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Council warned of falling sales tax and possible 2026 hiring deferrals after June report
Summary
City finance staff reported a roughly 4% year‑over‑year decline in retail sales tax through June and flagged drops in building permits and REIT receipts; staff proposed deferring planned 2026 new hires to close much of the projected budget gap.
City staff told the Arlington City Council that retail sales tax revenue was running about 4% below the prior year through June, leaving a roughly $324,000 shortfall compared with the previous year’s collections for the July 2024–June 2025 period. Paul, a city staff member presenting the June financial report, said the city had budgeted on continued sales‑tax growth but that the current trend required action to preserve the…
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