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Churchill County saw its taxable sales increase by 11.9 percent in April 2008 from April 2007, but the figures are still down $7 million from last year.
For the first 10 months of the current fiscal year to the first 10 months of last year, the county has seen a decrease of 3 percent.
County Comptroller Alan Kalt said, while the April number is encouraging, the county is still down 3 percent for the entire year.
What helped the county recently is the increase in the utilities for geothermal plants.
The sales tax distribution, he said, is down 7.6 percent from last year because of few residential construction projects taking place.
Because of the economy, Kalt said several people are looking hard at where to use their discretionary money.
As an example, Kalt pointed to furniture stores decreasing $1.2 million in sales for the first 10 month of the fiscal year when compared to the same time as last year. The figures are worse when comparing the sales tax figures for April 2007 and April 2008, showing a decrease of 19.4 percent.
What has really affected the county is the taxable income on the sale of motor vehicles. Kalt said sales are down 14 percent from $43.6 million to $37.5 million.
“What is happening is the price of fuel and energy costs are going up and causing people not to make significant purchases,” he said.
Kalt said the vehicles currently being purchased are smaller cars using less gasoline.
What is happening in Fernley is also having a direct impact on Churchill County, as evidenced by general merchandise taxable sales dropping 6.1 percent from $50.5 million to $47.5 million.
What is more evident is the 21.2 percent decrease from April 2007 to April 2008, since there wasn’t a Wal-Mart or Lowe’s in Fernley in April 2007.
Kalt thinks the opening of these two stores are likely causing people to stay at home to shop locally. He added the fuel Fernley residents would use to make the trip to Fallon is also a factor.
Churchill County casino winnings also decreased by 1.5 percent to $1.9 million.
Kalt said the easiest and best way to make up the $3 million decrease in general merchandise sales is for consumers to make a conscious effort to support local consumers.
He added the Fallon Chamber of Commerce has done a tremendous job in promoting businesses, but consumers need to purchase locally whenever possible.
He said he thinks the April 2008 numbers are a good sign things could be picking up, but added time will tell if April was an abnormality.
The numbers are more encouraging for Lyon County for both the entire year and the comparison from April 2007 and April 2008.
In the month-to-month numbers, Lyon County taxable sales shot up 40.8 percent from $30.4 million to 42.9 million. For the 10 months of this year compared to same time last year, taxable sales increased 3 percent from $310 million to almost $320 million.
Bonnie Duke, the finance director and treasurer for the city of Fernley, said she thinks the opening of Wal-Mart, Lowe’s and other smaller stores such as Burger King and Starbuck’s make up the majority of the $12 million increase.
Lyon County casino winnings also increased 8 percent to $3.8 million.
“The fact that sales tax is up so significantly is no surprise to me. Residential is still down, but industry and commercial are still going strong,” Duke said, adding cuts were made in the building department because of the reduction in the construction of homes.
Duke said when the housing market rebounds in Washoe County, Fernley will also see an increase of homes being purchased.
For the first 10 months of the current fiscal year to the first 10 months of last year, the county has seen a decrease of 3 percent.
County Comptroller Alan Kalt said, while the April number is encouraging, the county is still down 3 percent for the entire year.
What helped the county recently is the increase in the utilities for geothermal plants.
The sales tax distribution, he said, is down 7.6 percent from last year because of few residential construction projects taking place.
Because of the economy, Kalt said several people are looking hard at where to use their discretionary money.
As an example, Kalt pointed to furniture stores decreasing $1.2 million in sales for the first 10 month of the fiscal year when compared to the same time as last year. The figures are worse when comparing the sales tax figures for April 2007 and April 2008, showing a decrease of 19.4 percent.
What has really affected the county is the taxable income on the sale of motor vehicles. Kalt said sales are down 14 percent from $43.6 million to $37.5 million.
“What is happening is the price of fuel and energy costs are going up and causing people not to make significant purchases,” he said.
Kalt said the vehicles currently being purchased are smaller cars using less gasoline.
What is happening in Fernley is also having a direct impact on Churchill County, as evidenced by general merchandise taxable sales dropping 6.1 percent from $50.5 million to $47.5 million.
What is more evident is the 21.2 percent decrease from April 2007 to April 2008, since there wasn’t a Wal-Mart or Lowe’s in Fernley in April 2007.
Kalt thinks the opening of these two stores are likely causing people to stay at home to shop locally. He added the fuel Fernley residents would use to make the trip to Fallon is also a factor.
Churchill County casino winnings also decreased by 1.5 percent to $1.9 million.
Kalt said the easiest and best way to make up the $3 million decrease in general merchandise sales is for consumers to make a conscious effort to support local consumers.
He added the Fallon Chamber of Commerce has done a tremendous job in promoting businesses, but consumers need to purchase locally whenever possible.
He said he thinks the April 2008 numbers are a good sign things could be picking up, but added time will tell if April was an abnormality.
The numbers are more encouraging for Lyon County for both the entire year and the comparison from April 2007 and April 2008.
In the month-to-month numbers, Lyon County taxable sales shot up 40.8 percent from $30.4 million to 42.9 million. For the 10 months of this year compared to same time last year, taxable sales increased 3 percent from $310 million to almost $320 million.
Bonnie Duke, the finance director and treasurer for the city of Fernley, said she thinks the opening of Wal-Mart, Lowe’s and other smaller stores such as Burger King and Starbuck’s make up the majority of the $12 million increase.
Lyon County casino winnings also increased 8 percent to $3.8 million.
“The fact that sales tax is up so significantly is no surprise to me. Residential is still down, but industry and commercial are still going strong,” Duke said, adding cuts were made in the building department because of the reduction in the construction of homes.
Duke said when the housing market rebounds in Washoe County, Fernley will also see an increase of homes being purchased.
