Missouri 2025 Regular Session

Missouri Senate Bill SB264 Compare Versions

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Old	New	Differences
1	1
2	2	EXPLANATION-Matter enclosed in bold-faced brackets [thus] in this bill is not enacted
3	3	and is intended to be omitted in the law.
4	4	FIRST REGULAR SESSION
5	5	SENATE BILL NO. 264
6	6	103RD GENERAL ASSEMBLY
7	7	INTRODUCED BY SENATOR FITZWATER.
8	8	0646S.02I KRISTINA MARTIN, Secretary
9	9	AN ACT
10	10	To repeal sections 137.073 and 137.115, RSMo, and to enact in lieu thereof two new sections
11	11	relating to personal property assessments.
12	12
13	13	Be it enacted by the General Assembly of the State of Missouri, as follows:
14	14	Section A. Sections 137.073 and 137.115, RSMo, are 1
15	15	repealed and two new sections enacted in lieu thereof, to be 2
16	16	known as sections 137.073 and 137.115, to rea d as follows:3
17	17	137.073. 1. As used in this section, the following 1
18	18	terms mean: 2
19	19	(1) "General reassessment", changes in value, entered 3
20	20	in the assessor's books, of a substantial portion of the 4
21	21	parcels of real property within a county resulting wholly or 5
22	22	partly from reappraisal of value or other actions of the 6
23	23	assessor or county equalization body or ordered by the state 7
24	24	tax commission or any court; 8
25	25	(2) "Tax rate", "rate", or "rate of levy", singular or 9
26	26	plural, includes the tax rate for each purpose of taxation 10
27	27	of property a taxing authority is authorized to levy without 11
28	28	a vote and any tax rate authorized by election, including 12
29	29	bond interest and sinking fund; 13
30	30	(3) "Tax rate ceiling", a tax rate as revised by the 14
31	31	taxing authority to comply with the provisions of this 15
32	32	section or when a court has determined the tax rate; except 16
33	33	that, other provisions of law to the contrary 17
34	34	notwithstanding, a school district may levy the operating 18 SB 264 2
35	35	levy for school purposes required for the current year 19
36	36	pursuant to subsection 2 of section 163.021, less all 20
37	37	adjustments required pursuant to Article X, Section 22 of 21
38	38	the Missouri Constitution, if such tax rate does not exceed 22
39	39	the highest tax rate in effect subsequent to the 1980 tax 23
40	40	year. This is the maximum tax rate that may be levied, 24
41	41	unless a higher tax rate ceiling is approved by voters of 25
42	42	the political subdivision as provided in this section; 26
43	43	(4) "Tax revenue", when referring to the previous 27
44	44	year, means the actual receipts from ad valo rem levies on 28
45	45	all classes of property, including state -assessed property, 29
46	46	in the immediately preceding fiscal year of the political 30
47	47	subdivision, plus an allowance for taxes billed but not 31
48	48	collected in the fiscal year and plus an additional 32
49	49	allowance for the revenue which would have been collected 33
50	50	from property which was annexed by such political 34
51	51	subdivision but which was not previously used in determining 35
52	52	tax revenue pursuant to this section. The term "tax 36
53	53	revenue" shall not include any receipts f rom ad valorem 37
54	54	levies on any property of a railroad corporation or a public 38
55	55	utility, as these terms are defined in section 386.020, 39
56	56	which were assessed by the assessor of a county or city in 40
57	57	the previous year but are assessed by the state tax 41
58	58	commission in the current year. All school districts and 42
59	59	those counties levying sales taxes pursuant to chapter 67 43
60	60	shall include in the calculation of tax revenue an amount 44
61	61	equivalent to that by which they reduced property tax levies 45
62	62	as a result of sales tax pursuant to section 67.505 and 46
63	63	section 164.013 [or as excess home dock city or county fees 47
64	64	as provided in subsection 4 of section 313.820 ] in the 48
65	65	immediately preceding fiscal year but not including any 49
66	66	amount calculated to adjust for prior years. For purposes 50 SB 264 3
67	67	of political subdivisions which were authorized to levy a 51
68	68	tax in the prior year but which did not levy such tax or 52
69	69	levied a reduced rate, the term "tax revenue", as used in 53
70	70	relation to the revision of tax levies mandated by law, 54
71	71	shall mean the revenues equal to the amount that would have 55
72	72	been available if the voluntary rate reduction had not been 56
73	73	made. 57
74	74	2. Whenever changes in assessed valuation are entered 58
75	75	in the assessor's books for any personal property, in the 59
76	76	aggregate, or for any subclass of real property as such 60
77	77	subclasses are established in Section 4(b) of Article X of 61
78	78	the Missouri Constitution and defined in section 137.016, 62
79	79	the county clerk in all counties and the assessor of St. 63
80	80	Louis City shall notify each political subd ivision wholly or 64
81	81	partially within the county or St. Louis City of the change 65
82	82	in valuation of each subclass of real property, 66
83	83	individually, and personal property, in the aggregate, 67
84	84	exclusive of new construction and improvements. All 68
85	85	political subdivisions shall immediately revise the 69
86	86	applicable rates of levy for each purpose for each subclass 70
87	87	of real property, individually, and personal property, in 71
88	88	the aggregate, for which taxes are levied to the extent 72
89	89	necessary to produce from all taxable prope rty, exclusive of 73
90	90	new construction and improvements, substantially the same 74
91	91	amount of tax revenue as was produced in the previous year 75
92	92	for each subclass of real property, individually, and 76
93	93	personal property, in the aggregate, except that the rate 77
94	94	shall not exceed the greater of the most recent voter - 78
95	95	approved rate or the most recent voter -approved rate as 79
96	96	adjusted under subdivision (2) of subsection 5 of this 80
97	97	section. Any political subdivision that has received 81
98	98	approval from voters for a tax increa se after August 27, 82 SB 264 4
99	99	2008, may levy a rate to collect substantially the same 83
100	100	amount of tax revenue as the amount of revenue that would 84
101	101	have been derived by applying the voter -approved increased 85
102	102	tax rate ceiling to the total assessed valuation of the 86
103	103	political subdivision as most recently certified by the city 87
104	104	or county clerk on or before the date of the election in 88
105	105	which such increase is approved, increased by the percentage 89
106	106	increase in the consumer price index, as provided by law, 90
107	107	except that the rate shall not exceed the greater of the 91
108	108	most recent voter-approved rate or the most recent voter - 92
109	109	approved rate as adjusted under subdivision (2) of 93
110	110	subsection 5 of this section. Such tax revenue shall not 94
111	111	include any receipts from ad valorem levies on any real 95
112	112	property which was assessed by the assessor of a county or 96
113	113	city in such previous year but is assessed by the assessor 97
114	114	of a county or city in the current year in a different 98
115	115	subclass of real property. Where the taxing authority is a 99
116	116	school district for the purposes of revising the applicable 100
117	117	rates of levy for each subclass of real property, the tax 101
118	118	revenues from state-assessed railroad and utility property 102
119	119	shall be apportioned and attributed to each subclass of real 103
120	120	property based on the percentage of the total assessed 104
121	121	valuation of the county that each subclass of real property 105
122	122	represents in the current [taxable] tax year. As provided 106
123	123	in Section 22 of Article X of the constitution, a political 107
124	124	subdivision may also revise each levy to allow for 108
125	125	inflationary assessment growth occurring within the 109
126	126	political subdivision. The inflationary growth factor for 110
127	127	any such subclass of real property or personal property 111
128	128	shall be limited to the actual assessment growth in such 112
129	129	subclass or class, exclusive of new construction and 113
130	130	improvements, and exclusive of the assessed value on any 114 SB 264 5
131	131	real property which was assessed by the assessor of a county 115
132	132	or city in the current year in a different subclass of real 116
133	133	property, but not to exceed the consu mer price index or five 117
134	134	percent, whichever is lower. Should the tax revenue of a 118
135	135	political subdivision from the various tax rates determined 119
136	136	in this subsection be different than the tax revenue that 120
137	137	would have been determined from a single tax rate as 121
138	138	calculated pursuant to the method of calculation in this 122
139	139	subsection prior to January 1, 2003, then the political 123
140	140	subdivision shall revise the tax rates of those subclasses 124
141	141	of real property, individually, and/or personal property, in 125
142	142	the aggregate, in which there is a tax rate reduction, 126
143	143	pursuant to the provisions of this subsection. Such 127
144	144	revision shall yield an amount equal to such difference and 128
145	145	shall be apportioned among such subclasses of real property, 129
146	146	individually, and/or personal property, in the aggregate, 130
147	147	based on the relative assessed valuation of the class or 131
148	148	subclasses of property experiencing a tax rate reduction. 132
149	149	Such revision in the tax rates of each class or subclass 133
150	150	shall be made by computing the percentage of current year 134
151	151	adjusted assessed valuation of each class or subclass with a 135
152	152	tax rate reduction to the total current year adjusted 136
153	153	assessed valuation of the class or subclasses with a tax 137
154	154	rate reduction, multiplying the resulting percentages by the 138
155	155	revenue difference be tween the single rate calculation and 139
156	156	the calculations pursuant to this subsection and dividing by 140
157	157	the respective adjusted current year assessed valuation of 141
158	158	each class or subclass to determine the adjustment to the 142
159	159	rate to be levied upon each class or subclass of property. 143
160	160	The adjustment computed herein shall be multiplied by one 144
161	161	hundred, rounded to four decimals in the manner provided in 145
162	162	this subsection, and added to the initial rate computed for 146 SB 264 6
163	163	each class or subclass of property. For school districts 147
164	164	that levy separate tax rates on each subclass of real 148
165	165	property and personal property in the aggregate, if voters 149
166	166	approved a ballot before January 1, 2011, that presented 150
167	167	separate stated tax rates to be applied to the different 151
168	168	subclasses of real property and personal property in the 152
169	169	aggregate, or increases the separate rates that may be 153
170	170	levied on the different subclasses of real property and 154
171	171	personal property in the aggregate by different amounts, the 155
172	172	tax rate that shall be used for the sin gle tax rate 156
173	173	calculation shall be a blended rate, calculated in the 157
174	174	manner provided under subdivision (1) of subsection 6 of 158
175	175	this section. Notwithstanding any provision of this 159
176	176	subsection to the contrary, no revision to the rate of levy 160
177	177	for personal property shall cause such levy to increase over 161
178	178	the levy for personal property from the prior year. 162
179	179	3. (1) Where the taxing authority is a school 163
180	180	district, it shall be required to revise the rates of levy 164
181	181	to the extent necessary to produce from a ll taxable 165
182	182	property, including state -assessed railroad and utility 166
183	183	property, which shall be separately estimated in addition to 167
184	184	other data required in complying with section 164.011, 168
185	185	substantially the amount of tax revenue permitted in this 169
186	186	section. In the year following tax rate reduction, the tax 170
187	187	rate ceiling may be adjusted to offset such district's 171
188	188	reduction in the apportionment of state school moneys due to 172
189	189	its reduced tax rate. However, in the event any school 173
190	190	district, in calculating a tax rate ceiling pursuant to this 174
191	191	section, requiring the estimating of effects of state - 175
192	192	assessed railroad and utility valuation or loss of state 176
193	193	aid, discovers that the estimates used result in receipt of 177
194	194	excess revenues, which would have required a lower rate if 178 SB 264 7
195	195	the actual information had been known, the school district 179
196	196	shall reduce the tax rate ceiling in the following year to 180
197	197	compensate for the excess receipts, and the recalculated 181
198	198	rate shall become the tax rate ceiling for purposes of this 182
199	199	section. 183
200	200	(2) For any political subdivision which experiences a 184
201	201	reduction in the amount of assessed valuation relating to a 185
202	202	prior year, due to decisions of the state tax commission or 186
203	203	a court pursuant to sections 138.430 to 138.433, or due to 187
204	204	clerical errors or corrections in the calculation or 188
205	205	recordation of any assessed valuation: 189
206	206	(a) Such political subdivision may revise the tax rate 190
207	207	ceiling for each purpose it levies taxes to compensate for 191
208	208	the reduction in assessed value occurring after the 192
209	209	political subdivision calculated the tax rate ceiling for 193
210	210	the particular subclass of real property or for personal 194
211	211	property, in the aggregate, in a prior year. Such revision 195
212	212	by the political subdivision shall be made at the time of 196
213	213	the next calculation of the tax rate for the particular 197
214	214	subclass of real property or for personal property, in the 198
215	215	aggregate, after the reduction in assessed valuation has 199
216	216	been determined and shall be calculated in a manner that 200
217	217	results in the revised tax rate ceiling b eing the same as it 201
218	218	would have been had the corrected or finalized assessment 202
219	219	been available at the time of the prior calculation; 203
220	220	(b) In addition, for up to three years following the 204
221	221	determination of the reduction in assessed valuation as a 205
222	222	result of circumstances defined in this subdivision, such 206
223	223	political subdivision may levy a tax rate for each purpose 207
224	224	it levies taxes above the revised tax rate ceiling provided 208
225	225	in paragraph (a) of this subdivision to recoup any revenues 209
226	226	it was entitled to receive had the corrected or finalized 210 SB 264 8
227	227	assessment been available at the time of the prior 211
228	228	calculation. 212
229	229	4. (1) In order to implement the provisions of this 213
230	230	section and Section 22 of Article X of the Constitution of 214
231	231	Missouri, the term improvements shall apply to both real and 215
232	232	personal property. In order to determine the value of new 216
233	233	construction and improvements, each county assessor shall 217
234	234	maintain a record of real property valuations in such a 218
235	235	manner as to identify each year the increase in v aluation 219
236	236	for each political subdivision in the county as a result of 220
237	237	new construction and improvements. The value of new 221
238	238	construction and improvements shall include the additional 222
239	239	assessed value of all improvements or additions to real 223
240	240	property which were begun after and were not part of the 224
241	241	prior year's assessment, except that the additional assessed 225
242	242	value of all improvements or additions to real property 226
243	243	which had been totally or partially exempt from ad valorem 227
244	244	taxes pursuant to sections 99.800 to 99.865, sections 228
245	245	135.200 to 135.255, and section 353.110 shall be included in 229
246	246	the value of new construction and improvements when the 230
247	247	property becomes totally or partially subject to assessment 231
248	248	and payment of all ad valorem taxes. The aggregate increase 232
249	249	in valuation of personal property for the current year over 233
250	250	that of the previous year is the equivalent of the new 234
251	251	construction and improvements factor for personal property. 235
252	252	Beginning January 1, 2027, any increase in the aggregate 236
253	253	valuation of personal property for the current year over 237
254	254	that of the previous year shall not be counted as new 238
255	255	construction. Notwithstanding any opt -out implemented 239
256	256	pursuant to subsection 14 of section 137.115, the assessor 240
257	257	shall certify the amount of new constr uction and 241
258	258	improvements and the amount of assessed value on any real 242 SB 264 9
259	259	property which was assessed by the assessor of a county or 243
260	260	city in such previous year but is assessed by the assessor 244
261	261	of a county or city in the current year in a different 245
262	262	subclass of real property separately for each of the three 246
263	263	subclasses of real property for each political subdivision 247
264	264	to the county clerk in order that political subdivisions 248
265	265	shall have this information for the purpose of calculating 249
266	266	tax rates pursuant to this section and Section 22, Article 250
267	267	X, Constitution of Missouri. In addition, the state tax 251
268	268	commission shall certify each year to each county clerk the 252
269	269	increase in the general price level as measured by the 253
270	270	Consumer Price Index for All Urban Consumers for the United 254
271	271	States, or its successor publications, as defined and 255
272	272	officially reported by the United States Department of 256
273	273	Labor, or its successor agency. The state tax commission 257
274	274	shall certify the increase in such index on the latest 258
275	275	twelve-month basis available on February first of each year 259
276	276	over the immediately preceding prior twelve -month period in 260
277	277	order that political subdivisions shall have this 261
278	278	information available in setting their tax rates according 262
279	279	to law and Section 22 of Article X of th e Constitution of 263
280	280	Missouri. For purposes of implementing the provisions of 264
281	281	this section and Section 22 of Article X of the Missouri 265
282	282	Constitution, the term "property" means all taxable 266
283	283	property, including state -assessed property. 267
284	284	(2) Each political subdivision required to revise 268
285	285	rates of levy pursuant to this section or Section 22 of 269
286	286	Article X of the Constitution of Missouri shall calculate 270
287	287	each tax rate it is authorized to levy and, in establishing 271
288	288	each tax rate, shall consider each provision for tax rate 272
289	289	revision provided in this section and Section 22 of Article 273
290	290	X of the Constitution of Missouri, separately and without 274 SB 264 10
291	291	regard to annual tax rate reductions provided in section 275
292	292	67.505 and section 164.013. Each political subdivision 276
293	293	shall set each tax rate it is authorized to levy using the 277
294	294	calculation that produces the lowest tax rate ceiling. It 278
295	295	is further the intent of the general assembly, pursuant to 279
296	296	the authority of Section 10(c) of Article X of the 280
297	297	Constitution of Missouri, that the provisions of such 281
298	298	section be applicable to tax rate revisions mandated 282
299	299	pursuant to Section 22 of Article X of the Constitution of 283
300	300	Missouri as to reestablishing tax rates as revised in 284
301	301	subsequent years, enforcement provisions, and other 285
302	302	provisions not in conflict with Section 22 of Article X of 286
303	303	the Constitution of Missouri. Annual tax rate reductions 287
304	304	provided in section 67.505 and section 164.013 shall be 288
305	305	applied to the tax rate as established pursuant to this 289
306	306	section and Section 22 of Articl e X of the Constitution of 290
307	307	Missouri, unless otherwise provided by law. 291
308	308	5. (1) In all political subdivisions, the tax rate 292
309	309	ceiling established pursuant to this section shall not be 293
310	310	increased unless approved by a vote of the people. Approval 294
311	311	of the higher tax rate shall be by at least a majority of 295
312	312	votes cast. When a proposed higher tax rate requires 296
313	313	approval by more than a simple majority pursuant to any 297
314	314	provision of law or the constitution, the tax rate increase 298
315	315	must receive approval by at least the majority required. 299
316	316	(2) When voters approve an increase in the tax rate, 300
317	317	the amount of the increase shall be added to the tax rate 301
318	318	ceiling as calculated pursuant to this section to the extent 302
319	319	the total rate does not exceed any maximum rat e prescribed 303
320	320	by law. If a ballot question presents a stated tax rate for 304
321	321	approval rather than describing the amount of increase in 305
322	322	the question, the stated tax rate approved shall be adjusted 306 SB 264 11
323	323	as provided in this section and, so adjusted, shall be the 307
324	324	current tax rate ceiling. The increased tax rate ceiling as 308
325	325	approved shall be adjusted such that when applied to the 309
326	326	current total assessed valuation of the political 310
327	327	subdivision, excluding new construction and improvements 311
328	328	since the date of the elec tion approving such increase, the 312
329	329	revenue derived from the adjusted tax rate ceiling is equal 313
330	330	to the sum of: the amount of revenue which would have been 314
331	331	derived by applying the voter -approved increased tax rate 315
332	332	ceiling to total assessed valuation of t he political 316
333	333	subdivision, as most recently certified by the city or 317
334	334	county clerk on or before the date of the election in which 318
335	335	such increase is approved, increased by the percentage 319
336	336	increase in the consumer price index, as provided by law. 320
337	337	Such adjusted tax rate ceiling may be applied to the total 321
338	338	assessed valuation of the political subdivision at the 322
339	339	setting of the next tax rate. If a ballot question presents 323
340	340	a phased-in tax rate increase, upon voter approval, each tax 324
341	341	rate increase shall be ad justed in the manner prescribed in 325
342	342	this section to yield the sum of: the amount of revenue 326
343	343	that would be derived by applying such voter -approved 327
344	344	increased rate to the total assessed valuation, as most 328
345	345	recently certified by the city or county clerk on or before 329
346	346	the date of the election in which such increase was 330
347	347	approved, increased by the percentage increase in the 331
348	348	consumer price index, as provided by law, from the date of 332
349	349	the election to the time of such increase and, so adjusted, 333
350	350	shall be the current tax rate ceiling. 334
351	351	(3) The governing body of any political subdivision 335
352	352	may levy a tax rate lower than its tax rate ceiling and may, 336
353	353	in a nonreassessment year, increase that lowered tax rate to 337
354	354	a level not exceeding the tax rate ceiling without voter 338 SB 264 12
355	355	approval in the manner provided under subdivision (4) of 339
356	356	this subsection. Nothing in this section shall be construed 340
357	357	as prohibiting a political subdivision from voluntarily 341
358	358	levying a tax rate lower than that which is required under 342
359	359	the provisions of this section or from seeking voter 343
360	360	approval of a reduction to such political subdivision's tax 344
361	361	rate ceiling. 345
362	362	(4) In a year of general reassessment, a governing 346
363	363	body whose tax rate is lower than its tax rate ceiling shall 347
364	364	revise its tax rate pursuant to the provisions of subsection 348
365	365	4 of this section as if its tax rate was at the tax rate 349
366	366	ceiling. In a year following general reassessment, if such 350
367	367	governing body intends to increase its tax rate, the 351
368	368	governing body shall conduct a public h earing, and in a 352
369	369	public meeting it shall adopt an ordinance, resolution, or 353
370	370	policy statement justifying its action prior to setting and 354
371	371	certifying its tax rate. The provisions of this subdivision 355
372	372	shall not apply to any political subdivision which levi es a 356
373	373	tax rate lower than its tax rate ceiling solely due to a 357
374	374	reduction required by law resulting from sales tax 358
375	375	collections. The provisions of this subdivision shall not 359
376	376	apply to any political subdivision which has received voter 360
377	377	approval for an increase to its tax rate ceiling subsequent 361
378	378	to setting its most recent tax rate. 362
379	379	6. (1) For the purposes of calculating state aid for 363
380	380	public schools pursuant to section 163.031, each taxing 364
381	381	authority which is a school district shall determine its 365
382	382	proposed tax rate as a blended rate of the classes or 366
383	383	subclasses of property. Such blended rate shall be 367
384	384	calculated by first determining the total tax revenue of the 368
385	385	property within the jurisdiction of the taxing authority, 369
386	386	which amount shall be equal to the sum of the products of 370 SB 264 13
387	387	multiplying the assessed valuation of each class and 371
388	388	subclass of property by the corresponding tax rate for such 372
389	389	class or subclass, then dividing the total tax revenue by 373
390	390	the total assessed valuation of the same jurisdicti on, and 374
391	391	then multiplying the resulting quotient by a factor of one 375
392	392	hundred. Where the taxing authority is a school district, 376
393	393	such blended rate shall also be used by such school district 377
394	394	for calculating revenue from state -assessed railroad and 378
395	395	utility property as defined in chapter 151 and for 379
396	396	apportioning the tax rate by purpose. 380
397	397	(2) Each taxing authority proposing to levy a tax rate 381
398	398	in any year shall notify the clerk of the county commission 382
399	399	in the county or counties where the tax rate appli es of its 383
400	400	tax rate ceiling and its proposed tax rate. Each taxing 384
401	401	authority shall express its proposed tax rate in a fraction 385
402	402	equal to the nearest one -tenth of a cent, unless its 386
403	403	proposed tax rate is in excess of one dollar, then one/one - 387
404	404	hundredth of a cent. If a taxing authority shall round to 388
405	405	one/one-hundredth of a cent, it shall round up a fraction 389
406	406	greater than or equal to five/one -thousandth of one cent to 390
407	407	the next higher one/one -hundredth of a cent; if a taxing 391
408	408	authority shall round to one -tenth of a cent, it shall round 392
409	409	up a fraction greater than or equal to five/one -hundredths 393
410	410	of a cent to the next higher one -tenth of a cent. Any 394
411	411	taxing authority levying a property tax rate shall provide 395
412	412	data, in such form as shall be prescribed by the state 396
413	413	auditor by rule, substantiating such tax rate complies with 397
414	414	Missouri law. All forms for the calculation of rates 398
415	415	pursuant to this section shall be promulgated as a rule and 399
416	416	shall not be incorporated by reference. The state auditor 400
417	417	shall promulgate rules for any and all forms for the 401
418	418	calculation of rates pursuant to this section which do not 402 SB 264 14
419	419	currently exist in rule form or that have been incorporated 403
420	420	by reference. In addition, each taxing authority proposing 404
421	421	to levy a tax rate for debt ser vice shall provide data, in 405
422	422	such form as shall be prescribed by the state auditor by 406
423	423	rule, substantiating the tax rate for debt service complies 407
424	424	with Missouri law. A tax rate proposed for annual debt 408
425	425	service requirements will be prima facie valid if, after 409
426	426	making the payment for which the tax was levied, bonds 410
427	427	remain outstanding and the debt fund reserves do not exceed 411
428	428	the following year's payments. The county clerk shall keep 412
429	429	on file and available for public inspection all such 413
430	430	information for a period of three years. The clerk shall, 414
431	431	within three days of receipt, forward a copy of the notice 415
432	432	of a taxing authority's tax rate ceiling and proposed tax 416
433	433	rate and any substantiating data to the state auditor. The 417
434	434	state auditor shall, within fifte en days of the date of 418
435	435	receipt, examine such information and return to the county 419
436	436	clerk his or her findings as to compliance of the tax rate 420
437	437	ceiling with this section and as to compliance of any 421
438	438	proposed tax rate for debt service with Missouri law. If 422
439	439	the state auditor believes that a taxing authority's 423
440	440	proposed tax rate does not comply with Missouri law, then 424
441	441	the state auditor's findings shall include a recalculated 425
442	442	tax rate, and the state auditor may request a taxing 426
443	443	authority to submit document ation supporting such taxing 427
444	444	authority's proposed tax rate. The county clerk shall 428
445	445	immediately forward a copy of the auditor's findings to the 429
446	446	taxing authority and shall file a copy of the findings with 430
447	447	the information received from the taxing authori ty. The 431
448	448	taxing authority shall have fifteen days from the date of 432
449	449	receipt from the county clerk of the state auditor's 433
450	450	findings and any request for supporting documentation to 434 SB 264 15
451	451	accept or reject in writing the rate change certified by the 435
452	452	state auditor and to submit all requested information to the 436
453	453	state auditor. A copy of the taxing authority's acceptance 437
454	454	or rejection and any information submitted to the state 438
455	455	auditor shall also be mailed to the county clerk. If a 439
456	456	taxing authority rejects a rate change certified by the 440
457	457	state auditor and the state auditor does not receive 441
458	458	supporting information which justifies the taxing 442
459	459	authority's original or any subsequent proposed tax rate, 443
460	460	then the state auditor shall refer the perceived violations 444
461	461	of such taxing authority to the attorney general's office 445
462	462	and the attorney general is authorized to obtain injunctive 446
463	463	relief to prevent the taxing authority from levying a 447
464	464	violative tax rate. 448
465	465	(3) In the event that the taxing authority incorrectly 449
466	466	completes the forms created and promulgated under 450
467	467	subdivision (2) of this subsection, or makes a clerical 451
468	468	error, the taxing authority may submit amended forms with an 452
469	469	explanation for the needed changes. If such amended forms 453
470	470	are filed under regulations pre scribed by the state auditor, 454
471	471	the state auditor shall take into consideration such amended 455
472	472	forms for the purposes of this subsection. 456
473	473	7. No tax rate shall be extended on the tax rolls by 457
474	474	the county clerk unless the political subdivision has 458
475	475	complied with the foregoing provisions of this section. 459
476	476	8. Whenever a taxpayer has cause to believe that a 460
477	477	taxing authority has not complied with the provisions of 461
478	478	this section, the taxpayer may make a formal complaint with 462
479	479	the prosecuting attorney of the county. Where the 463
480	480	prosecuting attorney fails to bring an action within ten 464
481	481	days of the filing of the complaint, the taxpayer may bring 465
482	482	a civil action pursuant to this section and institute an 466 SB 264 16
483	483	action as representative of a class of all taxpayers wi thin 467
484	484	a taxing authority if the class is so numerous that joinder 468
485	485	of all members is impracticable, if there are questions of 469
486	486	law or fact common to the class, if the claims or defenses 470
487	487	of the representative parties are typical of the claims or 471
488	488	defenses of the class, and if the representative parties 472
489	489	will fairly and adequately protect the interests of the 473
490	490	class. In any class action maintained pursuant to this 474
491	491	section, the court may direct to the members of the class a 475
492	492	notice to be published at least once each week for four 476
493	493	consecutive weeks in a newspaper of general circulation 477
494	494	published in the county where the civil action is commenced 478
495	495	and in other counties within the jurisdiction of a taxing 479
496	496	authority. The notice shall advise each member that t he 480
497	497	court will exclude him or her from the class if he or she so 481
498	498	requests by a specified date, that the judgment, whether 482
499	499	favorable or not, will include all members who do not 483
500	500	request exclusion, and that any member who does not request 484
501	501	exclusion may, if he or she desires, enter an appearance. 485
502	502	In any class action brought pursuant to this section, the 486
503	503	court, in addition to the relief requested, shall assess 487
504	504	against the taxing authority found to be in violation of 488
505	505	this section the reasonable costs of bringing the action, 489
506	506	including reasonable attorney's fees, provided no attorney's 490
507	507	fees shall be awarded any attorney or association of 491
508	508	attorneys who receive public funds from any source for their 492
509	509	services. Any action brought pursuant to this section s hall 493
510	510	be set for hearing as soon as practicable after the cause is 494
511	511	at issue. 495
512	512	9. If in any action, including a class action, the 496
513	513	court issues an order requiring a taxing authority to revise 497
514	514	the tax rates as provided in this section or enjoins a 498 SB 264 17
515	515	taxing authority from the collection of a tax because of its 499
516	516	failure to revise the rate of levy as provided in this 500
517	517	section, any taxpayer paying his or her taxes when an 501
518	518	improper rate is applied has erroneously paid his or her 502
519	519	taxes in part, whether or n ot the taxes are paid under 503
520	520	protest as provided in section 139.031 or otherwise 504
521	521	contested. The part of the taxes paid erroneously is the 505
522	522	difference in the amount produced by the original levy and 506
523	523	the amount produced by the revised levy. The township or 507
524	524	county collector of taxes or the collector of taxes in any 508
525	525	city shall refund the amount of the tax erroneously paid. 509
526	526	The taxing authority refusing to revise the rate of levy as 510
527	527	provided in this section shall make available to the 511
528	528	collector all funds necessary to make refunds pursuant to 512
529	529	this subsection. No taxpayer shall receive any interest on 513
530	530	any money erroneously paid by him or her pursuant to this 514
531	531	subsection. Effective in the 1994 tax year, nothing in this 515
532	532	section shall be construed to re quire a taxing authority to 516
533	533	refund any tax erroneously paid prior to or during the third 517
534	534	tax year preceding the current tax year. 518
535	535	10. Any rule or portion of a rule, as that term is 519
536	536	defined in section 536.010, that is created under the 520
537	537	authority delegated in this section shall become effective 521
538	538	only if it complies with and is subject to all of the 522
539	539	provisions of chapter 536 and, if applicable, section 523
540	540	536.028. This section and chapter 536 are nonseverable and 524
541	541	if any of the powers vested with the general assembly 525
542	542	pursuant to chapter 536 to review, to delay the effective 526
543	543	date, or to disapprove and annul a rule are subsequently 527
544	544	held unconstitutional, then the grant of rulemaking 528
545	545	authority and any rule proposed or adopted after August 28, 529
546	546	2004, shall be invalid and void. 530 SB 264 18
547	547	137.115. 1. All other laws to the contrary 1
548	548	notwithstanding, the assessor or the assessor's deputies in 2
549	549	all counties of this state including the City of St. Louis 3
550	550	shall annually make a list of all real and tangible personal 4
551	551	property taxable in the assessor's city, county, town or 5
552	552	district. Except as otherwise provided in subsection 3 of 6
553	553	this section and section 137.078, for all calendar years 7
554	554	ending on or before December 31, 2025, the assessor shall 8
555	555	annually assess all personal property at thirty -three and 9
556	556	one-third percent of its true value in money as of January 10
557	557	first of each calendar year. Except as otherwise provided 11
558	558	in subsection 3 of this section and section 137.078, for all 12
559	559	calendar years beginning on or after January 1, 2026, the 13
560	560	assessor shall annually assess all personal property at 14
561	561	thirty percent of its true value in money as of January 15
562	562	first of each calendar year. The assessor shall annually 16
563	563	assess all real property, including any ne w construction and 17
564	564	improvements to real property, and possessory interests in 18
565	565	real property at the percent of its true value in money set 19
566	566	in subsection 5 of this section. The true value in money of 20
567	567	any possessory interest in real property in subclass (3), 21
568	568	where such real property is on or lies within the ultimate 22
569	569	airport boundary as shown by a federal airport layout plan, 23
570	570	as defined by 14 CFR 151.5, of a commercial airport having a 24
571	571	FAR Part 139 certification and owned by a political 25
572	572	subdivision, shall be the otherwise applicable true value in 26
573	573	money of any such possessory interest in real property, less 27
574	574	the total dollar amount of costs paid by a party, other than 28
575	575	the political subdivision, towards any new construction or 29
576	576	improvements on such rea l property completed after January 30
577	577	1, 2008, and which are included in the above -mentioned 31
578	578	possessory interest, regardless of the year in which such 32 SB 264 19
579	579	costs were incurred or whether such costs were considered in 33
580	580	any prior year. The assessor shall annuall y assess all real 34
581	581	property in the following manner: new assessed values shall 35
582	582	be determined as of January first of each odd -numbered year 36
583	583	and shall be entered in the assessor's books; those same 37
584	584	assessed values shall apply in the following even -numbered 38
585	585	year, except for new construction and property improvements 39
586	586	which shall be valued as though they had been completed as 40
587	587	of January first of the preceding odd -numbered year. The 41
588	588	assessor may call at the office, place of doing business, or 42
589	589	residence of each person required by this chapter to list 43
590	590	property, and require the person to make a correct statement 44
591	591	of all taxable tangible personal property owned by the 45
592	592	person or under his or her care, charge or management, 46
593	593	taxable in the county. On or before January first of each 47
594	594	even-numbered year, the assessor shall prepare and submit a 48
595	595	two-year assessment maintenance plan to the county governing 49
596	596	body and the state tax commission for their respective 50
597	597	approval or modification. The county governing bod y shall 51
598	598	approve and forward such plan or its alternative to the plan 52
599	599	to the state tax commission by February first. If the 53
600	600	county governing body fails to forward the plan or its 54
601	601	alternative to the plan to the state tax commission by 55
602	602	February first, the assessor's plan shall be considered 56
603	603	approved by the county governing body. If the state tax 57
604	604	commission fails to approve a plan and if the state tax 58
605	605	commission and the assessor and the governing body of the 59
606	606	county involved are unable to resolve the differences, in 60
607	607	order to receive state cost -share funds outlined in section 61
608	608	137.750, the county or the assessor shall petition the 62
609	609	administrative hearing commission, by May first, to decide 63
610	610	all matters in dispute regarding the assessment maintenance 64 SB 264 20
611	611	plan. Upon agreement of the parties, the matter may be 65
612	612	stayed while the parties proceed with mediation or 66
613	613	arbitration upon terms agreed to by the parties. The final 67
614	614	decision of the administrative hearing commission shall be 68
615	615	subject to judicial review in the circuit court of the 69
616	616	county involved. In the event a valuation of subclass (1) 70
617	617	real property within any county with a charter form of 71
618	618	government, or within a city not within a county, is made by 72
619	619	a computer, computer -assisted method or a compute r program, 73
620	620	the burden of proof, supported by clear, convincing and 74
621	621	cogent evidence to sustain such valuation, shall be on the 75
622	622	assessor at any hearing or appeal. In any such county, 76
623	623	unless the assessor proves otherwise, there shall be a 77
624	624	presumption that the assessment was made by a computer, 78
625	625	computer-assisted method or a computer program. Such 79
626	626	evidence shall include, but shall not be limited to, the 80
627	627	following: 81
628	628	(1) The findings of the assessor based on an appraisal 82
629	629	of the property by generall y accepted appraisal techniques; 83
630	630	and 84
631	631	(2) The purchase prices from sales of at least three 85
632	632	comparable properties and the address or location thereof. 86
633	633	As used in this subdivision, the word "comparable" means 87
634	634	that: 88
635	635	(a) Such sale was closed at a date relevant to the 89
636	636	property valuation; and 90
637	637	(b) Such properties are not more than one mile from 91
638	638	the site of the disputed property, except where no similar 92
639	639	properties exist within one mile of the disputed property, 93
640	640	the nearest comparable prope rty shall be used. Such 94
641	641	property shall be within five hundred square feet in size of 95
642	642	the disputed property, and resemble the disputed property in 96 SB 264 21
643	643	age, floor plan, number of rooms, and other relevant 97
644	644	characteristics. 98
645	645	2. Assessors in each county o f this state and the City 99
646	646	of St. Louis may send personal property assessment forms 100
647	647	through the mail. 101
648	648	3. The following items of personal property shall each 102
649	649	constitute separate subclasses of tangible personal property 103
650	650	and shall be assessed and val ued for the purposes of 104
651	651	taxation at the following percentages of their true value in 105
652	652	money: 106
653	653	(1) Grain and other agricultural crops in an 107
654	654	unmanufactured condition, one -half of one percent; 108
655	655	(2) Livestock, twelve percent; 109
656	656	(3) Farm machinery, twelve percent; 110
657	657	(4) Motor vehicles which are eligible for registration 111
658	658	as and are registered as historic motor vehicles pursuant to 112
659	659	section 301.131 and aircraft which are at least twenty -five 113
660	660	years old and which are used solely for noncommerci al 114
661	661	purposes and are operated less than two hundred hours per 115
662	662	year or aircraft that are home built from a kit, five 116
663	663	percent; 117
664	664	(5) Poultry, twelve percent; and 118
665	665	(6) Tools and equipment used for pollution control and 119
666	666	tools and equipment used in retooling for the purpose of 120
667	667	introducing new product lines or used for making 121
668	668	improvements to existing products by any company which is 122
669	669	located in a state enterprise zone and which is identified 123
670	670	by any standard industrial classification number cited in 124
671	671	subdivision (7) of section 135.200, twenty -five percent. 125
672	672	4. The person listing the property shall enter a true 126
673	673	and correct statement of the property, in a printed blank 127
674	674	prepared for that purpose. The statement, after being 128 SB 264 22
675	675	filled out, shall be signed and either affirmed or sworn to 129
676	676	as provided in section 137.155. The list shall then be 130
677	677	delivered to the assessor. 131
678	678	5. (1) All subclasses of real property, as such 132
679	679	subclasses are established in Section 4(b) of Article X of 133
680	680	the Missouri Constitution and defined in section 137.016, 134
681	681	shall be assessed at the following percentages of true value: 135
682	682	(a) For real property in subclass (1), nineteen 136
683	683	percent; 137
684	684	(b) For real property in subclass (2), twelve percent; 138
685	685	and 139
686	686	(c) For real property in subclass (3), thirty -two 140
687	687	percent. 141
688	688	(2) A taxpayer may apply to the county assessor, or, 142
689	689	if not located within a county, then the assessor of such 143
690	690	city, for the reclassification of such taxpayer's real 144
691	691	property if the use or purpose of su ch real property is 145
692	692	changed after such property is assessed under the provisions 146
693	693	of this chapter. If the assessor determines that such 147
694	694	property shall be reclassified, he or she shall determine 148
695	695	the assessment under this subsection based on the percenta ge 149
696	696	of the tax year that such property was classified in each 150
697	697	subclassification. 151
698	698	6. Manufactured homes, as defined in section 700.010, 152
699	699	which are actually used as dwelling units shall be assessed 153
700	700	at the same percentage of true value as residential real 154
701	701	property for the purpose of taxation. The percentage of 155
702	702	assessment of true value for such manufactured homes shall 156
703	703	be the same as for residential real property. If the county 157
704	704	collector cannot identify or find the manufactured home when 158
705	705	attempting to attach the manufactured home for payment of 159
706	706	taxes owed by the manufactured home owner, the county 160 SB 264 23
707	707	collector may request the county commission to have the 161
708	708	manufactured home removed from the tax books, and such 162
709	709	request shall be granted within thirt y days after the 163
710	710	request is made; however, the removal from the tax books 164
711	711	does not remove the tax lien on the manufactured home if it 165
712	712	is later identified or found. For purposes of this section, 166
713	713	a manufactured home located in a manufactured home rental 167
714	714	park, rental community or on real estate not owned by the 168
715	715	manufactured home owner shall be considered personal 169
716	716	property. For purposes of this section, a manufactured home 170
717	717	located on real estate owned by the manufactured home owner 171
718	718	may be considered real property. 172
719	719	7. Each manufactured home assessed shall be considered 173
720	720	a parcel for the purpose of reimbursement pursuant to 174
721	721	section 137.750, unless the manufactured home is deemed to 175
722	722	be real estate as defined in subsection 7 of section 442.015 176
723	723	and assessed as a realty improvement to the existing real 177
724	724	estate parcel. 178
725	725	8. Any amount of tax due and owing based on the 179
726	726	assessment of a manufactured home shall be included on the 180
727	727	personal property tax statement of the manufactured home 181
728	728	owner unless the manufactured home is deemed to be real 182
729	729	estate as defined in subsection 7 of section 442.015, in 183
730	730	which case the amount of tax due and owing on the assessment 184
731	731	of the manufactured home as a realty improvement to the 185
732	732	existing real estate parcel shall be included on the real 186
733	733	property tax statement of the real estate owner. 187
734	734	9. The assessor of each county and each city not 188
735	735	within a county shall use [the trade-in value published in 189
736	736	the October issue of ] a nationally recognized automotive 190
737	737	trade publication such as the National Automobile Dealers' 191
738	738	Association Official Used Car Guide, [or its successor 192 SB 264 24
739	739	publication] Kelley Blue Book, Edmunds , or other similar 193
740	740	publication as the recommended guide of information for 194
741	741	determining the true value of mo tor vehicles described in 195
742	742	such publication. The state tax commission shall determine 196
743	743	which publication shall be used. The assessor of each 197
744	744	county and each city not within a county shall use the trade - 198
745	745	in value published in the current or any of the th ree 199
746	746	immediately previous years' October issue of the publication 200
747	747	selected by the state tax commission. The assessor shall 201
748	748	not use a value that is greater than the average trade -in 202
749	749	value in determining the true value of the motor vehicle 203
750	750	without performing a physical inspection of the motor 204
751	751	vehicle. For vehicles two years old or newer from a 205
752	752	vehicle's model year, the assessor may use a value other 206
753	753	than average without performing a physical inspection of the 207
754	754	motor vehicle. In the absence of a list ing for a particular 208
755	755	motor vehicle in such publication, the assessor shall use 209
756	756	such information or publications which in the assessor's 210
757	757	judgment will fairly estimate the true value in money of the 211
758	758	motor vehicle. 212
759	759	10. Before the assessor may increa se the assessed 213
760	760	valuation of any parcel of subclass (1) real property by 214
761	761	more than fifteen percent since the last assessment, 215
762	762	excluding increases due to new construction or improvements, 216
763	763	the assessor shall conduct a physical inspection of such 217
764	764	property. 218
765	765	11. If a physical inspection is required, pursuant to 219
766	766	subsection 10 of this section, the assessor shall notify the 220
767	767	property owner of that fact in writing and shall provide the 221
768	768	owner clear written notice of the owner's rights relating to 222
769	769	the physical inspection. If a physical inspection is 223
770	770	required, the property owner may request that an interior 224 SB 264 25
771	771	inspection be performed during the physical inspection. The 225
772	772	owner shall have no less than thirty days to notify the 226
773	773	assessor of a request for an interior physical inspection. 227
774	774	12. A physical inspection, as required by subsection 228
775	775	10 of this section, shall include, but not be limited to, an 229
776	776	on-site personal observation and review of all exterior 230
777	777	portions of the land and any buildings and impr ovements to 231
778	778	which the inspector has or may reasonably and lawfully gain 232
779	779	external access, and shall include an observation and review 233
780	780	of the interior of any buildings or improvements on the 234
781	781	property upon the timely request of the owner pursuant to 235
782	782	subsection 11 of this section. Mere observation of the 236
783	783	property via a drive -by inspection or the like shall not be 237
784	784	considered sufficient to constitute a physical inspection as 238
785	785	required by this section. 239
786	786	13. A county or city collector may accept credit cards 240
787	787	as proper form of payment of outstanding property tax or 241
788	788	license due. No county or city collector may charge 242
789	789	surcharge for payment by credit card which exceeds the fee 243
790	790	or surcharge charged by the credit card bank, processor, or 244
791	791	issuer for its service. A county or city collector may 245
792	792	accept payment by electronic transfers of funds in payment 246
793	793	of any tax or license and charge the person making such 247
794	794	payment a fee equal to the fee charged the county by the 248
795	795	bank, processor, or issuer of such elec tronic payment. 249
796	796	14. Any county or city not within a county in this 250
797	797	state may, by an affirmative vote of the governing body of 251
798	798	such county, opt out of the provisions of this section and 252
799	799	sections 137.073, 138.060, and 138.100 as enacted by house 253
800	800	bill no. 1150 of the ninety -first general assembly, second 254
801	801	regular session and section 137.073 as modified by house 255
802	802	committee substitute for senate substitute for senate 256 SB 264 26
803	803	committee substitute for senate bill no. 960, ninety -second 257
804	804	general assembly, second regular session, for the next year 258
805	805	of the general reassessment, prior to January first of any 259
806	806	year. No county or city not within a county shall exercise 260
807	807	this opt-out provision after implementing the provisions of 261
808	808	this section and sections 137.073, 13 8.060, and 138.100 as 262
809	809	enacted by house bill no. 1150 of the ninety -first general 263
810	810	assembly, second regular session and section 137.073 as 264
811	811	modified by house committee substitute for senate substitute 265
812	812	for senate committee substitute for senate bill no. 96 0, 266
813	813	ninety-second general assembly, second regular session, in a 267
814	814	year of general reassessment. For the purposes of applying 268
815	815	the provisions of this subsection, a political subdivision 269
816	816	contained within two or more counties where at least one of 270
817	817	such counties has opted out and at least one of such 271
818	818	counties has not opted out shall calculate a single tax rate 272
819	819	as in effect prior to the enactment of house bill no. 1150 273
820	820	of the ninety-first general assembly, second regular 274
821	821	session. A governing body of a ci ty not within a county or 275
822	822	a county that has opted out under the provisions of this 276
823	823	subsection may choose to implement the provisions of this 277
824	824	section and sections 137.073, 138.060, and 138.100 as 278
825	825	enacted by house bill no. 1150 of the ninety -first general 279
826	826	assembly, second regular session, and section 137.073 as 280
827	827	modified by house committee substitute for senate substitute 281
828	828	for senate committee substitute for senate bill no. 960, 282
829	829	ninety-second general assembly, second regular session, for 283
830	830	the next year of general reassessment, by an affirmative 284
831	831	vote of the governing body prior to December thirty -first of 285
832	832	any year. 286
833	833	15. The governing body of any city of the third 287
834	834	classification with more than twenty -six thousand three 288 SB 264 27
835	835	hundred but fewer than twent y-six thousand seven hundred 289
836	836	inhabitants located in any county that has exercised its 290
837	837	authority to opt out under subsection 14 of this section may 291
838	838	levy separate and differing tax rates for real and personal 292
839	839	property only if such city bills and collects its own 293
840	840	property taxes or satisfies the entire cost of the billing 294
841	841	and collection of such separate and differing tax rates. 295
842	842	Such separate and differing rates shall not exceed such 296
843	843	city's tax rate ceiling. 297
844	844	16. Any portion of real property that i s available as 298
845	845	reserve for strip, surface, or coal mining for minerals for 299
846	846	purposes of excavation for future use or sale to others that 300
847	847	has not been bonded and permitted under chapter 444 shall be 301
848	848	assessed based upon how the real property is currently being 302
849	849	used. Any information provided to a county assessor, state 303
850	850	tax commission, state agency, or political subdivision 304
851	851	responsible for the administration of tax policies shall, in 305
852	852	the performance of its duties, make available all books, 306
853	853	records, and information requested, except such books, 307
854	854	records, and information as are by law declared confidential 308
855	855	in nature, including individually identifiable information 309
856	856	regarding a specific taxpayer or taxpayer's mine property. 310
857	857	For purposes of this subsecti on, "mine property" shall mean 311
858	858	all real property that is in use or readily available as a 312
859	859	reserve for strip, surface, or coal mining for minerals for 313
860	860	purposes of excavation for current or future use or sale to 314
861	861	others that has been bonded and permitted under chapter 444. 315
862	862	