HomeMy WebLinkAboutIR 9400To the Mayor and Members of the City Council July 12, 2011
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(L'V)SUBJECT: JULY 2011 — SALES TAX UPDATE
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In response to the volatile nature of sales tax revenue, the Staff is committed to providing you a brief
update of the sales tax collections. The Texas Comptroller's Office posted results on July 7th. The
results are dependent upon the timeliness and accuracy of sales tax payers' returns. This payment
from the State represents taxes collected on sales that occurred primarily in the month of May. In this
report, you will see our sales tax collection compared to last year and the impact on the current year's
budget.
MONTHLY SALES TAX COLLECTIONS FOR MAY
CITY OF FORT WORTH
MAY FY2011 $ 6,964,832 DOLLAR VARIANCE % VARIANCE
MAY FY2010 $ 7,316,483 ($351,651) -4.81 %
0
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Note: Chart is based on the City's one -cent sales tax collection only.
Note: The City's May sales tax collections were down $351,651 compared to last year. The City has
had single audit adjustments over the last three reported months. According to the Comptroller's
office, an entity filed a refund for taxes paid on tax exempt equipment and received a credit of $1.1 M
in March, $1.4M in April, and $907K for the current month. The refunds stemmed from an audit that
occurred in different time periods and the credit was granted after a declared legal judgment.
Although this is an unusual event, the Comptroller has informed Staff that additional adjustments
should be expected.
October November December January February March April May
City Sales Tax Trend: Variance for the most recent months vs. same period last year
Note: As you can see, "Current Period" collections have a positive trend signaling continued sales
tax improvement.
ISSUED BY THE CITY MANAGER
FORT WORTH, TEXAS
COLLECTION DETAIL FOR CITY SALES TAX
MAY 2010
MAY 2011 CHANGE
Current Period Collections:
$ 7,490,064
$ 7,892,093 5.37%
Other Collections:
75,117
131,423 74.96%
Audit Collections:
(109,389)
(907,196) 729.33%
Service Fee:
(149,116)
(142,326) -4.55%
Retainage:
9,807
(9,162) - 193.42%
Net Payment
$ 7,316,483
$ 6,964,832 -4.81%
Current Period Collections:
q
, Y
October November December January February March April May
City Sales Tax Trend: Variance for the most recent months vs. same period last year
Note: As you can see, "Current Period" collections have a positive trend signaling continued sales
tax improvement.
ISSUED BY THE CITY MANAGER
FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9400
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To the Mayor and Members of the City Council July 12, 2011
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SUBJECT: JULY 2011 - SALES TAX UPDATE
CITY OF FORT WORTH BUDGET COMPARISON - FY2011
YTD
YTD
YTD
APRIL
BUDGET
ACTUAL
VARIANCE
14.02%
CITY OF FORT WORTH $ 62,405,447 $
64,804,186
3.84%
10.05%
CRIME CONTROL AND PREVENTION DIST. $ 27,356,606 $
30,131,150
10.14%
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MASS TRANSIT AUTHORITY - THE "T" $ 29,503,378 $
32,177,482
9.06%
2.15%
ADOPTED
BUDGET
YR END
APRIL
BUDGET
RE- ESTIMATE
VARIANCE
14.02%
CITY OF FORT WORTH $ 96,351,438
$ 98,750,176
2.49%
10.05%
CRIME CONTROL AND PREVENTION DIST. $ 42,237,472
$ 45,012,016
6.57%
9.60%
MASS TRANSIT AUTHORITY - THE "T" $ 45,552,000
$ 48,226,104
5.87%
2.15%
Note: Although the City has lost approximately $3.4M in audit adjustments from prior periods,
collections total $2,398,738 more than budget. Staff recommends maintaining a conservative
forecast, due to additional audit adjustments by the Comptroller.
The following chart demonstrates how our trend compares to the state and other cities:
CITY OF FORT WORTH
CITY COMPARISONS - FY 2011 v. FY 2010
CITY
QTR 1
QTR 2
APRIL
MAY
YTD
BURLESON
14.02%
-1.10%
-1.96%
43.25%
10.05%
GRAPEVINE
13.59%
3.00%
9.60%
10.65%
8.84%
SOUTHLAKE
2.15%
8.00%
4.40%
10.60%
5.38%
E ULE SS
7.28%
6.60%
2.25%
-1.02%
5.33%
HURST
6.62%
2.80%
8.76%
1.66%
4.94%
DALLAS
3.59%
4.70%
3.23%
5.01%
4.13%
ARLINGTON
8.10%
0.50%
-1.68%
4.67%
3.61%
WATAUGA
6.13%
0.40%
1.63%
3.80%
3.19%
FORT WORTH
9.29%
0.90%
- 1619%
- 4.81 %
1.44%
NORTH RICHLAND HILLS
5.27%
-3.00%
- 2.11%
176%
0.90%
KELLER
2.81%
-2.40%
6.81%
-8.56%
-0.10%
GRAND PRAIRIE
-6.73%
- 2.70%
2.03%
4.05%
- 2.88%
BEDFORD
-0.61%
-7.90%
-3.11%
- 11.44%
-5.06%
STATE TOTAL 8.26% 10.00% 11.39% 9.95% 9.53%
Note: YTD collections for Fort Worth are up 1.44% compared to last year.
Again, hopefully you find this additional information helpful. If you have any questions, please call
Horatio Porter, Budget Officer, at 817.392.2379.
{
`,.Tom Higgins
" Interim City Manager
ISSUED BY THE CITY MANAGER
FORT WORTH, TEXAS