Page 67 - FY 2022-23 Revenue Outlook

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

2018-19 2019-20 2020-21 2021-22 2022-23
MONTHLY ACTUAL ACTUAL ACTUAL BUDGET ACTUAL VARIANCE REVISED PROPOSED
JULY $ 13,951 10,922 10,441 8,650 10,460 1,810 10,521 8,910
AUGUST 13,606 11,097 10,661 8,500 5,346 (3,154) 9,387 8,930
SEPTEMBE 14,190 10,631 9,065 8,370 5,216 (3,154) 9,182 8,550
OCTOBER 12,165 12,807 9,135 8,240 12,082 3,842 9,080 8,610
NOVEMBER 14,306 9,507 8,754 8,110 5,953 (2,157) 8,917 8,220
DECEMBER 12,136 9,553 8,344 7,980 9,209 1,229 8,541 7,580
JANUARY 12,875 10,020 8,251 7,850 10,591 2,741 9,891 7,860
FEBRUARY 11,923 11,690 10,677 7,720 8,449 729 9,550 8,660
MARCH 11,055 12,965 8,700 7,590 8,433 843 8,433 8,260
APRIL 11,927 10,840 9,702 7,460 8,450 8,200
MAY 11,022 10,019 10,450 7,330 8,350 7,950
JUNE 10,473 9,643 9,077 7,200 8,248 7,370
TOTAL $ 149,628 $ 129,695 $ 113,259 $ 95,000 $ 108,550 $ 99,100
% Change -12.7% -13.3% -12.7% -16.1% -4.2% -8.7%
2018-19 2019-20 2020-21 2021-22 2022-23
CUMULATIVE ACTUAL ACTUAL ACTUAL BUDGET ACTUAL VARIANCE REVISED PROPOSED
JULY $ 13,951 10,922 10,441 8,650 10,460 1,810 10,521 8,910
AUGUST 27,557 22,019 21,101 17,150 15,806 (1,344) 19,908 17,840
SEPTEMBE 41,747 32,650 30,166 25,520 21,022 (4,498) 29,090 26,390
OCTOBER 53,912 45,457 39,302 33,760 33,104 (656) 38,170 35,000
NOVEMBER 68,218 54,964 48,056 41,870 39,057 (2,813) 47,087 43,220
DECEMBER 80,353 64,517 56,400 49,850 48,266 (1,584) 55,628 50,800
JANUARY 93,228 74,537 64,651 57,700 58,858 1,158 65,519 58,660
FEBRUARY 105,152 86,227 75,328 65,420 67,307 1,887 75,069 67,320
MARCH 116,207 99,193 84,029 73,010 75,740 2,730 83,502 75,580
APRIL 128,133 110,033 93,731 80,470 91,952 83,780
MAY 139,155 120,052 104,181 87,800 100,302 91,730
JUNE 149,628 129,695 113,259 95,000 108,550 99,100

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 2021-22 estimate has been increased to reflect actual receipts. 2022-23 assumes a higher, yet slowing rate
of decline.

Communication Users Tax - 12 Month Moving Sum
(Million Dollars)
260
.....
240 -
220 r----.. --
200 ----- '-- -- -
180 --...
160 r--. .........
-Actual
140 ~ ....... '--
120 ~ □ Adopted Estimate """'- ---.. 10 B.6 99.1
100 ,_ • Revised Estimate -· :r
80 ~l u
60
12 13 14 15 16 17 18 19 20 21 22 23
Fiscal Year Ending
55