Audio clip
Ron Hale
RINGGOLD, Ga. -- After months of creeping closer to normal, sales tax revenues in several North Georgia counties plummeted in the most recent reports.
Catoosa County Chief Financial Officer Carl Henson called the latest figures a "complete reversal" from the improvement he's seen over the last few months.
Sales tax revenues for September were down about 24 percent from August in Catoosa and Whitfield counties, and down 32 percent in Walker County, records show.
Revenue collections also were significantly below those for same period in 2008.
In Catoosa County, Mr. Henson said tax revenue was 14 percent shy of his conservative budget projections.
Whitfield County's October revenue was 20 percent lower than last year's and Dade's was down $53,000, or 30 percent, officials said.
"It just doesn't make sense that the floor would have dropped out that quick," said Whitfield County Finance Director Ron Hale.
"They said the other day on television the recession's over and I was like, 'Really?'" said Dade County Finance Officer Don Townsend.
Mr. Hale and Walker County CFO Greg McConnell said they hoped some of the shortfall might be a delay in tax processing at the state level, which could mean money would be added to next month's distribution.
Walker County's sales tax revenue has zoomed in some months and plunged in others, Mr. McConnell said. But he doesn't know why.
"I haven't found anybody who can give me an answer on that," he said.
Georgia Gov. Sonny Perdue announced in October that net revenue collections for September were about down about $260 million, or 16 percent, when compared to September 2008.
Some county officials hoped car sales from the federal Cash for Clunkers program would boost revenues, but the money didn't come through in the amounts expected. Others blamed a slowdown in tourism late in the season and a lack of consumer confidence.
"It's been hard for us to see any trend at all," Mr. Townsend said.
Whitfield and Dade counties still are working on 2010 budgets, so officials there said they can replot the income. Catoosa and Walker already have set budgets, so they may have to make some changes just a few weeks into their fiscal years, officials said.
"It's going to make us look extremely hard at the budget," Mr. McConnell said.
Catoosa County revenue (2009 compared to 2008)
May: -22 percent
June: -12.5 percent
July: -10 percent
August: -6.7 percent
September: -24 percent
Source: Catoosa County Finance Office
Andy began working at the Times Free Press in July 2008 as a general assignment reporter before focusing on Northwest Georgia and Georgia politics in May of 2009. Before coming to the Times Free Press, Andy worked for the Anniston Star, the Rome News Tribune and the Campus Carrier at Berry College, where he graduated with a communications degree in 2006. He is pursuing a master’s degree in business administration at the University of Tennessee ...
McConnel, are you an idiot? Look at what the government has not done to help the middle working class to recover from the depression. When the average worker can't afford to buy things, businesses suffer and revenue from sales tax nose dives. you must of kissed up to your job cause you couldn't have got it based on smarts.
Or login with:
New Account