I’m not entirely clear why there is not more alarm about the state of Mecklenburg County’s sales tax revenue status. Commissioners were told last night that the county had collected $83.2m. through April of this year compared to $89.m. in 2010. Because the county budgeted for only $139m. in sales tax revenue this year, this 6 percent lag was portrayed as no big deal. In fact a total take of $144m. is the current projection.
OK.
That means the county needs to realize about another $60m. in sales tax revenue between now and the end of the fiscal year on June 30th. And do that in an economic environment with gas headed toward $4 a gallon. Estimates are that the average driver will spend $750 more to drive this year. If so, that is money that cannot be spent on other things. Meanwhile, the county is still abut 30,000 jobs short of pre-recession levels with 10 percent unemployment. No income means no spending on taxable items.
I don’t know. I just doubt that the county can get there from here.
