The Case for the Campaign
Federal Funding Commitments to Rural Community and Economic Development
- In 2003, total per capita federal funding commitments were nearly $550 less in nonmetropolitan areas than in metropolitan areas.
- In addition, a disproportionate share of federal assistance to nonmetro areas is in income security programs. While these funds are essential for millions of rural Americans, these federal commitments are not building the capacity of rural regions and communities in pursuing new economic and community growth opportunities.
- Therefore, per capita funding for community resources represent 14.5 percent of funds to metropolitan areas, but only 8.9 percent of funds to nonmetropolitan areas.
- Each year for the last decade, the federal government has spent 2 to 5 times more, per capita, on metropolitan than nonmetropolitan community resources.
Rural Economic Disadvantage
- Median household income in 2005 was $48,474 in metro areas, but only $37,564 in nonmetro areas.
- The top 10 percent of U.S. counties (310 counties) account for three of every four new jobs; fewer than 10 of these are nonmetropolitan.
Rural Competitive Disadvantages
- The percent of the population with a B.S. degree or higher is 26.6 percent in metro areas, but only 15.4 percent in nonmetro areas.
- Only 26.9 percent of nonmetro employees are in management and professional occupations, compared to 35.2 percent of metro employees.
- Most of the nation's transforming patents are concentrated in metro areas, leaving rural regions far more dependent on traditional “commodity” economic engines that spur weaker economic gains, overall.
- Globalization rewards regions that have critical mass. Metro regions naturally build it; most rural regions still operate one county or one Main Street at a time.
Rural Health Disparities
- Residents in rural areas are more likely to report fair/poor health, and have higher rates of self-reported obesity.
- Chronic illnesses are more prevalent in rural areas and rural residents are less likely to receive recommended preventative services.
- Rural communities represent about 20 percent of America's population, but less than ten percent of physicians practice in those communities.
- Of all U.S. Health Professional Shortage Areas, 2,157 are located in rural and frontier areas, compared to 910 in urban areas.
- The rural population is less likely to have employer covered health insurance.
Rural Poverty
- The nonmetropolitan poverty rate in 2005 was 14.5 percent compared to only 12.2 percent in metropolitan areas.
- Of the 386 persistent poverty counties (defined by the Economic Research Service, USDA), 88 percent are nonmetropolitan.
- Rates of child poverty are considerably higher in nonmetro areas – 18.8 percent in nonmetro areas compared to 15.5 percent in metro areas.
The “Rural” Definition and Targeting Challenge
- Formal county designations of metropolitan and nonmetropolitan show that almost 50 million people live in nonmetropolitan counties, usually equated with rural America. However, 30 million rural people live in metropolitan areas, and an additional 10 million people live in cities and towns outside of the principal cities of metropolitan areas.
- Since rural programs usually target only nonmetropolitan counties, and urban programs generally target larger cities, a significant rural population is currently disadvantaged in federal targeting mechanisms.