The city’s July financial report, presented at Monday’s city council meeting, indicated a general fund year-to-day revenue shortage of 8 percent, or $168,351 with annual expenses through July totaling $2.082 million, surpassing income of $1.914 million. Compared to the same month in 2019, the mid-year gap narrowed from $210,475, which indicates tightened spending during the pandemic.
However, the 2020 reported general revenue is skewed by the addition of $197,653 of Parks Commission sales tax earnings which were not included in 2019 calculations. If those Parks funds were removed from general fund revenue, as they were in 2019, a more comparable analysis would indicate the revenue shortage at $366,005 or 17.6 percent, more than double the reported shortage.
Sales tax revenue was anticipated to be considerably lower than last year due to slowing tourism. However, compared to 2019 year-to-date, sales tax revenue is only down by a $30,070 or 8 percent.
Building permit income is up by $3,908 or 23 percent, and beverage tax income is more in line with the whole of the economy as it was down $37,369 or 38 percent.