Guthrie sees promising surge in sales tax revenue despite mixed use tax results

Guthrie’s financial forecast is looking brighter this summer as the city’s sales tax revenue shows a significant boost compared to last year.

July’s receipts, which account for May’s collections, have climbed to an impressive $758,134.22. This month’s collections mark a 5% increase over the same period last year, adding an extra $33,123 to the city’s funds.

The city’s 3.75% sales tax on goods and services is distributed across various essential sectors: 2% to the general fund, 1% to Public Works, and 0.75% to capital improvement projects.

This steady climb continues with the year-to-date (YTD) sales tax collection reaching $7,241,602. Although this figure is 0.28% higher than last year’s cumulative amount, it falls short of the YTD projection by 1%, or $100,607.

Contrastingly, the use tax collection presents a different narrative. This month’s receipt of $112,427.35 reflects a 9% decline compared to the same month last year, amounting to a drop of $10,609. However, a broader perspective reveals a silver lining: the YTD use tax collection stands at $1,086,768, surpassing the projected $999,296 by 9%, or $87,472.

The use tax, primarily collected from online shopping, remains a vital contributor to Guthrie’s revenue, funding city services, including police and fire departments. As the city navigates through these fiscal highs and lows, the steady influx of sales tax dollars continues to bolster the community’s essential services and infrastructure projects.