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2012 Q4 Sales Tax UpdateSALES TAX BY MAJOR BUSINESS GROUP $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 $0 7 Eleven 888 Seafood Allied Building Products Auto Zone Bed Bath & Beyond CH Auto Charley Broms Chevron Circle K CVS Pharmacy Dunn Edwards Paints East GounTet Seafood Restaurant Huy Fong Foods In N Cut Burgers lVbcys NkDonalds NkDonalds Panda Egress RjteAjd Rosen IVbIgiI Rosemead Valley Mart IVbIgiI Sea Harbour Seafood Target Tesoro Refining & Marketing V\131m-art General Restaurants Fuel and Autos Business Food Building Consumer and Service and and and and Goods Hotels Stations Transportation Industry Drugs Construction c receiptsfor Oc xrnber seleswere net of onetime Dns actual sales ompered to the in 2011. transportation tinued strong id light trucks day soles seeson cen be the differ once bct\vicen a. profit and a, lass for the yea'. This group bested year ago receipts by 4.3 %.'Business end industry totals again included tax receipts from a variety of alterna- tive energy projects Heavy indus- trial, office equipment and office supplies/ furnitureaso contributed to the group's 5.3% increase Res - taara dining remained popular as overall soles moved up 5.7 %, with most of the increase going to full and quick- service operators H igh- er prices at the pump bolstered re- turns for fuel and service stations which posted a 2.1% risk even as gasoline consumption for the pe- riod trended down. Receipts for buildingand construction increased 5.3 %, whilefood and drugs ganed 1.5 %. County use tac pool totals were buoyed by receipt of previ- ously uncollected tortes on internet soles First Full (wafter for AB 155 AB 155 expanded the definition of nexusto indudeout- of- statesellers with statewide a soles of $1 M or more and who have in -state affili- ates providing servioestied to those out -of -state soles Effective Sep- tember 15, 2012 companies meeting these crite'iawererequired to collect Celliforniaseleserid usetac. The 26 companies HdL has iden- tified to date as falling under W 155s criteria produced slightly over $12M in local one -cent sales tac revenues in the fourth quarter of 2012. It is estimated that this will tra into annual revenues of about $0.80 per capita To data the revenues are being alocated to all jurisdictions in California via the countywide use tac allocation pools Eech city and county receives its proportionate shore of the pool based on its ratio of tacable soles Past deal making by high volume retdlers suggests that new reve- nues could eventua ly be redirected to just afe v Wiles in exchange for soles tac rebates as more out - of -state compa decide where to locate their in -state distribution warehouses Online sellers a ready located in the state hate negotiated rebates as high as 85% of the local soles tac they collect. S336/ H 8684, the Federal Market- place Farness Act, would provide a uniform approah to allowing all states to require online and re- mote sellers to collect soles taxes The bills ere strongly supported by a coalition of national retailers and local governments but are op- posed by eBay and anti -tax groups Although the Sentate has adopted a resolution of support, the bills themselves hate not been formally aged upon in either the Senate or H ouse of Representatives $4,000 $3,000 $2,000 $1,000 $0 Q4 Q4 Q4 Q4 1111111 10 11 12 11 Rosemead County California 2010 -1.4% 6.9% 2.9% 1:3.8 3210 4.9% 4.9% 16.7 - 0.5 -2.9% 2.0% 142.8 3.5% -3.6% -32 0 10 - CONFIDENTIAL - 4.2% 4.4% 18.2 -7,1% -4.8% - 4.5°10 211 -3.4% 4.5% 3.6% 243 148.5 13.2 5.3 0 10 133 -05% - 38.0% - 17,6 17.6 81% 5.0°10 6.3% 423 -0.2% 1.3% 0.2% 29.0 14.9 9.0 0 10 7.9 0 10 1113 22 0 10 53% 51 0 10 1243 0.0% 2 /% 2.8% 29.9 -0.8% 4.5% 7.9%