At the most recent Peachtree City Council meeting, Councilman Eric Imker shared what he views as positive news about the economy.
Sales tax revenue is on the rise again, Imker said, noting that the city is now projected to see an increase of $300,000 in the category by the end of the fiscal year in September.
“I think we’ve turned the corner on the sales tax with this economy, so that’s some really good news,” Imker said, pointing to the data on the monthly reports generated by city staff. “I appreciate seeing that information.”
The one-cent local option sales tax is one of the largest revenue generators for the city, and officials budgeted to reach $6.52 million in that category for the year. The sales tax is the second-highest source of income for the city, behind the projected property tax revenue of $11.76 million.
The city later this year will enter negotiations with their counterparts from the county and Fayette’s other municipalities as to how the countywide sales tax will be divvied up for the next 10 years. Currently the formula is based on population figures from each jurisdiction and councilmembers are worried they may face a significant loss since the city’s growth has slowed significantly in recent years compared to the other jurisdictions.
Imker noted last week that hotel-motel tax revenue is down slightly for the year, but he said that’s actually good news because it’s usually a bit slower during the winter months for the hospitality industry.
Imker also pointed out the city taking action in recent weeks to shrink the city’s vehicle count by more than 30, which will reduce stress on the city’s vehicle maintenance crews and also the city budget.
