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HomeMy WebLinkAboutFS 2008-09-16 Item 2B - Report - 2008 Sales Tax RevenueCity of Tukwila 6200 Southcenter Boulevard A Tukwila, Washington 98188 in 1,000's Sales Receipt 2007 2008 Month Month Actual Estimated Jan Mar 1,324 1,398 Feb Apr 1,350 1,350 Mar May 1,707 1,564 Apr June 1,482 1,472 May July 1,497 1,497 June Aug 1,768 1,657 July Sept 1,616 1,577 Aug Oct 1,607 1,546 Sept Nov 1,704 1,672 Oct Dec 1,597 1,552 Nov Jan09 1,652 1,596 Dec Feb09 2,112 2,164 MEMORANDUM To: Mayor Jim Haggerton From: Robert F. Noland, Interim Finance Director 1Z Date: September 11, 2008 Subject Sales Tax Revenue for 2008 Totals 19,416 19,045 8,951 Schedule I 2008 Increase /(Decrease) %Increase /(Decrease) Actual Month YTD Month YTD 1,347 (51) (51) -3.64% -3.64% 1,357 7 (44) 0.52% -1.60% 1,601 37 (7) 0.06% -1.00% 1,365 (107) (114) -7.27% -1.97% 1,635 138 24 9.22% 3.30% 1,646 (11) 13 -0.66% 0.00% 0 0 0 0.00% 0.00% 0 0 0 0.00% 0.00% 0 0 0 0.00% 0.00% 0 0 0 0.00% 0.00% 0 0 0 0.00% 0.00% 0 0 0 0.00% 0.00% After lagging behind budget projections in previous months, sales tax collections rebounded strongly in May, to a point where collections were 9.2% above budget for the month. However, collections dropped again in June and were 0.7% below budget for the month. On a year -to -date basis, actual sales tax revenue is now even with the budget, but 2% below collections at this time last year. Extrapolating this trend to the end of the year would result in actual sales tax revenue meeting the budget estimate of $19 million, but below the record collections in the previous year by $400,000. By comparison, actual year -to -date collections Sales Tax Revenue Page 2 for 2007, 2006, and 2005 were 7.3 7.8 and 7.3% respectively above estimated projections. The major unknown, of course, is the future impact of the Streamlined Sales Tax Initiative, which went into effect on July 1St of this year. Also to be determined is the positive impact that will result from the mall expansion which recently opened. Schedule II shows the year -to -date sales tax from the top 10 categories of retail establishments. As this schedule indicates, there is no clear pattern to explain the current trend. The variances are both up and down in these categories. Attached are three charts that provide a 12 -month rolling sales tax collection by month, a 4- year comparison, and sales tax by classification type. in 1,000`s Schedule ll YTD YTD Dollar Group Name Current Prior Diff. Diff. 452 General Merchandise Stores 1,025 1,135 (110) -9.7% 423 Wholesale Trade, Durable Goods 1,160 1,117 43 3.8% 448 Clothing Accessories 863 754 109 14.5% 443 Electronics Appliances 554 673 (119) -17.7% 236 Construction of Buildings 716 611 105 17.2% 722 Food Services, Drinking Places 626 542 84 15.5% 442 Furniture Home Furnishings 400 531 (131) -241% 441 Motor Vehicle Parts Dealer 487 490 (3) -0.6% 444 Building Material Garden 334 402 (68) -16.9% 453 Misc. Store Retailers 367 377 (10) -2.7% 0 c0 A l 0 0 0 CD 0 (NI CV' 14z `z lts 0 0 0 (NJ CO ft 9017 1.17E‘ 1,09' I'S nO '14 fri:N 179C OWL" zgeLveu OLL'E" 6 -4t ikire$ CD 0 0 o 0 CO v 603 o 0 0 0 0 tA- 0 1 0 cfp i 1 1 co 0 0 0 0 0 0 0 1 O O O O O %f1 0 O 0 0 1. 0 0 O O 0 co 1.0 0 0 O O 0 a t r- 443- oo Type 11 Amount 1 General Retail 723,931 44.0% 2 Auto 78,680 4.8% 3 Services 354,566 21.5% 4 Construction 281,791 17.1% 5 Manufacturing 17,947 1.1% 6 Transportation 3,791 0.2% 7 Wholesale 169,551 10.3% 8 Miscellaneous 15,966 1.0% Total 1,646,223 100 0% sportation =mss Wholesale =t- 10.3% June 2008