HomeMy WebLinkAboutFS 2016-07-06 Item 2B - Report - 2016 1st Quarter Miscellaneous Revenue • Pw Of Tukwila Allan Ekberg, Mayor
' INFORMATIONAL MEMORANDUM
TO: Mayor Ekberg
Finance and Safety Committee
FROM: Peggy McCarthy, Finance Director
BY: Lily Jue, Fiscal Coordinator
DATE: July 6, 2016
SUBJECT: Sales Tax and Miscellaneous Revenue Report— 11,Quarter 2016
Schedule I-Sales Tax in$1,000's
2015 Actual 2016 Actual YOY Chang
' Other '
—Month— Other Total Other Total Construction Industries ! Total
Collect- Construci I Construct I I i
ed Recd Industries i 11ndustries Amount % Amount % Amount %
Jan Mar $ 851$ 1,1951 $ 1,280 $ 991$1,1901 1,1901 $ 1,269 $ 14 16-/.1 $ (5) 0%i $ 9 19`
Feb Apr 861 1,227 i 1,313 97 i 1,230 i 1,328 11 13%1 3 0%i 15 1%
Mar may 991' 1,3621- 1,461 1061 1,413' 1,519 6 6%' 51 4%' 58 49'
50,! :.1%-'$ , :82. .
Apr Jun 109; 1,210: 1,319 May Jul 91 1,453! 1,544 -
Jun Aug 141 ! 1,621 ! 1,762 ! ! -
Q•2 41626
Jul Sep 951 1,653 I 1,748
Aug Oct 1331 1,4631 1,596 -i i
Sep Nov 124' 1,448' 1,572
Q-3 Totals
Oct Dec 93; 1,414: 1,507 -
Nov Jan 98 1! 1,3701 1,468
Dec Feb 1 100! 1,992! 2,092 I ! 1 -
Q-4 Totals $ 291 ! 4,776! $ 5,067 $ - I I $ $ _
First quarter sales tax collections through March were $82K more than for the same quarter in
the previous year, resulting in a 2% increase. There was an increase in construction sales tax of
$31 K over the same quarter last year, or up by 12% as well as an increase in sales tax from
other industries of$50K which resulted in a rise of 1%.
5
INFORMATIONAL MEMO
Page 2
Budget to Actual- Sales Tax in $1,000's
Schedule l Sales Tax , y
.,
.�. *��,y,+,.�..•w�.�xrr., +..ay.�,. .,;&:,- "r�... .n. .. ..es-,+fix ,. .�„r s_m3r-:;.w_�".._-.,. .����r, �;.
2015 2016
CGier�
-Month-
Collect- Original 1m ed
ed Recd Actual Bu et Actual Amt %
A
Jan Mar $ 1,280 $ 1,162 $ 1,231 $ 1,289 58 5%
Feb Apr 1,313 $ 1,193 $ 1,263 1,328 65 5%
Mar May': 1,462 $ 1,328 $ 1,406 1,519 113 8%
..Q-1 Totals S ,F4,054 :S °3,683 ,$ $ 3;9� .$s" 4,136
Apr Jun 1,319 $ 1,198 $ 1,269 - -
May Jul 1,544 $ 1,403 $ 1,486 - - -
Jun Aug 1,762 $ 1,601 $ 1,695 - -
uQ-2 Totals
Jul Sep 1,748, $ 1,588 $ 1,681 - - -
Aug Oct 1,596 $ 1,450 $ 1,535 - - -
Sep Nov 1,572 $ 1,428 $ 1,513 - - -
_°Q-3 Totals
4P", 4,9i6 $ ,x 4;466 ,$:x.,4;729 $. $
Oct Dec 1,507 $ 1,369 $ 1,450'
Nov Jan 1,469 $ 1,334 $ 1,413 - - -
Dec Feb 2,092 $ 1,901 $ 2,012 - - -
4.4 Totals $ $ 49604 $ 4,875 ` $ -
''. Totals 664 ;$Fy16954 '" $' 17,954„ $. .4;"136'
Actual revenue from sales tax collections received through the first quarter exceeded amended
budget estimates by$236K or six percent.
6 WAFIN ProjectskSales Tax InformadorA2016Unfo Memo Sales Tax-2016-Q1 2016MEMO(June 2016).dm
INFORMATIONAL MEMO
Page 3
Below is a graph of sales tax collections by type of industry showing overall change between the
2014 and 2015,revenue receipts.
---.._- __... _-----__-___.
%Change YTD by Category*
$80,000
Miscellaneous, i
$62,392
$60,000
Retail Trade,
$42,931 Services,
Construction 4
$40,000
j 30,470
Manufacturing,
$16,715
$20,000
Warehousing,
$2.233
$(20,000)
I
Automotive, j
C ($15,712)
?j $(40,000) -�--°---- ,
$(601000)
t P
$(80,000) i
S
� E
WholesaleTrade £
$(100,000) 4-- 1$92,444►
i
' I
$(120,000) ,,,
1.
The overall Construction increase shown above is primarily due to the Contractors NAICS
category 238 by $53K, or 82.6% over the same quarter last year. Increase in Manufacturing is
partially due to the Transportation Equipment Manufacturing category, which shows an increase
in gross sales activity.
The overall significant decrease in the "Wholesale Trade" category is attributable to the NAICS
category 423, "Wholesale Trade in Durable Goods". The increase in the "Retail Trade" group is
due to increased sales activity in the categories of Electronics & Appliances of $31K, Building
Material & Garden of$9K and Miscellaneous Store Retailers of$13K.
Of the $34K rise in the "Services" industry, there were combined increases totaling $82K in the
categories of: Finance & Insurance, Real Estate/Rental/Leasing and Accommodation & Food
Services.
The miscellaneous category includes activities from agriculture, forestry, fishing and
mining/utilities with "Unclassifiable Establishments" showing the most increase of$62K.
WARN PmjectsNSales Tax Information12016fto Memo Sales Tax-2016-01 2016MEMO(June 2016).docx 7
INFORMATIONAL MEMO
Page 4
Schedule II shows the year-to-date sales tax from the top ten industry classifications.
Electronics and Appliances in the NAICS 443 category has the highest year over year increase
at $31,313 due to growth in overall gross sales. This is followed by an increase of $19,999 in
the category of Rental and Leasing Services as well as an increase of $17,424 in the category
of Food Services & Drinking Places. These are also attributable to an overall increase in
reported gross revenues for the current period.
Schedule II
YTD YTD Dollar %
Group Name Current Prior Diff. Diff.
452 General Merchandise Stores $ 471,522.68 $ 470,525.20 $ 997 0.21%
448 Clothing and Accessories $ 431,074.59 $ 439,479.29 $ (8,405) -1.91%
722 Food Services, Drinking Places $ 421,169.83 $ 403,746.18 $ 17,424 4.32%
423 Wholesale Trade, Durable Goods $ 273,237.48 $ 362,211.70 $ (88,974) -24.56%
443 Electronics and Appliances $ 262,840.76 $ 231,527.32 $ 31,313 13.52%
236 Construction of Buildings $ 171,418.22 $ 187,202.65 $ (15,784) -8.439/9
453 Miscellaneous Store Retailers $ 163,244.57 $ 149,981.18 $ 13,263 8.84%
532 Rental and Leasing Services $ 158,500.90 $ 138,501.99 $ 19,999 14.44%
517 Telecommunications $ 154,357.54 $ 183,363.52 $ (29,006) -15.82%
441 Motor Vehicle and Parts Dealer $ 153,815.64 $ 169,722.47 $ (15,907) -9.37%
Schedule III shows the ten largest declines in sales tax revenue for industries with over$10,000
collected year-to-date: While the NAICS category for Wholesale Trade & Durable Goods
experienced a current quarter decrease in sales tax collections of $89K, the NAICS category
511 for Publishing Industries had a 54.23%decrease in sales activity over the previous year.
Schedule III
YTD YTD Dollar %
Group Name Current Prior Diff. Diff.
423 Wholesale Trade, Durable Goods $ 273,237.48 $ 362,211.70 $ (88,974) -24.56%
517 Telecommunications $ 154,357.54 $ 183,363.52 $ (29,006) -15.82%
441 Motor Vehicle and Parts Dealer $ 153,815.64 $ 169,722.47 $ (15,907) -9.370/6
236 Construction of Buildings $ 171,418.22 $ 187,202.65 $ (15,784) -8.43%
541 Professional, Scientific, Tech $ 108,761.52 $ 123,615.23 $ (14,854) -12.02%
511 Publishing Industries $ 11,181.03 $ 24,429.59 $ (13,249) -54.23%
454 Nonstore Retailers $ 41,697.44 $ 52,023.56 $ (10,326) -19.85%
448 Clothing and Accessories $ 431,074.59 $ 439,479.29 $ (8,405) -1.91%
237 Heavy and Civil Construction $ 12,535.36 < $ 19,599.51 $ (7,064) -36.040/.
561 Administrative and Support Svc $ 28,215.81 $ 32,467.47 $ (4,252) -13.10%
8 WARN Projects\Sales Tax Information12016Unfo Memo Sales Tax-2016-Q1 2016MEMO(June 2016).docx
INFORMATIONAL MEMO
Page 5
The following charts show sales tax receipts the City collected from major industries between
2010 through the current year. These categories include retail, services, wholesale,
construction, and other consisting of manufacturing, transportation & warehousing, automotive,
and miscellaneous.
Retail Services
$2,60,000 °T� ---- $1,600,000
�_
$2,500,000 ; 400,000$1, .
,. EEE "
$2,400,000 s _
.xo m
:r2ou .1. $1,200,000 [i-^ ,».,..,.........»...... .........� iixou
$2,300,000 ..__. - .
07012 v .02012
$2,200,000. smu $1,000A00 .2012
F
$2,100,000 ""- •.2kH - $8.0,000
$2,000,000 .. *'2015
xo
$1,900,000 - ''3012 $600,000 4..
$1,800,000 --, — $400000
$1,700,000
p( $200000
$1,60.000 €
$1,50,000
Q1 Q2 Q3 Q4 Ql Q2, Q3 Q4
Wholesale Construction
I
I
$70.000 ------ ..._..... $450,000 ...._._...,m...,_ :.
$600,000 .P.,,...,....._ ®— - � j $400,000 .�_.�� .,�...�. .�-,.-......•" ...".-_... �.
.2020 j
,.•2010
$500,000 •t.. _ -_,. ..__ __.,..:.T- Emu i $35D 000 r.iou
a :2012 $300000 _..^W-----;--
$400,000 ` - ... ... - - _- 12012 Y $250000 }
axon• 's
$300,000 L ,�......_._.. m .— - 4205 $200,000
my
.101S
$200,000 - -201 $150000
$100 000
4
$100,000 =
ssa000
}.
$ z
s
j Q1 Q2 Q3 Qa Q1_ Q2 Q3: 94,. .
Other-Mfg.Trnsp/Wrhsng,
Automotive,&Misc.
$500,000
.. $450,000 .: .,m.,-`-- •,.2010
•. j $40.000 I -- .. rxou
E $350,000
$300,000 0 M1
$250,0002lio2�
$20.000 02025
.2016
$150,000 -
$100,000
$50,000 I
Q1 Q2 Q3 Q4
WARN PmjectslSales Tax Information12016t1nfo Memo Sales Tax•2016-01 2016MEMO(June 2016).docx 9
INFORMATIONAL MEMO
Page 6
Below is Schedule IV which shows quarterly gambling tax earned for the prior year compared to
the current year.
Schedule IV-Gambling Tax
(d) 2016 INCREASE(DECREASE)
Quarter 2015 2016 Allocated YEAR OVER YEAR BUDGET VARIANCE
Earned Actual Actual Budget Amount `/o Amount %
at $ 698,773 $ 950,379 $ 631,914 $ 251,606 36% $ 318,465 50%
Q2 679,484 - 614,471 - - - -
Q3 677,923 - 613,059 - - - -
04 743,365 - 672,240 - - - -
Totals.:. $.2,799,545 $ 950,379 $2,53.1,6841.$ 251,606 - $ 318,465 -
Gambling taxes for 1 st quarter 2016 are $252K, or 36% higher than as compared with 2015 and
are$318K, or 50%over 2016 budget. Casinos within the City continue to do well.
Schedule V shows monthly admissions tax receipts for the prior year and current year to date.
Schedule V-Admissions Tax(b)
(d) 2016 INCREASE(DECREASE)
Quarter 2015 2016 Allocated YEAR OVER YEAR BUDGET VARIANCE
Earned Actual Actual Budget Amount % Amount `/o
Q1 $ 129,245 $ 161,269 $ 135,169 $ 32,024 25% $ 26,100 19°/0
Q2 171,745 - 179,617 - - - -
Q3 159,808 - 167,133 - - - -
04 166,452 - 174,081 - - - -
Totals $ 627,250 $ 161,269 $ 656,000 $ 32,024 - $ 26,100 -
There is an increase of $32K, or 25% in admissions tax receipts during first quarter as
compared to the same period in 2015 and are $26K, or 19% higher than 2016 anticipated
budget.
Schedule VI shows monthly telecommunications utility tax receipts for the prior year and current
year to date.
Schedule VI-Telecommunications Utility Tax
(d) 2016 INCREASE (DECREASE)
Quarter 2015 2016 Allocated YEAR OVER YEAR BUDGET VARIANCE
Earned Actual Actual Budget Amount % Amount %
Q1 $ 317,991 $ 346,156 $ 311,176 $ 30,166 90/6 $ 36,980 12%
02 349,024 - 341,544 - - - -
Q3 327,197 - 320,185 - - - -
Q4 319,135 - 312,295 - - - -
Totals $ 1,313,347 $ 348,156 $1,285,200 $ 30,166 - $ 36,980 -
There is an increase of$30K, or 9% in telecommunications utility tax receipts during first quarter
as compared to the same period in 2015 and with a corresponding increase of $36K, or 12%
over budget.
I8> Gambling tax currently includes cans games,punch boards,pull tabs,and amusement games.
(b) Excludes golf course admissions tax.
W - Telecommunications Utility tax currently includes cellular,pager and telephone usage.
(d) Actuals reflected in Schedules IV,V and V1 are amounts eamed through first quarter 2016.
10 WON ProjectMales Tax Information\2016Unfo Memo Sales Tax-2016-01 2016MEMO(June 2016).docx
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