- Homepage
- Bristol Va.
- Technology
- Hobby Electronics
- US Constitution
- Christianity 101
- Gnosticism 101
- Religious Themes
Scott County economy upgraded from distressed to transitional; it means fewer federal funds
Scott County average income lags behind rest of Virginia
By KEVIN CASTLE
DUFFIELD - Figures presented during a recent economic summit in Scott County show while the county has gained in population, the amount of income a resident makes is well below the state average. Sim Ewing of the Weldon Cooper Center for Public Service at the University of Virginia's College at Wise presented the data to Scott County government officials earlier this month.
His presentation, "Where Is Scott County, Economically Speaking?" indicated that the per-capita income level of personal income for county residents is far below what the rest of the state averages. The center's information, derived from 1999 figures from the Bureau of Economic Analysis at the U.S. Department of Commerce, shows the per-capita personal income for the commonwealth of Virginia was $29,794.
The average income for Scott Countians during that period was $16,882 - nearly $13,000 below the state average. The same data source also points out an even more drastic drop in the average earnings per job in the county. In 1999, the state average was $34,290, while Scott County's average was $15,736 - an $18,554 difference in wages.
In terms of jobs, Ewing said farming continues to contain the highest level of workers in the county, with just over 1,800 people employed in the farming profession in 1999. The service industry is the second-leading employer of the county, with 1,500 workers. Retail trade, government and manufacturing ranked third through fifth, respectively.
Manufacturing has seen the biggest reduction in the county's work force, said Ewing. In 1990, the number of workers in factories in the county was just over 1,300. In 1999, that total was reduced to nearly 500 workers following either layoffs or closures of county manufacturing plants. Ewing pointed to a jump in population as a sign of the county's economy taking an upward swing, given the recent expansion of VFP Inc. and the newest plant in the county, the manufacturing facility of Tempur-Pedic Inc. in the Duffield Industrial Park.
The U.S. Census Bureau lists Scott County's population for the year 2000 at 23,403 - an increase of 199 people living in the county in 1990. But the breakdown of age groups in the county shows that consumers with "disposable income'' are in low numbers, said Ewing. "These are typically high school and college students and senior citizens.
While we have large numbers in the senior set, those numbers are not as high in the younger age group,'' said Ewing. In 2000, the county had just over 1,000 people in the 15-19 age bracket. The county had roughly 4,000 people age 20-34 and 5,000 people age 55-74. Ewing told the county leaders that the future depends on how Scott County develops a broader taxable sales base and creates more industry to keep the younger population at home instead of moving to other parts of the state or country. "If work continues, the upturn in population will continue. The numbers are up to you," he said.
Published December 27, 2001 Copyright 2001 Kingsport Times-News
Scott County economy upgraded from distressed to transitional; it means fewer federal funds
By KEVIN CASTLE
DUFFIELD - The director of the Lenowisco Planning District Commission says a recent designation change for Scott County by a federal agency is good and bad news. Information recently sent to Lenowisco by the Appalachian Regional Commission states that the county has been moved from a "distressed'' to a "transitional" category for the 2003 fiscal year based on changes in unemployment rates or per capita market income.
Executive Director Ron Flanary said the ARC has different classifications of eligibility for funding based on a degree of economic distress. He says the degree of distress is the big indicator of how much federal funding a county will be able to receive. "In the simplest terms, the more prosperous communities in the ARC region qualify for less favorable grants in terms of dollars available.
Those communities who are distressed get favorable nods toward those monies,'' Flanary said. "For a sewer project, for example, in a distressed area ARC would pay 80 percent of the project, while the locality would be responsible for 20 percent. In a prosperous area, it is a 50-50 split," Flanary said.
"These type of ARC monies would have to go for a project that would be an economic-based site, not really residential projects.'' Established in 1965 by Congress, the Appalachian Regional Commission supports economic and social development in the 13 states that make up the Appalachian region. Flanary said it is hard to put a finger on why Scott County has changed in designation, but the results are good economic news for the area. "Statistically, the positive or negative impacts trail along awhile before they actually show up in the economy.
There was a positive blip in Scott County's economy that pushed it out of this category,'' said Flanary. "The good news is that it appears that the economy is turning upward a bit, but the bad news is Scott County does not qualify for as much grant funding. "As things get better economically, you are less dependent on outside grants and assistance. In theory, if incomes and the tax base are going up, that means the local government is in a better position to help itself."
Copyright 2002 Kingsport Times-News. Published February 3, 2002