TEXARKANA - Determining the full financial effect of the COVID-19 pandemic on county governments' retail sales tax cash flow could remain a guessing game perhaps as far as into the summer.
For both Miller and Bowie counties, retail sales tax is one of the main revenue streams used to maintain public operations. And it may be a falling stream owing to the recent drop in retail shopping for goods and services.
"We're really not able to tell where we're at right now," said Miller County Treasurer Teresa Reed. "For our county, I'm really not sure we will know anything until at least May 24 and it might even be as late as June or July before we really know where we stand."
Reed released financial records Friday showing that the county's general fund received slightly more the $102,000 in March. She added that April's sales tax collection figures won't be available until about May 24.
The county's general fund's $102,000 share accounts for about 45% of all the sales tax the county receives. Another 45% goes to the county's road maintenance, while 5 % goes to capital improvements and the remaining 5% goes to rural firefighting operations.
Records show the $102,000 didn't differ that much from the March of 2019's $106,000 collection - both were higher than collections for March of 2018 which delivered just above $94,000.
Reed attributed her belief that the summer months would likely show sales tax income downturn caused by COVID 19, largely because of the initial response by the public to news of the viral pandemic.
"At first, the pandemic initially sent people running into stores to buy both food and household supplies," she said. "This was well before stores, other businesses and restaurants started to close. This rush to buy needed supplies may have actually cause sales to go up before most everything closed . That's why it might be June or July before we really know anything. The upcoming summer months might be our hardest months for sale tax income."
Bowie County Auditor Jennifer Beckett agreed with Reed's assessment that COVID-19's real effect will show up in the summer.
Beckett said that the county received slightly more then $546,000 in total sales tax in February, while March's total came in at about $513,000. While this represents about a $33,000 drop in sales tax income from one month to the other, she added that the figures are still in line with last year's figures.
Should Bowie County suffer a steep decline in summer sales tax revenue, figures released in the county's most recent independent audit report show that the county has slightly more than $14 million in its general revenue fund balance, which might be used to make up for a shortfall.