City retail sales fall off pace in February | PostIndependent.com

City retail sales fall off pace in February

GLENWOOD SPRINGS, Colorado – A positive first month of the year for retail sales in Glenwood Springs did not carry over into February, according to the city’s sales tax report for the month.

Glenwood Springs saw a nearly 2.5 percent decline in retail sales in February compared to the same month last year, according to the preliminary report.

The numbers could adjust upwards once all of the sales taxes for the month are reported.

Still, it looks to be the first decline in the month-over-month sales comparison since January of 2011, according to the report, which tracks proceeds from the city’s 3.7 percent sales tax over the past five years.

For the month of February, the city brought in $920,519 in sales taxes on total retail sales of roughly $24.9 million.

By comparison, Glenwood Springs retail businesses remitted $943,800 in sales taxes in February 2012.

Retail sales were also down somewhat compared to January of this year, when Glenwood Springs stores recorded more than $27.7 million in sales.

That resulted in more than $1 million in sales taxes for the first month of the year, up nearly 7.8 percent compared to January 2012.

In February, though, consumer activity dropped off in three of the major retail categories, including restaurants and bars which had a 2.7 percent drop in sales compared to the same month last year.

General merchandise sales were also down 0.14 percent, and purchase of building materials and supplies was down 0.5 percent, according to the February report.

Other categories showed gains, however, including food store sales, which were up 3.9 percent; automobile service stations, up 3.4 percent; miscellaneous retail, up 3.8 percent; and motel/hotel, up 8.8 percent.

The city’s 2.5 percent accommodations (lodging) tax on overnight motel, hotel and bed and breakfast stays was also up 4.3 percent in February.

That was off the pace set in January, however, when lodge owners reported a 13.7 percent increase over the previous January.

City sales taxes go to support city general fund needs, in addition to dedicated sales tax funding for streets, capital projects, acquisitions, the city bus service and the fire department.

Lodging tax revenues go to support the city’s tourism marketing efforts and special events.

jstroud@postindependent.com


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