Research conducted by:Marsha R. B. Schachtel

Shelley E. SpruillJohns Hopkins Institute for Policy Studies

ACS – General Membership Meeting Report ReleaseSeptember 21, 2011

Making Ends Meet in Howard County

ACS – “Work Support Initiative”

An Inclusive Customer Centric Model

CustomerThe Working Poor

Employment

Health Care

Education

Housing

Child Care

Training

Transportation

Socialization

Mentoring

Community

Inclusion

Family

Income Support

Programs

Money Managemen

t

Focus

Group

Outputs

Monitoring of Policy Changes

I Self-sufficiency income in Howard County and effects of increasing wages on eligibility for work support programs

II Portrait of Howard County’s working poor ◦ profile◦ citizenship◦ educational attainment◦ household composition◦ Individual income

III Paths to self-sufficiency ◦ projected growth industries in Maryland ◦ occupations that pay self-sufficiency wages◦ training and education needed to obtain jobs within growth industries

Study Elements

Cost of Living in Howard County1

  One Adult

Two Adults

Two Adults

One Infant

One Adult Two Teens

One Adult Two

Preschoolers

Major Costs per year

Housing 14,220 14,220 17,064 17,064 17,064Child Care 0 0 11,280 0 21,180Food 2,748 5,412 6,612 10,236 5,532Transportation

3,120 6,024 6,096 3,120 3,192

Health Care 1,764 4,932 5,076 5,076 4,452Miscellaneous

2,184 3,060 4,608 996 5,148

Taxes 7,476 8,784 12,792 8,388 15,432Self-Sufficiency Annual Income

31,517 ($14.9/hr)

42,432($10.2/hr)

63,537($15.3/hr)

47,437($22.8/hr)

72,000($34.6/hr)

Federal Poverty Level 2009

10,830 14,570 18,310 18,310 18,310

1 Howard County Maryland Self-Sufficiency Indicators Report (2009 and 2010) based

on the Self-Sufficiency Standard for Maryland updated in 2007 by the Center for

Women’s Welfare, University of WashingtonI. HC Self-Sufficiency

“Working Poor Individual”

HC self-sufficiency wage $31,5172009 FPL -$10,830 Difference $20,687

Minimum wage: $7.25/hour

20 hours/week = $145 ($7,540) 30 hours/week= $217.5 ($11,310)40 hours/week = $290 ($15,080)60 hours/week = $435 ($22,620)80 hours/week= $580 ($30,160)

There are 29,284 working poor individuals (17+) in Howard County

I. HC Self-Sufficiency

Household composition

FPL (2009)

Howard County self-sufficiency income

(% of FPL)One adult $10,830 $31,517 (291%)

2 adults $14,570 $42,432 (291%)

2 adults and one infant

$18,310 $63,537 (347%)

1 adult and two teens

$18,310 $47,437 (259%)

1 adult and two preschoolers

$18,310 $72,000 (393%)

Working Poor Households

I. HC Self-Sufficiency

7750 working poor households in Howard County

FoodSupplemental Nutrition Assistance Program (SNAP)Free and Reduced Meals (FARMs)Women, Infants and Children Nutrition Supplemental Program (WIC)

HousingHouse Choice Voucher ProgramPublic Housing UnitsEviction Prevention Assistance

HealthMedicaidPrimary Adult Care (PAC)Maryland Children’s Health Programs (MCHP)

Financial and Bill PaymentTemporary Cash Assistance (TCA)Home Energy Assistance (MEAP and EUSP)

Child Care Child Care SubsidyHead Start

HC Public Assistance (Work Support) Programs

I. HC Self-Sufficiency

7.25/hr, 20 hrs/wk

($7,540)

7.25/hr, 30 hrs/wk

($11,310)

7.25/hr , 40 hrs/wk

($15,080)

9.25/hr ($19,240)

11.25/hr ($23,400)

13.25/hr ($27,560)

15.25/hr ($31,720)

$8,000

$6,000

$4,000

$2,000

$0

$2,000

$4,000

$6,000

$8,000

Hourly Wages (Annual Earnings)

Re

so

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es M

inu

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xp

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se

s (

An

nu

al)

Loss of Earned Income Tax Credit

Loss of Food Stamps

Loss of Primary Adult Care

Loss of Eviction Prevention

s

Loss of Food Bank Grants

Loss of Home Energy Assistance

Loss of Eligibility for Public Housing

Loss of Tax Assistance

I. HC Self-Sufficiency

Work Support Effect (as wages increase)1 adult

7.25/hr, 20 hrs/wk

($7,540)

7.25/hr, 30 hrs/wk

($11,310)

7.25/hr, 40 hrs/wk

($15,080)

9.25/hr ($19,240)

11.25/hr ($23,400)

13.25/hr ($27,560)

15.25/hr ($31,720)$1,000

$0

$1,000

$2,000

$3,000

$4,000

$5,000

$6,000

$7,000

$8,000

Hourly Wages (Annual Earnings)

Re

so

urc

es M

inu

s E

xp

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An

nu

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Ea

rnin

gs)

Loss of TCA

Loss of SNAP

FARM Benefits Reduced

Loss of Medicaid Eligibility

Loss of HCVP

Loss of Eviction Prevention

I. HC Self-Sufficiency

Work Support Effect1 adult; 2 teens

7.25/hr, 20 hrs/wk

($7,540)

7.25/hr, 30 hrs/wk

($11,310)

7.25/hr, 40 hrs/wk

($15,080)

9.25/hr ($19,240)

11.25/hr ($23,400)

13.25/hr ($27,560)

15.25/hr ($31,720)

$20,000

$15,000

$10,000

$5,000

$0

$5,000

$10,000

$15,000

Hourly Wages (Annual Earnings)

Re

so

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es M

inu

s E

xp

en

se

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An

nu

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Ea

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gs)

Loss of TCA

Loss of Food Stamps

Loss of HCVP

Loss of Eviction Prevention

Loss of Child Care Subsidy

Loss of Head Start

Loss of Medicaid

I. HC Self-Sufficiency

Work Support Effect 1 adult; 2 preschoolers

7.25/hr, 20 hrs/wk

($15,080)

7.25/hr, 30 hrs/wk

($22,620)

7.25/hr, 40 hrs/wk

($30,160)

9.25/hr ($38,480)

11.25/hr ($46,800)

13.25/hr ($55,120)

15.25/hr ($63,440)

$15,000

$10,000

$5,000

$0

$5,000

$10,000

$15,000

$20,000

$25,000

Hourly Wages (Annual Earnings)

Re

so

urc

es M

inu

s E

xp

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An

nu

al)

Loss of Primary Adult Care

Loss of EITC

Loss of Food Stamps

Loss of Eviction Prevention

Loss of HCVP

Loss of Food Bank Grants

Loss of Home Energy Assistance

Loss of Tax Assistance

Loss of Public Housing Eligibility

Work Support Effect2 adult family

I. HC Self-Sufficiency

7.25/hr, 20 hrs/wk

($15,080)

7.25/hr, 30 hrs/wk

($22,620)

7.25/hr, 40 hrs/wk

($30,160)

9.25/hr ($38,480)

11.25/hr ($46,800)

13.25/hr ($55,120)

15.25/hr ($63,440)

$16,000

$14,000

$12,000

$10,000

$8,000

$6,000

$4,000

$2,000

$0

Hourly Wages (Annual Earnings)

Re

so

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es M

inu

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xp

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se

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An

nu

al)

Loss of Medicaid Loss of

Food Stamps

Loss of HCVP

Lose Eviction Prevention

Loss of Child Care Subsidy

Loss of Food Bank Grants& Home Energy Assistance

Loss of WIC

Loss of MCHP

Loss of EITC

Loss Public Housing Eligibility

I. HC Self-Sufficiency

Work Support Effect2 adults; 1 infant

  All Howard County

Working Poor

Working age (17-64) 92% 97%

Female 50.7% 58.8%

Marital Status Married Separated Never Married

 59%

1.9%27.9%

 49%

3.1%38.2%

Hispanic/Latino/Spanish 5% 10%

Ability to Speak English (not well or at all)

7% 19%

Profile of the Working Poor

Source: Census Bureau’s Public Use Microdata Sample (PUMS) for the two PUMAs (Public Use Microdata Areas) that comprise Howard County (901 and 902)

II. HC Working Poor

U.S. citizen 76%

Born in PR, Guam, USVI, No. Marianas

<1%

Born abroard to American parents

2%

U.S. citizen by naturalization

11%

Not a U.S. citizen11%

Citizenship Status

II. HC Working Poor

Educational Attainment

II. HC Working Poor

26%One adult

32% one adult w/

children

13%two adults

24%two adultsw/children

3% threeadults

2% three adults w/children

Household Composition

II. HC Working Poor

19% $10,830-$14,999

20%$15,000-$19,999

25%$20,000-$24,999

20%$25,000-

$29,999

16%$30,000-$31,517

Individual Income

II. HC Working Poor

Working Poor

Employment Status 16+Working Poor

Howard

County

Civilian Employed 89% 70%

Unemployed 5% 3%

Not in Labor Force 6% 27%

III. Paths toSelf-Sufficiency

Industry Working Poor

Howard Co

Retail trade 16.6% 8.6%

Education services 11.0%

23.0%Medical services (medical offices, hospitals, nursing care) 10.5%

Miscellaneous services (repair, personal, private households)

8.8% 5.3%

Entertainment, arts & recreation (65% eating, drinking and other food services)

8.6% 5.5%

Construction 8.4% 5.3%

Professional, scientific & technical services 8.3% 19.4%

Administrative services 7.2% *

Finance, insurance, real estate, rental/leasing 5.6% 7.4%

Transportation & warehousing 4.2% 2.8%

Manufacturing 2.6% 6.0%

All other 4.6% 6.5%

Employment by Industry

*Included in “other“III. Paths toSelf-Sufficiency

Management & Professional

Service Sales and Of-fice

Construction & Repair

Production & Transportation

0%

10%

20%

30%

40%

50%

60%

70%

18%

33% 33%

8% 8%

59%

10%

22%

5% 5%

Working PoorHoward County

Employment by Occupation

III. Paths toSelf-Sufficiency

Source: 2007-2009 American Community Survey

Educational Services --10.5%*◦ Teachers at all levels, with some exceptions for pre-school

Medical Services --20.6%*◦ RNs, OT, PT, medical, dental assistants, Medical transcriptionists

Other Services-- 12.3%*◦ Hairdressers, Automotive service technicians, Supervisors/managers of

personal services workers

Entertainment, Arts & Recreation –11.5%

Food Services & Accommodation-- 9.7%*◦ Chefs & head cooks, Supervisors/managers of food prep & serving

workers, Cooks- short order

Construction--8.5%*◦ Carpenters, Drywall & ceiling tile installers, Electricians, Painters,

Plumbers, Highway maintenance workers

Growing Industries & Occupations Paying Self-Sufficiency Wages in

MD*projected growth 2008-2018

III. Paths toSelf-

Sufficiency

Source: MD Dept of Labor, Licensing and Regulation

Professional, Scientific & Technical Services -- 24.8%◦ Computer support specialists, Network & computer systems administrators

Administrative & Support Services --14.8%◦ Customer service representatives, Supervisors/managers of

housekeeping/janitorial, Supervisors/managers of landscapers, Tree trimmers & pruners, Correctional officers, Private detectives & investigators

Finance & Insurance --5.3%◦ Accountants & auditors

Transportation & Warehousing --4.1%◦ Bus drivers, Truck drivers

Social Assistance --19.7%◦ School counselors, Mental health counselors, Social workers

Growing Industries & Occupations Paying Self-Sufficiency Wages in

MD

Source: MD Dept of Labor, Licensing and Regulation

III. Paths toSelf-

Sufficiency

Industry: Medical

Maryland Employment 2008 268,660

Percentage of HC working pooremployed in this industry in 2009 10.5%

2008 – 2018 Expected Growth 20.6%

Paths to Self-Sufficiency: An Example

III. Paths toSelf-

Sufficiency

III. Paths toSelf-

Sufficiency

Medical Services Occupations

Education/Training Needed

Average Annual Earnings

Registered Nurses Certificate/Associate's $77,880 Occupational Therapist

AssistantsAssociate's degree; Must pass national certifying exam

$63,540

Physical Therapist Assistants Associate's degree

$54,520

Dental Assistants On-the-job training/1 year training program/Associate's degree; HS diploma required

$36,230

Medical Assistants On-the-job training/1-2 year training programs/ Associate's degree; HS diploma preferred if not required

$31,190

Medical Transcriptionists 1 year certificate/Associate's degree

$35,240

How do the working poor balance increased earnings with the loss of benefits and stay on the road to self-sufficiency?

How can Howard County motivate, support and guide the working poor on their journey to advancement?

How does Howard County build human capital through education and training ?

How does Howard County ensure workers juggling families and multiple jobs access to employment services?

Who needs to be at which table to resolve the challenges?

Next Steps

Some of the Big Questions

Considering strategies to address key findings◦ Public Education

Need for HC community to understand the economic importance and precariousness of our community’s “working poor.” Struggle for working poor; disincentives to earn more

◦ Collaborations to address: Affordable, accessible child care Education and training opportunities Accessible career/employment resources Career coaching to help benefits recipients understand that

increased income is essential to long-term stability

ACS Public Policy Committee

Next Steps

◦Comments about the study? Approach Findings

◦Questions that come to your mind? Self-sufficiency income Howard County’s working poor Paths to self-sufficiency

◦Priority issues for the public and private Howard County to address?

Discussion

Next Steps

Thank you.