DOTHAN, Ala. (WDHN) — Dothan’s latest sales tax collections show a 5% decrease in the month of June — making it the third drop this fiscal year.

“I kinda expected the economy to slow down a little bit federal fund rates have gone up some,” Mayor Mark Saliba said.

For the month of June, the city raked in $7.7 million dollars – which is $300,000 dollars over what they budgeted for, but almost half a million less than what they brought in for June of 2021.

Sales tax income is vital to every city as it helps fund capital projects. Although the city is still on track financially, Mayor Saliba said the decrease calls for a little revaluation.

“We’re gonna take every project we have and compare it to our expectations, in the beginning, are they a higher priority or not we expect there may be some projects we may pump the brakes on,” Mayor Saliba said.

“I was honestly surprised when I saw the lodging tax numbers,” Vist Dothan CEO Aaron McCreight said.

Those numbers took a dip as well — June shows $305,200, that’s lower than the city’s budget and a 12% decrease compared to last June.

“It could be a timing issue, it could be more extended stay guests than we anticipated last month but being down month over month, we don’t live month to month,” McCreight said.

McCreight said lodging collections are still on track and it’s a promising summer — due to holidays and huge events.

“We got the Dixie State Softball tournament next weekend and then the biggest event of the year we were awarded the USTA Clay Court championship this is the national championship,” He said.

Mayor Saliba and McCreight say despite the downturns, looking at it from a long-term perspective, the city is in great financial shape compared to over a decade and this could possibly be a record-breaking year.