Orange County Wealthy On Average, But Poverty Still Lingers

Aaron Nelson and Chamber board chair Paige Zinn. Photo by Donn Young, courtesy of the Orange County Visitors Bureau.

CHAPEL HILL – Year after year, Orange County consistently ranks as the wealthiest in the state of North Carolina—but poverty, even here, continues to be a nagging and serious issue.

“There’s a big disparity between wealth, (and) there continues to be growth in childhood poverty,” said Chapel Hill-Carrboro Chamber of Commerce president Aaron Nelson at his annual State of the Community presentation this week. “That is (a statistic) that we need to pay close attention to.”

Orange County ranks first in the state with a per capita income of $48,683 in 2011, well above the state average of $36,000. But in spite of that, our poverty rate is also well above the state average: in 2011, 16.9 percent of Orange County residents were living below the poverty line, compared to 16.1 percent of all North Carolinians (and 14.3 percent of all Americans). The percentage is even higher in Chapel Hill alone, where 22.1 percent of residents lived below the poverty line in 2011.

“Some folks have often discounted that–(because they think) that’s just the student population…but our poverty level is high,” Nelson says. “We ought not to discount it simply because it includes students.”

For the first time, researchers this year were able to distinguish between students and non-students when analyzing wealth and poverty in the area. Students do account for much of the poverty rate in Chapel Hill—but that poverty rate is still elevated even when they’re taken out of the equation. About ten percent of Chapel Hill’s non-student population lives below the poverty line—a poverty rate that’s less than the state average, but still more than twice as high as nearby communities like Apex and Cary.

And the poverty rate increases when the focus is narrowed to children. “That is on the rise,” says Nelson, “and in a pretty serious way.”

The key increase is in the percentage of “economically disadvantaged” children, which is to say children who qualify for free and reduced lunch. 26.5 percent of Chapel Hill-Carrboro City School students and 41.6 percent of Orange County School students qualified for free and reduced lunch in 2011-12—the highest percentage in both districts since at least 2006, when the Chamber began collecting data.

And the high level of need in Orange County is at odds with the common perception of Chapel Hill as a wealthy community—a disconnect that actually makes it harder for governmental and non-governmental organizations to address the real need that exists.

“(It’s called) ‘Chapel Hill Syndrome,'” Nelson says. “Donors get this: it’s a belief that we don’t need anything, Orange County doesn’t need anything–we have the highest per capita income, the University’s there, the hospital’s there, your economy’s bulletproof–but the reality is that some of us feel that way and forget to reinvest and take a look under the rocks on what’s going on in our community with respect to poverty, particularly children in poverty.”

Nelson delivered his State of the Community report on Tuesday at the Friday Center. You can see the full presentation at this link.

http://chapelboro.com/news/business/orange-county-wealthy-on-average-but-poverty-still-lingers/