P R E S S R E L E A S E
For Immediate Release:
March 23, 2009
Contact: Brian Dries
TAX COLLECTIONS DOWN FROM ONE YEAR AGO
Almost five percent less, reflects the declining financial trend
PHILADELPHIA – City Controller Alan Butkovitz today released the monthly Economic Snapshot and Forecast for February that showed City tax collections are 4.74 percent less than collections from February 2008. Both sales tax receipts and wage and earnings receipts have declined.
Since FY06, tax collections for wage and earnings have increased the last three years during the months of December, January and February. For FY09, these revenues have decreased during each of these months. Current City sales tax receipts have dropped below FY06’s figures. Declining City revenues come at a time when unemployment rates continue to increase.
The national unemployment rate reached 8.1 percent for February; its highest level in 25 years. City and regional unemployment rates for January continued to climb to 9.3 percent and 7.5 percent, respectively. Locally, manufacturers reported employment losses, while indexes of expectations remained negative.
The Economic Snapshot and Monthly Forecast are compiled by the Financial and Policy Analysis staff. The City Controller’s office circulates these documents on a monthly basis to assist key decision makers in understanding and anticipating local and national economic trends.
The Monthly Economic Snapshot presents key economic data for the United States, the Greater Philadelphia Region, and the City of Philadelphia. The Monthly Economic Forecast Review is a collection of projections from prominent economic institutions and an analysis of their forecasts of future economic performance. These two documents together — the Snapshot and the Forecast Review — are a useful tool for policy makers and analysts in understanding our city’s and country’s economy.