trends Popula on Trends Economy Overview As of 2017 the region's popula on increased by 0.7% since 2012, growing by 190. Popula on is expected to increase by 0.5% between 2017 and 2022, adding 136. Timeframe Popula on 2012 27,846 2013 27,852 2014 27,978 2015 27,882 2016 28,053 2017 28,035 2018 28,067 2019 28,096 2020 28,123 2021 28,148 2022 28,171 Emsi Q3 2018 Data Set www.economicmodeling.com 4

Historic & Projected Trends - Cont. Job Trends Economy Overview From 2012 to 2017, jobs increased by 3.0% in Palo Pinto County, TX from 9,656 to 9,945. This change fell short of the na onal growth rate of 8.2% by 5.2%. Timeframe Jobs 2012 9,656 2013 9,615 2014 9,787 2015 9,602 2016 9,694 2017 9,945 2018 10,152 2019 10,329 2020 10,485 2021 10,622 2022 10,722 Emsi Q3 2018 Data Set www.economicmodeling.com 5

Historic & Projected Trends - Cont. Labor Force Par cipa on Rate Trends Timeframe Labor Force Par cipa on Rate 2013 60.09% 2014 59.69% 2015 58.77% 2016 58.48% 2017 59.44% January 2018 60.03% February 2018 60.86% March 2018 61.16% April 2018 60.57% Emsi Q3 2018 Data Set www.economicmodeling.com 6

Historic & Projected Trends - Cont. Unemployment Rate Trends Palo Pinto County, TX had an April 2018 unemployment rate of 3.16%, decreasing from 6.54% 5 years before. Timeframe Unemployment Rate 2013 6.54% 2014 5.14% 2015 5.20% 2016 5.46% 2017 4.06% January 2018 3.67% February 2018 3.65% March 2018 3.57% April 2018 3.16% Emsi Q3 2018 Data Set www.economicmodeling.com 7

Popula on Characteris cs 4,913 9,270 6,937 Millennials Re ring Soon Racial Diversity Palo Pinto County, TX has 4,913 millennials (ages 20-34). The na onal average for an area this size is 5,822. Re rement risk is high in Palo Pinto County, TX. The na onal average for an area this size is 7,875 people 55 or older, while there are 9,270 here. Racial diversity is low in Palo Pinto County, TX. The na onal average for an area this size is 10,866 racially diverse people, while there are 6,937 here. 1,944 1.51/1,000 23.42/1,000 Veterans Violent Crime Property Crime Palo Pinto County, TX has 1,944 veterans. The na onal average for an area this size is 1,696. Palo Pinto County, TX has 1.51 violent crimes per 1,000 people. The na onal rate is 3.75 per 1,000 people. Palo Pinto County, TX has 23.42 property crimes per 1,000 people. The na onal rate is 24.22 per 1,000 people. Emsi Q3 2018 Data Set www.economicmodeling.com 8

Popula on Characteris cs - Cont. Place of Work vs Place of Residence Understanding where talent in Palo Pinto County, TX currently works compared to where talent lives can help you op mize site decisions. High Inbound Commuters High Outbound Commuters Where Talent Works Where Talent Lives ZIP Name 2017 Employment ZIP Name 2017 Workers 76067 Mineral Wells, TX (in P 7,156 76449 Graford, TX (in Palo Pi 834 76068 Mineral Wells, TX (in P 621 76472 Santo, TX (in Palo Pinto 503 76453 Gordon, TX (in Palo Pin 337 76067 Mineral Wells, TX (in P 8,197 76449 Graford, TX (in Palo Pi 1,161 76068 Mineral Wells, TX (in P 621 76453 Gordon, TX (in Palo Pin 541 76472 Santo, TX (in Palo Pinto 465 Emsi Q3 2018 Data Set www.economicmodeling.com 9

Industry Characteris cs Largest Industries Industry Jobs Na onal Average Government Manufacturing Retail Trade Accommoda on and Food Services Mining, Quarrying, and Oil and Gas Extrac on Construc on Health Care and Social Assistance Other Services (except Public Administra on) Administra ve and Support and Waste Management and Remedia on Services Transporta on and Warehousing Professional, Scien fic, and Technical Services Finance and Insurance Wholesale Trade Real Estate and Rental and Leasing Agriculture, Forestry, Fishing and Hun ng Arts, Entertainment, and Recrea on U li es Informa on Educa onal Services 0 500 1,000 1,500 Emsi Q3 2018 Data Set www.economicmodeling.com 10

Industry Characteris cs - Cont. Top Growing Industries Industry Jobs Growth Manufacturing Accommoda on and Food Services Transporta on and Warehousing Retail Trade Construc on Government Informa on 0 50 100 150 200 250 300 Emsi Q3 2018 Data Set www.economicmodeling.com 11

Industry Characteris cs - Cont. Top Industry LQ Industry LQ Mining, Quarrying, and Oil and Gas Extrac on U li es Manufacturing Construc on Retail Trade Government Accommoda on and Food Services Agriculture, Forestry, Fishing and Hun ng Other Services (except Public Administra on) Real Estate and Rental and Leasing Transporta on and Warehousing Arts, Entertainment, and Recrea on Finance and Insurance Wholesale Trade d Support and Waste Management and Remedia on Services Health Care and Social Assistance Professional, Scien fic, and Technical Services Informa on Educa onal Services 0.00 5.00 10.00 15.00 Emsi Q3 2018 Data Set www.economicmodeling.com 12

Industry Characteris cs - Cont. Top Industry GRP 2017 Gross Regional Product Manufacturing Mining, Quarrying, and Oil and Gas Extrac on Government Retail Trade Agriculture, Forestry, Fishing and Hun ng Construc on U li es Finance and Insurance Accommoda on and Food Services Wholesale Trade Transporta on and Warehousing Health Care and Social Assistance Real Estate and Rental and Leasing Professional, Scien fic, and Technical Services Other Services (except Public Administra on) d Support and Waste Management and Remedia on Services Informa on Arts, Entertainment, and Recrea on Educa onal Services $0.000 $50.00M $100.0M $150.0M $200.0M $250.0M Emsi Q3 2018 Data Set www.economicmodeling.com 13

Industry Characteris cs - Cont. Top Industry Earnings 2017 Earnings Per Worker U li es Manufacturing Finance and Insurance Mining, Quarrying, and Oil and Gas Extrac on Transporta on and Warehousing Informa on Government Wholesale Trade Professional, Scien fic, and Technical Services Construc on Real Estate and Rental and Leasing Health Care and Social Assistance Retail Trade Agriculture, Forestry, Fishing and Hun ng Arts, Entertainment, and Recrea on Educa onal Services d Support and Waste Management and Remedia on Services Other Services (except Public Administra on) Accommoda on and Food Services $0 $20,000 $40,000 $60,000 $80,000 $100,000 $120,000 Emsi Q3 2018 Data Set www.economicmodeling.com 14

Industry Characteris cs - Cont. Industry 2012 Jobs 2017 Jobs Change in Jobs % Change in Jobs 2017 LQ 2017 Earnings Per Worker 2017 GRP Government 1,814 1,860 46 +3% 1.23 $57,303 $118.22M Manufacturing 1,296 1,624 328 +25% 2.08 $82,310 $258.59M Retail Trade 1,218 1,284 66 +5% 1.26 $29,864 $71.79M Accommoda on and Food Services 904 1,052 148 +16% 1.23 $17,627 $34.93M Mining, Quarrying, and Oil and Gas Extrac on 955 744-211 -22% 18.89 $71,023 $191.13M Construc on 646 702 56 +9% 1.29 $37,436 $45.55M Health Care and Social Assistance 547 532-15 -3% 0.42 $31,679 $20.87M Other Services (except Public Administra on) Administra ve and Support and Waste Management and Remedia on Services 508 494-14 -3% 1.04 $22,115 $16.94M 287 276-11 -4% 0.45 $27,110 $11.93M Transporta on and Warehousing 164 234 70 +43% 0.67 $59,132 $29.14M Professional, Scien fic, and Technical Services 230 220-10 -4% 0.34 $49,537 $17.90M Finance and Insurance 212 206-6 -3% 0.52 $72,107 $36.28M Wholesale Trade 275 186-89 -32% 0.50 $53,843 $30.39M Real Estate and Rental and Leasing 134 132-2 -1% 0.79 $34,113 $20.59M Agriculture, Forestry, Fishing and Hun ng 129 125-4 -3% 1.05 $29,577 $65.40M Arts, Entertainment, and Recrea on 156 97-59 -38% 0.57 $29,403 $4.45M U li es 111 91-20 -18% 2.64 $131,768 $41.68M Informa on 28 32 4 +14% 0.18 $57,439 $5.29M Educa onal Services 33 27-6 -18% 0.10 $29,360 $923.14K Emsi Q3 2018 Data Set www.economicmodeling.com 15

Business Characteris cs 1,348 Companies Employ Your Workers Online profiles for your workers men on 1,348 companies as employers, with the top 10 appearing below. In the last 12 months, 388 companies in Palo Pinto County, TX posted job pos ngs, with the top 10 appearing below. Top Companies Profiles Top Companies Pos ng Unique Pos ngs Mineral Wells 57 Palo Pinto Insurance Agency 48 Pecofacet 39 Wal-Mart Stores, Inc. 24 Correc ons Corpora on of Am 19 Cantex Inc. 18 Baker Hughes Incorporated 16 Genesys Aerosystems Group, In 14 Ventama c, Ltd. 14 City of Mineral Wells 13 Chalk Mountain Services of Tex 346 CRST Interna onal, Inc. 330 Averi Express, Inc. 58 Palo Pinto County Hospital Dis 51 C.R. England, Inc. 49 Groendyke Transport Inc. 46 Heartland Express, Inc. 37 McLane Company, Inc. 37 Bay & Bay 34 Koch Trucking, Inc. 32 Emsi Q3 2018 Data Set www.economicmodeling.com 16

Business Characteris cs - Cont. Business Size Percentage Business Count A 1 to 4 employees 38.0% 423 A 5 to 9 employees 26.6% 296 A 10 to 19 employees 19.8% 221 A 20 to 49 employees 12.5% 139 A 50 to 99 employees 2.3% 26 A 100 to 249 employees 0.4% 4 A 250 to 499 employees 0.4% 5 *Business Data by DatabaseUSA.com is third-party data provided by Emsi to its customers as a convenience, and Emsi does not endorse or warrant its accuracy or consistency with other published Emsi data. In most cases, the Business Count will not match total companies with profiles on the summary tab. Emsi Q3 2018 Data Set www.economicmodeling.com 17

Workforce Characteris cs Largest Occupa ons Occupa on Jobs Na onal Average Office and Administra ve Support Produc on Food Prepara on and Serving Related Sales and Related Construc on and Extrac on Transporta on and Material Moving Healthcare Prac oners and Technical Installa on, Maintenance, and Repair Educa on, Training, and Library Management Building and Grounds Cleaning and Maintenance Personal Care and Service Business and Financial Opera ons Healthcare Support Protec ve Service Architecture and Engineering Community and Social Service Farming, Fishing, and Forestry Arts, Design, Entertainment, Sports, and Media Computer and Mathema cal Life, Physical, and Social Science Legal Military-only 0 200 400 600 800 1,000 1,200 1,400 Emsi Q3 2018 Data Set www.economicmodeling.com 18

Workforce Characteris cs - Cont. Top Growing Occupa ons Occupa on Jobs Growth Produc on Food Prepara on and Serving Related Healthcare Prac oners and Technical Sales and Related Transporta on and Material Moving Installa on, Maintenance, and Repair Community and Social Service Business and Financial Opera ons Farming, Fishing, and Forestry Management 0 50 100 150 Emsi Q3 2018 Data Set www.economicmodeling.com 19

Workforce Characteris cs - Cont. Top Occupa on LQ Occupa on LQ Produc on Construc on and Extrac on Installa on, Maintenance, and Repair Food Prepara on and Serving Related Farming, Fishing, and Forestry Architecture and Engineering Sales and Related Healthcare Prac oners and Technical Transporta on and Material Moving Educa on, Training, and Library Protec ve Service Office and Administra ve Support Building and Grounds Cleaning and Maintenance Management Healthcare Support Community and Social Service Personal Care and Service Life, Physical, and Social Science Business and Financial Opera ons Legal Arts, Design, Entertainment, Sports, and Media Military-only Computer and Mathema cal 0.00 1.00 Emsi Q3 2018 Data Set www.economicmodeling.com 20

Workforce Characteris cs - Cont. Top Occupa on Earnings 2017 Avg. Hourly Earnings Management Architecture and Engineering Computer and Mathema cal Legal Life, Physical, and Social Science Business and Financial Opera ons Healthcare Prac oners and Technical Community and Social Service Protec ve Service Educa on, Training, and Library Installa on, Maintenance, and Repair Arts, Design, Entertainment, Sports, and Media Produc on Construc on and Extrac on Transporta on and Material Moving Military-only Office and Administra ve Support Sales and Related Healthcare Support Farming, Fishing, and Forestry Building and Grounds Cleaning and Maintenance Food Prepara on and Serving Related Personal Care and Service $0.00 $10.00 $20.00 $30.00 $40.00 Emsi Q3 2018 Data Set www.economicmodeling.com 21

Workforce Characteris cs - Cont. Top Posted Occupa ons Unique Average Monthly Pos ngs Transporta on and Material Moving Sales and Related Healthcare Prac oners and Technical Installa on, Maintenance, and Repair Food Prepara on and Serving Related Management Office and Administra ve Support Educa on, Training, and Library Produc on Business and Financial Opera ons Healthcare Support Personal Care and Service Arts, Design, Entertainment, Sports, and Media Computer and Mathema cal Construc on and Extrac on Architecture and Engineering Community and Social Service Building and Grounds Cleaning and Maintenance 0 50 100 150 200 250 Emsi Q3 2018 Data Set www.economicmodeling.com 22

Workforce Characteris cs - Cont. Occupa on 2012 Jobs 2017 Jobs Change in Jobs % Change in Jobs 2017 LQ 2017 Avg. Hourly Earnings Sep 2017 - Aug 2018 Unique Average Monthly Pos ngs Office and Administra ve Support 1,303 1,290-13 -1% 0.88 $16.04 21 Produc on 936 1,121 185 +20% 1.93 $18.07 19 Food Prepara on and Serving Related 922 1,062 140 +15% 1.27 $10.99 28 Sales and Related 1,007 1,033 26 +3% 1.04 $15.32 62 Construc on and Extrac on Transporta on and Material Moving Healthcare Prac oners and Technical Installa on, Maintenance, and Repair Educa on, Training, and Library 888 800-88 -10% 1.78 $17.78 5 647 671 24 +4% 1.01 $17.20 298 513 560 47 +9% 1.01 $29.45 44 508 526 18 +4% 1.35 $20.57 34 546 522-24 -4% 0.92 $20.90 21 Management 423 426 3 +1% 0.77 $42.46 22 Building and Grounds Cleaning and Maintenance Personal Care and Service Business and Financial Opera ons 335 318-17 -5% 0.87 $11.44 3 301 291-10 -3% 0.68 $10.63 8 243 256 13 +5% 0.50 $31.02 17 Healthcare Support 214 205-9 -4% 0.76 $12.29 9 Protec ve Service 202 202 0 0% 0.90 $21.45 1 Architecture and Engineering Community and Social Service 201 180-21 -10% 1.08 $41.43 4 106 123 17 +16% 0.75 $22.57 3 Emsi Q3 2018 Data Set www.economicmodeling.com 23

Workforce Characteris cs - Cont. Occupa on 2012 Jobs 2017 Jobs Change in Jobs % Change in Jobs 2017 LQ 2017 Avg. Hourly Earnings Sep 2017 - Aug 2018 Unique Average Monthly Pos ngs Farming, Fishing, and Forestry Arts, Design, Entertainment, Sports, and Media Computer and Mathema cal Life, Physical, and Social Science 83 90 7 +8% 1.19 $11.68 0 89 86-3 -3% 0.47 $20.09 5 75 75 0 0% 0.26 $34.78 5 47 44-3 -6% 0.55 $31.61 0 Legal 40 40 0 0% 0.48 $31.63 0 Military-only 25 24-1 -4% 0.47 $16.07 0 Emsi Q3 2018 Data Set www.economicmodeling.com 24

Educa onal Pipeline Over the last 5 years, no schools in Palo Pinto County, TX produced graduates. Emsi Q3 2018 Data Set www.economicmodeling.com 25

Economic Overview Palo Pinto County, Texas September 21, 2018

DEMOGRAPHIC PROFILE... 3 EMPLOYMENT TRENDS... 5 UNEMPLOYMENT RATE... 5 WAGE TRENDS... 6 COST OF LIVING INDEX... 7 INDUSTRY SNAPSHOT... 8 OCCUPATION SNAPSHOT... 10 INDUSTRY CLUSTERS... 12 EDUCATION LEVELS... 13 GROSS DOMESTIC PRODUCT... 14 FAQ... 15 Source: JobsEQ, http://www.chmuraecon.com/jobseq Copyright 2018 Chmura Economics & Analytics, All Rights Reserved. 2

Demographic Profile The population in Palo Pinto County, Texas was 27,922 per American Community Survey data for 2012-2016. The region has a civilian labor force of 12,780 with a participation rate of 58.0%. Of individuals 25 to 64 in Palo Pinto County, Texas, 12.9% have a bachelor s degree or higher which compares with 31.8% in the nation. The median household income in Palo Pinto County, Texas is $42,824 and the median house value is $87,000. Demographics Summary 1 Percent Palo Pinto County, Texas Texas USA Value Palo Pinto County, Texas Texas USA Population (ACS) 27,922 26,956,435 318,558,162 Male 49.3% 49.6% 49.2% 13,754 13,379,165 156,765,322 Female 50.7% 50.4% 50.8% 14,168 13,577,270 161,792,840 Median Age 2 41.5 34.2 37.7 Under 18 Years 23.8% 26.5% 23.1% 6,636 7,132,476 73,612,438 18 to 24 Years 8.4% 10.2% 9.8% 2,339 2,738,831 31,296,577 25 to 34 Years 10.7% 14.5% 13.6% 2,978 3,915,774 43,397,907 35 to 44 Years 11.5% 13.5% 12.7% 3,205 3,642,463 40,548,400 45 to 54 Years 13.7% 12.9% 13.6% 3,830 3,471,589 43,460,466 55 to 64 Years 13.8% 11.0% 12.6% 3,844 2,958,735 40,061,742 65 to 74 Years 10.6% 6.8% 8.3% 2,963 1,828,562 26,355,308 75 Years, and Over 7.6% 4.7% 6.2% 2,127 1,268,005 19,825,324 Race: White 91.5% 74.8% 73.3% 25,558 20,174,403 233,657,078 Race: Black or African American 2.3% 11.9% 12.6% 638 3,221,133 40,241,818 Race: American Indian and Alaska Native 1.2% 0.5% 0.8% 331 128,145 2,597,817 Race: Asian 0.5% 4.4% 5.2% 136 1,175,423 16,614,625 Race: Native Hawaiian and Other Pacific Islander 0.1% 0.1% 0.2% 25 22,248 560,021 Race: Some Other Race 2.7% 5.8% 4.8% 767 1,561,683 15,133,856 Race: Two or More Races 1.7% 2.5% 3.1% 467 673,400 9,752,947 Hispanic or Latino (of any race) 19.6% 38.6% 17.3% 5,470 10,413,150 55,199,107 Population Growth Population (Pop Estimates) 5 28,570 28,304,596 325,719,178 Population Annual Average Growth 5 0.3% 1.7% 0.8% 89 447,261 2,448,797 Economic Labor Force Participation Rate and Size (civilian population 16 years and over) 58.0% 64.5% 63.3% 12,780 13,219,523 159,807,099 Armed Forces Labor Force 0.1% 0.5% 0.4% 26 92,754 1,011,641 Veterans, Age 18-64 6.2% 5.4% 5.1% 999 895,966 10,165,671 Veterans Labor Force Participation Rate and Size, Age 18-64 61.7% 77.5% 75.4% 616 694,733 7,664,089 Median Household Income 2 $42,824 $54,727 $55,322 Per Capita Income $24,891 $27,828 $29,829 Poverty Level (of all people) 17.9% 16.7% 15.1% 4,916 4,397,307 46,932,225 Households Receiving Food Stamps 14.3% 13.1% 13.0% 1,488 1,220,336 15,360,951 Mean Commute Time (minutes) 23.5 25.9 26.1 Commute via Public Transportation 0.3% 1.5% 5.1% 30 188,919 7,476,312 Educational Attainment, Age 25-64 Source: JobsEQ, http://www.chmuraecon.com/jobseq Copyright 2018 Chmura Economics & Analytics, All Rights Reserved. 3

Summary 1 Percent Palo Pinto County, Texas Texas USA Value Palo Pinto County, Texas Texas USA No High School Diploma 15.7% 16.5% 11.6% 2,176 2,303,492 19,478,050 High School Graduate 37.6% 24.7% 26.1% 5,211 3,452,488 43,788,541 Some College, No Degree 28.2% 22.7% 21.5% 3,914 3,174,603 36,025,193 Associate's Degree 5.6% 7.3% 8.9% 770 1,015,736 14,962,488 Bachelor's Degree 9.1% 19.4% 20.2% 1,255 2,710,069 33,845,524 Postgraduate Degree 3.8% 9.5% 11.6% 531 1,332,173 19,368,719 Housing Total Housing Units 15,323 10,441,643 134,054,899 Median House Value (of owner-occupied units) 2 $87,000 $142,700 $184,700 Homeowner Vacancy 3.5% 1.6% 1.8% 261 94,289 1,395,797 Rental Vacancy 12.7% 7.6% 6.2% 485 294,244 2,855,844 Renter-Occupied Housing Units (% of Occupied Units) 31.8% 38.1% 36.4% 3,308 3,542,096 42,835,169 Occupied Housing Units with No Vehicle Available (% of Occupied Units) Social 7.3% 5.6% 9.0% 758 523,186 10,562,847 Enrolled in Grade 12 (% of total population) 1.0% 1.4% 1.4% 279 390,416 4,433,703 Disconnected Youth 4 4.6% 3.2% 2.8% 70 48,770 485,589 Children in Single Parent Families (% of all children) 42.8% 35.2% 34.7% 2,532 2,392,053 24,318,038 With a Disability, Age 18-64 16.0% 9.8% 10.3% 2,562 1,608,392 20,188,257 With a Disability, Age 18-64, Labor Force Participation Rate and Size 40.1% 44.2% 41.0% 1,027 710,611 8,278,834 Foreign Born 6.6% 16.7% 13.2% 1,849 4,494,345 42,194,354 Speak English Less Than Very Well (population 5 yrs and over) 6.7% 14.1% 8.5% 1,746 3,518,972 25,440,956 Union Membership Total 3 5.5% 4.3% 10.7% Private Sector 3 2.5% 2.3% 6.4% Manufacturing 3 4.5% 3.5% 8.7% Public Sector 3 16.8% 15.5% 35.1% Source: JobsEQ 1. American Community Survey 2012-2016, unless noted otherwise 2. Median values for certain aggregate regions (such as MSAs) may be estimated as the weighted averages of the median values from the composing counties. 3. 2017; Current Population Survey, unionstats.com, and Chmura; county- and zip-level data are best estimates based upon industry-, MSA-, and state-level data 4. Disconnected Youth are 16-19 year olds who are (1) not in school, (2) not high school graduates, and (3) either unemployed or not in the labor force. 5. Census 2017, annual average growth rate since 2007 Source: JobsEQ, http://www.chmuraecon.com/jobseq Copyright 2018 Chmura Economics & Analytics, All Rights Reserved. 4

Employment Trends As of 2018Q2, total employment for Palo Pinto County, Texas was 10,210 (based on a four-quarter moving average). Over the year ending 2018Q2, employment declined 0.2% in the region. Employment data are derived from the Quarterly Census of Employment and Wages, provided by the Bureau of Labor Statistics and imputed where necessary. Data are updated through 2017Q4 with preliminary estimates updated to 2018Q2. Unemployment Rate The seasonally adjusted unemployment rate for Palo Pinto County, Texas was 3.3% as of July 2018. The regional unemployment rate was lower than the national rate of 3.9%. One year earlier, in July 2017, the unemployment rate in Palo Pinto County, Texas was 3.9%. Unemployment rate data are from the Local Area Unemployment Statistics, provided by the Bureau of Labor Statistics and updated through July 2018. Source: JobsEQ, http://www.chmuraecon.com/jobseq Copyright 2018 Chmura Economics & Analytics, All Rights Reserved. 5

Wage Trends The average worker in Palo Pinto County, Texas earned annual wages of $41,877 as of 2018Q2. Average annual wages per worker increased 6.4% in the region during the preceding four quarters. For comparison purposes, annual average wages were $55,223 in the nation as of 2018Q2. Annual average wages per worker data are derived from the Quarterly Census of Employment and Wages, provided by the Bureau of Labor Statistics and imputed where necessary. Data are updated through 2017Q4 with preliminary estimates updated to 2018Q2. Source: JobsEQ, http://www.chmuraecon.com/jobseq Copyright 2018 Chmura Economics & Analytics, All Rights Reserved. 6

Cost of Living Index The Cost of Living Index estimates the relative price levels for consumer goods and services. When applied to wages and salaries, the result is a measure of relative purchasing power. The cost of living is 8.9% lower in Palo Pinto County, Texas than the U.S. average. Cost of Living Information Annual Average Salary Cost of Living Index (Base US) US Purchasing Power Palo Pinto County, Texas $41,877 91.1 $45,958 Texas $55,110 94.3 $58,438 USA $55,223 100.0 $55,223 Source: JobsEQ Data as of 2018Q2 Cost of Living per C2ER, data as of 2018q1, imputed by Chmura where necessary. Source: JobsEQ, http://www.chmuraecon.com/jobseq Copyright 2018 Chmura Economics & Analytics, All Rights Reserved. 7

Industry Snapshot The largest sector in Palo Pinto County, Texas is Manufacturing, employing 1,720 workers. The next-largest sectors in the region are Retail Trade (1,248 workers) and Accommodation and Food Services (1,063). High location quotients (LQs) indicate sectors in which a region has high concentrations of employment compared to the national average. The sectors with the largest LQs in the region are Mining, Quarrying, and Oil and Gas Extraction (LQ = 17.41), Agriculture, Forestry, Fishing and Hunting (3.85), and Utilities (3.33). Employment data are derived from the Quarterly Census of Employment and Wages, provided by the Bureau of Labor Statistics and imputed where necessary. Data are updated through 2017Q4 with preliminary estimates updated to 2018Q2. Sectors in Palo Pinto County, Texas with the highest average wages per worker are Management of Companies and Enterprises ($79,481), Utilities ($75,226), and Manufacturing ($70,771). Regional sectors with the best job growth (or most moderate job losses) over the last 5 years are Manufacturing (+362 jobs), Accommodation and Food Services (+129), and Health Care and Social Assistance (+70). Over the next 10 years, employment in Palo Pinto County, Texas is projected to expand by 318 jobs. The fastest growing sector in the region is expected to be Mining, Quarrying, and Oil and Gas Extraction with a +2.0% year-overyear rate of growth. The strongest forecast by number of jobs over this period is expected for Mining, Quarrying, and Oil and Gas Extraction (+167 jobs), Health Care and Social Assistance (+115), and Accommodation and Food Services (+62). Source: JobsEQ, http://www.chmuraecon.com/jobseq Copyright 2018 Chmura Economics & Analytics, All Rights Reserved. 8

NAICS Industry Empl 11 21 Agriculture, Forestry, Fishing and Hunting Mining, Quarrying, and Oil and Gas Extraction Current 5-Year History 10-Year Forecast Four Quarters Ending with 2018q2 Total Change Avg Ann % Chg in Empl Avg Ann Wages LQ Empl Region Separations (Approximate) Total New Demand Exits Transfers Empl ---Growth--- 542 $10,360 3.85-23 -0.8% 621 258 339 24 0.4% 751 $65,162 17.41-106 -2.6% 1,008 275 566 167 2.0% 22 Utilities 179 $75,226 3.33-25 -2.6% 160 58 103-1 -0.1% 23 Construction 689 $42,652 1.20 30 0.9% 745 251 448 47 0.7% 31 Manufacturing 1,720 $70,771 2.05 362 4.8% 1,581 636 1,085-139 -0.8% 42 Wholesale Trade 183 $49,829 0.46-100 -8.4% 180 71 117-8 -0.5% 44 Retail Trade 1,248 $26,019 1.15 6 0.1% 1,653 733 927-6 0.0% 48 Transportation and Warehousing Avg Ann Rate 270 $52,549 0.60 62 5.4% 277 121 162-6 -0.2% 51 Information 44 $41,989 0.22 7 3.7% 43 16 27 0-0.1% 52 Finance and Insurance 208 $69,766 0.51 6 0.6% 203 76 122 6 0.3% 53 54 55 56 Real Estate and Rental and Leasing Professional, Scientific, and Technical Services Management of Companies and Enterprises Administrative and Support and Waste Management and Remediation Services 125 $34,203 0.71 0 0.1% 122 57 68-3 -0.3% 206 $47,123 0.31-24 -2.2% 199 68 114 17 0.8% 18 $79,481 0.12 7 10.4% 17 6 10 1 0.3% 274 $24,333 0.41-3 -0.2% 341 138 187 17 0.6% 61 Educational Services 883 $41,458 1.05-61 -1.3% 839 396 426 17 0.2% 62 71 72 81 Health Care and Social Assistance Arts, Entertainment, and Recreation Accommodation and Food Services Other Services (except Public Administration) 900 $39,631 0.62 70 1.6% 1,011 440 456 115 1.2% 92 $28,032 0.45-68 -10.5% 138 59 73 6 0.6% 1,063 $16,625 1.16 129 2.6% 1,831 783 986 62 0.6% 443 $24,819 0.99-5 -0.2% 510 231 275 5 0.1% 92 Public Administration 362 $50,605 0.76-1 0.0% 333 141 192 1 0.0% 99 Unclassified 10 $29,963 0.56 6 18.8% 12 5 7 0 0.3% Total - All Industries 10,210 $41,877 1.00 271 0.5% 11,618 4,840 6,460 318 0.3% Source: JobsEQ Employment data are derived from the Quarterly Census of Employment and Wages, provided by the Bureau of Labor Statistics and imputed where necessary. Data are updated through 2017Q4 with preliminary estimates updated to 2018Q2. Forecast employment growth uses national projections adapted for regional growth patterns. Source: JobsEQ, http://www.chmuraecon.com/jobseq Copyright 2018 Chmura Economics & Analytics, All Rights Reserved. 9

Occupation Snapshot The largest major occupation group in Palo Pinto County, Texas is Office and Administrative Support Occupations, employing 1,273 workers. The next-largest occupation groups in the region are Production Occupations (1,136 workers) and Food Preparation and Serving Related Occupations (1,039). High location quotients (LQs) indicate occupation groups in which a region has high concentrations of employment compared to the national average. The major groups with the largest LQs in the region are Production Occupations (LQ = 1.83), Construction and Extraction Occupations (1.75), and Management Occupations (1.50). Occupation groups in Palo Pinto County, Texas with the highest average wages per worker are Management Occupations ($105,700), Architecture and Engineering Occupations ($82,500), and Computer and Mathematical Occupations ($72,200). The unemployment rate in the region varied among the major groups from 0.9% among Management Occupations to 6.3% among Farming, Fishing, and Forestry Occupations. Over the next 10 years, the fastest growing occupation group in Palo Pinto County, Texas is expected to be Healthcare Support Occupations with a +1.5% year-over-year rate of growth. The strongest forecast by number of jobs over this period is expected for Construction and Extraction Occupations (+115 jobs) and Food Preparation and Serving Related Occupations (+64). Over the same period, the highest separation demand (occupation demand due to retirements and workers moving from one occupation to another) is expected in Food Preparation and Serving Related Occupations (1,818 jobs) and Sales and Related Occupations (1,423). Occupation Snapshot in Palo Pinto County, Texas, 2018q2 Current 5-Year History 10-Year Forecast Avg Ann Four Quarters Ending with 2018q2 -----2018q2----- Total Change % Chg in Empl --Separations-- ---Growth--- SOC Occupation Empl Avg Ann Wages 1 LQ Unempl Unempl Rate Online Job Ads 2 Empl Region Total New Demand Exits Transfer Empl Avg Ann Rate 11-0000 Management 918 $105,700 1.50 9 0.9% 13-7 -0.2% 741 396 304 41 0.4% 13-0000 15-0000 17-0000 19-0000 21-0000 Business and Financial Operations Computer and Mathematical Architecture and Engineering Life, Physical, and Social Science Community and Social Service 275 $66,200 0.52 8 2.5% 6-1 -0.1% 254 83 161 9 0.3% 95 $72,200 0.32 3 2.2% 2 4 0.9% 62 16 46 0 0.0% 208 $82,500 1.21 3 1.6% 4-8 -0.8% 159 54 98 7 0.3% 49 $66,100 0.59 1 2.5% 6-6 -2.4% 53 14 34 6 1.1% 126 $47,500 0.77 3 1.8% 5 10 1.7% 154 53 87 14 1.1% 23-0000 Legal 59 $69,900 0.72 1 1.8% 0-5 -1.7% 39 15 20 4 0.6% 25-0000 27-0000 29-0000 Education, Training, and Library Arts, Design, Entertainment, Sports, and Media Healthcare Practitioners and Technical 618 $41,100 1.08 20 2.9% 40-34 -1.1% 540 261 256 23 0.4% 96 $41,600 0.52 2 1.6% 1-10 -2.0% 96 42 52 2 0.2% 405 $67,300 0.70 6 1.2% 20 36 1.9% 257 114 115 29 0.7% 31-0000 Healthcare Support 189 $27,200 0.66 8 3.0% 9-1 -0.1% 256 117 110 30 1.5% 33-0000 Protective Service 135 $40,800 0.62 5 2.8% 5-3 -0.4% 131 62 70 0 0.0% 35-0000 37-0000 39-0000 Food Preparation and Serving Related Building and Grounds Cleaning and Maintenance Personal Care and Service 1,039 $23,000 1.18 77 5.8% 35 112 2.3% 1,882 822 996 64 0.6% 316 $24,900 0.88 20 4.4% 5 2 0.1% 412 191 206 15 0.5% 280 $24,300 0.71 13 3.5% 8-19 -1.3% 470 220 210 39 1.3% Source: JobsEQ, http://www.chmuraecon.com/jobseq Copyright 2018 Chmura Economics & Analytics, All Rights Reserved. 10

Occupation Snapshot in Palo Pinto County, Texas, 2018q2 Current 5-Year History 10-Year Forecast Four Quarters Ending with Total Avg Ann % Chg in 2018q2 -----2018q2----- Change Empl --Separations-- ---Growth--- SOC Occupation Empl Avg Ann Wages 1 LQ Unempl Unempl Rate Online Job Ads 2 Empl Region Total New Demand Exits Transfer Empl Avg Ann Rate 41-0000 Sales and Related 1,013 $32,500 0.97 52 4.1% 60-12 -0.2% 1,419 636 787-4 0.0% 43-0000 45-0000 47-0000 Office and Administrative Support Farming, Fishing, and Forestry Construction and Extraction 49-0000 Installation, Maintenance, and Repair 1,273 $34,000 0.84 52 3.2% 18-5 -0.1% 1,334 649 731-45 -0.4% 32 $27,100 0.47 5 6.3% 2-12 -6.0% 47 12 35 0 0.0% 812 $42,000 1.75 58 5.5% 7-5 -0.1% 1,027 283 628 115 1.3% 477 $45,200 1.22 16 2.6% 32 12 0.5% 477 171 283 23 0.5% 51-0000 Production 1,136 $36,700 1.83 50 4.1% 11 202 4.0% 1,117 413 782-79 -0.7% 53-0000 Transportation and Material Moving 661 $35,700 0.93 40 4.2% 49 22 0.7% 804 310 469 25 0.4% Total - All Occupations 10,210 $41,200 1.00 n/a n/a 337 271 0.5% 11,732 4,935 6,479 318 0.3% Source: JobsEQ Data as of 2018Q2 unless noted otherwise Note: Figures may not sum due to rounding. 1. Occupation wages are as of 2017 and should be taken as the average for all Covered Employment 2. Data represent found online ads active within the last thirty days in the selected region; data represents a sampling rather than the complete universe of postings. Ads lacking zip code information but designating a place (city, town, etc.) may be assigned to the zip code with greatest employment in that place for queries in this analytic. Due to alternative county-assignment algorithms, ad counts in this analytic may not match that shown in RTI (nor in the popup window ad list). Occupation employment data are estimated via industry employment data and the estimated industry/occupation mix. Industry employment data are derived from the Quarterly Census of Employment and Wages, provided by the Bureau of Labor Statistics and currently updated through 2017Q4, imputed where necessary with preliminary estimates updated to 2018Q2. Wages by occupation are as of 2017 provided by the BLS and imputed where necessary. Forecast employment growth uses national projections from the Bureau of Labor Statistics adapted for regional growth patterns. Source: JobsEQ, http://www.chmuraecon.com/jobseq Copyright 2018 Chmura Economics & Analytics, All Rights Reserved. 11

Industry Clusters A cluster is a geographic concentration of interrelated industries or occupations. The industry cluster in Palo Pinto County, Texas with the highest relative concentration is Coal/Oil/Power with a location quotient of 9.50. This cluster employs 862 workers in the region with an average wage of $71,809. Employment in the Coal/Oil/Power cluster is projected to expand in the region about 1.7% per year over the next ten years. Location quotient and average wage data are derived from the Quarterly Census of Employment and Wages, provided by the Bureau of Labor Statistics, imputed where necessary, and updated through 2017Q4 with preliminary estimates updated to 2018Q2. Forecast employment growth uses national projections from the Bureau of Labor Statistics adapted for regional growth patterns. Source: JobsEQ, http://www.chmuraecon.com/jobseq Copyright 2018 Chmura Economics & Analytics, All Rights Reserved. 12

Education Levels Expected growth rates for occupations vary by the education and training required. While all employment in Palo Pinto County, Texas is projected to grow 0.3% over the next ten years, occupations typically requiring a postgraduate degree are expected to grow 0.7% per year, those requiring a bachelor s degree are forecast to grow 0.4% per year, and occupations typically needing a 2-year degree or certificate are expected to grow 0.6% per year. Employment by occupation data are estimates are as of 2018Q2. Education levels of occupations are based on BLS assignments. Forecast employment growth uses national projections from the Bureau of Labor Statistics adapted for regional growth patterns. Source: JobsEQ, http://www.chmuraecon.com/jobseq Copyright 2018 Chmura Economics & Analytics, All Rights Reserved. 13

Gross Domestic Product Gross Domestic Product (GDP) is the total value of goods and services produced by a region. In 2017, nominal GDP in Palo Pinto County, Texas expanded 7.6%. This follows a contraction of 6.6% in 2016. As of 2017, total GDP in Palo Pinto County, Texas was $981,629,000. Gross Domestic Product data are provided by the Bureau of Economic Analysis, imputed by Chmura where necessary, updated through 2017. Of the sectors in Palo Pinto County, Texas, Manufacturing contributed the largest portion of GDP in 2017, $295,060,000 The next-largest contributions came from Mining, Quarrying, and Oil and Gas Extraction ($93,036,000); Retail Trade ($81,467,000); and Construction ($70,500,000). Gross Domestic Product data are provided by the Bureau of Economic Analysis, imputed by Chmura where necessary, updated through 2017. Source: JobsEQ, http://www.chmuraecon.com/jobseq Copyright 2018 Chmura Economics & Analytics, All Rights Reserved. 14

FAQ What is a location quotient? A location quotient (LQ) is a measurement of concentration in comparison to the nation. An LQ of 1.00 indicates a region has the same concentration of an industry (or occupation) as the nation. An LQ of 2.00 would mean the region has twice the expected employment compared to the nation and an LQ of 0.50 would mean the region has half the expected employment in comparison to the nation. What is separation demand? Separation demand is the number of jobs required due to separations labor force exits (including retirements) and turnover resulting from workers moving from one occupation into another. Note that separation demand does not include all turnover it does not include when workers stay in the same occupation but switch employers. The total projected demand for an occupation is the sum of the separation demand and the growth demand (which is the increase or decrease of jobs in an occupation expected due to expansion or contraction of the overall number of jobs in that occupation). What is a cluster? A cluster is a geographic concentration of interrelated industries or occupations. If a regional cluster has a location quotient of 1.25 or greater, the region is considered to possess a competitive advantage in that cluster. What is the difference between industry wages and occupation wages? Industry wages and occupation wages are estimated via separate data sets, often the time periods being reported do not align, and wages are defined slightly differently in the two systems (for example, certain bonuses are included in the industry wages but not the occupation wages). It is therefore common that estimates of the average industry wages and average occupation wages in a region do not match exactly. What is NAICS? The North American Industry Classification System (NAICS) is used to classify business establishments according to the type of economic activity. The NAICS Code comprises six levels, from the all industry level to the 6-digit level. The first two digits define the top level category, known as the sector, which is the level examined in this report. What is SOC? The Standard Occupational Classification system (SOC) is used to classify workers into occupational categories. All workers are classified into one of over 820 occupations according to their occupational definition. To facilitate classification, occupations are combined to form 23 major groups, 96 minor groups, and 449 occupation groups. Each occupation group includes detailed occupations requiring similar job duties, skills, education, or experience. About This Report This report and all data herein were produced by JobsEQ, a product of Chmura Economics & Analytics. The information contained herein was obtained from sources we believe to be reliable. However, we cannot guarantee its accuracy and completeness. Source: JobsEQ, http://www.chmuraecon.com/jobseq Copyright 2018 Chmura Economics & Analytics, All Rights Reserved. 15