City report shows spending below budget so far
February 04, 2014 2:56 PM
Shea Johnson, Staff Writer

VICTORVILLE • The city’s secondquarter financial report shows tax revenue continuing to rise amid higher home prices and an increase in local retail and auto sales.

The report includes revenues and expenditures from Oct. 1 to Dec. 31 in the General and Enterprise funds. It will be presented Tuesday at the City Council meeting.

Sales, franchise and property taxes, which now make up two-thirds of total General Fund revenues, increased by 6 percent over the prior fiscal year, according to the report. Among major categories, only Transient Occupancy Taxes saw a decline.

Sales tax showed a gain of 7 percent compared to the same period last fiscal year; it is still 2 percent less than forecasted with reconciliation of December’s actual sales tax pending.

“The majority of the increase in sales tax revenue resulted from retail and vehicle sales,” according to the report, which was prepared by Acting Deputy City Manager Bill Webb and Chief Financial Officer Adele Mosher.

“Consumers are spending more, but at more cautious rates,” according to the report.

Auto sales were up 3 percent in the city compared to last fiscal year’s second quarter, but economists predict a slow-down of car buying in 2014, the report stated.

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