City officials, retailers hope shoppers spend $20 on the 20th
Published 2:53 pm Wednesday, May 20, 2009
By By Kerry Whipple Bean
When a dollar is spent in a community, it turns over about seven times, as retailers and their employees continue to spend it over and over again with other local businesses.
So if every person in Brewton and East Brewton spent just $20 in one day, that’s about $140,000 that would continue to be spent over and over again in the community.
This Wednesday, The Brewton Standard, the Brewton Area Chamber of Commerce and local businesses are encouraging residents to “Spend $20 on the 20th” to help boost local retailers and municipal coffers that benefit from the sales tax revenue.
Inside today’s edition, you’ll find a pullout section with participating businesses, many of whom are offering special deals to customers on Wednesday for $20 on the 20th.
Jennings said many residents already understand the importance of shopping locally, but a day set aside as a reminder can be a boost to retailers.
Both Brewton and East Brewton earn 3 cents of sales tax per dollar spent in the city, and 1 cent goes to Escambia County. The other 4 cents of tax go to the state.
East Brewton City Clerk Karen Singleton said 36 percent of East Brewton’s budget comes from sales tax revenue.
Sales tax revenue in East Brewton has been down slightly over the past several months, she said.
A boost could help get things even again, East Brewton Mayor Terry Clark said. And those funds help pay for necessary city services, he said.
In addition to sales tax revenue, shopping at local stores helps keep that money circulating in Brewton, business owners said.
Ralph Stacy, president and CEO of the Chamber of Commerce Association of Alabama, said statistics show that money spent locally turns over about seven times in the community.
Beyond the economic impact, there is also a psychological effect to shopping at home, Stacy said.