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As many communities deal with downward trends in sales tax collections, Pottawatomie County is no exception with its one-cent tax, which has taken a hit of about $100,000 a month recently.
Over the past several months, Pottawatomie County sales tax collections, on average, have been anywhere from $95,000 to $105,000 less per month over the same time frames last year.
The county’s one-cent tax, approved by voters in 2002, is divided into several areas that provide funds for services in specific areas, while departments within county government are operated on yearly budgets from ad valorem, or property, taxes.
One area that relies on part of the penny tax for some of its operational costs is the jail, and decreased sales tax revenues have put a dent in their budget, along with other factors.
While a 20 percent portion of the penny tax is strictly set aside to pay off bonds for the construction of the $7.2 million facility that opened in 2005, another 5 percent is slated for capital improvements for the jail and county roads and bridges. So far, the jail has needed all of those capital improvement funds each month and that account currently has a zero balance.
With the county’s one-cent tax, in effect from 2003 to 2013, each penny is divided into these key areas:
• 56 percent: Maintenance, repair and improvement of county roads and bridges.
• 20 percent: Constructing, furnishing, operating and maintaining the Pottawatomie County Public Safety Center.
• 5 percent: Capital improvements, to be used solely for the jail and county roads and bridges.
• 7 percent: Pottawatomie County fire departments
• 3.5 percent: Emergency services (sheriff/ambulance/911)
• 2 percent: Economic development
• 2.5 percent: OSU Extension Center
• 2 percent: Senior citizens
• 1 percent: Soil Conservation Service
• 1 percent: Pottawatomie County Free Fair/Junior Livestock Show
In January, the county sales tax brought in $550,204; while that number increased in February to $632,060. Since sales tax collection reports are typically for sales two months earlier, February’s numbers would include sales during the Christmas shopping season.
So far, according to accounting reports, many of the areas still have healthy unencumbered balances in their sales tax accounts, with some including carryover funds that may not have been used last year.
For more on how the downward sales tax trend may be affecting each of these entities, watch for updates.
As many communities deal with downward trends in sales tax collections, Pottawatomie County is no exception with its one-cent tax, which has taken a hit of about $100,000 a month recently.
Over the past several months, Pottawatomie County sales tax collections, on average, have been anywhere from $95,000 to $105,000 less per month over the same time frames last year.
The county’s one-cent tax, approved by voters in 2002, is divided into several areas that provide funds for services in specific areas, while departments within county government are operated on yearly budgets from ad valorem, or property, taxes.
One area that relies on part of the penny tax for some of its operational costs is the jail, and decreased sales tax revenues have put a dent in their budget, along with other factors.
While a 20 percent portion of the penny tax is strictly set aside to pay off bonds for the construction of the $7.2 million facility that opened in 2005, another 5 percent is slated for capital improvements for the jail and county roads and bridges. So far, the jail has needed all of those capital improvement funds each month and that account currently has a zero balance.
With the county’s one-cent tax, in effect from 2003 to 2013, each penny is divided into these key areas:
• 56 percent: Maintenance, repair and improvement of county roads and bridges.
• 20 percent: Constructing, furnishing, operating and maintaining the Pottawatomie County Public Safety Center.
• 5 percent: Capital improvements, to be used solely for the jail and county roads and bridges.
• 7 percent: Pottawatomie County fire departments
• 3.5 percent: Emergency services (sheriff/ambulance/911)
• 2 percent: Economic development
• 2.5 percent: OSU Extension Center
• 2 percent: Senior citizens
• 1 percent: Soil Conservation Service
• 1 percent: Pottawatomie County Free Fair/Junior Livestock Show
In January, the county sales tax brought in $550,204; while that number increased in February to $632,060. Since sales tax collection reports are typically for sales two months earlier, February’s numbers would include sales during the Christmas shopping season.
So far, according to accounting reports, many of the areas still have healthy unencumbered balances in their sales tax accounts, with some including carryover funds that may not have been used last year.
For more on how the downward sales tax trend may be affecting each of these entities, watch for updates.
