resort tax revenues end year 5.1% below budget

Susan Askew
Susan Askew

resort tax revenues end year 5.1% below budget:

still, numbers were slightly better than last year

The final tallies of Miami Beach’s resort tax collections for fiscal year 2017 are finished and, while they are slightly above last year’s numbers, they are 5.1% below budget. Total collections were $83,008,583, 1% greater than 2016’s total of $82,082,371. The City had budgeted $87,469,000.
 
The monthly numbers for September were 1% below budget but 2.3% ahead of last year, though they reflect remittances for August sales and not the impact of Hurricane Irma in September 2017.
 
Miami Beach CFO John Woodruff said in an email, “The Hurricane Irma impact will affect the October report … Early projections are approximately $1m lower than the same period last year.” Collections for October 2016 totaled slightly more than $4.6m.
 
Woodruff indicated revenue shortfall from the FY 2017 budget was covered by available fund balance in the Resort Tax Fund. Issues throughout the year impacting collections, he wrote, include Hurricane Matthew, the Convention Center being closed, the continued rise of the US dollar and its impact on the buying power of South American, European, and Canadian tourists, the travel ban implemented at the end of January, and Zika.
 
“The FY 2018 budget beginning in October 2017 assumes a conservative 1% growth in Resort Tax revenue over the FY 2017 projection of actuals," Woodruff wrote.