L V P C Lehigh Valley Planning Commission Jobs + Housing At Risk A COVID-19 Pandemic Assessment Parkland School District In Partnership with The Federal Reserve Bank of Philadelphia and Funded by Lehigh County on Behalf of the Lehigh Valley February 10, 2021 L V P C Lehigh Valley Planning Commission COMMISSION STAFF Greg Zebrowski, Chair Becky A. Bradley, AICP, Susan L. Rockwell, Executive Director Senior Environmental Planner Steven L. Glickman, RA, CSI, Vice Chair Matt Assad, Jill Seitz, Pamela Pearson, MBA, Treasurer Managing Editor Senior Community Planner Charles Doyle, AICP, David Towsey, Lehigh County Northampton County Director of Transportation Senior Geographic Information Phillips Armstrong Lamont G. McClure, Jr. Planning and Data Systems Planner Geoff Brace Dr. Christopher R. Amato Tracy L. Oscavich, Craig Kackenmeister, Percy H. Dougherty, PhD Janell Connolly Director of Development Graphic Designer / Publication Bob Elbich Malissa Davis Coordinator Geoffrey A. Reese, PE, Ce-Ce Gerlach Robert Donchez Director of Environmental Planning Simon Okumu, Transportation and Michael Gibson Liesel Dreisbach Economic Systems Planner/Technician Bruce Rider, Michael Harakal, Jr. Andrew Elliott Director of Administration Jennifer Winton, Kent H. Herman, Esq. Charles W. Elliott, Esq. Executive Administrative Assistant Michael Hanes, Jamie Johnson Darlene Heller, AICP (alt.) Associate Director of Transportation Brian Hite, Leonard Lightner (alt.) Susan Lawless, Esq. Planning and Data Senior Planning Technician Richard Molchany (alt.) Kevin Lott Samantha Smith, Bethany Vazquez, Joyce Moore Carl Manges (alt.) Chief Community Planner Program Associate Christina V. Morgan John McGorry Elena Tucci, Julie Benco, Ray O’Connell Stephen Melnick Senior Environmental Engineer Community Fellow Owen O’Neil David O’Connell Vicki Weidenhammer, Mahdis Modaresi, Kathy Rader Salvatore J. Panto, Jr. Controller Community Fellow Stephen Repasch Spirit Rutzler Teresa Mackey, Kevin Schmidt Tina Smith (alt.) Senior Environmental Planner Joshua Siegel Gerald Yob Lehigh County Northampton County Phillips Armstrong, County Executive Lamont G. McClure Jr., County Executive Lehigh County Commissioners Northampton County Council Lehigh County Government Center - Room 408 Northampton County Courthouse 17 South Seventh Street 669 Washington Street Allentown, Pennsylvania, 18101 Easton, Pennsylvania, 18042 610-782-3050 610-829-6500 Geoff Brace, Chair Lori Vargo Heffner, President Marc J. Grammes, Vice Chair William B. McGee, Vice President Percy H. Dougherty, PhD John Cusick Jeffrey Dutt Margaret (Peg) L. Ferraro Bob Elbich Thomas A. Giovanni Dave Harrington Ronald R. Heckman Dan Hartzell Kevin Lott Zakiya Smalls Kerry L. Myers Amy Zanelli Tara M. Zrinski The preparation of this report has been funded by Lehigh County as part of the Act 24, COVID-19 County Relief Block Grant from the Commonwealth of Pennsylvania’s Department of Community and Economic Development through the Coronavirus Aid, Relief, and Economic Security (CARES) Act from the US Department of Treasury. INTRODUCTION The COVID-19 Pandemic has had a dramatic impact on the global economy in 2020 and the effects have been particularly troublesome in the areas of housing and employment. Nationally, millions of people face losing their homes when national eviction moratoriums expire and millions have lost their jobs. The LVPC, in partnership with the Federal Reserve Bank of Philadelphia, has worked to analyze the risk faced by residents and workers across the Lehigh Valley, so government, non-profit and community leaders can direct resources to where they’re needed most. This effort is in response to the COVID-19 crisis and the many families in need and would not be possible without the generous funding of Lehigh County on behalf of the entire region, the State of Pennsylvania and the Federal Coronavirus Aid, Relief, and Economic Security (CARES) Act. The region’s growth and success have always been directly tied to people being able to find attainable housing and their ability to pay for that housing rests with the region’s employment market. Housing affordability and attainability affects all of the families in 249,000 households, throughout 17 school districts, in the Lehigh Valley. As we looked closely at the region’s growing housing issues, it became clear that even before the Pandemic began, residents were struggling with housing costs in every corner of every school district, from urban to suburban to rural communities across the region. Understanding these vulnerabilities is critical to the community’s collective response to this crisis. The region’s median income of $65,434 annually includes roughly 51% of renter households and 24% of owner households paying more for housing than is recommended for financial stability. Overall, this equates to more than 81,000 Lehigh Valley households that are particularly vulnerable to housing loss, especially resulting from the difficulties created by the Pandemic. The LVPC analysis considers a variety of factors contributing to risk of housing and job loss resulting from, or intensified by, the Pandemic. Through identifying the neighborhoods and communities where concentrations of families that are experiencing increased vulnerability are located, the analysis offers concrete information that can be used throughout the Lehigh Valley to mitigate the susceptibility of housing loss and reduce homelessness, resulting from impacts of COVID-19. Housing attainability is a re-eisting issue… COST-BURDND HOUSHOLDS in the Lehigh Valley 191 3.3 24% or in 1 9 Renters 1 Owners households are households 76% cost-burdened Cost-Burdened Not Cost-Burdened Source: .S. Census Bureau American Community Survey and Lehigh Valley Planning Commission made worse by the Pandemic COVID-19 RLATD JOBS AT RIS in the Lehigh Valley 1.3% 1.7% 1.9 9% Residents orking in 90% At-Risk Industries 8.0% 6.9% 7.2% 4.0% 31% 9,1 out of 15% 31,605 residents liing in the region Retail Trade are emloyed in Construction Other Services Warehousing Manufacturing Healthcare and Food Services and Recreation Waste Services at-risk industries (excluding Public Transportation andAdministrative and Arts, Entertainment Administration) Accommodation andEducational Services Social Assistance Source: Federal eserve Bank of Philadelphia and Lehigh Valley Planning Commission 5 Lehigh Valley Cost-Burdened Households One-third of all Lehigh Valley households were spending more than is recommended on housing costs prior to the Pandemic. Households spending more than 30% of their gross income on housing are known as ‘cost-burdened’ due to financial limitations created by their high cost of housing. The 191 economic impacts of COVID-19 have exacerbated cost-burdening. Households at risk of being unable to afford rent or mortgage payments are located throughout the region, in rural, urban and suburban communities. However, the LVPC analysis determined that throughout the Valley renters are 1 consistently at a greater disadvantage than homeowners. 6 Monroe County 5 Carbon County 611 4 191 3 1 248 2 7 Cost-Burdened e Jersey 33 Renters in the 22 Schuylkill County Lehigh Valley 97 1 14 9 1 47 7 8 611 22 SCOOL DISTRICTS 10 1 1 1 7 1. orthestern Lehigh School District LEGEND 12 2. orthern Lehigh School District . orthampton Area School District Maor Roads 222 4. azareth Area School District Municipal Boundary . Pen Argyl School District 11 . Bangor Area School District School District Boundary 7. Easton Area School District Berks County . Wilson Area School District Percentage of Cost-Burdened 17 9. Bethlehem Area School District Renter ouseholds Bucks County 10. Saucon Valley School District 11. Southern Lehigh School District - 1 12. Salisbury Tonship School District 9 6 - 1. Allenton School District 14. Catasauqua Area School District - 6 1. Whitehall-Coplay School District 1. Parkland School District ≤40% 17. East Penn School District Cost-Burdened Homeowners 191 in the Lehigh Valley 1 Monroe County 6 5 Carbon County 611 4 191 3 1 248 2 7 e Jersey 33 Schuylkill County 22 97 1 14 9 1 47 7 8 611 22 10 1 1 SCOOL DISTRICTS 1 7 12 1. orthestern Lehigh School District LEGEND 2. orthern Lehigh School District Maor Roads . orthampton Area School District 222 4. azareth Area School District Municipal Boundary 11 . Pen Argyl School District . Bangor Area School District School District Boundary 7. Easton Area School District Percentage of Cost-Burdened Berks County 17 . Wilson Area School District 9. Bethlehem Area School District Owner ouseholds Bucks County 10. Saucon Valley School District 11. Southern Lehigh School District 6 - 1 9 12. Salisbury Tonship School District - 6 1. Allenton School District 14. Catasauqua Area School District - 1. Whitehall-Coplay School District 1. Parkland School District ≤20% 17. East Penn School District 7 Lehigh Valley At-Risk Residents The risk of housing loss has been increased because of the Pandemic, especially for workers in at-risk jobs. The Federal Reserve Bank of Philadelphia identified ten industries that are most at risk of Pandemic-related job losses. These are called ‘at-risk jobs’ because they require employees to regularly work within six feet of others, increasing the risk of contracting COVID-19 and thereby the likelihood of job loss. Nearly 250,000 people in the region are in at-risk jobs. Many of the communities with the lowest percentages of at-risk workers are in rural and suburban areas of the Lehigh Valley, particularly in western Lehigh County, though there are several