Town tax revenues remain solid

Good but not a record may become the new normal for 2023 Town of La Conner tourist tax revenues.

The June sales tax revenues of $53,130 reported to town council by the state’s Department of Revenue are the third highest total for the month, but again below the record amounts of 2022 and 2021. The Special Use Fire Tax revenues drop tracked the sales tax pattern. At $5,297 it was well below 2022’s total but only $272 below 2021. Sales and fire tax monthly totals are over double 2020, the first year of the coronavirus pandemic, and 10% above 2019, the last “old normal” year.

For the first half of 2023, sales tax revenues are at 46.6% of the year’s projected total.

The motel/hotel tax revenues are faring better. At $23,784, it was only $45 below 2022’s total. The six month total is 57% of budget projections.

The revenues are from April transactions, the DOR reporting on a two-month lag. There is no correlation analysis with the weather, which was again colder than normal, creating a late tulip-tourist month.

The $9,809 collected in property tax brings the six-month total to 54% of the annual budget. The $5,164 of REET tax (real estate excise tax), collected brings it to 45.7% for the year.

Revenues from the three wastewater operations funds continue to exceed projections. Of the $230,153 reported, almost half, $113,970, is from compost fees and sales. Sewer revenues of $83,476 comprises 36%. Expenses for the funds are much lower than budgeted, but projects may be scheduled for later in 2023.

Revenues from all sources for the year are 51% of projections. All expenses total 34% of the budget.

Sales tax totals are based on collections from town businesses and online purchases delivered to La Conner addresses and reported to town council.

La Conner has a calendar fiscal year.