COST OF LIVING INDEX QUARTERLY UPDATE

Among the 261 urban areas that participated in the third quarter 2016 Cost of Living Index, the after-tax cost for a professional/managerial standard of living ranged from more than twice the national average in New York (Manhattan) NY to almost 25 percent below the national average in McAllen, TX. The Cost of Living Index is published quarterly by C2ER – The Council for Community and Economic Research.

The Ten Most and Least Expensive Urban Areas in the Cost of Living Index (COLI) Third Quarter 2016 National Average for 261 Urban Areas = 100 Most Expensive Least Expensive COL COL Ranking Urban Areas Index Ranking Urban Areas Index 1 New York (Manhattan) NY 232.0 1 McAllen TX 76.4 2 Honolulu HI 188.5 2 Harlingen TX 78.5 3 San Francisco CA 181.9 3 Richmond IN 80.4 4 New York (Brooklyn) NY 177.0 4 Kalamazoo MI 80.6 5 Orange County CA 153.0 5 Tupelo MS 81.3 6 Oakland CA 152.4 6 Conway AR 81.6 7 Washington DC 151.6 7 Wichita Falls TX 81.6 8 Hilo HI 147.2 8 Cleveland TN 81.7 9 Boston MA 146.4 9 Martinsville-Henry County VA 81.8 10 San Diego CA 145.7 10 Knoxville TN 82.7

The Cost of Living Index measures regional differences in the cost of consumer goods and services, excluding taxes and non-consumer expenditures, for professional and managerial households in the top income quintile. It is based on more than 90,000 prices covering 60 different items for which prices are collected quarterly by chambers of commerce, economic development organizations, and university applied economic centers in each participating urban area. Small differences should not be interpreted as showing a measurable difference.

The composite index is based on six component categories – housing, utilities, grocery items, transportation, health care, and miscellaneous goods and services.

What Do Groceries Cost? Each quarter, C2ER collects more than 90,000 prices from communities across the US for the Cost of Living Index. With food prices a big part of the national media attention, C2ER decided to once again feature those communities with the most and least expensive food costs as measured by the grocery item index number. C2ER collects data on twenty-six items from a variety of surrogate categories to represent the grocery item component of the index. The Five Most and Least Expensive Places for Grocery Items by Index Number in the Cost of Living Index (COLI) Third Quarter 2016 Average for 261 Urban Areas = 100 Most Expensive Least Expensive Ranking Urban Areas Index Ranking Urban Areas Index 1 Honolulu HI 161.8 1 Temple TX 77.5 2 Kodiak AK 154.3 2 Jackson-Madison County TN 77.7 3 Hilo HI 146.6 3 McAllen TX 80.7 4 Juneau AK 141.4 4 Waco TX 80.8 5 Anchorage AK 136.2 5 Harlingen TX 81.6

The Most Expensive and Least Expensive Cities to Buy One Dozen Eggs

In recent months we have watched the price of one dozen eggs significantly drop in some areas of the country. Whether your favorite style is boiled, deviled, scrambled, or poached, see the chart below for the most and least expensive cities to buy one dozen, large, Grade-A eggs in the U.S.

The Five Most and Least Expensive Places to Buy Gasoline Third Quarter 2016 Average for 261 Urban Areas = $1.60 Most Expensive Least Expensive Ranking Urban Areas Avg. Price Ranking Urban Areas Avg. Price 1 Hilo HI $ 4.14 1 Rockford IL $ 0.89 2 San Francisco CA $ 4.07 2 Norman OK $ 0.90 3 Oakland CA $ 3.99 3 Oklahoma City OK $ 0.91 4 Charlottesville VA $ 3.07 4 Danville IL $ 0.92 5 Honolulu HI $ 3.01 5 Fargo-Moorhead ND-MN $ 0.93

The quarterly Cost of Living Index is available by subscription for $175 per year for the print version and $165 per year for the PDF. The electronic version is available for $275 per year. Be sure and ask about our new Expanded Excel version which covers more household and income types. Send check, payable to C2ER, P.O. Box 100127, Arlington VA 22210-0407, or subscribe on the Internet at www.coli.org.

If you need additional information on the Cost of Living Index or other COLI-related products such as the COLI Web Calculator and the COLI Historical Index, please contact Jennie Allison at jallison@crec.net or by phone at 703-522-4980.