MDD staff reports September sales tax spike; online sales still majority of collections

Harrison (staff) presented sales tax collections as of Sept. 30, 2025, reporting an estimated net collection for September of $56,066, which he said represents a 29.5% increase over September 2024.

Harrison said locally generated collections grew more than remote collections in the most recent reporting period but that remote (online) collections still account for roughly 72% of total collections over the prior 12 months, with local collections at about 28%. He emphasized that roughly three‑quarters of current sales tax receipts to the town come from online purchases and marketplace sellers.

Preliminary year‑to‑date figures for fiscal year 2024–25 totaled about $563,196, up from $472,685 the prior fiscal year (approximately a 19% increase), and above the town’s $550,000 estimate for the year. Harrison said staff will produce an end‑of‑year report later in the calendar year.

Board members discussed voter outreach materials related to a pending local sales tax proposition and clarified that the proposed election language would not change the town’s overall local sales tax rate or increase MDD collections. A board member stated, “It does not actually affect the MDD,” when asked if the election would provide additional MDD revenue. Harrison said the town will work with the newly engaged marketing firm Brandera on any buy‑local education efforts.