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Sales tax increase — a sign of recovery?

November 27, 2012

By Rene De La Cruz
STAFF WRITER

The town of Apple Valley received a bit of good news Wednesday when it announced that gross sales tax was up 4.7 percent for the second quarter of 2012 compared to the same time period last year.

The report showed that an additional $50,782 in sales tax was collected during May to June, with sales tax growth estimates for the remainder of the year projected between 4.5 percent and 5.0 percent.

“This quarterly gain represents the ninth consecutive quarter of sales tax growth on a year-over-year basis since the economic recovery began,” said Marc Puckett, assistant town manager of finance and administration, in a news release. “The sustained growth in our retail sales in Apple Valley is a clear indication of the broad-based economic recovery that is underway.”

During the quarter, sales tax collections in San Bernardino County have increased by an average of 8.7 percent, and Southern California was up by 7.4 percent during the same period.

Statewide, second quarter sales tax collections were up 7.5 percent.

In the county, only three communities — Grand Terrace, Needles and Upland — experienced a year-over-year decrease in sales tax collections during the quarter.

Locally, Adelanto leads in sales tax growth on an adjusted basis, with an increase of 9.5 percent followed by Victorville 8.6 percent, Barstow 6.6 percent and Hesperia 4.1 percent.

Of the major industry groups in Apple Valley, building and construction had the highest percentage increase with 39.5 percent over the same quarter last year.

Rene De La Cruz may be reached at (760) 951-6227 or at RDeLaCruz@VVDailyPress.com.