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Local News

Santa Barbara Sees Hike in Sales, Transient Occupancy Tax Revenues

Santa Barbara received some $5.5 million in sales tax revenues during the quarter ended Sept. 30, 2016, a 2.0 percent increase over the same quarter last year.

Because sales tax revenues are received quarterly from the state, and one quarter in arrears, the city receives the first quarter results for each fiscal year in December, which also marks the first sales tax payment for Fiscal Year 2017.

The adopted budget for Fiscal Year 2017 is $22,381,000.

In addition, the city collected some $1.3 million in Transient Occupancy Taxes (TOT) for November, representing a 9.1 percent increase compared to the same month in 2015. TOT collected from established hotels and motels increased 10.9 percent, while short-term rentals decreased 21.4 percent.

Because short-term rentals constitute a relatively small part of overall TOT, the large decline in this sector does not have a significant effect on overall growth.

The city has collected more than $9.4 million in TOT revenues for the first five months of this fiscal year. The budget for Fiscal Year 2017, which runs July 1 through June 30, is $19,766,200.

Previous Revenue News releases can be viewed at: http://www.santabarbaraca.gov/gov/depts/finance/budget/revenue_news.asp.

— Diego Martin for city of Santa Barbara.

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