Page 17 - Moreno Valley 2019 Popular Annual Financial Report

SALES TAX
Sales tax collections generated the City’s second highest revenue source in FY 18/19 at $21.2 million which represents an
increase of 10.5% from last year. SALES T AX
REVENUES

FY 2014/15 FY 2015/16 FY 2016/17 FY 2017/18 FY 2018/19

$20

$15

MILLIONS $10 $16,130,340 $18,937,738 $18,395,442 $19,192,515 $21,208,442

$5

$0
WHY SHOPPING LOCALLY IS IMPORTANT
Sales tax is a vital source of revenue for the City, used to pay for many critical public services, such as emergency responders,
law enforcement, infrastructure improvements and other government programs and services. Shopping locally helps keep
your tax dollars in your community, and ensures those dollars are reinvested many times over in everything from police and
roads to trash pick-up and community programs.

WHERE DOES MY SALES TAX GO?
The sales tax rate inside the City limits of Moreno Valley is 7.75% of eligible sales. Of the 7.75%, 6.00% goes to the State of
California, with approximately 4% going to the State’s General Fund and 2% going to State managed funds that support
local programs. The remaining 1.75% stays local, with 1% supporting the City’s General Fund and .75% supporting County of
Riverside transportation funds.
Below is an illustration of how sales tax is apportioned to the State and County (87%) and 13% to the City.

STATE GENERAL FUND - 50% MORENO VALLEY GENERAL FUND - 13%
Supports a wide variety of programs, Supports critical local services including
including K-12 education, higher education, public safety and infrastructure.
health and criminal justice programs.
COUNTY TRANSPORTATION FUNDS - 10%
Supports traffic congestion relief, traffic safety,
STATE LOCAL REVENUE FUND - 20% and air quality improvement programs.
Supports various health and social service
programs such as probation, mental health, STATE LOCAL PUBLIC SAFETY FUNDS - 7%
drug and alcohol, and foster care programs. Supports local public safety programs.

The City anticipates receiving sales tax revenue of $21 million during FY 2019/20. This is based on an analysis of the trend in
year-to-date tax receipts, macroeconomic conditions and an examination of local business data. For future years, sales tax
revenue growth is continuing to show signs of slowing and beginning to flatten.

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