Schoharie County’s sales tax revenues for the first half of 2010 show a 5.7 percent increase over the same period in ’09.
And though that’s certainly good news, don’t pop the cork on the champagne yet.
On the year, revenues are still $1 million less than they were just a couple of years ago, said County Treasurer Bill Cherry.
County sales tax revenues for the second quarter stand at $3,546,387 compared to $3,237,915 for the same period last year.
Total sales tax revenues collected for ’10 total $6,544,801 compared to $6,192,075 for the first half of ’09, an increase of $352,726 or 5.7 percent.
“It’s positive. It’s a good trend,” Mr. Cherry said. “And if it were to continue…
“But last year we saw an unprecedented drop—from $13.8 million to $12.5 million. It would be premature to declare victory.”
Typically, Mr. Cherry said, the first quarter is always the weakest and the second quarter tends to be stronger; ’09 sales tax revenues for the third quarter were $3.2 million—they have been as high as $3.8 million—but dropped back to the first quarter’s $2.9 million in revenues for the final quarter.
Signs that an economic recovery was looming would include an increase in home sales or employment numbers, Mr. Cherry said.
Neither of those things has happened.
Mike Piccolo Codes Enforcement Officer for the Village of Cobleskill, said what he’s seen is more people investing in their homes with smaller construction projects—renovations, maybe, or a new deck.
There’s been no growth in new homes, he said.
But, on the commercial side, Cobleskill may well be ahead of the ball.
CVS will open soon, Rite Aid has a drug store on the table, and Mr. Piccolo said he’s had inquiries from someone looking for 10,000 to 12,000 square-feet of space.
“I’ve seeing more interest in the commercial end,” he said. “People asking questions about our regulations and our zoning. It may be that things will start picking up.”
In January ’09, the county made the news for having the second highest unemployment rate in the state—11.3 percent.
NYS Department of Labor statistics put this January at nearly the same but early June figures show an improvement to 8.2 percent, below ’09’s year-end average of 8.8 percent—double 2000’s average of 4.3 percent.
“There really has to be some catalyst for the sales tax picture to improve dramatically,” Mr. Cherry said. “A major housing project, a lot of jobs moving into the area.
“That just hasn’t happened. On the other hand, with what I know now about the overall economy, I don’t see any reason for things to go backward.”