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HomeMy WebLinkAboutIR 10004 INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 10004 To the Mayor and Members of the City Council May 2, 2017 Page 1 of 4 r SUBJECT: FEBRUARY 2017 — SALES TAX UPDATE x r�ra 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 February 2017 (Fiscal Year 2017, Period 5) collection results on April 12th, 2017. 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. FEBRUARY NET SALES TAX COLLECTIONS (10-YEAR HISTORY N C O 1 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 The City's net sales tax collection is up $898,710 or 9.0%, compared to the same month last year. As depicted in the table below, the City experienced $342,167 or a 3.4% increase when compared to last year's collections for the same month. Current period collections include only transactions that occurred within the month, so this number reflects pure economic activity. COLLECTION DETAIL FOR CITY SALES TAX February 16 February 17 Variance ($)Variance (%) Current Period Collections $10,108,311 $10,450,477 $342,167 3.4% Other Collections 113,993 474,621 360,628 316.4% Audit Adjustments (75,205) 135,480 210,684 280.1% Service Fee (202,942) (221,212) (18,270) 9.0% Retainage (7,326) (3,826) 3,500 (47.8%) Net Collections $9,936,831 $10,835,541 $898,710 9.0% "OTHER COLLECTIONS ARE PAYMENTS ATTRIBUTED TO PRIOR PERIOD COLLECTIONS,FUTURE PERIOD COLLECTIONS AND UNIDENTIFIED COLLECTIONS. CURRENT PERIOD COLLECTIONS Change Compared to Same Month in Prior Year 14.3% 12.0% 11.8% 7.4% 10.6% 10.2% 10Ic 3% K 1 6.1% 3.7% 1.5% 3.4% 111 1 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Sep-16 Oct-16 Nov-16 Dec-16 Jan-17 Feb-17 ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 10004 To the Mayor and Members of the City Council May 2, 2017 h�T�i7 Page 2 of 4 �i �i7 Y *a SUBJECT: FEBRUARY 2017 — SALES TAX UPDATE #qU f 10,?5 The City's General Fund sales tax collections year-to-date are 105% of the budget year-to-date, and higher than 108% of the year-to-date total for the same period last year. The City's Crime Control and Prevention District Fund (CCPD) sales tax collections year-to-date are 105% of the budget year-to- date, higher than 109% of 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 5 Period 5 Period 5 GENERAL FUND $56,255,052 $59,333,880 $54,943,663 CRIME CONTROL AND PREVENTION DISTRICT 26,990,461 28,352,440 25,954,814 TOTAL $83,245,513 $87,686,320 $80,898,476 CITY OF FORT WORTH FISCAL YEAR COMPARISON —FY2017 Projected Variance to Amended Adopted Amended Fiscal Year Budget Budget Projections ($) (°/a) 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. (Intentionally left blank) ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 10004 To the Mayor and Members of the City Council May 2, 2017 h�T�i7 Page 3 of 4 �i �i7 Y *a SUBJECT: FEBRUARY 2017 - SALES TAX UPDATE #qU f 10,?5 The chart below indicates how current year sales tax net collections in Fort Worth and other select cities in the state compare to FY2016 collections for the same period. CITIES COMPARISON - NET COLLECTIONS FY2017 vs. FY2016 City 1st Quarter January February YTD PLANO 0.3% 11.3% 13.5% 4.5% AUSTIN 4.5% 6.1% 12.5% 6.2% FORT WORTH 6.9% 10.8% 9.0% 8.0% FRISCO 7.6% 7.9% 8.8% 7.8% DALLAS 4.3% 2.6% 7.3% 4.5% MCKINNEY 9.7% 32.9% 6.6% 12.6% HOUSTON (5.8%) 6.5% 5.3% (1.6%) SAN ANTONIO 1.8% 4.7% 5.0% 2.9% EL PASO 3.9% 3.7% 1.1% 3.3% GARLAND 8.8% 5.8% (2.2%) 6.1% ARLINGTON 2.1% 11.2% (2.9%) 2.9% IRVING 2.8% 11.1% (5.9%) 2.7% GRAND PRAIRIE 11.1% 7.9% (8.0%) 6.9% STATE TOTAL 0.6% (0.7%) 4.4% 1.1% (Intentionally left blank) ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 10004 To the Mayor and Members of the City Council May 2, 2017 h�T�i7 Page 4 of 4 �i �i7 Y *a SUBJECT: FEBRUARY 2017 — SALES TAX UPDATE #qtF rn 1075 SALES TAX REVENUE BY INDUSTRY FOR PERIOD 5 RETAIL TRADE ARTS,ENTERTAINMENT,AND RECREATION 1% WHOLESALE TRANSPORTATION AND WAREHOUSING 1% OTHER SERVICES(EXCEPT PUBLIC ADMINISTRATION) ACCOMMODATION AND FOOD 2% SERVICES PROFESSIONAL,SCIENTIFIC, AND TECHNICAL SERVICES 3% / ADMINISTRATIVE AND SUPPORT J AND WASTE MANAGEMENT AND REMEDIATION SERVICES INFORMATION 3% REAL ESTATE AND RENTAL AND LEASING MANUFACTURING 3% UTILITIES 4% kh hhMl1I� CONSTRUCTION 5% There are five industries that comprise the largest portion (78%) of the City's sales tax revenue in FY2017 for period 5. 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