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County gets good news in Q2 on sales tax revenue

By Howard B. Owens

Genesee County Treasurer Scott D. German said today that he got a pleasant surprise this week: Sales tax revenue for the 2nd quarter was up 6.74 percent.

"I thought sales tax would be down due to the economic conditions across the country," German said.

Plus, the monthly payments throughout Q2 were down as much as 19 percent. The shortfall, and then some, was made up in the July 14th payment.

Only Genesee and Niagara counties saw sales tax revenues increase in New York, German said.

For the year, the county is up 3.55% compared to last year, or $544,000 before distribution.

The county retains 50 percent of local sales tax revenue, while the City of Batavia gets 16 percent and the towns and villages share the remaining 34 percent.

Yesterday, when asked about the good news, County Manager Jay Gsell said caution is in order.

"The rest of the state is still seeing negative dollars from 2008 and 2009 and our economy has usually been delayed in experiencing spending downturns that the rest of the state is facing," Gsell said in an e-mail. "This is just a snapshot of a wait and see 'game' with shoppers and NYS and its own cash flow/performance."

Batavia City Manager Jason Molino is also taking a cautious look at current disbursements.

"Considering sales tax payments fluctuate drastically from payment to payment and quarter to quarter, it is best to wait and see what the next quarter's results are," Molino said. "The current status of sales tax could change with one NYS adjustment, as it has done in the past."

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