Capital improvements sales tax to miss projections
Tuesday, December 11, 2012
Jefferson City officials are laying out a plan for use of funds from the capital improvements sales tax F, but originally projected revenues are now expected to fall short.
At a City Council work session Monday, City Administrator Nathan Nickolaus said though collections have so far exceeded projections, the total projected for the next five years is no longer expected to be reached.
“We think that the budget projection was too high,” Nickolaus said.
He expects collections to miss projections by about $500,000 per year, making the five year projections about $2.5 million off. Also, he said, some projects in sales tax F were slated to receive funds from the previous sales tax that are not available because it came in below projections. That means the preliminary plan for sales tax F funds, which was presented to the council in February, needs to be reworked.