Sales tax receipts rise for Bentonville, Springdale

Sales tax receipts jumped up in Bentonville and Springdale and were up around Northwest Arkansas this month.

Cities received November sales tax from the state in January.

By The Numbers

Sales tax revenue

City20142015*Percent change

Bentonville$680,071$845,573*+24.3 percent

Fayetteville$1,463,225$1,560,512*+6.6 percent

Rogers$1,245,277$1,259,776*1.2 percent

Springdale$808,255$970,692*+20 percent

Bella Vista$103,188$135,242*+31 percent

Lowell$234,317$231,905,*-1 percent

Siloam Springs$247,602$266,817*+7.8 percent

Source: Staff Report

Bentonville had the largest percentage jump, up 24.3 percent compared with what the city received in January 2014. Sales tax revenue received in January was $845,573 compared with $680,071 in 2014, a difference of $165,502.

Corporations can apply for sales tax rebates and that can cause the numbers, especially in Bentonville, to fluctuate, said Denise Land, Bentonville finance director. The city closed the books on 2014 on a high note, Land said. January receipts were included in fiscal 2014.

"This rounded us out for the year," she said.

Springdale saw a 20 percent increase over last year at the same time. Sales tax revenue for January was $970,692, compared with $808,255 in 2014, a difference of $162,437.

Springdale has been on an upward trend since early summer, said Wyman Morgan, Springdale administration and finance director. The opening of the Walmart Supercenter on Elm Springs Road boosted the city's numbers, but the trend started before that, Morgan said. His goal is to hit the 2006 level of sales tax coming in to the city coffers. November sales missed that $1 million mark. During 2006 the city collected $12.4 million in sales tax. The 2014 total was $11.3 million, Morgan said.

Some of the Springdale increase probably was sales shifted from Walmart stores in Rogers, Morgan said.

Rogers showed the smallest growth with a 1.2 percent increase. Sales tax revenue for January was $1,259,776, compared with $1,245,277 in 2014, a difference of $14,499.

Some of the business from the Walmart Supercenter on Pleasant Grove Road probably did go to Springdale, said Casey Wilhelm, Rogers finance director. She's estimated a $200,000 to $300,000 a month impact to the city. Some of those shoppers might come back as the newness of the Springdale store wears off, she said. However, sales in Rogers still are poised to grow in a slow and steady manner, she said. Wilhelm estimated 1 to 2 percent increases for the next year.

Fayetteville showed a 6.6 percent increase over sales last year during the month of November. Sales tax revenue for January was $1,560,512, compared with $1,463,225 in 2014, a difference of $97,287.

That was a strong showing for Fayetteville.

The city completed fiscal 2014 $20,000 under projection of $30,624,000 in a combination of sales tax from city and that passed on through Washington County receipts.

"We have been running a little behind," said Paul Becker, Fayetteville finance director.

Finance directors are looking to next month's release of figures for a better understanding of local economics.

Christmas sales out next month will show an increase, Wilhelm said. Winter storms in 2013 pushed down sales as snow and ice hit the region, she said.

December is always the biggest month for all the cities and finance heads look toward the February release of December taxes as a prediction for the coming year, Becker said.

"It's a pretty good indicator," Becker said.

NW News on 01/29/2015

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