‘Shop locally’ Kremmling town manager says as sales tax slips
April 9, 2009
Sales tax revenues in Kremmling were on a steady climb through most of 2008 compared with 2007 ” until November, when the trend slipped into reverse.
Nevertheless, collections for all of 2008 were up 2.5 percent over 2007, for which collections were up 3.23 percent over 2006.
“At the time we were doing the budget, we were anticipating a bit of an increase” in sales tax revenues, said Ted Soltis, town manager. “The main reason for that being the opening a new hotel.”
He also said the 2008 figures still looked solid as the budget was being prepared.
Kremmling sales tax revenues for January were down 9 percent compared with last year, from $56,504 in 2008 to $51,419 this January.
Revenues in November and December 2008 were down 3.5 percent and 4.7 percent, respectively.
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“If folks want to help, they need to start shopping at the local store(s),” he said.
“It’s definitely been a quiet winter,” said Kacey Beres, Kremmling Area Chamber of Commerce director. “But I’m hoping for a stellar summer.”
Beres said winter is traditionally a slow time for the town economically.
“They’re not bad,” Mayor Tom Clark said the sales tax numbers. “Last year was incredibly high.”
He said that until a few years ago, Kremmling’s annual sales tax revenues traditionally were in the low-$500,000 range.
For 2008, the revenues were $697,747.
“We’re getting people to stop here and spend money,” he said.
It is not clear whether layoffs at the Henderson Mine and Mill are a contributing factor in the decline. Town officials recently have established that 58 town residents work at the mill. However, they do not know if any of them have been laid off.
The operation’s latest round of cuts came on March 19, when 50 more workers were idled. The company laid off 58 workers in November 2008, and an unspecified number of employees are expected to take early retirement.