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Home My WebLink AboutFS 2009-10-20 Item 2E - Report - July 2009 Sales Tax RevenueTO: City of Tukwila Jim Haggerton, Mayor INFORMATIONAL MEMORANDUM Mayor Haggerton Rhonda Berry Finance and Safety Committee FROM: Shawn Hunstock, Finance Director DATE: September 23, 2009 SUBJECT: Sales Tax Revenue for July 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 1,217 (540) (2,409) 30.73% 25.99% July Sept 1,535 1,661 1,473 (188) (2,366) 11.32% 23.76% Aug Oct 1,555 1,647 Sept Nov 1,426 1,685 Oct Dec 1,298 1,521 Nov Jan10 1,265 1,589 Dec Feb10 1,723 2,175 Totals 17,753 19,546 8,332 Mitigation Received 1,277 9,609 87.92% of Budget Incl. Mitigation Sales tax collections showed the eleventh consecutive decrease in July compared to the same period in the prior year. For 2009, collections were less than both budget and the same month in the prior year, but much closer to each number than we've been in the last eleven months. Actual receipts for July 2009 were $188,000 less than budget, and $62,000 less than the same period last year. We are now down 23.76% for the year compared to budget, and 20.54% compared to the same period last year. The chart above also includes the mitigation payment we received at the end of March, June and September. Including the mitigation payment, we are currently at 88% of budget for the year to date. The mitigation payment we received in September for second quarter 2009 was $536,001.90. This was a 54.9% increase from the $346,046.24 we received for first quarter 2009. 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 Name 452* General Merchandise Stores 448* Clothing and Accessories 423* Wholesale Trade, Durable Goods 722* Food Services, Drinking Places 443* Electronics and Appliances 441* Motor Vehicle and Parts Dealer 236 Construction of Buildings 451* Sporting Goods, Hobby, Books 444* Building Material and Garden 453* Miscellaneous Store Retailers 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 61.35 Miscellaneous Store Retailers is down by 31.80 and Wholesale Trade and Durable Goods is down by 27.53 These declines are offset by very small increases in other areas, such as Food Services and Drinking Places, which increased by 1.53 and Clothing and Accessories, which increased by 0.07 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 July. Schedule Ill Group Name 323* Printing and Related Support 334* Computer and Electronic Produc 236 Construction of Buildings 442* Furniture and Home Furnishings 237 Heavy and Civil Construction 522 Credit Intermediation 541 Professional, Scientific, Tech 621 Ambulatory Health Care Service 453* Miscellaneous Store Retailers 423* Wholesale Trade, Durable Goods Mitigated NAICS Code H:\Sales Tax\2009 \Info Memo Sales Tax 092309.doc YTD Current 1,088,903 1,074,615 921,221 750,775 516,126 430,464 327,348 309,294 301,956 286,370 YTD Current 37,110 11,216 327,348 194,471 44,397 17,425 98,787 34,160 286,370 921,221 YTD Dollar Prior Diff. Diff. 1,247,743 (158,840) 12.73% 1,073,907 708 0.07% 1,271,180 (349,959) 27.53% 739,486 11,288 1,53% 627,834 (111,708) 17.79% 578,900 (148,436) 25.64% 846,869 (519,521) 61.35% 347,681 (38,386) 11.04% 397,356 (95,400) -24.01% 419,911 (133,541) 31.80% YTD Dollar Prior Diff. 108,109 (70,998) 31,848 (20,631) 846,869 (519,521) 439,672 (245,202) 78,697 (34,300) 30,764 (13,339) 154,627 (55,840) 52,746 (18,586) 419,911 (133,541) 1,271,180 (349,959) Attached is a Sales Tax Summary comparing year -to -date 2009 vs. 2008 by major NAICS 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 /0 Diff. 65.67% 64.78% 61.35% 55.77% 43.59% 43.36% -36.11% 35.24% 31.80% 27.53% 481 482 484 485 488 491 492 493" NAICS CONSTRUCTION 08 TOTAL 236 Construction of Buildings 1,302,567 237 Heavy Civil Construction 130,624 238 Specialty Trade Contractors 530,490 TOTAL CONSTRUCTION 1,963,680 Overall Construction Change from Previous Year MANUFACTURING 08 TOTAL 311 Food Manufacturing 4,997 312 Beverage Tobacco Products 2,328 313 Textile Mills 1,050 314 Textile Product Mills 22,660 315 Apparel Manufacturing 215 316 Leather Allied Products 9 321" Wood Product Manufacturing 9,515 322' Paper Manufacturing 21,545 323' Printing Related Support 143,009 324 Petroleum Coal Products 9,630 325 Chemical Manufacturing 8,068 326 Plastic Rubber Products 4,085 327" Nonmetallic Mineral Products 5,242 331 Primary Metal Manufacturing 52 332 Fabricated Metal Mfg Products 6,310 333 Machinery Manufacturing -8,777 334' Computer Electronic Products 44,162 335 Electric Equipment, Appliances 895 336 Transportation Equipment Mfg 191,525 337" Furniture Related Products 31,384 339' Miscellaneous Manufacturing 22,411 TOTAL MANUFACTURING 520,315 Overall Manufacturing Change from Previous Year TRANSPORTATION WAREHOUSING Air Transportation Rail Transportation Truck Transportation Transit and Ground Passengers Transportation Suppod Postal Services 08 TOTAL 0 1,935 965 11,502 28,728 88 Couriers Messengers 476 Warehousing Storage 781 TOTAL TRANSP WHSING 44,475 Overall Transportation Change from Previous Year WHOLESALE TRADE 423' Whls Trade Durable Goods 424' Whls Trade Nondurable Goods 425' Wholesale Electronic Markets Sales Tax Mitigation NAICS Codes I 09/23/20000 08 TOTAL 1,777,808 113,096 2,805 WHOLESALE TRADE TOTAL 1,893,709 Overall Wholesale Change from Previous Year SALES TAX SUMMARY July 2009 (Received in September) YTD 08 YTD 09 YTD Diff 846,869 327,348 -61.3% 78,697 44,397 -43.6% 298,707 221,050 -26.0% 1,224,272 592,795 ($631,478) -51.6% YTD 08 YTD 09 YTD Diff 2,928 744 -74.6% 872 1,705 95.5% 42 155 265.2% 16,960 7,932 -53.2% 92 37 -60.4% 2 4 113.0% 6,106 1,971 -67.7% 11,872 11,303 -4.8% 108,109 37,110 -65.7% 6,188 2,802 -54.7% 5,554 3,741 -32.6% 3,014 2,110 -30.0% 2,790 1,172 -58.0% I 26 101 280.4% 3,468 1,844 -46.8% 11,838 1,969 116.6% 31,848 11,216 -64.8% I 443 90 -79.6% 109,909 80,383 -26.9% 26,676 5,802 -78.3% I 11,903 7.417 -37.7% I 336,965 179,606 ($157,359) -46.7% I YTD D8 YTD 09 YTD Diff 0 0 0.0% 1,115 833 -25.2% 262 1,412 438.1% 6,674 6,700 0.4% 16,336 13,888 -15.0% 37 0 100.0% 462 32 -93.0% 444 714 60.7% I 25,331 23,580 ($1,751) -6.9% YTD 08 YTD 09 YTD Diff 1,271,180 921,221 -27.5% 53,672 62,706 16.8% 2,074 1,177 -43.3% 1,326,925 985,103 ($341,822) -25.8% NAICS AUTOMOTIVE 08 TOTAL 441' Motor Vehicle Parts Dealer 993,146 I 447' Gasoline Stations 73,034 TOTAL AUTOMOTIVE 1,066,181 Overall Automotive Change from Previous Year NAICS RETAIL TRADE 08 TOTAL 442' Furniture Home Furnishings 621,785 443' Electronics Appliances 1,077,238 444" Building Material Garden 619,645 445' Food Beverage Stores 88,317 446' Health Personal Care 146,841 448" Clothing Accessories 2,101,593 451' Sporting Goods, Hobby, Books 644,522 452' General Merchandise Stores 2,231,745 453' Miscellaneous Store Retailers 721,034 454' Nonstore Retailers 116,347 TOTAL RETAIL TRADE 8,369,066 Overall General Retail Change from Previous Year SERVICES 51X Information 52X Finance Insurance 53X Real Estate, Rental, Leasing 541 Professional, Scientific, Tech 551 Company Management 56X Admin, Su pp, Remed Svcs 611 Educational Services 62X Health Cam Social Assistance 71X Arts Entertainment 72X" Accommodation Food Svcs 81X Other Services 92X Public Administration TOTAL SERVICES Page 1 MISCELLANEOUS 08 TOTAL 570,706 75,585 403,851 338,302 1,902 167,119 12,727 109,308 106,515 1,858,292 192,450 843 3,837,599 Overall Services Change from Previous Year 08 TOTAL 000 Unknown 1,147 111 -115 Agriculture, Forestry, Fishing 1,095 211 -221 Mining Utilities 19,574 999 Unclassifiable Establishments 35,837 MISCELLANEOUS TOTAL 57,652 Overall Miscellaneous Change from Previous Year 08 TOTAL GRAND TOTALS $17,752,678 Grand Total Change from Previous Year YTD 08 YTD 09 YTD %Diff 578,900 430,464 -25.6% 46,327 35,920 -22.5% 625,227 466,384 ($158,843) -25.4% 08 YTD 09 YTD Diff 439,672 194,471 -55.8% 627,834 516,126 -17.8% 397,356 301,956 -24.0% 62,258 49,432 -20.6% 83,732 105,664 26.2% 1,073,907 1,074,615 0.1% 347,681 309,294 -11.0% 1,247,743 1,088,903 -12.7% 419,911 286,370 -31.8% 62,958 157,595 150.3% 4,763,051 4,084,425 ($678,627) -14.2% YTD 08 YTD 09 YTD Diff 327,172 310,785 -5.0% 38,165 24,286 -36.4% 242,856 208,540 -14.1% 154,627 98,787 -36.1% 1,337 727 -45.6% 90,084 76,207 -15.4% 3,796 22,370 489.4% 65,791 46,166 -29.8% 66,063 54,573 -17.4% 1,056,715 1,026,773 -2.8% I 111,806 106,326 -4.9% 295 13,589 4507.9% 2,158,706 1,989,130 ($169,576) -7.9% 08 YTD 804 201 9,625 16,021 26,651 08 YTD $10,487,129 YTD 09 YTD Diff 397 -50.6% 80 -60.3% 8,922 -7.3% 2,447 -84.7% 11,846 ($14,805) -55.6% YTD 09 YTD Diff $8,332,869 ($2,154,261) 20.54% TOO sales Tax Rpl 202907.50 2009 I 2006 2008 2007 Four Year Comparison $2,000,000 $4,000,000 $10,487,133 $10,743,680 Taxes Collected Year to Date $8,332 885 $9,938,118 I $6,000,000 $8,000,000 $10,000,000 $12,000,000