PITTSBURGH · pittsburgh quarterly | spring 2017 87 reater pittsburgh’s economy is in a...

P I TTS B U R G H&

n order for citizens to make the bestpossible decisions about the future of their region,they need a foundation of reliable information anda clear understanding of the issues.

Providing that information—through statistical comparisons and in-depth journalistic reports—is the mission of Pittsburgh Today, one of thenation’s oldest regional indicators projects, which is part of the Universityof Pittsburgh’s University Center for Social and Urban Research. In this special annual report—Pittsburgh Today & Tomorrow—weassess how Pittsburgh is doing compared with 14 other regions in keyeconomic and quality-of-life measures. We also examine key issues affect-ing Pittsburgh, and we’ve asked a group of leaders to offer an idea theybelieve will improve our region. To view Pittsburgh Today’s regional indicators and journalistic reports,visit pittsburghtoday.org.

TODAY TOMORROW

86 pittsburghquarterly.com

TODAYPITTSBURGH

R E G I O N A L A N N U A L R E P O R T

I

20

17

*PQ_spr17_74-148.qxp_Layout 1 2/9/17 12:03 AM Page 86

p i t t s b u r g h q u a r t e r l y | spring 2 0 1 7 87

reater pittsburgh’s economy is in a precari-ous situation to start 2017. The seven-county region’sunemployment rate rose sharply through the second half of2015, nearing 6 percent—a level not seen since 2014 whenthe recovery was just gaining real momentum. Prior to the2008–09 recession, Pittsburgh’s unemployment rate mir-

rored national trends for 20 years. So the current divergence for the worsesuggests that Pittsburgh’s employers and employees alike may find thecoming year difficult in terms of advancing toward new economic goals.

A critical illustration of Pittsburgh’s downside risk for 2017 is its com-parison between labor force growth and hiring. Total 2016 job growth wasjust shy of 0.5 percent—in the bottom third of the nation’s 381 metropolitanstatistical areas. But while not stellar, laborforce gains have been stronger, ranking 171stin the nation, and outpacing hiring by a 3-to-1ratio. This mix of trends implies that workersnot able to find positions in Pittsburgh due toa slower pace of hiring may well find themselves relocating to better-per-forming regions, leaving Pittsburgh businesses with fewer workers forfuture expansion efforts. Lackluster growth, both currently and over thenear-term horizon, may also act to limit wage growth for existing employ-ees. With U.S. average wage growth already well ahead of Pittsburgh’s, thepotential exists for a vicious circle of skills drain and lack of labor demand.

Regional consumer spending support will come under fire in 2017 afterrecovering to match national trends during the prior year. Wage growth isalready weak, and without significant job creation the region’s income basecannot support expansion in consumption-oriented industries such asleisure & hospitality services. Further, gasoline prices are moving higher asoil prices have begun to recover after two years of exceptional weakness,and Pennsylvania raised its gasoline taxes to start the year. This all com-bines to undercut job-creating consumer spending by taking dollars out ofconsumers’ wallets and dedicating them to necessary commuting costs.There are no indications that regional consumer confidence has suffered,but the limitations on consumption-driven growth are more about spendingcapacity than spending propensity.

Pittsburgh’s heavy industry sectors—manufacturing, transportation &warehousing, construction, and natural resources development—offer onlyvarying question marks regarding their contributions to 2017 economicgrowth. Firms across these industries saw flat to lower payrolls to close out2016. There is, however, the potential for federal infrastructure spending inthe second half of the year. Lending credence to that possibility arePresident Trump’s campaign promises, a Republican-controlled Congress,

G

ECONOMYdespite lull, pittsburghpoised to grow faster

>>

by Stuart Hoffmanand Kurt Rankin


and nominal bipartisan agreement thatthe nation’s infrastructure sorely needsimprovement. And few metropolitanareas can boast greater disrepair thanPittsburgh. Should funding appear forinfrastructure, Pittsburgh’s economymay see more job creation. Even ifcyber-infrastructure is the focus ofspending efforts, Carnegie MellonUniversity’s leadership there couldlead to the region riding the leadingedge of investment dollars. Suchdevelopments represent the type ofexternal shock Pittsburgh will need torestart its stalled economic engine.

The natural resources develop-ment industry, which means natural gas extraction here, could reach apositive turning point in 2017 as well. Natural gas prices rose throughthe end of 2016 and will likely hover near levels that brought hiringsince Marcellus Shale activity ramped up in the region beginning in2008. This would be a significant turnaround after the price collapse inlate 2014 caused the elimination of more than 25 percent of the sec-tor’s jobs. Even more encouraging is progress of ethane “cracker” oper-ations that will take advantage of low-cost Marcellus Shale gas. ShellChemicals confirmed that the long-discussed Beaver County plant will

indeed be built, creating sever-al thousand interim construc-tion jobs, and eventually 600permanent positions. This maybe just the first of severalindustries to expand regionallyto take advantage of low-costnatural gas as production feed-stock. It will take time for theseindustries to establish a bonafide presence, but Pittsburgh’slong-term economic potentialthanks to natural gas extrac-tion operations seems to be aquestion of “when,” not “if.”

The next leg of the U.S.economy’s expansion will

occur in a rising interest rate environment. In December, the FederalReserve took another step along the path of normalizing rates from thenear-zero levels since the Great Recession. Rising interest rates—or“tightening” monetary policy—usually portends slower economicactivity as businesses face higher borrowing costs and consumers facehigher interest payments on existing debt, especially credit cards.

But this time is different. Even with several more annual FederalReserve rate hikes over the next two years, interest rates will remainhistorically low. Borrowing costs will remain attractive for businesses

ubs.com/team/wtlgroup

Advice. Beyond investing.Focusing on what’s important to you

Certified Financial Planner Board of Standards, Inc. owns the certification marks CFP®, CERTIFIED FINANCIAL PLANNER™ and federally registered CFP (with flame design) in the U.S., which it awards to individuals who successfully complete CFP Board’s initial and ongoing certification requirements. CIMA® is a registered certification mark of the Investment Management Consultants Association® in the United States of America and worldwide. For designation disclosures, visit ubs.com/us/en/designation-disclosures.

ubs.com/workingwithus. © UBS 2016. All rights reserved. UBS Financial Services Inc. is Ad_31.00_7.75x5_OJ0929_WenT

Thomas L. Wentling Jr., CFP®, CFA, CIMA®

Senior Vice President–Wealth Management

Brian J. Tarquinio, CFP®, CRPC®, CPWA®

Senior Vice President–Wealth Management

Nicholas A. Feeney Jr., CFP®

Wealth Strategy Associate

Jordan R. FeuchtClient Service Associate

Angie LopezClient Service Associate

Wentling Tarquinio Loughney Wealth Consulting Group UBS Financial Services Inc.5600 Walnut Street, 2nd Floor, Pittsburgh, PA 15232 412-665-9904

LOCAL LEADERS LOOK TOWARD THE FUTURE:

As we continue to position Pittsburgh as a world-class community for business, it is critical to improve andadvance our infrastructure. Continuing the importantprogress made in enhancing air service and improvingconnections with international business destinations iscritical for our region. In addition, we must invest in ouraging bridges and roadways to ensure the safe and reli-able transportation of goods. Infrastructure investmentmust be a priority to continue to advance economic andcommunity vitality for Pittsburgh.”

Michael McGarry, Chairman & CEO, PPG

‘‘

>>

*PQ_spr17_74-148.qxp_Layout 1 2/8/17 3:44 PM Page 88

with expansion opportunities to finance, and theU.S. consumer has weathered far higher rates andcontinued to spend in the past. Pittsburgh will beable to take advantage of this evolving economicenvironment, but whether local businesses chooseto advance beyond their current underwhelmingpace remains in question. If new expansion is notsought within the regional economy, there is a rea-sonable likelihood that opportunities will be seizedelsewhere and will attract away investment andlabor resources.

Pittsburgh’s nascent demographic turn-around will realize the same fate as its labor mar-ket in the next few years. Job growth can keep theexisting working-age population in place andattract new residents to the region. Housing mar-ket stability and broad urban development areongoing, positioning Pittsburgh to handle suchtrends. However, if job seekers continue to out-pace hiring, out-migration toward employmentopportunities elsewhere will keep demographicgains under wraps.

Reliable employers in education, healthcareand finance are firmly entrenched and can supportworkforce development within a healthy economicenvironment. And Pittsburgh is well positioned tobenefit from Marcellus Shale activity once naturalgas prices normalize. Skilled natural gas workerswill find Pittsburgh’s low living costs attractive,and migration trends are likely to see a boost overthe coming decade as a result, even if near-termtrends remain subdued.n

Stuart Hoffman is PNC’s chief economist. KurtRankin is VP and Economist for PNC.

hen pittsburgh rises to the top of various“best places to live” lists, one indicator often cited is theregion’s relative safety, with crime rates among thenation’s lowest.Crime overall fell again throughout the seven-county

Pittsburgh Metropolitan Statistical Area in 2015, drop-ping 2.7 percent, according to the most recent FBI Uniform Crime Reportsdata. Property and violent crime rates have been mainly lower since 2003.

Several regional characteristics contribute to lower crime. The econo-my is relatively stable. The population is less transient with 90 percent ofresidents living in the region for longer than 10 years and 80 percent forlonger than 20. Because of their longevity here, they’ve developed relativelymore social contacts, which holds down crime.

Crime rates, however, are not consistent across the region. Low-incomeresidents and minorities tend to be more vulnerable to crime and its conse-quences than others. Southwestern Pennsylvanians earning less than$25,000 a year, for example, are more likely than those in higher incomebrackets to feel their neighborhood is less safe than others. And AfricanAmericans are nearly three times more likely than other races to report hav-ing recently been a victim of a violent crime, according to Pittsburgh Today’sPittsburgh Regional Quality of Life Survey. n

W

PUBL IC SAFETYcrime rates low and trending lower across the region


Our region has become a center of inno-vation, energy, education, culture and livabilityacross many fronts. With Pittsburgh ranked sofrequently in recent years in national and globalbenchmarks, we should continue to make stridesin our ability to attract a more diverse workforce.The tremendous economic benefit of our richnatural resources, and opportunities connectedto construction of Shell’s petrochemical plant,will continue to make our region the envy ofmany cities in the U.S. and around the world.

Chester R. Babst III, Managing ShareholderBabst Calland

‘‘

pittsburghquarterly.com 89


ot that long ago, the stateDepartment of Education was a robustrepository of expertise for 500Pennsylvania school districts, offeringcurricular guidance ranging frommath to art to best practices forimproving school effectiveness andeducation outcomes. Those days, how-ever, are largely gone as a new environ-ment has taken hold, one in which fed-

eral education laws that stress testing, data collection and schoolperformance evaluation consume most of the time of a signifi-cantly reduced department staff.

Today, the Pennsylvania Department of Education has 532employees, which is about 31 percent fewer than in 2003–04,according to staffing data from the department. Earlier staffinglevels were not available. Most of the attrition has been in depart-ment jobs funded by state dollars. The number of positions sup-ported by federal funds has remained stable and today accountsfor more than half of the jobs in the state department comparedto 34 percent in 2003–04.

“Taking apart the Department of Education is nothingnew,” said Jerry Longo, associate professor of administrative andpolicy studies at the University of Pittsburgh School ofEducation. “It’s been happening for 20 years. It’s part of thiswhole shrinking government idea. Once upon a time, it was avery vital department of education with a lot of expertise housedthere.”

Some of the attrition is due to reductions in the depart-ment’s responsibilities. Positions were lost, for example, whenthe Scranton State School for the Deaf, which the Department ofEducation managed, was closed in 2009. But, education policyexperts say, steady downsizing has eroded the role the depart-ment is able to play in how children are educated across thestate.

“The department is understaffed,” said Ron Cowell, presi-dent of the Education Policy and Leadership Center, a nonparti-san education policy nonprofit based in Harrisburg. “It’s justone component of the department’s inability to do the things itwould like to or should do. The people who work there do amaz-ing work under difficult circumstances. The problem is thatthere are too few of them.”

Several factors influence the role of thestate Department of Education, includingchanges in federal and state educationlaws and state political leadership. Forexample, the No Child Left Behind Act of

2001 expanded the federal government’s influence in publiceducation with a greater emphasis on testing, annual school per-formance evaluations and other measures. “Once NCLB camealong, essentially the department became an agent of the federalgovernment,” said Jim Buckheit, a former executive director ofthe Pennsylvania Association of School Administrators, whichrepresents top school officials across the state.

A shrinkingresource

leaner times for pennsylvania’s department of education

NShifting

roles

by Julia Fraser

90 p i t t s b u r g h q u a r t e r l y | spring 2 0 1 7

TODAYPITTSBURGH


In 2015, No Child Left Behindwas replaced by the Every StudentSucceeds Act, which kept theemphasis on testing, but gave statesa greater degree of influence overhow to determine struggling schoolsand how to help them.

The state Department ofEducation is mostly responsible foroverseeing education from kinder-garten through grade 12, although itis engaged in other endeavors, suchas working with trade schools andcolleges and universities on teachertraining, standards and certification.

In K-12 education, the depart-ment is responsible for setting state academic standards and admin-istering the Pennsylvania System of School Assessment (PSSA),which measures student progress in English, math and science, andKeystone Exams, which assess proficiency in 10 subject areas. Thedepartment collects data from schools across the state ranging fromhigh school graduation rates to school safety reports that informregular school performance evaluation, and corrective actions andother steps ordered when performance is below standard. Thedepartment also provides support for low-performing schools to

improve their effectiveness.One of the department’s

primary roles is to allocate stateand federal education dollarsand monitor school districtcompliance with regulationsthat accompany those monies.The department, for example,is responsible for overseeinghow districts spend funds ear-marked for the education ofstudents with disabilities.

Al Johnson, the superin-tendent of Woodland HillsSchool District, said he turns tothe state for expertise in a cou-

ple of limited areas on a day-to-day basis, the most important beingadvice on special education issues, which the department hasassigned a specific office to oversee.

The department historically played a much larger role inproviding curriculum and subject matter support for school dis-tricts, such as sharing best practices in teaching and helping withselection of textbooks and other resources in subjects ranging fromscience and math to art, history, and civics and government. And

>>


Bring local communities and higher educationtogether in more meaningful partnerships that resultin implementable strategies for more sustainable,resilient and diversified regional economies and accessto higher education. This is especially relevant in theindustrial and post-industrial Mon Valley — a regionthat has experienced population loss and high rates ofpoverty and social marginalization.”

Andrew Egan, Chancellor, Penn State Greater Allegheny

‘‘


subject matter experts were only a phone call away. But that has changed, Johnson said. “The state doesn’t exist to

provide expertise. We don’t get curriculum advice from the state. Wedon’t get technology advice from the state. They occasionally offerprograms, but in a real day-to-day sense, getting curriculum advicefrom the state just doesn’t happen—not in 20 years.”

Cowell pointed out that the department no longer has a full-time arts education advisor on staff. “Thirty years ago, there wereseven or eight such positions. Today, there is one person who doespart-time consulting with the department of education. And artseducation in Pennsylvania is part of the core curriculum.”

Local intermediate units in manycases are left to pick up the slack.These public educational agenciescovering one or more counties thatprovide school districts with servicesranging from professional develop-

ment training for teachers to resources for gifted students and tru-ancy management. The jurisdiction and the budgets of intermedi-ate units can vary widely.

In addition, schools in the region’s urban core benefit from amore expansive network of expertise and other resources foundwithin the community. In Allegheny County, for example, Remake

Learning draws from public schools, local universities, foundationsand entrepreneurs to develop and implement innovative uses oftechnology in the classroom.

But school districts in smaller counties, particularly in ruralparts of the state, have much less exposure to such opportunitiesand their local intermediate units typically have fewer resources towork with than those in more populated counties.

“We have a very large number ofsmall districts in Pennsylvania withfewer than 1,000 kids and it’s quite like-ly that those districts themselves areoften understaffed because of cutbacksin state funding over the past severalyears,” said Cowell. “They’re less likelyto have a person dedicated to curricu-lum or dedicated to some other keyassignments. Those school districts aremore dependent on a department ofeducation to be the helper, to providetechnical assistance or other forms ofassistance.”

While significant increases in theDepartment of Education staff andbudget aren’t likely, changes to thedepartment are in the works. Top prior-ities include a creating a Division ofCharter Schools to enhance oversight ofthe fiscal and academic performance ofcharter schools. In addition, the depart-ment is hiring staff with specializedbackgrounds to work on the implemen-tation of the federal Every StudentSucceeds Act and science, technology,engineering, and math education.Another initiative is to adopt a commu-nity school model for the state, whichfocuses on partnerships between theschool and support services in the com-munity such as social services or public

Less support, more inequity


Over the last 10 years, the Pittsburgh educationalcommunity concentrated on Remake Learning, asuccessful collaborative effort mainly focused on STEMeducation. In the next 10 years, I hope those efforts canbe expanded to include socio-emotional and humanitieseducation. To be able to make good choices with theknowledge gleaned from STEM education, we need toknow the stories of great literature, history and the arts.This may usher in a better way to understand ourselvesand our neighbors.”

Jane Werner, Executive DirectorChildren’s Museum of Pittsburgh

‘‘

>>



For Pittsburgh to continue to evolve as aSmart City, it is essential to establish an adapt-able transit infrastructure that connectsPittsburgh’s employment centers with the pop-ulation centers spread across the region. Overtime, as changing economies shift employmentand population centers, the transit systemmust evolve to ensure that both vibrant andunderserviced areas are accessible to providepeople with better avenues of opportunity, andto improve quality-of-life, equity and the econo-my as a whole.”

Kurt Bergman, CEOMichael Baker International

‘‘

ith southwestern pennsylvania’s largestpublic transit system experiencing greater financialstability, the addition of bike lanes along city streetsand more people choosing to live in the urban core, theuse of alternative types of transportation is on theupswing. But the automobile still rules.

And regional motorists are spend-ing more hours sitting in traffic. Annualtraffic delay hours have risen 15 percentsince 2003 to an average of 39 a year.The increase has occurred despite thepopulation having remained relativelyflat. While it may be little consolation tomotorists idling in rush hour traffic, thelocal annual delay they experience is lessthan the 45-hour average reportedamong Pittsburgh Today benchmarkregions.

Most of the region’s public transitusers rely on the Port Authority of Allegheny County fleet of buses and lightrail. Ridership is relatively stable with Port Authority transit having loggednearly 64 million rides in 2015. That is about 15 times the ridership of thenine other transit systems in the Pittsburgh MSA combined.

Limited service and jobs located in the suburbs make it difficult formany commuters to consider public transit a reasonable option. In thePittsburgh MSA, about 71 percent of jobs are in neighborhoods with transitservice. But fewer than 21 percent of the population is able to reach thosejobs by transit in 90 minutes or less, according to a Brookings Institutionstudy.

Household transportation costs are typically lower in places that aremore compact and offer greater public transit options. In the City ofPittsburgh, which has the best access to jobs and transit in the region, 19percent of average household income is spent on transportation. InArmstrong County, which is almost entirely car-dependent, 28 percent ofhousehold income is spent on transportation, according to an index calcu-lated by The Center for Neighborhood Technology.

Trends show alternative ways of commuting are gaining momentum inthe region, mostly in and around the City of Pittsburgh. U.S. Census Bureaudata suggest that more than 11 percent of Pittsburgh commuters walk and1.5 percent bike. Only Boston, Washington, D.C., and San Francisco havehigher rates. And Pittsburgh is the 25th most walkable of 141 U.S. andCanadian cities ranked by the Seattle-based company, Walk Score. n

W

TRANSPORTAT IONwalking, biking more popular, but traffic delays rise


health organizations, according to NicoleReigelman, the department’s spokesperson.

School districts could also use morerobust insight and support in navigatingeducation in the 21st century, particularlysmaller, more isolated districts, Longo said.“We need people who have that larger per-spective of what’s happening in the country.What are the best programs in the state? Wedon’t have people who have that kind of per-spective available to everybody. It’s a fairnessissue. The quality of education shouldn’t bedependent on where you happen to live, butit is.” pq

Julia Fraser is a Pittsburgh Today staff writerand research specialist.


ewer families are experiencing theheartbreak of the death of an infant in AlleghenyCounty, and deaths related to heart disease havefallen since 2003 among adults. But the rateof southwestern Pennsylvania residents who

report their health as only fair or poor is not encouraging.And race and income tend to influence health across severalindicators.

Local infant mortality data suggest the region is makingprogress in reducing the number of infants under the age of 1year who die each year. In Allegheny County, the infant mor-tality rate among African American women has plummetedfrom 21.3 deaths per 1,000 live births in 2003 to 10.3 in 2012.The rate among white women fell from 6.4 infant deaths per1,000 live births to 3.7, according to county HealthDepartment data. Despite the sharp decline, AfricanAmerican women in the county are still2.7 times more likely to experience thedeath of an infant than white women.

Allegheny County residents aredying from heart disease at much lowerrates than were reported in 2003, thedata suggest. The decline is seen acrossrace and gender, with the rate amongwhite women decreasing the most dra-matically. Heart disease, however,remains the leading cause of death inthe county.

Several factors likely contribute tothe improving trends of heart diseasedeaths, including greater public aware-ness of preventive behaviors, moreattention to diet and exercise, medicalcare and access to timely and appropri-ate health care.

Southwestern Pennsylvanians aretheir own worst enemy when it comesto avoiding preventable diseases. Ratesof smoking, obesity and physical inac-tivity are among the worst in thePittsburgh Today benchmark regions.

F

HEALTHinfant mortality trends lower,but racial disparities remain


Improve rural health care. Broadeningpartnerships with urban systems, such as thepartnership between Westminster and UPMC-Jameson to offer B.S.N./R.N. degrees focusedon rural nursing, should enhance studentinterest. Increasing state funding for healthstudents who commit to working in ruralareas or by establishing loan debt forgivenessafter three-plus years of rural work wouldhelp. Equipping public schools with clinicsthat would be open for adults at night andduring summers would provide multi-ageoptions in accessible sites.”

Dr. Kathy Brittain Richardson, PresidentWestminster College

‘‘

Such behaviors are risks for preventable diseases, such asType 2 diabetes, lung cancer and cardiovascular disease.

Perhaps it is not surprising that the rate of PittsburghMetropolitan Statistical Area residents who rate their healthas only fair or poor does not appear to be improving. The rateof residents who describe their health in those terms has risento nearly 17 percent of the population since 2003, accordingto the most recent U.S. Centers for Disease Control andPrevention data. n


*PQ_spr17_74-148.qxp_Layout 1 2/8/17 9:39 PM 4

by Julia Fraser

TODAYPITTSBURGH

eana keenan’s careerunfolds like an inspirational film. Asa young woman, she left college tohave children. She spent years work-ing low-wage jobs as a single motheruntil she reached a breaking pointwhen her oldest son was murdered.She picked herself up and soughtout job training programs in

Pittsburgh, where she found mentors who encouraged her togo back to school. She earned a bachelor’s degree in 2½ yearswhile working full-time to provide for her four children. Shefought for promotions, changed jobs when she couldn’tadvance and worked her way to a position as recruiting man-ager at Black Knight Security, a Pittsburgh-based securityfirm.

“The biggest challenge was always financial,” saidKeenan, 51, of Greenfield. “When I was working and going toschool, I struggled. I had to borrow a car from my mom to getback and forth to school. I was blessed to have my mom tohelp me—she’s 73 and works two jobs.”

Her example of perseverance—balancing job, educationand childcare—is one an increasing number of women insouthwestern Pennsylvania are following.

Women account for a larger share of the southwesternPennsylvania labor force than the national average—the

result of a decades-long upward trend in a region wherewomen had historically been slow to enter the workforce. Butdespite their increasing numbers, the quality of the jobs theyhold and their earnings generally fall below those of men insimilar industries.

Women began entering the workforcein greater numbers in the 1980s and1990s when steel’s decline triggered thedeindustrialization of the region’s econ-omy. From 1971 to 2000, for example,

the number of men in the Allegheny County labor forcedecreased by nearly 18 percent while the number of womenrose by nearly 14 percent, according to a University ofPittsburgh study.

By 2014, women comprised 48 percent of the labor forcein the seven-county Pittsburgh Metropolitan Statistical Area,which is slightly higher than the national average.

The same year, the region’s female labor force participa-tion rate—those working or looking for work—was 57.7 per-cent, slightly beneath state and national averages, accordingto the U.S. Census Bureau. Within the MSA, that ratevaries—from 59.6 percent in Allegheny County to 48.9 per-cent in Fayette County.

D


Working women their numbers rise but wages lag

Rising tide

>>


Despite greater numbers of work-ing women, a significant gap betweenwhat they earn and what men earnremains. Nationally, women earn 73 cents on

a dollar compared with men. In thePittsburgh MSA, the figure is 67 cents, according to the U.S.Census Bureau American Community Survey’s five-year estimatesof median annual earnings for the population 25 and older from2011–15.

The regional gap exists across educational levels. For example,the median annual earnings for women with a high school diplo-ma but no additional degree is $13,508 compared to $23,532 formen with similar education levels—or 61 cents to a dollar. Womenwith a graduate or a professional degree earn $52,622 compared to$81,640 for men—or 64 cents on the dollar compared to men.

“Women, just by sheer numbers, are a powerful economicengine,” said Vera Krofcheck, chief strategy officer of the ThreeRivers Workforce Investment Board. “The problem is that they areat these lower paying jobs; even if they work fulltime, their earningpower is lower than men. It’s not just an issue for them, but for theeconomic performance of the region. We are losing out on a lot ofthe potential that could be created.”

One of the main reasons for the regional gender wage gap isthat women work in industries that pay less. This local industrial

segregation does not typically occur nationally, according to a 2007University of Pittsburgh study by Sabina Deitrick, Susan Hansenand Christopher Briem. Pittsburgh women are either concentratedin low-paying industries compared to the nation or the relativelyhigher paying industries in Pittsburgh are not employing womenin proportion to national averages.

For example, Pittsburgh women hold about 87 percent ofhealth care support occupations, which offer an average hourly

Concentrated inlow-paying

occupations

>> LOCAL LEADERS LOOK TOWARD THE FUTURE:

A world-class competitive workforce is needed tomeet demand gaps by 2025. As part of keeping Pittsburghcompetitive, vibrant and dynamic, our goal must be toaddress forecast demand analysis findings which are pro-jecting a gap of greater than 80,000 workers by 2025.Strategies to achieve this goal must include successfullyimplementing strategies to improve our demographics withgreater diversity, providing targeted training of our work-force to meet industry demands, and keeping our collegestudents in Pittsburgh after graduation to support fastgrowing innovation clusters.”

Venkee Sharma, CEO, Aquatech

‘‘


wage of $14.38. And women hold 74 percent of roughly 200,000office and administrative support jobs, which pay an average$17.18 an hour. Conversely, women claim smaller shares of someof the region’s best-paying jobs, holding one-third of the 50,000management jobs, which average $52.60 an hour, according toCensus Bureau data.

Women also can face barriers enter-ing the workforce, including findingmentors and support networks andlearning to negotiate salaries and joboffers. One of the most significantchallenges is the expense of raising

children and the fact that women do the bulk of that work.Pittsburgh families of four must earn about $5,400 a month

to live modestly, according to a 2015 study by the Economic PolicyInstitute (EPI), a Washington, D.C.-based think tank. EPI arguesthat official poverty indicators, such as the federal poverty lineand Supplemental Poverty Measure, aren’t adequate indicators ofwhat it takes to live “free of economic hardship.” To address theseshortcomings, EPI created a family budget calculator that meas-ures community-specific expenses of housing, food, childcare,transportation, healthcare, other necessities and taxes for differ-ent family sizes across the country.

It costs about the same to live “securely yet modestly” inPittsburgh as it does in Sacramento, Calif., and Austin, Tex., thestudy reports. Housing and health care are much less expensivein Pittsburgh than in Sacramento and Austin, but Pittsburgh fam-ilies pay much more for childcare—22.6 percent of their budget.And child rearing falls disproportionately on women, accordingto a 2013 Pew Research study on working parents and householdburden.

“Trying to maintain an income level or obtain a decent familywage is extremely difficult when balancing childcare,” said SarahHansen, director of programs and strategic initiatives at PAWomen Work, which provides job training and placement forwomen entering the workforce. “Some of these women willchoose not to take a raise or not to take a promotion because thatmeans they will lose the benefits that they are receiving.”

Childcare is a challenge particularly for low-income womenseeking to enter the workforce, get training or both.

Pennsylvania offers childcare subsidies for low-income fam-ilies, but not all women are eligible—even those whose incomesare low enough to qualify. Women must work at least 20 hours aweek, have a promise of a job starting in 30 days, or be in schooland working at least 10 hours a week. Moreover, high demand forchildcare subsidies results in chronic waiting lists.

Women’s increasing role in the workforce also increasestheir influence on the economy. Their earnings affect regionalspending as well as the people whom those wage earners helpsupport, such as young children and seniors.

“Women tend to have jobs with lower quality, period,”Krofcheck said. “If people who are able to work are working butnot earning a lot, the economy is going to stagnate. More impor-tantly we are going to have a harder time paying for the genera-tion before and after.” pq

Julia Fraser is a Pittsburgh Today staff writer and research specialist.

A childcarebarrier


Pittsburgh has recently received significantnational and international attention as a great placeto live, work and visit. As someone who has wit-nessed the extraordinary transformation of thisregion in my 33 years here, I am thrilled to seePittsburgh recognized as such a progressive, con-nected, modern city —a model for other cities to fol-low. That said, our continued forward progressdepends on Pittsburgh being widely known as a des-tination city for a diverse population of individualsfrom all over, welcoming their talents, experiencesand entrepreneurial ideas to enrich our community.”

John G. FerreiraManaging Partner, Pittsburgh OfficeMorgan, Lewis & Bockius LLP

City or county programs that make ourunderutilized buildings available to artists would bea beginning in creating a thriving art economy.Artists need —and often help create—a commercialbase. While Pittsburgh has excellent museums andalternative spaces, we need more galleries toencourage collecting. Too often, ambitious artistsleave Pittsburgh for places with more robust visualart infrastructures. Lawrenceville transformed givesa taste of what a stronger visual art scene could dofor Pittsburgh.”

Lynn Zelevansky, DirectorCarnegie Museum of Art

We are at the confluence of a transforma-tional period in western Pennsylvania. Emergingmarkets, research, energy, medicine, education andhousing are in the local headlines on a daily basis,and groundbreaking advancements in these fieldscontinue to put Pittsburgh on the map as the placeto be. We are fortunate to have opportunities at theepicenter of a new economy that is progressing atbreakneck speed.”

Clifford Rowe Jr., CEOPJ Dick - Trumbull - Lindy Paving


‘‘

‘‘

‘‘


outhwestern pennsylvania’s housing markethas lacked the drama of skyrocketing prices and the burst-ing of housing bubbles. Its rate of homeownership is amongthe highest in the nation, and more people are finding hous-ing that fits their budgets than a decade earlier.

But a high percentage of renters struggle to pay for theirhousing, and vacant and abandoned housing remains a costly problem.

More than 69 percent of Pittsburgh Metropolitan Statistical Arearesidents own their home—higher than any of the other PittsburghToday benchmark regions. In Austin, where the lowest benchmark rateis found, fewer than 59 percent of residents are homeowners.

Not having experienced much of a housing bubble before the 2007recession, the Pittsburgh MSA market felt less pain and recovered morequickly than most metropolitan areas after the bubble burst. And forseveral years, more people were moving into the region than leaving.Housing prices rose 23.8 percent over the past 10 years. Only Austin,Denver and Nashville have done better among benchmark regions.

Over the past five years, however, local prices have risen about 17percent, below the average appreciation across benchmark regions. Theone-year appreciation rate also fell below the benchmark average.

In terms of affordability, the U.S. Department of Housing andUrban Development (HUD) considers homeowners and renters whosehousing costs consume more than 30 percent of their annual income tobe cost burdened and at risk of not being able to afford other basicnecessities. A lower rate of homeowners and renters in the region arepaying more than 30 percent of their income on housing than in 2005.Still, more than 45 percent of renters are cost burdened in the eyes ofHUD. Their rent has been rising. The average local fair market rentfor a two-bedroom apartment increased 23 percent to $827 a monthsince 2005 in Allegheny, Beaver, Butler, Fayette, Washington andWestmoreland counties.

S

HOUSINGmore find housing affordable,but income matters



The region will flourish beyond its currentinflection point if it continues to attract and developdiverse and talented people. If we pay close atten-tion to our cultural assets, our universities, thequality of our housing stock and our transportationinfrastructure, and we emphasize a welcoming envi-ronment, we can successfully compete with largerand more costly cities. The recent service improve-ments brought about by our Pittsburgh Airport lead-ership provides a great example of our potential.”

Christopher B. Carson, President & CEOCohen & Grigsby, P.C.

In the 20th century, industry in WesternPennsylvania helped propel the United States into aworld power. Simultaneously, benefactors likeAndrew Carnegie and Mary Marchand Woods builtmuseums and cultural institutions. As we look toremain competitive in the 21st century, we must notforget the power of the arts in all we do. STEAM, notSTEM, is the answer. Great minds are fueled by infor-mation, but without creativity and imagination,they cannot soar.”

Judith H. O’TooleThe Richard M. Scaife Director/CEOThe Westmoreland Museum of American Art

The biggest wasted opportunity we have inthe region is our parks. They’re enormous inacreage, diversity, natural beauty and untaxedvalue. Yet we waste their potential. They can drawmore of us in, give us boundless enjoyment, makeus healthier, make us greener, teach us, bring ustogether. But we don’t link them together, we don’tinvest enough to improve them and we don’t fundpeople and programs that will drive return oninvestment. We spend per capita a pittance of whatother regions devote to parks. We need a collective,massive, long term and smart public/private invest-ment to make Pittsburgh the world capital of parksexcellence.”

Dan Booker, Partner, Reed Smith

‘‘

‘‘

‘‘



As a region, it will be critical to our future successto establish a thoughtful, meaningful and ongoing part-nership between the business community and theschools. Employers need to move from simply seeking tal-ent for jobs at hand to investing in students before andduring their years in higher education so we ensure thatour labor supply is well prepared for our future jobs.”

Donna K. HudsonManaging Director and Pittsburgh Regional ManagerBNY Mellon

‘‘

Vacant housing also remains a stubborn problem. In 2015,10.3 percent of the Pittsburgh MSA’s housing stood vacant,according to U.S. Census Bureau data. That is a slightly greaterrate than in 2005. A recent study of 41 municipalities in the east-ern suburbs of Allegheny County alone found vacant and blightedproperty cost taxpayers nearly $255 million a year in municipalservices, lost tax revenue and eroded property values. n


ne of the most hotly contestedpresidential elections in decades wasn’t much ofa nail biter in most of southwestern Pennsylvaniaoutside of the City of Pittsburgh and immediatesuburbs.

Republican businessman Donald Trumpwon more votes than his opponent, Democrat Hillary Clinton, insix of the seven counties in the Pittsburgh MetropolitanStatistical Area. Former Secretary of State Clinton won inAllegheny County, which includes the City of Pittsburgh.

Trump carried the region with about 50.2 percent of theseven-county vote. Trump also captured Pennsylvania by a slim44,307 unofficial-vote margin and with it the state’s 20 ElectoralCollege votes. More than 6.1 million votes were cast in the pres-idential election statewide.

Democrat Barack Obama only won Allegheny County in theregion in 2008 and in his 2012 run for re-election.

Trump, however, won a larger share of the votes in five ofthe six Pittsburgh MSA counties outside of Allegheny than didRepublican candidates Mitt Romney in 2012 and John McCain in

2008. Differences in some cases werewide. In Fayette County, for example,Trump won nearly 64 percent of the

GOVERNMENTbeyond the region’s urbancenter, it was trump

Ovote compared to Romney’s 53.6 per-cent in 2012.

Clinton’s share of the largeAllegheny County vote at about 55.9percent unofficially trailed Obama’s56.6 percent in 2012. Her strength wasin the City of Pittsburgh and its neigh-boring municipalities. Trump won morethan 60 percent of the vote in severalof the county’s far suburban municipal-ities along its western, northern andsouthern borders.

U.S. House and Senate — RepublicanPatrick Toomey was re-elected to rep-resent Pennsylvania for a second termin the U.S. Senate in another tightstatewide November race. Less than87,000 of the more than 6 millionvotes cast in the race separatedToomey from Democratic challengerKatie McGinty, a former federal andstate environmental policy official andchief of staff to Pennsylvania GovernorTom Wolf.

Like Trump, Toomey won morevotes than his Democratic opponent insix of the seven counties in thePittsburgh MSA, with Allegheny beingthe only county captured by McGinty.



outhwestern pennsylvania’s rich network ofarts and cultural organizations has downsized somewhat inrecent years, but remains stable.

The region lost 79 arts organizations between 2010 and 2015,a 5 percent decrease, according to Greater Pittsburgh Arts Councildata covering Allegheny, Armstrong, Beaver, Butler, Fayette,

Greene, Lawrence, Washington and Westmoreland counties. The major reasons for the decline include the lingering effects of the

2007–09 economic recession and consolidations. The downsizing was seenacross all sizes of organizations, with the exception of those with budgetsranging from $250,000 to under $1 million. The number of those organiza-tions increased 10 percent.

Financial health — The majority of arts organizations either broke even finan-cially or had a budget surplus in 2015. But 43 percent ran deficits and half ofthose organizations had deficits exceeding 10 percent of their budget.

Corporate donations have risen 17.6 percent, and subscriptions are up 16percent since 2009. Earned income, including box office, for the region’s artsand cultural organizations, however, has grown only 1.4 percent and individualgifts have fallen by more than20 percent.

Where people live in theregion influences attendanceand their views on the qualityof the offerings, according tothe Pittsburgh RegionalQuality of Life Survey con-ducted by the University ofPittsburgh University Centerfor Social and UrbanResearch. City of Pittsburghresidents, for example, aremore than twice as likely toattend a play, film, gallery,museum or other arts eventthan people who live else-where in the region. City resi-dents are also more likely torate the quality of local arts asexcellent. n

S

ARTS & CULTUREa vibrant arts scene, if a bit smaller

Incumbents were re-elected to the U.S.House of Representatives in all five districts withinthe Pittsburgh MSA. Republican Mike Kelly ranunopposed in District 3, which includes ButlerCounty. Republican Bill Shuster was re-electedin District 9, which includes parts of Fayetteand Washington counties. Republican KeithRothfus was re-elected to Congress in District 12,which includes parts of Beaver, Allegheny andWestmoreland counties in the region. DemocratMike Doyle was re-elected in District 14, whichincludes the City of Pittsburgh and severalneighboring Allegheny County municipalities.And Republican Tim Murphy won anotherterm representing District 18, which includesparts of Allegheny, Beaver, Washington andWestmoreland counties. n

Presidential Election Allegheny County

over 60% clinton55 – 60% clinton 50 – 54.9% clinton clinton pluralitytie clinton/trumptrump plurality50 – 54.9% trump55 – 60% trumpover 60% trump

data source: Uncertified election results as reported onNov. 9, 2016, Allegheny County Division of Elections.


TODAYPITTSBURGH

n a tuesday afternoon inOctober, a dozen teenagers gatheredin a second-floor room at theCarnegie Library in East Liberty.They didn’t come to check outbooks. They were building a haunt-ed house based on Disney fairy tales. Two 17-year-old sisters, Hope and

Honesty LeGrande, cut giant feath-ered wings for the costume they designed for Maleficent, theevil antagonist in “Sleeping Beauty.” The teens began brain-storming themes in August. They worked through the fall withthe help of mentors, and along the way, they found opportuni-ties to develop skills in graphic design, woodworking andscreen-printing.

“I love it,” said Hope. “The best thing about this is it’scompletely made up by the teens who go here. The best thingis seeing what we dreamed of made into real life.”

Public libraries, a piece of the region’s educational mosa-ic, are reinventing themselves in response to the demands ofnew technologies and changes in how Americans consumeinformation. No longer viable simply as repositories of booksand periodicals, they’re becoming multifaceted communityeducation hubs, using data to better understand their usersand gaining popularity by offering classes ranging from pho-tography to video game design.

A key aspect of this transformation ishelping to bridge the digital dividethrough free Internet access and digitalliteracy, both of which are essential fordoing everything from homework and

social networking to finding a job, applying to college and buy-ing health insurance.

But opportunities from the digital revolution are not even-ly distributed. U.S. Census Bureau data show that 20 percentof Pittsburgh Metropolitan Statistical Area households lackedInternet access in 2015. That is down from 23 percent ofhouseholds in 2013, but still exceeds the national average of18.5 percent.

A 2015 Pew Research Center study found that 68 percentof Americans have smartphones and 45 percent have tabletcomputers. And computer ownership remains about where itwas a decade ago.

“In Pittsburgh, it’s not so much that people have a hardtime accessing hardware—smart phone or a smart device,”said Debra Lam, the City of Pittsburgh’s chief innovation andperformance officer. “The bigger issue is that once you havethat smart device, what do you use to connect it?”

In 2015, the city launched the “Roadmap for InclusiveInnovation,” a plan to improve access to the Internet and tech-nology, which includes expanding public Wi-Fi access in parks,senior centers and other public areas.

Bridging the digital divide

libraries become all-purpose education hubs

O


by Julia Fraser

The digitaldivide


The city is in the early stages ofbuilding mesh networks with part-ners, neighborhood by neighbor-hood, throughout the city. Mesh net-works essentially allow large compa-nies and organizations to share aportion of their bandwidth with thecommunity network for little or nocost.

For low-income families inComcast’s network, the company (inpartnership with HUD) offers theInternet Essentials program. It’s alow-cost, high-speed Internet adop-tion program for families withschool-aged children eligible for afree or reduced-price school lunch.

Despite these efforts, a gap inaccess remains in pockets of the city.

The growing importance of Internet accessin American life underscores the changes thathave challenged libraries to rethink their rolein the community.

“The way peo-ple get their infor-mation has shift-

ed,” said Corey Wittig, digital learninglibrarian and program manager of TheLabs at Carnegie Library of Pittsburgh.“A few years ago, that was the conversa-tion around libraries—what are librariesgoing to do? E-books? We started think-ing of it as community space. What dopeople need? Can we provide that withwhat we do well? Those kinds of ques-tions change the conversation a bit.”

According to the Carnegie Library’s2015 annual report, there were 2.9 mil-lion visits to the library’s network of 19branches that year. One of the most usedservices is their Wi-Fi network. Publicaccess to the wireless network in theCarnegie Library was up 46 percent in2015 from the previous year, with morethan 38 million minutes of Wi-Fi useby patrons.

Some 80 percent of Americansbelieve public libraries should offer pro-grams and services to help people devel-op digital skills, a 2016 Pew ResearchCenter study found. And 50 percentfeel libraries should help patrons learnhow to use technologies, such as 3-Dprinters.

In Pittsburgh, such programsare becoming increasingly pop-ular among young people,Carnegie Library data suggest.Attendance of the library’s teenoutreach programs, for exam-ple, grew by 33 percent over thepast year.

The CarnegieLibrary’s currentevolution can betraced to pastfinancial trou-

bles and a 2009 RAND study,which recommended that thelibrary needed to find newsources of funding, evaluate itsservices and increase innovativeactivities to engage patrons.

Library finances stabilized after 2011, when City of Pittsburghvoters approved a referendum raising the real estate tax by .25 millswith the proceeds dedicated to funding the library.


At Dollar Bank, we believe the futurecompetitiveness of the Pittsburgh region is tiedto the health of our communities. In recentyears, we have financed a grocery store for theHill District, development of East Liberty andBakery Square, and are currently working withthe Allegheny Conference to redevelop the mainstreets of Wilkinsburg and McKees Rocks. Oursupport of the Energy Innovation Center’s jobpreparedness initiative is key to attractingfuture employers. This ongoing support of ourregion’s people, communities and institutions iscentral to our mission as a mutual bank.

Jim McQuade, President & CEO, Dollar Bank

‘‘

The timesdemandchange

Adapting

>>


“The library realized they needed to provide a return on theinvestment that the city and its patron base had provided,” said TobyGreenwalt, director of digital strategy and innovation at CarnegieLibrary of Pittsburgh. “Part of that was reworking the service modelfrom the traditional transaction-based approach that libraries usedto take—you do the thing and then you leave. We wanted to shiftand think about relationships and illustrate how the library makesan impact on the community: We’re not just handing out books.We’re improving literacy. We’re not just answering questions. We’rehelping people get jobs; we’re helping people do research.”

The library developed a strategic plan in 2012 with technologyat its core. “We needed to make technology a focus and develop astrategy and purpose around it that everyone understands,” saidMary Frances Cooper, president and director of the Carnegie Libraryof Pittsburgh. “It couldn’t just be random things that people aredoing in parts of the organization. It had to be intentional.”

As part of that plan, the library created a department for out-reach programs and partnerships, as well as the office of digitalstrategy, which looks for effective ways to use and apply technologyto improve customer service and access to information as publish-ing and media evolve.

The library began collecting data on how the library is used,including its technology offerings, such as the volume of Internetand computer use. In addition, the library added workshops and

training sessions to help residents access and use public data. “If we want people to be engaging in civic discussions around

data and policy and we don’t want them to be left out, it’s not justabout ‘Hey here’s some Internet,’” said Eleanor Tutt, the library’sopen data and knowledge manager. “It’s about how do we supportthem? How do we demystify data? Because there’s so many peoplewho just say, ‘I’m not a data person.’”

Greenwalt saysthe library is takinga long-range per-spective in strate-gic planning, look-ing to “connect thedots between our

age-based programming” so that program-ming themes and skills follow childhoodinto adulthood. With children, the libraryis integrating more technology in its pro-grams with activities such as interactivestory times and learning basic computerprogramming with toy cars that must nav-igate a maze.

Teens have access to recording equip-ment, gaming software and other tech-nologies, which they can master with thehelp of mentors and workshops at the Labsprogram in the Oakland and East Libertylibrary branches and the Allegheny branchon the city’s North Side.

The Labs have been around for fouryears, modeled on YouMedia, a digitallearning space at the Chicago PublicLibrary. “People think that kids nowadaysknow how to use technology because theygrew up around it,” says Wittig. “A lot ofkids aren’t growing up around it or it’s notat their school. The fluency flows from

Connecting the dotsthrough

technology


Relying on the same problem-solvingapproaches will not lead to success in an ever-changing world. To be globally competitive, ourregion must support individuals who are risk takers— those willing to diverge from traditional solu-tions and embrace new and creative perspectives.This is the kind of leader our educational institu-tions must seek to develop: collaborative and cre-ative thinkers who apply their breadth of knowl-edge to anticipate and address the challenges andopportunities of tomorrow.

James H. Mullen Jr., PresidentAllegheny College

‘‘

>>


To view Pittsburgh Today’s regionalindicators and journalistic reports,visit pittsburghtoday.org

ore foreign-born men and women settled insouthwestern Pennsylvania for a second straight year, but not innumbers high enough to prevent the region’s population fromfalling once again.

Total population fell 2.1 percent across the PittsburghMetropolitan Statistical Area from 2014 to 2015, U.S. Census Bureau data says. Itwas the third consecutive year of population loss and the estimated 2,353,000people who live in the region represent its lowest total in 10 years.

Population loss was widespread. In Allegheny County, population fell 2.1 per-cent. But Armstrong County lost 9.5 percent; Fayette’s population fell 4.7 percent;and Westmoreland lost 3.9 percent of its population. Only in Butler andWashington counties did population tick upward.

Some 6,600 more people also moved out of the region than arrived in 2015. Itwas the second consecutive year that people who left southwestern Pennsylvaniaoutnumbered those who moved in. Eight peer regions, mostly in the Northeast,experienced more severe departures.

Diversifying slowly — Racial and ethnic minorities in the Pittsburgh MSA continueto claim a smaller share of the population than they do in any of the 15 PittsburghToday benchmark regions.

Foreign-born residents, however, are growing in the region. More than 4,000people were added to the region’s foreign-born population in 2015, the largest sin-gle-year increase in 10 years. Still, they account for only 3.9 percent of the popula-tion, the lowest among the benchmark regions.

Aging trends — The exodus that followed the collapse of the region’s industrialbase cost the region 290,000 residents during the 1980s and 1990s. Most were

young adults who took their families and future familieswith them.

Local demographics still reflect the loss of so manyyoung adults decades earlier. People aged 65 and olderclaim a greater share of the population in the PittsburghMSA than in any other benchmark region. In 2015, theyaccounted for 18.7 percent of the population and theirnumbers are rising.

Poverty — The rate of poverty in the Pittsburgh MSAremained relatively stable in 2015 at 12.3 percent of thepopulation. Following national trends, the region hastaken a step backward in the battle against poverty inrecent years. In 2005, poverty claimed 11.4 percent ofthe region’s population. n

M

DEMOGRAPHICSpopulation gains fade despitearrival of more immigrants

there—what experiences are they having ornot having?”

The Labs seek to bridge that gapbetween the ability to navigate technology,such as playing a video game or watching avideo online, to understanding how thoseprograms work and what’s necessary to cre-ate something of their own. It’s free ofcharge, which Wittig says is important. Andteens are exposed to the expertise of localorganizations in the field, such as the non-profit 1Hood Media, which has helped themlearn to write, produce and record their ownmusic.

Such new wrinkles are changing thelibrary’s image among young people, even tothe point that, for some, it’s becoming part oftheir social network. “Usually, I’d come tothe library and sit with my sister,” said HopeLegrande. “Since we started this project,we’ve met other teens here. Other kids frommy school I’d never talk to. And we’vebecome friends. Now, we hang out more inschool. It’s cool.” pq

Julia Fraser is a Pittsburgh Today staff writerand research specialist.



he idea of creating a just and sustainableeconomy, environment and society is gaining traction insouthwestern Pennsylvania. The City of Pittsburgh, for exam-ple, has launched an initiative to build a future on the princi-ples of sustainability, including metrics to make developmentdecisions based on how projects impact the economy, envi-

ronment and issues of social equity.A 2016 report published by Sustainable Pittsburgh in partnership

with Pittsburgh Today looks at 30 indicators of the environment, economy,social equity and quality of life. The findings offer evidence of progress,while identifying crucial challenges to achieving a sustainable future.

Wet weather continues to cause sewage mixed with storm water tooverflow into the region’s three major rivers from inadequate municipalsewer systems. When bacteria levels rise to unsafe levels, the AlleghenyCounty Sanitary Authority warns river users to limit contact with thewater.

Such conditions have led to warnings covering from 22 percent to 91percent of the recreation season since 2000. Although the number ofalerts typically follows rainfall levels, recent disruption of that trend sug-gests interventions may be helping to ease the problem.

T

SUSTAINABIL ITYprogress made, yet challenges remain


Coalition building among regional stakeholdersis tremendously important. We must continue to growthat as a community. At the airport, we’ve workedclosely with VisitPittsburgh, the Allegheny Conferenceand the Pittsburgh Technology Council to build commu-nity and business support to make the case for addi-tional air service, and it’s working. Everyone getting onthe same page translates into an aggressive strategy torecruit new businesses, jobs and nonstop air service.

Christina Cassotis, CEOAllegheny County Airport Authority

‘‘



Air quality has improved over thepast decade, including lower toxicemissions, fine particulate and ground-level ozone rates, U.S. EnvironmentalProtection Agency data suggest. Butbetter is not good enough to bring theregion into attainment of EPA health-based standards for ground-levelozone, PM2.5 and sulfur dioxide.

Southwestern Pennsylvania con-tinues to be a major energy-producingregion generating more than threetimes more electricity than is con-sumed locally. More than 80 percent ofelectricity produced is generated fromcarbon sources, primarily coal and natural gas. However, nearly half ofthe electricity consumed in the region is generated from non-carbonsources, mostly nuclear. Only 1.6 percent of locally consumed electric-ity is from renewable sources, an analysis of U.S. Energy InformationAdministration data suggests.

Only conditions brought on by the 2007–09 recession have inter-rupted a steady increase in household income in the region. Even witha two-year decline, median household income rose about 30 percent

from 2005 through 2015 to$54,080 a year, according toU.S. Census Bureau data.

The benefits of liv-ing in Pittsburgh, however,are not equally distributed,and significant racial dispari-ties persist—in unemploy-ment, homeownership andthe likelihood of being avictim of crime. pq


I want a Pittsburgh where people are truly invest-ed; where the “ecosystem” that serves millennials is notdefined solely by the scenes they frequent, but instead byhow connected they are to their neighbors. Peoplewant—and need—purpose in their lives. That’s whywe’ve established the Covestro Institute forEngagement—to help business professionals connecttheir passions, skills and ideas to the causes they caremost about. That’s how you keep talent here.

Jerry MacCleary, President, Covestro

‘‘

To view Pittsburgh Today’s regional indicators and journalistic reports, visit pittsburghtoday.org


PITTSBURGH · pittsburgh quarterly | spring 2017 87 reater pittsburgh’s economy is in a...

Documents

Transcript of PITTSBURGH · pittsburgh quarterly | spring 2017 87 reater pittsburgh’s economy is in a...