Alabama offering tax-free weekend for storm supplies
Alabama is offering a tax-free weekend for shoppers to purchase batteries, plywood, tape, and other items needed to get ready for severe weather. The state’s 11th sales tax holiday for storm supplies began Friday and will continue through midnight Sunday. Shoppers will be able to save as much as 10% on certain supplies that cost $60 or less, according to a statement from the Alabama Retail Association. Eligible items include radios, cellphone chargers, tie-down kits, first aid supplies, and flashlights. Portable generators and power cords that cost $1,000 or less are also tax-free. The tax break comes ahead of the spring severe weather season, when storms can spawn tornadoes, and hurricane season, which begins on June 1. The retail organization said Alabama and Texas are the only two states that offer a sales tax holiday for severe weather supplies. Republished with the permission of the Associated Press.
Katie Britt says she’s not ‘radical’, she’s an ‘American’ in new T.V. ad
First time Republican Katie Britt has released the first TV ad for 2022 in her bid to become Alabama’s next U.S. Senator. The 30-second commercial, called “Fight for Alabama,” shows Britt discussing her views and her commitment to Alabama. In the commerical, Britt says, “My faith and relationship with the Lord guide my everyday life. Being pro-life and pro-SecondAmendment doesn’t make me radical; it makes me American. We have to show strength at the border, and what we are showing as a country right now is total weakness. It is so important that we protect our nation’s borders. We are a nation of laws, not a nation of lawlessness. We need somebody that knows how to fight for Alabama, that believes in Alabama. I’m Katie Britt and I approve this message.” “We have been working tirelessly on the campaign trail and are proud to have visited all 67 counties in a matter of months,” said Britt in a statement. “From the momentum we’re seeing on the ground, it is clear that our grassroots campaign and our Alabama First message are resonating.” “As our state’s next Senator, I will fight to ensure Alabamians always have the best possible seat at the table and that Alabama’s Christian conservative values are protected,” Britt continued. “It is time for fresh blood to shake things up and move the needle on the challenges and opportunities facing communities in every corner of Alabama. Zipcode should never define opportunity for Alabamians, and I’ll work nonstop to make sure the American Dream is alive and well across our great state.” Britt became the first U.S. Senate candidate to formally qualify with the Alabama Republican Party 2022. She has been endorsed by the Alabama Farmers Federation’s FarmPAC, the Home Builders Association of Alabama, the Alabama Retail Association, and Manufacture Alabama. Britt’s campaign recently released a new online survey that showed Britt leading the U.S. Senate Republican primary contest. The poll was conducted by TargetPoint on behalf of Britt’s campaign and ran from November 3-8. The online-based survey interviewed 300 likely GOP primary voters in Alabama.
Katie Britt and Mo Brooks neck and neck in new senate poll; Mike Durant a contender
A new poll is showing a close Senate race between first-time candidate Katie Britt and six-term Congressman Mo Brooks. The poll was conducted by firm McLaughlin & Associates and was commissioned independently from any campaign or entity that supports a candidate in the race. The poll shows Britt leading Brooks on a head-to-head ballot, 38.8% to 36.6%. 24.6% of voters were undecided. When voters were asked who they would vote for amongst four candidates, Brooks came out on top, with 31.4%, while Britt was a close second at 26.2%. Third place went to candidate Mike Durant with 16.6% and Jessica Taylor came in fourth with 4%. 21.8% were undecided when asked about all four candidates. Sean Ross, a spokesman for the Britt campaign, said in an email, “It is clear the Alabamians want fresh blood in the Senate, not a do-nothing, 40-year career politician. Katie continues to work tirelessly every day to directly deliver her positive message to every corner of our state, and her grassroots campaign is paying off. She will be the best candidate to protect Alabama’s Christian conservative values, fight to always put Alabama first, and deliver real results that benefit hardworking Alabama families, not Washington, D.C. special interests. Alabamians can see this, as the numbers reflect.” In the same poll, when asked about President Joe Biden, 90% of voters had an unfavorable opinion of him. 85.8% had a favorable opinion of Donald Trump, and 64.6% had a favorable opinion of retiring Senator Richard Shelby. Britt, who was recently endorsed by Manufacture Alabama, has also been out-fundraising her opponents. In October, she had already raised $3.76 million for her campaign while Brooks had raised $1.79 million. Britt is also endorsed by the Alabama Farmers Federation, the Alabama Retail Association, and the Home Builders Association of Alabama. “Manufacture Alabama seeks to endorse pro-business candidates who will advocate on behalf of manufacturers in Alabama. Katie Britt embodies these qualities and has the tenacity and experience we need representing Alabama in the U.S. Senate,” said George Clark, President of Manufacture Alabama. “Katie has the work ethic, energy, and vision required to ensure Alabama will be a great place to live and work for future generations.” David Hughes, associate professor of political science and public administration at Auburn University at Montgomery believes Brooks and Britt will end up in a runoff. The professor told Al.com, “For my money, this race is headed to a runoff between Britt and Brooks,” Hughes said. “Britt has a name recognition problem, and Brooks has an image problem. We’ll see how that plays out leading down the stretch.”
George Wilder: Figure out what makes sense
By George R. WilderOwner and CEO, The Locker Room, Montgomery and Auburn Many years ago, I was fortunate to be in a board meeting with Jimmy Blanchard, then chairman and CEO of Synovus Bank. Jimmy is the definition of a humble, servant leader. Answering a question during that meeting, Jimmy said: “We just want to figure out what makes sense and do that.” With this COVID-19 pandemic, figuring out what makes sense is challenging to say the least. As a service driven specialty retailer, selling better men’s clothing, sportswear and shoes for the past 42 years, we suddenly find ourselves shut down. But we are not giving up. We are creating online business; we are contacting our clients weekly to take care of any needs they may have. With the slow down in business, our tailors are making masks for an adopted COVID-19 unit at Baptist Hospital. We have requests from Jackson Hospital as well and from individual nurses and emergency room doctor clients. All that to say, small business is important to our community. The safety of our folks and our clients is foremost. We are not a high-traffic business. We are in the relationship business. We know our customers and their families. So, that Walmart, for example, which is a high-traffic, high-volume store can be open and sell clothes, and we can’t, does not exactly make sense. Would you rather be in a small specialty store, with folks you know, and two or three customers at a time or a big chain store with folks you don’t know all around you? With most businesses closed, we now have the same number of consumers shopping in fewer stores, which does not lead to social distancing. What our leaders are thinking but not saying out loud, is that the fallout from the economic shutdown could turn out to be worse than the virus. Our business was down 50% in March. In April and May, we are conservatively projecting 80% decreases. Yes 80%, and just six weeks ago, we were on track for our best spring season ever. The only way specialty retail will survive is with the help we hope to get from our government and returning to business in a way that is safe yet allows us to create sales. I am not faulting the big box stores. Without the business they are doing, there would be virtually no sales tax created in our communities, which we must have. This letter is about “figuring out what makes sense and doing that.” Shop local and support small business. They are the backbone of our community, our county, our state and our country.
Alabama set record with 2018 holiday sales
The Alabama Retail Association said final figures from the confirm that 2018 holiday sales in Alabama set a record and topped $12 billion for the first time. According to the Revenue Department, shoppers in the state spent nearly $12.07 billion, up 2.66 percent from 2017. The numbers were just shy of the Alabama Retail Association’s prediction of $12.2 billion. The National Retail Federation’s preliminary numbers show a 4.6 percent growth in holiday sales nationally. The Alabama Retail Association said the state’s early adoption of tax policy related to online sales helped boost sales figures during the holiday season. A U.S. Supreme Court decision and a state tax rule broadened the collection of online taxes starting Oct. 1. For the holiday season, those sales brought an additional $12 million dollars in tax revenue into the state compared to 2017. The sales reflected in Alabama’s simplified sellers use tax jumped 72.27 percent, or $154.5 million, in November and December 2018, from $213.8 million to $368.3 million. Alabama holiday sales for the almost 1,000 simplified sellers represent just 3.05 percent of total holiday sales in the state. The Alabama Revenue Department reports sales tax collections on general merchandise, restaurant and other food service, automobiles, machinery and vending. Republished with permission from Alabama NewsCenter
Alabama Back-to-School Sales Tax Holiday weekend set for end of July
If you want the most bang for your buck when it comes to back-to-school shopping, save the date and get ready to purchase supplies July 20-22. It’s the state’s 13th annual sales tax holiday for school-related items. From 12:01 a.m. Friday, July 20, until midnight, Sunday, July 23, the state waives its four-percent sales tax on school-related supplies and clothing. Shoppers can avoid paying taxes on clothing worth less than $100, including school uniforms, shoes, shocks or diapers. Accessories, protective equipment and sports gear cannot be sold tax-free. Computers can be sold tax-free if the individual parts are sold as a package worth less than $750. School supplies worth less than $50 including ink and paper are tax-free. School books worth less than $30 are eligible for the exemption. More than 300 cities and counties throughout Alabama have agreed to waive their local taxes as well, for a savings of up to 10 percent in some areas. Check the 2018 participating cities and counties list to determine if your local communities are participating. #ShopAlabamaForTheKids In addition to encouraging shoppers to buy from local retailers by promoting the use of their hashtag #ShopAlabama, the Alabama Retail Association will also promote #ShopAlabamaForTheKids, a new extension of their campaign. There, they will ask shoppers to consider picking up an extra school supply or two to donate to local school children in need. They have partnered with nonprofit organizations to promote and support school supply drives throughout the state. MONTGOMERY AREA: Drop off donated school supplies at HandsOn River Region at 101 Coliseum Boulevard, Montgomery, AL, Monday through Thursday, 8:30 a.m. – 3:30 p.m. BALDWIN COUNTY AREA: Drop off donated school supplies at the Eastern Shore Chamber of Commerce at 327 Fairhope Ave., Fairehope, AL, or Baldwin County United Way at 700 N McKenzie Street, Foley, AL.You can also support the Eastern Shore Chamber of Commerce Young Professionals and United Way of Baldwin County Young Leaders at their “Pencils & Glue for Bingo & Brew”. The event is a school supply fundraiser for the Rotary Youth Club and Ruff Wilson Youth Center. It is Thursday, July 26, from 5:30 – 8 p.m. at Fairhope Brewing Company. Admission is a $10 donation or a bag of school supplies. DOTHAN AREA: Drop off supplies for the Dothan Education Foundation at Wiregrass Commons Mall (Mall Office) or Army Aviation Federal Credit Union from July 19 until July 30. You can also take part in the 2018 Back-to-School Bash on Saturday, July 21 at Wiregrass Commons Mall. Families will have an opportunity to help Dothan Education Foundation “STUFF THE BUS” for Dothan City Schools
Here’s what the SCOTUS ruling that states can collect online sales tax means for Alabama
In a decision that will impact online shopping for all Alabamians, on Thursday the U.S. Supreme Court upheld a South Dakota law that required online companies to collect and remit state sales taxes, even if that company did not have a ‘physical presence’ in the state. In the landmark ruling, the court reversed a 26-year-old decision and in saying that states can require internet retailers to collect sales and use tax in states where they lack a physical presence. In Alabama Alabama is expected to be among the states most likely to see the biggest percentage increase in revenue based on the Barclays research. The ruling is likely to lead the Yellowhammer State to collect sales tax on purchases from out-of-state online businesses more aggressively. Translation: many consumers will likely pay more at the online checkout. History behind the opinion Justice Anthony Kennedy, who wrote the majority opinion in the 5-4 decision, said the 1992 decision, known as Quill, resulted in “a judicially created tax shelter for businesses that decide to limit their physical presence and still sell their goods and services to a state’s consumers — something that has become easier and more prevalent as technology has advanced.” According to the U.S. Census Bureau, from 1992 to 2018 internet and mobile sales have grown from zero to nine percent of all retail sales. Online sales are growing at four times the rate of total retail sales – 16 percent vs. 4.4 percent. The pre-internet era physical presence rule put “local businesses … at a competitive disadvantage relative to remote sellers,” and it “produced an incentive to avoid physical presence in multiple states,” Kennedy wrote in his opinion. Prior to the SCOTUS ruling In 2015, Alabama was looking for a solution to the problems they were encountering due to the Quill decision. That year, the Alabama Department of Revenue (ADOR) adopted a Simplified Sellers Use Tax program (SSUT) that took effect October 22: “Pursuant to this rule, an out-of-state seller with a substantial economic presence in Alabama will be required to collect and remit Alabama tax on its sales into the state, regardless of whether it has an Alabama physical presence. The rule imposes a collection obligation on out-of-state sellers who engage in one or more of the activities listed in Code of Alabama 1975, Section 40-23-68, activities subjecting out-of-state sellers to the state’s sellers use tax levy, and who had $250,000 or more in retail sales sold into Alabama in the previous year. Out-of-state sellers may satisfy the rule’s requirements by collecting, reporting and remitting tax on sales made into Alabama pursuant to the provisions of Article 2, Chapter 23 of Title 40, Code of Alabama 1975, or by participating in the Simplified Sellers Use Tax Remittance Program.” SSUT allowed, and continues to do so, participating sellers to collect, report, and remit an eight percent simplified sellers use tax on sales of tangible personal property delivered to Alabama purchasers, covering both state and local taxes. If SSUT is collected, neither the purchaser or the seller are liable for any additional use taxes on the transaction, regardless of whether the actual combined local and state rate is higher than eight percent. Before the SSUT was launched in 2015, online sellers with no physical presence in the state had no obligation to collect and remit use taxes on sales made within the state. Not only did this result in millions of dollars of revenue lost, but it also meant that brick-and-mortar retailers in the state, who did collect and remit sales tax, were at a disadvantage. In April 2018, Gov. Kay Ivey signed into law HB470, which amended the 2015 SSUT law by requiring online marketplaces to collect and remit use taxes on sales made through their marketplaces by third-party sellers, or to report such sales to the Alabama Department of Revenue and notify customers of use tax obligations. The legislation also allows existing sellers participating in the SSUT that establish a physical presence in this state, only through the acquisition of an in-state business, to continue to participate in the SSUT program. What the changes mean for Alabama? Since it’s inception, approximately 185 online vendors have voluntarily joined the state’s SSUT program. They are protected from a change in the physical presence rule. Only if the change in law is caused by “the enactment of federal legislation” is their grandfather protection voided (see Ala. Code § 40-23-191 et seq.). What they’re saying “The U.S. Supreme Court has ruled that online-only sellers should have to play by the same rules that in-state retailers do. Local retailers have been playing by the rules and collecting state sales tax on every purchase, every year since the Supreme Court’s original decision,” said Rick Brown, president of the Alabama Retail Association. “This is a victory for Alabama’s Main Street retailers. No longer will the federal government select winners and losers in the retail industry. Our 4,200 retail members and our association have advocated for this decision for decades.” Brown added, “Out-of-state, online-only businesses will no longer have an unfair advantage over our friends and neighbors who own local businesses. This ruling clears the way for a fair and level playing field where all retailers compete under the same sales tax rules whether they sell merchandise online, in-store or both.” Ivey says the decision “will promote parity between our state’s brick and mortar businesses and competing out-of-state sellers.” “Technology and the advent of e-commerce has drastically changed the retail landscape and the states’ ability to collect sales taxes. The Supreme Court’s ruling related to online sales taxes is a common-sense approach that modernizes existing limitations on the taxation of e-commerce sales and will facilitate collections in our global, technology-driven economy,” said Ivey. “The change effected by the Court’s decision will promote parity between our state’s brick and mortar businesses and competing out-of-state sellers.” ADOR has not responded to request for comment at the time of publishing. *This article will be updated as the decision is reviewed further.
Alabama holiday sales to exceed $11.5 billion, ARA predicts
The holiday season is officially here, and Alabamians are expected to spend more than ever this year on gifts and other holiday-related purchases. Holiday retail sales in November and December — excluding automobiles, gasoline and restaurants — are expected to increase as much as 2 percent this year, reaching up to$11.5 billion, according to the Alabama Retail Association (ARA), which has represented state retailers for more than 70 years. In 2016, sales were $11.43 billion. As the busiest shopping weeks of the year approach, the Alabama Retail Association will kick off its annual “Shop Alabama for the Holidays” tour on Friday, Nov. 10. Partnering with local retailers, elected officials and business leaders throughout the state, the ARA will host a multi-city news conference tour to encourage Alabamians to spend their holiday shopping and dining dollars locally. Stops on the tour include Cullman, Dothan, Huntsville, Mobile, and Montgomery. The “Shop Alabama” season is also being accompanied by an online campaign. Using the hashtag #BabyItsSoldInside, to celebrate the in-store shopping experience Beyond Black Friday While Black Friday and Cyber Monday get all the attention in the news, Super Saturday, the last Saturday before Christmas, is expected to be the biggest shopping day of the holiday season. RetailNext, a firm that tracks retail shopper traffic, attributes the shift from Black Friday shopping due to the fact it’s no longer a one day affair. Black Friday is now “a month-long shopping event that starts as soon as the trick-or-treaters turn in on Halloween.”
Alabama Retail Association: Alabama lawmakers consider move of state’s tax-free holiday weekend
The state’s education budget committees have signed off on moving Alabama’s back-to-school sales tax holiday from the first full weekend of August to the third weekend of July. Wednesday, Feb. 15, the House Ways and Means Education Committee approved HB132 by Rep. Lynn Greer, R-Rogersville; and the Senate Finance and Taxation Education Committee approved SB136 by Sen. Tim Melson, R-Florence. Both bills now move to their respective chambers for consideration. The date change will ensure the tax holiday occurs before the start of the school year throughout the state. Several years in its 11-year history, the August sales tax holiday occurred after school had started in many areas of the state, making it impossible for parents to take advantage of the tax savings. Twice in that history, sales tax collections experienced a decline in the month of August (See graphic below). Both years, the tax holiday occurred at the absolute latest possible time it could, Aug. 7-9, well after most schools had started classes. Alabama Retail championed this tax holiday and made its passage our top legislative priority in 2006, the year the holiday began. Your association supports having the tax holiday start on the third Friday of July each year. If enacted, the timing change would begin with the 2017 tax holiday, moving it to July 21 to 23. ••• This article was first published on the Alabama Retail Association website.
Meet the 2016 Alabama Retailers of the Year
15 Alabama retail businesses with operations in 39 Alabama cities and 24 other states were honored on Tuesday as 2016 Alabama Retailers of the Year. The Alabama Retail Association, in cooperation with the University of Alabama at Birmingham Collat School of Business recognized the retailers from across the state at a luncheon in Birmginham for the 17th presentation of the awards. Together they employ 1,633 at 56 locations across the Yellowhammer State. Here’s a look at this year’s winners: ANNUAL SALES LESS THAN $1 MILLION GOLD AWARD: Linda Flaherty, owner of and designer for Once upon a time stores in Mountain Brook and Homewood SILVER AWARD: Marguerite Ray, owner of Marguerite’s Conceits in Mountain Brook BRONZE AWARD: Lisa Jackman, owner of What’s Popp’N Gourmet Popcornin Huntsville. ANNUAL SALES $1 MILLION TO $5 MILLION GOLD AWARD: Jheovanny Gomez, co-owner of Jalapeños Mexican Restaurants in Tuscaloosa, Northport and Cottondale SILVER AWARD: Garlan Gudger Jr., owner of Southern Accents in Cullman BRONZE AWARD :The Gray family, owners of Peach Park in Clanton. ANNUAL SALES $5 MILLION TO $20 MILLION GOLD AWARD: Bryan Owens, chief executive officer, and Mike Elkins, president of Unclaimed Baggage Center in Scottsboro SILVER AWARD: George W. Skipper III, owner of Tacky Jacks in Orange Beach, Gulf Shores and Fort Morgan. BRONZE AWARD: Mark and Susan Anderson, chief executive and chief financial officer for Eagle Eye Outfitters in Dothan. ANNUAL SALES MORE THAN $20 MILLION GOLD AWARD: John M. Wilson, co-owner of Super Foods Supermarkets in Evergreen, Greenville and Luverne. GEE EMERGING RETAILERS OF THE YEAR Annual Sales Less Than $1 Million: Avery Ainsworth, owner of Fleet Feet Sports Montgomery. Annual Sales More Than $1 Million: Andy Harp, founder of Frios Gourmet Pops with 30 stores by 2017, 16 in Alabama, presence in 24 states. CUSTOMERS’ CHOICE AWARD Megan Smalley, Scarlet & Gold in Auburn. A panel of judges chose the Alabama Retailer of the Year winners in four categories based on annual sales volume. Bronze, silver and gold awards were presented in three categories. The judges also selected two Emerging Retailers of the Year, innovative and effective Alabama retailers who have been in business for at least two years, but less than five years. All of the winners have been in business for at least five year and an average of 23 years. More than 5,500 cast their ballots on Facebook for the Customers’ Choice Award.
Alabama’s back-to-school tax-free weekend set for Aug. 5-7
Get ready Alabamians, the state will hold its11th annual back-to-school tax-free weekend Friday, Aug. 5-Sunday, Aug. 7. Ushering in the start of the new school year, the annual holiday begins at 12:01 a.m. Friday and ends at 11:59 p.m. Sunday. During that time, consumers can buy certain school supplies, computers and clothing, free of state’s four-percent sales tax. “You don’t have to be a student or even an Alabama resident to save money the weekend of Aug. 5-7 because of the annual Back-to-School Sales Tax Holiday,” said State Revenue Commissioner Julie Magee. “Products include items such as clothing, sports equipment, computers, and of course school supplies.” Local governments had until July 5 to notify the Alabama Department of Revenue of their decision to participate in this year’s sales tax holiday. As of July 26, 293 localities are participating. “During this time, certain products can be purchased without the 4 percent state sales tax, and if the city and county are participating as well, that tax will be waived, too,” Magee explained. “For example, all residents of Mobile County living in the Mobile city limits will be exempt from all of the sales tax — totaling 10 percent of the purchase price of qualifying products.” The Alabama Retail Association (ARA) predicts Alabamians will spend almost $1.14 billion on back-to-school shopping. Alabama sales generally represent 1.5 percent of all retail sales nationally. The National Retail Federation projects $75.8 billion will be spent nationally this back-to-school shopping season. For many retailers, the back-to-school shopping period is their second busiest time. “Outside of December, [the sales tax holiday] is probably our biggest weekend of the year,” Michael Gee, president and co-owner of the Pants Store and an Alabama Retail board member, told the ARA. Alabamians will spend more than $4.5 billion in August, ARA projects. That is all taxed sales, all month, not just on back-to-school and represents a 2.5 percent growth over 2015, when Alabamians spent almost $4.4 billion in August. To review tax-free apparel and school supplies, check out this list.
Alabama business roundup: Headlines from across state – 6/1/16 edition
Which Alabama retailers will be feted by the National Retail Federation? What sized companies are on the rise in Alabama? Answers to all of these questions and more in today’s business roundup: Birmingham Business Journal: Alabama News Center: Ready for red snapper? Alabama looks to bigger catch from longer season, expanded waters A longer state red snapper season and expanded state waters where anglers can fish are expected to provide a boost to the coastal tourist economy this summer. “It should be good for our bottom line,” said Mike Giannini, one of the owners of J&M Tackle on Canal Road in Orange Beach. “It’ll increase fuel sales, ice sales, bait sales, tackle sales, just about everything.” Red snapper season will be open in Alabama waters from Friday, May 27, through July 31, giving anglers two full months to fish. Last year, U.S. Sen. Richard Shelby of Alabama attached an amendment to the General Fund budget that extends state waters for Alabama, Mississippi and Louisiana to nine miles from the coast for the purposes of managing reef fish, including snapper. The move aligned the state waters of those three states with the state waters for Florida and Texas. Before this year, the federal government recognized Alabama’s authority only over waters extending three miles from the coast. The expanded territory is important to anglers. “It makes a big difference when it comes to the amount of structure available to fishermen to fish,” said Chris Blankenship, director of Alabama’s Division of Marine Resources. Snapper are good to eat and relatively easy for anglers to locate. That has made them what Herb Malone, president and CEO of Gulf Shores and Orange Beach Tourism, calls Alabama’s “flagship fish.” “Anybody with a boat who knows how to use a GPS can find snapper,” Malone said. Alabama’s artificial reef system Snapper are reef fish. They live around structure whether natural, like rocks or coral, or manmade, like sunken ships or concrete rubble. Alabama has few natural reefs off its tiny coast and had few if any snapper before about 35 years ago. Beginning in the late 1970s, the state and private individuals sank ships, tanks and armored vehicles, concrete pyramids and rubble off the coast. It now has the largest artificial reef system in the country, and upward of 35 percent of the total snapper catch in the Gulf of Mexico comes off the Alabama coast. The longer season and expanded state waters “is going to be huge for us,” said Mark Russo, manager of Sam’s, a store on Canal Road in Orange Beach that caters to fishermen. “Now that we’ve got the longer season, we need to put more structure in the nine miles controlled by the state.” Read the rest of the article here. AL.com: Alabama business optimism improves as 2016 progresses Business confidence rose to 55.1 on the second quarter 2016 Alabama Business Confidence Index™ (ABCI) survey, conducted by the Center for Business and Economic Research in UA’s Culverhouse College of Commerce. The index increased 2.1 points and closed at its highest level in three quarters. That said, panelists are now less optimistic than a year ago when the ABCI registered 57.6. Note that an index value above 50 indicates a positive outlook. Panelists continue to see expansion in the Alabama economy, but are less optimistic about the national economy. The outlook for the state economy rose to a quite confident 56.4, while the national economy index remained near the neutral mark at a slightly positive 50.9. Overall, business executives expect the state’s economy to continue expansion in the second quarter of 2016. At 56.4, the index is up 4.4 points from last quarter, but down two points compared to a year ago. Almost 38 percent of panelists expect stronger economic growth this quarter and approximately 51 percent expect the state’s economy to perform about the same as last quarter. Every industry indicator moved higher on the survey and all remain positive. The sales index again tops the list at 59.8, while expectations for capital expenditures, hiring, and profits all rose to easily positive readings. Firms in financial services, construction, miscellaneous services, and professional services are the most optimistic this quarter, all posting index levels of 56.0 or more. Retailers, however, continue to see the economic environment as a negative. The four largest metro areas all posted positive readings, even as confidence declined by 2.1 points in Mobile. Confidence increased in Birmingham-Hoover, Huntsville and Montgomery. Montgomery enjoys the highest confidence among the large metros with an index of 57.3. The mixed, but mostly positive sentiment of ABCI panelists in a broad range of industries supports the recent 2016 forecast from the Center for Business and Economic Research. CBER expects the state’s economic growth to slow down slightly from 2.4 percent in 2015 to 2.3 percent this year. Employment growth is forecasted to decelerate from around 1.2 percent in 2015 to 1.0 percent in 2016, while tax revenues are forecasted to rise 2.7 percent in FY2016 compared to last year’s 3.3 percent increase. Report: Results of the second quarter 2016 ABCI survey are available at https://cber.cba.ua.edu/ABCI. The survey, which is in its 15th year, was completed online March 1-15 by 258 Alabama business executives. Alabama News Center: Alabama retailers Bromberg and Shea to be feted by National Retail Federation The National Retail Federation is recognizing Alabama Retail Association Chairman Ricky Bromberg, president of Bromberg and Co. in Birmingham, and board member Terry Shea, co-owner of Wrapsody in Hoover and Auburn, for their contributions to advocacy. They are among “America’s Retail Champions.” Bromberg and Shea flew to Washington, D.C., this week to take part in NRF’s Retail Advocate’s Summit. The America’s Retail Champions program, now in its third year, honors retailers who make their mark on public policy debates affecting the industry. Bromberg and Shea are among 41 small business retailers throughout the country to be named as a 2016 champion, and are in the running to be named as a finalist and honored as the America’s Retail Champion of
