North Dakota marked its 10th consecutive quarter of growth, with total taxable sales and purchases made during July, August and September reaching $2.24 billion, up $161 million or 7.8 percent compared to the third quarter 2004, North Dakota Tax Commissioner Cory Fong announced Thursday.
"This is a good report, with all sectors reporting gains compared to the same time last year," Fong said. "We had been uncertain what, if any, effect the hurricanes would have on our state."
Fong said although North Dakota was a long way from the devastating storms, residents here still felt effects at the fuel pump.
He said the report suggests that even with higher fuel costs, consumer spending remained strong, with the retail trade sector, the sector that is most closely linked to consumer confidence, growing by 9.3 percent when compared to the same months in 2004.
"As we entered the fourth quarter (October), there were indicators that consumers were spending more to fill their gas tanks and heat their homes, leaving less to spend on other goods," he said. "However, early signs are that our retailers are enjoying another healthy shopping season."
Other sectors grew as well, according to the North Dakota Sales and Use Tax Statistical Report: mining and oil extraction are up 41.9 percent; manufacturing increased by 15.6 percent, and services gained 6.8 percent. Transportation, communication and public utilities increased by 6.6 percent, while construction grew by 3 percent and wholesale trade saw gains of 2.7 percent.
Of the 50 largest cities, the biggest percentage increases for the third quarter of 2005 were: Tioga, up by 35.2 percent; Hettinger, up 31 percent; Williston, up 30 percent; Beach, up 23.3 percent; and Cando, up 23.3 percent.
The biggest percentage third-quarter decreases for the 50 largest cities were in Washburn, down 27.4 percent; Mayville, down 12.2 percent; Valley City, down 11.2 percent; Stanley, down 10.4 percent; and Crosby down 9 percent.
While increases in Tioga may be related to increased profits in oil production, Kathryn Strombeck, research analyst for the state tax commissioner, said it is not unusual for the cities to show spikes and drops. Information to further explain the increases and decreases in the smaller cities is not available, she said, since statistics are not reportable unless at least five businesses are included in the industry group.
For Bismarck an increase in taxable sales and purchases is related to the expansion of "box stores," she said.
Bismarck's taxable sales and purchases by industry report shows that construction is up by 26.76 percent, while transportation, communication and public utilities gained 21.08 percent. Total wholesale trade grew by 34.61 percent, retail trade grew by 8.45 percent and services grew by 8.79 percent.
Manufacturing in Bismarck decreased by .84 percent and farm machinery and repair parts decreased by 11.77 percent.
Overall, Bismarck taxable sales and purchases increased by 13.09 percent.
Counties with the highest percentage increases were Sargent, up 66.4 percent; Renville, up 32.2 percent; Dunn, up 30.1 percent; Burke, up 29.3 percent; and Williams, up 29.2 percent.
Counties with the biggest percentage decreases were Oliver, down 14.7 percent; Slope, down 12.5 percent; Barnes, down 12.4 percent; McLean, down 9.4 percent; and Nelson, down 8.1 percent.
(Reach Nathan Denton at 250-8261 or nathan.denton@;bismarcktribune.com.)
Posted in Local on Thursday, December 22, 2005 6:00 pm Updated: 6:41 pm.
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