Student Debt Continues to Climb; CT is 5th Highest in USA

Two-thirds of college seniors who graduated in 2011 had student loan debt, with an average of $26,600 per borrower, up from $25,250 in 2010, according to a recent report from the Project on Student Debt at The Institute for College Access & Success (TICAS).  The loan burden of Connecticut college students, on average, exceeded the national average. The top-five leading high-debt states were New Hampshire ($32,440), Pennsylvania ($29,959), Minnesota ($29, 793), Rhode Island ($29,097)and Connecticut ($28,783).  In addition, 64 percent of Connecticut college students have debt, which places the state 15^th in the nation.

The five-percent increase from 2010 to 2011 is similar to the average annual increase in recent years. The report also found that about two-thirds of the Class of 2011 had loans, and that private (non-federal) student loans comprised about one-fifth of what they owed.

The report’s findings focus solely on public and private nonprofit four-year colleges, because so few for-profit colleges chose to report the necessary data. However, federal survey data show that nationwide, graduates of for-profit four-year colleges are much more likely to borrow federal and private student loans, and they borrow significantly more than their counterparts at other types of colleges.

Utah and Hawaii had the lowest and second lowest average debt at $17,250 and $17,450.

In looking at the institutions specifically, the only Connecticut higher education institution to reach the top 20 High-Student Debt Public Colleges was the University of New Haven.   Among the top 20 “low-debt” institutions was Yale University.

Housing Supply Tight, Prices High, Choices Limited, Report Finds

Housing continues to be a challenge across Connecticut, with a new report outlining data that reveals a tight supply, high prices and limited choices for individuals and families looking to live and work in the state. The HousingInCT2012 report, by Partnership for Strong Communities, highlighted the following:

• Despite a housing downturn that pushed median sales prices 19% below their 2007 peak, Connecticut residents struggled with a housing supply problem that kept prices among the highest in the nation.

• Connecticut's housing production fell to 50th among the 50 states in 2011 and for the 2002-2011 decade. As a result, the extremely modest demand for homes still left the state with the 8th highest median sales price in the nation.

• The number of communities with affordable housing fell. While the state’s median home sales price declined to $240,000 from a 2007 peak of $295,000, cities and towns where 10% or more of the housing stock was affordable dropped to 29 of 169, from 31.

• Renters -- now 33% of all Connecticut households, up from 30% just two years ago -- suffered most from the dearth of supply.  Connecticut remained 33,000 units short of the number of affordable rental homes needed and, even more telling, 82,000 units short of the number that were both affordable and available, according to the Census.

• 26% of Connecticut's 436,000 renting households earn less than 50% of the median income and spend half of that meager income on housing; 51% of all renters spend more than 30% of their incomes on housing.

The report also noted that Connecticut grew older, jumping to 9th in 65-plus population, while young workers with average education debt of about $25,000 and older workers and retirees – half or more with less than $25,000 in savings – fueled demand for smaller, denser, affordable and energy-efficient homes.

The Partnership publishes HousingInCT annually to provide the public with a snapshot of our state’s housing market and needs, using current data and research.

Effort to Combat Stereotypical Views of Women Gains Support

When the University of Hartford’s Women for Change student organization unveiled their new calendar - geared toward promoting women’s self-esteem - last week, they announced that sales will benefit CTGirlcott, the new initiative led by Charter Oak Cultural Center and a collaboration of Hartford-area organizations. This year's calendar is the largest to date, featuring 45 women, including students, staff, faculty, alumnae, and community leaders. The annual calendars are designed to combat stereotypical images of women. To create the calendar, Women for Change asked women to write about what they are “free to..” be, do, think, live, etc, and submit a photo to accompany the write-up.  Mala Matacin, Ph.D., an associate professor of psychology, founded Women For Change three years ago, which has grown to more than 150 members. In previous years the calendars have sold hundreds and received national attention.

The theme dovetailed perfectly with Girlcott, a locally-inspired initiative of women willing to go makeup free for a portion of  March 2013 (Women’s History Month) and donate the money usually spent on cosmetics to organizations that benefit women and girls in Connecticut and around the world, raising awareness about the relationship between women and the makeup they wear, issues of body image, self-esteem, gender roles and more.

CTGirlcott is being organized by the Charter Oak Cultural Center, YWCA Hartford Region, Harriet Beecher Stowe Center, and The Women’s Education and Leadership Fund.  A website has been developed, featuring additional information and photographs.

Last week, organizers of CTGirlcott appeared on WFSB-TV Channel 3’s Better Connecticut program, where host Kara Sundlun was make-up free, in keeping with the theme of the initiative.  Organizers are seeking other prominent people – as well as women from all walks of life – to participate as a means of highlighting the importance of self-image among girls and women.

In the run-up to March, a series of panel discussions, movies, and other events are being held to raise awareness for the effort.

Family Owned Businesses May Spur State's Economic Recovery

A hint of optimism goes a long way.  At least that’s the hope of Connecticut’s small businesses heading into 2013.  A new survey has found almost two-thirds of respondents project sales and revenue growth next year, which, if realized, could be just the boost the state’s economy needs. That growth is increasingly coming from beyond the state’s borders, the survey found.  While 47% of family businesses surveyed identify Connecticut sales as their greatest source of growth, 42% trace the majority of their revenue to other U.S. states, and 11% to international sales. This represents a significant shift from as recently as 2009, when 59% said Connecticut was their largest customer base and only 2% reported international sales as their greatest source of revenue.

The 2012 Survey of Connecticut Businesses, produced by the Connecticut Business & Industry Association and the University of New Haven’s Center for Family Business, highlights the challenges, concerns, and growth prospects a critical sector of the state’s economy.  Almost half of the businesses surveyed said their workforces will remain stable, while 43% plan on hiring new employees in 2013. In addition, many said they anticipated making significant investments in equipment, IT systems, facilities, and training.

Industries represented in the survey included manufacturing, services, retailing, construction, finance, insurance, real estate, wholesale trade, transportation, communications, and utility services.  Many cited the high cost of doing business in Connecticut as the single greatest obstacle to growth.  A lack of skilled workers, particularly in computer/IT knowledge, engineering and mechanical skills, and management and leadership also were noted as ongoing concerns.

Employment looks brighter in 2013: in addition to 43% of family busi­nesses planing  on hiring new employees in 2013 (compared to 30% in 2012), nearly half (48%) expect no change in their company size in 2013. Only 9% expect a decrease in their workforce in 2013, compared with 13% in 2012.The survey questionnaire was emailed to top executives at 3,000 family companies in August 2012. There were 580 responses, for a response rate of 19.3%, and a +/- 4.15% margin of error.

The average tenure for employees at Connecticut’s family businesses is 20.2 years for family members and 12.7 years for non-family members—both substantially higher than the national average for employees overall (4.6 years as of January 2012, according to the Bureau of Labor Statistics).

Family businesses are vital to their communities and to the economy. The survey found that more than three-quarters of family business owners (77%) consider it important or very im­portant that they leave a positive, lasting legacy, and 53% intend to pass their business on to the next generation.

Overall, family businesses comprise 80%−90% of all businesses in North America, contributing 64% of the nation’s gross domestic product (GDP), employing 62% of the U.S. workforce, and outperforming non-family firms on measures such as operating return on assets.

The 2012 Survey of Connecticut Businesses is part of CBIA’s Family Business Program, an initiative designed to support and grow the state’s thousands of family businesses.  Sponsored by CohnReznick, First Niagara Bank, and Reid and Riege PC, the program features forums and networking opportunities where business leaders can discuss solutions to issues ranging from family governance to succession planning.

Growing Senior Population Is Challenge for CT Workforce

As recently as 2010, 14 percent of Connecticut’s population was age 65 or older.  By 2025, that percentage will increase to 20 percent, and will continue to climb.  The implications of a larger, older population on the state’s economy and a range of services present both challenges and opportunities for the state.  Some suggest that the state’s population will begin to look more like Florida. Florida has the greatest proportion of people who are at least 65 (17.3 percent), followed by West Virginia (16 percent), Maine (15.9 percent), Pennsylvania (15.4 percent), and Iowa (14.9 percent).   Connecticut is among the top fifteen, at 14.2 percent.  There are now more Americans age 65 and older than at any other time in U.S. history, according to the U.S. Census Bureau  - 40.3 million people age 65 and older on April 1, 2010, up 5.3 percent from 35 million in 2000 (and just 3.1 million in 1900).

Connecticut is also one of only seven states in the nation with a median age that is above 40.  The others are Maine, New Hampshire, Vermont, Florida, West Virginia, and Pennsylvania.

In a recent presentation to a forum on education, Orlando Rodriguez, Senior Policy Fellow at Connecticut Voices for Children, noted that projections also indicate that the state’s percentage of young people, ages 0-19, will remain steady at 23 percent for the next 15 years, down slightly from the current 26 percent.  Among the state’s challenges is providing for a population at both ends of the age spectrum where costs such as education, health care and housing will be key drivers.

The pressure on the workforce is clear, as the percentage of non-workers (school age children and seniors) increases and the percentage of workers shrinks.  (One impactful variable may be the percentage of seniors who continue working, even part-time, well beyond age 65.)

The projections come as the school age population has declined statewide in recent years by 4 percent, which was largely anticipated but is soon expected to level off.  In only 26 of Connecticut’s 169 municipalities has the school age population increased between 2006-07 and 2010-11. In the remainder, the school age numbers are down, with 19 communities seen more than a 10 percent drop in student numbers and 85 percent of cities and towns experiencing a reduction in their school age population.

Acapella Music Thrives at Colleges in Connecticut; Sing-Off Winner from CCSU

Interest in acapella singing on college campuses – clearly on the upswing in recent years - shows no signs of slowing down, if the standing-room-only crowd at the second annual Connecticut Collegiate Sing-off is any indication.  Hosted by Eastern Connecticut State University, the friendly competition included seven groups from four colleges – UConn, Central Connecticut, Western Connecticut, and Connecticut College. A Cappella is a way of singing that does not include being accompanied by musical instruments. (In Italian it means in the "style of the church or chapel".)  In recent years, the musical style has been featured in a number of network television programs, most notably in Glee.  The vocal performances come in many styles, including Doo Wop, Beatboxing and even some modern rock and popular music, often with a dash of good-natured humor.

The competition for best ensemble was won by CCSU’s Too Good For Instruments (TGFI), the university’s 14-member all-women group, based on the votes of audience members.  The roster of performers included:

• UConn Extreme Measures
• CCSU AcaBellas
• WCSU Parallel Fifths
• UConn Rolling Tones
• Connecticut College ConnChords
• CCSU Divisi
• CCSU TGFI

Each of the groups heard comments, compliments and critiques from a panel of judges immediately following their performances, prior to the audience vote at the end of the evening.  Eastern’s three groups - Fallin' Flat, 6 Ways to B Natural and Key of She – also performed, but stayed out of the competition so as not to use their home field advantage.

A capella music has been the basis and inspiration for many top musical acts on the charts from Motown to Boyz to Men. In recent years, it has been the focus of national tournaments and exploded in popularity on college campuses all over the country. Where there were once just over 200 groups nationwide, their numbers are now estimated to be in the thousands, with many campuses having multiple groups.

The A cappella movement is believed to have its roots here in Connecticut beginning a century ago, in 1909, when part of the Yale Glee Club broke off and formed the Yale Whiffenpoofs, the first collegiate a cappella group. It has been reported that entertainers including John Legend, Anne Hathaway, Cole Porter and Art Garfunkel sang in a capella groups when they were in college.

High Cost of SAT-Prep Classes Hurt Low Income Students Aiming for College

When high school students take the Scholastic Aptitude Test (SAT), their shot at a college career often hangs in the balance.  Recognizing the importance of the standardized exam, many students take private preparatory classes that explain how the SAT differs from exams students are accustomed to taking in class. To succeed at the SAT, it is essential to understand test-taking strategies that are specific to this test, in addition to the subject area content.  But some students can’t afford the cost of the preparatory classes, and their results often suffer.

Connecticut’s 2011 Teacher of the Year is not happy about that.  Kristen Record, a Physics Teacher at Bunnell High School in Stratford, told an education forum in Hartford recently that her district previously offered all students an SAT-prep course, but dropped it as part of budget reductions.  Record noted that many families in Stratford – as in other Connecticut towns and cities, especially lower-income communities – cannot afford the fees of the private prep classes.

“Students take their first SAT in October of their senior year, cold, with no preparation, no guidance, no previous SAT-test taking experience.  It’s no wonder that many of them score below the state average,” she said.  Even when students retake the test a month later, it is often without any “intervention or guidance,” unfortunately leading to similar disappointing results - with potentially devastating consequences.

"In the classroom, teachers want to see attempts to answer every question," she said.  On the SAT, attempting to answer every question can be counterproductive.  “It can be the difference between being accepted to (college) or not being accepted,” Record said.

The state of Georgia offers high school students free access to the SAT Online Prep Course developed by the College Board, the organization that administers the SAT. The free SAT Online Prep Course is open to all Georgia high school students – public, private and home schooled.  In 2008, among Georgia's 2008 graduating seniors, the students who used the free SAT Prep Course scored, on average, a total of 48 points higher than those who did not.

In Roanoke, VA, Roanoke City Schools go even further, offering free SAT Prep Courses.  The district web site announces “these courses are free.  They are administered by Princeton Review.  If you were to pay for these courses on your own, it would cost you well over $600.”

Some local school districts in Connecticut continue to offer SAT prep courses, but for a fee.  In Hamden, the SAT prep course fee is $525.  In Stratford, it is $210.  In Branford it costs students $185, and in Danbury, $135.  The frequency and duration of the classes vary.

“Taking an SAT is different than taking a test in school,” Record said at the Oct. 22 forum sponsored by CT Mirror.   When students don’t know that going in, they often end up with scores that misrepresent their true ability – and lessen their chances of admission to college.

As Connecticut looks to close the achievement gap and prepare more students for college, the state’s Teacher of the Year is shining a bright light on another disparity in need of remedy – preparing students adequately  to take an exam that may determine whether a college admission office says yes, or no, to their application.

CT Leader in Jobs, Salaries in Community & Social Service Fields

If you’re interested in working in the community and social service fields, Connecticut is the place to be, according to the latest federal data.  Nationally, community and social service occupations had an annual mean wage of $43,830, which was just below the U.S. all-occupations mean wage of $45,230, according to data compiled by the U.S. Bureau of Labor Statistics, for the 2011 calendar year.   Out of the 17 occupations in the community and social service group, seven had a mean wage above the U. S. average and 10 had a mean wage below average. Connecticut, however, had among the highest levels in the nation. According to the federal agency, Connecticut had some of the highest annual average wages in the community and social services occupations, and a strong concentration of workers as well. The BLS reported recently that:

• Hartford-West Hartford-East Hartford had the highest employment of any metropolitan area in Connecticut (2,370).   The area had the 14th-highest location quotient (2.00) out of all U.S. metropolitan areas and an annual average wage of $61,980. (Location quotients are useful for analyzing occupational employment while controlling for the size of the state. They are useful for comparing the composition of jobs in an area relative to the average or for finding areas that have high concentrations of jobs in certain occupations.)
• Waterbury, the metropolitan area with the highest location quotient (2.41) in Connecticut, had one of the highest average annual wages ($64,270) and employment of 330 for community and social service occupations.
• With an employment of 430 community and social service workers and a high location quotient (1.54), Norwich-New London had an annual average wage of $58,130, the lowest wage for this group out of the metropolitan areas in Connecticut, but still well above average.The Eastern non-metropolitan area had the second-highest annual average wage ($68,880) out of all U.S. non-metropolitan areas, the fourth-highest location quotient (2.63) out of all non-metropolitan areas, and an employment of 150 for community and social service occupations.

The state of Connecticut also has two non-metropolitan areas, Eastern and Northwestern.

• The Eastern non-metropolitan area had the second-highest annual average wage ($68,880) out of all U.S. non-metropolitan areas, the fourth-highest location quotient (2.63) out of all non-metropolitan areas, and an employment of 150 for community and social service occupations.

• The Northwestern non-metropolitan area had the third-highest annual average wage ($65,510) out of all non-metropolitan areas, the 21st-highest location quotient (1.84), and an employment of 140.

Nationally, some of the highest-paying occupations in the community and social service group were educational, guidance, school, and vocational counselors ($56,540); health educators ($52,150); and probation officers and correctional treatment specialists ($52,110). Two of the lowest-paying occupations, social and human service assistants ($30,710) and religious workers, all other ($31,600), had the highest (359,860) and lowest (7,660) employment, respectively, in the occupational group.

Multi-generational homes increasing; CT below national average

The number of multi-generational households - grandparents, parents and children living together under the same roof - has been steadily increasing in recent years, though not as much in Connecticut.  More than 4.3 million, or 5.6 percent, of the 76 million family households in the U.S. today are families living together that include a grandparent, parent and children as well as other family members, according to a study by the U.S. Census Bureau's American Community Survey. The nationwide average of 5.6 percent compares with 3.7 percent of U.S. households that were multi-generational in 2000 and 4 percent in 2010. The American Community Survey conducts small-area estimates on a wide range of statistics about people and housing for every community across the country and Puerto Rico. Among the latest findings:

• There were more than 76 million family households in the United States. Of these, about 4.3 million (5.6 percent) were multi-generational households.
• In the Northeast, only New Jersey (6 percent) and New York (6.5 percent) had percentages above the national level.  Connecticut showed 5.1 percent, or an estimated 46,357 multi-generational households.  Massachusetts also had 5.1 percent, as did Rhode Island.
• Hawaii had the highest percentage of multi-generational households, accounting for 11.1 percent of all family households in that state.
• More than 85 percent of states where the percentage of family households that were multi-generational exceeded the national average were in the South or West, where more than 85 percent of states in those areas exceeding the national level. Southern states with percentages above the national level included the District of Columbia, Florida, Georgia, Louisiana, Maryland, Mississippi and Texas, all ranging from 5.9 percent to 7.3 percent. Western states with large numbers of multi-generational homes included Arizona, California, Hawaii, Nevada and New Mexico, each ranging from 6.2 percent to 11.1 percent.
• The state with the smallest percentage of multi-generational households was North Dakota, with around 2 percent.

Among multi-generational households, the majority (64.6 percent) included a householder, a child of the householder and a grandchild of the householder. Thirty-four percent contained a householder, a parent or parent-in-law and a child. Only 1.7 percent contained a parent or parent-in-law, a householder, a child of the householder and a grandchild of the householder.

Among multi-generational households nationally, nearly 65 percent included a head of household, a child and a grandchild. Thirty-four percent of multi-generational households contained a head of household, a parent or parent-in-law and a child, and those households tended to be in the Northeast and West. Only 1.7 percent of multi-generational households contained a parent or parent-in-law, a head of household, a child and a grandchild.

Nationwide, more than 10 percent of Hispanic and American Indian and Alaska Native households were multi-generational, while more than 9 percent of Black and Asian households were multi-generational.

Entrepreneurship is Focus of November Attention in CT and Beyond

November is a terrific month to glimpse the future.  Startup Weekend returns to New Haven the weekend of November 9-11.   And right behind it arrives Global Entrepreneurship Week, November 12-18. Startup Weekend is a global grassroots movement of active and empowered entrepreneurs who are learning the basics of founding startups and launching successful ventures. It is the largest community of passionate entrepreneurs with over 400 past events in 100 countries around the world a year ago. All Startup Weekend events follow the same basic model: anyone is welcome to pitch their startup idea and receive feedback from their peers. Teams organically form around the top ideas (as determined by popular vote) and then it’s a 54 hour frenzy of business model creation, coding, designing, and market validation.

The weekends culminate with presentations in front of local entrepreneurial leaders with another opportunity for critical feedback. Whether entrepreneurs found companies, find a cofounder, meet someone new, or learn a skill far outside their usual 9-to-5, everyone is guaranteed to leave the event better prepared to navigate the chaotic but fun world of startups.  New Haven and Hartford have been host to Startup Weekends in Connecticut.

Right on the heels of that weekend will be Global Entrepreneurship Week, when millions of young people around the world - including some in Connecticut -  join a growing movement of entrepreneurial people, to generate new ideas and to seek better ways of doing things.

Countries across six continents come together to celebrate Global Entrepreneurship Week during Nov. 12-18, an initiative to inspire young people to embrace innovation, imagination and creativity. Students, educators, entrepreneurs, business leaders, employees, non-profit leaders, government officials and many others participate in a range of activities, from online to face-to-face, and from large-scale competitions and events to intimate networking gatherings.

Among the Connecticut locations already signed on to participate in at least one activity during the week are Norwalk High School, Quinnipiac University, RHAM High School in Hebron, and Pathways to Technology Magnet School in Windsor.