LOCAL STATEMENT OF NEED

FACTORS WHICH CONTRIBUTE TO SERVICES BEING NECESSARY IN CLEVELAND, OHIO

Local Statement of Need:

Factors which contribute to the growing needs of the economically challenged families of Cleveland, Ohio:

Statistics:

Poverty Factors:

30.8% of Cleveland, OH residents had an income below the poverty level in 2019, which was 57.6% greater than the poverty level of 13.1% across the entire state of Ohio.

Taking into account residents not living in families, 23.4% of high school graduates and 47.3% of non high school graduates live in poverty.

The poverty rate was 25.9% among disabled males and 31.2% among disabled females.

The renting rate among poor residents was 77.9%. For comparison, it was 42.8% among residents with income above the poverty level.
Read more: http://www.city-data.com/poverty/poverty-Cleveland-Ohio.html

Earning and Living Difficulty:

Minimum wage in Cleveland, Ohio is $8.80 per hour.
Full time minimum wage workers in Cleveland earn a total of $352.00 per week and approximately $18,304.00 per year (based on 8 hour days and a 260-day work year) before taxes. The federal poverty threshold for a household of two is $14,570 per year.

Cost of Caregiving: (Please Keep The Following In Mind)

Recent surveys showed Ohio with a 102% increase in daycare costs during the pandemic, with an average annual cost of $7,554 per child before the pandemic, and a $15,230 average annual cost per child as the pandemic moved into 2021. *
The average hourly rate for special needs child care is $13.58, 5% above the average in Cleveland, OH. For toddler child care, the average hourly rate is $13.10, 1% above the average in Cleveland, OH.
Average caregiver forgoes $659,159 in salary and retirement benefits over the course of a lifetime.
Currently in Cleveland, Ohio there are over 770,000 caregivers, who provide 737 million hours of “Free services to chronically ill or disabled loved ones. If these services were replaced by paid workers at a rate of $10.04 per hour, the cost would be almost $7.4 billion dollars per year.
U.S. Companies lose $11 to 29 Billion dollars per year due to decreased productivity by stressed working caregivers and replacement costs when the employee resigns to become a full time caregiver.

Nationwide Impact Statistics:

U.S. Business lose 4.4 Billion dollars annually due to employee absenteeism as a result of childcare breakdowns.
Nationally, childcare workers need to spend an average of 81% to afford center based childcare for two children.
Nationally in 2014, the cost of childcare fees for two children in a center based care center exceeded housing costs for homeowners with a mortgage in 24 states and the District of Colombia.
Nationally in 2014, in 28 states plus the District of Colombia, the average annual cost for an infant in center based childcare was higher than one year’s tuition and fees at a four-year public college.
In 2014, the cost of center based childcare exceeded the cost of transportation in every region of the United States and the District of Colombia.
In 2014, the cost for an infant in center based childcare exceeded the average amount of money a family spends on food in every region of the United States and the District of Colombia.
Fully 75 percent of 18-year-olds are not qualified to serve their country in the military, the lack of quality education and child care have been stated as key contributing factors.

* Source...In-Depth: Ohio daycare costs surging according to new survey (news5cleveland.com)