AMARILLO, TX (KFDA) - The City of Amarillo and the City of Canyon are seeing opposite sales tax trends going upward and downward, respectively.
For the City of Amarillo, a downward trend is being seen in February’s sales tax allocations by six percent compared to last year.
The City of Amarillo’s Finance Director Laura Storrs said it’s too soon to know what the exact reasons are for the decrease.
“At this point in time we have no reason to have a lot of concern about this decrease,” said Storrs. “We are really hopeful that this will be a one time decrease so we’re hoping we’re gonna see that upward trend start back again next month.”
Storrs said sales tax dollars are Amarillo’s number one revenue source for the city’s general fund operations, which largely benefits the community.
“So as we continue to see tax sales increase, that puts more money back in the city’s general fund operations,” said Storrs. “That money goes straight towards helping efforts like fire and police, streets and some of those basic city functions that serve our community. As those tax dollars go up, we’re able to put additional money into a lot of our public safety initiatives, just to help further our community.”
For the City of Canyon, sales tax collection is seeing an upward trend.
“A lot of what we’re seeing today is due to a lot of the additional retail that we have in Canyon,” said City of Canyon City Manager Randy Criswell. “Ten, twelve years ago, Canyon wasn’t what Canyon is. The more money that’s spent in the city limits of Canyon, the more dollars that go into those two pots.”
Chriswell is optimistic the trend will continue.
“That sales tax trend from year to year will continue to rise for Canyon,” said Criswell. “I just think that’s our future and that’s what we have built ourselves into. We’ve become a product that people like to buy, so to speak.”
Storrs said there is one way the community can help both cities tax sales, which is by shopping locally and supporting local vendors and local businesses.