Tonight City staff will present to Alameda City Council a sales tax report for the most recent quarter reported, showing a reversal in steady same-quarter year-over-year declines since the second quarter of 2008. However, the Park Street business district around the Alameda Theater and Cineplex and parking garage still are not generating the sales tax extravaganza promised by some promoters of the project.
For the period ending September 30, 2009, taxable sales transactions in Alameda decreased 16.2% from the same quarter in the prior fiscal year. Quarterly revenue was up from the prior two quarters, however.
Nonetheless, the Park Street, South of Lincoln sales tax district, where the Alameda Cineplex and Civic Center Parking Garage are located, held constant with a 10.4% share of total sales tax revenue. Boosters of the Cineplex and Parking Garage project claimed that the project would provide a sales tax boon to Alameda, but the numbers don’t yet reflect that. The Cineplex’s district suffered a 21.4% decline in sales tax revenue from the same quarter of the previous year, slightly smaller than the decline in the previous quarter, but an uptick in keeping with the overall sales tax revenue picture in Alameda.
However, even as the Park Street, North of Lincoln district continued its precipitous decline – sales tax revenue there in the third quarter of 2009 dropped 47.1% from the previous year’s same quarter – due to the loss of the car dealers on Park Street’s “auto row,” the Cineplex area did not increase it’s total share of total sales tax revenue as one might expect if the Cineplex and Parking Garage were extraordinary sales tax revenue generators.
Track the progress of sales tax revenue in the Cineplex district at our special page here.