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HomeMy WebLinkAbout02b. February Revenue Updates1 TOWN OF VAIL REVENUE UPDATE February 7, 2023 4.0% Sales Tax Upon receipt of all sales tax returns, December collections are estimated to be $5,603,459 down (2.5)% from last year and up 2.7% compared to amended budget. December collections are up 32.3% from 2019. Year to date collections of $40,795,487 are up 18.1% from prior year and up 39.5% from 2019. Compared to amended budget, collections are up 2.1%. Inflation as measured by the consumer price index was up 6.5% for December. The annual budget totals $39.95 million. 0.5% Housing Fund Sales Tax Upon receipt of all sales tax returns, December collections of the 0.5% housing sales tax are estimated to be $668,392 and the YTD total collections are estimated to be $4,953,027. The 2022 amended budget for the housing fund sales tax totals $4.8 million. Real Estate Transfer Tax (RETT) RETT collections through December 31 total $9,577,356 down (28.4)% from this time last year. The 2022 amended RETT budget totals $9,707,414. Construction Use Tax Use Tax collections through December 31 total $2,189,230 compared to $3,682,745 from this time last year. 2021 collections were significantly higher due to several large single-family residential projects and an interior hotel renovation. The 2022 amended budget totals $1,965,000. Lift Tax 2022 YTD lift tax collections total $6,473,618 up 17.3% or $954,728 from the same time last year. Daily Parking Sales Daily sales from the parking structures from November through December 31 total approximately $1,689,297, up $208,773, or 14.1% from this time last year. Parking Pass Revenue Pass sales for the 22/23 ski season (November through December 31) total $1,491,526 up $308,694 or 26.1% from prior winter season. A detailed chart of approximate passes sold by type is shown below. 21/22 ski season numbers represent passes sold or used throughout the entire prior ski season. 2 2022/23 Passes YTD Sold 2021/22 Passes Total Season Sold Premier 21 Gold 66 Vail Village Business Premier 65 Silver - Vail Village 60 Lionshead Business Premier 11 Silver - Lionshead 6 Employee Plus 359 Blue 358 Employee 495 Pink 690 Eagle County Local 1,602 Eagle County Value Card 1,699* Vail Local 1,578 Vail Value Card 2,303* Total 4,131 Total 5,182 *During the 2021/2022 season Value Cards were not recertified. The total number sold is estimated based on the number of individual Value Cards scanned in the parking structures during the entire 2021/2022 winter season. Value cards in prior seasons we often used in conjunction with other passes, such as the Blue pass, to utilize discount parking in the structures on days that the parker’s other pass did not grant access. This year, discounted parking is included with employee and business passes, reducing the need for multiple passes. Summary Across all funds, year-to-date total revenue of $92.3 million is down (0.3)% from amended budget and up 7.9% from prior year. Excluding the new 0.5% housing sales tax, total revenue is up 2.1% from prior year. Increased revenues from prior year are due to higher sales tax collections, higher lift tax collections, and higher daily parking fees. These increases were partially offset by decreases in RETT and Construction Use Taxes. 2022 Budget % change % change % change 2017 2018 2019 2020 Amended Budget Variance from 2021 from 2019 from Budget January 3,725,212$ 3,597,610$ 4,079,994$ 4,076,145$ 3,422,209$ 5,202,457$ 5,216,351$ 13,894$ 52.43% 27.85% 0.27% February 3,692,592 3,818,356 4,137,087 4,285,633 3,691,850 5,670,176 5,682,891$ 12,715 53.93% 37.36% 0.22% March 3,642,407 4,167,880 4,237,933 2,243,518 4,364,797 5,905,456 5,949,858$ 44,402 36.31% 40.40% 0.75% April 1,386,780 1,233,474 1,445,071 427,518 1,751,528 2,108,005 2,233,230$ 125,225 27.50% 54.54% 5.94% May 659,475 830,193 763,756 503,828 1,061,516 1,112,035 1,231,196$ 119,161 15.98% 61.20% 10.72% June 1,389,982 1,648,443 1,606,748 1,023,517 2,149,312 2,149,300 2,317,132$ 167,832 7.81% 44.21% 7.81% July 2,215,649 2,412,425 2,480,292 2,084,644 3,491,668 3,491,700 3,506,228$ 14,528 0.42% 41.36% 0.42% August 1,863,949 2,195,175 2,237,050 2,138,838 2,877,550 2,877,600 2,996,481$ 118,881 4.13% 33.95% 4.13% September 1,385,462 1,540,490 1,600,100 1,767,393 2,359,528 2,359,500 2,439,752$ 80,252 3.40% 52.47% 3.40% October 936,954 1,106,596 1,165,176 1,371,727 1,734,964 1,735,000 1,730,445$ (4,555) -0.26% 48.51% -0.26% November 997,716 1,264,600 1,260,314 1,425,461 1,880,397 1,880,400 1,888,465$ 8,065 0.43% 49.84% 0.43% December 3,695,305 4,070,870 4,237,178 3,625,189 5,749,365 5,458,371 5,603,459$ 145,088 -2.54% 32.25% 2.66% Total 25,591,483$ 27,886,112$ 29,250,698$ 24,973,411$ 34,534,683$ 39,950,000$ 40,795,487$ 845,487$ 18.13% 39.47% 2.12% 2022 Budget % change Amended Budget Variance from Budget January 643,700$ 645,390$ 1,690$ 0.26% February 700,700 702,268 1,568 0.22% March 721,900 724,442 2,542 0.35% April 260,300 268,884 8,584 3.30% May 146,400 147,059 659 0.45% June 280,000 280,360 360 0.13% July 420,000 424,383 4,383 1.04% August 360,000 361,051 1,051 0.29% September 290,000 294,664 4,664 1.61% October 190,000 207,508 17,508 9.21% November 200,000 228,626 28,626 14.31% December 600,000 668,392 68,392 11.40% Total 4,813,000$ 4,953,027$ 140,029$ 2.91% 0.5% Collected Sales Tax 0.5% HOUSING SALES TAX COLLECTIONS Balance Actual Collections 4.0% Collected Sales Tax2021 Town of Vail Revenue Update February 7, 2023 4.0% SALES TAX 2022 Budget Comparison Town of Vail Revenue Update February 7, 2023 YTD 4% Sales Tax Collections By Year Through December 31 December 4% Sales Tax Collections By Year Through December 31 • YTD collections of $40.8M are up 18.1% from prior year and up 2.1% from amended budget. YTD collections are up 39.5%from 2019, the last year not impacted by Covid-19. • Inflation as measured by the consumer price index was up 6.5% in December. $27,886,112 $29,250,698 $24,973,411 $34,534,683 $40,795,487 $0 $10,000,000 $20,000,000 $30,000,000 $40,000,000 2018 2019 2020 2021 2022 $4,070,870 $4,237,178 $3,625,189 $5,749,365 $5,603,459 $0 $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 2018 2019 2020 2021 2022 • December 2022 collections of $5.6M are down (2.5)% from prior year and up 2.7% from the amended budget. December collections are up 32.2% from 2019. Town of Vail Revenue Update February 7, 2023 YTD 0.5% Housing Fund Sales Tax Collections Real Estate Transfer Tax by Year YTD Through December 2022 Through December 31 • This chart shows YTD collections of 1% RETT, segmented by real property values. 2022 collections are down (28.4)% from the prior year. $0 $2,000,000 $4,000,000 $6,000,000 $8,000,000 $10,000,000 $12,000,000 $14,000,000 2018 2019 2020 2021 2022 Sales Less Than $2.5 Million Sales $2.5 to $5 Million Sales $5 to $10 Million Sales Over $10 Million $7,649,014 $7,224,668 $10,448,526 $13,371,555 $9,577,356 • This chart shows monthly collections of the Town of Vail 0.5% housing fund sales tax and cumulative YTD totals. • The 0.5% sales tax was approved by voters in 2021 with an effective date of January 1, 2022. $645,390  $702,268 $724,442  $268,884  $147,059  $280,360  $424,383 $361,051  $294,664  $207,508 $228,626  $668,392   $‐  $1,000,000  $2,000,000  $3,000,000  $4,000,000  $5,000,000  $‐  $100,000  $200,000  $300,000  $400,000  $500,000  $600,000  $700,000  $800,000 Monthly YTD Monthly Total YTD Total YTD Total: $4,953,027 Town of Vail Revenue Update February 7, 2023 Construction Use Tax by Year YTD Through December 2022 Lift Tax Collections YTD Through December 31 • Use Tax collections through December 31 total $2,189,230 compared to $3,682,745 from this time last year. This is a decrease of (40.6)%. •2021 collections were significantly higher due to a number of large single-family residential projects and the interior renovation of the Sonnenalp Hotel. $3,689,131 $2,467,928 $2,078,577 $3,682,745 $2,189,230 $0 $1,000,000 $2,000,000 $3,000,000 $4,000,000 2018 2019 2020 2021 2022 • 2022 YTD lift tax collections of $6.5M are up 17.3% or $954,728 from the same time last year. $5,103,480 $5,341,369 $4,095,812 $5,518,890 $6,473,618 $0 $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 2018 2019 2020 2021 2022 Vail Business Review November 2022 February 1, 2023 The Vail Business Review breaks down the four percent sales tax collected for the month of November 2022. Overall, November sales tax was in line with prior year, up 0.2%. Retail increased 6.0%, lodging decreased (10.7%), food and beverage remained flat, and utilities/other increased 11.1%. Excluding the out-of-town category, sales tax for the month of November was down (3.2%). Town of Vail sales tax forms, the Vail Business Review, and sales tax worksheets are available on the internet at www.vailgov.com. You can subscribe to have the Vail Business Review and the sales tax worksheet emailed to you automatically from www.vailgov.com. 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 Town of Vail Sales Tax Administrator Town of Vail Business Review November 4.0% Tax Collections by Year November Sales Tax November 2021November 2022 Sales Tax Collections by Business Type $863,404 Lodging $515,497 Food & Beverage $334,341 Utilities & Other $175,222 $0 $200,000 $400,000 $600,000 $800,000 6.0%(0.1%)11.1% Retail RLFU -$8,000,000 $12,000,000 $1,268,974 $1,260,472 $1,430,471 $1,884,419 $1,888,465 $0 $500,000 $1,000,000 $1,500,000 $2,000,000 2018 2019 2020 2021 2022 (10.7%) • This report represents collections of Town of Vail 4.0% 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 results in this report only include the 4.0% general sales tax collected on all items for accuracy of comparison to prior years. •Overall, November 2022 4.0% sales tax collections were flat with the prior year, up 0.2%. • November 2022 retail sales increased 6.0%, lodging decreased (10.7%), food and beverage remained flat (0.1%), and utilities and other increased 11.1%. Retail $814,587 Lodging $577,494 Food & Beverage $334,674 Utilities & Other $157,664 $0 $200,000 $400,000 $600,000 $800,000 Town of Vail Business Review November 2021November 2022 Geographic Area Trends by Year November Sales Tax by Year Sales Tax by Location November Sales Tax Other Areas 14% Lionshead 11% Out of Town 43% Vail Village 32% Other Areas 13% Lionshead 12% Out of Town 40% Vail Village 35% • Vail Village sales tax decreased (7.9%), Lionshead decreased (3.0%), Other Areas increased 9.7%, and Out of Town increased 5.2%. Excluding Out of Town collections, all areas were down (3.2%). $233,941 $215,328 $247,481 $238,067 $261,064 $200,389 $182,605 $164,969 $219,160 $212,635 $340,000 $365,144 $561,352 $765,736 $805,555 $494,644 $497,395 $456,670 $661,456 $609,211 $0 $200,000 $400,000 $600,000 $800,000 2018 2019 2020 2021 2022 Other Areas Lionshead Out of Town Vail Village • This chart shows November sales tax collections by geographic area over time. Retail Business Sales Tax Detail November Sales Tax Town of Vail Business Review November 4.0% Sales Tax Accommodation Services Sales Tax by Year Apparel $124,881 Grocery $102,292 Gallery $7,545 Gifts $3,243 Jewelry $23,501 Retail Liquor $32,064 Retail Other $367,076 Sporting Goods $136,010 Online Retailers $66,584 Retail Home Occupation $208 • Overall, November 2022 accommodations services decreased (10.7%). Short-term rentals decreased (10.5)% from prior year and hotels and lodges decreased (10.9%). • 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. Facilitators first began collecting and remitting sales taxes on behalf of individual owners in October of 2020. $230,434 $148,773 $324,721 $252,773 $289,294 $226,203 $0 $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 Hotel and Lodges Short-Term Rentals 2022 2021 2020 Retail 141,137.58 120,756.92 16.88% Lodging 64,358.99 69,869.00 ‐7.89% F & B 50,710.52 41,730.28 21.52% Other 4,857.26 5,710.92 ‐14.95% Total 261,064.35 238,067.12 9.66% Retail 74,000.52 68,333.12 8.29% Lodging 77,586.37 90,514.39 ‐14.28% F & B 60,167.22 58,766.79 2.38% Other 880.75 1,545.25 ‐43.00% Total 212,634.86 219,159.55 ‐2.98% Retail 406,819.24 352,831.47 15.30% Lodging 231,473.06 266,116.10 ‐13.02% F & B 657.00 807.01 ‐18.59% Other 166,605.47 145,980.96 14.13% Total 805,554.76 765,735.54 5.20% Retail 241,446.81 272,665.01 ‐11.45% Lodging 142,078.73 150,994.56 ‐5.90% F & B 222,806.73 233,370.11 ‐4.53% Other 2,878.77 4,426.73 ‐34.97% Total 609,211.04 661,456.41 ‐7.90% Retail 863,404.15 814,586.52 5.99% Lodging 515,497.16 577,494.04 ‐10.74% F & B 334,341.47 334,674.19 ‐0.10% Other 175,222.24 157,663.86 11.14% Total 1,888,465.01 1,884,418.61 0.21% Retail Apparel 124,881.30 136,052.83 ‐8.21% Retail Food 102,292.02 100,452.05 1.83% Retail Gallery 7,545.38 16,502.00 ‐54.28% Retail Gift 3,242.87 3,977.54 ‐18.47% Retail Home Occupation 208.14 228.94 ‐9.09% Retail Jewelry 23,500.63 23,600.42 ‐0.42% Retail Liquor 32,064.36 37,487.44 ‐14.47% Retail Other 367,075.62 290,276.40 26.46% Retail Sport 136,010.17 139,673.47 ‐2.62% Retail Online Retailer 66,583.66 66,335.44 0.37% Total 863,404.15 814,586.52 5.99% Cascade Village / East Vail / Sandstone / West Vail Town of Vail Business Review November Sales Tax 2022 Collections   2021 Collections YoY % Change Total ‐ All Areas Lionshead Out of Town Vail Village Retail Summary