Northwest Arkansas sales tax revenue up 13.8% through October report
Bentonville, Fayetteville, Rogers and Springdale added a combined $85.776 million to their coffers this year, rising $10.407 million over the same period last year, according to each city’s October report.
Three of the four cities showed year-over-year growth in the monthly October report, with Bentonville being the only city to report a drop of 4.78% from the prior year. City officials said rebates were likely the reason for the dip.
Bentonville Mayor Stephanie Orman recently told Talk Business & Politics the city is on track to meet budget revenue for the year. She said sales tax revenue accounts for only 50% of the total budget and that revenue continues to exceed budgeted expectations. Bentonville’s sales tax revenue was $19.712 million through October, up 11.77%, or around $2.3 million added to the city balance sheet.
Springdale reported $2.157 million, up 25.61%, and the fourth consecutive month the city’s revenue topped $2 million. Springdale reports total sales tax revenue through October of $19.057 million, up 20% from the same period last year. Mayor Doug Sprouse said higher gasoline prices are perhaps keeping some consumers shopping closer to home and he is thrilled to see the city’s growth this year, saying some of it is related to inflation which is a double-edged sword.
Fayetteville reported a 16.01% growth in sales tax revenue reported in October. The city reported $2.8 million, around $400,000 more than reported in the year-ago period. Rising enrollment at the University of Arkansas, the Roots Festival and inflation are the major reasons city leaders believe revenue had such a strong showing in the October report. Fayetteville reports sales tax revenue of $24.713 million through October, adding more than $2.4 million to city coffers compared to the year-ago period.
Rogers also produced double-digit growth in the October report, with revenue of $2.307 million, up 10.21% year over year. Rogers Mayor Greg Hines attributed the growth to consumers wanting to get out and spend and the higher prices for goods and services.
Rogers has collected sales tax revenue of $22.293 million through 10 months of this reporting year, up 14% compared with the same period in 2021. The city’s growth has outpaced the rate of inflation, which was 8.2% year-over-year in October.