Area sales tax collections drop in May, up for year

Sales tax collections in Lawrence and Douglas County were down in May, but are still ahead of a year ago.

Douglas County collected $998,597 in sales taxes in May, down 3.9 percent from May 2003, according to a recent report from the Kansas Department of Revenue. Lawrence collections were $902,808, down 4.8 percent from May 2003.

Sales tax figures generally are considered the best gauge of consumer spending in the area. However, the state’s reporting system is delayed by several months, so the May numbers represent spending in March and April.

For 2004, collections in Lawrence and Douglas County remain ahead of last year’s pace. In Douglas County, they were up 3 percent to $11.22 million, while Lawrence was up 2.4 percent to $10.22 million.

The city’s sales tax growth is better than several other area cities. Overland Park posted sales tax growth of 1.6 percent, while Topeka was down 2.3 percent and Olathe was down 3.7 percent for the year. Ottawa posted an 8.5 percent increase.