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Home My WebLink AboutFS 2012-01-18 Item 2C - Report - Sales Tax and Miscellaneous Revenue ReportCity of Tukwila TO FROM DATE Jim Haggerton, Mayor INFORMATIONAL MEMORANDUM Mayor Haggerton Finance and Safety Committee Peggy McCarthy, Interim City Administrator January 11, 2012 SUBJECT: Miscellaneous Revenue Report Sales Tax Collected in October 2011 Sales tax collections for October were $140K above the same month in the previous year and were $186K more than budget representing a 17.95% positive variance. Year -to -date, collections are 8.33% greater than budget and 8.16% greater than the prior year year -to -date collections. Excluding one -time money from new construction, collections are 4.41% ahead of last year's collections to date. Including mitigation payments, sales tax collections are currently at 107.53% of budget for the year. Schedule II shows the year -to -date sales tax from the top ten industry classifications. Electronics and Appliances had the highest year over year increase at $399,994 or 54 and Construction of Buildings had an increase of $268,438 or 59 The largest decline of $149,281 or 14.7% occurred with the Wholesale Trade, Durable Goods category. iR, Received in December 2011; Year -to -date Gambling and Admissions Tax Receipts Schedule I Sales Tax in 1,000's Sales Receipt 2010 2011 2011 2011 2011 Actual Over (Under) Estimate Month Month Actual Estimated Actual Constructior Month YTD Month YTD Jan Mar 1,034 1,080 1,039 54 (41) (41) -3.80% -3.80% Feb Apr 1,006 1,033 1,043 76 10 (31) 0.97% -1.47% Mar May 1,157 1,179 1,453 118 274 243 23.24% 7.38% Apr June 1,070 1,102 1,252 134 150 393 13.61% 8.94% May July 1,067 1,138 1,208 153 70 463 6.15% 8.37% June Aug 1,249 1,243 1,386 125 143 606 11.50% 8.94% July Sept 1,251 1,299 1,281 135 (18) 588 -1.39% 7.28% Aug Oct 1,216 1,176 1,216 108 40 628 3.40% 6.79% Sept Nov 1,357 1,185 1,327 125 142 811 11.98% 7.38% Oct Dec 1,082 1,036 1,222 145 186 987 17.95% 8.33% Nov Jan12 1,202 1,101 Dec Feb12 1,889 1,628 Totals 14,580 14,200 12,427 1,173 Mitigation Received 1,223 13,650 107.53% of Budget Incl. Mitigation Sales tax collections for October were $140K above the same month in the previous year and were $186K more than budget representing a 17.95% positive variance. Year -to -date, collections are 8.33% greater than budget and 8.16% greater than the prior year year -to -date collections. Excluding one -time money from new construction, collections are 4.41% ahead of last year's collections to date. Including mitigation payments, sales tax collections are currently at 107.53% of budget for the year. Schedule II shows the year -to -date sales tax from the top ten industry classifications. Electronics and Appliances had the highest year over year increase at $399,994 or 54 and Construction of Buildings had an increase of $268,438 or 59 The largest decline of $149,281 or 14.7% occurred with the Wholesale Trade, Durable Goods category. iR, INFORMATIONAL MEMO Page 2 Schedule II Dollar Prior YTD Group Name Current 448 Clothing and Accessories 1,584,230 452 General Merchandise Stores 1,542,471 443 Electronics and Appliances 1,139,197 722 Food Services, Drinking Places 1,100,177 423 Wholesale Trade, Durable Goods 865,501 236 Construction of Buildings 723,772 451 Sporting Goods, Hobby, Books 497,775 441 Motor Vehicle and Parts Dealer 497,757 444 Building Material and Garden 416,539 721 Accommodation 395,748 Mitigated NAICS Code YTD Dollar Prior Diff. Diff. 1,563,438 20,791 1.33% 1,594,118 (51, 647) -3.24% 739,202 399,994 54.11% 1,117,687 (17,510) -1.57% 1,014,783 (149,281) 14.71% 455,342 268,430 58.95% 491,469 6,306 1.28% 499,261 (1,505) -0.30% 428,464 (11,924) -2.78% 364,591 31,157 8.55% Of the top ten industry classification codes, all but two are ones for which we receive streamlined sales tax mitigation. Schedule III shows the ten largest declines in sales tax revenue for industries with over $10,000 collected year -to -date. Schedule III Mitigated NAICS Code Attached is a Sales Tax Summary comparing year -to -date 2011 to 2010 by major NAICS codes. At the December 13, 2011 Finance and Safety Committee meeting, a question was asked as to which NAICS code includes Costco Wholesale Corporation and which companies are included in the NAICS code for Durable Goods. In answer to this question, Costco Wholesale Corporation is in NAICS code 452 General Merchandise Stores and NAICS code 423 Durable Goods includes businesses such as the following: Dell Marketing LP Hewlett Packard Company Insurance Auto Auctions Inc NC Machinery Co CMX Corporation HD Fowler C: 1TemplContent .OutlooklCBK0060Ullnfo Memo Sales Tax 01092012.docx 14 YTD YTD Dollar Group Name Current Prior Diff. Diff. 423 Wholesale Trade, Durable Goods 865,501 1,014,783 (149,281) 14.71% 452 General Merchandise Stores 1,542,471 1,594,118 (51,647) -3.24% 517 Telecommunications 281,925 312,975 (31,050) -9.92% 336 Transportation Equipment Man 99,856 124,486 (24,630) 19.79% 722 Food Services, Drinking Places 1,100,177 1,117,687 (17,510) -1.57% 811 Repair and Maintenance 73,212 85,635 (12,423) 14.51% 444 Building Material and Garden 416,539 428,464 (11,924) -2.78% 323 Printing and Related Support 34,557 45,852 (11,295) 24.63% 424 Wholesale Trade, Nondurable 84,808 93,515 (8,707) -9.31% 442 Furniture and Home Furnishings 297,296 305,652 (8,355) -2.73% Mitigated NAICS Code Attached is a Sales Tax Summary comparing year -to -date 2011 to 2010 by major NAICS codes. At the December 13, 2011 Finance and Safety Committee meeting, a question was asked as to which NAICS code includes Costco Wholesale Corporation and which companies are included in the NAICS code for Durable Goods. In answer to this question, Costco Wholesale Corporation is in NAICS code 452 General Merchandise Stores and NAICS code 423 Durable Goods includes businesses such as the following: Dell Marketing LP Hewlett Packard Company Insurance Auto Auctions Inc NC Machinery Co CMX Corporation HD Fowler C: 1TemplContent .OutlooklCBK0060Ullnfo Memo Sales Tax 01092012.docx 14 INFORMATIONAL MEMO Page 3 Schedule IV Gambling Tax Sales 2010 2011 Month Actuals Sales 2010 2011 2011 2011 Actual Over (Under) Estimate Quarter Actual Estimated Actual Month YTD Month YTD Jan Mar 502,831 626,451 466,375 (160,076) (160,076) 25.55% 25.55% Apr Jun 483,843 602,795 377,513 (225,282) (385,359) 37.37% 31.35% Jul Sep 390,078 485,978 380,592 (105,386) (490,745) 21.69% 28.61% Oct Dec 549,647 684,777 42,963 (3,153) (85,093) -6.84% Totals $1,926,399 $2,400,000 1,224,479 31.92% 22.01% 27,628 (2,516) includes gambling taxfromcaidgames only. Gambling tax receipts for the fourth quarter 2011 are due January 31, 2012 and therefore are not included above. One casino still owes $97K on their second quarter taxes. Action has been taken to collect this amount. Below is Schedule V which shows monthly admission tax receipts for the prior year and current year to date. Schedule V -Admissions Tax Sales 2010 2011 Month Actual Estimated Jan 52,751 57,532 Feb 39,232 42,788 Mar 51,861 56,562 Apr 39,294 42,855 May 35,365 38,570 June 48,428 52,818 July 62,293 67,939 Aug 42,284 46,116 Sept 37,853 41,284 Oct 27,638 30,144 Nov 35,594 38,820 Dec 50,036 54,571 Totals 522,628 570,000 excludes golf course admissions tax 413,759 Admission tax receipts are currently 19.73% below budget for the year, and 12.45% below prior year actual receipts. The decline in comparison to the same month in the prior year improved from the September and October results. No payments have yet been received the Fly indoor skydiving facility near the mall. Please let me know if you have any comments or questions. Thank you. C:1 Temp \Content.Outlook\CBK0060Ullnfo Memo Sales Tax 01092012.docx 15 Actua Is 2011 2011 Actual Over (Under) 2011 Estimate Actual Month YTD Month YTD 31,217 (26,315) (26,315) 45.74% 0.00% 30,403 (12,385) (38,701) 28.95% 38.58% 39,696 (16,866) (55,566) 29.82% 35.42% 28,705 (14,150) (69,717) 33.02% 34.90% 38,944 373 (69,343) 0.97% 29.10% 57,325 4,508 (64,836) 8.53% 22.27% 50,835 (17,104) (81,940) 25.18% 22.82% 42,963 (3,153) (85,093) -6.84% 21.00% 28,108 (13,176) (98,270) 31.92% 22.01% 27,628 (2,516) (74,470) -8.35% 21.15% 37,936 (884) (62,970) -2.28% 19.73% 413,759 Admission tax receipts are currently 19.73% below budget for the year, and 12.45% below prior year actual receipts. The decline in comparison to the same month in the prior year improved from the September and October results. No payments have yet been received the Fly indoor skydiving facility near the mall. 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