Currently, a city, town, or village is required to make a finding that an area would not reasonably be anticipated to be developed without tax increment financing. This act allows a city, town, village, or county to adopt a redevelopment plan for the purpose of tax increment financing without this finding if a majority of the property in the redevelopment area includes a portion of the municipality directly affected by President's request for disaster assistance.

Where a the majority of redevelopment area is located in a disaster area, all or part of the taxing district's operating costs and debt service costs from the redevelopment project may be included in redevelopment project costs, in addition to the costs that current law allows other redevelopment projects to include.

Current law allows, under the State Supplemental Tax Increment Financing program, for the General Assembly to appropriate funds to the Department of Economic Development to provide to municipalities with approved projects in an amount up to fifty percent of the increase in state income tax revenue from new jobs in the project area, or in an amount up to fifty percent of the incremental increase in the general revenue portion of the state sales tax. Under this act, beginning December 1, 2012, the General Assembly may appropriate funds to the newly created Missouri Supplemental Disaster Recovery Fund for the Department of Economic Development to provide to municipalities with approved redevelopment projects in disaster areas in an amount up to fifty percent of the total of: 1) the amount of income tax employers withhold from new employees whose jobs are created because of the redevelopment; and 2)the incremental increase in the general revenue portion of state sales tax revenues.

Redevelopment areas containing a greenfield area or that have not seen an average reduction of at least 25% in assessed values of certain property as a result of the disaster will be ineligible. Particular municipalities will be allowed to receive additional amounts from the , if the amounts are appropriated. A company moving its headquarters from another state into the disaster redevelopment area will have its economic activity taxes and new state tax revenues based on the total amount of taxes generated from the net new jobs instead of a base year or prior calendar year. Applications for state disaster recovery revenue funds must be filed by December 31, 2015. There is a $5 million per year cap on disbursement of funds from the Missouri Supplemental Disaster Recovery Fund.

This act also modifies the Missouri Museum District Act. The act expands the scope of museum districts to include buildings or areas used for promoting culture and the arts, including theater, music, entertainment, public places, libraries, and other public assets. The act restricts the creation of museum and cultural districts under these provisions to situations where the property is located within a disaster area. The act requires that petitions to create museum and cultural districts be filed within five years of the Presidential declaration establishing the disaster area. The museum and cultural district can include property parcels that are not connected to each other. Legal voters who live in the proposed district will not be required to be listed on the petition to create the district, will not be required to be served a copy of the petition creating the district, and will not have statutory authority to sue to support or oppose the creation of the district. The board of directors of the district will be made of five members who are all elected at a public meeting. The General Assembly is authorized to make appropriations from general revenue to a district created under this act for a period of twenty years after January 1, 2013. In addition to a sales tax, the board is authorized to impose, with the approval of qualified voters, a fee of up to one dollar on any person or entity that offers or manages an event in the district and charges admission for the event. The district will not be required to contract only with a not-for-profit or governmental entity to operate and manage any museum or cultural asset in the district.

This act contains an emergency clause.

Provisions of this act are similar to SB 74 (2013), SB 777 (2012), and HB 8 (1st Ext. Session 2011).

MIKE HAMMANN