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Slow Sales Tax Collection Prompts Review Of LCG Budget

LCG Building KPEL Photo
LCG Building KPEL Photo

Lafayette Mayor-President Joel Robideaux is directing staff to conduct a full review of the budget for the purpose of developing contingencies in the event of continued declines in sales tax revenue.


Robideaux is asking Lafayette Consolidated Government (LCG) Chief Administrative Officer (CAO) Lowell Duhon to head the effort.


“I have asked Lowell Duhon to undertake a comprehensive review of LCG’s budget with a focus on our core budget priorities. In the event of continued weakness in sales tax revenue, I am committed to working with the Council to ensure that available resources are spent on our most critical priorities. I am asking Lowell to work with staff, agency heads and key stakeholders to develop budget and operational contingencies to respond to this challenge.”


The action was prompted by the recent report on city and parish sales tax showing collections were down for the third consecutive month this fiscal year. The 2015-2016 budget was based on flat sales tax receipts from the previous year, thus necessitating a budget review and the consideration of adjustments.


Robideaux said “I am confident that together, the Council and I will decide the best approach to any necessary adjustments and develop a fiscally responsible plan of action.”


LCG Chief Financial Officer Lorrie Toups said based on the recently released local tax revenue report, “The city is $538,000 under the budgeted sales tax for the first three months of this fiscal year.”  City sales tax collections for Jan. 2016 (based on Dec. 2015 sales) are 5.23% less than collections for Jan. 2015. Year-to-date, city sales tax collections are 4.80% less than the year-to-date numbers last year.


The Parish General Fund sales tax collections are down $307,000 from budget for the first three months of the 2015-2016 fiscal year. Specifically, parish sales tax collections for Jan. 2016 (based on Dec.2015 sales) are 38.62% less than the collections in Jan. 2015. Year-to-date, parish sales tax collections are 31.77% less than the year-to-date numbers last year.


Visit see the full report on sales tax collections for the 2015-2016 fiscal year to-date.


To review the 2015-2016 Adopted Operating & Capital Budget in its entirety, visit


Editor’s Note: The preceding information was obtained via a press release from Lafayette Consolidated Government.

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