For the first time in 12 months, sales tax collections for March have taken a slight dip compared to the same period last year. According to CFO/City Clerk Jason Muninger, March receipts were down $1,503 compared to last year at this time.
“If you factor in that returns for this time last year were 10 percent over the year before, you see that this month’s report is really essentially flat,” Muninger said. “March collections for this year were $1.58 million, compared to $1.581 million last year.
“We’ve been expecting this. We knew at some point the extremely high numbers we were seeing would have to end, and now that we are beginning to compare to those higher-than-normal collections, flat collections, or even a decrease, is to be expected. But as long as we stay flat and don’t nose-dive, we will very likely end the fiscal year (in June) well over budget expectations.”
Muninger said year-to-date totals are 12.4 percent over last year and about $1.9 million over budget expectations.
Muninger said higher than usual numbers over the past year presents some challenges in projecting outcomes for the 2022-23 Fiscal Year budget, a process that is currently underway but that City staff will continue to take a “conservative approach,” as always.
“These unprecedented collections for the past 12 months and whether or not we continue to ride that wave do make projecting for next year’s budget more challenging, especially when you add in other things such as inflation and the unpredictable cost of fuel,” he said. “But we are still doing very well and, as always, will take a conservative approach as we move forward in the budgeting process.”