HomeMy WebLinkAboutIR 9976 INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9976
To the Mayor and Members of the City Council December 13, 2016
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SUBJECT: OCTOBER 2016 — SALES TAX UPDATE
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Sales tax revenue represents approximately twenty-two percent (22%) of the City's General Fund
anticipated revenue in Fiscal Year 2017. It is the second largest revenue source, with property tax
being the largest. In addition, sales tax revenue represents the largest revenue source in the Crime
Control and Prevention District Fund. Staff is committed to providing regular updates on this important
and sometimes volatile revenue source. The Texas Comptroller's Office posted October 2016 (Fiscal
Year 2017, Period 1) collection results on December 7t". Actual receipts are dependent upon the
timeliness and accuracy of sales tax payers' returns. This report provides Fort Worth's sales tax
collection compared to last year and the impact on the current year's budget.
OCTOBER NET SALES TAX COLLECTIONS (10-YEAR HISTORY
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M M Mum
FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017
The City's net sales tax collection is up $1,154,804 or 11.3%, compared to the same month last year.
As depicted in the table below, the City experienced $1,229,010 or a 12.0% increase when compared
to last year's collections for the same month. Current period collections include only transactions that
occurred within the month, so this number reflects pure economic activity.
COLLECTION DETAIL FOR CITY SALES TAX
October 15 October 16 Variance ($) Variance (%)
Current Period Collections $10,232,120 $11,461,130 $1,229,010 12.0%
Other Collections 251,749 155,019 (96,730) (38.4%)
Audit Adjustments (86,958) (32,146) 54,812 63.0%
Service Fee (207,938) (231,680) (23,742) (11.4%)
Retainage 42,105 33,559 (8,546) (20.3%)
Net Collections $10,231,077 $11,385,882 $1,154,804 11.3%
CURRENT PERIOD COLLECTIONS
Change Compared to Same Month in Prior Year
13.3% 14.3%
lki&j10.2% 12.0%
5.1°1°3.8°I°
1.5°I°
Nov-15 Dec-15 Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Sep-16 Oct-16
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9976
To the Mayor and Members of the City Council December 13, 2016
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*a SUBJECT: OCTOBER 2016 — SALES TAX UPDATE
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The City's Sales Tax collections year-to-date are 9% over the budget year-to-date, and slightly higher
than 11% over the year-to-date total for the same period last year.
CITY OF FORT WORTH YTD NET COLLECTIONS COMPARISON
Current FY2016
Receipts Receipts
Budget as of Through Through
CITY OF FORT WORTH Period 1 Period 1 Period 1
GENERAL FUND $10,566,696 $11,385,882 $10,231,077
CRIME CONTROL AND PREVENTION DISTRICT 4,874,776 5,457,806 4,874,656
TOTAL $15,441,472 $16,843,687 $15,105,733
CITY OF FORT WORTH FISCAL YEAR COMPARISON — FY2017
Projected
Variance to Amended
Adopted Amended Fiscal Year
Budget Budget Projections M (%)
CITY OF FORT WORTH
GENERAL FUND $140,468,044 $140,468,044 $140,468,044 $0 0.0%
CRIME CONTROL AND PREVENTION DISTRICT $67,394,786 $67,394,786 $67,394,786 $0 0.0%
FORT WORTH TRANSPORTATION AUTHORITY $70,979,000 $70,979,000 $70,979,000 $0 0.0%
The City anticipates collecting $140,468,044 by fiscal year end, which matches original estimates in
the FY2017 adopted budget.
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ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9976
To the Mayor and Members of the City Council December 13, 2016
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*a SUBJECT: OCTOBER 2016 — SALES TAX UPDATE
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The chart below indicates how current year sales tax collections in Fort Worth and other select cities
in the state compare to FY2016 collections for the same period.
CITIES COMPARISON
FY2017 vs. FY2016
City October
FORT WORTH 11 .3%
EL PASO 10.6%
GRAND PRAIRIE 7.6%
DALLAS 6.8%
GARLAND 6.2%
AUSTI N 5.3%
FRISCO 4.5%
IRVI NG 3.7%
MCKI NNEY 3.6%
SAN ANTONIO 2.9%
ARLI NGTON 1 .8%
HOUSTON (7.2%)
PLANO (9.4%)
STATE TOTAL 0.7%
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ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9976
To the Mayor and Members of the City Council December 13, 2016
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•a SUBJECT: OCTOBER 2016 — SALES TAX UPDATE
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SALES TAX REVENUE BY INDUSTRY THROUGH PERIOD 1
TRADE,RETAIL
WHOLESALETRA E,
OTHER SERVICES
(EXCEPT PUBLIC
ADMINISTRATION),2%_----` ___ACCOMMODATION AND
FOOD SERVICES,11%
ALL OTHER,3%-_---------
PROFESSIONAL,
SCIENTIFIC,AND
TECH N I CA L SE RVI CES,3%
REAL ESTATE AND
RENTALAND LEASING, INFO RMATION,10%
3%
ADMINISTRATIVE,
SUPPORT,&WASTE
MANAGEMENTAND UTI LITIES,5% L MANUFACTURING,9%
REMEDIATION SERVICES, CONSTRUCTION,6%
3%
There are five industries that comprise the largest portion (76%) of the City's sales tax revenue in
FY2017 through period 1.
Budget staff is developing a comparative historical trend analysis. This information will be shared in
future sales tax update IR's upon its availability.
If you have any questions, please call Terry Hanson, Assistant Director of Budget and Analysis, at
817-392-7934.
David Cooke
City Manager
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS