2023 Census data: Oklahoma ranks as sixth poorest state

Lawmakers have options to improve Oklahomans' well-being, access to prosperity

Data from the Census Bureau's 2023 American Community Survey released Sept. 12 show that Oklahoma's poverty rate was 15.9 percent, which was the nation's sixth highest. The national poverty rate in 2023 was 12.5 percent, and Oklahoma's ranking among states worsened from eighth to sixth when compared with the 2022 data. The states with higher rates of poverty in 2023 were Louisiana (18.9 percent), Mississippi (18 percent), New Mexico (17.8 percent), West Virginia (16.7 percent), and Kentucky (16.4 percent).

The data show that poverty is especially concentrated for the state's children with 20.8 percent, or about 1 in 5 Oklahoma children living at or below the federal poverty level. For a family of three, this means the child lived in a household that earned $24,500 or less in 2023.

Oklahoma's child poverty rate increased from 19.7 percent to 20.8 percent in 2023, which is the nation's seventh highest. Children in our state are still experiencing poverty at rates well above the national average, which was 16 percent.

Not all Oklahomans are struggling equally. Black, Latino, and American Indian/Alaska Natives in Oklahoma are experiencing poverty at disproportionately higher rates than white families.

While the latest Census data highlight the significant financial needs for Oklahomans, state lawmakers have a number of policy solutions available to reverse the state's poverty trajectory. The governor's decision to push a statewide vote on minimum wage until 2026 essentially freezes any efforts on increasing income for the lowest-wage workers. However, lawmakers can still deliver relief to low- and moderate-income Oklahomans with targeted tax credits; make the tax system generally fairer; move to protect tenants and increase access to affordable housing; and invest in child care, paid family leave, public education, and other necessities for working families.

Not all Oklahomans bear the brunt of poverty equally

While an overall look at Oklahoma's poverty rate is concerning enough, a closer look at Oklahoma's poverty rates reveal that not all Oklahomans struggle equally with poverty. Black Oklahomans experienced a poverty rate of more than 1 in 4 (28.1 percent, up from 25.3 percent), and Latino Oklahomans reported a poverty rate of 21.5 percent, which is an increase from 21.3 percent in 2022. The poverty rate for American Indians/Alaska Natives in Oklahoma decreased to 19.8 percent when compared to 20.4 percent in 2022. More than 1 in 6 (18.7 percent) of Oklahomans of two or more races lived in poverty.

The rate of white Oklahomans who lived in poverty increased to 13.4 percent, up from 12.8 percent in 2022. Comparing these poverty rates along racial demographics makes clear that communities of color are over-represented in our poverty rates. We can see this higher concentration of poverty when considering that each of the communities with the highest rates of poverty only make up between 6 and 13 percent of the state's population.

Poverty is not only racialized but also gendered. Census data show that women are substantially more likely to live in poverty than men, largely due to having children. The poverty rate for women was 17.4 percent while it was 14.4 percent for men.

Disabled Oklahomans are also impoverished at higher rates, as the same disabilities that may limit their ability to work are rarely severe enough to qualify for government assistance. In 2023, a little over 1 in 5 (22.6 percent) disabled Oklahomans were experiencing poverty.

Health insurance data show gains, but thousands may lose coverage as pandemic coverage unwinds

Health insurance data paint a more promising picture with Oklahoma's uninsured rate dropping from 11.7 percent in 2022 to 11.4 percent in 2023. When combined with Medicaid expansion implementation in 2021, these actions pushed the share of people with health insurance coverage, both in Oklahoma and the U.S. as a whole, to record highs. It also provides a snapshot of health care access in Oklahoma prior to takeover of the state's Medicaid program by private health insurance companies. However, the 2023 health insurance data may show a slowing of the effects from pandemic-related Medicaid protections, which ended in the spring of 2023.

Oklahoma can improve economic security for families

The Census data make it clear that Oklahomans are facing disproportionally high poverty levels, but the state has been slow to pass legislation that can provide relief to everyday Oklahomans. In response to the stark differences in poverty between Oklahomans of different races and walks of life, the state could expand access to tax credits, avoid tax cuts that will make our tax code more regressive and disproportionality benefit the wealthiest Oklahomans, and pass significant reform around court fines and fees. Oklahoma can also pass common sense economic policies like raising the minimum wage, increasing access to child care, and passing a paid family medical leave program.

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