HomeMy WebLinkAboutIR 9226 INFORMAL REPORT TO CITY COUNCIL MEMBERS No.9226
To the Mayor and Members of the City Council April 13, 2010
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SUBJECT: FEBRUARY 2010 — SALES TAX UPDATE
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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 April 7th.
Sales tax reporting experiences a two month lag and this April report reflects taxes that were
collected in February.
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
FY 10 vs. FY09
February February Unfavorable
2010 2009 $ Var % Var
Sales Tax
Revenue $6,686,134 $6,935,776 ($249,642) -3.6%
Note: The City's sales tax collections were down $249,642 compared to last year. This is a
slight recovery compared to the previous month.
City of Fort Worth
Budget Comparison
February YTD FY2010
Actual $ Var Var Reestimate $ Var Var
$38,776,179 ($1,587,393) -3.9% $93,768,857 (S5,097,564) -5.2
I.d Note: Through the month of February, the City collected $1,587,393 less than budget. For the
full year staff projects sales revenue will be $5,097,564 less than the adopted budget.
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9226
To the Mayor and Members of the City Council April 13, 2010
r Page 2 of 2
a
x SUBJECT: FEBRUARY 2010 - SALES TAX UPDATE
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City of Fort Worth
City Comparisons
FY10 vs. FY09
CITY QTR 1 JAN FEB YTD
ARLINGTON -1.6% 5.4% 1.6% 0.2%
BEDFORD -2.1% 8.9% -5.9% -0.9%
WATAUGA -3.4% 3.1% -0.8% -1.9%
GRAPEVINE -0.3% -8.1% -4.0% -2.5%
NORTH RICHLAND HILLS -4.6% 1.7% -1.2% -3.0%
SOUTHLAKE -3.9% 0.9% -5.5% -3.4%
GRAND PRAIRIE 0.8% -14.0% -9.2% -4.1%
KELLER -9.0% -0.2% -1.1% -6.3%
FLIRT WORTIt,
BURLESON -6.5% -9.7% -4.7% -6.8%o
DALLAS -9.7% 0.8% -4.4% -7.0%
HURST -8.4% -6.8% -0.4% -7.0%
EULESS -14.4% -16.4% -16.0% -15.1%
STATE AVG -13.0% -14.2% -8.8% -12.4%
Note: The above chart shows the monthly trend in sales tax revenue compared to other cities.
The first quarter shows collections were down -7.6% compared to last year. In January and
February, we experienced a small improvement compared to the first quarter. This suggests
collections are not continuing the downward spiral. Our YTD results of -6.4% are somewhat
troubling, but again this suggest the worst may be behind us.
Staff will continue to monitor this volatile revenue source throughout the year. We will
provide an update to the City Council on a monthly basis and if necessary, implement a
mid-year adjustment.
Again, hopefully you find this additional information helpful. If you have any questions, please call
Horatio Porter, Budget Officer, at 817.392.2379.
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Dale A. Fisseler, P.E.
City Manager
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS