At Foley’s city council meeting regular reports were read, but the sales, lodging and rental tax report was one to brag about. Numbers discussed during the April 18 meeting were February numbers collected in March.
In February, Foley’s Graham …
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At Foley’s city council meeting regular reports were read, but the sales, lodging and rental tax report was one to brag about. Numbers discussed during the April 18 meeting were February numbers collected in March.
In February, Foley’s Graham Creek Nature Preserve was home to a record-breaking number of archers at the Archery Shooter’s Association (ASA) Hoyt Archery Alabama Pro/Am Tournament, held Feb. 25 through 28, although archers began flooding in days before the tournament started.
“Hopefully this gives us an idea of what to expect as we expand into sports tourism,” said Mike Thompson, city administrator.
Sales tax revenue was up by 15.89 percent for the month of February over last February. Lodging tax was up 16.26 percent February 2016 from February 2015.
“The ASA tournament was for about six days, roughly, so this gives you an idea of what we’re hoping to create with sports tourism,” Thompson explained. “That one tournament, although it was a big tournament, created some pretty good growth for us.”
Year to date, both sales tax and lodging taxes have increased. Sales tax revenue is up 6.4 percent and lodging tax, 18.99 percent. Rental tax is also improving, up about 14 percent through April 18.
The city of Foley collects two percent of sales tax, 7 percent of lodging tax and varying rental taxes; auto rental is one percent and all other rented items are two percent.
There isn’t one specific reason as to how the revenue from these taxes continues to increase. Back during the 2008-2009 fiscal year, during the economic downturn, the city of Foley’s revenue decreased; but since 2009, the economy has improved and is looking to track a total of about $14 million for the 2015-2016 fiscal year.
“In general, since ’09, we have had an improving economy,” said Thompson. “On top of that, our city and county have a fast-growing population. Baldwin County and Foley are the fastest growing areas in the state. The city is also working diligently to recruit industry and business to our area.”
With businesses recently coming to Foley, such as Academy, Big Lots, Hobby Lobby, Shoe Station, Krispy Kreme and Whataburger, these are contributing factors to the sales tax revenue increase. Ross Dress for Less is scheduled to open soon.
“New retailers have chosen Foley to sell their goods and we’re actively growing because of it,” Thompson said. “We have lots of positions working in congress with one another.”