Chapter 3.64
SALES TAX REVENUE STABILIZATION FUND
Sections:
3.64.030 Disposition of funds.
3.64.010 Fund established.
There is hereby established a city fund known as sales tax revenue stabilization fund (fund number 006), a subfund of the general fund, to accumulate funds to cover revenue shortfalls due to local sales tax revenue decline. [Ord. 1092B § 1, 2024.]
3.64.020 Sources of funding.
The sources of funding shall be up to 70 percent of the construction sales tax revenue classified as North American Industry Classification System (NAICS) Code 236 – Construction of Buildings, Code 237 – Heavy and Civil Engineering Construction, and Code 238 – Specialty Trade Contractors reported to the city by the Washington Department of Revenue. The accumulated fund balance shall not exceed 10 percent of the average total annual local sales tax receipts in the three years immediately preceding the current year. [Ord. 1092B § 2, 2024.]
3.64.030 Disposition of funds.
The funds may be utilized, with the city council appropriation, to cover revenue deficit when actual annual local sales tax revenue growth rate is below two percent. [Ord. 1092B § 3, 2024.]
3.64.040 Replenishment.
The city intends to replenish the fund balance as soon as possible given existing economic conditions and budgetary constraints, by contributing up to 70 percent of construction sales tax on an annual basis. [Ord. 1092B § 4, 2024.]