Cerritos staff: third‑quarter 2025 sales‑tax report shows stable local performance; commissioners press for diversification data
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Summary
City staff presented HDL Companies’ third‑quarter 2025 sales‑tax review on Feb. 10, reporting generally consistent taxable sales year‑over‑year in Cerritos and modest 1.8% growth for the Southern California region; commissioners asked for diversification strategies and more recent or firm‑level thresholds for top producers.
City staff presented a third‑quarter 2025 sales‑tax update prepared by HDL Companies to the Cerritos Economic Development Commission on Feb. 10, reporting that Cerritos’ core taxable sales were generally consistent with the same period a year earlier and that Southern California grew about 1.8% for the quarter.
Staff said autos and transportation, general consumer goods and business and industry remain the city’s primary sales‑tax producers and that some categories — including apparel, department stores and auto leasing — showed modest improvement. The presentation noted that higher vehicle prices and tighter financing reduced receipts from new motor‑vehicle dealers and that increased global petroleum supplies reduced fuel receipts for service stations.
Miss Miranda said the quarterly review helps staff track trends, verify reporting accuracy and support the city’s strategic plan goal to "strengthen economic development." She explained the report is typically one quarter behind because quarterly reporting aligns with state data‑collection cycles.
Commissioner Chang asked whether the city has a specific diversification strategy to reduce reliance on auto‑related receipts; staff said the city is updating its economic development strategic plan (the commission discussed a 2007 plan) and that recommendations for diversification could be included in that update. Commissioners also asked whether staff could identify thresholds for being a "top 25" sales‑tax producer; staff offered to work with HDL Companies and the finance team to provide more detailed thresholds and firm‑level context at a future meeting.
During the discussion a commissioner said an online retailer (Revolve) does about $60,000,000,000 in sales; staff did not confirm that figure during the meeting. Staff concluded that they will continue quarterly monitoring with HDL Companies and bring deeper analysis back at the commission's request. No formal action or vote on policy changes occurred at the meeting.