City sales taxes collected in August broke $1 million.
“We are really keeping pace with last year’s sales figures, which attest that Manhattan is becoming a regional shopping hub,” ” said city finance director Bernie Hayen.
August sales tax receipts were $1,010,865. In 2012, the city collected $905,589.
Hayen said Kansas Department of Revenue is getting faster at reporting those figures — so the slight increase shown in this month’s report includes some of the Kansas State University intercollegiate ticket sales that weren’t reported until November last year.
However, Hayen said retail sales are still strong and he projects that sales will be close to the record setting sales from 2012.
“With two months remaining we are slightly ahead of last year’s record total,” Hayen said. “While we may not keep this pace, we will be close by year’s end to the total sales taxes collected in 2012.”
Total sales are up 0.7 percent compared to last year, but the downtown redevelopment sales are down almost 7 percent. Sales outside the redevelopment area are up by 1.3 percent.
As for what the city budgeted, sales taxes collected are $117,174 more than expected. Combined with last month’s above average sales, the city has a budget surplus of $166,010 thus far for the year.
Sales taxes were collected about six weeks before being reported. Therefore, October sales tax figures reflect sales from mid-August to early September.