San Marcos Mercury | Local News from San Marcos and Hays County, Texas

November 18th, 2009
Corridor cities see further sales tax decreases

by BOB BARTON

Apparently the grinch has turned up early this Christmas season.

Sales tax revenues for November for the entire state of Texas were released by State Comptroller Susan Combs this week and there is little for big cities or suburban enclaves to cheer about.

Almost 90 percent of the cities whose taxable retail sales generate at least a million dollars a month into municipal coffers failed to match the totals collected last November.

In Central Texas, San Marcos, Austin, Round Rock, Georgetown and New Braunfels took a licking in varying degrees, ranging from up to $1.2 million in Austin’s case to a decrease of about $125,000 for San Marcos.

Hit even harder were the largest cities, with Dallas down nearly $2.5 million for the month. Houston was off by more than $2 million while Fort Worth registered a decline of $1.3 million for the month.

Medium size cities whose average monthly sales tax receipts run from $200,000 a month up to a half-million fared considerably better, but still nearly 80 percent of them showed declines from a year ago. Among them were Buda and Kyle from Hays County, but others who fit this category and showed decreases included Bastrop, Selma, Fredericksburg, Seguin, Sunset Valley and Taylor.

On the “good” news side, Kyle’s decrease from last November was the smallest. Kyle’s share this November was $287,557, a decrease of about $5,000 from a year ago.

That good news of a two percent decrease is leavened a bit by the fact that Kohl’s and Lowe’s were open during this cycle but not last year,

Buda sales tax totals were $248,942, down almost $40,000 from last November.

San Marcos netted a little more than $1.4 million for a decrease of nearly eight percent from last year. Dripping Springs suffered a two percent drop, receiving $67,319. Neighboring Wimberley did well with receipts of a little more than $65,000. However, it is still running far behind Dripping Springs’s total for the entire year.

Other county cities’ receipts for November include Hays, $3,384; Uhland, $3,338; Woodcreek, $2,700; Niederwald, $1.763; and Mountain City, $413.

Bob Barton is the Hays Free Press co-publisher where this story was originally published.

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One thought on “Corridor cities see further sales tax decreases

  1. An 8% decrease in sales tax revenue is hard to reconcile with increased spending and really underscores the need for a more diverse economy. As our population grows and our infrastructure ages, our needs are only going to increase. We would do well to diversify and reduce our dependence on outsiders coming here to shop.

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