September collections up across the board

Third-quarter collections of the

1-percent sales tax Hot Springs levies in support of its general fund ended slightly down compared to last year despite the 0.25-percent increase reported in September, according to information from the city’s finance department.

The $3,284,876 collected in July, August and September was almost

0.20 percent behind last year’s pace, but the $1,056,309 realized in September was $2,642 more than last year. The tax raised $9,957,392 through nine months, putting it 1.79 percent ahead of last year’s pace largely on the strength of a MarchApril-May rally that beat the 2017 spring quarter by 5.57 percent.

Collections rose for the second-consecutive month in September, building on a 2.60-percent increase in August that ended downturns of 0.32 percent and

3.13 percent in June and July.

The tax is projected to raise $13,384,683 but continues to lag behind the revenue forecast, trailing by $20,604, or 0.20 percent. The city projects a 1.7-percent increase next year, with the tax generating an expected $13,606,778 in 2019. A

2-percent increase from the $13,125,334 collected in 2017 was projected for this year.

An increase in the 3-percent sales tax the Hot Springs Advertising and Promotion Commission levies on prepared food and lodging inside the city was also reported for September. Collections rose 6.79 percent to $509,779 after a 15.98-percent surge in August.

Collections from the more than 70 hotels, RV parks and campgrounds within the commission’s taxing authority were up by about one-third in August and September. The $138,702 in August hotel collections was 36.49 percent more than last year, and the $129,541 collected in September beat last year by 28.90 percent.

The tax collected $5,004,510 through nine months, putting it 3.55 percent ahead of last year’s pace. Per city code, collections are due on the 20th day of the month and can be used to promote the city, operate and maintain the Hot Springs Convention Center and public recreational facilities inside the city.

The tax raises more than $6 million a year. The commission’s taxing authority comprises more than 300 restaurants, food trucks, grocery and convenience stores.

September collections of the countywide 0.50-percent sales tax Garland County levies for its general and solid waste funds were up 2.09 percent, increasing by $15,336 compared to last year. The $$750,058 collected in September gives the county $6,913,024 in collections for the first nine months of the year, putting them 3.16 percent ahead of last year’s pace.