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HomeMy WebLinkAboutIR 10024 INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 10024 To the Mayor and Members of the City Council June 20, 2017 OX,Fas +r Page 1 of 4 SUBJECT: APRIL 2017 — SALES TAX UPDATE Ygg3 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 April 2017 (Fiscal Year 2017, Period 7) collection results on June 7t", 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. APRIL NET SALES TAX COLLECTIONS (10-YEAR HISTORY N C O $10.3 1 $10.3I I FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 The City's net sales tax collection is up $668,463 or 6.5%, compared to the same month last year. As depicted in the table below, the City experienced $774,248 or a 7.5% increase when compared to last year's collections for the same month. Current period collections include only transactions that occurred within the month, so this number reflects pure economic activity. COLLECTION DETAIL FOR CITY SALES TAX April 16 April 17 Variance ($) Variance (%) Current Period Collections $10,278,225 $11,052,472 $774,248 7.5% Other Collections 184,914 1075123 (77,791) (42.1%) Audit Adjustments 49,308 29,542 (19.766) (40.1%) Service Fee (210.249) (223.783) (13.534) 6.4% Retainage 59,389 64,696 5,307 (8.9°0) Net Collections $10,361,687 $11,030,060 $668,463 6.5% *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% 10.2% 12.0% 11.8% 10.3% 7.4% 7,1% 7.5% 6 �37 pp 3.4% �.r7% May-16 ,dun-18 Jul-16 Aug-16 Sep-16 Oct-16 Nov-16 Dec-113 Jan-17 Feb-17 Mar-17 Apr-17 ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 10024 To the Mayor and Members of the City Council June 20, 2017 h�T�i7 Page 2 of 4 �i {i7 Y *a SUBJECT: APRIL 2017 — SALES TAX UPDATE #qrF rn 10,?5 The City's General Fund sales tax collections year-to-date are 104% 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 103% 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 Budget as of Current Receipts FY2016 Receipts CITY OF FORT WORTH Period 7 Through Period 7 Through Period 7 GENERAL FUND $80.889.559 S84496 863 $78.610.351 CRIME CONTROL ANO PREVENTION DISTRICT 38 809 784 40 149 939 36.967.186 TOTAL $119,699,343 $124,646,802 $115,477,536 CITY OF FORT WORTH BUDGET COMPARISON — FY2017 Projected Adopted Amended Fiscal Year Variance to Amended Budget Budget Projections CITY OF FORT WORTH GENERAL FUND $140,468,044 $140,468,044 $145,196,257 $4,728,213 3.4% CRIME CONTROL& PREVENTION DISTRICT $67,394,786 $67,394,786 $69,578,406 $2,183,620 3.2% The City anticipates collecting $145,196,257 by fiscal year end in the General Fund, which exceeds original estimates in the FY2017 adopted budget by $4,728,213. (Intentionally left blank) ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 10024 To the Mayor and Members of the City Council June 20, 2017 ` ; Page 3 of 4 r SUBJECT: APRIL 2017 - SALES TAX UPDATE rs,a 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 2nd Quarter April YTD ICKINNEY 9.7% 14.1 % 5.5% 10,9% FRISCO 7.6% 8.9% 13.1°ern 8.8'% FORT WORTH 6.9% 8.7% 6.5% 7.6% GRAND PRAIRIE 11 ,1 % 2.7% 9.2% 7,2% 1RVI NG 2.8% 15.5% (19.2%) 4.5% PLANO 0.3% 9.3% (0.3%) 3.9% AUSTIN 4.5% 4.8% (1 .6%) 3,8% DALLAS 4.3% 4.2% (0,3%) 3.6% ARLINGTON 2.1 % 5.0% 1.5% 3.2% SAN ANTONIO 1 .8% 3.5% 6.0% 3.1 % EL PASO 3.9% 0.5% (0.7%) 1 .8% HOUSTON (5,8%) 3.5% ( .0%) (1 .5%) GARLAND 8.8% (15.1 %) 1.4% (3.3%) STATE TOTAL 0.6% 2.2% 2.5% 1.5% Source: Allocation Payment Detail and Monthly All Fund Revenue Report, Texas Comptroller of Public Accounts (Intentionally left blank) ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 10024 To the Mayor and Members of the City Council June 20, 2017 h�T�i7 Page 4 of 4 �i {i7 Y *a SUBJECT: APRIL 2017 — SALES TAX UPDATE #qrF rn 10,?5 SALES TAX REVENUE BY INDUSTRY FOR PERIOD 6 WHOLESALEPETAILTRADE TRANSPORTATION AND WAREHOUSING 1% FINANCE AND INSURANCE ACCOMMODATION AND FOOD SERVICES 1% ARTS,ENTERTAINMENT,AND RECREATION 196 OTHER SERVICES(E}{CEPT PUBLIC • ADMINISTRATION) 2% ADMINISTRATIVE AND SUPPORT AND INFORMATION WASTE PROFESSIONAL,SCIENTIFIC,AND MANAGEMENT AND TECHNICAL SERVICES REMEDIATION 3% SERVICES REAL ESTATE AND RENTAL AND N# 2% LEASING MANUFACTURING 3% CONSTRUCTIIJI^l 5 7% Source: Industry Report, Texas Comptroller of Public Accounts There are five industries that comprise the largest portion (75%) of the City's sales tax revenue in FY2017 for period 6. This chart is typically one month in arrears due to availability of data. 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