Sales-tax revenue for state and local governments grew 2.1 percent in 2012, a modest gain compared to 2011, state records show.
Total sales-tax revenue for the state and municipalities increased $525 million in 2012, from $24.9 billion to $25.4 billion.
Some counties said the growth in sales-tax collections were below expectations. Chemung County Executive Thomas Santulli said the county will end 2012 about $3.3 million short of what they had budgeted.
The county’s sales-tax revenue fell 1.84 percent between 2012 and 2011, the worst drop off in the state and one of only four counties to have negative growth. The others were Essex, Schuyler and Schoharie – all small rural counties.
Chemung County, located on the Pennsylvania border, had for several years led the state in sales-tax growth because of natural-gas drilling across the border. Declining demand for natural gas and the closure last month of a Sikorsky Aircraft Corp. plant has hurt the county, Santulli said.
“What a difference a year and half makes,” Santulli said. “We went from leading the state in sales-tax growth and room-tax growth and we missed our sales-tax budget number by $3.3 million” this year.
Sales-tax revenue is the largest revenue source for counties, more than property-tax revenue. In New York, most counties charge an 8 percent sales tax. The state gets 4 percent and local governments get the rest.