Imagine trying to climb out of poverty. Before you stands the ladder of prosperity. But as you try to scale it, you discover the rungs above you are missing.
That’s how City of Austin Demographer Ryan Robinson [7] metaphorically describes the plight of so many working poor residents in the greater Austin area. Socio-economic mobility is stymied as the chasm between the haves and the have-nots continues to widen.
It’s a harsh reality that’s often overshadowed by Austin’s success story: a thriving city that is attracting creative minds from across the country with high-paying jobs and a vibrant cultural scene. A city that frequently tops national rankings measuring quality of life.
But the rapid population growth in Austin and Travis County has not been as kind to low-income individuals and families.
"We've got two rapidly diverging communities on our hands," Robinson is quoted as saying in a June article in the Austin American-Statesman [8]. "One community where life is great, where really, really good jobs are being created. Others have an extremely different experience in Austin."
Yes, Austin has a relatively low unemployment rate — about 6.5 percent — but that rate is significantly higher among Hispanics and African Americans. And while Texas has outpaced other states in job growth, not all jobs are equal. Texas ranks third in the nation for the proportion of hourly-paid workers earning at or below minimum wage, according to the Bureau of Labor Statistics [9].
Austin nonprofit leaders who work with low-income residents cite a host of challenges. Gentrification in East Austin, for example, has put home ownership out of reach for many minority families. Even those who own their own homes are finding themselves priced out of their neighborhoods. And rising energy costs have forced thousands of Central Texans to make tough choices between paying the electric bill or buying groceries.
All of this contributes to what Robinson calls “an increasingly hard edge between affluent central Texas and less-than-affluent parts of the urban region.”
And the trend will likely continue. Using data from the American Community Survey, the Community Action Network [10] predicts that the number of families living in poverty will increase by 108 percent by 2040. That report shows African-American and Hispanic families being disproportionately affected.
With Austin’s nearly 21 percent poverty rate, social services are already feeling the pinch. They stretch their resources as far as they’ll go to make sure their clients have adequate food and shelter. And they are developing more creative ways not only to keep struggling Central Texans afloat in the short term but also to help them break the cycle of poverty.
Capital Area Food Bank of Texas [11] seeks more food sources
The Capital Area Food Bank of Texas [11], which serves 48,000 people a week — 20,000 of them children — in Austin and the surrounding area, has seen its food distribution increase by more than 50 percent in the last four years. In the last two years alone, the Food Bank [11] provided 50 million pounds of food to Central Texans, and the demand is expected to grow, according to John Turner [12], Senior Director of Marketing and Branding.
“What we have seen is a pretty dramatic increase in the number of people who need emergency food assistance,” he says.
At one distribution site, people arrive four hours early to wait in line for groceries.
Making the situation more worrisome, Turner [12] says, is the perfect storm of rising food prices — in part because of recent droughts in Texas and the Midwest — and possible cuts to government-funded food assistance programs.
“We’re going to get more people in line,” he says. “Where are we going to get the food from to feed them?
The Food Bank [11] has been innovative in meeting the need through a “food rescue” program in which food that is close to its sell-by date is collected from grocery stores and other retailers. Last year, the food bank “rescued” 6 million pounds of food that would have been thrown away.
Turner [12] says there’s also a push to find more food sources, attract more volunteers and donations and to promote greater awareness about hunger.
“The face of hunger may not be who you think it is,” he says, “and may surprise people.”
Get Involved with Capital Area Food Bank
Austin Habitat for Humanity [16] looks at new models for affordable urban housing
An oft-used axiom among working class Austin residents trying to buy a home is “drive ‘til you qualify.”
That means moving out of Austin and, often, farther away from their jobs. With rising gas prices, transportation costs can place a heavy burden on families.
That’s why Austin Habitat for Humanity [16] is seeking ways to create affordable housing within the urban core, keeping its clients closer to their work says Kelly Weiss [17], the organization's Executive Director.
“Every dollar counts,” Weiss says, noting that the typical Austin Habitat for Humanity [16] client is a family of four earning $30,000 a year.
Those families face a daunting challenge, she says, as housing costs in Austin have risen by 85 percent in the past decade. Only 13 percent of Austin renters can afford the median home sale price.
Even if they own a home, Weiss [17] adds, low-income residents often cannot afford critical repairs.
Austin Habitat [16] addresses those needs by educating families, assisting the working poor in building their own home and using volunteer labor to do repairs and renovations on deteriorating houses, which are often occupied by elderly and disabled residents.
But with an estimated 60,000 Austin residents living in substandard housing, there is always more to do.
“We’re seeing more needs and that’s forcing us in a good way to figure out how we create more units to serve a greater demand,” she says. “We can’t produce enough to keep up with the demand.”
Weiss [17] says Austin Habitat [16] is looking at new housing models, including denser housing types — think row houses rather than single family structures — to build within Austin’s city limits.
Home ownership is part of the American dream, Weiss [17] says, and “with that taken away, the opportunities for economic mobility are really hampered.”