Posted: Sep 13, 2011 10:41 PM by Stephanie Collins
Updated: Sep 14, 2011 4:04 AM
Some good news in Colorado Springs, the city's reporting a big increase in sales tax revenue. They say it's due in part to some of the big events we've had this summer like the U.S. Women's Open.
The latest sales tax revenue report covers August collections, which are based on July activity, and that's when the U.S. Women's Open was in town. The city received the biggest increase in revenue from local hotels and restaurants, "We had some great events in July including the U.S. Women's Open, that we were hoping would generate great economic activity," says Interim Finance Manager Kara Skinner.
The report shows a 22% increase from hotels and motels compared to last year. Restaurants also brought in more sales tax with a gain of nearly 9%. All good economic signs, but the city remains cautious, "Were going to be quite conservative going forward, but were hopeful that it could be an upward trend," adds Skinner.
Local businesses share that hope, "Hopefully that will continue throughout the winter and through next summer. Hopefully it will keep moving forward and not down where it's been in the past," says Sallie Clark, owner of the Holden House Bed and Breakfast.
While restaurants were up the report shows that grocery stores saw a sales tax revenue decrease of over 14.5%. Overall sales and use tax revenue is up over 16% compared to last year. The money earned through sales tax goes into the general fund and is used for police, fire, street repair and park maintenance.