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Tompkins County Legislature Acting Chairman Mike Sigler (R-Lansing) told the Lansing Town Board Wednesday that sales tax revenue is up for last year.  That is good for all the municipalities in the county, including Lansing, which received $1,501,534.56 last year through the end of November.

"We're doing great," Sigler said. "We're up 6.4% compared to a year earlier. People are clearly buying things. We're up 4% for the whole year over 2018 so that's kinda nice. That should help us with our budget next year."

Sales tax revenues reached $14,251,090,611 state-wide in 2019.  Many people mistakenly believe that sales tax is distributed to the municipalities the stores collect it in.  The truth is that the County distributes the revenue based on municipalities' population.  But these revenues make up a substantial portion of municipal budgets.  For example, the Town of Lansing's 2018 budget was $4.9 million.  Sales tax revenue that year totaled $1,569,628.29.

Sales tax fluctuates with the local economy.  Lansing's sales tax revenue was down in 2015 and 2016, then rose in 2017.  Lansing has strategized each year  to prepare for dips by predicting lower figures -- effectively planning for the worst while hoping for the best.  That has helped stabilize the budget each year, and the additional money has often been used for special projects.

When County Finance Director Rick Snyder presented the November Sales Tax Report last week, it showed the County's portion of sales tax distributions for November was up 6.4% compared to a year earlier. He reported year-do-date sales tax distributions were up by more than 4% from 2018 as of November 30.

The state sales tax rate is 4%. All New York State counties get another 3% by law, and have the option to vote to add another percent, which it does every year.  Last week the Legislature voted 13 to 1, with Legislator Glenn Morey (R-Groton and a portion of North Lansing) voting no, to ask the State legislature to extend the sales tax rate by an additional one percent.  Sigler said Morey doesn't like taxing people more, but added that he (Sigler) supports the additional tax because there are so many transient people (students, tourists, etc.) who shop in Tompkins County.

"It makes sense to have them pay," Sigler said. "It definitely relieves some of the pressure off the property taxpayers.  People who are enjoying our area are only here for a short time and it definitely helps us provide all the services for the people that live here and are going to live there after these folks have left."

Last year's budget predicted $1,251,315 in sales tax.  The December 2019 sales tax report hasn't yet been created, but January through November yielded $1,501,534.56.  Lansing Bookkeeper/Personnel Officer Charmagne Rumgay reports that 2019 sales tax revenue is already $78,596.26 higher than it was in the same January through November period in the previous year.  That means that the Town's sales tax revenue will be significantly higher when the final tally is released.

"It is a huge revenue stream for the town," said Lansing Supervisor Ed LaVigne. "1.5 million. So a percent of all sales tax, that's important to us."

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