Winter weather reflected in sales tax revenue

Friday, February 21, 2014

The December snow and ice appears to have dampened retail sales in Northwest Arkansas based on the sales tax numbers released this month.

Sales taxes received in February reflects December tax collected in January. Comparisons are based on collection 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. For the purpose of this report, NWA Media tracks the 1 percent going into general funds.

Sales tax revenue for all four large cities dropped when compared to last year’s figures.

Bentonville received $893,260 this month compared to $936,369 for the same period last year, a decrease of $43,109 or 4.6 percent.

Likewise, Rogers sales tax revenue dropped by 3.8 percent compared to last year. The city received $1,409,111 this month compared to $1,466,092 last February, a decrease of $56,981.

Fayetteville dropped $43,524 in sales tax revenue this year. The city received $1,713,482 compared to $1,757,006 last year, a decrease of 2.47 percent.

Springdale dropped 4 percent compared to last year. The city received $879,035 this month compared to $916,049 for the same period last year, a decrease of $37,014.

Sales tax revenue in Lowell, Bella Vista and Siloam Springs climbed this month compared to last year, with Lowell having the largest increase of 26 percent, or $53,336. Last year Lowell received $204,530 in sales tax revenue. This year the city collected $257,866.