Utah League of Cities and Towns

Making Life BETTER

The State of Utah’s Economy

It is no secret that the ebb and flow of the local economy significantly impacts city and town budgets. However, predicting this potential impact can be a rather difficult task for city officials.

Cities and towns receive the majority of their tax revenue from sales tax and property tax. Sales tax can be somewhat volatile depending on the state of the economy and type of industry within the city. In addition residential construction can have a negative or positive impact on cities budgets, depending of the rate of construction. For example, many of the good used to build and furnish a new home are subject to sales tax–when homes are not being built that potential revenue decreases.

While the League no longer reviews the current state of economic indicators, they are still relevant for city officials.

These indicators include:

Economic Data Archive

The League maintains an archive of Utah’s past economic data for reference. Each of these indicators are reviewed by a scale of green to red — green illustrating this economic indicator was still strong, red illustrating that was not growing or decreasing.

How to forecast sales tax for your city and town?

Data needed for sales tax forecasting?