For the ninth month in a row, the City of Grapevine has reported sales tax revenue above the same period last year. For the month of March, sales tax revenue increased by 5% versus the same period last year. This is outstanding news for the city and its budget.
Maybe we should provide some context around the 5% increase. This time last year the overall economy was in full recovery mode. These sales tax increases are no longer being compared to the recession months of 2009. This 5% increase is substantial because it is being compared against a relatively good month from 2010.
When you combine that with the fact that Grapevine has achieved the increase for nine straight months, you realize this is really a good news story for the Grapevine economy and the city budget.
There are some headwinds however. John McGrane of the City of Grapevine reported that unemployment in the city has crept up to 6.8% from 6.3% just a month earlier. Also, you should note that costs are increasing for everyone. Gas prices and food costs are spiking like a football after a Terrell Owens touchdown.
In terms of the Grapevine fiscal year, this is just a half time report. With six months to go Grapevine is in the lead in terms of sales tax revenue, but there is another half of the game still to be played.