Alex City sees increase in sales tax during 2008

Alex City, Ala. (WSFA) --  With all the dismal news about the struggling economy, one Alabama city is seeing some success.

Alex City is reporting sales tax revenues were up for the fiscal year 2008.

It's open for business for shops along main street in downtown Alex City.

Despite news of tough economic times Alex City's sales tax revenues were up 4% in 2008.

"It was up for the fiscal year ending in September and so far its up this year ever so slightly," says Ward Sellers, of the Business License and Tax Department.

2008 figures were a little over 7.7 million dollars, up from 7.4 million in the 2007 fiscal year.

"It makes us feel really good. we want to keep the revenue here in Alex City as much a possible we want to make it a friendly environment, make it more were people can stay here instead of having to go out of town," said Keith Little, manager of MacDavid and Co.

Business owners say they also attribute some of they're success to rising gas prices.

"They sat down and figured out that a tank of gas to Birmingham or Montgomery, they could come here and not spend that money," says Jan Rogers, one owner of Cloud Nine.

Officials say sales tax numbers also received help from Lake Martin.

"Our lake business recovered from the drought," explained Sellers.

However with this good news comes caution, Sellers says they're keeping a close watch on figures for 2009.

For the first three months of fiscal year 2009 sales tax figures are up, however Sellers says they're up by just a little over point two percent.

Reporter: Daniel Curtis