Title
Key Phoenix Economic Indicators Quarterly Report
Description
This report transmits the fourth quarter report on Key Phoenix Economic Indicators for fiscal year 2019-20 to the Workforce and Economic Development Subcommittee.
THIS ITEM IS FOR INFORMATION ONLY.
Report
Summary
As part of efforts to continuously improve budget forecasting and reporting, the Budget and Research Department compiles 18 key Phoenix economic indicators into the attached quarterly report. The data is collected with the assistance of the Aviation, Budget and Research, Planning and Development, Public Works and Water Services Departments. The attached report provides insightful data that, when reviewed collectively, can reveal a helpful overall picture of recent economic activity trends specifically within Phoenix. Although outside sources of economic data are also available, most of that information covers the entire Greater Phoenix region or the State of Arizona. However, with the exception of two statewide measures, the indicators in the attached report relate to data specifically within City of Phoenix boundaries, which may differ from the region or state. The indicators attached to this report (Attachment A) are for review by this Subcommittee.
The 18 Phoenix data measures include:
Sky Harbor International Airport Passengers: This measure indicates regional tourism and business activity.
Phoenix Water Service Accounts: This measure may indicate changes in Phoenix population and commercial and residential property development.
New Phoenix Single Family Home Construction Permits Issued: This measure may indicate Phoenix population growth and shifts in housing preferences or demographics, as well as spill over benefits to other economic sectors such as construction, retail, manufacturing, and utilities.
New Phoenix Multifamily Units Permitted: Like single family permits, this measure may indicate Phoenix population growth and shifts in housing preferences or demographics, as well as spill over benefits to other economic sectors such as construction, retail, manufacturing, and utilities.
Total Value of Permitted Phoenix Activity: Along with other factors, this measure may provide an indication of Phoenix property market values and development, as well as overall strength for commercial and residential markets.
Phoenix Solid Waste Residential Customer Growth: This measure may indicate changes in Phoenix revenue generated through services provided by the Public Works Department.
City of Phoenix Overall Sales Tax: This measure indicates overall economic activity related to all categories of taxable sales within Phoenix.
City of Phoenix Retail Sales Tax: This measure indicates economic activity related to taxable retail sales and consumer spending levels within Phoenix.
City of Phoenix Hotel/Motel Sales Tax: This measure indicates economic activity related to tourism within Phoenix.
City of Phoenix Restaurants/Bars Sales Tax: This measure indicates economic strength, population changes, and tourism activity within Phoenix.
City of Phoenix Contracting Sales Tax: This measure indicates economic activity related to taxable commercial and residential construction in Phoenix.
State Overall Sales Tax: This measure indicates economic activity related to all categories of taxable sales within the state of Arizona.
State Vehicle License Tax: This measure indicates vehicle sales activity within the state of Arizona.
Phoenix Assessed Property Valuation: This measure is based on the Primary Net Assessed Valuation, which provides the basis for City of Phoenix property tax revenue.
Phoenix Full Cash Property Value: This measure indicates the market value of residential and commercial property within Phoenix and is an important economic indicator relating to the overall commercial and residential property markets.
Phoenix Median Household Income: This annually updated measure provides the mid-level household income within Phoenix, an important indicator of job and wage activity levels.
Phoenix Unemployment Rate: This annually updated measure shows the percentage of the active labor force currently unemployed within Phoenix, an important indicator of overall economic health.
Phoenix Labor Force Participation: Another measure of employment levels, this annually updated measure shows the percentage of the population aged 16 and older currently in the Phoenix labor force, which can help account for "discouraged workers" not captured in the unemployment rate.
Each measure provides the year-to-date totals and year-to-date growth rates compared to the prior year; prior three-year average, and peak year (when the peak year differs from the current year).
The current quarterly report is also prominently posted online on the Budget and Research webpage at phoenix.gov/budget.
Department
Responsible Department
This item is submitted by City Manager Ed Zuercher and the Budget and Research Department.