Sales taxes may have problems
The city's sales tax revenue distribution from the state may have some snags.
Chris Clark, city administrator, was looking at monthly budget reports when he discovered some inconsistencies. The reports seemed to show that money received from the state for sales taxes was lower than it should have been.
"I do not believe that there is a decrease in the collection," Clark said. "But, possibly a decrease in the distribution from the state. The city has been running a little bit tight lately and sales tax is a large part of the revenues."
The distribution is about 20 to 25 percent lower than anticipated.
In order to pay some of the costs related to the downtown project, the city had to use more than $30,000 from the general fund in the past few months.
"We've had a tight couple of months and need to get this issue resolved," Clark said.
Clark said about $30,000 to $40,000 will be received from the state once the possible glitch is corrected.
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