WICHITA, Kan. (KSNW) — If you shop near Kansas Highway 96 and Greenwich Road in northeast Wichita, you may soon have a lower sales tax. An extra penny of tax that the City of Wichita added for that area is about to go away.

On Tuesday morning, the Wichita City Council approved the first reading of an ordinance to drop the Community Improvement District (CID) one-cent sales tax on Sept. 30, 2022.

The City Council established the CID in 2013 to pay off some of the bonds for the K-96 and Greenwich Road interchange improvement. Businesses began collecting the extra one-cent of sales tax in October of 2015, and it was expected to last until Sept. of 2036.

The original map for the K-96 and Greenwich Road Community Improvement District. (Courtesy City of Wichita)

The area now includes a lot of businesses, including Wichita Sports Forum, Academy, Duluth Trading, Cavender’s, and Dave & Busters. The retail sales growth has been so successful that the CID is on track to collect the necessary money in just seven years.

“We’ve been paying those bills from the CID and also setting aside the excess to continue to pay future bond payments,” Kathy Sexton, Wichita interim assistant city manager, said. “So, that is paying that debt off 15 years early, ending that tax 15 years early.”

Wichita Mayor Brandon Whipple asked if this is the first time the City of Wichita has paid off a CID early. City Manager Robert Layton said it is. He said the City has terminated some Tax Increment Districts (TIFs) early, but not CIDs.

“It is pretty awesome to pay off something you set up to last 22 years, to be able to do that in seven years,” Sexton said.

She said the CID one-percent sales tax in that area brought in about $400,000 a year.

The Wichita City Council is expected to take the final vote on ending the CID at its next meeting on June 21.