On June 2, Texas Comptroller Glenn Hegar sent cities, counties, transit systems and special purpose taxing districts $744.2 million in local sales tax allocations for July 2020, 2.6% less than July 2019. Allocations are based on sales made in May by businesses that report tax monthly.
Locally, cities in Atascosa County are fluctuating in revenue. The City of Poteet and Lytle each saw an increase this month despite the COVID-19 pandemic. Poteet went from $39,450.42 in July 2019 to $42,102.57 this month. Lytle’s revenue increased to $110,774.03 this month compared to July 2019’s revenue of $93,394.40. The remaining three cities of Pleasanton, Jourdanton and Charlotte continue to see decreases in revenue during the COVID-19 pandemic.
According to Pleasanton City Manager Johnny Huizar, the city has been maintaining its sales tax revenue despite the pandemic. The city continues to keep up with services for citizens like it used to and is doing its part to keep up with its fiscal year budget which ends on September 30, 2020.
“We have really held back on making any unnecessary purchases and have brought our expenses down tremendously,” he said.
Last month, the city was 14% lower than June 2019, and this month, they are 19% lower than July 2019.
“We are seeing a steady decline in revenue each month, but I assure you that we are in good standing, so long as we don’t go into another shutdown.”
Huizar explained that citizens need to continue to do their part in slowing the spread of COVID-19 in the community to help prevent another shutdown that will otherwise hurt the city’s budget.
“We do have a healthy re- serve balance for what we like to call our rainy day fund that we have worked on for the past five to six years,” he said. “But, we all need to continue to do our part during this pandemic so that we can continue to be in a good standing. We cannot afford to go into another shutdown.”
Huizar complimented essential businesses such as H-E-B and Walmart who bring in a good part of the sales tax revenue as well as the smaller, local businesses in the city who are doing their best to remain open with the community’s support.
Atascosa County’s revenue continues to drop, as expected, due to the COVID-19 pandemic. For this month, the county received $278,843.30 as compared to July 2019’s revenue of $618,794.68. That’s a 54.93% loss in revenue for the county.
“No doubt these numbers are disappointing, but expected,” said Atascosa County Judge Bob Hurley. “We are building a frugal budget that anticipates up to a $4 million loss in sales tax revenue this year. We have already put cost-saving measures into place to restrain spending Statistics this fiscal supplied year by State and an extremely conservative budget for next year which assumes the economy will be slow in coming back.”
Widespread social distancing requirements were relaxed across much of the state in May, thus year over year declines were not as steep as they were last month.of Public Accounts