B. Economic Profile: Poverty Indicators

In Imperial County, 19.2% of the population have incomes that fall below the federal poverty level and another 35% have incomes below 200% of the federal poverty level. In both cases, these percentages significantly exceed the averages for California. In all, this represents 54.2% of the total population or an estimated 58,186 individuals. As a reference, in 1995, 100% of federal poverty guidelines for a family of 4 was $15,569. (Exhibit 3.5) These numbers are compared to the State percentages in Exhibit 3.6 and Table 3.2. Of the total population, 28% are eligible to receive MediCal benefits compared to 16.8% of all Californians. In July 1996, 21,322 received Aid to Families with Dependent Children (AFDC) and 26,404 received food stamps.⁴

Source: U.C. Census Bureau, 1995

Exhibit 3.5: 1995 Federal Poverty Level Thresholds

Finally, level of educational attainment is often considered another measure of economic strength. In 1990, the percentage of Imperial County’s population 25 years and older who had not finished high school was 46.8%, ranking it 58th of California’s 58 counties. The California average of the population over 25 and older who had not finished high school was 23.8%⁵

Source: U.C. Census Bureau, 1990

Exhibit 3.6: Poverty Ratios

Table 3.3 and Exhibit 3.7 illustrate the age distribution of the population which fall under the federal poverty level. Of particular concern is the large number of children under the age of 18 living in poverty. In Imperial, 45.4% of the population below the federal poverty level are under the age of 18 compared to 38.1% of all Californians below the poverty level. In sheer numbers, this translates to 11,576 children in Imperial living in poverty. Unfortunately, similar data on the population that falls between 100-200% of the federal poverty level were not collected in the 1990 census. In order to come up with rough estimates of the number of children in Imperial falling in the 100-200% range, statistical calculations were applied to the Income to Poverty Ratio for the population for which poverty status was determined in 1990.

Source: U.C. Census Bureau, 1990

Exhibit 3.7: Population Under Poverty Level by Age

Other economic indicators for Imperial County show that the County lags behinds the State. In 1995, the Imperial County per capita income was $14,790 compared to $24,090 for the State as illustrated in Exhibit 3.8. This results in Imperial County ranking 56th in per capita income amongst all California counties. Median family income in 1990 was also lower for Imperial at $25,771 compared to $42,508 for the State.

Source: CA Department of Finance, California Statistical Abstract, 1997, Table D-7

Exhibit 3.8: Per Capita Income

Finally, Exhibit 3.9 illustrates the percentage of different ethnic/racial groups which are living in poverty. Native Americans have the highest percentage (41%) of individuals living in poverty, followed by Hispanics (29.4%) and African Americans (27.8%).

Source: U.S. Census, 1990

Exhibit 3.9: Poverty Level by Ethnicity/Race

Unemployment Information: The California Employment Development Department estimates that Imperial County had a civilian workforce of approximately 56,500 in 1997. From this workforce, approximately 41,400 were employed and 15,100 were unemployed. This equates to an annual seasonally unadjusted unemployment rate for Imperial County of 26.7% for 1997. During the same time period, California had an annual seasonally-unadjusted unemployment rate of 6.0%. Historically, Imperial County has had a substantially higher rate of unemployment than the rest of California. During 1997, only one county in the state had a higher rate of unemployment. Exhibit 3.10 provides an historic comparison between Imperial County and the State.

Source: State of California, Employment Development Department, Labor Market Information Division

Exhibit 3.10: Seasonally Adjusted Unemployment Rate

Exhibit 3.11 illustrates the monthly seasonally unadjusted unemployment rate in Imperial County for a three year period, 1994-1996. This documents the cyclical pattern to the annual rates of unemployment, with the highest level occurring each year in July through September, and dipping to the lowest level in December through March.

Source: State of California, Employment Development Department

Exhibit 3.11: Imperial Seasonally Unadjusted Unemployment for Three Years by Month

Given the importance of agricultural production to the local economy, the possibility of an association between seasonal agricultural employment and monthly unemployment rates was explored. For purposes of data collection and analysis, California’s Employment Development Division groups Imperial County with Riverside and San Bernardino counties into a "Desert" region. During 1996, the annual average number of agricultural production workers (employees directly involved in the production process vs. managers) numbered 33,100 for this region. Approximately one-third of these employees worked in Imperial County. This sector of the local economy appears to be growing with total farm employment increasing in the region from 1996 to 1997 by 5.8%. Agricultural workers in the Desert Region averaged $6.68 per hour and worked an average of 41.5 hours a week. Exhibit S3.11-1 on the following page illustrates the monthly fluctuation in employment in this sector. When compared to the monthly unemployment rates for the county, there appears to be a correlation between the two. As the number of agricultural workers drops in late June, the unemployment rate rises in the following monthly. This suggests that a substantial number of agricultural workers may remain in Imperial County throughout the year, rather than migrating to other areas for agricultural production.

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