Missouri 2025 2025 Regular Session

Missouri House Bill HB1416 Comm Sub / Analysis

Filed 04/07/2025

                    HB1416--COMMUNITYIMPROVEMENTDISTRICTS
SPONSOR: Seitz
COMMITTEEACTION:Voted"DoPass"bytheStandingCommitteeon
LocalGovernmentbyavoteof13to0.
Thisbillrequiresacommunityimprovementdistricttoprovide
noticetothegoverningbodyofthemunicipalityinwhichthe
districtislocatedofplannedmeetingsandanyassociatedmeeting
agendasatleast10calendardayspriortothemeeting. Ifa
districtcallsanemergencymeetingitmustprovidenoticeassoon
aspossible.
Thebilladdsthelistofdatesandlocationsofeachmeetingofa
communityimprovementdistrictboardtothelistofitemscontained
inareportthatadistrictisrequiredtoprovidetothemunicipal
clerk,DepartmentofRevenue,theStateAuditor,andtheDepartment
ofEconomicDevelopment. Thereportmustincludeanaffidavit
signedbyaboardmemberunderpenaltyofperjurythatthe
informationisaccurate.
ThisbillrequirestheStateAuditortocalculateacompliance
gradeforcommunityimprovementdistrictreportingcompliance. The
Auditor'sofficewillpostthegradeonitswebsitenolaterthan
30daysafterthereportingdeadline.
Ifacommunityimprovementdistrictfailstoachieveacompliance
gradeofatleast80%itcanbeterminatedoritsboardmaybe
dissolved. Aterminateddistrictmustimmediatelyceasecollecting
anytaxitisauthorizedtoimpose,settleitsdebts,andreturn
allremainingmoney.
Thegoverningbodyofamunicipalitywillnotbeobligatedor
liableforanyterminateddistrict'sremainingindebtedness,
inaction,failureoffiduciaryresponsibility, fraudulentactivity,
orotherencumbranceofsuchterminateddistrict.
PROPONENTS: Supporterssaythatthisbillgivesnecessary
authoritytolocalgovernmentstodisband"ghost"CIDsandreturn
totaxpayersmoneythatisn'tbeingutilizedthewayitisintended
tobe.Thisbillhasenoughteethtoenforcecompliancefrombad
actorswhileposinglittletonoburdenongoodactors.Supporters
alsosaywaste,fraud,andabusearecommoninCIDs.Theyarea
formoftaxationwithoutrepresentation, transferringpublicmoney
toprivatecoffers.
TestifyinginpersonforthebillwereRepresentative Seitzand
ArnieC.Dienoff. OPPONENTS: Therewasnooppositionvoicedtothecommittee.
OTHERS:Otherstestifyingonthebillansweredquestionsaboutthe
roleoftheAuditor'sofficeinimplementingtheprovisionsofthis
bill,shoulditpass,andansweredgeneralquestionsabout
communityimprovementdistrictfunctioningandfinances.
TestifyinginpersononthebillwasBrandonAlexander,Missouri
StateAuditorsOffice.
Writtentestimonyhasbeensubmittedforthisbill.Thefull
writtentestimonyandwitnessestestifyingonlinecanbefound
underTestimonyonthebillpageontheHousewebsite.