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Starting your holiday shopping? Here's where your part of your sales taxes go in Kansas City, Missouri

The Central City Economic Development Sales Tax program helped developers break ground on 24 affordable housing units for seniors citizens near Prospect Avenue
Here's what part of your sales taxes pay for in Kansas City, Missouri
Sales tax program in Kansas City
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KSHB 41 reporter Isabella Ledonne reports on stories in Overland Park, Johnson County and topics about government accountability. Share your story idea with Isabella.

Shoppers are already out buying holiday gifts.

Here's what part of your sales taxes pay for in Kansas City, Missouri

For the first time, the National Retail Federation expects holiday sales in 2025 to surpass $1 trillion. Holiday sales alone would bring in millions of dollars in sales tax revenue nationwide, but those funds are sometimes overlooked.

The money from sales taxes in Kansas City, Missouri, have a big impact in the city's historic Northeast neighborhood.

Shoppers in Kansas City, Missouri, pay more than $100 million in sales taxes every year. A small part of that sales tax goes to the Central City Economic Development (CCED) sales tax program.

CCED program administrator Sherise Kirkwood oversees the program.

Sherise Kirkwood

"I see what the tax dollars is going toward," Kirkwood said. "It is my job to be a steward for the tax dollars. It's just having a pride for what the voters actually voted for and what they approved to see that it's going toward something good and building our community back up."

The program brings tax dollars into revitalizing northeast Kansas City with affordable housing development and resources. Kirkwood explained the program only gives tax dollars toward developments that would bring a community benefit to a traditionally underserved and under-resourced areas

"We're actually rebuilding our neighborhoods," Kirkwood said. "We're seeing growth throughout Kansas City."

Since the program started in 2017, it's helped fund 60 projects with 12 of those are completed.

That includes the KD Academy Early Learning Center.

"The private dollars that are following our investments into those neighborhoods are making a difference," CCED Board Chair Dan Cranshaw said.

Dan Cranshaw

The program's most recent project is the Prospect Summit Duplexes, which will provide about 24 affordable housing units to senior citizens on Prospect Avenue near East 22nd and East 23rd streets.

"We're creating affordable housing for seniors in that community so they can stay," Cranshaw said.

The project on Prospect is getting $2.5 million in funding from the sales tax program. Many developers apply for money within the program as a gap funding measure to get their project off the ground.

Prospect Summit Duplexes

More than $60 million has gone back into projects in the northeast corridor of Kansas City, Missouri.

Cranshaw explained his goal for the program over the next few years.

"I want the east side to be no different than Brookside, and that they can be places of destination for everyone in that area," Cranshaw said. "[My hope] is that folks don't look at Troost or Prospect as any sort of dividing line, but rather this is just part of Kansas City."

The pennies from your sales tax mean a whole lot more to the neighbors who aren't getting priced out of their community.

Joe Crowell

"You're closer to the church, the stores around it make it a lot easier for you," Joe Crowell said. "You're more comfortable in your environment because you know you're surrounded by people who are just like you."

The program will expire in 2027, as voters approved the 1/8-cent sales tax for CCED for 10 years.

Kansas City voters will be deciding if it should be renewed in the next election.