The funds generated by the use tax would pay for community amenities and upgrade and maintain existing city services that our residents expect and deserve. The city needs to modernize its revenue sources to keep pace with emerging and evolving retail purchasing trends.
Traditionally dependable revenue sources are changing. Consumer shopping habits have shifted from brick-and-mortar sales toward online shopping.
In 2010, less than 5% of total retail sales happened online. During this decade of eCommerce growth, that number more than tripled to 18%. Much of that growth happened in 2020, when eCommerce sales increased by 44%. eCommerce growth may slow, but the share of retail sales that moved online will continue to go up, not down.
1Ecommerce growth from 2010 to 2020. Red Stag Fulfillment. (2021, September 14). Retrieved December 27, 2021, from https://redstagfulfillment.com/2010s-ecommerce-growth-decade/