Rapid City Reports Record Sales Tax Collections Through Third Quarter of 2025

The City of Rapid City has reported more than $67.1 million in overall sales tax revenue through the first nine months of 2025, a 3.4 percent increase over the $64.9 million collected during the same period in 2024.
September alone set a new record, with $8,027,480 in receipts — the fourth consecutive month topping $8 million. From June through September, collections totaled $33.03 million, surpassing the $31.7 million recorded during the same four-month stretch last year.
“We continue to be pleased at the overall sales tax numbers both for the month-to-month totals as well as through the third quarter of the year,” said City Finance Director Daniel Ainslie. “In all categories, we are seeing higher totals. Rapid City’s sales tax numbers are holding strong, especially compared to the rest of the state.”
The January–September 2025 sales tax report will be presented at Wednesday’s Legal and Finance Committee meeting.
Key Findings in the Report
• General Fund: More than $31.2 million collected through September, a record high and 3.53 percent increase over 2024. September’s total exceeded $3.75 million, slightly above budget expectations. The fund supports essential services including police, fire, library, parks, and recreation.
• Tourism Tax: Over $4.8 million collected, up 3.73 percent from last year. September’s $576,669 set a new monthly record.
• Capital Improvement Fund: More than $18 million collected, a 3.21 percent increase over 2024. Funds go toward infrastructure projects such as road reconstruction, park upgrades, and community center improvements.
• Vision Fund: More than $13 million collected, also a 3.21 percent increase. The fund supports major community projects such as The Monument and Roosevelt Swim Center.
City officials noted that sales tax collections have increased in 61 of the past 64 months, with the only decline occurring during the COVID-19 restriction period in spring 2020.