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HomeMy WebLinkAbout(0004) IR 10319 - July 2019 - Sales Tax UpdateINFORMAL REPORT TO CITY COUNCIL MEMBERS No. 10319 To the Mayor and Members of the City Council pRTEA� �{L7 h SUBJECT: JULY 2019 — SALES TAX UPDATE W rare September 17, 2019 Page 1 of 3 Sales tax revenue represents approximately twenty-two percent (22.3%) of the City's General Fund anticipated revenue in Fiscal Year 2019. 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 July 2019 (Fiscal Year 2019, Period 10 collection results on September 11th, 2019. 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. JULY NET SALES TAX COLLECTIONS (10-YEAR HISTORY) FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 The City's net sales tax collection is up $804,239 or 6.4%, compared to the same month last year. As depicted in the table below, the City experienced $564,286 or a 4.5% increase in current period collections when compared to last year's collections for the same month. Current period collections include transactions that were collected for the current period on schedule within the due date. COLLECTION DETAIL FOR CITY SALES TAX Current Period Collections Other Collections Audit Adjustments Service Fee Retainage Net Collections July 18 July 19 Variance ($) Variance (%) $12,657,174 $13,221,460 $564,286 4.5% 84,517 327,568 243,051 287.6% 5,785 29,494 23,708 409.8% (254,950) (271,570) (16,621) (6.5%) 44,378 34,192 (10,187) (23.0%) $12,536,905 $13,341,144 $804,239 6.4% *OTHER COLLECTIONS ARE PAYMENTS ATTRIBUTED TO NON -CURRENT COLLECTIONS INCLUDING PRIOR PERIOD, FUTURE PERIOD AND UNIDENTIFIED COLLECTIONS. (AUDIT ADJUSTMENTS MAY FLUCTUATE BASED UPON RESULTS OF TAXPAYER SALES TAX AUDITS CONDUCTED BY THE STATE OF TEXAS.) ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS INFORMAL REPORT TO CITY COUNCIL MEMBERS To the Mayor and Members of the City Council p1I r4 rp; a {L7 3 SUBJECT: JULY 2019 — SALES TAX UPDATE r6rn Y@7'3 CURRENT PERIOD COLLECTIONS Change Compared to Same Month in Prior Year 9.6% No. 10319 September 17, 2019 Page 2 of 3 7.2% 4.6% ° 3.6% ° 5.2% 4.5% 3.6% 2.6 /° 4./° 5 3.8% 2.8% IN - , - mim,mil = E - Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 Jan-19 Feb-19 Mar-19 Apr-19 May-19 Jun-19 Jul-19 (1.1)% The City's General Fund sales tax collections as of FY2019 M10 are 101.5% to budget, and at 105.5% for the same period last year. The City's Crime Control and Prevention District Fund (CCPD) sales tax collections as of FY2019 M10 are 102.7% to budget, and 106.0% for the same period last year. CITY OF FORT WORTH YTD NET COLLECTIONS COMPARISON Budget as of Current Receipts FY2018 Receipts CITY OF FORT WORTH Period 10 Through Period 10 Through Period 10 GENERAL FUND $134,724,093 $136,691,057 $129,523,240 CRIME CONTROL AND PREVENTION DISTRICT 63,317,692 65,036,570 61,326,876 TOTAL $198,041,785 $201,727,627 $190,850,116 CITY OF FORT WORTH BUDGET COMPARISON — FY2019 Projected Adopted Amended Fiscal Year Variance to Amended Budget Budget Projections ($) (%) CITY OF FORT WORTH GENERAL FUND $163,151,802 $163,303,162 $165,599,079 $2,295,917 1.4% CRIME CONTROL & PREVENTION DISTRIC- $76,678,160 $76,678,160 $78,211,723 $1,533,563 2.0% The City anticipates collecting $165,599,079 by fiscal year end, which is a 1.4% increase from the FY2019 amended budget, or a 1.5% increase from the original adopted budget. ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS INFORMAL REPORT TO CITY COUNCIL MEMBERS To the Mayor and Members of the City Council hATEPt r4 r; a {L7 3 SUBJECT: JULY 2019 - SALES TAX UPDATE r6rn Y@7'3 No. 10319 September 17, 2019 Page 3 of 3 The chart below indicates how current year sales tax net collections in Fort Worth and other select cities in the state compare to FY2018 collections for the same period. CITIES COMPARISON - NET COLLECTIONS FY2019 vs. FY2018 City 1st Quarter 2nd Quarter 3rd Quarter July YTD IRVING 113.0% 122.2% 100.6% 116.6% 112.1% ARLINGTON 111.3% 105.9% 110.0% 123.3% 110.4% AUSTIN 108.0% 106.3% 108.3% 111.3% 107.9% GRAND PRAIRIE 104.1 % 103.8% 112.2% 111.1 % 107.3% FORT WORTH 106.2% 106.6% 103.6% 106.4% 105.5% SAN ANTONIO 106.6% 103.3% 104.2% 112.0% 105.4% DALLAS 104.7% 103.0% 106.3% 107.1 % 104.9% MCKINNEY 105.8% 104.7% 103.3% 107.0% 104.8% EL PASO 102.8% 104.7% 105.6% 105.5% 104.5% GARLAND 103.1 % 100.4% 103.0% 109.0% 102.9% FRISCO 103.1 % 100.5% 100.1 % 109.3% 102.0% HOUSTON 99.2% 102.1 % 101.3% 102.8% 101.0% PLANO 103.0% 98.6% 91.4% 101.1 % 98.0% STATE TOTAL 106.5% 107.3% 105.1 % 104.3% 106.1 % Source: Allocation Payment Detail and Monthly All Fund Revenue Report, Texas Comptroller of Public Accounts 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