Edmond sales tax collections grow again

EDMOND — Sales tax is up 1.32 percent in Edmond just ahead of the holiday shopping season, along with use taxes ahead of previous years.

For the month of November, the city collected $2,844,446 in sales tax, which is the sixth consecutive month of growth.

In total, the city collected $5,333,336 in total sales tax, which is one of its highest collections during the year outside of what is collected during the back-to-school and holiday season.

This is the second highest November collection in multiple years, according to City Finance Director Warren Porter’s monthly sales tax report.

Growth projections for general sales tax are at 1 to 2 percent, but Porter and others said they are happy with the increase.

For the first five months of the current fiscal year, the city is up 2.03 percent over last year through November.

Overall collections of sales and use tax collections are up 9.39 percent over last November, with collections being $3,378,042, up nearly $300,000 from last year.

Use tax collections are up more than 55 percent compared to the first five months this fiscal year, and during this time, sales tax on Amazon purchases have been adding to the use tax collection.

However, use tax collections have fallen the greatest among telecommunication carrier and power generation, which is because of electricity bills, Porter said.

Under state law, Edmond and other cities are reliant on sales tax to fund everyday services.

On the home front

New growth for the city also was reported by the Edmond Economic Development Authority, which tracks new residential permits and home sales.

New residential permits are up this year to more than 500. In 2016, only 340 new permits were issued to date, which signals a healthy growth in development.

The average home price for new residential permits are down from last year but are around $315,000. Sales tax for new construction materials also is rising.

“We have seen an increase in sales tax this year in building material and construction supply categories,” Porter said. The increase is usually the result of construction and new development in an area.

Home sales across the city are up from last year. The total number of homes sold to date is 3,550, which is up 11.3 percent from last year.

New commercial permits are down from last year with only 45 being issued this year to date, with 56 issued at the same time last year.

We have seen an increase in sales tax this year in building material and construction supply categories,”

City Finance Director Warren Porter