Title
Recommendation to Accept the Quarterly Sales Tax Report for the Reporting Period Ending December 31, 2019 (Funds Collected During the Period July 1 to September 30, 2019). (Finance 2410)
Body
To: Honorable Mayor and Members of the City Council
EXECUTIVE SUMMARY
The California Department of Taxes and Fees Administration (CDTFA) allocates sales tax to the City of Alameda (City) on a monthly basis. This report provides information about the activity for the period ending December 31, 2019 (funds collected during the period of July 1 to September 30, 2019 and recognized as revenue in the current fiscal year).
BACKGROUND
This report summarizes the sales tax receipts for the point-of-sales activity for the period of July 1 through September 30, 2019. This is the basis for sales tax revenues received by the City between October 1 and December 31, 2019. For the purpose of this report, sales tax revenues exclude Proposition 172 funds, the allocation from a statewide pool for public safety services.
DISCUSSION
Fiscal Year to Date (July 1 to December 31)
For the 2019-20 Fiscal Year (FY), sales tax shifted to be the third largest source of General Fund revenues for the City (behind property tax and transfer tax), representing approximately 11% of the total budgeted revenues. As of December 31, 2019, the General Fund has received approximately $5.7 million in sales tax receipts of which $3.4 million was recognized as revenue in the current FY. The General Fund received $5.5 million in sales tax receipts during the same period of the last fiscal year, of which $3.4 million was recognized as revenue as of December 2018. On a fiscal year basis over the same time period, sales tax revenue is flat.
3rd Quarter 2019 to 3rd Quarter 2018 Comparison
Alameda's receipts from July through September 2019 were 8% below the 3rd quarter sales in 2018. However, excluding reporting anomalies as a result of CDTFA reporting system conversion, actual sales were up 1.5%. Th...
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