San Antonio’s Department of Human Services released its 2026 Status of Poverty report, confirming that the city’s poverty rate has remained flat at roughly 17% for the past ten years. The figure, based on the most recent U.S. Census data, still exceeds the state average of 13.8% and the national average of 12.5%.
ALICE metric reveals deeper financial strain
The report introduces a new measure – the ALICE (Asset Limited, Income Constrained, Employed) Threshold – to capture households that earn above the federal poverty line but cannot afford basic necessities. In Bexar County, 44% of households fall under this threshold, including 15% below the poverty line and another 29% living on the edge of financial stability.
“These are households that have an annual income above the federal poverty line, but they cannot afford — or they just can afford the basic necessities,” said Laura Serrano, chief of social demography for the department, during a briefing to the city’s health committee.
Comparisons with other Texas metros
San Antonio remains the second‑poorest large city in Texas, trailing only Houston, which posted a 19.9% poverty rate and similarly saw no meaningful decline over the last decade. Dallas, by contrast, recorded a 2.2‑percentage‑point drop in its poverty rate during the same period.
When viewed in a broader context, the San Antonio‑New Braunfels metropolitan area ranks as the third‑poorest large metro in the United States, behind only Houston and Detroit.
Policy recommendations amid budget constraints
City officials used the data to propose a set of recommendations aimed at directing limited resources toward the most vulnerable residents. The Department of Human Services urged city leaders to prioritize services based on vulnerability, expand public‑private partnerships, and strengthen collaboration with existing social‑service providers.
City Council members discussed the findings during a health committee meeting. Councilwoman Marina Alderete Gavito (District 7) emphasized the need to evaluate how the city funds local nonprofits, stating, “The city funds a lot of great nonprofits, but I think it’s time for us to take a step back and see how we’re moving the needle and making sure that our residents’ tax dollars are being used wisely and strategically.”
Councilwoman Teri Castillo (District 5) expressed concern over a recent shift in the city’s public‑housing strategy, noting that a decline in public housing could further burden families already facing cost‑burdened rent. “It seems we’re like arsonists and firefighters at the same time,” Castillo said, referencing the city’s plan to transition thousands of public‑housing units into a new model.
Looking ahead
The council will take the poverty report and its recommendations to a full City Council discussion later this year. Stakeholders hope that a data‑driven approach will help San Antonio address stagnant wages, rising housing costs, and the growing number of households living just above the poverty line yet still unable to meet basic needs.
Original reporting: San Antonio Report — read the source article.
