city of austin, office of the city auditor affordability

2

December 2016

AFFORDABILITY REVIEW PROJECT: COUNCIL DISTRICT PROFILES

City AuditorCorrie Stokes

Deputy City AuditorJason Hadavi

As requested by City Council, the Office of the City Auditor conducted this special project to identify factors that

affect affordability for Austin residents. Demographic and expenditure information was summarized for each Council

district and the city overall in a series of profiles.

City of Austin, Office of the City Auditor

TeamNiki Raggi, Assistant City AuditorMary Dory, Auditor-in-ChargeCameron Lagrone, AuditorMichael McGill, Senior AuditorTope Eletu-Odibo, Senior InvestigatorEmily Hebert, Audit Intern

1

For variable definitions, methodology, and a more extensive discussion of data sources, please see the last page of this report.

TERMINOLOGY AND DATA NOTES

These profiles often rely on medians rather than average estimates. Medians are the center point of the data, and thus are less affected by outliers (such as a few households with extremely high or low incomes). Averages, on the other hand, tend to be skewed towards large outliers. This means that medians are often a better choice for describing what is happening at the district level.

Medians versus Averages

Households and Families

HOUSEHOLDS

FAMILIES

A household is defined by the Census as an occupied housing unit. This means that a household can have many different compositions – it might be a single person living alone, a group of roommates, a married couple without children, or a family.

These profiles analyze income and expenditures (with the exception of child care) at the household level.

Families are a specific subset of households. The Census defines a family household as a household in which one or more persons are related to the householder by marriage, birth, or adoption.

Median Household Income versus Median Family Income

These profiles focus on median household income rather than median family income. Measures of family income are often higher than measures of household income. This is because many family households have two incomes, whereas households of single individuals (and therefore single incomes) are excluded from median family income by default. In comparison, the median household income is based on all households.

Median Household Income

LOWER

Median Family Income

HIGHER

Although median family income is important for many social service activities, we concluded that median household income was a more accurate reflection of income for the typical Austin household, and therefore the best measure for the districts and city as a whole.

Geography and Data Sources

The data used in these profiles reflect a combination of public and private sources. All data were estimated for 2015. GIS analysis was used to map the data and generate estimates at the Council district and city-wide level.

With the exception of property tax estimates and child care estimates, all data were estimated at the Census block group level. Property tax estimates were calculated by property and child care estimates are based on market rates for all of Travis County.

2

CITY OF AUSTIN

1

1.0%2.2%

5.3%9.7%

11.8%15.3%

19.4%9.9%

6.0%5.9%

6.6%6.9%

0% 5% 10% 15% 20% 25%

85+75 - 8465 - 7455 - 6445 - 5435 - 4425 - 3420 - 2415 - 1910 - 14

5 - 90 - 4

2015 Population by Age

5

8 3

1

2

10

6

7

4

9

9.2%

9.3%

9.7%

10.4%

10.8%

8% 9% 10% 11%

Health Care

Accommodation/Food Services

Retail Trade

Educational Services

Professional/Tech Services

2015 Employed Population 16+ by Industry, Top 5

$4,910 2015 Median EstimatedProperty Tax Bill

2.36 2015 Average Household Size

$270,610 2015 Median AppraisedHome Value

$52,460 2015 Median HouseholdIncome

*Based on Census Bureau methodology, people who identify their origin as Hispanic, Latino, or Spanish may be of any race. White, Black, Asian, and other populations included here are non-Hispanic.

2015 Race and Hispanic Origin*

Black

Asian

Other

White47%

7%

7%

2%

Hispanic36%

17.6%

29.9%

5.1%

18.8%

16.2%

12.4%

0% 10% 20% 30% 40%

Graduate/Professional Degree

Bachelor's Degree

Associate Degree

Some College, No Degree

High School or Equivalent

Less than High School

2015 Population 25+ by Educational Attainment

855,136

356,998

183,564

943,555

395,686

201,371

0

200,000

400,000

600,000

800,000

1,000,000

Population Households Families

2015 - 2020 Demographic Trends

NOTE: The Census Bureau defines a household as an occupied housing unit. Families are a subset of households, in which there is at least one person present who is related to the householder by birth, marriage, or adoption.

85,533

40,669

21,293

92,540

44,206

22,827

0

20,000

40,000

60,000

80,000

100,000


2015 Estimate

2020 Projection

OFFICE OF THE CITY AUDITOR - AUSTIN CITYWIDE PROFILE, DECEMBER 2016

10

5

8

2

3

19

4

7

6

1

2015 Median Household Income

CITY OF AUSTIN

2

2015 Household Income Distribution

12.8%

9.7%

10.9%

14.4%

16.1%

12.0%12.8%

5.2%6.1%

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

$52,460 2015 Median Household IncomeNote: the median 2015 household income for the City of Austin was $52,458.

2015 Median Household Income by Census Block Group$0.00 - $15,993

$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00

No household data in Census block

County Boundary

2015 Average Annual Household Spending on Affordability Cost Drivers

$50,580Annual Renter Spending:

$61,840Annual Owner Spending:

Housingby Renter $12,430

by Owner $23,690

Utilities $4,930

Food $9,020

Transportation $10,850

Health Care $4,370

Education & Retirement $8,980

Housing costs are the largest basic expense for most Austinites. Citywide, renters spend less on average on housing costs than homeowners.

48%

Child care is another major expense for some Austinites.

There are approximately 58,700 children under five in Austin.

In 2015, the average cost per child of full-time child care in Travis County was . $7,720

43% Owner Households57% Renter Households

OFFICE OF THE CITY AUDITOR - AUSTIN CITYWIDE PROFILE, DECEMBER 2016

DATA SOURCE: Office of the City Auditor analysis of Esri Business Analyst 2015 estimates based on public and private data sources, including the U.S. Census. Exceptions are property tax data (which were based on data obtained from the Central Appraisal Districts) and child care expenditure data (which were based on data from the 2015 Texas Child Care Market Rate Survey).

Note: the median 2015 household income for the City of Austin was $52,458.


$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary

2

CITY COUNCIL DISTRICT 1


1.1%2.7%

5.2%8.9%

10.9%15.0%

18.5%7.9%

6.4%7.0%

7.9%8.4%

0% 5% 10% 15% 20%

85+75 - 8465 - 7455 - 6445 - 5435 - 4425 - 3420 - 2415 - 1910 - 14

5 - 90 - 4



$3,570 2015 Median Estimated Property Tax Bill




Black

Asian

Other

White23%

26%

3%

2%

Hispanic46%

8.1%

9.0%

9.3%

10.1%

12.1%

0% 10% 20%

Retail Trade


Health Care


Construction


9.3%

19.1%

4.8%

20.5%

23.6%

22.8%

0% 10% 20% 30%


Bachelor's Degree

Associate Degree





83,695

30,37418,267

95,655

34,761

20,817

0

20,000

40,000

60,000

80,000

100,000

120,000


20152020



84,464

33,400

14,796

92,224

36,735

15,993

0

20,000

40,000

60,000

80,000

100,000


20152020

85,533

40,669

21,293

92,540

44,206

22,827

0

20,000

40,000

60,000

80,000

100,000


2015 Estimate

2020 Projection

OFFICE OF THE CITY AUDITOR - AUSTIN CITY COUNCIL DISTRICT 1 PROFILE, DECEMBER 2016 3

1

3



2015 Average Annual HouseholdSpending on Affordability Cost Drivers

Housingby Renter $8,840 71

by Owner $15,200 64

Utilities $3,440 70

Food $6,180 69

Transportation $7,460 69

Health Care 3,050 70

Education & Retirement $5,990 67

Austin Spending Index*




17.7%

12.5%13.1%

16.8%16.5%

11.1%

9.1%

1.9%1.2%

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

20%

$39,790 2015 Median Household Income

Housing costs are the largest basicexpense for most Austinites. In District 1, renters spend less on average on housing costs than homeowners.

42%


There are approximately 7,070 children under five in District 1.

*Austin Spending Potential Index: The Austin SPI is household-based, and represents the amount spent for a product or service relative to a citywide average of 100. If the index is greater than 100, district residents spend more on average on that product or service than the average Austinite.


OFFICE OF THE CITY AUDITOR - AUSTIN CITY COUNCIL DISTRICT 1 PROFILE, DECEMBER 2016


4


2015 Median Household Income by Census Block Group$0 - $15,993

$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00

No household data in Census blockNote: the median 2015 household income for the City of Austin was $52,458.


$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary


4



0.3%1.4%

4.0%8.1%

11.0%14.5%

19.2%9.0%

7.1%7.7%

8.5%9.2%

0% 5% 10% 15% 20% 25%

85+75 - 8465 - 7455 - 6445 - 5435 - 4425 - 3420 - 2415 - 1910 - 14

5 - 90 - 4







Black

Asian

OtherWhite

20%

7%

1%

2%

Hispanic70%

6.7%

9.1%

11.0%

11.1%

12.9%

0% 10% 20%

Public Administration

Health Care

Construction

Retail Trade



4.5%

14.8%

5.7%

20.5%

26.8%

27.7%

0% 10% 20% 30%


Bachelor's Degree

Associate Degree





86,998

27,96318,532

96,963

31,12320,585

0

20,000

40,000

60,000

80,000

100,000

120,000




85,533

40,669

21,293

92,540

44,206

22,827

0

20,000

40,000

60,000

80,000

100,000


2015 Estimate

2020 Projection

5OFFICE OF THE CITY AUDITOR - AUSTIN CITY COUNCIL DISTRICT 2 PROFILE, DECEMBER 2016

2

5





by Owner $14,110 60

Utilities $3,400 69

Food $6,070 67


Health Care $2,950 67







$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary



$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary



12.7%13.1%

14.2%

20.1%20.2%

10.2%

7.1%

1.7%0.8%

0%

5%

10%

15%

20%

25%


Housing costs are the largest basicexpense for most Austinites.

In District 2, renters spend less on average on housing costs than homeowners.

38%







6



0.7%1.8%

3.9%6.8%

9.2%14.1%

22.1%14.9%

7.0%5.3%

6.7%7.6%

0% 5% 10% 15% 20% 25%

85+75 - 8465 - 7455 - 6445 - 5435 - 4425 - 3420 - 2415 - 1910 - 14

5 - 90 - 4







Black

Asian

Other

White25%

8%

3%

2%

Hispanic62%

8.6%

8.8%

9.4%

14.1%

14.6%

0% 10% 20%

Health Care

Retail Trade



Construction


8.8%

19.7%

3.8%

17.9%

22.4%

27.4%

0% 10% 20% 30%


Bachelor's Degree

Associate Degree





84,464

33,400

14,796

92,224

36,735

15,993

0

20,000

40,000

60,000

80,000

100,000




85,533

40,669

21,293

92,540

44,206

22,827

0

20,000

40,000

60,000

80,000

100,000


2015 Estimate

2020 Projection


3

7





by Owner $17,640 74

Utilities $2,610 53

Food $4,750 53



Education and Savings $4,330 48


$25,690Annual Renter Spending:$37,100Annual Owner Spending:



$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00




$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary

2015 Household Income Distribution23.7%

16.7%

18.2%17.4%

12.1%

5.9%4.9%

0.6% 0.5%0%

5%

10%

15%

20%

25%


Housing costs are the largest basic expense for most Austinites.


65%


There are approximately 6,430 children under five in District 3.*Austin Spending Potential Index: The Austin SPI is household-based, and

represents the amount spent for a product or service relative to a citywide average of 100. If the index is greater than 100, district residents spend more on average on that product or service than the average Austinite.

24% Owner Households

76% Renter Households




8



0.6%1.6%

3.8%7.6%

10.6%14.9%

20.4%8.0%

6.2%7.2%

9.1%9.9%

0% 5% 10% 15% 20% 25%

85+75 - 8465 - 7455 - 6445 - 5435 - 4425 - 3420 - 2415 - 1910 - 14

5 - 90 - 4







Black

Asian

Other

White20%

10%3%

2%

Hispanic66%

6.9%

9.2%

9.4%

12.4%

21.0%

0% 10% 20% 30%


Administrative Services

Retail Trade


Construction


6.8%

16.0%

4.1%

18.0%

24.5%

30.7%

0% 10% 20% 30% 40%


Bachelor's Degree

Associate Degree





82,873

28,55516,819

89,024

30,705

17,851

0

20,000

40,000

60,000

80,000

100,000




84,464

33,400

14,796

92,224

36,735

15,993

0

20,000

40,000

60,000

80,000

100,000


20152020

85,533

40,669

21,293

92,540

44,206

22,827

0

20,000

40,000

60,000

80,000

100,000


2015 Estimate

2020 Projection


4

9





by Owner $17,990 76

Utilities $2,950 60

Food $5,490 61









$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


2015 Household Income Distribution18.9%

16.4%16.1%

16.4%16.0%

8.6%

5.8%

1.1% 0.5%0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

20%




60%


There are approximately 8,200 children under five in District 4.*Austin Spending Potential Index: The Austin SPI is household-based, and

represents the amount spent for a product or service relative to a citywide average of 100. If the index is greater than 100, district residents spend more on average on that product or service than the average Austinite.







$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary


10


1.3%2.8%

6.4%11.1%

12.2%17.3%

20.8%6.6%

4.6%5.0%

5.7%6.0%

0% 5% 10% 15% 20% 25%

85+75 - 8465 - 7455 - 6445 - 5435 - 4425 - 3420 - 2415 - 1910 - 14

5 - 90 - 4








Black

Asian

Other

White58%

4%

3%

3%

Hispanic33%

9.9%

9.9%

10.4%

10.4%

10.9%

0% 10% 20%


Health Care



Retail Trade


14.8%

33.5%

6.4%

23.2%

16.3%

6.0%

0% 10% 20% 30% 40%


Bachelor's Degree

Associate Degree





91,482

41,571

20,855

103,462

47,307

23,482

0

20,000

40,000

60,000

80,000

100,000

120,000


20152020



85,533

40,669

21,293

92,540

44,206

22,827

0

20,000

40,000

60,000

80,000

100,000


2015 Estimate

2020 Projection


5

11





by Owner $20,510 87

Utilities $4,770 97

Food $8,570 95









$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary


8.3% 8.3%

10.1%

15.0%

18.2%

16.7%15.7%

4.6%3.2%

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

20%




40%









$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary


12



0.9%2.1%

5.9%10.6%

13.9%16.8%

17.5%6.9%

5.7%6.4%

6.8%6.5%

0% 5% 10% 15% 20%

85+75 - 8465 - 7455 - 6445 - 5435 - 4425 - 3420 - 2415 - 1910 - 14

5 - 90 - 4



$7,620 2015 Median EstimatedProperty Tax Billˠ


$387,660 2015 Median AppraisedHome Valueˠ


Black

Asian

Other

White62%

5%

14%

3%

Hispanic16%

8.5%

10.5%

11.1%

11.1%

13.9%

0% 10% 20%


Health Care

Retail Trade

Manufacturing



20.5%

34.8%

5.9%

22.2%

13.0%

3.6%

0% 10% 20% 30% 40%


Bachelor's Degree

Associate Degree





88,927

38,875

22,037

98,511

43,434

24,360

0

20,000

40,000

60,000

80,000

100,000

120,000


20152020



85,533

40,669

21,293

92,540

44,206

22,827

0

20,000

40,000

60,000

80,000

100,000


2015 Estimate

2020 Projection

ˠEstimated 2015 property taxes and appraisal values for all Council dis-tricts were calculated using Travis Central Appraisal District (TCAD) data. However, approximately half the residential properties in District 6 are located in the Williamson Central Appraisal District (WCAD). The median appraisal value of District 6 residential properties using both TCAD and WCAD data was $304,835 in 2015. Testing indicated that the median estimated property tax bill for all residential properties in District 6 is about $6,540.


6

13





by Owner $30,990 131

Utilities $6,230 127

Food $11,410 127









$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary


4.7%5.5%

7.7%

11.2%

17.7%16.8%

19.8%

8.1% 8.5%

0%

5%

10%

15%

20%

25%




53%









$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary


14



1.3%2.5%

5.5%11.0%

12.4%17.1%

22.3%7.6%

4.0%4.6%

5.6%6.1%

0% 5% 10% 15% 20% 25%

85+75 - 8465 - 7455 - 6445 - 5435 - 4425 - 3420 - 2415 - 1910 - 14

5 - 90 - 4







Black

Asian

Other

White55%

8%

10%

3%

Hispanic24%

8.1%

9.7%

9.8%

10.5%

13.2%

0% 10% 20%

Manufacturing

Health Care

Retail Trade




18.2%

34.1%

6.5%

19.7%

15.3%

6.2%

0% 10% 20% 30% 40%


Bachelor's Degree

Associate Degree





85,639

41,296

19,083

93,278

45,260

20,617

0

20,000

40,000

60,000

80,000

100,000




85,533

40,669

21,293

92,540

44,206

22,827

0

20,000

40,000

60,000

80,000

100,000


2015 Estimate

2020 Projection


7

15





by Owner $22,760 96

Utilities $4,490 91

Food $8,200 91









$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary


8.6%8.4%

11.4%

15.7%

18.8%

14.3%15.1%

5.3%

2.4%

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

20%




52%









$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary


16



1.1%2.1%

6.2%12.2%

14.8%16.8%

14.3%5.3%

5.7%7.6%

7.4%6.5%

0% 5% 10% 15% 20%

85+75 - 8465 - 7455 - 6445 - 5435 - 4425 - 3420 - 2415 - 1910 - 14

5 - 90 - 4







Black

Asian

Other

White69%

2%

8%

3%

Hispanic18%

9.1%

9.5%

10.6%

10.7%

15.7%

0% 10% 20%

Health Care

Retail Trade

Manufacturing




25.0%

41.2%

5.3%

16.7%

9.1%

2.7%

0% 10% 20% 30% 40% 50%


Bachelor's Degree

Associate Degree





86,855

35,080

22,272

94,818

38,292

24,220

0

20,000

40,000

60,000

80,000

100,000




84,464

33,400

14,796

92,224

36,735

15,993

0

20,000

40,000

60,000

80,000

100,000


20152020

85,533

40,669

21,293

92,540

44,206

22,827

0

20,000

40,000

60,000

80,000

100,000


2015 Estimate

2020 Projection


8

17





by Owner $30,860 130


Food $13,700 152









$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary


4.3% 4.5% 4.4%

9.5%

15.6%

14.4%

20.3%

12.6%14.4%

0%

5%

10%

15%

20%

25%


Housing costs are the largest basic expense for most Austinites. In District 8, renters spend less on average on housing costs than homeowners.

40%









$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary


18



0.6%1.2%

3.6%6.9%

7.9%11.4%

23.9%28.4%

8.2%2.0%

2.6%3.2%

0% 5% 10% 15% 20% 25% 30%

85+75 - 8465 - 7455 - 6445 - 5435 - 4425 - 3420 - 2415 - 1910 - 14

5 - 90 - 4







Black

Asian

Other

White66%

3%

10%

3%

Hispanic18%

8.3%

8.9%

9.3%

14.5%

19.1%

0% 10% 20% 30%

Health Care

Retail Trade





31.1%

39.3%

3.6%

14.3%

7.3%

4.4%

0% 10% 20% 30% 40% 50%


Bachelor's Degree

Associate Degree





78,670

39,217

9,610

87,079

43,864

10,619

0

20,000

40,000

60,000

80,000

100,000


20152020



85,533

40,669

21,293

92,540

44,206

22,827

0

20,000

40,000

60,000

80,000

100,000


2015 Estimate

2020 Projection


9

19





by Owner $26,340 111

Utilities $4,100 83

Food $7,790 86









$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00



25.9%

10.0%9.3%

13.6%12.2%

9.1%11.0%

3.4%5.5%

0%

5%

10%

15%

20%

25%

30%



57%








$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary




20



2.1%4.1%

8.4%13.6%

14.1%13.9%

16.0%6.1%

5.0%6.0%

5.7%5.0%

0% 5% 10% 15% 20%

85+75 - 8465 - 7455 - 6445 - 5435 - 4425 - 3420 - 2415 - 1910 - 14

5 - 90 - 4







Black

Asian

Other

White77%

2%

9%

2%

Hispanic10%

8.9%

9.2%

10.3%

12.4%

18.7%

0% 10% 20%

Manufacturing

Retail Trade

Health Care




34.2%

40.9%

3.8%

13.4%

6.3%

1.3%

0% 10% 20% 30% 40% 50%


Bachelor's Degree

Associate Degree





85,533

40,669

21,293

92,540

44,206

22,827

0

20,000

40,000

60,000

80,000

100,000




85,533

40,669

21,293

92,540

44,206

22,827

0

20,000

40,000

60,000

80,000

100,000


2015 Estimate

2020 Projection


10

1





by Owner $35,190 149


Food $14,380 160








7.5%5.8%

7.4%

10.8%

14.2%

10.3%

14.1%

9.9%

20.0%

0%

5%

10%

15%

20%

25%



43%









$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary



$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


County Boundary


21

†Based on Census Bureau methodology, people who identify their or-igin as Hispanic, Latino, or Spanish may be of any race. White, Black, Asian, and other populations included here are non-hispanic.

Population by Age

Race and Hispanic Origin†

2015-2020 Annual Growth Rate

Demographic Trends

NOTE: Based on Census Bureau methodology, families are households in which there is at least one person present who is related to the householder by birth, marriage or adoption.

2015 Average Annual AmountSpent on Child Care

2015 Median Amount Spent on Property Tax

2015 Average Household Size

2015 Median AppraisedHome Value

2015 Median HouseholdIncome

METHODOLOGY

Data Source

Additional data source information:• Demographic and expenditure estimates were developed using Esri Business Analyst block group level data for 2015. The data were

apportioned to the relevant geographic boundaries. • Appraised home values and estimated property taxes for 2015 were obtained from the Travis Central Appraisal District. This

information is publicly available, but the Office of the City Auditor appreciates the assistance of the Chief Appraiser in supplying the data in a centralized format. Estimated property taxes take into account all applicable exemptions and freeze ceilings. Information from the Williamson Central Appraisal District was also used to estimate home values and property taxes in District 6.

• Estimated child care costs used in the profiles is based on 2015 market rate data collected for the Texas Workforce Commission’s Texas Child Care Market Rate Survey.

The Office of the City Auditor (OCA) Affordability Review project summarizes demographic and expenditure information at the city-wide level and for each of the ten City Council districts. All data is for 2015. Data for property tax data and for child care expenditures were derived from publically available data, as explained in more detail below. All other data were derived from a private dataset, Esri Business Analyst. OCA utilized Esri Business Analyst due to the need for demographic and expenditure data that were recent, accurate, and geographically precise. Esri Business Analyst data is derived from public and private sources, which are combined and forecasted through various statistical modeling techniques. Data sources used by Esri Business Analyst include the Bureau of Labor Statistics, the Census, the Internal Revenue Service, the Postal Service, and the Federal Housing Finance Agency, as well as a variety of privately developed databases.

Expenditure Variable - DefinitionsHousing Costs, Owner: Includes mortgage interest, mortgage principal, property taxes, homeowner’s insurance, ground rent, maintenance and remodeling services, maintenance and remodeling materials, and property management and security costs.

Housing Costs, Renter: Includes rent, rent received as pay, renters’ insurance, maintenance and repair services, and maintenance and repair materials.

Utilities: Includes electricity, natural gas, phone services, and water and other public services.

Food: Includes expenditures on food at home and food away from home. Spending on alcoholic beverages is excluded.

Transportation: Includes vehicle purchases, vehicle finance charges, gasoline and motor oil, maintenance and repairs, vehicle insurance, public transportation, and vehicle rental, leases, licenses, and other charges.

Health Care: Includes health insurance, medical services, drugs, and medical supplies.

Education and Retirement: Includes tuition, fees, textbooks, supplies, and equipment for educational pursuits, as well as all Social Security contributions paid by employees, employee contributions to pension programs, and retirement programs for the self-employed.

Expenditure Variable - Methodology

Housing CostsAverage housing costs were calculated by dividing the total housing expenditures by the relevant number of housing units. Average housing costs for owners were divided by the total number of owner-occupied housing units for the designated area, while average housing costs for renters were divided by the total number of renter-occupied housing units for the designated area.Child CareThe expenditure data used in our other analyses did not allow us to estimate child care costs by household. For a household-level analysis, we used Travis County data from the 2015 Texas Child Care Market Rate Survey. The average daily cost of full-time care for infants, toddlers, and preschoolers was multiplied by 250, which was the number of days we estimated that full-time care was required per year. All Other ExpendituresAverage expenditures for all other variables were calculated by dividing the total expenditures for that category over the total number of households in the designated area.

Average expenditure estimates were used because individual household-level expenditure data is not available. Therefore, median expenditures could not be calculated.

32

Average Annual Spending on Affordability Cost Drivers

*Austin Spending Potential Index: The Austin SPI is house-hold-based, and represents the amount spent for a product or service relative to a citywide average of 100. If the index is greater than 100, district residents spend more on average on that product or service than the average Austinite.




$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00


Housingby Owner

by Renter

Utilities

Food

Transportation

Health Care

Education and Savings


Annual Renter Spending:

Annual Owner Spending:



$15,994 - $34,022

$34,023 - $52,458

$52,459 - $83,843

$83,844 - $134,691

$134,692 - $200,001.00



Office of the City Auditor(512)974-2805phone:

[email protected]:http://www.austintexas.gov/auditorwebsite:

http://www.austintexas.gov/page/audit-reportsCopies of our reports are available at

Printed on recycled paperAlternate formats available upon request

city of austin, office of the city auditor affordability

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