2010-04-21 / Front Page

Latest sales tax numbers hint of better economic times in the coming months

It looks like the downturn in the Texas economy that reaches all the way down into Kingsville and Kleberg County may be reversing directions and headed upwards instead.

On Friday, Comptroller Combs sent April sales tax allocations of $265.7 million to Texas cities, down 3.6 percent compared to April 2009.

Kingsville’s share of the sales tax allocation was $281,200.44 compared to $283,977.78 in April 2009 for a decline of only slightly less than 1 percent.

Year to date revenue stands at $1,204,769.50 compared to $1,278,556.39 last year for a decline of 5.77 percent.

Kleberg County received $104,986.92 for April compared to $103,855.66 for the same period last year, which was an increase of 1.08 percent.

Year to date sales tax allocations for Kleberg County stand at $440,844.14

compared to $475,711.74 for the same period last year for a decline of 7.32 percent.

Bishop received $13,421.29 for April compared to $14,085.83 for the same period last year, which is a decline of 4.71 percent.

Year to date collections stand at $51,385.46 compared to $57,085.11 last year for a decline of 9.98 percent.

Driscoll took the hardest hit here, recording a decline of 13.27 percent for April sales tax collections compared to last April. Driscoll received $2,901.92 compared to $3,346.11 last April. Year to date collections stand at $12,200.43 compared to $13,261.79 for the same year to date period last year for a decline of 8 percent.

Calendar year to date, city sales tax allocations in Texas are running 7 percent lower than last year.

Texas counties received sales tax payments of $24.0 million, down 7.7 percent compared to one year ago.

Calendar year to date, county sales tax allocations are 12.9 percent lower than last year.

Texas Comptroller Susan Combs said today the state received $1.46 billion in sales tax revenue in March, down 7.8 percent compared to March 2009.

April allocations are based on revenue received in March, which reflects February sales.

“For the second month in a row, the decline in sales tax collections continued to moderate,” Combs said.

“Following an eightto month stretch of double-digit declines, the pace of revenue losses is slowing,” she said.

“The oil and gas, construction, manufacturing, and retail industries registered lower sales tax revenue collections than one year earlier; we expect further declines in the near term followed by a return to sales tax revenue growth later this year,” Combs said.

Cities, counties, transit systems and special purpose taxing districts received a total $394.1 million in April sales tax allocations, a 3.9 percent decrease compared to April 2009. So far in 2010, monthly sales tax allocations to local governments lag 7.4 percent behind 2009.

The Comptroller’s May sales tax allocation will be made on May 14.

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