NORTHWEST ARKANSAS — Fayetteville and Rogers continued to show positive growth in sales tax revenue this month, but Springdale and Bentonville slipped into negative numbers.
Sales tax revenue reported in September reflects July tax collected in August. Comparisons are based on collections from the same month in the previous year.
Each city, with the exception of Bella Vista, collects a 2 percent sales tax. One percent is devoted to repaying bonds. The other 1 percent goes into each city’s general fund and is available for operations. For the purpose of this report, Northwest Arkansas Newspapers tracks the 1 percent going into general funds.
All four cities are ahead for the year in sales tax collection compared with last year, and ahead of budget projections, according to the finance directors for each city.
By The Numbers
Sales Tax Numbers For August
City 2011 2012 Percentage Change YTD 2011 2012
Bentonville $766,628 $764,485 --0.27 $6,288,821 $6,911,633
Rogers $1,018,151 $1,094,478 +7.5 $9,042,738 $9,789,408
Springdale $891,732 $830,681 -6.8 $7,396,610 $7,581,148
Fayetteville $1,388,999 $1,466,886 +5.6 $12,163,677 $12,911,531
Siloam Springs $232,219 $227,304 -2.1 $2,150,521 $1,930,860
Bella Vista $114,585 $114,323 -0.22 $926,900 $960,227
Lowell $203,011 $229,731 +13.2 $1,723,302 $1,801,243
Source: Staff Report
Rogers had the largest increase compared with the same month last year. Sales tax revenue is up 7.5 percent, or $76,327, compared with last year. The city received $1,094,478 this month compared with $1,018,151 in September 2011.
“For the year, we have received a $1 million a month with the exception of March and April and just barely missed a $1 million those months,” said Richard McComas, city treasurer and chief financial officer.
“Compared to the first nine months of last year, we are up about $750,000 in sales tax revenue. We used some of the additional revenue to do some unbudgeted projects, such as the repair on the heating unit at the Adult Wellness Center,” McComas said.
Fayetteville is up 5.6 percent, or $77,887 for September compared with last year. The city received $1,466,866 this month compared with $1,388,999 last September.
“We had a strong number last September and we beat that number this year, so I’m happy about where we stand,” said Paul Becker, Fayetteville finance director.
“For the year we are up approximately 6 percent higher than last year at this time,” Becker said.
Bentonville had a minor slip of $2,142 compared with last year. The city received $764,485 from the state compared with $766,628 last year, a difference of -0.28 percent.
“It’s hard to get concerned about such a small difference,” said Denise Land, Bentonville finance director.
“All in all, our sales tax revenue is approximately 13 percent ahead of 2011. We budgeted to collect $683,000 per month, we’ve done better than that. I’d say we are doing all right,” Land said.
Springdale took the biggest hit, dropping 6.8 percent or $61,051.
The city received $891,732 in September 2011 and $830,681 this month.
“I would rather see us increasing every month, but we are still doing all right. We are up about $200,000 over what we budgeted for sales tax revenue,” said Wyman Morgan, Springdale director of finance and administration.
“As long as our sales tax revenue stays ahead of the budget, I’m not going to worry,” Morgan said.