Page 66 - FY 2021--22 Revenue Outlook

REVENUE MONTHLY STATUS REPORT
Utility Users Tax - Communications Users Tax
(Thousand Dollars)

2017-18 2018-19 2019-20 2020-21 2021-22
MONTHLY ACTUAL ACTUAL ACTUAL BUDGET ACTUAL VARIANCE REVISED PROPOSED
JULY $ 14,852 13,951 10,922 10,000 10,441 441 10,441 8,650
AUGUST 14,590 13,606 11,097 9,900 10,661 761 10,661 8,500
SEPTEMBER 14,186 14,190 10,631 9,800 9,065 (735) 9,065 8,370
OCTOBER 14,899 12,165 12,807 9,700 9,135 (565) 9,135 8,240
NOVEMBER 13,777 14,306 9,507 9,600 8,754 (846) 8,754 8,110
DECEMBER 14,275 12,136 9,553 9,500 8,344 (1,156) 8,344 7,980
JANUARY 15,326 12,875 10,020 9,400 8,251 (1,149) 8,251 7,850
FEBRUARY 14,860 11,923 11,690 9,300 10,677 1,377 10,677 7,720
MARCH 13,972 11,055 12,965 9,200 8,700 (500) 8,700 7,590
APRIL 14,452 11,927 10,840 9,100 9,126 7,460
MAY 13,936 11,022 10,019 9,000 8,980 7,330
JUNE 12,175 10,473 9,643 8,900 8,865 7,200
TOTAL $ 171,300 $ 149,628 $ 129,695 $ 113,400 $ 111,000 $ 95,000
% Change -11.9% -12.7% -13.3% -12.6% -14.4% -14.4%
2017-18 2018-19 2019-20 2020-21 2021-22
CUMULATIVE ACTUAL ACTUAL ACTUAL BUDGET ACTUAL VARIANCE REVISED PROPOSED
JULY $ 14,852 13,951 10,922 10,000 10,441 441 10,441 8,650
AUGUST 29,442 27,557 22,019 19,900 21,101 1,201 21,101 17,150
SEPTEMBER 43,628 41,747 32,650 29,700 30,166 466 30,166 25,520
OCTOBER 58,527 53,912 45,457 39,400 39,302 (98) 39,302 33,760
NOVEMBER 72,304 68,218 54,964 49,000 48,056 (944) 48,056 41,870
DECEMBER 86,580 80,353 64,517 58,500 56,400 (2,100) 56,400 49,850
JANUARY 101,906 93,228 74,537 67,900 64,651 (3,249) 64,651 57,700
FEBRUARY 116,766 105,152 86,227 77,200 75,328 (1,872) 75,328 65,420
MARCH 130,738 116,207 99,193 86,400 84,029 (2,371) 84,029 73,010
APRIL 145,189 128,133 110,033 95,500 93,155 80,470
MAY 159,126 139,155 120,052 104,500 102,135 87,800
JUNE 171,300 149,628 129,695 113,400 111,000 95,000

Revenue from the Communications Users Tax (CUT) has been declining steadily since the beginning of 2009-10,
and may be attributed to the declining use of landline service and less expensive voice and text cellular service
options. The decline slowed in 2016-17 with the implementation of AB1717, which ensures the collection of CUT
from the prepaid wireless market. Despite AB1717, the decline resumed in 2017-18 due to "sales leakage"
(purchases outside the City) in the prepaid wireless market and aggressive plan pricing in the postpaid wireless
market.

The 2020-21 estimate has been decreased to reflect actual receipts. 2021-22 assumes a similar rate of decline.

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