McKinney sales tax: MCDC invested $80.1M in 45 grants, $68.8M on retail

The McKinney Community Development Corporation invested $80.1 million through 45 grants in 2025, directing roughly $68.8 million toward retail and economic development projects that city leaders say will reshape shopping corridors and commercial districts. The year’s spending covered projects ranging from park upgrades to major retail and economic development ventures across the city.

MCDC is funded by a portion of the city's sales tax revenue and carries a mandate rooted in local voters’ choices. “In 1996, McKinney voters approved a half-cent sales tax to be used to provide grants to projects and events that would enhance McKinney’s aesthetic, cultural and leisure amenities,” the corporation’s mission statement says. The site also stresses the corporation’s long-term role: “The McKinney Community Development Corporation is dedicated to honoring our history, celebrating today and planning for the future. While McKinney’s population grows at a record pace, our commitment is to be a driving force for premier quality of life in McKinney, which makes our city a unique and special place live, work and visit.” Over the past 25 years, MCDC has invested nearly $225 million back into the community.

City financial records from MCDC meeting minutes provide a window into how sales-tax dynamics have funded that investment. Financial Compliance Manager Chance Miller reported that “June showed a net profit of $224,000, with revenues of $1.3 million and expenditures of $1.1 million which included approximately $975,000 in parks projects. The year-to-date profit is a little over $6 million.” Miller also supplied month-by-month sales tax snapshots: “June sales tax, which reflects April sales, showed a 12.1% increase over June 2019.” He added comparative figures: “Mr. Miller added that Allen saw a 17.9% decrease in sales tax revenue for June, Frisco saw a 12.8% decrease, and Plano saw a 13% decrease.” For a separate reporting period he noted that “July’s sales tax showed an 18.25% increase for McKinney, while sister cities all saw decreases. Allen was down 7%, Frisco was down 7%, and Plano was down 17%.” Miller told the board that “One reason for these variances is level of expansion and growth in McKinney compared to sister cities.” He also noted a second driver: “A second reason is due to the new online sales tax collections which have resulted in higher sales tax revenue to McKinney.” On sector trends he said that “food and accommodations sales tax is down in McKinney, but retail trade has continued to grow.”

The minutes also record long-standing local priorities: board approval actions and park funding requests. “Board members unanimously approved a motion by Board member Mott, seconded by Secretary Barnes-Tilley, to approve the minutes,” one excerpt states, and the Parks and Recreation Department had submitted Project #20-13, a request for five million five hundred thousand and No/100 dollars ($5,500,000.00) for park and facility redevelopment and improvements.

What this means for residents is immediate and practical: a retail-heavy year of spending will likely bring new stores, redevelopment of shopping areas, and follow-on demand on roads and public services, while park and community grants continue to fund recreation and trails. Reporters and residents should expect a detailed, grant-by-grant list from MCDC for full transparency; one item in the original summary appears truncated as “Cotton Mill We,” and the full project name and details will need confirmation at the agency’s next disclosures or board meeting.