City tax manager: Gilbert sales tax collections 'higher than we could have hoped for' in May

coronavirus, economy
Gilbert sales tax collections are off during the coronavirus pandemic but higher than anticipated, according to officials. (Courtesy Adobe Stock)

Gilbert sales tax collections are off during the coronavirus pandemic but higher than anticipated, according to officials. (Courtesy Adobe Stock)

Gilbert’s sales tax collection for May approached $8 million, putting the town less than $1 million away from its budgeted total for 2019-20 with a month to go in the fiscal year.

Gilbert collected $7.96 million in May, putting the town at $97.13 million for the year while it awaits reports on June collections. The town budgeted for $98 million in revenue from sales tax—formally known as transaction privilege tax—but was on pace for $109 million in collections before the coronavirus pandemic affected the economy, Budget Director Kelly Pfost said during budget discussions.

“They [the numbers] are higher than we could have hoped for, in all honestly, considering what happened to some of our neighbors,” Tax Compliance Manager Sara Radbury said.

Radbury said Scottsdale’s collections are off by 30% but noted Gilbert’s numbers through the pandemic, while off, have remained relatively steady.

May's collection is only about $71,352.20 off from May 2019. It is $919,060.92 less than April, which was the fourth-highest month for collections in the fiscal year.

The collections for the month represent what was sent to the town that month and generally reflect transactions conducted in the previous month.


Leading the way on Gilbert collections was construction contracting, which at $988,253.69 was up from the previous three months as well as May 2019.

Also performing better than expected were retail sales, the largest category. The town collected $5.19 million, up $323,506.88 from May 2019 but down $479,054.86 from April.

Radbury said surges in online sales and sales of food for home consumption helped drive the category—items that make sense, Radbury said, given the pandemic.

“If you needed to buy shoes in April because your shoes broke,” she said, “you bought them online instead of going to the store. The shopping just shifted.”

She said a similar thing happened with fewer people eating at restaurants and bars but more buying groceries.

Restaurant and bar collections totaled $556,863.59, down $58,900.25 from April and $219,868.64 from May 2019.
By Tom Blodgett
Raised in Arizona, Tom Blodgett has spent 30 years in journalism in Arizona and is the editor of the Gilbert edition of Community Impact Newspaper. He is a graduate of Arizona State University, where he now serves as an instructional professional in the Walter Cronkite School of Journalism and Mass Communication and editorial adviser to The State Press, the university's independent student media outlet.


MOST RECENT

The Centers for Disease Control and Prevention and U.S. Food and Drug Administration recommended health providers pause distribution of the Johnson & Johnson vaccine April 13. (Olivia Aldridge/Community Impact Newspaper)
Federal health authorities recommend pause of Johnson & Johnson vaccine after 6 rare, severe blood clots

After six reported cases of a rare and severe blood clot in patients who received the vaccine, the Centers for Disease Control and Prevention and U.S. Food and Drug Administration are recommending a pause on administration of the Johnson & Johnson COVID-19 vaccine.

See a breakdown of COVID-19 cases, vaccinations and more local data. (Community Impact staff)
COVID-19: See cases, vaccinations by ZIP code in Gilbert

Here are the COVID-19 data updates to know today.

Here are the coronavirus hospitalization data updates to know across Arizona. (Community Impact staff)
ADHS: ICU beds in use down to 148 April 11

See the latest COVID-19 hospitalization data.

Gilbert real estate data
Available homes on Gilbert market down sharply in February

Here is what you need to know about Gilbert's residential real estate market from February 2021.

Here are two salons that have opened or changed locations recently in Gilbert. (Courtesy Madison Reed)
Two salon changes to know in Gilbert

Here are two salons that have opened or changed locations recently in Gilbert.

Salt Tacos y Tequila, SanTan Village
Salt Tacos y Tequila to open at SanTan Village in 2021

The restaurant’s first location is in the Westgate Entertainment District in Glendale.

Co-owners Jalon and Carolina Buckstead each have prior experience in restaurants. (Tom Blodgett/Community Impact Newspaper)
Gilbert's Rocky Point Seafood focuses on authenticity; Chandler USD selects interim leader and more top area news

Read the top business and community news from the past week from the Gilbert and Chandler areas.

Lindsay Road
Lindsay Road restrictions at Loop 202-Santan Freeway will last into 2022

Traffic on Lindsay Road will continue to be one lane each direction for the duration of the Lindsay Road traffic interchange project at the Loop 202-Santan Freeway.

The state-run vaccination site at Phoenix Municipal Stadium, which has administered nearly 200,000 doses of COVID-19 vaccine, will relocate April 12 to Desert Financial Arena on Arizona State University’s Tempe campus. (Courtesy Arizona Department of Health Services)
Phoenix Municipal Stadium vaccination site to move indoors to ASU's Desert Financial Arena

The state-run vaccination site at Phoenix Municipal Stadium, which has administered nearly 200,000 doses of COVID-19 vaccine, will relocate April 12 to Desert Financial Arena on Arizona State University’s Tempe campus,

Maricopa County residents have received over 2 million doses of COVID-19 vaccine, according to an April 7 update from the Maricopa County Department of Public Health. (Courtesy Adobe Stock)
Nearly 40% of all Maricopa County adults have received at least one dose of vaccine

Maricopa County residents have received over 2 million doses of COVID-19 vaccine, according to an April 7 update from the Maricopa County Department of Public Health.

Jeff Gadd
Higley USD reviews $95 million bond proposal for fall

The Higley USD governing board reviewed at its April 7 meeting a district proposal to run a $95 million capital bond before voters in the fall.

The Chandler USD governing board announced April 7 Frank Narducci would succeed Camille Casteel as the district's superintendent beginning this summer. (Alexa D'Angelo/Community Impact Newspaper)
Chandler USD governing board selects interim superintendent

The Chandler USD governing board announced April 7 Frank Narducci would succeed Camille Casteel as the district's superintendent beginning this summer.