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Band brought in some bucks

Mumford festival boosted city sales tax revenue $45,000 from the month before

DIXON – Just 2 days after Mumford & Sons announced it will not return this summer, the city released sales tax revenue that showed an increase the month the band came to Dixon.

The city received $301,047.32 in sales tax revenue in August 2012, which was roughly $4,000 more than August 2011 – and a more than $45,000 spike from July 2012.

The Mumford month numbers were not the largest in 2012, however.

May 2012 brought a total of $307,717.76 to the city's budget, compared to the $286,295 a month the city averaged in an 8-month span from March to September.

The concert brought more than 15,000 fans to the city for a 2-day festival.

September 2012, the month ex-comptroller Rita Crundwell's horse auction brought crowds to Dixon, generated $5,000 more in sales tax revenue than the previous year at $282,362.23.

Josh Albrecht, executive director of Dixon Main Street, expected the boost for Mumford to be greater but said many factors were in play.

"I know we had several vendors that did well, and those numbers aren't going to show up in sales tax," Albrecht said. "It could be the city was looking at a decrease for that month, and the concert bumped that up. It's hard to tell. We're still optimistic to see the increase."

Finance Director Paula Meyer said many variables are in play with sales tax revenue, including what businesses open and close and consumer spending during any given month, making it hard to pinpoint one event's effect on revenue.

Albrecht said the state tourism agency estimates every visitor on average spends $100 per day, meaning Mumford should have brought in close to $1.5 million in consumer spending.

A 6.25-percent sales tax rate is charged by the state and a 0.5-percent rate was added by the city through a referendum. Of that pie, the state keeps 80 percent and 20 percent to the city. Figures reported were the city's share.

Do the math and that should equal about $18,750 more in sales tax revenue for the city, assuming the estimated expenditures are all taxable.

A breakdown by month

Here is Dixon's sales tax revenue by month, according to information gathered by Paula Meyer, finance director for Dixon.

Feb. 2012: $258,993.95; Feb. 2011: $250,223.30

Mar. 2012: $303,642.84; Mar. 2011: $259,789.16

Apr. 2012: $282,663.54; Apr. 2011: $276,033.36

May 2012: $307,717.76; May 2011: $290,353.39

June 2012: $297,964.66; June 2011: $292,689.82

July 2012: $255,974.22; July 2011: $298,713.58

Aug. 2012: $301,047.32; August 2011: $297,273.74

Sept. 2012: $282,362.23; Sept. 2011: $277,612.21


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