As Bastrop prepares its budget for the next fiscal year, it’s grappling with a drop in its sales tax revenue this month, compared to the same month last year, according to state comptroller data.

Bastrop received $493,900 in sales tax revenue this month, 4.92 percent less revenue than it received in July 2016. Last year, the city received $519,486 in July. Bastrop was the only local government in Bastrop County to collect less sales tax revenue this month than in July 2016, data show.

Bastrop City Manager Lynda Humble said at a recent budget workshop that 43 percent of the city’s revenue is made up by sales tax. In the upcoming fiscal year, set to begin Oct. 1, about 42 percent of the city’s projected revenue will be made up by sales taxes, she said, adding that its concerning to her because sales tax revenue is "dependent on consumer confidence."

"The more wealthy you feel, the more you spend," Humble said. "The poorer you feel, the less you spend. There are things that one day to the next impact our economy."

Humble said she under a sense of urgency to diversify the city’s revenue base as depending largely on sales tax revenue is "not the way to run a city."

A budding destination marketing organization is developing a plan to help the city attract tourism, a move Humble said will allow Bastrop to maintain and increase is sales tax revenue while it builds its property tax base, a consistent revenue stream for the city.

In the first seven months of 2017, Bastrop has collected $3.78 million in sales tax revenue, up 1.72 percent over its total collection of $3.72 million it collected during the same reporting period last year.

Smithville, which had the highest sales tax growth this month compared to July 2016, received $43,363 in revenue, up 27.14 percent over its $34,105 collection during the same month last year.

So far this year, Smithville has collected $326,625 in total revenue, up 13.97 percent over its $286,574 total collection during the same months last year.

Elgin also experienced a spike in sales tax growth this month, data show.

Elgin received $180,458 in revenue this month, 17.34 percent more than its $153,788 allocation last July.

From January through July, Elgin has collected $1.17 million, up 2.94 percent over its $1.13 million collection during the same months in 2016.

Bastrop County, which collects a half penny from every taxable dollar spent within its borders, received $351,364 this month, up 11.71 percent above its $314,517 over its July 2016 collection.

From January through July, the county received a total $2.39 million in revenue, an increase of 5.26 percent over its total $2.27 million collection during the same reporting period.

Statewide, Comptroller Glen Hegar returned nearly $680 million in monthly sales tax revenue to cities, counties, transit systems and special purpose taxing districts. The statewide allocation this month marked a 9 percent increase over last July.

"The cities of Houston, San Antonio, Dallas, Austin, Fort Worth, Midland and Odessa saw noticeable increases in sales tax allocations," Hegar said.

July revenue allocations are based on sales made in May by businesses that report tax monthly.