When it comes to sales-tax rebates, Waco continues to ride a roller coaster that is not good for its bottom line.

The city received a sales tax check for $2.03 million this week from the State Comptroller’s Office. That is 4.48 percent less than the $2.12 million it received in June of last year.

June rebates reflect April sales that are reported to the comptroller in May.

Waco already is looking at a $2.6 million budget shortfall for the fiscal year that ends Sept. 30. The sales tax fund has proved a disappointment, and city officials predict it will end the year $1 million below budget projections.

Counting the check received this week, the fund is $870,000 off pace, budget officer June Skerik said.

“I still believe the economy is the real issue,” Skerik said. “I was really hoping that after the last couple of months, things were on the upswing. But these days you just never know what you’re going to get.”

In May, Waco received a sales tax check for $2.7 million, up 2.63 percent from May of last year.

May rebates reflect March sales. Easter fell on April 4, so people may have done their shopping for eggs and new clothes in late March. That would have boosted rebates in May but could have caused those in June to sag, Skerik said.

“I think we’re going to see up-and-down numbers on sales tax rebates for a time,” said Scott Connell with the Greater Waco Chamber of Commerce.

He said credit remains tight, meaning families may postpone the purchase of big-ticket items such as appliances.

Connell said job creation and prospects for home construction are improving, which could generate more spending.

And he said he thinks sales tax rebates could improve during the summer season.

Texas Comptroller Susan Combs said June sales tax allocations to Texas cities will total $292 million, a 1.5 percent decline from June of last year. Sales tax allocations to cities are down 4 percent this calendar year.

So far this calendar year, Waco has received $13.78 million in sales tax rebates, a 2.18 percent drop from the $14.09 million it received during the same period last year.

Rebates to other McLennan County cities in June represented a mixed bag.

Bellmead and Lacy-Lakeview, for example, saw increases. But Woodway, Robinson, McGregor and Hewitt experienced drops.

mcopeland@wacotrib.com

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