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Saturday, August 22, 2009

Regional report chronicles people's struggles in recession

Residents of the Roanoke Valley have experienced several hard economic hits.

A regional report issued Friday reflects a dramatic shift from positive to negative trends when it comes to the economic needs of people in the Roanoke Valley and surrounding areas.

The second Roanoke Regional Community Indicators 2009 report, prepared by the Council of Community Services, measures the well-being of the household economy. It was released Friday at a community meeting at the United Way of Roanoke Valley office.

The report's bottom line: More people than in previous years sought public assistance programs.

The data echo the recession-driven economic climate that has affected unemployment, poverty and public assistance services.

"I've never seen as much stress in the households like today," said Paul Phillips, chairman of the report's steering committee and president and CEO of Freedom First Federal Credit Union. "We are in some tough times for sure."

People unable to pay for medications. Mental health illnesses cases leading to domestic violence. Couples with no money for birth control. These are some of the experiences service providers witness in their work, and some described those situations at the meeting.

"I hope funding bodies will use the indicators to ensure that they are investing their funds in the direction that could have a positive impact in some of these negative trends," said Pam Kestner-Chappelear, the council's president.

The report, which includes data through 2008, includes Alleghany, Botetourt, Craig, Franklin and Roanoke counties, and the cities of Salem, Covington and Roanoke.

Some of the report's findings:

n The annual average wage reflected a positive trend increasing from $35,308 in 2007 to $36,348 in 2008, but it is still more than $10,000 below the state average.

n The majority of children in Roanoke (62.7 percent) were eligible for free and reduced-price school meals in 2008. Covington (from 44.1 percent to 49.1 percent) and Franklin County (from 41 percent to 46.8 percent) saw notable increases last year. In the region, 37.4 percent of children were eligible, compared with 34.5 percent over the entire state.

n The number of single-family building permits authorized in the region declined 20 percent from 2007 to 2008. But Salem (from eight to 44), Roanoke (from 89 to 140) and Alleghany County (from 21 to 23) saw increases.

n Food stamp recipients increased from 26,272 in 2005 to 31,954 in 2008.

n Unemployment rates and benefit claims climbed from 3.2 percent in 2007 to 4.2 percent in 2008 after declining in previous years, and the rise appears to be steeper in 2009. A monthly report showed the unemployment rate increased from 6.7 percent in January to 8 percent in June.

n Monthly unemployment insurance payments for the region increased more than 41 percent from approximately $3 million in January 2009 to about $4.3 million in July.

The report also measures education-related indicators, which also reveal a negative trend.

The region's high school graduation rate dropped from 77.7 percent in 2007 to 76.3 percent in 2008, while the state average rose from 76.8 to 79.2 percent.

Jane Conlin, director of human services for Roanoke, said in one week in January her department had more than 6,000 people at their offices on Williamson Road seeking to apply for programs such as food stamps, temporary assistance to needy families and Medicaid.

"We are doing the best we can to meet their needs," Conlin said. "But we're not."

The council hopes to secure funding to develop a similar report with health indicators.

To read the entire report, go to www. councilofcommunityservice.org.

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