HomeMy WebLinkAboutIR 9299INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9299
To the Mayor and Members of the City Council September 14, 2010
�'"T =• Page 1 of 2
• SUBJECT: JULY 2010 — SALES TAX UPDATE
In response to the volatile nature of Sales Tax revenue, the Staff committed to providing you a brief
update of the sales tax collections. The Texas Comptroller's Office posted results September 8th. Sales
tax reporting experiences a two month lag and this September report reflects taxes that were collected in
July.
Beginning this fiscal year, we have revised this report in hopes of providing you more insightful
information. You will see our sales tax collection compared to last year and the impact on the current
year's budget. Additionally, we have included a historical comparison for neighboring cities. This chart
demonstrates how our trend compares to others.
City of Fort Worth
Monthly Collections
FYI 0 vs. FY09
July July Favorable
2010 2009 Var % Var
Sales Tax
Revenue $8,908,974 $7,121,484 $1,787,490 25.1%
Note: This month, the City's sales tax collections were significantly higher than the previous year.
July collections were $1,787,490 more than last year. The results for this month effectively offset the
year to date shortfall we have experienced. Staff will provide a more detailed report identifying the
primary reasons for the increased collections.
City of Fort Worth
Budget Comparison
July YTD FY2010
Budget $81,715,317 Budget $98,866,421
Actual $ Var % Var Reestimate $ Var % Var
$81,907,372 $192,055 0.2% $98,473,185 0393,236) - 0.4' %,
Note: Through the first ten months of the year; the City collected $192,055 more than budget. For
the full year staff projects sales tax revenue will be slightly less than the adopted budget. This is an
improvement over the previous projection which anticipated a 2% decline compared to the budget.
ISSUED BY THE CITY MANAGER
FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS
No. 9299
To the Mayor and Members of the City Council September 14, 2010
Page 2 of 2
a
• y SUBJECT: JULY 2010 - SALES TAX UPDATE
Note: The above chart shows the trend in sales tax revenue compared to other cities. For the first
quarter of FY2010 the City experienced a -7.6% decline from FY2009, while the second and third
quarters demonstrate a moderating decline. Our YTD results of -1.1% compared to last year are
better than the 3% decline we previously expected. Again, the July collections were significantly
better than expected and will likely have a positive impact on the FY2011 budget.
Staff will continue to monitor this volatile revenue source. We will provide an update to the
City Council on a monthly basis.
Again, hopefully you find this additional information helpful. If you have any questions, please call
Horatio Porter, Budget Officer, at 817.392.2379.
DA-WA. Fisseler, P.E.
City Manager
ISSUED BY THE CITY MANAGER
FORT WORTH, TEXAS
City of Fort Worth
City Comparisons
FY10 vs. FY09
CITY
QTR 1 QTR 2
QTR 3
JULY
YTD
WATAUGA
-3.4% 6.9%
9.6%
6.7%
4.2%
NORTH RICHLAND HILLS.
-4.6% 5.0%
3.9%
13.3%
2.3%
ARLINGTON
-1.6% 6.8%
3.1%
-1.7%
2.2%
BEDFORD
-2.1% 2.2%
0.9%
5.6%
1.4%
SOUTHLAKE
-3.4% 0.5%
5.0%
9.1%
1.0%
GRAPEVINE
-0.3% 2.2%
-1.8%
7.7%
0.7%
BURLESON
-6.5% -1.3%
6.0%
7.5%
0.0%
GRAND PRAIRIE
0.8% -7.3%
3.9%
4.0%
-0.5%
FORT WORTH
-7.6% -2.4%
-0.10/0
25.1%
-1.1%
HURST
-8.4% 0.4%
1.9%
0.7%
-2.4%
DALLAS
-9.7% 0.7%
1.3%
0.7%
-2.6%
KELLER
-9.0% 4.7%
-1.6%
-12.0%
-3.2%
EULESS
-14.4% -5.5%
7.4%
4.4%
-3.8%
STATE AVG
-13.0% -10.5%
1.2%
2.2%
-6.7%
Note: The above chart shows the trend in sales tax revenue compared to other cities. For the first
quarter of FY2010 the City experienced a -7.6% decline from FY2009, while the second and third
quarters demonstrate a moderating decline. Our YTD results of -1.1% compared to last year are
better than the 3% decline we previously expected. Again, the July collections were significantly
better than expected and will likely have a positive impact on the FY2011 budget.
Staff will continue to monitor this volatile revenue source. We will provide an update to the
City Council on a monthly basis.
Again, hopefully you find this additional information helpful. If you have any questions, please call
Horatio Porter, Budget Officer, at 817.392.2379.
DA-WA. Fisseler, P.E.
City Manager
ISSUED BY THE CITY MANAGER
FORT WORTH, TEXAS