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HomeMy WebLinkAbout01. 251007 TOV Revenue Update1 TOWN OF VAIL REVENUE UPDATE October 7, 2025 4.0% General Sales Tax Upon receipt of all sales tax returns, August 2025 collections are estimated to be $3,227,564, up 5.8% from 2024 and up 6.2% from the budget. 2025 YTD collections of $31,210,809 are up 2.8% from 2024 and up 3.1% from the budget. Inflation as measured by the consumer price index was up 2.9% for the 12-months ending August 2025. The annual budget totals $42.1 million. 0.5% Housing Fund Sales Tax Upon receipt of all sales tax returns, August 2025 collections of the 0.5% housing sales tax are estimated to be $390,560, are up 5.8% from 2024 and up 3.5% from the budget. 2025 YTD collections of $3,788,466 are up 2.8% from 2024 and up 1.2% from the budget. The annual budget for the housing fund sales tax totals $5.2 million. Real Estate Transfer Tax (RETT) RETT collections through September 30 total $6,825,440, up 9.2% from 2024. The number of property sales (excluding time-shares) is tracking down (2.9)% from 2024, while the average collection amount is up 12.1%. The budget for RETT collections totals $7.7 million for 2025. Construction Use Tax Use Tax collections through September 30 total $1,992,839 compared to $2,276,205 in 2024. The budget totals $2.5 million for 2025. Lift Tax Lift tax collections through August 2025 total $5,442,847, up 2.3% or $120,897 from August 2024. The budget totals $6,915,427. Summer Daily Parking Sales Daily sales from the parking structures and gated lots from May through September 25th total approximately $1,134,900. This compares to $476,913 for the same period last year. In 2025, the Town implemented a daily summer paid parking program while in 2024, only overnight stays and event parking were charged fees. The 2025 budget for daily summer parking revenue is $2.5 million. Based on current year to date collections, staff anticipates that actual revenues will fall short of budget by approximately $895,000. Staff believes the variance is due to a combination of factors, including the total number of transactions, average duration of stays, and the volume of employee parking passes sold and used. 2 Summer Parking Pass Sales Summer parking pass sales through September 25th total approximately $46,850. The budget for summer parking passes totals $29,774. Summary Across all funds and excluding one-time grants and reimbursements, year-to-date total revenue of $75.6 million is up 5.7% from the amended budget and is up 1.3% from the prior year. The majority of the positive variance compared to the budget is due to higher-than- expected interest earnings, real estate transfer tax collections, and sales tax collections. Compared to the prior year, real estate transfer tax, sales tax, and parking fee collections have increased, while interest earnings and use tax collections have decreased. Pass Type Summer Season Sales Premier 10 Employee 117 Employee Plus 14 Eagle County Local 109 Vail Local 214 Total 464 2025 Budget % change % change 2020 2021 2022 2023 2024 Budget Variance from 2024 from Budget January 4,076,145$ 3,422,209$ 5,217,125$ 5,911,572$ 5,805,199$ 5,791,927$ 5,975,145$ 183,218$ 2.93% 3.16% February 4,285,633 3,691,850 5,686,585 6,041,108 6,080,349 6,063,693 6,305,852 242,159 3.71% 3.99% March 2,243,518 4,364,797 5,912,059 6,055,992 6,412,535 6,162,148 6,259,745 97,597 -2.38% 1.58% April 427,518 1,751,528 2,234,296 2,264,892 1,842,893 2,082,859 2,199,229 116,370 19.34% 5.59% May 503,828 1,061,516 1,227,974 1,118,011 1,176,629 1,152,860 1,222,279 69,419 3.88% 6.02% June 1,023,517 2,149,312 2,317,931 2,272,457 2,361,482 2,355,770 2,374,206 18,436 0.54% 0.78% July 2,084,644 3,491,668 3,507,973 3,412,277 3,643,192 3,629,309 3,646,789 17,480 0.10% 0.48% August 2,138,838 2,877,550 2,997,389 2,932,111 3,052,213 3,038,643 3,227,564 188,921 5.75% 6.22% YTD 16,783,641$ 22,810,430$ 29,101,332$ 30,008,420$ 30,374,491$ 30,277,209$ 31,210,809$ 933,600$ 2.75% 3.08% September 1,767,393 2,359,528 2,441,331 2,508,064 2,415,397 2,414,174 - October 1,371,727 1,734,964 1,729,558 1,773,358 1,753,419 1,752,419 - November 1,425,461 1,880,397 1,902,643 1,901,141 1,844,461 1,843,961 - December 3,625,189 5,749,365 5,602,018 5,811,950 5,789,893 5,776,237 - Total 24,973,411$ 34,534,683$ 40,776,882$ 42,002,933$ 42,177,661$ 42,064,000$ 31,210,809$ 933,600$ 2.75%3.08% 2025 Budget % change % change 2022 2023 2024 Budget Variance from 2024 from Budget January 645,487$ 720,906$ 705,167$ 711,525$ 727,361$ 15,836$ 3.15% 2.23% February 702,730 736,788 741,549 753,337 768,535 15,198 3.64% 2.02% March 719,717 738,244 783,123 769,644 764,713 (4,931) -2.35% -0.64% April 269,018 271,930 222,032 249,107 265,261 16,154 19.47% 6.48% May 146,657 132,333 139,793 143,483 145,959 2,476 4.41% 1.73% June 280,460 275,113 284,485 291,846 286,506 (5,340) 0.71% -1.83% July 424,602 412,849 439,142 448,039 439,572 (8,467) 0.10% -1.89% August 361,165 352,887 369,212 377,205 390,560 13,355 5.78% 3.54% YTD 3,549,836$ 3,641,050$ 3,684,503$ 3,744,186$ 3,788,466$ 44,280$ 2.82% 1.18% September 294,861 304,068 293,066 299,772 - October 207,397 213,568 210,364 217,051 - November 230,383 229,092 222,639 228,495 - December 671,982 703,050 699,750 712,030 - Total 4,954,459$ 5,090,828$ 5,110,322$ 5,201,534$ 3,788,466$ 44,280$ 2.82% 1.18% Town of Vail Revenue Update October 7, 2025 4.0% GENERAL SALES TAX 2025 Budget Comparison Actual 4.0% Collections 0.5% HOUSING SALES TAX 2025 Budget Comparison 4.0% Collected Sales Tax Actual 0.5% Collections 0.5% Collected Sales Tax Town of Vail Revenue Update YTD 4% General Sales Tax Collections By Year October 7, 2025 Through August 31 August 4% General Sales Tax Collections By Year Through August 31 •August collections of $3,227,564 are up 5.8% from prior year and are up 6.2% from the budget. $2,877,550 $2,997,389 $2,932,111 $3,052,213 $3,227,564 $0 $500,000 $1,000,000 $1,500,000 $2,000,000 $2,500,000 $3,000,000 $3,500,000 2021 2022 2023 2024 2025 $22,810,430 $29,101,332 $30,008,420 $30,374,491 $31,210,809 $0 $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 $30,000,000 2021 2022 2023 2024 2025 •YTD collections of $31,210,809 are up 2.8% from prior year and are up 3.1% from the budget. •Inflation as measured by the consumer price index was up 2.9% for the 12-months ending August 2025. Town of Vail Revenue Update October 7, 2025 August 0.5% Housing Fund Sales Tax Collections By Year Real Estate Transfer Tax by Year YTD Through September 2025 August Collections YTD Collections •This chart shows YTD collections of 1% RETT, segmented by real property values. 2025 collections are up 9.2% from the prior year. $8,465,550 $7,815,116 $5,776,481 $6,247,915 $6,825,440 $0 $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 $7,000,000 $8,000,000 $9,000,000 2021 2022 2023 2024 2025 Sales Less Than $2.5 Million Sales $2.5 to $5 Million Sales $5 to $10 Million Sales Over $10 Million •August collections of $390,560 are up 5.8% from prior year and are up 3.5% from the budget. •2025 YTD collections of $3,788,466 are up 2.8% from 2024 and up 1.2% from the budget. The annual budget for the housing fund sales tax totals $5.2 million. $361,165 $352,887 $369,212 $390,560 $0 $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000 2022 2023 2024 2025 $3,549,836 $3,641,050 $3,684,503 $3,788,466 $0 $500,000 $1,000,000 $1,500,000 $2,000,000 $2,500,000 $3,000,000 $3,500,000 $4,000,000 2022 2023 2024 2025 Town of Vail Revenue Update October 7, 2025 Construction Use Tax by Year YTD Through September 2025 YTD Lift Tax Collections YTD Through August 2025 •Use Tax collections through September 30 total $1,992,839 compared to $2,276,205 from this time last year. This is an decrease of (12.4)%. $3,225,928 $1,869,324 $1,990,762 $2,276,205 $1,992,839 $0 $500,000 $1,000,000 $1,500,000 $2,000,000 $2,500,000 $3,000,000 $3,500,000 2021 2022 2023 2024 2025 •2025 YTD lift tax collections of $5,442,847 are up 2.3% or $120,897 from the same time last year. $4,280,736 $5,092,288 $4,990,984 $5,321,950 $5,442,847 $0 $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 2021 2022 2023 2024 2025 Vail Business Review August 2025 October 7, 2025 The Vail Business Review breaks down the 4.5% sales tax collected for the month of August. The 4.5% sales tax includes the town’s general 4% sales tax and the 0.5% housing sales tax supported by Town of Vail voters during the November 2021 election, effective January 1, 2022. The housing sales tax sunsets on December 31, 2051. August 4.5% sales tax was up 5.6% from the prior year. Retail increased 8.2%, lodging decreased (0.2)%, food and beverage increased 9.2%, and utilities/other increased 5.4%. Excluding the out-of-town category, sales tax for the month of August was up 5.9% compared to prior year. Town of Vail sales tax reports, the Vail Business Review, and financial statements are available on the internet at vail.gov. You may email me to request to have the Vail Business Review emailed to you automatically. Please remember when reading the Vail Business Review that it is produced from sales tax collections as opposed to actual gross sales. If you have any questions or comments, please feel free to call me at (970) 479-2125 or Carlie Smith, Finance Director, at (970) 479-2119. Sincerely, Lauren Noll Revenue Manager Town of Vail Business Review August Sales Tax Collections by Year August 2025 Sales Tax August 2024 Sales Tax Collections by Business Type August 2025 1,310,038 Lodging 1,112,619 Food & Beverage 1,007,839 Utilities & Other 187,627 $0 $200,000 $400,000 $600,000 $800,000 $1,000,000 $1,200,000 $1,400,000 8.2% 9.2% 5.4% Retail 2,878,546 3,370,615 3,285,598 3,426,360 3,618,123 $0 $500,000 $1,000,000 $1,500,000 $2,000,000 $2,500,000 $3,000,000 $3,500,000 $4,000,000 2021 2022 2023 2024 2025 General Sales Tax Housing Sales Tax • August 2025 retail sales increased 8.2%, lodging decreased (0.2)%, food and beverage increased 9.2%, and utilities and other increased 5.4%. • The figures above reflect 4.5% sales tax. Retail 1,210,678 Lodging 1,114,574 Food & Beverage 923,151 Utilities & Other 177,957 $0 $200,000 $400,000 $600,000 $800,000 $1,000,000 $1,200,000 $1,400,000 (0.2)% • This report represents collections of Town of Vail sales tax, as opposed to actual gross sales. • On January 1st, 2022, Town of Vail sales tax increased from 4.0% to 4.5% on all items except food for home consumption. 2022-2025 above include the 0.5% increase to sales tax, depicted in light blue. 2021 shows 4.0% sales tax collections. • Total August 2024 collections were $3,426,360; August 2025 collections were $3,618,123, up from the prior year 5.6%. Town of Vail Business Review August 2024August 2025 Geographic Area Trends by Year August Sales Tax Sales Tax by Location August 2025 Sales Tax Other Areas 15% Lionshead 15% Out of Town 26% Vail Village 44% • Vail Village sales tax increased 10.6%, Lionshead decreased (5.1)%, Other Areas increased 2.9%, and Out of Town increased 4.8%. Excluding Out of Town collections, all areas were up 5.9%. • The figures above reflect 4.5% sales tax. 438,129 538,418 376,128 455,582 705,879 866,034 1,358,411 1,510,581 $0 $250,000 $500,000 $750,000 $1,000,000 $1,250,000 $1,500,000 $1,750,000 2021 2022 2023 2024 2025 Vail Village Out of Town Lionshead Other Areas 851,847 1,453,716 444,469 535,566 • This chart shows August sales tax collections by geographic area over time. • 2022-2025 include the 0.5% increase for housing sales tax, depicted in lighter shades. General 4.0% sales tax collections are shown in darker shades. 533,349 501,454 881,812 1,509,745 1,669,978 476,068 923,803 548,573 Other Areas 15% Lionshead 13% Out of Town 26% Vail Village 46% Accommodation Services Sales Tax by Year Retail Business 4.5% Sales Tax Detail August 2025 Sales Tax Town of Vail Business Review Apparel $307,335 Grocery $205,587 Gallery $16,737 Gifts $11,225 Jewelry $87,407 Retail Liquor $51,812 Retail Other $382,069 Sporting Goods $124,148 Online Retailers $123,718 Retail Home Occupation $0 • August 2025 accommodations services decreased (0.2)% from the prior year. Short-term rentals increased 2.1% and hotels and lodges decreased (1.1)%. • The figures above reflect 4.5% sales tax. • Short-term rental sales tax collection numbers include online marketplace facilitators like Airbnb and VRBO. Revenue collections from facilitators may include some hotels and lodges that advertise and rent properties on these platforms. 719,497 309,705 794,737 319,836 786,008 326,611 $0 $200,000 $400,000 $600,000 $800,000 Hotel and Lodges Short-Term Rentals 2025 2024 2023 Retail 196,512 196,916 -0.20% Lodging 193,776 200,982 -3.59% F & B 152,980 122,891 24.49% Other 5,304 12,560 -57.77% Total 548,573 533,349 2.85% Retail 77,245 83,679 -7.69% Lodging 191,980 216,118 -11.17% F & B 203,342 197,082 3.18% Other 3,502 4,575 -23.46% Total 476,068 501,454 -5.06% Retail 411,911 420,955 -2.15% Lodging 335,865 307,545 9.21% F & B 1,900 2,534 -25.01% Other 174,127 150,779 15.49% Total 923,803 881,812 4.76% Retail 624,370 509,128 22.64% Lodging 390,999 389,929 0.27% F & B 649,617 600,645 8.15% Other 4,693 10,044 -53.27% Total 1,669,678 1,509,745 10.59% Retail 1,310,038 1,210,678 8.21% Lodging 1,112,619 1,114,574 -0.18% F & B 1,007,839 923,151 9.17% Other 187,627 177,957 5.43% Total 3,618,123 3,426,360 5.60% Retail Apparel 307,335 270,795 13.49% Retail Food 205,587 199,959 2.81% Retail Gallery 16,737 14,390 16.31% Retail Gift 11,225 7,216 55.55% Retail Home Occupation - 42 -100.00% Retail Jewelry 87,407 52,132 67.66% Retail Liquor 51,812 51,596 0.42% Retail Other 382,069 387,979 -1.52% Retail Sport 124,148 133,699 -7.14% Retail Online Retailer 123,718 92,869 33.22% Total 1,310,038 1,210,678 8.21% Cascade Village / East Vail / Sandstone / West Vail Town of Vail Business Review August 4.5% Sales Tax 2025 Collections 2024 Collections YoY % Change Total - All Areas Lionshead Out of Town Vail Village Retail Summary