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Executive Summary

This is the first in a series of papers that will explore how Zanesville can
leverage its assets to attract, retain and develop industries that support
economic growth and contribute to the citys tax base.
The report began as an exercising benchmark to establishing comparable
cities. As multiple sources of data were uncovered the report included a snap
shot of Zanesvilles workforce. The report is broken into three sections: 1.
Comparison Benchmarks, 2. Economic Demographic Information and 3.
Employment Clusters
Workforce development is an important piece of creating incentive packages.
It helps answer not only what kind of businesses may be enticed to locate
here but also what kinds of policies and goals the incentives should address.
Part1
The report compares Zanesville to:
o Ohio
o Appalachian Ohio
o Cities of comparable population size (+/- 4,400 people)
o Cities with similar population, poverty, median income, unemployment,
etc.
Part 2
The report discovered that the City of Zanesville has fallen
behind its peers across spectrums in nearly every economic category.
o Poverty has remained persistently high since 1989
o Median income levels are significantly below average
o Lower than average labor force participation
o Significantly higher population of adults 25 years or older without a
high school diploma
o Lower percentage of adults with higher education degrees
Part 3
The report attempts to explain why Zanesville has fallen behind
by looking beyond educational attainments (which are a major driver in
todays knowledge driven economy) to what kinds of jobs are available and
how much slack exists in the job marketplace.
o Education and healthcare are the areas largest employment cluster
followed by retail trade and food service/arts and entertainment
o The market has responded to the educational levels present. An
analysis of job openings showed that there were more job openings for
high school graduates (358) than for associates, trade, bachelors,
masters and doctoral degrees combined (306)
o The highest number of jobs available paid less than $30,000/year
o The largest drag on the citys unemployment rate is the 3,308
individuals without a high school education. Only 169 jobs are
available for them based solely on education.
o Zanesville has a higher concentration of job classifications than its
peer cities that have a low median wage with very limited wealth
generation potential.

2
A brief examination of in demand jobs and education infrastructure is
included.
These challenges are not insurmountable. We are not the first or last city to
experience problems of this scope. By setting goals as a community we can
overcome some of these deficits. Where we are currently doesnt have to be
where we will be in the future.
o

The Cycle of Decline


Communit
y thinks it
is less
than

Communit
y
stagnates

People
leave for
better
opportuniti
es

Acceptanc
e "it's how
it is"

People
lose hope

Tax base
shrinks
Services
stretched /
crime
increases

Our job is to break the cycle!

Revitalize Cycle
Buy in
from
influencer
s&
leaders

Strengths
&
Weakness
Identified

Address
weakness
&
enhance
strength

Re-invent
city again

Transform
image /
market
communit
y

Tax base
goes up

New
industry/
jobs

People
see hope!
Investmen
ts are
made

Part I:

Comparison Benchmarks

Using Data to Determine Comparable Cities


Long time city residents will tell you what Zanesville was like in the 1950s and how
many jobs there were. People with shorter memories will tell you what Zanesville is
like today; some will do so with hope whereas others will be quick to point out the
citys shortcomings. However, there is very little talk of the future and what
possibilities could be in store, either good or bad.
The overall purpose of this report is to show where Zanesville is today and show
how it compares to other cities so that its leaders can make informed decisions
about where Zanesville needs to go and how to get there. It compares cities across
all of Ohio, cities with similar population (all sample), cities within Appalachian Ohio
and cities with similar poverty, median income, unemployment rates and population
(sub sample). A brief explanation of the data that a site selector can see about
Zanesville and what this means about the kinds of industry that the city can attract
is also included. The report also examines educational attainment, the jobs
available within Zanesville and how this compares to the sub sample. A brief look
at age distribution and home values and home ownership rates are also included.
This way the reader will be able to see exactly where Zanesville stands against a
number of its peers. Its leaders can then determine what course they want to chart
for the future of the City of Zanesville using a data driven approach.

The Appalachian Region


Zanesville is located within the Appalachian region. 32 of Ohios 88 counties are
considered Appalachia extending from the shores of Lake Erie (Ashtabula) to the
Ohio River and flowing along until the Cincinnati border.

Every county is ranked by the Appalachian Regional Commission by its economic


status comparative to the rest of the nation. Muskingum County is considered a
transitional county. Transitional counties are defined as counties that rank between
the worst 25% and best 25% of the nations counties. To determine a countys
status the Appalachian Regional Commission looks at three key indicators and
compares them to national averages:
1.

Three year average unemployment rate

6
2.
3.

Per capita market income


Poverty rate

Muskingum County is not in nearly as bad of shape as some of its neighboring


counties who are distressed (worst 10%) or at-risk (worst 10 25%). This does not
give Zanesville or Muskingum County a competitive advantage as most Ohio
counties that are Appalachian are considered transitional. The south side of
Zanesville and immediately to the north of I-70 is considered distressed (worst 10%)
as shown in the following map from the Appalachian Regional Commission:

Zanesville Compared to Other Ohio Appalachian Ohio Cities


Zanesville is the 61st largest city in Ohio. Finding a city of comparable size to
Zanesville in Appalachia is a challenge.
Appalachian City/County

2013 Population

8
Youngstown, Mahoning County
Union Township, Clermont
County
Miami Township, Clermont
County
Warren, Trumbull County
Boardman Township, Mahoning
County
Austintown Township, Mahoning
County
Zanesville, Muskingum County
Athens, Athens County
Alliance, Stark/Mahoning
Counties
Chillicothe, Ross County
Batavia, Clermont County
Portsmouth, Scioto County
Ashtabula, Ashtabula County
Niles, Trumbull County
Steubenville, Jefferson County

65,062
47,564
41,804
40,633
40,068
36,009
25,372
24,024
22,256
21,738
20,437
20,226
19,124
19,266
18,659

Despite the challenge in finding a city of similar population to Zanesville there is


data on the entire 33 county Appalachian region from the Ohio Development
Services Agency. This data will be referenced throughout the report as
Appalachia to give the reader insight on how Zanesville is competing within the
Appalachian region, even if not directly to its peers in terms of population.

9
Zanesville Compared to Cities with Similar Population
There are only six cities in Ohio in the 25,000 people range so Zanesville was
compared to cities that had between 4,400 people more and 4,400 people less than
Zanesville. In all 29 cities were compared to Zanesville on population ranging from
Ohios 51st largest city, Hilliard (2013 population 29,715) to Sidney, the 79 th largest
city (21,095). 10 cities had a larger population whereas 18 had less than Zanesville.
The sample cities are both suburbs (17) and rural communities (12). They are
geographically dispersed and cover Northern and Southern Ohio. Some cities are
very rich and some are very poor. This grouping will be referred to as all sample
throughout the report.
Ran
City/County
k
51 Hilliard, Franklin
52 Austintown, Mahoning
Garfield Heights,

53 Cuyahoga
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77

Shaker Heights,
Cuyahoga
Medina, Medina
Barberton, Summit
Wooster, Wayne
Xenia, Greene
Green, Ohio
Sandusky, Erie
Zanesville
Riverside, Montgomery
Troy, Miami
Trotwood, Montgomery
Athens, Athens
Centerville,
Greene/Montgomery
Solon, Cuyahoga
Maple Heights,
Cuyahoga
Avon Lake, Lorain
Marysville, Union
Hudson, Summit
Willoughby, Lake
Alliance,
Summit/Mahoning
South Euclid, Cuyahoga
Chillicothe, Ross
Wadsworth, Medina
Oxford, Butler

Suburb/Rur
al?

US Census 2013
Population Estimate

Suburb
Suburb
Suburb

29,715
29,605
28,650

Suburb

28,200

Rural
Suburb
Rural
Suburb
Suburb
Rural
Rural
Suburb
Rural
Suburb
Rural
Suburb

26,617
26,461
26,260
25,835
25,742
25,606
25,481
25,181
25,134
24,375
24,201
23,965

Suburb
Suburb

23,214
22,996

Suburb
Rural
Suburb
Suburb
Rural

22,708
22,581
22,335
22,334
22,256

Suburb
Rural
Rural
Rural

22,139
21,885
21,678
21,608

Pop
Variance
+4,234
+4,124
+3,169
+2,719
+1,136
+980
+779
+354
+261
+125
0
-300
-347
-1,106
-1,280
-1,516
-2,267
-2,485
-2,773
-2,900
-3,146
-3,147
-3,225
-3,342
-3,596
-3,803
-3,873

10
78 Avon, Lorain
79 Sidney, Shelby

Suburb
Rural

21,440
21,095

-4,041
-4,386

Zanesville Compared to Other Cities of Similar Demographics, Income, Etc.


The all sample is useful for general purposes but cannot be trusted to deliver
consistently reliable data. Comparing cities such as Hilliard or Avon to Zanesville
and leaving the reader to draw his or her own conclusions would be unfair. Hilliard,
Avon, Avon Lake, Hudson and Green are all very affluent suburbs of major
metropolitan areas. Conversely, cities such as Athens and Oxford are home to
major universities and the transient nature of college students will not provide
accurate data.
The all sample category was then subdivided into cities for closer similarities to
Zanesville beyond population. These cities will be termed sub sample and
include the following:

City
Name

Population

2013
% Poverty

Alliance
Barberton
Chillicothe
Sandusky
Trotwood
Xenia
Zanesville

22,256
26,461
21,885
25,606
24,375
25,835
25,481

26.9%
20.5%
23.6%
23.1%
21.2%
24.5%
29.7%

2013
Median
Income
$31,152
$37,819
$36,927
$35,776
$36,277
$39,756
$26,986

2013
Unemploym
ent
15.7%
12.4%
17.5%
11.7%
14.6%
10.9%
13.3%

Square
Miles
8.961
9.259
10.6
21.91
30.5
13.29
12.14

These seven cities have more in common than population. Three of them are home
to university campuses. Ohio University has branches in Chillicothe (2,330
students) and Zanesville (2,042 students) and Alliance is home to Mount Union
(2,262 students). All of these cities, like Zanesville, were once industrial
powerhouses that are now struggling to recreate their tax base in a knowledge
driven economy. All of them have a higher than Ohios average level of poverty
(15.8%), lower than average state median income ($48,308) and higher than
average unemployment (10%). Three of the seven sub sample cities are in rural
areas, only Trotwood, Xenia and Barberton are considered suburbs for this reports
purposes. Only Chillicothe and Alliance have no federal interstate access.
Sandusky, like Zanesville, also relies on tourism to boost its municipal revenue. The
sub sample also is geographically relevant; three cities, Alliance, Chillicothe and
Zanesville, are all Appalachian cities. With the exception of Sandusky and Trotwood,
most of the cities are close to the land mass of Zanesville.

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What Do Site Selectors See in Zanesville?


Lets pretend company ABC is expanding operations and hires a site selection
consultant. The site selection consultant reviews available properties that fit ABCs
parameters and finds an option in Zanesville. The site selection company then
contacts local businesses to determine what the business and workforce climate is
like so it can find the perfect match for their client. If the businesses that are
contacted report a challenge in finding qualified applicants for job openings it may
be enough to turn them off and look elsewhere. If the parameters are still met the
company then focuses further on the community and what the likelihood of
satisfying their clients needs will be.
This information is now easier to find in Ohio than ever. By using the JobsOhio
websites site selection tool hundreds of prospects are quickly eliminated and site
selectors and other economic development professionals can judge a community
without ever stepping foot in it. In a single page the site selector can determine
community fit for their clients with minimal effort. Zanesvilles classification (known
as a top tapestry segment) is a quick overview of the community based on a variety
of data points. The descriptions for the tapestry segments are included in the
appendixes of this document. Zanesville is:
1. Hard scrabble road (the one that appears on the JobsOhio community
profile) 13%
= unemployment twice the average U.S. rate with a $26,000 median
income and 38% of the population with at least a high school diploma. The
data pulled from a variety of sources as part of this research supports this
designation as being the top tier for Zanesville.
2. Salt of the earth (does not appear on JobsOhio) 12% = steady employment
in trades such as construction and manufacturing with a $53,000 median
income and 42% with at least a high school diploma.
3. Small town simplicity (does not appear on JobsOhio) 10% = 1 in 4 families
below the poverty level and half of small town simplicity is 55 years or older
with a median income of $27,000 and 65% with a high school diploma or
some college.

12
This small, 1% difference, between the #1 Hardscrabble Road and the #2 Salt of the
Earth affects how businesses and developers see the city. By changing just 1% of
the citys workforce population from Hardscrabble to Salt of the Earth the City of
Zanesville can reap enormous rewards for everyone.

13

14
Part II:

Economic and Demographic Information

Poverty in Zanesville
Traditionally, people have flocked to cities because cities generate wealth and
opportunity. Overall, Zanesville is the 14th poorest city in Ohio, based on percentage
of individuals who live in poverty, even when compared to much larger cities like
Cleveland, Cincinnati, Dayton and Toledo.

1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18

City
Oxford
Youngstown
Cleveland
Kent
Dayton
Lima
Bowling
Green
Warren
Canton
Portsmouth
Cincinnati
Lorain
Springfield
Zanesville
Marion
Akron
Toledo
Alliance

% Poverty
20131
46.0%
36.4%
35.4%
35.3%
34.7%
33.9%

Population
20132
21,608
66,511
394,335
31,301
143,446
38,570

OH Pop
Rank2
77
9
2
46
6
31

32.5%
32.3%
31.7%
30.6%
30.4%
30.4%
30.4%
29.7%
27.9%
27.5%
27.2%
26.9%

31,049
41,199
73,027
20,357
297,150
64,017
60,423
25,481
36,857
199,038
285,459
22,256

47
28
8
84
3
10
12
61
32
5
4
73

1 Development Services Agency of Ohio, The Ohio Poverty Report, January 2015
2 U.S. Census Bureau, 2013 American Community Survey

15

With such a high ranking of the percent of people who live in poverty it should not
be surprising that the city does not fare well between the comparison groups.
Though it is ranked significantly below both Athens and Oxford it should be
remembered that both of these are considered college towns where a large
percentage of their population is poor because they do not have much income to
declare; their major focus is higher education, not earning a wage. Zanesville also
has a significant higher education population and it should not be discounted in
factoring into the concentration of poverty within the citys borders. However, the
population of students at Ohio University Zanesville 3 (2,042) do not compare to the
Ohio University at Athens (20,664 students) and at Miami University in Oxford
(18,456 students). The City of Alliance has a high concentration of poverty but is
also home to Mount Union College. The student population of Mount Union is 2,262
and is similar to Zanesvilles known college population.
2013 Population
Estimate

City
Athens
Oxford
Zanesville
Alliance
Xenia
Chillicothe
Sandusky
Trotwood
Barberton
Maple Heights

24,201
21,608
25,481
22,256
25,835
21,885
25,606
24,375
26,461
22,996

All Sample Avg (Athens/Oxford)


Appalachia % below poverty
level

Sub Sample Avg.


Ohio Average

2013 %
Poverty
57.4%
46.0%
29.7%
26.9%
24.5%
23.6%
23.1%
21.2%
20.5%
19.5%

Change 1989 2013


12.7%
4.3%
3.8%
7.5%
9.0%
3.8%
7.7%
15.2%
3.6%
15.5%

14.2%

5.2%

13.0%
23.30%
15.8%

no data
7.80%
3.3%

The level of poverty in Zanesville has remained relatively consistent since 1989, it
has only increased 3.8% over 30 years. At first glance the lower percentage
change might be misconstrued as a positive but what it really means is that
Zanesville has been experiencing high levels of poverty for at least three decades.
This is shown by the fact that the other comparable cities (sub sample) have
recorded a higher percentage of change in poverty but still are more than 6% lower
3 I attempted to get enrollment data from Zane State and have not heard anything
back

16
on average in poverty than Zanesville. No data was available on the entire
Appalachian region for this measure of poverty, only the percentage of people who
live below the poverty line.

Purchasing Power
It has already been established that the City of Zanesville has a higher
concentration of poverty than its peers. This is further reflected by the average
citizen of Zanesville has the lowest median household income level of the study
group once Athens is removed due to the high concentration of college students
with no or limited income.
2013 Population
Estimate

City
Athens
Zanesville
Oxford
Alliance
Sandusky
Trotwood
Maple Heights
Chillicothe
Barberton
Xenia
All Sample
Appalachia
Sub Sample
Ohio

24,201
25,481
21,608
22,256
25,606
24,375
22,996
21,885
26,461
25,835
Average
Average
Average
Average

2013 Median
2013 % Poverty Income4
57.4%
$17,933.00
29.7%
$26,986.00
46.0%
$28,429.00
26.9%
$31,152.00
23.1%
$35,776.00
21.2%
$36,277.00
19.5%
$36,664.00
23.6%
$36,927.00
20.5%
$37,819.00
24.5%
$39,756.00
$51,938.96
$42,379.00
$36,284.00
$48,308.00

The comparable cities (sub sample) make more than $9,000 in median income than
Zanesville. Again, changing the 1% difference between the top tapestry segments
would be a huge help. Zanesvilles income tax rate is 1.9% so every $1,000 that
median income goes up the City of Zanesville can collect an additional $19.00 in
income tax. For illustrative purposes, lets pretend that the median income rate
went from $26,986 to $27,986 and affected all individuals in the workforce with at
least a high school diploma.
Workforce
Population

Participating in
Labor Force

Multiplied by
$19.00 (1.9% per

4 U.S. Census Bureau, 2013 American Community Survey

High School
Degree or Higher

17

19,604 people over


16 years

54.2% (10,625
people)

$1,000.0)
$201,875.00

(79.7%)
$160,894.00

For every thousand dollars in median income that Zanesville is able to raise for
individuals with a high school degree or better the city will net an additional
$160,894 in city funds to provide for needed services. If the city was able to raise
median income level for only 50% of the population in the labor force (versus 80%)
they would raise $100,937. A small change in median income results in extra
revenue for the city and, more importantly, an increased standard of living for our
citizens.
Zanesvilles low purchasing power is partly due to the fact that it has a high
concentration of poverty but other factors are at play. As shown in the following
table Zanesville has the lowest percentage of individuals who are in the labor
market (54.2%) once Athens and Oxford (college towns) are removed. With less
people working and contributing to the economy Zanesville has less people with
disposable income to buy goods as consumers.
City
Athens
Oxford
Zanesville
Chillicothe
Trotwood
Xenia
Alliance
Centerville
Marysville
Wooster

Population 16
years +
22,720
20,470
19,604
17,642
19,807
19,846
18,095
19,810
17,397
21,289

All Sample Average


Appalachia
Sub Sample Average
Ohio Average

1,572,996

% in Labor
Force
50.7%
50.9%
54.2%
55.2%
57.8%
58.3%
58.5%
58.7%
59.8%
61.3%
62.9%

Unemployment
Rate5
12.6%
6.8%
13.3%
17.5%
14.6%
10.9%
15.7%
7.2%
7.4%
6.5%
9.9%

58.6%
59.3%
63.9%

8.9%
13.8%
10.0%

One bright spot from this data is that Zanesvilles unemployment rate is not as high
as some of its peers in the sub sample. However, it should be noted that the
unemployment rate is based on the number of people actively seeking work and
does not include individuals who have given up on finding a job or workers who are
5 U.S. Census Bureau, 2013 American Community Survey (for pop 16+, % in labor
force, unemployment)

18
in part time positions but want full time. There are also a number of people who are
on government assistance, work under the table or stay at home with their families
instead of placing young children in daycare. Based on the low percentage of active
labor force participation it can be assumed that Zanesville has a higher
unemployment rate than officially recorded. It is likely that many of the other
bottom 10 cities in labor force participation are also experiencing the same
problems or scenarios.

Educational Attainment Levels


Zanesvilles chronic poverty, unemployment and labor force participation can be
partially explained by the educational attainment levels of its residents. The jobs of
the past where a strong back and a limited education were enough to provide an
income large enough to support a family are long gone. Even manufacturing
companies are focusing more on hard skills such as math, technology and computer
skills to compete in a globalized market6.
Zanesville has the lowest percentage of its peers that graduated high school at
79.7%. 20% of adults over 25 years of age in Zanesville do not have a high school
diploma or GED7. There are 3% of adults who are over 25 years old that have less
than a 9th grade education and 17.3% of adults who got past the 9 th grade but did
not matriculate. This is 10.5% higher than the peer group as a whole and 8.8%
higher than the state average.

City
Zanesville
Sandusky
Chillicothe
Trotwood
Alliance
Sidney
Barberton

2013 Median
Income
$26,986.00
$35,776.00
$36,927.00
$36,277.00
$31,152.00
$43,347.00
$37,819.00

Pop 25
Years +
16,684
17,470
15,367
16,640
14,011
13,646
18,269

HS or Higher
(25 years +)
79.7%
83.1%
83.2%
83.5%
83.7%
83.9%
85.2%

6 The Manufacturing Institute, The Skills Gap in U.S. Manufacturing 2015 and
Beyond
7 U.S. Census Bureau, 2013 American Community Survey

19
Riverside
Garfield Heights
Xenia

$41,104.00
$42,511.00
$39,756.00

16,746
19,449
17,341

85.7%
86.2%
88.1%

All Sample Avg.

90.2%

Appalachia
Sub Sample Avg.
Ohio Average

85.5%
84.5%
88.5%

Zanesville has more than 20% of its adults without a high school diploma because
of the fact that the city has a significantly larger portion of adults who have dropped
out. The city has more than double the state and sample average and is still 5.5%
larger than the sub sample. Zanesvilles high drop out rate leads to reduced
educational attainment across the city and has a direct correlation to lower median
income. This may not be the schools fault. Zanesville is surrounded by poorer
communities and counties so it may be attracting adults with limited education who
view the city as an opportunity.
City
Zanesville
Barberton
Sidney
Trotwood
Sandusky
Alliance
Chillicothe
Garfield Heights
Troy
Maple Heights

All Sample Drop


Out Avg.
Appalachia Drop Out
Avg.
Sub Set Drop Out
Avg.
Ohio Drop Out Avg.

2013 Median
Pop 25 Years +
Income
$26,986.00
16,684
$37,819.00
18,269
$43,347.00
13,646
$36,277.00
16,640
$35,776.00
17,470
$31,152.00
14,011
$36,927.00
15,367
$42,511.00
19,449
$48,570.00
17,459
$36,664.00
15,612

9th grade + (no


degree)
17.3%
12.2%
12.2%
12.2%
12.2%
12.0%
12.0%
11.1%
10.1%
9.4%
7.4%

14.5%
11.5%
8.3%

20

Educational Attainment
50.0%
40.0%
30.0%
20.0%
10.0%
0.0%

Zanesville city, Ohio


Sample Average
Ohio Average

Zanesville has the 2nd lowest percentage of individuals with a Bachelors degree (7%)
and the 3rd lowest percentage of adults with an advanced degree (4.1%) within the
all sample category and trail throughout the sub set, Appalachia and Ohio average.
However, the news is not all bad. Zanesville is on pace for the Appalachian, sub
sample and Ohio averages for some college/associates degree category. Zanesville
is also home to a large number of institutions, such as law firms, universities and a
hospital that place a premium on higher education. It should also be noted that it is
possible that the city is a magnet for those with less education and that they
migrate and cluster here. If this is true it leads to the same end result: people with
education attainment and higher median wages leave to self-segregate themselves
from those with less income.
Highest
educational
attainment for
25 years old +
Less than high
school graduate
High school
grad
Some
college/associat
es
BA Degree or
higher

Zanesville

Sub Sample
Avg.

Appalachia

Ohio
Average

20.3%

15.5%

14.5%

9.1%

41.9%

40.3%

42.9%

32.6%

26.7%

29.0%

26.6%

30.9%

11.1%

15.1%

16.0%

27.2%

21
The highest level of education metric is correlated with labor force participation and
unemployment rates. One third of high school dropouts are unemployed in
Zanesville whereas only 7% of college educated adults are unemployed.
Zanesville
In Labor Force
Unemployment
Rate
Unemployed:
Less than HS
Grad
Unemployed:
HS Grad
Unemployed:
Some
College/Associa
tes
Unemployed
BA/BS +

54.2%
13.3%

Sub Smpl
Avg.
59.3%
13.8%

Appalachi
a
62.9%
9.9%

Ohio
Average
63.9%
10.0%

33.5%

25.6%

No data

20.4%

8.5%

12.1%

No data

10.4%

10.8%

10.7%

No data

8.4%

7.3%

6.1%

No data

3.6%

Based on this data one may assume that the labor force participation rates increase
with educational attainment. This is driven by the markets economic factors. If
you dont have a high school diploma or a GED it will be harder for you to find a job.
It is also evident in stronger markets with higher median household incomes that a
high school diploma does not necessarily increase the likelihood of obtaining gainful
employment, only that they dont drop out of the labor market as readily; this may
be because there is enough median pay to incentivize them to seek out work long
after a resident in Zanesville would resign themselves to defeat.
Home Values
In order for the City of Zanesville to collect more income tax dollars the city must
attract more high income jobs and individuals to live within city limits. Individuals
with high income levels and education generally locate in areas with good schools
for their children (or to make it easier to sell their property if they dont have kids).
Though the amount of money that the city collects on property is relatively small it
is a major source of funding for the schools. The low median income and the types
of jobs available in Zanesville effects home valuations. The low home values in turn
effects the amount of tax dollars that the school systems are able to be funded with
and can use to introduce more education to our current and future workforce.
Zanesville has the lowest percentage of home ownership in the comparable cities
sub sample (45%) and the lowest median value of owner occupied homes.

22

Home Ownership in Sub Sample


Home Ownership %

53.0%

$140,000

63.7%

58.8%

67.5%
51.9%

56.5%

63.3%
45.0%

$130,800

$120,000
$100,000
$80,000

$97,800
$86,800
$81,200

$98,400
$85,000$81,300
$76,200

$60,000
$40,000
$20,000
$0

Owner Occupied Homes Median Value

Part III:Employment Clusters


Industries in Muskingum County and Zanesville
Health care and education is the largest employment industry in Muskingum County.
This should not be a surprise; Genesis Healthcare and Zandex are major employers
(3,900 employees total in Zanesville) as are Zane State and Ohio University
Zanesville (360 employees total in Zanesville). These industries typically pay good
wages that are enough to sustain a family on. However, the next two highest

23
concentrations of industries, Retail Trade and Arts/Entertainment/Food Service pay
much less8.

Employed by Industry - Muskingum County


9,000
8,000
7,000
6,000
5,000
4,000
3,000
2,000
1,000
0

Though this information is for Muskingum County it was assumed that Zanesville, as
the areas largest city, is the economic driver. To determine if the cluster of Retail
and Food Service played a role in Zanesvilles low median income and high rates of
poverty I looked at the job openings for several days. The number and types of
openings remained relatively unchanged. Retail openings made up 29% of the job
openings, health care retailed fields were 29% and food preparation was 10% of the
available jobs within the city limits of Zanesville.

8
http://www.zmcport.com/ohio_distribution_center/competitive_advantages_musking
um_county.html

24

Most Common Job Openings in Zanesville


Food Prep; 4% LPN; 4%
Customer Service; 5%
Truck Driver; 23%
Cashier; 5%
Supervise Food Prep; 6%
Medical Records; 7%
Registered Nurse; 18%
Supervise Retail; 14%
Retail Sales; 15%

These jobs were then compared to both how much education was needed to
complete the job duties to see both how this affects pay and how well the market is
meeting the educational levels present. Though there are 169 jobs open that do not
require a high school diploma this does not meet the sheer number of adults that
are over 25 years old and do not have a diploma. However, there are more jobs
available for high school graduates (358) than there are for associates, trade,
bachelors, masters and doctoral degrees combined (306).

9 OhioMeansJobs, job search for jobs (FT, PT and Temp) within Zanesville

25

Number of Jobs by Education Level


400
350
300
250
200 169
150
100
50
0

358

101

70

70
12

Job Openings

53

The low number jobs that required advanced education (as typical for a knowledge
based economy) are shown in the distribution of pay ranges of open positions in
Zanesville.

Job Openings by Yearly Wage


50

58

Less than $30,000


251

$30 - $49,000
$50 - $79,000
$80 - $99,000

244

$100,000 +

230

Not all of the 833 jobs available on OhioMeansJobs were analyzed. A few of them
are repeated postings so the true number of jobs is actually lower. Instead, a
sampling was done of full time jobs by pay and education. The number of
individuals with the education levels to meet the minimum requirements and the
number of individuals within that category that are unemployed were analyzed.

26

1. The number of jobs paying $100,000 were typically in the medical field as
pharmacists, nursing home managers, physicians, etc. Genesis Hospital System
was the most common employer in this range. There were also a number of
postings for owner-operated CDL truckers which were the only position in this
category to not require an advanced degree. There was a greater emphasis on
education and less on experience at this level.
There were 58 jobs available at this pay range. Zanesville has 684 people with a
Masters Degree or higher. There is no data for unemployment rates for individuals
with degrees beyond the Bachelorette level.
2. Jobs that pay between $80 - $99,000 a year had some of the well-known
manufacturing establishments such as AK Steel, Owens Illinois and large household
names like Kelloggs and Nestle Purina in addition to Genesis and other health care
organizations. Some of the jobs were willing to substitute significant experience
levels for a college degree but most expressed a desire for the degree in addition to
a number of years of experience. Many of these jobs required the supervision of
subordinate workers.
There were 50 jobs available at this pay range. Zanesville has 1,168 people
with a Bachelors Degree. The unemployment rate for individuals with a Bachelors
Degree is 7.3% in Zanesville or about 85 people.
3. The upper middle income jobs ($50 - $79,000/year) were mainly concentrated in
sales, nurses and non-owner operated CDL truck drivers. Many of these jobs also
had a requirement for continuing education such as a bachelors degree. Other jobs
were skilled laborers with several years of experience such as journeymen
millwrights and journeymen electricians or diesel mechanics.
There were 244 jobs available at this pay range. Zanesville has 1,168 people
with a Bachelors Degree who could possibly apply based on education. The
unemployment rate for individuals with a Bachelors Degree is 7.3% in Zanesville or
about 85 people. There are more jobs than candidates who meet the educational
requirements.
4. The middle income openings ($30 - $49,000/year) started to include a
requirement for a high school diploma with a general preference or requirement for
education beyond high school with either an Associates Degree, certification,
licensure or a significant amount of experience. Companies such as VDS,
Speedway, Advanced Auto Parts and health care companies were looking for LPNs,
customer service positions, medical coders, mechanics and retail or restaurant
managers. Manufacturers such as AK Steel and Owens Illinois also had openings at
their plants.

27
There were 230 jobs available at this pay range. Zanesville has 4,454 people
that could qualify based on only education for these openings. 1,251 people have
an Associates Degree and 3,203 have some college. The unemployment rate for
individuals with some college or an Associates Degree is 10.8% in Zanesville or 481
citizens. There are more unemployed individuals at this level than job openings for
individuals with an Associates/some college. The unemployment rate for individuals
with a high school degree is 8.5% or about 594 people, again exceeding the job
market demand.
5. The entry level jobs all paid below $30,000. This category had the largest
amount of openings. Many of the jobs were in retail or fast food although there
were occasional positions at major employers such as Genesis Healthcare. Job titles
included retail sales, cooks, cashiers, drivers, security officers and bank tellers.
Many of the jobs were part time. Most of these jobs had a preference for a high
school degree although there were a few that did not make it a requirement of the
position.
There were 251 jobs available in this pay range. Zanesville has 6,990 people
with a high school diploma. There are also 500 people who are over 25 years old
who have less than a 9th grade education and 2,886 people who have above a 9 th
grade education but did not get a GED or diploma. The unemployment rate for
individuals with a high school diploma/GED is 8.5% (594 people) and the
unemployment rate for individuals without a high school diploma/GED is 33.5% or
about 3,308 people, far exceeding market demand.

Job Openings by Education Level


3500
3000
2500
2000
Number Unemployed

1500
1000
500
0
Bachelor

Assoc/Some College High School

< High School

28
The data clearly shows that there is a challenge in finding jobs for residents of
Zanesville in all educational attainment levels except for Bachelor Degree holders
(data is not available for individuals with a Masters, Juris Doctorate, PhD or
Doctorate). This is not to say that just because someone has a Bachelors Degree or
higher that they are guaranteed a job in Zanesville. Some degrees, such as a
medical related degree, are in much higher demand than a liberal arts degree. The
reader should also not assume that just because the unemployment rate for
individuals without a high school diploma is extraordinarily high that they are not
earning an income. Crime statistics in Zanesville would suggest that a number of
these individuals are involved in black market activities and not a typical 9-5 job.
Lastly, it should be stated that the unemployment rate may be higher than
reported. There may be people who would like a full time job but settled for part
time work, became discouraged from looking for full time employment or are still
suffering the effects of the recession. This also directly effects the amount of
payroll taxes the city is able to collect.

Ohio Average Earnings by Education Level


Grad/Professional

$63,292

BA

$48,549

Some College/Assoc

$32,330

HS Grad
< High School
$0

$27,427
$18,797
$10,000 $20,000 $30,000 $40,000 $50,000 $60,000 $70,000

For every employed individual who works in Zanesville at the Ohio average for that
level of education the City of Zanesville collects the following levels of income tax.
Educational
Attainment
< High School
HS Grad
Some College/Assoc
BA
Grad/Professional

Avg. Ohio Yearly


Wage
$18,797
$27,427
$32,330
$48,549
$63,292

City 1.9% Income


Tax
$357.14
$521.11
$614.27
$922.43
$1,202.55

% of Labor Force
20.3%
41.9%
26.7%
7.0%
4.1%

The value of education, beyond the income tax collections, can also help improve
the citys unemployment and labor force participation issues. Below is the US
average unemployment by educational level:

29

Avg. US Unemployment by Education


< High School
High School
5% 5%
8%
9%

Certificate/ Some College


26%

Associates
Bachelor
Master

13%

Professional

18%

Doctorate

16%

The rates of unemployment and the educational attainment of our residents helps
determine what kind of industries the City of Zanesville can expect to support,
attract and retain. Zanesville is attracting a high number of trucking/warehousing
positions, food preparation and arts and entertainment jobs when compared to the
sub set cities. We are behind in production jobs (manufacturing), management and
office support positions. The median wage is for all of America and is not localized.
Industry
Type

Material
Moving

Zanesvil
le
More/Le
ss?
More

Amt
.

Bottom
10%
Wage

Median
Wage(5
0%)

Industr
y

Job Title
Example

+22
2

$8.71/hr
$18,120
/yr

$14.20/h
r
$29,530/

Truckin
g/
Warehs

Truck
Driver/Packager

30

Food
Preparatio
n
Arts &
Entertain
ment

More

+10
2

More

+70

Managem
ent

Less

-200

Office
Admin. &
Support

Less

-289

Productio
n

Less

-337

$7.97/hr
$16,580
/yr
$9.71/hr
$20,200
/yr
$22.33/
hr
$46,440
/yr
$9.37/hr
$19,480
/yr
$9.22/hr
$19,180
/yr

yr
$9.20/hr
$19,130/
yr
$21.72/h
r
$45,180/
yr
$46.75/h
r
$97,230/
yr
$15.64/h
r
$32,520/
yr
$15.25/h
r
$31,720/
yr

e.
Fast
Food/Re
st
News/T
V/
Radio

Waiter/Cook/Fast
Food Supervisor
Fine Artists/
Photography

General

Manager/Administr
ator

Banks/
Hospital
s

Clerk/Secretary/
Assistant

Manufa
ct.

Assembler/Operato
r/
Technician

The median wages in the areas where Zanesville outpaces the sub set cities are
lower than where it is behind. Lets see what the income tax collections would be
for an individual in these markets at the U.S. median wage level.
Industry

Material Moving
Food Preparation
Arts &
Entertainment
Management
Office Admin &
Support
Production

Median Wage

1.9% Income Tax

$29,530/year
$19,130/year
$45,180/year

$561.07
$363.47
$858.42

Tax Revenue
Amt. if at
Subset Avg
$124,542
$37,073
$60,089

$97,230/year
$32,520/year

$,1847.37
$617.88

$369,400
$178,567

$31,720/year

$602.68

$203,103

31

Zanesville Across All Industry Types

Industry
Aged 16 +
Management
Business/Financial
Ops
Computer/Math
Architect/Engineering
Life Science
Community/Social
Services
Legal
Education
Arts/Entertainment
Health Care (TTL)
Protective Service
Food Prep
Bldg/Grounds
Personal Care
Sales
Office Admin
Agriculture
Construction/Extractio
n
Install/Maintain/Repair
Production
Transportation
Material Moving

Sub Set
Avg
Employe
d
9,983
663

Zanesvi
lle
Employ Varianc
ed
e
9,195
-788
463
-200

216
114
137
44

223
159
111
21

7
46
-26
-23

183
62
415
94
929
218
863
458
311
1,089
1,474
6

160
102
344
164
959
49
965
451
372
1,064
1,185
60

-23
40
-71
70
31
-169
102
-7
61
-25
-289
54

461
375
1,047
462
336

428
231
710
417
557

-33
-144
-337
-45
222

Two-thirds of the areas where Zanesville has the most job growth, material moving
and food preparation are areas with very limited wealth generation potential as
shown in the median wage analysis. However there are areas where individuals
with low educational levels can still earn a decent wage. The Ohio Department of
Job and Family Services tracks job growth and predicts the need for a variety of

32
careers throughout the state10. The following table highlights some areas Zanesville
could capitalize on in the current market by educational level.

Educational
Level

Title

OH
Average
Yearly
Openings

2013 OH
Median
Wage/Hour

Yearly

< High
School
High School

Construction
Labor
Machinists

1,205

$17.56

937

$18.22

Supervise
Office / Admin
Asst.
Manufacturin
g Sales Reps
Bookkeeping /
Accounting
Clerks
LPN

1,413

$22.62

$36,524.8
0
$37,897.6
0
$47,049.6
0

1,386

$24.59

1,100

$16.89

1,886

$19.29

Truck Driver

1,684

$18.14

629

$20.29

HS w/ Job
Training

Non-degree
Programs

Some College
w/ Job
Training

Computer
User Support
Specialists

Income
Tax
Rate
Collecti
on
$693.97
$720.05
$893.94

$51,147.2
0
$35,131.2
0

$971.79

$40,123.2
0
$37,731.2
0
$42,203.2
0

$762.34

$667.49

$716.89
$801.86

Zanesville already has the educational infrastructure in place to take advantage of


many of these high growth job classifications.
Zane State
There is a 1 year program in Accounting/Bookkeeping at Zane State for high school
graduates who want only a little extra education to move up the economic ladder.
Zane State also offers a 1 year academic plan for general office specialist and a 2
year associates program for administrative office assistant. Lastly, for individuals
with some college education that want to transform to a computer user support
specialist there is the option of a technical services major. There is also a one year
10 2012 2022 Snapshot of Occupational Projections

33
program for retail sales that could use many of the same fundamentals for a
manufacturing sales representative.
Mid-East Career and Technical and Ohio University Zanesville
For individuals with less than a high school education who would like to pursue a
career as a construction laborer there is a 10 hour OSHA training for construction
and general industry at Mid-East Career and Tech. There is also a 6 month Class A
Commercial Drivers License program. For individuals who want to become a
Licensed Practical Nurse (LPN) Mid-East Career and Tech offers the option of
attending a yearlong program. If an individual wants to go farther up in their career
and transform from an LPN to an RN for more earning potential the Ohio University
Zanesville campus has an advanced placement program for individuals with an LPN
licensure.

Zanesville Primary and Secondary Education


The Zanesville Board of Education system has a strong set of leaders who realize
the important purpose that they have in the development of the community at large
and the next generation of Zanesvilles workforce. A recent meeting with some of
the key personnel proves that they are aware of the unique opportunities and
challenges that are confronted by the workforce and are developing programs to
address them. For example:

The school district would like to develop a list of businesses that are
interested in creating internships and job shadowing opportunities.
The district is also attempting to develop a teachers program where they look
at the types of jobs that are available regionally and then teach their
students that there are other options besides attending college.
The Superintendent discussed a pilot program that he used with great
success in another county with an engineering co-op to get students to gain
real world experience and allow employers to actively recruit individuals with
the skills they need to remain competitive.

The school system is also taking a role in the education of adults. They have
developed a curriculum for adults without a degree to pursue a High School
Diploma. They are also addressing adult literacy rates in a non-threatening, private
atmosphere. These are all important steps that can be taken to help address some
of the issues identified in this report and also shows a sign of a great partnership.

34

Age Distribution in Zanesville


Given Zanesvilles top tapestry segmentation of small town simplicity, a majority of
which are 55 years and older, you would think that the city would skew towards a
greater concentration of the elderly. In fact, Zanesvilles largest percentage of
adults is within the 20 29 age grouping. This is also a good time for most
individuals to go back to school because its not too late to get a good return on the
cost of education as there are many more productive years of working ahead. In
fact, Zanesville has on average a much younger population than its peer cities in
the subset which tend to be older.

35

Age Distribution in Zanesville


16.0%
14.0%
12.0%
10.0%
8.0%
6.0%
4.0%
2.0%
0.0%
15- 19

20 - 29

30 - 39

40 - 49

50 - 59

60 - 69

70 +

Percentage of Working Age Ranges Within City


Zanesville Sub Set Avg.
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
200.0%
200.0%
200.0%
200.0%
200.0%
200.0%
300.0%
300.0%
300.0%
300.0%
300.0%
300.0%
400.0%
400.0%
400.0%
400.0%
400.0%
400.0%
500.0%
500.0%
500.0%
500.0%
500.0%
500.0%
600.0%
600.0%
600.0%
600.0%
600.0%
600.0%
700.0%
700.0%
700.0%
700.0%
700.0%
700.0%
800.0%
800.0%
800.0%
800.0%
800.0%
800.0%
8.3%
7.6%
6.9%
6.9%
6.8%
6.8%
6.5%
6.4%
6.0%
5.9%
5.9%
5.8%
5.5%
5.4%
5.2%
5.0%

25 - 29

30 - 34

35- 39

40 - 44

45-49

50 - 54

55 - 59

60 - 64

Conclusion
Zanesville is behind its peer groups in nearly every category regardless if you were
to compare the city to the State of Ohio as a whole, Appalachian Ohio, cities of
similar size or cities with similar population and poverty levels. Our job market both
drives low educational attainment and pays little dragging down our median wage
and the citys ability to maximize income tax to provide expanded services. The job

36
classifications where Zanesville is ahead of its peers are areas that dont provide
enough, on average, to make a dent in our persistent poverty levels or create
wealth.
However, all is not hopeless. We are not the first or the last community to confront
these types of challenges. A 1% change in the top tapestry from Hardscrabble Road
to Salt of the Earth is not only possible but an achievable goal with the help of the
community. Zanesville must be able to compete and to do so the community must
acknowledge the issue and come together to develop a solution to these problems
(though suggestions will be included in future papers). The data points out that the
completion or attainment of a high school diploma or GED results in lower
unemployment rates, an increase in the number of adults participating in the
workforce the median income of Zanesville would increase in tandem. As shown in
the purchasing power section even increasing the median income by only $1,000
results in a large deposit in the citys general fund. By changing just 1% of
Zanesvilles tapestry segment from Hardscrabble Road to Salt of the Earth everyone
in Zanesville from the residents to the city budget will have extra money to play
with.
This paper is designed to not only inform leaders but also allow them to set realistic
goals. For example, Zanesville could have the following goals:

By the year 2020 Zanesvilles median income will surpass Alliances median
income adjusted from 2013 dollars. This not only increases the standard of
living for our residents but also results in approximately $643,500 in
additional income tax collections.
Zanesville recognizes that it is at the state average for the number of
individuals who possess either some college or an Associate degree. The city
will work with its economic development partners, such as the Chamber of
Commerce and the Port Authority, to attract jobs that fit this educational
demographic to increase the standard of living for our residents and
encourage a more educated workforce.
Zanesville will identify a high growth industry that requires only some college
or an Associate degree with business spin off potential and aggressively
pursue a strategy to attract this industry. We will also partner with the
education system to ensure that the workforce is being adequately trained
for these positions.

There is enough data in this report for anyone to make some strong conclusions and
set realistic goals for where we want to be as a city in the future. Additional papers
will discuss ideas, strategies and programs that will allow Zanesville to be able to
compete on a larger scale and improve the quality of life for its residents but first it
must recognize that there are workforce challenges ahead.

37

Appendixes

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