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3 <br /> Attachment 1 <br /> Method For Establishing the Living Wage <br /> In establishing the Living Wage for Orange County employees effective July 1, 1998, the <br /> Board, based the wage amount on the Federal Poverty Level for a family of four as <br /> adjusted for the Raleigh —Durham Region using the American Chamber of.Commerce <br /> Research Association's Cost of Living Index. <br /> Chart 1 below shows the Federal poverty levels, adjusted for the Raleigh-Durham region <br /> cost of living in 1997 and 1999. The index for the Raleigh-Durham region includes Chapel <br /> Hill. In 1997, the Raleigh-Durham region cost of living index was at 103.0 percent of the <br /> national average. In 1999 it is 101.8 percent of the national average. <br /> Chart 1 - Health and Human Services Poverty Guidelines <br /> Adjusted for Raleigh-Durham Region Cost of Living (Wage per Hour) <br /> Number in 1997 1999 <br /> Family <br /> 1 $ 3.90 $ 4.03 <br /> 2 $ 5.25 $ 5.41 <br /> 3 $ 6.60 <br /> 4 $ 7.94 $ 8.17 <br /> 5 $ 9.29 $ 9.56 <br /> For information, Chart 2 below shows the unadjusted Federal poverty guidelines. These <br /> establish the annual earnings needed for a family of a specific size to meet the threshold, <br /> assuming a single wage earner and 2,080 working hours (40 hour work schedule) <br /> annually, <br /> Chart 2 - Health and Human Services Poverty Guidelines <br /> Minimum Hourly Wage <br /> Number in Family 1997 1999 <br /> 1 $ 3.79 $ 3.96 <br /> 2 $ 5.10 $ 5.32 <br /> 3 $ 6.41 $ 6.67 <br /> 4 $ 7.71 $ 8.03 <br /> 5 $ 9.02 $ 9.39 <br /> In deciding to use the cost of living adjusted Federal poverty level for a family of four, the <br /> Board of Commissioners had looked at information provided by the Orange County <br /> Department of Social Services on the size of families needing temporary assistance. <br /> Chart 3 below shows the updated information. <br />