County sees hike in sales-tax revenue
Posted on Wednesday, December 3, 2008
BENTONVILLE — After seeing a slump in August, sales-tax revenue numbers for Benton County bounced back in September.
The county collected $ 780, 392 for the month of September, a 15. 95 percent increase compared to the $ 673, 022 collected in September 2007.
The increase in sales-tax revenue comes on the heels of the first sales-tax decrease seen by the county this year in August.
January saw a 9 percent salestax revenue increase, February a 13 percent increase, March an 8 percent increase, April an 8. 5 percent increase and May a 9 percent increase, while June saw a 4 percent increase and July a 9 percent increase. The numbers for August were not so promising, as the month saw a 4. 36 percent decrease in sales-tax revenue.
Richard McComas, the county’s comptroller, could not offer an explanation for the dramatic increase in salestax revenue for September.
“ We saw a near 16 percent increase this month, and I do not know how to explain it, ” McComas said.
“ I do not think we can be sure of anything for the next few months, and that is the only thing we can be sure of, ” he said.
McComas also warned the county’s Finance Committee that Benton County could likely see an overall sales-tax decrease in 2011.
The decrease is likely to be $ 2. 3 to $ 2. 6 million, based on today’s dollar, and will be a result of the incorporation of Bella Vista.
A portion of the county’s sales-tax revenues are used to fund the county’s capitalreserve account, which funds new buildings and projects for the county. At the end of each calendar year, $ 625, 000 from sales-tax revenues is placed into the capital-reserve account.
At the end of this year, the account will contain $ 4. 6 million, and Justice of the Peace Tim Summers wants that money to stay there.
“ Until things change, I think we need to keep our cards in our pocket and not be spending dollars that are not already in the budget, ” Sum-
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