Sioux Falls sales tax revenues lower than projected; budget reserves grow anyway

SIOUX FALLS, SD (KELO.com) — Budget reserves for the city of Sioux Falls are growing, even though sales tax collections are running behind expectations.  City Councilors received the 2023 year-end financial report last night.  Reserves grew to 86-million dollars, even with sales tax growth coming in at 3-percent – that’s two percent below projections.  Assistant Finance Director Tom Huber says that puts some extra pressure on the need for revenue growth for the current budget year.

So far this year, sales tax revenues have grown 4.1-percent.  Huber says that’s no cause for alarm, but officials are watching the figures closely.