This Town Has Been Named the Poorest in Oregon

Prineville, Oregon, stands as the state’s poorest town based on recent economic analyses highlighting low median incomes, high poverty rates, and limited educational attainment. Nestled in Crook County amid central Oregon’s high desert, its struggles reflect broader rural challenges like job scarcity and outmigration.

This article explores Prineville’s economic woes, historical context, and recovery efforts as of early 2026, drawing from U.S. Census data and state reports.​

Economic Indicators and Poverty Metrics

Prineville tops lists as Oregon’s poorest municipality, with a median household income around $45,000—well below the state average of $76,000 and national figure of $74,000. Poverty affects over 25% of residents, double Oregon’s 12% rate, per 2025 updates from the American Community Survey. Less than 11% of adults hold bachelor’s degrees, correlating with reliance on low-wage sectors like retail and agriculture.​

Unemployment hovers at 6.5%, exacerbated by mill closures and seasonal timber work. Housing costs, while lower than Portland’s, consume 35% of incomes, pushing ALICE households (Asset Limited, Income Constrained, Employed) to 42% statewide, with Crook County hit hardest. Food insecurity impacts 18% of kids, ranking Prineville in Oregon’s distressed areas list through January 2026.​

Historical Context and Decline

Once booming from ranching, logging, and sheep herding in the early 1900s, Prineville earned the nickname “Hub of Central Oregon” with railroads spurring growth. The 1980s timber bust decimated jobs, dropping population from 6,000 to stagnant levels around 10,500 today. Data centers from Meta and Apple arrived post-2010, injecting $100 million annually but benefiting skilled workers over locals.​

Pandemic recovery stalled rural gains; 2025 inflation outpaced wages, with per capita income in Crook County lagging at $48,000 versus Oregon’s $62,000. Outflows of youth to Bend (30 miles away) hollow out the tax base, straining schools and services.​

Demographic and Social Impacts

Predominantly white (85%) with growing Latino (12%) and Native American communities, Prineville faces health disparities: opioid deaths 50% above state averages, limited clinic access. Single-parent households head 30% of poverty cases, per United Way’s ALICE threshold analysis. Crime rates, including theft, rose 15% in 2025 amid economic stress.​

Education gaps persist—Crook County High graduates 78%, trailing state 90%. Vocational programs target trades, but college attendance lags at 40%. Community food banks serve 1,200 monthly, underscoring reliance on pantries amid $7/gallon gas hurting commuters.​

Local Economy and Key Industries

Agriculture dominates with hay, cattle, and potatoes on 80% of land, but droughts cut yields 20% in 2025. Tourism via Prineville Reservoir draws anglers, generating $20 million yearly. Tech campuses employ 1,000 at $70,000 averages, yet spillover jobs remain scarce—retail pays $14/hour median.​

Renewables offer hope: wind farms added 200 jobs since 2023. Small businesses like Ochoco Lumber adapt via custom milling, but big-box arrivals undercut Main Street. Federal grants fund broadband expansion, vital for remote work in a town where 25% lack high-speed access.​

Government Response and Initiatives

Oregon’s Distressed Areas program channels $10 million yearly to Prineville for infrastructure, workforce training, and housing rehab. Crook County partnerships with Central Oregon Community College offer free certifications in welding and nursing. 2025 microloan programs seeded 50 startups.​

Nonprofits like Family Resource Center provide childcare subsidies, cutting absenteeism 30%. State incentives lure manufacturers, with a $50 million industrial park breaking ground in 2026. Metrics show modest gains: poverty dipped 2% since 2023, signaling tentative recovery.​

Challenges Ahead and Community Resilience

Climate volatility threatens farms, while Bend’s boom siphons talent. Housing shortages—median home $320,000—exacerbate affordability. Advocates call for diversified economies beyond tech enclaves.

Residents rally via events like the Crooked River Roundup, fostering pride. Success stories abound: local breweries export statewide, and art trails revitalize downtown. With federal infrastructure funds, Prineville eyes stability by 2030.​

Path to Prosperity

Targeted investments in education, renewables, and tourism position Prineville for rebound. Collaborative efforts mirror recovery in similar towns like Hermiston. Monitoring Census updates will track progress amid Oregon’s 42% ALICE crisis.

SOURCES:

1. https://www.unitedforalice.org/introducing-ALICE/oregon
2. https://worldpopulationreview.com/us-cities/oregon