Kilgore sales tax revenue decreases

While Kilgore deposited a sales tax allocation check that topped the million-dollar mark last month, the city's check for sale tax revenue this month was smaller. The city this week received a check for $868,644.60, still an increase over the $771,758.14 received this same period last year.

This was the fourth allocation of the city's fiscal year. The state, however, reports by the calendar year.

"We're still at a 12.5 percent increase over this reporting period last year," Jeff Howell, city manager, said. "This still baffles me."

Lawanna Williams, the city's assistant financial officer, said she was pleased to find sales tax revenues had not declined this month.

"I really thought we would begin to see a downturn by now," Williams said.

Williams said revenues will eventually decrease, but she is optimistic Kilgore revenues will decline slowly, rather than nosedive.

Henderson, where the sales tax rate is half a percent higher than in Kilgore, received a check this month for $473,115, up 34.25 percent above the $352,398 received during this same period last year.

Longview received an allocation check for $2,285,932. This allocation is 10.16 percent above the allocation of $2,074,924 received this same period last year.

Lakeport's sales tax rebate of $5,518 this month is 4.5 percent lower than the $5,783 received last January.

For this reporting period, White Oak is down 4.81 percent below earnings this same period last year of $70,549, to $67,154 this period.

Gladewater's check this month for $75,968 is 16.9 percent above the $64,958 earned this same reporting period last year.

Gregg County sales tax revenues are up 10 percent with a sales tax revenue return of $1,167,675 this period. In the same period last year, the county received $1,061,531.

Tyler remains at number 20 on the comptroller's list of Top 20 Texas cities for sales tax revenue earnings. During this payment period, Tyler received $2,706,534, up 4.61 percent above this payment period last year when the city received a check for $2,587,021.

Smith County received an allocation of $1,185,849, up 10 percent from the $1,061,539 received at this time last year.

Both counties collect sales taxes on retail sales in unincorporated areas. Rusk County does not levy a sales tax.

December state sales tax revenue and January allocations to local governments represent sales taxes collected in November by businesses that report sales taxes monthly.

Comptroller Susan Combs announced the state collected $1.86 billion in sales tax revenue in December, up 2 percent compared to December 2007.

"State sales tax collections have grown 3.9 percent for the first four months of state fiscal year 2009," Combs said. "Growth in overall collections has slowed compared to recent years, while remittances from key sectors such as construction and retail trade have declined."

Combs sent cities, counties, transit systems and special purpose taxing districts their first sales tax allocations of 2009 — $459.2 million, up 2.4 percent compared to January 2008.

Combs sent January sales tax allocations of $309.9 million to Texas cities, up 2.2 percent compared to January 2008. Texas counties received sales tax payments of $29 million, up 8.2 percent compared to last January.

In addition, $18.3 million went to 148 special purpose taxing districts around the state, up 23.5 percent compared to last January. Ten local transit systems received $101.9 million in sales tax allocations, down 1.4 percent compared to a year ago.