February city sales tax revenue drops

The big gains the City of Clarendon made in sales tax revenue last month were wiped out last week when Texas Comptroller Susan Combs reported allocations for February.

Clarendon’s revenue fell 4.81 percent to $19,725.93, which pulled the year-to-date-figure down to a negative 0.21 percent.

City sales tax revenue had gone up 14.82 percent last month after falling nearly 15 percent the month before.

Other local cities also saw their revenue fall during this period.

Hedley was down for the month more than 49 percent to $360.60 and down for the year-to-date 7.67 percent.

Howardwick’s allocation dipped 2.53 percent to $1,147.84, but that city remained ahead for the year, showing growth of more than 31 percent.

Statewide the comptroller announced state sales tax revenue in February totaled $1.79 billion, up 8.8 percent compared to February 2007.

“For the first half of fiscal 2008, state sales tax collections are up 7.1 percent over fiscal 2007,” Combs said.  “Although growth is slower than the two previous fiscal years, increases in state sales tax revenues continue at a steady pace.”

Comptroller Combs sent March sales tax payments of $293.2 million to Texas cities, up 9.2 percent compared to March 2007.  Calendar year-to-date, city sales tax allocations are running 6.8 percent higher than last year.

State sales tax revenue for February and March payments made to local governments today primarily represent sales that occurred in January.

The Comptroller’s next sales tax allocation will be made on Friday, April 11.