HOUSE BILL NO. 1359 103RD GENERAL ASSEMBLY
INTRODUCED BY REPRESENTATIVE CATON.
2824H.01I JOSEPH ENGLER, Chief Clerk
AN ACT To repeal section 94.900, RSMo, and to enact in lieu thereof one new section relating to public safety sales taxes.
Be it enacted by the General Assembly of the state of Missouri, as follows:
Section A. Section 94.900, RSMo, is repealed and one new section enacted in lieu 2 thereof, to be known as section 94.900, to read as follows: 94.900. 1. (1) The governing body of the following cities may impose a tax as 2 provided in this section: 3 (a) Any city of the third classification with more than ten thousand eight hundred but 4 less than ten thousand nine hundred inhabitants located at least partly within a county of the 5 first classification with more than one hundred eighty-four thousand but less than one 6 hundred eighty-eight thousand inhabitants; 7 (b) Any city of the fourth classification with more than four thousand five hundred 8 but fewer than five thousand inhabitants; 9 (c) Any city of the fourth classification with more than eight thousand nine hundred 10 but fewer than nine thousand inhabitants; 11 (d) Any home rule city with more than forty-eight thousand but fewer than forty-nine 12 thousand inhabitants; 13 (e) Any home rule city with more than seventy-three thousand but fewer than 14 seventy-five thousand inhabitants; 15 (f) Any city of the fourth classification with more than thirteen thousand five hundred 16 but fewer than sixteen thousand inhabitants;
EXPLANATION — Matter enclosed in bold-faced brackets [thus] in the above bill is not enacted and is intended to be omitted from the law. Matter in bold-face type in the above bill is proposed language. HB 1359 2
17 (g) Any city of the fourth classification with more than seven thousand but fewer than 18 eight thousand inhabitants; 19 (h) Any city of the fourth classification with more than four thousand but fewer than 20 four thousand five hundred inhabitants and located in any county of the first classification 21 with more than one hundred fifty thousand but fewer than two hundred thousand inhabitants; 22 (i) Any city of the third classification with more than thirteen thousand but fewer than 23 fifteen thousand inhabitants and located in any county of the third classification without a 24 township form of government and with more than thirty-three thousand but fewer than thirty- 25 seven thousand inhabitants; 26 (j) Any city of the fourth classification with more than three thousand but fewer than 27 three thousand three hundred inhabitants and located in any county of the third classification 28 without a township form of government and with more than eighteen thousand but fewer than 29 twenty thousand inhabitants and that is not the county seat of such county; 30 (k) Any city with more than ten thousand but fewer than eleven thousand inhabitants 31 and partially located in a county with more than two hundred thirty thousand but fewer than 32 two hundred sixty thousand inhabitants; 33 (l) Any city with more than four thousand nine hundred but fewer than five thousand 34 six hundred inhabitants and located in a county with more than thirty thousand but fewer than 35 thirty-five thousand inhabitants; [or] 36 (m) Any city with more than twelve thousand five hundred but fewer than fourteen 37 thousand inhabitants and that is the county seat of a county with more than twenty-two 38 thousand but fewer than twenty-five thousand inhabitants; or 39 (n) Any city with more than two thousand one hundred fifty but fewer than two 40 thousand four hundred inhabitants and located in a county with more than seven 41 hundred thousand but fewer than eight hundred thousand inhabitants. 42 (2) The governing body of any city listed in subdivision (1) of this subsection is 43 hereby authorized to impose, by ordinance or order, a sales tax in the amount of up to one-half 44 of one percent on all retail sales made in such city which are subject to taxation under the 45 provisions of sections 144.010 to 144.525 for the purpose of improving the public safety for 46 such city, which shall be limited to expenditures on equipment, salaries and benefits, and 47 facilities for police, fire and emergency medical providers. The tax authorized by this section 48 shall be in addition to any and all other sales taxes allowed by law, except that no ordinance or 49 order imposing a sales tax pursuant to the provisions of this section shall be effective unless 50 the governing body of the city submits to the voters of the city, at a county or state general, 51 primary or special election, a proposal to authorize the governing body of the city to impose a 52 tax. HB 1359 3
53 2. If the proposal submitted involves only authorization to impose the tax authorized 54 by this section, the ballot of submission shall contain, but need not be limited to, the 55 following language: 56 Shall the city of _________ (city's name) impose a citywide sales 57 tax of _________ (insert amount) for the purpose of improving 58 the public safety of the city? 59 ☐ YES ☐ NO 60 If you are in favor of the question, place an "X" in the box 61 opposite "YES". If you are opposed to the question, place an "X" 62 in the box opposite "NO". 63 64 If a majority of the votes cast on the proposal by the qualified voters voting thereon are in 65 favor of the proposal submitted pursuant to this subsection, then the ordinance or order and 66 any amendments thereto shall be in effect on the first day of the second calendar quarter after 67 the director of revenue receives notification of adoption of the local sales tax. If a proposal 68 receives less than the required majority, then the governing body of the city shall have no 69 power to impose the sales tax herein authorized unless and until the governing body of the 70 city shall again have submitted another proposal to authorize the governing body of the city to 71 impose the sales tax authorized by this section and such proposal is approved by the required 72 majority of the qualified voters voting thereon. However, in no event shall a proposal 73 pursuant to this section be submitted to the voters sooner than twelve months from the date of 74 the last proposal pursuant to this section. 75 3. All revenue received by a city from the tax authorized under the provisions of this 76 section shall be deposited in a special trust fund and shall be used solely for improving the 77 public safety for such city for so long as the tax shall remain in effect. 78 4. Once the tax authorized by this section is abolished or is terminated by any means, 79 all funds remaining in the special trust fund shall be used solely for improving the public 80 safety for the city. Any funds in such special trust fund which are not needed for current 81 expenditures may be invested by the governing body in accordance with applicable laws 82 relating to the investment of other city funds. 83 5. All sales taxes collected by the director of the department of revenue under this 84 section on behalf of any city, less one percent for cost of collection which shall be deposited 85 in the state's general revenue fund after payment of premiums for surety bonds as provided in 86 section 32.087, shall be deposited in a special trust fund, which is hereby created, to be 87 known as the "City Public Safety Sales Tax Trust Fund". The moneys in the trust fund shall 88 not be deemed to be state funds and shall not be commingled with any funds of the state. The 89 provisions of section 33.080 to the contrary notwithstanding, money in this fund shall not be HB 1359 4
90 transferred and placed to the credit of the general revenue fund. The director of the 91 department of revenue shall keep accurate records of the amount of money in the trust and 92 which was collected in each city imposing a sales tax pursuant to this section, and the records 93 shall be open to the inspection of officers of the city and the public. Not later than the tenth 94 day of each month the director of the department of revenue shall distribute all moneys 95 deposited in the trust fund during the preceding month to the city which levied the tax; such 96 funds shall be deposited with the city treasurer of each such city, and all expenditures of funds 97 arising from the trust fund shall be by an appropriation act to be enacted by the governing 98 body of each such city. Expenditures may be made from the fund for any functions 99 authorized in the ordinance or order adopted by the governing body submitting the tax to the 100 voters. 101 6. The director of the department of revenue may make refunds from the amounts in 102 the trust fund and credited to any city for erroneous payments and overpayments made, and 103 may redeem dishonored checks and drafts deposited to the credit of such cities. If any city 104 abolishes the tax, the city shall notify the director of the department of revenue of the action at 105 least ninety days prior to the effective date of the repeal and the director of the department of 106 revenue may order retention in the trust fund, for a period of one year, of two percent of the 107 amount collected after receipt of such notice to cover possible refunds or overpayment of the 108 tax and to redeem dishonored checks and drafts deposited to the credit of such accounts. 109 After one year has elapsed after the effective date of abolition of the tax in such city, the 110 director of the department of revenue shall remit the balance in the account to the city and 111 close the account of that city. The director of the department of revenue shall notify each city 112 of each instance of any amount refunded or any check redeemed from receipts due the city. 113 7. Except as modified in this section, all provisions of sections 32.085 and 32.087 114 shall apply to the tax imposed pursuant to this section. 115 8. If any city in subsection 1 of this section enacts the tax authorized in this section, 116 the city shall budget an amount to public safety that is no less than the amount budgeted in the 117 year immediately preceding the enactment of the tax. The revenue from the tax shall 118 supplement and not replace amounts budgeted by the city. ✔
Statutes affected: