Title
Recommendation to Accept the Quarterly Sales Tax Report for the Reporting Period Ending December 31, 2018 (Funds Collected During the Period July 1, 2018 to September 30, 2018). (Finance 2410)
Body
To: Honorable Mayor and Members of the City Council
From: Eric Levitt, City Manager
EXECUTIVE SUMMARY
The California Department of Taxes and Fees Administration (CDTFA), formerly the Board of Equalization, allocates sales tax to the City on a monthly basis. This report provides information about the activity for the period ending December 31, 2018 (funds collected during the period of July 1, 2018 to September 30, 2018).
BACKGROUND
This report summarizes the sales tax receipts for the point-of-sales activity for the period of July 1 through September 30, 2018. This is the basis for sales tax revenues received by the City of Alameda (City) between October 1, 2018 and December 31, 2018. For the purposes of this report, sales tax revenues exclude Proposition 172 funds, the allocation from statewide pool for public safety services.
DISCUSSION
Fiscal Year-to-Date (July 1 to September 30)
For the 2018-19 Fiscal Year, Sales Tax is the second largest source of General Fund revenues for the City, representing approximately 12% of the total budgeted revenues. As of December 31, 2018, the General Fund has received approximately $3.4 million in Sales Tax receipts. The General Fund received $3.3 million in Sales Tax receipts during the same period last fiscal year. This represents a 3% increase in year over year Sales Tax revenues received for that period.
CDTFA's new computer system, launched earlier in the year, continues to have taxpayer processing complications. These complications continued to skew the distributions; higher results for the third quarter reflected sizeable receipt of late payments.
3rd Quarter 2018 to 3rd Quarter 2017 Comparison
The City's receipts from July through September showed a 19.4% increase compared to the second sales perio...
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