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Groundbreaking Study Reveals 2 in 5 Ohio Households Struggle to Afford Basics

United Way ALICE Report details size and scope of financial hardship in Ohio

Columbus, OH, – There are 1.8 million households in Ohio unable to afford the state’s cost of living, with conditions still lagging behind pre-recession levels, according to the United Way ALICE Report released today by Ohio United Way.

ALICE^® – Asset Limited, Income Constrained, Employed; Study of Financial Hardship places a spotlight on a large population of hardworking residents who work at low-paying jobs, have little or no savings, and are one emergency from falling into poverty. The Report is the most comprehensive depiction of financial need in the state to date, using the latest data from a variety of sources, including the U.S. Census. The Report unveils new measures, based on present-day income levels and expenses, that quantify the size of who in Ohio’s workforce is struggling financially, and why.

A total of 1.2 million households fall into what United Way calls the ALICE population. These are households earning more than the official U.S. poverty level, but less than the basic cost of living. This number is nearly double the official poverty rate, which accounts for 660,000 households in the state. Combined, ALICE and poverty households, account for 40% of the population in the Ohio.

“We all know ALICE,” said Ohio United Way’s President & CEO Steven C. Hollon. “ALICE is the recent college graduate often unable to afford to live on his or her own, the young family strapped by child care costs and the mid-career professional now underemployed. These people are vital to our state’s future economic well-being, facing barriers beyond their control, which frustrates their ability to become financially stable.”

Ohio United Way has joined a grassroots movement of some 450 United Ways in 15 states to use the same methodology for documenting financial need. The reports build on a United Way study first developed in New Jersey. United Way ALICE Reports provide county-by-county and town-level data, and analysis of how many households are struggling, including the obstacles ALICE households face on the road to financial independence.

“This report provides the objective data that explains why so many residents are struggling to survive and the challenges they face in attempting to make ends meet,” said the report’s lead researcher, United Way ALICE Project National Director Stephanie Hoopes, Ph.D. “Until now, the true picture of need in local communities and states has been understated and obscured by misleading averages and outdated poverty statistics.”

The United Way ALICE Report reveals:

• More than 67% of all jobs in Ohio pay less than $40,000 a year and low-income jobs are projected to dominate the state’s economy for the foreseeable future.

• Households with income below the ALICE Threshold make up between 22 and 56 percent of households in every county in Ohio.

• The average income needed in order to survive in Ohio depends on local conditions and ranges from $55,000 to $66,000 annually for a family of four, more than double the official U.S. poverty rate.

• Despite the combination of ALICE’s wages and some public assistance, ALICE households still face a 40 to 50 percent income gap in housing and child care, further hindering their attempts to reach financial stability.

“ALICE often is forced to make choices that compromise health and safety in order to make ends meet,” Mr. Hollon said, putting both ALICE and the wider community at risk of long-term societal and economic repercussions.

United Way is focused on providing the basic foundation in the areas of education, financial stability and health to help improve the lives of both ALICE and those in poverty, for the long-term benefit of the wider community.

Ohio United Way and 46 local United Ways funded the ALICE Report for Ohio. Nationally, the United Way ALICE Report has been funded in part by corporate sponsors including the Aetna Foundation, AT&T, Atlantic Health System, Deloitte, Entergy, Johnson & Johnson, KeyBank, Novartis Pharmaceuticals Corporation, OneMain Financial, Thrivent Financial Foundation, The UPS Foundation and U.S. Venture.

For more information or to find data about ALICE in local communities, please visit:

https://ouw.org/alice

 PRESS RELEASE

 FOR IMMEDIATE RELEASE                                          

Date: June 27, 2017

2-1-1 Service Goes Live in Clinton and Warren Counties

COLUMBUS, OHIO – Ohio United Way is pleased to announce the expansion of Ohio 2-1-1 into Clinton and Warren Counties with funding made available through the Ohio Department of Job and Family Services (ODJFS). This launch of the 2-1-1 service in Clinton and Warren brings the total number of counties covered by 2-1-1 to 70, allowing 94% of Ohio’s population to receive immediate health and human service information.

2-1-1 is an easy to remember three digit telephone number which links individuals to hundreds of community, state and federal resources with just one phone call. 2-1-1 services are free, available 24-hours a day; 7 days a week; 365 days a year. Over 10.9 million people in Ohio now have access to 2-1-1, providing a place for Ohioans to give or get help, while also serving as a proven system to support disaster preparation, response and recovery.

The contract with ODJFS allowed Ohio United Way to work with the United Ways in Clinton and Warren Counties to bring the service to an additional 265,000 Ohioans, providing a cost efficient way for agencies to be connected with those they serve, producing better outcomes for those in need and improving the quality of life in many communities.

Ohio United Way President & CEO Steve Hollon said: “We are grateful to ODJFS for the opportunity to expand 2-1-1 and to help deliver professional and accurate information and referral to so many people in our state.”

Ohio United Way is the state association of United Ways that works to promote the public policy interest of its members while leading statewide advocacy and initiatives designed to improve Ohio communities.

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OHIO UNITED WAY      395 East Broad Street (Suite 320)       Columbus, Ohio 43215       614.224.8146   www.ouw.org

Cleveland (April 7, 2017) United Way of Greater Cleveland received a $4.51 million grant from the Centers for Medicare and Medicaid Services (CMS) to establish the CMS Accountable Health Communities (AHC) Model. Four clinical partners will adopt the model designed to connect patients with social service resources – Cleveland Clinic for primary care and emergency health service, MetroHealth for primary care, emergency health and labor and delivery service, St. Vincent Charity Medical Center for behavioral health service and Care Alliance Health Center for primary care. United Way is one of only two organizations selected in the state of Ohio and one of 32 selected nationally.

“Currently, there’s a disconnect between healthcare and social services,” said United Way President and CEO August Napoli. “Creating an AHC in Greater Cleveland will allow our health system to build a bridge and holistically assess a patient’s wellbeing and refer them to proper health care and social service agencies to address basic needs such as housing instability and food insecurity.”

An AHC is a CMS model to address the health-related social needs of Medicare and Medicaid beneficiaries through assessment, referral and community navigation services, leading to improved care delivery, enhanced quality of care, reduction of the total cost of care and inpatient and outpatient health care utilization.

“In this model, we will support community-based innovation to deliver local solutions that address a broader array of health-related needs of people across the country,” said CMS Deputy Administrator for Innovation & Quality Dr. Patrick Conway. “As a practicing pediatrician, I know the power of a model like this to help address the health and social support needs of beneficiaries and their families and caregivers.”

Over a five-year period, the $4.51 million grant will be used to embed United Way 2-1-1 community resource navigation specialists into seven Cleveland Clinic, MetroHealth, St. Vincent Charity Medical Center and Care Alliance Health Center sites. The grant will create and support community partnerships for technology, workflow design, evaluation and planning. Additional dollars will be utilized for necessary equipment and supplies.

Cleveland with a poverty rate of 36 percent, East Cleveland at 42 percent and Warrensville Heights at 19 percent have 209,000 residents who are Medicare and Medicaid beneficiaries; these cities were selected as the AHC service areas.

Patients receiving health care at Cleveland Clinic South Pointe Hospital; MetroHealth’s Main Campus, Broadway Health Center, Old Brooklyn Health Center and Thomas F. McCafferty Health Center; St. Vincent Charity Medical Center and Care Alliance Health Center’s Central Neighborhood Clinic will be screened for health-related social and basic needs such as housing instability and quality, food insecurity, utility needs, violence and transportation barriers. The screening will be followed by a community resource assessment and referral from United Way 2-1-1 community resource navigation specialists.

“United Way 2-1-1 is a free and confidential 24/7 help center with a robust database of more than 4,000 organizations, providing nearly 25,000 services in our area,” said United Way 2-1-1 Director Diane Gatto. “Our specialists will create a customized plan to address patients’ health-related social needs and then follow up to ensure the patient is able to implement the plan.”

The AHC grant allows for United Way to organize an advisory committee comprised of partners, including clinical sites Cleveland Clinic, MetroHealth, St. Vincent Charity Medical Center and Care Alliance Health Center, along with Better Health Partnership, CareSource, Case Western Reserve University’s Center for Reducing Health Disparities and Center on Urban Poverty, Cuyahoga County Board of Health, Hyland, creator of OnBase and Ohio Department of Medicaid.

The grant also allows for a one-year planning and training period to finalize the intervention, organize and structure the advisory committee as well as hire and train staff, beginning May 2017. Starting in May 2018 through May 2021, the AHC will aim to serve 75,000 or more Medicaid and Medicare beneficiaries per year.

Contact:
Kendra Wheeler, media relations manager
216-436-2122, 216-849-4922 cell
[email protected]