June 30, 2009 Utah Economic Indicators for July 2009
Statewide local sales tax is down over ten percent. The 2009 June distribution of sales tax, reflecting April sales, is down 13.5% from June of 2008. What does this mean? This 13.5% drop accounts for around a $4 million dollar less in sales tax revenue that cities and towns received last year. However, the good news is this is up from the 18 percent drop last month…hopefully indicating that we are starting that U turn toward black numbers.
A couple of reasons for the continued decline:
- Utah construction employment down -23% from the previous year (April data)
- Utah unemployment claims for Utah are up 183.6%
- The consumer sentiment index is improving, now up to 70…but still far below the height during the index number during the late 90’s early 21st century (high 90’s to 100+)
You can review the complete list of indicators tracked by ULCT economist Doug Macdonald here: State economic indicators for Utah Cities.