www.hdlcompanies.com | 888.861.0220
Q4 2023*
Q4 2024*
Legend
$0
$20,000
$40,000
$60,000
$80,000
$100,000
$120,000
$140,000
SALES TAX BY MAJOR BUSINESS GROUP *Allocation aberrations have been adjusted to reflect sales activity County
and State
Pools
Fuel and
Service
Stations
Building
and
Construction
Restaurants
and
Hotels
Business
and
Industry
Autos
and
Transportation
Food
and
Drugs
General
Consumer
Goods
CITY OF FORTUNA HIGHLIGHTS TOP 25 PRODUCERS
Published by HdL Companies in Spring 2025
Ace Hardware & Garden
Cigarette Payless
Dollar General
Dollar Tree
Eel River Brewing
Forbusco Lumber
Fortuna Chevron
Fortuna Liquors
Friesen Design Build
Grocery Outlet
Hummel Tire & Wheel
Les Schwab Tire Center
McDonald’s
Mercer Fraser
O’Reilly Auto Parts
Peterson Tractor
Ray’s Quality Cars
Safeway
Sequoia Gas
Shell
Sunbelt Rentals
Tractor Supply
Valley Pacific Petroleum
Services
Walgreens
Wyckoff Plumbing
SALES TAX UPDATE
CITY OF FORTUNA
4Q 2024 (OCTOBER - DECEMBER)
Fortuna’s receipts from October through
December were 4.4% above the fourth
sales period in 2023. Excluding reporting
aberrations, actual sales were down 3.2%.
Deal-seeking shoppers powered
e-commerce to record highs for general
merchandise and helping to boost the
City’s allocation from the countywide use
pool. Outpacing the statewide trend that
had double-digit declines, the fuel-service
station sector reported positive gains.
Price-conscious consumers embraced
value options offered at quick service
restaurants, while casual dining venues
suffered fewer visits. Shoppers supported
local retailers during the holiday season
for improved receipts in general consumer
goods.
The building group has been hampered
by the sluggish construction market and
deferral of large projects for reduced
receipts. Scarce capital due to higher
interest rates leads to rethinking of
resource allocation and there was less
equipment investment in the business
sector.
Measure E posted a modest decline with
drops in the building and business groups,
while autos gained as residents opted to
purchase more new-used cars with the
threat of tariffs on the horizon and service
station sales improved.
Net of aberrations, taxable sales for all
of Humboldt County grew 1% over the
comparable time period; the Far North
region was down 3.7%
TOTAL:
-0.1%
$482,520
Measure E
TOTAL: $ 548,460
-3.2% 1.3% -1.1%
COUNTY STATE
FORTUNA
4Q2024
TOP NON-CONFIDENTIAL BUSINESS TYPES
Q4 '24
Fortuna
Business Type Change Change Change
County HdL State
Service Stations 61,926 8.1% -5.1% -13.0%
Casual Dining 38,125 -2.0% 0.3% 1.9%
Contractors 29,952 6.5% 6.3% -4.8%
Automotive Supply Stores 29,692 0.5% 5.5% 1.0%
Quick-Service Restaurants 25,081 2.4% 2.2% 1.7%
Auto Repair Shops 14,131 -1.0% -7.2% -5.1%
Electronics/Appliance Stores 13,210 6.1% -1.3% -2.6%
Convenience Stores/Liquor 9,820 -15.5% -2.6% -2.3%
Second-Hand Stores 3,091 3.6% 0.5% -2.7%
Receivables/Master Outlets 715 91.2% -42.8% -14.2%
*Allocation aberrations have been adjusted to reflect sales activity SALES TAX RATE BREAKDOWN 9.5%
State General Fund 3.9375%
City/County General Fund (Bradley-Burns) 1.0000%
Fortuna Measure E (FOGT) 0.7500%
County Public Safety (Prop 172) 0.5000%
County Realignment (Mental Health/Welfare/Public Safety) 1.5625% Countywide Transportation Fund 0.2500%
Humboldt County Measure O (HBGT) 0.5000%
Humboldt County Measure O (Supplemental) (SUPP) 1.0000% Tax Rate Effective April 01, 2025 9.5000%
4Q 2024 CITY OF FORTUNA SALES TAX UPDATE
STATEWIDE RESULTS
California’s local one cent sales and
use tax receipts during the months of
October through December were 1.1%
lower than the same quarter one year ago
after adjusting for accounting anomalies.
The fourth quarter is notably the highest
sales tax generating period of the year
but exhibited diminished year-over-year
returns as consumers struggled with tariff
concerns and pulling back on discretionary
spending.
For the past eight quarters - two calendar
years - statewide results have declined;
led mostly by autos-transportation and
building-construction suppressed activity
due to the sustained high interest rate
environment. Specifically, this quarter,
as new and used car returns pulled back,
only leasing activity improved likely
representing buyers willingness to wait for
more advantageous economic conditions
before committing to long term obligations.
Furthermore, building-construction drops
spanned multiple categories including
building materials, plumbing/electrical
and contractors as property owners delay
repairs and improvements until they’re
more comfortable tapping available equity.
During this holiday shopping period, brickand-mortar general retailers slumped 2.4%, further hindered by lower gas prices. Recent
closures by merchants selling variety/
low priced items and weaker returns from
department stores were most impactful.
As consumers appeared more interested in
value/discounted items vs higher priced/
luxury goods, overall statewide receipts
revealed growth from online retailers by
way of local returns through fulfillment
centers and allocations via each county’s
use tax pool demonstrating a desire to
spend, just more through different vendors
which shifted local tax distributions.
Fuel and service stations experienced a
drop of 14% largely due to the decreased
price of global crude oil. While this dynamic
hurt the sector results, it did allow for more
disposable income to be spent in other areas
and does not appear to be changing in the
near term.
Revenue from restaurants sustained a
modest gain of 1.3%, with only a waning
from fine dining establishments – consistent
with spending trends in other sectors. As
eateries try and balance higher menu prices
and demand, a ‘return to office’ call by
businesses could inspire future increased
foot traffic for many venues in metropolitan
centers.
The fourth quarter also marks the end of the
calendar year. As expected 2024 was 1.2%
lower than 2023 with most sectors taking
a hit. Only restaurants, business-industry
and allocations via the county use tax pools
improved.
With national tariff discussions happening
at the federal level, consumers start 2025
wondering if higher priced goods and
difficult decisions are on the horizon. Also,
the Federal Reserve Board hasn’t signified
any relief by way of lower interest rates
leaving only minimal growth expectations to
come. The theme of the current economic
outlook is uncertainty.