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HomeMy WebLinkAboutIR 9808 INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9808 To the Mayor and Members of the City Council October 13, 2015 Page 1 of 3 ex SUBJECT: AUGUST 2015 - SALES TAX UPDATE rsFa Sales tax revenue represents approximately twenty one percent (21%) of the City's General Fund anticipated revenue in Fiscal Year 2015. 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 August 2015 (Fiscal Year 2015, Period 11) collection results on October 7t". 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. AUGUST NET SALES TAX COLLECTIONS (10-YEAR HISTORY FY20DG FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 The City's net sales tax collection is up $379,726 or 3.9%, compared to the same month last year. As depicted in the table below, the City experienced $383,631 or 3.9%, in growth when compared to last year's collections for the same month. Current period collections include only transactions that occurred within the month, so this number reflects pure economic activity. COLLECTION DETAIL FOR CITY SALES TAX August 14 August 15 Variance ($) Variance (%) Current Period Collections $9,726,355 $10,109,986 $383,631 3.9% Other Collections 114,123 201,558 87,436 76.6% Audit Collections 139,458 52,320 (87,138) (62.5%) Service Fee (199,599) (207,277) (7,679) (3.8%) Retainage 3,881 7,357 3,476 89.6% Net Collections $9,784,218 $10,163,944 $379,726 3.9%{� CURRENT PERIOD COLLECTIONS Change Compared to Same Month in Prior Year 8.0% 1 0.2% 9.1% 6.2%° 5.8% 6.9% 3.7°/0 3.9% 33-9%- 0 0.9% Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9808 To the Mayor and Members of the City Council October 13, 2015 h�T�i7 Page 2 of 3 �i �i7 Y •a SUBJECT: AUGUST 2015 — SALES TAX UPDATE #qrF rn 10,?5 The City's Sales Tax collections year-to-date are outpacing both the budget year-to-date and the year-to-date total for the same period last year. CITY OF FORT WORTH YTD NET COLLECTIONS COMPARISON Current Receipts FY 2014 Receipts Budget as of Through Through Period CITY OF FORT WORTH Period 11 Period 11 11 GENERAL FUND $113,630,551 $119,553,774 $113,200,401 CRIME CONTROL AND PREVENTION DISTRICT 52,505,548 56,007,502 52,612,271 TOTAL $166,136,099 $175,561,276 $165,812,672 CITY OF FORT WORTH FISCAL YEAR COMPARISON — FY2015 Adopted Fiscal Year Budget Projections Variance ($) Variance (%) CITY OF FORT WORTH GENERAL FUND $126,013,570 $131,936,793 $5,923,223 4.7% Q CRIME CONTROL AND PREVENTION DISTRICT $58,227,401 $61,441,115 $3,213,714 5.5% FORT WORTH TRANSPORTATION AUTHORITY-THE"T" $64,761,746 $65,428,745 $666,999 1.0% The City anticipates collecting $131,936,793 by fiscal year end, which exceeds original estimates in the FY2015 adopted budget by 4.7%. As depicted above, the positive results are affecting the City's partner agencies as well. While these results are encouraging, staff recommends maintaining a conservative forecast for FY2015, as uncertainty continues regarding the national economy and potential audit adjustments from the Texas Comptroller's Office. ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9808 To the Mayor and Members of the City Council October 13, 2015 Page 3 of 3 aYA - YaTsSUBJECT: AUGUST 2015 - SALES TAX UPDATE The chart below indicates how current year sales tax collections in Fort Worth and other cities in the region compare to FY2014 collections for the same period. CITIES COMPARISON FY2015 vs. FY2014 City 1st Quarter 2nd Quarter 3rd Quarter August YTD BEDFORD 39.1% 25.3% 28.3% 16.5% 28.5% SOUTHLAKE 11.7% 43.8% 2.7% (0.2%) 14.0% KELLER 14.6% 11.6% 3.6% 3.6% 9.4% HURST 5.1% 14.4% 4.2% 5.5% 7.3% BURLESON 25.6% 6.1% 7.8% (20.2%) 7.2% DALLAS 8.3% 6.4% 8.4% 3.4% 6.8% GRAND PRAIRIE 5.0% 2.3% 8.5% 4.1% 5.7% FORT WORTH 7.4% 6.7% 3.3% 3.9% 5.6% WATAUGA 7.1% 4.8% 5.4% 1.0% 5.2% ARLINGTON 9.8% 2.7% 4.0% 2.0% 5.1% GRAPEVINE 9.9% 1.3% 2.3% (2.1%) 3.9% EULESS 4.5% (1.0%) 1.5% 10.1% 3.5% NORTH RICHLAND HILLS 2.0% 1.7% 5.3% 0.1% 2.6% STATE TOTAL 9.3% 8.3% 1.8% -0.4% 5.4% If you have any questions, please call Aaron Bovos, Chief Financial Officer, at 817-392-8517. David Cooke City Manager ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS