The economy in San Diego looks to be on the rebound. For the first half of the 2013 fiscal year there are estimates that say that there should be a surplus of $3.6 million. This is possible because of many things but one of the major contributors is the increase on hotel tax.
SAN DIEGO (CNS) - Revenues coming into the city of San Diego are running above projections through the first six months of the fiscal year, and that should result in officials having an extra $3.6 million to spend, according to a report presented to a City Council committee Wednesday.
The "Fiscal Year 2013 Mid-Year Budget Monitoring Report," given to the City Council's Budget Committee, found that San Diego is on pace to spend $7.7 million more than expected through June 30 but will earn $13.2 million more than had been anticipated.
The major contributors of the extra municipal income are property taxes -- $14.6 million more than expected thanks, in part, to the dissolution of redevelopment agencies -- and $1.9 million extra dollars from hotel room taxes. However, sales taxes, franchise fees and some other revenue sources are below what was budgeted.