Nevada retailers post big increase in sales

Wednesday, July 23, 2003 | 11:09 a.m.

CARSON CITY -- Propelled by strong gains in sales of big-ticket items like home furniture and cars, taxable sales in Nevada in May jumped 7.8 percent -- the biggest percentage increase of the year.

The state Department of Taxation reported today that taxable sales, one indicator of the economy, grew to $2.9 billion, up by more than $210 million from May 2002.

The agency said it collected $208.4 million in sales tax, up 6.8 percent. For the first 11 months of the fiscal year, the receipts are up 5.5 percent but the state is still below the projections of the Economic Forum by $27.1 million.

Gov. Kenny Guinn said, "Even with a similar positive gain during the final month of the fiscal year (June), Nevada will be far behind the original projections, which has led to more than $200 million in cuts during the past year alone.

"When budget projections are not met, the state is also required to supplement local school districts," the governor said.

Despite Guinn's cautioning comments, this is the 11th straight month that taxable sales have risen when compared to the previous period. And except for the 8.4 percent posted in December, it is the highest percentage gain in the last 11 months.

Clark County merchants reported $2.1 billion in sales, up 8.3 percent from a year ago. It was the third highest percentage increase in the last year.

Statewide, car sales rose 16.7 percent; home furniture business increased 17.3 percent; restaurant and bars jumped 9.4 percent; building materials were up 8.6 percent; wholesale trade gained 7.6 percent; general merchandise stores were up 6.4 percent and the clothing business registered a 5.3 percent increase.

Clark County car dealers reported $331.9 million in taxable sales, a gain of 18.3 percent, the biggest percentage increase since September 2002. Home furniture stores posted $121.4 million in sales, up 18.5 percent. The bars and restaurants in Southern Nevada did $473.4 million in business, a gain of 10.6 percent

The taxation department said wholesale trade in Clark County grew 8.6 percent to $107.2 million; building materials were up 11.4 percent to $129.3 million; general merchandise stores reported $172.2 million in sales, up 5.8 percent; clothing businesses registered a 4.2 percent gain to $97.3 million and business in food stores inched up 1.2 percent to $74.7 million.

The agency said seven of the 17 counties registered double digit increases in taxable sales. Taxable sales in Washoe County shot up 9.3 percent to $473.1 million, its biggest percentage gain since February of 2000.

Business, however was off in Carson City, dropping 7.9 percent to $70.6 million, still suffering from the loss of major merchants Wal-Mart and Kmart.

Douglas County reported $52.6 million in sales, up 9.3 percent, Elko County grew 5.2 percent to $60.4 million and Nye County posted a 5 percent increase to $31.3 million.