The COVID-19 pandemic shifted consumer spending nationwide. In Cedar Park, sales tax revenue showed 1.42% year-over-year growth on average since January. Leander has seen ongoing revenue growth in 2020 with 18.92% average year-over-year growth.
cedar park MONTHLY SALES TAX REVENUE
2019 revenue 2020 revenue
$3,000,000 , , $1,000,000 , , $1,500,000 , , $2,000,000 , , $2,500,000 , , $0 $500,,000
Januaray
february
march
april
may
LEANDER MONTHLY SALES TAX REVENUE
$0 $100,000 $200,000 $300,000 $400,000 $500,000 $600,000 $700,000 $800,000 , , , , , , , ,
Januaray
february
march
april
may
SOURCE: TEXAS COMPTROLLER OF PUBLIC ACCOUNTS *DATA REPRESENTS THE SALES MONTH, NOT THE MONTH WHEN THE REVENUE IS GIVEN TO THE MUNICIPALITY. REVENUE ALLOCATIONS ARE DELAYED BY ABOUT TWO MONTHS.
stores, restaurants, gyms, salons and other nones- sential businesses in mid-March while stay-at-home orders were in e ect. Business owners were forced to temporarily close or quickly adapt. Ronnie Swingler, owner of Leander Nutrition, said her business switched to curbside-only orders for several weeks during the pandemic until 50% capac- ity was allowed. The Leander shop sells healthy smoothies, shakes and teas. Extensive cleaning and new safety procedures kept sta and customers safe. “Our community is coming strong for us and help- ing to keep us a oat,” she said. Through personal and business changes over recent months, Swingler said she and her employees follow the motto of the shop’s neon sign: “Positive vibes only.” “We just try to be positive and uplifting,” she said. “And really try to be a positive place for our commu- nity in this crazy time especially.” As of July, Leander has tripled its sales tax growth projections. The city typically plans for a 5% annual
increase, but the projected increase is near 15% in scal year 2019-20, according to Robert Powers, the city nance director. According to city data, March was the sec- ond-highest sales tax month in Leander’s his- tory, but March was also when the pandemic was declared and stay-at-home orders were called. Increased online sales may be a factor to Lean- der’s growth. Online sales give use tax revenue, which is the same rate as a sales tax, to the loca- tion where the sale was delivered, according to the state comptroller. As Leander plans its next budget, Powers said the city will continue its “normally conservative bud-
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COVID 19 shifts cities’ sales, hotel revenues Sales tax receipts boosted in Leander during pandemic
BY TAYLOR GIRTMAN
Home Equity Loans ● Fast approval ● Low (or no!) closing costs ● Use it for just about anything While sales tax receipts are rising in Leander with tripled annual projections, the pandemic cut Cedar Park hotel tax revenue in half. County and statewide orders closed bars, retail Sales tax and hotel tax revenues from 2020 show two di ering consumer trends in Cedar Park and Leander.
geting philosophy.” Sales tax signi cance
Leander’s monthly 1% sales tax revenue showed considerable increases in year-over-year compari- sons, but Cedar Park’s 2% revenue was nearly unaf- fected between 2019 and 2020.
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