Glenwood sales tax revenues drop again
Glenwood Springs sales tax revenues declined for the third straight month, compared to a year ago, but lodging taxes made a sharp rise.
The city’s February 2002 sales tax revenues were down 1.4 percent compared to February 2001, according to figures released Wednesday by the Glenwood Springs Finance Department.
The month delay in releasing the figures reflects the time it takes to collect and tally the taxes.
Meanwhile, the Glenwood Springs Chamber Resort Association reported that accommodations tax receipts increased by 4.4 percent in January and by 7.9 percent in February, compared to the same months in 2001.
The sharp increase in accommodations tax revenues also is an indication of a strengthening economy.
The overall city sales tax revenue decline, which already was the longest decline since the 1980s after just two months, is also showing signs of slowing. In December 2001, the decline was 2.2 percent from the previous year.
And the January 2002 figures were revised in the city’s favor. Reports last month showed January revenues were down by 3.6 percent. In fact revenues were actually down only 2.5 percent.
“We had some late filers,” finance director Mike Harman said. “We received additional money for January in the last filing.”
Also, February’s drop was more than a full percentage point lower than January’s drop.
In 2001, tax revenues showed a 3.3 percent increase for the year as a whole.
Further indications of the stable tourism economy in Glenwood Springs are the occupancy and average daily rate figures for local accommodations, according to the chamber.
The Colorado Hotel and Lodging Association reports the average statewide lodging occupancy rate in January was 49.2 percent. Glenwood Springs came in close to that figure at 43.8 percent.
In February, however, Glenwood Springs’ 59.5 percent hotel occupancy rate was higher than the state average of 55.4 percent.
“The good news is that people are staying closer to home, driving and looking for great family getaways,” said Lori Hogan, marketing director for the chamber.
“Part of the increase could be based on the cooperative efforts of the Glenwood Springs Chamber, the Hot Springs Pool, Sunlight Mountain Resort and the properties who participated in the `Ski, Swim, Stay’ program this year,” she said.
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Reporter Ray K. Erku can be reached at 612-423-5273 or firstname.lastname@example.org