NW Arkansas cities’ sale tax revenue rises

SPRINGDALE — Sales tax revenue rose this month for the major cities in Northwest Arkansas.

Fayetteville increased by 10.7 percent in December’s receipts compared with the same month last year. Rogers’ receipts rose 14.1 percent, Springdale 15.2 percent and Bentonville 36.3 percent.

Sales tax revenue received by cities in December represent October sales. This report tracks a one percent sales tax that feeds into cities’ general funds.

The cities also showed increases for the calendar year ranging from 7 to 15 percent.

Springdale had a 15.2 percent increase this December over last year with a little more than $1.15 million received in 2015 compared with $998,562 received in December 2014, a difference of $151,822.

Several stores and restaurants opened this year in Springdale, and the city expects more to open next year, said Wyman Morgan, administrator and financial services director for the city. The sales tax expansion is allowing for nearly 20 new positions in the 2016 city budget.

“We needed to cover the growth,” Morgan said.

The additional positions include an accountant, three or four park positions and 11 position in the police department, including new clerks to aid officers in creating reports.

Sales tax revenue in Springdale also went up 10.2 percent during 2015 compared to 2014. Total sales tax received by the city in 2015 was about $12.5 million compared to almost $11.4 million in 2014.

Rogers, too, used some of its increase in sales tax revenue to add positions, including three at the police department, three in the parks department, two in inspections, a finance position, public relations position and a couple of people in the street department, which had no expansion for years, Finance Director Casey Wilhelm said.

Rogers was up 14.1 percent this December over last year with nearly $1.4 million received this month compared to a little more than $1.2 million in December 2014, an increase of $173,323.

In total, the city received $1.7 million more than anticipated in sales tax during the 2015 calendar year, Wilhelm said.

Rogers saw an increase of 8.3 percent, or $1.2 million, from 2014 to 2015. The city received about $16.1 million in sales tax during 2015 compared to almost $14.8 million during 2014.

Fayetteville added 25 new positions this year, most in fire and police, but did not depend on sales tax increases to cover all the cost, Finance Director Paul Becker said.

Property tax increases will cover the 19 new positions in public safety.

Sales tax rose this month in Fayetteville 10.7 percent compared with the same period last year. The city received about $1.7 million this month compared to almost $1.6 million in 2014.

City sales tax collection is up 7.5 percent, or nearly $1.4 million, compared to last year. The city received almost $19.7 million in 2015 in one percent sales tax revenue compared with about $18.3 million during 2014.

Bentonville saw a 36.3 percent increase with about $1.2 million received this month compared to the same month last year when it received $881,493.