Crenshaw Business

Published 12:00 am Tuesday, December 7, 2010

Cash-starved town aided by new store

By Billy Davis

Sales tax revenue from Dollar General, open now for six months in Crenshaw, is adding much-needed cash flow to the struggling town government, town officials learned last week.

A three-month comparison of sales tax revenue from July to September shows Crenshaw reported $15,103 in sales tax revenue.

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That total is approximately $3,400 more than the same three-month time period in 2008 and 2009, according to figures prepared by town consultant Lygunnah Bean.

Bean presented the encouraging numbers at the December 2 meeting of Mayor Oscar Barlow and the Board of Aldermen.

Municipalities in Mississippi receive approximately 18 percent of the seven-cents state sales tax.

Bean gathered the figures from the state Department of Revenue and said he intends to present more figures in the future.

“The only thing that has made a significant difference is your sales tax,” Bean said. “The only thing that has come on-line is Dollar General.”

The Town of Crenshaw received monthly checks of $4,427, $5,226 and $5,450 for July, August and September tax collections, according to the Department of Revenue figures.  

The numbers Bean pulled from 2008 and 2009 show monthly allocations reached as high as $4,493, never breaking $5,000 for a month.  

If Crenshaw’s monthly allocations continue to average $5,000, the economic bump from Dollar General could add more than $10,000 this year above previous sales tax allocations.   

Crenshaw finished its 2010 fiscal year in the black, with a fund balance of $13,462, though town government finished only $892 above its budgeted funds, figures showed.

The Town of Crenshaw presently operates on a yearly budget of approximately a half-million dollars.

Crenshaw Town Clerk Renee Ward said town government is also being helped by a federal grant that is reimbursing town government for a police officer’s salary.

The JAG Grant is reimbursing Crenshaw $17,000 for the salary, with the payments spread over 12 months, she told The Panolian.