EXECUTIVE SUMMARY

Several events in the past year have presented significant challenges for our community. This overview is intended to provide information about what is happening in all sectors of the community - public, private, non-profit and faith based.

ECONOMY:

Toward the end of 2000, our community began experiencing a significant economic slowdown.

• The Greater Austin Chamber of Commerce reports 20,700 layoffs since the beginning of 2001.
  
• For the first time in many years, we have seen unemployment in Travis County climb steadily, from just 2.2% in January to 4.9% in September.
  
• A single parent in Austin with one child needs to earn a minimum of $17/hour to support their family ($33,819/yr). For a family of two parents and two children, the Austin-San Marcos MSA is the most expensive metropolitan area in the state in which to live (Center for Public Policy Priorities).

SEPTEMBER 11 IMPLICATIONS:

• Anxiety has increased. The daily call volume at the Seton emergency call center was up 26% in September and 40% in October compared to the same months last year - many of the calls concerning anthrax.
  
• The Austin Police Department is restructuring in response to the September 11th events, including forming a Homeland Defense Division, expanding Search and Rescue and Explosive Ordinance Disposal (EOD, or Bomb Squad) units, and considering changes to the role of Street Response.
  
• The City of Austin projects a $1.4 million loss in revenue. The decrease in tax revenue is attributed to the decline in consumer purchases immediately after the September 11th terrorist attacks.

INDIVIDUAL AND FAMILY IMPACTS:

• Rising cost of living (up 30% from 1991 to 2001) and growing economic disparity is leading to an increased demand for human services.
  
• The Austin area ranks third in the country in the percentage of people reporting depression or anxiety disorders. Similarly, the suicide rate in Travis County from 1989 to 1998 was 12.2 per 100,000. This rate is double the national target of 6.0 suicide deaths per 100,000.
  

COMMUNITY IMPACTS:

• Public Sector: The City of Austin is currently contemplating 5% or 12.5% across the board budget reductions, with the exception of police, fire, and emergency response services.
  
• Charitable Giving: A national survey conducted in October 2001 on charitable giving indicates that 73% of respondents expect to continue giving at their regular levels and that contributions to September 11th are above and beyond regular donations. The interpretation is that the impact of September 11th on local fundraising efforts should be short term, not long term. The biggest impact on giving is the economy. One out of ten respondents to the survey indicated that they will stop making charitable contributions as a result of the economic downturn. Another 11% said that they will reduce their giving as a result of the economy.
  

LONG-TERM DEMOGRAPHIC TRENDS:

The total population for Travis County (812,280) has increased 41% since 1990. Further complicating the changes our community has experienced in the past year are a number of continuing demographic trends:

• Currently there are more than 105,000 people in Travis County living in poverty ($17,050 for a family of four) -- approximately 13% of the total population.
  
• Students are considered to be economically disadvantaged when they qualify for free or reduced-price lunches. Thirty-four percent of all students in Travis County Independent School Districts (ISD) qualified during the 1999-2000 school year. Del Valle (63.4%), Manor (52.9%) and Austin (46.8%) ISDs exceed the county-wide rate. Fifty-four percent Travis County elementary school students qualified for free or reduced-price lunches.
  
• Service providers have experienced increases in the number of immigrants (primarily Spanish-speaking) seeking assistance.
  
• 22% of Travis County children live in single-parent families. Census 2000 estimates that there are 39,381 single parents in the Austin/San Marcos MSA.
  
• By the year 2020, it is estimated that nearly one in five Travis County residents will be age 60 or older, an increase of more than 100% from 2000. There are currently 74,762 elderly persons age 60 or older and 24,956 age 75 or older in Travis County.

DEMAND INDICATORS:

• In a comparison of the first 10 months of 2000 and the first 10 months of 2001, United Way's First Call for Help has experienced an increase in the number of callers requesting basic needs services. Callers needing help to pay electricity bills increased 109%. The situation was intensified in large part because Austin Energy changed their billing system and sent out a large quantity of shut off notices in late spring, 2001 that normally are distributed throughout the year. In addition, First Call for Help saw a 16% increase in calls for rent assistance. Lastly, calls for transitional housing increased by 91%, reflecting the growing number of homeless families.
  
• 152,709 people in Travis County do not have Health insurance, approximately 23.6% of the total population. First Call for Help has experienced a 63% increase in the number referrals to CHIP/TexCare partnership, suggesting that the promotion of the program is working, or possibly that more middle class families are without health insurance for their children.
  
• Based on the National Institutes of Mental Health estimates of the prevalence of mental health issues, an estimated 171,242 adults and children with mental health problems live in Travis County.
  
• A conservative estimate is that 25,000 youth and adults in our community need substance abuse treatment.
  
• Of the Travis County total child population of 176,335 --1,653 were confirmed victims of abuse or neglect. In comparison to other large counties in Texas, Travis County has the highest rate of child abuse/neglect with 9.4 per 1,000.
  

PROJECTIONS:

• Research shows that economic deprivation can increase the incidence of substance abuse, crime, adolescent pregnancy, school dropouts, poor health outcomes, etc. If current economic trends continue, it is possible that Travis County will see additional impacts on these and other indicators in the future.
  

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