8.5% from the prior year. When adjusted for non-period related payments, the overall economic sales tax activity in Palo Alto for the year increased by 8.6%. In comparison, statewide increased by 3.9% and the Bay Area increased by 3.7%. When adjusted for non- period related payments, the overall economic sales tax activity ending in the first quarter of 2023 increased by 4.5% statewide and decreased by 1.9% in the Bay Area.
The first quarter includes $1.6 million of sales tax receipts from the county pool. The City’ s share of the county pool for this quarter remains flat at 6.0% compared to the first quarter of 2022. County pools are primarily from online purchases from out-of-state companies, remote sellers who ship merchandise to California/ County destinations, and private vehicle sales that are not directly allocated to a jurisdiction. County pools are allocated to local jurisdictions based on each jurisdiction’ s share of total sales taxes.
ATTACHMENTS
Attachment A: City of Palo Alto Sales Tax Digest Summary, 2023 Q1 APPROVED BY: Kiely Nose, Assistant City Manager
Item 14
Item 14 Staff Report
Item 14: Staff Report
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CityꢀofꢀPaloꢀAltoꢀ
SalesꢀTaxꢀDigestꢀSummaryꢀꢀꢀꢀꢀ
CollectionsꢀthroughꢀMayꢀ2023ꢀ
SalesꢀJanuaryꢀthroughꢀMarchꢀ2023ꢀ(2023Q1)ꢀ
ꢀ
California Overview
For the year ending in first quarter of 2023, cash receipts increased 3.9% statewide, 3.7% in the Bay Area. However, when adjusted for non‐period related payments, the overall economic sales tax activity for the year ending in first quarter of 2023 increased by 4.5% statewide and increased 1.9% in the Bay Area. The differential in cash and economic results was due to various cash anomalies such as late payments and audit adjustments.
City of Palo Alto
For the year ending in the first quarter of 2023, sales tax cash receipts for the city increased by 8.5% from the prior year. When adjusted for non‐period related payments, the overall economic sales tax activity in Palo Alto for the year ending in first quarter of 2023 increased by 8.6%.
Sales tax cash receipts decreased by 0.4% in California from Q1 2022 to Q1 2023, matching the statewide decline of 0.5%. Overall, the decline in sales tax cash receipts in California in Q1 2023 was due to a combination of factors, including bad weather, higher interest rates, and a slowing in consumer demand.
This led to an overall decrease in consumer spending. Inflation declined by 1.6% from an average of 8.0% in Q1 2022 to 6.4% in Q1 2023. Interest rates increases made financing larger purchases, such as new autos, more expensive. According to Experian, the average interest rate for an auto loan in California for the year ended 2023Q1 was 5.41%, up from 4.73% in the year ended 2022Q1. This represents a 14.2% increase in the average interest rate.
The Transportation Category in Palo Alto saw the largest decline in taxable sales on an economic basis over the past year, falling by 13.0%. This was driven by a 19.4% year‐over‐year decline in taxable sales of new autos, which make up 76.3% of the category. However, much of the decline in sales tax from new autos was offset by increases in the Leasing segment (which appears in the B2B category). The average price of a new car in California was $45,340 in 2023Q1, down from $46,340 in 2022Q1, a 2.16% decline.
While higher interest rates should contribute to a decline in demand for new autos, decreasing prices should lead to an increase in demand. Also, in the current uncertain economic climate, consumers remain cautious, especially in the face of higher prices throughout the economy. However, it should be noted that after recent supply chain constraints and unusually high prices for new autos, there remains a large pent up demand for new autos. After several years of turbulence in the new auto marketplace, numerous countervailing trends remain and we have yet to reach a ‘new normal’. ꢀ
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Item 14
Attachment A - City of
Palo Alto Sales Tax Digest,
2023 Q1
Item 14: Staff Report
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CityꢀofꢀPaloꢀAltoꢀ
Regional Overview
The chart below shows adjusted economic benchmark year amounts, which means that it shows a full year from the first quarter of 2022 through first quarter of 2023 compared to first quarter of 2021 through first quarter of 2022 (benchmark years are rolling annual comparisons through the current quarter). The growth level is different between the state and Palo Alto because the sales tax from businesses in Palo Alto were more impacted by the pandemic than those statewide and Palo Alto continues to have a longer growth ‘tail’ to its recovery.
Regional Overview Chart (Economic)
BENCHMARK YEAR 2023Q1 COMPARED TO BENCHMARK YEAR 2022Q1 ECONOMIC CATEGORY ANALYSIS FOR YEAR ENDED 1st Quarter 2023 California
Statewide
Sacramento
Valley% of Total / % Change Palo Alto S.F. Bay Area Central Valley South Coast Inland Empire North Coast General Retail
Food Products
Transportation
Business to Business
Misc/Other
27.3 / 4.4
17.4 / 22.0
18.0 / ‐13.0
33.6 / 24.1
3.6 / ‐5.1
27.7 / 2.0
20.6 / 7.6
24.5 / 5.6
16.3 / 4.9
11.0 / 2.2
100.0 / 4.5
23.6 / ‐5.9
22.1 / 4.5
20.5 / ‐5.1
21.8 / ‐4.7
10.8 / ‐5.5
100.0 / 1.9
27.8 / ‐0.1
16.4 / 8.2
27.4 / 2.5
14.5 / 9.1
14.0 / 0.7
100.0 / 3.3
36.2 / ‐2.5
14.5 / 3.2
23.2 / 2.3
15.2 / 5.9
10.9 / ‐1.7
100.0 / 0.7
26.3 / 4.2
22.5 / 9.0
25.3 / 7.8
16.0 / 6.6
9.9 / 4.2
32.5 / 12.6
17.4 / 10.9
25.8 / 18.5
11.2 / 24.3
13.1 / 13.3
100.0 / 15.1
26.3 / ‐15.4
17.9 / ‐5.8
30.0 / ‐6.9
10.4 / ‐10.4
15.4 / ‐9.9
100.0 / ‐9.9Total 100.0 / 8.6 100.0 / 6.6
ECONOMIC SEGMENT ANALYSIS FOR YEAR ENDED 1st Quarter 2023 California
Statewide
Sacramento
Valley
Auto Sales ‐
New
Palo Alto S.F. Bay Area
Restaurants
Central Valley South Coast
Restaurants
Inland Empire North Coast
Miscellaneous
Retail
13.4 / ‐0.2
Department
Stores
Miscellaneous
Retail
15.6 / 17.9
Auto Sales ‐
New
Largest Segment Leasing
21.3 / 21.2
Restaurants
Restaurants Service Stations
11.8 / 4.2% of Total / % Change
2nd Largest Segment
% of Total / % Change
3rd Largest Segment
% of Total / % Change
14.7 / 10.9
Auto Sales ‐
New
16.2 / 10.0
Auto Sales ‐
New
11.2 / ‐0.1 16.5 / 12.2
Auto Sales ‐
New
12.8 / 6.6
Department
Stores
Restaurants
11.1 / 9.2
Restaurants
15.5 / 23.5
Auto Sales ‐
New
11.5 / 3.0 9.8 / ‐9.3 11.1 / 1.3 10.9 / 12.0 11.2 / ‐5.9 Auto Sales ‐
New
Miscellaneous Department Miscellaneous Restaurants
9.6 / 3.8
Restaurants
10.8 / 14.3
Retail
9.2 / 6.4
Stores
7.7 / 0.2
Retail
10.5 / ‐1.113.8 / ‐19.4 8.1 / 5.6 11.2 / ‐13.5
ꢀ
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Item 14
Attachment A - City of
Palo Alto Sales Tax Digest,
2023 Q1
Item 14: Staff Report
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CityꢀofꢀPaloꢀAltoꢀ
Gross Historical Sales Tax Cash Receipts by Benchmark Year and Quarter (Before Adjustments)
$35,000,000
$30,000,000
$25,000,000
$20,000,000
$15,000,000
$10,000,000
$5,000,000
$‐
Quarterly Benchmark Year
Net Cash Receipts for Benchmark Year first Quarter 2023: $34,007,195 *Benchmark year (BMY) is the sum of the current and 3 previous quarters (2023Q1 BMY is sum of 2023 Q1, 2022 Q4, 2022 Q3, 2022 Q2) Net Pools & Adjustments
20.2%
Leasing
21.4%
Restaurants
15.6%
All Other
35.1%
Auto Sales ‐ New
13.8%
Office Equipment
7.4%Apparel Stores
6.7%
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Item 14
Attachment A - City of
Palo Alto Sales Tax Digest,
2023 Q1
Item 14: Staff Report
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CityꢀofꢀPaloꢀAltoꢀ
TOP 25 SALES/USE TAX CONTRIBUTORS
The following list identifies Palo Alto’s Top 25 Sales/Use Tax contributors. The list is in alphabetical order and represents the year ended first quarter of 2023. The Top 25 Sales/Use Tax contributors generate
60.6% of Palo Alto’s total sales and use tax revenue.
Anderson Honda
Apple Stores
Macy's Department Store
Magnussen's Toyota of Palo Alto Tesla
Stanford Health Care
Arco AM/PM Mini Marts
Audi Palo Alto
Bloomingdale's
Hengehold Trucks
Hermes
Neiman Marcus
Nordstrom Department Store
Richemont
Rivian Automotive
Shell Service Stations
Shreve & Co.
Tesla Lease Trust
Tiffany & Company
Union 76 Service Stations
Valero Service Stations
Varian Medical Systems
Volvo Cars Palo AltoHP Enterprise Services
Louis Vuitton
ꢀ
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Item 14
Attachment A - City of
Palo Alto Sales Tax Digest,
2023 Q1
Item 14: Staff Report
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CityꢀofꢀPaloꢀAltoꢀ
ꢀ
Sales Tax from Largest Non‐Confidential Sales Tax Segments (Economic) $6,000,000
$5,000,000
$4,000,000
$3,000,000
$2,000,000
$1,000,000
$‐
Benchmark Year 2023Q1 Benchmark Year 2022Q1
ꢀ
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Item 14
Attachment A - City of
Palo Alto Sales Tax Digest,
2023 Q1
Item 14: Staff Report
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CityꢀofꢀPaloꢀAltoꢀ
ꢀ
Historical Analysis by Calendar Quarter
Economic Category
Business To Business
Miscellaneous/Other
General Retail
% 2023Q1 2022Q4 2022Q3 2022Q2 2022Q1 2021Q4 2021Q3 2021Q2 2021Q1 2020Q4 2020Q3
28.6% 2,350,567 2,571,178 2,194,817 2,095,020 2,031,199 2,136,501 1,689,561 1,559,814 1,700,725 1,937,072 1,909,078
16.1% 1,302,322 1,517,005 1,597,816 1,724,861 1,701,538 1,687,189 1,812,731 1,743,358 1,558,859 1,777,635 1,480,228
20.3% 1,640,927 2,305,038 1,802,777 1,920,316 1,639,417 2,282,253 1,687,461 1,740,666 1,153,240 1,608,823 1,143,497 Food Products 14.8% 1,195,458 1,260,287 1,230,824 1,227,240 1,018,577 1,083,309
79.8% 6,489,274 7,653,508 6,826,234 6,967,438 6,390,731 7,189,252 6,189,482 5,956,778 5,048,529 5,997,999 5,184,075
20.2% 1,586,938 1,935,580 1,862,181 686,044 1,721,924 1,806,328 584,508 1,513,663 1,741,273 1,343,184 1,339,250 100.0% 8,076,212 9,589,088 8,688,414 7,653,481 8,112,655 8,995,580 6,773,990 7,470,441 6,789,802 7,341,183 6,523,324 999,729 912,939 635,705 674,469 651,271
Subtotal Economic (Local Business)
Net Pools & Adjustments
Total Cash Receipts
Economic Segment
Miscellaneous/Other
Restaurants
% 2023Q1 2022Q4 2022Q3 2022Q2 2022Q1 2021Q4 2021Q3 2021Q2 2021Q1 2020Q4 2020Q3
46.8% 3,818,384 4,490,992 4,087,158 4,008,008 3,949,786 3,969,954 3,752,178 3,570,610 3,406,995 3,982,753 3,567,251
13.3% 1,073,621 1,114,637 1,102,248 1,093,944 902,707
432,956
392,724
367,144
947,771
679,381
540,782
525,295
884,911
412,016
406,274
388,703
799,544
514,516
398,447
384,763
540,244
338,032
264,318
237,522
557,662
489,417
365,627
315,453
546,924
329,678
265,136
186,316
Miscellaneous Retail
Apparel Stores
5.5%
5.2%
4.4%
448,322
423,470
356,626
545,797
538,573
533,032
381,616
435,730
423,601
479,710
495,508
454,349Department Stores
Service Stations
Food Markets
Business Services
2.4%
1.3%
0.9%
192,723
101,978
74,150
215,640
116,810
98,027
233,387
99,811
62,683
250,715
104,253
80,950
191,755
91,634
62,025
190,610
108,203
227,256
181,460
90,773
73,169
157,268
89,773
41,858
116,258
74,397
70,763
111,242
89,739
86,107
108,840
81,580
98,350
Subtotal Economic (Local Business)
Net Pools & Adjustments
Total Cash Receipts
79.8% 6,489,274 7,653,508 6,826,234 6,967,438 6,390,731 7,189,252 6,189,482 5,956,778 5,048,529 5,997,999 5,184,075
20.2% 1,586,938 1,935,580 1,862,181 686,044 1,721,924 1,806,328 584,508 1,513,663 1,741,273 1,343,184 1,339,250 100.0% 8,076,212 9,589,088 8,688,414 7,653,481 8,112,655 8,995,580 6,773,990 7,470,441 6,789,802 7,341,183 6,523,324 The chart above shows the categories and segments in quarterly economic basis amounts. The total amount is the net cash receipts, and it was obtained by adding up the categories/segments with the “Net Pools & Adjustments” amount. ꢀ
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Item 14
Attachment A - City of Palo Alto Sales
Tax Digest, 2023 Q1
Item 14: Staff Report
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CityꢀofꢀPaloꢀAltoꢀ
Historical Analysis by Calendar BMY from 2014Q1 to 2023Q1 Economic Category
Business To Business
Miscellaneous/Other
General Retail
%
27.1%
18.1%
22.6%
14.4%
82.1%
17.9%
100.0%
2023Q1
9,211,582
6,142,004
7,669,059
4,913,808
27,936,453
6,070,743
34,007,195
2022Q1
7,417,075
6,944,815
7,349,797
4,014,555
25,726,242
5,626,425
31,352,667
2021Q1
7,559,749
5,918,738
4,334,592
2,406,412
20,219,491
6,261,187
26,480,678
2020Q1
8,285,565
6,876,486
7,342,533
4,758,417
27,263,001
5,549,517
32,812,518
2019Q1
7,585,071
7,867,779
8,414,928
4,813,722
28,681,500
6,475,660
35,157,160
2018Q1
6,221,078
6,368,729
8,348,586
4,729,681
25,668,075
7,780,906
33,448,981
2017Q1
5,363,280
6,081,956
8,556,247
4,593,233
24,594,716
7,375,620
31,970,337
2016Q1
4,930,311
5,701,511
8,016,839
4,560,623
23,209,283
6,510,739
29,720,022
2015Q1
4,185,193
5,322,795
8,080,314
4,270,210
21,858,511
6,984,972
28,843,483
2014Q1
4,592,034
6,941,845
7,938,038
3,943,408
23,415,325
6,562,710
29,978,035
Food Products
Subtotal Economic (Local Business)
Net Pools & Adjustments
Total
Economic Segment
Miscellaneous/Other
Restaurants
%
48.2%
12.9%
5.5%
2023Q1
16,404,542
4,384,450
1,855,445
1,893,281
1,767,608
892,465
2022Q1
15,242,527
3,534,932
2,038,869
1,738,227
1,665,905
721,092
2021Q1
14,175,956
1,992,761
1,265,974
965,485
2020Q1
16,156,412
4,200,329
1,558,415
1,812,209
1,684,162
687,514
2019Q1
16,961,455
4,278,481
1,588,576
2,007,712
1,927,148
693,763
2018Q1
14,112,656
4,155,599
1,740,607
1,752,885
2,078,890
627,009
2017Q1
12,638,958
4,037,282
2,318,218
1,691,766
2,100,425
573,919
2016Q1
11,524,583
4,011,460
1,738,856
1,629,041
2,298,561
618,471
2015Q1
10,555,643
3,758,386
1,598,740
1,659,379
2,397,393
732,864
2014Q1
12,520,825
3,458,140
1,536,401
1,630,386
2,415,255
757,377
Miscellaneous Retail
Apparel Stores 5.6%
Department Stores
Service Stations
5.2% 769,134
2.6% 406,403
Business Services
Food Markets
1.2% 422,852 380,382 320,260 718,085 815,861 729,690 773,095 925,803 716,275 680,069
0.9% 315,810 404,308 323,518 445,875 408,504 470,739 461,053 462,510 439,831 416,872 Subtotal Economic (Local Business)
Net Pools & Adjustments
Total
82.1%
17.9%
100.0%
27,936,453
6,070,743
34,007,195
25,726,242
5,626,425
31,352,667
20,219,491
6,261,187
26,480,678
27,263,001
5,549,517
32,812,518
28,681,500
6,475,660
35,157,160
25,668,075
7,780,906
33,448,981
24,594,716
7,375,620
31,970,337
23,209,283
6,510,739
29,720,022
21,858,511
6,984,972
28,843,483
23,415,325
6,562,710
29,978,035
The chart above shows the categories and segments in benchmark year economic basis amounts. The total amount is the net cash receipts, and it was obtained by adding up the categories/segments with the “Net Pools & Adjustments” amount. Benchmark year (BMY) is the sum of the current and 3 previous quarters (2023Q1 BMY is sum of 2023 Q1, 2022 Q4, 2022 Q3, 2022 Q2). ꢀ
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Item 14
Attachment A - City of Palo Alto Sales
Tax Digest, 2023 Q1
Item 14: Staff Report
Pg.
8 Packet Pg. 631 of 638
CityꢀofꢀPaloꢀAltoꢀ
Quarterly Analysis by Sales Tax Category: Change from 2022Q1 to 2023Q1 (Economic) Campbell ‐2.9%
‐9.9%
‐3.2%
2.2%
12.1%
14.0%
‐5.2% ‐34.9%
15.1% ‐31.7%
‐7.4%
‐3.5%
2,430,988
7,554,236
3,700,699
574,144
2,614,329 ‐7.0% Restaurants
10,388,310 ‐27.3% Restaurants
4,053,122 ‐8.7% Heavy Industry
Office Equipment
Service Stations
Restaurants
Electronic Equipment Light Industry
Cupertino Office Equipment
I.T. Infrastructure
I.T. Infrastructure
Gilroy 5.1% ‐14.1% ‐17.5% ‐16.5% Auto Sales ‐ New
Los Altos 6.1%
11.0%
17.8%
5.8%
‐2.6%
‐5.8%
1.8%
18.2%
‐9.4%
‐1.9%
36.3%
17.2%
16.5%
‐8.0%
24.7%
‐6.7%
‐7.4%
22.9%
548,830 4.6% Restaurants Miscellaneous Retail Furniture/Appliance Light Industry Miscellaneous Other Miscellaneous Retail Office EquipmentLos Gatos Milpitas
‐13.9%
12.2%
7.2%
1,349,122
5,449,621
2,404,435
4,393,601
6,489,274
44,658,554
12,674,311
1,119,395
233,655
1,363,484 ‐1.1% Restaurants
5,081,311 7.2% Office Equipment Restaurants Electronic Equipment Light Industry Morgan Hill
Mountain View
Palo Alto
0.3% ‐23.9%
‐5.4% ‐27.5%
2,457,715 ‐2.2% Auto Sales ‐ New
4,463,301 ‐1.6% Restaurants
6,518,712 ‐0.5% Leasing
Restaurants Light Industry Service Stations
Energy Sales‐4.5%
‐0.3%
‐3.0%
1.1%
24.4% Biotechnology
Restaurants
Business Services
Auto Sales ‐ New
Bldg.Matls‐Whsle
14.9% ‐26.9% 10.8%
25.4%
12.7%
Health & Government
Service StationsSan Jose 9.7% 2.9%
9.6%
42,190,739 5.8% Green Energy Restaurants
Santa Clara
County of Santa Clara
Saratoga
28.2% 11,137,261 13.8% Restaurants
1,156,360 ‐3.2% Misc. Vehicle Sales
247,570 ‐5.6% Restaurants
Bldg.Matls‐Whsle
Leasing
Furniture/Appliance Auto Sales ‐ Used
0.2% ‐15.8% 28.4% 43.4% ‐21.8% Bldg.Matls‐Whsle Food Processing Eqp Business Services0.1% 1.3% ‐13.8% ‐42.1% ‐5.2% Auto Parts/Repair Light Industry
Service Stations
Sunnyvale ‐29.9% 16.7% ‐7.9% ‐11.4% 21.7% 6,463,748 7,012,289 ‐7.8% Restaurants Miscellaneous Retail Office Equipment Unlike the chart on page one which showed a ‘benchmark year’ through first quarter of 2023, the chart above shows a comparison of one quarter only – first quarter of 2023 to first quarter of 2022. This chart is for local ‘brick and mortar’ businesses and it excludes county pools and adjustments. ꢀ
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Item 14
Attachment A - City of Palo Alto Sales
Tax Digest, 2023 Q1
Item 14: Staff Report
Pg.
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CityꢀofꢀPaloꢀAltoꢀ
City of Palo Alto Geo Areas & Citywide Chart Data: Change from 2022Q1 to 2023Q1 (Economic) California Avenue
FOOD PRODUCTS
GENERAL RETAIL
ALL OTHER
% CHANGE QoQ 2023Q1 QE 2022Q1 QE
46,888
23Q1 % OF TOTAL 22Q1 % OF TOTAL
36.7%
‐40.2%
0.8%
64,086
15,166
40,728
53.4%
12.6%
33.9%
100.0%
41.6%
22.5%
35.8%
100.0%
25,382
40,388
112,658TOTAL 6.5% 119,980
El Camino Real and Midtown
FOOD PRODUCTS
GENERAL RETAIL
ALL OTHER
% CHANGE QoQ 2023Q1 QE 2022Q1 QE 23Q1 % OF TOTAL 22Q1 % OF TOTAL ‐2.0%
6.2%
150,257 153,346
36,894
143,797
334,037
46.8%
12.2%
41.0%
100.0%
45.9%
11.0%
43.0%
100.0%
39,165
131,639
321,062
‐8.5%
‐3.9%TOTAL
Greater Downtown
FOOD PRODUCTS
GENERAL RETAIL
BUSINESS TO BUSINESS
CONSTRUCTION
MISCELLANEOUS
TRANSPORTATION
TOTAL
% CHANGE QoQ 2023Q1 QE 2022Q1 QE 23Q1 % OF TOTAL 22Q1 % OF TOTAL
19.1%
‐6.1%
5.1%
‐7.0%
13.9%
52.7%
8.9%
469,690 394,311
260,220
43,541
9,507
7,271
3,499
718,349
60.0%
31.2%
5.8%
54.9%
36.2%
6.1%
244,475
45,766
8,842 1.1% 1.3%
8,282 1.1% 1.0%
5,344 0.7% 0.5%
782,398 100.0% 100.0%
Stanford Shopping Center
GENERAL RETAIL
FOOD PRODUCTS
ALL OTHER
% CHANGE QoQ 2023Q1 QE 2022Q1 QE 23Q1 % OF TOTAL 22Q1 % OF TOTAL ‐9.4%
5.2%
‐48.9%
‐16.4%
850,066
138,870
148,787
938,161
132,060
290,988
74.7%
12.2%
13.1%
100.0%
68.9%
9.7%
21.4%
100.0%TOTAL 1,137,722 1,361,208
ꢀ
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Item 14
Attachment A - City of Palo Alto Sales
Tax Digest, 2023 Q1
Item 14: Staff Report
Pg.
10 Packet Pg. 633 of 638
CityꢀofꢀPaloꢀAltoꢀ
City of Palo Alto Geo Areas & Citywide Chart Data: Change from 2022Q1 to 2023Q1 (Economic) Cont.
Town And Country Shopping Center
FOOD PRODUCTS
GENERAL RETAIL
ALL OTHER
% CHANGE QoQ 2023Q1 QE 2022Q1 QE
90,167
23Q1 % OF TOTAL 22Q1 % OF TOTAL
13.4%
11.0%
‐10.9%
11.9%
102,282
55,923
3,389
63.3%
34.6%
2.1%
62.5%
34.9%
2.6%
50,399
3,805
144,371TOTAL 161,593 100.0% 100.0%
All Other Geos combined with Balance of Jurisdiction % CHANGE QoQ 2023Q1 QE 2022Q1 QE 23Q1 % OF TOTAL 22Q1 % OF TOTAL
BUSINESS TO BUSINESS
GENERAL RETAIL
FOOD PRODUCTS
TRANSPORTATION
MISCELLANEOUS
CONSTRUCTION
TOTAL
12.5%
‐8.4%
2,235,775
1,261,767
1,001,083
985,451
41,422
1,988,128
1,377,099
867,935
1,142,033
54,183
40.3%
22.7%
18.0%
17.7%
0.7%
36.4%
25.2%
15.9%
20.9%
1.0%
15.3%
‐13.7%
‐23.6%
‐12.5%
1.7%
26,543
5,552,041
30,334
5,459,713
0.5%
100.0%
0.6%
100.0%
All Geo Area Totals Comparison 23Q1 & 22Q1
Balance of Jurisdiction
Stanford Shopping Center
Greater Downtown
El Camino Real and Midtown
Town And Country Shopping Center
California Avenue
% CHANGE QoQ 2023Q1 QE 2022Q1 QE 23Q1 % OF TOTAL 22Q1 % OF TOTAL
8.6%
‐16.4%
8.9%
3,029,285 2,789,090
1,361,208
718,349
334,037
144,371
54.6%
20.5%
14.1%
5.8%
51.1%
24.9%
13.2%
6.1%
1,137,722
782,398
321,062
161,593
119,980
5,552,041
‐3.9%
11.9%
6.5%
2.9% 2.6%
112,658
5,459,713
2.2% 2.1%
TOTAL 1.7% 100.0% 100.0%
Palo Alto citywide QE 23Q1 & 22Q1
BUSINESS TO BUSINESS
GENERAL RETAIL
FOOD PRODUCTS
TRANSPORTATION
MISCELLANEOUS
% CHANGE QoQ 2023Q1 QE 2022Q1 QE 23Q1 % OF TOTAL 22Q1 % OF TOTAL
10.8%
‐0.3%
2,350,567 2,122,094
1,645,517
1,040,148
1,443,619
228,864
36.2%
25.3%
18.4%
16.3%
2.9%
32.6%
25.2%
16.0%
22.1%
3.5%
1,640,927
1,195,458
1,055,554
185,342
14.9%
‐26.9%
‐19.0%
59.7%
‐0.5%
CONSTRUCTION
TOTAL
61,425 38,471
6,518,712
0.9% 0.6%
6,489,274 100.0% 100.0% ꢀ
www.avenuinsights.com (800) 800-8181 Page 10
Item 14
Attachment A - City of Palo Alto Sales
Tax Digest, 2023 Q1
Item 14: Staff Report
Pg.
11 Packet Pg. 634 of 638
CityꢀofꢀPaloꢀAltoꢀ
City of Palo Alto Geo Area Pie Charts
California Avenue2023Q1 SALES TAX AMOUNTS California Avenue2022Q1 SALES TAX AMOUNTS FOOD PRODUCTS,$46,888 ,
41.6% TOTAL
ALL OTHER,
0.8% CHANGE, $40,728 ,
33.9% TOTAL
FOOD PRODUCTS,
36.7% CHANGE,$64,086 ,
53.4% TOTAL ALL OTHER, $40,388 ,
35.8% TOTAL
GENERAL RETAIL,
$25,382 , 22.5% TOTALGENERAL RETAIL, ‐40.2% CHANGE,
$15,166 , 12.6% TOTAL
El Camino Real and Midtown 2023Q1 SALES TAX AMOUNTS El Camino Real and Midtown 2022Q1 SALES TAX AMOUNTS ALL OTHER, $143,797
43.0% TOTALFOOD PRODUCTS,
‐2.0% CHANGE, $150,257 ,
46.8% TOTAL
ALL OTHER,
‐8.5% CHANGE,
$131,639 , FOOD PRODUCTS,$153,346 ,
45.9% TOTAL41.0% TOTAL
GENERAL RETAIL,
$36,894, 11.0% TOTALGENERAL RETAIL, 6.2% CHANGE,
$39,165 , 12.2% TOTAL
ꢀ
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Item 14
Attachment A - City of Palo Alto Sales
Tax Digest, 2023 Q1
Item 14: Staff Report
Pg.
12 Packet Pg. 635 of 638
CityꢀofꢀPaloꢀAltoꢀ
City of Palo Alto Geo Areas Pie Charts
Greater Downtown 2023Q1 SALES TAX AMOUNTS Greater Downtown 2022Q1 SALES TAX AMOUNTS
CONSTRUCTION,
‐7.0 CHANGE, $8,842 ,
1.1% TOTAL
MISCELLANEOUS, 13.9% CHANGE,
$8,282 , 1.1% TOTAL
MISCELLANEOUS,
$7,271 , 1.0% TOTALCONSTRUCTION, $9,507 ,
1.3% TOTALTRANSPORTATION,
52.7% CHANGE, $5,344 ,
0.7% TOTAL
TRANSPORTATION, $3,499 ,
0.5% TOTAL
BUSINESSTO BUSINESS,
5.1% CHANGE, $45,766 ,
5.8% TOTAL
BUSINESS TO BUSINESS,
$43,541 , 6.1% TOTAL
FOOD PRODUCTS,
$394,311 , 54.9% TOTAL
FOOD PRODUCTS,
19.1% CHANGE, $469,690 ,
60.0% TOTAL
GENERAL RETAIL,
‐6.1% CHANGE,
$244,475 , GENERAL RETAIL,
$260,220 , 36.2% TOTAL31.2% TOTAL
StanfordShopping Center 2023Q1 SALESTAX AMOUNTS StanfordShoppingCenter 2022Q1 SALESTAX AMOUNTS ALL OTHER, ‐48.9% CHANGE,
$148,787 , 13.1% TOTAL ALL OTHER, $290,988 , GENERAL RETAIL $938,161 ,
GENERAL RETAIL,
‐9.4% CHANGE, $850,066 ,
21.4% TOTAL
68.9% TOTAL74.7% TOTAL
FOOD PRODUCTS,
5.2% CHANGE,
$138,870 ,
12.2% TOTAL
FOOD PRODUCTS, $132,060 ,
9.7% TOTAL
ꢀ
www.avenuinsights.com (800) 800-8181 Page 12
Item 14
Attachment A - City of Palo Alto Sales
Tax Digest, 2023 Q1
Item 14: Staff Report
Pg.
13 Packet Pg. 636 of 638
CityꢀofꢀPaloꢀAltoꢀ
City of Palo Alto Geo Area Pie Charts
Town AndCountry ShoppingCenter 2023Q1 SALES TAXAMOUNTS Town AndCountry ShoppingCenter 2022Q1 SALES TAXAMOUNTS ALL OTHER, ‐10.9% CHANGE, $3,389 , 2.1% TOTAL ALL OTHER, $3,805 , 2.6% TOTAL
FOOD PRODUCTS,
13.4% CHANGE, $102,282 ,
63.3% TOTALGENERAL RETAIL,
11.0% CHANGE, $55,923 ,
34.6% TOTAL
GENERAL RETAIL, $50,399 ,
34.9% TOTAL
FOOD PRODUCTS,
$90,167 ,
62.5% TOTAL
All Other Geos combined with Balance of Jurisdiction 2023Q1 All Other Geos combined with Balance of Jurisdiction 2022Q1
SALES TAXAMOUNTSSALES TAXAMOUNTS
CONSTRUCTION,
‐12.5% CHANGE, $26,543 ,
0.5% TOTAL
CONSTRUCTION,MISCELLANEOUS,‐23.6% CHANGE,
$41,422 , 0.7% TOTAL
MISCELLANEOUS, $30,334 , 0.6% TOTAL
$54,183 , 1.0% TOTAL
TRANSPORTATION,
‐13.7% CHANGE, $985,451 , TRANSPORTATION,
$1,142,033 ,
20.9% TOTAL
BUSINESSTO BUSINESS,
17.7% TOTAL 12.5% CHANGE,
$2,235,775 ,
BUSINESSTO BUSINESS,
$1,988,128 ,
36.4% TOTAL40.3% TOTAL
FOOD PRODUCTS,
15.3% CHANGE,
$1,001,083,
18.0% TOTAL
FOOD PRODUCTS,
$867,935
15.9% TOTAL
GENERAL RETAIL,
‐8.4% CHANGE,$1,261,767,
22.7% TOTAL
GENERAL RETAIL, $1,377,099,
25.2% TOTAL
ꢀ
www.avenuinsights.com (800) 800-8181 Page 13
Item 14
Attachment A - City of Palo Alto Sales
Tax Digest, 2023 Q1
Item 14: Staff Report
Pg.
14 Packet Pg. 637 of 638
CityꢀofꢀPaloꢀAltoꢀ
City of Palo Alto Geo Area & Citywide Pie Charts
All Geo Area Totals 2023Q1 SALES TAX AMOUNTS All Geo Area Totals 2022Q1 SALES TAX AMOUNTS TownAnd CountryShoppingCenter,
11.9% CHANGE, $161,593 , 2.9% TOTAL
TownAnd CountryShoppingCenter,
$144,371 , 2.6% TOTAL
CaliforniaAvenue,
$112,658 , 2.1% TOTALCaliforniaAvenue, 6.5% CHANGE,
$119,980 , 2.2% TOTAL
El CaminoReal andMidtown,
$334,037 , 6.1% TOTALEl CaminoReal andMidtown,
‐3.9% CHANGE, $321,062 ,
Balance of Jurisdiction,
$2,789,090 , 51.1% TOTAL
5.8% TOTAL Balance of Jurisdiction,
8.6% CHANGE,
$3,029,285 ,
54.6% TOTAL GreaterDowntown,
$718,349 ,
13.2% TOTAL
GreaterDowntown,
8.9% CHANGE, $782,398 ,
14.1% TOTAL
StanfordShoppingCenter,
‐16.4% CHANGE, $1,137,722 ,
20.5% TOTAL
StanfordShoppingCenter,
$1,361,208 , 24.9% TOTAL
Palo Alto citywide 2023Q1 SALES TAX AMOUNTS Palo Alto citywide 2022Q1 SALES TA X AMOUNTSCONSTRUCTION,
59.7% CHANGE, $61,425 ,
0.9% TOTAL
MISCELLANEOUS, ‐19.0% CHANGE, MISCELLANEOUS, CONSTRUCTION, $38,471 ,
0.6% TOTAL$185,342 , 2.9% TOTAL $228,864 , 3.5% TOTAL
BUSINESSTO BUSINESS,
$2,122,094 , 32.6% TOTAL
TRANSPORTATION,
‐26.9% CHANGE,
$1,055,554 ,
TRANSPORTATION,
$1,443,619 ,
22.1% TOTAL
BUSINESSTO BUSINESS,
10.8% CHANGE, $2,350,567 ,
36.2% TOTAL16.3% TOTAL
FOOD PRODUCTS,
14.9% CHANGE,
$1,195,458 ,
18.4% TOTAL
FOOD PRODUCTS,
$1,040,148 ,
16.0% TOTAL GENERAL RETAIL,
$1,645,517 ,
GENERAL RETAIL,
‐0.3% CHANGE, $1,640,927 , 25.2% TOTAL
25.3% TOTAL
www.avenuinsights.com (800) 800-8181 Page 14
Item 14
Attachment A - City of Palo Alto Sales
Tax Digest, 2023 Q1
Item 14: Staff Report
Pg.
15 Packet Pg. 638 of 638