Lafayette Parish sales rebound to less than 1% below 2019
OCTOBER, La. (KLFY) -- Lafayette Parish sales taxes are rebounding after their worst month in memory. According to the Lafayette Economic Development Authority President and CEO Gregg Gothreaux, "October of this year is the highest October of all time."
Despite the challenges businesses have faced for nine months now, it is looking like 2020 will end far better than predicted. LEDA estimated over $526M in taxable sales in October. Gothreaux credits the hurricane relief for breaking records in September and October.
"Services have jumped way up. I think a lot of people are in Lake Charles doing work. I believe that we've had a lot of restaurants and a lot of hotels filled because of what happened," Gothreaux explained.
Year-to-date sales in Lafayette Parish reached $5.21B 0.12% lower than 2019 but 5.09% higher than in 2018. Carencro and unincorporated areas lead the way with 10.8% and 10.6% higher estimated sales than in 2019. Youngsville was not far behind with 8.5% greater sales. Meanwhile, the cities of Broussard (-4.0%), Duson (-0.6%), and Lafayette (-2.10%) are suffering the most.
Gothreaux expects a vaccine will bring stabilize the market in late quarter two of next year, "I see Lafayette rebounding in 2021 as a city quite well because people are going to be starved for those entertainment options that we offer. Until then people are going to shop in their hometown more than they have in the past," he said.
In April LEDA predicted Lafayette would bring in $10M less in city sales tax for 2020, but now with November and December expected to reach a billion dollars in combined sales, there will likely be not much of a loss at all.
"April 2020 was the worst month that I know of on record," Gothreaux recalled. "We had a lot of ground to make up. We obviously have made up that ground. We're probably going to come $100,000 or so short from last year in retail sales which is remarkable."
LEDA emphasized the key to a healthy sales tax is shopping and dining locally because more of the money generated will stay in the community.