Home

About
- About Us
- Community Guidelines

Advertising on BOR
- Advertise on BOR

Advertisements

Username: Center for Public Policy Priorities
PersonId: 8062
Created: Tue Feb 19, 2013 at 04:23 PM CST
Center for Public Policy Priorities's RSS Feed

Half of Texas Households Are One Crisis Away From Slipping Into Poverty


by: Center for Public Policy Priorities

Thu Jan 30, 2014 at 09:37 AM CST

Despite an improving national economy, 49.8 percent of Texas households are in a persistent state of financial insecurity, according to a report released today by the Corporation for Enterprise Development (CFED). The number of households who have little or no savings to cover emergencies or to start building a better life has barely budged from last year's 49.5 percent level. The report also found that state policies are doing little to improve the financial security of Texans.

CFED's 2014 Assets & Opportunity Scorecard defines these financially insecure residents as "liquid asset poor," which means they lack adequate savings to cover basic expenses at the federal poverty level for even three months in the event of an emergency such as a job loss or health crisis. Included among Texas' "liquid asset poor" are a majority of those who live below the official income poverty line of $23,550 for a family of four, as well as many who would consider themselves middle class. Fully 32 percent of households earning $54,049 - $90,468 annually have less than three months of savings (i.e., less than $5,887 for a family of four).

The Scorecard provides rankings for the 50 states and District of Columbia on both the ability of residents to achieve financial security and, for the first time, policies designed to help them get there. On both measures, Texas ranks near the bottom with an outcomes ranking of 37 and an overall policy ranking of 41.

"Nationally, policies at all levels of government helped stem the tide of the recession's damage to household finances. They protected consumers from foreclosure and abusive financial practices, helped raise wages and connected families to the financial mainstream," said Andrea Levere, President of CFED. "Without strong policies that address the challenges facing low- and moderate-income families, wealth and income inequality will continue to grow and our nation's economy will continue to struggle."

The Scorecard evaluates how residents are faring across 66 outcome measures in five different issue areas-Financial Assets & Income, Businesses & Jobs, Housing & Homeownership, Health Care and Education. Texas received:

-A "D" in Financial Assets & Income, reflecting a high level of income poverty and the large number of residents with subprime credit rates.
-An "F" in the Health Care category, mainly because 25 percent of residents lack medical insurance.
A "C" in the Businesses & Jobs category. Texas ranked 42nd in the number of lowwage jobs (27.8 percent of jobs are considered low-wage), but it ranked 5th in average annual pay of residents ($51,983), reflecting a large division in income levels.
A "C" in Education, ranking 51st for the number of adults with a high school degree and 32nd for the number of adults with a fouryear college degree.

The Scorecard also evaluates 67 different state policy measures to determine how well states are addressing the challenges facings residents. Texas ranked moderately on policies aimed at creating more opportunities for low- to moderate-income families in the Housing & Homeownership (11th) and Health Care (17th) areas. The state ranked low in the policy areas of Financial Assets & Income (48th) and Education (34th), underscoring the link between inadequate policies and ongoing challenges confronting the state's low- and moderate-income families.

"Despite steady job growth and low unemployment rates, many Texas residents are still struggling with persistent financial insecurity and have difficulty moving up the economic ladder," said Tim Morstad of AARP Texas and RAISE Texas Board Chair. "The data from the 2014 Assets & Opportunity Scorecard should motivate state and local policymakers to build on an emerging consensus to improve household financial security."

Our leaders can take immediate steps to create more opportunities for low- and moderate-income families and build an economy that works for everyone by:
-Empowering all families to open college savings accounts.
Curbing abusive payday and autotitle lending.
-Removing barriers to household savings and asset building.

"With 1 in 12 Americans now living in Texas, and our state at the leading edge of a profound demographic shift, a snapshot of economic opportunity in Texas is a window into the future of our country," noted Don Baylor, CFED Board Member and Senior Policy Analyst at the Center for Public Policy Priorities. "These common-sense recommendations provide a roadmap for policymakers to improve the bottom line for Texas families and the state economy."

There's More... :: (0 Comments, 363 words in story)

Forward--How Texas Spends Its Money, How Texas Gets Its Money, and Why It Doesn't Add Up


by: Center for Public Policy Priorities

Wed Feb 20, 2013 at 02:04 PM CST

(Important update from CPPP about our state's crisis in revenue and the impact on our state budget.   - promoted by Katherine Haenschen)

This week, we at the Center for Public Policy Priorities released our updated and redesigned Budget & Revenue primer, which outlines the current budget process and why Texas is short of the money it needs. While the full primer is more evergreen and educational in nature, we've also put together two additional fact sheets with updated information on the 2013 Texas Legislature's budget numbers.

You can read the primer, as well as a list of state budget do's and don't's & the fact sheet on this session's budget outlook, on our website.

Here's a sampling from the introduction:

"With one in 11 children in the United States calling Texas home, our state has a big role to play in the future of America. To ensure that our large and rapidly growing child population is prepared to meet tomorrow's challenges, we must invest in education. We need strong early childhood education, strong public schools, and strong colleges and universities to ensure a prosperous future.

Preparing for the future requires the political will to reform our antiquated revenue system now. To move forward, we must have a revenue system that is fair and adequate. Our revenue system, though, has always been unfair and is increasingly inadequate."

Learn more on our website.  

Discuss :: (0 Comments)

Connect With BOR
    

2014 Texas Elections
Follow BOR for who's in, who's out, and who's up.

Candidate Tracker:
-- Statewide Races
-- Congressional Races
-- State Senate Races
-- State Rep. Races
-- SBOE Races
-- Austin City Council

Click here for all 2014 Elections coverage

Menu

Make a New Account

Username:

Password:



Forget your username or password?


Texas Blue Pages

Texas Blue Pages
A career network for progressives.

Advertisement

Shared On Facebook

Burnt Orange Reporters
Editor and Publisher:
Katherine Haenschen

Senior Staff Writers:
Genevieve Cato
Joe Deshotel
Michael Hurta
Ben Sherman

Staff Writers:
Omar Araiza
Emily Cadik
Phillip Martin
Natalie San Luis
Katie Singh
Joseph Vogas

Founder:
Byron LaMasters

Blogger Emeritus:
Karl-Thomas Musselman

Read staff bios here.

Traffic Ratings
- Alexa Rating
- Quantcast Ratings
-
Syndication

Powered by: SoapBlox