ISSUANCE OF BONDS BY POLITICAL SUBDIVISIONS

(Section 67.095)

This provision requires political subdivisions to hold a public hearing on pledging future appropriations to back the political subdivision's bonds, before the political subdivision issues the bond. Notice of the hearing must be published twice in the newspaper. This notice must inform the public that there may be positive and negative results from issuing the bond. Political subdivisions will not be required to hold this hearing or publish this notice if they have enacted a policy pursuant to their charter or other ballot measure approved by the voters on the use of debt and that policy has particular components.

NEIGHBORHOOD IMPROVEMENT DISTRICT SPECIAL ASSESSMENTS

(Section 67.463)

Currently, the Boone County county collector is authorized to collect a fee when collecting special assessments for Neighborhood Improvement Districts. This act allows county collectors in any county to collect this fee.

This provision is similar to a provision of HB 1592 (2012).

(Section 67.469)

This act also expands the existing law that allows liens against property to be foreclosed for failure to pay Neighborhood Improvement district special assessments, so that first class counties and the city of St. Louis may also foreclose on these liens by a land tax sale under the provisions of law that govern land tax sales in those counties.

This provision is similar to a provision of HB 1592 (2012).

ECONOMIC DEVELOPMENT TAX BOARDS

(Section 67.1305)

This act allows a city that adopts or has already adopted a local option economic development sales tax to increase the number of members on the economic development tax board. The city will designate by order or ordinance whether the board has five or nine members. If the city designates a nine member board, the area school districts and the county will each appoint one new member to the board, and the city will appoint two new members to the board. The act also specifies how the board members terms are staggered.

This provision is similar to a provision of HB 1455 (2012) and identical to a provision of SCS/HCS/HB 1623 (2012) and SB 845 (2012).

TAX INCENTIVES TO ATTRACT SPORTING EVENTS

(Sections 67.3000 and 67.3005)

The act creates a refundable income and financial institutions tax credit which may be available for sports commissions, convention and visitors bureaus, certain nonprofit organizations, counties, and municipalities to offset expenses incurred in attracting sporting events to the state. Applicants for the tax credit must submit game support contracts to the Department of Economic Development for approval. The tax credit will be equal to the lesser of five dollars for each admission ticket sold for the event or one hundred percent of eligible expenses incurred. No more than three million dollars in tax credits may be issued per fiscal year. The tax credits are fully transferrable, provided a notarized endorsement is filed with the Department of Economic Development. The Department of Economic Development is prohibited from certifying game support contracts after August 28, 2017, but may certify game support contracts prior to such date which pertain to games to be held after August 28, 2017.

The act also creates an income, financial institutions, and corporate franchise tax credit equal to fifty percent of the amount of an eligible donation made, on or after January 1, 2012, to a certified sponsor or local organizing committee for the purposes of attracting sporting events to the state. The tax credit may not be applied against withholding taxes. The tax credit is non-refundable, but may be carried forward four years. The tax credit is transferable. Certified sponsors and local organizing committees may apply to the Department of Economic Development for the tax credits. Applications for tax credits must be accompanied by payment in an amount equal to the tax credits requested. The Department of Economic Development is prohibited from issuing more than ten million dollars in tax credits each fiscal year. The provisions of this act shall automatically sunset six years after August 28, 2012 unless reauthorized.

These provisions are identical to SCS/SBs 588 & 585 and similar to a provision of SB 8 (1st Ex. Session 2011), SS/SB 203 (2011), SB 840 (2010), and HB 1786 (2010).

CERTAIN BENEVOLENT TAX CREDITS

This act modifies provisions of law regarding certain tax credits.

The Public Safety Officer Surviving Spouse Tax Credit program currently sunsets on August 28, 2013. This act extends the sunset to December 31, 2014. (Section 135.090)

The Children in Crisis Tax Credit program currently provides an income tax credit for contributions to child advocacy centers, crisis care centers, and entities that receive funding from the Court-Appointed Special Advocate Fund. This act extends the sunset on this tax credit program from August 28, 2012 to December 31, 2013. (Section 135.327)

This act extends the sunset from December 2013 to December 2014 on the section of law that creates the tax credit for certain taxpayers who modify their homes to make them accessible for a disabled resident.

Currently, the Rebuilding Communities tax credit program has a ten million dollar annual cap. If there are tax credits remaining under the cap, up to 100,000 dollars of this tax credit cap shall first be used for the residential dwelling accessibility tax credit. This act repeals the requirement that tax credits under the Rebuilding Communities tax credit cap be provided to the residential dwelling accessibility tax credit. (Sections 135.535 and 135.562)

Under current law, the provisions of law authorizing a tax credit for contributions to pregnancy resource centers will sunset August 28, 2012. This act reauthorizes these provisions until December 31, 2013. (Section 135.630)

This act modifies the sunset of the tax credit for donations to food pantries, so that the program that expired August 28, 2011 expires December 31, 2014. The act allows tax credits for donations to food pantries that occurred on or after the effective date of this act. (Section 135.647)

Under current law, residential treatment agencies are prohibited from applying for residential treatment agency tax credits in an amount greater than forty percent of the payments received by the agency from the Department of Social Services. This act would allow residential treatment agencies to apply for such tax credits in an amount which does not exceed the amount of payments received by the agency from the Department of Social Services. The act also allows certain children's homes that are licensed and under contract with the Department of Social Services to be eligible to receive donations and apply for tax credits under this tax credit program and extends the sunset on the program from August 28, 2012, to December 31, 2013. (Section 135.1150).

The act creates an income tax credit equal to fifty percent of the amount of an eligible donation made, on or after January 1, 2012, to a qualifying developmental disability care provider. Qualifying development disability care provider are care providers that provide assistance to people with developmental disabilities and are either accredited by certain organizations or under contract with the Department of Social Services or the Department of Mental Health. The tax credit may not be applied against withholding taxes. The tax credit is non-refundable, but may be carried forward four years. The tax credit is transferable. A provider may apply to the Department of Social Services for the tax credits. The provisions of this act shall automatically sunset December 31, 2016. (Section 135.1180)

The act places this new tax credit program under the requirements of the Tax Credit Accountability Act of 2004. (Section 135.800)

The provision regarding the food pantry tax credit has an emergency clause.

These provisions are identical to SCS/HCS/HBs 1278 & 1152 (2012) and similar to provisions in SCS/SB 548 (2012), SB 471 (2012), SB 481 (2012), SB 532 (2012), SB 582 (2012), and SB 708 (2012).

HISTORIC TAX CREDITS

(Sections 253.550 and 253.559)

The act establishes a seventy-five million dollar cap for authorizations of historic tax credits beginning in FY 2013.

START-UP COMPANIES

(Section 620.007)

Under this provision the Department of Economic Development is required to define what constitutes a "start up company." These companies will be required to provide verification of financial information when the company applies for economic development incentives, if the incentive is provided up-front.

ADVERSE INFORMATION ABOUT COMPANIES SEEKING ECONOMIC DEVELOPMENT INCENTIVES

(Section 620.009)

This provision requires the Department of Economic Development to share electronic copies of all adverse information it has about any company seeking state and local economic development incentives with all local governments, economic development organizations and officials that are competing for the company's business. Local governments, economic development organizations and officials are also required to share adverse information about a company with the department. All adverse information the department receives shall be a closed record.

THE DEPARTMENT OF ECONOMIC DEVELOPMENT'S OPINION ON ECONOMIC DEVELOPMENT INCENTIVES

(Section 620.019)

This provision requires the Department of Economic Development to develop a ratings system to share with local governments the department's opinion on proposals for discretionary economic development incentives that combine local and state resources.

THE ELIGIBILITY OF CERTAIN TAXPAYERS FOR PROGRAMS ADMINISTERED BY THE DEPARTMENT OF ECONOMIC DEVELOPMENT

(Section 620.1895)

This act makes a taxpayer that occupies a facility previously occupied by a company that used the facility for a federal contract ineligible for tax incentives or grants under the Business Facility Tax Credit program, the Business Use Incentives for Large Scale Development program, the Development Tax Credit program, the Rebuilding Communities Tax Credit program, the Enhanced Enterprise Zone Tax Credit program, and the Missouri Quality Jobs program, when the taxpayer will use the facility for a similar business. However, if the Department of Economic Development determines that the projected net fiscal benefit of the taxpayer occupying the facility is greater than the fiscal benefit to the state provided by the previous company occupying the facility, the taxpayer will not be ineligible for benefits under these programs.

This provision is similar to SCS/SB 906 (2012).

CONSULTING CONTRACTS FOR TRADE OFFICES

(Section 1)

This provision requires the Department of Economic Development to include a conflict of interest policy in all new consulting contracts for trade offices in foreign countries.

EMILY KALMER

SA 1-This amendment adds county sales taxes for emergency communications systems to the list of taxes that may not be deposited into a special allocation fund for the purposes of tax increment financing.

Under current law, ambulance districts and fire protection districts are entitled to reimbursement from a tax increment financing special allocation fund of 50 to 100 percent of the district's tax increment. This amendment provides that the ambulance district board or fire protection district board set the percentage of its reimbursement prior to any funds being deposited in the special allocation fund.

SA 3-This amendment provides that political subdivisions will not be required to hold certain hearings or publish certain notices before the political subdivision issues bonds backed by future appropriations, if the political subdivision has enacted a policy reflecting best practices for the prudent use of debt by ordinance.

SA 4-This amendment corrects a provision of the historic tax credit language.