Sales Tax Revenues Up For Navajo County, Holbrook

Last year, the county anticipated receiving $10.3 million in state shared sales tax revenue, but actually received $10.7 million. This fiscal year, the budget estimates shared sales tax revenues at $11 million, leaving about $6 million to be received in order to meet predictions.

County sales tax revenues are up over last year as well, with the county having taken in $3.6 million so far this year. Last year at this time, the county had collected $3.5 million in county sales tax revenues. The budget anticipates that the county will take in $6.8 million over the course of the fiscal year. Last year, the budget anticipated $6.2 million while actual sales tax revenues were $6.7 million.

Both state and county sales tax revenues dropped in October, with the county taking in less than it did the previous year, but collections recovered in November to push the totals back up above 2013. The county received a net payment of $598,435 in state sales taxes in October compared to $662,404 the previous year. In November, however, the county received $768,302, compared to $646,271 in November 2013. The trend was also reflected in county sales taxes, with the county collecting $496,081 in October this year compared to $592,451 in October 2013. Those collections also rebounded in November with a total of $722,441 collected in 2014, well over the $581,508 collected the previous year.

In addition to increased state and county sales tax collections, the county has also pumped up the budget with an increased property tax rate meant to offset the potential loss of federal payment in lieu of taxes (PILT) funding. Congress has since approved those funds and the county will receive them, in addition to a new line of income generated by housing Bureau of Indian Affairs (BIA) inmates at the county jail. County officials have warned, however, that the next fiscal year could again prove difficult as the state is expected to make deep budget cuts that will affect county revenues and expenditures.

The City of Holbrook has also seen a slight increase in sales tax revenues. So far this fiscal year, the city has received $217,483 in state sales tax revenues, up slightly from the $208,888 collected over the same time period the previous year.

City sales tax revenues showed a bigger gain, with collections so far this year totaling $1.9 million. Last year at this time, the city had collected $1.7 million.

The city did not have the same drop in October as the county as sales tax revenues, both state and local, have consistently remained slightly above 2013 levels.

The city eliminated property taxes this fiscal year and has not increased rates for other services, such as sewer and water. No rate increases are expected in the upcoming year.