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Archive for Thursday, January 10, 2002

Retailers stay ahead of recession

County, city sales tax receipts up from 2000

January 10, 2002

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Retail sales in Douglas County are holding their own despite much talk of a slowing economy, according to recently released sales tax numbers.

Both Douglas County and Lawrence remain on pace to collect larger amounts of sales-tax revenues than in the previous 12 months, according to a report released this week by the Kansas Department of Revenue.

For the six months ending in December, Douglas County has collected 2.6 percent, or $151,964, more in sales taxes than through the same period in 2000, according to the Revenue Department. The city is ahead of last year's pace by $124,637, or 2.3 percent.

The department reports revenues based upon the state's fiscal year, which begins in July.

Jeremy Douglas, executive director of Downtown Lawrence Inc., said the evidence of slightly increased sales generally fit with what his members had been experiencing.

"There are a few businesses who are really struggling right now, but I'd say they are still relatively few and far between," Douglas said. "I think most have done a good job of keeping steady sales."

Douglas said restaurants and nightlife businesses in the downtown had weathered the slowing economy the best, but that some retailers particularly clothing stores had reported slower sales as a result of both the economy and unseasonably warm weather.

Both Baldwin and Eudora also posted increases for the past six months. Baldwin's collections were up by 2.7 percent compared to this time last year, while Eudora saw an increase of 2.1 percent.

Results were mixed for major retail centers in the state. Shawnee County was 8.1 percent behind last year's pace, while Johnson County and Sedgwick counties posted increases of 4.9 percent and 2 percent, respectively.

In addition to being an indicator of economic health, the sales tax revenues are important because they are the source of about 50 percent of the city's general fund budget and about 17 percent of the county's general fund.

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