Childcare Needs Assessment Survey of Downtown Fort Worth Employees

Dr. Nasser Haghighat Director of Research

Downtown Fort Worth, Inc.

September 10, 2012

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Table of Contents

1- Executive Summary 3

2- Background

a. Downtown workforce characteristics 4

b. Objective 4

3- Methodology 4

a. Survey instrument development 4

b. Survey methodology, samples and sampling validation 5

c. Intercept location maps 6

4- Results

a. Age and number of children per household 8

b. Place of residence and household income 9

c. Current childcare providers 10

d. Preferred location of childcare 12

e. Childcare expenses 13

5- Estimation of demand 16

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Executive Summary

• Average age of children of all respondents: 5.6

• Children of hotel workers (age 6.5) are slightly older than those of office workers (age 5.3) and

restaurant, bar and retail establishment workers (age 5.4).

• Hotel workers have more children per household (2.36) than office workers (1.61) and restaurant, bar

and retail establishment workers (1.67).

• More office and restaurant, bar and retail establishment workers live in zip code 76116 than in any

other. More hotel workers live in zip code 76104 than in any other.

• 15.5% of respondents have household income of less than $35,000 per year.

• 40.7% of respondents have household income between $75,000 and $149,999 per year.

• 88.9% of employers offer no childcare-related services.

• 42.9% of respondents use licensed childcare centers and 18.9% use relative care.

• 96.3% of childcare users are satisfied with resources that their providers offer.

• More respondents prefer to have childcare close to home than to work: 46.5% and 22.6% respectively.

• Average weekly childcare expenses are higher for office workers ($107) than for hotel workers ($50) or

restaurant, bar and retail establishment workers ($64).

• 55.1% of respondents would use childcare in Downtown if available.

• Total available childcare capacity in Downtown: 870

• Total available childcare capacity within 1.25 miles of Downtown: 680

• Total estimated demand for childcare in Downtown: 2,132

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Background

In July 2008, Downtown Fort Worth, Inc. in cooperation with the Fort Worth Transportation Authority and the

University of Texas at Arlington undertook a survey of downtown employees to establish a general

demographic profile and determine interest in public transportation, downtown housing and desirability of

retail stores. Two questions in the 2008 survey inquired about needs for additional childcare in Downtown.

The 2008 survey, due to its objectives, collected data from employees with and without children in the

household.

The current survey was designed to provide in-depth understanding of childcare needs in Downtown by

expanding the survey instrument and excluding employees with no children under 14 at home. Thus, the data

presented here may differ significantly from that reported for all workers Downtown.

Downtown Workforce Characteristics: The latest data from the U.S. Census Bureau (2010) indicate that the

total number of Downtown workers is 56,344. Workers age 29 or younger make up 18.4% and those age 30 to

54 make up 62% of this workforce. 51.9% of Downtown employees are married and 34.2% of employee

households have children.

Objective: The objective of this survey was to assess childcare needs of Downtown employees.

Methodology

1- Survey instrument: The survey instrument consisted of 16 questions that were designed with input

from several childcare providers in and around Downtown, including Campfire, Bright Horizons and

YWCA.

2- Survey method: This was an intercept survey and respondents were selected randomly at designated

intercept locations. All respondents met two inclusion criteria:

a. Must work in Downtown; and

b. Must have a child in the household younger than 14.

Employee Earnings Share $1,250 per month or less 13.7% $1,251 to $3,333 per month 29.7% More than $3,333 per month 56.6%

Employee Educational Attainment Share Less than high school 7.7% High school or equivalent 19.5% Some college or Associate degree 28.0% Bachelor’s degree or advanced degree 26.4% Educational attainment not available 18.4%

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3- Survey taker: A single trained survey taker conducted all surveys.

4- Sampling and Intercept locations: The survey taker was stationed at 76 intercept locations throughout

Downtown. These consisted of 40 Class A, B and C office buildings and 36 non-office locations including

retail shops, restaurants, hotels, bars and other establishments.

The number of employees surveyed per intercept location was proportional to the respective

intercept’s share of total downtown employees (i.e., an office with a 10% share of downtown

employees contributed 39 surveys, or 10% of 390). This allowed the survey sample to closely match the

U.S. Census Bureau’s Jobs by Industry Type (2-digit NAICS) for Downtown. 10.5% of surveys were

collected from employees in the Accommodation and Food Services, Arts and Entertainment and Retail

Trade sectors. 89.5% of surveys were collected from office workers. This tracks very closely the

proportion of Downtown employees in each of these sectors.

Office intercept interviews were conducted between the hours of 11:00 AM and 2:00 PM on weekdays.

Non-office intercept interviews were conducted at off-peak hours.

Respondents to this survey include 98.5% who work during the day and 1.5% whose work shift that

include all or part of the night.

The total number of valid surveys collected was 390 which provided for +5% margin of error at a 95%

confidence level. This means that if the same survey was attempted 100 times, the data collected

would be within 5% of the current survey’s results in 95 of those attempts. This is a measure of how

accurately the current survey’s results can be generalized to the entire Downtown employee

population.

Industry Sector Downtown share of employees

(U.S. Census Bureau) Survey sample

Accommodation and Food Services + Arts and Entertainment + Retail Trade

10.1% 10.5%

All other 89.9% 89.5%

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Office Intercept Locations

Non-office Intercept Locations

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Results

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Age: The average age of children of all

respondents is 5.6. Hotel workers have

slightly older children than the other two

groups.

Children by age group: Data were arranged

into 3 age groups:

1- Younger than 1 year 2- Age 1 to 5 3- Older than 5

Overall, the 1 to 5 age group represented

the highest percentage (49.9%) followed

by 42.6% for the older than 5 age group

and 7.5% for the under 1 age group.

Number of children per household: Average

number of children for all respondents is

1.64 per household with hotel workers

having the most at 2.36.

Household size: Average household size is

3.74 persons.

What are the ages of your children that need care?

Children age group by parents employment

0

2

4

6

8

10

Hotel Office RBR

6.5 5.3 5.4

0% 20% 40% 60% 80%

Younger than 1

1-5

Older than 5

8.7%

56.5%

34.8%

7.8%

51.6%

40.6%

9.1%

27.3%

63.6%

Hotel Office RBR

AGE AND NUMBER OF CHILDREN PER

HOUSEHOLD

Average number of children per household

RBR: Restaurants, bars, and retail establishments

0 1 2 3 4

Hotel Office RBR

2.36 1.61 1.67

Average household size

0.00

2.00

4.00

6.00

Hotel Office RBR

4.00 3.75 3.41

RBR: Restaurants, bars, retail establishments

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Annual household income: The median household income

in the city of Fort Worth is $48,224 (U.S. Census Bureau).

More than 73% of respondents reported household income

that exceeds the annual median household income of

Fort Worth.

Household size: Average household size is 3.7.

Place of residence: More respondents come to work in

Downtown from zip code 76116 than any other (12.4%).

The top five zip codes for hotel, office and

restaurant/bar/retail (RBR) workers are presented

below.

The majority of respondents live in the city of Fort

Worth (70%). Arlington, Keller, Burleson and Grand

Prairie represent 4.1%, 3.3%, 2.1 and 2%, respectively.

What is your zip code at home?

0% 5% 10% 15%

76116

76107

76179

76109

76108

12.4%

10.1%

5.9%

4.6%

4.4%

Rank Hotel Office RBR

1 76104 76116 76116

2 76105 76107 76133

3 76036 76179 76104

4 76107 76109 76105

5 76116 76108 76120

What is your annual household income?

Annual household income Share (%) Under $10,000 0.8% $10,000 - $14,999 1.9% $15,000 - $24,999 4.1% $25,000 - $34,999 8.7% $35,000 - $49,999 10.8% $50,000 - $74,999 14.4% $75,000 - $99,999 21.7% $100,000 - $149,999 19.0% $150,000 - $199,999 10.0% More than $200,000 8.7%

0%

20%

40%

60%

15.5% 25.2%

40.7%

18.7%

Annual Household Income

0.0 1.0 2.0 3.0 4.0 5.0

Hotel Office RBR

4.0 3.7 3.4

PLACE OF RESIDENCE AND HOUSEHOLD INCOME

RBR: Restaurants, bars and retail establishments

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Childcare

A large majority of respondents’ employers do not provide any childcare assistance.

Current childcare provider

Does your employer offer any childcare-related services?

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

None

Other

Employer discount for childcare

Childcare referral service

On-site childcare

88.9%

6.2%

4.1%

0.5%

0.3%

How do you currently handle your childcare?

0%

10%

20%

30%

40%

50% 42.9%

18.9% 13.4%

7.0% 5.9% 4.1% 3.6% 1.6% 1.3% 0.8% 0.5% 0.0%

N=387

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For office workers, a licensed childcare center was the top-ranked type of childcare provider. The top-ranked

type for employees of restaurants/bars/retail establishments (RBR) was relative care, and for hotel employees

it was a combination of providers.

Respondents were asked to identify resources that are important in selecting a childcare provider. The

following chart shows the percentage by resource. Since respondents were allowed to mark more than one

resource, the total number of responses (967) exceeds the number of respondents.

What resources are important for you in selecting a childcare provider?

0%

10%

20%

30%

40%

26.7% 22.2%

15.6% 13.9% 10.8%

3.7% 3.2% 2.9% 0.7% 0.3%

N=967

Rank Hotel Office RBR

1 Multiple arrangements

(28.6%) Licensed childcare centers

(45.7%) Relative care (40.7%)

2 Relative care (21.4%) Relative care (17.1%) Licensed childcare centers

(22.2%)

3 Babysitter/Nanny (14.3%) Babysitters/nanny (6.6%) Other (11.1%)

RBR: Restaurants, bars and retail establishments

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The overwhelming majority of respondents are satisfied with their current childcare provider regarding

resources offered.

Preferred location of childcare: Respondents were asked to rank their preferred location of childcare by

placing a number next to each location. The following table presents the percentage that each location was

ranked from first to fourth. A childcare location close to home was ranked as the highest first and second

choices, 23.8% and 18.4% respectively.

Preferred location of childcare by employment type: The most preferred (first choice) location of childcare by

employment type of respondents is presented below.

Respondents by employment: Those who are satisfied with their current childcare provider

RBR: Restuarants, bars and retail establishments

0%

50%

100%

Hotel Office RBR

100.0% 95.9% 100.0%

Are you satisfied with the resources provided by your current childcare provider?

Yes, 96.3%

No, 3.7%

Preferred location of childcare First Second Third Fourth At home 94 (12.4%) 20 (2.6%) 6 (0.8%) 0 Close to child’s school 25 (3.3%) 34 (4.5%) 12 (1.6%) 3 (0.4%) Close to home 181 (23.8%) 140 (18.4%) 6 (0.8%) 0 Close to your/spouse work place 88 (11.6)% 137 (18.0)% 9 (1.2%) 4 (0.5%) Other places 1 (0.1)% 0 0 0

N=760

Preferred location of childcare Hotel Office RBR At home 21.4% 23.8% 24.2% Close to child’s school 14.3% 6.3% 6.4% Close to home 64.3% 45.8% 46.5% Close to your/spouse work place 0.0% 23.8% 22.6% Other places 0.0% 0.3% 0.3% RBR: Restaurants, bars and retail establishments

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Childcare expenses

Downtown employees pay an average of $138 per week for childcare. Office workers pay the highest amount

($144.08) followed by hotel workers ($94.64) and restaurant/bar/retail establishment workers ($90.00).

On a per child basis, Downtown employees pay an average of $102 per week. Office workers pay the highest

amount per child for childcare followed by restaurant/bar/retail establishment and hotel workers.

$0.00

$50.00

$100.00

$150.00

Hotel Office RBR

$94.64

$144.08

$90.00

$0.00

$20.00

$40.00

$60.00

$80.00

$100.00

$120.00

Hotel Office RBR

$50.10

$107.76

$64.25

RBR: Restaurants, bars and retail establishments

RBR: Restaurants, bars and retail establishments

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37.4% of employees are willing to pay more than $200 per week for quality childcare.

Respondents were asked whether they would use childcare in Downtown if available.

Would you use childcare in Downtown if available?

Yes, 55.10%

No, 44.90%

0% 20% 40% 60% 80%

Would use

Would not use

63.0%

37.0%

54.4%

45.6%

57.1%

42.9%

Hotel Office RBR

0%

10%

20%

30%

40%

Under $125 $125-$150 $151-$175 $176-$200 $201-$225 Over $225

1.8%

30.0%

13.9% 16.8%

7.9%

29.5%

RBR: Restaurants, bars and retail establishments

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Analyses of results and estimation of demand for childcare in

Downtown Fort Worth

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In order to estimate the depth of demand for childcare in Downtown, data were cross tabulated by responses

to two questions:

1- Would you use childcare in Downtown if available?

a. Only those who would use childcare in Downtown selected

2- Where do you prefer childcare to take place?

a. Only those who prefer childcare close to workplace selected

Downtown employees represent 55,273 households. 31.3% of these households have children under 14.

The demand for childcare services can be estimated as follows:

The total demand for childcare services in Downtown is estimated at 2,132 children.

Preferred location of childcare Would use childcare in Downtown if available

At home 12.6% Close to child’s school 6.1% Close to home 49.5% Close to your/spouse work place 31.8%

Hotel workers 0.0% Office workers 33.7%

RBR workers 25.0% Other places 0.0%

RBR: Restaurants, bars and retail establishments

Households with children under 14: 17,300 55,273 X 31.3% = 17,300

Would use childcare in Downtown: 9,532 17,300 X 55.1% = 9,532

Prefer location close to work place: 1,300 4,089 X 31.8% = 1,300

Total number of children: 2,132 1,300 X 1.64 = 2,132

Households that currently use licensed childcare centers: 4,089 9,532 X 42.9% = 4,089

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This estimate is not service specific and does not show demand by service type and cost. The average cost for

child care within a 20 minute drive time of Downtown was $491 per month in 2011 (ESRI). Respondents to this

survey pay slightly lower monthly fees for childcare: $410. Office workers ($431/month) pay more than hotel

workers ($200) or RBR workers ($257). The higher cost of childcare paid by office workers may be due to the

type of childcare services they use. Office workers use licensed childcare centers more than the other two

groups.

RBR: Restaurants, bars and retail establishments

Conclusions:

Currently six childcare providers with a capacity of 870 children are located in Downtown. Another five

childcare providers with a capacity of 683 are located within a 1.25 miles radius of Downtown. With estimated

demand of 2,132 and a total capacity of 1,553, Downtown market may be slightly underserved.

Downtown Childcare Providers

Childcare Providers within 1.25 Miles Radius of Downtown

Place of work Licensed childcare centers Relative care Friend or neighbor care Hotel 14.3% 21.4% 14.3% Office 45.7% 17.1% 5.5% RBR 22.2% 40.7% 7.4%

Name Address Phone Web Capacity

First United Methodist 800 5th Street 817-870-9174 Web Site 186 Ella McFadden/YMCA 512 Lamar Street 817-332-3281 Web Site 130 Rosie K Mauk/YWCA 512 W 4th Street 817-332-6191 Web Site 115 Bright Horizon 201 Jones Street 817-334-0036 Web Site 221 First Presbyterian Church Day School 1000 Penn Street 817-335-1231 Web Site 157 St Paul Lutheran School Day Care 1800 West Frwy 817-332-4563 Web Site 61

Source: www.childcarecenter.us

Name Address Phone Web Capacity

Amaka Learning Center/YMCA 1501 Stephenson St 817-332-4434 Web Site 100 Kids' Place Child Development Center 901 Southland Ave 817-335-2755 Web Site 238 Fortress Youth Development Center 712 Stella St 817-335-1007 Web Site 100 Baylor All Saints Child Care Pre-School 1709 N Enderly 817-927-6249 Web Site 160 Broadway Baptist Church 305 Broadway W 817-336-7464 Web Site 85

Source: www.childcarecenter.us