10
Alabama Business
Redefining Alabama’s
Rural Landscape:
The New Micropolitan Areas
Categorization of an area as urban or
rural can be an important concern with
respect to perceptions of economic vitality and development potential. Census
Bureau definitions of urban and rural,
officially made at the block level based
on population density, are generally
overlooked as too complex. A more useful measure from a statistical standpoint
is identification at the county level as a
member of a metropolitan area or not as
a proxy for urban and rural. But this distinction has been blurred by the addition
of some very “rural” counties to metropolitan areas in the post 2000 Census
redefinition that dropped the requirement of “metropolitan character.” In
any case, the large group of nonmetropolitan counties exhibit a very diverse set
of characteristics and assets.
The new micropolitan designation recognizes nonmetro (rural) diversity by introducing an intermediate level of urbanization. Both metro and micro areas are
built around the concept of a core city,
but while metro area cores must have at
least 50,000 residents, core cities of
micro areas range in size from 10,000 to
49,999 people. Despite their smaller
size, the core cities of micropolitan areas
serve many of the same functions as
their metropolitan counterparts, providing jobs, retail, and services for an area
which may extend outside their county.
All metro and micro areas are based on
county geographies for simplicity and
statistical reasons. Functional relationships are defined solely by commuting
patterns—if 25 percent or more of the
residents of an adjoining county travel
into a core county to work, that county
is included in the metro or micro area.
Metro area designations, of course, take
precedence over micros.
Counties which are neither metropolitan
nor micropolitan can be designated nonmetro noncore. The Economic Research
Service of the U.S. Department of
Agriculture further divides nonmetro
noncore counties by whether they are
adjacent to a metro or micro area, as this
is likely a positive indicator of development potential. Lacking a sizeable
city and convenient access to jobs,
deeply rural nonmetro noncore nonadjacent counties more often face
population out-migration and economic distress.
Alabama’s New Patchwork
Thirteen micropolitan areas encompassing 15 Alabama counties have
been designated by the U.S. Office of
Management and Budget as of
February 2004. These areas were
home to almost 822,500 Alabamians
on July 1, 2003, or 18.3 percent of
the state’s population. Alabama’s
metropolitan areas were also redefined. While the state kept the same
11 metro areas, the composition of
five changed: Baldwin County was
removed from the Mobile MSA to its
own micro status;
Lowndes County was
Alabama Micropolitan Area Population, 2000 to 2003
added to Montgom2000
2003
Change 2000-2003
ery; Greene and Hale
Micropolitan Area Census
Estimate
Number
Percent
were added to the
Tuscaloosa MSA;
Albertville
82,231
83,698
1,467
1.8%
Alexander City
53,675
52,264
-1,411
-2.6%
Walker, Chilton, and
Cullman
77,483
78,270
787
1.0%
Bibb joined the
Daphne-Fairhope
140,415
151,831
11,416
8.1%
Birmingham metro
92,744
93,923
1,179
1.3%
area; and the Dothan Enterprise-Ozark
Eufaula, AL-GA
29,038
28,816
-222
-0.8%
MSA was redrawn to
Fort Payne
64,452
66,469
2,017
3.1%
include Henry and
Scottsboro
53,926
53,801
-125
-0.2%
Geneva counties,
Selma
46,365
44,977
-1,388
-3.0%
while losing Dale to
Talladega-Sylacauga
80,321
79,928
-393
-0.5%
the Enterprise-Ozark
Troy
29,605
29,276
-329
-1.1%
Tuskegee
24,105
23,449
-656
-2.7%
micro area.
Valley
36,583
35,751
-832
-2.3%
Since 1970, the major- Source: U.S. Census Bureau and Center for Business and Economic Research,
The University of Alabama.
ity of Alabama’s population has resided in Note: Census population is as of April 1 while estimates are as of July 1.
the metro areas.
Alabama Population by Type of Area, 2000 to 2003
Increases in the
number of metro
Percent
Share of
area counties as
2000
2003
Change
State
well as patterns of
Type of Area
Census
Estimate
2000-2003
2003
population growth
Metropolitan
3,083,497
3,134,128
1.6%
69.6%
have pushed the
Micropolitan
810,943
822,453
1.4%
18.3%
share of total popNoncore
552,660
544,171
-1.5%
12.1%
ulation residing in
4,447,100
4,500,752
1.2%
100.0%
a metropolitan area Total
from 52.3 percent
Source: U.S. Census Bureau and Center for Business and Economic Research,
in 1970 to 69.6
The University of Alabama.
Note: Census population is as of April 1 while estimates are as of July 1.
percent in 2003.
Adding the 18.3
percent of population in the newly-desig- percent of Alabamians residing in a rural
nated micropolitan areas leaves just 12.1
area as defined by the nonmetro noncore
Alabama Business
concept. This was the only segment of
the state to lose population between
Census 2000 and July 1, 2003.
Alabama Micros: A Diverse Group
Alabama’s micropolitan areas comprise a
diverse group of counties largely in the
central to eastern half of the state. All
15 counties adjoin at least one metropolitan county. Yet these counties have
attained micro status by creating their
own economies in the shadows of their
larger neighbors. The micro areas vary
greatly in population size. DaphneFairhope is by far the largest—its 2003
population of 151,831 ranks it ahead of
six of Alabama’s metros in population.
In fact, of 573 micro areas nationwide,
this Baldwin County micro ranks as the
ninth largest based on 2000 population.
With just 23,449 residents in 2003,
Tuskegee is the state’s smallest micro.
While the micropolitan counties do not
offer quite as many nonagricultural jobs
as the number of employed residents,
most of them come close. And many
are benefiting from the state’s growing
automotive manufacturing and supplier
industries. The Talladega-Sylacauga
micro is home to the Honda vehicle
assembly plant, while 10 of the 15
micros counted at least one Tier One to
Tier Four supplier, for a total of 44 supplier plants, in 2003. This number is
growing as new Hyundai suppliers in the
micropolitan counties bring their plants
to completion.
Unemployment
across the micro areas
was mixed in August
2004. Seven fell at or
below the state’s 6.0
percent average. But
three micros—Selma,
Tuskegee, and Valley—
faced double-digit
unemployment. The
Selma micropolitan
area should see
improvement in their
job picture as several
Hyundai suppliers
complete plants in
the area. But other
micro areas face the
uncertain future
engendered by an economy still dominated by textiles and/or apparel—this is
particularly true of Valley, Alexander
City, Fort Payne, and Scottsboro. The
poultry industry figures prominently in
the economies of the Albertville,
Enterprise-Ozark, Eufaula, and Fort
Payne micropolitan areas. But in many
of Alabama’s 13 micros, health services
and education are also prominent economic components.
11
using data on population growth, high
school and college graduates, median
household income, poverty, unemployment, and job growth. Five of the counties that make up Alabama’s micropolitan areas ranked in the top third of the
state’s 67 counties on the composite
index, including Baldwin (2), Coffee
(13), Cullman (14), Marshall (15), and
Dale (22). Jackson, DeKalb, and Tallapoosa counties ranked in the mid-20s,
while Talladega, Barbour, and Pike also
fell in the middle third. But Coosa,
Macon, Chambers, and Dallas counties
placed in the lowest third on economic
vitality in 2003 on the basis of factors
including population losses and weak job
growth.
Implications of Micropolitan
Area Status
Beginning in 2005, information will begin to be tabulated for the new micropolitan areas. Statistics available will
include data on personal and per capita
income from the Bureau of Economic
Analysis (BEA), the Department of
Housing and Urban Development
(HUD)’s median family income, and
employment and unemployment data
from the Bureau of Labor
Micropolitan Area
Statistics (BLS), to cite a few
Per Capita Income, 2002
examples. And while the
Office of Management and
Albertville
$24,172
Budget (OMB) cautions that
Alexander City
$21,996
metro and micro areas are
Cullman
$23,262
not intended as a framework
Daphne-Fairhope
$27,224
Enterprise-Ozark
$23,852
for nonstatistical activities
Eufaula
$20,608
such as program funding,
Fort Payne
$22,068
the micropolitan designation
Scottsboro
$21,802
should allow these areas to
Selma
$20,589
apply for some metropoliTalladega-Sylacauga
$22,134
tan-based federal and state
Troy
$23,662
aid.
Tuskegee
$16,728
Some of Alabama’s
micros are vibrant,
growing economies.
For the first half of
2004, six micros had
at least four new and
expanding industry
announcements.
These include Albertville, Cullman,
Daphne-Fairhope,
Fort Payne, Scottsboro, and TalladegaSylacauga. And
Valley
$22,141
Alexander City,
Implications for the new
Alabama
$25,548
Enterprise-Ozark,
micropolitan areas go far
Source: U.S. Bureau of Economic
and Selma each rebeyond the convenience of
Analysis.
ported one or two
statistical data and access to
industry locations or
government funding, however. The 15
expansions. However, income has gencounties that comprise Alabama’s 13
erally lagged, with just the Daphnemicropolitan areas have been elevated
Fairhope micro exceeding the state’s per
from a background status of generic noncapita personal income of $25,548 in
metropolitan to the quasi-metro fore2002.
ground. Their visible recognition as centers of local economic activity can serve
The Economic Development Institute at
as a useful tool for further economic
Auburn University recently ranked Aladevelopment.
bama counties on economic vitality
Carolyn Trent