HomeMy WebLinkAboutFS 2009-08-18 Item 2B - Report - May 2009 Sales Tax RevenueTO:
Mitigation Received
City of Tukwila
INFORMATIONAL MEMORANDUM
Mayor Haggerton
Rhonda Berry
Finance and Safety Committee
FROM: Shawn Hunstock, Finance Director
DATE: July 29, 2009
SUBJECT: Sales Tax Revenue for May 2009
Schedule I
in 1,000's
Sales Receipt 2008 2009 2009 Increase /(Decrease) %Increase /(Decrease)
Month Month Actual Estimated Actual Month YTD Month YTD
Jan Mar 1,347 1,403 1,172 (231) (231) -16 46% 0 00%
Feb Apr 1,357 1,397 1,051 (346) (577) 24.77% -20 61%
Mar May 1,601 1,654 1,146 (508) (1,085) -30 71% -24 36%
Apr June 1,365 1,497 1,191 (306) (1,391) 20.44% -23 37%
May July 1,635 1,560 1,082 (478) (1,869) -30 64% -24 88%
June Aug 1,646 1,757 (1,757) (3,626) -100 00% -39 12%
July Sept 1,535 1,661 (1,661) (5,287) -100 00% -48 38%
Aug Oct 1,555 1,647 (1,647) (6,934) -100 00% 55.14%
Sept Nov 1,426 1,685 (1,685) (8,619) -100 00% 60.44%
Oct Dec 1,298 1,521 (1,521) (10,140) -100 00% 64.25%
Nov Jan10 1,265 1,589 (1,589) (11,729) -100 00% -67 52%
Dec Feb10 1,723 2,175 (2,175) (13,904) -100 00% -71 13%
Totals 17,753 19,546 5,642
741
6,383 84.98% of Budget Ind Mitigation
Jim Haggerton, Mayor
Sales tax collections showed the ninth consecutive decrease in May compared to the same
period in the prior year. May is historically one of the highest months of the year for sales tax
collections. For 2009, collections were significantly less than both budget and the same month
in the prior year Actual receipts for May 2009 were $478,000 less than budget, and $553,000
Tess than the same period last year. We are now down 24.88% for the year compared to budget,
and 22.77% compared to the same period last year.
The chart above also includes the mitigation payment we received at the end of March and June
for fourth quarter 2008, and first quarter 2009 respectively. Including the mitigation payment, we
are currently just under 85% of budget for the year to date. The mitigation payment we received
in June was $346,046.24. This was a 12.4% decrease from the $394,987.43 we received for
fourth quarter 2008.
Schedule II shows the year -to -date sales tax from the top ten industry classifications. As this
schedule indicates, the trend is flat or down for all of the classifications.
INFORMATIONAL MEMO
Page 2
Schedule II
Group
452*
448*
423*
722*
443*
441*
236
453*
451
444*
Mitigated NAICS Code
As you can see there are large variances from last year for the same time period. For instance,
sales tax for Construction of Buildings is down by 51.37 Wholesale Trade and Durable Goods
is down by 47.21%, and Building Material and Miscellaneous Store Retailers is down by
2T12% These declines are offset by very small increases in other areas, such as Clothing and
Accessories, which increased by 2 52 and Food Services and Drinking Places, which
increased by 1.58 As you can see from Schedule II, eight of the top ten merchant categories
have declined versus prior year, and nine of the ten industry classification codes 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 through May.
Schedule III
Name
General Merchandise Stores
Clothing and Accessories
Wholesale Trade, Durable Goods
Food Services, Drinking Places
Electronics and Appliances
Motor Vehicle and Parts Dealer
Construction of Buildings
Miscellaneous Store Retailers
Sporting Goods, Hobby, Books
Building Material and Garden
Group Name
323* Printing and Related Support
237 Heavy and Civil Construction
442* Furniture and Home Furnishings
236 Construction of Buildings
423* Wholesale Trade, Durable Goods
454* Nonstore Retailers
447* Gasoline Stations
621 Ambulatory Health Care Service
541 Professional, Scientific, Tech
518 Internet Service Providers
Mitigated NAICS Code
H:\Sales Tax\2009 \Info Memo Sales Tax 072909.doc
YTD
Current
723,908
716,788
528,242
519,781
368,163
313,883
277,318
216,785
214,663
201,500
YTD
Current
25,934
21,086
144,280
277,318
528,242
32,890
24,307
24,808
73,119
23,287
YTD
Prior
836,316
699,137
1,000,621
511,713
425,134
408,161
570,299
297,471
243,229
274,682
Dollar
Diff.
(112,407)
17,651
(472,379)
8,068
(56,971)
(94,278)
(292,981)
(80,686)
(28,565)
(73,182)
YTD Dollar
Prior Diff.
85,476 (59,541)
57,943 (36,857)
334,610 (190,330)
570,299 (292,981)
1,000,621 (472,379)
49,580 (16,690)
34,631 (10,324)
35,050 (10,242)
103,087 (29,967)
36,437 (13,150)
Attached is a Sales Tax Summary comparing year -to -date 2009 vs. 2008 by major SIC codes
Also included is a comparison of total receipts year -to -date for the last four years.
Please let me know if you have any comments or questions Thank you
°/0
Diff.
13.44%
2.52%
47 21%
1 58%
-13 40%
-23 10%
51 37%
-27 12%
11 74%
-26 64%
°/0
D iff.
69.66%
63.61%
-56 88%
51.37%
-47.21%
33.66%
-29 81%
29.22%
29 07%
-36 09%
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Four Year Comparison
$2,000,000 $4,000,000
$7,305,994
$7,359,258
$6,716,604
Taxes Collected Year to Date
$5,642,516
$6,000,000 $8,000,000